Although reciprocal tariffs will not be implemented right away, US President Donald Trump intends to announce them.
In the most recent instance of his brinkmanship against US trading partners, US President Donald Trump stated that he would reveal a plan to apply reciprocal tariffs on Thursday, albeit the charges will not go into force right away. In a few minutes, Trump is scheduled to address reporters regarding new reciprocal tariffs.
Trump promised to unveil his eagerly anticipated idea on social media. However, according to those with knowledge of the situation, the tariffs the president is about to propose would not go into force for weeks or even months. According to the persons, who asked to remain anonymous in order to share the information before it is made public, the president is anticipated to order the US Trade Representative to assume control of the reciprocal tariff procedure.
“It’s been three fantastic weeks—possibly the best ever—but today is major: reciprocal tariffs! Making America great once more is what he wrote. Trump stated in a later post that he would discuss the tariffs at a press conference from the Oval Office at 1 p.m., Washington time.
A request for comment was not immediately answered by the White House. Details of Trump’s plan were previously covered by CNBC.
Trump and Prime Minister Narendra Modi, who leads a country that is about to suffer greatly from reciprocal tariffs, are scheduled to meet shortly after the announcement.
After CNBC revealed that the new tariffs will not go into force right away, the dollar declined.
The reciprocal tariff idea has become a focal point of Trump’s campaign to increase US tariffs generally. According to Trump, it would be applicable to countries whose average tariff rates are greater than those of the US, which would then boost its own duty to keep up.
In an interview with reporters on Sunday, he stated that he intended to make the announcement this week and that “if they charge us, we charge them.”
Negotiation tactics
The White House has not disclosed the details of the reciprocal tariffs, such as the methodology for determining the tariff rate or whether additional taxes or trade barriers would be taken into account. It has not made clear if it will choose a single average for every nation or make distinctions based on industry or product. Furthermore, it’s unclear if the program would permit exclusions.
The lengthy lead time prompts questions about whether Trump will begin talks with international leaders or use the threat of broad additional duties as leverage.