The April 2 tariffs which President Trump delayed by 90 days seek to establish trade barrier reductions yet his demands encompass currency rates and agricultural rules and taxes and regulations which make negotiations more complex. The looming 10-50% tariffs (145% tariffs against China are already active) give countries three months to meet Trump’s expectations although many nations struggle to understand his demands.
The president accuses China Germany and Japan of using currency devaluation to increase their export levels even though Japan has experienced rising interest rates and the euro has strengthened. The U.S. potato growers want access to a $150 million market but face domestic opposition against Japan’s potato import restrictions and Korea’s beef age regulations. The EU has declared value-added taxes (VAT) non-negotiable because Trump fails to recognize their trade-neutral characteristics and more than 170 countries use VAT.
Vice President JD Vance reported that India agreed to start negotiations yet other countries face challenges in establishing clear terms. The White House pursues three main objectives through their trade negotiations which include generating revenue and restoring U.S. manufacturing capabilities and obtaining access to foreign markets. Trade expert Jaemin Lee described VAT demands as unconventional because they relate to national sovereignty. The wide scope of Trump’s approach to trade negotiations puts the country at risk of enduring extended trade conflicts and economic difficulties.
