Key Facts
• May 2025: UK Prime Minister Keir Starmer announced zero steel tariffs under a US trade deal.
• August 7, 2025: New tariffs took effect, but US maintained 25% auto and 50% steel/aluminum tariffs.
• July 22, 2025: Japan and US agreed to reduce auto tariffs to 15%, but 25% remains.
• Japan’s Economic Revitalization Minister Ryo Akazawa reported companies losing $1 billion per hour.
• Nissan revised US tariff impact forecast from $4.5 billion to $3 billion for the fiscal year.
• South Korea agreed to 15% tariffs in July but still faces 25% on autos.
• German automakers face billions in rising costs; EU warns of potential retaliation.
• UK steel exports delayed due to US requirements for domestically melted and cast steel.
• US agencies, including USTR, have not responded to requests for comment.
• Japan expects a presidential order by mid-September to address tariff issues.
Summary
Trade partners, including Japan, the EU, South Korea, and the UK, are increasingly frustrated with the US’s failure to deliver on tariff reduction promises under agreements with former President Trump. Despite commitments to lower tariffs, the US continues to impose 25% on auto imports and 50% on steel and aluminum, causing significant economic losses. Japan’s Ryo Akazawa highlighted the urgency of resolving the issue, citing severe financial impacts on businesses. Automakers like Nissan and Hyundai face billions in additional costs, while the EU warns of potential retaliation. The UK also struggles with US-specific steel requirements, delaying tariff relief. Trade partners are pressing for immediate action, with Japan expecting a resolution by mid-September.
