Diversify & Avoid Tariffs
Trump-Era Tariff
Tracker & Guide
Most Recent Update: 1:16 PM CST June 6th, 2025
Tariffs Key Changes
This section tracks the most significant U.S. tariff changes currently in effect or expected to impact businesses through August 2025, based on the latest data as of June 6, 2025. The tariffs, implemented under the Trump administration, aim to reduce trade deficits and protect domestic industries but face legal and economic challenges. A dedicated subsection highlights May 2025 updates for clarity.
June 4, 2025 – Steel and Aluminum Tariffs Doubled
Section 232 tariffs on steel and aluminum increased from 25% to 50%, excluding the UK due to a May 8 trade deal. Impact: Sharp rise in material costs for manufacturing, automotive, and construction sectors; businesses must seek domestic or exempt suppliers (e.g., UK) to mitigate expenses.
May 29, 2025 – Tariffs Reinstated via Court Stay
An appeals court stay reinstated IEEPA-based tariffs (e.g., 30% on China, 25% on non-USMCA Canada/Mexico) after a May 28 ruling declared them illegal, pending a final ruling expected soon after June 9. Impact: Uncertainty disrupts sourcing and pricing; businesses face reinstated import costs and should prepare for potential tariff reductions if the stay is lifted.
May 12, 2025 – U.S.-China 90-Day Tariff Reduction Agreement
A 90-day truce reduced U.S. tariffs on Chinese goods from 145% to 30% and Chinese retaliatory tariffs from 125% to 10%, effective until mid-August 2025, to de-escalate trade tensions while negotiations continue. Impact: Temporary cost relief for businesses importing from China; firms should plan for potential tariff hikes to 145% post-August, diversifying to suppliers in Vietnam, Mexico, or other non-tariffed regions.
May 8, 2025 – U.S.-UK Trade Deal
A trade agreement zeroed tariffs on UK steel and aluminum and U.S. ethanol; the first 100,000 UK auto imports face a reduced 10% tariff (versus 25% standard auto tariff). Impact: Lower costs for UK-sourced steel, aluminum, and vehicles; ethanol exporters gain market access, encouraging partnerships with UK suppliers, though the deal’s scope is limited.
May 3, 2025 – Automobile Tariff Extension to Engines
The 25% tariff on imported automobiles and parts, effective April 3, was extended to include engines, with offsets for U.S.-assembled parts (3.75% of MSRP until April 2026). Impact: Increased costs for imported engines,
Key Trump-Era Tariff Changes Impacting Businesses
Date | Policy Change | Details | Impact on Businesses |
June 4, 2025 | Steel and Aluminum Tariffs Doubled | Section 232 tariffs on steel and aluminum increased from 25% to 50%, excluding UK due to May 8 deal. | Sharp rise in material costs for manufacturing, automotive, and construction; businesses must seek domestic or exempt suppliers (e.g., UK). |
May 29, 2025 | Tariffs Reinstated via Court Stay | Appeals court stay reinstates IEEPA-based tariffs (e.g., 30% on China, 25% on non-USMCA Canada/Mexico) after May 28 ruling declared them illegal, pending final ruling. | Uncertainty disrupts sourcing and pricing; businesses face reinstated costs and should prepare for potential tariff reductions if stay is lifted. |
May 12, 2025 | U.S.-China Tariff Truce | 90-day truce reduces U.S. tariffs on Chinese goods from 145% to 30% and Chinese retaliatory tariffs from 125% to 10%; expires mid-August. | Temporary cost relief for Chinese imports; businesses must plan for potential tariff hikes to 145% post-August, diversifying to Vietnam or Mexico. |
May 2, 2025 | De Minimis Rule Revoked for China | $800 duty-free threshold eliminated for Chinese/Hong Kong goods; 54% duty or $100 flat fee on postal shipments. | Higher costs for low-value Chinese imports; e-commerce businesses face increased duties, prompting shifts to non-Chinese suppliers. |
April 3, 2025 | Automobile and Parts Tariffs | 25% tariffs on imported vehicles and parts, extended to engines May 3; U.S.-assembled parts get offsets (3.75% MSRP until April 2026). | Automotive sector faces cost pressures; businesses must adjust pricing and increase U.S. production to leverage offsets. |
April 2, 2025 | Universal Tariff Introduced | 10% tariff on most non-USMCA imports, excluding steel, aluminum, autos, copper, pharmaceuticals, semiconductors, lumber, energy, and minerals. | Broad import cost increases; businesses should prioritize USMCA-compliant sourcing to avoid tariffs. |
Strategic Business Response to Tariff Changes
To navigate the shifting tariff landscape, businesses should begin by reviewing their supply chains to identify exposure to affected imports and explore opportunities for diversification. At the same time, it’s crucial to adjust financial planning to account for increased costs, both in sourcing and pricing, ensuring that budgets and profit margins remain sustainable in the face of rising import duties.
Actionable Steps for Businesses
- Apply for Tariff Exclusions: Check eligibility for product-specific exclusions through USTR or CBP.
