Donald Trump announced on Friday that formal tariff letters to 12 countries have been signed and will be sent out on Monday, signalling a renewed push for aggressive trade leverage should he reclaim the presidency in November. The move is seen as both a campaign tactic and a warning shot to trading partners around the globe.
Speaking at a rally in Michigan, Trump declared, “We’ve signed the tariff letters. They’re ready to go out Monday morning. Twelve countries. They’re going to pay their share.” Though he did not specify which countries were targeted, insiders suggest the list includes major exporters to the United States, including China, Mexico, Vietnam, India and several European nations.
Trump has long used tariffs as both an economic weapon and a political messaging tool, framing them as a way to protect American industries and reduce trade deficits. During his first term, his administration imposed hundreds of billions in tariffs, most notably against China, prompting retaliation and volatility in global supply chains. Economists remain divided on the long-term impact, but the message to his base is simple: America first, again.
This latest salvo appears to pre-empt the formal start of any new trade negotiations. By publicly announcing the letters before any election result, Trump positions himself as already in motion, bypassing traditional policy processes in favour of decisive executive action. Supporters cheer the directness. Critics warn of renewed global friction, with potential price hikes and retaliation looming.
Markets reacted cautiously. The S&P 500 closed slightly lower on Friday, while US steel and aluminium stocks climbed amid speculation they could benefit from protectionist policies. The dollar remained firm, but exporters expressed concern that foreign retaliation could disrupt overseas demand for US goods.
For US allies, the message is likely unwelcome. European officials have previously indicated they would respond proportionately to any fresh trade restrictions. Asian manufacturing hubs, already recalibrating their dependence on the US market, may accelerate diversification.
The language of the letters, sources say, frames tariffs as “adjustments” necessary to rebalance what Trump calls “unfair trade relationships.” While no formal White House authority accompanies them—Trump remains a candidate, not a president—the move highlights how deeply trade issues will shape his 2024 campaign.
Whether this is a blueprint or a bluff remains to be seen. What’s certain is that Trump is once again making tariffs central to his vision of American economic strength—and this time, he’s laying the groundwork early.
REFH – newshub finance
