US President Donald Trump is set to unveil new "Liberation Day" tariffs on Wednesday, though the full details of the measures remain uncertain, fueling concerns over a potential global trade war.

Trump is scheduled to announce the tariffs at 4:00 p.m. (2000 GMT) in the Rose Garden of the White House, accompanied by cabinet members. The announcement comes after Wall Street markets close and promises to deliver a "golden age" for US industry while halting America’s "rip-off" by foreign countries.

While Trump insists he has decided on the reciprocal tariffs aimed at countries that have targeted the United States, the White House acknowledged that details were still being finalized just hours before the rollout.

Early Wednesday, Trump posted a message in all caps on his Truth Social network: "It's Liberation Day in America!"

A long-time advocate for tariffs, Trump believes they are a solution to America's trade imbalances with both allies and adversaries. Critics argue, however, that US consumers will bear the brunt as importers pass on the cost, and that the tariffs could increase the risk of a damaging recession both at home and abroad.

Global markets have been on edge ahead of Trump’s announcement, and countries likely to be affected have called for talks, while preparing retaliatory measures.

‘Very kind’ tariffs

Trump’s tariff announcement underscores the widening divide between the United States and its closest allies, not only on trade but also on security and defense issues. The 78-year-old president has hinted at the move for weeks, initially suggesting that tariffs would simply mirror the levies imposed by other countries.

On Monday, he described his approach as "very kind," though he provided little further detail. As the announcement deadline neared, reports emerged that Trump had been considering blanket 20 percent tariffs, with some countries potentially receiving preferential treatment.

White House Press Secretary Karoline Leavitt said Trump was meeting with his top advisors to "perfect" the measures. She confirmed that the tariffs would take effect "immediately" after Wednesday’s announcement, effectively ruling out delays for negotiations with other countries.

Trump has previously backed away from tariff measures with allies such as Canada and Mexico, but the current plans have raised concerns about the onset of a global trade war that could drive up prices and cause widespread economic disruption.

Global response and retaliation

The prospect of Trump’s tariffs has alarmed world leaders, with European Central Bank President Christine Lagarde warning that the measures could "unsettle the trade world as we know it."

Major economies, including the European Union and Canada, have vowed to retaliate. Canadian Prime Minister Mark Carney said on Tuesday, “We are going to be very deliberate in terms of the measures we take, to fight for Canada.”

The European Union, which Trump has accused of trying to "screw" the United States, also pledged to take action if necessary. British Prime Minister Keir Starmer spoke of "productive negotiations" toward a UK-US trade deal, while Vietnam announced plans to reduce duties on various goods to appease Trump.

In response, other top exporters, including China, Japan, and South Korea, are accelerating talks on a free trade agreement to counterbalance Washington's policies. Mexico lowered its 2025 growth forecast on Tuesday, citing tensions with the US, its largest trading partner.

The growing uncertainty surrounding Trump’s tariff plans has also rattled global markets, with HSBC strategists led by Max Kettner warning that Wednesday’s announcement may prolong market volatility. “We’d argue the potential is in fact higher for the 2 April deadline to introduce even more uncertainty,” they said.

Trump insists that the tariffs will lead to a "rebirth" of America’s manufacturing sector, suggesting that companies can avoid the tariffs by relocating to the United States.

Ongoing tariff measures

Trump’s announcement comes ahead of sweeping 25 percent tariffs on automobiles set to take effect on April 3, following a 25 percent tariff on steel and aluminum imports that began in mid-March. Additionally, China faced a 20 percent tariff on all goods in March, prompting retaliatory duties from Beijing. The European Union is set to begin its own retaliatory measures in mid-April.

The global economic landscape hangs in the balance as Trump prepares to make his announcement, with world leaders bracing for the economic impact of the new tariffs.