What has changed
The US has announced new tariffs on imports from Australia and trade partners globally.
The US has imposed a 10 per cent baseline tariff on most imported goods from 5 April 2025. Most goods originating in Australia will be subject to this tariff on import into the US. Some goods are subject to a higher tariff rate, while others are exempt.
In addition to the 10 per cent baseline tariff, higher "reciprocal" tariff rates have been announced for many other US trading partners. Higher reciprocal tariffs are subject to a 90-day temporary suspension until 9 July 2025.
It is important for exporters to understand the changes already introduced and to stay up to date with new announcements. Exporters should seek independent advice on these updated requirements.
Goods subject to higher tariffs
- All steel and aluminium imports to the US are subject to a 25 per cent tariff. This includes certain derivative products that have steel and aluminium content. These tariffs have been imposed under Section 232 of the Trade Expansion Act 1962 due to their impact on US national security.
- Automobiles, light trucks and certain automotive parts are subject to a 25 per cent tariff. These tariffs are also imposed under Section 232 of the Trade Expansion Act 1962.
Exemptions
The US has exempted some goods from new tariffs. Products exempted from the 10 per cent baseline tariff currently include:
- certain energy products, coins and bullion
- some products listed as exempt while the US conducts sector-specific investigations.
Investigations
The US has launched investigations under the Trade Expansion Act 1962 to assess the effect of the import of the following goods on US national security:
- timber and lumber articles and some derivative products
- copper products and some derivative products
- semiconductors, semiconductor manufacturing equipment and certain derivative products (for example, smartphones and laptops)
- select pharmaceutical products
- certain critical minerals and derivative products
- medium and heavy-duty trucks and related truck parts.
Information on these investigations, including how to make a submission and submission periods for each investigation, is available on the US Federal Register. Submissions on pharmaceuticals and semiconductors have closed.
- Submissions on critical minerals close on 16 May 2025: Federal Register: Notice of Request for Public Comments on Section 232 National Security Investigation of Imports of Processed Critical Minerals and Derivative Products
- Submissions on medium-duty truck, heavy-duty trucks and truck parts close on16 May 2025: Federal Register: Notice of Request for Public Comments on Section 232 National Security Investigation of Imports of Trucks
Implications for Australian exporters to the US
The Australian government is working to analyse the impacts of these announced US trade measures on Australian trade, in particular for Australian exporters to the US. The impacts are likely to vary by sector and will affect individual exporters in different ways.
Australian exporters should be aware that higher tariffs imposed on some countries may impact tariff rates for Australian businesses whose goods are manufactured elsewhere.
Exporters should stay up to date with new announcements.
The Australian Trade and Investment Commission (Austrade) provides more targeted information and advice to Australian businesses, via its Go Global Toolkit: US tariff changes – support for Australian businesses. This includes recordings of recent webinars held to explain the tariff changes.
Australian exporters are encouraged to seek independent advice. Exporters may need to engage with a licensed customs broker (see Brokerages list) or contact US Customs and Border Protection with specific questions.
Australia's economy is resilient and supported by a global framework of free-trade agreements with major Australian trading partners.
Australia has a Free Trade Agreement with the United States and continues to advocate for maintaining open trade. The US pays no tariffs for exports to Australia under the Australia-United States Free Trade Agreement (AUSFTA).
Help and resources
- Austrade provides assistance and information for businesses through its Go Global Toolkit: US tariff changes – support for Australian businesses
- DFAT country brief: United States of America country brief
- DFAT trade data: Trade and Investment data and publications
- US Customs: US Customs and Border Protection
- Licensed customs brokers: Brokerages list
White House proclamations and executive orders on tariffs
- Reciprocal tariffs executive order of 9 April 2025: Modifying Reciprocal Tariff Rates to Reflect Trading Partner Retaliation and Alignment
- Reciprocal tariffs executive order of 2 April 2025: Executive Order Regulating Imports with a Reciprocal Tariff to Rectify Trade Practices that Contribute to Large and Persistent Annual United States Goods Trade Deficits
- The US reciprocal tariffs fact sheet of 2 April 2025: Fact Sheet: President Donald J. Trump Declares National Emergency to Increase our Competitive Edge, Protect our Sovereignty, and Strengthen our National and Economic Security
- Clarification of the 2 April executive order, issued on 11 April 2025: Clarification of Exceptions Under Executive Order 14257 of April 2, 2025, as Amended – The White House
- The US Presidential Proclamation on automobiles and automobile parts: Adjusting Imports of Automobiles and Automobile Parts into the United States
- Amendments to proclamation on automobiles and automobile parts, issued on 29 April 2025: Amendments to Adjusting Imports of Automobiles and Automobile Parts Into the United States – The White House
- The US Presidential Proclamation on aluminium: Adjusting Imports of Aluminium into the United States
- The US Presidential Proclamation on steel: Adjusting Imports of Steel into the United States
Exporters are also encouraged to regularly check the US Federal Register and US Customs Systems Management Service for new notices regarding the application of US tariffs on imported goods.