Business
How were Donald Trump’s tariffs calculated?
In total, more than 100 countries are covered by the new tariff regime.

Charts credit: White House/ BBC Verify
US President Donald Trump has imposed a 10% tariff on goods from most countries being imported into the US, with even higher rates for what he calls the ”worst offenders”.
But how exactly were these tariffs – essentially taxes on imports – worked out? BBC Verify has been looking at the calculations behind the numbers.
What were the calculations?
When Trump presented a giant cardboard chart detailing the tariffs in the White House Rose Garden it was initially assumed that the charges were based on a combination of existing tariffs and other trade barriers (like regulations).
But later, the White House published what might look like a complicated mathematical formula.


But the actual exercise boiled down to simple maths: take the trade deficit for the US in goods with a particular country, divide that by the total goods imports from that country and then divide that number by two.
A trade deficit occurs when a country buys (imports) more physical products from other countries than it sells (exports) to them.
For example, the US buys more goods from China than it sells to them – there is a goods deficit of $295bn.
The total amount of goods it buys from China is $440bn. Dividing 295 by 440 gets you to 67% and you divide that by two and round up. Therefore the tariff imposed on China is 34%.
Similarly, when it applied to the EU, the White House’s formula resulted in a 20% tariff.
Are the Trump tariffs ‘reciprocal’?
Many commentators have pointed out that these tariffs are not reciprocal.
Reciprocal would mean they were based on what countries already charge the US in the form of existing tariffs, plus non-tariff barriers (things like regulations that drive up costs).
But the White House’s official methodology document makes clear that they have not calculated this for all the countries on which they have imposed tariffs.
Instead the tariff rate was calculated on the basis that it would eliminate the US’s goods trade deficit with each country.
Trump has broken away from the formula in imposing tariffs on countries that buy more goods from the US than they sell to it.
For example the US does not currently run goods trade deficit with the UK. Yet the UK has been hit with a 10% tariff.
In total, more than 100 countries are covered by the new tariff regime.‘
Lots of broader impacts’Trump believes the US is getting a bad deal in global trade.
In his view, other countries flood US markets with cheap goods – which hurts US companies and costs jobs.
At the same time, these countries are putting up barriers that make US products less competitive abroad.So by using tariffs to eliminate trade deficits, Trump hopes to revive US manufacturing and protect jobs.
But will this new tariff regime achieve the desired outcome?
BBC Verify has spoken to a number of economists. The overwhelming view is that while the tariffs might reduce the goods deficit between the US and individual countries, they will not reduce the overall deficit between the US and rest of the world.
“Yes, it will reduce bilateral trade deficits between the US and these countries.
But there will obviously be lots of broader impacts that are not captured in the calculation”, says Professor Jonathan Portes of King’s College, London.
That’s because the US’ existing overall deficit is not driven solely by trade barriers, but by how the US economy works.For one,
Americans spend and invest more than they earn and that gap means the US buys more from the world than it sells. So as long as that continues, the US may continue to keep running a deficit despite increasing tariffs with it global trading partners.
Some trade deficits can also exist for a number of legitimate reasons – not just down to tariffs. For example, buying food that is easier or cheaper to produce in other countries’ climates.
Thomas Sampson of the London School of Economics said: “The formula is reverse engineered to rationalise charging tariffs on countries with which the US has a trade deficit.
There is no economic rationale for doing this and it will cost the global economy dearly.”
Business
George Elombi is Afreximbank’s new president
He succeeds Benedict Oramah, a professor, who has served as President and Chairman of the Board of Directors since 2015, and who will be stepping down in September.

The shareholders of the African Export-Import Bank (Afreximbank) have appointed George Elombi as the next President and Chairman of the Board of Directors of the continental financial institution.
He becomes the fourth president to lead the bank since its establishment in 1993.
His appointment was one of the key decisions of the 32nd Afreximbank group annual meetings and associated events held in Abuja, Nigeria, from 25 to 28 June, with the formal annual general meeting of shareholders taking place on Saturday.
He succeeds Benedict Oramah, a professor, who has served as President and Chairman of the Board of Directors since 2015, and who will be stepping down in September.
A Cameroonian national, Mr Elombi has been with Afreximbank since 1996, as a Legal Officer.
He rose through the ranks to become Executive Vice President, Governance, Legal and Corporate Services.
Over his nearly three decades at the bank, he has served as director and executive secretary (2010–2015); deputy director, legal services / executive secretary (2008–2010); chief legal officer (2003–2008); and senior legal officer (2001–2003).
Business
NRS Chair: New tax laws won’t be implemented until January
According to Adedeji, the Federal Inland Revenue Service, FIRS by the signing of the bills into Law is now the Nigeria Revenue Service (NRS), explaining that the new law now defines the NRS’s expanded mandates…

•President Bola Tinubu shake hands with NRS Chairman, Zach Adedeji.
The Chairman of the Nigeria Revenue Service (formerly FIRS), Zach Adedeji, has disclosed that the implementation of the newly signed four tax fiscal reform laws will commence by January 1st, 2026.
Adedeji told State House correspondents shortly after the President signed the bills into law, the previous day.
Adedeji said that the modalities will be put in place ahead of the implementation.
Adedeji further explained that the six-month period between the enactment of the new fiscal laws is designed to give ample time to those saddled with the implementation to carefully prepare and ensure that all Nigerians are adequately sensitised.
According to Adedeji, the Federal Inland Revenue Service, FIRS by the signing of the bills into Law is now the Nigeria Revenue Service (NRS), explaining that the new law now defines the NRS’s expanded mandate, including non-tax revenue collection, and lays out transparency, accountability, and efficiency mechanisms.
Business
President Tinubu List Economic Expectations from New Tax Laws
On his verified X handle @officialABAT, the President had said that the new tax laws form the groundwork for the Nigeria of tomorrow, focused on unlocking opportunities for all.

President Bola Tinubu said today that the four tax reforms bills he signed into law reflect his administration’s resolve to create a modern, transparent, and efficient tax system capable of supporting national development, promoting investment, and reducing the burden of multiple taxation on citizens.
President Tinubu explained that the laws would be unifying Nigeria’s fragmented tax system, remove redundant overlaps, boost investor confidence, enhance transparency, and promote coordinated efforts across all levels.
He also described the legislation as a clear departure from previous policies, emphasising that the reforms are designed to ease the burden on working families, small businesses, and low-income earners while eliminating inefficiencies that have long plagued Nigeria’s fiscal structure.
On his verified X handle @officialABAT, the President had said that the new tax laws form the groundwork for the Nigeria of tomorrow, focused on unlocking opportunities for all.
“We are also building a framework for the Nigeria of tomorrow-leaner, fairer and laser focused on unlocking opportunities for all,” he said.
He added : ” These reforms go beyond streamlining tax codes. They deliver the first major, pro-people tax cuts in a generation, targeted relief for low-income earners, small businesses, and families working hard to make ends meet.
Designed to overhaul Nigeria’s fiscal and revenue administration framework, the laws which have been described as a major leap in the nation’s economic reform drive.
“For too long, our tax system has been a patchwork-complex, inequitable, and burdensome. It has weighed down the vulnerable and shielded inefficiency. That era ends today.”
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