While the situation remains fluid, below are key statistics about U.S. trade with Canada, Mexico, China, and the European Union and the potential impact of tariffs on the U.S. economy.

Please read IANA’s statement on tariffs and their impact on the intermodal freight supply chain and intermodal industry.

President Trump signed the “Restoring America’s Maritime Dominance” Executive Order on Wednesday, April 9, 2025.

Areas of particular importance include:

• Sec. 5. Actions in the Investigation of the PRC’s Unfair Targeting of Maritime, Logistics, and Shipbuilding Sectors. A draft version of the EO had separate fines/fees for Chinese built vessels. The EO removes those separate fees and just refers to the pending actions under the USTR Section 301 investigation on China shipbuilding. USTR could announce the final remedy actions around April 17. Recent articles (WSJ, FreightWaves) indicate USTR is considering adjusting the port service fee that had been proposed.

In addition to potential actions that USTR decides to take, the EO also calls for USTR to propose tariffs on ship-to-shore cranes manufactured, assembled or including any parts from the PRC as well as other cargo handling equipment. It should be noted that the administration had originally included ship-to-shore cranes under the Section 301 tariffs, but they were removed.

• Sec. 6. Enforce Collection of Harbor Maintenance Fee and Other Charges. This Section requires DHS to take all necessary action, including proposing legislation, to “prevent cargo carriers from circumventing the Harbor Maintenance Fee (HMF) on imported goods through the practice of making port in Canada or Mexico and sending their cargo into the United States through land borders”. It will require the HMF be applied to U.S. bound cargo that enters through Canadian or Mexican ports at the U.S. border, plus a “10 percent service fee for additional costs to the CBP”.

As a reminder, the Federal Maritime Commission conducted an investigation on the “diversion” issue in 2011 and released a report in 2012 - Study of U.S. Inland Containerized Cargo Moving Through Canadian and Mexican Seaports – which did not find carriers were engaging in diversion.

Other elements of the EO include creating a Maritime Action Plan within 210 days, engage allies/partners to align trade policy, launch a maritime security trust fund, establish a shipbuilding financial trust fund, report on maritime industry needs, expand mariner training and increasing the U.S. flag fleet.

The full Executive Order (EO), titled “Regulating Imports with a Reciprocal Tariff to Rectify Trade Practices that Contribute to Large and Persistent Annual United States Goods Trade Deficit,” can be viewed here. Key provisions of the EO are detailed below.

• On April 5, a blanket 10 percent tariff on all imports will take effect. The blanket tariff will increase to a higher percentage that varies by country on April 9. The country-specific ad valorem duty rates can be viewed here. These duties will be applied until the Administration determines that the underlying conditions causing the national emergency (trade deficits, barriers by foreign trading partners, insufficient domestic manufacturing capacity, etc.) are satisfied, resolved, or mitigated.

• The EO exempts certain goods that are not available in the U.S. from the blanket tariffs, including certain copper, pharmaceuticals, semiconductors, lumber articles, critical mineral, and energy products.

• The tariffs imposed by this EO are in addition to any other duties, fees, taxes, exactions, or charges applicable to such imported articles.

• The EO outlines a tailored trade policy for Canada and Mexico, who were excluded from the blanket 10 percent and country-specific tariffs previously mentioned. Under the EO, goods that comply with the USMCA may continue to enter the U.S. market under the preferential terms. Non-compliant goods will continue to be subject to the 25 percent tariffs implemented last month. If President Trump’s EOs addressing fentanyl and migration from Canada and Mexico are terminated, then goods that do not comply with the USMCA would be subject to a 12 percent tariff. USMCA-compliant goods would remain unaffected.

• 25 percent tariffs on automobiles fell under a separate presidential action and took effect today, April 3. The 25 percent tariff on auto part imports will take effect on May 3.

• While the EO references the need for domestic manufacturing capacity across various sectors, including shipbuilding, this EO does not include provisions establishing fees for goods carried on Chinese vessels. We will continue monitoring for any additional information on the rumored EO to implement such fees.

• Increased costs as a result of the proposed tariffs would be too large for U.S. retailers to absorb and would result in prices higher than many consumers would be willing or able to pay. (National Retail Federation , November 2024)

• If 25 percent duties on all imports from Mexico and Canada are implemented, the U.S. GDP would be approximately $200 billion lower than it would have been without the tariffs throughout the duration of the Trump Administration. (Peterson Institute for International Economics, January 2025)

• If the U.S. imposed 10 percent additional tariffs on imported goods from China, inflation in the U.S. would increase by 20 basis points, assuming China retaliates. (Peterson Institute for International Economics, January 2025)

• If 25 percent tariffs are imposed on Canada and Mexico, transportation equipment and machinery imported by the U.S. would be impacted the most. (Peterson Institute for International Economics, December 2024)

• Trade with Canada supports over 8 million jobs in the U.S. and Canada is the number one customer to 36 U.S. states. (Associated Press, January 2025)

• 70 percent of Canada’s military procurement is American sourced. (Associated Press, January 2025)

• As a result of the United States-Mexico-Canada Agreement, the trade deal negotiated in 2020, Canada is 99 percent tariff free with the U.S. (Associated Press, January 2025)

• In 2023, Mexico was the U.S.’s top goods trading partner with total two-way goods trade at $807 billion, surpassing China. (U.S. Department of State, January 2025)

• The U.S. goods trade deficit with Mexico was $130.5 billion in 2022, a 23.7 percent increase ($25.0 billion) over 2021. (USTR, 2022)

• U.S. goods and services trade with China totaled an estimated $758.4 billion in 2022. Exports were $195.5 billion, and imports were $562.9 billion. (USTR, 2022)

• In 2022, the U.S. imported over $20 billion worth of transportation-related goods from China. (Council on Foreign Relations, May 2024)

• The European Union and the United States have the world's largest bilateral trade and investment relationship and enjoy the most integrated economic relationship in the world. (European Commission, March 2025)

• U.S. total goods trade with the European Union were an estimated $975.9 billion in 2024. (United States Trade Representative)

• The European Union is a reliable source of critical supplies to the United States, including medicinal ingredients and pharmaceutical products, advanced machinery and equipment, and aerospace parts and components. (European Commission, March 2025)

• The European Union is the largest buyer of the United States’ natural gas and oil, which is an important element for ensuring transatlantic energy security. (European Commission, March 2025)

• US exports of goods and services to the EU support 2.3 million jobs in the US, and EU firms’ investments in the US employ 3.4 million people. (European Commission, March 2025)