President Donald Trump hinted at expanding the scope of U.S. tariffs on imports, considering automobiles, pharmaceuticals, and semiconductors. The proposed duties would be around 25%, with potential increases over time. If implemented, these tariffs could affect companies in Japan, India, Mexico, and Canada.
Trump stated that existing tariffs on steel and aluminum have already drawn foreign companies back to the U.S., citing examples of major international firms wanting to re-establish operations here. To encourage this shift, Trump proposed removing tariffs for these companies once they establish a presence in the country.
However, industry experts warn about potential negative consequences. The introduction of pharmaceutical tariffs may drive up costs and cause shortages, affecting US patients. Meanwhile, semiconductors could impact Taiwan Semiconductor, which supplies chips to top manufacturers like Nvidia and Apple.
The administration’s aggressive trade policy has already included 25% tariffs on steel and aluminum imports set to take effect in March. The new proposed tariffs would mark a significant expansion of this strategy, with potential implications for the global economy.
Source: https://www.cnbc.com/2025/02/19/trump-suggests-25percent-tariffs-on-autos-pharma-and-semiconductors-that-could-go-even-higher.html