Year One Under Trump: Tariffs, NATO Push, Crackdowns Reshape U.S.

One year into his second term, President Donald Trump has remade the U.S. policy landscape at home and abroad, setting off sharp debates over America’s economic priorities, alliances, and the balance between enforcement and civil liberties.

What Changed in Year One

On trade, Trump invoked emergency powers to levy a 10% universal tariff on most imports, alongside steeper country-specific duties aimed at U.S. trade deficits. Supporters frame the move as a reset for domestic industry; critics warn it risks higher prices and retaliation at a delicate economic moment. The White House calls it a bid for “reciprocity,” while economists caution the broad taxes could dent growth.

Abroad: Allies and Adversaries

Transatlantic ties were jolted as Washington pressed NATO to spend more. By late June 2025, allies moved toward a new benchmark—widely described as 3.5% of GDP in core defense plus 1.5% for related resilience—amounting to a 5% target by 2035. Some governments signaled flexibility or sought carve-outs, but NATO leaders and U.S. officials touted the shift as a “quantum leap” after years of haggling over burden sharing.

In the Middle East, a U.S.-brokered Israel–Hamas ceasefire took hold in October 2025, easing the war’s deadliest phase. The truce has proved fragile, with periodic flare-ups and airstrikes testing its limits even as mediators push into subsequent phases. In Europe, the administration has kept pressure on allies over Ukraine policy while signaling stricter boundaries on long-term U.S. commitments.

At Home: Immigration and Industry

Immigration enforcement accelerated. The administration scrapped protections that once limited arrests at “sensitive locations” such as schools, churches, and hospitals, part of a broader campaign to expand arrests and removals. Civil rights groups and several states have pushed back, with new laws moving to curb local cooperation with federal programs. The White House argues tougher enforcement will raise wages and reduce crime; legal challenges and statehouse fights suggest the policy will be contested well into 2026.

Climate and industrial policy also swung sharply. Trump canceled a Biden-era target for electric vehicles and froze EV charging funds, while the EPA pursued rollbacks that environmental groups say will weaken pollution rules and public reporting. Industry groups and some manufacturers welcomed a focus on fossil fuels and regulatory relief; health advocates and many automakers warn abrupt reversals could raise uncertainty and undercut U.S. competitiveness.

Security At Home

In a striking assertion of federal authority, the administration temporarily placed Washington, D.C.’s police under federal control and deployed National Guard units amid a crime crackdown and protests linked to immigration raids. Supporters called it necessary to restore order; city leaders countered that violent crime was already falling and warned of overreach.

What’s Next

The second year will test whether Trump’s trade bets can deliver lower prices and stronger factories, whether NATO’s spending pledges stick, and whether the fragile Gaza ceasefire endures. At home, litigation and state resistance will shape how far immigration and environmental changes go—while voters render judgment in the midterms.

Sources

• Fact Sheet: President Donald J. Trump Declares National Emergency to Increase our Competitive Edge — The White House (April 2, 2025)
• Trump announces sweeping new tariffs to promote US manufacturing, risking inflation and trade wars — Washington Post (April 2, 2025)
• NATO chief wishes ‘good luck’ to those who think Europe can defend itself without US help — Washington Post (January 26, 2026)
• Trump administration throws out policies limiting migrant arrests at sensitive spots like churches — Associated Press (January 21, 2025)
• Several states move to ban local cooperation in immigration arrests — Washington Post (February 4, 2026)
• Trump ends the EV mandate. Here’s what that means for the auto industry — Washington Post (January 22, 2025)
• Trump EPA to Stop Tracking Emissions From Biggest Polluters — Bloomberg (September 12, 2025)
• Trump places D.C. police under federal control, deploying National Guard — Washington Post (August 11, 2025)
• Israeli airstrikes kill 32 in Gaza, Palestinian officials say — Washington Post (January 31, 2026)