U.S. President Donald Trump sent a letter to the leaders of eight countries, including the Philippines and Brazil, on the 9th (local time), specifying new reciprocal tariffs.
According to the letter released by President Trump on social media, in addition to Brazil's 50%, the Philippines will have a tariff rate of 20%, while Brunei and Moldova will each have a rate of 25%, and Algeria, Iraq, Libya, and Sri Lanka will each have a rate of 30%.
Compared to the announcement in April, the tariff rates for the Philippines and Brunei have slightly increased, while Algeria's has remained the same. The rates for Sri Lanka, Iraq, Libya, and Moldova have been adjusted downward.
This tariff will take effect from August 1.
The most notable country is Brazil. In a letter sent to Brazilian President Luiz Inácio Lula da Silva, Trump characterized the trial of former President Jair Bolsonaro as a "witch hunt that should end immediately." He also stated that a 50% tariff will be imposed on all imports from Brazil starting August 1.
His actions, which problematize the trial of former President Jair Bolsonaro, a person with whom he has a friendly relationship, contradict the existing tariff logic of the Trump administration. He primarily raised tariffs citing trade deficits. However, the U.S. recorded a surplus of $6.8 billion (approximately 9 trillion won) in trade with Brazil last year.
CNN evaluated this as a clear indication of the intention to use tariffs as a means of intervening in the judicial processes of other countries, regardless of trade deficits, citing experts.
Trump later revealed that he ordered the Office of the United States Trade Representative (USTR) to investigate Brazil's unfair trade practices under Section 301 of the Trade Act.
In response, Brazilian Vice President Geraldo Alckmin rebutted, saying, "There's no reason for the tariff increase," adding, "(Trump) seems to have received incorrect information."
Former President Bolsonaro, known as "Brazil's Trump," is on trial for allegedly conspiring to overturn the results of the 2022 presidential election. Trump himself has been indicted for attempting to overturn the 2020 election results.
Trump initially set the timeframe for imposing reciprocal tariffs at the 9th after a 90-day delay but postponed it to August 1. This announcement increased the total number of countries subject to tariffs to 22.
Letters to major trading partners, including the European Union (EU) and India, have not yet been made public.