The White House has announced that President Donald Trump is preparing to sign an executive order to postpone the deadline for tariffs from July 9 to August 1. More time therefore for negotiations between the US and the European Union to try to find an agreement and avoid the application of tariffs of up to 50%, a sort of embargo if we also consider the depreciation of the dollar against the euro which already makes European products purchased in the US more expensive. Negotiations remain uphill, however without any agreement.
Shortly before, EU Commissioner for Economic Affairs Valdis Dombrovskis said the Commission had not received any letter from the White House on the duties. Dombrovskis added that “ progress was made towards an agreement in principle during the negotiations last week, there was a discussion with the member states on the state of the negotiations, now we are continuing the work both at the technical and political level, the European objective is to find an agreement before the deadline”
Trump instead published on his social Truth the letters on the tariffs sent to Japan and South Korea. In the two different letters, the president announces 25% tariffs on products from Japan and South Korea that will be imposed starting August 1st.
Both letters begin by saying, “It is my great honor to send you this letter which demonstrates the strength and commitment of our business relationship.”
The president then adds, “Our relationship is unfortunately far from reciprocal. Effective August 1, we will impose tariffs of only 25% on all products shipped to the United States.” “If for any reason you decide to increase your tariffs, we will add another 25% ,” is the language used in both letters.
“It doesn’t seem very responsible or serious to me that the president of a country as big as the US is threatening other countries via the Internet . It’s not right. We don’t want an emperor. We are sovereign countries. If he thinks he can tax, countries have the right to do so too. There is the law of reciprocity,” commented Brazilian President Luiz Inacio Lula da Silva , when asked about Trump’s threats to increase duties by an additional 10% on BRICS countries that are pursuing “anti-American policies.”
White House spokeswoman Karoline Leavitt was asked why Trump’s letters should be taken seriously by recipients, given the president’s shifting resolve. “They’ll take the letter seriously because they’ve taken the president seriously. And that’s why the president’s phone, I can tell you, is ringing all the time, with world leaders begging him to reach an agreement,” the spokeswoman said. She cited 12 other countries that have received tariff letters, but did not name them.
So far, the US has reached an agreement with Vietnam according to which the Asian country will not impose duties on imported American goods while paying a 20% tariff on its exports to the United States, and with Great Britain. There is also a basic agreement with Beijing which, however, does not seem to have closed the long and complex game with China.
