Trump's new tariffs are scaring investors and US allies. What the media is writing
On April 2, US President Donald Trump will announce the immediate introduction of new tariffs, while their nature is still being kept secret. This situation has caused tension both among investors and among American allies in Europe. Brussels has already complained that Washington does not want to negotiate on the abolition of duties. What the world media write about this is in the Izvestia digest.
Reuters: Details of Trump's new tariffs are still being worked out
US President Donald Trump is ready to impose large-scale reciprocal duties on global trading partners on April 2, which will reverse decades of rule-based trade, increase costs and likely trigger retaliatory measures from all sides. The details of the tariff plans were still being worked out and kept secret ahead of the announcement ceremony scheduled for 23:00 Moscow time.
Reuters
Trump has been saying for weeks that his reciprocal tariff plans are a step towards aligning the generally lower U.S. tariff rates with those of other countries and countering their non-tariff barriers, which disadvantage U.S. exports. But the format of the duties was unclear amid reports that Trump was considering a 20 percent universal tariff.
A former trade official during Trump's first term said that the president is likely to impose comprehensive tariff rates on individual countries at slightly lower levels. The source added that the number of countries affected by the duties will be about 15. As previously stated by Treasury Secretary Scott Bessent, the US administration has focused its attention on them because of their high trade surplus with the United States.
Financial Times: Investors are on edge over new tariffs
Traders are preparing for the consequences and are afraid to make bold predictions about what tariffs Trump will impose. On April 1, he held hours of discussions with aides, after which there was no sign that the president would abandon his plan to raise tariffs, despite warnings about the consequences for the US economy.
Financial Times
Trump's threats to impose tariffs and subsequent exchange rate changes this year have roiled markets, pushing U.S. stocks lower and putting pressure on the dollar and riskier corporate bonds. On Tuesday afternoon, JPMorgan's fixed income team sent out a message to clients titled "We don't know what tomorrow will bring." They noted that "markets remained tense" ahead of the president's statements.
Trump is expected to impose reciprocal tariffs on goods from U.S. trading partners, but investors are still unsure of their scope. After returning to the White House, he has already announced the introduction of high duties on goods from Canada and Mexico, and then softened his plans. It remains unclear whether he will offer any concessions to the allies and what the ultimate goal of the tariffs is.
The New York Times: Trump's tariffs will cost allies dearly
Political leaders are nervous along with investors, as Trump has made it clear that the tariffs will affect not only opponents such as China, but also countries that until recently were considered America's closest allies in the field of defense and intelligence. Although Trump administration officials calculate the price that consumers will pay, they do not analyze the costs and benefits of the president's actions related to allies.
The New York Times
China said on Sunday that its commerce minister had agreed with Japan and South Korea— two of Washington's most influential allies in the Pacific, on a joint response to Trump's actions. In Seoul, the statement was described as an "exaggerated" version of the discussion about new supply chains. But Beijing clearly wanted to leave the impression that it could work with America's allies if Washington did not.
The imposition of tariffs could ruin all three US alliances: the transatlantic, Trans-Pacific and Canadian. The Signal chat app scandal has shown that Trump and his administration believe that US allies are using them. As a result, NATO countries began to discuss how they should build their security, since the United States can no longer be relied on. This is a breach of trust that seemed almost unthinkable just two and a half months ago.
Politico: Europe faces Trump's indifference over tariffs
When Trump offered Europe to buy more American liquefied natural gas (LNG), Brussels took this as a step towards negotiations on tariff waivers. However, the discussion never started. According to four EU officials and diplomats with knowledge of the situation, negotiators often ran into a wall of bureaucracy and disinterest in Washington.
Politico
Now the American leader intends to introduce large-scale trade barriers in all directions on Wednesday as part of the self-proclaimed "Liberation Day." It was a moment that Europe hoped to avoid by actively offering all kinds of benefits to appease Trump and avoid the economic maelstrom.
The situation is complicated by the fact that the Trump administration prefers to communicate directly with individual EU countries, although Brussels plays a key role in trade policy for its 27 members. In addition to the diplomatic obstacles, many EU countries are already heavily dependent on American LNG and are unable to increase imports. Some climate change-minded members of the bloc have warned that any deal with the United States on fossil fuels will only harm efforts to save the planet.
Bloomberg: half of the Senate supported the introduction of tariffs for trade with the Russian Federation
Half of the U.S. senators, 25 Democrats and 25 Republicans each, supported the imposition of sanctions against Russia if it refuses to negotiate an end to the conflict in Ukraine. The bill drafted by them involves the introduction of 500 percent duties on imports from countries that buy Russian oil, petroleum products, natural gas or uranium.
Bloomberg
According to the bill, the package will also include a number of other restrictions, including a ban on U.S. financial institutions investing in organizations linked to the Russian government and sanctions against any country that has purchased uranium obtained from Russia.
The bill will provoke a serious confrontation with major consumers of Russian resources, such as India and China. It will also put Europe, which is still dependent on Russian natural gas, in a difficult position. The President of the United States will be able to introduce temporary exceptions if it "meets the interests of the national security of the United States."
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