Tariffs

Brazilian President Luiz Inácio Lula da Silva harshly criticized Donald Trump's threat of imposing new tariffs during the BRICS summit in Rio, declaring: “The world has changed. We don't want an emperor.”
Lula, alongside other BRICS leaders — from Brazil, Russia, India, China, and South Africa — stood firmly against U.S. economic pressure. Representatives of these emerging economies presented a united front, stating clearly that they intend to shape global trade on their own terms, beyond the dominance of the U.S. dollar.

Trump Threatens Tariffs, BRICS Responds with Diplomacy
Trump's warning came late Sunday evening, just days before a July 9 deadline for implementing so-called “retaliatory tariffs.” According to U.S. officials, these measures would target countries deemed hostile to American interests.
Though Washington has yet to implement the additional 10% import tax on BRICS nations, Lula and others argued that such threats undermine the credibility of U.S. trade policy. Lula reminded the world that BRICS is a coalition of countries striving for a more balanced and fair global order.

BRICS Calls for a Gradual Shift Away from the Dollar
The Brazilian president reiterated the need to reduce reliance on the dollar in international trade. “The world must find a way for our trade relations not to be mediated by the dollar,” he said, adding that any transition must be gradual and coordinated by central banks until new agreements are secured.
South African President Cyril Ramaphosa added that BRICS is not trying to isolate the U.S., but rather pursue fair trade. He suggested a trade deal between the U.S. and South Africa is still possible.

China and Russia Support BRICS as a Counterbalance to Unilateralism
Chinese Foreign Ministry spokesperson Mao Ning warned that tariffs should not be used as tools of coercion. She emphasized that BRICS promotes mutually beneficial cooperation and is not aimed at any specific nation. The Kremlin echoed this sentiment, stating that Russia’s work within BRICS is based on a shared global vision and “will never target third countries.”
India remained silent on Trump’s threats, but Indonesian Economy Minister Airlangga Hartarto traveled to Washington to discuss trade. Malaysia, which benefited from a recently canceled 24% tariff, maintained its economic independence and avoided ideological alignment.

BRICS as an Alternative to G7 and G20
The BRICS summit unfolded against a backdrop of worsening relations among global powers and rising trade barriers. In a joint statement on Sunday, BRICS leaders condemned recent bombings in Iran and warned that escalating tariffs threaten global trade stability — a veiled criticism of U.S. policy.
BRICS was founded in 2009 and later expanded to include South Africa (2010), Egypt, Ethiopia, Iran, the United Arab Emirates, and other partners. Saudi Arabia holds observer status, while more than 30 countries have expressed interest in full or associate membership.

What Comes Next?
Trump’s trade strategy, built on pressure and reciprocal tariffs, faces increasing global resistance. Meanwhile, BRICS continues to solidify its role as a key force in the Global South. Whether this turns into a trade war or finds a diplomatic resolution will become clear in the coming weeks.

#BRICS , #TRUMP , #Tariffs , #TradeWars , #Geopolitics

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🔹 The United States will impose new import tariffs starting August 1, according to official letters sent by President Donald Trump to leaders of 14 countries. Despite the harsh tone, Trump described the move as a step toward “strong friendship.”

🔹 The letters, published via Truth Social, come just days before the expiration of a deadline that would otherwise reinstate previous maximum tariff levels. Trump also plans to issue an executive order extending this deadline to August 1.

✉️ Which Countries Received the Letters?
According to ten separate posts reviewed on Truth Social, the letters were sent to:
🔹 Japan

🔹 South Korea

🔹 Malaysia

🔹 Kazakhstan

🔹 South Africa

🔹 Laos

🔹 Myanmar

🔹 Bosnia and Herzegovina

🔹 Tunisia

🔹 Indonesia

🔹 Bangladesh

🔹 Serbia

🔹 Cambodia

🔹 Thailand

💰 Tariffs by Country – Up to 40%
Each letter outlined specific tariff rates:
🔹 25%: Japan, South Korea, Malaysia, Kazakhstan, Tunisia

🔹 30%: South Africa, Bosnia

🔹 32%: Indonesia

🔹 35%: Bangladesh, Serbia

🔹 36%: Cambodia, Thailand

🔹 40%: Laos, Myanmar

Trump warned: “If for any reason you choose to raise tariffs, whatever amount you raise will be added to the 25% we charge.” He also emphasized that “goods rerouted to bypass higher tariffs will still be taxed accordingly.”
The letters clarified that these tariffs are separate from industry-specific duties, and the White House confirmed that an executive order will delay the original July deadline to August 1, giving affected countries a short extension.

📉 Markets React with a Decline
Financial markets responded negatively:
🔹 Dow Jones: –422.17 points (closed at 44,406.36)

🔹 S&P 500: –0.79% (closed at 6,229.98)

🔹 Nasdaq Composite: –0.92% (closed at 20,412.52)
Trump’s spokeswoman Karoline Leavitt confirmed that more letters are expected. She also referenced the earlier “pause” on April 9, when Trump temporarily lowered all tariffs to 10%. That 90-day pause was due to expire this week but has now been extended by over three weeks.

