Trump’s tariffs aren’t strictly reciprocal. Here’s how he calculated them

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By WILL WEISSERT

WASHINGTON (AP) — President Donald Trump promised tariffs that would raise U.S. import taxes high enough to mirror what other assess as trade penalties on American goods.

What he’s actually imposing is based on far more complicated math.

Here’s a look at how the White House got its numbers:

Why do the new tariff rates often differ by country?

The Trump administration has declared an “economic emergency” to bypass Congress and impose a 10% tariff on nearly all countries and territories. It has set even higher levies for about 60 nations that it says are the “worst” offenders.

The 10% global tariffs take effect at 12:01 a.m. Saturday. The higher tariffs set for specific countries are due to kick in at one minute past midnight on April 9.

Among the so-called worst offenders is China, which Trump argues protect its producers through “malicious” trade practices in addition to tariffs. Those efforts include actions such as imposing value added taxes on all goods, dumping overproduced products on markets to artificially deflate prices, or manipulating currency.

To determine how much higher those nations’ rates should be, the White House says it calculated the size of each country’s trade imbalance on goods with the United States and divided that by how much America imports from that nation.

It then took half that percentage and made it the new tariff rate.

Why not just charge reciprocal rates?

The White House says its calculations kept new tariffs from going even higher for many countries and demonstrate that Trump is being “kind” to global trading partners.

The administration maintains that creating a baseline levy with few exemptions is necessary to keep China and others from skirting the new tariffs by manufacturing goods and then shipping them to Vietnam, Cambodia, Mexico or elsewhere to then be sent to the U.S.

That’s why the White House list of tariffed locations includes obscure places like the Heard and McDonald Islands, which are uninhabited. They are 2,550 miles (4,100 kilometers) from the coast of mainland Australia, which claims them as a territory.

Is every country affected?

No. Canada and Mexico are excluded because they already are facing 25% taxes on most imported goods that Trump announced last month, in an attempt to force both to crack down on fentanyl smuggling into the U.S.

The White House originally said all others would be affected by at least the 10% tariff. But administration officials clarified on Thursday that countries already subject to stiff U.S. sanctions — for example, Russia due to its invasion of Ukraine, as well as Iran, North Korea, Cuba, Belarus and Venezuela — will not face the new, 10% global base tariff.

Official said that is because sanctions and other existing barriers mean the U.S. has so little trade with those places that deficits are minimal.

Why is Trump doing this?

The president has spent months insisting America was at its wealthiest at the end of the Gilded Age in the late 1800s and early 1900s, when it imposed high tariffs as the key means to generating revenue for the federal government.

Trump even suggested Wednesday that the U.S. moving away from higher tariffs and toward a federal income tax in 1913 helped trigger the Great Depression of the 1930s — a claim that economists and historians roundly reject.

A more contemporary explanation might be found in Project 2025, a comprehensive blueprint compiled by leading conservatives about how to shrink the federal workforce and push Washington further to the right. It spelled out how Trump might impose high tariffs around the globe, giving his administration more room to negotiate lower levies with trading partners in exchange for U.S. priorities.

White House officials insist the new tariffs are more about closing trade deficits, stimulating U.S. manufacturing and generating government revenue than eventually negotiating new trading deals.

But Trump has shown he is willing to back off on threats of tariffs in exchange for offers of concessions. His administration has said the president is always ready to make deals, a sign the new tariffs may prove to be more bargaining chip than permanent policy.

Why do US trade imbalances matter?

American trade policy created a U.S. trade imbalance worth $1.2 trillion last year, a gap that some experts believe should be addressed in order to ensure the country’s long-term economic strength.

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But many economists say the trade imbalances that Trump is looking to correct are based on more than countries just using high tariffs or protectionist trade practices to boost their own exports. Basing the White House’s tariff math solely on trade deficits, for instance, fails to take into account U.S. consumer demand.

Americans relish buying BMWs assembled in Germany, as well as French wine and coffee beans from Guatemala, and their spending can fuel trade imbalances regardless of the tax and tariff policies of the countries producing those goods.

That means any attempt to close U.S. trade gaps by tariffs will likely mean increasing the cost of imported goods that Americans are buying, which in turn could hurt the economy because of increased inflationary pressures.

