US President Donald Trump sent markets into a swirl on Tuesday by announcing a fresh deadline for imposing higher tariffs on imports.
Originally set to take effect this week, the tariffs have been delayed anew—trading partners now have until August 1 to negotiate new deals, failing which 14 countries, including Japan and South Korea, will face a 25 percent tax on products entering the US.
This new, non-extendible deadline follows a three-month pause on the planned tariff hikes, which were scheduled for July 9.
In his post on Truth Social, Trump wrote: “As per letters sent to various countries yesterday, in addition to letters that will be sent today, tomorrow, and for the next short period of time, TARIFFS WILL START BEING PAID ON AUGUST 1, 2025. There has been no change to this date, and there will be no change. In other words, all money will be due and payable starting AUGUST 1, 2025 — No extensions will be granted. Thank you for your attention to this matter!”
Market reaction was swift: shares slumped immediately after the post, then recovered slightly by session’s end. The S&P 500 slid 0.1 percent, the Dow Jones Industrial Average closed down 0.4 percent, while the Nasdaq managed a modest 0.1 percent gain.
In a related move, Trump indicated a 50 percent tariff on copper, triggering a 10 percent surge in copper futures.
The development places considerable pressure on both the markets and US trading partners, as the August deadline approaches with little room for further delay.
Analysts said the Trump administration risks losing face if the new tariff deadline will be reset later.
