#TrumpTariffs ⚖️ Procrastination of Deadline Tariffs: Impact & Biden's Strategy?

ON July 6, 2025, U.S. Secretary of Commerce Howard Lutnick announced that new tariffs announced by the Trump administration would take effect on August 1, 2025, rather than July 9 as originally planned. President Trump previously set a base tariff of 10%, with a potential increase to 50%.

🕒 "Letter" Diplomacy Strategy

According to Treasury Secretary Scott Bessent, the government will send warning letters to about 100 small countries, notifying them of the potential increase of tariffs to the initial figures announced on April 2—between 10% and 50%—if there is no progress in trade negotiations.

This letter is considered a tool of diplomatic pressure, effectively forcing those countries to expedite talks, while Trump stated that several countries—including the UK, Vietnam, and China—have already signed preliminary agreements.

🎯 New Target: BRICS

Trump also threatened to impose an additional 10% tariff on countries that support BRICS policies, which he considers "anti-American," particularly those attempting to undermine the dominance of the U.S. dollar. This statement came before the July 9 deadline and amid the BRICS summit in Brazil.

📉 Global Response & Inflation Risks

The European Union is engaged in intensive negotiations to avoid tariffs of up to 50%, with Ursula von der Leyen reportedly having positive discussions with Trump.

Warnings have come from analysts that high tariffs could increase costs for medium-sized companies and drive domestic inflation in the U.S. Federal Reserve Chair Jerome Powell emphasized that these costs are likely to be passed on to consumers.