During his second term as President of the US, Donald Trump enacted a series of steep tariffs affecting nearly all goods imported into the country.[1] From January to April 2025, the average applied US tariff rate rose from 2.5% to an estimated 27%—the highest level in over a century, after most economists had determined that widespread high tariffs may have played a key role in starting the Great Depression.[2][3] After changes and negotiations, the rate was estimated at 17.9% as of September 2025.[4] By September 2025, US tariff revenue exceeded $30 billion per month, compared to under $10 billion per month in 2024.[5]
Under Section 232 of the 1962 Trade Expansion Act, Trump raised steel, aluminum, and copper tariffs to 50% and introduced a 25% tariff on imported cars from most countries. New tariffs on pharmaceuticals and semiconductors, were also implemented, with exceptions for companies manufacturing in the US.
Trump also claimed unprecedented tariff authority under the International Emergency Economic Powers Act (IEEPA). On April 2, 2025, he invoked the law to impose "reciprocal tariffs" on imports from all countries not subject to other sanctions. A universal 10% tariff took effect on April 5. Although plans for additional country-specific "reciprocal tariffs" were delayed due to the 2025 stock market crash, they were implemented on August 7. The de minimis exemption, scheduled to end in July 2027, was closed on August 29 under IEEPA; previously, packages valued below $800 were exempt from tariffs.[6] Sweeping use of the IEEPA sparked a trade war with Canada and Mexico and escalated the China–US trade war.
Federal courts have ruled that the tariffs imposed under the IEEPA are illegal; however, they remained in effect at least through October 2025 while the case was appealed. On November 5, the Supreme Court heard oral arguments in the consolidated case of Learning Resources v. Trump concerning the administration's tariffs imposed under the IEEPA.[7][8][9] The challenges do not include tariffs imposed under Section 232 or Section 301.[10]
The Trump administration argues that its tariffs will promote domestic manufacturing, protect national security, and substitute for federal income taxes. The administration views trade deficits as inherently harmful, a stance economists criticized as a flawed understanding of trade.[11][12][13][14] Although Trump has said foreign countries pay his tariffs, US tariffs are fees paid by US businesses and consumers that import foreign goods.[15][16] The tariffs contributed to downgraded GDP growth projections in both the US and its trading partners by the Federal Reserve,[17] the OECD,[18] and the World Bank.[19]
Since the 1980's, Trump has advocated for import tariffs as a tool to regulate trade and retaliate against foreign nations that he believes have taken advantage of Americans.[20] In his campaigns for the US presidency, Trump promised to use tariffs to achieve a wide range of goals, including preventing war, reducing trade deficits, improving border security, and subsidizing childcare.[16]
First Trump administration
In 2018, Trump imposed tariffs on steel and aluminum imports, resulting in price increases for Americans.[21] In December 2021, the price of one metric ton of hot-rolled band steel was $1,855 in the US compared to $646 in China and $1,031 in Europe.[22] The World Trade Organization (WTO), a regulator of international trade, ruled that the implementation violated global trade rules.[23] While he and Joe Biden rolled back some of these tariffs, most remained in place by the start of Trump's second term.[24]
Trump also launched the China–US trade war, which subjected 60% of US-China trade to 20% tariffs[25] and was widely characterized as a failure for the US.[26]
In 2020, the US, Mexico and Canada renegotiated North American Free Trade Agreement (NAFTA) as the US–Mexico–Canada Agreement (USMCA) and recommitted to 0% tariffs on most products traded between them. Five weeks after the USMCA went into effect, Trump used an exemption for national security concerns to implement a 10% tariff on Canadian aluminum after claiming it was flooding the US market.[29][30] He withdrew the tariff a month later, three hours before the 29th Canadian Ministry planned to retaliate.[31]
2024 presidential campaign
In his 2024 presidential campaign, Trump pledged even larger tariffs than those in his first term, including 60% on China, 100% on Mexico, and 20% on all other countries. He also proposed tariffs to penalize US companies that outsourced manufacturing, such as a 200% tariff on John Deere.
Trump also suggested replacing income taxes with tariff revenue—an idea economists from the Tax Foundation deemed "mathematically impossible".[32] 23 Nobel Prize-winning economists signed a letter warning that Trump's policies, including high tariffs, would "lead to higher prices, larger deficits, and greater inequality".[33][34]
On November 5, 2024, shortly after the 2024 US presidential election, Trump acknowledged that tariffs might cause "some pain" for Americans but said, "it will all be worth the price that must be paid".[35]
Appointments of Navarro and Miran
In December 2024, Trump appointed Peter Navarro as his Senior Counselor for Trade and Manufacturing. Navarro had been recently imprisoned for defying congressional subpoenas related to his role in attempts to overturn the 2020 US presidential election, including his "Green Bay Sweep" strategy.[36] Navarro advocates for a permanent regime of trade barriers to balance the trade deficit and has written books criticizing corporations for prioritizing profits over American jobs. He served in high-ranking trade roles during Trump's first term but was often rebuffed by free market-minded Trump administration officials such as Gary Cohn, who resigned in protest of Trump's 2018 steel and aluminum tariffs.[37] Navarro began working closely with cabinet nominees Howard Lutnick and Jamieson Greer and faced less opposition in Trump's second term.[38]ING Group noted that plans for Trump's "reciprocal tariff" policy appeared to align with Navarro's section of Project 2025, titled "The Case for Fair Trade".[39]
In November 2024, Stephen Miran, now chairman of the Council of Economic Advisers under Trump, released a white paper titled "A User's Guide to Restructuring the Global Trading System,"[40] which proposed using tariffs as a tool to drive down the value of the dollar through a negotiated 'Mar-a-Lago Accord'.[41] Miran and other key figures in the administration have suggested that the dollar is significantly overvalued because of its status as a reserve currency,[42] and that tariffs can be used to weaken the dollar and revitalize American manufacturing,[43] although this view has been criticized by some economists.[44] While the administration's ultimate tariff formula did not closely resemble any of Miran's suggestions, the underlying ideas in Miran's white paper remain important in the Trump administration's conduct of trade policy.[45][41][46]
Trump was inaugurated for a second term on January 20. In his inaugural address, he pledged to "immediately begin the overhaul of our trade system to protect American workers and families."[47] On February 1, he declared several "national emergencies" regarding fentanyl trafficking and invoked the IEEPA to impose 25% tariffs on most goods from Mexico and Canada and 10% on goods from China.[48] Tariffs on USMCA-compliant Mexican and Canadian goods were quickly suspended,[49] but the "fentanyl tariff" on Chinese goods was raised to 20% on March 4.[50] On February 13, Trump announced plans to impose "reciprocal tariffs" on all countries with trade barriers against the US in April, prompting a wave of diplomatic outreach.[51][52]
Analysts and foreign governments expressed confusion over the administration's tariff strategies and openness to negotiation.[53][54] Trump varyingly stated that tariffs would be lifted following trade negotiations, retained to tax foreign goods to fund government spending, or used to discourage foreign goods and protect US manufacturing.[55] Canada alleged that tariffs on its exports were intended to damage its economy and pressure annexation into the US.[56] A Japanese trade official commented, "No matter who I talk to in the US administration, none of them knows what Trump is thinking. We don't even know what Trump wants to negotiate on."[57] When Vietnam offered to eliminate all tariffs on American goods, economic advisor Peter Navarro dismissed the proposal. "This is not a negotiation," he said. "This is a national emergency based on a trade deficit that's gotten out of control."[58]
On March 12, the administration imposed 25% tariffs on imported steel and aluminum products.[59] First-quarter US GDP fell -.05%, but investors attributed the decline to a rush to import goods before tariffs took effect rather than to underlying weakness.[60]
April–June 2025
A timeline of the US average effective tariff rate from January 2025 through June 2025, based on calculations by employees of the Federal Reserve Bank of Richmond.
