The Trump administration had announced revised tax lists before the deadline for countries wishing to reduce or completely eliminate import taxes to reach an agreement. With the implementation of these tariffs, it is estimated that billions of dollars in taxes will flow into the US. Trump stated in a post on his Truth Social account that these measures directly contribute to the American economy.
Under the new measures, India will face a 50% import tariff if it does not stop importing oil from Russia. Trump also targeted foreign technology companies, threatening to impose a 100% tariff on computer chips. This move came after Apple announced a new USD 100 billion investment in the US.
Trump's “reciprocal tariffs” policy aims to get countries to negotiate agreements with the US to obtain lower tariffs. In line with this, some major economies such as the UK, Japan, and South Korea have agreed to lower rates by negotiating with Washington. As a result of the framework agreement with the European Union, a 15% tax will be imposed on EU goods.
However, Switzerland was faced with a high tariff of 39% due to its failure to reach an agreement with the US. The Swiss government announced that it would hold an extraordinary meeting to assess the possible economic impact.
Southeast Asian countries were also heavily affected by the new tariffs. Laos and Myanmar, which are production-oriented, were subject to a 40% tariff, while Taiwan was subject to a 20% tariff. Taiwanese leader Lai Ching-te stated that this rate was temporary and that negotiations were ongoing.
The tariff imposed on Canada was increased from 25% to 35%. Trump justified this decision by saying that Canada had not done enough to stop the flow of drugs into the US. The Canadian government, however, argued that it had taken tough measures against drug trafficking. Tariffs on Mexico were postponed for 90 days due to ongoing negotiations.
While the Trump administration's actions could lead to significant changes in global trade balances, experts say the long-term effects will only become clear in the coming months.
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