U.S. President Donald Trump said the U.S. would impose a 15% tariff on imports from South Korea, one of many such measures announced on Friday’s deadline, requiring it to impose such taxes.
Trump sets August 1 deadline for Canada to reach a trade deal and threatens to impose 35% tariff About products that are not in compliance with the Canadian-US Mexico Agreement (CUSMA).
Under Trump’s emergency powers, this rate will apply to Canadian exports currently under tariffs, citing what he calls a national security threat to fentanyl trafficking.
He also signed an executive order to impose a 40% tariff on Brazil’s exports, bringing the country’s total tariff to 50% but with many obvious exemptions.
He also threatened to impose a 25% tariff on goods imported from India starting August 1.
Here are the key developments:
South Korea
Trump said the U.S. would impose a 15% tariff on South Korea’s import tax rate, including cars, as part of the trade agreement.
He also said South Korea will accept U.S. products, including automobiles and agriculture, in its markets, and does not impose import tariffs on them.
The United States agreed that South Korean companies would not be at a disadvantage due to upcoming tariffs on chip and pharmaceutical products compared to other countries, while retaining 50% of steel and aluminum tariffs.
U.S. President Donald Trump sent letters to governments around the world on Monday outlining the tariffs he will impose on August 1. Recipients include Japan, South Korea and South Africa. The deadline for Canada to reach a deal with the United States on July 21 still appears to be there.
Trump said South Korea will invest $350 billion in the United States to a project “owned and controlled by the United States” and will be chosen by Trump.
South Korea said it has designated $150 billion for shipbuilding cooperation, while investment in chip, battery, biotechnology and nuclear energy cooperation will have the remaining $200 billion.
Trump said South Korea will buy $100 billion worth of liquefied natural gas or other energy products, which Asian countries say means a slight transfer of energy imports from the Middle East over the next four years.
Brazil
Trump has charged 50% tariffs on most Brazilian goods to fight former President Jair Bolsonaro with what he calls “witch hunting” but mitigated the blow by removing hazards from sectors such as aircraft, energy and orange juice.
The new tariffs will come into effect on August 6.
General exemptions also apply to donations designed to alleviate human suffering, such as food, clothing, medicine, and publications, films, music and artworks.
India
Trump said on Wednesday that the U.S. will still announce a 25% tariff on goods imported from the country on Friday, but the U.S. is still in trade negotiations with India.
India has resisted the U.S. demand to open its agricultural and dairy markets, saying the move would hurt millions of poor farmers. New Delhi has traditionally excluded agriculture from free trade agreements to protect domestic livelihoods.
According to the White House fact sheet, India imposes a 39% tariff on the average MFN (the most popular country) of imported agricultural commodities, compared with 5% in the United States, with some as high as 50%.
Washington is pushing for better access to Indian markets of agriculture, ethanol, dairy, alcoholic beverages, automobiles, pharmaceuticals and medical equipment.
