#TrumpTariffs

### **Trump Tariffs: A Trader’s Guide to Policy and Market Impact**

#### **Quick Summary**

- **Trump’s 2017-2021 Tariffs:** Aggressive trade wars, especially against China (25% on $370B+ goods), plus steel/aluminum tariffs.

- **2024 Proposals:** 10% universal baseline tariff, 60%+ on China, auto industry protections.

- **Market Effects:** Volatility in impacted sectors (tech, autos, agriculture), potential USD strength, and supply chain risks.

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## **1. Trump’s Major Tariffs: What Happened?**

### **A. China Tariffs (2018-2019)**

- **Targets:** Electronics, machinery, consumer goods ($370B+ total).

- **Rates:** Up to **25%** (phased in).

- **Goal:** Reduce trade deficit, counter IP theft, reshore manufacturing.

- **Result:**

- **Short-term:** China retaliated (soybeans, pork tariffs).

- **Long-term:** Some supply chains shifted (Vietnam, Mexico), but most costs passed to U.S. consumers.

### **B. Steel & Aluminum Tariffs (2018)**

- **Rates:** **25% on steel, 10% on aluminum** (global, then exemptions for allies).

- **Goal:** Protect U.S. producers from cheap imports.

- **Result:**

- Brief rally in U.S. steel stocks (NUE, X).

- Higher costs for automakers (F, GM), construction.

### **C. Washing Machines & Solar (2018)**

- **Rates:** Up to **50% on washers, 30% on solar panels**.

- **Goal:** Protect Whirlpool, First Solar.

- **Result:** Short-term price spikes, then production moved abroad.

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## **2. Trump’s 2024 Trade Policy: What’s Proposed?**

If re-elected, Trump has floated:

✔ **10% universal tariff** on all imports (vs. ~2.4% avg now).

✔ **60%+ tariffs on Chinese goods** (expanding beyond 2021 levels).

✔ **Auto industry tariffs** (possibly 100%+ on Chinese EVs).

✔ **"Ring-fence" key industries** (semiconductors, pharma).

**Potential Market Impact:**

- **Winners:** U.S. steel, domestic manufacturing, defense stocks.

- **Losers:** Multinationals reliant on imports (AAPL, WMT, TSLA).

- **FX:** USD could strengthen (if imports drop).

-2021)** |