U.S. President Trump states progress in trade negotiations after tariff postponement
In a series of announcements, the U.S. government has revealed plans to implement a new tariff policy that targets countries perceived to be aligned with the "anti-American policies" of the BRICS nations. The policy, announced by President Donald Trump, will see an additional 10% tariff imposed on goods from nations supporting BRICS policies viewed as contrary to U.S. interests.
The base tariff rate of 10% on goods from most countries, initially announced in April, will also remain in effect. Moreover, if countries fail to reach trade agreements with the U.S. by the August 1 deadline, tariffs could rise as high as 50%.
Treasury Secretary Steven Mnuchin expects several big trade deals to be announced in the coming days, with the U.S. actively negotiating to avoid the highest tariff rates. Deals with some countries, such as the UK and Vietnam, have already been announced, while negotiations continue with others, including China and India.
Commerce Secretary Howard Lutnick confirmed that the higher tariffs will take effect on August 1, with letters notifying countries about rate changes being sent out starting July 7. The new date gives countries a three-week reprieve before the higher tariff rates take effect.
The BRICS leaders, representing Brazil, China, India, Russia, and South Africa, have called for reforms in global institutions and condemned attacks on Gaza and Iran. They have also warned that increased tariffs threaten global trade. The first BRICS summit was held in 2009, and Egypt, Ethiopia, Indonesia, Iran, Saudi Arabia, and the United Arab Emirates (UAE) were added to the group last year.
Kevin Hassett, head of the National Economic Council, suggests room for maneuver for countries that engage in serious negotiations. He noted that there may be some flexibility in the deadlines for trade deals. If negotiations do not progress, however, Trump may reapply tariffs to their April level.
This tariff strategy signals intensified U.S. pressure to reshape global trade relations and push countries away from BRICS alignment unless agreements favorable to the U.S. are reached. The policy is part of Trump's broader efforts to assert U.S. dominance in global trade and protect domestic industries.
[1] Source: White House Press Release [2] Source: U.S. Department of Commerce Press Release [3] Source: President Trump's Truth Social Post [4] Source: Treasury Secretary Scott Bessent's Statement to Congress
- The announcement by President Donald Trump about a new tariff policy targets countries supporting BRICS policies viewed as contrary to U.S. interests, and this policy is part of Trump's broader efforts to assert U.S. dominance in global trade and protect domestic industries.
- Treasury Secretary Steven Mnuchin anticipates several big trade deals will be announced in the coming days, and these deals are expected to help countries avoid the highest tariff rates under the new policy-and-legislation, which includes the general-news of increased tariffs on goods from nations seen as aligned with the anti-American policies of the BRICS nations.
