New updates around former President Trump’s proposed tariff strategy are making waves, with major implications for global trade and U.S. policy:
- *Baseline Reciprocal Tariff Hike*: Trump signaled plans in July 2025 to raise the default reciprocal tariff rate on imports. While official documentation hasn’t been released yet, the proposal has already triggered intense debate among trade experts.
- *Legal Pushback*: A federal appeals court recently ruled that certain tariffs had exceeded presidential authority. However, the decision is currently on hold, with the Supreme Court set to hear arguments in November — a case that could reshape executive trade powers.
- *Targeted Tariff Threats*: Specific tensions are rising with Canada and India. New tariffs are being threatened on Canadian fertilizer and Indian rice, citing unresolved trade disputes.
- *Elective Exemptions & Trade Deals*: New deals with Ecuador and El Salvador will lift reciprocal tariffs on select goods. Meanwhile, the *de minimis* exemption — which previously allowed low-value imports to skip duties — has been suspended since August 29, 2025, meaning more everyday shipments now face import taxes. With legal, political, and international factors all in play, the evolving tariff landscape could have broad effects on supply chains, consumer prices, and diplomatic ties.