In accordance with the Presidential Memorandum on America First Trade Policy (AFTP) dated January 20, 2025, the President has called upon key members of his administration—including the Secretaries of State, Treasury, Defense, and Commerce—to compile an extensive report due on April 1, 2025. This report will cover 24 chapters detailing reviews, investigations, and recommendations aimed at reshaping U.S. trade policy. It will also incorporate directives from the February 13, 2025, Presidential Memorandum concerning non-reciprocal trading practices, alongside findings from the February 21 memorandum focused on protecting American companies from overseas extortion. The report will serve as a comprehensive resource for the President’s trade policy initiatives.
Introduction
The America First Trade Policy is poised to catalyze domestic investment, job creation, and economic growth. It aims to bolster the United States’ industrial and technological edge, rectify the long-standing trade imbalance, and enhance both economic and national security. This Report provides a framework for trade policy actions that aspire to “Make America Great Again” by prioritizing American interests. It encompasses a wide array of recommendations spanning market access, duty exemptions, export controls, and investment restrictions.
The rationale for an America First Trade Policy is painfully evident. For years, the U.S. has witnessed an exodus of jobs, innovation, wealth, and security as foreign nations exploited a plethora of unfair practices to gain an upper hand over domestic producers. This grim reality is epitomized by the staggering $1.2 trillion trade deficit in goods recorded in 2024. As the U.S. navigates a precarious geopolitical landscape, it cannot afford to adopt a passive approach to international economic issues. The nation’s future prosperity hinges on a strategic, coordinated response that fully leverages federal resources to secure enduring economic, technological, and military supremacy.
Consequently, President Trump promptly initiated the America First Trade Policy just hours after his inauguration. Subsequent efforts expanded the scope to tackle non-reciprocal practices and foreign extortion targeting American firms—especially technology companies. For previous administrations, success in any of the 24 distinct workstreams outlined in this Report would constitute a monumental shift in international economic policy. However, decades of unresolved issues necessitate immediate action. The urgency of the situation demands bold measures instead of mere tinkering with existing frameworks.
Today—April 1—after just 71 days in office, President Trump’s Administration has unveiled its findings. The Report offers transformative recommendations aimed at reshaping U.S. trade relations, emphasizing economic and national security, and revitalizing American manufacturing and production capabilities.
The Report comprises a chapter for each subsection of the AFTP memorandum, including a special chapter addressing foreign extortion and unfair fines. Although the full report remains confidential, below is a succinct public summary of each chapter’s contents.
Addressing Unfair and Unbalanced Trade
Chapter 1. Economic and National Security Implications of the Large and Persistent Trade Deficit (Section 2(a) of AFTP)
This chapter highlights the pressing economic and national security threats posed by the persistent trade deficit, which underscores the inequitable treatment the U.S. receives from its trading partners. While the U.S. maintains low tariffs and an open economy, many partners impose exorbitant tariffs and non-tariff barriers on American goods, eroding U.S. competitiveness. The Report recommends measures to address this imbalance, including potential tariffs on specific imports to promote reciprocity and balanced trade.
Chapter 2. The External Revenue Service (Section 2(b) of AFTP)
A collaborative effort between key government departments aims to establish an External Revenue Service (ERS) to enhance tariff collection. With tariffs historically being a vital source of federal revenue, this centralized system could maximize revenue recovery while deterring unfair trade practices, thereby reinforcing a fair and enforceable trade system that benefits American businesses and taxpayers.
Chapter 3. Review of Unfair and Non-Reciprocal Foreign Trade Practices (Section 2(c) of AFTP)
The Office of the U.S. Trade Representative (USTR) has identified over 500 unfair trade practices employed by foreign partners, many of which involve higher tariffs on U.S. exports compared to imports. For instance, while the U.S. applies an average tariff of 3.3%, countries like the European Union and China impose significantly higher rates. Non-tariff barriers further complicate matters, as practices such as stringent import standards and restrictive domestic policies hinder U.S. competitiveness. USTR proposes various measures to address these unfair practices and trade barriers.
Chapter 4. Renegotiation of the U.S.-Mexico-Canada Agreement (Section 2(d) of AFTP)
President Trump replaced NAFTA with the U.S.-Mexico-Canada Agreement (USMCA), which has provided new market access and rules to encourage manufacturing relocation to the U.S. As the July 2026 review deadline approaches, the USTR must initiate a review process to address changes necessary for stronger market protections and improved trade relations.
Chapter 5. Review of Foreign Currency Manipulation (Section 2(e) of AFTP)
The Treasury Secretary is tasked with evaluating the currency exchange practices of major trading partners. This assessment aims to bolster transparency and address manipulation in currency markets, a vital step for fair trade.
Chapter 6. Review of Existing Trade Agreements (Section 2(f) of AFTP)
The U.S. currently has 14 comprehensive trade agreements in effect. This chapter discusses opportunities to modernize these agreements to better align trade terms with American interests and rectify existing imbalances.
