President Donald J. Trump has authorized new executive action aiming to improve the economy of the United States. According to AP News, he has marked April 2nd as “Liberation Day”, where he will announce a new line of tariffs on foreign goods. This will be a continuation of the President’s mission to lessen trade inequality and increase domestic manufacturing.
White House press secretary Karoline Leavitt said plans will be announced to major trading partners on April 2nd, and more information will be announced by the president. Little information has been released as to what this plan will entail. On February 13th, President Trump announced the “Fair and Reciprocal Plan” which plans to correct unfair trading tariffs set by other countries. Economists are conflicted whether “Liberation Day” will include reciprocal or universal tariffs.
In the details for the “Fair and Reciprocal Plan,” the White House website features countries who do not impose fair taxes on the United States. It is assumed that President Trump will impose “reciprocal taxes” on these countries to level the playing field. For example, the website claims that the United States tariff on Indian motorcycles is 2.4%, however the Indian tariff on U.S motorcycles is 100%. Because of this, President Trump has already spoken about imposing taxes on India, Brazil, and many other countries according to AP News.
Peter Navarro, a White House trade advisor, claims on Fox News Sunday that the unreleased plan will contribute 600 million dollars to the United States economy a year.
However, many Americans are concerned that these tariffs will raise costs for everyday items and larger purchases, such as a vehicle. When Navarro was asked about this, he replied, we must “trust in Trump” and understand that “foreigners are going to eat most of it”.
But everyday Americans are not the only ones concerned about this plan. Economists are concerned that these surging tariffs could cause the United States to enter a recession, according to CNN.
The full tariff plan will be announced at 4pm on April 2nd and will be effective immediately, according to CNN. Only time will tell what these tariffs mean for the economy and the lives of Americans.
Sources: AP News, CNN, Fox News, White House Website
Kara Hopkins
News Editor
