Today, President Trump will send warning letters to nations that have not yet signed trade agreements with the U.S. The letters will alert officials that tariffs of up to 70% could be imposed if no deal is reached by the July 9 deadline.
Trump told reporters, “By the ninth they’ll be fully covered… They’ll range in value from maybe 60% or 70% tariffs to 10% and 20% tariffs.”
“We have more than 170 countries, and how many deals can you make? They’re very much more complicated.”
U.S. Treasury Secretary Scott Bessent has confirmed that approximately 100 nations are likely to implement a minimum “reciprocal” rate of 10% starting next week. Bessent said he anticipates a “flurry” of deals before the deadline.
Earlier this week, Trump stated that negotiations with Japan had deteriorated, and the nation now faced higher tariffs of 30%, 35%. “They’re very tough. You have to understand, they’re very spoiled,” the President added.
So far, President Trump has reached trade agreements with the following nations:
- China: U.S. officials lifted restrictions on chip design software and ethane exports. U.S. software companies like Synopsys and Cadence said they will now be able sell their chip design tools to Chinese customers once again.
- Vietnam: On Wednesday, the Trump Administration confirmed that it had reached a trade deal with Vietnam, reducing the tariff from 46% to 20%. Vietnamese goods will also face a higher “transshipping” tariff of 40% — applied when goods shipped from Vietnam originate from another country, like China. Most US goods will see no duty upon import to Vietnam.
- European Union: The EU has confirmed its willingness to accept a 10% tariff on imports however it is seeking exemptions for pharmaceuticals, alcohol, semiconductors, and commercial aircraft.
In Trump’s letters, the President states that tariffs will take effect starting August 1.
By CEO NA Editorial Staff