Trump imposes new tariffs on seven countries starting August

Trump announces 25-40% tariffs on imports from seven countries starting August 1, amid ongoing trade deficit concerns.

President Donald Trump has announced significant tariffs on imports from seven countries, effective August 1. The affected countries include Japan, South Korea, Malaysia, Kazakhstan, South Africa, Laos, and Myanmar.

Imports from Japan, South Korea, Malaysia, and Kazakhstan will face a 25% tariff, while South African goods will incur a 30% duty.

Laos and Myanmar imports are subject to a 40% tariff. These measures were detailed in letters Trump shared on social media with the leaders of the respective countries. The U.S. may adjust these tariffs based on diplomatic relations, according to Trump’s statements.

This announcement precedes the scheduled reinstatement of reciprocal tariffs, set to revert to higher levels.

White House Press Secretary Karoline Leavitt

Letters dispatched

White House press secretary Karoline Leavitt indicated that 14 letters would be dispatched, delaying the Wednesday deadline to August 1. Following the tariff announcement, U.S. financial markets dropped, with the Dow Jones Industrial Average declining by 637 points.

The announced rates generally align with tariffs previously imposed in April.

Despite claims of correcting trade deficits, some countries do not have large trade surpluses with the U.S. U.S. deficits for 2024 included $68.5 billion with Japan and $66 billion with South Korea, while Myanmar had a much smaller deficit.

The letters also warned against retaliatory tariffs from these nations, stating any increase from them would be added to the announced U.S. tariff rates. The Trump administration’s prior three-month tariff pause was intended to facilitate trade negotiations, though few concrete agreements have been finalised.

The legality of these tariffs is currently under review following a court decision against them in May.