Trump hints at tariff exemptions, targets foreign cars next
Donald Trump stated that he might exempt several countries from the "reciprocal tariffs" set to begin on April 2. Concurrently, he announced the introduction of new charges on foreign vehicles and semiconductors. Trump also mentioned the alleged decision by the EU to lower tariffs on American cars.
During the announcement of the construction of Hyundai steel plants in Louisiana, the American leader referred to the planned tariffs, which he describes as "reciprocal"—intended theoretically to match the rates used by other countries. When asked about the possibility of some countries avoiding these tariffs, Trump responded affirmatively, stating,— I may give a lot of countries breaks. It’s reciprocal, but we might be even nicer than that. You know, we’ve been very nice to a lot of countries for a long time. — The President considered the Korean corporation's announcement about building plants as proof of the effectiveness of his administration's tariff policy.
Trump described April 2 as the "day of liberation" for the United States, when the country will "finally going to be taking in money." He also announced that in the next few days, he would introduce additional tariffs affecting cars, as well as partially impacting timber and integrated circuits.
Controversies surrounding European tariffs and international reactions
The US President expressed surprise and approval that, due to his actions, the European Union allegedly reduced its tariffs on American cars from 10 to 2.5 percent. This information, however, is not confirmed in reality. While reports of such a proposal to reduce tariffs emerged in the media in February, no formal decision was made, and EU trade commissioner Maros Sefcovic denied ever making such an offer.
Sefcovic, who arrived in Washington on Monday to begin negotiations on the announced tariffs, had previously informed that he proposed to the American side a mutual reduction or total elimination of tariffs on industrial products. Representatives of other countries are planning similar talks in the coming week.
The "Wall Street Journal" and Bloomberg reported on Sunday that Trump's team intends to limit the scope of the announced "reciprocal tariffs," as well as delay the implementation of sectoral tariffs or potentially abandon them altogether. According to the "WSJ," tariffs may be imposed on countries with which the United States has a persistent trade deficit, referred to by Treasury Secretary Scott Bessent as the "Naughty Fifteen." Among these countries are China, the European Union, Brazil, India, and Canada.
