Tariff Escalation

Tariff Escalation

A situation in which the tariff on raw material imports is lower than the tariff on semi-finished goods, which is lower still than the tariff on finished products. Tariff escalation is the most common tariff regime.
References in periodicals archive ?
Apple Analyst On Tariff Escalation: The 'Nightmare That Doesn't Go Away'
Trump's latest tariff escalation, which the president announced Thursday on Twitter, sparked a rush of Chinese state media commentary suggesting that the Chinese government was caught flat-footed.
While officials reported no progress on major sticking points in the trading relationship, they also did not signal a tariff escalation.
The companies submitted joint comments saying that they were against the proposed tariff escalation, noting that it would harm consumer products and industry while failing to address China's trade practices, according to Bloomberg.
holds a substantial share in China's imports of adhesives, the effect of potential tariff escalation on U.S.
The US and China have been in a tit-for-tat tariff escalation for a year, with Washington accusing Beijing of unfair practices, including barriers to trade and intellectual property theft.
But the latest tariff escalation is far too great a gamble for the U.S.
And yet all of this actually helps a solar customer because he remains immune to such tariff escalation. Moreover, thanks to net or reverse metering (where he can sell excess electricity back to the grid) he can actually earn from such inflation in grid tariffs.
Average tariffs and tariff escalation are relatively high, and it is not well integrated in global value chains, limiting access to newest technologies and the opportunity to use increased competition and specialization for structural transformation.
Moreover, recent trend of rising commodity prices such as RFO and coal can cause a further tariff escalation for everyone.
Lagarde also spoke of the current challenges faced by the world: Trade tensions and tariff escalation, financial tightening, Uncertainty related to Brexit, and finally the accelerated slowdown of the Chinese economy.
But the likelier scenario is that tensions diminish as China realizes what South Korea, Mexico, and Canada already did in dealing with the US administration: rather than a tit-for-tat tariff escalation, the best approach for a country's short-term growth and longer-term development is to make concessions to the US on issues of genuine grievance.