Trump Turns Attention Back To His Global War On Trade

President Donald Trump walks on the south lawn of the White House on Sunday in Washington, D.C. WASHINGTON ― Having successfully slashed health care for poor people and made permanent tax cuts that disproportionately benefit the wealthiest, US President Donald Trump on Monday turned his attention back to his trade war against the world, starting with massive tax increases on Americans who import products from two key allies.In letters to the leaders of Japan and South Korea, Trump said new 25% taxes will be imposed on their products because of those countries’ “Tariff, and Non Tariff, Policies and Trade Barriers, causing these unsustainable Trade Deficits against the United States.”Trump added that if those countries choose to raise their tariffs on American goods, Trump would retaliate by increasing the US tariff to 25% on top of whatever tariff rate they imposed.“Liberation Day II: A tired summer re-run,” said University of Michigan economist Justin Wolfers, using the term Trump invented for April 2, the day he formally announced his tariff scheme against virtually every country in the world. “The trade war is on full force, and the average American will be paying higher taxes on imports than at any point in a century.”Trump for decades has held the factually unsupported view that if the US imports more from a country than exports to it, that by itself is proof that the country is “ripping off” Americans.Those two letters posted to Trump’s personal social media network at around noon were followed by a dozen others by mid-afternoon, with rates ranging from 25% for Malaysia and Kazakhstan to 40% for Laos and Myanmar.Whether he has the legal authority to impose any of these new tariffs remains to be determined. Both the US Court of International Trade and a trial-level federal court in Washington, DC, ruled that Trump’s tariffs imposed under the 1977 International Emergency Economic Powers Act were illegal because the mere existence of a trade imbalance did not constitute an emergency under the statute.Both rulings were put on hold pending appeal, and the US Supreme Court will likely have the final word on the matter.But Alex Jacquez, who worked for the National Economic Council in former President Joe Biden’s White House, said that even if the high court strikes down Trump’s IEEPA tariffs, there are other laws Trump could use to try to reimpose them.“There are fallback options that Trump could use,” he said, adding that his doing so would once again roil the world economy. “It’s just going to cause more uncertainty and confusion.”In the end, he said, both US manufacturers, many of whom rely on imported machinery and raw materials, and US consumers, would be harmed through significantly higher costs. “This is really short sighted, cutting off your nose to spite your face,” he said.Trump first announced his so-called “reciprocal” tariffs on the nations of the world on April 2, with an effective date just days later. After stock markets tanked and a key US treasury bond began showing a worrisome rise in yield, though, Trump backed off and postponed the start of his tariffs until July 9.He and his administration also claimed that in the intervening months, they would forge trade agreements with the majority of the world ― “ninety deals in 90 days” ― that would make his high tariff rates unnecessary.The promised expedited trade negotiations did not happen, however, and even Trump acknowledged that doing so was more difficult than he had anticipated. “Because you have hundreds of countries. You know, you have over 200 countries, and you can’t sit down with 200 countries,” he told reporters en route to his New Jersey golf resort on Friday. “I think the letters are better. I think a simple tariff is simpler than and better than sitting down and working 15 different things.”The new import taxes, separate and on top of other industry-specific taxes on metals, cars and medicines, will now take effect on Aug. 1 rather than Wednesday.By late afternoon on Monday, Trump’s newly announced tariff rates for individual countries were within a few percentage points of those originally announced on April 2. Those were calculated simply as reciprocal of a country’s balance of trade with the US, with even countries that imported more from the US than they exported getting slapped with a 10% minimum tax rate.If those numbers hold and the new import taxes go into effect on Aug. 1, American importers will pay more than $200 billion a year in new taxes, with virtually all of that getting passed along to American consumers in the form of higher prices.“We’re back to inflicting more damage to ourselves to no particular aim,” said Jason Furman, a top economist in the Barack Obama White House. “We’re not going to build a coalition against China by tariffing Japan and Korea.”Related...Trump Goes Off On New Rant Against 'Train Wreck' Elon MuskTrump's Treasury Secretary Disses Elon Musk After He Announces Rival Political PartyIn Latest Trump Snub, Elon Musk Announces He Has Formed New Political Party In The US

Comments

Breaking news

Experts warn London is at risk of flash flooding: ‘It doesn’t bear thinking about’

Metro

Comments

Similar News

Asian shares rise after Wall Street falls as Trump pressures trading partners with new tariffs

Netanyahu Tells Trump, at Dinner, He Nominated Him for Nobel Peace Prize

NWS Union: I Rarely Agree with Him, But Trump's Right on NWS Doing Its Job in TX

Democrat Lawmakers Say Voters Threatening 'Blood,' 'Violence' over Trump Agenda

Meteorologists: National Weather Service Had 'Extra' Staff During Texas Floods, Not Impacted by Trump's Cuts

Israel leader Benjamin Netanyahu is nominating Donald Trump for a Nobel Peace Prize

Ukraine-Russia war latest: Trump pledges more weapons for Kyiv while sacked ex-Russian minister found dead

Fmr San Antonio Mayor Castro: Trump 'Doesn't Understand' How Government Works

Trump Reveals U.S. Sending 'More Weapons' to Ukraine: 'We Have To'

