Trump reignites the tariff storm: announces new tax rates in letters to multiple countries, effective August 1 and applicable to "all goods"
U.S. President Trump announced new tariffs on goods exported to the United States from more than a dozen countries, including Japan and South Korea, with rates effective from August 1, applicable to "all goods." Tariffs for some countries have been reduced, such as Cambodia from 49% to 36%. Countries without signed agreements will face punitive tariffs of up to 70%. The White House stated that this move prioritizes the interests of American workers
According to the Zhitong Finance APP, U.S. President Donald Trump has recently reignited global trade tensions. Over the weekend, he sent formal letters to leaders of more than a dozen countries, including Japan and South Korea, announcing new tariffs on goods exported to the U.S. from these countries. Under the latest plan, Japan, South Korea, Malaysia, Kazakhstan, and Tunisia will face an initial tariff of 25%, while Laos and Myanmar will see tariffs as high as 40%.
Although most of the tax rates are the same as those announced on April 2 this year during "Liberation Day," some countries have seen a reduction in rates. For example, Cambodia's tariff has been lowered from 49% to 36%, while the rates for Laos and Myanmar have been reduced from 48% and 44% to 40%, respectively.
Trump also plans to sign an executive order extending the previously set July 9 trade agreement deadline to August 1. White House Press Secretary Caroline Levitt stated, "This decision shows that this administration prioritizes the interests of American workers."
New tariffs effective August 1 apply to "all goods"
In a letter published on his social platform Truth Social, Trump stated that the new tariffs will officially take effect on August 1 and will apply to "all goods" exported to the U.S. from these countries, not just specific industry products.
It is worth noting that the existing 50% tariffs on steel and aluminum products under Section 232 will remain in place but will not be combined with the new tariffs. Additionally, several industry-specific tariffs are still under evaluation and have not yet officially taken effect.
The letter also pointed out that if the relevant countries impose tariffs on U.S. goods, the U.S. will retaliate with additional tariffs of the same magnitude.
Trump: Countries that do not sign agreements will face tariffs up to 70%
During the Independence Day long weekend, Trump stated that countries that do not reach trade agreements with the U.S. will face punitive tariffs of up to 70% starting in August. "I have signed the relevant letters, which will be sent out on Monday, probably about 12," he told reporters aboard Air Force One. On Sunday evening, he confirmed again that these letters would begin to be delivered starting Monday noon.
It is noteworthy that since Trump announced a 90-day suspension of the "reciprocal tariff" plan in April, only a few agreements have been reached, including a temporary framework agreement with China and trade agreements with the UK and Vietnam. The originally scheduled implementation date of July 9 has thus been postponed to August 1.
Additional pressure on BRICS countries: an extra 10% tariff
In addition to expanding the scope of tariffs, Trump has issued a strong warning to countries leaning towards "BRICS" policies. He stated that any country allied with the BRICS group and implementing "anti-American policies" will be subject to an additional 10% tariff.
Just this past weekend, BRICS leaders held a meeting in Brazil and criticized U.S. trade policies in a joint statement: "We express deep concern over the increase in unilateral tariffs and non-tariff barriers, which are severely distorting global trade." The statement also condemned the U.S. and Israel's military strikes against Iran
