Just hours before April 3rd, the scheduled date for the announcement of the new U.S. trade policy, dubbed “The Day of Liberation” by President Trump, uncertainty persists regarding the form this new commercial model will take.
On one hand, sources suggest the administration is considering a general 20% tariff on all trading partners instead of differential rates aimed at matching each country’s tariffs against U.S., a policy Trump calls “reciprocal tariffs.”
A key point of debate, according to The Wall Street Journal, is whether individualized trade partner tariffs should be imposed, as Trump has recently anticipated, or if he will revert to his campaign promise of a blanket 20% tariff affecting nearly all countries doing business with the U.S., sources familiar with discussions told the newspaper Monday.
Monday afternoon, following a turbulent start for major U.S. stock indices amidst arrival policy uncertainty, White House spokeswoman Karoline Leavitt stated to press in Washington that no country is being exempted from the measure.
“No exemptions are currently under consideration… Let the President make the announcement tomorrow, but I believe any country that has unfairly treated the American people should expect to pay a tariff in return,” said Leavitt Monday.
The U.S., known for its open economy and one of the world’s lowest average weighted tariffs, imposes fewer barriers on imports than many other major global economies, including those with similar political and economic systems.
From the White House perspective, for years, “the U.S. has been unfairly treated by its trade partners, friends and foes alike.”
Consequently, they believe this lack of reciprocity contributes to the persistent annual trade deficit in goods for the U.S., as closing foreign markets reduces American exports and opening domestic markets increases significant imports.
Related Content
- Trump’s Tariffs Could Trigger Prohibitively High Prices
- Mexico Urges U.S. to Keep T-MEC Valid
Announcement: Tuesday or Wednesday
Hours after his spokeswoman’s statements, in the evening, President Trump affirmed he will announce his reciprocal tariff policy on Tuesday or Wednesday of this week.
“You’ll see it in two days. Maybe tonight or probably tomorrow. They’re (tariffs) reciprocal. What they charge us, we charge them,” said Trump to the press at the White House.
Trump has not specified the criteria or methodology his administration will use to set these reciprocal tariffs.
“In a certain sense, this is the rebirth of our country… We helped everyone and they didn’t help us. The term I like best probably is ‘The Liberation of the U.S.,’” he added.
Repeatedly, the White House and Trump have stated that the announcement of reciprocal tariffs would occur on April 2nd.
