The clock is ticking towards Donald Trump’s latest tariff deadline of 1 August, with many countries still facing the prospect of no deal and higher levies on exports to the United States. While the US president has promoted agreements with some partners, dozens of others – including close allies such as Australia, Taiwan and New Zealand – remain without a signed deal but no immediate threat of tariffs.
Trump has insisted that the 1 August deadline “will not be extended”, promising it would be “a big day for America”. However, a potential hurdle looms in the courts; the US court of appeals for the federal circuit is set to hear arguments on whether the president has the authority to impose the tariffs.
For many countries without a deal, the impasse appears rooted in politics. Brazil, with which the US runs a trade surplus, faces a 50% tariff linked to the trial of former president Jair Bolsonaro. India faces a 25% tariff plus an extra penalty for buying Russian arms and energy. Mexico could see a 30% tariff over alleged inaction on drug smuggling, while Canada faces a 35% tariff on goods not covered by the US-Mexico-Canada agreement, as well as existing tariffs on cars and steel.
Trump also announced a 15% tariff on imports from South Korea after negotiations, but said the country would invest $350bn in the US and purchase $100bn of liquefied natural gas. A deal with Europe sets a baseline tariff of 15%, including on autos. Meanwhile, US-China talks have pushed back the deadline for escalating tariffs, with China retaliating with its own levies and blocking rare earth metals sales.
