⚡ 1. **New 25% Tariffs on Japan and South Korea**
- Effective **August 1**, the U.S. will impose blanket 25% tariffs on all imports from Japan and South Korea .
- Japan's rate is **1% higher** than initially proposed in April, while South Korea's remains unchanged .
- Trump notified both countries via letters warning that retaliatory tariffs would trigger additional U.S. duties (e.g., if Japan/South Korea impose 10% tariffs, the U.S. would charge 35%) .
⚠️ 2. **Threat of Extra 10% Tariff on BRICS-Aligned Countries**
- Any nation supporting "anti-American policies" of the **BRICS alliance** (e.g., China, Russia, India, Iran, etc.) will face an additional 10% tariff .
- This targets recent BRICS critiques of U.S. trade policies and proposed IMF reforms .
💹 3. **Market Reactions**
- U.S. stocks (**Dow**, **S&P 500**, **Nasdaq**) fell ~1% following the announcements .
- **Japanese automakers** dropped sharply: Toyota (-4.1%), Honda (-3.8%), Nissan (-7.5%) .
- The **U.S. dollar surged** against the yen and South Korean won .
⏳ 4. **Deadline Extended to August 1**
- Trump delayed the original **July 9 deadline** for higher tariffs via an executive order, giving countries 3 more weeks to negotiate deals .
- Approximately **12 more countries** (e.g., Malaysia, Kazakhstan, South Africa) will receive tariff letters this week .
🤝 5. **Limited Trade Deals Finalized**
- Only **four agreements** are confirmed so far:
- **UK**: Reduced tariffs on cars (10%) and aerospace goods (0%) .
- **Vietnam**: 20% tariffs on Vietnamese goods; 40% on transshipped items .
- **China**: Partial deal lowering some tariffs from 145% to 30% .
- The **EU** is negotiating to maintain 10% tariffs but has not yet secured a deal .
🌍 6. **Global Economic Impact**
- **India's steel/foundry sector** is already suffering from earlier U.S. tariffs, with 30% order cancellations and job cuts .
- **BRICS nations** condemned U.S. tariffs as a threat to global trade .
- **U.S. trade deficits** with Japan ($68.5B) and South Korea ($66B) were cited as justification for the tariffs .
💎 Key Takeaway
These tariffs aim to force concessions from trading partners but risk escalating global trade tensions and economic uncertainty. Further updates are expected as the August 1 deadline approaches.