Some Goods Already Under Tariff Will Be Exempt from Trump’s Reciprocal Tariffs

Certain goods that are already subject to some tariffs will not fall under the scope of President Donald Trump’s reciprocal tariffs, which he announced on Wednesday, or “Liberation Day.”

A White House fact sheet notes that Trump’s reciprocal tariff will not be piled on top of some specific goods that fall under Section 232 tariffs, as well as energy products and some minerals that are unavailable in the United States:

Some goods will not be subject to the Reciprocal Tariff. These include: (1) articles subject to 50 USC 1702(b); (2) steel/aluminum articles and autos/auto parts already subject to Section 232 tariffs; (3) copper, pharmaceuticals, semiconductors, and lumber articles; (4) all articles that may become subject to future Section 232 tariffs; (5) bullion; and (6) energy and other certain minerals that are not available in the United States.

The document also notes that goods under the United States-Mexico-Canada Agreement (USMCA) will continue to be exempt from the 25 percent tariffs Trump imposed on Mexico and Canada by enacting the International Emergency Economic Powers Act (IEEPA). Trump put in place the original tariff exemption on USMCA-compliant goods on March 6, and it was set to expire on Wednesday. Mexican and Canadian goods that are not compliant with the USMCA will face 25 percent tariffs, per the document:

For Canada and Mexico, the existing fentanyl/migration IEEPAorders remain in effect, and are unaffected by this order. This means USMCA compliant goods will continue to see a 0% tariff, non-USMCA compliant goods will see a 25% tariff, and non-USMCA compliant energy and potash will see a 10% tariff. In the event the existing fentanyl/migration IEEPA orders are terminated, USMCA compliant goods would continue to receive preferential treatment, while non-USMCA compliant goods would be subject to a 12% reciprocal tariff.

The countries are not listed among the nations that are being hit with the reciprocal or ten-percent baseline tariff.

The fact sheet further states that the ten-percent baseline tariffs Trump is imposing on dozens of countries will take effect just after midnight on April 5, while the reciprocal tariffs on China, the European Union, and many other countries are set to take effect at 12:01 a.m. April 9.