Global Response to U.S. ‘Reciprocal Tariffs'

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Apr. 4, 2025
By: Marvin E. McPherson

Several countries have responded to the ‘Reciprocal Tariffs’ by the Trump Administration. As seen in the Executive Order (EO) imposing “reciprocal tariffs” some countries were rewarded for their wait and see approach while others were delivered deep tariff increases. Many countries are still negotiating with the U.S. and seeking input internally to respond with counter tariffs. Below is a summary of these actions, organized by country.

The European Union

The EU President von der Leyen declared that “uncertainty will spiral and trigger the rise of further protectionism.” The EU has not announced any new counter tariffs, however their previously announced  retaliatory tariffs in response to ongoing trade disputes is still in effect.

Canada

In response to U.S. tariff 25% on Passenger Vehicles, Light Trucks, and Auto Parts, Canada has responded with 25% tariffs on non-CUSMA compliant fully assembled vehicles and non-Canadian and non-Mexican content of CUSMA compliant fully assembled vehicles imported into Canada from the United States.

Canada has not directly responded to the ‘Reciprocal Tariffs’ announced by the Trump administration. However, Sens. Rand Paul (Ky.), Susan Collins (Maine), Lisa Murkowski (Alaska) and Mitch McConnell (Ky.), along with all Senate Democrats voted for the measure in a 51-48 vote, to pass a resolution that would restrict President Trump’s ability to impose tariffs on Canada. Speaker Johnson has declared that the resolution will be dead on arrival in the House of Representatives, and not up for a vote. This seems to convey that there is some negotiations by the Canadian delegation regarding the ‘Reciprocal Tariffs.’

China

Following the announced ‘Reciprocal Tariffs’  by the Trump Administration  tariffs on Chinese goods, China imposed retaliatory tariffs on U.S. exports. Effective 12:01 on April 10, 2025, a 34% tariff will be imposed on all imported goods originating from the United States into China.

Mexico

Mexico has indicated plans to continue negotiations with the U.S., President Sheinbaum, in a press conference declared “there are no additional tariffs, …. And that’s good for our country.” We expect to see Mexico continually negotiating with the administration to steer clear of future retaliatory tariffs or maintain exclusions.

Japan

Japan’s Trade Minister Yoji Muto declared that the ‘Reciprocal Tariffs’ and Retaliatory Tariffs
“requires a careful, yet bold and speedy approach.”

United Kingdom

The United Kingdom announced an official request for input on proposed retaliatory tariffs in response to U.S. trade measures.  The ‘Indicative Long List’ of US products encompasses around 27% of UK imports of US-origin goods, based on 2024 data and has not assigned a percentage tariff amount.

We will continue to monitor these developments and provide updates as more information becomes available. If you have any questions or need further clarification on how these tariffs might affect your operations, please do not hesitate to reach out.