On July 31, 2025, the White House issued a sweeping Executive Order modifying US reciprocal tariff rates on a wide range of countries. The action—part of the administration’s broader effort to pressure trading partners into more favorable terms—imposes new tariffs ranging from 10% to 50%, effective August 7 (with Canada’s changes beginning August 1).
What’s Changing?
The order replaces the reciprocal tariff framework announced in April. Under this updated policy:
- Countries listed in Annex I face country-specific tariff rates—some as high as 50%.
- All other countries default to a 10% tariff on covered goods.
- These rates apply to entries for consumption or withdrawals from the warehouse starting on the effective date.
Key Countries Impacted
| Country/Region | New Tariff Rate | Notes |
| Brazil | 50% | Sharpest increase; tied to political and legal disputes. |
| India | 25% | Linked to trade imbalances and oil deals with Russia. |
| Pakistan | 19% | Recent deal not enough to avoid tariff exposure. |
| Iraq | 35% | One of the highest increases outside Brazil. |
| Japan & South Korea | 25% | Rates lowered after last-minute deals. |
| Canada | 35% | Effective August 1; response to diplomatic tensions. |
| EU, Australia, UK, Vietnam, Philippines | 10–15% | Reduced rates following framework agreements. |
| Other targeted nations: Indonesia, Malaysia, Thailand, Tunisia, South Africa, Kazakhstan, and more | Up to ~40% | Included in tariff letters issued earlier this summer. |
A full list of affected countries and applicable rates is available in Annex I of the Executive Order.
What This Means for US Importers
- Expect higher landed costs on imports from impacted countries—especially those without trade deals in place.
- Check your suppliers’ countries of origin. If sourcing from a newly tariffed country, assess duty impact immediately.
- Review any applicable warehouse withdrawals and plan shipments accordingly around the August 1 and 7 deadlines.
Need help navigating these changes?
Mohawk Global Trade Advisors is closely monitoring country-specific tariff actions and can help you manage risk, adjust sourcing strategies, and ensure compliance. Contact us for tailored support.