Trump Pushes Tariff Hike to August; New Rates for Some Countries
Japanese Prime Minister Shigeru Ishiba has responded to a letter from US President Donald Trump alerting Tokyo that higher import duties are imminent unless a new trade agreement is reached.
Ishiba said on Tuesday that he will continue tariff negotiations with the US to work out a deal that works for both partners.
Trump had warned that letters were being sent out on Monday, alerting other nations to the latest plans in his trade war.
He then added that US would impose a 25% tariff on imports from two of its closest allies, Japan and South Korea starting on August 1, apparently unveiling the first two trading partners to receive a "letter."
"If, for any reason, you decide to raise your tariffs, then, whatever the number you choose to raise them by, will be added on to the 25% that we charge," Trump told Japan and South Korea in letters released on his Truth Social platform.
These tariffs will not be combined with the previously announced sectoral tariffs, such as the ones on automobiles and steel and aluminum.
Negotiations to continue
Asian markets seemed to have taken the announcement in their stride but Wall Street was affected, with the S&P 500 Index taking a dip.
"While the news is disappointing, it does not mean the game is over," former US trade negotiator Wendy Cutler, the vice president of the Asia Society Policy Institute told Reuters news agency.
In April, Trump announced a 90-day pause, until July 9, on tariffs ranging from 10% to 50% on dozens of countries, including most major trading partners.
US Treasury Secretary Scott Bessent earlier said the August target is "not a new deadline" for negotiations.
Ishiba said his earlier talks with Trump had helped avoid an even higher tariff rate of around 30-35%.
He said he will seek an agreement that benefits both nations, "while protecting Japan's national
interest."
Who else got the letter
Trump said the US will impose tariffs of 25% on exports from Tunisia, Malaysia and Kazakhstan, with 30% on South Africa, Bosnia and Herzegovina.
He announced even higher tariffs of 32% on Indonesia, 35% on Serbia and Bangladesh, 36% on Cambodia and Thailand and 40% on Laos and Myanmar.
South Africa was also one of the recipients of Trump's letter and was imposed with a 30% reciprocal tariff. President Cyril Ramaphosa said on X that "it is not an accurate representation of available trade data."
PRESIDENT RAMAPHOSA RESPONDS TO US TARIFFS ANNOUNCEMENT
President @CyrilRamaphosa has noted the correspondence from President Donald Trump on the unilateral imposition of a 30% trade tariff against South Africa. The President has further noted that South Africa is one of a…
— The Presidency 🇿🇦 (@PresidencyZA) July 8, 2025
This story was originally published on DW.
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