U.S. Trade Representative Jamieson Greer stated that the newly implemented Section 301 tariffs will not influence the Federal Reserve's interest rate decisions.
In an appearance on Fox News on July 27, Greer responded to a question about whether the new tariffs could complicate the Fed's ability to maintain interest rates, saying, "I do not believe it will have any impact at all."
He explained that unlike the previous 10% global tariffs that applied broadly, the new tariffs are limited to specific countries and products. "The tariff rates are similar to what they were before, so they will not have a different impact on the U.S. economy," he added.
On July 24, the U.S. imposed tariffs of 10% or 12.5% on 60 trading partners, citing failures to adequately prevent products made with forced labor from entering the U.S. market. The new tariffs were introduced following the expiration of the 10% global tariffs that had been in place for 150 days, based on Section 301 of the trade law.
For non-exempt products from South Korea, additional tariffs will be applied to ensure that the combined rate of the most favored nation tariff and the new Section 301 tariff reaches 12.5%. Products already subject to tariffs exceeding 12.5% will not incur additional Section 301 tariffs.
The USTR is also conducting a separate Section 301 investigation into structural overproduction in manufacturing among certain trading partners, including South Korea. Greer indicated that the investigation will be concluded soon, with potential responses that could lead to additional tariffs.
* This article has been translated by AI.
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