TOP BIT
Within 24 hours, US President Donald Trump announced three “deals”: a 15 percent tariff pact with Japan, a 19 percent agreement with the Philippines, and specific terms for an identical rate with Indonesia. At the same time, Treasury Secretary Scott Bessent hinted that China is next. The deadline for steep punitive duties expires on August 1.
The Details
💴 Japan: 15 percent import duty on all Japanese goods, in exchange for Tokyo’s promise of $550 billion in US investments; market access for US cars, rice, and agricultural products—but (so far) no relief for Japanese auto exports.
🇵đź‡Â Philippines: 19 percent tariff barrier on shipments to the US, paired with zero tariffs on US exports; especially affected: electronics, machinery, and textiles worth $14 billion.
🇮🇩 Indonesia: Also a 19 percent US tariff, plus cuts to digital taxes, recognition of US vehicle-safety standards, and export clearance for critical minerals.
🔜 China Countdown: Washington and Beijing will negotiate next week in Stockholm on extending the 90-day tariff pause; without a breakthrough, duties above 100 percent could resume on August 12.
Why It Matters
Supply-chain stress: Rising tariffs increase costs of Asian inputs for US firms and could trigger new bottlenecks.
Geopolitical leverage: Trump is using trade pressure to tie in security issues (China-Russia oil, Philippines military bases).
Economic burden: US importers pay the duties—higher prices for cars, electronics, and clothing are inevitable.
Background
Since April, Trump’s approach has slapped nearly all trading partners with blanket “reciprocity tariffs” (initially up to 145 percent). Those willing to strike bilateral deals can reduce their rate to 10–19 percent but must offer concessions—investments, market access, or political pledges.
China has held out so far but, amid its own growth worries, is keen to buy more time.
đź“ŠÂ All Data & Details:Â CNBC, CNN, Reuters
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