Trump Administration Officially Sets August 1 Deadline for Tariff Hikes on 14 Nations

President Trump sends tariff warning letters to 14 countries, setting August 1 as the deadline to avoid steep import duties of up to 40%.

Trump Administration Officially Sets August 1 Deadline for Tariff Hikes on 14 Nations
Image Source: WOB

The Trump administration has formally launched a new phase of its trade policy by sending tariff warning letters to 14 countries. If no trade agreements are reached, tariffs ranging from 25% to 40% will take effect on August 1.

The move follows the expiration of a 90-day pause on a broad reciprocal tariff package initially announced in April. With few deals finalized, the White House is moving ahead with plans to impose higher duties on a wide range of imports—further escalating trade tensions and injecting new uncertainty into global supply chains.

Targeted Countries and Tariff Levels

Letters posted on July 7 confirm that the following countries are facing increased tariffs:

  • 40%: Laos, Myanmar
  • 36%: Cambodia, Thailand
  • 35%: Bangladesh, Serbia
  • 32%: Indonesia
  • 30%: South Africa, Bosnia
  • 25%: Tunisia, Malaysia, Kazakhstan, South Korea, Japan

President Trump’s letters emphasized that the U.S. will also impose additional duties on any country attempting to transship goods through other nations to circumvent these tariffs.

Some of these tariffs are slightly revised from the April 2 proposal. For instance, Cambodia’s rate was originally 49% and is now reduced to 36%. Malaysia and Japan both saw slight increases compared to the earlier announcement.

Pressure on U.S. Trading Partners

So far, only a handful of agreements have been reached, notably with the United Kingdom, Vietnam, and in part with China. Talks are ongoing with other nations, including Japan and South Korea, which are facing added pressure due to their high-volume exports to the U.S., especially in the automotive sector.

“Starting August 1, 2025, we will charge Japan a tariff of only 25% on any and all Japanese products sent into the United States,” Trump wrote to Japanese Prime Minister Shigeru Ishiba. He added that no tariffs would apply if companies move production to the U.S.

The administration also warned countries not to retaliate, threatening to raise tariffs further if they do. An additional 10% penalty was threatened for any nation “aligning with the anti-American policies of BRICS.”

Importers and logistics providers are bracing for renewed cost pressures. Maersk estimates that current U.S. containerized import tariffs already average 21%. A full implementation of the proposed rates could push average duties significantly higher, putting pressure on margins and pricing across sectors.

Legal challenges to the tariff policy are also unfolding. A federal court has temporarily upheld the administration’s authority under the International Emergency Economic Powers Act (IEEPA), but arguments are set to be heard on July 31.

Meanwhile, President Trump continues to invoke Section 232 of the Trade Expansion Act to apply sector-specific tariffs, including those on autos, steel, and aluminum.

Source: FreightWaves | SuppyChainDive | Transport Topics 1 | 2


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