U.S. President Donald Trump’s massive tariffs on dozens of countries officially came into effect early Wednesday, and shortly after the president claimed foreign leaders “call us and kiss my A-” to negotiate a trade deal.
Tariffs affecting about 90 countries are expected to result in higher import costs, thus providing a wide range of commodity prices for U.S. consumers. China faces the biggest burden, with a cumulative tariff rate of 104%, while countries such as Lesotho (50%) and Cambodia (49%) were also significantly affected.
The U.S. Customs and Border Protection confirmed that it began enforcing tariffs at 12:01 a.m. on April 9. “The CBP is in a unique state in using all of our executive and revenue collection agencies to collect all executive and executive presidential tariffs,” the agency said in a statement.
Markets across Asia responded quickly. Japan’s Nikkei fell 3.8%, Taiwan’s stock market fell 6%, South Korea’s currency fell to its lowest value since 2009, and Indonesia’s Rupiah hit a record low.
Fitch Ratings commented on the broader economic impact, noting that while tariffs may help reduce the U.S. budget deficit in 2025, their impact on growth and planned tax cuts could offset any long-term fiscal gains.
Despite market volatility, Trump defended tariffs in a speech at a National Republican Congressional Committee (NRCC) dinner in Washington, D.C., calling it a “legend” and a central part of his economic strategy.
“Countries are calling us, begging for a deal,” Trump told the attendees. “They are kissing my A- is indeed. They are desperate to reach an agreement.”
He went on to claim that his second administration was ready to outperform his first, saying, “This time I’m going to do what I want to do with the tariffs.” Trump described the new trade measures as “the biggest deal in our nation’s history.”
The president’s speech also included pokes from Republican critics and members of Congress who questioned executive-led approaches to trade. “I saw some outstanding Republicans say, ‘Congress should take over the negotiations.’ Let me tell you, you won’t negotiate the same way I did,” Trump declared.
Meanwhile, the White House sent out mixed messages about the permanent nature of tariffs. Trump said on Monday that tariffs may be permanent and can also be negotiated, but Treasury Secretary Scott Bessent told CBS News that tariffs are “a negotiable but not a negotiation strategy.”
White House Press Secretary Karoline Leavitt insists: “The president will have a conversation with any country that answers the phone,” the administration claims the administration has received many requests for dialogue.
However, Politico reports that several world leaders have not yet received a response to their request to hold talks with the government.
Trump also responded to the key points of long-term conversations about the U.S. being exploited in global trade. “Many countries have already tear us apart. Now it’s our turn to tear us apart,” he said. “We will make our country stronger, stronger than ever.”
Although the president still has confidence, Wall Street seems to be not very convinced. The Wall Street Journal reported a “dismay” investor sentiment, with the S&P 500 falling 1.6% and the Nasdaq composite fell 2.2%. These three major indexes are now trading at their lowest levels since the beginning of 2024.
Since the national emergency was announced last week and new tariffs were launched, the Trump administration has tried to downplay concerns about the economic impact and promised that any short-term damage would bring long-term benefits.
