8 July 2025: President Donald Trump, in a sweeping move to reshape US’ trade relations, imposed dramatic new tariffs on goods from 14 countries on Monday. Trump issued what he described as “take it or leave it” offers, detailing the tariffs they will now have to pay on goods exported to the US. The move has triggered widespread concerns among international trade partners. The increased levies are set to take effect on August 1.
The two worst-hit nations, Laos and Myanmar, will face a staggering 40% tariff increase, the highest among the group. In an official post on his Truth Social account, Trump said the new rates were necessary to address what he called “unsustainable trade deficits” that pose a “major threat to our economy and, indeed, our national security.”
Laos and Myanmar worst-hit by Trump tariffs
The Trump administration singled out Laos and Myanmar due to what the president described as unfair trade practices and regulatory barriers. The 40% hike marks the most aggressive move in the current tariff round.
Trump wrote in his letter to the Lao People’s Democratic Republic that their “tariff and non-tariff barriers” were “hurting American jobs and industry,” further declaring that the new rate is “non-negotiable.”
In a separate letter to Min Aung Hlaing, Myanmar’s military ruler, Trump emphasized that even the 40% rate “is far less than what is needed” to close the US trade gap with the country.
Other nations hit-hard
While Laos and Myanmar bear the brunt of the new tariffs, other countries are also facing steep hikes. Among the notable increases:
Cambodia and Thailand: 36%
Bangladesh and Serbia: 35%
Indonesia: 32%
South Africa: 30%
Japan, South Korea, Tunisia, Malaysia, and Kazakhstan: 25% each
Widening scope of tariffs
The new tariffs, which appear to be part of a larger strategic shift in Trump’s trade policy, will also include the introduction of blanket rates – price caps applied to imports from specific markets, signaling a move away from sector-specific duties.
“These new tariffs are about fairness, plain and simple,” said White House Press Secretary Karoline Leavitt, who also confirmed that more letters are expected to be issued later this week.
Trump also signed an executive order on Monday extending the pause on a separate group of reciprocal tariffs, delaying trade talks until at least August 1, though he admitted the date might still be flexible. “I would say firm, but not 100% firm,” he said.
Summary:
Trump’s August 1 tariffs hit 14 nations hard: 25% on Japan and South Korea, 30% on South Africa, and up to 40%—even 35% on Bangladesh and 40% on Myanmar and Laos. Talks underway but risks loom.