US President Donald Trump has announced his longtime “mutual tariffs” in a move that is expected to rattle global trade ties.
On Wednesday, Trump appeared at the White House Rose Garden. There, they signed an executive order allowing tariffs as it was covered with a massive US flag.
He framed the tax hike as a blow to unfair trade practices and portrayed a portrait of the United States as a country exploited even by its closest allies.
“For decades, our country has been plundered, plundered, raped and looted by both our friends and our enemies,” Trump told an audience of manufacturing workers, ministers and journalists.
“Foreign leaders stole our work. Foreign con artists plundered our factories. And foreign scavengers tore apart the dreams of once beautiful America.”
However, he declared Wednesday marked a turning point in US history, marking the end of a “vicious attack” that he said the country had weathered.
“April 2, 2025 will be remembered forever as the day American industry was reborn, the day America’s fate was reclaimed,” Trump said.
Invoked the International Emergency Economic Force Act of 1977, Trump announced 10% tariffs in all countries scheduled to come into effect on April 5th.
He then revealed that countries with the largest trade deficits with the United States have “individualized” tariffs. These duties will come into effect four days on April 9th.
Trump explained that his team calculated “individualized” tariffs by taking half of what those countries claimed to have charged the United States for their exports.
“We charge them about half of what they charge us, so the tariffs aren’t entirely reciprocal,” Trump said. “I could have done that, but it would have been tough for many countries. We didn’t want to do that.”
Commerce Howard Lutnick holds the charts as President Donald Trump explains his tariff plans on April 2nd [Mark Schiefelbein/AP Photo]
He then beckoned Commerce Secretary Howard Lutnick to the Rose Garden podium with a chart showing some of the tariffs ahead.
The graph shows that the European Union is heading towards a 20% tariff. Meanwhile, China was allocated 34%. Vietnam receives 46% and Thailand receives 36%.
Notably the absences are Mexico and Canada, two of the largest trading partners in the United States and their neighbors.
The White House said these countries remain under punitive tariffs designed to bring in something in line with Trump’s policies on border security.
All goods not based on the US-Canada Free Trade Agreement, except for energy products, face a 25% tariff. Instead, they face 10% tariffs.
Wednesday’s announcement was widely anticipated, but still sent shockwaves around the world.
“This is a historic moment,” said Dan Ciuriak, director of the Canadian-based Ciuriak consulting firm, and nodded to the Trump administration’s isolationist policies.
“I think it’s going to rebuild the world. I think it’s looking at the possibility of something like a “North American fortress.” ”
He noted that poor countries in places like Southeast Asia appear to be hit hardest by impending tariffs.
“Developing countries are suffering from extremely high tariffs, which will have geopolitical consequences,” Ciuriak said.
“These countries are the poorest in the world, and the concept of them becoming rich on the backs of American workers is not very inhabited. I don’t think this will work in other parts of the world, so I think we’ll see a structural change in international relations as a result.”
Trump supporters wear stickered helmets promoting the coal mine at Rose Garden’s customs event [Leah Millis/Reuters]
Within minutes of Trump’s announcement, international backlash began to erupt, and world leaders accused the tariffs that were wiped out of control as unjust.
“The unilateral actions the Trump administration has taken today against every country in the world are not surprising,” Australian Prime Minister Anthony Albanese said at a press conference. “But let me be clear: they are totally unfair.”
Australia faces 10% tariffs from the Trump administration. Like many leaders, Albanese has committed to protecting their country’s workers from the effects of those taxes.
“There is no logic behind the administration’s tariffs and it goes against the basis of the partnership between the two countries. This is not an act of a friend,” he added.
Meanwhile, Ireland’s Taoiseach Micheal Martin provided an extensive message warning that it would damage both global trade relations and US own consumers.
“I strongly believe that tariffs don’t benefit anyone. They’re bad for the global economy. They hurt people. They hurt businesses,” he said. “So I deeply regret the US administration’s decision tonight to collect 20% tariffs on all goods imported from the European Union.”
Even Canada, which was exempt from so-called mutual tariffs, was plagued by anger over the wider US policy of being attacked by longtime trading partners.
“During this crisis, we must act with purpose and strength,” Canadian Prime Minister Mark Carney wrote on social media. “My government will fight tariffs on us, protect Canadian workers and industries, and build the most powerful economy in the G7.”
Canada is one of the countries that has pledged to deal with Trump administration’s tariffs with retaliation measures. Other countries, including Mexico, said Mexican President Claudia Sinbaum, would avoid pursuing “tatt-like” tariffs before Wednesday.
Experts say customs (a kind of import tax) often falls on the shoulders of consumers.
Trump framed his tariffs as a way to reduce the trade deficit and return foreign manufacturing to the US coast. He also said he plans to use tariffs to offset US debt and pave the way for tax cuts.
However, critics point out that trade deficits – if the money spent on exports is greater than the revenue from imports, it is not necessarily a bad thing. They can be a sign of consumer habits and strong currency.
Tariff opponents also argue that it will take years for new factories to be set up in the US and economic benefits to be put into distant prospects.
In a report from the New York Stock Exchange, Al Jazeera correspondent Kristen Salumey noted that market volatility is a problem for investors this week as he withstands tariffs and the resulting economic uncertainty.
“President Donald Trump’s tariff announcement came after the US stock market closed in aggressive territory, promptly sending the futures market into negative territory, and posted another volatile start on the market on Thursday,” Saloomey said.
It could follow Trump’s announcement, she added. Economists have looked at stock market indexes like the S&P 500 for signs of the future.
“Market analysts disagree about whether they have seen the worst impact of this policy on the market,” Saloomey explained.
“With the S&P 10% drop last month, some have argued that the market already has pricing to do business with these tariffs. Others have warned that the situation could be worsened with possible inflation and recession in the future as a result of these policies.”
But Trump and his allies have sidelined fears of a recession. From the rose garden, Trump provided preemptive rebuttal to foreign leaders who could “slam.”
“To all foreign presidents, prime ministers, kings, queens, ambassadors and all others who are calling for exemption from these tariffs soon, I say this: End your own tariffs. Drop your barriers. Don’t manipulate your currency,” Trump said.
He also showed that tariffs felt relatively generous given the abuse he felt the US was facing.
“We’re very kind. We’re kind people, we’re very kind,” he said.
