Keeping up with Trump's Tariffs - Updated as of 14.04.25

US Liberation Day - 2nd April 2025 US Reciprocal Tariffs Announced

As US Trade Policy continues to shift into protectionism mode, this page will be regularly updated to reflect key announcements made throughout the year.

January & February 2025 Summary

We have been reporting on a regular basis the announcements made by the Trump administration regarding new tariffs, and this is a summary of those introduced in February...

1. Tariffs on Canada and Mexico

On February 1, 2025, President Trump signed executive orders imposing a 25% tariff on all imports from Canada and Mexico, with a 10% tariff specifically on Canadian energy resources, including oil, natural gas, and electricity. These tariffs were set to take effect on February 4, 2025. However, on February 3rd, after Canada and Mexico made their position clear, the Trump administration announced a 30-day suspension of these tariffs as Canada and Mexico agreed to enhance efforts to curb illegal immigration and drug trafficking into the United States. The suspension expired on the 4th March and the tariff will be imposed unless significant progress is demonstrated.

2. Tariffs on China

The same executive orders from 1st February imposed a 10% tariff on all imports from China, effective from 4th February. This action aimed to address ongoing trade imbalances and concerns over China's trade practices.

3. Restoration of Section 232 Tariffs

On 11th February, President Trump signed proclamations to restore a 25% tariff on steel and elevate the tariff on aluminium to 25%, closing existing loopholes and exemptions. This move intends to protect America's critical steel and aluminium industries from unfair trade practices and global excess capacity.

What is coming next?

• 25% Tariffs on imported automobiles are set to be also implemented although exact dates are yet to be announced.

• Early in January, President Trump announced plans to introduced tariffs as well on imports of computer chips, semiconductors and pharmaceuticals, which are seen as critical to national security and technological leadership, and aimed to encourage big manufacturers to bring production to the US.

• On 19th February, it was also announced fresh new tariffs to be applied in the next month or sooner on lumber and forest products, and initial thoughts are these may be about 25%.

  
  

Whilst the UK has not been targeted by the initial tariffs, the Prime Minister, Keir Starmer, is due to visit the White House to engage in discussions to preserve the strong trade ties between the two nations. On the other hand, the EU is opposed to the US Tariffs and has warned of potential retaliatory measure. EU's position is that these tariffs can escalate to a trade war which will negatively impact global markets. Many experts warn these tariffs will end up impacting primarily the poorest and consumers both in the US and across the world.

End of Feb and March 2025

According to Tradlinx.com, US Customs and Border Protection (CBP) issued a notice on the first week of March confirming critical details regarding tariffs exemptions, processing changes and trade policy modifications. Some of the key takeaways from this notice include:

• On 21st February, Trump signed a Memorandum targeting countries with the Digital Service Tax, including France, Austria, Italy, Spain, Turkey and the United Kingdom. This Memorandum calls for a review of these taxes and potential retaliatory measures, such as tariffs, to protect American companies from what Trump's Administration considers unfair and discriminatory practices.

• Selected Canadian energy products will be subject to 10% tariffs instead of 25%

• A general 25% tariff is to be applied to all other Canadian imports unless they qualified for an exemption

• De Minimis Exemption still applies for now for shipments valued under $800 from Canada and Mexico, although this is expected to phase out once necessary enforcement systems are in place. (This was still in place as of 21st March 2025).

• Businesses will no longer be able to duty drawbacks for tariffs paid on affected goods

• Foreign Trade Zones (FTZ) Rules Changes for when Mexican and Chinese goods admitted to US FTZs and must now be classified as 'privileged foreign status) meaning tariffs will apply even if goods are further processed within the FTZ.

• Enforcement of tariffs despite delay in notice - CBP begun enforcing tariffs prior to the Notice Schedule for the 6th March.

