Ron Paul Warns of Long-Term Economic Chaos Amid US-China Tariff War

Former Congressman Ron Paul warned of escalating global instability as U.S.-China trade tensions intensify, highlighting systemic economic mismanagement and rising geopolitical risks in a recent Liberty Report broadcast.

Ron Paul: ‘Empires End’ When Markets Take Control

In his April 9 Liberty Report broadcast, free market advocate and former Congressman Ron Paul warned that escalating tariff tensions between the United States and China are symptomatic of deeper economic and geopolitical problems that could lead to prolonged global instability.

Paul referred to the current situation as a “dual war” — one economic, involving tariffs and monetary policy, and the other geopolitical, with broader military implications. “There’s a dual war going on. There is an economic war with tariffs involved. There’s also this hot war going on that we participate in and finance most of it all,” Paul said.

The U.S. recently raised tariffs on Chinese imports to 145%, prompting China to respond with 125% tariffs of its own, which start this weekend. Paul criticized the move as economically damaging, attributing it to both political posturing and poor understanding of market principles. “It’s bad economics, but I consider it bad diplomacy,” he said.

Throughout the broadcast, Paul underscored the role of the Federal Reserve in contributing to market distortions through interest rate manipulation and inflationary policies. “You can have a Fed messing up the economy, screwing around with the interest rates, causing weakness here and there… but eventually the markets rule and they get out of control, and there’s nothing the government can do,” he said.

He also pointed to the American public’s growing acceptance of protectionist policies, influenced by what he described as a revival of economic nationalism. “It seems like there’s some jingoism going along here because they’ve established the narrative that they’re ripping us off,” noted Paul’s co-host Daniel McAdams, Executive Director of the Ron Paul Institute for Peace and Prosperity, in reference to China and other trading nations.

Beyond the economic ramifications, Paul voiced concern over the cultural and political environment that enables such policies. He criticized both mainstream media and political leaders for promoting interventionist strategies that ultimately harm American consumers and international stability.

Paul concluded the segment with a cautionary reminder of the limits of political control over economic forces: “If the people don’t wake up, and they don’t vote this stuff down, and don’t throw out the politicians voting for all this and fighting all these wars, the market will do it. You know, empires end.”

The former congressman’s remarks come as global markets react sharply to the tariff hikes, with volatility seen across major indices, including the Dow and Nasdaq. According to Paul, only a return to sound money, market-based trade, and reduced federal intervention can reverse the current trajectory.