After some delays, President Trump’s much-anticipated global tariffs are set to be implemented by the end of this week.
On April 2, Trump introduced “mutual” tariffs intended to leverage trade deficits when calculating rates across numerous countries. However, a week later, he reduced these rates to 10% for an initial three-month period, likely due to a negative market response and to allow time for negotiations.
The tariffs are scheduled to go into effect on August 1, especially as the 90-day negotiation window wraps up this month.
The White House has managed to secure several significant trade agreements since Trump’s drastic tariff announcements in the spring.
Recently, Trump disclosed a trade deal with the European Union that sets tariffs at 15% on EU goods, including automobiles. As part of this arrangement, the EU is set to purchase $750 billion in energy from the U.S. and invest over $600 billion in various other products.
Additionally, a deal with Japan has established a 15% tariff on Japanese imports. Trump also mentioned that Japan would invest $550 billion in U.S. projects and open up its market for U.S. cars, rice, and agricultural products.
Last week, Trump stated that the Philippines has agreed to reduce tariffs on U.S. exports from 20% to 19%. This follows his earlier warning that rates might increase to 20% after he fulfilled a 17% import obligation in April.
Indonesia is also on board, with a 19% tariff rate on imports established in a separate agreement.
In early May, a notable agreement with the UK was reached, representing the first substantial deal since the announcement of the sweeping tariffs in April. This contract set tariffs at 10%, reduced from 25%, allowing the UK to export 100,000 cars to the U.S. at that rate—a positive outcome for the UK automotive sector. Trump and UK Prime Minister Kiel Starmer are expected to discuss this deal’s implementation during their meeting in Scotland on Monday.
At the end of May, the U.S. and China revealed the framework for temporarily easing tensions in their trade relations. The U.S. cut tariff rates from 145% to 30%, while China reduced its rates from 125% to 10%.
In addition, Treasury Secretary Scott Bescent and Chinese Deputy Prime Minister Lifeeng are set to have discussions this coming Monday, with reports indicating that China plans to eliminate 20% tariffs on fentanyl-related products. Nevertheless, both nations will maintain a baseline tariff of 10%.
This month, the White House sent out numerous letters informing concerned parties about the upcoming tariff rates, scheduled for August 1.
While Trump has insisted there will be no further extensions on the deadline, Commerce Secretary Howard Lutnick expressed that discussions might continue even after the tariffs take effect.
For those countries yet to finalize agreements with the U.S., here are the expected tariff rates effective from August 1:
- Canada: 35%
- Mexico: 30%
- South Korea: 25%
- South Africa: 30%
- Kazakhstan: 25%
- Laos: 40%
- Malaysia: 25%
- Myanmar: 40%
- Tunisia: 25%
- Bosnia and Herzegovina: 30%
- Bangladesh: 35%
- Serbia: 35%
- Cambodia: 36%
- Thailand: 36%
- Libya: 30%
- Iraq: 30%
- Algeria: 30%
- Moldova: 25%
- Brunei: 25%
- Sri Lanka: 30%
- Brazil: 50%
