Trump has announced reciprocal duties, for the EU is among the lowest
President Donald Trump has announced to the White House and almost the entire government reciprocal duties on practically everything that is being imported into the country.
This is an attempt to put an end to a nearly 80-year international trade regime, maximum duties and protectionism.
Nearly half an hour from the start of the statement, he talks about how bad the US position in trade was and how everyone took advantage of the country and robbed it, but without saying exactly what he would introduce. Only then took a table and began to list the new duties:
- 34% For China (against 67% Chinese duties on US import)
- 20% for the EU (against 39%)
- 10% For the UK (against 10%)
- 32% for Taiwan (against 64%)
- 24% For Japan (against 46%)
- 26% For India (against 52%)
- 25% For South Korea (against 50%)
- 36% For Thailand (against 72%)
- 31% For Switzerland (against 61%)
- 32% For Indonesia (against 64%)
- 24% for Malaysia (against 47%).
There will be a base duty of 10% for all countries« not to cheat us when they want access to the largest market in the world, » he added. For « specific countries » there are higher rates.
« This day will be remembered as the day we make America rich again, » he said the slightly changed motto of his campaign, and repeated his famous ones that the country was robbed, ruined and operated by foreigners. « This is the declaration of economic independence and the introduction of a trillion and trillions of dollars into the budget to reduce people’s taxes, » he added. The plants « with roar will return to our country », consumer prices will fall, the golden era comes, he continued.
| The announcement was made as soon as at 11 pm Bulgarian time stopped today’s US exchanges session and there are several hours before opening those in Asia. During this time, investors have to adapt to the new reality. Trump called April 2 Liberation Day. But Wall Street’s stock indexes went up minutes before the White House statement, which was referred to as a signal that investors knew in advance that the measures would not be as drastic as expected. |
Here are more quotes from the President’s statement:
- In many cases, a friend is worse than the enemy in trade.
- We subsidize many countries and maintain and maintain them in business, « Trump told trading partners, in particular Mexico and Canada. Why do we do this? I mean, at what point we say you have to work for yourself.
- We finally put America first.
- Commercial deficits are no longer just an economic problem. They are a national emergency.
- This is not complete reciprocity, it is good reciprocity.
With a few exceptions, based on the graphics that Trump showed, the customs rate imposed by the United States on most countries is about half of what these countries charge the import of US production. There are some exceptions where the United States is responsible with exactly the same rates.
Even before Trump’s statement, Mexico President Claudia Shainbaum said on Wednesday that the country did not plan to impose a US customs and that it would « announce a comprehensive program on Thursday, not an eye -to -eye approach ». So far, she spoke carefully about the possibility of responding against the United States, not completely excluding the duties, but calls for peace and says that the focus should be on the protection of the Mexican economy.
But economists have no doubt that Trump’s duties can harm Mexico, generally predicting a recession if import measures remain in force for a long time. The Mexico Government has reduced its growth prognosis for the year to between 1.5% and 2.3% on Tuesday. But this is an expectation, more optimistic than the forecasts of the private sector and the Central Bank of the country against the background of fears that Mexico is on the verge of recession.
