US President Donald Trump reportedly signed an executive order on Friday to get rid of tariffs on a broad swath of commodities, including beef, coffee, tropical fruits, tomatoes, and bananas, among other agricultural imports.<\/p>\n
Trump signed an executive order that also removes tariffs <\/a>on tea, fruit juice, cocoa, spices, bananas, oranges, tomatoes and certain fertilisers.<\/p>\n Some of the products covered aren\u2019t produced in the United States, meaning that tariffs meant to spur domestic production had little effect. But reducing the tariffs will still likely mean lower prices for US consumers.<\/p>\n Also Read<\/strong> | A King Kong vs Godzilla fight in the world of trade\u2014Guess who won?<\/a><\/p>\n The order Trump signed excludes the goods from \u201creciprocal\u201d tariff rates<\/a>, which start at 10 percent and go as high as 50 percent. However, the order doesn\u2019t exempt the goods entirely from tariffs, CNN reported.<\/p>\n For example, tomatoes from Mexico, a major supplier to the US, will continue to be tariffed at 17 percent. That rate took effect in July after a nearly three-decade-old trade agreement expired. Tomato <\/a>prices increased almost immediately after those tariffs were put in place.<\/p>\n Also Read<\/strong> | $2,000 tariff dividend may skip high-income families, Treasury Secy suggests<\/a><\/p>\n The CNN report added that many of the commodities that will no longer face \u201creciprocal\u201d tariffs have seen some of the biggest price increases since Trump took office, in part because of tariffs he imposed and a lack of sufficient domestic supply.<\/p>\n In previewing Friday\u2019s executive order, Treasury Secretary Scott Bessent <\/a>said earlier this week the moves targeted goods \u201cwe don\u2019t grow here in the United States,\u201d referring to coffee and bananas. (While coffee is grown in some parts of the country, it\u2019s mostly imported.<\/p>\n What did Trump say?<\/p>\n \u201cWe just did a little bit of a rollback on some foods like coffee,\u201d Trump said aboard Air Force One as he flew to Florida hours after the tariff announcement was made.<\/p>\n Pressed on his tariffs helping to increase consumer prices, Trump acknowledged, \u201cI say they may, in some cases” have that effect.<\/p>\n \u201cBut to a large extent they\u2019ve been borne by other countries,\u201d the president was quoted by the Assocated Press as saying.<\/p>\n Why did Trump drop tariffs?<\/p>\n The development came in response to pressure from consumers who are struggling with high prices.<\/p>\n In off-year elections this month, voters economic concerns as their top issue, resulting in big wins for Democrats in races in Virginia and New Jersey.<\/p>\n They expressed frustrations with the state of the economy in exit polls earlier this month.<\/p>\n