Higher Tariffs Loom—Brace for Impact in Just Days

Markets are about to get squeezed—again. Fresh tariff hikes kick in this week, and nobody’s laughing except maybe the bureaucrats counting their new revenue streams.

Here’s the kicker: These aren’t your grandpa’s trade taxes. We’re talking hard-hitting adjustments that’ll ripple through supply chains like a crypto flash crash—fast, brutal, and leaving chaos in their wake.

Who pays? You do. Every consumer, importer, and small biz caught in the crossfire. But hey, at least the deficit gets a Band-Aid, right?

Pro tip: Watch for the usual Wall Street sleight-of-hand as traders spin this into 'buying opportunities.' Spoiler: The house always wins.

Key Takeaways

• The U.S. is set to impose tariffs on numerous countries Aug. 1, but higher tariffs on China could be delayed as negotiations continue.
  
• The long-delayed "Liberation Day" tariffs of 20% or more are set to go into effect on more than two dozen countries this week.
  
• Despite several major trade deals announced recently, uncertainties still abound in President Donald Trump's campaign of raising import taxes and reshaping international trade.
  

The U.S. is set to impose double-digit tariffs on a slew of countries on Friday, as the White House continues to negotiate with China over the possibility of extending a trade truce that expires Aug. 12.

President Donald TRUMP was considering extending the deadline to impose a 145% tariff on Chinese products, but was planning to go ahead with tariffs of 20% or more on dozens of countries starting Friday, U.S. officials said Tuesday in media appearances.

Negotiations between trade officials from the U.S. and China in Sweden concluded Tuesday, and the two sides agreed to continue discussing extending an existing trade truce, Treasury Secretary Scott Bessent told reporters, according to Bloomberg. Meanwhile, Commerce Secretary Howard Lutnick said on CNBC Tuesday that the U.S. is set to begin imposing high "reciprocal" tariffs on numerous other trading partners.

“We have our own team working with China. They’re their own thing,” he said. “But for the rest of the world, we’re going to have things done by Friday. ...August 1 is the date that we’re setting all these rates, and they are off to the races after that."

Lutnick's comments suggested the long-delayed "Liberation Day" tariffs announced in April would finally be put into effect after several delays, although in some cases, rates will be modified. Trump sent letters to more than two dozen countries earlier this month, setting tariff rates from 20% to 50% unless governments strike deals with the U.S.

The ongoing uncertainties of the trade war have roiled the economy since Trump took office. The outlines of longer-term trade policy have taken shape in recent weeks as the WHITE House has announced several deals with major trading partners. However, details of those arrangements and the status of trade with China and numerous other countries are still in the air.

Trump has threatened and imposed a barrage of import taxes, rebuking the U.S.'s post-WWII policy of free international trade in an effort to boost U.S. manufacturing. Economists forecast the taxes will push up consumer prices and drag on the job market, although those effects have only begun to show up in official economic data.