Armenia has not been spared from former U.S. President Donald Trump’s sweeping trade measures, as a new 10% universal tariff on all imports into the United States takes effect. The policy, part of a broader strategy to address trade imbalances and promote domestic manufacturing, is expected to have significant economic implications for Armenian exports.
On April 2, 2025, Trump announced a two-tiered tariff system, introducing a 10% baseline tariff on all imported goods, effective April 5. The administration argues that this measure will help reduce the trade deficit, strengthen domestic manufacturing, and counter what it perceives as unfair trade practices by foreign nations.
Additionally, the U.S. has implemented higher, country-specific tariffs, known as reciprocal tariffs, which will take effect on April 9. These tariffs target countries that impose trade barriers against American goods, with notable increases applied to China, Vietnam, Japan, and the European Union.
Trump has justified these tariffs as a response to a national emergency, citing a record $1.2 trillion trade deficit in 2024. The administration claims that the policy will boost domestic production, create jobs, and generate revenue to reduce taxes and lower national debt.
While some nations, such as Russia, have been exempted from these tariffs, Armenia has been included in the list of affected countries. The tariff is expected to increase the cost of Armenian goods in the U.S. market, affecting their competitiveness. Sectors such as aluminum, stones, precious metals, agricultural products, and alcohol could see reduced demand, posing challenges for Armenian exporters.
In 2024, total merchandise trade between Armenia and the United States stood at $282.4 million, showing a decline from the previous year:
- U.S. exports to Armenia: $160.8 million, down 14.8% ($27.9 million) from 2023.
- U.S. imports from Armenia: $121.6 million, down 8.4% ($11.1 million) from 2023.
- U.S. trade surplus with Armenia: $39.2 million, a 29.9% ($16.7 million) decrease from 2023.
The announcement has drawn mixed reactions worldwide. While some countries have signaled a willingness to negotiate, others have warned of retaliatory measures, raising concerns of a global trade war. Economists caution that these tariffs could lead to higher consumer prices and economic instability in international markets.
For Armenia, the impact remains to be seen, but reduced competitiveness and declining exports could present significant economic challenges in the months ahead
