Trump announces global 10% baseline, reciprocal tariffs

President Donald Trump signed an executive order on Wednesday afternoon matching any tariffs that foreign countries impose on the United States. This very simple concept will generate trillions of dollars in revenue to reduce taxes and pay down the national debt, Trump told a crowd gathered at the White House Rose Garden. Tariff amounts will vary by country, but every country will start with a baseline 10% tariff on imported products, Trump said. If companies don't want to pay tariffs, then they have to produce in the United States, Trump said.

How much will countries be charged under the new tariffs? The Trump administration shared a chart showing the discounted reciprocal tariffs the United States planned to charge. The highest tariff rate will be imposed on Cambodia at 49%, with the baseline 10% charged for nearly two dozen countries across the world. Tariffs for Vietnam, Laos, Myanmar, Sri Lanka, and Madagascar are all set at more than 40%. China, Taiwan, Thailand, Switzerland, Indonesia, South Africa, Bangladesh, Serbia, and Botswana will be charged tariffs of 30% or more. American allies will not be exempt from import payments either, with the United Kingdom rate at 10% and Israel at 17%. 

Dig deeper: Read my report on Trump’s foreign car tariff implemented last week.