On April 2, a day he called "Liberation Day", Trump declared a national emergency regarding the national trade deficit and announced "reciprocal tariffs" on all countries not subject to other sanctions. A minimum 10% tariff on almost all US imports took effect on April 5.[61] Panic induced by the announcement led to the 2025 stock market crash and new country-specific tariffs, planned for April 9, were paused for 90 days.[62][63] However, after a retaliatory spiral, US tariffs on Chinese goods rose to 145% while Chinese tariffs on US goods rose to 125%.[64] Steel and aluminum tariffs, a 25% tariff on automobiles imposed April 3, and other sector-specific duties also remained.[65]Politico estimated that despite the 90 day pause, the remaining tariffs brought the average applied US tariff rate to 27%–the highest level in over a century.[3]
On April 21, CEOs of major US retailers warned Trump that the trade war with China would lead to visible price increases and product shortages in two weeks.[66] Polls indicated 84% of business leaders were concerned about the impact of the tariffs on the US economy.[67][68] The first cargo ships carrying Chinese goods tariffed at 145% arrived on May 6 with shipments cut in half.[69] Trump reportedly pivoted his focus toward negotiation, sidelining Navarro and promoting Scott Bessent as his lead economic advisor.[70][71]
On May 28, the US Court of International Trade unanimously ruled that Trump had exceeded his authority by imposing the "fentanyl tariffs" and "reciprocal tariffs".[72] The tariffs remained in effect while the government appealed.[73]
By the end of June, the US had only signed a deal with the UK and a 90-day temporary deal with China.[74] Under terms expiring November 9, as extended, China lowered tariffs on US goods to 10% and resumed exports of rare-earth elements, while the US lowered its tariff on Chinese goods to 30% (10% baseline + 20% fentanyl) and cut de minimis tariffs to 54%.[75] Trump said the US had also reached a deal with Vietnam, but Vietnamese officials were reportedly uncommitted and surprised by the announcement.[76]
On June 4, Trump doubled the tariffs on steel and aluminum imports from 25% to 50%,[79] and on June 12, he expanded them to include household appliances like refrigerators and dishwashers.[80]
Second-quarter US GDP rebounded to 3.8% as imports normalized.[81]
July–September 2025
The reintroduction of country-specific "reciprocal" tariffs—expected on July 8—was postponed twice before taking effect on August 7.[82][83]
Trump notified foreign governments of adjustments to their "reciprocal" tariff rates in a series of letters.[84] In one letter to Brazil, he threatened a 50% tariff while denouncing charges against Jair Bolsonaro, an ally facing trial for the 2022 Brazilian coup plot.[85] On July 30, Trump declared Brazil’s actions a US "national emergency" and imposed an additional 40% tariff on top of a 10% "reciprocal" tariff.[86]
On July 31, the US announced its first "secondary tariff," targeting India to penalize its trade with Russia.[87] Beginning August 27, Indian exports faced an extra 25% tariff or a total baseline tariff of 50%.[88]
On August 1, the Bureau of Labor Statistics released revised data showing a sharp slowdown in hiring, which some attributed to uncertainty caused by tariffs.[89] Trump dismissed the data as "rigged" and fired the BLS Commissioner.[90]
On August 29, the US Court of Appeals for the Federal Circuit ruled 7-4 that Trump had exceeded his authority under the IEEPA, but allowed the tariffs to remain operational until October 14 to provide time for the government to appeal.[92] The Supreme Court granted certiorari on September 9, and will hear the case during the first week of November 2025.[93]
In September 2025, Trump announced tariffs on large trucks, kitchen cabinets, bathroom vanities, and upholstered furniture, to begin on October 1.[94] Trump also announced a 100% tariff on "any branded or patented" pharmaceutical product, unless the companies were "breaking ground" or had "under construction" pharmaceutical manufacturing plants in the US.[95]
October–December 2025
On October 10, President Trump announced an additional 100% tariff on Chinese goods, starting November 1, in retaliation of China's broadening of export controls on rare earths.[96] China controls roughly 70% of the global supply of rare earth minerals. Trump also said the US would impose export controls on "any and all critical software".[97]
In response, China's Ministry of Transport announced it would match the Trump administration's planned increased in port fees on Chinese-owned and operated ships[98]. Days later China also moved to effectively ban Chinese companies from doing business with US subsidiaries of Korean shipbuilder, Hanwha Ocean.[99]
On October 25, Trump announced an additional 10% tariff on Canada, in retaliation for Premier of OntarioDoug Ford airing advertisements during the 2025 World Series opposing Trump's tariffs on Canada. The advertisements included footage of Ronald Reagan in 1987 opposing tariffs.[100][101]
On October 30, President Trump and Chinese leader & CCP General SecretaryXi Jinping met in South Korea. Trump announced the US would cut the "fentanyl tariff" on Chinese goods entering the US from 20% to 10% in return for soybean and other farm product purchases and easier access to rare earths. The US also was expected to suspend an expansion of export controls.[102] The talks initially resulted in China retaining its hold over global supply chains. The 2025 US-China trade deal lowered tariffs on Chinese goods to levels similar to or below those on other countries, reducing the incentive for companies to move production elsewhere. Higher tariffs on nations like India and Brazil further narrowed cost advantages, leading many small firms to retain operations in China and reinforcing its dominant role in global supply chains.[103]
A significant portion of the Supreme Court seems to express doubt regarding Donald Trump’s emergency tariffs.[104] The review by the US Supreme Court in November 2025 concerning President Donald Trump’s global tariffs, along with the potential for Trump to employ alternative trade strategies following an adverse ruling, is likely to heighten the chances of disorder.[105]
On November 9, Trump "floated the idea" that he was considering sending $2,000 dividends to Americans funded using revenue collected from tariffs. Details of how the policy would work or who would be eligible to receive the dividends were unknown, though Trump suggested the "tariff dividend" would leave "high income people" as ineligible. Some budget experts discussing the proposed idea say it's not possible. John Ricco, who is an analyst at the Yale University budget lab, explains: Trump’s tariffs would bring in $200 billion to $300 billion a year in revenue, but a $2,000 dividend would cost $600 billion. [106][107][108]
Legality
Trade law
Although the US Constitution grants Congress the sole authority to levy taxes, including tariffs, Congress has passed laws allowing the President to impose tariffs for national security reasons unilaterally.[109] In his second term, Trump added tariffs to steel, aluminum, and auto imports under Section 232 of the Trade Expansion Act (TEA), which allows the President to modify imports if the Secretary of Commerce conducts an investigation, holds public hearings, and determines that the imports threaten national security.[110][111] Trump directed the USTR to initiate similar investigations to impose tariffs under Section 301 of the Trade Act of 1974.[112]
Trump also invoked unprecedented powers under the National Emergencies Act (NEA) and the International Emergency Economic Powers Act (IEEPA) by declaring multiple "national emergencies" related to border security, energy, and trade deficits.[113][114] Declaring these emergencies allowed Trump to enact tariffs quickly without following the complex procedures required by TEA or other trade statutes.[115] While the IEEPA had been used for sanctions, it had never before been used for tariffs. As he signed the orders, Trump stated that declaring an emergency "means you can do whatever you have to do to get out of that problem."[113]The New York Times reported that "many economists and legal experts believe that the idea of an emergency has been concocted to justify Mr. Trump's desire to impose sweeping import duties without regard to congressional approval or international trade rules."[116]
To terminate a national emergency under the NEA, a member of Congress may file a privileged resolution requiring their chamber to vote on the topic within 15 days. Democratic representatives introduced resolutions to end several of Trump's national emergencies justifying tariffs, but these efforts were blocked by the Republican congressional majority.[117][118][119][120][121]JD Vance cast a tie-breaking vote in the Senate to uphold the emergency underpinning the "Liberation Day" tariffs.[117]
Legal challenges
Several countries initiated disputes regarding Trump's tariffs with the World Trade Organization (WTO), a regulator of international trade.[122][123] However, the US has de facto paralyzed the WTO since 2019 by blocking new appointments to its Appellate Body. Without a functioning Appellate Body, no final rulings can be made.[124] On March 4, the US notified the WTO that it would suspend contributions to its budget indefinitely. The US was set to provide about 11% of the WTO's $232million 2024 budget, a fee based on the country's share of global trade.[125]
At least seven cases were filed in American federal courts challenging Trump's authority to impose tariffs under IEEPA.[126][127] Central to each case is the argument that the imposition of tariffs, in the absence of clear congressional authorization, may constitute an overextension of executive power into areas that are traditionally reserved for the legislative branch.[128][129][130] Several complaints invoke the nondelegation doctrine, asserting that the IEEPA, as applied, grants the executive branch an excessively broad scope of discretion. In addition to constitutional claims, the cases highlight significant economic consequences for states, businesses, and individuals, emphasizing the potential for such executive action to set a precedent for expansive policymaking beyond the intended purpose of emergency economic legislation.[128][129][130]
On May 28, the US Court of International Trade (CIT) issued a summary judgement for V.O.S. Selections, Inc. v. US and Oregon v. Department of Homeland Security and ruled Trump had exceeded his authority under the IEEPA.[131][132] According to Thomson Reuters, the CIT found the IEEPA tariffs "illegal because the triggering emergency (fentanyl trafficking and trade deficits) bore no rational connection to the trade measures imposed."[133] In Learning Resources v. Trump, a Washington D.C. district court went further by holding that the IEEPA does not authorize tariffs at all.[133] The rulings were stayed pending appeal, allowing the tariffs to remain in effect.[134] The US Court of Appeals for the Federal Circuit upheld the CIT’s decision on August 29, but stayed their ruling until October 14.[135][136][137] The Supreme Court consolidated V.O.S. Selections and Learning Resources into a single case on September 9, as requested by the petitioners Learning Resources, Inc., et al. on September 4.[93][a]
In October 2025, the US Senate voted 51–47 to nullify Trump’s global "reciprocal" tariffs on more than 100 countries. The measure followed similar votes to end tariffs on Brazil and Canada. The vote was largely symbolic as the House of Representatives would not take up the resolution due to a new rule blocking tariff-related measures from floor consideration.[139]
On November 5, the Supreme Court heard oral arguments in the consolidated case of Learning Resources v. Trump.[7][8][9]
Section 232 tariffs
Steel and aluminum tariffs
On March 12, the US imposed 25% tariffs on all steel and aluminum imports, aiming to strengthen domestic production.[59] On April 2, aluminum tariffs expanded to include empty aluminum drink cans and canned beer.[140] The measures expanded Trump's first-term steel and aluminum tariffs by eliminating all exemptions and raising the aluminum tariff from 10% to 25%.[110] The administration argued previous exemptions "inadvertently created loopholes that were exploited by China and others with excess steel and aluminum capacity".[141] Trump also mandated that steel be "melted and poured" and aluminum "smelted and cast" in the US to qualify for duty-free status to prevent tariff circumvention.[142]
Tariffs on steel and aluminum imports were increased to 50% on June 4.[79] The UK remained at 25% while it continued to negotiate a trade deal announced the previous month.[143] On June 12, the White House announced steel tariffs would expand to include a range of major household appliances beginning on June 23.[80] The tariffs expanded to include 407 additional products on August 19.[144]
In 2023, the US imported 44% of its aluminum and 26% of its steel.[145] Canada was its largest supplier of both, accounting for more than half of aluminum[146] and two-thirds of primary aluminum imports.[145] The US was the world's largest producer of aluminum through 2000 but accounted for less than 2% of the global supply by 2021, largely due to high electricity costs making it less competitive in the global market.[147] In 2021, primary aluminum smelters operated at 55% capacity in the US compared to 95% in Canada and 88% globally. The US remained a major producer of less energy-intensive secondary aluminum, but secondary aluminum is less desirable for industries like defense and electronics.[147]
Copper tariffs
Trump ordered a probe into copper imports in preparation for a Section 232 tariff on the industry on February 25.[148] In anticipation, metal and mining companies doubled their copper imports.[149][150] On July 9, Trump announced a 50% tariff on copper imports would take effect on August 1.[151]
The US consumes around 1.6 million tons of refined copper annually but produces only 1.1 million tons. As of the announcement, no plan had been unveiled to boost domestic production to compensate for the expected shortfall.[152] The tariffs are anticipated to increase the prices of US products containing copper components.[153] Copper producers with major operations in the US include Freeport-McMoRan and Rio Tinto.[153] Rio Tinto, Southwire, and Trafigura proposed restricting copper scrap exports instead of penalizing imports, but scrap exporters lobbied against the idea.[154]
Chile supplies about 60% of US copper imports, accounting for 11.1% of Chilean copper exports.[153][155] Chilean state-owned miner Codelco, which sends roughly one-third of its copper exports to the US, was at first expected to lose significant revenue.[156] In Chile, the proposed negative effects include reduced employment or fewer new job opportunities, diminished foreign investment in copper mining, and lower government revenues that could widen the fiscal deficit. A potential upside, however, is a possible increase in global copper prices due to constrained supply.[157]
