Egypt Daily News – Former U.S. President Donald Trump has reignited global trade tensions by announcing sweeping new tariffs on a group of countries, including two of America’s top trading partners Japan and South Korea. In a series of official letters made public on Monday through Trump’s social media platform Truth Social, he informed the leaders of both nations that they will face 25% tariffs on certain imports starting August 1.
Trump stated that the move is a response to persistent trade imbalances, accusing both countries of maintaining policies that hinder U.S. exports. He urged them to manufacture goods within the United States to avoid the tariffs and warned that retaliatory tariffs from either country would result in even steeper U.S. duties, potentially exceeding 25%.
Shortly after, Trump expanded the list to include Malaysia, Kazakhstan, South Africa, Myanmar, and Laos, announcing similar letters to their governments with proposed tariffs reaching up to 40%. These measures come ahead of a self-imposed July 9 deadline for countries to negotiate trade agreements or face higher tariffs. However, White House spokesperson Caroline Leavitt said the deadline would be extended to August through an executive order that Trump plans to sign, citing it as being “in the best interest of the American people.”
Trump emphasized in his letters to Japan and South Korea that the 25% tariff figure is “much less than what is needed to close the trade deficit gap.” He stressed that companies from these countries could avoid tariffs by investing in U.S.-based manufacturing and assured that all necessary regulatory approvals would be processed efficiently.
The White House has remained tight-lipped about the full list of countries targeted, with Leavitt stating that about a dozen such letters would be released. The administration has only confirmed three trade deals in the past three months, despite what Leavitt described as a “flood of calls” from world leaders seeking negotiations.
Trade data underscores the imbalance Trump is targeting. In 2024, Japan and South Korea each exported around $280 billion worth of goods to the United States while importing only $145 billion combined in U.S. products. Key imports include cars, auto parts, semiconductors, pharmaceuticals, and machinery all of which could become more expensive for U.S. consumers under the new tariff regime.
Trump’s announcement had an immediate impact on financial markets. Shares of Japanese and South Korean automakers fell sharply, with Nissan stock dropping more than 7%, and Toyota and Honda losing around 4%. The Dow Jones Industrial Average also dropped 667 points (1.48%), while the S&P 500 and Nasdaq declined by 1.19% and 1.27%, respectively.
Trump concluded his message to the targeted countries with a tone that mixed firmness and diplomacy: “These tariffs may be adjusted up or down based on our relationship with your country. You will never be let down by the United States of America.”
While markets react and global leaders weigh their next moves, Trump’s tariff blitz marks a renewed and aggressive phase in his trade agenda, one that may reshape international commerce in the months ahead.
