Latest news with #TACOTheory
Bangkok Post
2 days ago
- Business
- Bangkok Post
Trump's dealmaker name on the line in high stakes tariff talks
WASHINGTON - President Donald Trump set out early in his second term to fulfill a decades-long desire of reshaping US trade with the world, but the main outcomes so far have been discord and uncertainty. The real estate tycoon, who has staked his reputation on being a consummate dealmaker, embarked on an aggressive strategy of punitive tariffs that his administration predicted could bring "90 deals in 90 days". The score so far? Two. Three if you count a temporary de-escalation agreement with China. The 90-day deadline was due on July 9, with dozens of economies including the European Union, India and Japan facing tariff hikes without a deal. But days before it arrived, Trump issued a delay to Aug 1. It was his second extension since unveiling the tariffs in April -- reigniting the "TACO Theory" that has gained traction among some Wall Street traders. The acronym coined by a Financial Times writer stands for "Trump Always Chickens Out", highlighting the president's inclination to roll back policies if markets turn sour. Treasury Secretary Scott Bessent, part of Trump's multi-leader trade team, has reportedly been a key advocate for the pauses. But the label has irked Trump and he insisted Tuesday that the deadline had always been in August. "I didn't make a change. A clarification, maybe," Trump said at a cabinet meeting. This week, he published more than 20 letters dictating tariff rates to world leaders including in Japan, South Korea and Indonesia. "We invite you to participate in the extraordinary Economy of the United States, the Number One Market in the World, by far," Trump wrote. He also issued letters to the EU, Canada, Mexico and Brazil -- although Brazil was not previously targeted by the steeper "reciprocal" tariffs and Canada and Mexico face a separate tariff regime. The documents "appear to be Trump's way of combatting the TACO label," said Inu Manak, a fellow for trade policy at the Council on Foreign Relations. "He wants to show that he's not just kicking the can down the road on the deadline, but that he means business," she told AFP. "He's likely frustrated that there isn't a parade of deals coming in." - 'Politically complicated' - "The shift in his rhetoric from 'there is no cost -- the foreigners pay the tariffs' to 'there is a short term cost, but there will be a long term gain' has put him in a more politically complicated position," said William Reinsch, senior adviser at the Center for Strategic and International Studies. Trump has repeatedly claimed that foreign countries foot the bill for tariffs, although the reality is more complicated with US companies generally paying them. "In the public's mind, the tariffs are the pain, and the agreements will be the gain," said Reinsch, a former US commerce official. He warned that without trade agreements, Americans could conclude Trump's strategy was flawed and deem his tactics a failure. While the 90-deal goal was probably unrealistic, Reinsch said, "it's clear that three (UK, China, Vietnam) with only one actual text made public (UK) is too small." - Deflecting attention - Meanwhile, Trump has announced a 50% levy on copper imports starting Aug 1. Commerce Secretary Howard Lutnick said officials would also conclude investigations into semiconductors and pharmaceuticals -- which could lead to tariffs -- at month-end. "That timing is not coincidental -- it lines up with the new deadline of Aug 1, adding more pressure and deflecting attention from any lack of deals that get made in that time frame," Manak said. Analysts believe Trump's supporters will likely not pay much attention to trade talks unless the tariffs fuel inflation. "Trade policy is not top-of-mind for the average voter," said Emily Benson, head of strategy at Minerva Technology Futures. She expects the Trump administration's focus on boosting US manufacturing and reinvigorating the defense industrial base means it could be willing to bear some political heat to achieve those objectives. But it's a delicate balance. Voters will likely pay more attention if Trump follows through on his August tariff threats, Manak said. "And we could see a negative market reaction as well, which would not go unnoticed."
