United States of America: President signed Executive Order on amendment to reciprocal tariffs to reflect trading partner retaliation and alignment

On 9 April 2025, the President issued an Executive Order modifying reciprocal tariff rates to address retaliation from the People’s Republic of China (PRC) and to align with trading partners. The order includes measures on de minimis tariff increase. It increases the ad valorem duty rate from 90 per cent to 120 per cent and adjusts per-item duties for postal shipments from 75 to 100 dollars between 2 May and 31 May 2025 and from 150 to 200 dollars starting 1 June 2025. The order directs the Secretaries of Commerce and Homeland Security, the United States Trade Representative, and other relevant officials to implement these changes, including through regulatory amendments and the use of presidential authorities under the International Emergency Economic Powers Act (IEEPA). Additionally, the order amends the Harmonised Tariff Schedule of the United States (HTSUS) to increase duties on the PRC and temporarily suspends country-specific ad valorem duties for 75 other trading partners for 90 days, imposing a uniform 10 per cent duty instead. The order amends HTSUS heading 9903.01.63 to increase the tariff on Chinese goods from 84 per cent to 125 per cent. Additionally, it suspends specific HTSUS headings and subdivisions for 90 days.