President Trump has imposed a new 10% tariff on all imported goods from New Zealand after making announcements today at the White House, which he is calling “Liberation Day.”
However, New Zealand fares alot better than many other nations as Trump announced there will be a 34% tax on imports from China, a 20% tax on imports from the European Union, 25% on South Korea, 24% on Japan and 32% on Taiwan.
The president criticised the global trade system, which the United States played a key role in establishing after World War II, saying that the country had been “looted, pillaged, raped, plundered” by other nations.
“They do it to us, we’ll do it to them” Trump added.
Following the announcement, the US share market dropped 2% as well as our own had a sharp decline.
The benchmark S&P/NZX50 Index dropped 1.1% to 12,187, mostly driven by a 6% fall in Fisher and Paykel Healthcare to $33.01.
Act leader David Seymour said the tariff news was concerning saying the tariff will make a difference.
“the margins are slim in parts of that market, through competition, and 10% will make a difference.”
“We’re looking very carefully at the development,” he added.
Across the ditch, however, Australian Prime Minister Anthony Albanese was less so blase about the situation saying the tariffs are “completely unwarranted”.
“The administration’s tariffs have no basis in logic and they go against the basis of our two nation’s partnership.
“This is not the act of a friend.”
Along with the individual nation tariffs, the United States has also put a 25% tariff on all foreign-made cars.
Photo Credit: AFP