Other Critical Announcements

• 12th March - US announced 25% tariffs for all steel and aluminium expands to the rest of the world, directly impacting UK products worth hundreds of millions of pounds. According to Sky News, while two rounds of tariffs on China have been enacted, 25% duties on some Canadian and most Mexican cross-border trade have been withdrawn until 2 April at the earliest. Sky News also reported that the Business Secretary Jonathan Reynolds had said that while he was disappointed, there would be no immediate retaliation by the UK government as negotiations continue over a wider trade deal with the US. However, the EU has reiterated they will impose counter-measures which intend to impact €26bn worth of US products starting on 1st April 2025. The duties will cover not just steel and aluminium products, but also textiles, home appliances and agricultural goods. Trump's tariff will impact inflation in the EU and likely the UK.

• 12th March - Expansion of tariffs for steel and aluminium derivatives products: The US Secretary of Commerce will establish by12 May 2025 a system whereby the US will continue to extend the list of steel and aluminium derivatives products subject to additional duties of up to 25%.

• 12th March - Canada is expected to announce further retaliatory tariffs 12th March which are expected to impact $29.8bn worth of US goods will come into force on 13th March. Canada, which is the largest supplier of steel and aluminium to the USA, announced it is applying 25% reciprocal tariffs on steel and aluminium products as well as additional goods such as tools, computers, servers, display monitors, sports equipment and cast-iron products taking effect on the 13th March. Check the full list of impacted goods here

• 12th March - EU's Countermeasures to US Steel and Aluminium tariffs: The EU has issued a notice confirming the EU is imposing counter tariffs to what is estimated €26bn worth of US Imported goods from 1st April 2025. The countermeasures will be introduced in two stages, first by the imposition of the suspended 2018 and 2020 EU rebalancing measures, followed by the imposition additional measures package by mid April. The EU has issued a detailed explainer on their countermeasures which can be viewed here and has also called for stakeholders' views.

• EU and Canada, in response to the steel and aluminium imports, have also announced potential tariffs applying to American whiskey imports as high as 50%.

• Trump's reaction to EU's countermeasures: As expected President Trump took to social media to respond to EU's countermeasures with additional levies saying the White house will impose reciprocal tariffs in whatever the US is being charged with from 2nd April, and these will be reflected on tariffs and non-tariffs measures imposed on the US. For Canada this reciprocal measure may likely include dairy products and lumber, whilst for the EU Trump announced import tariffs as high as 200% on wines.

• 13th March - Global Freight Rates plunged due to global market uncertainty: The Global trade newsletter announced in its latest edition (13th March) that "freight rates across major lanes have plummeted due to shifting trade policies, geopolitical tensions, and carrier adjustments. Analysts warn a continued volatility as supply chain disruptions persist. They also indicated that recent data shows significant declines, specially on the trans-Pacific routes, where rates have dropped by 40% yoy, a trend that has been driven by a combination of reduced demand after Lunar New Year, carrier alliance reshuffles, and the ongoing crisis in the Red Sea, which has forced vessels take longer and costlier routes.

• 20th March - EU postpones tariff response as it awaits for second wave of US duty increases: The EU Commissioner for Trade and Economic Security announced the first set of EU's tariffs in response to Trump's steel and aluminium duties being delayed from 1st to the 13th April. This move effectively merges the two-phase retaliation into one single measure.

• 25th March - Tariffs on Venezuelan Energy: The US imposed a 25% tariff on imports from any country purchasing oil or gas from Venezuela, effective 2nd April. This move aims to pressure nations engaging with Venezuela's energy sector.

• 26th March - President Donald Trump announced a 25% tariff on all imported cars and certain automotive parts, effective 3rd April. The tariffs target passenger vehicles, including sedans, SUVs, crossovers, minivans, and light trucks, as well as key components such as engines, transmissions, powertrain parts, and electrical components. These tariffs aims to bolster domestic manufacturing and are projected to generate approximately $100million in tax revenue. These announcement had led to significant declines in the stock prices of major automakers including General Motors, Ford, Stellantis, Toyota, BMW, and Volkswagen. Canada's Prime Minister condemned the tariffs and hinted at potential retaliatory measures. The EU did not welcome the news either but expressed intention to seek negotiated solutions. This latest measure is likely to lead to increased prices for vehicles impacting consumers and disrupting global supply chains.

