Clicky

  • Login
  • Register
  • Submit Your Content
  • Contact Us
Friday, September 27, 2024
World Tribune
No Result
View All Result
  • Home
  • News
  • Business
  • Technology
  • Sports
  • Health
  • Food
Submit
  • Home
  • News
  • Business
  • Technology
  • Sports
  • Health
  • Food
No Result
View All Result
World Tribune
No Result
View All Result

Trump 2.0 spells trouble for U.S. allies as he doubles down on tariffs plans

September 27, 2024
in News
Reading Time: 5 mins read
A A
Trump 2.0 spells trouble for U.S. allies as he doubles down on tariffs plans
0
SHARES
ShareShareShareShareShare

READ ALSO

Commerzbank and UniCredit set to meet as takeover prospect looms

Japan’s ruling party votes to elect new leader and country’s next prime minister

Republican presidential nominee, former U.S. President Donald Trump speaks at a campaign rally at the Johnny Mercer Theatre in Savannah, Georgia on September 24, 2024. 

Brandon Bell | Getty Images News | Getty Images

Donald Trump, who has been doubling down on his tariff-heavy trade policy, appears to have shifted the focus of his protectionist agenda from China to some of the closest U.S. allies.  

Speaking at a campaign event in Savannah, Georgia, on Tuesday, the Republican presidential nominee said he would build upon the tariff policies of his first term in an effort to take manufacturing jobs from foreign countries — both friends and foe. 

“You will see a mass exodus of manufacturing from China to Pennsylvania, from Korea to North Carolina, from Germany to right here in Georgia,” he said in his mostly economic-centered speech. 

“I want German car companies to become American car companies, I want them to build their plants here,” he added. 

In his first term, Trump had imposed billions of dollars worth of duties on Chinese goods as part of efforts to rectify what he saw as an unfair trade balance. Trump has said he would consider new tariffs on imports from the country at rates of 60% or higher.

Trump 2.0 spells trouble for U.S. allies as he doubles down on tariffs plans

U.S. allies could become a key target of Trump’s “America First” policy that is increasingly grouping European and Asian partners alongside rival China. The former President has proposed blanket tariffs as high as 20% that would hit imported good from all countries.

“We have been treated so badly, mostly by allies … our allies treat us actually worse than our so-called enemies,” Trump said at a rally in Wisconsin earlier this month. 

“On military, we protect them and then they screw us on trade. We’re not going to let it happen anymore. We’re going to be a tariff nation,” he added. 

The comments echoed statements Trump made about Taiwan earlier this year when he accused it of taking “about 100%” of U.S. chip business. He also said that the democratically governed island should pay the U.S. for its defense. 

Trump has long sought to place economic and diplomatic pressure on U.S. allies, accusing them of “free-riding,” and his recent statements signal he’s doubling down on that approach, said Nick Marro, Lead for Global Trade at Economist Intelligence. 

Experts have said that Japan is also worried about what could be another “transactional” Trump Presidency and his mentions of 100% tariffs on certain car imports. “Will that include Japanese automakers? So there’s a lot of uncertainty here at the moment about what the next five years could look like,” author William Pesek told CNBC’s “Squawk Box Asia” in July.

Trump tax plan would be shift from income tax to consumption tax, says CAP's Casey Mulligan

“One of the riskiest aspects of Trump’s proclivity towards tariffs is that other countries won’t take these actions sitting down. Retaliation by other U.S. trade partners — whether that be via reciprocal, retaliatory tariffs, or other non-tariff measures — is a potential consequence of all of this,” Marro said.

Trump also said on Tuesday that he plans to create his “manufacturing renaissance” through the implementation of corporate tax cuts, the creation of low-tax special economic zones and tax credits for companies moving production to the U.S.

“These policies could potentially attract some manufacturing back to the U.S., particularly for industries sensitive to trade barriers,” said Stephen Weymouth, a professor of international political economy at Georgetown University. 

“However, these plans are unlikely to bring about a broad reshoring of industries, given the complexities of global supply chains and higher labor costs in the U.S.,” he added. 

Economist Stephen Roach also told CNBC that Trump’s tariffs would hurt America’s trade partners while only increasing the costs of goods for American consumers and manufacturers. This is consistent with mainstream economic opinion on tariffs.

“U.S. manufacturers who rely on foreign parts and components would take a double hit — their inputs would be more expensive because of Trump’s tariffs, and their exported products would be more expensive because of retaliatory tariffs,” said William Reinsch, Scholl Chair in International Business at the Center for Strategic and International Studies. 

