😱 A dark day for global trade! On August 7, the U.S. slapped hefty new tariffs on dozens of partners, driving the average import duty to around 17% — the highest since the 1930s.
Why It Matters
Tariffs now range from 10% up to 50%, with India and Brazil hit hardest, Canada at 35% and Switzerland at 39%. Before shoppers switch to cheaper goods, Yale University data shows the effective rate peaked at 18.3%, settling at 17.3% after substitutions. Ouch! 💸
Impact on Your Wallet
Expect prices to rise: consumer costs could jump by about 1.8%, wiping out the equivalent of nearly $2,400 per household in 2025. Bloomberg’s Maeva Cousin warns U.S. GDP may slip by 1.8% while core inflation climbs 1.1% over the next few years.
Global Reactions
Not everyone’s cheering. India condemned the move as unfair, Brazil’s president refused to give in, and EU leaders slammed last-minute deals as unbalanced. It’s a showdown that could reshape global markets. 🌍
The Road Ahead
With higher costs, strained ties, and economists warning of slower growth, this tariff spike feels like a plot twist in your favorite drama. Stay tuned — the next chapter is just beginning!
Reference(s):
'Dark day' for trade as U.S. raises tariffs to historic highs
cgtn.com