Associated Press writers Josh Boak and Zeke Miller contributed to this report.

Mexico celebrates dodging latest US tariffs but feels the effects of global economic uncertainty

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By MARÍA VERZA and FABIOLA SÁNCHEZ

MEXICO CITY (AP) — Mexico celebrated Thursday having dodged the latest round of tariffs from the White House taking aim at dozens of U.S. trading partners around the world, but was also quickly reminded that in a global economy the effects of uncertainty can’t be entirely avoided.

President Claudia Sheinbaum said the free-trade agreement signed by Mexico, Canada and the U.S. during Trump’s first administration had shielded Mexico.

Now her government will focus on the existing 25% U.S. tariffs on imported autos, steel and aluminum, while accelerating domestic production to safeguard jobs and reduce imports.

“During my last call with President Trump, I said that, in the case of reciprocal tariffs, my understanding was that there wouldn’t be tariffs (on Mexico), because Mexico doesn’t place tariffs on the United States,” Sheinbaum said.

Economy Secretary Marcelo Ebrard noted that despite having free-trade agreements with the U.S., many countries were targeted by the tariffs U.S. President Donald Trump announced Wednesday on what he dubbed “Liberation Day.” Trump framed the tariffs as a way to bring manufacturing jobs back to the U.S.

Noting that Mexico dodged the latest round of tariffs, Ebrard said swaths of Mexican exports including agricultural products like avocados, clothing and electronics will continue to enter the U.S. without import duties.

Sheinbaum, meanwhile, encouraged companies producing in Mexico who had not been exporting under the free-trade agreement for various reasons to take the necessary steps to qualify. She cited major German auto producers as an example.

Qualifying for the free-trade agreement could involve anything from doing paperwork to making adjustments to the sourcing of a product.

Despite Trump’s latest tariffs not being imposed on Mexico, the uncertainty they created and the interconnectedness of the North American auto supply chains meant it didn’t take long for the effects to touch Mexico.

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Stellantis, maker of auto brands including Dodge and Jeep, announced that it would pause production at its assembly plant in Toluca west of Mexico City for the month of April while it assesses the tariffs’ impact on its operations. A similar temporary production halt was scheduled for an assembly plant in Canada and some 900 workers were to be temporarily laid off across several plants in the United States.

That uncertainty is part of the reasons why Sheinbaum is pushing Plan Mexico, an initiative to promote and cultivate more domestic production.

As an example, she cited a collaboration between her government, local universities and Mexican companies Megaflux and Dina to produce electric buses for public transportation.

Ebrard said recently that the buses represent not only a technological advance in Mexico, but also a “strategic decision” in favor of Mexico’s industrial sovereignty.

At a factory in Mexico City, the electric buses called Taruk — trail-runner in the Indigenous Yaqui language – are already in production. Megaflux Director General Roberto Gottfried said the company hopes to deliver some 200 by year’s end.

He noted that some 70% of the Taruk’s components are produced in Mexico, including its motor, but the lithium batteries that power them come from China.

In a country where one out of every three people use public transportation every day, developing this sector domestically is critical, Gottfried said.

Despite the global economic challenges presented by the uncertainty caused by tariffs, he said, Mexico’s large internal market gives the initiative a competitive advantage to develop and weather the storm.

FIFA’s Infantino points to US hosting 2031 Women’s World Cup and UK getting 2035 edition

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By GRAHAM DUNBAR, Associated Press Sports Writer

The United States and the United Kingdom looked set on Thursday to be picked by FIFA next year as hosts of Women’s World Cups expanded to 48 teams from 32.

Their respective intentions to bid for the 2031 and 2035 editions are alone in the contests after a first deadline to enter the race passed. The first formal bid documents must be signed by the end of April.

FIFA president Gianni Infantino shakes hands with delegates at the 49th ordinary UEFA congress in Belgrade, Serbia, Thursday, April 3, 2025. (AP Photo/Darko Vojinovic)

FIFA President Gianni Infantino told European soccer officials the governing body received one expression of interest to host the 2031 event — from the U.S. with the possibility of other countries in the CONCACAF region joining the project. That long-promised bid would likely include Mexico.

“We look forward to sharing more details and unveiling our full vision for the 2031 FIFA Women’s World Cup in the near future,” the U.S. Soccer Federation said in a statement.

