Shaun
US President Donald Trump warned on Tuesday that the BRICS nations — including India — would face a 10% tariff “pretty soon”. He also announced a 50% tariff on copper and hinted “at a very, very high rate, like 200%” for pharmaceutical imports.
The POTUS is also set to take the final call on India-US trade deal in the coming days. According to CNBC, India has already presented a final ‘decent offer’ from its side, which will be reviewed by the US President now. According to the report, India’s proposal covers goods trade worth around $150 billion to $200 billion between the two countries. Now, it’s up to US officials to decide whether they want to continue negotiations or move forward with a deal as it stands. India is not expected to offer any more concessions at this point.
Trump had earlier said that the United States is close to finalising a trade deal with India. This move is part of a larger effort to change global trade ties and use tariffs as a tool to increase US influence. During a private dinner with Israeli President Benjamin Netanyahu on Monday, Trump told reporters that the US has already reached trade agreements with countries like the United Kingdom and China. He added that India could be next. “As far as I’m concerned, we’re done with sending out letters to various countries telling them how much tariffs they have to pay. Some will maybe adjust a little bit, depending if they have a you know, cause,” Trump said.
Trump has delayed imposing higher tariffs on goods coming into the US from 14 countries, including Japan and South Korea. The development comes just as a 90-day pause on some of the toughest import taxes, put in place by the White House, was about to expire this week. Trump repeated his warning that a 25% tariff could still be placed on goods from Japan and South Korea. He also shared letters to leaders of several countries, saying new tariffs will take effect from August 1. The higher tariffs were supposed to start on July 9, but were earlier put on hold while US officials tried to make trade agreements.
Trump shared tariff letters via social media on Monday that were sent to leaders of the 14 countries. He explained his new tariff plans in them and said the rates could go up or down, depending on how each country’s relationship with the US develops. Most of the tariff amounts in the letters were similar to what Trump had mentioned in April, during what he called the “Liberation Day” announcement, when he threatened new taxes on goods from many countries. Although highest tariff rate of 40% has been imposed on Myanmar and the Lao People’s Democratic Republic.
Trump says the goal of these tariffs is to protect American companies from foreign competition and to support US factories and jobs. However, many economists believe these steps will make things more expensive for American buyers and reduce trade.
US Treasury Secretary Scott Bessent said on Sunday that the tariffs announced in April will be enforced starting August 1 for countries that haven’t finalized a deal with President Donald Trump’s administration. “President Trump’s going to be sending letters to some of our trading partners saying that if you don’t move things along, then on August 1, you will boomerang back to your April 2 tariff level,” Bessent said during an interview on CNN’s ‘State of the Union’. He explained that these countries will receive letters stating that if no agreement is reached by then, their tariff rates will return to what was set on April 2.
Bessent pushed back on claims that August 1 marks just another tariff deadline. However, he acknowledged that the new date could give countries extra time to work out better trade terms. “We are saying this is when it’s happening, if you want to speed things up, have at it, if you want to go back to the old rate that’s your choice,” Bessent added.
How did Wall Street react: Stock markets dropped from record highs and the US dollar rose after Trump started sharing his tariff letters. The US will begin charging tariffs on countries like Japan, South Korea, and South Africa from August, which led to a fall in their currencies. The S&P 500 index went down by around 1%, with big companies seeing the biggest losses. Tesla’s stock fell nearly 7% after Elon Musk said he had started a political party, causing investors to worry about the company’s future. US government bonds also dropped in value, especially the long-term ones. Emerging markets were affected too, after Trump said he might add more tariffs on countries that support the “Anti-American policies of BRICS.”
India may soon secure a better reciprocal tariff rate with the US, according to a report by Nomura economists. While many countries have already received notices from the U.S. about new tariffs starting August 1, India hasn’t received one yet. This suggests that talks between the two sides are going well and a positive outcome could be announced shortly, the report says. At present, India faces a 26% reciprocal tariff. Nomura believes that the U.S. may offer a lower rate because India has made key trade concessions—such as allowing greater access to its agriculture sector, cutting tariffs on industrial goods like automobiles, and stepping up purchases of U.S. liquefied natural gas (LNG).
