Trump Implements New Tariffs on 66 Countries, Escalating Trade Policy

President Donald Trump announced on August 1, 2025, the implementation of new tariffs on imports from 66 countries, including major trade partners such as Canada, the European Union (EU), Taiwan, and the Falkland Islands. These tariffs, set to take effect on August 7, represent a significant escalation in U.S. trade policy.

The new tariff rates vary by country, with notable examples including a 40% tariff on imports from Laos, 39% on goods from Switzerland, and 30% on products from South Africa. Canada faces an increased tariff of 35%, up from the previous 25%, due to alleged insufficient efforts to curb fentanyl smuggling into the U.S. The European Union negotiated a partial exemption, with goods already subject to tariffs above 15% being spared from additional levies.

These measures are expected to raise the average U.S. import tariff rate to approximately 18.3%, the highest since 1934. Economists project that these tariffs will lead to a 1.8% increase in consumer prices in the short term, equating to an estimated $2,400 loss in income per U.S. household.

The announcement has already caused a downturn in global stock markets, with indices such as the STOXX 600 and U.S. futures experiencing declines.

President Trump stated, "We are taking these actions to protect American workers and industries from unfair trade practices."

Canadian Prime Minister Justin Trudeau responded, "These tariffs are unjustified and will harm both Canadian and American consumers."

The European Union Trade Commissioner commented, "We have negotiated a partial exemption to mitigate the impact on our economies."

The implementation of new tariffs by the U.S. on imports from 66 countries marks a significant escalation in trade policy, with far-reaching economic, political, and social implications. The coming weeks will reveal how these measures affect global trade dynamics and domestic economic conditions.