📦 What Do These Countries Export to the US?
🔹 Japan & South Korea: Cars, electronics, machinery

🔹 Kazakhstan: Oil, metal alloys

🔹 Malaysia: Electronic components

🔹 South Africa: Precious metals

🔹 Laos: Optical fibers, glasses, apparel

🔹 Myanmar: Mattresses, bedding

📊 Why Is Trump Imposing Tariffs?
Trump claims the U.S. trade deficit is the root issue and that tariffs are necessary to fix a “persistent imbalance.” For example, in 2024:
🔹 Japan had a deficit of $68.5 billion

🔹 South Korea had a deficit of $66 billion

🔹 Myanmar’s was much smaller at $579.3 million

He noted the tariffs can be adjusted depending on the behavior of each country. The letters stated that if these nations remove “tariff and non-tariff policies and trade barriers,” the U.S. “may consider adjusting the letter.”
Trump added: “These tariffs may be adjusted—either up or down—depending on our relationship with your country.” Each letter ended with the phrase: “You will never be disappointed by the United States of America.”

📝 Agreements in the Works, but No Major Deals Yet
Trump’s team previously promised 90 trade deals in 90 days after announcing the reciprocal tariff suspension. So far, only vague frameworks with the UK, Vietnam, and a pending deal with China have been mentioned.
For example, the Vietnam deal includes:
🔹 A 20% tariff on Vietnamese exports to the U.S.

🔹 40% tariffs on goods rerouted through Vietnam

🔹 U.S. exporters gain duty-free access to Vietnamese markets

⚖️ Legal Hurdles Remain
One major legal issue still looms: In May, a U.S. federal district court ruled that Trump lacks the legal authority to impose broad tariffs under the emergency powers law he cited.

That ruling threatened the entire framework. However, Trump’s administration appealed, and a federal appeals court allowed the tariffs to remain in place while the appeal is pending.

#TRUMP , #Tariffs , #TradeWars , #globaleconomy , #Geopolitics

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The U.S. government is preparing a major trade move. According to Treasury Secretary Scott Bessent, official letters outlining proposed new tariffs will be sent out within the next 48 hours. The goal is to finalize new trade deals with key partners by Wednesday.
Speaking to CNBC, Bessent emphasized that the letters will not be ultimatums. Instead, he framed them as invitations for fresh negotiations. “We’re not threatening — we’re setting new terms,” he explained. “It’s simple: here’s the rate, and if you don’t want to negotiate, this is what you get.”

Not Ultimatums, but Room for Talks
President Donald Trump confirmed that the letters will start going out Monday at 12 p.m. ET. These documents will specify proposed tariff rates but also leave space for countries to renegotiate terms.
So far, only two agreements have been finalized — with the United Kingdom and Vietnam. Negotiations with other countries are still ongoing, and the U.S. is pressing for comprehensive deals or high tariffs in return.

Japan and South Korea Top the Tariff List
Trump posted on social media that Japan and South Korea will both face a 25% tariff starting August 1. Japan’s rate is one percentage point higher than what was proposed in April, while South Korea’s remains unchanged. Trump also noted that if any country raises its tariffs, the U.S. will match the increase by adding that percentage on top of the existing 25%.
Vietnam has already agreed to a revised deal, lowering its proposed tariff from 46% to 20%. However, the U.S. will apply a 40% tariff on goods that are rerouted through Vietnam to third countries, such as China.

More Countries, Some Exceptions
Other countries — including Malaysia, Kazakhstan, Laos, Myanmar, and South Africa — will face tariffs ranging from 25% to 40%. For example, Malaysia now faces 25%, Kazakhstan was reduced from 27% to 25%, and South Africa is set at 30%. Trump reiterated that countries supporting the BRICS agenda against U.S. interests will face an additional 10% tariff. “No exceptions,” he wrote.
The European Union is considering a broad 10% tariff on most exports, with exemptions for certain industries, though final terms have not yet been confirmed.

Tensions With China Appear to Ease
Tensions with China seem to be easing. The U.S. has relaxed some export controls, including on chip design software and ethanol. Bessent also mentioned he plans to meet with his Chinese counterpart in the coming weeks.
Commerce Secretary Howard Lutnick, who stood alongside Trump at a recent event, confirmed that although most deals should be finalized by July 9, the tariffs will not take effect before August 1. The administration is using this window to wrap up talks and send final notices.

Objective: Restore Balance and U.S. Influence
The White House sees the upcoming measures as essential for restoring trade balance and reinforcing American influence globally. Trump said on Sunday that most countries will receive “either a deal or a letter” by July 9.

#usa , #TradeWars , #TRUMP , #Tariffs , #Geopolitics

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,,The information and views presented in this article are intended solely for educational purposes and should not be taken as investment advice in any situation. The content of these pages should not be regarded as financial, investment, or any other form of advice. We caution that investing in cryptocurrencies can be risky and may lead to financial losses.“