Trump warns of 150-300% tariffs on foreign firms that do not invest in U.S. manufacturing
At a rally in Ohio, President Donald Trump said the United States could impose tariffs of up to 300 percent on companies from South Korea, China, Japan and Canada that fail to meet agreed investment commitments.
President Donald Trump told a campaign rally in Vandalia, Ohio, that the United States could levy tariffs ranging from 150 to 300 percent on foreign companies that do not invest in American manufacturing within a specified timeframe. He cited South Korea, China, Japan and Canada as examples, saying the countries have long used trade measures against the United States and would be given about 18 months to build plants in the United States before higher duties apply.
Trump linked the threat to a 2025 agreement in which South Korea pledged $350 billion in investments, including $200 billion in “commercially reasonable” strategic projects and $150 billion for shipbuilding, in exchange for a reduction of its reciprocal tariff rate from 25 percent to 15 percent. The administration said South Korea was recently offered a chance to invest in an Alaskan LNG pipeline project, which Korean officials are still evaluating.
The president posted on Truth Social that he had not acted prematurely and warned that if South Korea did not proceed, the United States would increase tariffs. He has previously threatened to raise duties on Korean imports of lumber, automobiles and prescription drugs if the Korean legislature did not ratify the investment framework.
Trump also referenced Canada, noting that Ohio’s manufacturing sector exports more than $2 billion of machinery and metal products to Canada each year, goods that could face higher duties. Recent U.S. actions have barred $1 billion of Canadian products, including certain alcohols, motorcycles and dairy, from entering the U.S. market.
U.S. Trade Representative Ambassador Katherine Tai expressed uncertainty about resolving outstanding trade disputes at the G20 meeting in Milwaukee, saying the issues are “quite difficult to resolve.”
While China was mentioned briefly, the president did not elaborate on the Busan Agreement negotiated last fall. India was not discussed at the rally; its trade talks with the United States have encountered setbacks, according to Indian officials.