U.S. President Donald Trump’s reciprocal tariffs were attacked by China and throughout Asia, which were unveiled at the White House on Wednesday.
On goods exported to the United States, tariffs ranging from 10% to nearly five times were announced, a tax on rival countries and firm allies. Trump's risky and highly controversial strategies are now reverberating around the world.
The move has heightened concerns about a global trade war – China and the EU have vowed to retreat – as forecasts for inflation-price waves threaten economic growth.
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Reuters said huge penalties were announced Wednesday against the tranquil backdrop of the White House Rose Garden, shaping the global order by turmoil in the world market and condemned by other leaders currently facing the end of decades of trade liberalization.
Japan's Nikkei share index fell to an eight-month low (down 2.8%) as news digested by Asia on Thursday, while all major stock markets in Asia fell. U.S. and European stock futures are also diving as investors compete for bonds and gold security.
China is the world's No. 2 economy, facing a new 34% tariff before Trump's previously imposed 20% Trump, a vowed countermeasure, appears to be a little careful about warnings against U.S. Treasury Chief Scott Bessent, which will lead to such actions leading to escalation.
Those shocked, frustrated allies
Close allies like Japan and the EU spare no effort to face tariff rates of 24% and 20% respectively.
India (26%), South Korea (25%) and Taiwan (32%) were also shocked by the high taxation, despite serious moves in recent weeks to eliminate the impact, and Trump's comments are “Reciprocal tariffs” – Follow the 25% tariff on steel and Automotive IndustryS – Will be “leniency”.
Although there is one Small trade imbalance,explain Free Trade Agreement With the United States, it seems to have been destroyed or ignored.
But including 29% tariff Norfolk Island – a population of only 2,000 – joining the other two islands in the south, encountering confusing, incredible and complaining given that they have long been an external territory of Australia.
Hearing and McDonald's Islands It is a barren outcrop near Antarctica, known primarily for its two active volcanoes, but is inhabited only by penguin groups.
The White House said the basic 10% tariff will take effect on Saturday (April 5) and a higher countdown rate next Wednesday (April 9).
EU head Ursula von der Leyen described the tariffs as a major blow to the world economy and said if the conversation with Washington fails, a group of 27 members is ready to respond to the countermeasures.
“The consequences will be terrible for millions of people around the world,” she said in a statement.
Trump said “reciprocal tariffs” are a response to tariffs and other non-tariff barriers imposed on U.S. goods. He argued that the new tax would promote manufacturing work at home.
“For decades, our country has been plundered, plundered, raped and plundered by far-reaching countries, and is a friend and an enemy again,” Trump said.
Many economists and analysts warn that tariffs can slow down the global economy, increase the risk of recession, and increase the cost of living for the average American family by thousands of dollars.
Canada and Mexico, the two largest trading partners of the United States, have faced 25% tariffs on many commodities and have not faced additional taxes in the news announced Wednesday.
Russia also did not say that their current bilateral trade level is “zero”.
Senior consultant focuses on long-term gains
Even some Republicans have expressed concern about Trump's active trade policy.
Within a few hours announced on Wednesday, Senate votes 51-48 Approved legislation that would terminate Trump's Canadian tariffs, with a handful of Republicans breaking in with the president. Reuters said that passing in the Republican-controlled U.S. House of Representatives is seen as unlikely.
Trump's top economist Stephen Miran told Fox Business Wednesday that tariffs on the U.S. would be good in the long run, even if they cause some initial damage.
Miran, chairman of the Trump Economic Advisory Council, told the network's “Kudlow” plan.
The White House profile said the countdown tariffs do not apply to certain commodities, including copper, medicines, semiconductors, wood, gold, energy and “certain minerals that are not available in the United States.”
“Vulnerability” is closed, but more taxes are imminent
After his speech, Trump also signed an order to close trade vulnerabilities (trade vulnerabilities worth $800 or less) for shipping low-value kits, which are worth no more than $800 – tax-free, known as “de Minimis.”
The order, which covers goods from China and Hong Kong, will take effect on May 2, according to the White House, said the move is intended to curb flows from fentanyl into the United States.
U.S. anti-drug officials say Chinese chemical manufacturers are the top supplier of raw materials purchased by Mexican cartels to produce deadly drugs.
investigation Reuters Last year, it showed how traffickers typically divide these chemicals into the United States by leveraging Minimis rules. But China has repeatedly denied the culprit.
The official said Trump also plans other tariffs on semiconductors, drugs and potentially critical minerals.
Earlier in the day, the government stated a separate set of tariffs Automatic import Trump announced last week that it would take effect from Thursday.
Trump has imposed 25% tariff on steel and aluminum and expand it to downstream products worth nearly $150 billion.
When consumers are rushing to make purchases before prices rise, the tariff problem has slowed down global manufacturing activity, while also driving sales of automobiles and other imported products.
Gregory Meeks, the top Democrat on the House Foreign Affairs Committee, said he would introduce legislation to end tariffs. But Reuters said such a bill had little chance of passing a Republican-controlled Congress.
“Trump just hit Americans with the biggest return tax rate hike in modern history – all import tariffs. His reckless policy not only collapsed the market, but also caused disproportionate harm to working families.”
See also:
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China, Japan, South Korea strengthens trade relations as US tariff looms
After Trump announces 25% car tariffs
XI calls on foreign CEOs to help protect supply chains
April 2 is set to unveil Trump's reciprocal tariff date
Trump's steel tariffs will reach China's supply line through other countries
