President Donald Trump's trade policy announcement has created uncertainty in the market. The White House confirmed the unveiling of the tariff package. Reports suggest consideration of tariffs on imports entering the U.S.
Economists and market analysts are concerned about the potential impact of these tariffs. Some fear that imposing tariffs on countries with which the U.S. has a trade deficit could significantly impact economic growth and inflation. Wall Street anticipates clarity but remains skeptical about the long-term effects.
The largest trade deficits held by the United States in 2024 were with China, Mexico, Vietnam, Ireland, and Germany.
These tariffs could disrupt supply chains, raise costs for businesses, and drive up consumer prices. Certain sectors of the U.S. economy will be hit particularly hard, including the automotive, energy, and food sectors.