Trade talks between America and other countries have hit major problems. Japan, India and European nations refuse to make deals because they fear unknown tax penalties. These countries want to know about separate fees before they agree to anything.
The US Commerce Department plans to reveal results from studies about important industries. Officials examined computer chips, medicines and rare materials that America needs for security. Most experts think the government will add new taxes on foreign products from these areas.
Countries trying to reduce the taxes that President Donald Trump announced face a difficult choice. Trump said he would add country-specific taxes on April 2 but delayed them until July 9. Nations worry that industry taxes might hurt them more than general trade penalties.
Trade expert Deborah Elms warns that countries could face a bad situation. She says nations might agree to painful trade changes only to face new industry taxes the next day. This would leave them worse off than before they made any deal.
Britain serves as a warning for other nations about making incomplete agreements. The British deal left steel trade details unfinished and kept Trump taxes at 25 percent. Britain wanted to remove all steel taxes but failed to reach that goal. Former US trade negotiator Wendy Cutler says the lack of clear rules worries America's trading partners.
The US Commerce Department plans to reveal results from studies about important industries. Officials examined computer chips, medicines and rare materials that America needs for security. Most experts think the government will add new taxes on foreign products from these areas.
Countries trying to reduce the taxes that President Donald Trump announced face a difficult choice. Trump said he would add country-specific taxes on April 2 but delayed them until July 9. Nations worry that industry taxes might hurt them more than general trade penalties.
Trade expert Deborah Elms warns that countries could face a bad situation. She says nations might agree to painful trade changes only to face new industry taxes the next day. This would leave them worse off than before they made any deal.
Britain serves as a warning for other nations about making incomplete agreements. The British deal left steel trade details unfinished and kept Trump taxes at 25 percent. Britain wanted to remove all steel taxes but failed to reach that goal. Former US trade negotiator Wendy Cutler says the lack of clear rules worries America's trading partners.
