Treasury Secretary Scott Bescent mentioned on Tuesday that the August 1 deadline established by President Trump for countries that haven’t negotiated trade deals with the U.S. is a “strict deadline.”
In an interview with “Morning with Maria,” Bescent pointed out that nations lacking trade agreements have been impacted by the mutual tariffs imposed by Trump earlier this year, leading to market declines due to concerns over rising prices and a sluggish economy.
“I think August 1 is a pretty tight deadline. For all countries, tariff levels will revert to the mutual levels from April 2,” Bescent explained. “That doesn’t mean negotiations are off the table when countries are at higher tariff levels. Perhaps President Trump has devised a rather unique strategy here.”
Buisnesses have backed Trump’s decision to impose tariff rates between 20-50% based on earlier warnings. The administration might be downplaying the adverse effects of these tariffs, all while claiming they will rejuvenate U.S. manufacturing.
On Monday, Bescent indicated to CNBC that the August 1 deadline aims to “increase pressure on these countries to achieve better agreements.”
On Tuesday morning, he hinted at the possibility of new trade agreements being announced within the week, tailored to specific industries.
“We are on the verge of announcing several trade deals shortly. Many of them will involve significant investments in the U.S., particularly in sectors like automobiles, semiconductors, and pharmaceuticals,” Bescent stated.
He also mentioned plans to travel to Stockholm next week and that discussions with Chinese officials regarding the U.S.-China trade agreement will continue until August 12.
“At that time, we might create something that could lead to an extension,” he shared regarding the upcoming third round of U.S.-China trade talks. “I believe trade relations with China are improving.”
Additionally, he previewed upcoming discussions with China that will cover issues surrounding Russian oil sanctions.
“President Trump has shifted the narrative to suggest that tariffs can serve as a negotiation tool, moving beyond just economic concerns to broader issues,” Bescent noted.
Last week, Trump lowered the tariff rates for Indonesia from 32% to 19% after criticizing the existing deal.
