US President Donald Trump has issued a decree banning a number of food imports comprehensively import duty except for the one he forced at the start of the year. This was announced by the US government. Exceptions include beef, tomatoes, coffee, and bananas. “I have determined that certain agricultural products should not be subject to the reciprocal tariffs imposed in April,” the decision said. The exception comes into effect the day before.
“The price of coffee was a little high, now it will go down again soon,” said Trump. He also promised $2,000 payments to low- and middle-income Americans. Therefore, this must be financed from customs revenues.
Steak prices increased nearly 17 percent
In United States of America Food prices have recently increased significantly. According to the most recent data available in September, bananas were about seven percent more expensive than a year ago, ground beef was nearly 13 percent more expensive, and steak prices were nearly 17 percent higher.
This tariff waiver order is part of an initiative by Trump and his administration to respond to Americans’ concerns about persistently high food prices. Trump has long claimed that his import tariffs do not fuel inflation.
Discussion of the causes of inflation
The move follows a series of Democratic wins in state and local elections where the cost of living has been a key issue.
Democratic Congressman Richard Neal said the Trump administration was trying to “put out a fire of its own making and sell it as progress.” The administration has finally publicly admitted that Trump’s trade war has raised people’s costs of living. Trump recently claimed that his predecessor Joe Biden’s policies had fueled price increases.
In April, Trump imposed reciprocal tariffs of at least ten percent on most products imported into the US. With this step he wants to reduce the country’s trade deficit and support domestic production. However, these tariffs also impact goods that the US cannot or cannot adequately supply.
