In an interview with Fox News on Tuesday, Kevin Hasett, director of the US National Economic Council. (NEC), he said they are preparing to present a plan to the US president Donald Trump about “who and when for tariff conversations,” according to Reuters.
Key aspects
“Trump wants a fair and reciprocal trade, it will take it into account when deciding whether he accepts the offers of the countries.”
“Focused as a laser ray in the large business partners who have been giving us commercial deficits for years.”
“The Fed will decide interest rates, we respect independence.
“We are prioritizing commercial partners for conversations.”
Market reaction
Risk flows continue to dominate action in financial markets after these comments. At the time of publication, the S&P 500 index had risen 3.45% in the day, reaching 5,235 points.
FAQS tariffs
Although tariffs and taxes generate government income to finance public goods and services, they have several distinctions. Tariffs are paid in advance in the entrance port, while taxes are paid at the time of purchase. Taxes are imposed on individual taxpayers and companies, while tariffs are paid by importers.
There are two schools of thought among economists regarding the use of tariffs. While some argue that tariffs are necessary to protect national industries and address commercial imbalances, others see them as a harmful tool that could potentially increase long -term prices and bring to a harmful commercial war by promoting reciprocal tariffs.
During the election campaign for the presidential elections of November 2024, Donald Trump made it clear that he intends to use tariffs to support the US economy. In 2024, Mexico, China and Canada represented 42% of the total US imports in this period, Mexico stood out as the main exporter with 466.6 billion dollars, according to the US Census Office, therefore, Trump wants to focus on these three nations by imposing tariffs. It also plans to use the income generated through tariffs to reduce personal income taxes.
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
