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U.S. President Donald Trump is preparing to impose a new round of tariffs on imports from around 60 countries as early as this week, despite warnings from administration officials that the move could trigger economic disruption ahead of the U.S. midterm elections, the Financial Times reported.
According to the report, officials have drafted several options as the current 10% baseline tariff is set to expire later this week. The proposed package would introduce tariff rates ranging from 10% to 12.5% on imports from the targeted countries.
Behind the scenes, however, officials have urged Trump to avoid the move, arguing that maintaining stable trade relations and honoring existing agreements would help prevent economic shocks before voters head to the polls.
Officials favor negotiations over new tariffs
Following U.S. investigations into supplies of critical raw materials and aircraft components, Trump's advisers have recommended pursuing negotiations with trading partners instead of imposing additional tariffs.
At the same time, the White House is conducting several other trade investigations that could provide the administration with legal grounds to introduce even higher import duties in the future.
Ongoing U.S. trade investigations
In March, Washington launched investigations under Section 301 of the Trade Act of 1974, as well as a probe into excess manufacturing capacity.
The investigations cover several major trading partners, including:
- the European Union, China, India, and Japan;
- South Korea, Vietnam, Taiwan, Mexico, and Bangladesh;
- Singapore, Switzerland, Norway, Indonesia, Malaysia, Cambodia, and Thailand.
The report follows Trump's recent announcement of a 50% tariff on a broad range of Canadian imports. Those duties are scheduled to take effect 30 days after the announcement, marking another escalation in trade tensions between Washington and Ottawa.
