IMF Chief Kristalina Georgieva says US tariffs pose 'Significant Risk' To global outlook

She said it was essential to take any step that would harm the world economy.

In a statement, she said: "We are still assessing the macroeconomic implications of the announced tariff measures, but they clearly represent a significant risk to the global outlook at a time of sluggish growth."

She said: "It is important to avoid steps that could further harm the world economy."

Trading Partners

She appealed to the United States and its trading partners to work constructively to resolve trade tensions and reduce uncertainty.

Also Read: Trump announces reciprocal tariffs from baseline 10 pc to higher; 26 pc on India imports, 36 pc on China

“We will share the results of our assessment in the World Economic Outlook, which will be published at the time of the IMF/World Bank Spring Meetings later this month, the IMF Chief said.

Trump And Tariffs

Triggering almost a global trade war, US President Donald Trump on Wednesday announced tariffs of at least 10 percent on almost all goods from other countries, plus even higher rates for many nations, including friends, but deemed to be “worst offenders”.

Addressing an audience in the Rose Gardens of the White House, including rows of construction helmet-wearing workers, Donald Trump said: “The tariffs will not be fully reciprocal. I could have done that, I guess. But it would have been tough for a lot of countries."

His nearly 50-minute-long speech from the White House Rose Garden was attended by his cabinet and representatives of the US steel and auto industries besides people from the working class. He called April 2 a "Liberation Day" for Amercia.

Among the countries being targeted with reciprocal tariffs are China, Vietnam, Taiwan, Japan, India, South Korea, Thailand, Switzerland, Indonesia, Malaysia, Cambodia and the European Union.

Trump announced a 34 percent reciprocal tariff on China, 26 percent on India and 20 percent on the European Union.

"The United States imposes a 2.5% tariff on passenger vehicle imports (with internal combustion engines), while the European Union (10%) and India (70%) impose much higher duties on the same product.

"For networking switches and routers, the United States imposes a 0% tariff, but India (10-20%) levies higher rates. Brazil (18%) and Indonesia (30%) impose a higher tariff on ethanol than does the United States (2.5%).  For rice in the husk, the U.S. imposes a tariff of 2.7%, while India (80%), Malaysia (40%), and Turkey (31%) impose higher rates," his factsheet posted on the White House site said.

Apples enter the United States duty-free, but not so in Turkey (60.3%) and India (50%),  it said.