#TrumpTariffs As of May 2025, former President Donald Trump's tariff policies have significantly influenced global trade dynamics, particularly concerning China and countries moving away from the U.S. dollar. Here's an overview of the current situation:
šŗšø U.S.-China Tariff Developments
Initial Tariff Hikes: In early 2025, the U.S. imposed tariffs up to 145% on Chinese imports. However, these were rapidly reversed within a month due to their adverse economic effects and inconsistencies with the "Tariff Laffer Curve" theory, which suggests that excessively high tariffs can reduce government revenue by suppressing economic activity.
Current Tariff Rates: Following negotiations, U.S. tariffs on Chinese imports have been reduced to approximately 30%, while Chinese tariffs on American goods have decreased from 125% to 10%.
Impact on Small Parcels: The U.S. has also reduced tariffs on small parcels from China and Hong Kongāfrom 120% to 54%āaddressing the "de minimis" loophole that previously allowed goods under $BTC
800 to enter the U.S. duty-free.
š Tariffs Targeting De-Dollarization
100% Tariff Threat: President Trump has pledged to impose a 100% tariff on goods from countries that move away from using the U.S. dollar in international trade. This policy aims to counter de-dollarization efforts by nations like China and India and maintain the dollar's global dominance.
BRICS Nations: Trump has specifically targeted BRICS countries (Brazil, Russia, India, China, South Africa) with this tariff threat, warning of a 100% tariff if they pursue creating a new currency to replace the U.S. dollar.
š¬ Tariffs on Foreign-Made Films
Proposed 100% Tariff: The Trump administration has proposed a 100% tariff on foreign-made films, arguing that foreign incentives lure Hollywood productions abroad, posing both economic and national security issues.
Industry Response: This proposal has sparked significant debate within the global film and arts community.