April 2025

• 2nd April - Liberation Day - President Donald Trump announced a comprehensive tariff strategy termed "Liberation Day," introducing a baseline 10% tariff on nearly all imported goods, with specific higher rates targeting certain countries. The key tariffs unveiled are as follows:

  • European Union (EU): 20% tariff on imports

  • Japan: 24% tariff on imports ​

  • China: 54% tariff on imports ​

  • Vietnam: 46% tariff on imports 

  • Taiwan: 32% tariff on imports ​

  • South Korea: 25% tariff on imports ​

  • Israel: 17% tariff on imports ​

  • Cambodia: 49% tariff on imports

  • Sri Lanka: 44% tariff on imports

  • Indonesia: 32% tariff on imports

  • Switzerland: 31% tariff on imports ​

  • South Africa: 30% tariff on imports ​

  • Pakistan: 29% tariff on imports ​

  • India: 26% tariff on imports 

The full list of individualised tariffs can be found here

Whilst the US Trump Administration has yet to release a detailed list of HS Codes impacted, we suspect many goods within manufacturing and machinery (which make the main bulk of the UK's exports to the US) will be affected.

• 4th April - UK draws a list of US goods which could be subject to tariffs and ask for input from UK traders. Have your say here

• 4th April - China Strikes back: According to Politico, China has announced that all US imports will be subject to a 34% import tariff and also raise the bar for exports to the US of critical raw materials such as samarium, gadolinium, terbium, dysprosium, lutetium, scandium and yttrium - these metals are used in magnets, nuclear technology, cancer research, oil drilling and other high tech sectors. China has also sue to US at the World Trade Organisation, describing US trade practices as a unilateral bullying mechanism, however they have also said they are open to negotiate and resolve these trade differences in an equal, respectful and mutually beneficial manner. The Chinese's government decision to delay the tariffs until the 10th April, one day before Chinese imports see an increase above the 54% level, is aimed at giving Trump's administration the chance to seek a temporary truce, however Washington has not shown any signs of having further negotiations.

• 7th April - Trump does not hold back either and threatens with higher tariffs: Trump pledged to impose an additional 50% levy on China, if they fail to withdraw their retaliatory tariffs, which could lead with China facing 104% tariff, according to The Times, and this will be expected to be effective from the 9th April.

• 9th April - New tariffs for Chinese Goods are in effect 104%, and China has responded imposing 84% in all U.S Goods. US is threatening to increase current duties even further which is only by fuelling tensions across global trade.

• 10th April: President Trump announced a 90-day pause on most of the newly imposed tariffs targeting U.S trading partners, whilst simultaneously escalating tariffs on Chinese imports reaching a brand new high of 125%. Key points of the latest announcement include:

  • Pause on Global Tariffs: The administration suspended most reciprocal tariffs for 90 days, maintaining a 10% baseline tariff on imports from most countries. However, existing duties on steel, aluminium, and automobiles remained in effect. This decision was influenced by significant market volatility and concerns over economic instability, with former Treasury Secretary Janet Yellen warning of potential recession risks .​

  • Increase in Tariffs on Chinese Goods: Tariffs on Chinese imports were increased to 125%, marking a significant escalation in trade tensions. This move aimed to exert pressure on China for more favourable trade terms. In response, China implemented retaliatory tariffs and experienced a further weakening of its currency.

  • Market Reactions: Following the announcement, U.S. markets experienced a sharp rebound, with the S&P 500 rising by 9.5% and global stock indices recording significant gains. Despite this temporary relief, analysts cautioned about continued unpredictability and potential recession risks linked to these trade policies.

