The United States has just rolled out significant changes to its “reciprocal” tariff rates, a move that could affect businesses and consumers around the world that take effect on 7 August 2025.

On July 31st, President Trump signed an Executive Order that modified the so-called “reciprocal” tariff rates for dozens of countries ranging from 10-40%, putting into motion changes and deals that were recently announced on social media. For countries not specifically listed in the Executive Order, a baseline tariff of 10% has been set for their exports to the US.

Key changes and country-specific updates

The new rates introduce a few surprises. With the tariff rate for India is lower than previously threatened (although that could be reversed based on recent social media activity from President Trump), Switzerland’s rate was unexpectedly raised from 31% to 39%, despite ongoing efforts to reach a deal.

While the new “reciprocal” rates confirms the deals that have been announced with the UK, EU, Japan, South Korea, Vietnam, Philippines and Indonesia. At the time of writing, only the deal with the UK has had joint technical details published about what it contains. Work is still ongoing for the others.

A separate Executive Order increased the reciprocal tariff rate for non-USMCA compliant products from Canada, raising it from 25% to 35%. These specific tariffs on Canadian goods took effect on August 1st. In contrast, following a phone call between US and Mexican leaders, a 90-day pause was announced on tariffs for Mexico to allow for continued negotiations. According to President Trump, Mexico has agreed to “immediately terminate its Non Tariff Trade Barriers”.

EU and transshipment rules

The Executive Order also provides more clarity for products from the European Union. If the current US MFN (Most Favored Nation) tariff is less than 15%, a 15% tariff will now apply. However, if the MFN tariff is already 15% or higher, the new “reciprocal” tariff will not be applied. Japan was initially expected to have a similar arrangement, but this provision was not included in the final Executive Order.

A new rule has also been established to prevent companies from trying to bypass these new tariffs. The Executive Order states that products found to have been transshipped to avoid “applicable duties” will face an additional 40% tariff, on top of any other fines or penalties.

What comes next?

The introduction of the new “reciprocal” tariffs introduces a new baseline cost for products entering the United States, however more are coming.

In sector-specific moves, the Trump Administration also introduced new Section 232 tariffs on copper products in July of 50% after earlier moves on steel and aluminium. New sectoral tariffs on pharmaceutical products and semiconductors are expected in the coming weeks while the end of August will see the de minimis exemption ended which previously allowed imports valued at under $800 to enter the Untied States without paying tariffs.

These new tariffs represent a significant shift in US trade policy. Businesses and individuals involved in international trade should carefully review the new rules and deadlines to ensure compliance. If you have questions about how these changes affect you, it’s a good idea to seek expert advice.

Country	2 April tariff rate	1 Aug tariff rate
Afghanistan	10%	15%
Algeria	30%	30%
Angola	32%	15%
Bangladesh	37%	20%
Bolivia	10%	15%
Bosnia and Herzegovina	35%	30%
Botswana	37%	15%
Brazil**	10%	10+40%
Brunei Darussalam	24%	25%
Cambodia	49%	19%
Cameroon	11%	15%
Canada*	25%	35%
Chad	13%	15%
Costa Rica	10%	15%
Côte d`Ivoire	21%	15%
Democratic Republic of Congo	11%	15%
Ecuador	10%	15%
Equatorial Guinea	13%	15%
European Union	20%	15%
Falkland Islands	41%	10%
Fiji	32%	15%
Ghana	10%	15%
Guyana	38%	15%
Iceland	10%	15%
India	26%	25%
Indonesia	32%	19%
Iraq	39%	35%
Israel	17%	15%
Japan	24%	15%
Jordan	20%	15%
Kazakhstan	27%	25%
Korea	25%	15%
Laos	48%	40%
Lesotho	50%	15%
Libya	31%	30%
Liechtenstein	37%	15%
Madagascar	47%	15%
Malawi	17%	15%
Malaysia	24%	19%
Mauritius	40%	15%
Mexico*	25%	30% PAUSED
Moldova	31%	25%
Mozambique	16%	15%
Myanmar	44%	40%
Namibia	21%	15%
Nauru	30%	15%
New Zealand	10%	15%
Nicaragua	18%	18%
Nigeria	14%	15%
North Macedonia	33%	15%
Norway	15%	15%
Pakistan	29%	19%
Papua New Guinea	10%	15%
Philippines	17%	19%
Serbia	37%	35%
Sri Lanka	44%	30%
South Africa	30%	30%
South Korea	25%	15%
Sri Lanka	44%	20%
Switzerland	31%	39%
Syria	41%	41%
Taiwan	32%	20%
Thailand	36%	19%
Trinidad and Tobago	10%	15%
Tunisia	28%	25%
Turkey	10%	15%
Uganda	10%	15%
United Kingdom	10%	10%
Vanuatu	22%	15%
Venezuela	15%	15%
Vietnam	46%	20%
Zambia	17%	15%
Zimbabwe	18%	15%

*Tariff authority for Mexico and Canada are separate to the general “reciprocal” tariffs.

** A separate executive order has been implemented in the case of Brazil, however using the same legislative basis as the other “reciprocal” tariffs.