Economic reports and analyses from industry experts and trade organizations

Trump Aides Consider Five-Year Tariffs on Critical Imports; Trump Denies Policy Shift

Jan 6, 2025, 12:01 PM

President-elect Donald Trump's aides are exploring tariff plans that would apply to every country but only cover critical imports, according to a report by The Washington Post citing three people familiar with the matter. This represents a shift from Trump's proposals during the 2024 presidential campaign, where he advocated for universal tariffs on all imported goods. The proposed five-year plan targets imports deemed critical to national or economic security, potentially affecting sectors such as defense materials (steel, aluminum, copper), medical supplies (syringes, vials, pharmaceutical materials), and energy components (batteries, rare earths, solar panels). The news led to a 1% drop in the US dollar and a surge in global stock markets. However, later in the day, Trump stated that his tariff policy would not be pared back, causing the dollar to recover some losses.