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Trump Trade Negotiator Defends New Tariffs as Old Duties Expire

Created at 26 Jul · 5:06 PM1 source↑ Market-relevant
IN SHORT

Jamieson Greer, President Trump's top trade negotiator, informed the Senate that the U.S. intends to maintain tariffs, introducing new levies between 10% and 12.5% on over 80 countries. These replace a 10% global duty that expired, with the administration citing forced labor practices as justification.

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Key Numbers

80+countries affected by new tariffs
10%-12.5%new tariff rates
10%previous global duty rate
150 daysduration of previous tariffs

Who's Involved

Jamieson Greer
President Trump's top trade negotiator
Donald Trump
President of the United States
US Senate
received testimony from trade negotiator
Australia
criticized new tariffs
Brazil
criticized new tariffs
European Union
seeking clarification on new tariffs
Canada
suggested multilateral approach to forced labor

↳ Why This Matters

The imposition of new tariffs by the Trump administration signals a continuation of aggressive trade policies, potentially impacting global trade relations and supply chains. The move replaces expiring duties and aims to address concerns over forced labor, but has already drawn criticism from key trading partners.

Key facts

  • The U.S. has imposed new tariffs on over 80 countries, ranging from 10% to 12.5%.
  • These tariffs replace a 10% global duty that expired.
  • The administration's stated reason for the new tariffs is to combat forced labor practices.
  • Jamieson Greer, President Trump's top trade negotiator, defended the policy to the Senate.
  • Several trading partners, including the UK, Mexico, Canada, Australia, India, and EU nations, are affected.

President Donald Trump's administration has imposed a fresh round of tariffs on more than 80 countries, with rates ranging from 10% to 12.5%. These new levies replace a 10% global duty that expired, and the administration, through its top trade negotiator Jamieson Greer, has cited the need to address forced labor practices as the justification.

Greer informed the Senate that the U.S. remains committed to its tariff strategy, even as the previous blanket 10% tariff, enacted under the International Emergency Economic Powers Act, concluded. The Supreme Court had previously ruled against earlier tariffs, prompting the administration to utilize different legal avenues, including Section 301 of the Trade Act of 1974, which targets countries engaging in forced labor.

Trading partners have reacted with criticism and calls for clarification. Australia and Brazil described the new tariffs as unjustified, while the EU sought further information, viewing the move as a shock. Canada suggested that a coordinated multilateral approach would be more effective in addressing forced labor than unilateral tariffs.

Frequently asked questions

The U.S. administration cited the need to address forced labor practices in trading partner countries as the reason for the new tariffs.

The tariffs affect over 80 countries, including the UK, Mexico, Canada, Australia, India, China, and the 27 member states of the European Union.

The new levies are being implemented under Section 301 of the Trade Act of 1974.

The new tariffs range from 10% to 12.5% and replace a 10% global duty that expired. The previous tariffs had faced legal challenges and were struck down by the Supreme Court.

What Happens Next

01Trading partners will seek clarification and potentially challenge the new tariffs.
02The administration will likely continue to enforce tariffs under Section 301.

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Cadence

How It Developed

Donald Trump imposed new tariffs on more than 80 countries.
The new tariffs range from 10% to 12.5%.
These tariffs replace a 10% global duty that expired.
The administration cited forced labor practices as justification for the new tariffs.
The tariffs are being implemented under section 301 of the Trade Act of 1974.
Jamieson Greer, the president's top trade negotiator, defended the tariffs before the Senate.
Trading partners like Australia, Brazil, and the EU expressed criticism and sought clarification.
Canada suggested a coordinated multilateral approach to address forced labor.

Sources

T1
Trump’s Trade Negotiator Doubles Down on Tariffs Before Global Duties ExpireThe New York Times
T2
Trump imposes fresh tariffs on UK, EU and dozens of other trading ...theguardian.com
T2
Trump slaps 'sweeping' new tariffs on 60 trade partners - CNBCcnbc.com
T2
Trump's new global tariff draws rebukes from trade partners - CNBCcnbc.com

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