- White House likely to reduce some tariffs and focus on targeted reciprocal taxes
- The tariffs that will go into effect on April 2 will probably not include cars, microchips, and pharmaceuticals
White House is likely to reduce some tariffs and focus on targeted reciprocal taxes, but the tariffs as such will go into effect on April 2 anyway, probably bypassing industrial sectors such as cars, microchips, and pharmaceuticals.
More About the Trump Administration’s Tariff Extension
The trade war is not going to stop yet, but as expected, is becoming more pointed, and according to several publications, we should not wait for the full repeal of tariffs that will come into effect on April 2.
But still, the degree of pressure has gone down a bit, as whole sectors that recently felt under threat may relax a bit, for example, cars, microchips, and pharmaceuticals according to the Wall Street Journal.
This is also indicated by some other publications, for example, Bloomberg reported that the tariffs will be more targeted, and it is likely that these targets do not include the sectors mentioned earlier.
“The administration is now focusing on applying tariffs to about 15% of nations with persistent trade imbalances with the U.S.”
Conclusion
However, as you can see, they all use the word likely, and this is not yet confirmed information. There is not much longer to wait and the markets should react instantly after the final decision. How exactly? It really depends on the mix of sectors that the White House is or is not targeting, and we will find out very soon.
Stay tuned for updates, be adaptive in the rapidly evolving financial and crypto landscape, and keep your strategy grounded, balanced, and beneficial.
