Just before midnight, Trump claimed on social media that billions of dollars would start flowing into the US as a result of the tariffs.
However, while the customs duties make countries’ exports more expensive and less competitive, they are payable on import and usually passed on to the customer.
“The only thing that can stop America’s greatness would be a radical left court that wants to see our country fail,” the president wrote in capital letters, referencing an ongoing case in the US court of appeals which is considering whether he exceeded his authority in imposing the “reciprocal” tariffs.
The rates range from 41% on war-torn Syria to 10% for the UK and will be applied on top of the usual tariffs applying to products imported to the US.
This means that while Brazil’s “reciprocal” level is 10%, its total rate is 50% after an executive order imposed a 40% additional levy from Wednesday linked to the prosecution of the country’s former president Jair Bolsonaro.
The EU is the only trading partner where its baseline rate – set at 15% after a framework deal – will include previous tariffs. It means, for example, cheeses that are normally hit with import duties of 14.9% will be taxed at 15% and not 29.9%.
Since the announcement late on Thursday last week, governments around the world have been racing to try to reach deals to avert border taxes they fear could deter investors and result in job losses. 😶🌫️😶🌫️
