President Trump intensified his tariff threats on Tuesday, making it clear in a post on Truth Social that there will be no delays to his looming trade deadline.
“There has been no change to this date, and there will be no change,” Trump wrote. “In other words, all money will be due and payable starting AUGUST 1, 2025 – No extensions will be granted.”
The firm message followed a series of posts in which Trump shared warning letters sent to global leaders, including those in South Korea, Japan, South Africa, Malaysia, and Thailand. On Monday, he revealed 14 of those letters, outlining new tariffs ranging from 25% to 40%.
The escalating rhetoric reflects Trump’s unpredictable trade strategy. While his April announcement included a pause to allow time for negotiations, the U.S. has only finalized trade deals with the UK and Vietnam so far, along with a general framework agreement with China.
In response, China issued a sharp warning Tuesday, urging Trump not to reignite trade tensions and vowing retaliation against any country that joins U.S.-led efforts to bypass Chinese supply chains.
Last month’s U.S.-China framework was intended to cool trade friction, but many of its specifics remain unclear. Markets are now watching closely to see whether this fragile agreement can survive renewed threats of tariffs.
Here’s the latest on key trade relationships:
Vietnam: A new agreement will impose a 20% tariff on imports—lower than the 46% Trump had floated in April. However, goods transshipped through Vietnam from countries like China will face a 40% tariff.
European Union: The EU has tentatively agreed to a 10% universal tariff on many exports, though it is seeking sector-specific exemptions. Officials are aiming to finalize a deal by the end of the week.
Canada: Canada has eliminated its proposed digital services tax, which targeted U.S. tech giants. Trade negotiations have resumed, with both sides targeting a mid-July agreement.
Also on Tuesday, Trump announced a 50% tariff on U.S. copper imports, aligning it with existing duties on aluminum and steel. He also floated possible tariffs as high as 200% on pharmaceutical imports. Pharmaceutical stocks slipped following President Trump’s announcement that drug tariffs could soar as high as 200%.
On Tuesday, Trump revealed plans to introduce a new pharmaceutical tariff program “very soon,” allowing drug manufacturers a grace period to shift production to the U.S. before facing heavy tariffs.
“We’re going to give people about a year, year and a half to come in, and after that they’re going to be tariffed,” Trump said during a Cabinet meeting. “If they have to bring the pharmaceuticals into the country, … they’re going to be tariffed at a very high rate — like 200%.”
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