look news india
The eyes of the whole world are once again on America, where former President Donald Trump has taken a decision that has given a big shock to Japan, one of his closest friends. Trump signed an executive order on goods coming from Japan 15% heavy tariff (new tax) Has announced to install.
This one decision has made a big rift in the friendship between the US and Japan and has given rise to the possibility of a new ‘trade war’.
Understand in easy language, what does it mean?
This decision means very straightforward. Now when any item made in Japan comes to sell in America, it will be charged an additional tax of 15%. This will increase the prices of Japanese goods in the US.
What will be the effect on your pocket?
This decision may be between the US and Japan, but its effect can be felt worldwide.
- Japanese things will be expensive: For people living in America, now the famous things of Japan like Toyota and Honda vehicles, TV and cameras of Sony, Panasonic Electronics Buying will become more expensive than before.
- Heavy loss to Japan: Japan’s economy largely depends on selling goods in other countries. America is its biggest buyer. This new tax will cause huge losses to Japanese companies.
- Fear of revenge action: Now there is a fear that Japan will not sit silent and that too can impose its tax on goods coming from America, such as maize or wheat.
But why did Trump take this step?
Donald Trump always “America First” Have come on the policy of He believes that countries like Japan take “unfair advantage” in trade with America, that is, they sell their goods a lot in America, but do not buy that much items from America.
Through this tariff, Trump wants to pressurize Japan to make a new and more “balanced” trade deal with the US.
This step reminds us of the old era of Trump when he waged one such big trade war against China. It remains to be seen what Japan reacts to this and will this tension take the form of a major economic crisis between the world’s two big economies.