Trump's Shift to Reciprocal Tariffs

President Trump announced plans to implement reciprocal tariffs where the U.S. will charge the same tax on imports as other countries charge on American goods. This announcement reflects a significant shift in U.S. trade policy aimed at addressing long-standing tariff imbalances, such as the U.S. charging 2.5 percent on ethanol while Brazil charges 18 percent. Trump emphasized that this approach aims to level the playing field, encouraging other countries to lower their tariffs on U.S. exports. The intention behind this move is not to raise costs immediately but to give countries time to negotiate better terms with the U.S.