The Trump administration has announced a new 40% tariff on transshipments in a move primarily targeting China.

President Trump’s executive order carved out a special tariff on goods shipped indirectly to the United States by way of other countries.

P resident Donald Trump said the U.S. was “getting very close” to a deal with China, while also threatening to impose higher tariffs on the European Union as he gave several trade updates early Tuesday. Trump said the U.S. was “getting along very well” with Beijing and that a deal was close, in an interview with CNBC.