How a lot will Trump’s new tariffs damage different nations and US shoppers? | News | USAEMALL.com

On Wednesday, United States President Donald Trump imposed sweeping reciprocal tariffs on the US’s trading partners.

The day was termed “Liberation Day” by Trump, who signed an executive order imposing a flat 10 percent tariff on almost all nations and then additional tariffs on those countries that the US accuses of charging higher levies on American goods.

The levies sent shock waves through global markets and prompted criticism from world leaders. China and the European Union have already responded with retaliatory measures, signalling the risk of a global trade war.

China’s Ministry of Commerce called on Washington to cancel the tariffs. “There is no winner in a trade war, and there is no way out for protectionism,” the ministry said in a statement.

The 10 percent flat tariffs come into force on April 5, while the other tariffs will come into effect on April 9.

What are the new tariffs announced?

Trump has targeted roughly 60 countries with customised reciprocal tariffs. These are countries that have been singled out as ones that charge higher levies on US goods. The steeper rates apply to both major US trading partners and smaller economies – and allies and rivals alike.

China has been hit with a 54 percent tariff, including 20 percent levies from earlier; Lesotho faces a 50 percent tariff; Cambodia 49 percent; and neighbouring Vietnam 46 percent.

“The hike in tariffs was more aggressive than expected,” Lynn Song, chief economist for Greater China at Dutch bank ING, told Al Jazeera.

“Many were expecting a range of 10-20 percent tariffs. This sort of aggressive move will probably risk some retaliation from the bigger players, though smaller countries could choose to try and negotiate for a lower rate.”

The EU has also been hit with a 20 percent tariff.

Baseline tariffs of 10 percent have been applied to all imports coming to the US. Some countries facing 10 percent levies are the United Kingdom, Australia, Singapore, Brazil and the United Arab Emirates.

There will be no additional tariffs on Canada and Mexico – both countries are already subject to 25 percent tariffs, except for products covered by a free trade deal with the US.

Explore the table below to see which countries have been hit the least and most.

Which countries export the most to the US?

In 2024, Mexico exported $505.9bn of goods to the US, according to the US International Trade Administration.

This was followed by China, which exported $438.9bn; Canada, $412.7bn; Germany $160.4bn; and Japan $148.2bn.

Which countries will be most affected?

While Trump did not impose extra tariffs on Canada or Mexico, these countries are the most likely to be affected by US levies, given the high percentage of exports that go to the US.

In 2023, 77.6 percent of Canada’s total exports went to the US, according to data from the United Nations Comtrade. Mexico’s total exports to the US were 79.6 percent.

By contrast, while the US is the EU’s largest export destination, the bloc has many other countries that buy its products: In 2023, the US accounted for less than 20 percent of the EU’s exports, according to Comtrade.

Similarly, while a heavy tariff is being applied to Chinese products, only 14.8 percent of Chinese exports went to the US in 2023. So while the US was China’s biggest export market that year, China’s vast portfolio of other export destinations – including Japan, Germany, India and Mexico – means that it might hurt less than Canada or Mexico.

Still, the tariffs could influence how China approaches future trade with the US, according to experts.

“Escalation of tariffs and a continuation of unilateral measures could deepen the erosion of trust in the global trade system, further pushing China to diversify its partners and reduce reliance on the US market,” Carlos Lopes, a Chatham House associate fellow with expertise in international trade and China, told Al Jazeera back in January.

How will this affect US consumers?

In 2023, the US imported $3 trillion worth of goods – about $1 trillion more than it exported.

US consumers are already facing higher car prices following Trump’s 25 percent levies on all autos and auto parts coming into the US, which came into effect on Wednesday, April 2. Since the tariffs also apply to auto parts, cars manufactured in the US using imported parts will become more expensive.

“The increased costs would cause significant disruption throughout the supply chain and, perhaps, most importantly, lead to significant price increases to the cost to American consumers for vehicles,” the Detroit Regional Chamber and MichAuto, an automotive and mobility association, said in a letter, the Reuters news agency reported.

On Thursday, New Zealand Prime Minister Christopher Luxon responded to the 10 percent tariffs imposed on the country: “It ends up driving higher prices for US consumers, higher inflation, slows down growth and, as a result, that puts real pressure in across the world.”