#TrumpTariffs Here's a breakdown of the current Trump tariffs situation:
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đď¸ Overview of the 2025 Trump Tariffs
Massive tariff expansions
**"Liberation Day" tariffs (April 2, 2025):** As part of a global âreciprocal tariffâ plan, Trump implemented a baseline 10% tariff on nearly all imports, with higher âreciprocalâ rates for specific nations (e.g., âź34% for China, âź20% for EU) .
Steel & aluminum: On June 4, SectionâŻ232 tariffs jumped from 25% to 50%, with UK metals at 25% due to a trade deal .
North American trade war
Canada & Mexico: Imposed 25% tariffs on most imports (energy at 10%) on March 4; Canada immediately retaliated, and Mexico followed .
Escalation vs. China
Tariff hikes: Tariffs on Chinese goods started at 10% (Feb 4), then rose to ~20%, combining with fentanyl-related duties to hit ~30%, and reached peaks around 145% .
Negotiation truce: A 90-day pause led to reductions (U.S. at 30%, China at 10%), followed by a tentative agreement during London talks, setting U.S. tariffs at ~55% and Chinaâs at 10% .
Legal turmoil
Federal courts struck down major parts of the âLiberation Dayâ tariffs (IEEPA-based), prompting a stay that temporarily reinstated them while appeals continue .
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đ Impacts & Reactions
Domestic industries: Some steel/aluminum firms have benefited, but manufacturers overall face rising costs and supply chain issues, potentially spurring production offshoring .
Global economy: Markets reacted negativelyâstocks dropped, inflation concerns roseâwhile global growth forecasts were downgraded .
Consumer burden: Retail prices for clothing, electronics, and auto parts are higher, potentially adding several hundred to thousands of dollars per household annually .
Political/legal debates: Critics argue Trump overstepped presidential authorityâlegal scholars warn Congress controls tariffsâwhile the administration may pivot to alternate statutes like SectionâŻ232/301 .
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đ Whatâs Next?