Donald Trump Tariffs Announcement Live Updates: Steel, Auto Workers Invited; Canada Says United Against US President

Reciprocal tariffs are import taxes matching those imposed on US exports. While Trump claims foreign nations bear the cost, US importers pay, often passing it on to consumers at higher prices.

Intended to protect local industries, tariffs can trigger retaliation—the EU taxed US goods like bourbon and motorcycles, while China targeted soybeans and pork in response to past US tariffs.

President Donald Trump’s tariffs announcement isn’t just a policy rollout—it’s a spectacle and the guest list at the White House goes on to prove that.

According to reports from broadcaster CBS News, rank-and-file steelworkers and auto workers have been invited to witness the moment firsthand.

Alongside them will be Vice President JD Vance, a majority of Trump’s cabinet and key congressional leaders, including House Speaker Mike Johnson and House Majority Leader Steve Scalise.

The presence of blue-collar workers shows Trump’s push to frame tariffs as a win for American industry.

White House trade adviser Peter Navarro made a bold claim—President Donald Trump’s tariffs will generate $6 trillion in revenue over the next decade. If true, that would make it the largest tax increase in US history, even surpassing the hikes imposed in 1942 to fund World War II, broadcaster CNN said.

Navarro insists the tariffs are actually a tax cut, arguing that they won’t be paid by American consumers but by foreign businesses and governments.

“Tariffs are tax cuts, tariffs are jobs, tariffs are national security,” he said on Fox News Sunday. “Tariffs are great for America. They will make America great again”.

At a time when the US urgently needs new housing to meet surging demand, Donald Trump’s tariff plan could make construction more expensive, according to broadcaster CNN.

The US has struggled with declining home affordability over the last four years, a key issue in Trump’s election campaign. Now, his proposed tariffs on raw materials like lumber, aluminum, and steel threaten to push housing costs even higher.

With millions of new homes needed, builders warn that rising material prices could slow down construction, further straining an already tight housing market.

Former Senate Republican leader Mitch McConnell has signaled he will support a Democratic-led effort to overturn Donald Trump’s tariffs on Canadian imports, Politico reported. His stance could prove decisive as the Senate votes on the resolution later today.

Democratic Senator Tim Kaine revealed that McConnell privately told him he would back the move, which challenges the national emergency declaration used to justify the tariffs.

House Minority Leader Hakeem Jeffries has hit out at Donald Trump’s tariff plans, warning they will worsen the cost-of-living crisis and push the US economy toward recession. Speaking ahead of the White House announcement, Jeffries accused the former president of failing to lower everyday expenses for Americans.

“America is too expensive,” he said at his weekly press conference. “Costs aren’t going down, they’re going up. And the Trump tariffs are going to make things more costly.”

Even before Donald Trump unveils his “Liberation Day” tariffs, key US trade partners have made it clear they will not sit idle.

The European Union has warned that it has a “strong plan” to counter the tariffs. Canada has confirmed it will announce retaliatory measures today. Meanwhile, China, South Korea, and Japan have indicated they will act in coordination to respond. Mexico is expected to detail its course of action tomorrow.

Tariffs tend to rewrite the rulebook on global commerce and goes against the trend as over the past decades the world moved toward freer markets, breaking down barriers.

Trade wars are a cycle. One country slaps tariffs which leads another to retaliate. For those who grew up in an era of globalisation, this is a sharp reversal.

Italian Prime Minister Giorgia Meloni has sounded the alarm on how these measures could severely impact Italian producers while also making premium Italian goods less accessible to American consumers, according to the BBC.

“The United States is our second-largest export market, with a 17% increase in exports in 2024. The US market is crucial for us,” Meloni said, underlining the economic ties between the two nations.

She warned that new tariffs would create significant hurdles for Italian businesses reliant on exports and could ultimately push the cost of high-quality Italian products beyond the reach of many American consumers. “It is clear that the introduction of new tariffs would have a heavy impact on Italian producers. I also believe it would be unfair to many Americans, as it would limit access to our excellent products to only those who can afford higher prices.”

Meloni didn’t rule out countermeasures, stating that Italy would take necessary steps to “defend our industries if necessary.”

Donald Trump has hinted at slapping higher tariffs on pharmaceutical imports, though he suggested life-saving drugs might be spared. But if they aren’t, the impact could be massive, warns an industry CEO.

Gareth Sheridan, CEO of US healthcare firm Nutriband, told BBC World Service that Ireland—a major pharmaceutical exporter—supplies a range of critical medications, from chemotherapy drugs to treatments for heart conditions and diabetes.

Mexican President Claudia Sheinbaum has confirmed that Mexico will not impose tit-for-tat tariffs in response to the latest US trade measures. According to a Reuters report, Sheinbaum emphasised that her administration is focused on a broader strategy rather than immediate retaliation.

While many expected Mexico to respond with countermeasures, Sheinbaum stated that a “comprehensive plan” will be revealed tomorrow

The White House hinted that 10 to 15 countries with large trade imbalances could face new US tariffs. These “Dirty 15” nations fear they will be hit hardest when the April 2 tariffs take effect.