• 11th April - China has announced that it will raise tariffs on U.S Goods from 84% to 125% - sending further shockwaves across the world's economies as their tensions increased. These tariffs are targeting key exports such as soybeans, aircraft, and pharmaceuticals. Additionally, imports of sorghum, poultry, and bonemeal from certain U.S. firms have been suspended, and further restrictions on rare earth mineral exports have been imposed. ​

• 11th April - U.S has placed smartphones and computers on the list of exempted goods on the 125% levies imposed to all Chinese imports for 90-days. Although it was also hinted these goods may face new tariffs under the forthcoming semiconductor-focused policy. According to Politico, President Trump has requested an investigation into Section 232 under his 'national security protection banner', which could lead to imposition of new tariffs to new semiconductor technologies (estimated to start at 25%). China is the largest semiconductor market in the world, with South Korea, Malaysia, Taiwan and Japan also considered to be key players. The announcement caused confusion over existing tariffs but President Trump settled the debate by clarifying iphones and other Chinese-made devices are not 'exempt' but rather have moved to a different tariff 'bucket' - so these are still subject to existing 20% Fentanyl Tariffs. China has said this is a good small step toward correcting the erroneous unilateral imposition of tariffs/

  
  

Further information & Resources:

• White House Notice re: Digital Service Tax

• White House - Adjusting Imports of Automobiles and automobile parts

• White House- Adjusting Imports of Aluminium into The United States

• White House- Adjusting Imports of Steel into The United States

• White House - Fact Sheet Fact Sheet: President Donald J. Trump Declares National Emergency to Increase our Competitive Edge, Protect our Sovereignty, and Strengthen our National and Economic Security

• White House - U.S. Tariffs on China – Executive Order 14195

• White House - Modifying Reciprocal Tariff Rates to Reflect Trading Partner Retaliation and Alignment

• China Tariffs - US Harmonized Tariff Schedule

• U.S. Tariffs on Mexico – Executive Order 14194

• U.S. Tariffs on Canada – Executive Order 14193

• BBC's Trump's tariff trade war: A brief timeline

• Bloomberg - Tariff Tracking and impact on global trade

• ITC Trade Briefs on US Tariffs

• UK's long list of US goods which could face tariffs

• DBT's US Tariffs Support Page includes upcoming Exports Academy Webinar, and useful guidance

Domestic and Global Implications

These aggressive trade measures have raised concerns about a potential global trade conflict. Industries such as fashion are grappling with the uncertainty of fluctuating tariffs and trade barriers, prompting companies to reassess supply chains and production strategies. The heightened costs may inadvertently boost counterfeit markets as consumers seek cheaper alternatives.

Domestically, businesses express apprehension over the uncertainty caused by the tariffs and the prospect of higher prices, leading to significant sell-offs on Wall Street. Major indices have experienced substantial losses, reflecting investor anxiety over the escalating trade tensions.

In summary, since late February 2025, President Trump's tariff policies have strained relations with key trading partners, introduced volatility in global markets, and posed challenges for industries reliant on international trade.

Sources: White House, Reuters, AP News, CBP, Tradlinx, DOJO Consulting Group, BCC, Sky News, ABC News, Sam Lowe from Most Favoured Nation, Government of Canada, MSN, CT Insider, Global Trade Newsletter, The Guardian, The Wall Street Journal, El Pais, Bloomberg, Politico, The Times, The New York Post

How are we helping businesses to navigate these challenging times?

• Tell us how U.S Tariffs are impacting your business, complete this short survey here

• DBT is asking companies for input to UK Tariffs following US Tariffs Announcement. Complete the survey here

• Need help assessing the impact of new tariffs? Get in touch with our team emailing us at international@gmchamber.co.uk

• Access our free US Tariffs - Free Guide for Traders here

• Download free British Chambers of Commerce FAQ on US Tariffs here

• Join us on the 24th April for a free virtual session where we will be discussing the Impact of these tariffs on UK Trade. Book your free slot below:

Chambers Trade Academy: US Tariffs and Impact on UK Trade

24 April 2025, 12:00–13:00|Zoom

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