In 2025, under his second presidency, Donald Trump implemented a broad and aggressive tariff policy aimed at reducing the U.S. trade deficit and protecting domestic industries. Key points about the Trump tariffs in 2025 include:

- On April 2, 2025, Trump announced a "reciprocal tariff" strategy during a White House ceremony he called "Liberation Day," declaring it a historic economic independence moment[3][5].

- A baseline 10% tariff was imposed on all imports to the U.S., effective April 5, 2025, under a national emergency declared via the International Emergency Economic Powers Act (IEEPA)[3][5].

- In addition to the baseline, higher country-specific tariffs ranging from 11% to 50% were scheduled to take effect on April 9, 2025, targeting about 60 countries with which the U.S. has large trade deficits or unfair trade practices[3][5].

- China faced an effective tariff rate of 54% after April 9, 2025, combining previous tariffs with the new reciprocal tariffs. Other countries like Cambodia, Vietnam, and Sri Lanka faced tariffs up to 49%, while the EU faced 20%, and countries like the UK and Australia were subjected to 10%[3][5].

- Trump also imposed 25% tariffs on all steel, aluminum, and automobiles from all countries starting earlier in 2025, and raised tariffs on imports from Mexico and Canada to 25%, though exemptions were made for goods compliant with USMCA rules[3].

- These tariffs have led to retaliatory measures from trade partners, stock market declines, and concerns about economic growth and recession risks[3].

- The tariffs exclude certain products like energy and rare earth minerals not available domestically, and the $800 de minimis threshold for duty-free imports from China was eliminated starting May 2, 2025, making small direct consumer imports more expensive[5].

Overall, Trump's 2025 tariff policy represents the most significant U.S. protectionist trade action since the 1930s, aiming to address what his administration viewed as unfair trade deficits but drawing criticism from economists and trade partners for its potential economic disruption[3][5].

How did other countries retaliate against the US tariffs in 2025

In response to the U.S. tariffs imposed in 2025, several countries enacted retaliatory measures targeting American goods:

- **China** responded strongly by raising tariffs on U.S. imports to 84% after initially planning a 34% tariff. Following further U.S. tariff increases, China escalated its retaliatory tariffs and also implemented export controls on critical minerals, launched antitrust investigations into U.S. companies like Google, and added U.S. firms to export control and unreliable entity lists, aiming to disrupt U.S. supply chains and competitiveness.

- **Canada** imposed 25% tariffs on a broad range of U.S. products including agricultural goods, appliances, motorcycles, apparel, paper products, and footwear. It also imposed tariffs specifically on U.S. steel and aluminum and delayed some retaliatory tariffs to allow businesses to prepare. Additionally, Ontario briefly imposed a surcharge on electricity exports to U.S. states.

- **Mexico** implemented retaliatory tariffs on selected U.S. goods such as pork, cheese, produce, steel, and aluminum, generally ranging from 5% to 20%, while exempting the automotive sector. Mexico also promoted a "Made in Mexico" campaign and considered non-tariff measures in response to the U.S. tariffs.

- **European Union** approved retaliatory tariffs on about $23.2 billion of U.S. exports, primarily in response to U.S. steel and aluminum tariffs. The EU expressed a preference for negotiated solutions but proceeded with tariffs starting April 15, 2025, affecting various U.S. products.

These retaliations reflect targeted approaches focused on key U.S. export sectors and have contributed to escalating trade tensions and economic uncertainty globally.

Citations:
[1] https://www.bloomberg.com/news/articles/2025-04-16/us-retail-sales-jump-by-most-in-two-years-on-car-buying-rush
[2] https://www.npr.org/2025/04/16/nx-s1-5364555/china-rare-earth-minerals-us-tariffs
[3] https://en.wikipedia.org/wiki/Tariffs_in_the_second_Trump_administration
[4] https://www.tradecomplianceresourcehub.com/2025/04/18/trump-2-0-tariff-tracker/
[5] https://en.wikipedia.org/wiki/Trump's_Liberation_Day_tariffs