Thursday marked the start of President Donald Trump's promised tariff campaign, which resulted in the highest average U.S. tariff rates in over a century as new import tariffs went into effect in over 90 countries worldwide.
Following months of conversations, the comprehensive trade measures, some of tariffs have reach as high as 50%, went into force at midnight.
President Donald Trump, on his Truth Social platform, commemorated the achievement by announcing that "BILLIONS OF DOLLARS IN TARIFFS ARE NOW FLOWING INTO THE UNITED STATES OF AMERICA!"
President Trump has drastically changed America's stance on foreign trade in just six months as president.
The tariff policy reflects his dedication to lower the trade deficit, the difference between American imports and exports, and restore manufacturing jobs to the United States.
Taxes work by imposing fees on American businesses that import items from overseas, which may then be passed on to American consumers.
Trump has created this as a strategy to raise money for the federal government while making foreign countries pay for access to American markets.
"I think the growth is going to be unprecedented," Trump said Wednesday. However, he acknowledged uncertainty about exact revenue figures, saying "we don't even know what the final number is" regarding the rates.
In addition to enacting tariffs, Trump has threatened particular nations.
This week, he warned India that if it doesn't stop buying Russian oil, taxes might go up to 50%.
Pressure is also being used in the technology industry; Trump has threatened to impose 100% tariffs on computer chips manufactured abroad to encourage tech firms to increase their investments in domestic manufacturing.
Although recent trade has demonstrated more steadiness after confusion, the contradictory signals have caused worry in financial markets.
Senator Mark Kelly is among the critics who claim the policies will harm regular Americans.
“Trump is raising your costs. Again," said Kelly on social media.
It will be clear in the upcoming months whether his historic tariff policy will bring about the economic surge he promised or put additional financial strain on American families.
