The White House announced on Tuesday that President Donald Trump will introduce new tariffs this Wednesday, though specifics on the extent and nature of these trade measures were not disclosed, causing anxiety among businesses, consumers, and investors concerned about an escalating global trade conflict.
President Trump has heralded April 2 as a significant “Liberation Day,” where formidable new tariffs could potentially disrupt the current global trade framework, following a scheduled declaration from the White House Rose Garden at 4 p.m. Eastern Time (Thursday 0300 GMT+7).
Karoline Leavitt, the White House spokesperson, stated that reciprocal tariffs on nations imposing levies on U.S. products will become effective immediately post-announcement, while a 25% tax on auto imports will start on April 3.
Previously, Trump had instated tariffs on aluminum and steel, along with heightening duties on all Chinese goods. However, he has often threatened additional tariffs, later canceling or delaying them. Nonetheless, Leavitt indicated that this time, the administration aims to move forward.
Trump’s resolve to proceed arises amidst increasing signs that the prolonged uncertainty fostered by his tariff-centric approach could undermine investor and consumer confidence, potentially slowing down business activities and inflating prices.
According to economists from the Federal Reserve Bank of Atlanta, a recent survey indicated that business financial chiefs expect tariffs to elevate their prices in the current year while constraining hiring and growth prospects.
As reported by the Washington Post, internal discussions hint at a sweeping 20% tariff on products from almost every nation, eschewing other, more specific strategies. The administration believes this approach could potentially generate over $6 trillion in revenue, which might be redistributed to Americans as rebates, the newspaper noted.
Meanwhile, a White House representative cautioned that any pre-announcement reports are “mere speculation,” as anticipation builds towards the unveiling of Trump’s trade strategy.
