Trump slaps 25-40% tariffs on 7 nations, warns BRICS bloc of additional 10% tax

US President Donald Trump on Monday imposed a 25 per cent blanket tariff on imports from Japan, South Korea, South Africa, Malaysia and Kazakhstan, and 40 per cent on Myanmar and Laos.

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In another crucial development, the Trump administration extended the July 9 cut-off date for the imposition of tariffs worldwide to August 1. White House Press Secretary Karoline Leavitt said President Trump would sign an executive order to delay the Wednesday (July 9) deadline until August 1.

Leavitt said 12 letters on tariffs would be sent out Monday and more shall follow over the next few days.

Trump provided notice of the tariffs to the seven countries by posting letters addressed to their leaders on Truth Social. The letters warned the countries to not retaliate by increasing their own import taxes, or else the Trump administration would increase import taxes by as much the tariff-facing nations hiked, plus the amount announced by the US President today. Incidentally, the tariffs could damage the auto and electronics sectors of Japan and South Korea, two crucial partners for the US in countering China’s influence.

“If for any reason you decide to raise your tariffs, then, whatever the number you choose to raise them by, will be added onto the 25 per cent that we charge,” Trump wrote in the letters to Japanese Prime Minister Shigeru Ishiba and South Korean President Lee Jae-myung.

Meanwhile, the Trump administration refused to immediately impose a new 10 per cent tariff against members of the BRICS bloc, but said it would proceed if individual countries took the “so-called anti-American” policy actions.

In India, it is feared that a letter on tariffs was destined for New Delhi too as Trump was planning to send out letters to 18 countries that had maximum trade imbalance with the US. So far, issues remain unresolved between the two countries. India has drawn its red lines on contentious issues, particularly around agriculture and dairy. “Now, the ball is in the US court,” a news agency quoted an official, suggesting that further movement would depend on Washington’s response.

Speaking to reporters on Sunday, Trump confirmed that letters would start going out Monday midnight, with more expected on Tuesday and Wednesday. “Some deals have been made,” he said, “but letters are easier and faster.”

Back in February, India and the US had agreed to begin work on a full-fledged Bilateral Trade Agreement (BTA). While that is likely to take shape by September or October this year, the focus for now is on securing an interim pact to prevent immediate tariff pain and stabilise relations. Even amid rising trade friction, the US remains India’s top trading partner. In 2024-25, the two-way goods trade reached $131.84 billion, with India enjoying a surplus of $41.18 billion. The US has also invested over $70 billion in India since 2000, with major American firms active in sectors like IT, manufacturing and services.

The US is seeking tariff concessions on automobiles, electric vehicles, petrochemicals, wines, dairy and farm goods. India seeks lower US duties on labour-intensive exports like textiles, apparel, gems and jewellery, leather, chemicals, shrimp and horticulture.

On April 2, the US imposed a 26 per cent reciprocal tariff on Indian imports, but temporarily held off implementation for 90 days. With that pause ending on July 9, India is pushing for complete exemption from the hike.

Commerce Minister Piyush Goyal on Saturday reiterated that India would not rush into a deal based on artificial deadlines. “National interest should always be supreme,” he said, adding that India was open to deals that were balanced and comprehensive. The negotiating window until July 9 has led to announced deals only with the UK and Vietnam.