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Trump to impose 25% tariff on South Korean, Japanese goods from Aug 1
In a letter dated July 7, 2025, addressed to South Korean President Lee Jae-myung, Trump stated: 'It is a Great Honour for me to send you this letter in that it demonstrates the strength and commitment of our Trading Relationship, and the fact that the United States of America has agreed to continue working with Korea, despite having a significant Trade Deficit with your great Country.'
Trump also highlighted that future trade between the two nations must be 'more balanced, and fair, TRADE,' adding, 'We invite you to participate in the extraordinary Economy of the United States, the Number One Market in the World, by far.'
The letter further noted that Korean goods sent into the US would face a 25 per cent tariff, separate from existing sectoral tariffs. Goods transshipped to avoid the higher tariff 'will be subject to that higher tariff'.
'Please understand that the 25 per cent number is far less than what is needed to eliminate the trade deficit disparity we have with your country,' explained Trump.
He added, 'There will be no tariff if Korea, or companies within your country, decide to build or manufacture product within the United States and, in fact, we will do everything possible to get approvals quickly, professionally, and routinely — in other words, in a matter of weeks.'
The letter also included a warning against retaliation: 'If for any reason you decide to raise your tariffs, then, whatever the number you choose to raise them by, will be added onto the 25 per cent that we charge.'
Meanwhile, the same measures are being applied to Japan, according to media reports. Trump concluded in his letter, 'This (trade) deficit is a major threat to our economy and, indeed, our national security!'
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