U.S. Tariff Update: Monday, August 18, 2025

The latest U.S. tariff update is sending shockwaves across global trade. As of August 7, 2025, reciprocal tariffs have fully taken effect, driving the average national tariff rate to 18.6% — the highest level since the 1930s. These measures touch nearly 70 trade partners and affect core industries like metals, machinery, and electronics. The next few weeks are critical for shippers, forwarders, and brokers alike.

Terminal Transfer monitors details closely so you can focus on what matters the most: protecting your supply chain and avoiding unnecessary costs.

Key Tariff Changes You Should Know

• Tariff spikes are here to stay. Average tariffs now sit at 18.6%, impacting nearly 70 countries and core import categories.

• Metals get broader coverage. On August 15, the Commerce Department extended 50% tariffs to include hundreds of derivative products — steel, aluminum, and copper-related goods are all affected.

• The deminimis duty exemption ends August 29. Soon, all shipments under $800 will require full customs clearance and duty payment. Even samples and e-commerce parcels will no longer be exempt from duties.

• Exporters are under pressure, India faces targeted levies, and South African agriculture is searching for alternative markets. Other economies may follow.

• Court challenges are underway. Suits contest the legality of the “Liberation Day” tariffs, but enforcement continues while appeals are pending.

What to Watch in the Coming Weeks

• August 29 de minimis deadline, cross-border e-commerce and small parcel shippers will see costs and paperwork rise.

• Clearance delays likely; CBP and brokers are bracing for a flood of new entries that could slow processing.

• Possible retaliation: Partners like India and South Africa may introduce countermeasures that indirectly affect Canadian exporters.

• Price increases on the horizon, machinery, electronics, and metals are at the forefront of the cost surge.

• Legal uncertainty remains; courts could suddenly suspend or adjust the tariffs — businesses should stay nimble.

• Mode and route shifting, importers may turn to Mexico or Canada entry points, increasing strain and creating opportunities for Canadian logistics networks.

Reach out to our team for further guidance.