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Reaction to US imposing new tariffs on 60 trading partners - Finance news and analysis from Global Banking & Finance Review
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Reaction to US imposing new tariffs on 60 trading partners

Published by Global Banking & Finance Review

Posted on July 24, 2026

3 min read

· Last updated: July 24, 2026

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Global Reactions to New US Tariffs Affecting 60 Trading Partners

Initial Responses from Policymakers Worldwide

July 24 (Reuters) - The Trump administration on Friday imposed new tariffs of 10% and 12.5% on goods from 60 trading partners, including the European Union and China, over allegations of lax enforcement of forced labor bans, just as a temporary 10% global tariff expired.

Below are some initial reactions from policymakers.

European Union

EU Foreign Policy Chief Kaja Kallas

"You can't say that for the European Union," Kallas told Reuters on the sidelines of ASEAN meetings in Manila.

"If you compare our labour laws to the ones of the United States, I mean, we have paid vacations, we have very good labour conditions for our employees, so it's not really grounded.

"We had a deal with America and we have kept to that deal, that side of the deal. That's why this is a negative surprise that this agreement is not kept."

Australia

Australian Trade Minister Don Farrell

Australian Trade Minister Don Farrell said the imposition of new tariffs by the United States was "completely unjustified" and that he would continue to "argue very strongly" for U.S. trade officials to remove all duties on Australian goods.

Mexico

Mexico's Economy Minister Marcelo Ebrard

Mexico's Economy Minister Marcelo Ebrard said the country will "see no change in the effective tariff that Mexico pays," from the new tariffs.

"One replaces the other, so tariff treatment is maintained," he said, speaking in a video on social media.

France

Bank of France Governor Emmanuel Moulin

"For Europe, it ought not to change much because we have the Turnberry agreement which should be respected by Donald Trump. But obviously it creates more uncertainty for world trade and clearly it's not favourable for growth," Moulin told BFM Business TV station.

Brazil

Government of Brazil

"Lacking a legal basis under domestic law to support its protectionist trade policy, the U.S. Trade Representative chose to manipulate an issue of great importance to human rights and workers' rights movement," Brazil's government said in a statement, describing the tariffs as arbitrary and unjustified.

Brazil's Planned Response

Brazil added it will immediately start procedures to trigger the response instruments under its "Reciprocity Law" and will take the matter to the World Trade Organization's dispute settlement mechanism.

Malaysia

Malaysian Prime Minister Anwar Ibrahim

Anwar said the country was "relieved" that the 10% tariff imposed on Malaysian goods was relatively lower than other nations, according to a report on state news agency Bernama.

Malaysia will carry out further negotiations with the United States to protect national interests, he was quoted as saying.

"If we don't get a satisfying response, we will raise the matter again," Anwar said, according to Bernama.

Philippines

Philippine Trade Minister Cristina Roque

“The Philippines will continue to engage with the U.S. to emphasise that the country has a strong policy against forced labor consistent with various International Labor Organization (ILO) Conventions.  In fact, just yesterday we signed a Joint Administrative Order with DOF and DOLE to provide an institutional mechanism to address the issue of forced labour.

"In the meantime, we will continue to value our strategic relationship with the U.S. especially in ensuring that our trade remains intact, resilient, and stable. This is especially true since Philippine exports to the United States, particularly in electronics, semiconductors, and key agricultural products, support U.S. supply‑chain stability.”

Reporting and Compilation

(Reporting by Reuters; Compiled by Lincoln Feast; Editing by Kate Mayberry)

Key Takeaways

  • The tariffs stem from a USTR Section 301 probe finding 60 economies failed to impose or enforce forced‑labor import prohibitions, triggering 10%–12.5% duties as the prior 10% global levy expired on July 24, 2026 (ustr.gov).
  • Countries perceived as having made some commitment or partial enforcement (e.g., EU, Canada, Mexico, UK, Australia) face the lower 10% rate; others face 12.5% (ustr.gov).
  • Reactions varied: EU Foreign Policy Chief Kaja Kallas called the move unfounded amid EU’s strong labor laws; Australia labelled it “completely unjustified”; Mexico said effective tariff treatment unchanged; Brazil decried the move as arbitrary and will pursue WTO action; Malaysia and the Philippines stressed willingness to negotiate and intentions to uphold U.S. relations.

References

Frequently Asked Questions

Why did the US impose new tariffs on 60 trading partners?
The US imposed new tariffs of 10% and 12.5% on goods from 60 trading partners due to allegations of lax enforcement of forced labor bans.
How did the European Union react to the new US tariffs?
The EU described the tariffs as a negative surprise and argued that its labor laws are robust compared to the US, expressing disappointment over the agreement breach.
What was Australia's response to the new US tariffs?
Australia called the tariffs 'completely unjustified' and pledged to advocate for the removal of all duties on Australian goods.
Did the new US tariffs affect Mexico's exports?
Mexico stated it would see no change in the effective tariff it pays, as the new tariffs simply replace expiring ones.
What actions is Brazil taking in response to the US tariffs?
Brazil considers the tariffs arbitrary, will trigger its 'Reciprocity Law' provisions, and plans to appeal to the World Trade Organization.

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