Businessmen around the world are paying close attention to the development of Washington when President Donald Trump initiates tariffs to greatly reorganize U.S. trade policies.
The first round of tariffs was imposed on China, Canada and Mexico on Tuesday, while U.S. trade officials conducted a more in-depth assessment of trade in goods steelcopper, Chips And a range of other standards, for example, in South Korea, the cost of operating huge U.S. bases and providing military protection.
China's export form is subject to 20% tariffs on suspected inaction by Beijing to prevent the flow of drugs used to make fentanyl, which killed thousands of Americans, while exports from Canada and Mexico now face 25% of their duties. They have A physical response was madebut still hope to find a way to reduce the size of taxes.
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Leaders from Japan and India have flew to DC to meet with the new president to get a situation – Regig, who discussed the trade deal, and bargained with the new head of state of the United States, who seemed eager to exercise enormous power and leverage.
The strategies and practical reasons behind some of these actions are still under consideration. Meanwhile, Asian countries – allies and enemies want to know: Who will be the next step? What can we do to avoid or reduce the tariffs that the United States may have to impose?
Tariffs “open the door to nepotism”
Obviously, neighbors, allies and competitors have different agendas. Therefore, it is not surprising that I have heard what has been said for 30 days today. Exemption A few automakers Neighbors in the United States: General Motors, Ford and Stralandis.
This decision made the exemption process a concern, which Trump said was widely used during his first term.
Peterson Institute of International Economics is located in a Report on tariffs in 2019 after Trump took office. “The decision to grant or reject the waiver is not explained, but the result will provide the lucky applicant with real money and take the real money from the unfortunate.”
Yahoo senior columnist Rick Newman commented that the exemption process confused company executives at the time, noting that “Trump's tariffs open the door to crony capitalism“.
He said, as President’s press secretary Karoline Leavitt said Wednesday, Trump “opened to hear additional exemptions”, so foreign automakers could be open to foreign automakers.
But he wondered “The real reason Trump might think is “Tariff” is the “most beautiful word In the dictionary “It is because it brings thousands of pleaders to his court, demanding mercy.”
Need a solution
But the problem with Asian manufacturers and exporters is that they are eager for long-term solutions – longer to enter the U.S. market.
However, this is the path that companies like TSMC, Toyota, Samsung and many other well-known Asian brands in the global supply chain are certainly facing. The U.S. regime has just become another rent-seeker. All of this is in the crosshair and the impact will vary across the region.
Countries such as Japan, India, Taiwan and South Korea have already talked about trade deals worth hundreds of millions of dollars.
But, as Reuters shows, even countries such as Vietnam and Thailand are seriously exposed by U.S. tariff threats due to their high export-to-GDP ratio to the United States.
According to Reuters, as Trump proposes tariffs on semiconductors, drugs, steel and aluminum, Nomura is expected to have a quarter of exports from South Korea, Japan, Malaysia, the Philippines, the Philippines and Taiwan.
Malaysia, South Korea and Thailand are closer to North America’s supply chains, leaving them vulnerable to U.S. tariffs on Canada and Mexico.
Data shows that in Malaysia, 0.59% of GDP is related to trade, which adds value to Canada and Mexico's exports to the United States, the highest share among Asian economies.
Taiwan and Vietnam are more vulnerable to Chinese exports to the United States, meaning they may be severely affected by U.S.-China trade tensions.
While Trump’s tariffs address trade imbalances against these three countries, the countries with the highest trade surplus with the United States are also seen as risking further tariffs. According to a recent U.S. Treasury report, trade surplus in Asia, China, Vietnam, Japan and Taiwan has the largest.
President Trump directs plans for countries with higher tariffs on U.S. imports, which impose higher tariffs than the U.S., and some Asian economies are at risk of reciprocity tariffs.
“If the U.S. government is deciding reciprocity tariffs based solely on valid tariff differences, then in Asia, India, Thailand, Thailand and South Korea, it is likely to face the greatest risk and could face an additional tariff of about 5PPT,” Oxford Economics said in a report.
See also:
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Trump launches tariff war, China hits with 10-15% duty
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Chinese ships may face substantial fees to enter U.S. ports
US policy turbulent Asian chip giant with tenterhooks
Japanese automakers want government help deny U.S. tariffs
China needs technology self-reliance to avoid strangulation: xi
Xi Jinping sees attracting Trump to the new US – China trade deal
