Trump says any country trafficking drugs into U.S. could be attacked

Trump imposes 100 percent tariff on branded drugs, escalates trade war

U.S. President Donald Trump on Thursday unveiled sweeping new import tariffs, including 100 percent duties on branded drugs and 25 percent levies on heavy-duty trucks, triggering fresh trade uncertainty after a period of comparative calm.

The latest salvo, which Trump said was to protect the U.S. manufacturing industry and national security, follows wide-ranging duties on trading partners of up to 50 percent and other targeted levies on imported products such as steel.

It’s the latest upheaval for global businesses already struggling with snarled supply chains, soaring costs and consumer uncertainty caused by Trump’s trade war. The barrage has cast a pall over global growth, while the Federal Reserve, opens new tab has said it is also contributing to higher U.S. consumer prices.

INVESTORS ‘KEEP CALM AND CARRY ON’

The new actions are seen as part of the Trump administration’s shift to better-established legal authorities for its trade actions, given the risks associated with a case before the Supreme Court on the legality of his global tariffs.

The flurry of new announcements follows a period of relative calm after Trump reached trade deals with some key trading partners over the summer. They could reignite uncertainty that clouded the business outlook during the spring when new import levy announcements were an almost-weekly occurrence.

“If there is a particular sector where you see a new announcement, of course, that’s going to set you back,” Federal Reserve Bank of Richmond President Tom Barkin said on Bloomberg TV. “There’s sectors with a lot more clarity, and sectors with a lot less clarity.”