The US President’s remarks hope that tariffs will only cover certain countries.
US President Donald Trump said he will pour cold water into hope that his soon-to-be mutual tariffs will be applied to “all countries” and that only the biggest trade imbalance with the US will be targeted.
Speaking to reporters aboard Air Force 1 on Sunday, Trump said the much-anticipated tariff announcement on April 2 would “start” in all countries.
Trump told reporters. “Essentially, all the countries we are talking about.”
Trump’s remarks come after his administration lowered the tariff range set for it to be announced on April 2nd.
White House economic adviser Kevin Hassett proposed earlier this month that the measure would focus on 10-15 countries, which account for the majority of the US trade deficit.
“We have over 100 countries that don’t actually have tariffs and no non-tariff barriers,” Hassett said in an interview with Fox Business.
Trump himself appears to have repelled the seriousness of future tariffs last week, saying that the mutual measures were “very generous” and that people were “surprising.”
Although specific details of Trump’s plans are unknown, his administration has pledged to strike the country with obligations equal to tariffs and non-tariff trade barriers, such as subsidies imposed on US exports.
Last week, Trump, who announced a 25% tariff on all car imports, has accused other countries of exploiting the United States through trade, casting protectionist economic agendas as needed to revive domestic manufacturing and create jobs.
The latest tariffs on Trump’s cars and other vehicles have strained relations with Washington with its closest partners and allies, including the larger automotive industry, including Canada, the European Union and Japan.
Trump’s announcement of the exchange on tariffs sent anxiety to the global market as he struggles to measure whether the US president intends to make his tariff permanent or primarily views him as a negotiation tool.
Last week, Trump said after the April 2nd announcement that he was “certainly open” to conduct business with the country to avoid tariffs.
Asian stock markets fell sharply on Monday, anticipating further disruptions in global trade.
The Japanese Benchmark Nikkei 225 and the Korean Benchmark Cospi fell by 3.85% and 2.55% at 03:00 GMT, respectively.
Australia’s ASX 200 fell by 1.56%, while Hong Kong’s Hangsen fell by 1.20%.
Gold, a traditional safe asset during the market volatility period, rose above $3,100 for the first time, trading at a record high of $3,106.79 per ounce.
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