US President Donald Trump announced a slew of tariffs aimed at countries including India to address what he described as "unfair trade practices". The announcement was also marked as Liberation Day, which Trump declared was the rebirth of the American industry and would "make America wealthy again".
Here are the key highlights of Trump's aggressive tariff moves:
India Hit With 26% Tariff
President Trump announced a 26% duty on Indian imports. Notably, India's weighted average tariff rate on American imports is 12%, compared to the US' previous 3% on Indian goods.
Also Read: Key Quotes From Trump's Reciprocal Tariffs Speech — "Drop Barriers", Don't Manipulate Currencies"
10% Baseline Tariff Set
President Donald Trump announced a 10% baseline tariff on all countries during his speech at the Rose Garden on "Liberation Day" Wednesday. The new tariff policy takes effect starting midnight EST with effect from April 5.
25% Tariff On Autos
President Trump's announcement of a 25% tariff on foreign automakers, effective midnight EST Thursday, stems from his assertion that countries like India, Vietnam, and Thailand impose excessively high tariffs on US goods, thus prompting this retaliatory measure.
The tariff is applicable on auto components, unassembled vehicles and fully imported cars, according to the declaration on Wednesday.
US Tariffs Not Fully Reciprocal
President Trump stated that the newly imposed tariffs on foreign automakers would not be fully reciprocal, clarifying that "we will charge them approximately half of what they charge."
How Trade Partners Fare
The US imposed sweeping tariffs on multiple trade partners, with rates as high as 49% on Cambodia, 36% on Thailand, and 34% on China.
The European Union faces a 20% tariff, while Japan and South Korea will see levies of 24% and 25%, respectively.
Even allies like Israel (17%) and the UK (10%) aren't exempt. Switzerland faces a 31% tariff, and Vietnam has been marked for a 46% levy. The higher-than-baseline tariffs will take effect from April 9.
Also Read: In Charts: India-US Trade From A Global Lens
Canada, Mexico Exempted From New Levies
Canada and Mexico, two of America's trade partners who were already slapped with a 25% levy, face no new additional taxes. Trump had referred to Canada's restrictions on dairy imports, stating that the country imposed a 250-300% tariff on dairy. "We don't like it and it's not fair," Trump said of Canada's tariffs.
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