Trump administration: Want tariff reduction? Here's one condition
According to the Wall Street Journal, the Trump administration is seeking to leverage negotiations over tariffs to achieve the following strategic goal.
President Trump and his administration is reportedly using tariff negotiations to try and continue to isolate China, according to a report today (Wednesday) in the Wall Street Journal.
President Trump, who imposed major tariffs on April 2 on all countries based on trade deficit calculations, then changed tack and imposed a minimum 10% tariff on all countries while hiking the tariff on China up to an effective 125%.
According to the Wall Street Journal, the point of this change is to then negotiate with other countries on the basis of isolating China - you reduce your trade with China and refuse to allow your country to serve as a waystation for China to bypass tariffs, and we'll reduce the tariffs on your country.
Israel, one of "over 70 countries" set to negotiate with the United States according to the administration, will have to consider whether it can adhere to these conditions. Israelis orders consumer products from China more than from anywhere else, especially via Temu and Alibaba, according to consumer surveys regularly conducted by Globes. This, at a time when Israel is still dealing with a wartime economy, including stubborn inflation, growing budgets, and overstretched reservists.