U.S. President Donald Trump has announced a 10pct minimum import tariff on most goods entering the country, raising concerns about a potential global trade war. The new tariffs will take effect on April 5, 2025.
In addition to the baseline 10pct tariff, the U.S. will impose higher, country-specific reciprocal tariffs on nations with which it has the largest trade deficits. According to Trump, these measures are a response to tariffs and other trade barriers placed on U.S. goods.
Chinese imports will face a total tariff of 54pct, including a newly imposed 34pct levy on top of the previous 20pct. The European Union will be subject to a 20pct tariff, while Japan will face a 24pct rate. The tariff on imports from India has been set at 26pct.
The Gulf Cooperation Council (GCC) nations, including Saudi Arabia, Kuwait, the UAE, Qatar, Bahrain, and Oman, will be subject to the baseline 10pct tariff, along with Yemen, Iran, Morocco, Egypt, and Turkey. Other countries will face higher tariffs, with Syria at 41pct, Iraq at 39pct, Libya at 31pct, Algeria at 30pct, Tunisia at 28pct, Jordan at 20pct, and Pakistan at 29pct.
Steel and aluminum, which are already subject to Section 232 tariffs, will not be affected by the new duties. Additionally, gold, copper, and certain minerals unavailable in the U.S. are exempt under a special clause.
The White House emphasized that these tariffs are intended to protect American industries and create a fairer trade environment. However, the move is expected to trigger retaliatory measures from key trading partners, further intensifying global trade tensions.