Donald Trump Says Reciprocal Tariffs Will Cover All Nations And Not Just Some Target Countries

The announcement marked a departure from earlier expectations that the policy would focus on 10 to 15 nations with the largest trade deficits with the United States.

Despite the administration’s justification, concerns over escalating trade tensions have rattled financial markets.

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US President Donald Trump confirmed on Sunday that the sweeping tariff measures set to be unveiled this week will apply to all countries, not just a select group with significant trade imbalances.

The announcement marked a departure from earlier expectations that the policy would focus on 10 to 15 nations with the largest trade deficits with the United States, reported Reuters.

"You'd start with all countries," Trump told reporters aboard Air Force One. "Essentially all of the countries that we're talking about."

The president is scheduled to officially announce the details of the tariff package on Wednesday, a day he has referred to as "Liberation Day." This move follows earlier tariffs imposed on aluminium, steel, and automobiles, as well as increased duties on all Chinese imports.

White House economic adviser Kevin Hassett previously suggested that the administration’s tariff strategy would focus on a limited group of countries with the worst trade imbalances. However, he did not specify which nations were under consideration.

Notably, the American president views tariffs as a means to shield the domestic industries from what he perceives as unfair foreign competition. He also framed them as a negotiating tool to secure more favourable trade agreements for the US.

Despite the administration’s justification, concerns over escalating trade tensions have rattled financial markets. Investors fear that retaliatory actions from other countries could trigger a broader economic downturn in the US.

Trade Policy Shifts and Future Considerations

In February, Trump signed a memorandum directing US trade representatives to develop a country-specific list of countermeasures. This approach aimed to ensure that US tariffs would directly correspond to those imposed on American exports by other nations.

Last week, Trump hinted at potential adjustments to the proposed tariff plan, suggesting that in some cases, the US might opt for lower tariffs than those levied by other countries. The final structure of the tariffs will become clear when the official announcement is made later this week.