NEW YORK (AP) — President Donald Trump has launched tariff wars with almost all of America's trading partners. And his track record of on-again, off-again new levies continued Wednesday with a 90-day pause for most nations targeted by the latest volley of import taxes, hours after they went into effect.
Just after midnight, dozens of countries began facing steeper duties from the U.S. as part of Trump's sweeping — and self-described “reciprocal” — tariffs on foreign goods. But by Wednesday afternoon, his administration abruptly said it would suspend these higher rates for 90 days, and instead maintain a recently-imposed 10% levy on nearly all global imports.
China, however, is an exception. Trump said on social media that he would raise import taxes on China to 125% “effective immediately” — escalating tit-for-tat levies that have piled up between the two countries.
With so many back-and-forth tariff actions and threats, it can be tough to keep track of where things stand. And a number of other import taxes are still in place. Here's a rundown of what you need to know.
What tariffs took effect on Wednesday — and are now delayed?
Before announcing a 90-day pause, higher rates for Trump's latest — and most sweeping — round of tariffs took effect early Wednesday.
Trump announced these new import taxes on April 2, which he dubbed “Liberation Day,” as part of a sweeping “reciprocal” trade plan. Claiming that others had “ripped off” the U.S. for years, Trump declared that the U.S. would tax nearly all of America's trading partners at a minimum of 10% and impose individualized, steeper rates for dozens of countries that he said run trade surpluses with the U.S.
The 10% baseline already went into effect Saturday — and will now stay in place for most trading partners going forward. Wednesday's 90-day pause means that those steeper levies, which ran as high as 50%, will be delayed.
The Trump administration has signaled that it will use this time to negotiate with individual countries. In a post on Truth Social Wednesday afternoon, Trump said he was declaring the pause because “more than 75 Countries” had reached out to the U.S. government for trade talks and not retaliated in a meaningful way.
Meanwhile, more aggressive tariffs on China still went into effect Wednesday. After following through on a threat to raise levies against China to a combined 104% by 12:01 a.m. ET, Trump said he was upping that figure to 125% Wednesday afternoon.
“China will realize that the days of ripping off the U.S.A., and other Countries, is no longer sustainable or acceptable,” Trump wrote on Truth Social.
Economists warn that the levies will raise prices for goods consumers buy each day, particularly as these new tariffs build on previous trade measures, all of which have already plunged markets into turmoil. And even for countries eligible for the current pause on Trump's steeper, “reciprocal” rates, 10% still represents an increase in the tariffs previously charged by the U.S. government.
Are more tariffs coming?
Yes. Starting Thursday, China has already said it will tax American goods at 84%.
China announced a flurry of countermeasures in response to the “Liberation Day” tariffs last week, including plans for its own 34% levy on U.S. goods to match what was then Trump's “reciprocal” rate. But after Trump threatened — and then followed through — on adding an additional 50% early Wednesday, China said it would raise its tariffs to 84%.
“If the U.S. insists on further escalating its economic and trade restrictions, China has the firm will and abundant means to take necessary countermeasures and fight to the end,” the Ministry of Commerce wrote in a statement introducing its white paper on trade with the U.S.
Whether China will increase its tariffs even further has yet to be seen. The country announced the 84% levy prior to Trump raising the U.S. tax on Chinese goods to a collective 125%.
The trade war between the U.S. and China isn’t new. The two countries have exchanged a series of tit-for-tat levies in recent months — on top of tariffs imposed during Trump’s first term, many of which were preserved or added to under former President Joe Biden.
While China has taken the toughest approach so far, a number of countries are evaluating their own responses to Trump's levies — and some have promised, if not already taken, more retaliation.
Also earlier Wednesday, EU members voted to approve retaliatory tariffs on $23 billion in goods in response to Trump’s previous 25% tariffs on imported steel and aluminum. The EU's counter tariffs will come in stages, with some arriving April 15 and others on May 15 and Dec. 1. The executive commission didn’t immediately specify which goods would be effected.
Members of the 27-country bloc repeated their preference for a negotiated deal to settle trade issues — calling the U.S. tariffs “unjustified and damaging." Prior to Trump pausing his higher “reciprocal” tariff rates, Ursula von der Leyen, head of the EU's executive commission, had offered a zero-for-zero tariffs deal on industrial goods.
Trump could also roll out more product-specific tariffs down the road. The president has previously threatened import taxes on goods like copper, lumber and pharmaceutical drugs — all of which are currently exempt from Trump’s “reciprocal” levies.
During a speech Tuesday night, Trump boasted he was offering “breaking news” before vowing, "We’re going to be announcing, very shortly, a major tariff on pharmaceuticals.” In the same remarks, the president lamented that the U.S. no longer produces many of the pharmaceuticals its citizens take, and said new tariffs would change that — bringing production of medication back to the U.S.
What other import taxes are already here?
A handful of tariffs are already in effect — including, again, Trump's 10% baseline tax which took effect on Saturday.
Prior to that sweeping levy, Trump had rolled out several other rounds of tariffs targeting particular countries and products. His 25% tariffs on auto imports began last Thursday, with taxes on fully-imported cars. Those levies are set to expand to applicable auto parts in coming weeks, through May 3.
Canada responded with a 25% levy on auto imports from the U.S., effective Wednesday, for products that do not comply with the 2020 US-Mexico Canada Agreement.
Trump’s expanded steel and aluminum tariffs went into effect last month. Both metals are now taxed at 25% across the board, with Trump’s order to remove steel exemptions and raise aluminum’s levy from his previously-imposed 2018 import taxes taking effect March 12.
Beyond previous levies on China, Trump also targeted Mexico and Canada earlier this year. They were spared from last week's heightened rates, Trump imposed — and later partially suspended — 25% duties on goods from both countries.
Meanwhile, goods complying with the USMCA can continue to enter the U.S. duty-free, according to the White House. Other imports are still levied at 25%, as well as a lower 10% duty on potash and Canadian energy products.
Once the two countries have satisfied Trump’s demands on immigration and drug trafficking, the White House said the tariff on non-USMCA compliant imports will drop from 25% to 12%.
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Associated Press Writers Josh Boak in Washington, Huizhong Wu in Bangkok and Lorne Cook in Brussels contributed to this report.
Wyatte Grantham-philips, The Associated Press