Billionaire investor John Paulson: Trump's tariff plans are 'well-founded'

Trump, however, has maintained that other countries will foot the bill. “I’m not raising your taxes; I’m raising China’s and all of these countries in Asia and all over the world, including the European Union, which is one of the most egregious,” he said at his Wisconsin rally.

Reinsch said that the tariffs, if implemented, would also represent a clear break between long-standing U.S. trade policy and mainstream economic thinking. 

Particularly when it comes to dealing with China, the current Biden administration has heavily relied on a coordinated approach with like-minded partners like Japan and the Netherlands to enforce trade restrictions. 

While the Biden administration has maintained most of Trump’s China tariffs and even increased levies on specific high-tech industries, Reinsch described the difference between the two’s approaches to trade restrictions as “Trump’s sledgehammer vs. Biden/Harris’ scalpel.”

Still, the extent to which Trump’s tariff proposals are genuine or more of a threat has also been a subject of debate. 

In an interview with CNBC TV18 released on Tuesday, Jamie Dimon, Chairman and CEO of JPMorgan Chase & Co, said some of Trump’s top advisors had told him that the proposed tariff rates were more of a negotiating tactic for favorable trade deals rather than an expected outcome.

Credit: Source link

ShareTweetSendSharePin
Previous Post

DraftKings fined over CEO’s LinkedIn post

Next Post

Japan’s ruling party votes to elect new leader and country’s next prime minister

Related Posts

Commerzbank and UniCredit set to meet as takeover prospect looms
News

Commerzbank and UniCredit set to meet as takeover prospect looms

September 27, 2024
Japan’s ruling party votes to elect new leader and country’s next prime minister
News

Japan’s ruling party votes to elect new leader and country’s next prime minister

September 27, 2024
The Fed slashed interest rates last week, but Treasury yields are rising. What’s going on?
News

The Fed slashed interest rates last week, but Treasury yields are rising. What’s going on?

September 26, 2024
Major global chip stocks rally on strong Micron forecast
News

Major global chip stocks rally on strong Micron forecast

September 26, 2024
Google backs Distance, startup bringing mixed reality to cars, planes
News

Google backs Distance, startup bringing mixed reality to cars, planes

September 26, 2024
China’s top leaders call for halting real estate decline
News

China’s top leaders call for halting real estate decline

September 26, 2024
Next Post
Japan’s ruling party votes to elect new leader and country’s next prime minister

Japan's ruling party votes to elect new leader and country's next prime minister

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

What's New Here!

Early Prime Day deals include the Pixel Buds A-Series for only

Early Prime Day deals include the Pixel Buds A-Series for only $64

September 21, 2024
Here’s when it makes sense to buy vs. rent

Here’s when it makes sense to buy vs. rent

August 31, 2024
FTSE 100 drops struggling British luxury brand

FTSE 100 drops struggling British luxury brand

September 4, 2024
Teamsters union won’t endorse Trump or Harris

Teamsters union won’t endorse Trump or Harris

September 18, 2024
Electrolight is a short and sweet Playdate adventure game about branching out

Electrolight is a short and sweet Playdate adventure game about branching out

September 2, 2024
Backup Marcus Hogberg shows Islanders have insurance behind Ilya Sorokin

Backup Marcus Hogberg shows Islanders have insurance behind Ilya Sorokin

September 23, 2024
How to watch Jaguars-Bills live for free in Monday Night Football

How to watch Jaguars-Bills live for free in Monday Night Football

September 24, 2024

About

World Tribune is an online news portal that shares the latest news on world, business, health, tech, sports, and related topics.

Follow us

Recent Posts

  • Commerzbank and UniCredit set to meet as takeover prospect looms
  • U.K. Gen Zers set to finally see salary ranges for job listings
  • Ryanair CEO says he’ll raise airline ticket prices
  • Japan’s ruling party votes to elect new leader and country’s next prime minister

Newslatter

Loading
  • Submit Your Content
  • Contact Us
  • Privacy Policy
  • Terms of Use
  • DMCA

© 2024 World Tribune - All Rights Reserved!

No Result
View All Result
  • Home
  • News
  • Business
  • Technology
  • Sports
  • Health
  • Food

© 2024 World Tribune - All Rights Reserved!

Welcome Back!

Login to your account below

Forgotten Password? Sign Up

Create New Account!

Fill the forms below to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In