#TrumpTariffs

📰 Key Developments

Unilateral Tariff Threat & Investor Impact

President Trump has threatened to impose unilateral tariffs on over 150 trading partners—issuing letters in the next 1–2 weeks outlining new rates with a July 9 deadline. Markets responded by dropping more than 200 points, the dollar hitting a 3‑year low, and a cautionary sentiment taking hold .

China Framework Deal at 55% Tariffs

The U.S. and China reportedly reached a “framework deal” in London. It includes a 55% U.S. tariff on Chinese imports and a 10% Chinese tariff on U.S. exports, along with coordination on rare-earth minerals and student visas .

Food Costs & Domestic Pressure

A jump to 50% tariffs on steel and aluminum could increase canned food prices up to 15%, impacting food banks and low-income Americans—especially those using SNAP benefits .

Legal Battles Continue

A federal appeals court has temporarily upheld Trump’s broad “Liberation Day” tariffs following a lower-court injunction, with a final legal showdown scheduled for July 31 .

North American Trade War Underway

Since March, the U.S. has imposed 25% tariffs on most Canadian and Mexican imports, triggering retaliatory tariffs from Canada and delays from Mexico over USMCA compliance .

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⚙️ Policy Context

Under this second term’s “Liberation Day” tariffs, average U.S. import tariffs jumped from 2.5% to about 27%, later easing slightly to ~15.1% by June 1 .

Trump’s “reciprocal tariff” method calculates rates by dividing the target country’s trade surplus (goods only) by their exports to the U.S.—often resulting in extremely high rates (~64% for Indonesia) .

Congress is pushing back, considering the Trade Review Act of 2025, which would require congressional oversight and approval for any new tariffs lasting beyond 60 days .