According to President Trump’s trade adviser and the National Economic Council, the newly introduced tariff rates are not expected to shift much, despite potential market disruptions being downplayed.
“Many of these fees are based on transactions,” U.S. Trade Representative Jamieson Greer remarked on CBS News’ “Face the Nation” on Sunday. “Some transactions are already public; others remain undisclosed, and some depend on our trade deficit or surplus with specific countries.”
He added, “I believe the tariff rates are mostly established, and it’s likely that we’ll see considerable activity around them.” Greer mentioned that they are currently examining the broader framework of the President’s tariff approach.
Initially, Trump set a 10% base tariff rate impacting nearly all nations, later supplementing it with customized rates announced on April 2nd.
After a frantic market response, he decided to pause the enforcement of these tariffs to create space for negotiations.
Kevin Hassett, the director of the National Economic Council, suggested that the risk of a market crash is limited this time since “the market is aware of our actions.”
Hassett stated on NBC’s “Meet the Press,” “I don’t believe that will happen since these are the final arrangements.”
In the wake of “Liberation Day,” Trump’s team made progress in negotiations with several countries, including the EU, the UK, Vietnam, and others.
“We have deals covering approximately 55% of the world’s GDP with major trading partners like the EU and Japan,” noted Hassett. “The rates are effectively locked in.”
He mentioned that for transactions still pending, mutual fees would be established soon, with hopes for ongoing negotiations with those nations.
Last week, Trump’s administration unveiled a revised set of custom tariff charges affecting various countries after delaying the initial “liberation day” tariffs.
The newly established tariffs range from 10% to 40% and are set to take effect on August 7th as per Trump’s executive order.
In a related note, Trump is anticipated to end negotiations on August 12th, giving Russia until August 8th to enact secondary tariffs or sanctions regarding oil purchases from Moscow before severing its deal concerning Ukraine.
“Trade ministers are eager to discuss how they can interact differently with the U.S.,” Greer commented, adding that they are still essentially outlining the president’s tariff strategy at this stage.
Additionally, Trump faces legal scrutiny over the legitimacy of his tariffs, with a U.S. court of appeals set to review the administration’s defense on this issue shortly.
Although the president invoked emergency powers to impose significant tariffs, there remain unresolved legal questions about the extent of that authority.
