By Emeka Blast 
Trump Announces Pakistan Trade Agreement, Proposes Tariff ‘Buy Down’ Deal to South Korea
President Donald Trump announced on Wednesday, July 30, 2025, a landmark trade agreement with Pakistan to jointly develop the South Asian nation’s “massive oil reserves,” hinting at potential future oil exports to India. In the same Truth Social post, Trump revealed he would meet with South Korean trade negotiators later that day to discuss a proposal to “buy down” their looming 25% tariffs on imports to the U.S., set to take effect August 1. The announcements, made amidst a flurry of global trade negotiations, underscore Trump’s aggressive tariff strategy to reduce America’s trade deficit, which he claims will “MAKE AMERICA GREAT AGAIN!”
The U.S.-Pakistan deal, finalized after Secretary of State Marco Rubio’s July 25 meeting with Pakistani Foreign Minister Ishaq Dar in Washington, focuses on tapping Pakistan’s untapped oil reserves, with Trump noting that a U.S. oil company, yet to be selected, will lead the partnership. “Who knows, maybe they’ll be selling oil to India some day!” Trump quipped, a pointed jab at India, which faces a 25% tariff plus additional penalties starting August 1 due to its trade barriers and Russian energy purchases. Pakistani officials, including Dar, had signaled a deal was “very close” last week, emphasizing expanded trade in critical minerals and mining. The agreement, though light on specifics, is touted as a step toward strengthening U.S.-Pakistan economic ties, with no immediate response from Islamabad confirming the deal.
Simultaneously, Trump turned to South Korea, a key U.S. ally facing a 25% tariff on exports like cars, semiconductors, and steel, unless a deal is reached by the August 1 deadline. “South Korea is right now at a 25% Tariff, but they have an offer to buy down those Tariffs. I will be interested in hearing what that offer is,” Trump posted, signaling openness to negotiations. The proposed “buy down” involves South Korea investing in U.S. projects to secure a lower tariff rate, a strategy mirroring deals with Japan and the EU, which secured 15% tariffs. South Korea’s trade surplus with the U.S., exceeding $56 billion in 2024, and its auto exports, hit hard by Trump’s 25% car tariffs since April, make the talks critical. South Korean President Lee Jae Myung, newly elected, is under pressure to protect Hyundai and Kia’s U.S. market share.
The announcements come as Trump’s tariff policy reshapes global trade. On July 30, he imposed a 25% tariff on India, citing its “obnoxious” trade barriers and Russian ties, while Brazil faces a 90% tariff, up from 50%, partly due to its treatment of former President Jair Bolsonaro. Japan secured a 15% tariff deal last week, while Indonesia and the Philippines face 19% tariffs under recent agreements. Trump’s strategy, leveraging the International Emergency Economic Powers Act, aims to counter non-reciprocal trade practices, with U.S. consumers facing an estimated $1,300 extra per household in 2025 due to higher import costs. Critics, including the Yale Budget Lab, warn of inflation risks, while supporters argue the tariffs protect American industries.
Social media reactions on X were polarized, with @rawsalerts posting, “Trump’s Pakistan oil deal and South Korea tariff talks show he’s playing hardball!” and @GlobalEyeNG noting, “South Korea’s got a lifeline, but India’s getting hammered. Trade war’s heating up!” Indian opposition parties slammed Prime Minister Narendra Modi, with the Congress Party tweeting, “India’s foreign policy has completely failed,” while India’s Commerce Ministry vowed to pursue a “fair, balanced” deal. South Korea’s Kospi index rose 0.5% on hopes of tariff relief, reflecting cautious optimism.
