'Equivalent tariffs', in other words, is' tooth for tooth'. Today, Trump announced that he will impose "reciprocal tariffs" on the world. He said that the whole world has been taking advantage of the United States, with higher tariffs than the United States, So he wants to tax the whole world. At the same time, because he is more 'merciful', he will only retaliate halfway. At first, he said that the United States would impose at least 10% tariffs on all countries in the world. At this moment, everyone breathed a sigh of relief and felt that the number was not very high. Then Trump boasted for a while, raised a brand and said that it was just an appetizer, and he would impose specific tariffs on specific countries: China imposes a 67% tariff on the United States, but retaliates with only 34% The EU imposes a 39% tariff on the United States, but retaliates by only charging 20% Vietnam imposes a 90% tariff on the United States, but retaliates by only charging 46% Wait, wait, wait. This brand is particularly long and covers almost all countries and regions in the world. Of course, penguins were not spared either. The effective tariff rate in the United States has also significantly increased from 2.4% in 2024 to 22.7%, far exceeding everyone's previous estimates. The most hawkish trader never expected him to offer such a high tariff. So all assets around the world are plummeting. The sharp decline in US stock futures, Japanese stock market, and BTC... Many people are curious about how Trump calculated this' tariff differential '. Because it is obvious that the tariffs imposed by China, Vietnam, and the European Union on the United States on that brand are far less high. China's tariffs on the United States are much lower than those on China, why is it so exaggerated at 67%. Trump said that this was calculated rigorously by them, covering topics such as "currency manipulation" and "artificial barriers". But in fact, the algorithm is particularly simple and crude: It divides the trade deficit between the United States and this country by the country's exports to the United States, and the resulting ratio is the 'tariff differential'. For example, the trade deficit between the United States and Indonesia is $17.9 billion, while Indonesia's exports to the United States are $28 billion. He divided 179 by 280 to get 64%, which is what he claimed to be the 'tariff differential'. Using the same formula, it will be found that all taxes levied by Trump comply with this point: This ratio has nothing to do with the tariff difference, but it is the number he obtained, and then dividing it by 2 will result in the imposition of tariffs. Actually, those numbers don't make much sense. He just wants to collect taxes from you. Moreover, Besent has just confirmed that the 34% tariff imposed on China will be combined with the previously added 20%, resulting in a 54% tariff imposed on China. Uncle Trump had a great time playing at the White House this time, With just a few clicks, he signed an administrative order for "equivalent tariffs". Does it mean that I will charge you as much as you charge me for customs duties? However, the word 'equivalent' is not that simple. UK 10%, Brazil 10%, Australia 10%, I am considered 'polite' to these three. The Philippines and Israel can directly account for 17%, the European Union for 20%, Japan for 24%, South Korea for 25%, and India for 26%. This number is like climbing stairs, the further it goes, the more terrifying it becomes. South Africa 30%, Switzerland 31%, Indonesia 32%, China 34%, Sri Lanka 44%, Vietnam 46%, Cambodia 49% This is not a tariff, it's like a delay! If anyone is the most hurt, it must be those countries that rely heavily on exports to the United States. For example, Vietnam has a 46% tariff, who can bear it? Vietnam's textiles and electronic products, which were originally popular in the US market, have no price advantage with the increase of tariffs. Consumers will definitely turn to buy products from other countries. Vietnamese small business owners are probably in a hurry right now. There is also Cambodia, with a 49% tariff, which is simply a "closed door" rhythm. You should know that Cambodia's clothing industry is a pillar of the economy. How many workers will lose their jobs if this knife is cut? How many factories have to close down? It's chilling to think about it. At the same time, the 25% tax rate in South Korea seems to have hidden arrows. Samsung Electronics' newly built wafer fab in Texas uses etching machine parts on its assembly line, most of which are shipped from Busan Port. Once this tariff war begins, chip prices may become even worse. Finally, some viewpoints are summarized: Brothers, the implementation of tariffs does not mean that the bearish trend has bottomed out. The tug of war may have just begun. 1. This tariff number is likely not the final number, but a maximum number. Negotiations may reduce a portion, but not too much. 2. The US dollar will gradually withdraw from the global settlement currency, and the world needs an anchor like gold. It is difficult for gold to experience a significant decline in the short term. 3. treasury bond will rise in shock. 4. Deflation, cash is king. 5. Negative risk assets (cryptocurrency/US stocks), 6. Favor safe haven assets such as gold and US Treasury bonds.