Donald Trump has pledged to impose a cleaning fee for imports from Canada, Mexico and China.
There are 25 % of customs duties from Canada and Mexico to the United States, with 10 % of imports from China this weekend.
You need to know what will happen in the administrative order planned by Trump for Trump to implement the tariffs.
What is tariff?
Customs duties are taxes on imports or foreign goods.
Who pays tariffs on US imports?
US companies that import products from overseas pay them. If a US automaker imports parts from Mexico, you will need to pay tariffs when you arrive in Japan.
Why does Trump impose tariffs?
Speaking in an elliptical office, Trump told the media that there were several reasons for his decision. To the country … and No. 3 is a large -scale subsidy we provide to Canada and Mexico over the deficit. “
Does this mean the beginning of the World Trade War?
It depends on the person you ask. After Trump announced the latest tariff details, Brian Lanza, a senior adviser in the 2024 presidential election, said in today’s program on the BBC Radio 4, “No … this is the threat of negotiations.”
However, some analysts have also said that the president is considering tariffs on European products to reverses the trade deficit, so it is a country where exporters are subject to tariffs. I am afraid that we can expand to war. We own retaliated US imported goods.
When Trump led a tariff on Chinese imports when he was in the White House last time, Beijing had tariffs on the import of the United States, such as soybeans and corn. This movement ultimately hurt US farmers, who were dependent on business with China. Without the parliamentary approval, Trump has rescued the farmers. Farmers’ export revenues have declined at least $ 10 billion (£ 8 billion) since tariffs were imposed.
The diplomatic council, a US think tank, has then calculated that 92 % of the income collected from Chinese imported tariffs was paid to farmers.
So who wins and who loses?
Eventually, consumers lose their tariffs, as they almost reliable through rising prices.
Does Trump need parliamentary approval to impose tariffs?
Republicans have a majority in the lower house and the Senate, so Trump has the authority to pass the law in Congress.
However, the President also has the authority to impose tariffs without parliamentary approval in the case of national security, protection of US industries, or “state emergency”. court.
In Trump’s mind, the way tariffs work is to encourage US companies to move the manufacturing industry from overseas. “All you need to do is build your plants in the United States, and you don’t have a tariff a few weeks before the election,” said Trump.
However, it is almost impossible for many companies to get out of the complex global manufacturing ecosystem. It takes many years to operate a factory, so even if the company wants to strengthen domestic manufacturing to avoid tariffs, Trump’s term may be ready.
