The president has ordered studies to review the rules that have governed U.S. trade policy for decades. Scott Lincicome from the Cato Institute mentioned that these studies are paving the way for possible tariff measures, although he indicated that global tariffs are not as high a priority as had been expected.
In an interview on Tuesday, January 21, Trump mentioned that he is considering imposing a 10% tariff on Chinese imports in retaliation for the flow of fentanyl coming to Mexico and Canada from China. This would represent an imminent shift in trade policy, following the threats made during his first term.
Xiangrong Yu from Citigroup Inc. noted that the negotiations surrounding tariffs are likely to be complex, recalling the previous trade dispute. The administration expects to use tariffs as a source of revenue to support tax cuts and other campaign promises.
On the other hand, Trump signed an executive order to analyze the feasibility of imposing tariffs, especially in the context of trade tensions with China. Although public threats are constant, some analysts consider a less aggressive tone towards China.
The executive order also mentions the possibility of using tariffs for various purposes, including pressuring Russia in the Ukraine war and addressing unfair trade. Although reports on these issues are expected to be submitted before April 1, Trump has not ruled out the possibility of taking action before that date.
In summary, discussions on tariffs and trade policies appear to be evolving, with the threat of potential tariff measures as part of Trump's negotiation and political strategies.
