section_path: "Reciprocal" tariff policy/Development
section_name: Development
paragraph_text: Development
  
  Reuters reported the Trump administration struggled to design reciprocal tariffs because each of the 186 members of the World Customs Organization applied different duties. The administration initially considered dividing all countries into tiers of high, medium, and low trade barriers. Later, Treasury Secretary Scott Bessent and National Economic Council director Kevin Hassett told Fox Business that the administration would focus on the United States' largest trading partners and assign individualized tariff rates. Hassett stated that "more than 100 countries don't really have any tariffs on us and don't have any non-tariff barriers" and that only "10 to 15 countries" were a concern.
  
  However, on March 30 Trump told reporters, "I don't know who told you 10 or 15", dismissing the idea as a "rumor" and saying he would impose tariffs on "all countries". Although many countries attempted to negotiate deals in the weeks leading up to April 2, no exemptions were granted. The lack of clarity contributed to economic volatility and the beginning of the 2025 stock market crash.
  
  Bloomberg News reported Navarro urged Trump to adopt a 25% minimum import tariff or a "reciprocal" tariff formula based on trade deficits, while Bessent and Hassett proposed more nuanced and targeted tariffs. Bessent encouraged using tariffs primarily as a negotiating tool, while Navarro saw them as a means to transform trade relationships. Ultimately, Trump adopted Navarro's idea of "reciprocal" tariffs.