You've probably noticed that President Donald Trump is making tariffs a core part of his economic strategy. He argues that these taxes on imported goods and services are crucial for reducing the United States' trade deficit and enhancing U.S. manufacturing.
Since early April, Trump has implemented sweeping tariffs on nearly all products from almost all countries. However, most were paused for 90 days on April 8, except for tariffs involving China.
Many economists argue that Trump’s tariff policies will harm the U.S. economy by increasing costs for businesses and consumers, exacerbating inflation, and potentially slowing economic growth.
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In a recent CBS interview, investor and philanthropist Warren Buffett described tariffs as "an act of war, to some degree."
Trump's former Vice President, Mike Pence, posted on X (formerly Twitter), calling the tariffs "the largest peacetime tax hike in U.S. history."
It can be a lot to keep track of. So, here is more information about the various Trump tariffs, starting with the latest levies and news, to help keep you up to date.
Overview
When do Trump's tariffs start?
In recent months, Trump has threatened, implemented, or paused broad tariffs on various goods, including steel, aluminum, cars, and more.
Initially, the measures targeted countries like China and trading partner allies, including Canada and Mexico. But Trump's most recent tariffs could eventually affect almost all countries.
- As Kiplinger has reported, Trump has also said he’d like to eliminate income taxes in favor of tariffs and establish an ERS (External Revenue Service) to collect tariff revenues.
- With new tariffs targeting automobiles, baseline tariffs on most countries, and higher "reciprocal" rates (11–50%) for targeted countries (including the EU) currently paused, trade tensions remain heightened.
Additionally, the inconsistent and historic nature of these tariff decisions has unsettled markets and caused confusion.
For example, on April 3, the U.S. stock market experienced its worst single-day decline since the pandemic during a sell-off following President Trump's tariff announcement.
Which tariffs are paused?
On April 9, the Trump administration temporarily suspended most new import duties for 90 days. (The 25% tariffs on some Canadian and Mexican goods, plus automobiles and imported steel and aluminum, are in place.)
The 90-day pause on reciprocal tariffs is set to expire on July 8, 2025.
The White House framed the move as part of strategic negotiations with dozens of nations seeking compromises on trade restrictions, energy agreements, and currency practices.
However, many believe the shift was in response to financial market instability that contributed to recent bond yield surges and economic uncertainty.
US and China agree to 90-day tariff reduction
Update: The United States and China have agreed to a 90-day suspension and reduction of tariffs starting May 12, 2025.
- Under the agreement, U.S. tariffs on Chinese goods will be lowered from as high as 145% to 30%
- China will reduce its tariffs on American products from 125% to 10% during this period.
- Both countries will maintain a baseline 10% tariff.
The agreement was reached after two days of talks in Geneva. A spokesperson for China’s Ministry of Commerce stated that the pause allows both sides to resolve differences through dialogue and consultation.
U.S. Treasury Secretary Scott Bessent said, “Both countries represented their national interests clearly. We both have an interest in balanced trade, and the U.S. will continue working toward that.”
The 90-day period will reportedly be used to continue negotiations and assess progress.
Trump unveils trade framework with the UK
President Trump announced what he called a “landmark” trade deal with the United Kingdom on May 8, following a call with British Prime Minister Keir Starmer.
The agreement, which Trump described as “a fantastic win for American workers and British industry,” will see the U.S. lower tariffs on British steel, aluminum, and automobiles.
For example, tariffs on UK-made cars will drop from 25% to 10%, with up to 100,000 vehicles per year allowed at the reduced rate, according to a White House fact sheet.
In return, the UK has agreed to purchase $10 billion worth of Boeing aircraft and open its market further to American agricultural exports, including beef and ethanol.
Prime Minister Starmer reportedly hailed the platform as “a new chapter in our special relationship."
While details are still being finalized, both governments say the agreement will “set the stage for closer economic cooperation” and help ease recent trade tensions.
Movie tariffs?
On May 4, President Trump declared via social media that his administration would immediately begin imposing a 100% tariff on any film made outside the U.S. and imported for American audiences.
“I am authorizing the Department of Commerce, and the United States Trade Representative, to immediately begin the process of instituting a 100% Tariff on any and all Movies coming into our Country that are produced in Foreign Lands. WE WANT MOVIES MADE IN AMERICA, AGAIN!”
Trump claims the measure is necessary to protect American jobs and the domestic film industry. He also framed the issue as a national security threat, suggesting that foreign-made films could be used for propaganda.
The announcement lacked specifics, leaving studios, distributors, and theater owners scrambling to understand which films would be affected.
For more information, see our report: Will a New Trump Tariff Mean Higher Movie Ticket Prices in 2025?
