President Donald Trump signed a memorandum that would implement reciprocal tariffs against nations with their own on U.S. exports, as well as a 25% tariff on steel and aluminum imports.
Reciprocal tariffs are intended to be equivalent to fees countries put on U.S. imports. This differs from Trump’s original across-the-board tariff plan.
The reciprocal tariffs were not immediately put in place; officials are examining different countries to tailor tariffs the Trump Administration deems appropriate.
Countries with high trade deficits have priority in the examination process. Tariffs are expected to be implemented in the coming weeks. If other countries lower tariffs, the U.S. will likely respond by lowering its own.
The steel and aluminum tariffs currently have no stated exemptions. The Administration will next focus on tariffs for automobiles, pharmaceuticals and computer chips. Tariffs are being placed on both U.S. competitors and allies.
A fiscal impact report is currently being worked on by the Office of Management and Budget Director Russel Vought. (Source)
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