US President Donald Trump’s decision to reduce tariffs on China has backfired, with other countries taking notice and adopting tougher tactics against him. The US temporarily lowered its tariffs on China from 145% to 30% in exchange for China reducing its own import tariffs on American products to 10%. However, this move has emboldened other nations, including South Korea and Japan, which are now taking a more cautious approach to trade negotiations with the US.
South Korean presidential candidate Lee Jae-myung has stated that there is no need to rush negotiations, while Japanese Prime Minister Shigeru Ishiba has warned that compromising on national interests could be detrimental. Meanwhile, analysts believe that the US will be the first to feel the effects of Trump’s tariffs, potentially forcing a policy change from within.
The move marks a significant shift in the negotiating dynamic, with countries realizing that Trump may have overplayed his hand. As one expert noted, “This shifts the negotiating dynamic… Many countries will look at the outcome of the Geneva negotiations and conclude that Trump has begun to realize that he has overplayed his hand.”
Source: https://newrepublic.com/post/195422/donald-trump-china-tariff-deal-come-back-bite