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Donald Trump's tariffs in his second presidency have been a significant point of discussion. Here are some key points about the tariffs:

Tariff Rates

- The average effective US tariff rate rose to an estimated 27%, the highest level in over a century, due to the "Liberation Day" tariffs.

- As of June 1, 2025, the average effective tariff rate was 15.1% after some rollbacks.

- Trump imposed a minimum 10% tariff on all US imports, effective April 5, and higher tariffs on imports from 57 countries.

Sector-Specific Tariffs

- *Steel and Aluminum Tariffs*: 50% tariff on steel and aluminum products from all countries, increased from 25% on June 4, 2025.

- *Automobile Tariffs*: 25% tariff on automobiles.

- *China-Specific Tariffs*: Baseline tariffs on Chinese imports were raised to 145%, while China imposed a minimum 125% tariff on US goods.

Impact and Reactions

- The tariffs contributed to downgraded GDP growth projections by the Federal Reserve and OECD, and rising expectations of a recession.

- The US and China have been engaged in a trade war, with both countries imposing retaliatory tariffs.

- Some economists have criticized Trump's understanding of trade, arguing that tariffs are fees paid by US consumers and businesses, not foreign countries ¹.