In a dramatic move to reshape global trade, US President Donald Trump has implemented a new wave of tariffs affecting over 90 countries, marking one of the most extensive tariff policies in American history.
The new import duties took effect after Trump’s August 7 deadline for trade deal negotiations passed. He declared on Truth Social that the tariffs were bringing billions of dollars into the US, crediting the strategy for encouraging manufacturing and job growth at home.
Major Trade Shifts and Rising Tensions
Among the harshest penalties are 40% tariffs on Laos and Myanmar, as well as 39% on Swiss exports. Trump also warned India of a 50% tariff if it continues to import oil from Russia, calling the move a necessary response to geopolitical concerns. India called the warning “unfair and unreasonable,” vowing to protect its interests.
Trump also announced a 100% tariff on foreign-made semiconductors to pressure tech companies to increase US-based production. However, major chipmakers such as TSMC, Samsung, and SK Hynix—already investing in the US—may be exempt.
Trade Talks and Exemptions
Countries that proactively negotiated with Washington have secured better terms. The European Union agreed to a 15% tariff, while the UK, Japan, and South Korea locked in reduced rates.
Canada, though initially hit with a 35% tariff for alleged inaction on fentanyl trafficking, saw most of its exports shielded due to the USMCA trade deal. Mexico’s tariffs were delayed by another 90 days pending talks.
In contrast, Taiwan faces a 20% levy, though its president termed the measure “temporary” as negotiations continue.
A Historic Tariff Spike
The average US tariff rate is now the highest in nearly 100 years, impacting vehicles, steel, electronics, and more. Trump argues this strategy corrects the long-standing US trade deficit and protects American industries from what he calls unfair global practices.
Critics, however, warn the tariffs could disrupt supply chains, increase consumer prices, and strain diplomatic relations—especially with strategic allies like India and Switzerland.
Market Reaction and Political Strategy
Markets across Asia reacted calmly, with indexes in Japan, Hong Kong, and China edging higher. Analysts say the implementation of tariffs—after months of uncertainty—provides predictability, though the long-term economic impact remains unclear.
Trump’s moves are also linked to wider geopolitical aims. He’s threatened “secondary tariffs” on nations that continue trading with Russia, pressuring countries to distance themselves from Moscow unless a Ukraine ceasefire is reached.
Meanwhile, companies like Apple have responded with announcements of major investments in the US, aligning with the White House’s push for domestic growth.https://www.youtube.com/watch?v=6ZFKHzKyfO4
What Comes Next?
As the world adjusts to Trump’s aggressive trade agenda, analysts say the current tariff wave could be just the beginning. With talks ongoing with China, India, and others, the future of global trade now hinges on how nations respond to this sweeping shift in US policy.
