The White House clarified that China is now subject to a minimum tariff rate of 145% on all imports to the United States, contrary to President Donald Trump’s earlier statement about increasing tariffs on China to 125%.
The big picture: This clarification came after Beijing retaliated against previous levies, prompting the Trump administration to apply the 125% tariff increase.
- Additionally, a 20% tariff was already in place on goods from China due to its role in supplying fentanyl to the United States.
- The 145% minimum tariff is not a ceiling and comes on top of the preexisting levies, including 25% tariffs on steel, aluminum, cars, and car parts, as well as varying tariffs imposed during Trump’s first term in response to perceived violations of U.S. trade rules.
- Importers who had goods in transit before the new tariffs were imposed have been exempted from the new rates. However, for goods shipped by air, the impact will occur within the next few days, while shipments by sea will take several weeks to arrive and incur the new tariffs.
