Bill Ackman Proposes 10% Tariff Across Board, Calls for 90-Day Pause
1min read Billionaire hedge fund manager Bill Ackman has proposed a 10% tariff across the board, questioning the current tariff strategy's effectiveness, especially concerning smaller nations. Ackman, a vocal supporter of President Trump, has expressed concerns about the recent tariff increases, describing them as "massive" and "disproportionate." He has urged for a 90-day pause in tariff implementation to allow for renegotiation of trade deals, warning that the current approach could stifle business investment and consumer spending.
Ackman's proposal comes at a time when the global economy is already grappling with the impacts of recent tariff increases. The steepest American tariffs on imports in over a century have been imposed, with rates as high as 50% on some countries. This has led to significant market volatility and raised concerns about a potential global recession. Ackman's call for a more measured approach to tariffs reflects a growing unease among some economic experts about the potential long-term effects of the current tariff strategy.
The billionaire's concerns are not unfounded. The recent tariff increases have already had a significant impact on global markets, with stocks tumbling and investors expressing pessimism about the economic outlook. This is the steepest weekly decline since the early days of the coronavirus pandemic and has brought the index close to bear market territory.
Ackman's proposal for a 10% tariff across the board is a departure from the current strategy of targeting specific countries with high tariffs. He argues that a more uniform approach would be more effective in balancing trade and would be less likely to cause economic disruption. However, his proposal has been met with skepticism by some economists, who argue that a 10% tariff would still be too high and could lead to retaliation from other countries.
Despite the concerns, Ackman remains optimistic that a more measured approach to tariffs could lead to a more balanced and sustainable trade relationship. He believes that a 90-day pause in tariff implementation would allow for a more thorough renegotiation of trade deals and could help to alleviate some of the economic uncertainty that has been caused by the recent tariff increases.
