‘Inflation Day Rather Than Liberation Day’: How the World Is Reacting to Trump’s Latest Tariffs
Donald Trump’s promised “Liberation Day” was originally planned for April 1, but the U.S. President told reporters he pushed it back by 24 hours so that it wouldn’t be viewed as an April Fool’s joke. “Nobody would believe what I said,” he explained on March 21 about the delay.
Perhaps he knew that his announcement on April 2 would sound a bit ridiculous—but everyone is certainly taking it seriously now.
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Trump announced “reciprocal” tariffs on imports from nearly every nation on earth—allies and adversaries alike—in a move that is expected to rock the U.S. economy and will upend global trade.
Several world leaders have already pushed back against the latest tariffs—which were set at a minimum of 10% and rise as high as 50% for the hardest-hit countries—some promising swift countermeasures that could effectively force economies everywhere to become more insular, others asking for an opportunity to negotiate to avoid all-out trade war.
Here’s a rundown of the responses so far.
Australia
Prime Minister Anthony Albanese told reporters in Melbourne on Thursday that Trump’s tariffs “have no basis in logic and they go against the basis” of the diplomatic alliance between Australia and the U.S. “This is not the act of a friend,” Albanese said, adding that Australia does not plan to retaliate with its own tariffs against the U.S.
Brazil
Brazil, which was hit with a 10% tariff, passed a reciprocity bill on Wednesday allowing it to retaliate against tariffs imposed on Brazilian goods by any country or trade bloc. Brazilian President Luiz Inácio Lula da Silva earlier said it was considering appealing to the World Trade Organization over Trump’s steel tariffs.
“The new measure, like the tariffs already imposed on the steel, aluminum, and automobile sectors, violates the United States’ commitments to the World Trade Organization and will impact all Brazilian exports of goods to the United States,” Brazil’s Foreign Ministry said in a statement. “The Brazilian government is evaluating all possible actions to ensure reciprocity in bilateral trade, including resorting to the World Trade Organization, in defense of legitimate national interests.”
Cambodia
The Minister of Labour and Vocational Training for Cambodia, which was slammed with one of the highest “reciprocal” tariff rates at 49%, said the country will be able to manage the consequences of the U.S. tariffs, despite concerns. Heng Sour said on Thursday that the tariff increase “is not politically motivated nor intended as a sanction against Cambodia,” adding that several other Asian countries were hit with similarly high rates. “Therefore, the tariff impact on Cambodia’s production costs is not significantly more severe compared to other competing countries.”
“However, by 2027,” Heng Sour warned, “we may face challenges if the U.S. eases tariffs on other countries, but Cambodia [does] not see such reductions.”
China
China, which was slapped with a 34% reciprocal tariff on top of existing 20% tariffs on Chinese imports, vowed to impose its own countermeasures.
“China urges the U.S. to immediately revoke its unilateral tariff measures and work with trading partners to resolve differences through fair and constructive dialogue,” China’s Ministry of Commerce said in a statement in Chinese on Wednesday night. The reciprocal tariffs “violate international trade rules, infringe upon the legitimate rights and interests of other parties, and represent an act of unilateral bullying,” the ministry added. “There are no winners in a trade war, and protectionism is not a viable path forward.”
Colombia
Colombian President Gustavo Petro posted on X on Thursday: “Today, neoliberalism, which proclaimed a free trade policy across the globe, is dead. … The US government now believes that by raising tariffs on its imports in general, it can increase its own production, wealth, and employment; in my opinion, this may be a big mistake.”
Petro added that Colombia and other Latin American countries could benefit from Trump’s tariffs—and that Colombia will take a nuanced approach to any potential countermeasures. “Colombian businesses must know how to take advantage of opportunities. Agro-industrial and semi-industrial products from countries outside Latin America are becoming more expensive in US markets, and if we can produce these goods more cheaply, it’s time to export them there,” he wrote. “We will only make US imports more expensive if they take away our jobs. But we won’t raise tariffs if their goods help create higher-value jobs.”
E.U.
