What effect will it have?
Economists have predicted that higher tariffs could cause consumer prices to rise and US economic growth to decline since Trump first made his commerce strategy public in February.
Following Wednesday’s news, these instructions continued.
According to Tai Hui, chief market strategist for Asia-Pacific at JP Morgan Asset Management, the taxes raise questions about prices and development challenges.
He claimed that as the US struggles to boost manufacturing capacity and supply stores pass on prices to consumers, prices could be a result.
Businesses may delay investing in capital expenses in anticipation of the levies ‘ full impact and possible retaliation from trade companions, he added.
In a March note from DBS Group top economists Chua Han Teng and Radhika Rao, a second-order effect may be felt in Southeast Asia, aside from the direct hit from higher tariffs, in the region’s essential trading partners, China and the US, according to DBS Group top economists Chua Han Teng and Radhika Rao, who wrote in a March note.
Top foreign exchange strategist for the banking group, Philip Wee, stated in a note on Wednesday that the mutual tariffs were “notingly high” for emerging Asian economies.
This sends the message that the US is directly pursuing China, as well as indirectly halting the” China Plus One” method that many businesses use to expand supply chains in order to avoid US tariffs.
But, Mr. Wee claimed that Trump has also shown his willingness to talk through the introduction of what the president has called “discounted” mutual taxes.
When money deception and trade restrictions are taken into account, he referred to them as such because they are also lower than what the US estimates each buying mate has levied on British goods.  ,