Trump Imposes New Tariffs on 60 Trading Partners!

The Latest

The United States imposed tariffs of 10% to 12.5% on goods from 60 trading partners, including China and the European Union, covering 99.4% of U.S. imports. The administration said the duties target forced-labor supply chains under Section 301 of the Trade Act of 1974, while several governments rejected the justification and challenged the move.

Details

• Import coverage: Reuters reported the tariffs apply to 99.4% of U.S. imports, although oil, gas, fertilizer, aircraft, critical minerals and goods already subject to national security tariffs are exempt.
• Tariff rates: Eighteen trading partners received a 10% tariff, while 38 countries were assigned a 12.5% rate. Britain, Canada and India are among those facing 10%, while China and Vietnam are among economies subject to 12.5%.
• Legal basis: The administration introduced the duties under Section 301 of the Trade Act of 1974 after the Supreme Court struck down earlier tariffs imposed under emergency powers.
• Global response: Australia and Brazil described the tariffs as unjustified, Norway said there was no basis for the measures, while China opposed the duties and denied U.S. allegations over forced labor.
• Further action: Reuters reported a separate U.S. investigation into excess manufacturing capacity covering 16 trading partners could lead to additional tariffs.

What to Watch

Governments are expected to seek exemptions and assess whether the new duties comply with existing trade agreements. Markets will also watch for possible legal challenges and the outcome of the separate Section 301 investigation, which could expand U.S. tariffs further.