Trump Rolls Out ‘Reciprocal Tariffs’ On Nations With No U.S. Deal

President Trump declared that beginning Friday, his administration will initiate the implementation of “reciprocal” tariffs on nations that have not finalized a tentative trade agreement with the U.S., with some of the new tariffs potentially reaching as high as “60 or 70%.”

“We will commence sending letters to various countries starting [Friday]. We anticipate dispatching around 10 or 12 letters,” the president informed reporters after midnight following a speech at the Iowa State Fairgrounds, as reported by the New York Post.

“I believe that by the 9th [of July], they will be entirely covered, and the tariffs will vary in value from approximately 60 or 70% to 10 and 20%,” he further stated.

The elevated rates indicate that Trump may increase tariffs on specific countries beyond the levels specified in his April 2 “Liberation Day” announcement, which established a new baseline tariff of 10%—roughly three times the previous rate—and imposed significant duties on nations with considerable trade imbalances with the U.S.

The highest previously declared “reciprocal” tariffs—linked to each country’s trade deficit with the U.S.—were 49% for Cambodia, a key producer of clothing and footwear; 48% for neighboring Laos; and 47% for Madagascar, the leading global exporter of vanilla.

“We have finalized the form, and it will essentially outline what the countries will be required to pay in tariffs,” Trump told reporters early on Friday.

“It represents a substantial amount of money for the country, but we are offering them a deal. … I do not wish to overextend it; we aim to keep it quite reasonable,” he remarked, according to The Post.

Trump indicated that he plans to send up to a dozen letters to countries each day until the Wednesday deadline he established for negotiations.

“As we approach the smaller nations, we will largely maintain the tariffs at the same level,” he noted. “They will begin to incur charges on Aug. 1. The funds will start to flow into the United States on Aug. 1 in nearly all instances.

It is still uncertain which nations will face tariffs in the range of 60 to 70%, but Trump’s renewed hardline stance on trade coincides with a series of robust economic indicators, as noted by The Post.

Job growth in June has once again surpassed expectations, inflation remained close to the Federal Reserve’s target of 2%, recorded at 2.4% in May, and major stock market indices achieved record highs in the past week.

Critics of Trump’s assertive trade policy caution that it may result in significant price hikes for consumer goods imported from abroad, according to the outlet.

Trump has already secured preliminary trade agreements with China, the UK, and Vietnam, along with a “roadmap” deal with India, and has obtained considerable trade concessions from Israel and Taiwan. However, numerous countries facing the impending tariffs—including crucial partners like Japan and the European Union—have yet to finalize an agreement.

Trump has adopted a skeptical approach towards trade discussions with Tokyo, which is currently subject to a 24% tariff. Meanwhile, the European Union is confronted with a potential 50% rate—more than double the initial 20%—after Trump increased the figure in response to the bloc’s proposed digital tax aimed at major U.S. tech firms.

Three preliminary trade agreements have been announced, but they only partially mitigate the effects of the new tariffs.

Under the proposed agreement with the UK, Trump’s 10% baseline tariff on most goods would persist, but the majority of British-made cars, steel, and aluminum would be exempt from an additional 25% increase. In return, the UK has reportedly consented to broaden access to its market for U.S. meat and ethanol.

The agreement with China has rolled back some of the retaliatory tariffs while leaving the door open for a more comprehensive deal in the future. Trump stated that Beijing has also pledged to open its markets to a greater volume of American exports.

Vietnam, which was previously facing a looming 46% tariff, will now be subjected to a reduced but still substantial 20% rate—rising to 40% on products routed through third countries such as China.

In March, however, Trump implemented a 25% tariff on certain goods that were not included in that framework, using it as leverage to encourage both countries to reduce fentanyl trafficking and illegal immigration.