- Diversify Supply Chains: Engage alternative suppliers from unaffected regions or countries with lower tariffs.
- Cost Mitigation: Renegotiate supplier agreements or adjust pricing strategies to minimize tariff impacts.
- Review Relief Programs: Explore eligibility for reimbursement programs related to automotive tariffs and steel/aluminum tariff relief efforts.
May 2025
May 29, 2025 – Tariffs Reinstated via Court Stay
An appeals court stay reinstated IEEPA-based tariffs (e.g., 30% on Chinese goods, 25% on non-USMCA Canadian/Mexican goods) after a May 28 U.S. Court of International Trade ruling declared them illegal. A final ruling is expected soon after June 9, 2025. Impact: Uncertainty disrupts sourcing and pricing strategies; businesses face reinstated import costs and must prepare for potential tariff reductions if the stay is lifted, particularly affecting China and non-USMCA supply chains.
May 12, 2025 – U.S.-China 90-Day Tariff Reduction Agreement
A 90-day truce reduced U.S. tariffs on Chinese goods from 145% to 30% and Chinese retaliatory tariffs from 125% to 10%, effective until mid-August 2025, to de-escalate trade tensions while negotiations continue. Impact: Temporary cost relief for businesses importing from China; firms should plan for potential tariff hikes to 145% post-August, diversifying to suppliers in Vietnam, Mexico, or other non-tariffed regions.
May 8, 2025 – U.S.-UK Trade Deal
A trade agreement zeroed tariffs on UK steel and aluminum and U.S. ethanol; the first 100,000 UK auto imports face a reduced 10% tariff (versus 25% standard auto tariff). Impact: Lower costs for UK-sourced steel, aluminum, and vehicles; ethanol exporters gain market access, encouraging partnerships with UK suppliers, though the deal’s scope is limited.
May 3, 2025 – Automobile Tariff Extension to Engines
The 25% tariff on imported automobiles and parts, effective April 3, was extended to include engines, with offsets for U.S.-assembled parts (3.75% of MSRP until April 2026). Impact: Increased costs for imported engines,
April 2025
April 29, 2025 – Auto Tariff Relief Executive Order Signed
President Trump signed an executive order reducing the compounding impact of the 25% tariffs on imported automobiles and auto parts. The policy prevents stacking tariffs on imported cars that were already affected by steel and aluminum duties, and introduces partial reimbursement mechanisms for U.S. manufacturers for certain tariff payments.
Impact: This measure offers some financial relief for U.S. automotive companies and may slightly moderate cost increases for imported vehicles and parts. Companies should review eligibility for reimbursements and adjust financial forecasts accordingly.
April 29, 2025 – Auto Tariff Relief Executive Order Signed
President Trump signed an executive order reducing the compounding impact of the 25% tariffs on imported automobiles and auto parts. The policy prevents stacking tariffs on imported cars that were already affected by steel and aluminum duties, and introduces partial reimbursement mechanisms for U.S. manufacturers for certain tariff payments.
Impact: This measure offers some financial relief for U.S. automotive companies and may slightly moderate cost increases for imported vehicles and parts. Companies should review eligibility for reimbursements and adjust financial forecasts accordingly.
April 21, 2025 – Tariffs on Chinese Imports Increased to 245%
President Trump has significantly escalated tariffs on Chinese imports, bringing the cumulative rate to as high as 245%. This unprecedented increase includes:
- 125% Reciprocal Tariff: Initially introduced on April 10, 2025.
- 20% Penalty Tariff: Imposed due to ongoing issues related to the fentanyl crisis.
- Additional Section 301 Tariffs: These range from 7.5% to 100%, applied selectively to specific goods.
Impact: Businesses reliant on Chinese imports are now facing severe cost increases. Industries such as automotive, electronics, manufacturing, and retail may experience substantial disruptions. Companies are strongly advised to explore alternative sourcing options, nearshoring, or domestic suppliers immediately.
April 10, 2025 – Pause on Reciprocal Tariffs & Major Hike on China
President Trump announced a 90-day pause on reciprocal tariff increases for most countries, keeping the 10% universal tariff in place. However, tariffs on Chinese imports were raised from 34% to 125%, marking the most aggressive tariff policy to date under the new trade agenda.
Impact: This move offers temporary relief to most global trading partners, but companies sourcing from China will see dramatic cost spikes. Businesses relying on Chinese imports should consider emergency sourcing strategies, shift to alternative suppliers, or explore regional trade options to stay competitive.
April 2, 2025 – Introduction of Universal and Reciprocal Tariffs
President Trump announced a 10% universal tariff on all imported goods, effective April 5, 2025. Additionally, higher “reciprocal tariffs” targeting specific countries will commence on April 9, 2025. These include a 34% tariff on Chinese imports, 20% on European Union goods, 24% on Japanese products, and varying rates for other nations. Canada and Mexico are exempt from these additional tariffs due to existing trade agreements.
