Resources about Tariffs and Trade Policies

This Fact Sheet outlines the following developments

• Trade Agreement with China: The United States and China reached an agreement to reduce tariffs, eliminate retaliation, and pave the way for future discussions on market access.
• Tariff Reduction: Both countries agreed to lower tariffs by 115% while retaining an additional 10% tariff.
• Chinese Actions: China will remove retaliatory tariffs and suspend or remove non-tariff countermeasures against the United States.
• China’s Tariff Adjustment: China will suspend its 34% tariff on the United States for 90 days but retain a 10% tariff.
• US Tariff Adjustment: The United States will remove additional tariffs imposed on China in April 2025 but retain pre-existing duties.
• US Tariff Rationale: The US maintains a 10% tariff to support domestic production, strengthen supply chains, and protect American workers.
• Trade Agreement Goal: Address trade imbalances and benefit American workers, farmers, and businesses.
• Fentanyl Crisis Action: Both countries will work to stop the flow of fentanyl and precursors from China to North America.

The historic trade deal between the U.S. and the U.K. aims to enhance market access for American exporters, particularly in agriculture, and strengthen U.S. national security. The deal also includes provisions for reciprocal trade with the U.S. and the U.K.

Also of note:

• The reciprocal tariff rate of 10%, as originally announced on Liberation Day, is in effect.
• The United States will agree to an alternative arrangement for the Section 232 tariffs on UK autos.
• • Under the deal, the first 100,000 vehicles imported into the U.S. by UK car manufacturers each year are subject to the reciprocal rate of 10% and any additional vehicles each year are subject to 25% rates.
• The United States also recognizes the economic security measures taken by the UK to combat global steel excess capacity and will negotiate an alternative arrangement to the Section 232 tariffs on steel and aluminum.
• • This deal creates a new trading union for steel and aluminum.

Key Points from Fact Sheet

• Proclamation Goal: To incentivize domestic automobile production and reduce reliance on foreign imports.
• Tariff Modification: Offers an offset to a portion of tariffs for automobile parts used in U.S.-assembled vehicles.
• Offset Percentage: 3.75% of the Manufacturer’s Suggested Retail Price (MSRP) for the first year and 2.5% for the second year.
• Domestic Production Decline: U.S. automobile production has stagnated while foreign industries, supported by subsidies and industrial policies, have expanded.
• Import Dependence: In 2024, the U.S. imported 50% of the vehicles sold, with only 25% of vehicle content categorized as “Made in America.”
• Trade Deficit: The U.S. trade deficit in automobile parts reached $93.5 billion in 2024.

Fact Sheet for President Trump's Executive Order to investigate the national security risks posed by U.S. reliance on imported processed critical minerals and their derivative products. The investigation will assess vulnerabilities in supply chains and the economic impact of foreign market distortions.

Also mentioned:

• China faces up to a 245% tariff on imports to the United States as a result of its retaliatory actions. This includes
• • a 125% reciprocal tariff,
  • a 20% tariff to address the fentanyl crisis,
  • and Section 301 tariffs on specific goods, between 7.5% and 100%.
• President Trump restored a true 25% tariff on steel and elevated the tariff to 25% on aluminum.