Again More Tariffs

TARIFF REINSTATEMENT

U.S. Treasury Secretary Scott Bessent announced that the tariffs that were suspended in April will be reinstated on August 1st for countries that have not yet reached a trade agreement with the United States.
“If you don’t move forward with a deal, then as of August 1st, you’re going back to the tariff levels of April 2nd,” he stated.

They don’t call it a threat, but… a warning. Letters will be sent in the coming days to trade partners, and the choice is theirs: either move forward now or start paying on August 1st. Naturally, the closer we get to the deadline, the more intense the pressure becomes.

What’s interesting is that Trump is trying to show he can “get things done” without needing Congress or lengthy procedures. He’s using tariffs as a direct pressure tool to quickly extract concessions.

Yesterday, it was revealed that at least seven countries will face high tariffs starting August 1st. These are Japan, South Korea, Malaysia, Kazakhstan, South Africa, Laos, and Myanmar.

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Specifically:

• Japan, South Korea, Malaysia, and Kazakhstan will face a 25% tariff,

• South Africa 30%,

• Laos and Myanmar 40%.

The letters sent to the leaders of these countries state that tariffs may be adjusted “based on the relationship” with the U.S. They also warn that if those countries retaliate by raising their own tariffs, the U.S. will increase its tariffs by the same amount.

TRUMP VS BRICS

But Donald Trump didn’t stop there.

In a new post on Truth Social, he warned that any country aligning itself with the “anti-American policies of the BRICS” will be hit with an additional 10% tariff — with no exceptions.

The BRICS responded with a joint statement condemning unilateral trade policies, without directly naming the U.S.

China, in particular, reacted strongly, emphasizing that tariffs should not be used as a tool of blackmail. Their response was clear: “Trade wars benefit no one.”

Behind all of this lies a deeper geopolitical game — the desire of BRICS to reduce the power of the dollar and build a new economic bloc independent of the West.

And this conflict isn’t just for politicians or diplomats. It affects all of us as investors because it impacts markets, the cost of goods, interest rates, and future corporate returns.

TRADE DEALS

Meanwhile, there are developments with two major trade players — Vietnam and India.

Trump announced a deal with Vietnam that significantly lowers tariffs on American products and allows U.S. goods to enter the country duty-free. This is a major step, opening the door to exports into a new market with a large population and a growing middle class.

With India, negotiations are ongoing but have stalled over U.S. agricultural products. India refuses to lower tariffs on genetically modified corn, soybeans, rice, and wheat. Negotiators on both sides are pushing hard, but it appears there’s still a long way to go before a deal is reached.

All signs point to the July 9th deadline being critical. If a deal is reached, it could serve as a model for new trade agreements that support the American export economy.

Posted Using INLEO