Former US Treasury Secretary: "Trump's Tariffs Have a Huge Negative Impact on the Economy!"
On May 3, South Korean media Newdaily published an article stating that former US Treasury Secretary Yellen warned that Trump's tariff policies would have a huge negative impact on the economy. In particular, she is concerned that this may shrink the activities of enterprises relying on China's core minerals, thus disrupting related industries such as clean energy.
Recently, in an interview with the British Financial Times, former US Treasury Secretary Yellen said, "Trump's tariff policies will have a huge negative impact on America's competitiveness, consumers, and companies dependent on imported inputs, about 40% of US imports are inputs for domestic production."
Inputs refer to raw materials or components required to manufacture final products.
Yellen specifically pointed out that tariffs may cause problems for America's clean energy industry. She said, "Most key minerals for clean energy technology, batteries, etc., are heavily reliant on China. High tariffs on these products could have adverse effects on related industries."
She also added, "While it cannot be concluded that a recession will occur, the possibility has clearly increased."
Yellen proposed, "We should implement very limited and targeted tariff policies."
Yellen once served as Chairman of the Federal Reserve under the Obama administration and as Treasury Secretary under the Biden administration.
Source: https://www.toutiao.com/article/1831100770126218/
Disclaimer: The article only represents the views of the author.