Trump’s global tariff offensive targets 92 nations
Trump’s new tariffs on 92 countries, affecting over 70% of global trade, have rattled markets and heightened risks for finance leaders.
Trump’s new tariffs on 92 countries, affecting over 70% of global trade, have rattled markets and heightened risks for finance leaders.
President Trump has triggered one of the most sweeping trade actions of his administration, imposing country-specific tariffs on 92 nations in what the White House is calling a “reciprocal tariffs” strategy.
The order, finalized August 1, introduces a two-tier structure: a 10% baseline tariff on all countries, with additional levies ranging up to 41% on nations listed in the executive order’s annex.
The move marks the culmination of the administration’s “Liberation Day” framework and significantly reshapes the landscape for global trade.
With tariffs now applying to over 70% of world trade by volume, multinational companies face a new era of uncertainty.
The policy sets varying rates tied to each country’s trade balance, security posture, and negotiating status.
Syria tops the list at 41%, followed by Switzerland at 39% and Canada at 35%. India faces a 25% rate, while key U.S. allies Taiwan, South Korea, and Japan negotiated reductions between 15% and 20%.
The European Union secured a flat 15% tariff under a recent deal, avoiding the more punitive measures initially threatened. Even so, the measures represent a major escalation, affecting industries across the spectrum—from manufacturing to commodities.
One particularly disruptive provision targets semi-finished copper products with a 50% levy, sending copper futures tumbling over 20%.
Refined copper remains exempt, but the surprise move has already shaken metals markets.
Global equities reacted sharply. Asian and Latin American markets posted steep losses as investors recalibrated their risk assessments.
Currency markets also moved, with the Canadian dollar and South African rand weakening against the U.S. dollar amid concerns over export competitiveness.
The tariffs have injected volatility into commodity prices and raised fears of trade fragmentation, echoing previous cycles of tit-for-tat trade actions.
For CFOs overseeing global operations, the financial landscape has grown markedly more complex.
For corporate finance leaders, the tariffs introduce both cost pressure and strategic uncertainty.
Mark McCarthy, Chief Revenue Officer at Basware, noted that “trade wars and tariff uncertainty introduce volatility into the global economy. For major enterprises, especially those with complex supply chains or international footprints, this creates hesitation around IT spending.”
McCarthy added that while companies are reassessing priorities, they are also looking to optimize every dollar, investing in automation, cost efficiency, and risk mitigation rather than halting spending entirely.
The policy shift also brings unintended consequences in compliance. Michael Joseph, a compliance expert at Napier AI, warned that fluctuating tariffs can fuel trade-based money laundering and other illicit activity.
“When goods face a 10% tariff from one country but potentially up to 145% from another, criminal organizations exploit the gaps,” he said, citing invoice manipulation and falsified country-of-origin documentation as emerging risks.
The broader impact extends to financial crime prevention, with $600 billion in estimated annual costs to the U.S. economy from money laundering and terrorist financing.
The legal foundation of Trump’s tariffs is under scrutiny.
Earlier this year, a federal court ruled that the president’s use of powers under the International Emergency Economic Powers Act (IEEPA) to impose tariffs was unconstitutional in V.O.S. Selections, Inc. v. United States. Enforcement of that decision remains paused pending appeal.
At the same time, Congress is moving forward with the Trade Review Act, legislation that would limit executive tariff authority to 60 days unless extended by lawmakers.
The bill reflects growing bipartisan concern over the scale and scope of unilateral trade actions.
For now, the administration maintains that the tariffs are necessary to correct trade imbalances and strengthen domestic manufacturing.
Yet the breadth of the measures—and the rapid market reaction—suggests that companies with global supply chains will face mounting costs and operational challenges in the months ahead.