Trump Unveils 34% Tariff on Chinese Imports, 20% on EU Goods Amid Trade War Escalation

US Ex-President Donald Trump has unveiled drastic tariffs of 34% on Chinese and 20% on European Union products, rekindling global trade tensions. The move is aimed at protecting American companies and rectifying trade balances but has sent shivers down the spines of consumers and businesses with fears of rising costs.

Key industries hit are electronics, autos, and agricultural products, with analysts warning of potential shocks to global supply chains. Both China and the EU have deplored the tariffs, which have raised specters of retaliation that could exacerbate the trade war further.

Trump explained that the move was necessary in shielding American economic interests, although economists caution that prolonged trade wars have the potential to undermine economic growth across the world. Financial markets reacted fiercely, with equity indexes wavering as they feared volatility surrounding global trade ties. 

 

Source: Bloomberg, Reuters, CNBC