The “mutual” tariff on dozens of countries of US President Donald Trump kicks, slapped Chinese goods with 104% duty and intensified his global trade war – even his administration moves towards talks with many countries.
Sweeping tariff has disrupted a global trading system that was stable for decades, stopping the possibility of recession, and sent the stock markets worldwide in a sharp decline.
Trump’s tariff moves have shocked the global markets, sent S&P 500 to the bear area, and triggers nervousness for already increasing costs between businesses and consumers.
But how did the number really happen so much? The 104% figure is not from a single sweeping order, but is from the sequence of layered duties. Trump started with 10% tariff on Chinese goods in February, which was the country’s role in Phantanel trade, followed by another 10% in March. Then, last week, he added 34% more as part of a broad “mutual” tariff campaign. China’s promise to strike back inspired Trump to deal with an additional 50%, leading to a total of 104%. “These are sewn, excessive sewn deals,” he said. But they are also compounding, and this is the place where mathematics becomes acute.
104% explain mathematics behind tariff
- To understand Trump’s 104% tariff on China, it is important to know that it is not the same flat tax that applies at once – it is cumulative. According to the Wall Street Journal report, the Trump administration here has reached 104% tariff on China:
- February: 10% tariff was imposed on Chinese goods on Phantenal-related concerns
- March: Another 10% added, brought up to 20% total
- Last week: Trump added 34% as part of his “mutual” tariff regime → total now 54%
- This week: China threatens vengeance → Trump reacts with 50% more → Last total: 104%
It is also important to keep in mind: This duty increases at the top of the existing tariff from the first term of Trump and under the biden. Peterson Institute for International Economics estimates that the average tariff rate on 20.8% Chinese goods before Trump’s second term. The WSJ report stated that the effective average tariff rate on sugar imports is at 125%, when you are a factor in previous trade measures, the WSJ report states.
It is not just a headline number – it is a layered financial burden that hits importers, hits waves through supply chains, and eventually increases prices for American consumers. This is why about 75% of Americans hope that according to a Reuters/Ipsos poll, everyday items will become more expensive in the next months. As Trump has carried forward this strategy, mathematics is not just political – it is economic pain, has been multiplied
- Global stock markets are tumbling, price is losing $ 5.8 trillion in price with S&P 500
- Brace for US high prices; 3 in 3 is expected to spend more everyday goods
- Some items are already in transit, exemption has been given till 27 May
- China has vowed to “fight to the end” – more likely to vengeance
(With input from agencies)