Trump tariffs smartphones temporary exemption
The Trump administration has temporarily exempted smartphones, laptops, and other electronics from its sweeping 145% tariffs on Chinese imports.
The decision, announced on April 12 by U.S. Customs and Border Protection (CBP), seems to spare critical tech products like semiconductors and flat-panel displays from high levies. The levies combine a baseline 20% tariff with a newly imposed 145% “reciprocal” tariff.
White House 145% tariffs on China
The Trump administration revealed in early April that China faces a minimum 145% tariff on all imports, 20% higher than the previously announced 125%. Trump officials told reporters that the new duties are on top of existing tariffs.
Since then, China raised tariffs on U.S. goods to 125%.
Update: As mentioned above, the U.S. and China reached a deal to suspend retaliatory tariffs for 90 days beginning May 12.
Republican push back against Trump tariffs
Meanwhile, some GOP lawmakers have pushed back against Trump's tariffs.
Four Republican senators joined Democratic Sen. Tim Kaine of Virginia's resolution to block Trump's tariffs on Canadian imports. In a 51-48 vote, the senators rejected the notion of a national emergency that Trump used to justify the tariffs. However, the resolution faces headwinds in the U.S. House of Representatives.
A bill proposed by Sens. Chuck Grassley (R-Iowa) and Maria Cantwell (D-Wash.) would limit presidential authority on tariffs by requiring congressional approval within two months of implementation. The bill, designed to address concerns over unilateral trade actions, would also require detailed reports on the consequences of tariffs to strengthen legislative oversight of trade policy.
In a Fox Business interview, Sen. Ted Cruz (R-Texas) said, "I'm not a fan of tariffs," adding, "If the result is our trading partners jack up their tariffs and we have high tariffs everywhere, I think that is a bad outcome for America."
In an April interview, Sen. Rand Paul of Kentucky said, "I believe that economically, it's a misconception to think that tariffs will benefit the nation."
Latest Developments
Tariff timeline
Here’s where things stand so far with Trump’s tariffs. (More detailed information on each is provided below.)
- May 12, 2025: U.S. and China 90-day suspension of high retaliatory tariffs.
- May 8, 2025: Trump announces trade deal with the UK.
- May 4, 2025: Trump floats the idea of a 100% tariff on foreign-made films.
- April 29, 2025: Trump changes the rules surrounding tariffs on automobiles such that steel and aluminum tariffs don't stack on top of the 25% tariffs.
- April 23, 2025: Several states file a lawsuit against the Trump administration due to its tariff policies.
- April 12, 2025: US Customs and Border Protection notice temporarily exempts cell phones and some other electronics from the 145% tariffs
- April 10, 2025: The White House says the tariff rate for China is 145%.
- April 9, 2025: Higher "reciprocal" tariff rates for many countries were set to take effect, according to the White House. But the Trump administration says this now means 125% on Chinese imports and a 90-day pause for most other countries, set to expire on July 8.
- April 7, 2025: Trump threatens 50% tariffs on China
- April 5, 2025: U.S. 10% baseline tariffs go into effect against many countries.
- April 2, 2025: Trump's Tariff' Liberation Day": Trump announces sweeping tariffs on almost all countries at half the rate the administration claims they charge the U.S. Some Senate Republicans join Democrats in a vote designed to invalidate Trump's tariffs on Canada.
- March 26, 2025: President Trump announces a 25% tariff on almost all imported cars effective as of April 3, 2025, and on key auto parts planned for May 3.
- March 12, 2025: The U.S. announces Increased tariffs on steel and aluminum to 25% globally.
- March 4, 2025: Trump increased tariffs on Chinese imports to 20%. New reciprocal tariffs have since been imposed on China.
Retaliatory measures by trade partners
Global trading partners have responded strongly to Trump's tariff policies. Though specific details on retaliation to the April 2 announcements are developing.
- Canada & Mexico: Both countries are reportedly negotiating exemptions under the USMCA framework. Canada imposed a 25% tariff on U.S.-made automobiles, with some exceptions, and is working on a trade framework with the U.S.. Mexico is facing a 25% tariff on most goods.
- European Union: The EU was reportedly preparing countermeasures to U.S. tariffs, including tariffs on US consumer goods, steel, and agricultural products.
- China: Beijing criticized the new measures and announced a 125% retaliatory tariff on U.S. goods, which has been lowered to 10% for 90 days beginning May 12.
Trump global 'reciprocal tariffs'
In what he dubbed "Economic Independence Day," Donald Trump announced sweeping new reciprocal tariffs on almost all countries.
During an April 2 event in the White House Rose Garden, Trump held up a chart listing the countries, their tariff rates, and the proposed new U.S. tariff rate.
