Ex-WTO: Tariffs slow US economy

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00:00Let's talk about these tariffs. You're quoted as saying that these policies are ultimately

00:06going to backfire on the United States. Why do you think that?

00:11Well, I say that because I believe it. If the U.S. surround themselves with a fence of

00:2325% import tariffs, this will raise costs, prices in the U.S., given how much they import

00:36of what they consume. They have a trade deficit, which stems from the fact that the U.S. consume

00:45more than what they produce. And by the way, this is not a problem because they can finance

00:50it easily with the dollar. But given the import content of U.S. consumption, these 25% tariffs

01:02will raise prices, costs, fuel inflation. Probably at the end of the day, interest rates will

01:09slow down the U.S. economy. So this is bad for the U.S. in the first line.

01:20And in a second line, this is bad for the 60 countries that are hit by these so-called reciprocal

01:30tariffs.