U.S. President Donald Trump is stirring up global trade tensions again. According to The Economist, on July 7, Trump issued a new wave of tariff threat letters, announcing that starting August 1, he would impose 'reciprocal tariffs' of up to 25% to 40% on major trading partners including Japan, South Korea, and South Africa. The White House has issued a 'final ultimatum,' but Trump's stance of 'I decide!' has plunged the global trade system into uncertainty, reminiscent of a personal reality show.

In his letter, Trump invites other countries to join the world’s number one economic system and warns that if a bilateral trade agreement cannot be reached, heavy tariffs will be imposed on specific countries, including 25% on Japan and South Korea, 32% on Indonesia, and up to 36% on Thailand.

Japanese Prime Minister Shigeru Ishiba expressed his 'deep regret' during an emergency cabinet meeting and emphasized that Japan will actively seek to reach an agreement, although many differences remain. South Korea is also under significant pressure from U.S. tariffs and is navigating complicated negotiations.

The European Union has not yet received Trump's tariff notification, suggesting that both sides are engaged in intensive negotiations to achieve an agreement before August 1. Should negotiations fail, the EU is prepared with retaliatory measures against sensitive political states in the U.S.