- Trump’s prices cause a loss of $ 5 billions in S&P 500 value.
- Exemptions include crude oil, pharmaceutical products and semiconductors.
- China says that “the market has spoken” about Trump’s prices.
US customs agents began to collect unilateral unilateral prices of 10% of President Donald Trump on all imports of many countries on Saturday, with higher levies on goods of 57 largest business partners due to next week.
The initial price of 10% “base” paid by American importers entered into force in sea ports, American airports and customs at 12:01 pm HE (0401 GMT), inaugurating the complete rejection of Trump of the post-secret world war rate system.
“This is the biggest commercial action in our life,” said Kelly Ann Shaw, a commercial lawyer at Hogan Lovells and a former White House sales advisor during Trump’s first term.
Shaw told an event on the Brooking Institution on Thursday that she expected that the prices evolve over time while countries were trying to negotiate lower rates. “This is a fairly seismic and significant change in the way we exchange with each country on earth,” she added.
Trump’s Trump’s price announced the world’s stock markets, destroying a value of $ 5 billion for companies in the S&P 500 index by the end of Friday, a record decrease of two days. Under the fears of recession, oil and raw material prices have plunged, while investors have fled to the security of public bonds.
Among the countries for the first time with the 10% price were Australia, Great Britain, Brazil, Colombia, Argentina and Saudi Arabia, despite their merchandise trade with the United States last year. Officials of the White House said that many countries would have greater deficits with the United States if its policies were fairer.
An American customs and border protection bulletin provided a period of grace of 51 days for loaded cargoes or in transit in the United States before 12:01 am HE on Saturday. These cargoes must arrive by May 27 to avoid the rights of 10%.
Trump’s highest “reciprocal” rate rates from 11% to 50% should take effect on Wednesday at 12:01 p.m.. Imports from the European Union will face a tariff of 20%, while Chinese products will be affected by a rate of 34%, which brings Trump’s new samples to China 54%.
Beijing said on Saturday: “The market spoke” to reject Trump’s prices. China applied a multitude of countermeasures, including additional 34% samples from all American goods and export borders on certain rare land minerals.
“China has been struck much more than the United States, not even close,” said Trump on social networks on Saturday. “It is an economic revolution, and we will win. Hanging hard, it will not be easy, but the end result will be historic.”
Shortly after publishing the comment, Trump was noticed when arriving in his national Trump Golf Club in Jupiter, Florida, reading an article from the New York Post covering reprisals from China to American prices and the fall in the stock market.
Storm shelter
“A trade war is not interested in anyone. We must remain united and resolved to protect our citizens and our businesses,” said French president Emmanuel Macron in an article on X.
Some world leaders hoped to conclude an agreement with Trump and avoid economic benefits, while others weighed countermeasures.
British Prime Minister Keir Starmer wrote in the newspaper Telegraph that he was ready to “use industrial policy to help shelter British storm affairs”, noting that his government’s priority was to try to conclude a trade agreement with the United States, which could include tariff exemptions.
The office of Israeli Prime Minister Benjamin Netanyahu said he was leaving for Washington on Sunday for a meeting with Trump to discuss the new 17% price on Israel.
The media reported that Prime Minister Shigeru Ishiba from Japan, which faces a 24%tax, was looking for a telephone conversation with the American president.
Vietnam, which benefited from the gap of the American supply chains far from China after the Trump trade war with Beijing, agreed on Friday to discuss an agreement with the United States after Trump announced a price of 46% on Vietnamese imports.
Taiwan National Security Council was in Washington for talks that had to include prices, a source said. Taiwan president, Lai Ching-Te, was huddled with technology leaders on Saturday to discuss how to meet the 32% obligations imposed on his products.
The Italian Minister of Economy, Giancarlo Giorgetti, warned on Saturday imposing reprisals in the United States, affirming in a sales forum near Milan that this could cause damage.
The American billionaire Elon Musk, a close adviser to Trump, told a political event in Italy by video on Saturday that he hoped to see total freedom of commerce between the United States and Europe, whom he described as “a zero tariff situation”.
Canada and Mexico were exempt from Trump’s latest tasks, but are still faced at a rate of 25% recently imposed on goods that do not comply with the rules of origin under a North American trade agreement.
While Trump’s order has exempted 1,000 categories of products from new prices such as pharmaceuticals, uranium and semiconductors, the administration is considering new tasks on some of them.