As the world economy braces for Donald Trump’s unveiling of a swathe of tariffs, some country leaders will be fearing the worst after Washington singled out a “dirty 15” list of nations.
Although not naming the countries, treasury secretary Scott Bessent said the group nations that trade heavily with the U.S. and have high tariffs on U.S. goods were being considered among trading partners in the reciprocal-tariff initiative.
Coining the term “dirty 15”, he said they were 15 per cent of countries trading with U.S., that account for a “huge amount of our trading volume,” said Bessent last month.
Later, the director of the National Economic Council, Kevin Hassett, said that 10 to 15 countries that account for America’s “entire trillion-dollar trade deficit” were being looked at for the tariffs according to NBC News.
While Hassett also did not name the countries, the Office of the U.S. Trade Representative has listed 21 countries in which it is “particularly interested” as part of a review of unfair trade practises – which was due to be delivered to Trump by Monday.
Those countries include “economies that have the largest trade deficits in goods with the United States”, the office said, meaning Washington imports more from the country than it exports, resulting in a negative balance of trade.
The countries named were Argentina, Australia, Brazil, Canada, China, the European Union, India, Indonesia, Japan, Korea, Malaysia, Mexico, Russia, Saudi Arabia, South Africa, Switzerland, Taiwan, Thailand, Turkey, the United Kingdom and Vietnam.
But it still remains unclear which countries will face tariffs and what form they will take, ahead of the so-called “Liberation Day” on Wednesday.
Adding to the uncertainty, Trump on Sunday denied that it may only be around a dozen countries who will face reciprocal tariffs.
Speaking to reporters on Air Force One, the U.S. president said he would “start with all countries” and said there is “not a cut off” – and argued that almost all countries trading with the U.S. were taking advantage of Washington.
But many economists say having a goods trading deficit is not necessarily a bad thing, rather it means that in-demand goods can be sourced cheaply abroad.
Early reports suggest the Trump administration could implement up to 25 per cent tariffs on the U.S.’ largest trading partners.
Trump has already imposed 25 per cent tariffs on Canada and Mexico, though they have been paused twice, a 10 per cent tariff on China, a 25 per cent tariff on foreign-made automobiles and a 25 per cent tariff on aluminium and steel.
UK-based Aston Business School estimate Trump’s tariffs could cost the global economy $1.4tn.
