US tariffs will come into effect on August 1st
The president said most tariff transactions should take place by July 9th, but not valid until August 1st.
WASHINGTON – President Donald Trump revealed new tariff rates for five additional countries that will take effect on August 1 after announcing 25% tariffs on imports from Japan and South Korea earlier that day.
In a letter to each target country on July 7, Trump said he would impose a 25% tariff on goods from Malaysia and Kazakhstan, a 30% tariff on imports from South Africa, and a 40% tariff on Laos and Myanmar. New fees begin on August 1st.
In all, Trump is scheduled to announce a new tariff rate of 12 on July 7th. The 90-day suspension of higher tariff rates set for April is expected to end on July 9th. White House Press Secretary Carolyn Leavitt said dozens of more customs letters will be sent in the coming days.
“It’s the president’s privileges, and those are the countries he chose,” Leavitt said of the orders of his target countries.
So far, seven tariff announcements have caused the stock market to fall. Trump argues sudden tariffs are needed to rejuvenate US manufacturing in key sectors.
In each of his letters to the leaders of the affected country, Trump warns: “If you decide for any reason to raise tariffs, whatever number you choose to raise them, it will be added to the 25% we charge.”
The letter states that tariffs are “necessary to correct” the invisible trade deficit the United States has in their respective countries. The letter also says that there will be no customs duties on the country if it agrees to construction or manufacturing in the United States.
Businesses are currently paying the 10% universal US tariffs Trump has imposed on imports from around 180 countries. However, the “mutual” tariffs Trump originally imposed in early April have grown significantly, but are set to return on July 9th, shortly after a 90-day suspension amid a market turbulence.
Leavitt told reporters that Trump has signed an executive order “delaying the July 9 deadline until August 1,” and that these foreign leaders will be offered new fees with “getting out the door within next month.”
Trump’s new rate closely reflects the amount of delayed tariffs Trump announced in early April on what he called “liberation day.”
Separately, Trump on Monday warned that countries allied with BRICS economic groups, including Brazil, Russia, India, China and South Africa, would pay an additional 10% tariff, and that the policy had “no exceptions.”
When the Trump administration delayed tariffs on the “liberation day” to allow negotiations to continue with other countries, White House economic teams predicted that deals would come at a fierce speed. White House trade adviser Peter Navarro said the administration will reach 90 transactions in 90 days.
However, the administration is struggling to make progress in its pledge, securing only two trade deals so far — the UK and Vietnam — has reached a trading framework with China.
Levitt refused to acknowledge that the deal was difficult to negotiate at a briefing on July 7th for Trump’s punt to take effect on August 1st.
“No. This administration is doing its best for American workers, and it is recognized that for our workers we want the best possible deal for our manufacturing bases, for the middle class, and they are doing this deliberately and appropriately for the benefit of our country,” Leavitt said.
Reach Joey Garrison with X @joeygarrison.