FIFA has just one “valid bid” to host the 2035 event, from the British member federations centered on England, Infantino said at UEFA’s annual meeting in Belgrade, Serbia.

“Hosting the first FIFA World Cup since 1966 with our home nations partners will be very special,” English FA CEO Mark Bullingham said. “The hard work starts now, to put together the best possible bid by the end of the year.”

The U.K.’s interest was quickly supported last month by British Prime Minister Keir Starmer when FIFA said it was formally seeking bids from member federations. FIFA excluded Europe from the 2031 contest, clearing the way for a long-expected U.S. win.

Spanish soccer officials said last week they hoped to bid, possibly with Portugal and Morocco in a repeat of the co-hosting plan for the men’s 2030 World Cup. It was unclear why Spain did not then meet Monday’s deadline set by FIFA to express interest in bidding.

Infantino’s comments to the annual meeting of UEFA seemed to rule out a Spain bid now being allowed.

“So the path is there for the Women’s World Cup to be taking place in ’31 and ’35 in some great countries,” the FIFA president said, “to boost even more the women’s football movement.”

FIFA is scheduled to confirm Women’s World Cup hosts next year. The 2027 edition with 32 teams is being hosted by Brazil.

The Women’s World Cup would return to the U.S. for the first time since the 2003 edition. The U.S. also hosted in 1999.

England hosted the Women’s European Championship in 2022 — which the home team won — and the men’s Euro 2028 will be co-hosted by England, Scotland, Wales and Ireland.

Women’s soccer at 2028 LA Olympics

In a further boost for women’s soccer, Infantino detailed FIFA’s plan to have more women’s teams than men’s playing at the next Olympics.

There were just 12 teams in the women’s tournament at the 2024 Paris Olympics and 16 in the men’s tournament.

Though the International Olympic Committee strongly supports gender equality at the games, adding four more women’s teams — and about 70 extra players, plus team officials — would push the limit of agreed athlete quotas for organizers in Los Angeles.

Infantino said on Thursday that FIFA’s new proposal is to flip the numbers to have 16 women’s teams and 12 in the men’s tournaments.

The final decision is for the IOC, which has an executive board meeting next Wednesday.

AP soccer: https://apnews.com/hub/soccer

Israeli strike on a school in Gaza kills at least 27 people, Palestinian health officials say

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By WAFAA SHURAFA and NATALIE MELZER

DEIR AL BALAH, Gaza Strip (AP) — Israeli airstrikes killed at least 100 Palestinians across the Gaza Strip on Thursday, including at least 27 sheltering at a school in the north, according to Palestinian medical authorities, in a stepped-up offensive that Israel’s military said is intended to put new pressure on Hamas and eventually expel the group.

The bodies of 14 children and five women were recovered from the school in the Tuffah neighborhood of Gaza City, and the death toll could still rise because some of the 70 wounded had critical injuries, said Health Ministry spokesman Zaher al-Wahidi. More than 30 other Gaza residents were killed in strikes on homes in a nearby neighborhood of Shijaiyah, he said, citing records at Ahli Hospital.

The Israeli military on Thursday ordered more residents in parts of northern Gaza to move to shelters in the western side of Gaza City, warning that it planned to “work with extreme force in your area.” A number of the Palestinians leaving the targeted area did so on foot, with some carrying their belongings on their backs and others using donkey carts.

“My wife and I have been walking for three hours covering only one kilometer,” said Mohammad Ermana, 72. The couple, clasping hands, each walked with a cane. “I’m searching for shelters every hour now, not every day,” he said.

Israel has issued sweeping evacuation orders for parts of northern Gaza ahead of expected ground operations, which the U.N. says have forcibly displaced around 280,000 Palestinians since the ceasefire broke down last month.

The fresh evacuation orders came a day after senior government officials said Israel said it would seize large parts of the Palestinian territory and establish a new security corridor across it. Israel has imposed a month-long halt on all imports of food, fuel and humanitarian aid that has left civilians facing acute shortages as supplies dwindle.

Another deadly day in Gaza

Overnight strikes by Israel killed at least 55 people in the Gaza Strip, hospital officials said Thursday.

