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5 surprises from Trump's sweeping new tariffs
trump is an idiot and is very bad at math. trump does not understand trade deficits and balance of trade numbers which is why trump keeps claiming that the US is subsidizing Canada. The math behind the trump tariffs is incredibly stupid and simplistic. Again trump is using a stupid formula because he is too stupid to understand the math. This formula is so bad that it made The Hill's list of five surprises
https://bsky.app/profile/uspol.skyfleet.blue/post/3llwojzj7jj24
Link to tweet
https://thehill.com/business/5230679-5-surprises-from-trumps-sweeping-new-tariffs/
The rollout of President Trump’s new reciprocal tariffs included some big surprises, as economists and trading partners sifted through which countries were hit the highest rates, and who was spared.
Questions swirled over the calculations and decision-making process within the White House while administration officials and Republicans hit the airwaves to defend the tariffs, urging investors and the broader public to trust Trump as stocks plunged on Thursday morning......
Unclear calculations
Trump and top administration officials said during Wednesday’s announcement that they calculated individual reciprocal tariff rates using a model that factored both tariff and non-tariff trade barriers.
Several analysts, however, figured out that the White House’s reciprocal tariff rates were calculated by taking the total trade deficit between the U.S. and that nation, dividing it by the total value of U.S. good imports, and then either dividing that number in half or setting the rate at 10 percent.
The White House insists tariff and trade barriers were part of the calculation.
“No we literally calculated tariff and non tariff barriers,” White House spokesperson Kush Desai said on X, which received a community note explaining the formula. X is owned by Trump adviser and close ally Elon Musk.
When pitching the upcoming tariffs, Trump said for weeks they would be reciprocal as a way to create fairness. He argued that countries should be charged what they charge the U.S. on imports.
On a call with reporters just before the announcement on Thursday, White House officials said that the reciprocal tariff rate would be lower and “we’re only charging half because the president is lenient and kind.”
Questions swirled over the calculations and decision-making process within the White House while administration officials and Republicans hit the airwaves to defend the tariffs, urging investors and the broader public to trust Trump as stocks plunged on Thursday morning......
Unclear calculations
Trump and top administration officials said during Wednesday’s announcement that they calculated individual reciprocal tariff rates using a model that factored both tariff and non-tariff trade barriers.
Several analysts, however, figured out that the White House’s reciprocal tariff rates were calculated by taking the total trade deficit between the U.S. and that nation, dividing it by the total value of U.S. good imports, and then either dividing that number in half or setting the rate at 10 percent.
The White House insists tariff and trade barriers were part of the calculation.
“No we literally calculated tariff and non tariff barriers,” White House spokesperson Kush Desai said on X, which received a community note explaining the formula. X is owned by Trump adviser and close ally Elon Musk.
When pitching the upcoming tariffs, Trump said for weeks they would be reciprocal as a way to create fairness. He argued that countries should be charged what they charge the U.S. on imports.
On a call with reporters just before the announcement on Thursday, White House officials said that the reciprocal tariff rate would be lower and “we’re only charging half because the president is lenient and kind.”
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