US President Donald Trump’s sweeping new tariffs on dozens of countries around the world have come into effect.
“IT’S MIDNIGHT!!! BILLIONS OF DOLLARS IN TARIFFS ARE NOW FLOWING INTO THE UNITED STATES OF AMERICA!,” Trump said on social media minutes before the midnight deadline in Washington, DC.
Earlier, the president hit India with a 50% tariff, which will take effect on August 27 unless it stops buying Russian oil.
Trump also threatened a 100% tariff on foreign-made computer chips as he pushes tech firms to invest in the US.
It came as Apple announced a new $100bn (£75bn) US investment after coming under pressure from the White House to move more production to America.
Last week, the Trump administration announced a revised list of import taxes on dozens of trading partners and extended a deadline for countries to reach agreements with the US to August 7.
Countries have been racing to strike deals with Washington to lower – or scrap – what Trump calls “reciprocal tariffs”.
His trade policies are aimed at reshaping the global trading system, which he sees as treating the US unfairly. Export-dependent economies in South East Asia were among the hardest-hit by the new tariffs.
Some major economies – including the UK, Japan and South Korea – have already reached agreements to get lower tariffs than Trump threatened in April. On Wednesday, Trump said he would impose a 100% tariff on foreign-made semiconductors.
Major chipmakers that have made significant investments in the US appear to have dodged the new tariff. Government officials in Taiwan and South Korea have said in separate statements that TSMC, SK Hynix, and Samsung would be exempt from the new levy.
The White House did not immediately respond to a BBC request for clarification. Africa has not been left out with two of the continent’s economic powerhouses, Nigeria and South Africa, being hit with 15 and 30 per cent tariffs.
In response, the African Union authorised nations to take whatever steps necessary to protect themselves in order to mitigate Trump’s action.
According to reports some 18,000 African manufacturing products will be impacted by action of the US President.
The South African Government has reportedly categorically made it clear to Trump that the US is nothing without minerals from Africa and if he thinks Africans are nothing but mere beggars, then he should go look for minerals elsewhere, because the continent is tired of the blatant disrespect and disregard they keep getting from the Western world.
The US makes over $25 billion in profits from South Africa annually. This is going to affect both the American and South African economy very badly.
Speaking on the AU’s stance, a reliable senior official of the Pan African Manufacturers Association (PAMA) confirmed this and threw his weight behind South Africa’s suspension of all American businesses within the country.
PAMA is the voice of manufacturers in Africa and also at the forefront of promoting Africa’s industrial transformation under the African Union’s Agenda 2063.
The official said: “As we look ahead, PAMA reaffirms its commitment to shaping a continent that not only trades in value but also adds value at home.
From industrial advocacy to investment promotion, we are building the foundation for a globally competitive, locally integrated, and continentally coordinated African manufacturing ecosystem.”
Some tariffs placed on some other African countries include: Algeria (30 per cent); Lesotho (50 per cent); Mauritius (40 per cent); Kenya (10 per cent); Namibia (21 per cent), with Ethiopia as well as Ghana getting 10 per cent a piece.