Analysts suggest that China, India, and Southeast Asian countries could absorb much of the displaced copper, keeping the global supply-demand balance relatively stable through at least 2030, when new copper mines are expected to come online.[153]
On July 30, Trump announced that the tariffs would not apply to cathode copper. Considering that the sale of cathode copper to buyers in the US represent 11.1% of the value of Chilean copper exports this exception improved the outlook for Chilean mining.[158][159] This had a particularly good impact for Codelco that is a traditional supplier of cathode copper.[159]
Automobile and auto part tariffs
In January 2025, President Trump announced broad tariffs on Canada and Mexico, threatening the highly integrated North American auto supply chain.[160] Due to decades of free trade agreements including USMCA, factories in the US, Canada, and Mexico grew accustomed to shipping auto parts back and forth multiple times during the manufacturing process.[160] The three largest US automakers—Ford, General Motors, and Stellantis—lobbied for exemptions, warning the tariffs would hurt American companies more than foreign competitors.[161] Ford CEO Jim Farley warned investors, "Long term, a 25% tariff across the Mexico and Canadian border will blow a hole in the US industry that we have never seen."[160] Trump agreed to delay tariffs on USMCA-compliant vehicles.[49] Still, non-USMCA compliant brands manufacturing in Canada or Mexico, such as BMW, were affected starting March 4.[161] BMW chose to cover these tariffs until May 1.[162]
The USMCA exemption closed on April 3, when Trump imposed a new 25% tariff on all imported cars, including those from Mexico and Canada.[163] Economist Arthur Laffer estimated car prices would increase by $4,711, compared to $2,765 if the USMCA exemption remained available.[164] The White House argued the move would boost domestic manufacturing and generate $100billion in tax revenue,[165] noting that about 50% of the 16 million cars bought by Americans in 2024 were imported.[166] The same day, Stellantis announced it would temporarily close factories in Canada and Mexico and lay off 900 American employees as it assessed the impact of tariffs.[167]
Trump announced some relief after US automakers requested more time to move their supply chains.[168] While the 25% tariff extended to auto parts on May 3, Trump exempted parts made in Mexico or Canada that were compliant with the USMCA.[169] On April 29, he exempted carmakers who pay a 25% on imported cars from paying other tariffs, such as those on steel and aluminum. He also provided a rebate on a proportion of tariffs paid for the next two years.[170] In May, US automakers criticized Trump's trade deal with the UK for making it cheaper to buy a British car than one of their cars assembled in Mexico or Canada using US parts.[171]
On February 21, Trump issued a presidential memorandum ordering the Office of the US Trade Representative (USTR) as well as other officials, including Peter Navarro, to investigate digital service taxes (DSTs) and determine whether to take retaliatory action. A fact sheet accompanying the memo emphasized that the European Union's Digital Markets Act (DMA) and Digital Services Act (DSA) would face scrutiny.[172]
DSTs are taxes on revenue from digital services, such as online advertising and selling user data. These taxes allow countries to collect revenue from multinational companies that provide digital services in their jurisdiction.[172] USTR investigations initiated during Trump's first term led to tariff threats on several countries under authority granted by section 301 of the Trade Act of 1974.[112] On October 8, 2021, over 135 countries participating in the OECD negotiations agreed on a two-pillar approach to reform and withdraw DSTs called the "Global tax deal". The Pillar One deadline was December 31, 2023, but it was subsequently extended to December 31, 2024.[172] As of January 2025, Trump withdrew from Pillar Two of the agreement, and many countries' DSTs remain in effect.[173][172]
Pharmaceuticals
On April 1, the Commerce department initiated a Section 232 investigation into pharmaceuticals. According to the Federal Register filing, the probe targets "both finished generic and non-generic drug products, medical countermeasures, critical inputs such as active pharmaceutical ingredients and key starting materials, and derivative products of those items."[174]
On July 8, Trump threatened to impose "tariffs at very high rate, like 200%", on imported pharmaceuticals, but said he would "give people about a year, year and a half" to give drugmakers time to adjust.[175]
Semiconductors
On April 1, the Department of Commerce initiated a Section 232 investigation into ""imports of semiconductors and semiconductor manufacturing equipment."[176] On August 6, Trump said he would impose tariffs of "approximately 100% on chips and semiconductors", but would exempt companies that were building or that had committed to build in the US. Trump referenced Apple Inc., which had committed to invest $100 billion over four years into US manufacturing, as a possible exclusion.[177]
Solar panels
During his administration, President Joe Biden announced preliminary tariffs of 21.31% to 271.2% on Chinese solar panel makers with factories in Malaysia, Cambodia, Vietnam, and Thailand to support American manufacturers complaining of dumping. The Biden administration raised the alarm over China's high investments in factory capacity for clean energy goods.[178] The Commerce Department was expected to set final determinations by April 18.[178] In April, under the second Trump administration, the Commerce Department finalized plans with the lowest tariff at 41%. Products from Cambodia faced duties of 3,521% because its producers did not cooperate with the US investigation. The International Trade Commission will vote on the plans in June.[179]
Films
In a social media post on May 4, Trump said his administration would begin the process of instituting a 100% tariff on all films "produced in foreign lands". He claimed the US film industry was dying a "very fast death" due to incentives that other countries offered to draw American filmmakers. He described these incentives as a "national security threat" and the films as "propaganda."[180] US film production has increasingly moved to lower-cost locations overseas, resulting in job losses for American industry workers.[181][182]
On September 29, Trump announced on Truth Social that he would be imposing a 100% tariff on films made outside of the US. It is unclear whether this would apply to films that were only partially produced outside the US (i.e. scenes shot or edited in other countries), and how this would be enforced given films are largely intellectual property, not physical products.[183] The announcement also did not state when the tariff would begin.[184]
Toys
US President Donald Trump initially threatened to impose 100 percent tariffs on toy-maker Mattel after the company said it would diversify its production to other countries, but not the US. Trump later stated in the Oval Office on May 8, he also stated that the company won't sell "one toy in the US", if they did that.[185][186] Additionally, President Donald Trump, clearly stated during an interview with Meet the Press, that he did not "think that a 'beautiful baby girl' would possibly need to have 30 dolls" (referring to Mattel's dolls brand, Barbie). He also added that he thought they could be happy with "three dolls or four dolls" because what US companies "were doing with China was just unbelievable."[186]
Lumber and furniture
On September 29, Trump announced 10% tariffs on imports of softwood timber and lumber. He also announced 25% tariffs on kitchen cabinets, bathroom vanities, and upholstered furniture. These tariffs will take effect on October 14.[187]
On February 13, Trump directed his staff to research both monetary and non-monetary trade barriers imposed by foreign countries against US exports and to develop custom "reciprocal tariffs" to counter and penalize each one.[116] He instructed them to consider factors such as existing tariffs, exchange rates, and trade balances in their analysis. Lutnick said his team would have a plan ready by April 1.[51] Trump announced that he would unveil the reciprocal tariffs on April 2, a date he referred to as "Liberation Day".[191][192]
On April 2, Trump declared a national emergency to address what he described as a "large and persistent US trade deficit" and invoked the IEEPA to impose a 10% minimum "reciprocal tariff" on nearly all other countries, effective April 5.[114] He also announced higher "reciprocal tariffs" for 57 countries and territories would begin April 9.[61] The Office of the US Trade Representative (USTR) said the "reciprocal tariffs" aimed to "drive bilateral trade deficits to zero".[12] However, even countries with which the US ran a trade surplus, such as Australia, received a tariff of 10%.[193]Federal Reserve chairman Jerome Powell described the tariffs, and their likely economic impact, as "significantly larger than expected."[194]Zanny Minton Beddoes, editor-in-chief of The Economist, called the announcement "the biggest trade policy shock" in history.[195]
The administration's formula for calculating trade barriers simplified to dividing a nation's bilateral trade deficit with the US by the value of its exports to the US. The "reciprocal" tariff rate applied by the US was half of that result.[12] Economic experts criticized this formula for being overly simplistic with little relation to trade barriers,[12][196][197] with The Economist describing it as "almost as random as taxing you on the number of vowels in your name."[198] Economists cited by the USTR said the White House had misinterpreted and incorrectly applied their research.[13] Anson Soderbery, whose work was cited, said his research was meant to discourage exactly the types of policies the White House was implementing.[13]
Excluded goods
The following goods were not impacted by additional tariffs, including the 10% baseline tariff:[199]
All articles subject to 50 USC 1702(b), such as books and other informational materials
Steel and aluminum products, which were separately impacted by a 25% universal Section 232 tariff
Automobiles and automobile parts, which were separately impacted by a 25% universal Section 232 tariff
Copper, pharmaceuticals, semiconductors, lumber articles, certain critical minerals, and energy and energy products, some of which were under investigation for Section 232 tariffs
Any products that become subject to future Section 232 tariffs
Products from Mexico and Canada compliant with USMCA, except for goods targeted by Section 232 tariffs
Imports from countries subject to Column 2 of the HTSUS, which at the time were Cuba, North Korea, Russia, and Belarus.[200]
Smartphones, computers and various electronic parts were exempted on April 11.[201]
On the morning of April 9, the head of FX at Deutsche Bank told investors, "We are witnessing a simultaneous collapse in the price of all US assets including equities, the dollar… and the bond market."[205]
That afternoon, Trump announced on Truth Social that "reciprocal" tariffs above 10%, which had gone into effect that morning, would be paused for 90 days for all countries except China. China's minimum tariff rate was increased to 145%,[206] while imports from all other countries were sustained at the 10% rate.[207] Other global tariffs on products like cars, steel, and aluminum also remained in effect.[65] Trump told reporters, "I thought that people were jumping a little bit out of line… You know, they were getting a little bit yippy, a little bit afraid".[62] He said he had been watching the volatility in the bond market.[208] Treasury Secretary Scott Bessent said the pause was meant to provide time for bespoke negotiations with each country.[209]
Stocks surged within minutes of the pause announcement, with the S&P 500 rising 9.52% for its largest one-day gain since 2008.[210][211] Markets continued to rise in after further policy rollbacks and the S&P 500 set a new all-time high on June 27.[212] Analysts suggested Trump's threats had lost credibility and that Trump Always Chickens Out; the administration announced only three trade agreements by July. The tariffs were delayed first to August 1[82] and then to August 7, when they finally took effect.[83][213]
"Secondary tariffs" are a new trade policies introduced by the second Trump administration that resemble secondary sanctions.[214] Unlike primary tariffs, which directly target a specific country, secondary tariffs penalize third-party countries or entities that trade with the targeted nation.[215] On March24, following actions such as the March 2025 Venezuelan deportations, Trump signed an executive order imposing a 25% tariff on nations that purchase oil from Venezuela at the Secretary of State's discretion.[216]
On August 6, Trump ordered the first "secondary tariff" on India while citing authority under the IEEPA.[87] Beginning September 17, Indian exports to the US would face an additional 25% tariff in order to penalize India for buying Russian oil.[88]
De minimis exemption closure
The de minimis exemption waives standard customs procedures on low-value packages to reduce administrative burdens. US Congress quadrupled the de minimis threshold from $200 to $800 in 2016, resulting in an over 1000% increase in shipments claiming the exemption by 2023.[221][222] The US threshold was among the highest globally, over five times the size of the European Union's, and used by many companies to send goods to the US without close inspection or taxes.[222] The largest beneficiaries were Chinese e-commerce companies such as Shein and AliExpress.[221]
Trump's February 2025 executive orders announcing tariffs on imports from China, Mexico, and Canada initially closed the US de minimis exemption for imports from all three countries.[223] The orders cited authority under the IEEPA.[224] However, Trump quickly reopened the exemption for all three countries to avoid overwhelming US customs officials.[225][226][227]
On May 2, the exemption closed once more for China and Hong Kong.[228] Imports shipped via the Universal Postal Union (UPU), of which USPS is a member, became subject to a duty of 120% of the shipment's value or a flat fee of $200 after June 1. Shipments by all other carriers, such as UPS and FedEx, became subject to all applicable standard duties.[229] Following trade talks, the US cut tariffs on Chinese de minimis shipments to 54% beginning May 14.[230][231]
On July 4, Trump signed the One Big Beautiful Bill Act which included a provision to eliminate the de minimis exemption for all countries beginning on July 1, 2027.[232][233] A few weeks later, Trump imposed an earlier deadline by signing Executive Order 14324. This order, which also cited the IEEPA, ended the de minimis exemption globally on August 29.[234][235] A week before the new closure, international shipping countries across Europe and Asia announced they would suspend deliveries to the US due to the ambiguity of its new processing regulations.[236]
Canadian Prime Minister Mark Carney holds talks with US President Donald Trump at the White House.
