President Donald Trump's trade war with China is in full swing and the White House's fast-moving tariff policies have shaken the stock market as well as the global economy. With Trump deciding on April 9 to pause "reciprocal" tariffs for 90 days, and carving out a range of consumer and other China-made electronics on April 11, here is a rundown of the Trump tariffs currently in place.
Tariffs Now In Place:
- U.S. vs. World:
- blanket 10% tariffs on all imports
- 25% on steel, aluminum, autos and some auto parts imported to U.S. - U.S. vs. China:
- 145% duties on all China imports to U.S.
(20% fentanyl penalty + raised initial 104% tariff to 125% on April 9,
after China levied retaliatory tariffs. Carve-out exceptions below) - China vs. U.S.:
- Raised retaliatory 84% tariffs to 125% - U.S. vs. Canada, Mexico:
25% tariff on all imports not covered under the USMCA agreement. 10%
tariffs on potash and energy. - Canada vs. U.S.:
- 25% on auto imports from U.S. that do not comply with 2020 USMCA
pact. Imposed April 9. - Paused for 90 days (starting 4/9):
- Tariffs ranging from 11% to more than 100% on 60 countries,
including the 27 EU member countries, Vietnam, South Africa and
others.)
Carved out on April 11:
- Trump late Friday issued a rule exempting smartphones, computers and semiconductors from reciprocal U.S. tariffs. The goods remain under the standing 20% tax, a purported fentanyl penalty, on China-made products
Trump Tariffs Still In Effect
Trump appears set on his trade war with China. The president has placed 145% tariffs on Chinese goods. Meanwhile, China on Friday hiked tariffs on U.S. goods to 125% from 84%. China's retaliatory tariffs will go into effect on April 12.
The China-United States trade war began in February when Trump invoked emergency powers to hit all Chinese imports with a 10% tariff, citing a crisis of fentanyl trafficking. In March, Trump raised that tariff to 20%. The duties now stand at 145%.
The Trump White House is also maintaining the 10% base tariff on all global trading partners, which he announced on April 2.
Trump's Auto Tariffs Are Here And It's Hard To Know What Is Next
Trump's 25% tariff on all foreign-made vehicle imports that went into effect last week is also still in place. This tariffs policy is scheduled to expand to imported automotive parts in early May. The Trump White House announced these tariffs on March 26.
Meanwhile, the 25% tariffs on steel and aluminum, which went into effect on March 12, are also still in effect.
The Big 90-Day Pause
Trump announced the so-called reciprocal tariffs on April 2, which are actually based off trading partners' bilateral surpluses with the U.S. However, on Wednesday the stock market soared after Trump announced a 90-day delay for the "reciprocal" tariffs on more than 75 countries. Those countries were getting new tariffs ranging from around 11% to 50% from the Trump administration.
The 90-day pause will likely keep business investment and deals on hold, with management unclear if tariffs will end up higher or lower generally or in specific countries or sectors.
Dimon Sees 'Considerable Turbulence'
JPMorgan Chief Executive Jamie Dimon noted early Friday that investment banking fees rose 12% during the quarter, but clients have become "more cautious" amid the increased market volatility from geopolitical and trade-related tensions.
JPMorgan Clears Estimates, Economy Faces 'Considerable Turbulence'
Dimon said that "the economy is facing considerable turbulence" due to tariffs, trade wars, ongoing sticky inflation, high fiscal deficits, with still-high asset prices and volatility. Potential positive drivers include tax reform and deregulation.
"We hope for the best but prepare the firm for a wide range of scenarios," Dimon said in the JPMorgan earnings release.
On Wednesday morning, Dimon told Fox Business that he saw a U.S. recession as highly likely. President Trump cited Dimon's comments as a factor in his decision to temporarily roll back some tariffs.
BlackRock CEO Larry Fink told CNBC that "We're very close, if not in, a recession now." BlackRock, like JPMorgan, reported earnings early Friday.
Thursday night, Trump threatened new tariffs on Mexico, accusing the country of violating a 1944 water treaty with the U.S.
Trump, speaking during a Cabinet meeting, said he would "love" to get a deal with China. He acknowledged that there will be "transition problems" with his tariff plan, "but in the end it's going to be a beautiful thing."
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