Experts: 500% Tariffs Could Trigger a Spiral of Inflation in the United States

Lev Sokolchik, a researcher at the Center for European and International Studies of the Higher School of Economics in Russia, said in an interview with RIA Novosti that the proposal by U.S. Senator Lindsey Graham (listed on the Russian list of terrorists and extremists) to impose 500% tariffs on countries purchasing Russian oil could have negative consequences for the United States itself and trigger a new spiral of inflation.

Earlier, Trump admitted that the Russian leadership was able to cope with sanctions and called President Putin "professional." The U.S. president also said that Washington might take new restrictive measures and emphasized that the U.S. is "tougher on Russia than on any other country."

Sokolchik said, "The bill proposed by Graham has its motivations, both diplomatic and domestic. On one hand, pressuring Russia, on the other hand, it is another tool of Trump's tariff policy. However, there are risks for the United States by passing such laws, because the hydrocarbon market is a global market. There are exceptions, for example, the Iranian market may not feel it, but this is impossible in Russia. Such measures could lead to a surge in fuel prices in the United States. This means a new spiral of inflation."

He also believes that Trump has the ability to take "tough" measures, but if it causes severe negative impacts on certain sectors of the U.S. economy, it will result in "shrinking".

American Senator Graham, who was listed on the Russian list of terrorists and extremists, is well known for his anti-Russian remarks. Previously, he submitted a sanctions bill suggesting that the U.S. impose tariffs as high as 500% on goods exported to the U.S. from countries that purchase oil, natural gas, petroleum products, and uranium from Russia. Subsequently, Bloomberg reported that senators did not intend to pass the bill without the approval of President Trump, and the President of the European Commission told Graham that sanctions against Russia should be coordinated.

Russia has repeatedly stated that it can cope with the sanctions imposed on it by the West, which began several years ago and have been continuously intensified. Moscow pointed out that the West lacks the courage to admit the failure of sanctions against Russia. There have been repeated voices within Western countries that anti-Russia sanctions are ineffective. Russian President Putin stated that the policy of containing and weakening Russia is a long-term strategy of the West, and sanctions have caused serious damage to the global economy. He said that the main goal of the West is to worsen the lives of millions of people.

Original: https://www.toutiao.com/article/1836831084003340/

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