According to White House economic adviser Kevin Hassett, who spoke to Fox Business, these countries use domestic rules on content and food safety to block American products. Unless trade barriers are levelled—or the US imposes even higher tariffs—the new duties will proceed as planned.

As the global trade war escalates, Brazil is seizing an opportunity, says the Wall Street Journal in a report.

With China slapping tariffs on US agricultural goods, buyers are stockpiling Brazilian soybeans, while suppliers of cotton and chicken expect a surge in Chinese demand. The shift is already reflecting in markets—Brazil’s commodity-driven stock index is up 9% this year, while the S&P 500 has slumped 4.2%. For Brazil, the US-China standoff isn’t just a challenge—it’s a chance to cement its role as a top supplier in the global economy.

Car dealerships across New York are witnessing a surge in buyers as customers rush to purchase vehicles ahead of President Trump’s upcoming tariff announcement.

Tom Maoli, CEO of Celebrity Motor Cars, says sales at his luxury outlets—including Lexus of Route 10 and Maserati of Morris County—have jumped 15% in anticipation of the price hikes.

“If the Trump administration follows through on the proposed tariffs, car prices and repair costs could rise by 10% to 12%,” Maoli told The New York Post.

A report by Bloomberg listed all the tariff-related moves made by Trump:

A 10% tax on all Chinese goods imported to the US was introduced in early February and then doubled to 20% a month later.A 25% blanket levy on most imports from Canada and Mexico took effect in early March, followed by a swathe of exemptions announced two days later. Trump referred to this as a one-month delay, although the legal orders have no expiry.A 25% tariff on US imports of steel and aluminum was imposed on March 12.A 25% tax on US auto imports was announced on March 26. The plan is to tax fully assembled vehicles starting April 3 and expand the scope by May 3 to include major automobile parts.

On February 10, Trump floated the idea of a reciprocal tariff, where the US would match the average import duties imposed by other nations.

“If they charge us, we charge them. If they’re at 25, we’re at 25. If they’re at 10, we’re at 10,” he told reporters.

While the policy sounds straightforward, it would likely violate WTO’s Most Favoured Nation (MFN) rules, which require countries to maintain uniform tariffs on specific goods, regardless of their origin. If implemented, such a move could trigger trade disputes and further disrupt global commerce.

According to a report by BBC Digital, if the US imposed a 9.4% tariff on all goods from Vietnam but only 3.8% on goods from the UK—matching the tariffs these countries impose—it would likely break WTO rules.

However, if the US could prove that a country was already violating WTO rules, it might justify imposing retaliatory tariffs against that specific nation.

But applying reciprocal tariffs across the board, without proving any violations, would likely go against WTO guidelines.

Samir Arora of Helios Capital argues that the real risk for India isn’t the tariffs applied to its exports but the broader impact of US protectionism. If the American economy slows due to escalating tariffs, it could dampen demand across industries, including those crucial to India, such as IT services.

“I think the biggest risk to Indian market is not tariffs applied to India but what happens to the US market and economy due to various tariffs, which then affects other markets and sectors like Indian IT,” he said.

American Apple farmers highlighted the steep import duties their fruit faces in key markets—50% in India, 40% in Thailand, and 10% in Brazil. They also pointed to sanitary regulations in Australia that they believe unfairly restrict their exports.

Streaming companies raised concerns over digital taxes in Canada and Turkey, arguing that these policies disproportionately impact US firms.

Meanwhile, the oil and gas industry criticised Mexico’s regulations requiring partnerships with the state-owned oil company, calling them restrictive.

The White House also flagged tariff disparities, citing Brazil’s 18% ethanol tariff compared to the US’s 2.5%, Europe’s 10% car tariffs against the US’s 2.5%, and India’s former 100% motorcycle tariffs versus the US’s 2.4%.

The Republican claims the tariffs will push US consumers to prefer American-made products, strengthening the economy and increasing government revenue.

Trump aims to narrow the trade deficit by balancing the value of imports and exports.

Tariffs are taxes imposed on goods imported from other countries.

Typically, tariffs are calculated as a percentage of a product’s value. For instance, a 25% tariff on an item worth ₹1,000 would mean an additional ₹250 charge.

Businesses importing these foreign goods must pay this tax to the government. They can then decide whether to absorb the cost or pass it on to customers through higher prices.

Business was already tough for auto parts maker Asahi Tekko, but with US car tariffs due to bite this week its president has a simple message for Donald Trump: “Give me a break.”

The 425 workers at the company are some of the 5.6 million Japanese people employed directly or indirectly in the auto sector who are now fearful about their future.

With U.S. President Donald Trump’s new tariffs taking effect from April 2, India’s exports to the U.S. could take a hit of $3.1 billion due to expected reciprocal measures, according to a new report by CareEdge Ratings.

While the direct impact amounts to just 0.1% of India’s GDP, the broader concern lies in potential shifts in market sentiment, said Smita Rajpurkar, Director at CareEdge Ratings, during the report’s release in Mumbai on April 1.