Kazakhstan faces 27% U.S. tariff in trade policy shift

President Trump’s new tariffs hit 185 countries, with Kazakhstan facing the highest rate at 27%. Kazakhstan now seeks talks with U.S. officials to ease the impact.

On April 2, U.S. President Donald Trump imposed reciprocal tariffs on 185 countries, including all Central Asian nations. The most significant tariffs were levied on Kazakhstan, with a retaliatory 27 percent tariff, while other countries in the region face a 10 percent tariff.

The U.S. has justified these tariffs by claiming that Kazakhstan applies tariffs of up to 54% on American goods, though no further details or explanations have been provided on this figure. This has raised questions among Kazakhstani exporters, who are left uncertain about the basis for these claims.

Despite the rising tension over tariffs, the United States is not a major trading partner for the Central Asian countries, including Kazakhstan. In 2024, Kazakhstan's exports to the United States amounted to $1.97 billion, primarily in oil, uranium, ferroalloys, and silver. This accounted for just 2.4% of Kazakhstan's total exports. Meanwhile, Kazakhstan imported $2.24 billion worth of goods from the United States, representing 3.4% of its total imports.

The introduction of tariffs on Kazakhstani goods may present new economic challenges for the country. Economist Ruslan Sultanov observed that the move underscores the growing breakdown of the global trade system. "The WTO is losing credibility, and the rules of trade are no longer universal; they depend on political will," Sultanov stated. He emphasized that the Kazakh Ministry of Foreign Trade would need to engage in intensive negotiations with the U.S. to address the new trade conditions.

Kazakhstan currently has an average customs tariff rate of about 5%, according to the World Trade Organization (WTO). The Ministry of Trade of Kazakhstan has pointed out that 92% of its exports to the United States consist of crude oil, uranium, silver, ferroalloys, and other raw materials - items which are exempt from the new tariffs under Trump's decree. However, the Ministry noted that the new tariffs will affect approximately 4.8% of Kazakhstan's total exports to the U.S.

While the direct impact on trade volume might appear limited, the broader economic consequences could be more significant. Trump’s decree has already disrupted global markets, with oil pricesvital to Kazakhstan’s economy declining. The potential for inflationary pressure, caused by higher tariffs and price fluctuations, is a significant concern for Kazakhstan’s economy, which relies heavily on oil exports.

In response to the tariffs, Kazakhstan plans to consult with U.S. authorities to explore the possibility of tariff exemptions or reductions. These discussions will be crucial in mitigating any negative impacts on Kazakhstan’s economy.

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