Three weeks after winning reelection, Trump announced a 25% tariff on all goods imported from Canada and Mexico absent action against illegal immigration and drug trafficking, particularly fentanyl. Mexican President Claudia Sheinbaum and then-Canadian Prime Minister Justin Trudeau sought to de-escalate tensions.[237][238] Trudeau noted that less than 1% of illegal border crossings and less than 1% of fentanyl come into the US from Canada,[48] but unveiled a $1.3billion security plan for the Canada–US border on December 16, 2024.[239][240] Despite this, Trump triggered tariffs on February 4, with a reduced 10% rate for Canadian energy products.[48][241][242]
Trudeau and Sheinbaum condemned Trump's actions and threatened retaliation. On February 3, the three leaders negotiated a one-month delay. Mexico committed to deploying 10,000troops to its border with the US, while Canada pledged to appoint a "fentanyl czar" and continue implementing the border security plan announced in 2024.[243][244] In return, Trump pledged to curb weapons trafficking to Mexico and to collaborate with Canada on a joint anti-crime "strike force".[245][246]
Then, on February 27, Trump claimed that drugs were still arriving and reaffirmed the tariffs.[50] They took effect on March 4.[247] Canada retaliated with 25% tariffs on $20billion (CA$30 billion) worth of US goods, to expand to $85billion (CA$125 billion).[248]
The trade war triggered stock market declines and economic concerns, particularly for retailers and car manufacturers.[249] Lutnick quickly signaled tariff reductions.[250] Trump delayed tariffs on USMCA-compliant automakers[161] and the next day, included all USMCA-compliant goods.[251] While only 50% of Mexican and 38% of Canadian imports were officially compliant in 2024,[251] officials from both countries expected nearly all Mexican exports to comply.[252][253] Canada retained its initial retaliatory tariffs, but suspended the planned increase.[254] Tens of thousands of Mexicans celebrated with Sheinbaum in Mexico City's central plaza.[255]
On April 2 the White House indefinitely extended the delay.[49] USMCA-compliant auto parts were exempted.[169] However, he set 25% tariffs on steel, aluminum, and automobile imports from every country.[49] Canada, the US's largest supplier of steel and aluminum, retaliated with 25% tariffs on an additional $20.6billion (CA$29.8 billion) of US goods on March 13.[256] On April 9, Canada added a 25% tariff on non-compliant US-made USMCA vehicles.[257]
Donald Trump welcoming Mark Carney to the White House in May 2025
On April 11, Trump claimed that Mexico had fulfilled only 30% a 1944 agreement to send 1.75 million acre-feet of water from the Rio Grande via numerous dams and reservoirs.[258][259] Sheinbaum said that a three-year drought was the reason and suggested that an alternative agreement could be reached.[259]
US steel and aluminum tariffs doubled to 50% on June 4.[263] At the 51st G7 summit, the two countries pledged to work on a deal within 30 days.[264] On June 27, Trump threatened to end talks unless Canada removed its new digital services tax; Canada dropped the tax two days later.[265]
In July, Trump announced a base tariff on goods from Mexico of 30% and from Canada of 35% beginning August 1,[266] before giving Mexico a 90-day delay.[267] The USMCA exemption continued, excluding 95% of Canadian and 75% of Mexican exports from tariffs.[268] On August 22, Carney announced that Canada would drop many of their its tariffs by matching the USMCA exemption.[269]
Chinese leader Xi Jinping holds talks with US President Donald Trump in Busan, South Korea.
During Trump's first term, the US and China traded multiple rounds of tariff and non-tariff actions beginning in January 2018. In January 2020, the two countries signed a "phase one" trade deal, under which China committed to purchasing $200 billion of US goods and services over the following two years.[270] China failed to meet this target, ultimately importing less than it had before the trade war.[271] The Biden administration largely maintained and expanded those tariffs,[270] and while Trump pledged to impose higher tariffs in his second term.[272]
China, South Korea, and Japan agreed to strengthen free trade in the face of Trump tariffs on March 30.
In February 2025, Trump declared a national emergency because ofChinese drug-trafficking that he used to justify a 10% tariff on all Chinese imports.[273][242] In March, he increased the tariff to 20%.[50]
China retaliated in February with 15% tariffs on coals and liquefied natural gas and 10% on oil and agricultural machines. It expanded them in March with 10-15% tariffs on select US agricultural products.[274][275] Although these measures were modest in comparison to the US tariffs, China added a variety of non-tariff trade barriers.[276][277] From the start of 2025 China implemented bureaucratic blocks and third-party sales arrangements to halt or curtail the direct imports of major US commodities including beef, poultry, and liquefied natural gas.[277] Retaliatory measures included blacklisting American companies, adding export controls to metals like tungsten, and revoking export licenses for US firms.[274][276][278] China decreased American oil imports by 90%, turning to Canadia instead.[279] On March 30, China, South Korea, and Japan's trade ministers met for the first time in five years to discuss goals for a trilateral free trade agreement and enhanced supply-chain cooperation in response to Trump tariffs.[280][281]
On April 2, the US added a 34% "reciprocal" tariff on most Chinese imports[282] that China matched on April 10,[283] while suspending negotiations regarding the sale of TikTok.[284] China began requiring licenses to export six rare-earth elements (REE) and rare-earth magnets, 100% and 90% of which were produced in China, respectively.[285] REEs, which are difficult to substitute and are critical to many high-tech goods, such as batteries, motors, weapons, and medical devices.[286] Licenses were delayed while China halted all exports.[285]
The US raised its tariffs by an additional 50%, bringing the baseline to 104%.[287] China matched, bringing their baseline tariff to 84%.[288] The US then raised to 145%, and on April 11, China again matched. The Chinese Finance Ministry said China would ignore further US increases, stating, "Even if the US continues to impose higher tariffs, it will no longer make economic sense and will become a joke in the history of world economy."[64]
On April 21, CEOs of major US retailers warned that the escalating trade war would lead to visible price increases and product shortages within two weeks. Trump began to soften his tone.[66] On April 22, he stated that tariffs would come down substantially, but not to zero. Two days later, Chinese spokesman Guo Jiakun said China and the US had "not conducted consultations or negotiations on tariffs."[289] When asked to respond, Trump said the US met with China as recently as that morning.[290]
By May 2, China had exempted approximately $40 billion worth of goods while the US had exempted about $102 billion (relative to 2024).[291] Both countries had expressed willingness to negotiate, but the Chinese government asked the US to eliminate its tariffs first. As previously planned, the US terminated the de minimis exemption for Chinese imports the same day.[292]
On May 12, US and China agreed to drastically reduce rates for 90 days, from 145% to 30% and 125% to 10% respectively, pending further negotiations.[294] The US also cut tariffs on Chinese de minimis shipments from 120% to 54%.[230] On June 11, Trump declared the trade deal "done", although China downplayed the status as a framework representing the "first meeting".[295]
In July Trump reportedly softened his tone to facilitate a summit with CCP General SecretaryXi Jinping, seeking a potential a trade agreement.[296]
On July 29, US and China agreed to another 90 day pause.[297]
On October 30, after Trump met Xi Jinping in Busan, South Korea, Trump announced he would cut tariffs on China. US cuts tariffs on (medicinal) fentanyl from 20% to 10%, and the overall rate from 57% to 47%.[298]
Indian Prime Minister Narendra Modi holds talks with US President Donald Trump at the White House.
The US was India's largest export market and analyses projected that any reciprocal tariff measures would cause India significant economic harm.[299]
In February 2025, Indian Prime Minister Narendra Modi visited the White House to negotiate tariffs and advance a deal aimed at doubling bilateral trade to $500billion by 2030.[300] India's trade-weighted average tariff was 12%, compared to the American 2.2%, leading Trump to repeatedly call the country the tariff king and abig abuser of trade ties.[301][302]
An internal Indian analysis estimated that reciprocal tariffs would affect 87% of its exports to the US, valued at $66 billion. India estimated increases of 6-10% in tariffs on items such as pearls, mineral fuels, and machinery and believed its pharmaceutical and automotive exports would feel the greatest impact.[301]
To address Trump's trade concerns, India reduced tariffs on motorcycles and whiskey, pledged to review additional tariffs, and offered to increase US energy and defense equipment imports.[300] The following month, Reuters reported that India was open to lowering or eliminating tariffs on 55% of its US imports that ranged from 5% to 30%, contingent on relief from reciprocal tariffs.[301]
The US announced a 27% "reciprocal" tariff on Indian goods beginning April 9.[299] India signaled that it would negotiate rather than establish retaliatory tariffs.[303] After the US delayed the tariff, the Secretary Bessent stated "India would be one of the first trade deals we sign" on April 29.[304]
On August 1 the US established a 25% "reciprocal tariff" and warned of an additional, unspecified penalty in response to India's purchases of Russian oil.[305] India continued to buy it.[306] Trump then tossed in a 25% surcharge, bringing base tariffs to 50% starting August 27.[307]
One result was that India faced higher tariffs than Pakistan, despite its ties to China. Matters were complicated by Trump’s claim to have mediated an India-Pakistan ceasefire, which New Delhi denied.[308][309][310][311][312]
On August 30 Indian Trade Minister Piyush Goyal stated that India would focus on expanding into new markets.[313]
Israel
Israeli prime minister Benjamin Netanyahu holds talks with US President Donald Trump at the White House.