European Commission President Ursula von der Leyen said in a statement on Wednesday that the European Union is finalizing a package of countermeasures in response to Trump’s previously imposed 25% levy on steel—which is exempt from additional reciprocal tariffs—and is now preparing further countermeasures against Trump’s 20% reciprocal tariffs on the E.U.
“We have always been ready to negotiate with the U.S., to remove any remaining barriers to Transatlantic trade,” von der Leyen said. “At the same time, we are prepared to respond … to protect our interests and our businesses if negotiations fail.”
Trump’s universal tariffs are a “major blow to the world economy,” von der Leyen added. “Let’s be clear-eyed about the immense consequences. The global economy will massively suffer. Uncertainty will spiral and trigger the rise of further protectionism. The consequences will be dire for millions of people around the globe.”
“All businesses—big and small—will suffer from day one,” von der Leyen said. “From greater uncertainty to the disruption of supply chains to burdensome bureaucracy.”
Fiji
Fiji’s Deputy Prime Minister Biman Prasad said Thursday in a statement that the tariffs are “disproportionate” and “unfair.” Fiji was hit with a 32% tariff to counter the island nation’s supposed 63% tariff on U.S. goods—a White House-produced figure that Prasad rejects. Prasad said 97% of U.S. imports are either duty-free or subject to a minimal 5% tariff.
France
France denounced Trump’s tariffs, with government spokesperson Sophie Primas telling RTL radio on Thursday that Trump is behaving as though he is “master of the world.” Primas said, CNBC reported, that the E.U. will likely implement countermeasures as a bloc in mid-April and again in late April.
Germany
German Chancellor Olaf Scholz called Trump’s latest tariffs an “attack on a trade system that has created prosperity all round the world” at a news conference on Thursday. He added that the E.U. would respond proportionately if negotiations fail.
“The E.U. has the strongest internal market in the world with 450 million consumers, which gives us the strength to hold talks with the U.S. government to avert a trade war,” Scholz said. “We want cooperation, not confrontation, and will defend our interests. Europe will respond united, strong and proportionately to this decision.”
In a Thursday statement, the Federation of German Industries, the country’s largest industry lobby group, called on the E.U. to “strengthen its alliances with other major trading partners and should coordinate its reaction with them. A coordinated reaction is also necessary to counter diversionary effects in international trade.”
German Economy Minister Robert Habeck said on Thursday: “For U.S. consumers, this will be Inflation Day, rather than Liberation Day.”
India
India’s Commerce and Trade Ministry said in a statement Thursday that they will “remain in touch” with the U.S. regarding Trump’s latest tariffs. India, which was hit with 26% tariffs, has a relative advantage, research firm Global Trade Research Institute told Reuters, compared with other Asian nations that were slapped with even higher levies.
The statement added that “discussions are ongoing between Indian and U.S. trade teams for the expeditious conclusion of a mutually beneficial, multi-sectoral Bilateral Trade Agreement.”
Ireland
In a Wednesday statement, Irish Taoiseach Micheál Martin said: “We see no justification for this. More than €4.2 billion worth of goods and services are traded between the E.U. and the U.S. daily. Disrupting this deeply integrated relationship benefits no one. Tariffs drive inflation, hurt people on both sides of the Atlantic, and put jobs at risk.”
Martin added that he has spoken with von der Leyen and agrees that a coordinated E.U. response is “crucial.”
Italy
Italy’s Prime Minister Giorgia Meloni posted on Facebook on Wednesday night that tariffs would hurt all parties. She added that Italy will negotiate a deal with the U.S. to “prevent a trade war that would inevitably weaken the West in favor of other global actors.”
Japan
Japan’s Trade Minister Yoji Muto said in a press conference on Thursday that he met with U.S. Commerce Secretary Howard Lutnick just before Trump’s announcement to urge Japan’s exemption from the tariffs. After the announcement, which did not exempt Japan, a long-standing ally of the U.S., Muto called the move “extremely regrettable.”
