Trump Strikes Again: ‘Reciprocal’ Tariffs and 25% Duty on Imported Cars

US former President Donald Trump has announced blanket "Liberation Day" tariffs, slapping a colossal 25% tariff on every foreign car and introducing retaliatory tariffs on global trading partners. The move is aimed at bolstering domestic manufacturing and addressing perceived trade imbalances.

Trump described the action as a historic step to protect American businesses and advance fair trade. The auto sector will probably be hit hard, with higher consumer prices and disruptions in global supply chains. Countries targeted have suggested responding with similar measures, which raised worries about escalating trade tensions.

While Trump's supporters hailed the move as a revolutionary economic strategy, others warned against negative repercussions on global trade and economic stability. Markets reacted with volatility as investors were left in doubt over global trade relations.

 

Source: Bloomberg, Reuters, CNBC