Source: Ukragroconsult (Ukraine)
Officials at the White House are gearing up to implement additional tariffs on a majority of imports prior to April 2, a date that President Donald Trump has referred to as “Liberation Day,” according to The Washington Post.
During his first two months in office, the President increased tariffs on imports from Canada, Mexico, and China, amounting to roughly 800 billion dollars. These tariffs triggered a “wave in the stock market,” heightened recession risks in the United States, and elicited “retaliation” from trade partners.
In spite of the criticism, Trump’s top advisors are now openly vowing to introduce new tariffs that would impact U.S. trade with a vast number of nations. A source cited by the publication, who is familiar with the internal planning, revealed that officials in the administration are getting ready to impose tariffs on imports valued at “trillions” of dollars.
The prospect of a doubling of Trump’s tariffs is causing concern among economists and certain Republicans in Congress. Additionally, other allies within the White House are apprehensive about the logistical difficulties presented by a complex “new regime” for taxing imports.
Joseph Politano, an economic policy analyst at Apricitas Economics, remarked on the potential changes, “While we don’t have precise information on their plans, it appears that they are indicating a move toward imposing new tariffs on all imports into the U.S.”
The publication noted that internal preparations suggest Trump is “committed” to reshaping the global trade landscape, even as apprehensions grow among allies on Capitol Hill and Wall Street, along with significant anger from international partners.
Introducing new taxes on other products could take several months of preparatory work.
Initially, administration officials explored a strategy of categorizing all trading partners into three tiers: high, medium, and low, with corresponding tariff rates for each group. However, they ultimately opted for the method of establishing a specific tariff rate for each individual trading partner instead.
U.S. Treasury Secretary Scott Bessent stated on Fox Business Tuesday that a comprehensive evaluation of various factors will guide tariff determinations. More precisely, each country will receive a ranking from high to low, which will assist in setting the proper tariff rate. He hinted that many tariffs may not be implemented since countries might agree to adjust their import taxes prior to the announcement scheduled for April 2.
President Trump has previously argued that these duties are essential to incentivize companies to relocate manufacturing to the U.S. and to compel foreign trade partners to concede.
While numerous nations shield specific markets through elevated trade barriers, most developed nations uphold similar tariff rates. Notably, the average tariff in the U.S. stands at 2.2 percent, while Japan’s is at 1.9 percent, and the European Union averages 2.7 percent, as reported by the World Trade Organization.
Trump’s reciprocal tariff plan has the potential to raise the average U.S. tariff to approximately 20 percent, a level last seen in the early 1930s. Such an initiative would be without precedent, and many analysts contend that the president may not possess the authority to enforce such extensive tariffs absent congressional consensus.
A source noted that discussions among administration officials are underway regarding the legal powers the president might leverage to establish a reciprocal tariff framework.
Currently, under trade legislation, Trump has the power to swiftly enact specific duties, particularly concerning products from China that are linked to a 2018 inquiry into the nation’s trade practices. The Trade Act of 1930 permits the president to set tariffs as high as 50 percent on goods from countries he suspects of discriminating against U.S. products.