U.S. Tariffs - Updates April 3, 2025
- Maggie Mildenberger
- Apr 3
- 2 min read
Yesterday, a new round of tariffs were announced which strike at, essentially, every sector of trade – some commenters are saying these are some of the highest tariff rates in US history, and make up the “biggest peacetime tax hike in U.S. History”.
There are many facets to these newly announced tariffs, and we expect the bottom-line numbers to change as negotiations and reactions continue into the coming days and weeks. However, here are the highlights we would like to call out as of the morning of Thursday, April 3, 2025:
The baseline added tariff rate, regardless of country of origin, will be 10% on top of the 'normal' duty. Most common trading partners of the U.S. will see these tariffs increase more than 10%. Per official White House Communications, all countries will have the 10% tariff rate will go into effect on Saturday, April 5, 2025 at 12:01 AM EDT. Any rates above 10% will go into effect on Wednesday April 9, 2025 at 12:01AM EDT.
The total 2025 tariff rate on goods imported from China will now be 54%, pushing the combined total high as 76% when adding up all previously imposed tariffs. There are still many unknowns at this time as we look toward official guidance for the total rate.
Notably, many countries around the world that are close trading partners with the U.S. were given higher than 10% tariff rates, such as the EU (20%), Bangladesh (37%), and India (26%). Vietnam, an important country of origin for manufactured furniture, was also on the tariff list at an eye-catching 46% tariff rate.
Carveouts that have been announced so far include:
No additional tariffs on top of the 25% that was imposed on raw steel and aluminum imports that went into effect March 12.
As we have previously reported, any goods from Canada and Mexico that are compliant with the USMCA are presently exempt from increases. However, the USMCA guidelines are lengthy and require time, research, and certification to be deemed “compliant” and therefore able to avoid additional tariffs. Ultimately, it is up to the individual vendor to ensure compliance.
Collectively, these new 2025 tariffs are likely to affect all manufacturers and/or their raw material suppliers within the hospitality industry, and we will do our best to provide weekly updates on this ever-evolving situation.
Overall, our advice remains the same. The best advisors to talk to are the vendors and importers handling the transport of these goods into the U.S.. Importer companies and the vendors themselves are better able to advise on which components of the products - if any - may be subject to the new tariffs, taxes, and fees and can help make plans accordingly.