Trump imposes new tariffs on 14 countries starting August 1

July 09, 2025 (MLN): In a sweeping escalation of his trade war strategy, U.S. President Donald Trump unveiled steep new tariffs on imports from at least 14 countries, set to take effect on August 1.

The move, revealed through a series of form letters posted on Trump’s Truth Social platform, targets a wide range of trading partners both major and minor.

The letters, addressed to the leaders of countries including Japan, South Korea, Malaysia, Kazakhstan, South Africa, Laos, and Myanmar, outlined the imposition of a 25% blanket tariff on U.S. imports from several of these nations.

South Africa and Bosnia will face 30% duties, Indonesia 32%, Serbia and Bangladesh 35%, Cambodia and Thailand 36%, while imports from Laos and Myanmar are set to be hit with a 40% tariff.

Later in the day, Trump posted letters to seven additional countries—Bosnia and Herzegovina, Tunisia, Indonesia, Bangladesh, Serbia, Cambodia, and Thailand—bringing the total number of nations targeted to 14.

While Trump suggested that the tariffs could be revised “depending on our relationship with your Country,” the letters also carried a firm warning, as CNBC reported.

Any retaliatory measures, they stated, would be matched by the U.S.: “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.”

The letters also took aim at trade transshipment practices, warning that any goods routed through third countries to evade tariffs would still be subject to higher duties.

The blanket tariff measures are separate from the sector-specific levies already imposed, such as those on automobiles, steel, and aluminum.

Trump justified the tariffs as a corrective step to address persistent U.S. trade deficits with the targeted nations.

In 2024, the U.S. recorded a $68.5 billion goods deficit with Japan and a $66bn deficit with South Korea.

However, deficits with smaller economies like Myanmar were considerably lower, at $579.3 million.

Imports from these countries include a broad range of goods: Japan and South Korea supply cars, electronics, and machinery; Kazakhstan exports crude oil and metal alloys; Malaysia sells electronic components; and South Africa exports precious metals.

Imports from Laos consist of clothing and optical goods, while Myanmar’s key exports include mattresses and bedding.

The latest move follows Trump’s announcement of “Liberation Day” tariffs on April 2, under which countries like Japan faced a 24% tariff and South Korea 25%.

However, a 90-day pause was implemented on April 9, reducing all tariffs to a flat 10%.

That pause was due to expire this week, but Trump signed an executive order Monday delaying the full tariff implementation until August 1.

Markets reacted swiftly to the announcement.

The Dow Jones Industrial Average dropped 422.17 points (0.94%) to close at 44,406.36.

The S&P 500 declined 0.79% to 6,229.98, while the Nasdaq Composite fell 0.92% to 20,412.52.

Despite legal hurdles such as a federal court ruling in May striking down Trump’s tariffs under emergency-powers law his administration appealed the decision, allowing the tariffs to remain in effect during review.

Meanwhile, Trump has claimed partial progress on trade deals, citing a preliminary agreement with China and broad frameworks with the UK and Vietnam.

The Vietnam deal reportedly imposes a 20% tariff on Vietnamese goods entering the U.S., and a 40% duty on transshipped items, while offering tariff-free U.S. access to Vietnam’s markets.

Countries targeted by the new tariffs are scrambling to respond.

Japan’s Prime Minister Shigeru Ishiba said negotiations were ongoing and that the U.S. had left room for revisions.

South Korea saw the delay as a chance to intensify talks. Malaysia emphasized dialogue as the best approach, while Indonesia confirmed it would send a top negotiator to Washington.

Thailand expressed optimism about securing a competitive rate. Bangladesh, heavily reliant on U.S. garment exports, warned of serious industry impact.

South African President Cyril Ramaphosa criticized the 30% tariff as unjustified, citing that 77% of U.S. goods already face no tariffs in South Africa.

His spokesperson confirmed that diplomatic efforts would continue.

White House press secretary Karoline Leavitt confirmed that more tariff letters would be issued in the coming days, while Trump maintained that the August 1 deadline is “firm, but not 100% firm,” signaling potential flexibility if negotiations progress.

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