Donald Trump’s reciprocal tariffs on April 2: What happens on ‘Liberation Day’ and beyond?

Trump launches tariffs targeting trade gaps with allies and adversaries, with more sector-specific tariffs expected in the pipeline.

U.S. President Donald Trump has launched a volley of tariffs impacting allies and adversaries this year, promising “Liberation Day” on Wednesday (April 2, 2025) with action targeting countries that have persistent trade gaps with his country.

What can we expect and what else is in the pipeline?

Mr. Trump fired his first salvo in early February, announcing tariffs of up to 25% on goods from Canada and Mexico while demanding they do more to stop illegal immigration and the smuggling of the illicit drug fentanyl.

While he postponed their implementation to March and later provided partial relief to aid the auto industry, the state of these exemptions after Wednesday remains unclear.

China won no such reprieve over the same period. The Trump administration slapped an additional 20% tariff on goods from the world’s second-biggest economy, over its alleged role in supply chains of drugs like fentanyl.

Mr. Trump has separately taken aim at key sectors, with 25% tariffs on steel and aluminum imports taking effect in mid-March. Tariffs on imported autos, meanwhile, kick in at 12:01am eastern time (0401 GMT) April 3.

The president has unveiled blanket 25%t tariffs on direct and indirect buyers of Venezuelan oil too, which can happen as soon as Wednesday.