US President Donald Trump's Flip-Flop On Tariffs Continues

On Tuesday, July 8, 2025, US President Donald Trump declared that the August 1 deadline for new tariffs on U.S. trading partners is non-negotiable, directly contradicting his comments from the previous night when he suggested flexibility. The sudden shift has left investors, businesses, and international partners scrambling to make sense of the administration’s stance.

Trump took to Truth Social to assert, “There has been no change to this date, and there will be no change. In other words, all money will be due and payable starting AUGUST 1, 2025 - No extensions will be granted.” This firm stance came just hours after he told reporters at the White House on Monday night that the deadline was “firm but not 100% firm,” hinting that it could shift depending on offers from trading partners.

The mixed messaging is the latest instance of flip-flop. On April 2, 2025, Trump announced reciprocal tariffs on imports, only to pause them for 90 days on April 9. As the July 9 deadline loomed, he pushed the target to August 1. This back-and-forth has kept markets on edge, with businesses unsure how to plan for potential cost increases.

Why the Confusion Matters

The tariffs, which could affect billions of dollars in goods from allies like Canada, and the European Union, are a cornerstone of Trump’s economic agenda aimed at protecting American industries. However, the lack of clarity creates challenges for businesses, especially in sectors like consumer goods and manufacturing, which rely on global supply chains. Tariffs typically increase costs for importers, often leading to higher prices for consumers or reduced profits for companies.

Economists warn that such uncertainty can disrupt trade negotiations and strain relationships with allies.

Trump Targets BRICS 

Meanwhile, today, whilst speaking to reporters ahead of a cabinet meeting, Trump repeated his threat to BRICS nations, stating they'll have to pay additional 10 percent tariffs, just for being a part of BRICS. He went on to claim that BRICS is attempting to undermine the primacy of US dollar. 

Oddly enough, on China, after a cabinet minister referred to Chinese ownership of American farms as a national security threat, Trump chimed in by saying “I think we have had good relationship with China lately”. 

“We have been getting along very well. I get along with President Xi. We speak often,” he added. 

With August 1 just weeks away, businesses and governments are bracing for impact. The White House has not clarified how the tariffs will be implemented or which countries will face the steepest levies. Some speculate that Trump’s hardline rhetoric is a negotiating tactic to extract concessions, as he hinted at openness to “different” proposals on Monday.