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Tariff Fears

Definition

Tariff fears, in a broad economic context, refer to concerns among market participants about the potential negative impacts of new or increased import duties imposed by governments. These concerns typically involve disruptions to global supply chains, higher production costs for businesses, reduced consumer purchasing power, and potential retaliatory measures from other nations. Such fears can lead to market volatility, investment uncertainty, and shifts in trade relationships. They represent a significant macroeconomic risk factor.