U.S. President Donald Trump is set to send out letters today, July 7, 2025, regarding tariffs and trade agreements to various countries. This comes as he threatens to impose an additional 10% tariff on nations that align themselves with what he calls the "Anti-American policies" of BRICS.
Trump announced his intentions via a post on his Truth Social platform on Sunday. "Any Country aligning themselves with the Anti-American policies of BRICS, will be charged an ADDITIONAL 10% Tariff. There will be no exceptions to this policy," he stated. He did not elaborate on what specifically constitutes "Anti-American policies".
In a separate post, Trump confirmed the tariff letters would begin being delivered at 12:00 PM (Eastern time) today. These letters precede the deadline for suspended tariffs to take effect.
The BRICS group, originally composed of Brazil, Russia, India, and China, has expanded to include South Africa, and more recently, Egypt, Ethiopia, Indonesia, Iran, Saudi Arabia, and the United Arab Emirates. This bloc of 11 emerging nations represents a significant portion of the world's population and global economic output.
BRICS leaders have voiced "serious concerns" regarding Trump's "indiscriminate" import tariffs, suggesting they are detrimental to the global economy. A draft summit statement indicates that BRICS members believe the tariffs are illegal and risk hurting the global economy. They also describe such tariffs as arbitrary, threatening to "further reduce global trade, disrupt global supply chains, and introduce uncertainty into international economic and trade activities".
The BRICS nations have accused the U.S. President of instigating "unilateral tariff and non-tariff measures which distort trade and are inconsistent with WTO (World Trade Organization) rules". They warn that such measures "threaten to further reduce global trade" and are "affecting the prospects for global economic development".
U.S. Commerce Secretary Howard Lutnick confirmed that the new tariffs are scheduled to take effect on August 1. He also noted that Trump is finalizing the specific rates and agreements and may send out 12 or 15 letters on tariffs today. Lutnick indicated that trade deals or letters with most nations will be completed by July 9.
The US Dollar Index is gaining ground due to risk-off sentiment after Trump's announcement. The Greenback may face challenges due to mounting fiscal concerns after Trump signed his "Big Beautiful Bill" into law.
