❓WHAT HAPPENED: President Donald J. Trump announced 25 percent tariffs on goods from South Korea and Japan, effective August 1, and tariffs of up to 40 percent on several other countries, mostly in Asia.
👤WHO WAS INVOLVED: President Trump, Japanese Prime Minister Shigeru Ishiba, South Korean leadership, South Africa, Burma (Myanmar), Laos, and others.
📍WHEN & WHERE: Announced on Monday via Truth Social; tariffs take effect on August 1.
💬KEY QUOTE: “We invite you to participate in the extraordinary Economy of the United States.” – Donald Trump
🎯IMPACT: The tariffs will increase pressure on Japan, South Korea, and the others to make concessions to the U.S., given the importance of the U.S. as an export market.
President Donald J. Trump has announced that the United States will impose 25 percent tariffs on goods from South Korea and Japan starting August 1. The announcement was made through letters to the leaders of both nations and posted on Truth Social. The tariffs will apply to all Japanese products entering the United States, separate from sectoral tariffs.
Later in the day, President Trump announced tariffs on additional countries. Malaysia, Kazakhstan, and Tunisia will face 25 percent tariffs, South Africa and Bosnia will face 30 percent, Indonesia faces 32 percent, Bangladesh and Serbia face 35 percent, Thailand and Cambodia face 36 percent, and Laos and Burma (Myanmar) face 40 percent. White House press secretary Karolin Leavitt explained, “It’s the President’s prerogative, and those are the countries he chose.”
Trump’s letters to the mostly Asian countries emphasized the importance of the trading relationship with the U.S. Trump invited them to participate in the U.S. economy, while stressing that the current balance of trade is unfair. The letters also warned that, should tariffs be raised on the U.S., punishing reciprocal measures will be added to the August 1 baseline rates.
The tariffs follow a 90-day pause on reciprocal tariffs, which had been set to expire on July 9. The later implementation date of August 1 gives businesses in both nations a brief window to adjust to the new trade conditions. It is also possible that the targeted countries, many of which depend heavily on exports, will now come to Trump with last-minute concessions.
President Trump’s tariff policies have already led to significant investments in U.S. manufacturing, and many nations, including the United Kingdom and Vietnam, have already reached deals with the U.S. to avoid heavier tariffs.
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