Trump has turned his back! As negotiations with other countries show no progress, Trump has turned his back! On May 17th, Trump stated that the pace of reaching an agreement was too slow. If no consensus is reached, the US will apply standard tariffs, which may be as high as 50%. Within the next two to three weeks, the US authorities will notify countries that have not signed trade agreements with Washington about the tariff amounts required for doing business in the US market.
Therefore, approximately two weeks later, US Treasury Secretary Scott and US Commerce Secretary Howard will begin sending notification letters. It is very clear that so far, only the UK has reached an agreement with the US, and Trump can no longer contain himself. Trump's message is very clear: if many countries do not make concessions quickly and reach an agreement, the US will unilaterally announce the tax rate.
Originally, Trump announced a 90-day grace period, and many countries still harbored侥幸psychology. However, it turns out that before half of the grace period has passed, Trump has changed his stance again. Trump has undoubtedly resorted to his extreme pressure tactics once more. However, through China's interactions with the US, the tougher the US becomes, the better the results will be. Therefore, in the face of US threats, countries should not be intimidated and must not harbor any侥幸psychology, thinking that compromise will let the US go easy on them.
Although countries are reluctant to take sides between China and the US in economic and trade matters, they can fully respond to the US by uniting together. The US can take actions to significantly reduce tariffs on China, which is a clear signal that the US is under immense pressure. If the situation becomes deadlocked, the US stock market, US bonds, and currency markets will cause violent fluctuations, and in fact, the US cannot bear this.
Original source: https://www.toutiao.com/article/1832326384459018/
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