July 31 (UPI) — President Donald Trump formalized his reciprocal tariffs policy on Thursday, imposing stiff levies on dozens of nations while making good on his promise to use the economic measure to try and balance what he sees as negative trade deficits with U.S. trading partners.
The American president signed an executive order putting a 10% tariff on most trading partners, aside from a handful with whom recent deals have either been made with or are pending.
Trump has long turned to economic tariffs as a bargaining tool, both as a negotiation tactic and as an attempt to spur the domestic manufacturing industry. Since returning to the White House in January, the New York real estate mogul has railed against trade deficits, often framing them as examples of trading partners taking advantage of the United States.
The executive order was signed hours before a White House-imposed deadline for other countries to finalize deals with the United States, while delaying the imposition of the tariffs until Aug. 7. It also permits goods loaded onto shipping vessels prior to Aug. 7 that arrive in the United States before Oct. 5 to be exempt from the levies.
White House press secretary Karoline Leavitt told reporters during a press conference held Thursday, before the executive order was announced, that the sweeping tariffs apply to all trading partners who have not fashioned “bespoke” deals with the president.
“We promised that the president would negotiate with countries all around the world to cut tailor-made trade deals depending on those countries’ challenges, how badly they’ve ripped off the United States of America and our manufacturing industry and our workforce in the past,” she said.
Countries facing the highest levies under the executive order are Syria at 41%, Myanmar and Laos at 40% and Switzerland at 39%.
Earlier Thursday, Trump announced he was pausing plans to place tariffs on Mexico for 90 days to allow negotiations to progress.
On Wednesday night, he threatened ongoing trade negotiations with Canada over Ottawa’s decision to recognize a Palestinian state. Canada is set to see its tariff go from 25% to 35%.
Recent deals have also been reached with South Korea, the European Union, Britain, Japan and others.
It also comes on the heels of Trump slapping a 40% tariff on Brazilian goods over its prosecution of his ally, former far-right President Jair Bolsonaro, for a total of 50%.
“We have never had a president who wields the full power of the United States to negotiate good deals for our country and its people like President Trump,” Leavitt said.
“This is what maximum leverage looks like.”