On April 2, the US imposed a 17% import duty on Israeli goods.[314] By April 7 Israel had offered to remove tariffs on all US goods.[315]
Japanese Prime Minister Shigeru Ishiba holds talks with US President Donald Trump at the White House.
After receiving a 25% tariff on cars and car parts and a 24% tariff on other goods, Japan's Nikkei 225 stock market index fell by 8% on April 7, the third-largest single-day loss in its history.[317] Japan's automotive sector depends on the US for 20% of its exports. Analysts estimate that the tariffs could decrease Japan's GDP by 0.8%.[318][319]
Members of the Second Ishiba Cabinet convene to discuss US tariff policy.
On April 7, Ishiba talked with Trump, but won no concessions.[320]
Japanese Minister of State for Economic and Fiscal Policy Ryosei Akazawa holds talks with US President Donald Trump at the White House.
On May 5, the US rejected Japan's exemption from reciprocal and country-specific tariffs.[321]
On July 23, Trump announced a trade agreement with Japan. It included a 15% tariff on Japanese goods, notably lower than the "reciprocal" 20% rate.
In exchange, Japan agreed to increase access for American agricultural products and ease non-tariff barriers affecting US technology exports.
The Philippines was assigned a 17% tariff, the second‑lowest among ASEAN nations.
Before April 2025, tariff effects were discussed nationwide. The Philippine Chamber of Commerce & Industry stated that food processing, semiconductors, and energy were hit the worst.[323]
On April 10, the Philippines initiated negotiations to lower US tariffs.[326]
The US wrote to Bongbong Marcos, on July 9, stating that tariffs would increase to 20%.[327]
On July 22 Trump and Philippine President Bongbong Marcos announced a bilateral trade agreement. Under the deal, US tariffs would be 19%. In return, the Philippines agreed to eliminate tariffs on American goods.
In 2024, the US recorded a trade deficit of nearly $4.9 billion with the Philippines.
Singapore
On April 2, Trump imposed a 10% tariff on Singapore.[328] On April 8, the Prime Minister's office stated that it would not retaliate.[329] Singapore created a task force to address US tariffs.[330][331]
Singaporean diplomatic efforts following Trump's tariff delay included requests to relieve pharmaceutical exports and sought greater access to advanced semiconductor and AI technologies.[332]
South Korea
South Korean President Lee Jae-myung holds talks with US President Donald Trump at the White House.
On April 2, Trump imposed reciprocal tariffs of 25% on South Korea. The South Korean government then announced emergency support for its auto industry.[333] On April 8, acting president Han Duck-soo called for negotiation rather than retaliation.[334] On April 3, Minister of Foreign Affairs Cho Tae-yul met with Secretary of State Marco Rubio and expressed concern over the tariff measures and asked him to consider South Korea's US investments.[335]
South Korean Industry Ministry officials traveled to Washington for "technical discussions" with the US Trade Representative,[336] after Trump called talks with South Korea a first-order priority.[337]
South Korea and the US continued to negotiate, but failed to reach a deal.[338][339]
On July 30, Trump announced a trade deal with South Korea, imposed 15% tariffs on South Korea goods from August 1.[340]
Taiwan
President Trump announced that TSMC is set to invest in the US.
On April 2, Trump announced a "reciprocal tariff" of 32%,[341] excluding semiconductors, the island's primary export.[342] Trump had criticized Taiwan for unfair dominance in the semiconductor industry and not spending enough on its own defense.[342] Taiwan chose not to retaliate, offering to increase imports and remove all tariffs.[343][344]
Representatives from the Executive Yuan and legislative caucuses across party lines convene to discuss US tariff policy.
Kuomintang said that the tariffs were a blow to president Lai Ching-te's policy relying on the US to counter China.[345]
On August 1, Trump announced a preliminary trade agreement, under which a 20% reciprocal tariff would be imposed.[347] The measure was set to take effect on August 7. Taiwan must pay existing Most-Favored-Nation (MFN) tariffs for each industry, making the effective rate 20% + N.[348]
Vietnam
On February 10, Trump renewed his first term 25% tariff on all steel imports and increased aluminum tariffs from 10% to 25%. While other countries had received exemptions, Vietnam had not, meaning its steel and aluminum exports were already tariffed. The hike in aluminum tariffs strained Vietnamese exporters.[349]
Vietnam's trade surplus made it a target.[349] On March 13, trade minister Nguyễn Hồng Diên arranged a meeting with Lutnick and Greer to negotiate a bilateral trade agreement.[350][351] He ended up receiving Marc Knapper on March 14.[352] Knapper reassured him that the US tariff measures were not aimed at Vietnam.[353]
On April 2, Trump presented a 46% reciprocal tariff, shocking exporters.[354] Vietnamese leaders tried to approach Trump diplomatically.[355] Vietnam's leader General SecretaryTo Lam asked Trump to delay the tariffs without result.[356] Vietnam then offered to eradicate all US tariffs, but Navarro shot down the deal, referenceing non-tariff issues.[357] The VN Index fell by 7% after the announcement.[358]
On April 15, Xi Jinping stated that China is always open to Vietnam and urged Vietnam to uphold open trade.[359]
In June, the Trump administration stated that the US was interested in Vietnam factories to reduce dependence on China.[362]
The Trump administration sent Vietnam a list of requests on June 3.[363] Negotiations continued until July 2. Vietnam and the US then agreed on tariff rates.[364][365] This ended the 46 percent tariff on Vietnam. In return, Vietnam promised to let a wider range of US goods into its market that it had previously blocked and to cut down on the flow of Chinese goods that went through Vietnam to the US.[365]
Vietnam Foreign Ministry spokesperson Pham Thu Hang later stated that ongoing talks were woking to define aspects that were not initially clear. Lutnick called Vietnam "just a pathway of China", instilling fear that Vietnamese goods could face harsher rates than Chinese‑made items, then at a rate of 27.9%.[366]
Africa
Nigeria
During Trump's first term, Nigeria continued to benefit from the African Growth and Opportunity Act, a 2000 US trade initiative to improve economic relations with Sub-Saharan African countries by providing duty-free access to the US market.[367] However, analysts noticed that Nigeria was one of 48 nations with whom the US maintained a trade imbalance. In 2024, Nigeria exported $5.3 billion in commodities to the US while importing $3.9 billion, resulting in a $1.4 billion trade surplus for Nigeria.[367][368]
On April 2, Trump announced a 14% tariff on Nigerian goods.[369] Instead of retaliating, Trade Minister Jumoke Oduwole said Nigeria would contact the WTO to find a mutually beneficial solution.[370] She highlighted the risks for AGOA and the Nigerian oil industry, whilst highlighting the opportunity to boost Nigeria's non-oil exports, meet global standards and improve market acceptance in other countries. She also emphasized the urgent need to enhance intra-African trade through the African Continental Free Trade Area (AfCFTA). Nigeria relies on crude exports for 90% of its foreign exchange, the tariff led the Central Bank of Nigeria to sell nearly $200 million to support the naira currency.[371]
Aliko Dangote saw some benefits from the tariffs given that some of Nigeria's economic rivals were facing even higher tariffs.[374]
In July, the US Bureau of Economic Analysis estimated that Nigeria's US exports plummet by $527m from the year prior, mostly caused by tariffs. The decline grew after Trump's threat of an additional 10 per cent tariff on countries aligned with the BRICS economic bloc.[375]
South Africa
South Africa President Cyril Ramaphosa holds talks with US President Donald Trump at the White House.
The 25% March tariff on all imported steel and aluminum affected major exporters,[376] leading the Steel and Engineering Industries Federation of Southern Africa (SEIFSA) to condemn the hike.[377][378][379]
Trump imposed reciprocal tariffs of 31% on South Africa on April 2.[380] According to South Africa, this effectively nullified the benefits African countries enjoyed under AGOA.[381] South Africa did not retaliate in favor of negotiations.[382]
On May 21, Trump met President Cyril Ramaphosa who proposed to buy liquified natural gas for 10 years, in exchange for a quota of duty-free exports for a few subsidized foreign-owned multinationals. After the meeting, Khumbudzo Ntshavheni told the press that South Africa would be allowed to annually export 40,000 vehicles, 385 million kg of steel, and 132 million kg of aluminum to the US free of tariffs. The deal was criticized as infeasible and financially unsound, noting that roughly 90% of AGOA exports were generated by 5% of subsidized foreign‐owned multinationals and it would jeopardize South Africa's energy security and industrial development.[385][386]
The deal was still in discussion in early July and South Africa's request for an extension[387][388] led to a new deadline of August 1, when Trump confirmed the 30% tariff.[389]
This meeting was interpreted as a policy shift, that the administration's strategy included geopolitical and supply chain factors. The US sought to enhance cooperation to balance China and the European Union.[citation needed]
Zimbabwe
On April 2, Trump imposed 18% reciprocal tariffs.[393] On April 6, Zimbabwe became the first to scrap all tariffs on US goods. President Emmerson Mnangagwa stated that the move was made to foster a positive relationship with the US.[394]
Russian president Vladimir Putin holds talks with US President Donald Trump in Anchorage, Alaska.
Following the Russian invasion of Ukraine in 2022, the G7 countries and their allies moved to revoke most favored nation status from Russia and block Belarus from joining the WTO.[395][396] After the US Congress voted to sever trade relations with the countries, they became subject to "Column 2" rates in the Harmonized Tariff Schedule.[397][398] Column 2 rates are significantly higher, at about 20%.[398] President Biden increased rates on a variety of Russian goods in February 2023.[399] Russia added the US to their "unfriendly countries list" in 2021 and imposed countersanctions.[400]
Trump did not include them in his reciprocal tariff policy,[401][402] as the existing sanctions had already blocked all trade.[401][402] 2024 trade with Russia was estimated at $3.5 billion, a tenth of the $35 billion from 2021 before the invasion.[403]
Trump threatened secondary sanctions on countries that continued to buy Russian oil.[404]
On July 14, Trump threatened 100% tariffs within 50 days, absent peace.[405] On July 29, this deadline was reduced to 10-12 days.[406]
Ursula Von der Leyen holds talks with US President Donald Trump.
