Part 9/19:
President Trump indicated that the new tariffs would target countries that impose higher tariffs on US exports, such as the European Union, China, Canada, and Mexico. For example, if a country applies a 10% tariff on US automobiles, the US will respond with a similar duty on that country’s exports, such as BMWs made in Germany. The goal is to compel trading partners to negotiate more equitable terms and reduce the persistent US trade deficit.
The Strategy Behind the Tariffs
Kenneth Raposa from the Coalition for a Prosperous America outlined three overarching strategies behind the tariffs: