The U.S. has implemented a universal baseline tariff of 10%, effective April 5. Higher tariffs will be applied to specific trading partners, including China, Japan, and the European Union, starting April 9.
President Trump announced that these countries will face levies equal to half of a calculated total of trade barriers imposed on the U.S. For instance, China will be charged a 34% tariff, based on a calculated 67% charge it places on the U.S. Japan will face a 24% tariff, the EU 20%, and Vietnam 46%.
These tariff rates apply only to the non-U.S. content of finished goods if at least 20% of the product's value originates in the U.S. Tariffs on Canada and Mexico remain unaffected, including the pause on duties for goods compliant with the United States-Mexico-Canada Agreement.
Goods such as steel, aluminum, cars, automotive parts, copper, pharmaceuticals, and semiconductors are exempt from the new duties. Existing tariffs on steel, aluminum, cars, and automotive parts will remain in effect.
The Food Industry Association (FMI) expressed concern that these tariffs could lead to rising prices and reduced competitiveness for American companies. The National Grocers Association (NGA) echoed these concerns, urging a balanced approach to stabilize grocery prices.
Retaliatory measures from U.S. trading partners are expected, with China and Canada already implementing duties and the EU planning countermeasures.