For example, the administration said China charges 67% so that the U.S. would impose a 34% tariff. The U.S. will have a minimum baseline tariff of 10% on almost all goods, the same rate that will apply to the UK. The EU will be subject to a 20% tariff.
The list included a 46% tariff on Vietnam, 24% on Japan, a 25% tariff on South Korea, and 31% on Switzerland.
Trump described these numbers as "kind reciprocal, not full reciprocal."
However, critics say that Trump's reciprocal tariff formula miscalculates by equating trade deficits with foreign tariff rates. The argument is that this ignores global supply chains, currency dynamics, and consumer costs, while inviting damaging retaliation.
Automobile tariffs
Trump announced a 25% tariff on all imported cars and auto parts. On May 3, tariffs went into effect on key auto parts, e.g., engines, transmissions, and electrical systems.
To reduce the impact on domestic automakers, vehicles assembled in the U.S. are eligible for partial tariff rebates of 3.75% of the vehicle’s value in the first year and 2.5% in the second. Parts already subject to steel or aluminum tariffs are exempt from this new charge.
Vehicles and parts originating from Canada and Mexico that comply with the United States-Mexico-Canada Agreement (USMCA) will initially be exempt until a system is established to levy tariffs on non-U.S. components.
Meanwhile, Trump had previously told NBC News he "couldn't care less" if foreign automakers raise prices due to the levies. Trump says Americans will simply buy cars made in the United States.
Update: According to the White House, in a trade deal with the UK announced May 8, tariffs on UK-made cars will drop from 25% to 10%, with up to 100,000 vehicles per year allowed at the reduced rate.
Additionally, Trump has recently hinted at upcoming tariffs targeting lumber, pharmaceuticals, and other sectors.
Pharmaceutical tariffs?
Trump has suggested he might announce tariffs on imported pharmaceuticals.
“We have to bring pharmaceuticals, drugs, and pharmaceuticals back into our country. We never want to have to rely on other countries for that,” Trump said to reporters on March 29, captured in an Associated Press video.
Trump has suggested that such tariffs could be as high as 25% and could impact pharmaceutical products from China, Europe, Canada, and Mexico. However, the exact percentage, timing, and scope remain unclear.
Tariff Status by Country
United States tariffs
- 10% minimum tariffs imposed on most countries (April 5 effective date). Higher reciprocal tariffs are paused on some
- 145% on Chinese imports effective April 9, lowered to 30% for 90 days beginning May 12.
- 25% on imported cars (effective April 3, 2025) and key auto parts (May 3)
- 25% on steel and aluminum (March 12, 2025)
- 25% on most Canadian and Mexican goods
Canada tariffs on US
- 25% tariff on non-USMCA-compliant U.S.-made vehicles (announced April 3)
- 25% on CA$30 billion of U.S. goods (March 4, 2025)
- An additional 25% on CA$29.8 billion of U.S. products (March 13, 2025)
As of May 12, 2025, U.S.-Canada trade relations remain tense but have shifted toward negotiation after months of escalating tariffs.
Earlier this year, the Trump administration imposed a 25% tariff on most Canadian imports, with energy products facing a lower 10% rate.
In response, under Prime Minister Mark Carney, Canada hit back with 25% tariffs on about $30 billion worth of U.S. goods, targeting products like orange juice, peanut butter, and motorcycles.
Both sides have also floated the possibility of expanding these tariffs further if talks stall.
Following a meeting in early May, Trump and Carney seem to have agreed to a broad trade platform and negotiation process. Canadian officials emphasized that the talks are focused on practical, bilateral solutions rather than a sweeping overhaul of North American trade rules.
Mexico tariffs
- 25% on most Mexican goods is said to go into effect March 4, 2025, with USMCA exemptions paused until April 2, 2025
Since March 4, 2025, the U.S. has been charging a 25% tariff on almost all Mexican imports, unlike the deal with Canada, with no reduced rate for energy or minerals.
Mexican goods that meet USMCA requirements still enter the U.S. duty-free, but anything that doesn’t qualify faces the full 25% tariff.
Mexico responded with its own tariffs: a 15% duty on U.S. goods starting March 10 and a sharp jump to 125% on all U.S.-origin products effective April 10, 2025.
For now, the de minimis exemption, which lets shipments under $800 enter the U.S. duty-free, still applies to goods from Mexico. However, that exemption is only temporary: it will reportedly end once U.S. Customs has the systems in place to collect tariffs efficiently on low-value packages.
China tariff news
- 125% tariff on some U.S. goods announced and then lowered as of May 12 for 90 days to 30%
- 10-15% on U.S. meat and agricultural products (March 10, 2025)
- Suspension of U.S. lumber imports and revocation of soybean import licenses
- 15% on coal and liquefied natural gas, 10% on oil and agricultural machines (February 4, 2025)
Since early 2025, U.S.-China trade tensions have escalated sharply, with both sides imposing steep tariffs on each other's goods.
