(Reuters) – US President Donald Trump launched several tariff threats upon returning to the White House. They range from the broader – as a universal rate on imported products – to those focused on specific sectors, regions, or countries, in an effort to make others meet their political demands.
However, Trump’s threats have changed over time, ranging from minor rates at rates more than 200%, leaving other nations and companies without knowing what is coming.
See a summary of Trump threats related to trade.
Broad tariff threats
One of the pillars of Trump’s vision includes the gradual implementation of universal tariffs on all US imports. His newly confirmed Treasury Secretary Scott Bessent has been pressured for a 2.5% tariff rate that would increase each month, according to a Financial Times report.
However, Trump suggested that tariffs could be even higher. Although tariffs have already been the main pillar of US tax revenues, in recent decades they have diminished for a fraction of US tax revenues. Economists say Trump’s policies will be inflationary, as importing companies, which pay tariffs, pass the additional costs to consumers.
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US global business partners could impose contracts aiming at US exports such as agricultural products, energy and machinery. This could become a trade war, creating uncertainties for companies and investors.
Threats to specific countries
Tarph’s tariff proposals target several important business partners.
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Mexico and Canada: The two countries were the largest US business partners in 2024 until November, with Mexico first. Trump said he was thinking of imposing 25% tariffs on Mexico and Canada imports on February 1, saying that they may be necessary as retaliation for fentanyl trafficking and illegal immigration.
Canada mainly exports oil and other energy products, as well as cars and automotive parts as part of North America’s car chain. Mexico exports several products to the US in the industrial and automotive sectors.
CHINA: Trump called “friendly” a conversation he had with Chinese President Xi Jinping, but continued to threaten with tariffs against China. In Trump’s first term, the two countries were involved in a long trade war that damaged both economies.
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EUROPA: Trump said the EU and other countries have worrying commercial surpluses with the United States. He said the products of these countries will be subject to rates or that they will require them to buy more oil and gas from the US, although the US gas export capacity is close to the limit.
RUSSIA: Trump threatened to reach Russia “and other participating countries” with taxes, rates and sanctions if an agreement to end the war in Ukraine is not closed soon.
India/BRICS Countries: During his campaign, Trump called India a “big abuse” of commerce and promised to use tariffs to correct commercial imbalances. He also threatened the group of Brics nations – of which Brazil is part – with tariffs if they did not accept their requirement to commit to not creating a new currency.
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COLOMBIA: Trump said he would immediately apply 25% tariffs on Colombian products after the country refused to receive flights carrying migrants to be deported from the US; Both sides reached an agreement.
Product Threats
Semiconductors: Trump said he wants to impose tariffs on imported computer chips, pointing to Taiwan, where Taiwan Semiconductor Manufacturing Co, the world’s largest chip manufacturer, manufactures semiconductors for Nvidia, Apple and other US customers. TSMC generated 70% of its revenue by 2024 with clients based in North America.
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Pharmaceutical products: Trump suggested fares about pharmaceutical supplies, including medications, which would be a change. In recent decades, pharmaceutical products have usually been exempt from tariffs.
Years: Trump also said he would impose aluminum and copper rates-metals needed for the production of US military equipment-as well as on steel, to encourage producers to produce them in the United States, which could increase costs for automakers and other manufacturers who use these raw materials. The US imports 38% of their copper needs and are highly dependent on aluminum imports.
Automobiles: Trump is thinking of imposing 25% rates on Canada and Mexico imports on February 1, and he launched the idea of heavy tariffs, 100% or more, on other vehicles, including potentially electric vehicles. The US auto industry was responsible for imports of more than $ 202 billion from Canada and Mexico together in 2024.
