Friday, July 25, 2025

Trump Rules Out Tariff Extension, Warns Japan Could Face 35% Rates

depositphotos

U.S. President Donald Trump declared on Tuesday that there would be no extension to the reciprocal tariff suspension deadline.

He also warned that the reciprocal tariff rates for Japan could surge to between 30% and 35%.

Trump delivered these remarks to reporters aboard Air Force One while returning to Washington after visiting a detention center for illegal immigrants in Florida.

On April 2, Trump announced plans to impose reciprocal tariffs on most trading partners. However, following a significant market shock, he decided to suspend the tariffs for 90 days on April 9.

This suspension period was intended to allow time for trade negotiations, with the possibility of adjusting tariff rates if agreements were reached.

The deadline is set to expire at midnight on July 8.

Despite widespread expectations that the deadline would be extended due to the tight negotiation schedule, Trump firmly stated that he is not considering any such extensions.

He also made it clear that if trade negotiations fail to yield satisfactory solutions for the U.S., even alliances would be expendable.

Regarding Japan, Trump expressed uncertainty about reaching an agreement, describing the outcome of negotiations as “doubtful.”

He further cautioned that the reciprocal tariff rate with Japan could be set at “30%, 35%, or whatever figure we decide.”

This marks a significant increase from the 24% tariff rate Trump had initially announced for Japan on April 2. South Korea, which has a free trade agreement (FTA) with the U.S., faces an even higher reciprocal tariff rate of 25%.

Hot this week

U.S. Hits Chinese Graphite With 93% Tariff—Your Next EV Just Got Pricier

The U.S. imposes a 93.5% tariff on Chinese graphite, risking a $1,000 increase in EV prices as tax credits end and production costs rise.

Crypto Boom: XRP Soars After Congress Passes Stablecoin Bill

The Stablecoin Act has passed Congress, boosting crypto markets, with XRP hitting a new all-time high and regulatory clarity for stablecoins.

Market Panic? Rich Investors Saw a Bargain, Morgan Stanley Says

Morgan Stanley's profits surged as wealthy clients bought stocks during a market downturn, driven by Trump's tariff announcement.

Oil Prices Keep Dropping as Trade Fears Grow

Oil prices fell for the third consecutive day due to rising U.S. gasoline inventories and trade tensions impacting global demand.

Tesla and BYD Battle for Japan’s Electric Car Crown: Who Will Win?

Tesla and BYD aggressively expand in Japan's EV market, aiming to challenge local automakers amidst low EV adoption rates.

Topics

U.S. Hits Chinese Graphite With 93% Tariff—Your Next EV Just Got Pricier

The U.S. imposes a 93.5% tariff on Chinese graphite, risking a $1,000 increase in EV prices as tax credits end and production costs rise.

Crypto Boom: XRP Soars After Congress Passes Stablecoin Bill

The Stablecoin Act has passed Congress, boosting crypto markets, with XRP hitting a new all-time high and regulatory clarity for stablecoins.

Market Panic? Rich Investors Saw a Bargain, Morgan Stanley Says

Morgan Stanley's profits surged as wealthy clients bought stocks during a market downturn, driven by Trump's tariff announcement.

Oil Prices Keep Dropping as Trade Fears Grow

Oil prices fell for the third consecutive day due to rising U.S. gasoline inventories and trade tensions impacting global demand.

Tesla and BYD Battle for Japan’s Electric Car Crown: Who Will Win?

Tesla and BYD aggressively expand in Japan's EV market, aiming to challenge local automakers amidst low EV adoption rates.

Nvidia Stock Surges Past $170 After U.S. Clears China Chip Exports

Nvidia's stock surged over 4% after the Trump administration lifted export restrictions on H20 semiconductors to China.

Army’s New Shaving Rule Could Push Out Thousands of Black Soldiers

The U.S. Army's new shaving policy may disproportionately impact Black soldiers with shaving difficulties, raising concerns over its fairness.

Trump Slams Fed Chair Again, Demands Rates Below 1%

Trump criticizes Fed Chair Powell, insists interest rates should drop below 1%, claiming the economy is strong and inflation is nonexistent.

Related Articles