Trump extends the truce on reciprocal tariffs until August 1
The US president also threatens to impose a 10% tax on countries that collaborate with the BRICS.
WashingtonTwo days before the end of the 90-day truce on reciprocal tariffs, US President Donald Trump signed an executive order extending the pause until August 1. The extension affects all countries that enjoyed the exemption, while in the case of China, the parallel suspension established on May 12 after the initial meetings, in which tariffs were also reduced from 125% to 10%, remains in place.
Hours earlier, press secretary Karoline Leavitt announced that today the United States will only send letters to twelve countries to inform them of possible tariff increases, and that two of those affected are Japan and South Korea. According to European sources confirmed to Reuters, the EU does not expect to receive any letters from Washington this Monday. Leavitt said that they will continue to be sent in the coming days.
Trump has made the letters public through different posts on Truth Social, where he threatens the two Asian countries with 25% tariffs on their imports. "If for any reason you decide to raise your taxes, then whatever amount you apply, we will add 25% to what we are currently already applying," the text reads. For now, both South Korea and Japan have applied 10% due to the tariff truce, but initially the figures were 25% and 24%, respectively.
The Republican president said last Thursday that he wanted to start sending letters to the countries to inform them of the new tariffs on their exports to the United States, after long and complex negotiations. "It's a lot easier. We have over 170 countries. And how many deals can you make? You can get good deals, but they're a lot more complicated," Trump said of his letters. Later, the US leader said the new tariffs could range from 10% to 70%, with payment due by August 1.
Deadline for trading partners
On Sunday, Treasury Secretary Scott Bessent told CNN that the tone of the letters to be sent might not represent an immediate declaration of tariffs for dozens of countries. Instead, he explained that the letters would include a new deadline that trading partners will have to meet to reach an agreement with the United States and thus avoid the so-called reciprocal tariff duties originally announced in April. "President Trump will be sending letters to some of our trading partners saying, 'If you don't make progress, we will return to April 2 tariff levels on August 1st,'" Bessent said.
In a post on Truth Social on Monday, Trump also threatened to impose an additional 10% tariff on countries that cooperate with the BRICS nations (Brazil, Russia, India, China, and South Africa), after the group's leaders issued a unilateral statement on Sunday.
