Former President Donald Trump expressed his support for a "Reciprocal Trade Act" aimed at balancing the trade relationship between the United States and China. Trump shared his statement during a June 20 episode of the All In podcast.
"I think we should have a Reciprocal Trade Act," said Trump. "If China is going to charge us a hundred percent tariff on a car, then we should say, 'You gotta pay 100 percent to us.' The Reciprocal Act is, I think, a very important thing…they do things to us, and we should do things to them. Basically, it should be reciprocal."
The United States Reciprocal Trade Act was first introduced in 2019 and sponsored by Representative Sean P. Duffy. According to the Congressional Record, the bill was not signed into law. The proposed legislation would allow the president to negotiate with foreign countries for tariff reductions on U.S. exports or impose additional duties on imported goods under certain circumstances. The aim of the bill is to create equal trade tariffs with countries that have higher trade barriers, thereby establishing proportional tariffs.
The True Reciprocity Act of 2023, introduced by Senators Dan Sullivan and Chris Van Hollen, attempts to address the unequal economic relationship between China and the U.S. in several sectors, according to a press release. In the context of U.S.-China relations, the bill defines reciprocity as an equal exchange of goods or privileges. Senator Van Hollen stated, "For too long, the Government of China has imposed a double standard – their officials and organizations take advantage of the openness and transparency of our society but they deny similar access to our diplomats, businesses, media, and other entities."
According to Federal Newswire, Senator Chuck Schumer emphasized the need for reciprocity with China. He defined reciprocity as allowing American companies to operate in China similarly to how Chinese companies function in the U.S.
Trump is challenging President Joe Biden in the 2024 presidential election after previously serving as president from 2016 to 2020, according to Investopedia.
