It is reported that the current talks are to apply tariffs to all countries but only to cover emergency imports. The taxes will only be on certain sectors that are considered essential for national or economic security, according to the report.
The dollar has fallen on the headlines here with USD/JPY falling from 157.80 to 157.40 currently. Meanwhile, EUR/USD is now up almost 1% on the day to 1.0407 right now.
I want to say that this line of thinking has some cachet. But seriously, do you think Trump will talk about such a small game after going big with his threats from last year? Even the latest round of tweets here they don't seem to recommend that.
Therefore, I would not be surprised if he denies or writes over anything that the report here says in due course. As to when the taxes will be implemented, whether or not they will work, that is a different matter. For now, it's about conceptualizing it.
