Trump floats hefty tariffs on medicine, autos, electronics

President Donald Trump told reporters Tuesday that he was considering an import tax of around 25% on automobile imports to the United States. The administration also suggested imposing a minimum 25% tariff on pharmaceuticals and semiconductors, and those rates would rise over twelve months. He said the U.S. tariffs would be reciprocal to those already set by U.S. trade partners.

When will this tariff be in place? The suggested tariffs wouldn’t be enacted until the beginning of April, Trump said. The government wanted to give companies the chance to set up operations in the United States before enforcing a tariff, Trump said.

The administration imposed several new tariffs within a month of taking office, including a 10% tariff on all Chinese imports and a 25% tariff on all steel and aluminum imports. The president also approved a 25% tariff on Canadian and Mexican imports but delayed its enforcement after both countries vowed to take action to stop fentanyl and illegal migrants entering the United States.

Dig deeper: Read Lauren Canterberry’s report for more detail on the United States’ tariff war with China.