President Donald Trump said he plans to unveil reciprocal tariffs next week in a major escalation of his trade war with United States economic partners.

Trump made the announcement during a meeting with visiting Japanese Prime Minister Shigeru Ishiba on Friday but did not identify which countries would be hit.

The push for reciprocal tariffs has long been a pursuit of Trump and some of his top advisers. Trump promised during the presidential election campaign to advance legislation empowering him to hit any country that charges a duty on a U.S.-made good with “the same exact tariff.”

Trump has repeatedly complained about levies other countries impose on U.S. goods, arguing the nation needs a “fair deal,” even as he threatens sweeping fresh tariffs of his own against imported steel, pharmaceuticals, oil and other key sectors.

He’s taken particular aim at the European Union’s value-added tax, a minimum standard rate of 15 per cent that can go considerably higher for some countries, telling reporters on Monday that the levy went “through the roof.”

Trump has used the spectre of tariffs to bolster his negotiating leverage with other countries on issues including illegal immigration and fentanyl smuggling, as well as trade deficits.

Trump earlier this month delayed 25 per cent levies on Canada and Mexico after the countries made only modest pledges to address his concerns over border security, leading some to question his willingness to follow through on his threats. The president did hit China with 10 per cent levies, though the White House has said he intended to speak with Chinese counterpart Xi Jinping.

Bloomberg.com