#TrumpTariffs
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Here's a Trump tariffs update:
Current Tariff Situation
President Trump has imposed various tariffs on countries, including:
- *China*: 20% tariff on all imports, plus a 125% tariff on certain imports, resulting in a 145% tariff on most imports
- *Canada and Mexico*: 25% tariffs, initially suspended for 30 days, now exempt for USMCA-compliant imports
- *European Union*: 20% "reciprocal" tariff rate
- *Universal Tariff*: 10% baseline tariff on all countries, with scheduled increases for more than 50 trading partners
Recent Developments
- The US and UK have outlined a trade deal to reduce auto tariffs from 25% to 10% on the first 100,000 vehicle imports and eliminate steel and aluminum tariffs
- A 90-day pause on escalations with China has been announced, reducing the 125% tariff to 10%
- Certain electronics have been exempted from the "reciprocal" tariffs
Economic Impact
- The tariffs are expected to reduce long-run US GDP by 0.7% and raise $2.1 trillion in revenue over the next decade
- The imposed and scheduled tariffs will amount to an average tax increase of $1,190 in 2025 and $1,462 in 2026 per US household
- Retaliatory tariffs from countries like China, Canada, and the EU affect $330 billion of US exports.