New tariffs targeting 99 percent of US trade take effect Friday, replacing expiring levies with a legally reinforced framework.
The Trump administration will implement new tariffs of 10 to 12.5 percent on imports from 60 countries, covering nearly all US trade. The duties replace an expiring 10 percent global tariff, with minimal immediate impact on prices or trade flows expected.
The levies are structured under Section 301 of the Trade Act of 1974, a legal basis deemed more durable after the Supreme Court struck down prior emergency powers. Countries with forced labor laws qualify for the 10 percent rate, while others face 12.5 percent. Steel, aluminum, autos, and select agricultural and energy products are exempt.
Markets are likely to focus on the long-term implications, as the new framework allows for indefinite tariffs and unilateral adjustments. Analysts warn future actions could raise costs for businesses and consumers.