President Donald Trump’s move to slap a 10% tariff on most goods imported to the United States, as well as much higher levies on dozens of rivals and allies alike, has intensified a global trade war that threatens to stoke inflation and stall growth.
The sweeping penalties announced against the serene backdrop of the White House Rose Garden on Wednesday immediately unleashed turbulence across world markets and drew condemnation from other leaders now facing the end of decades of trade liberalization that have shaped the global order.
Trump held up a board showing the new rates charged on most countries. Rates ranged from 10% to 49% on the first board and up to 50% on later boards.
With a few exceptions, based on the charts Trump read out, the tariff rate being imposed by the U.S. on most countries was around half of what those countries charged. There were some exceptions in which the U.S. charged the exact rates that those countries charged, according to the chart.
“This is not full reciprocal, it is kind reciprocal,” Trump said.
10% baseline tariff
In a background call before Trump’s speech, a senior White House official told reporters that the president would impose a “baseline” tariff on all imports to the US.
That rate is set at 10% and will go into effect on 5 April.
It is the companies that bring the foreign goods into the US that have to pay the tax to the government, although this could have knock-on effects to consumers.
Custom tariffs for ‘worst offenders’
White House officials also said that they would impose what they describe as specific reciprocal tariffs on roughly 60 of the “worst offenders”.
These will go into effect on 9 April.
Trump’s officials say these countries charge higher tariffs on US goods, impose “non-tariff” barriers to US trade or have otherwise acted in ways they feel undermine American economic goals.
The key trading partners subject to these customised tariff rates include:
- European Union: 20%
- China: 54%
- Vietnam: 46%
- Thailand: 36%
- Japan: 24%
- Cambodia: 49%
- South Africa: 30%
- Taiwan: 32%
No additional tariffs on Canada and Mexico
The 10% baseline rate does not apply to Canada and Mexico, since they have already been targeted during Trump’s presidency.
The White House said it would deal with both countries using a framework set out in Trump’s previous executive orders, which imposed tariffs on both countries as part of the administration’s efforts to address the entry of fentanyl to the US and border issues.
Trump previously set those tariffs at 25% on all goods entering from both countries, before announcing some exemptions and delays.
25% tariffs on car imports
In addition, the president confirmed the beginning of a new American “25% tariff on all foreign made-automobiles”.
This tariff went into effect almost immediately.
Following is the list of new tariff rates Trump displayed.
| Algeria | 30% |
| Oman | 10% |
| Uruguay | 10% |
| Bahamas | 10% |
| Lesotho | 50% |
| Ukraine | 10% |
| Bahrain | 10% |
| Qatar | 10% |
| Mauritius | 40% |
| Fiji | 32% |
| Iceland | 10% |
| Kenya | 10% |
| Liechtenstein | 37% |
| Guyana | 38% |
| Haiti | 10% |
| Bosnia and Herzegovina | 35% |
| Nigeria | 14% |
| Namibia | 21% |
| Brunei | 24% |
| Bolivia | 10% |
| Panama | 10% |
| Venezuela | 15% |
| North Macedonia | 33% |
| Ethiopia | 10% |
| Chana | 10% |
| Country | U.S. reciprocal tariffs |
| China | 34% |
| European Union | 20% |
| Vietnam | 46% |
| Taiwan | 32% |
| Japan | 24% |
| India | 26% |
| South Korea | 25% |
| Thailand | 36% |
| Switzerland | 31% |
| Indonesia | 32% |
| Malaysia | 24% |
| Cambodia | 49% |
| United Kingdom | 10% |
| South Africa | 30% |
| Brazil | 10% |
| Bangladesh | 37% |
| Singapore | 10% |
| Israel | 17% |
| Philippines | 17% |
| Chile | 10% |
| Australia | 10% |
| Pakistan | 29% |
| Turkey | 10% |
| Sri Lanka | 44% |
| Colombia | 10% |
| Country | U.S. reciprocal tariffs |
| Peru | 10% |
| Nicaragua | 18% |
| Norway | 15% |
| Costa Rica | 10% |
| Jordan | 20% |
| Dominican Republic | 10% |
| United Arab Emirates | 10% |
| New Zealand | 10% |
| Argentina | 10% |
| Ecuador | 10% |
| Guatemala | 10% |
| Honduras | 10% |
| Madagascar | 47% |
| Myanmar (Burma) | 44% |
| Tunisia | 28% |
| Kazakhstan | 27% |
| Serbia | 37% |
| Egypt | 10% |
| Saudi Arabia | 10% |
| El Salvador | 10% |
| Côte d’Ivoire | 21% |
| Laos | 48% |
| Botswana | 37% |
| Trinidad and Tobago | 10% |
| Morocco | 10% |
Source: Reuters