Officials in Khan Younis, in the southern part of the strip, said the bodies of 14 people had been taken to Nasser Hospital – nine of them from the same family. The dead included five children and four women. The bodies of another 19 people, including five children aged between 1 and 7 years and a pregnant woman, were taken to the European hospital near Khan Younis, hospital officials said. In Gaza City, 21 bodies were taken to Ahli hospital, including those of seven children.

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The attacks came as the Israeli military promised an independent investigation of a March 23 operation in which its forces opened fire on ambulances in Gaza. U.N. officials say 15 Palestinian medics and emergency responders were killed and their bodies and ambulances buried by Israeli soldiers in a mass grave.

The military initially said the ambulances were operating suspiciously and that nine fighters were killed. The military said the probe would be led by an expert fact-finding body “responsible for examining exceptional incidents” during the war. Rights groups say such investigations are often lacking and that soldiers are rarely punished.

On Wednesday, Prime Minister Benjamin Netanyahu announced Israel was establishing a new security corridor across Gaza to pressure Hamas, suggesting it would cut off the southern city of Rafah, which Israel has ordered evacuated, from the rest of the Palestinian territory. Hamas has been designated as a terrorist organization by the United States, Canada and the European Union.

Israel has also reasserted control over the Netzarim corridor, which separates the northern third of Gaza from the rest of the narrow strip. Both that and another corridor, along Gaza’s southern perimeter, run from the Israeli border to the Mediterranean Sea.

Hamas has said it will only release the remaining 59 hostages — 24 of whom are believed to be alive — in exchange for the release of more Palestinian prisoners, a lasting ceasefire and an Israeli pullout. The group has rejected demands that it lay down its arms or leave the territory.

Netanyahu visits Hungary

Netanyahu arrived in Hungary early Thursday on his second foreign trip since the world’s top war crimes court issued an arrest warrant against him in November over Israel’s war in Gaza.

Based in The Hague, Netherlands, the the International Criminal Court has said there was reason to believe Netanyahu and former Israeli Defense Minister Yoav Gallant used “starvation as a method of warfare” by restricting humanitarian aid to the Gaza Strip, and intentionally targeted civilians in Israel’s campaign against Hamas — charges that Israeli officials deny.

ICC member countries, such as Hungary, are required to arrest suspects facing a warrant if they set foot on their soil, but the court has no way to enforce that and relies on states to comply. As Netanyahu arrived in Budapest, Hungary said it will begin the procedure of withdrawing from the ICC.

Plans for Gaza

On Sunday, Netanyahu said Israel plans to maintain overall security control of Gaza after the war and implement U.S. President Donald Trump’s proposal to resettle much of its population elsewhere through what the Israeli leader referred to as “voluntary emigration.”

Palestinians have rejected the plan, viewing it as expulsion from their homeland after Israel’s offensive left much of it uninhabitable, and human rights experts say implementing the plan would likely violate international law.

The war began when Hamas-led terrorists attacked southern Israel on Oct. 7, 2023, killing around 1,200 people, mostly civilians, and taking 251 hostages, most of whom have since been released in ceasefire agreements and other deals. Israel rescued eight living hostages and has recovered dozens of bodies.

Israel’s offensive has killed more than 50,000 Palestinians, according to Gaza’s Health Ministry, which doesn’t say whether those killed are civilians or combatants. Israel says it has killed around 20,000 fighters, without providing evidence.

The war has left vast areas of Gaza in ruins and at its height displaced around 90% of the population.

Israeli strikes on Syria

Separately, Israeli strikes killed at least nine people in southwestern Syria, Syrian state media reported Thursday.

SANA said the nine were civilians, without giving details. Britain-based war monitor The Syrian Observatory for Human Rights said they were local gunmen from the Daraa province, frustrated with Israeli military encroachment and attacks in recent months.

Israel has seized parts of southwestern Syria and created a buffer-zone there, which it says is to secure Israel’s safety from armed groups. But critics say the military operation has created tensions in Syria and prevents any long-term stability and reconstruction for the war-torn country.

Israel also struck five cities in Syria late Wednesday, including over a dozen strikes near a strategic airbase in the city of Hama. Israeli government spokesman David Mencer said Thursday that the strikes were intended to prevent Syrian forces and armed groups from maintaining a presence in border areas.

Melzer reported from Nahariya, Israel.