President Trump said on Monday that the US would impose 25% tariffs on goods from South Korea and Japan by August 1, while by next month, a dozen other countries would also threaten to hit the standing imports with duties.
Mr. Trump Initially Posted Two almost equal letters, Japanese Prime Minister Shigeru Ishiba and South Korean President Li J-Mung were addressed by underlining the new tariff on his true social media platform. The 90-day freeze on country-specific American tariffs on dozens of countries including Japan and South Korea is scheduled to end on 9 July.
Mr. Trump announced separate tariffs on additional 12 business partners on Monday afternoon. Myanmar and Laos are facing a 40% tariff rate, threatening to deploy America the most of the new US Levies. Thailand and Cambodia face a potential tariff of 36%, while Mr. Trump announced a lower tariff of 35% on both Bangladesh and Serbia.
Indonesia is the only country facing a possible tariff rate of 32%. The imports from South Africa and Bosnia and Herjegovina will be subject to 30% of duties by August 1, while goods from Malaysia, Kazakhstan and Tunisia will be taxed at 25%, Mr. Trump said in letters posted on the truth social.
White House Press Secretary Karolin Lewitt said during a media briefing on Monday that Mr. Trump is ready to signed an executive order by expanding the July 9 tariff freeze. Levitt said that the order “on August 1 August delays the mutual tariff rate, or these new rates to these foreign leaders in this correspondence.
Lewitt also said that Mr. Trump was planning to send tariff letters to “about 12 other countries”, giving him information about new American levy on his goods. He did not indicate when the notice would be sent out, but said that Mr. Trump would post him on the truth “so that you can enjoy them.”
He said Trump is expected to announce more deals with American trade partners before the start of August.
Mr. Trump included the same language in each letter, which informs recipients that notice “shows the strength and commitment of our business relations,” and “We invite you to participate in the United States extraordinary economy.”
25% of tariffs on South Korea and Japan are corresponding to the so-called “mutual” rates, Mr. Trump announced when he unveiled country-specific duties on 2 April. At that time, the Trump administration said it would implement 24% and 25% tariffs on imports from Japan and South Korea respectively.
25% tariff will reduce business
The co-director of the Center for International Law at New York Law School, Trade Policy Expert Barry Apple told CBS Manivatch that Monday’s announcements are “only indications that they are paying full entry price to reach the US market.”
“At 25%, this is possible, but is challenging to trade with Japan and Korea. This rate was carefully determined in the high side of the spectrum. Briefly trade with the US is now a salary to play a proposal for Japan, Korea and there is a possibility of others,” he said.
Appleton said that the country-specific rates announced on Monday did not say well for other countries to deal with the US, including the European Union countries, Canada and the US.
Economists have warned that wider American tariffs on business partners may compete with inflation and obstruct economic growth, while global financial markets have overshadowed the possibility of much higher trading costs.
Trump administration officials have said that American tariffs can ensure proper global trade by promoting the American manufacturing sector.
