#TrumpTariffs The Trump tariffs refer to the tariffs imposed by former US President Donald Trump, with the goal of promoting American industry and protecting national security. Here's an overview of the tariffs:
Key Tariffs Imposed
- *Tariffs on China*: A 10% tariff on all imports from China, with an additional 10% increase taking effect, making the total tariff rate 20%. Further increases have been announced, including a 125% tariff rate on most imports from China.
- *Tariffs on Canada and Mexico*: 25% tariffs on certain imports from Canada and Mexico, with exemptions for USMCA-compliant imports and auto imports.
- *"Reciprocal" Tariffs*: A 10% baseline tariff on imports from nearly every US trading partner, with higher tariffs on trading partners with significant trade surpluses with the US.
- *Section 232 Tariffs*: 25% tariffs on steel and aluminum imports, with expanded product coverage and removal of country exemptions.
- *Auto Tariffs*: 25% tariffs on autos and certain auto parts, excluding US content of imports from Canada and Mexico.
Economic Impact
The Tax Foundation estimates that these tariffs will:
- Reduce long-run US GDP by 0.7%
- Reduce US imports by $542 billion in 2025
- Increase federal tax revenue by $2.1 trillion over the next decade (conventional basis) or $1.4 trillion