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US President Donald Trump is likely to sign an executive order imposing “reciprocal tariffs” on other countries, just hours before meeting Prime Minister Narendra Modi on Thursday, news agency AFP reported.
This move could escalate trade tensions globally.
These reciprocal tariffs would be applied to goods from countries that have imposed import duties on US goods.
“I do believe it will come before the Prime Minister’s visit tomorrow, and I will let the President discuss the details on the reciprocal tariff front, but this is something he believes strongly in,” White House Press Secretary Karoline Leavitt said during a press briefing.
Leavitt emphasised that other nations had been “ripping off America” after introducing such measures.
An eye for an eye, a tariff for a tariff
Earlier this week, Trump said, “It’s time to be reciprocal. You’ll be hearing that word a lot. Reciprocal. If they charge us, we charge them.”
During the presidential election campaign, Trump had said that he would implement a policy of “an eye for an eye, a tariff for a tariff, same exact amount.”
Modi in Washington
Prime Minister Narendra Modi is on a two-day visit to the United States, where he is set to meet with President Donald Trump to strengthen bilateral relations.
The leaders are expected to discuss key issues, including trade, energy, technology, and immigration. A joint press conference is scheduled for Thursday.
During his visit, PM Modi has met with US Director of National Intelligence Tulsi Gabbard.
Trump’s Tariff war
Just days after assuming office, he signed executive orders on February 1, imposing a 25 per cent tariff on imports from Canada and Mexico, and a 10 per cent tariff on Chinese goods.
The imposition of tariffs from Washington has brought both China and the US to the verge of a trade war. China imposed retaliatory tariffs on the US and ordered a probe against Google’s parent company Alphabet.
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