Insights

For the latest Trump trade executive actions, please view the below Trump Trade Table for important information. This table will be monitored and updated regularly. The last update occurred April 24, 2025.

This article provides an overview of the most recent tariff updates affecting businesses operating within the semiconductor, pharmaceutical, and critical mineral industries. Below we outline recent tariff exclusions for semiconductor products and new investigations into certain semiconductors, pharmaceuticals, and critical minerals which can lead to higher tariffs for these product groups. Industries affected by the newly launched investigations should consider filing a public comment.

On April 2, 2025, President Trump announced long-awaited reciprocal tariffs on imports of foreign goods into the United States. This action follows the President’s recent announcement on March 26, 2025, of a 25% tariff on imports of automobiles and automobile parts.

On March 26, 2025, President Trump issued a Proclamation announcing the imposition of a 25% tariff on imported automobiles set to become effective on April 3, 2025, and certain automotive parts, set to become effective no later than May 3, 2025. These automotive tariffs will follow what the President has dubbed “Liberation Day” (i.e., April 2, 2025), the day new reciprocal and sectoral tariffs are planned to go into effect on a wide range of imports from various countries.[1] 

Just two days after the tariffs on all Mexican and Canadian products became effective, on March 6, President Trump announced amendments to the tariffs against Mexico and Canada “to minimize disruption to the United States automotive industry and automotive workers.” Specifically, the amendments provide that the tariffs would not apply to goods that qualify for preferential treatment under the United States-Mexico-Canada Agreement (USMCA). The amendments also lowered the duty rate for non-qualifying imports of potash from Canada and Mexico. (For background on the tariffs and retaliation, see our earlier article, U.S. Implements New Tariffs on Canada, Mexico, and China.)

Beginning just after midnight on March 4, 2025, the United States implemented a 25% tariff on imports from Canada and Mexico (except Canadian “energy resources,” which are subject to a 10% tariff), and increased tariffs on China from 10% to 20%. These tariffs are implemented under the International Emergency Economic Powers Act (IEEPA) pursuant to national emergencies declared by President Trump related to the influx of illegal immigrants and drugs, particularly fentanyl, into the United States. For additional background on the initial actions, please see our previous trade alert, Tariffs on Mexico and Canada Delayed; China Retaliates Against 10% Tariff.

On February 21, 2025, President Trump issued a memorandum titled "America First Investment Policy" (the “Policy”), outlining new measures to shape U.S. investment policy. Though the Policy makes it clear that the United States welcomes foreign investment, its overarching theme is that “economic security is national security” and cautions against national security threats from “foreign adversaries” like the People’s Republic of China.

On February 13, 2025, President Trump issued a Presidential Memorandum on “Reciprocal Trade and Tariffs” (the “Reciprocal Tariffs Memorandum”), introducing the “Fair and Reciprocal Plan” to determine “the equivalent of a reciprocal tariff with respect to each foreign trading partner.” The reciprocal tariffs may be implemented as soon as April 2025.[1]

President Trump’s pick for Attorney General, Pam Bondi, took quick action upon her swearing in on February 5, 2025, to make changes within the Department of Justice (“DOJ”) via the issuance of fourteen separate memorandum directives to DOJ employees. The memoranda kick-off Bondi’s efforts to re-calibrate DOJ policies, enforcement priorities, and internal procedures to align with broader policies of the Trump administration. Two of the memoranda in particular, one laying out a “General Policy Regarding Charging, Plea Negotiations, and Sentencing” (“General Policy Memorandum”) and the other focused on the “Total Elimination of Cartels and Transnational Criminal Organizations” (“Cartel Policy Memorandum”), include several key changes related to the DOJ’s enforcement of corporate crime, corruption, and national security-related laws.

On February 10, 2025, President Trump issued an Executive Order on “Pausing Foreign Corrupt Practices Act Enforcement to Further American Economic and National Security” (“the E.O.”). The E.O. orders Attorney General, Pam Bondi, to cease initiation of new enforcement actions under the Foreign Corrupt Practices Act (“FCPA”), review all existing investigations and enforcement actions, and issue new guidelines and policies as necessary.

On February 10, 2025, the Trump administration published a proclamation announcing reinstatement of the 25% tariff on all steel imports (“Steel Proclamation”). That same day, President Trump also issued a proclamation announcing the reinstatement and increase of tariffs on aluminum imports to 25% (“Aluminum Proclamation”). The tariffs will be imposed on steel and aluminum articles imported from all countries, and the Proclamations announced tariffs on certain steel and aluminum product derivatives. The reinstated tariffs become effective on March 12, 2025.

President Donald Trump has agreed to delay the implementation of tariffs on imports from Mexico and Canada for 30 days, following negotiations with the leaders of both countries. For more information about the threatened tariffs, see yesterday’s trade alert, U.S. Imposes Tariffs on Imports from Canada and China Beginning February 4; Mexican President Announces One Month Implementation Delay (published before the announcement of the delay of tariffs on Canada). The decision to delay implementation comes after Mexico and Canada committed to enhance border security and combat the flow of fentanyl into the United States.

