Trump launches a targeting plan to countries with “reciprocal” rates

US President Donald Trump has exacerbated plans to affect exports from countries that he believes have commercial policies that are unfair to the United States.

On Thursday, Trump signed a note that instructed staff to develop personalized tariffs for each country, taking into account features such as their existing rates, currency courses, trade balances and other rules.

Drawing up its fears, the White House said that tariffs imposed by other countries are not necessarily the largest issue, separating the European Union to other policies that the Trump administration said US exporters were in a disadvantage.

Although there are big questions about the plans, the message will probably start commercial conversations around the world.

The note signed by the President has asked to report employees of a plan for “reciprocal trade and tariffs” within 180 days.

Trade Secretary Howard Luni said his team would be ready to hand over to the President's plan by April 1.

Trump has cast his plan for so -called reciprocal tariffs as part of his efforts to bring investments in the United States and increase production.

“If you build your product in the United States, there are no tariffs,” he said, adding that he “just does what is fair.”

“In almost all cases, they charge us much more than we charge them, but these days are over,” he said. “That had to be done for a long time.”

In addition to the European Union, Trump's moves are expected to influence trade relations with countries such as India, Vietnam and Thailand, which have relatively higher rates and rely on the United States as a large export market.

Trump signed the note before meeting with Indian Prime Minister Narendra Modi, who has already taken steps to reduce the tariffs on key items such as motorcycles that Trump has made a problem during his first term.

In recent days, employees in Thailand and Vietnam have also said they are reviewing trade with the United States.

Prior to Trump's announcement, the European Union said it was committed to “maintain a close partnership with the US”.

“We will continue to seek constructive engagement,” said Oloff Jill, a spokesman for the Trade Commission. “At the same time, we are ready to protect our interests.”

The tariff is an import tax collected by the government. It is paid by the company bringing the goods.

Countries usually raise tariffs in an attempt to protect certain sectors of foreign competition.

Historically, the United States has supported free trade and retained the greater part of its low tariffs, with the exception of certain products such as shoes and recently, steel and aluminum.

The United States has an average rate of 3.4%, compared to an average percentage of 5% in Europe, according to a hundred.

Determining its plans, the White House indicated objections to tariffs as a 10% tax faced with US cars in Europe, compared to the 2.5% tariff that the United States applies to cars imported into the US.

The White House also said that Brazil charges an 18% tariff for ethanol imports, while the United States charged a 2.5% tariff for the same product.

But Officials Made Clear That The Us Intends to Use Tariffs to Challenge Policies Farther Afield, Citing Concerns About The Digital Services Taxes Many Countries, Including MANY OF WHICH ARE US -BASED – AS Well As Europe's rules on its value added tax (VAT), a type of sales tax.

The message on Thursday comes after a series of moves related to tariffs from the new administration.

Earlier this week, Trump ordered the US to start charging a 25% tax on all steel and aluminum imported to the country, terminating the exemption to countries, including the European Union, the United Kingdom and Brazil. This must take effect next month.

He also raised the tariffs for all goods from China to 10% and threatened to hit imports from Canada and Mexico with a 25% debt, a plan that was detained until March.

Wall Street's shares rose after no immediate tariffs were announced.

John Cassidy, CEO of the Red Cedar Investment Management, said Trump's tariff reports from the speed fire tariffs had been discouraged Wall Street, which “dislikes the unknown”.

But he warned of over -response, noting that the tariffs Trump imposed during his first term had a relatively mild impact on the US economy.

“I think Trump is playing a hand here and I think he has a very strong hand to play.” he said.

Alex Durante, an economist at the Tax Foundation, said it remains to be seen what changes could be the result of Trump's moves.

He does not think that tariffs are the best strategy for dealing with trade complaints, given the costs and uncertainty they introduce to US companies and the risks of revenge.

“I think we are turning to more and more tariffs every week and more escalation of a trade war with other countries,” he said.

He noted that Trump in his first term was moving away from the Trans Pacific partnership, a free trade agreement that was intended to deal with some of these same problems with Asia countries.

“They were open to do this without having to put the United States through more commercial insecurity,” he said.

Trump has rejected concerns about trade security, saying his plans will strengthen US production in the long run.

“What will increase is that jobs will rise,” he said. “Prices can rise somewhat short -term, but prices will also drop.”

But studies show that the US public remains concerned about the cost of living and is not convinced of the benefits of tariffs that economists have warned that they will lead to higher prices for US enterprises and households.

A recent Law School survey Marquette found that only 24% of respondents believe that tariffs would help the US economy, including just under half of the Republicans and only 12% of independent and 4% of Democrats.

“The point is that these tariffs will lead to higher inflation, higher costs for goods,” says Charles Franklin, director of the poll. “The justice argument is probably a good argument for the president, but the price impact is much more difficult to sell.”

Reporting contributed by Tom Espiner