Australia, Brazil, Chile, and New Zealand Object to Trump's New Tariffs, Adding Trade War Uncertainty That Investors Should Watch
The U.S. president has imposed new tariffs based on claims about forced labor in other countries. Is a trade war brewing?
Overview
President Donald Trump has not stopped using tariffs. In February, the Supreme Court ruled that the president's previous attempt at emergency-powers tariffs was unconstitutional. Now Trump is trying a new strategy. On July 24,, the Trump administration announced new tariffs of 10% or 12.5% on imports from more than 60 countries, covering approximately 99.4% of U.S. imports. The administration claims that these countries are failing to do enough to prohibit the use of forced labor.
Other countries aren't happy about the new Trump tariffs. Australia, Brazil, Chile, and New Zealand have all issued statements of disagreement and objection. It's possible that the new tariffs could lead to more trade tensions, if not an outright trade war.
Details
Let's look at a few reasons the new tariffs might not cause a "tariff tantrum" in the stock market -- and how you might want to keep investing in the global economy.
Source
Originally published at www.fool.com.