Trump announces full list of reciprocal tariffs by country on Independence Day

On Liberation Day, Donald Trump unveiled a comprehensive plan for reciprocal tariffs, marking a significant change in the US trade policies. Under this new regime, all imports into the US will be subject to a 10% tariff, regardless of their country of origin, starting on April 5. Additionally, approximately 60 countries worldwide will face reciprocal tariffs based on what the Trump administration deems as unfair treatment towards the United States. While Canada and Mexico are currently exempt from these measures, they will be subject to the standard 10% tariff once Trump’s initial 25% tariffs on their goods are lifted.

The calculation of these reciprocal tariffs involves assessing the overall tariff rate imposed by other countries on various goods and includes considerations such as currency manipulation and market barriers. The US will then apply half of that calculated tariff rate on imports from these countries, with these reciprocal tariffs set to take effect on April 9. It’s essential to note that the minimum tariff charged will be the 10% baseline, with additional charges necessary to meet the reciprocal tariff rates.

For instance, China, with an overall 67% tariff, will now face a minimum 34% tariff on its goods entering the US. The EU, which imposes an equivalent 39% tariff on US goods, will now be met with a 20% tariff from the US. Japan and India will encounter tariff rates of 24% and 26%, respectively. It’s crucial to recognize that these new tariffs will be separate from any existing tariffs already imposed by the Trump administration. Therefore, Chinese goods will incur a 34% reciprocal tariff on top of the current 20% standard tariff, or in addition to the 25% tariff on automobiles or metals.

The detailed breakdown of reciprocal tariffs by country showcases varying rates based on the calculated overall tariff rate and “other forms of cheating.” Countries like Algeria and Ethiopia face tariffs of 30% and 10%, respectively. While Argentina and Australia will be subject to a 10% tariff, other nations like Bangladesh and Botswana face higher tariffs of 37%. The EU will experience a 20% tariff, while countries like Lichtenstein and Madagascar will see rates of 37% and 47%, respectively.

This comprehensive list of reciprocal tariffs provides insight into the evolving trade landscape under the Trump administration. As the US implements these measures in response to perceived unfair trade practices, the impact on global trade dynamics remains to be seen. As the White House finalizes the official list of tariffs, further updates may be necessary to track the changing trade relations between the US and its international partners.