Before his second inauguration, Trump threatened tariffs on the European Union (EU) unless it reduced its trade surplus by increasing imports of American cars, agricultural products, and oil and gas.[408] The European Commission pointed out that while the US ran a trade deficit with the EU in goods, this was offset by a trade surplus in services.[409]
French President Emmanuel Macron holds talks with US President Donald Trump at the White House.
As Trump's tariff policy became evident, Europe sought solutions. "We have to do everything to avoid this totally unnecessary and stupid tariff war," said Polish Prime Minister Donald Tusk.[410] On February 4, EU trade ministers met in Warsaw to discuss Trump's threats.[411] On February 7, the EU proposed lowering automotive tariffs from 10% and to increase LNG purchases and military equipment.[412] French President Emmanuel Macron met with Trump on February 25 and encouraged him to concentrate on China.[413][414][415]
US President Donald Trump and Irish Prime Minister Micheál Martin had lunch together following their meeting at the White House.
After steel and aluminum tariffs took effect on March 12, the EU announced a two-phase retaliatory plan targeting €26 billion in US imports to begin April 1.[416] Trump condemned a proposed tariff on American whiskey and threatened to respond with 200% tariffs on European alcohol.[417] The EU ultimately dropped plans to tariff alcohol after lobbying from Ireland, Italy, and France.[418][419]
After the US imposed a 25% tariff on imported cars and threatened a 20% reciprocal tariff on all European goods on April 9, EU members approved a retaliatory package of 25% tariffs on €21 billion worth of US imports beginning April 15,[420] although Hungary dissented.[420] After Trump suspended his reciprocal tariff, the EU delayed retaliation.[421] On May 8 the EU increased its proposed retaliation to nearly €100 billion worth of US goods.[422]
On May 12, Trump described the EU as "nastier than China".[423] On May 23, after complaining that trade negotiations have stalled, Trump proposed a 50% tariff.[424] The Stoxx Europe 600 index fell 1.7 per cent.[425] Two days later Trump delayed the tariff to July 9.[426] The EU offered concessions, including a 10% blanket tariff, but Trump rejected it and, on July 12, sent the EU a letter threatening a 30% goods tariff beginning August 1.[427][428] The EU with Japanese and Chinese officials to improve other relationships.[429][428]
On July 27, the US and the EU announced a 15% deal—more than triple the average 4.8% that European goods had earlier faced.[428] Trump issued an executive order stating that 15% would be the minimum and goods with tariffs would retain the higher rate. However, the EU demanded additional executive orders to reduce the tariff for all goods to a maximum of 15%.[430] Trump claimed that the EU would buy $750 billion worth of US energy and invest an additional $600 billion into the US.[431] The EU stressed that the agreement was not legally binding[432] and that the $600 billion commitment was not guaranteed because the money would have to come from private companies.[433]
United Kingdom
British Prime Minister Keir Starmer holds talks with US President Donald Trump at the White House.
The US ran a trade surplus with the United Kingdom in 2024 and assigned the UK its lowest reciprocal tariff rate of 10%. The US was the UK's largest market for cars and second largest for steel products. The UK was hit hard by the tariffs.[434][435]
In March, the UK chose not to retaliate.[59] Chancellor Rachel Reeves noted ongoing discussions to reduce the UK's Digital Services Tax (DST) to avoid further trade friction. Introduced in 2020, the UK DST levies a 2% tax on large mostly American tech companies, generating approximately £800 million annually. The Liberal Democrats criticized the proposal, describing it as a "tax handout to...US tech barons," and advocated raising the rate to 6%.[436]
As of April 29, US officials reportedly viewed talks with the UK as a secondary priority.[337] On May 5, President Trump threatened 100% tariffs on foreign-made films, posing a serious threat to the UK's film industry.[437] Prime minister Keir Starmer faced renewed pressure to negotiate.[438]
Trump announced he had reached the first trade deal with the United Kingdom.
On May 8, Trump announced he had reached the first trade deal of his second administration with the UK.[439] Under the framework, the US would eliminate tariffs on British airplane parts and metals up to a quota and reduce tariffs on 100,000 cars from 25% to 10%. In return, the UK would eliminate tariffs on US ethanol and allow up to 13,000 metric tons of US beef—up from a previous cap of 1,000 tons at a 20% tariff.[440] The deal did not alter the UK's food safety standards, leaving hormone-treated US beef ineligible for import, and it did not modify the UK's DST or 10% tariff on American cars.[440]
US President Donald Trump and British Prime Minister Keir Starmer held bilateral talks during the G7 Summit.
While US Trade Representative Jamieson Greer said other countries should consider the framework as a model, analysts described the deal as a "very small win" that kept the 10% minimum tariff largely in place.[441]Conservative Party leader Kemi Badenoch described it as "better than nothing but it's not much," criticizing the Labour government for settling rather than pursuing a broader agreement.[442] US automakers criticized the deal for making it cheaper to import a car from the UK than one of their cars assembled in Mexico or Canada using US parts.[171] The deal was finalized at the G7 summit.[443]
Switzerland
In July, President Trump said Switzerland would face a 39% tariff rate after trade talks broke down. At the time, it was one of Trump's highest proposed tariff rates.
On November 14, the US and Switzerland reached a trade deal to set duties at 15%.[444][445]
Oceania
Australia
Australian Prime Minister Anthony Albanese holds talks with US President Donald Trump at the White House.
Prime Minister Anthony Albanese engaged in discussions with Trump searching for an exemption, which produced a statement about concerns about Australia allegedly disregarding past commitments to restrain aluminum exports.[446] The US officially imposed a 25% tariff on Australian steel and aluminum. Australia declined to retaliate.[447]
Trump imposed a 10% tariff on Australia as part of the reciprocal tariffs on April 2.[448] On April 3, Albanese stated that he would continue to negotiate and not retaliate as he believed trade wars to be a race to the bottom.[449] He released a five-point strategy to mitigate the damage to impacted industries. The strategy included a $50 million assistance package to help industries like beef exports find new customers.[450] On April 9, Australia declined an offer to 'join hands' by China ambassador Xiao Qian.[451]
Fiji
On February 19, Acting Prime Minister and Minister for Finance, Professor Biman Prasad suggested that tariffs on Canada, Mexico, and China might bring benefits to Fiji, stating that "countries like Fiji could see cheaper goods flowing through the Pacific as these nations look to offload excess capacity".[452] Prasad added that the administration did not see immediate threats.[453]
On April 2, Trump announced reciprocal tariffs on Fiji of 32%, although the Fijian government levied less than 2% import duties on average on US imports.[454]Fijian Prime Minister Sitiveni Rabuka admitted that his government was not ready for the tariffs.[455] He said that, "The world is bigger than the US" and that Fiji would look at alternative sources of imports and export markets.[455] First hit were products such as Fiji Water, kava, dalo and turmeric.[456] Prasad said that the 32 percent tariff – the highest in the Pacific – was unfair.[457] On April 10, following Trump's "walk back", Deputy Prime Minister and Minister for Trade Kamikamica announced that a meeting with US Trade Representative would happen the following week.[458]
On May 11, Fiji was confirmed to be amongst the list of nations that the US would engage in talks.[459] Deputy Prime Minister and Minister for Trade, Manoa Kamikamica stated that Fiji was committed to working on tariffs.[460]
In August the 32% tariff on Fiji was lowered to 15%.[461]
Latin America and the Caribbean
Brazil
Brazilian president Luiz Inácio Lula da Silva holds talks with US President Donald Trump in Kuala Lumpar, Malaysia.
The US has consistently run trade surpluses with Brazil since 2007,[462] with one of $253 million in 2024.[463] Nonetheless, Trump criticized the country for being a "tremendous tariff maker" and pledged to impose tariffs on its exports.[464] Brazilian president Luiz Inácio Lula da Silva vowed to reciprocate.[465] However, following Trump's 25% tariffs on steel and aluminum, Brazilian Institutional Affairs Minister Alexandre Padilha said that Brazil would not retaliate.[466]
On April 2, Donald Trump imposed the base 10% tariff on Brazil.[467] The reaction from Brazilian exporters was mixed. Coffee exporters saw an opportunity to send more robusta beans to the US due to international rivals being initially hit with heavier charges,[468] while other companies, such as Embraer, worried over rising complexity and costs for their US customers.[469]
On April 3, Brazil's government stated that it would explore options including involving the World Trade Organization. The Brazilian National Congress passed a "Trade Reciprocity Law", enabling the government to respond to potential unilateral trade measures imposed against Brazilian goods and services.[449][470] By May 2025, according to statements released by Brazilian Finance MinisterFernando Haddad, Brazil and the US were negotiating the terms of an understanding on tariffs.[471]
Paul Krugman (left) criticized Donald Trump's tariff on Brazilian goods, arguing it was meant to help "another wannabe dictator", while the stance of Luiz Inácio Lula da Silva (center) was praised by Joseph Stiglitz (right), who stated the Brazilian president stood up to Trump and "has defended his country's sovereignty".
