Trump held a ceremony in the White House’s rose garden on April 2, 2025, announcing reciprocal tariffs. He signed the executive order Regulating Imports with a Reciprocal Tariff to Rectify Trade Practices that Contribute to Large and Persistent Annual United States Goods Trade Deficits.
Key take-aways, in summary:
- All countries are subject to an additional 10% tariff beginning April 5
- Certain countries shall have a higher, country-specific rate beginning April 9 [“Annex I” Countries]
- Certain goods are exempt from these additional duties [“Annex II” exempt goods — Annex III referenced in Annex II as “In all cases, the formal language in Annex III governs the tariff treatment of products covered by the action.”], such as:
- Steel and aluminum subject to section 232 duties;
- Automobiles and automotive parts subject to section 232 duties;
- Copper, pharmaceuticals, semiconductors, lumber articles, certain critical minerals, and energy and energy products
- Special treatment for Canada and Mexico, as these duties do not apply to them; but if the existing 25% duties on Canada and Mexico are lifted, then a 12% duty under this EO will apply
- If the imported good subject to these duties is at least 20% U.S. content, the duties only apply to non-U.S. content (“For the purposes of this subsection, “U.S. content” refers to the value of an article attributable to the components produced entirely, or substantially transformed in, the United States.”)
- De minimis shipments are temporarily excepted (except from China, as de minimis shipment exceptions from China are set to end on May 2, 2025 per a new Executive Order)
The below graphic is a nitty-gritty summary of the rates per country:
Stay Informed and Prepared:
The landscape of international trade is shifting rapidly with the reciprocal tariffs on many countries, and sector specifc tariffs such as automotive and metals. Don’t be caught off guard.
Contact Great Lakes Customs for advice and assistance. If you have questions or need help navigating these changes, we’re here to support you.
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