Trump’s trade moves... President Donald Trump signed an Executive Order (EO) that extends the effective date on the tariffs announced April 2 to Aug. 1. The tariffs initially were to take effect July 9. The brief order formalizes what Trump and other officials had signaled over the weekend. However, it is not yet clear that Aug. 1 will be a hard and fast deadline. Asked if Aug. 1 was now a firm deadline, Trump again indicated it may not necessarily be the final date. “I would say firm but not 100% firm. If they call up and they say we’d like to do something a different way, we’re going to be open to that.”
Reciprocal tariff letters were sent Monday to 14 countries, outlining new tariffs ranging from 25% to 40% set to take effect on Aug. 1 if agreements aren’t finalized.
- 25% tariffs: Japan, South Korea, Malaysia, Kazakhstan, Tunisia. Japan and South Korea are major U.S. trading partners with significant automotive and tech ties. South Korea responded by planning to ramp up negotiations, while Japan remained silent for now.
- 30%–36% tariffs: South Africa, Bosnia, Indonesia, Bangladesh, Serbia, Thailand (see related item below), Cambodia.
- 40% tariffs: Myanmar, Laos. The highest tariff rate, hitting small exporters hard — especially infrastructure and manufacturing — likely forcing urgent scrap deals.
- Steel and aluminum tariffs, currently set at a 50% rate as part of the Section 232 sectoral rates, will remain in place but will not stack on top of the new rates. Several other sectoral tariffs are also under investigation but have not yet taken effect.
Trump hinted on Truth Social that any retaliatory tariffs would be matched one-for-one.
Thailand races to avoid 36% U.S. tariff with sweeping trade concessions... Thailand remains optimistic about avoiding a steep 36% U.S. tariff announced by Trump, with officials offering to slash import duties on 90% of American goods to zero. Thailand promised expanded market access for U.S. ag and industrial products, more energy imports and additional Boeing jet purchases — moves aimed at shrinking its $46 billion trade surplus with the U.S. by 70% within five years.
The U.S. is Thailand’s top export market, accounting for 18% of total shipments, and front-loaded orders have pushed exports up 15% so far this year amid the tariff threat. Thai officials warn that a 36% levy could shave at least one percentage point off GDP, further straining an economy already pressured by high household debt and weak domestic consumption. The tariff fight also comes as political instability mounts following the court-ordered suspension of Prime Minister Paetongtarn Shinawatra.
Taiwan dispatches delegation for last-minute U.S. tariff talks... Taiwan has sent a new, smaller team of officials to Washington, as last-ditch negotiations avoid 32% U.S. tariffs on Taiwanese exports if no agreement is reached by Aug. 1. According to Taiwan’s Liberty Times, the unannounced visit signals ongoing talks, but the government has declined to confirm specifics, citing the sensitive nature of discussions. The latest team is reportedly more technical and targeted than previous delegations, reflecting the high-stakes and complex nature of the remaining issues.
Domestically, Taiwan’s government has faced criticism for the lack of transparency around the talks, especially from labor groups concerned about the impact of higher tariffs. With the Aug. 1 deadline looming, both sides are expected to announce any developments as soon as they occur, but the final outcome remains unresolved.
Indonesia warns of sharp decline in palm oil exports to U.S. amid tariff threat... Indonesian palm oil exports to the U.S. could drop by as much as 20% if Washington moves ahead with a proposed 32% tariff on Indonesian goods, an industry official told Reuters. The potential decline would open the door for Malaysia, Indonesia’s main competitor, to gain ground in the U.S. market due to its comparatively lower 25% tariff.
Indonesia currently supplies 85% of U.S. palm oil imports. Hadi Sugeng, secretary general of the Indonesia Palm Oil Association, said the new tariff would hurt palm oil’s competitiveness, particularly against other vegetable oils with lower import duties.
Indonesia’s top trade negotiator is in Washington this week for talks with U.S. officials.
Meanwhile, Malaysia’s plantations minister Johari Abdul Ghani argued that higher tariffs would ultimately be paid by American consumers, pointing out that palm oil has no direct substitute in oleochemical applications.
USDA delays SDRP signup, expects launch later this week... USDA has updated its timeline for the Supplemental Disaster Relief Program (SDRP), moving the expected start date for producer signup from July 7 to later this week. SDRP provides assistance for necessary expenses or crop losses in 2023 and 2024 due to adverse weather events. While enrollment for most losses is now slated to begin in the coming days, USDA continues to target Sept. 15 for signups covering “shallow losses.” including those affecting uninsured producers and losses related to crop quality.
USDA unveils aggressive new action plan for farm, food security... USDA Secretary Brooke Rollins unveiled USDA’s strategy to protect the nation’s food and farm system, declaring, “Farm security is national security.”
Key actions outlined in the plan include:
- Securing farmland: “Land owned by foreign nationals — particularly those from countries of concern or other foreign adversaries — is a potential threat to national security and future economic prosperity.” USDA will “aggressively implement reforms” to increase transparency and tighten controls on foreign land ownership, including launching a new online reporting portal.
- Enhancing supply chain resilience: USDA will create a list of critical agricultural inputs — such as fertilizer, chemicals and minerals — needed for domestic security and will conduct regular risk assessments and simulation exercises, including “wartime scenario planning.”
- Fighting SNAP fraud: The agency pledges to “ensure all relevant programs comply with associated laws, regulations and Executive Orders; implement strengthened enforcement measures; clarify expectations for both States and authorized retailers to mitigate benefit trafficking and other types of fraud.”
- Defending research and innovation: “Securing our agricultural research enterprise from foreign influence, intellectual property theft, forced technology transfers and agroterrorism threats will ensure taxpayer funds going toward science, technology, and innovation put American farmers and ranchers first and advance U.S. business innovation.”
- Safeguarding plant and animal health: The department will work with other agencies to detect, mitigate, and respond to threats like invasive pests and animal diseases, and partner with DARPA to “ensure agricultural projects they fund promote military readiness, protect U.S. plants and animals, and enhance agricultural security.”
- Protecting critical infrastructure: USDA will boost cyber-defense partnerships and training for agricultural businesses, saying, “attacks on agricultural companies, including cybersecurity threats, can disrupt essential operations and cause significant losses.”
Rollins says, “This Action Plan serves as the launching point for USDA to work in further unison with governors, state legislators and other partners to fully integrate agriculture into the broader national security enterprise over the coming months and years,” the department writes. “Together, we can and must protect and expand the resilience and durability of the U.S. food supply.”
The new initiative is a key pillar of the Trump administration’s “Make Agriculture Great Again” agenda, according to USDA, with the aim of prioritizing American farmers, ranchers and consumers over foreign interests. “Promoting agricultural and economic prosperity reaffirms the America First policy agenda, which prioritizes domestic security and economic self-sufficiency.” USDA pledges to “review, identify and subsequently eliminate all agreements… going to people and entities from countries of concern or other foreign adversaries,” ensuring that “all USDA funding will immediately be prioritized to be conducted in America using American-made technology, research, and innovation.”