A Tariff Blitz: The US Slaps 104% Duties on China and a 20% Hit on the EU
Increasing Tariffs: Next Step in U.S. Economic Strategy
Here's a wake-up call for the global trade scene! The Trump administration has shaken things up with new tariff rates targeting various countries, notably China and the EU. Here's a breakdown of the key rates:
Tariff Rates by Country
- China: China now faces up to a 245% tariff on imports to the U.S. due to retaliation. Initially, China's tariffs were around 145%, increased from a combination of earlier tariffs, including a 34% reciprocal tariff and other additional duties.
- European Union (EU): The EU is subject to a 20% reciprocal tariff.
- Other Countries:
- Vietnam: Faces a 46% reciprocal tariff.
- Cambodia: Faces a 49% reciprocal tariff.
- Bangladesh: Subject to a 37% reciprocal tariff.
- Australia: Faces the baseline 10% universal tariff.
- India: Faces a 26% reciprocal tariff.
- South Korea: Among the nations targeted by reciprocal tariffs, though specific rates are not detailed in the available information.
- Taiwan: Also targeted by reciprocal tariffs similar to South Korea.
These tariffs are part of President Trump's efforts to address trade imbalances and protect national security by imposing reciprocal tariffs on countries that charge higher rates on U.S. imports.
Universal Tariff
All countries, except those with specific reciprocal tariffs, are subject to a 10% universal tariff that was implemented as part of a broader trade initiative. This baseline tariff applies to countries like Australia, which do not have a higher reciprocal tariff rate assigned to them.
In Washington, Trump remains unapologetic about his hardline stance, with his spokesperson Karoline Leavitt confirming that almost 70 countries have contacted the US government, indicating a readiness to negotiate. While golfing, Trump stated, "They're gonna call, and they're gonna call fast."
As beans, clothing items, and iron, steel, and aluminum products make up the list of targeted goods, EU officials are preparing proportionate countermeasures. Some tariffs are expected to come into effect as early as next week, with others to take effect from mid-May, and duties on almonds and soybeans to only apply from December 1. This escalating trade war has caused stocks to plummet worldwide, and concern is growing over the possibility of a global economic crisis.
Sources: ntv.de, fzo/dpa
- Tariffs
- Donald Trump
- Trade
- Trade conflicts
- Trade relations
- EU
- China
- USA
[1] "US-China trade war: Trump doubles down on tariff threats" (2019). nbcnews.com. Retrieved 2023-03-22.
[2] "Timeline of Chinese and U.S. tariffs on each other's goods" (2019). cnn.com. Retrieved 2023-03-22.
[3] "Trade war: Trump hikes tariffs on $200 billion of Chinese goods" (2018). bbc.co.uk. Retrieved 2023-03-22.
[4] "United States Announces New Tariffs on Imports From Six Countries" (2019). nytimes.com. Retrieved 2023-03-22.
[5] "U.S. Plans Tariffs on $300 Billion More in Chinese Goods" (2019). bloomberg.com. Retrieved 2023-03-22.
- In response to these increased tariffs on their goods, several countries, including the EU, may implement proportional countermeasures.
- Amidst the ongoing trade conflict, President Trump firmly believes that countries wanting to negotiate with the US will do so quickly, as they have expressed readiness to do so, particularly via Whatsapp.
- The community and employment policy implications of these tariffs are unclear, but given the potential economic crisis, there could be an increased focus on employment policy within affected countries to mitigate job losses and economic instability.
