 "Trump's new tariffs target dozens; but why is Russia off the hook?")
US President Donald Trump announced reciprocal tariffs on dozens of countries on Thursday morning (IST). However, Russia was notably absent from the list. Trump imposed a 10 per cent baseline tariff on all imports, with higher rates applied to several countries with which the US runs a trade deficit.
Why was Russia not on list?
According to an Axios report, White House Press Secretary Karoline Leavitt explained that Russia was excluded because it is already subject to US sanctions, which "preclude any meaningful trade" between the two nations. Leavitt added that Russia could still face "additional strong sanctions."
Despite this exemption, trade between the US and Russia remains higher than with countries like Mauritius and Brunei, which were included on Trump's list.
The report noted that US-Russia trade has plummeted significantly. In 2021, bilateral trade was valued at $35 billion, but by 2024, it had dropped drastically to approximately $3.5 billion due to US sanctions imposed after Russia’s invasion of Ukraine.
This exemption comes as Russian President Vladimir Putin has reportedly urged Trump to lift some sanctions as part of US-mediated ceasefire talks with Ukraine.
However, Trump recently expressed frustration with Putin, stating he was "very angry" and "pissed off" over stalled ceasefire negotiations with Ukraine. He also threatened Russia with secondary oil tariffs if it refused to agree to a ceasefire.
Who is affected?
While Trump claimed he has been "very kind" in his decision and that these tariffs will "make America rich again," several nations are facing tariffs of 40 per cent or more. These include Lesotho, Cambodia, and Laos, among others.
Even remote territories such as Tokelau in the South Pacific (a New Zealand territory) and Svalbard in the Arctic Circle (a Norwegian territory) were hit by the tariffs.