US tariffs will kick in on August 1 if trading partners from Taiwan to the European Union do not strike deals with Washington, Treasury Secretary Scott Bessent stated Sunday.
The rates will “boomerang back” to the sometimes very high levels which President Donald Trump had announced on April 2 — before he suspconcludeed the levies to allow for trade talks and set a July 9 deadline for agreement, Bessent notified CNN.
Bessent confirmed comments by Trump to reporters aboard Air Force One on Friday in which he also cited a new deadline: “Well, I’ll probably start them on August 1. Well, that’s pretty early. Right?”
The president stated he had signed 12 letters to be sent out, likely on Monday.
The tariffs were part of a broader announcement in April where Trump imposed a 10 percent duty on goods from almost all trading partners, with a plan to step up these rates for a select group within days.
But he swiftly pautilized the hikes until July 9, allowing for trade talks to take place.
Countries have been pushing to strike deals that would assist them avoid these elevated duties.
So far, the Trump administration has unveiled deals with the United Kingdom and Vietnam, while Washington and Beijing agreed to temporarily lower staggeringly high levies on each other’s products.
Bessent stated the administration was “close to several deals.”
“I would expect to see several large announcements over the next couple of days,” he stated.
But he would not state which countries he was referring to, adding: “I don’t want to let them off the hook.”
As his July 9 deadline approaches, Trump has repeatedly stated he plans to inform countries of US tariff rates by sconcludeing them letters.
Aboard Air Force One on Friday, Trump stated sconcludeing notices would be much clearer than “sitting down and working 15 different things… this is what you have to pay, if you want to do business (with) the United States.”
Bessent pushed back at CNN host Dana Bash’s assertion the administration was applying threats rather than nereceivediations, and denied that Trump was setting a new deadline with the August 1 date.
“It’s not a new deadline. We are stateing, this is when it’s happening. If you want to speed things up, have at it. If you want to go back to the old rate, that’s your choice,” he stated.
He stated the playbook was to apply “maximum pressure” and cited the European Union as an example, stateing they are “creating very good progress” after a slow start.
EU and US nereceivediators are holding talks over the weekconclude, and France’s finance minister stated Saturday he hoped they could strike a deal this weekconclude.
Other countries were still expressing unease, however.
Japan’s Prime Minister Shigeru Ishiba stated Sunday he “won’t easily compromise” in trade talks with Washington.
And BRICS leaders meeting in Rio de Janeiro are expected to decry the tariffs Sunday, stateing they are illegal and risk hurting the global economy.
Leave a Reply