U.S. President Donald Trump has directed his economic team to devise a reciprocal tariff plan, imposing matching duties on countries that charge tariffs on U.S. imports. The move, announced as part of Trump's broader trade policy overhaul, could escalate tensions with major global economies.
Trump signed a memorandum instructing officials to calculate reciprocal tariffs to counter existing duties and non-tariff barriers imposed on U.S. goods. While the order stops short of an immediate tariff hike, it launches an investigation into foreign trade policies that could take weeks or months to complete.
The White House strategy will initially focus on countries with the largest trade surpluses and highest tariff rates, including China, Japan, South Korea, and the European Union. Trump has also criticized India, citing its high tariffs on U.S. exports.
Markets reacted cautiously to the announcement, with Wall Street seeing modest gains, relieved that immediate tariffs were not enacted. However, analysts warn that the plan could fuel inflation and disrupt global supply chains.
Commerce Secretary nominee Howard Lutnick said the administration aims to finalize studies by April 1, coinciding with a deadline set for reducing U.S. trade deficits.
Trade experts note that implementing customized reciprocal tariffs poses a complex legal and logistical challenge. The White House is exploring various trade statutes, including Section 122 of the Trade Act of 1974, which allows for a temporary 15% tariff.
Trump has already imposed 10% tariffs on Chinese goods, steel and aluminum duties, and has placed a 30-day hold on tariffs for Canada and Mexico. Additional levies on cars, semiconductors, and pharmaceuticals are under consideration.
While the White House maintains that the policy aims to encourage trade negotiations, experts warn it could lead to retaliatory measures from U.S. allies and rivals, intensifying trade disputes.
The U.S. Federal Reserve kept its benchmark federal funds rate unchanged on Wednesday, maintaining the target range at 4.25% to 4.50%, in a widely expected move as the central bank navigates a complex economic environment marked by slowing inflation, global trade tensions, and political pressure.
Pakistani Prime Minister Shehbaz Sharif hailed what he called a “great victory” for the nation’s armed forces on Wednesday, following what officials described as a major air incursion attempt by the Indian Air Force.
Iranian Deputy Foreign Minister Saeed Khatibzadeh has said that Iran is intending to develop its ties with neighboring Azerbaijan beyond bilateral relations by tapping the capacity of regional collaboration.
Chinese President Xi Jinping arrived in Moscow on Wednesday for a closely watched visit that underscores Beijing’s growing strategic alignment with Russia.
As part of his official visit to Iraq, Azerbaijani FM Jeyhun Bayramov met on Wednesday with Mahmoud al-Mashhadani, Speaker of the Council of Representatives of Iraq, for wide-ranging discussions on bilateral relations, regional security, and post-conflict development efforts in Azerbaijan.
The United States has quietly approved a Qatari initiative to finance salaries for Syrian public-sector workers, marking a significant shift in Western engagement with post-Assad Syria, according to three sources familiar with the matter.
U.S. President Donald Trump on Wednesday called for an immediate end to the escalating hostilities between India and Pakistan, saying he “hopes they can stop now” after a series of deadly cross‑border strikes.
The U.S. Federal Reserve kept its benchmark federal funds rate unchanged on Wednesday, maintaining the target range at 4.25% to 4.50%, in a widely expected move as the central bank navigates a complex economic environment marked by slowing inflation, global trade tensions, and political pressure.
India has fired a series of missiles into Pakistani-controlled territory, in what it has described as “Operation Sindoor”
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New Tesla registrations in Denmark collapsed 67 % in April to 180 vehicles, industry data showed Thursday, underscoring a sharp demand drop for the EV maker in one of its once-strong European markets.
Chinese e-commerce platform Temu has announced it will no longer sell goods directly from China to U.S. customers, shifting instead to U.S.-based sellers amid the closure of a long-criticized customs loophole.
The European Union is expected to announce new tariff counter-measures on Thursday targeting U.S. aerospace exports, including Boeing jets, in response to escalating trade tensions with Washington.
Chinese President Xi Jinping arrived in Moscow on Wednesday for a closely watched visit that underscores Beijing’s growing strategic alignment with Russia.
As part of his official visit to Iraq, Azerbaijani FM Jeyhun Bayramov met on Wednesday with Mahmoud al-Mashhadani, Speaker of the Council of Representatives of Iraq, for wide-ranging discussions on bilateral relations, regional security, and post-conflict development efforts in Azerbaijan.
The United States has quietly approved a Qatari initiative to finance salaries for Syrian public-sector workers, marking a significant shift in Western engagement with post-Assad Syria, according to three sources familiar with the matter.
U.S. President Donald Trump on Wednesday called for an immediate end to the escalating hostilities between India and Pakistan, saying he “hopes they can stop now” after a series of deadly cross‑border strikes.
Chinese President Xi Jinping arrived in Moscow on Wednesday for a closely watched visit that underscores Beijing’s growing strategic alignment with Russia.
As part of his official visit to Iraq, Azerbaijani FM Jeyhun Bayramov met on Wednesday with Mahmoud al-Mashhadani, Speaker of the Council of Representatives of Iraq, for wide-ranging discussions on bilateral relations, regional security, and post-conflict development efforts in Azerbaijan.
The United States has quietly approved a Qatari initiative to finance salaries for Syrian public-sector workers, marking a significant shift in Western engagement with post-Assad Syria, according to three sources familiar with the matter.
U.S. President Donald Trump on Wednesday called for an immediate end to the escalating hostilities between India and Pakistan, saying he “hopes they can stop now” after a series of deadly cross‑border strikes.
The U.S. Federal Reserve kept its benchmark federal funds rate unchanged on Wednesday, maintaining the target range at 4.25% to 4.50%, in a widely expected move as the central bank navigates a complex economic environment marked by slowing inflation, global trade tensions, and political pressure.
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