US President Trump Intensifies Tariff Threats on Major Trading Partners
• Global Tariff Restructuring
Broad “reciprocal” duties are slated to rise from 10% to higher levels for dozens of economies on August 1, including the EU and Japan.
Trump postponed the original July 9 implementation, marking a second delay since April’s abrupt unveiling.
The administration has issued letter directives that set tariffs above 10% for individual countries, notably Brazil, which previously fell outside the initial higher‑rate list.
Products such as pharmaceuticals, semiconductors and lumber remain exempt from the general tariff schedule but may face separate actions on steel, aluminum and soon copper. Gold, silver and energy commodities are also excluded.
Key nations like Canada, Mexico and Russia are excluded from the broad tariff list; legal and immigration concerns dictate separate duties.
• Canada and Mexico Targeted Externally
Canadian and Mexican imports, already hit by 25% US tariffs after Trump’s 2024 return, will face a higher 35% duty from August 1.
Under the USMCA pact, most products remain exempt; Canadian energy resources and potash (fertilizer) will still enjoy lower rates.
Chinese goods are not exempt from the duty‑free low‑value parcel allowance, increasing import costs for small electronics and apparel.
• Focus Shift Toward China
Trump ordered the removal of the duty‑free exemption for low‑value Chinese parcels, sharpening trade war pressure.
He has imposed a 30% tariff on Chinese goods, including a 20% surcharge for alleged fentanyl trade involvement.
While Washington lowered its levies to 30%, Beijing cut its own to 10% as part of a temporary pause scheduled for mid‑August.
• Sector‑Specific Tariffs
Steel and aluminum imports face a 25% levy, which Trump has since doubled to 50%.
Auto imports receive a 25% tariff, but vehicles entering under the USMCA can qualify for a lower rate.
Trump unveiled a 50% tariff on copper imports starting August 1.
Ongoing investigations target lumber, semiconductors, pharmaceuticals and critical minerals, potentially leading to further duties.
• Legal Challenges and Court Rulings
The US Court of International Trade ruled in May that Trump overstepped authority with across‑the‑board global levies, blocking many duties from taking effect.
The Trump administration has appealed, while a federal appeals court has temporarily allowed the duties to remain pending the case review.
