The nominee to become President Donald Trump’s chief White House economist defended his boss’s decision to charge ahead with duties on some of the US’s biggest trading partners, telling senators Thursday the country can have a “fabulous economy” even with high tariffs.

The opening salvos of US President Donald Trump's trade war have sent shockwaves around the world. Over the past weeks, his administration has broken with decades of free-trade orthodoxy, threatening to impose tariffs not only on strategic adversaries like China but also on longstanding allies like Canada and Mexico.