US President Trump is set to reveal details of the comprehensive tariffs he announced earlier, which could have a significant impact on the European Union and the global economy. Trump has referred to the day of the announcement as the “Day of Liberation”.
Although many details of the new tariffs are still unclear, they could take effect immediately. “They will go into effect immediately” said Trump’s spokesperson, Karoline Leavitt. The rules that Trump will announce in a speech at the White House rose garden are expected to be the most aggressive and consequential tariff move by the US President to date.
A former trade official from Trump’s first term in office told Reuters that Trump is likely to impose tariffs on individual countries at a lower level, but on a broader scale. The former official added that the number of countries likely to be affected could exceed 15, as the US administration is focusing on countries with significant trade surpluses with the US.
US Treasury Secretary Scott Bessent had previously stated that the administration is concentrating on these countries, as they have large trade surpluses with the US. Bessent said that the reciprocal tariffs would be a “ceiling” for the highest US tariffs, which could be reduced if the countries meet the US administration’s demands.
In the nearly 10 weeks since taking office, the US President has already imposed new tariffs of 20% on all Chinese imports in connection with Fentanyl and reinstated tariffs of 25% on steel and aluminum. The one-month exemption for most Canadian and Mexican goods is set to expire on Wednesday.
The EU has already announced its intention to retaliate with countermeasures against Trump’s tariffs, which could spark a trade war. Trump argues that American workers and manufacturers have been harmed for decades by free trade agreements that have lowered barriers to global trade and fueled the growth of a $3 trillion import market in the US.