Business

Trump's higher tariffs hit major US trading partners, sparking defiance and concern

Eight major trade partners have secured framework deals lowering their base tariff rate to 15%— Reuters
 
Eight major trade partners have secured framework deals lowering their base tariff rate to 15%— Reuters

US trade partners such as Switzerland, Brazil, and India were scrambling on Thursday to negotiate better terms as President Donald Trump’s higher tariffs on imports from dozens of countries took effect, pushing the average US import duty to its highest level in a century.
US Customs and Border Protection began collecting the increased tariffs—ranging from 10% to 50%—at 12:01 a.m. EDT, following weeks of uncertainty and last-minute negotiations. The new rates are part of Trump’s broader effort to reduce trade deficits without triggering inflation or severe supply chain disruptions.
The leaders of Brazil and India adopted defiant tones even as their governments sought relief. Brazilian President Luiz Inacio Lula da Silva said he would not “humiliate” himself by calling Trump, while Indian Prime Minister Narendra Modi insisted he would not compromise the interests of India’s farmers.
Since April, Trump has issued several revisions to his “Liberation Day” tariff plan, which now includes 50% tariffs on goods from Brazil, 39% from Switzerland, 35% from Canada, and 25% from India. A separate 25% duty on Indian goods will take effect in 21 days over New Delhi’s purchases of Russian oil.
Eight major trade partners—including the European Union, Japan, and South Korea—have secured framework deals lowering their base tariff rate to 15%. Britain negotiated a 10% rate.
Trump warned that goods routed through third countries to avoid tariffs would face an additional 40% duty, though enforcement details remain vague.
Toyota said Thursday it expects a $10 billion blow from tariffs on cars imported into the US.— Reuters