Asked if Japan would retaliate, Muto said: “We need to decide what is best for Japan, and most effective, in a careful but bold and speedy manner.” He added that Japan’s trade ministry will closely analyze the impacts of the tariffs.
Malaysia
Malaysia, which was hit with a 24% “reciprocal” tariff by Trump, has ruled out imposing retaliatory tariffs, the country’s Ministry of Investment, Trade & Industry said in a Thursday statement. The country’s National Geoeconomic Command Centre, the statement said, will “evaluate the impact of this recent US announcement and will consider a comprehensive and multipronged strategy to mitigate the effects of these tariffs on our economy and industries,” while the country uses the Trade and Investment Framework Agreement, a preexisting trade pact between the U.S. and other countries including Malaysia, to “seek reciprocal trade gains and pursue a Technology Safeguards Agreement” with the U.S.
“Malaysia strongly believes in constructive engagement for mutually beneficial economic relations,” the statement added. “MITI is committed to safeguarding Malaysia’s economic interests and maintaining strong trade relations with the U.S.”
New Zealand
New Zealand’s Trade Minister Todd McClay disputed the Trump Administration’s claim that it imposed 20% tariffs on U.S. imports, but McClay said New Zealand had no plans to retaliate to the new “reciprocal” tariffs imposed by the U.S.
“We are a low tariff country and we have benefitted from it,” the country’s Prime Minister Christopher Luxon said. “What we wouldn’t want to do is raise prices here in New Zealand and add to inflation here in New Zealand by [imposing retaliatory tariffs].”
Luxon added that while tariffs are “not the way to go,” New Zealand, which now faces a 10% U.S. tariff, is in a better position to trade with the U.S. relative to countries hit with harsher levies. “The bigger worry,” he said, “will be the global impact and the wash up of the tit-for-tat trade wars that may ensue.”
Norway
Norway’s Prime Minister Jonas Gahr Støre told broadcaster NRK on Wednesday that Trump’s tariffs will “have consequences for many Norwegian companies and for jobs.” Norway is facing a 15% levy on exports to the U.S., which is “bad news” for a country that “lives off exports,” Støre said. Around 8% of mainland Norwegian exports go to the U.S., which is the country’s third largest export market, NRK reported.
Støre said Norway is prepared to negotiate with the U.S.
Singapore
Hit by Trump’s universal 10% tariff, Singapore was spared harsher tariffs that hit many of its neighbors. Still, the country’s Monetary Authority said on Thursday it is “ready to curb excessive volatility in the Singapore dollar, and to ensure that Singapore’s foreign exchange and money markets continue to function in an orderly manner.”
Chua Hak Bin, co-head of macro research at Maybank, told the Straits Times that while Singapore was partly shielded by its free trade agreement with the U.S. and bilateral trade deficit, the country would still be “impacted from the massive deflationary shock to demand and trade. Manufacturing and exports will likely turn lower and contract in the coming quarters.”
South Korea
South Korea’s acting President Han Duck-soo convened a meeting with top officials on Thursday to assess the tariffs, according to a statement issued by its industry ministry. “As the global trade war has become a reality, the government must pour all its capabilities to overcome the trade crisis,” Han told the ministers. Han added that the government will prepare emergency support measures for industries and companies affected by the tariffs and ordered the industry minister to negotiate with Washington to minimize the impact.
Spain
Spain’s Economic Minister Carlos Cuerpo said Wednesday: “The European Union has the necessary tools to respond to [Trump’s tariffs], and, of course, in this context, Europe will not be naive. We will always respond.”
Spain’s Prime Minister Pedro Sánchez summoned industry leaders on Thursday to a presentation of his response plan.
Sweden
Sweden’s Prime Minister Ulf Kristersson said in a Wednesday statement that Sweden is “well prepared for what’s happening now.” At the same time, he underscored: “We don’t want growing trade barriers. We don’t want a trade war. That would make our populations poorer and the world more dangerous in the long run.”
“Free enterprise and competition have laid the foundations of the West’s success. That’s why Americans can listen to music on Swedish Spotify and we Swedes can listen to the same music on our American iPhones,” Kristersson said.
