4 Apr 2025

Trump tariffs draw global promises of counter measures

5:23 am on 4 April 2025
WASHINGTON, DC - APRIL 02: U.S. President Donald Trump holds up a chart while speaking during a “Make America Wealthy Again” trade announcement event in the Rose Garden at the White House on April 2, 2025 in Washington, DC. Touting the event as “Liberation Day”, Trump is expected to announce additional tariffs targeting goods imported to the U.S.   Chip Somodevilla/Getty Images/AFP (Photo by CHIP SOMODEVILLA / GETTY IMAGES NORTH AMERICA / Getty Images via AFP)

US President Donald Trump holds up a chart while speaking during a “Make America Wealthy Again” trade announcement event at the White House on 2 April, 2025 in Washington, DC. Photo: CHIP SOMODEVILLA / Getty Images via AFP

Governments around the world pledged counter measures on the US after President Donald Trump unveiled on Wednesday (US time) a new baseline 10 percent tariff on goods from all countries plus reciprocal tariffs on those that his administration says have high barriers to US imports.

Here is what some governments said about what they would - and would not - do in response.

European Union

European Commission President Ursula von der Leyen said the EU is finalising a package of measures in response to US tariffs on steel and is "now preparing for further countermeasures to protect our interests and our businesses if negotiations fail". Trump targeted the EU with a 20 percent reciprocal tariff.

EU trade commissioner Maros Sefcovic said he would talk to his US counterparts on Friday and would devote "adequate" time to further negotiations on the tariffs. "But we won't stand idly by, should we be unable to reach a fair deal", he said.

China

China's commerce ministry said Beijing "firmly opposes" the reciprocal tariffs and "will take countermeasures to safeguard its own rights and interests," after Trump imposed a 34 percent reciprocal tariff on the country.

Japan

Japanese Trade Minister Yoji Muto called the reciprocal tariffs "extremely regrettable" and said Tokyo would urge the US to exempt Japan from tariff measures.

Japan would consider its response, he said, in a "bold and speedy manner." Tokyo faces a 24 percent reciprocal tariff.

German economy minister Robert Habeck

"Donald Trump buckles under pressure, corrects his announcements under pressure, but the logical consequence is that he must also feel the pressure, and this pressure must now be exerted from Germany, from Europe."

Singapore

Trade minister and deputy prime minister Gan Kim Yong said the country would not impose countermeasures against 10 percent baseline tariffs, despite such recourse being available under the US-Singapore Free Trade Agreement. "We have decided not to do so because imposing retaliatory import duties will just add cost to our imports from the US."

Canada

Prime Minister Mark Carney said Canada was "going to fight these tariffs with countermeasures" and would "act with purpose and with force".

Goods from Canada and Mexico are not currently subject to reciprocal tariffs because Trump's prior 25 percent fentanyl-related duties remain in place on their goods, along with 10 percent for Canadian energy and potash. A tariff exemption for goods compliant with the US-Mexico-Canada Agreement on trade will continue indefinitely.

Mexico's presidential candidate for the Morena party Claudia Sheinbaum speaks on her arrival to attend the third presidential debate ahead of the June 2 national elections in Mexico City, on May 19, 2024. (Photo by Alfredo ESTRELLA / AFP)

Mexico President Claudia Sheinbaum Photo: Alfredo Estrella / AFP

Mexico

President Claudia Sheinbaum said Mexico would not pursue a "tit-for-tat on tariffs" but would rather announce a "comprehensive program" on Thursday (local time).

United Kingdom

Prime minister Keir Starmer said Britain would continue to work on a trade deal with the US and that a trade war was "not in our national interest".

He added, however, that he would only strike a deal if it was the right one and that "nothing is off the table" for Britain's response.

Britain, facing the lowest levy rate on imports of 10 percent, later published an indicative list of goods that could potentially be included in any retaliatory tariff response.

South Korea

Acting President Han Duck-soo ordered emergency support measures for affected businesses, including automobiles, the industry ministry said, after Trump's tariff announcement included a 25 percent rate on South Korea.

Australia

Prime Minister Anthony Albanese said Australia would seek to negotiate with the US to remove the tariffs without resorting to a dispute resolution mechanism in the two countries' Free Trade Agreement.

He said his government would not impose reciprocal tariffs as this would increase prices for Australian households.

"We will not join a race to the bottom that leads to higher prices and slower growth," Albanese said.

Brazil

The government of Latin America's largest economy Brazil, which Trump slapped with a 10 percent tariff, said it was "evaluating all possible actions to ensure reciprocity in bilateral trade, including resorting to the World Trade Organization".

Earlier in the day, Brazil's Congress approved a bill that establishes a legal framework for Brazil to respond to potential unilateral trade measures targeting its goods and services, including countermeasures such as tariffs.

Israel

Israeli Finance Minister Bezalel Smotrich said he was convening ministry officials to formulate a course of action to protect Israel's economy from impending 17 percent tariffs.

- Reuters

Get the RNZ app

for ad-free news and current affairs