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REDDIT

Need an explanation on Trumps latest salvo of Tariffs

S
Feb 13, 2025 · 20:56

I am asking an honest question and would like an honest answer.

[https://www.cnbc.com/2025/02/13/trump-reciprocal-tariffs-news-conference.html](https://www.cnbc.com/2025/02/13/trump-reciprocal-tariffs-news-conference.html)

"“They charge us a tax or tariff and we charge them,” Trump said during a press event in Oval Office.

The president said that under the plan, the U.S. will treat other countries’ non-tariff policies as unfair trade practices that warrant tariffs in response.

Those include value-added taxes, or VATs, and other practices that the office of the U.S. trade representative deems to be unfair trade limitations."

Has Trump's mental acuity disappeared? I am asking honestly. For VAT's are added to all products bought locally. Meaning if I buy in Germany, then regardless of product sourcing you pay a VAT. If I buy in Germany, and export to Switzerland I don't pay the German VAT, but pay the Swiss VAT.

Meaning this is not a tariff against anybody. How is this unfair? It is literally 100% fair because it applies to ALL products. People critiqued Biden for his ageism (fair enough), but this thought process seriously takes the cake.

Hence why I would like an honest answer of what Trump is trying to achieve?

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EDIT: It was said this has nothing to do with investing. In fact it has everything to do with investing. I am a contrarian and as such look for opportunities. However with Trump making these decisions I have decided to sit back and start cashing out. The problem is that all, I repeat all stocks have long tail risk. Meaning no idea which way they will go and it is a crap shot to know what is a good investment and what is not.