President Donald Trump’s latest tariffs began Thursday, meaning dozens of countries are now subject to higher tariffs on goods their businesses send to the U.S.
The tariffs, which Trump announced back in April, took effect just after midnight (they’d been delayed by a week), affect products from more than 60 countries and the European Union by imposing tariff rates of 10% or higher.
Goods from the European Union, Japan and South Korea will be taxed at 15%, while imports from Taiwan, Vietnam and Bangladesh will be levied at 20%.
The Trump White House has said it believes the onset of his broad tariffs will bring new investments and jump-start hiring in ways that can rebalance America as a manufacturing power.
But The Associated Press reported there are already warning signs for the U.S. economy, with companies and consumers beginning to feel the impact. And it’s not likely to end there: Trump said Wednesday he plans to impose a 100% tariff on non-U.S. computer chips.
According to the AP, U.S. stocks saw a “mixed finish” on Thursday. The S&P 500 slipped 0.1% Thursday. The Dow Jones Industrial Average dipped 0.5%, and the Nasdaq composite rose 0.3%, the outlet reported.
On Wednesday, Trump said he would be adding a 25% tariff on Indian imports after India kept purchasing Russian oil, a Trump no-no, starting in 21 days and raising the total to 50%. A similar rate was applied to Brazilian exports last week, which went into effect on Wednesday — though exemptions included aircraft parts, aluminum, tin and wood pulp.
Americans are likely to see an average tax of 18.6% for imported products, the highest rate since 1933, according to the Budget Lab at Yale, a non-partisan policy research center.
The Budget Lab estimated prices will increase 1.8% in the short term as a result of the trade war the U.S. waged this year. That’s the equivalent of a $2,400 loss of income per U.S. household, the group said.