Trump Pledges to Send More Weapons to Ukraine

Trump Issues Warning to Zohran Mamdani If He Becomes Mayor

The real reason Netanyahu nominated Trump for the Nobel Peace Prize

Israeli PM nominates Donald Trump for Nobel Peace Prize

Israel's Netanyahu surprises Trump with coveted Nobel Peace Prize nomination as he gives update on Iran peace talks

Trump upbeat on Gaza ceasefire talks as he hosts Netanyahu

Netanyahu surprises Trump with letter nominating him for Nobel Peace Prize

Israel’s Netanyahu nominates Trump for Nobel Peace Prize amid hopes for Gaza ceasefire

JD Vance’s old tweets show why the ‘Epstein client list’ is becoming such a problem for Trump

Trump’s border czar defends increasing number of arrests of non-violent migrants: ‘We’re gonna enforce law’

Trump says US will resume weapon shipments to Ukraine days after pause

Breaking news

Experts warn London is at risk of flash flooding: ‘It doesn’t bear thinking about’

Jeffrey Epstein’s ‘client list’ explained after FBI claims it doesn’t exist

Passengers plunged into ‘pitch black’ darkness after train gets stuck in tunnel

Foot fetishist bombarded police and NHS with 1,200 calls asking about their feet

Tory Frontbencher Left Red-Faced After Embarrassing Emmanuel Macron Gaffe On Sky News

So THAT's Why The Skin Under Your Fitness Tracker Is So Red And Itchy

Harry Potter Star Jason Isaacs Slams Racist Backlash Over Paapa Essiedu's Casting In New Series

Donald Trump Was Asked About A Key Promise. What Followed Was Pure Gibberish.

Michael Douglas Shares 'Worries' For America Due To Trump Administration

Reform UK Accuse Macron Of 'Outrageous And Deliberate Snub' For Not Meeting Nigel Farage

Road schemes will ‘probably’ be finished in under a decade – Transport Secretary

Cairo telecom building fire kills 4 and injures 26

Shein files to float in Hong Kong but hopes to keep London IPO alive – reports

Norman Tebbit death: Prominent minister in Thatcher government and champion of Brexit dies aged 94

Begbies Traynor boosted by rise in larger scale company failures

Suspect in shooting of Slovakia’s PM appears in court on terror charges

Heathrow terminals to play new track created entirely from airport sounds

Lizard Island coral death reaches 92 per cent after 2024 bleaching event, study finds

Trump compares himself to Truman after Iran attack

UK public finances in ‘vulnerable position’ after Starmer’s U-turns, OBR warns

Maternity label worn by Kate collapses into administration

Which are the subpostmaster redress schemes and what criticism have they faced?

Horizon IT scandal final report will be ‘monumental’, says ex-subpostmaster

Putin will attack Nato country to keep Europe distracted while Xi invades Taiwan, warns Rutte

Man left with life-changing injuries after being shot by police at village pub

Southport inquiry begins with families of injured children to give evidence

Trump live: President admits Aug 1 tariff deadline could be extended again after demanding deals from allies

Yemen's Houthi rebels attack a ship in the Red Sea after claiming they sunk another

UK sanctions Russian weapons bosses for role in Ukraine war

Rare T rex blood vessels found in fossil show how dinosaurs healed injuries

Lanarkshire MSP recognised for dedication to protecting Scotland's environment

Pervert paramedic who exposed himself and pestered colleague for sex has suspension extended

How to turn off 'Armageddon' siren on phones as emergency alert test confirmed

North Lanarkshire Council publishes details of planned social housing development in Newmains

Asbestos must be removed before gas leak at Dumfries junction can be repaired

Dalbeattie Community Association to open to visitors as part of Scotland's Gardens Scheme

Kirkcudbright Country Fair 2025 promises a fun-packed family weekend of fun

Boy, 6, found covered in blood after having genitals cut off in 'voodoo' attack

Gogglebox star's final words before she died after heartbreaking dementia battle

Thousands of people set to line King Street for Castle Douglas Soap Box Derby

Extreme E's Hydro X Prix has 'transformative' impact on restoring salmon breeding grounds

Booze ban to be lifted at Scots football stadium for first time in 40 years

Gangster Robert Kelbie hangs out Noel Gallagher backstage at Oasis tour

Ex-Tory minister Norman Tebbit who served in Margaret Thatcher's government dies

Man seriously injured after being shot by police outside village pub

Southport inquiry to begin with families of victims due to speak during phase one

Hosepipe ban declared for some areas in UK - what you need to know

'Child marriages' in Scotland could be banned as SNP Government to look at raising age of consent

Yorkshire Water to introduce hosepipe ban from Friday

Donald Trump says US will send more weapons to Ukraine after Putin rejects peace talks

British tourist slapped with £1,000 bill for three dishes at ‘scam’ restaurant

Children In England Living In 'Almost Dickensian Levels Of Poverty'

Katy Perry And Orlando Bloom Spotted On Holiday Together Days After Confirming Split

The Salt Path Film Producers Address Controversy Surrounding The Original Book

'A Horrific Moral Failure': Campaigner Slams Labour And Tories Over Illegal Immigration

Heathrow terminals to play new track created entirely from airport sounds

What is going on with Trump’s tariffs? All you need to know as trade deal deadline delayed again