WASHINGTON / TOKYO, July 9, 2025 — President Donald Trump has intensified his global trade war, announcing a 50% tariff on imported copper and signaling upcoming levies on semiconductors and pharmaceuticals. The aggressive move targets key industries and unsettles international markets.

Speaking during a White House cabinet meeting, Trump also warned of tariff letters to the European Union, as well as 10% duties on goods from Brazil, India, and other BRICS nations. His administration is pushing for a flurry of new trade agreements, promising “90 deals in 90 days.”

Market Turbulence Follows Tariff Shock

Following the announcement, U.S. copper futures surged over 10%, while pharmaceutical stocks dipped amid concerns of a proposed 200% drug import tariff, which may be delayed by up to a year.

Trump’s remarks come after his administration sent fresh tariff notices to 14 key trade partners, including Japan and South Korea. The deadline to finalize agreements has been extended to August 1, giving countries a short window to negotiate.

“It’s about time the United States started collecting money from countries that were ripping us off,” Trump said.

Consumer Tariffs Reach Highest Levels Since 1934

According to Yale Budget Lab, the U.S. effective tariff rate has now hit 17.6%, the highest in nearly a century. Treasury Secretary Scott Bessent reported that tariff revenue has totaled $100 billion so far, with projections of up to $300 billion by year-end.

Despite the market volatility, Trump praised progress with both the EU and China, stating that talks have been productive and that he maintains regular communication with President Xi Jinping.

Global Trade Partners Scramble for Concessions

European Union

The EU, America’s largest bilateral trading partner, is working to secure a deal before August 1. Officials in Brussels are offering concessions on medical equipment, aircraft, and alcohol, while seeking protections for European automakers operating in the U.S.

However, German Finance Minister Lars Klingbeil issued a strong warning:

“If we don’t reach a fair trade deal with the U.S., the EU is ready to take countermeasures.”

Japan and South Korea

Japan, facing a potential 25% tariff, is pushing to shield its automotive sector, while refusing to make concessions on agriculture. South Korea is also under pressure, with officials pledging to intensify talks in search of a “mutually beneficial result.”

New Tariff Targets Announced

Trump unveiled a sweeping set of new tariffs aimed at several nations, with rates ranging from 25% to 40%, including:

  • 25% on Tunisia, Malaysia, Kazakhstan

  • 30% on South Africa, Bosnia and Herzegovina

  • 32% on Indonesia

  • 35% on Serbia, Bangladesh

  • 36% on Cambodia, Thailand

  • 40% on Laos, Myanmar

So far, only two trade agreements — with the UK and Vietnam — have been finalized since Trump began the second phase of his tariff strategy in April.

Trade Uncertainty Clouds Global Outlook

Trump’s unpredictable tariff rollouts have made it difficult for foreign governments to finalize deals or offer domestic concessions. Many observers warn that this uncertainty could undermine global supply chains and market stability.

Despite the volatility, Trump insists his tactics are effective and necessary.

“They’ve been very fair,” he said of China. “We’re getting along very well. The relationship is strong.”