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Trump’s tariffs are here — countries strike back with countermeasures

Governments worldwide have announced responses to US President Donald Trump’s latest tariffs, which include a 10% baseline duty on goods from all countries and additional reciprocal tariffs targeting nations with what Washington deems to be high trade barriers. While some countries are preparing countermeasures, others are opting for negotiations.

European Union:

European Commission President Ursula von der Leyen confirmed that the EU is finalising a response to US steel tariffs and is “now preparing for further countermeasures to protect our interests and our businesses if negotiations fail.” Trump has imposed a 20% reciprocal tariff on the bloc.

EU trade commissioner Maros Sefcovic is set to meet US officials on Friday and has signalled that Brussels will pursue negotiations. However, he warned that “we won’t stand idly by, should we be unable to reach a fair deal.”

China:

China’s commerce ministry strongly opposed the tariffs, particularly the 34% duty imposed on Chinese goods. The ministry stated that Beijing “will take countermeasures to safeguard its own rights and interests.”

Japan:

Japanese trade minister Yoji Muto called the tariffs “extremely regrettable” and urged the US to exempt Japan, which is facing a 24% reciprocal tariff. He said Tokyo would consider its response in a “bold and speedy manner.”

Germany:

German economy minister Robert Habeck criticised Trump’s tariff policy, saying, “Donald Trump buckles under pressure, corrects his announcements under pressure, but the logical consequence is that he must also feel the pressure, and this pressure must now be exerted from Germany, from Europe.”

Singapore:

Despite having the option under the US-Singapore Free Trade Agreement, Trade Minister and Deputy Prime Minister Gan Kim Yong stated that Singapore would not impose retaliatory tariffs. “We have decided not to do so because imposing retaliatory import duties will just add cost to our imports from the US,” he said.

Canada:

Canadian Prime Minister Mark Carney said Ottawa would respond decisively, pledging to “fight these tariffs with countermeasures” and act “with purpose and with force.” While Canada and Mexico are not subject to new reciprocal tariffs due to existing duties on fentanyl-related goods, a 10% tariff remains on Canadian energy and potash. Exemptions for goods compliant with the US- Mexico- Canada Agreement (USMCA) will continue indefinitely.

Mexico:

Mexican president Claudia Sheinbaum stated that Mexico would not engage in “tit-for-tat on tariffs” but would announce a “comprehensive programme” in response. Details are expected to be unveiled on Thursday.

United Kingdom:

British Prime Minister Keir Starmer emphasised that a trade war was “not in our national interest” and reiterated that London would continue working on a trade deal with Washington. However, he warned that Britain would only accept a “fair deal” and that “nothing is off the table” in terms of a response. The UK, facing a 10% tariff, later released a preliminary list of goods that could be subject to retaliatory measures.

South Korea:

South Korea, which has been hit with a 25% tariff, is rolling out emergency support for affected industries, particularly the automobile sector. Acting president Han Duck-soo ordered government agencies to devise protective measures, the industry ministry confirmed.

Australia:

Australian Prime Minister Anthony Albanese said his government would seek to negotiate an exemption but would not impose counter-tariffs, warning that such a move would drive up prices. “We will not join a race to the bottom that leads to higher prices and slower growth,” he said.

Brazil:

Brazil, which faces a 10% tariff, is “evaluating all possible actions to ensure reciprocity in bilateral trade, including resorting to the World Trade Organization,” the government said. Brazil’s Congress has also passed a bill enabling the country to impose retaliatory trade measures.

Israel:

Israeli Finance Minister Bezalel Smotrich announced that he is convening ministry officials to assess the economic impact of the new 17% tariff on Israeli goods and determine the country’s course of action.

With inputs from Reuters.

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