Dear APMC customers ,

at the 2 monthly Jour Fixe meetings this morning (on April 3, 2025), I noticed that both German clients are unaware of how Trump calculated the tariffs for the EU or all countries in the world.

The tariff rates were calculated as follows:

US trade deficit with this country in 2024 / (divided by) total imports from this country to US in 2024 x 50%, minimum 10%.

IMPORTANT: Team Trump is obviously using US statistics. If you use EU statistics, there may be discrepancies.

Example 1: China

US$295.4 billion / US$438.9 billion x 50% = 0.673 x 50% = 33.6%, rounded up to 34%

Example 2: EU

US$235.6 billion / US$605.8 billion x 50% = 0.389 x 50% = 19.45%, rounded up to 20%

Example 3: Taiwan (highest tariff rate among the “friendly” countries/territories of the USA)

US$73.9 billion / US$116.3 billion x 50% = 0.6354 x 50% = 31.8%, rounded up to 32%

CONCLUSION: The “right” countermeasures are not counter-tariffs, but additional purchases of US products, as China negotiated with Trump in the tariff dispute during his first term in office.

APMC has been recruiting executives in the USA for our German clients since 2001. If you are interested, please contact APMC@asia-pacific.de.

I wish you continued success in Asia, the EU and the USA!

Best regards

Dr. rer. pol. K.-H. Lin, President