Trump took to Truth Social on July 9 and shared that he will be releasing “a minimum of 7 Countries having to do with trade” today. He also said that there will be “additional number of Countries being released in the afternoon.”
“Expect another 15-20 letters to go out over the next 2 days,” US Commerce Secretary Howard Lutnick told CNBC.
US President Donald Trump announced plans to impose a 50% tariff on copper imports following a Cabinet address on Tuesday. The move prompted copper futures in New York to surge by 17%, marking the largest intraday gain since 1988.
Trump told his Cabinet on Tuesday that he wanted to hit pharmaceutical imports with tariffs “at a very, very high rate, like 200%.” He also hinted that businesses would have about eighteen months before the new rules take hold.
“We’re going to give people about a year, a year and a half to come in and, after that, they’re going to be tariffed. If they have to bring the pharmaceuticals into the country … they’re going to be tariffed at a very, very high rate, like 200%. We’ll give them a certain period of time to get their act together,” Trump said.
US President Donald Trump has indicated plans to impose tariffs on several items including semiconductors. The POTUS will soon announce a 50% tariff on imported copper. Trump also said that he will make a separate announcement on pharmaceuticals very soon.
“We’re going to be announcing pharmaceuticals, chips and various couple of other things – you know, big ones,” Trump told reporters, while announcing a new tariff rate for copper.
“They have to pay 10% if they’re in BRICs because BRICs was set up to hurt us. BRICs was set up to de-generate our dollar… and take it off as the standard. That’s okay if they want to play that game but I can play that game too,” Donald Trump said.
Trump Tariff Live: Trump hails ‘tremendous’ tariffs – ‘We’ve taken in about $100 billion so far’
US President Donald Trump attended a Cabinet meeting on Tuesday morning. Top officials noted that the country had “taken in about $100 billion in tariffs thus far this year”.
“We have received $100 billion in tariffs so far. It could increase to $300 billion by the the end of year,” reiterated US Treasury Secretary Scott Bessent.
Oil prices held near a two-week high on Tuesday as investors assessed the latest developments on U.S. tariffs and a higher than expected increase to OPEC+ output for August.
Brent crude futures was up 29 cents, or 0.4%, to $69.87 a barrel by 11:07 a.m. EDT (1507 GMT), while U.S. West Texas Intermediate (WTI) crude rose 11 cents, or 0.2%, to $68.04.
That put both crude benchmarks on track for their highest closes since June 23 for a second day in a row.
According to multiple reports quoting official sources, a “mini trade deal” between India and the United States is likely to be announced on Tuesday night. The full deal is expected to be finalised after further negotiations between the two countries later this year.
CNBC Awaaz also cited people familiar with the matter to add that the announcement was likely to be made by 10 pm.
Trump has long promised a trade deal with India, but talks have stalled on disagreements over US tariffs on auto components, steel and agricultural goods.
India has signaled it is ready to slash its high tariff rates for the U.S. but has not conceded on Washington’s demands for opening up the agriculture and dairy sectors. New Delhi also has proposed retaliatory duties against the US at the World Trade Organization, saying Washington’s separate 25% tariff on automobiles and some auto parts would affect $2.89 billion of India’s exports.
“As per letters sent to various countries yesterday, in addition to letters that will be sent today, tomorrow, and for the next short period of time, TARIFFS WILL START BEING PAID ON AUGUST 1, 2025. There has been no change to this date, and there will be no change. In other words, all money will be due and payable starting AUGUST 1, 2025 – No extensions will be granted. Thank you for your attention to this matter!” he wrote on Truth Social.
Japan said its tariff negotiator Ryosei Akazawa and U.S. Treasury Secretary Scott Bessent agreed to “continue talks vigorously” in a phone call on Tuesday, after President Donald Trump announced 25% tariffs on Japan starting August 1.
Akazawa and Bessent had “frank and in-depth discussions” in the call that lasted about 30 minutes from 9 p.m.(1200 GMT), Japan’s Cabinet Secretariat said in a statement, adding Japan will continue to explore an agreement that benefits both nations.
