Japan, Bangladesh, South Korea: 14 Countries Facing Trump's New Tariffs
US President Donald Trump reignited his trade war on Monday as he unveiled the first in a wave of promised letters that threaten to impose higher tariff rates on 14 trading partners, with the highest rate of 40 per cent imposed on Myanmar and the Lao People's Democratic Republic. The US leader, however, said he was still open to additional negotiations, indicating that he may be flexible on his new August 1 deadline to reach deals.
Trump also said that "for the most part," he was content to simply impose higher tariff rates, even as he indicated that he was continuing negotiations, including talks with India that could soon be wrapped up.
"We've made a deal with the United Kingdom, we've made a deal with China, we've made a deal - we're close to making a deal with India...Others we met with, we don't think we're going to be able to make a deal. So we just send them a letter," the Republican said.
List Of Countries Trump Sent Letters To
- Laos- 40 per cent tariffs
- Myanmar- 40 per cent tariffs
- Thailand- 36 per cent tariffs
- Cambodia - 36 per cent tariffs
- Bangladesh - 35 per cent tariffs
- Serbia - 35 per cent tariffs
- Indonesia - 32 per cent tariffs
- South Africa- 30 per cent tariffs
- Bosnia and Herzegovina- 30 per cent tariffs
- Malaysia- 25 per cent tariffs
- Tunisia- 25 per cent tariffs
- Japan- 25 per cent tariffs
- South Korea- 25 per cent tariffs
- Kazakhstan- 25 per cent tariffs
Trump Teases Deadline
Trump, however, teased the possibility of additional negotiations and delays, saying the August 1 deadline was "not 100 per cent firm", signalling he was open to continuing to tweak the rates.
"Maybe adjust a little bit, depending...We're not going to be unfair," Trump said, indicating he would look favourably on countries continuing to offer additional concessions.
The US has reached only two agreements so far, with Britain and Vietnam.
Trump Threatens More Tariffs
Trump also warned that any reprisal steps by trading partners would be met with a like-for-like response.
"If for any reason you decide to raise your Tariffs, then, whatever the number you choose to raise them by will be added onto the 25 per cent that we charge," he said in letters, released on his Truth Social platform, to Japan and South Korea.
The higher tariffs take effect August 1, and notably will not combine with previously announced sector tariffs such as those on automobiles and steel and aluminium. That means, for instance, that Japanese vehicle tariffs will remain at 25 per cent, rather than the existing 25 per cent auto sector tariff, climbing to 50 per cent with the new reciprocal rate -- as has occurred with some of Trump's tariffs earlier.
The rate for South Korea is the same as Trump initially announced, while the rate for Japan is 1 point higher than the one announced on April 2. A week later, he had capped all of the so-called reciprocal tariffs at 10 per cent until July 9.
The clock has been ticking for countries to conclude deals with the US after Trump unleashed a global trade war in April that has roiled financial markets and sent policymakers scrambling to protect their economies. Trading partners got another reprieve as Trump signed an executive order on Monday extending the Wednesday deadline for negotiations to August 1.
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