By: Rory Zeman 

Media Production Editor

On Feb.1, President Donald Trump unleashed a salvo of tariffs on numerous countries and goods around the world. Trump, citing the need for a return to America’s industrial glory age, justified his actions by mentioning how numerous American manufacturing groups lobbied for such increases.

Specifically, Trump enacted a ten percent increase in tariff rates for all goods coming from China, to which the US currently owes around 300 billion dollars. In retaliation, the Chinese placed tariffs on American computer chips, metals, and added fashion brands Calvin Klein and Tommy Hilfiger to its unreliable trading list. The Wall Street Journal called this exchange the start of “the dumbest trade war in history.” 

However, Trump didn’t stop there. He then proceeded to announce 25 percent tariffs on all goods from Canada and Mexico. The two recipient countries were quick to respond, with Mexico claiming its intentions to impose retaliatory tariffs and Canada announcing tariffs on American cosmetics, paper products, and beverages, coming out to be an estimated cost of 85 billion dollars for American consumers. However, Trump’s tariff plans for Canada and Mexico will not come into effect until Mar.1.

On Feb. 10, Trump announced a plan to put 25 percent tariffs on all steel and aluminum imports from every country in the world. Trump cited the necessity for an isolationist economy, labeling the move a “time for our great industries to come back to America.” Despite lobbying efforts and support for these moves by American steel industries, the repercussions of such grandiose taxes could short-circuit American and even global manufacturing. For instance, ten percent of the United Kingdom’s steel exports end up in the United States, meaning the tariffs could have devastating impacts on European economies. Furthermore, the increased prices of precious metals across the board could be costly for American markets. Car, food packing, and technology consumers in America could suffer greatly if the prices continue to rise and certain manufacturers suffer from more expensive raw materials.

Trump’s next target is not official, but economists predict that other Asian countries are likely to be next on the list because Asian countries have imposed steeper tariffs on American imports in comparison to those that the US has in place on them. For instance, South Korea has 13.6 percent tariffs on American goods with the American reciprocal being only 1.9 percent. Similarly, India has 10.5 percent tariffs to a measly American 2.7 percent tariff to counter. Vietnam’s cabinet has also started preparing for this scenario. In the past, Trump called Vietnam “almost the single worst abuser” of trade, for Vietnam is one of many countries to take billions of dollars of investment from American trade nemesis China. Although it is almost impossible to predict Trump’s next move, tariffs will certainly become an American normality over the next four years.

(Sources: AP, BBC, CNN, NBC, NY Times, WSJ)