President Donald Trump has announced a comprehensive strategy to implement new import taxes on all goods entering the United States, marking a significant turning point in global trade.
The proposal establishes a minimum tariff of 10% on all imports, aligning with a suggestion Trump made during his campaign last year.
Products from nations labeled by the White House as the “worst offenders,” such as the European Union, China, Vietnam, and Lesotho, will incur much higher tariffs as Trump claims it is a penalty for unfair trading practices.
This initiative diverges from longstanding American policies that have favored free trade, with analysts predicting it could result in increased prices in the U.S. and a slowdown in economic growth both domestically and globally.
According to the White House, the initial 10% tariffs will take effect on April 5, followed by the implementation of higher rates starting on April 9.
In the White House Rose Garden, surrounded by U.S. flags, Trump declared, “It’s our declaration of economic independence.”
The Republican president asserted that the U.S. had long been “looted, pillaged, raped, and plundered by nations both friendly and adversarial.”
“Today we are advocating for the American worker and finally prioritizing America,” he proclaimed, calling it “one of the most significant days in American history.”
During the previous year’s campaign, Trump proposed new tariffs that he claimed would generate revenue for the government and stimulate manufacturing, pledging a new era of American prosperity.
He has spent weeks hinting at Wednesday’s announcement, which follows other directives to raise tariffs on imports from China, foreign automobiles, steel, and aluminum, as well as select goods from Mexico and Canada.
The latest measures, the White House noted, will not affect Mexico and Canada, two of the U.S.’s closest trading allies.
Imports from the UK are expected to incur a new 10% tariff, while items from the European Union will be subject to a 20% tax.
The tariff on Chinese goods will be set at 34%, while Japan will face a 24% charge, and imports from India will be taxed at 26%.
Higher rates will be imposed on smaller countries, with tariffs on goods from Lesotho reaching 50%, and Vietnam and Cambodia facing 46% and 49% respectively.
The latter countries have recently attracted significant investment as businesses relocated supply chains away from China during Trump’s first term.
Overall, these changes will elevate effective tariff rates in the U.S. to levels not witnessed in decades.
Trump also announced that a 25% tax on all foreign-made cars, which was revealed last week, will commence at midnight.
