Global trade talks are heating up after President Donald Trump's rollout of sweeping new tariffs

 

Global Trade Talks Heat Up After US Tariffs

Over 50 nations are lining up to start trade talks with the US, following President Donald Trump's rollout of sweeping new tariffs. Top officials, including Treasury Secretary Scott Bessent, defended the levies on Sunday, saying they're a savvy move to reposition the US in the global trade order.

See also:In The United State: Jim Cramer Warns of Impending 'Black Monday' Stock Market Crash Due to Trump Tariffs

Economic Fallout and Market Turmoil

The tariffs have wiped out nearly $6 trillion in value from US stocks, sparking fears of a global trade war and recession. However, Bessent downplayed the stock market drop, citing stronger-than-anticipated US jobs growth. JPMorgan economists estimate the tariffs will result in a 0.3% decline in US GDP, down from an earlier estimate of 1.3% growth.

Tariff Deal-Making

Some nations are already signaling willingness to engage with the US to avoid duties:

• Taiwan: Offered zero tariffs as a basis for talks, pledging to remove trade barriers and increase US investments.

• Israel: Seeks a reprieve from a 17% tariff on its goods during a planned meeting with Trump.

• India: Doesn't plan to retaliate against a 26% tariff, with talks underway for a possible deal.

• Italy: Pledges to shield businesses from a planned 20% tariff on EU goods.

What's Next?

The US customs agents began collecting Trump's unilateral 10% tariff on all imports from many countries on Saturday, with higher rates due to take effect on Wednesday. Meanwhile, White House economic adviser Kevin Hassett denied that the tariffs are part of a strategy to crash financial markets and pressure the US Federal Reserve to cut interest rates.