US President Donald Trump is set to announce reciprocal tariffs today on April 2 – a day which is being referred as the ‘Liberation Day‘. The tariffs, once announced, will immediately come into effect. While the exact details of the tariffs remain unclear, certain nations are expected to bear the brunt of the new measures. Trump’s administration has repeatedly claimed that existing trade rules favour other countries at the expense of the US, and the new tariffs are seen as a response to these concerns.

A report from the Washington Post had said that Trump, along with his team, has created a plan to add a 20% tax on most goods that are imported in the United States. The report also mentions that Trump’s team is considering using the money from these new taxes to give people a tax refund or dividend.

Speaking of impact, US companies that import goods will have to pay the new taxes, especially if the White House starts charging them “right away,” spokesperson Karoline Leavitt had suggested on Tuesday. According to a BBC report, higher the taxes, more companies will try to find ways to reduce those costs. They might change suppliers, ask business partners to share the costs, or raise prices for Americans.

According to the report, the countries with the highest goods trade deficits with the US are:

China
European Union
Mexico
Vietnam
Ireland
Germany
Taiwan
Japan
South Korea
Canada
India
Thailand
Italy
Switzerland
Malaysia
Indonesia
These countries collectively account for a major portion of the US trade imbalance and are expected to face the most significant impact from the new tariffs.