On Wednesday, President Trump announced the imposition of additional tariffs to be effective April 5th. The President has again invoked his authority under the International Economic Emergency Powers Act (IEEPA) to quickly implement additional tariffs. These IEEPA tariffs had been expected since the White House announced on February 13th their intention to impose reciprocal tariffs of some kind as early as April 2nd. The detail of this action follows, but we are still waiting for updates from Customs on how the tariffs will be reported; as of now, we do not have a list of new provisional tariff numbers to be used.

A 10% tariff for goods from all countries is scheduled to be effective on April 5th. These tariffs will not apply to goods loaded for export prior to April 5th.

Additionally, a higher reciprocal tariff will be assessed for countries with the highest trade deficits; these tariffs will vary for each of the listed countries and will be effective on April 9th.  The tariff will not apply to goods loaded for export prior to April 9th.

• E.U. member countries    20%
• China    34%
• Japan    24%
• Vietnam    46%
• South Korea    26%
• Taiwan    32%
• India    27%
• Switzerland    32%
• Thailand    37%
• Malaysia    24%
• Indonesia    32%
• Israel    17%
• South Africa    31%
• Philippines    18%
• Cambodia    49%
• Bangladesh    37%
• Iraq    39%
• Norway    16%
• Venezuela    15%
• Nigeria    14%
• Guyana    38%
• Pakistan    30%
• Nicaragua    19%
• Jordan    20%
• Sri Lanka    44%
• Algeria    30%
• Kazakhstan    27%
• Angola    32%
• Libya    31%
• Tunisia    28%
• Cote d’Ivoire    21%
• Serbia    38%
• Laos    48%
• Madagascar    47%
• Myanmar    45%
• Botswana    38%
• Democratic Republic of the Congo    11%
• Namibia    21%
• Fiji    32%
• Cameroon    12%
• Liechtenstein    37%
• Brunei    24%
• Lesotho    50%
• Mauritius    40%
• Mozambique    16%
• Bosnia and Herzegovina    36%
• North Macedonia    33%
• Zambia    17%
• Moldova    31%
• Equatorial Guinea    13%
• Chad    13%
• Zimbabwe    18%
• Reunion    37%
• Malawi    18%
• Vanuatu    23%
• Syria    41%
• Saint Pierre and Miquelon    50%
• Nauru    30%
• Norfolk Island    29%
• Falkland Islands    42%
   

There are few exceptions, but articles currently subject to the Section 232 tariffs for steel and aluminum goods, Copper, pharmaceuticals, semiconductors, lumber, and other goods that may become subject to future Section 232 tariffs are not subject to the reciprocal tariffs according to the Executive Order.

Goods from Canada and Mexico are currently subject to an IEEPA tariff implemented earlier this year and this will remain in effect. As such, goods eligible for entry under the USMCA agreement will keep their duty-free status. Note that the same does not apply to China; they apparently will continue to have a 20% IEEPA tariff along with the 34% IEEPA tariff announced yesterday. Please note that the Proclamation has not been published, so the information we have has not been confirmed.

Additionally, a 25% Section 232 tariff has been implemented on passenger vehicles and light trucks as of April 3rd. A similar tariff on major automotive components is scheduled to be implemented on May 3rd.

We will update this information as more details are made available.

Best Regards,

Sam McClure, LCB

Director of Compliance & Customs Services