The United States began imposing new tariffs on imports from dozens of countries on Thursday, marking a pivotal step in President Donald Trump’s efforts to reshape global trade.
With the executive order signed by Trump last week now in effect, U.S. tariffs on products from many trade partners have risen from 10% to between 15% and 41%.
President Trump declared that “billions of dollars” are now flowing into the U.S. as the new tariffs take hold. Posting on his platform, Truth Social, just after the August 7 deadline passed, he wrote, “It’s midnight (local time)!! Billions of dollars in tariffs are now flowing into the United States of America!” ⁽¹⁾
Under the new measures:
- Goods from economies such as the European Union, Japan, and South Korea now face 15% tariffs, despite prior deals aimed at avoiding steeper hikes.
- Countries like India are subject to 25% tariffs, which are set to double within three weeks.
- Nations such as Syria, Myanmar, and Laos face tariffs as high as 41%⁽²⁾.
These tariffs are intended to correct what Washington views as “unfair trade practices” and expand measures Trump initiated upon returning to the White House in January.
Certain sectors are exempt from these tariffs, including:
- Steel
- Automobiles
- Pharmaceuticals
- Electronic chips⁽³⁾⁽⁴⁾
Trump announced plans to impose a 100% tariff on semiconductors. However, Taiwan’s chip giant TSMC will be exempt due to its manufacturing presence in the U.S.
Meanwhile, industry groups and economists warn that these tariffs could severely impact small American businesses. Experts caution that the new measures may fuel inflation and dampen long-term economic growth.