In a move that is already shaking international trade, United States President Trump has officially implemented a new set of tariffs targeting dozens of countries. The new levies, which came into force on Thursday, 7 August 2025, will raise taxes on goods exported to the U.S. from many countries around the world. The tariffs were announced just before a previous deadline of 1 August expired.
These new charges, which Trump calls “reciprocal tariffs”, are designed to force countries to pay what he considers fairer trade rates when exporting to the U.S. In a post on his social media page shortly before midnight, Trump wrote in capital letters: “the only thing that can stop america’s greatness would be a radical left court that wants to see our country fail.” He was referring to an ongoing case in the U.S. Court of Appeals, where judges are currently reviewing whether he has the legal right to impose such wide-ranging tariffs.
Under the new tariff structure, different countries are being charged different rates. For example, Syria, a country already battling war and economic hardship, is facing a new 41% levy on its exports to the U.S. The United Kingdom, one of America’s oldest allies, is being taxed an additional 10%. For Brazil, the situation is more complex. Brazil’s basic reciprocal tariff is also 10%, but this has now been raised to 50% following a fresh 40% surcharge linked to legal proceedings against former president Jair Bolsonaro. Trump said the extra levy is a reaction to what he called “a threat to global democracy”.
Only the European Union appears to have secured some form of relief. Due to a previous framework agreement, the EU’s goods will be taxed at a flat 15% rate, absorbing previous charges. For instance, cheeses that usually face a 14.9% import duty will now be charged only 15%, not nearly 30%.
The global reaction has been swift. Many governments have rushed to Washington in hopes of negotiating a reduction in the new tariffs. On Tuesday, Switzerland’s President Karin Keller-Sutter flew to the U.S. for emergency meetings with top Trump officials. Her country was shocked by a sudden 39% tariff, which she said was not discussed or expected. After her visit, the Swiss government announced it would hold an extraordinary cabinet meeting on Thursday to decide its next steps.
India is also facing stiff penalties. After signing an executive order on Wednesday, Trump added a 25% extra tax on Indian goods, citing India’s continued purchase of oil from Russia. India’s total tariff could now reach 50%, and Delhi has 21 days to respond or negotiate. Trump has threatened to use the same approach on other countries still doing business with Moscow.
These new measures are part of Trump’s broader “America First” trade policy. He first introduced the idea of country-specific tariffs on 2 April 2025, calling it “liberation day” and accusing other nations of “looting the U.S. for decades.” After a short pause in April and another delay in July, Trump confirmed the final rates last Friday.
Some countries have been able to negotiate more favourable terms. The United Kingdom, Japan, South Korea, Indonesia, Thailand, Cambodia, the Philippines, Vietnam, Pakistan, and the European Union have all secured either reductions or delays in their tariff rates. On the other hand, Canada now faces a 35% total tariff, while Mexico avoided an increase from its current 25% rate after receiving a 90-day extension.
China, the world’s second-largest economy, is not spared either. It faces a 30% tariff while still trying to negotiate a more lenient deal before a 12 August deadline. If no agreement is reached, rates may go even higher.
As if the current list of tariffs was not enough, Trump on Wednesday warned that semiconductor chips—especially from countries that do not manufacture them in the U.S. or do not plan to—will be taxed at a whopping 100%. This could have major implications for tech industries across Asia and Europe, where most of the world’s microchips are made.
Global analysts warn that this tough new policy may lead to a trade war, increase the cost of goods, and slow down economic recovery for many developing nations. While Trump insists these moves will bring billions of dollars back into the U.S. economy, critics argue they could isolate America and spark retaliatory measures from affected countries.
Nations now face a critical choice: make trade deals with Washington under Trump’s terms, or face harsh penalties. The next few weeks will determine whether diplomacy can cool rising tensions or whether the world is heading for a deeper trade crisis.
