Gulf states find Trump tariff impact comparatively light
Saudi Arabia, the UAE and other GCC states will pay 10% tariffs on goods shipped to the U.S. – similar to what American exporters pay in the region
BRENDAN SMIALOWSKI/AFP via Getty Images
U.S. President Donald Trump holds a country-by-country chart of reciprocal trade tariffs
The threat of a global trade war set off by U.S. President Donald Trump’s sweeping imposition of import tariffs is leaving Gulf countries on the sidelines.
At the lowest end of the levies that Trump announced on Wednesday are Saudi Arabia, the UAE and other GCC states, which will pay 10% tariffs on goods shipped to the U.S. – similar to what is imposed on American goods in the region.
“That means they do it to us and we do it to them,” Trump said at a White House ceremony announcing the tariffs. “Very simple.”
Other countries in the MENA region that were hit with reciprocal tariffs were Egypt and Morocco at 10%, Israel at 17%, Jordan at 20% and Tunisia at 28%.
Global financial markets were hit by a broad selloff after Trump’s announcement, with U.S. equity futures slumping as much as 4%, Bloomberg reports.
Oil prices fell by as much as 3% on worries that trade tensions could curtail economic growth and limit fuel demand.