Taxes targeted at allies and partners

Hạ Lang |

US President Donald Trump has stepped up the trade clash with US allies and partners around the world by deciding to impose a 25% trade protection tariff on foreign cars exported to the US.

This tariff policy of Mr. Trump is still in the same line of thinking and calculation of Mr. Trump considering trade protection tariffs as a "weapon" to help him solve all the problems that are facing the United States, thereby helping him achieve the goal of making the United States great again. But it has its own very special nature when it is only aimed at cars imported to the US market. Only certain US allies and partners have this export item in the US market, so Mr. Trump's protectionist tariff is calculated and implemented mainly against them, if not to say that in fact it is only against them.

Statistics in the US show that half of the cars sold in the US market are manufactured inside the US and the rest are imported. Canada and Mexico, two US neighbors and the US, have signed free trade agreements, accounting for half of the number of cars imported to the US. Other partners exporting cars to the US are Japan, South Korea, Germany, France, Italy and the UK. All are traditional strategic military allies of the United States or long-standing important economic and trade partners of the United States. All have vowed to respond strongly. The trade momentum between the US and these countries will therefore increase drastically and uncompromisingly.

Two things can be seen from this new tariff policy of Mr. Trump. First, Mr. Trump prefers to use trade protection tariffs in office, so he will use them more regularly and more extensively. Second, in this matter, it seems that the closer it is to its allies and partners, the more US trade protection tariffs will be imposed.

Hạ Lang
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