Trump plans to impose 25% tariffs on autos, chips

US President Donald Trump announced plans to impose a 25% tariff on imports of automobiles, semiconductors, and pharmaceutical products, including medications.

Speaking to reporters from his Mar-a-Lago resort on Tuesday, he expected tariffs on pharmaceutical goods and semiconductor chips to begin at 25% and rise significantly over a year.

He did not specify a date for announcing these new tariffs, indicating the delay was intended to allow chip and pharmaceutical manufacturers more time to establish production facilities in the US.

Trump also predicted that several major corporations will announce new investments in the US within the next two weeks, Reuters reported.

The US President said that the European Union (EU) plans to lower duties on US automobile imports to match those imposed by Washington.

The EU imposes a 10% tariff on vehicle imports, while the US applies a 2.5% tariff on passenger car imports and a 25% tariff on trucks imported from countries other than Mexico and Canada.

Trump plans to urge EU officials to boost imports of American automobiles and other goods.

European Union trade chief Maros Sefcovic, US Commerce Secretary Howard Lutnick, US Trade Representative nominee Jamieson Greer, and White House National Economic Council (NEC) Director Kevin Hassett will meet on Wednesday to discuss the Trump administration's trade threats.