Just before the August 1 deadline, the White House announced that US President Donald Trump had signed a broad revision of trade tariffs late Thursday night (local time), a key feature of his “America First” economic policy.The new tariff regime, which takes effect on August 7, aims to rebalance long-standing trade deficits that the administration claims have undermined the US economy and national security.It set tariff rates for 68 individual nations and the 27-member European Union. Countries will face a default 10% baseline tariff. As per a senior official, these rates are based on each country’s trade gap with the US and its regional economic standing.Nations having a trade deficit with the US will now face a minimum 15% tariff, impacting around 40 nations globally.While the 15% tariff serves as the new baseline for trade-deficit countries, more than a dozen nations will face significantly higher rates, either for failing to negotiate new terms with the US or because they are among those with the largest deficits.Among the steepest hikes:
- Syria will be hit with a 41% tariff.
- Laos and Myanmar each face a 40% rate.
- Switzerland sees tariffs rise to 39%.
- Iraq and Serbia will pay 35%.
- Algeria, Bosnia and Herzegovina, Libya, and South Africa all face a 30% tariff.
Canada, which was previously subject to a 25% tariff, will now face a 35% rate. The move highlights Washington’s push for broader trade realignments.As for Mexico,the US President said that goods entering the US would still face a 25% tariff, a rate he has loosely tied to fentanyl trafficking. He added that cars would continue to be taxed at 25%, while copper, aluminum, and steel imports would face a 50% tariff during the ongoing talksTrump further said Mexico would remove its “non-tariff trade barriers,” though he offered no details. Some products remain protected under the 2020 US-Mexico-Canada Agreement (USMCA), a deal Trump secured during his first term. However, he now seems less supportive of the pact, which is due for renegotiation next year. Earlier this year, he imposed fresh tariffs on both Mexico and Canada, one of his first major steps after returning to office.
Delayed implementation
Although initially expected to take effect immediately, the White House delayed enforcement of the new tariffs to August 7, giving US Customs and Border Protection time to update its systems for the new duties.Here is a list of countries that would be impacted under the order, along with their adjusted reciprocal tariffs:
| Country/territory | Adjusted reciprocal tariff |
|---|---|
| Afghanistan | 15% |
| Algeria | 30% |
| Angola | 15% |
| Bangladesh | 20% |
| Bolivia | 15% |
| Bosnia and Herzegovina | 30% |
| Botswana | 15% |
| Brazil | 10% |
| Brunei | 25% |
| Cambodia | 19% |
| Cameroon | 15% |
| Chad | 15% |
| Costa Rica | 15% |
| Côte d’Ivoire | 15% |
| Democratic Republic of the Congo | 15% |
| Ecuador | 15% |
| Equatorial Guinea | 15% |
| European Union | 0%–15% |
| Falkland Islands | 10% |
| Fiji | 15% |
| Ghana | 15% |
| Guyana | 15% |
| Iceland | 15% |
| India | 25% |
| Indonesia | 19% |
| Iraq | 35% |
| Israel | 15% |
| Japan | 15% |
| Jordan | 15% |
| Kazakhstan | 25% |
| Laos | 40% |
| Lesotho | 15% |
| Libya | 30% |
| Liechtenstein | 15% |
| Madagascar | 15% |
| Malawi | 15% |
| Malaysia | 19% |
| Mauritius | 15% |
| Moldova | 25% |
| Mozambique | 15% |
| Myanmar (Burma) | 40% |
| Namibia | 15% |
| Nauru | 15% |
| New Zealand | 15% |
| Nicaragua | 18% |
| Nigeria | 15% |
| North Macedonia | 15% |
| Norway | 15% |
| Pakistan | 19% |
| Papua New Guinea | 15% |
| Philippines | 19% |
| Serbia | 35% |
| South Africa | 30% |
| South Korea | 15% |
| Sri Lanka | 20% |
| Switzerland | 39% |
| Syria | 41% |
| Taiwan | 20% |
| Thailand | 19% |
| Trinidad and Tobago | 15% |
| Tunisia | 25% |
| Turkey | 15% |
| Uganda | 15% |
| United Kingdom | 10% |
| Vanuatu | 15% |
| Venezuela | 15% |
| Vietnam | 20% |
| Zambia | 15% |
| Zimbabwe | 15% |