by Manal Barakat, SeaNewsEditor

US President Donald Trump imposed a 50% tariff on most Brazilian goods yesterday, saying the move was to combat an "extraordinary threat" from Brazil's policies toward the US economy.

The White House said in a statement that the US Administration will implement "an additional 40% tariff on Brazil, bringing the total tariff amount to 50%, to deal with recent policies, practices, and actions by the Government of Brazil."

According to a Reuters report, the tariffs will apply to most Brazilian goods but will exempt sectors such as aircraft, energy, and orange juice.

In response, the Brazilian government said it "considers the use of political arguments to defend the trade measures announced by the U.S. government against Brazilian exports to be unjustifiable."

The new tariffs are expected to go into effect on 6 August.

Additionally, Trump declared a 25% tariff on Indian goods as of 1 August and an extra import tax due to India's purchase of Russian oil.

Despite referring to India as a "friend," Trump criticised the high tariffs on US products.

The Indian government is currently assessing the impact of these new tariffs while continuing negotiations for a balanced bilateral trade agreement.

New deal with South Korea

Meanwhile, Trump revealed a new trade agreement with South Korea, which includes a 15% tariff on South Korean goods.

This deal, announced on Trump's Truth Social platform, involves South Korea investing USD 350 billion in US-led projects.

USD 150 billion will be allocated to shipbuilding cooperation, and the remainder will go to semiconductors, secondary batteries, biologics, and energy.

Goods from South Korea had previously faced a 25% "reciprocal" tariff in April, which was paused and set to expire on 1 August.

Customers can also check the latest updates on our global trade and tariffs page for quick updates about the tariffs' overall development.