Trump Orders 'Reciprocal Tariffs,' Targeting Trade Deficits

The U.S. president signed a memorandum instructing officials to impose tariffs matching those of trade partners, with a focus on countries with significant trade imbalances.

President Donald Trump has initiated plans for 'reciprocal tariffs,' aiming to match the import duties that other countries impose on U.S. goods.
The policy targets nations with significant trade deficits with the U.S., including Germany and the European Union, which Trump has accused of unfair trade practices.
The memorandum directs a review of trade relationships and calls for country-specific tariff recommendations within 180 days, with potential implementation soon after.
Trump has criticized EU tariffs on U.S. cars and agricultural products, as well as structural barriers like subsidies and regulations, labeling them as discriminatory.
Experts warn that the tariffs could lead to higher consumer prices in the U.S., increased inflation, and potential retaliation from trade partners, escalating global trade tensions.