President Donald Trump is seeking reciprocal tariffs with global trading partners to bring down the tariffs those countries charge the United States, according to New York Post columnist Charles Gasparino.
In a Wednesday morning post on social platform X, Gasparino said his Wall Street executive sources who have been in contact with the White House and Trump himself "say they are being told the goal of the new tariff regime will be to cut reciprocal deals to lower tariffs w trading partners."
"Still they have cautioned the White House that the short term economic signals are not good; business spending is grinding to halt and price elevation on goods is already happening as markets price in how trade partners react and before deals can be cut," Gasparino reported. "They are warning about stagflation and that markets will remain extremely volatile. That said, if these trade deals can be reached and both sides begin lowering not just tariffs but trade barriers the effect will be a long term positive for markets and the economy."
The business journalist's sources reportedly told the White House that "getting there will be extremely messy" and will be the "biggest political challenge" of Trump's presidency, "making the DOGE [Department of Government Efficiency] contretemps look like a walk in the par[k]."
Gasparino's sources also warn that trade dealings with China will be complicated by "two interesting and additional variables: @tiktok_us and the @BlackRock deal to buy the ports from the China based CK Hutchison."
According to Gasparino's reporting on X, Trump needs Chinese President Xi Jinping to "buy in for both" and would be willing to play ball on China tariffs to do so."
The Wall Street sources reportedly said that while it's currently unclear how big the tariffs will be — ranging from 15% to 25% — "the workaround" will be "key," and Gasparino said in his post that he's told "there will be workarounds."
One problem the Post columnist foresees is that the "tariffs could really crush" Trump's base, "i.e. farmers," as well as the sale of U.S. natural gas.
The United States is headed for "short term inflation and an economic slowdown," Gasparino reported, with Wall Street executives "telling the White House that could appear in second quarter numbers."
Nicole Weatherholtz ✉
Nicole Weatherholtz, a Newsmax general assignment reporter covers news, politics, and culture. She is a National Newspaper Association award-winning journalist.
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