by Michael Snyder, The Economic Collapse Blog:
The global trade war is officially heating up. President Trump just unveiled a series of tariffs that were higher than expected, and business leaders all over the world are absolutely stunned. For many of those that have made a killing importing goods into the United States, their businesses have now been ruined. For many of those that manufacture their goods right here in the United States, President Trump’s tariffs are very welcome news. The tariffs that Trump has just announced will go into effect right away, and stock futures are plunging as I write this article. During the economic chaos that is ahead, there will be winners and there will be losers. But without a doubt, the global trade war that has now fully erupted will certainly be an enormous shock to the global economy.
TRUTH LIVES on at https://sgtreport.tv/
It is being reported that Trump’s plan includes a 10 percent baseline tariff rate and “additional reciprocal tariffs” on dozens of nations that have been imposing very high tariffs on U.S. imports…
President Donald Trump announced sweeping 10% tariffs on imports from all countries on Wednesday, fulfilling a pledge to retaliate against countries he says have treated the U.S. unfairly.
Trump is also imposing additional reciprocal tariffs on goods from 60 countries that are the largest contributors to the U.S. trade deficit. The rates of the targeted tariffs will be set at half the rates these countries charge on U.S. exports, Trump said from the White House while holding up a list of dozens of countries that included Japan, Taiwan, India and others.
I think that it makes sense that if other countries are hammering us with ridiculously high tariffs they should expect to get hammered with ridiculously high tariffs in return.
President Trump insists that the U.S. “has been looted, pillaged, raped and plundered by nations near and far” for far too long…
“My fellow Americans, this is Liberation Day,” Trump said during the Rose Garden ceremony attended by Vice President JD Vance, Cabinet members and Meta CEO Mark Zuckerberg. “For decades, our country has been looted, pillaged, raped and plundered by nations near and far, both friend and foe alike.”
Trump is quite right about that.
We have been getting abused by other countries, and it needs to stop.
But there is no doubt that these new tariffs will hit our standard of living extremely hard.
CNBC has confirmed that the 34 percent reciprocal tariff on Chinese imports will be on top of the 20 percent tariff that has already been imposed on Chinese imports…
The White House clarified to CNBC’s Eamon Javers that the tariff rate on Beijing comes in addition to existing 20% tariffs on Chinese imports, meaning the true tariff rate on China is 54%.
For a moment, I want you to think about all of the products that are “made in China” that fill up the shelves at Walmart, Target and our dollar stores.
Now a whopping 54 percent tariff will be imposed on those products as they enter the United States, and the companies that sell those products will have to pass that cost along to the rest of us.
So thousands upon thousands of products that we all purchase on a regular basis are about to get much more expensive.
It will be an epic inflationary shock, and those on the lower levels of the economic food chain will feel the most pain.
On the flip side, there is some good news.
Read More @ TheEconomicCollapseBlog.com
Originally Posted at https://www.sgtreport.com