Nobel Prize–winning economist Paul Krugman criticized the tariff announced by Trump. In a piece titled "Trump's Dictator Protection Program",[476] Krugman described the move as evil and megalomaniacal, stating it would be reason enough to impeach the president. He argued Trump is using the massive tariff hike for political purposes, to help "another wannabe dictator".[477] Fellow Nobel Prize–winning economist Joseph Stiglitz stated in an article titled "Brazil's Brave Stand Against Trump"[478] on Project Syndicate at the end of July that Brazilian president Luiz Inácio Lula da Silva, by refusing to submit to US intimidation, "has defended his country's sovereignty" not only in trade but also in the regulation of American-controlled tech platforms.[479] Stiglitz argued world leaders should follow Lula da Silva's lead in standing up to Trump's "bullying".[480]
On July 30, however, Trump exempted several Brazilian exports, notably airplanes, aeronautical components, iron ore, aluminum, natural gas, orange juice, fertilizers, petroleum and lumber. Other main Brazilian exports to the US were not exempted and could face tariffs, such as coffee, fruits (mangos, pineapples and cocoas) and meats.[481] He also extended the tariffs implementation deadline to August 6, not August 1, as he previously stated.[481] After signing off on the tariffs but including a long list of exceptions covering nearly 700 products, Brazilians adopted the phrase Trump Always Chickens Out (TACO) to mock the American president; the acronym became one of the seven most-used terms on X (formerly Twitter) that week.[482][483]
In August 2025, China authorized 183 Brazilian companies to export coffee under a five-year agreement, aiming to boost imports amid rising domestic demand. The move followed the US imposition of a 50% tariff on Brazilian coffee, which supplies about 30% of US imports. As a result, prices rose sharply for American roasters, forcing many to raise consumer prices or absorb losses. While China offered Brazilian producers alternative buyers and greater visibility, the market was not expected to fully replace US demand.[484][485]
Oliver Stuenkel, associate professor at the School of International Relations in São Paulo, stated that Brazil’s President Lula initially hoped to maintain a multi-alignment approach without provoking US tariffs and resisted turning BRICS into an anti-Western bloc. However, faced with US tariff pressures, Lula shifted toward diversifying Brazil’s international partnerships and strengthening BRICS. Matias Spektor, professor of politics and international relations at Fundação Getulio Vargas, observed that China has emerged as a significant beneficiary of the US tariffs on Brazil.[486]
On 14 September 2025, Following the sentencing of former Brazilian president Jair Messias Bolsonaro to 27 years and 3 months in prison, Brazil risks facing 200% tariffs from the US.[487]The New York Times published articles pointing to how Brazil now serves as more of a democracy than the US[488][489]
Colombia
On January 26, a dispute arose between Colombia and the US after Colombian president Gustavo Petro refused to allow the landing of two US military aircraft carrying deported Colombian nationals.[490] Petro called the treatment of deportees on military flights undignified and said he would accept deportation flights on civilian planes.[491] In response, Trump ordered retaliation against Colombia and its officials,[491] including 25percent tariffs that would increase to 50percent in one week if Petro did not reverse his position.[492] Petro responded by ordering a 25percent tariff on the US that would also increase to 50percent.[491] Hours later, the US said Colombia had agreed to "unrestricted acceptance" of deportees, including on military aircraft.[493] Colombia said it would "continue to receive" deported Colombians and would guarantee them "dignified conditions".[490]
El Salvador
El Salvadoran president Nayib Bukele holds talks with US President Donald Trump at the White House.
On April 2, President Trump announced a 10% reciprocal tariff on imports from El Salvador, marking a significant shift in US trade policy towards the country. The tariff was presented as part of Trump's broader strategy to enforce what he calls "fair and balanced trade" with smaller economies.[393] Interestingly, just two days later, El Salvador's President, Nayib Bukele, publicly welcomed the measure, describing it as a "great idea" and emphasizing the importance of long-term over short-term economic considerations.[494]
Other unions
BRICS
In November 2024 and again in January 2025, Trump attempted to threaten BRICS countries saying they would face 100% tariffs if they attempted to replace the US dollar as a reserve currency.[495]
Eurasian Economic Union
As of April 3, according to Kommersant's source in the Eurasian Economic Commission, which regulates the import duties of the Eurasian Economic Union countries, they are unlikely to change – this is a well-established opinion. "The Union as a whole is not significantly affected by the tariff increase, most countries will be subject to a duty of 10%, which in the new realities can be considered the most favourable treatment". At the same time, Russia itself has sufficient freedom to impose unilateral restrictive measures, which often happened after 2022. If Russia finds itself hit by other countries raising duties in response to a US import tariff hike, it will still have the option to respond accordingly.[496]
A graph of average effective tariff rate by industry in the US, as calculated by analysts at the Federal Reserve Bank of Richmond, as of April 9
Although Trump's first-term economic policy featured lower and more targeted tariffs with many exceptions, he promised higher rates, broader impacts, and few exceptions in his second term.[497][498] According to the Tax Foundation, the first Trump administration imposed tariffs on approximately $380billion worth of imports. Comparatively, the second Trump administration imposed tariffs of at least 10% on $2.3 trillion of US goods imports, or 71% of goods imports, by May 2025.[499] A study published in the Journal of Supply Chain Management estimated that US importers paid $19.3 billion in duties in April 2025 (about 3.5 times the average monthly duties collected at the peak of the 2018-19 trade war).[365]
At the start of Trump's second term, confusion over rapidly fluctuating tariff levels and other economic policies created significant uncertainty for businesses and economists.[500][501] As noted in April 2025 by Zanny Minton Beddoes, editor-in-chief of The Economist, it was not clear whether Trump viewed tariffs as a tactic to negotiate better trade deals with foreign countries or if "he primarily wants to have a kind of 19th-century view, where the US, in his view, prospered behind a high tariff wall".[195] Importers rushed shipments to avoid tariffs, particularly in passenger vehicles and pharmaceuticals.[365]
In 2024, the year prior to Trump's inauguration, the US GDP grew by 2.8%.[502] In March 2025, the Federal Reserve lowered its 2025 US GDP forecast from 2.1% to 1.7%,[503] while the OECD projected a decline to 2.2% in 2025 and 1.6% in 2026.[502]
In June 2025, the Federal Reserve further reduced its 2025 US GDP expectations to 1.4%. It also expected PCE to increase to 3.1% in 2025, higher than its March forecast of 2.8%.[504] Chairman Jerome Powell stated that while Trump had eased concerns by backing away from some of the high tariffs announced on his "Liberation Day", the committee had begun to notice price increases attributable to tariffs and expected more over the course of the summer.[505]
In August 2025, inflation in the US increased slightly as companies passed on the cost of tariffs to consumers. The consumer price index (CPI)[506] which tracks a basket of goods and services, rose by 2.9% year-on-year, the highest level since January[507]. The core consumer price index (Core CPI), which excludes energy and food prices, remained steady at 3.1% following an increase in July.
Despite the uptick in inflation, Wall Street expressed optimism that the Federal Reserve would lower interest rates at its board meeting. The Federal Reserve faced pressure from President Donald Trump to reduce rates, though analysts suggested that the decision was more likely to be influenced by concerns about a weakening labor market.[508]
The first-quarter earnings report revealed that automakers, airlines, and consumer goods importers were the most affected by tariff threats, according to Reuters. Additionally, there were cost increases due to tariffs on aluminum and electronics, including semiconductors. The HBS Pricing Lab reported seasonal price declines across both US-made and imported goods through early March, indicating a decrease in imports.[509]
An October 2025 study from S&P Global found that companies are expected to spend at least $1.2 trillion more in 2025 than previously projected, with researchers calculating that two-thirds of the "expense shock," more than $900 billion, would be absorbed by Americans. Last month, the Yale Budget Lab estimated that the tariffs would cost households roughly $2,400 more a year.[510] According to an October 2025 report by Goldman Sachs analysts, American consumers are currently bearing up to 55% of the cost of tariffs.[511] Corporate earnings had the most significant impact. Global companies flagged more than $35 billion in tariff-related costs while heading into third-quarter earnings season.[512]
Revenues
Trump's second term tariffs led to a record amount of money from customs and excise taxes.[513] By July 2025, tariffs had raised $108 billion in net revenue in the previous nine months, compared to $392 billion in corporate tax and $3.648 trillion in income tax, and comprised 5% of federal revenue compared to 2% historically.[514]Goldman Sachs reported that tariff incidence in May 2025 had fallen about 40% on US consumers, 40% on US businesses, and 20% on foreign exporters.[515]
In April 2025, Trump suggested tariff revenues may eventually replace income taxes, at least for those making less than $200,000 per year,[516][517] but estimates of Trump's tariff policies projected their revenue would cover less than 25% of that cost[518] and even less if import volumes fall.[195]
As of November 12th, Customs & Excise Taxes had raised $312.9 billion in gross revenue, year to date, and represented 7.2% of federal revenue.[519]
Unemployment rate
Economic analysts forecast that tariffs imposed during the Trump administration could push the unemployment rate to recession levels. Since importing companies bear the cost of tariffs, which can raise business costs, one way to control expenses is by cutting jobs. Federal data indicate that the manufacturing sector lost a net total of 14,000 jobs in May and June combined. A report from the Bureau of Labor Statistics states that hiring in manufacturing plants in May slowed to its weakest pace since 2016, during the Barack Obama era, dropping even below the rate seen during the COVID-19 pandemic.[520] Manufacturing job openings—a key indicator of future employment—have decreased by about 100,000 since the start of the Trump presidency. In a related development, automaker Stellantis announced on April 3rd that it would temporarily lay off 900 employees, citing the President's tariffs as a contributing factor. Research from the Congressional Budget Office estimates that, excluding the effects of retaliatory tariffs, the unemployment rate could rise to 4.7% or higher by the end of 2025.[521][522]
Agriculture sector
In September 2025, China halted purchases of US soybeans in retaliation for increased tariffs imposed by the Trump administration, significantly impacting the American soybean market. Previously the largest buyer, with $12.6 billion in purchases the year before, China imposed retaliatory tariffs in May and turned to suppliers such as Argentina and Brazil. As a result, US soybean exports fell by 23% year-over-year, and sales to China dropped to zero at the start of the peak marketing season. The disruption led to lower prices, storage shortages due to oversupply, and financial strain on American farmers, prompting political pressure for a resolution and efforts to diversify export markets.[523][524] With China halting soybean purchases and exports declining, unsold crops had to be stored, leading to shortages of grain bins and forcing some farmers to sell other crops early or pay additional fees for commercial storage. Financial strain deepened as farm bankruptcies, which had risen 55% the previous year, continued to increase in early 2025. The president of the American Soybean Association said the situation meant some farmers were “so far at the end of their rope” that they were unable to meet their financial obligations.[525] A recent poll shows his approval rating among rural Americans has fallen from 59 percent in August to 47 percent in October.[526]
