The US president signed the executive decree on the imposition of mutual duties on allies and opponents tonight in order to balance the inequalities in trade.
“If they impose us duties or taxes (US products), we will impose exactly the same duties or taxes (on imported products in the US), it is so simple,” Trump said, adding that often that often “US Allies behave worse than our enemies” in the commercial sector.
Speaking to reporters at the Oval Office, Trump said other countries could reduce their duties or even abolish them. The value added tax imposed by some countries will also be considered a duty and will not be accepted to be sent through third country to avoid duties, he added.
Referring to the European Union, he said it has a 20% VAT “and other measures” affecting US companies, putting Apple as an example. He also argued that the airlines asked him to help them with airfare.
When asked if consumers should expect prices rise, he replied “not necessarily”. Immediately afterwards, however, he said that prices “could increase somewhat short -term”, while expressing the belief that jobs would be increased at the same time and reduce interest rates.
The Minister of Commerce Howard Lutnik said the case of each country would be examined separately and is expected that the study will be completed by April 1st.
Trump said the duties in many countries would remain the same today and warned that “there will be no exceptions”.
A White House official also told Reuters agency that the US is hoping to discuss the issue with the affected countries and Trump will be happy to reduce duties, as long as other countries do the same.
