Trump has started telling the US’s main trading partners what tariff rate he will impose on their imports. First up is Japan and South Korea. Both countries will face 25% tariffs, which is a step up from the current 10% rate, and a blow for hopes that Trump would scale back tariff threats and de-escalate a trade war.

South Korean President Lee Jae Myung says that it remains unclear whether Seoul and Washington can conclude their tariff negotiations by next week’s deadline set by President Donald Trump.

South Korea’s parliament and Cabinet approved a $23.3-billion extra budget as new President Lee Jae Myung seeks to revive an economy struggling with weak consumption and mounting trade risks from U.S.