US President Donald Trump opened a new phase on Monday in the trade war he launched this year, telling partners, from powerhouse suppliers such as Japan and South Korea to minor players, that they face sharply higher tariffs from August 1.
The imposition of a levy of 25 on US importers of all goods from key allies Japan and South Korea rattled Wall Street, with the S P 500 Index knocked back sharply, though markets in Asia were taking the news in stride.
In letters to 14 countries, Trump hinted at opportunities for additional negotiations while warning reprisals would draw a like-for-like response.
'If, for any reason, you decide to raise your tariffs, whatever the number you choose to raise them by will be added on to the 25 we charge,' Trump told Japan and South Korea in letters released on his Truth Social platform.
The higher tariffs take effect from August 1, and notably will not combine with previously announced sectoral tariffs, such as those on automobiles and steel and aluminium.