President Donald Trump is set to send out trade deal offers to twelve countries, outlining new tariff levels on goods exported to the United States. These "take it or leave it" offers are expected to be sent on Monday, according to Trump, who spoke to reporters while traveling on Air Force One to New Jersey.
While Trump did not disclose the names of the countries involved, he mentioned that the details would be made public soon. Initially, he had planned to send the first batch of letters on Friday, which coincided with a national holiday, but the timeline has shifted.
In April, Trump announced a base tariff rate of 10%, with additional tariffs for various countries potentially reaching as high as 50%. However, most of these additional tariffs were put on hold for 90 days to allow for negotiations. This grace period is set to end on July 9, and Trump hinted that tariffs could rise even higher, possibly up to 70%, with many set to take effect on August 1.
When discussing the tariffs, Trump remarked, "I signed some letters and they’ll go out on Monday, probably twelve," indicating that the offers will vary in terms of the amounts and types of tariffs proposed. His administration had initially aimed for negotiations with multiple countries but has shifted focus after facing challenges with major trading partners like Japan and the European Union. Trump noted that sending letters is a simpler approach than engaging in lengthy negotiations.
The change in strategy reflects the difficulties of reaching trade agreements, which typically take years to finalize. So far, the U.S. has only secured trade deals with Britain and Vietnam. The agreement with Britain maintains a 10% tariff rate while providing preferential treatment for certain sectors. The deal with Vietnam reduces tariffs on many Vietnamese goods from a threatened 46% down to 20%, allowing many U.S. products to enter Vietnam without tariffs.
Negotiations with India have stalled, and EU diplomats have reported a lack of progress in discussions with the Trump administration. As the deadline approaches, these countries may seek to maintain the current trade status to avoid facing increased tariffs.