Tariff Update

Updated duties yield modest shift. After the 10 percent surcharge under Section 122 of the Trade Act of 1974 expired July 24, new tariffs were enacted under Section 301 of the same act, covering 60 economies and 99.4 percent of U.S. goods imports. Most nations face added duties of 10 percent or 12.5 percent.

• New tariffs leave the average effective rate broadly unchanged
• Section 301 tariffs appear to have stronger legal foundation than prior IEEPA tariffs.
• Near-term CRE impacts are likely to stem from inflation and interest rates