Welcome back to The Breakdown with me, NLW.

It's a daily podcast on macro, Bitcoin, and the big picture power shifts remaking our world.

What's going on, guys? It is Thursday, April 3rd, and you better believe we are talking tariffs today.

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Ly slash breakdown pod. All right, well, after months of anticipation, President Trump has unveiled sweeping tariffs

that will fundamentally reshape global trade. Declaring it to be Liberation Day at an event

in the Rose Garden, Trump said, for years, hardworking American citizens were forced to sit

on the sidelines as other nations got rich and powerful, much of it at our expense. Now it's our turn to prosper, and in so doing, use trillions and

trillions of dollars to reduce our taxes and pay down our national debt, and it'll all

happen very quickly. Now, the tariffs are much broader than anyone had imagined. The administration

will impose a 10% tariff as a baseline on all countries friend and foe alike.

These will go into effect from midnight on Saturday. In addition, reciprocal tariffs will be

levied against 57 countries that the administration views as having unfair trade barriers in place.

Those rates are determined on a country-by-country basis, using a formula that theoretically is

designed to take into account currency manipulation,

non-tariff trade barriers, and other forms of quote-unquote cheating. Although Ryan Peterson

from Flexport tweeted, Flexport's team was able to reverse engineer the formula the administration

used to generate the so-called reciprocal tariffs. It's quite simple. They took the trade

deficit the U.S. has with each country and divided it by our imports from that country. Coming back to Trump, he said, for nations that treat us badly, we will calculate the

combined rate of all their tariffs, non-monetary barriers, and other forms of cheating. And because we are

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