Chapter 7. Identification of New Agreements to Secure Market Access (Section 2(g) of AFTP)
The negotiation of new trade agreements presents a chance to dismantle non-reciprocal barriers, particularly for agricultural exports. The Report identifies potential countries and sectors for these new agreements.
Chapter 8. Review of Anti-Dumping and Countervailing Duty Policies (Section 2(h) of AFTP)
To combat unfair trade, the Department of Commerce (DOC) administers anti-dumping and countervailing duties. This chapter discusses the need to enhance these policies to better protect domestic manufacturing.
Chapter 9. Review of the De Minimis Exemption (Section 2(i) of AFTP)
The current duty-free allowance for low-value imports has resulted in significant revenue losses and security risks. This chapter advocates for the termination of the de minimis exemption to enhance tariff collection and safeguard national security.
Chapter 10. Investigation of Extraterritorial Taxes (Section 2(j) of AFTP)
Foreign governments often impose discriminatory taxes on U.S. firms. This chapter emphasizes the need for the U.S. to safeguard its interests against such practices through legislative measures and comprehensive investigations.
Chapter 11. Review of the Government Procurement Agreement (Section 2(k) of AFTP)
The principle of “Buy American” has been compromised by opening U.S. procurement markets under WTO agreements. This chapter calls for a renegotiation of these terms to ensure fair competition for U.S. suppliers.
Economic and Trade Relations with the People’s Republic of China
Chapter 12. Review of the Phase One Agreement (Section 3(a) of AFTP)
The Phase One Agreement with China was a significant achievement, yet compliance has been markedly lacking. This chapter evaluates the breach of commitments by China regarding agriculture, finance, and intellectual property.
Chapter 13. Assessment of the Section 301 Four-Year Review (Section 3(b) of AFTP)
The USTR conducted a four-year review of Section 301 tariffs imposed on China and recommended adjustments to ensure ongoing effectiveness of these tariffs.
Chapter 14. Identification of New Section 301 Actions (Section 3(c) of AFTP)
Given the breadth of China’s non-market policies, this chapter discusses the potential for new Section 301 investigations to address additional unfair practices.
Chapter 15. Assessment of Permanent Normal Trade Relations (Section 3(d) of AFTP)
Since being granted Permanent Normal Trade Relations in 2000, China has exploited U.S. openness, leading to a dramatic increase in the trade deficit. This chapter reviews proposals regarding PNTR and advises on potential actions.
Chapter 16. Assessment of Reciprocity for Intellectual Property (Section 3(e) of AFTP)
This chapter catalogs China’s abuses concerning U.S. intellectual property and proposes necessary actions to rectify imbalances in treatment.
Additional Economic Security Matters
Chapter 17. Identification of New Section 232 Actions (Section 4(a) of AFTP)
Building on previous actions taken under Section 232 to protect U.S. steel and aluminum, this chapter highlights the need for investigations into additional sectors critical to national security.
Chapter 18. Review of Section 232 Action on Steel and Aluminum (Section 4(b) of AFTP)
President Trump has eliminated product exclusions for steel and aluminum tariffs, emphasizing the importance of these sectors. This chapter discusses further measures to enhance these protections.
Chapter 19. Review of U.S. Export Controls (Section 4(c) of AFTP)
To safeguard advanced technologies from adversaries, this chapter calls for stricter and more effective export controls that support U.S. leadership in innovation.
Chapter 20. Review of the Office of Information and Communication Technology and Services (Section 4(d) of AFTP)
This chapter assesses the past utility of the Office of Information and Communication Technology and Services and outlines steps to enhance its effectiveness in overseeing advanced technology.
Chapter 21. Review of Outbound Investment Restrictions (Section 4(e) of AFTP)
The America First Investment Policy will guide evaluations of outbound investments to ensure they align with national security interests while promoting American business growth.
Chapter 22. Assessment of Foreign Subsidies on Federal Procurement (Section 4(f) of AFTP)
Foreign subsidies can undermine domestic products in procurement markets. This chapter discusses the need for policies that strengthen domestic procurement preferences in light of distortions caused by foreign subsidies.
Chapter 23. Assessment of Unlawful Migration and Fentanyl Flows from Canada, Mexico, and China (Section 4(g) of AFTP)
In response to threats from illegal migration and drug flows, President Trump has imposed tariffs on Canada, Mexico, and China. This chapter elaborates on the necessity of these actions and additional measures to counter these threats.
Chapter 24. E-Commerce Moratorium (Section 3(f) of Presidential Memorandum on Defending American Companies and Innovators from Overseas Extortion and Unfair Fines and Penalties)
The temporary moratorium on customs duties for electronic transmissions is at risk as some countries seek to impose tariffs on data flows. This chapter discusses the implications of such moves and the need to solidify the moratorium.
Conclusion
The Report presents a comprehensive overview of the current state of U.S. trade policy and outlines a path forward. Today’s trade policies fail to adequately address long-standing global imbalances and do not reflect the U.S. economy’s position as the most dynamic and innovative in the world. It is imperative to pursue trade and economic strategies that prioritize the American economy, workers, and national security. This Report lays the groundwork to achieve those objectives.
