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World

Trump doesn’t understand how trade deficits work

3 April 2025

11:12 PM

3 April 2025

11:12 PM

After Donald Trump’s Liberation Day, the US now imposes far and away the highest tariffs of any developed country in the world.

In the process of doing so Trump has completely rejected the cornerstone of the World Trade Organisation: the ‘most favoured nation’ principle whereby tariffs have to be the same on all countries you don’t have an explicit trade agreement with.

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