Former U.S. President Donald Trump has dramatically intensified his global trade agenda, announcing a 50% tariff on imported copper and revealing plans for future levies of up to 200% on pharmaceuticals, as well as new duties on semiconductors and goods from over a dozen countries.
Speaking during a cabinet meeting at the White House on Tuesday, Trump declared that the U.S. would begin “collecting money” from countries he accused of “ripping us off,” vowing to press forward with an aggressive tariff campaign that is already rattling global markets and testing diplomatic ties.
“We’ve been the laughingstock of global trade. No more. They were laughing behind our backs,” Trump said. “It’s about time we made them pay.”
Markets React Sharply
The move triggered sharp market swings: U.S. copper futures soared more than 10%, while pharmaceutical stocks plunged on fears of higher import costs and uncertainty across the healthcare supply chain.
The copper tariff, targeting a metal critical to electric vehicles, defense systems, and infrastructure, follows earlier levies on steel, aluminum, and autos. The pharmaceutical tariff, if implemented, would see a 200% duty placed on certain imported drugs, although Trump hinted it may be delayed by up to a year.
Broader Global Impact
A wave of at least seven new tariff notices is expected as early as Wednesday, further targeting products from countries including Japan, South Korea, India, and several members of the BRICS alliance. Trump reaffirmed his intention to impose a universal 10% tariff on goods from BRICS nations—Brazil, Russia, India, China, and South Africa—calling them “unfair beneficiaries” of past U.S. trade policy.
The EU, which Trump warned could be next in line for punitive tariffs, is rushing to avoid a standoff. Talks are underway over concessions on aircraft, medical equipment, and alcohol exports. German Finance Minister Lars Klingbeil warned, “If we don’t reach a fair deal with the U.S., the EU is ready to retaliate.”
Asian partners are also alarmed. Japan and South Korea—each facing 25% tariff threats—are pressing Washington to shield key sectors, especially automotive and electronics.
The new country-specific tariff threats announced include:
- 25%: Tunisia, Malaysia, Kazakhstan
- 30%: South Africa, Bosnia and Herzegovina
- 32%: Indonesia
- 35%: Serbia, Bangladesh
- 36%: Cambodia, Thailand
- 40%: Laos, Myanmar
Rising Costs and Historic Tariff Levels
According to the Yale Budget Lab, the effective U.S. tariff rate has jumped to 17.6%, the highest since the Smoot-Hawley Tariff Act of 1934. Treasury Secretary Scott Bessent confirmed that tariff revenues for 2025 had already hit $100 billion and projected $300 billion by year’s end if the new policies are fully enacted.
“The big money will start coming in on August 1,” Trump said, referring to the date when the next phase of universal and country-specific tariffs is expected to take effect.
Fragile Talks With China
Despite rising tensions, Trump struck a more conciliatory tone regarding China, citing recent discussions with President Xi Jinping and a tentative framework agreement from June.
“We’ve had a really good relationship with China lately,” Trump said. “They’ve been very fair on our trade deal, honestly.”
Still, with an August 12 deadline looming, questions remain about whether a comprehensive deal with Beijing can be finalized—or whether the U.S.-China trade war is on the verge of re-ignition.
Mounting Economic Uncertainty
Global economists warn that Trump’s sweeping and often unpredictable tariff policies could hamper international recovery efforts, strain diplomatic relations, and introduce volatility into already fragile supply chains.
With talks ongoing and further tariff announcements expected, world leaders and investors alike are bracing for what may be one of the most aggressive trade offensives in U.S. history.
