UN Trade Chief Warns US Tariff Delay Increases Global Economic Uncertainty
The U.S. government’s decision to postpone the implementation of new tariffs on countries that fail to reach trade deals with Washington until August 1 has extended global uncertainty and instability, according to the head of a United Nations trade agency.
On Monday, former President Donald Trump escalated his trade war by sending letters to 14 countries—including major exporters like Japan and South Korea, as well as smaller trading partners—warning of significantly higher tariffs starting August 1. This move comes despite the initial July 9 deadline for bilateral trade talks.
“This decision essentially prolongs the period of uncertainty, undermining long-term investments and commercial contracts, and creating even more instability,” said Pamela Coke-Hamilton, Executive Director of the International Trade Centre (ITC), during a press briefing in Geneva, as reported by Reuters.
“If a business does not know exactly what costs it will face, it cannot plan, it cannot determine who will invest,” she explained, citing the example of Lesotho, where major textile exporters have suspended investments while awaiting a decision on the tariffs.
Coke-Hamilton also noted that this uncertainty, combined with drastic cuts to development aid, has dealt a “double shock” to developing countries.
