From Canada’s frustration to Thailand’s praise, nations respond to Trump’s adjusted tariffs with hope, concern and fresh negotiations.
Some nations reacted with relief on Friday after US President Donald Trump announced tariffs that in some cases were lower than threatened, and delayed by a week to August 7.
But others – including Switzerland and chip powerhouse Taiwan – still hope to negotiate lower rates, while uncertainty remains over trans-shipments and levies on Japanese cars.
Trump’s announcement does not cover export giant China – currently in negotiations on a trade deal ahead of an August 12 deadline.
Here is how some other economies reacted:
Canada: ‘Heavily impacted’
Canada’s Prime Minister Mark Carney said his government was “disappointed” by Trump’s decision to increase US tariffs on Canadian goods to 35%.
Trump’s order cited Canada’s failure to stop fentanyl entering the United States. Carney outlined Ottawa’s efforts to crack down on fentanyl and to increase border security.
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He said sectors of Canada’s economy including lumber, steel, aluminium and automobiles were “heavily impacted by US duties and tariffs”.
Switzerland: Negotiations
The government of Switzerland – a major US trading partner – expressed “great regret” at the 39% tariff rate, despite its “very constructive position” in talks.
It said it “still hopes to find a negotiated solution” to the dispute over the US trade deficit with Switzerland.
South Africa
South Africa will use the week-long delay of 30% tariffs to “negotiate as strongly and as hard as we can” to avoid the penalty and save jobs, President Cyril Ramaphosa told reporters.
South Africa has offered to import liquefied natural gas and some US agricultural products, the trade ministry said this week.
It said South African firms have also committed to investing in US mining and metals-recycling industries and to pursuing joint investment in critical minerals, pharmaceuticals and agri-machinery.
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Thailand: ‘Major success’
The 19% levy for Thailand and Cambodia – fresh from border clashes that killed over 40 people- is a let-off from the threatened 36%.
Thailand called it a “major success” and a “win-win approach aimed at preserving Thailand’s export base and long-term economic stability”.
Cambodia: ‘Best news’
Cambodian Prime Minister Hun Manet, called it “the best news for the people and economy of Cambodia to continue to develop the country”.
The major manufacturer of low-cost clothing for Western brands was initially menaced with a tariff of 40 percent.
Taiwan: Still pushing
Taiwanese President Lai Ching-te called its 20% tariff “temporary with the possibility of further reductions should an agreement be reached”.
The US president had threatened to hit the island with a 32% tax and possible separate duties on the island’s huge semiconductor shipments.
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Washington “needs Taiwan in supporting resilient supply chains in supporting manufacturing and some high-end technologies”, Vice-President Hsiao Bi-khim said recently.
Japan: Car confusion
A tariff of 15% agreed last week between Japan and Washington- down from a threatened 25% – is due to be applied from August 7.
But Japanese auto exports were already being hit by a 25-percent rate, and Tokyo wants to know when this will be lowered too.
“We continue to urge the US to take prompt measures to implement the agreement, including lowering tariffs on automobile and auto parts,” Prime Minister Shigeru Ishiba said on Friday.
Confusion also surrounds Trump’s claim that Japan – as a “signing bonus” – will invest $550 billion in America, which will recoup 90% of the profits.
Malaysia: ‘Positive outcome’
Malaysia also achieved a lower tariff of 19% – down from 25% – which the government called a “positive outcome”.
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“This decision by the United States reflects the strong and enduring economic ties between our two nations,” Trade and Industry Minister Zafrul Abdul Aziz said.
Sri Lanka: ‘Happy’
Sri Lanka also expressed relief that it will face a 20% hit, a sharp reduction from the 44% originally floated, and expressed hope of a further cut.
“We are happy that our competitiveness in exports to the US has been retained,” finance ministry official Harshana Suriyapperuma told reporters.
Around 40% of Sri Lanka’s $5 billion of garment exports last year went to the United States.
– By: © Agence France-Presse
