TACO Tariff Extension on the Menu Again? White House Advisor Hints at Renewal

Another round of TACO tariffs might be served up—White House advisors suggest an extension is in play.

Key Points:

- The Trump-era tariffs could get a surprise encore despite economic headwinds.

- Markets brace for potential supply chain indigestion as the policy kitchen gets reheated.

- Critics groan: 'Because nothing says economic recovery like doubling down on trade wars.'

Active verbs only: Slaps tariffs, disrupts markets, fuels debates. No passive voice here.

Closing jab: Because when in doubt, governments always default to protectionism—the financial equivalent of putting ketchup on filet mignon.

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“My expectation would be that for countries that are negotiating in good faith and making progress, that rolling back the deadline makes sense,” said WHITE House economic advisor Stephen Miran on Yahoo Finance’s Opening Bid program this morning.

Tariff Extension Possible for Countries “Negotiating in Good Faith”

Miran added that Trump’s baseline 10% tariff will either stay in place or be marginally lower for countries that strike a deal. A few countries have “convinced the president to lower tariffs below 10%,” said Miran, although he didn’t disclose which countries.

So far, only the United Kingdom and China have agreed to trade deals with the U.S. However, both of these deals are incomplete and pending further negotiations. At the same time, the market has completed a full recovery since Trump announced his “reciprocal tariffs” on April 2. That suggests investors don’t perceive tariffs as a major threat to the U.S. economy. The S&P 500 (SPX) is currently about 0.20% away from cementing a new all-time high.