Donald Trump’s government will announce reciprocal tariffs against all countries that charge rights over US imports on Thursday, said the White House, a measure that will increase the fears of a growing global commercial war and threatens to accelerate US inflation.
The most recent round of Trump tariffs that will shake the market will be announced before the visit of the Prime Minister of India, Narendra Modi, on Thursday, said White House spokeswoman, Karoline Leavitt, at an informative meeting on Wednesday.
Trump had said on Monday that he would announce reciprocal tariffs in the following two days and that he was also considering separate tariffs on cars, semiconductors and pharmaceutical products.
The president of the United States Representatives Chamber, Republican Mike Johnson, told Reuters on Wednesday that he believed Trump is considering exemptions that would include automotive and pharmaceutical industries, among others.
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“But I’m not sure. You have to wait and ask the White House about that, ”he said.
The White House did not immediately respond to a request for comments by Reuters.
In general, economists consider that tariffs have more upward risks for inflation than not doing so, and there are signs that US inflation is increasing.
Inflation at the highest level in almost a year and a half
The data of the Office of Labor Statistics published on Wednesday showed that consumer prices increased at January to the highest level in almost a year and a half.
The president surprised the markets on Monday by announcing tariffs to all imports of steel and aluminum as of March 12.
The plans caused the conviction of Mexico, Canada and the European Union, while Japan and Australia said they were looking for tariff exemptions.
The news caused the industries that depend on the imports of steel and aluminum would rush to compensate for an expected increase in costs.
The trade ministers of the 27 countries of the European Union met by videoconference this Wednesday to discuss their response.
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The block will prioritize negotiations over the countermeasures of retaliation for now in an effort to avoid a harmful commercial war, according to comments from the officials after the meeting.
An EU government official said the ministers discussed possible responses, including the restoration of the countermeasures imposed in 2018 to products such as the Bourbon and Harley-Davidson in response to the tariffs of the first Trump administration about steel and aluminum.
These measures were suspended after an agreement with the Biden administration.
An EU diplomat said it was time to keep the “cold head” a month after the tariffs enter into force.
The EU commercial chief Maros Sefcovic spoke on Wednesday with Hasett, the candidate for secretary of trade Howard Lutnick and the candidate for a commercial representative of the US, Jamieson Greer.
With Reuters information
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