On February 1, 2025, President Trump announced significant new tariffs on imports from Mexico, Canada, and China, set to take effect on February 4, 2025. The tariffs were announced via three separate Executive Orders (EOs) and are imposed on Canada to “Address the Flow of Illicit Drugs Across [the] Norther Border,” on Mexico to “Address the Situation at [the] Southern Border,” and on China to “Address the Synthetic Opioid Supply Chain in . . . China.” Importantly, unlike tariffs on China implemented under Section 301 of the Trade Act of 1974 (Section 301) in the first Trump administration, the new tariffs are imposed under the International Emergency Economic Powers Act (IEEPA) and are pursuant to a national emergency declared by President Trump.

In this continued era of protectionist and mercantilist trade policies arising from the United States, there are strategies that can be carefully evaluated and pursued to maximize Customs duty savings when importing. This article briefly summarizes a few strategies. Importantly, all duty saving strategies are heavily scrutinized by the government and should be carefully evaluated before implementation. 

On December 23, 2024, the Office of the United States Trade Representative (USTR) launched an investigation of China’s acts, policies, and practices related to targeting of the semiconductor industry for dominance. The investigation was launched under Section 301 of the Trade Act of 1974.

On November 25, 2024, President-elect Donald Trump provided some additional clarity on his immediate tariff plans in a post on Truth Social. Specifically, Trump announced his intent to sign an Executive Order on his first day in office to impose a 25% tariff on all products from Mexico and Canada. According to the post, the tariff will remain in effect for an indefinite period tied to fentanyl smuggling and illegal immigration. In a separate post, President-elect Trump also announced his intention to add a 10% tariff “above any additional tariffs” on all Chinese-origin products. Factoring in current 25% Section 301 tariffs on Chinese goods, this means that some Chinese products will be subject to a 35% tariff in addition to their normal duty rate. Trump similarly tied this tariff hike to China’s role in the fentanyl crisis.

A second Donald Trump presidency ushers in a moment in international trade without precedent…other than the first Trump presidency. It is often difficult to predict how a new administration will act, but in this case, the “new” president has previously shown that he does not always conform to the typical expectations of the office, particularly with respect to international trade. Below we outline a few initial impressions on the potential impacts the Trump presidency will have on global relationships and discuss how you can prepare for the new administration.

Any person or company in the United States that manufactures, exports, temporarily imports, or brokers items, including technical data and software (defense articles), or performs certain services (defense services) that are controlled under the International Traffic in Arms Regulations (ITAR) is required to register with the U.S. Department of State Directorate of Defense Trade Controls (DDTC) and keep that registration current. Current in the context of the ITAR means not only the information that is current at the time the registration is initially submitted, but the registration information must accurately reflect the registered entity’s current information at any point in its timeline. 

We are delighted to share our contribution to “The Law Reviews: Mergers & Acquisitions” Review 15th Edition, where our Managing Member, Olga Torres, and Senior Associate, Derrick Kyle, authored a chapter on US Trade Compliance Due Diligence.

The Mergers & Acquisitions Review provides a practical overview of global M&A activity and the legal and regulatory frameworks governing M&A transactions in major jurisdictions worldwide.

The Chapter provides an overview of the M&A transactions, conducting due diligence related to US trade regulations, and foreign investment regulations in the context of an acquisition by a foreign company. 

Browse our export & trade guides below:

• Guide to Foreign Person “Deemed Export” Licenses
• ITAR Material Change and Registration Renewal Guide & Checklist
• Huawei Entity List Guide
• EEI Filings Guide
• Customs Valuation Are You Undervaluing Merchandise
• Controlled Item Marking Requirements
• Transaction Due Diligence
• Guide to Successor Liability and Trade Law in Mergers and Acquisitions
• Guide to Economic Sanctions
• Export Agency Visit Summary Tracking Sheet
• Export Jurisdiction And Classification - Quick Reference Guide
• Voluntary Self-Disclosure Handbook
• US Export Controls and Sanctions Overview
• Guide to Complying with U.S. Export Control and Immigration  Laws
• Fundamental Elements of Effective Trade Compliance Programs
• Export Classification Quick reference
• Customs Guide For General Counsel, C-Executives, And Accounting Firms
• Guide To The Generalized System Of Preferences
• Red Flags in Transaction Due Diligence
• ADD/CVD Scope Rulings

USMCA implementation is fast approaching. To download a copy of a sample USMCA Certificate of Origin, please click here for PDF version or here for Excel version. Please ensure that you review the certificate and make any required modifications based on your product or certifier type as-needed.

Labor & Trade: Is Mexico Ready for USMCA’s Labor Chapter?

This presentation outlines the intersection between labor and trade law under the new United States Mexico Canada (USMCA) free trade agreement. Specifically, it provides an overview of the novel rapid response mechanism under the USMCA, which permits parties to request expedited reviews by an independent panel of an alleged Denial of Rights of free association and collective bargaining. Download by clicking here.

Browse our export & trade checklists below:

• ITAR Material Change and Registration Renewal Guide & Checklist
• Transaction Due Diligence Checklist
• Top 10 Tasks To Prepare For Export Agency Site Visit
• The STA License Exception
• EEI Filing Checklist
• Export Agency Visit Summary Tracking Sheet