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#TrumpTariffs As of December 21, 2025, the "Trump Tariffs" refer to the significant overhaul of U.S. trade policy implemented by the second Trump administration earlier this year.

Following his election victory in 2024, President Trump moved quickly to enact his campaign promises via executive authority, primarily leveraging the International Emergency Economic Powers Act (IEEPA).

Here is the current status of the Trump Tariff regime:

1. The Core Policies (Implemented April 2025)

The administration shifted from the "targeted" tariffs of the first term to a broad, two-tier system that went into effect in April 2025.

Universal Baseline Tariff (10%):

Effective Date: April 5, 2025.

Scope: A 10% tariff applies to almost all imports entering the United States.

Goal: Revenue generation and incentivizing domestic production.

Reciprocal Tariffs (Country-Specific):

Effective Date: April 9, 2025.

Mechanism: For countries with which the U.S. has a large trade deficit, the 10% baseline was replaced by a higher "reciprocal" rate calculated to match the perceived barriers or deficits.

Key Rates:

China: ~34% (Replacing the baseline, stacked on top of existing Section 301 tariffs).

Vietnam: ~46%

Thailand: ~37%

European Union: ~20%

2. China-Specific Measures

While the campaign proposal was a flat 60% tariff, the implemented policy utilized the "Reciprocal" framework, resulting in a 34% effective rate for Chinese goods under the new order. However, when combined with the retained tariffs from the first Trump term (Section 301), the effective tax on many Chinese imports is now significantly higher, often exceeding 50-60% in practice for specific categories like electronics and manufacturing components.

3. Economic & Legal Fallout (Current Status)

The aggressive shift in trade policy has dominated the economic landscape of late 2025:

Inflation: Consumer prices have risen approximately 2.3% since implementation, driven by importers passing costs to consumers. Sectors like apparel, electronics, and autos have seen the sharpest price hikes.

Retaliation: Trading partners, including the EU and China, have retaliated with their own tariffs on U.S. agriculture (soybeans, corn) and energy exports (LNG), dampening U.S. export growth.

Legal Battles: Federal courts have issued conflicting rulings on the legality of using IEEPA for broad tariffs. The Supreme Court heard oral arguments in Learning Resources v. Trump in November 2025, with a ruling expected soon that could either cement or strike down the regime.