Trump pauses most tariffs, but these are still in effect
Add Axios as your preferred source to
see more of our stories on Google.
President Trump paused — on all countries but China — the sweeping reciprocal tariffs the U.S. had imposed this week.
Why it matters: Trump left a base tax of 10% in place across the world, in addition to duties on some industries, and has hinted that more are coming.
Here's the current state of tariffs:
10% base tariffs
State of play: Trump pumped the brakes on the tariffs that he had put into effect after midnight EST on Wednesday, leaving in place a base 10% duty that started April 5.
- Dozens of trading partners are getting at least a partial, temporary reprieve from the 11-50% tariffs that Trump announced last week.
Yes, but: 10% tariffs ease recession fears but don't eliminate them, and the economy still faces a giant headwind of uncertainty, extra costs, and long-term risk.
China
The big picture: Trump dropped additional levies on every country but China, whose tariffs he increased to 125% on Wednesday.
Catch up quick: China and the U.S. have been escalating tariffs against each other, effectively doubling the cost of each others' imports.
Between the lines: The U.S. trade war with China barrels forward.
Steel and aluminum tariffs
The latest: The 25% tariffs on steel and aluminum, which went into effect on March 12, are still in effect.
- Shoppers don't necessarily buy steel and aluminum in bulk, but the metals are essential components of many common items: foil, pots, golf clubs, furniture and more.
Car tariffs
The 25% tariffs on cars and auto parts, which went into effect on April 2, are still in effect.
- Auto parts compliant with the USMCA trade deal will remain "tariff-free" until Customs and Border Protection "establishes a process to apply tariffs to their non-U.S. content," the White House said previously.
- Auto part suppliers are also impacted by the steel and aluminum tariffs.
Pharmaceutical tariffs
What we're watching: Trump said on Tuesday that "major" pharmaceutical tariffs are coming.
- Even before that, pharmaceutical companies had seen their market values sink in the wake of Trump's baseline 10% tariff on U.S. imports and steeper duties on goods from Europe, Japan and China.
