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An overview of US reciprocal tariffs
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You are now reading:
An overview of US reciprocal tariffs
The 2 April “Liberation Day” tariff announcement by US President Trump, was more significant and broad-based than projected. A 10% baseline tariff is imposed on all imports to the US, effective 5 April. Additional reciprocal tariffs are also imposed on several economies as well as the EU. This has realised our pessimistic case of trade scenarios and materially impacted our growth and inflation outlook for the US.
For Asia, there will be negative implications for growth in 2025 and beyond, given the high tariff rates and especially on export-oriented economies. The potential for growth downgrade will likely range between -0.4 and -1.0 ppts if no further improvements in the tariff situation.
Source: The White House, US Census Bureau, CEIC, Global Economics & Markets Research
Suan Teck Kin
Head of Research
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Alvin Liew
Senior Economist
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Tan Lena
Business Data Designer
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