Tag tarrif

You're referring to a "tariff"!

A tariff is a tax or duty imposed by a government on imported goods or services. It's a way for a country to raise revenue, protect domestic industries, or influence trade policies. Tariffs can be applied to specific products, industries, or countries, and the rates can vary widely.

Here are some key points to know about tariffs:

1. Types of tariffs: There are several types of tariffs, including:
   • Ad valorem tariff: a percentage of the product's value.
   • Specific tariff: a fixed amount per unit of the product.
   • Compound tariff: a combination of ad valorem and specific tariffs.
2. Tariff rates: Tariff rates can vary from 0% to 100% or more, depending on the product and country.
3. Tariff impact: Tariffs can have both positive and negative effects on trade, including:
   • Increased revenue for the government.
   • Protection for domestic industries.
   • Higher prices for consumers.
   • Reduced trade volumes and economic growth.
4. Tariff wars: When countries impose tariffs on each other's products, it can lead to a "tariff war," where each side retaliates with tariffs of their own. This can have significant economic consequences.

Examples of tariffs include:

• The United States' tariffs on steel and aluminum imports from China, Canada, and the European Union.
• The European Union's tariffs on US goods, such as bourbon whiskey and Harley-Davidson motorcycles, in response to US tariffs on EU steel and aluminum.
• The tariffs imposed by the United States on Chinese goods, including electronics and textiles, as part of the ongoing trade war between the two countries.