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Filtering by entity: Brunei Darussalam | Clear Filter
Summary:A letter from the White House dated July 9, 2025, addressed to the Sultan of Brunei, outlines a new trade policy stating that the United States will implement a 25% tariff on all Bruneian products starting August 1, 2025, due to a significant and unsustainable trade deficit. The letter asserts that the US-Brunei trade relationship is unilateral and non-reciprocal, and offers an exception for products manufactured within the US by Bruneian companies. It further warns that any increase in Bruneian tariffs will result in additional US charges beyond the initial 25%. The US frames this deficit as a major threat to its economy and national security.
Sentiment:Demanding
Key Claims:
- The United States has a significant and unsustainable trade deficit with Brunei.
- The US-Brunei trade relationship is unilateral and far from reciprocal.
- Starting August 1, 2025, the US will charge a 25% tariff on all Bruneian products imported into the United States.
- Goods transshipped to evade higher tariffs will be subject to that higher tariff.
- There will be no US tariff if Brunei, or companies within Brunei, decide to build or manufacture products within the United States.
- If Brunei raises its tariffs, an additional amount will be added to the 25% US charge.
- Brunei's tariffs, non-tariff policies, and trade barriers are causing unsustainable trade deficits.
- The trade deficit is a major threat to the US Economy and National Security.
Potential Market Impact (S&P 500):3/10
Potential Geopolitical Risk:1/10
Potential Global Cross-Asset Impact:2/10
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