April 2, 2025
Tariffs explained?
The primary goal outlined in the memorandum is to “restore fairness” in these trade relations through tariff equalization—meaning the United States would impose reciprocal tariffs on imports from countries with higher rates than those in the United States. Additionally, the memorandum addresses other nonreciprocal practices, including “unfair, discriminatory, or extraterritorial taxes” like value-added taxes; nontariff barriers, subsidies, and “onerous regulatory requirements on U.S. businesses abroad”; currency devaluation, wage suppression, and other “mercantilist policies” that disadvantage U.S. companies; and “any other practice that . . . imposes unfair restrictions on market access or creates structural obstacles to fair competition with” the United States—providing the administration much leeway in assessing what constitutes unfair trade practices.