Political challenges
Senators Chuck Grassley and Maria Cantwell introduced the bipartisan Trade Review Act of 2025, proposing amendments to the law aimed at separation of powers and closing legal loopholes.[527] However, the law has not yet reached a consensus. Senate Majority LeaderJohn Thune referred dismissively, "I don't think that has a future."[528] A similar bill was introduced in the House of Representatives by Rep. Don Bacon, who stated, "The Constitution clearly gives the authority for taxes and tariffs to Congress. Our Founders created checks and balances for a reason," urging Congress to reclaim its responsibility.[529]
Lawmakers were also frustrated with how the world learned of Trump's decisions—through a social media platform operated by Trump's company, instead of through federal administration officials.[530] Democratic Senator Adam Schiff called on Congress to investigate whether Trump had engaged in suspicious insider trading or market manipulation when he abruptly announced and paused the tariffs.[209] The media described the US economy, the government's handling of the jobs and retirement savings of millions of Americans, and the US's standing in global security, as having encountered an unprecedented crisis of trust because of the Trump administration's unrestrained behavior.[531][532]
Roll Call described the details of Trump's tariffs as intentionally vague and without specifics in order to grant the president greater powers. When specifically asked for more details about his trade deal with the European Union during an interview with CNBC, Trump stated that "Yeah, well, there are no details," and that "The details are $600 billion to invest in anything I want. Anything. I can do anything I want". University of North Carolina professor Michael Gerhardt described Trump's "they gave me" mindset as "quite problematic", and Senate Democrats criticized the vagueness of his details as injecting uncertainty into the economy. Robert Z. Lawrence, writing for the Peterson Institute for International Economics, described Trump's stated reason for enacting tariffs as becoming "unmoored from their original justification" and being used primarily as leverage to extract concessions based on the president's whims.[533] According to a survey conducted by Morning Consult for the Century Foundation, six in 10 Americans hold the Trump administration responsible for the rising cost of living.[534]
China
Nomura Holdings estimated that eliminating the US de minimis exemption for Chinese goods "would slow Chinese export growth by 1.3percentage points and GDP growth by 0.2point".[221] When the US Congress raised the de minimis limit from $200 to $800 in 2016, they sparked a surge in US imports of cheap Chinese goods.[221] A 2023 US House Select Committee report estimated that "nearly half" of all de minimis shipments originated from China. Chinese e-commerce companies Temu and Shein, estimated to comprise more than 30% of daily de minimis exemptions to the US, onboarded more sellers with a physical presence in the US and expanded their distribution facilities beyond China, to mitigate the impact of losing the exemption.[225][223] In response to the threat of tariffs, Chinese e-commerce groups have bought up significant amounts of storage space at warehouses within the US, accounting for a fifth of new leases in the third quarter of 2024. This change in business strategy has in turn boosted the fortunes of Chinese logistics management firms.[535]
On February 7, Trump suspended closing the exemption for China until the Secretary of Commerce notified him that adequate systems to process and collect tariff revenue were in place.[225] The exemption is expected to be closed again on May 3.[536][needs update]
India
On 3 September 2025, Indian government reportedly reduced GST on hundreds of goods to increaseconsumption and avoid the potential impact of tariffs imposed by Trump administration.[537] However, the Indian finance minister Nirmala Sitaraman and cabinet minister Ashwini Vaishnav stated that the tariffs had nothing to do with the GST reductions with latter stating that the reforms were being prepared for one and a half years prior to the announcement.[538][539] BMI, a Fitch Solutions company, stated that the GST reforms could help offset the economic impact of tariffs and projected that India would remain one of Asia’s fastest-growing emerging markets, with GDP growth expected to stay above 6% through the decade. Fitch Ratings also affirmed India’s sovereign rating at 'BBB' with a stable outlook and expected the tariffs to have a limited effect on overall growth.[540]
Other countries
In Singapore, Deputy Prime Minister and Minister for Trade and IndustryGan Kim Yong, along with Senior Minister Lee Hsien Loong, expressed concerns that the tariffs could affect economic growth and the cost of living. Gan stated in a press briefing that authorities were monitoring the situation and would implement measures if necessary.[541][542] Analysts in Singapore noted that while the tariffs posed a risk of trade slowdown, they could also make Singapore a more attractive source of imports for American buyers seeking alternatives to higher-taxed suppliers.[543]
In response to Trump's vehicle tariffs, some automobile companies suspended exports to the US, including Audi, Jaguar, and Land Rover.[544]
On April 5, Japanese video game manufacturer Nintendo announced it would delay pre-orders for its upcoming Switch 2 console from their initial date of April 9 in the US, citing economic uncertainty due to the tariffs. However, the console's planned US release date of June 5 remained unchanged.[547]
In January 2025, Trump said that the tariffs on Mexico are intended to reduce the US trade deficit with Mexico and force the country to secure its border with the US against illegal immigration and fentanyl smuggling.[548] The opioid crisis in the US is largely fueled by drugs smuggled from Mexico; approximately 98% of fentanyl entering the US comes from Mexico.[549] During the first months of 2025, Mexico stepped up its fight against narcotraffic and immigration following Trump's statements on the subject. In particular, Mexico handed over 29 major cartel prisoners to US authorities in February 2025.[550]
In Canada, Australia and Singapore where they held their own elections within a week, economic fear by the tariffs caused increase support for their respective incumbent governments among the voters with Canada's and Australia's Opposition Leaders losing their seats and one of two opposition parties in Singapore losing all their seats.[551][552][553]
Summary table
Enacted US tariffs
Tariff
Announced
Effective
Status
Notes
Ref
50% tariff on steel[554] and aluminum[555] products
February 10
March 12;
Increased June 4
In effect
On April 4, the aluminum tariff expanded to include canned beer and empty aluminum cans.[140][556]
35% tariff on most imports from Canada + 10% on Canadian oil and gas
February 1
March 4;
Increased August 1
Partially in effect
Tariffs on USMCA-compliant goods are delayed indefinitely.[49] 38% of Canadian goods were compliant in 2024,[251] but Canada expected the "vast majority" of goods to be quickly made compliant.[253]
Tariffs on USMCA-compliant goods are delayed indefinitely.[49] 50% of Mexican goods were compliant in 2024, but Mexico planned to increase to 85–90%.[252]
25% tariff on imports from countries importing Venezuelan oil
March 24
April 2
Announced
Secretary of State may impose a 25% tariff on goods from any country that imports Venezuelan oil, directly or indirectly, after April 2. In 2024, China imported 68% of Venezuelan oil.
25% on $20.8bn (CA$30 bn) of US goods in effect. A planned expansion to an additional $86bn (CA$125 bn) worth of US goods was suspended on 3/6/25.[254]
On 4/15/25, Canada added a 6-month suspension on tariffs for imports critical to manufacturing, food and beverage processing, healthcare, national security and other objectives.[570]
25% tariffs on $20.6bn (CA$29.8 bn) of US goods: $8.7bn (CA$12.6 bn) steel products, $2bn (CA$3 bn) aluminum products, and $9.9bn (CA$14.2 bn) misc. goods.
On 4/15/25, Canada added a 6-month suspension on tariffs for imports critical to manufacturing, food and beverage processing, healthcare, national security and other objectives.[570]
On 6/20/25, Carney said Canada would increase its counter-tariffs on steel and aluminium products on July 21 if talks with the US stalled.[573]
25% tariff on non-USMCA compliant vehicles imported into Canada from the US.[257] On 4/15/25, Canada exempted a quota of cars from automakers that manufacture in Canada.[570]
Originally 34% on all US goods effective April 10, China raised the baseline to 84% on April 9, 125% on April 12, and reduced to 10% from May 14 for 90 days.
China globally suspended exports of a range of rare earth minerals and magnets critical to auto, defense, aerospace, and semiconductor industries.
Following an initial trade deal with the US on 5/12/25, China agreed to resume exports. The US alleged China failed to follow through and reiterated the agreement in a trade deal announced 6/11/25.[579]
25% tariffs on $23.8 billion (€21 billion) of US goods, targeting farm produce and $13.5 billion products from Republican states (reduced from an initial threat of €26 billion to begin April 1).
EU proposed increasing tariffs to target $100bn of US goods.[581]
On 8/4/25, a delay until 8/7/25 was extended for another 6 months.[431]
Trump directed the Commerce Secretary to initiate a Section 232 investigation into "imports of semiconductors and semiconductor manufacturing equipment".
Processed critical minerals and derivative products
April 22
In development
Trump directed the Commerce Secretary to initiate a Section 232 investigation into "imports of processed critical minerals, as well as their derivative products".
Trump directed the Commerce Secretary to initiate a Section 232 investigation into "imports of medium-duty trucks, heavy-duty, trucks, and medium- and heavy-duty truck parts, and their derivative products".
Trump directed the Commerce Secretary to initiate a Section 232 investigation into "imports of commercial aircraft and jet engines, and parts for commercial aircraft and jet engines".
Trump directed the Commerce Secretary to initiate a Section 232 investigation into "Imports of personal protective equipment, medical consumables, and medical equipment, including devices".
↑ SCOTUS noted that the consolidated case will retain one of the cases' full title (Learning Resources, Inc., et al., v. Trump, President of U.S.) and the docket number No. 24-1287 on September 9, 2025. To differentiate materials from the individual cases, "VIDED" is added to the documents filed for the consolidated case.[138]
↑ Although the "reciprocal" tariff rate for Brazil remained at 10%, in a separate executive order Trump declared a "national emergency" regarding the "actions of the Government of Brazil" and imposed an additional 40% tariff on some Brazilian exports beginning August 6.
↑ Although the "reciprocal" tariff rate for India remained at 25%, in a separate executive order Trump imposed an additional 25% tariff effective August 27 as a penalty for India's purchases of Russian oil.[190]
References
↑ Williams, Aime (August 6, 2025). "Donald Trump's new tariff regime deepens global trade war". Financial Times. Retrieved August 8, 2025. Donald Trump's global tariffs took effect at 12.01am in Washington on Thursday, pushing American import duties to their highest level in a century as the US president launched a new era of trade rivalry.
1 2 Supreme Court of the United States. Oral Argument Transcript: Learning Resources, Inc. et al. v. Donald J. Trump, President of the United States, et al. No. 24-1287 (and consolidated No. 25-250). Washington, D.C.: Heritage Reporting Corporation (Official Reporters), November 5, 2025. Retrieved from https://www.supremecourt.gov/oral_arguments/argument_transcripts/2025/24-1287_b07d.pdf.
↑ Harithas, Barath; Meng, Kyle; Brown, Evan; Mouradian, Catharine (April 3, 2025). "Liberation Day Tariffs Explained". Center for Strategic and International Studies. Retrieved April 7, 2025.
↑ BBC中文記者, 呂嘉鴻 - (August 1, 2025). "特朗普宣布對台徵收20%關稅 台灣業者為何表達憂慮". Yahoo News (in Chinese). Archived from the original on August 2, 2025. Retrieved August 1, 2025.
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![A map of countries by total baseline tariffs (includes tariffs not yet implemented)
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100% or higher
50% - 99%
40% - 49%
30% - 39%
20% - 29%
10% - 19%
United States Map of countries by total tariffs in the second Trump administration.svg](http://upload.wikimedia.org/wikipedia/commons/thumb/f/fd/Map_of_countries_by_total_tariffs_in_the_second_Trump_administration.svg/500px-Map_of_countries_by_total_tariffs_in_the_second_Trump_administration.svg.png)