New Straits Times
3 days ago
- Business
- New Straits Times
Trump's dealmaker name on the line in high stakes tariff talks
PRESIDENT Donald Trump set out early in his second term to fulfill a decades-long desire of reshaping US trade with the world, but the main outcomes so far have been discord and uncertainty. The real estate tycoon, who has staked his reputation on being a consummate dealmaker, embarked on an aggressive strategy of punitive tariffs that his administration predicted could bring "90 deals in 90 days." The score so far? Two. Three if you count a temporary de-escalation agreement with China. The 90-day deadline was due on July 9, with dozens of economies including the European Union, India and Japan facing tariff hikes without a deal. But days before it arrived, Trump issued a delay to August 1. It was his second extension since unveiling the tariffs in April – reigniting the "TACO Theory" that has gained traction among some Wall Street traders. The acronym coined by a Financial Times writer stands for "Trump Always Chickens Out," highlighting the president's inclination to roll back policies if markets turn sour. Treasury Secretary Scott Bessent, part of Trump's multi-leader trade team, has reportedly been a key advocate for the pauses. But the label has irked Trump and he insisted Tuesday that the deadline had always been in August. "I didn't make a change. A clarification, maybe," Trump said at a cabinet meeting. This week, he published more than 20 letters dictating tariff rates to world leaders including in Japan, South Korea and Indonesia. "We invite you to participate in the extraordinary Economy of the United States, the Number One Market in the World, by far," Trump wrote. He also issued letters to the EU, Canada, Mexico and Brazil – although Brazil was not previously targeted by the steeper "reciprocal" tariffs and Canada and Mexico face a separate tariff regime. The documents "appear to be Trump's way of combatting the TACO label," said Inu Manak, a fellow for trade policy at the Council on Foreign Relations. "He wants to show that he's not just kicking the can down the road on the deadline, but that he means business," she told AFP. "He's likely frustrated that there isn't a parade of deals coming in." "The shift in his rhetoric from 'there is no cost – the foreigners pay the tariffs' to 'there is a short term cost, but there will be a long term gain' has put him in a more politically complicated position," said William Reinsch, senior adviser at the Centre for Strategic and International Studies. Trump has repeatedly claimed that foreign countries foot the bill for tariffs, although the reality is more complicated with US companies generally paying them. "In the public's mind, the tariffs are the pain, and the agreements will be the gain," said Reinsch, a former US commerce official. He warned that without trade agreements, Americans could conclude Trump's strategy was flawed and deem his tactics a failure. While the 90-deal goal was probably unrealistic, Reinsch said, "it's clear that three (UK, China, Vietnam) with only one actual text made public (UK) is too small." Meanwhile, Trump has announced a 50 percent levy on copper imports starting August 1. Commerce Secretary Howard Lutnick said officials would also conclude investigations into semiconductors and pharmaceuticals – which could lead to tariffs – at month-end. "That timing is not coincidental – it lines up with the new deadline of August 1, adding more pressure and deflecting attention from any lack of deals that get made in that time frame," Manak said. Analysts believe Trump's supporters will likely not pay much attention to trade talks unless the tariffs fuel inflation. "Trade policy is not top-of-mind for the average voter," said Emily Benson, head of strategy at Minerva Technology Futures. She expects the Trump administration's focus on boosting US manufacturing and reinvigorating the defence industrial base means it could be willing to bear some political heat to achieve those objectives. But it's a delicate balance. Voters will likely pay more attention if Trump follows through on his August tariff threats, Manak said. "And we could see a negative market reaction as well, which would not go unnoticed."
Straits Times
3 days ago
- Business
- Straits Times
Trump's dealmaker name on the line in high-stakes tariff talks
Sign up now: Get ST's newsletters delivered to your inbox It was US President Donald Trump's second extension since unveiling the tariffs in April. WASHINGTON - US President Donald Trump set out early in his second term to fulfill a decades-long desire of reshaping US trade with the world, but the main outcomes so far have been discord and uncertainty. The real estate tycoon, who has staked his reputation on being a consummate dealmaker, embarked on an aggressive strategy of punitive tariffs that his administration predicted could bring '90 deals in 90 days'. The score so far? Two. Three if you count a temporary de-escalation agreement with China. The 90-day deadline was due on July 9, with dozens of economies including the European Union, India and Japan facing tariff hikes without a deal. But days before it arrived, Mr Trump issued a delay to Aug 1. It was his second extension since unveiling the tariffs in April – reigniting the 'TACO Theory' that has gained traction among some Wall Street traders. The acronym coined by a Financial Times writer stands for 'Trump Always Chickens Out,' highlighting the president's inclination to roll back policies if markets turn sour. Top stories Swipe. Select. Stay informed. Singapore Government looking at enhancing laws around vaping to tackle issue of drug-laced vapes in Singapore Singapore Why the vape scourge in Singapore concerns everyone Singapore I lost my daughter to Kpod addiction: Father of 19-year-old shares heartbreak and lessons Singapore Organised crime groups pushing drug-laced vapes in Asia including Singapore: UN Singapore Prison school to NUS: At 36, former drug abuser finds it's never too late to get a degree Singapore Bland and boring? Some hospitals seek help from big names to enhance food menus for patients Asia Patriotism, peace and pain: The politics behind China's World War II narrative World US slaps 30% tariffs on EU and Mexico; EU warns of countermeasures Treasury Secretary Scott Bessent, part of Mr Trump's multi-leader trade team, has reportedly been a key advocate for the pauses. But the label has irked Mr Trump and he insisted on July 8 that the deadline had always been in August. 'I didn't make a change. A clarification, maybe,' he said at a cabinet meeting. This week, he published more than 20 letters dictating tariff rates to world leaders including in Japan, South Korea and Indonesia. 