#TrumpTariffs Hereās a refined overview of Trumpās tariffs (July 2025)
š Whatās happening now
New tariffs across key allies and regions
Trump recently issued official letters to 14 countriesāincluding Japan, South Korea, Southeast Asian nations (Thailand, Malaysia, Vietnam), and BRICS nationsāannouncing tariffs ranging from 25% to 40% (and up to 200% on pharmaceuticals, 50% on copper) with an implementation deadline of August 1, 2025 .
Steel and aluminum hike
Effective June 4, tariffs on steel and aluminum were doubledāfrom 25% to 50%āunder SectionāÆ232 .
šµ Economic and market impact
Tariff rates at historic highs
The U.S. average effective tariff rate has climbed from ~2.5% to ~16% (applied), and an āeffectiveā rate of 12ā13%, possibly 17% soon .
Rising costs for businesses & consumers
Midāsized U.S. firms are estimated to absorb $82āÆbillion in new costs .
Goldman Sachs expects ~70% of these costs to be passed to consumers .
Earnings & market resilience
Q2 earnings may reflect margin pressureāS&P EPS growth projected at 4% (down from 12%) . Yet markets remain calm: the S&P500 hovers near record highs, while investors diversify with gold, bonds, and foreign equities .
š Broader economic implications
Global supply disruption
The new tariffs especially target trans-shipment hubs in Southeast Asia to counter indirect Chinese exportsāthis risks distorting supply chains and raising U.S. import costs .
Revenue boost & inflation concerns
U.S. tariff revenues are risingā$24āÆbillion in Mayāwith projections of $300āÆbillion annually . However, economists warn this may fuel inflation and suppress GDP growth (~0.7%) over the next year .
Risks of economic drag
JPMorgan estimates a $82āÆbillion cost bump; mid-sized firms face tightened margins or layoffs . Apollo Global warns of a 90% probability of a tariff-driven recession .
āļø Political & legal context
**āTariff Manā strategy under scrutiny**
Criticism is growingāfrom the WSJ to FTāfor straining alliances and risking economic retaliation .