US: Trump: We Will Announce Reciprocal Tariffs On Many Countries Next Week

Newswires reporting a flurry of tariff-related comments from US President Donald Trump ahead of his press conference with Japanese Prime Minister Shigeru Ishiba. 

• The comments come in the wake of a market-moving Reuters story suggesting that Trump told Republican lawmakers that he could unveil “reciprocal” tariffs as soon as today.
• Per Reuters, Trump said: “...tariffs are an option to address deficit… will announce reciprocal tariffs next week on many countries.” Trump added: “Auto tariffs are on the table,” indicating tariffs could be directed at the European Union and Japan. Key Trump advisor Peter Navarro said this week, “Europe is sticking it to us with their vat tax,” specifically noting the bloc, “won't buy American cars”.
• Comes shortly after The Financial Times reported, “The EU will offer to cut tariffs on US car imports as part of a deal to avoid a trade war…”
• EU Trade committee head, Bernd Lange, told FT the bloc was willing to lower its 10 per cent import tax closer to the 2.5 per cent charged by the US: “We can try to have a deal before escalating costs and tariffs,”
• According to the report, Lange also said the bloc would offer to buy more liquefied natural gas and military equipment from the US and look to lower tariffs for cars.
• FT notes: “The reduced car tariffs… would also apply to China and other countries under WTO rules,” with Lange noting: “We have bound tariffs for cars at the WTO at 10 per cent, but let’s say, to show the world we have fair relations, it might be possible to reduce them.”
• Former WTO chief Pascal Lamy told Euronews yesterday that the EU “holds several cards” to avoid tariffs if negotiations on autos fail.