'It's Liberation Day' Donald Trump Declares As April 2 Finally Dawns

Donald Trump Tariff News: US President Donald Trump declared 'Liberation Day' on his social media platform Truth. The President wrote, "It is Liberation Day in America! a time when he intends to implement a package of tariffs that he claims will free the US from foreign goods. 

Trump said his tariff announcements on Wednesday will be a "liberation day" for the United States. However, American businesses and financial markets are unlikely to be free of the uncertainty caused by his frequent stop-and-go trade strategy. 

According to the White House, at 4 p.m. (1.30 a.m. IST on April 3), Trump will attend the "Make America Wealthy Again" event in the Rose Garden. This is when he is likely to announce his "reciprocal tariffs."
 

Trump has already announced tariffs on aluminium, steel, and automobiles, as well as raised charges on all Chinese goods, rattling markets as fears rise that a full-fledged trade war will cause a significant global economic slowdown.

India To Drop Tariffs: Donald Trump

On Tuesday, US President Donald Trump said that he had heard that India was dropping its tariffs on American goods substantially.

"I think I heard that India just a little while ago is going to be dropping its tariffs very substantially and I said why didn't somebody do this a long time ago," he said. 

When asked if his tariffs, which go into effect on Wednesday, would force countries to side with China, Trump responded that they would really help the countries do better.

Impact of Tariffs on India

Recently, a report by Motilal Oswal suggested that tariffs impact will be minimal on India. Motilal Oswal said, “We believe that the impact of reciprocal tariffs (assuming full product-level reciprocity) on India will be limited on a national basis.” 

"India’s exports in the six most vulnerable sectors amount to only 1.1% of India’s GDP . With a tariff differential of 9% and assuming that the elasticity of India’s exports to the US with respect to tariffs is -0.5 (implying a 1% rise in the tariff rate would reduce India’s exports to the US by 0.5%), there will be a loss of $3.6 bn in exports to the US, which is only 0.1% of India’s GDP (-0.5*9, 4.5% fall in India’s exports to the US)," the report added.