U.S. Gives Notice of Sweeping Tariff Hikes on August 1 Amid Stalled Trade Talks

U.S. plans to tariff Japan and Korea at 25% and other countries at 10-50% starting August 1 if they do not complete negotiations with the U.S.

President Trump said he had issued letters to South Korea and Japan on Monday announcing new 25% tariffs on their exports beginning August 1. In addition, Treasury Secretary Scott Bessent said Sunday that U.S. tariffs will revert to their April 2 rates, ranging from 10% to 50%, on August 1 for countries that have not reached new trade agreements with the United States. Speaking on CNN’s State of the Union, Bessent said the administration would send letters to “100 smaller countries,” warning that they must “move things along” or face higher duties.

The new deadline replaces the Trump administration’s original July 9 trigger for tariffs to resume. That suspension was intended to give time for a flurry of negotiations, though officials now acknowledge that progress has been uneven.

Trump has taken a hard line in recent days. On Sunday, he announced via Truth Social that the U.S. would impose an additional 10% tariff on “any country aligning themselves with the Anti-American policies of BRICS,” referencing the coalition of Brazil, Russia, India, China, and South Africa. The post did not specify what policies the White House views as “anti-American.”

“We’re going to have a combination of letters, and some deals have been made,” Trump told reporters late Sunday, hinting at more tariff details coming later this week.
The shifting deadlines and rising tariff rates have left U.S. businesses wary of mounting costs and economic uncertainty.

Healthcare executives face challenges estimating their exposure to increased costs from tariffs for their health system. There is no one-size-fits-all answer. Any health system can set up a 30-minute SRS training session on how leading health systems assess their exposure to tariffs and other risks, and the steps they take to mitigate risks proactively. Simply email SRS Support (support@supplyrisk.com) to schedule a time.

The following SRS reports can be tailored to the items you buy to assess tariff exposure for your health system:

• “Product Tariffs – Special Report” – lists tariff rates for all countries and summarizes country of origin for items you buy (run it from the Prevent dashboard).
• “Products by Country (Tariff Risk)” – choose any country to see which items you buy are manufactured there (run it from the Prevent dashboard).
• “Products All Countries (Tariff Risk)” – downloads tariff rates on all items that you buy (run it from the the Prevent dashboard).
• “Products Sites and Risks” – lists manufacturing location for all items you buy from the supplier (in the Prevent dashboard after you drill down on a supplier).

If you have not yet tailored SRS for the items you buy, it’s easy to do so with an SRS subscription.

For more information, see:

BBC, Trump threatens extra 10% tariff on nations siding with BRICs, July 7

CNBC, Dow falls 400 points to session low after Trump announces 25% tariff on Japan, Korea goods, July 7

PBS, Trump plans to share new tariff rates this week as deadline for deals approaches, July 7

Supply Risk Solutions, Trump Tariffs Temporarily Reinstated Amid Legal, Economic Uncertainty, June 3

Supply Risk Solutions, Court Strikes Down Trump’s IEEPA Tariffs Citing Legal Overreach, May 29

Supply Risk Solutions, U.S. Announces Major Trade Deals with UK and China, May 15

Supply Risk Solutions, Tariffs Deepen Pressure on U.S. Healthcare Supply Chains, May 7

Supply Risk Solutions, U.S. Tariffs Drives “Foreign Trade Zone” Surge, April 30

Supply Risk Solutions, U.S. Launches Tariff Probes Into Chip and Pharmaceutical Imports, April 17

Supply Risk Solutions, Supply Chains Upended by Historic Tariffs, April 3

Supply Risk Solutions, Manufacturers Plan to Pass Tariff Costs on to Their Customers, April 1

Supply Risk Solutions, Impact of Upcoming Tariffs on Healthcare Sourcing, March 11

Supply Risk Solutions, Trump’s Partial Tariff Exemptions Leave Majority of Canada-Mexico Duties in Place, March 7

Supply Risk Solutions, U.S. Tariffs on Canada and Mexico Take Effect, March 4

Supply Risk Solutions, U.S. Unveils New Tariff Plans, February 28

Supply Risk Solutions, Trump Confirms Canada and Mexico Tariffs Will Take Effect on March 4, February 25

Supply Risk Solutions, Trump Proposes 25% Tariffs on Cars, Chips, Pharma Products, February 20

Supply Risk Solutions, China Counters U.S. Tariffs with Targeted Tariffs, Export Controls, and Investigations, February 4

Supply Risk Solutions, Trump Delays Tariffs on Mexico and Canada, February 3

Supply Risk Solutions, U.S. to Impose Tariffs on Key Trading Partners Feb. 1, February 1

Supply Risk Solutions, Trump’s Tariff Policies Spark Global Uncertainty, January 27

Supply Risk Solutions, Trump Proposes 25% Tariffs on Canada and Mexico Starting February 1, January 21

Supply Risk Solutions, Tariff Planning Requires Product Transparency, January 13

Supply Risk Solutions, U.S. Tariff Plans Bring Urgency to Knowing Product Manufacturing Locations, December 2

Supply Risk Solutions, Tariffs Push Manufacturers to Rethink Supply Chain Strategies, November 15

Supply Risk Solutions, Tariffs Spur Urgency to Understand Product Manufacturing Locations, November 11

Supply Risk Solutions, List the Products You Buy That Are Subject to China Import Tariffs, October 28