Trump’s First Year: A Year of Polarization and Transactional Diplomacy

Web Editor

January 20, 2026

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Introduction

One year into his second term, President Donald Trump has solidified a more confrontational and power-focused governing style, marked by strong internal polarization, institutional tensions, and a transactional foreign policy rather than traditional alliances.

Academic Perspective

Gildardo López, an academic from the School of Government and Economics at the Universidad Panamericana, warns of sustained but controlled tension across all fronts.

“Trump, who learned to navigate the political system during his first term, now fully exercises executive powers, constantly pushing constitutional limits. He has been careful not to undermine the three major institutions, but he has pursued a confrontational and negotiating policy,” López opines.

Economic Performance

On the economic front, the United States has avoided the anticipated recession from a year ago and maintains moderate growth, in line with global averages. However, this macroeconomic performance contrasts with the daily perception of citizens. The cost of living has increased since the beginning of Trump’s term, job market cooling has occurred, and well-paying jobs have not been created, fueling a sense of uncertainty that directly impacts presidential popularity.

Transactional Foreign Policy

The shift in foreign policy is even more evident. The United States has withdrawn from international organizations, conditioned treaties, and reduced its normative leadership, replacing it with a logic of “give and take.” Traditional European allies have been sidelined, while historical rivals like Russia and China are treated with pragmatic caution. Moscow has become an implicit partner, while Beijing is viewed as a competitor to be negotiated with without completely breaking ties.

  • Intervention in Venezuela
  • Strategic interest in Greenland
  • Redefining the Western Hemisphere under a reinforced Monroe Doctrine version
  • Using trade agreements and tariffs as pressure instruments
  • Prioritizing energy resources, critical minerals, and artificial intelligence in the national security strategy, merging corporate interests with state objectives

Domestic Policies and Institutional Resistance

López highlights that Trump’s early days signaled the tone of his presidency: confrontational, polarizing, and exclusively focused on U.S. interests.

For Mexico, this transformation translates into a bilateral relationship lacking clear rules, marked by constant pressure on security, migration, and the fight against fentanyl in daily negotiations dominated by domestic U.S. discourse.

Domestically, immigration policies, attacks on universities, media, and regulatory bodies, along with attempts to weaken the Federal Reserve, have raised concerns about a shift in the balance of power among institutions. Despite these challenges, institutions have resisted, becoming increasingly aligned with the White House.