Tariff Update

On April 2, 2025, President Trump announced a sweeping new tariff regime—known as the Global Reciprocal Tariffs—targeting imports from nearly all U.S. trading partners. Implemented under the International Emergency Economic Powers Act (IEEPA), the policy introduced a 10% baseline tariff on all imports and added higher, country-specific tariffs determined by the U.S. trade deficit with each nation.

Just one week later, on April 9, 2025, the Administration introduced a 90-day pause on the country-specific rates, temporarily resetting tariffs to the 10% baseline to allow time for bilateral trade negotiations. This pause was later extended until August 1, 2025, giving the U.S. and its partners additional time to reach new trade agreements.

Beginning July 7, 2025, President Trump issued formal notices to over 20 countries, outlining the reciprocal tariff rates set to take effect on August 1 if no deal was reached. While many of these rates mirrored those announced in April, some countries received notably revised tariffs. For example: Brazil was assigned a 50% tariff, citing trade barriers and political concerns surrounding former President Jair Bolsonaro. Canada was assigned a 35% tariff, with references to long-standing agricultural trade issues and perceived failures in cross-border fentanyl enforcement.

The U.S. Department of the Treasury, Department of Commerce, and the Office of the U.S. Trade Representative (USTR) have led the bilateral negotiations, which remain active and complex. While official updates have been limited, media reports suggest progress has been made with several key partners. Some negotiations have reached preliminary agreements, while others remain uncertain or stalled as the August deadline approaches.

A summary of the current negotiation landscape is presented in the updated chart below:

Country	Status	Last Update
Canada	Negotiations ongoing; chaotic; 35% tariff likely	29-Jul-25
India	Negotiations ongoing; deal unlikely; concerns over Russian oil ties	29-Jul-25
Pakistan	Negotiations ongoing; aiming to avoid 29% tariff	29-Jul-25
ROC (Taiwan)	Negotiations ongoing; expects 15% tariff; China tensions	29-Jul-25
Cambodia	Negotiations resumed after ceasefire; tariff risk unclear	28-Jul-25
China (Mainland)	Preliminary agreement; export control and rare earths deal pending	28-Jul-25
European Union	Preliminary agreement; 15% tariff, sectoral exemptions	28-Jul-25
South Korea	Negotiations ongoing; aiming to avoid 25% tariff	28-Jul-25
Thailand	Negotiations ongoing; 36% tariff threat	28-Jul-25
Brazil	No formal negotiations; 50% tariff threat; may retaliate	25-Jul-25
Malaysia	Negotiations ongoing; 25% tariff, sovereignty concerns	24-Jul-25
Japan	Preliminary agreement; 15% tariff, market opening	23-Jul-25
Philippines	Preliminary agreement; 19% tariff, military support	22-Jul-25
Switzerland	Negotiations ongoing; 31% tariff possible	16-Jul-25
Indonesia	Preliminary agreement; 19% tariff on imports	15-Jul-25
Mexico	Negotiations ongoing; 30% tariff threat	13-Jul-25
Vietnam	Unilateral announcement; 20% tariff, 40% on transshipped goods	10-Jul-25
United Kingdom	Deal finalized; tariff reductions	16-Jun-25