In a bold move, President Donald Trump has introduced a series of tariffs aimed at various countries, aligning with his administration's 'America First' trade strategy. This announcement marks a significant escalation in the ongoing trade tensions initiated previously with nations such as China, Canada, and Mexico. The White House articulated that the current global trade system disproportionately benefits those engaging in unfair practices, while adhering to regulations often puts American businesses at a disadvantage. In 2024, the United States reported a staggering trade deficit in goods exceeding $1.2 trillion, which the administration describes as a crisis long overlooked by past administrations. Dubbed 'Liberation Day' by Trump, the tariffs are presented as a mechanism to restore equilibrium in international trade. The President has repeatedly accused foreign nations of exploiting the American market, asserting that this exploitation has detrimental effects on American consumers and manufacturers alike. Trump emphasized the significance of this initiative during a press briefing, proclaiming that the tariffs would enhance domestic manufacturing and open foreign markets, thereby fostering competition and reducing prices for consumers. Effective April 5, a baseline tariff of 10% will be applied to all imports. This measure is positioned as essential for safeguarding American manufacturers. In addition to this, Trump revealed plans to implement 'reciprocal' tariffs on numerous countries with which the U.S. faces substantial trade deficits. These heightened tariffs, set to commence on April 9, will target nations deemed as the primary violators of fair trade practices. Among those affected by these increased tariffs are China (34%), India (26%), Japan (24%), South Korea (25%), South Africa (30%), and the United Kingdom (10%). The administration labeled these nations as the 'worst offenders' in terms of trade imbalances. Moreover, Trump's announcement included a 20% tariff on imports from the European Union. The President highlighted that the EU's overall tariffs on American goods average 39%, causing U.S. companies to incur over $200 billion annually in value-added taxes across European markets. In conjunction with these measures, Trump confirmed that a 25% tariff on automobiles and trucks will be enforced starting April 3, while a similar tariff on auto parts will be instituted on May 3. This action will impact approximately $600 billion worth of vehicle imports and components each year. The announcement had an immediate effect on the stock market, with futures for the Dow Jones Industrial Average declining by 2.5%. The S&P 500 and Nasdaq-100 futures experienced even steeper drops of 3.6% and 4.5%, respectively. Major U.S. companies, including Apple, Nike, and Tesla, saw their stock prices tumble by around 7% following the tariffs' announcement.