US President Donald Trump announced during the Asian negotiation hours Thursday of “a big press conference (Thursday) tomorrow morning at 10:00 am (14 GMT) at the Oval Office. Concerning a major trade agreement with representatives of a large and highly respected country. ”
Trump added: “The first of many.”
Market reaction
The US dollar index was little impressed by these comments and was last seen a merchant 0.14% less during the day at 99.78.
FAQ prices
Prices are customs duties levied on certain imports of goods or in a product category. The prices are designed to help local producers and manufacturers be more competitive on the market by providing a price advantage compared to similar products that can be imported. Prices are widely used as protectionism tools, as well as commercial barriers and import quotas.
Although prices and taxes both generate government income to finance public goods and services, they have several distinctions. The prices are prepared for the port of entry, while taxes are paid at the time of purchase. Taxes are imposed on taxpayers and individual companies, while prices are paid by importers.
There are two schools of thought among economists concerning the use of prices. While some argue that prices are necessary to protect national industries and approach commercial imbalances, others see them as a harmful tool that could potentially generate long-term prices and lead to harmful trade war by encouraging the tariffs of Tit-For-Tat.
During the presidential election in November 2024, Donald Trump clearly indicated that he intended to use prices to support the American economy and American producers. In 2024, Mexico, China and Canada represented 42% of the total American imports. During this period, Mexico stood out as the best exporter with $ 466.6 billion, according to US Census Bureau. Consequently, Trump wants to focus on these three nations during the taxation of prices. It also plans to use the income generated through prices to reduce individual income taxes.
