The president is likely to continue reaching out to trade partners this week to let them know what tariff rates they can expect to face on Aug. 1 – the new deadline for higher country-specific tariffs.

 

Trump’s letters have already inflamed trade tensions with some countries. The president issued fresh tariff threats to Brazil and Canada last week and announced higher duties on the European Union and Mexico over the weekend. Trump also has warned his administration would add a 10% tariff on all countries tied to BRICS -- Brazil, Russia, India, China, South Africa, Egypt, Ethiopia, Indonesia, Iran and the United Arab Emirates.

 

This week is likely to bring further letters, as well as further fallout, as leaders react to the new rates.  The EU's pause on a package of retaliatory tariffs on a range of U.S. exports, including soybeans, corn and a host of other food products, is set to expire last week. Some in the bloc are now urging the European Commission to press ahead with that retaliation following Trump's letter, including Bernd Lange, who chairs the European Parliament's top trade panel.

 

As more tariff rates are revealed, the administration is also likely to face further scrutiny over its methodology.