United States President Donald Trump is set to impose 25 percent tariffs on two key US allies, Japan and South Korea, beginning on August 1 as the administration’s self-imposed deadline for trade agreements of July 9 nears without a deal in place.
On Monday, the Trump administration said this in the first of 12 letters to key US trade partners regarding the new levies they face.
In near-identically worded letters to the Japanese and South Korean leaders, the US president said the trade relationship was “unfortunately, far from Reciprocal”.
Japan’s Prime Minister Shigeru Ishiba has said that he “won’t easily compromise” in trade talks with the Trump administration.
The US imports nearly twice as much from Japan as it exports to the country, according to US Census Bureau data.
Currently, both Japan and South Korea have a 10 percent levy in place, the same as almost all US trading partners. But Trump said he was ready to lower the new levels if the two countries changed their trade policies.
“We will, perhaps, consider an adjustment to this letter,” he said in letters to the two Asian countries’ leaders that he posted on his Truth Social platform. “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% that we charge.”
Trump also announced the US will impose 25 percent tariffs each on Malaysia and Kazakhstan, 30 percent on South Africa and 40 percent each on Laos and Myanmar.
US Treasury Secretary Scott Bessent said earlier on Monday that he expected several trade announcements to be made in the next 48 hours, adding that his inbox was full of last-ditch offers from countries to clinch a tariff deal by the deadline. Bessent did not say which countries could get deals and what they might contain.
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