He added that, as part of the E.U., Sweden will “take every opportunity to reverse these developments” and “contain the new U.S. tariffs.”
Switzerland
Swiss President Karin Keller-Sutter posted on X on Wednesday that the Swiss government will “quickly determine the next steps.” Switzerland was hit with a 31% tariff.
“The country’s long-term economic interests are paramount. Adherence to international law and free trade remain core values,” she added.
Economiesuisse, a business federation representing around 100,000 companies in Switzerland, also posted on X on Wednesday night that U.S. tariffs are “harmful and unfounded.”
“A further escalation of the trade conflict must be prevented,” the group warned. “The Federal Council and Swiss economic diplomacy are called upon to quickly find solutions at the negotiating table with the US government.”
Taiwan
Taiwan’s cabinet called Trump’s tariffs—which stood at 32% on Taiwanese goods—“deeply unreasonable” and “highly regrettable.” Cabinet spokesperson Michelle Lee said the government would negotiate with the U.S. to “ensure the interests of our nation and industries.”
Prior to Trump’s announcement, Taiwan’s Minister of Economic Affairs J.W. Kuo said an economic and trade task force established last November has been working to determine what the effects of Trump’s tariffs would be and how the government should respond.
After the U.S. previously announced tariffs on the semiconductor industry, TSMC—Taiwan’s largest company and the world’s largest chip producer—pledged a $100 billion investment in the U.S., which appeared to mollify Trump as semiconductors are exempt from this latest round of tariffs.
Thailand
Prime Minister Paetongtarn Shinawatra said Thailand is prepared to negotiate with the U.S. after Trump announced a 36% “reciprocal” tariff on its goods. The U.S. is Thailand’s largest export market. Shinawatra said that Thailand’s actual tariff rate on U.S. imports is on average 9% rather than the 72% figure the White House presented.
“Thailand has signaled its readiness to discuss with the U.S. government at the first opportunity to adjust the trade balance to be fair to both the parties,” Shinawatra told reporters on Thursday. She said Thailand could become a “friend-shoring” country for the U.S. by importing agriculture products to process and re-export.
“Don’t panic as other countries are also facing higher tariffs,” Thai Chamber of Commerce chairman Poj Aramwattananont also told reporters on Thursday, though he admitted he did not expect more than a 25% tariff from the U.S. “The U.S. will also have some impact from this,” he added, “as they still can’t produce to replace the imports fast enough.”
U.K.
British Prime Minister Keir Starmer said Thursday morning that the U.K. would respond to Trump’s tariffs with “cool and calm heads.” Starmer added that the U.K., which faces the baseline 10% levy, is in a “better position than a lot of other countries from what was announced last night.”
Business Secretary Jonathan Reynolds told Sky News on Thursday that the U.K. “will take any action we need to give ourselves the tools that we need to respond to announcements of this kind.” Reynolds added that he wants negotiations with the U.S. to lead to a total removal of the tariffs on the U.K. “I want them removed in terms of the 10% that’s been announced. I want them removed on steel and aluminium. I don’t think there is an argument, a strong argument, for those being in place,” he said. “I want not only to remove what has been announced so far, but to strengthen that relationship. I want more U.K. businesses with stronger market access to all parts of the U.S. That’s the prize on offer.”
Ukraine
Ukraine’s Economy Minister Yuliia Svyrydenko posted on X on Thursday that Trump’s new 10% tariffs on Ukraine are “complicated, but not critical.” She added that in 2024 Ukraine bought $3.4 billion worth of goods from the U.S. and exported just $874 million worth of goods to the U.S. She also said Ukrainian tariffs on U.S. goods are “quite low—the rate on cars is 10%, on coal and oil—0%” and that Ukraine’s government will work to “ensure better conditions for Ukraine.”
“Ukraine has something to offer the United States as a reliable ally and partner,” Svyrydenko said. “Both our countries benefit from fair tariffs.”
—Chad de Guzman contributed reporting.