US to impose 49% tariff on Vietnam

The document at Trump’s tariff announcement puts China’s tariff rate at 34%.

That’s a sliver of good news in an otherwise negative announcement on tariffs as there was talk it would be 50%. Now what’s not clear is whether this new tariff is on top of tariffs like fentanyl (25%) that are already in place. That will be a critical detail.

Because if this is 34% in addition to what’s already there, it rises to above 60%. Also notable is that this number is below Vietnam, which is at 46%.

Another notable thing is that:

• baseline 10% tariffs take effect April 5
• higher reciprocal rates will take effect April 9
• the higher rates apply to about 60 countries

Update: Eamonn Javers reports “I was texting with press secretary Karoline Leavitt during the event and she confirms that the 34 percent tariff on China is ON TOP of the previous 20 percent. So that means the rate on China will be *54* percent when these tariffs take effect.”

This article was written by Adam Button at www.forexlive.com.