'We invite you to participate in the extraordinary Economy of the United States, the Number One Market in the World, by far,' he wrote. He also issued letters to the EU, Canada, Mexico and Brazil – although Brazil was not previously targeted by the steeper 'reciprocal' tariffs and Canada and Mexico face a separate tariff regime. The documents 'appear to be Trump's way of combatting the TACO label,' said Ms Inu Manak, a fellow for trade policy at the Council on Foreign Relations. 'He wants to show that he's not just kicking the can down the road on the deadline, but that he means business,' she told AFP. 'He's likely frustrated that there isn't a parade of deals coming in.' 'Politically complicated' 'The shift in his rhetoric from 'there is no cost – the foreigners pay the tariffs' to 'there is a short-term cost, but there will be a long-term gain' has put him in a more politically complicated position,' said Mr William Reinsch, senior adviser at the Center for Strategic and International Studies. Mr Trump has repeatedly claimed that foreign countries foot the bill for tariffs, although the reality is more complicated with US companies generally paying them. 'In the public's mind, the tariffs are the pain, and the agreements will be the gain,' said Mr Reinsch, a former US commerce official. He warned that without trade agreements, Americans could conclude Mr Trump's strategy was flawed and deem his tactics a failure. While the 90-deal goal was probably unrealistic, Mr Reinsch said, 'it's clear that three (UK, China, Vietnam) with only one actual text made public (UK) is too small.' Deflecting attention Meanwhile, Mr Trump has announced a 50 per cent levy on copper imports starting Aug 1. Commerce Secretary Howard Lutnick said officials would also conclude investigations into semiconductors and pharmaceuticals – which could lead to tariffs – at month-end. 'That timing is not coincidental – it lines up with the new deadline of Aug 1, adding more pressure and deflecting attention from any lack of deals that get made in that time frame,' Ms Manak said. Analysts believe Mr Trump's supporters will likely not pay much attention to trade talks unless the tariffs fuel inflation. 'Trade policy is not top-of-mind for the average voter,' said Ms Emily Benson, head of strategy at Minerva Technology Futures. She expects the Trump administration's focus on boosting US manufacturing and reinvigorating the defence industrial base means it could be willing to bear some political heat to achieve those objectives. But it is a delicate balance. Voters will likely pay more attention if Trump follows through on his August tariff threats, Ms Manak said. 'And we could see a negative market reaction as well, which would not go unnoticed.' AFP
Economic Times
3 days ago
- Business
- Economic Times
Trump's dealmaker name on the line in high stakes tariff talks
President Donald Trump set out early in his second term to fulfill a decades-long desire of reshaping US trade with the world, but the main outcomes so far have been discord and real estate tycoon, who has staked his reputation on being a consummate dealmaker, embarked on an aggressive strategy of punitive tariffs that his administration predicted could bring "90 deals in 90 days."The score so far? Two. Three if you count a temporary de-escalation agreement with China. The 90-day deadline was due on July 9, with dozens of economies including the European Union, India and Japan facing tariff hikes without a deal. But days before it arrived, Trump issued a delay to August 1. It was his second extension since unveiling the tariffs in April -- reigniting the "TACO Theory" that has gained traction among some Wall Street acronym coined by a Financial Times writer stands for "Trump Always Chickens Out," highlighting the president's inclination to roll back policies if markets turn Secretary Scott Bessent, part of Trump's multi-leader trade team, has reportedly been a key advocate for the the label has irked Trump and he insisted Tuesday that the deadline had always been in August."I didn't make a change. A clarification, maybe," Trump said at a cabinet week, he published more than 20 letters dictating tariff rates to world leaders including in Japan, South Korea and Indonesia."We invite you to participate in the extraordinary Economy of the United States, the Number One Market in the World, by far," Trump also issued letters to the EU, Canada, Mexico and Brazil -- although Brazil was not previously targeted by the steeper "reciprocal" tariffs and Canada and Mexico face a separate tariff regime. The documents "appear to be Trump's way of combatting the TACO label," said Inu Manak, a fellow for trade policy at the Council on Foreign Relations. "He wants to show that he's not just kicking the can down the road on the deadline, but that he means business," she told AFP."He's likely frustrated that there isn't a parade of deals coming in.""The shift in his rhetoric from 'there is no cost -- the foreigners pay the tariffs' to 'there is a short term cost, but there will be a long term gain' has put him in a more politically complicated position," said William Reinsch, senior adviser at the Center for Strategic and International has repeatedly claimed that foreign countries foot the bill for tariffs, although the reality is more complicated with US companies generally paying them."In the public's mind, the tariffs are the pain, and the agreements will be the gain," said Reinsch, a former US commerce official. He warned that without trade agreements, Americans could conclude Trump's strategy was flawed and deem his tactics a failure. While the 90-deal goal was probably unrealistic, Reinsch said, "it's clear that three (UK, China, Vietnam) with only one actual text made public (UK) is too small."Meanwhile, Trump has announced a 50 percent levy on copper imports starting August Secretary Howard Lutnick said officials would also conclude investigations into semiconductors and pharmaceuticals -- which could lead to tariffs -- at month-end."That timing is not coincidental -- it lines up with the new deadline of August 1, adding more pressure and deflecting attention from any lack of deals that get made in that time frame," Manak believe Trump's supporters will likely not pay much attention to trade talks unless the tariffs fuel inflation."Trade policy is not top-of-mind for the average voter," said Emily Benson, head of strategy at Minerva Technology expects the Trump administration's focus on boosting US manufacturing and reinvigorating the defense industrial base means it could be willing to bear some political heat to achieve those it's a delicate will likely pay more attention if Trump follows through on his August tariff threats, Manak said."And we could see a negative market reaction as well, which would not go unnoticed."
