
-
Kenya's economy faces climate change risks: World Bank
-
Countries eye trade talks as Trump tariff blitz roils markets
-
AI could impact 40 percent of jobs worldwide: UN
-
US trade partners eye talks after Trump tariff blitz
-
Dollar, stocks sink as gold hits high on Trump tariffs
-
Trump tariff blitz sparks retaliation threats, economic fears
-
Lessons and liquids: buried alive in Myanmar's earthquake
-
Nintendo Switch 2 sparks excitement despite high price
-
Sri Lanka's crackdown on dogs for India PM's visit sparks protest
-
China vows 'countermeasures' to sweeping new US tariffs
-
Trump jolts allies, foes and markets with tariff blitz
-
How Trump's 'liberation day' tariffs will impact China
-
Europe hits out at Trump tariffs, keeps door open for talks
-
Australia sweats through hottest 12 months on record: official data
-
South African artist champions hyenas in 'eco-queer' quest
-
Taiwan says US tariffs 'highly unreasonable'
-
Trump escalates trade war with sweeping global tariffs
-
China says opposes new US tariffs, vows 'countermeasures'
-
Quake-hit Myanmar's junta chief to head to Bangkok summit
-
New Spielberg, Nolan films teased at CinemaCon
-
Shiny and deadly, unexploded munitions a threat to Gaza children
-
Stocks tank, havens rally as Trump tariffs fan trade war
-
Financial markets tumble after Trump tariff announcement
-
Europe riled, but plans cool-headed response to Trump's tariffs
-
'Shenmue' voted most influential video game ever in UK poll
-
Revealed: Why monkeys are better at yodelling than humans
-
Key details on Trump's market-shaking tariffs
-
US business groups voice dismay at Trump's new tariffs
-
Trump sparks trade war with sweeping global tariffs
-
US stocks end up, but volatility ahead after latest Trump tariffs
-
Boeing chief reports progress to Senate panel after 'serious missteps'
-
Is Musk's political career descending to Earth?
-
On Mexico-US border, Trump's 'Liberation Day' brings fears for future
-
Tesla sales slump as pressure piles on Musk
-
Amazon makes last-minute bid for TikTok: report
-
Tesla first quarter sales sink amid anger over Musk politics
-
World's tiniest pacemaker is smaller than grain of rice
-
Nintendo says Switch 2 console to be launched on June 5
-
Certain foreign firms must 'self-certify' with Trump diversity rules: US embassies
-
Nigerian president sacks board of state oil company
-
Heathrow 'warned about power supply' days before shutdown
-
Epstein accuser Virginia Giuffre 'stable' after car crash
-
Swedish insurer drops $160 mn Tesla stake over labour rights
-
Stock markets mixed as uncertainty rules ahead of Trump tariffs
-
Warner showcases 'Superman' reboot, new DiCaprio film
-
Asian markets edge up but uncertainty rules ahead of Trump tariffs
-
UK imposes online entry permit on European visitors
-
How a Brazilian chief is staving off Amazon destruction
-
Brazil binman finds newborn baby on garbage route
-
Trump set to unleash 'Liberation Day' tariffs

Trump's return threatens resurgence of trade wars
Donald Trump's second presidential term promises a return to tariffs as he pressures partners and rivals to tackle everything from migration to drug trafficking, while protecting US industries -- in moves that could trigger new trade wars.
Even before taking office, Trump has raised the prospect of fresh levies on companies, countries and groups of states as he seeks to implement his agenda.
He has vowed tariffs on Mexico, Canada and China until they crack down on fentanyl and border crossings, and he threatened "economic force" against Ottawa after suggesting Canada should become the 51st US state.
Trump also warned of 100 percent tariffs on BRICS nations -- a bloc including Brazil, Russia, India, China and South Africa -- if they create a rival to the US dollar.
New trade wars could rock the global economy, worsen tensions with Beijing and upend ties with allies.
US manufacturers, farmers and small business owners await his first moves, girding for higher import costs on anything from batteries to wines, while bracing for retaliation.
"I'm not necessarily against all tariffs," said Mark Pascal, a restaurant owner based in New Jersey.
He said he understands the rationale of taxing a country that unfairly suppresses prices.
But "we're concerned about any tariff that would apply broadly to wine and spirits, which is an industry that is not unfairly competing in any way," added Francis Schott, who co-runs restaurants with Pascal.
Trump introduced a range of duties in his first term, including on steel and aluminum, and on Chinese imports as he waged an all-out trade war on the world's second biggest economy.
In 2019, he imposed tariffs on European food and drinks as Washington and Brussels clashed over aviation subsidies.
While these were later suspended, restaurateurs worry their return would batter small establishments.
"It raised our costs, so it raised our prices," said Pascal.
- Global impact -
Trump has used tariffs as a bargaining tool and will probably do so again, said Joshua Meltzer of the Brookings Institution.
But China is signaling pushback and Europe is more prepared policy-wise, he told AFP.
Governments appear to have "reached a similar conclusion that they are better off threatening retaliation at least at this stage, rather than capitulating," Meltzer added.
EY chief economist Gregory Daco warned that tariffs and other measures could tip the world economy into stagflation -- stagnation with elevated inflation -- if pursued to their fullest.
Trump's other promises include an across-the-board levy of 10 percent or more, with a steeper rate on China.
- Growth risks -
Domestically, Trump has touted tariffs as a means to protect US manufacturing, coupled with policies like tax cuts and deregulation that he says will spur growth.
His Treasury secretary nominee Scott Bessent said in a November interview that tariffs would not be inflationary even if there were a "one-time price adjustment."
But Daco estimates higher import costs could lift consumer price inflation by 1.2 percentage points after a year.
"The long-run impact is that it shrinks the US economy and it reduces the value of our incomes," said Erica York of the Tax Foundation.
While the Congressional Budget Office estimated a uniform 10 percent hike and added 50 percent on Chinese goods would slash deficits, this could also lower real GDP.
- Emergency? -
Analysts expect Trump could implement tariffs quickly using the International Emergency Economic Powers Act.
This allows the president to regulate imports during a national emergency, although it could be hindered by lawsuits.
A tried-and-tested method would be the trade law, with Trump previously using Section 301 as justification for tariffs.
But this takes more time as it calls for a government probe.
He could also use Section 232 of the Trade Expansion Act to hike tariffs on goods with national security implications.
L.K.Baumgartner--CPN