Overview
- The Office of the U.S. Trade Representative put 10% to 12.5% duties into effect on Friday for roughly 60 economies, measures that cover about 99.4% of U.S. imports and replace the temporary global levies that recently expired.
- Countries were split into two tiers with lower 10% rates for some partners and 12.5% for others, and the USTR exempted specific goods and created textile tariff‑rate quotas for Bangladesh, Cambodia, Indonesia and Malaysia.
- India was placed in the lower 10% tier and its government says about 45% of Indian exports to the U.S. are exempt from the new duty while New Delhi presses for an early bilateral trade deal.
- Two groups of U.S. small businesses have sued in the U.S. Court of International Trade arguing the tariffs exceed presidential authority and lack required country‑specific findings, even as legal experts say Section 301 may be harder to overturn than the prior emergency measures.
- Economists warn the duties will maintain upward pressure on prices and strain supply chains, governments have lodged formal protests, and analysts expect further Section 301 probes and additional tariff actions to follow.