Time of India
3 days ago
- Business
- Time of India
Trump's dealmaker name on the line in high stakes tariff talks
President Donald Trump set out early in his second term to fulfill a decades-long desire of reshaping US trade with the world, but the main outcomes so far have been discord and uncertainty. The real estate tycoon, who has staked his reputation on being a consummate dealmaker, embarked on an aggressive strategy of punitive tariffs that his administration predicted could bring "90 deals in 90 days." The score so far? Two. Three if you count a temporary de-escalation agreement with China. The 90-day deadline was due on July 9, with dozens of economies including the European Union , India and Japan facing tariff hikes without a deal. But days before it arrived, Trump issued a delay to August 1. Live Events It was his second extension since unveiling the tariffs in April -- reigniting the "TACO Theory" that has gained traction among some Wall Street traders. The acronym coined by a Financial Times writer stands for "Trump Always Chickens Out," highlighting the president's inclination to roll back policies if markets turn sour. Treasury Secretary Scott Bessent, part of Trump's multi-leader trade team, has reportedly been a key advocate for the pauses. But the label has irked Trump and he insisted Tuesday that the deadline had always been in August. "I didn't make a change. A clarification, maybe," Trump said at a cabinet meeting. This week, he published more than 20 letters dictating tariff rates to world leaders including in Japan, South Korea and Indonesia. "We invite you to participate in the extraordinary Economy of the United States, the Number One Market in the World, by far," Trump wrote. He also issued letters to the EU, Canada, Mexico and Brazil -- although Brazil was not previously targeted by the steeper "reciprocal" tariffs and Canada and Mexico face a separate tariff regime. The documents "appear to be Trump's way of combatting the TACO label," said Inu Manak, a fellow for trade policy at the Council on Foreign Relations. "He wants to show that he's not just kicking the can down the road on the deadline, but that he means business," she told AFP. "He's likely frustrated that there isn't a parade of deals coming in." 'Politically complicated' "The shift in his rhetoric from 'there is no cost -- the foreigners pay the tariffs' to 'there is a short term cost, but there will be a long term gain' has put him in a more politically complicated position," said William Reinsch, senior adviser at the Center for Strategic and International Studies. Trump has repeatedly claimed that foreign countries foot the bill for tariffs, although the reality is more complicated with US companies generally paying them. "In the public's mind, the tariffs are the pain, and the agreements will be the gain," said Reinsch, a former US commerce official. He warned that without trade agreements , Americans could conclude Trump's strategy was flawed and deem his tactics a failure. While the 90-deal goal was probably unrealistic, Reinsch said, "it's clear that three (UK, China, Vietnam) with only one actual text made public (UK) is too small." Deflecting attention Meanwhile, Trump has announced a 50 percent levy on copper imports starting August 1. Commerce Secretary Howard Lutnick said officials would also conclude investigations into semiconductors and pharmaceuticals -- which could lead to tariffs -- at month-end. "That timing is not coincidental -- it lines up with the new deadline of August 1, adding more pressure and deflecting attention from any lack of deals that get made in that time frame," Manak said. Analysts believe Trump's supporters will likely not pay much attention to trade talks unless the tariffs fuel inflation. "Trade policy is not top-of-mind for the average voter," said Emily Benson, head of strategy at Minerva Technology Futures. She expects the Trump administration's focus on boosting US manufacturing and reinvigorating the defense industrial base means it could be willing to bear some political heat to achieve those objectives. But it's a delicate balance. Voters will likely pay more attention if Trump follows through on his August tariff threats, Manak said. "And we could see a negative market reaction as well, which would not go unnoticed."
