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

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

Trump started hiking tariffs on Chinese goods shortly after his return to the White House. China ultimately responded with tariffs of its own. Tensions escalated, with tariff rates hitting the triple digits, before a trade truce in May.