Updates with details throughout, Canadian comments and graphics.
All foreign imports into the US will be subject to a minimum 10pc tax, with levels as high as 34pc for China and 20pc for the EU under President Donald Trump's sweeping tariff measure announced today.
But Mexico and Canada, the US' closest trading partners who have seen on-and-off tariffs from Trump this year, have largely been spared any additional penalties, with the US-Mexico-Canada (USMCA) free trade agreement continuing to hold sway over most commerce between the countries.
"April 2, 2025 will forever be remembered as the day American industry was reborn, the day America's destiny was reclaimed, and the day that we began to make America wealthy again," Trump said at a ceremony in the White House Rose Garden.
Trump referred to his new tariffs as "reciprocal", meaning that they are meant to force foreign countries to lower their alleged high tariffs and other barriers to US exports. But Trump and his key allies in Congress have left little doubt that the tariffs are meant to be permanent, turning into a major source of revenue to offset the planned extension of tax cuts and other economic priorities.
Trump issued an economic emergency declaration with respect to all foreign imports to make them subject to 10pc taxes beginning at 12:01 ET on 5 April.
Foreign trade partners with which the US runs large trade deficits will be subject to additional import taxes, beginning on 9 April.
The new tariffs will include both the 10pc baseline and the additional tariff. They also are on top of previously assessed import duties.
In the case of China, US imports from that country will be subject to an additional 34pc tax from 9 April. Combined with previously enacted tariffs, all imports from China will be subject to 54pc taxes.
In the case of the EU, US imports will be subject to a 20pc tax after 9 April, in addition to the regular tariff rates.
Energy and "certain minerals that are not available in the US" imported from all other countries also will be exempt from the tariffs announced today.
The 2 April tariffs will not apply to steel and aluminum, cars, trucks, and auto parts — which already are subject to separate tariffs — and to copper, pharmaceuticals, semiconductors and lumber.
The tariffs will apply only to the non-US content of the imported product, so long as at least 20pc of it originates in the US.
Trump did not reimpose punitive tariffs on energy and other imports from Canada and Mexico. All products covered under the US-Mexico-Canada (USMCA) free trade agreement will continue to be imported into the US without tariffs — including energy commodities like oil and refined products.
Canadian prime minister Mark Carney said Wednesday the actions "preserved a number of important elements" of US-Canadian commerce, but that existing tariffs on steel and aluminium, and tariffs on automobiles will need to be addressed. Carney said his government will meet early Thursday to discuss next steps.
Trump since taking office has already imposed a 20pc tariff on all imports from China, in effect since 4 March, and a 25pc tax on all imported steel and aluminum, in effect since 12 March.
A 25pc tariff on all imported cars and trucks is scheduled to go into effect on Thursday, and a 25pc tax on auto parts will go into effect on 3 May.
