New US tariffs on products from around 60 economies, including European Union member states, have entered into force after temporary measures introduced by US President Donald Trump expired.
From 00:01 Washington time (07:01 Cyprus time), certain exports from the affected countries to the United States will face customs duties ranging from 10% to 12.5%.
The new measures replace the 10% temporary tariffs announced in February, which remained in place for 150 days.
EU among countries facing 10% duties
The tariffs follow an investigation launched in mid-March by the US Trade Representative (USTR), Jamieson Greer, into whether Washington’s trading partners have removed goods produced through “forced labour” from their supply chains.
Countries whose legislation is considered insufficient by the US administration on the issue will face 10% tariffs on certain products. This includes EU member states, the United Kingdom, Mexico and Canada.
Around 40 other countries, including China, Japan, Switzerland and South Korea, will face higher duties of 12.5%.
Energy products and raw materials are expected to be excluded from the measures.
More investigations underway
The USTR is also conducting additional investigations into other sectors.
To avoid the legal challenges that overturned previous tariffs imposed after Trump returned to the White House, the agency relied on a 1974 law covering specific sectors, including steel, aluminium, copper, construction timber, vehicles and vehicle parts.
Before the latest measures, the Trump administration announced 25% tariffs on some Brazilian exports on Wednesday. In comparison, Canada faced additional 50% tariffs earlier this week that are expected to take effect within a month.
Allies criticise Washington’s decision
Australia’s Trade Minister Don Farrell described the new tariffs as “unjustified” and incompatible with the countries’ free trade agreement.
“These tariffs are unjustified, inconsistent with our free trade agreement and should be removed,” he said.
Japan also expressed regret over the decision, with government spokesperson Minoru Kihara saying Japanese industry and trade comply with international rules.
New Zealand Prime Minister Christopher Luxon criticised the tariffs as “extremely disappointing”, arguing that the USTR investigation had not produced substantial evidence to support claims related to forced labour.
Also read: Trump imposes 50% tariffs on Canada as Carney vows trade talks
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