Commentary: Trump’s Wishful Thinking on the Tariff War

U.S. President Donald Trump displays a signed executive order during a tariff announcement at the White House in Washington on Wednesday. Photo: Bloomberg

The long-anticipated shoe has finally dropped. U.S. President Trump has announced the details of his globally watched “reciprocal tariffs” policy, imposing varying tariff levels on all trading partners. The announced tariff scheme was higher than investors' expectations, intensifying global market turbulence.

According to the plan, the U.S. intends to impose a 34% additional tariff on China, while levying tariffs ranging from 20% to 49% on the European Union, Vietnam, Japan, India, South Korea, Thailand, Switzerland, Indonesia, Malaysia, Cambodia, China’s Taiwan region and other trading partners. The minimum reciprocal tariff rate for any trading partner is set at 10%. Overall, the Trump administration has adopted higher rates for European and Asian trading partners, while most African and other countries face a 10% reciprocal tariff.

[Subscribe now to check out for more coverage about Trump tariff. Less than $0.7/week.]