On February 4, the U.S. set a 10% tariff on all Chinese imports under the International Emergency Economic Powers Act, later raising it to 20% on March 4.
In response, China introduced retaliatory tariffs effective March 10, including a 15% duty on U.S. chicken, wheat, corn, and cotton, and a 10% duty on sorghum, soybeans, pork, beef, seafood, fruits, vegetables, and dairy, while also suspending export permits for some U.S. soybean producers and restricting certain tech imports.
The trade war intensified in April:
- Trump announced a 34% tariff on Chinese goods on April 2, prompting China to match with a 34% tariff on U.S. goods by April 4.
- By April 9, China had raised its retaliatory tariff to 84%.
- The escalation peaked when the U.S. hiked tariffs to 145% on most Chinese imports, with China responding by raising its tariffs to 125% on U.S. products.
Update: As of May 12, 2025, both countries have agreed to a 90-day truce. Under the new deal, the U.S. will reduce tariffs on Chinese imports from 145% to 30%, while China will cut its tariffs on U.S. goods from 125% to 10%.
Both sides will maintain a 10% baseline tariff during this period
EU tariffs
- Proposed tariffs on €4.5 billion of U.S. consumer goods and €18 billion of U.S. steel and agricultural products (expected mid-April 2025)
The U.S. and European Union are still locked in a tense trade standoff, with both sides keeping tariffs in place while they try to work things out.
The U.S. is currently charging 25% tariffs on EU steel, aluminum, and cars, and there’s a 10% tariff on almost all other EU goods. That 10% could jump to 20% if the two sides don’t reach a deal before the 90-day negotiation window closes on July 8.
On the other hand, the EU has drawn up plans for tariffs on up to €95 billion (about $107 billion) worth of American products, including wine and whiskey, cars, aircraft, chemicals, and farm goods.
Those tariffs aren’t active yet; the European Commission is taking feedback from member countries and industries through June 10 before making a final decision.
For now, the EU has paused its earlier 25% tariffs on $21 billion of U.S. goods until July 14 to give negotiations a chance.
Tariff Product Breakdown
Here is an overview of significant tariffs currently implemented under President Trump's administration:
Trump tariffs in 2025
Product | Country | Tariff Rate | Effecctive Date |
|---|---|---|---|
Automobiles | Global | 25% | April 3 |
Steel | Global | 25% | March 12 |
Aluminum | Global | 25% | March 12 |
Agricultural | Various | TBD | Threatened: April 2 |
Tariff Impact
Economic impacts of Trump tariff policies: Groceries, Cars, Inflation
The economic consequences of Trump’s tariffs are becoming increasingly evident:
Automotive Industry: Some analysts estimate that the new auto tariffs could add $3,000 to the cost of U.S.-manufactured vehicles and $6,000 to those made in Canada or Mexico without exemptions. Production output could drop by as much as 30%, equating to a reduction of approximately 20,000 vehicles per day.
Inflation Concerns: Economists warn that higher tariffs could exacerbate inflation as manufacturers pass increased costs onto consumers.
As reported by Kiplinger, tariffs function as taxes on imports, which raise prices for goods like electronics, clothing, and food, disproportionately affecting lower-income households and reducing purchasing power.
According to the Yale Budget Lab, these higher costs could lead to slower GDP growth, with estimates suggesting a 0.6% reduction in 2025 and long-term economic losses equivalent to $80–110 billion a year.
Employment: While some sectors, like steel manufacturing, have seen job growth, others that rely on imported components face layoffs and reduced production capacity.
Additionally, some businesses are reportedly scaling back hiring and investment plans due to uncertainty and increased operational expenses.
Trade War: Bottom Line
Tariffs: What's next?
Here are some things to watch as the trade wars continue.
- The Trump administration may use tariff threats as leverage in bilateral talks with trading partners like Canada and Mexico under the USMCA framework and with other countries in hopes of negotiating individual trade deals.
- Industries like pharmaceuticals and lumber could face tariffs.
- Due to President Trump's tariff policies, U.S. consumers will face higher prices on a wide range of goods.
Automobiles may become significantly more expensive, with new car prices rising by thousands of dollars and repair costs increasing due to tariffs on imported parts.
Furniture, electronics, household items from China, fresh produce from Mexico, and steel-based products are also expected to see price hikes as import duties take hold.
These tariffs (and retaliatory measures expected from key trading partners) are also projected to contribute to inflation, making everyday goods more costly for U.S. households. Stay tuned.
This article has been updated to reflect recent announcements regarding movie tariffs.
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