Impact: Businesses should anticipate increased costs across a broad range of imported products and consider diversifying supply chains or seeking domestic alternatives to mitigate expenses.
March 2025
March 4, 2025 — China Tariffs Increased to 20%
The U.S. increased tariffs on a broad range of Chinese imports from 10% to 20%, targeting electronics, industrial equipment, and consumer goods. This escalation is part of ongoing efforts to pressure China on trade imbalances.
Impact: Businesses heavily reliant on Chinese suppliers should reassess their exposure and consider diversifying sourcing strategies.
March 12, 2025 — Steel & Aluminum Tariffs Reinstated at 25%
Tariffs on steel and aluminum were fully reinstated at 25%, rolling back previous exemptions and expanding to include several downstream products. This move significantly affects manufacturing, construction, and automotive industries.
Impact: Companies using raw materials in production should prepare for rising costs and delays. Alternate sourcing or domestic suppliers may be essential to reduce disruptions.
March 26, 2025 — 25% Auto and Auto Parts Tariff Announced
A 25% tariff on imported passenger vehicles and critical auto parts—including engines and transmissions—was announced. Implementation begins April 3, 2025. The tariff is aimed at boosting U.S. auto manufacturing and addressing trade deficits.
Impact: Automakers and aftermarket suppliers will see significant cost increases. Review supplier agreements and pricing strategies immediately.
February 2025
February 1: Tariff Announcements
February 3–4: Canada and Mexico Negotiate a Pause
February 10: Steel and Aluminum Tariffs Expanded
February 10: China Retaliates
February 13: Reciprocal Tariff Plan Initiated
Economic Context
January 2025
Increased Tariffs on Solar Materials
The Biden administration doubled tariffs on Chinese solar materials like polysilicon and solar wafers.
New Tariffs on Tungsten Products
A 25% tariff was imposed on tungsten products used in solar manufacturing to counter Chinese subsidies.
Focus on Clean Energy Supply Chains
These measures aim to support U.S. clean energy investments and strengthen domestic supply chains.
December 2024
Tariffs on Fentanyl-related Imports Discussed
Talks began regarding potential tariffs on chemicals used in the production of fentanyl, targeting imports from China.
Trade Negotiations with Canada
Discussions focused on trade imbalances and improving cross-border commerce between the U.S. and Canada.
Commodity Price Surges
Global markets reacted with significant price increases in key commodities such as oil and gold due to tariff speculations.
November 2024
Colombian Trade Surplus Hits $3.9 Billion
The U.S. recorded a substantial trade surplus with Colombia, importing crude oil, coffee, and flowers.
Concerns Over Escalations
Analysts expressed worries about how escalated tariffs might affect both U.S. importers and Colombian exporters.
Trade Pressure Points
The U.S. applied diplomatic and economic pressure on Colombia regarding their deportation and cooperation policies.
October 2024
Technology Tariffs Planned
Trump hinted at imposing tariffs on tech components, prompting a reevaluation of supply chains by tech companies.
Industry Supply Chain Adjustments
Several U.S. businesses began diversifying suppliers to mitigate potential tariff impacts.
International Trade Reactions
Countries with significant tech exports to the U.S. raised concerns over the effect of these tariffs on their economies.
Understanding the Trump Tariff Strategy
The primary motivations behind Trump’s tariff measures include addressing perceived trade imbalances, protecting domestic industries, and leveraging tariffs as a tool to influence foreign policies on immigration and drug trafficking.
Manufacturing
Increased costs due to higher import duties on raw materials.
Automotive
Supply chain disruptions and price hikes due to tariffs on components from Mexico.
Agriculture
U.S. farmers face retaliation tariffs, reducing export competitiveness.
What Businesses Should Do Now
Staying Ahead of the News
STEP 1
Reassess Supply Chains
Evaluate your suppliers and identify alternatives in non-tariffed regions.
STEP 2
Stay Agile with Inventory
Accelerate shipments ahead of tariff deadlines and explore duty drawback programs.
STEP 3
Monitor Policy Developments
Keep up-to-date with tariff announcements and negotiations to adjust your strategy accordingly.
Frequently Asked Questions
If you need further assistance, feel free to reach out to our team!
What is the Trump Tariff Tracker?
The Trump Tariff Tracker is a resource providing up-to-date information on tariff policies under Donald Trump, including key announcements, timelines, and business impacts.
Which countries are affected by Trump’s latest tariffs?
Currently, the major targets are Canada, Mexico, Colombia, and China, with additional measures being considered for other trade partners.
How do these tariffs affect my business?
Tariffs can increase costs for imported goods, disrupt supply chains, and impact pricing. Staying informed allows you to adjust procurement strategies and maintain profitability.
Can tariffs change quickly?
Yes, tariffs can be implemented or lifted with little notice. Monitoring updates regularly is essential to avoid costly surprises.
Where can I find more information on tariff classifications and rates?
The U.S. International Trade Commission (USITC) publishes detailed tariff schedules. Our tracker summarizes the latest changes with actionable insights.