The US is set to unveil a sweeping tariff plan, dubbed “Liberation Day,” on April 2. This move aims to rebalance trade relationships with partners worldwide. President Donald Trump’s plan will take effect immediately after its announcement at 4 pm ET.
Trump said he’s finalized his comprehensive tariff plan to counter what he sees as unfair trade practices. His press secretary, Caroline Levitt, confirmed the president met with his trade team to discuss details. The plan’s size and scope remain unclear, but it may include a 20% tariff on all imported goods.
The “Dirty 15” countries, which have significant trade deficits with the US, might be the first to face these tariffs. These countries include Argentina, Australia, Brazil, Canada, China, the EU, India, Indonesia, Japan, Malaysia, Mexico, Russia, Saudi Arabia, South Africa, Switzerland, Taiwan, Thailand, Turkey, the UK, and Vietnam.
Trump stated that the tariff numbers will be lower than what other countries charge the US. This suggests a broad, encompassing approach rather than extremely high tariffs. The total value of US imports is around $3.3 trillion.
Mark Zandi, chief economist at Moody’s Analytics, warned that a 20% tariff could lead to 5.5 million job losses, a 7% unemployment rate, and a 1.7% decrease in GDP, causing a severe economic downturn.
The White House has downplayed concerns about market volatility, citing the resilience of Wall Street. Levitt expressed confidence in the president’s advisors, saying they won’t make mistakes and the plan will work.
