The clock is closer to the latest tariff deadline for U.S. President Donald Trump. While more deals have been reached since the last tariff deadline on July 9 (or at least the framework for reaching a deal), trade negotiations with many countries remain unchanged.
Trump announced approval of import taxes to U.S. goods in April. These include the so-called reciprocity rate increase in some countries, most of which have been postponed twice since.
The pauses in the first 90 days were clearly working to calm the panic in the global market and promote national negotiations, and the Trump administration set a lofty goal of reaching 90 deals in 90 days at one point.
But three months later, only two deals appeared: with the UK and Vietnam. A separate “framework” was carried out with China. By early July, Trump began warning letters on August 1 that it would impose higher tariffs on dozens of countries.
Since then, the United States has announced a trade framework with the EU, Japan, the Philippines and Indonesia. However, critical details remain very few—or not immediately captured in writing.
Here are some insights so far based on the recently announced agreement.
The United States and the European Union have announced a trade framework that imposes 15% tariffs on most European goods, preventing Trump’s recent 30% threat if no deal is reached by August 1.
But some key details require more work. The title of the agreement, unveiled on July 27, is that a 15% tariff rate will apply to 70% of European goods brought to the United States – the EU later confirmed that the rate applies to pharmaceuticals, semiconductors, as well as automotive and automotive parts. However, the remaining 30% of imports remain open for negotiations.
European Commission President Ursula von der Leyen said both sides agreed to impose zero tariffs on a range of “strategic” goods. Meanwhile, Trump noted that European companies have increased their investment in the U.S. – including what Trump said is that over three years, $750 billion (€638 billion) of natural gas, oil and nuclear fuel, and an additional $600 billion (€511 billion) under political commitments.
On July 22, Trump announced a trade framework that would impose 15% tariffs on Japan, lower than the rate he previously threatened 25%. The U.S. president also said that Japan will invest $550 billion in the U.S. and “open” its economy to American cars and rice.
The newly imposed 15% tariff rate also applies to Japanese cars, marking a welcome relief from automakers such as Toyota Motor Corp. and Honda – like other automakers, which have faced a 25% levy of 25% for key parts since earlier this year and have entered the U.S. However, car companies in other countries, including U.S. competitors, are concerned that this could put them at a disadvantage.
Shortly after a July 22 meeting with Philippine President Ferdinand Marcos, Jr., Trump announced that he would lower his upcoming tariffs on imports from the country to 19%, down just 1% from his previous 20% threat.
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In return, Trump said in the truth society that the United States will not impose tariffs on American goods it ships to the Philippines. But other details are still unclear. Marcos said his country is considering options, such as opening the market without tariffs on U.S. cars, but the details that are still underlined are still to be addressed.
On July 15, Trump entered social media again and announced that he agreed to reduce his planned Indonesian goods tariffs to 19%, to 19%, far lower than the previous levy that threatened 32%, while American goods in Southeast Asian countries will not face tariffs. A White House fact sheet later confirmed that “more than 99% of American products” exported to Indonesia would be tax-free.
Indonesian President Prabowo Subianto said he would continue to negotiate with Trump in hopes of further reducing U.S. tariffs.
On July 2, Trump announced a trade agreement with Vietnam, which he said would allow U.S. goods to be on duty. By comparison, Vietnam’s exports to the United States will face a 20% tax.
In April, Trump’s “countdown” rate of 46% of Vietnamese goods proposals was less than half. But in addition to the new 20% tariff rate, Trump said the U.S. would also impose a 40% tax on “allowing”, which is targeting goods from Vietnam to another country. Washington complains that Chinese goods have been transiting through Vietnam to avoid higher U.S. tariffs.
On May 8, Trump agreed to cut tariffs on British cars, steel and aluminum, among other trade commitments – while the UK promised to reduce taxes on olive oil, wine, wine and sports equipment such as U.S. products. The two countries announced the deal in a grand manner, but some key details are still unclear in the weeks.
For example, when the deal was announced, the British government specifically said that the U.S. agreed to exempt the U.S. from its then 25% foreign steel and aluminum tax, which would effectively allow the country’s two metals to be exempt from the U.S.
However, when these cuts took effect, the time lasted in the air for nearly a month. Until early June, when Trump raised his steel and aluminum tariffs to a 50% global penalty, the United States admitted it was time to implement the deal. Even so, our tariffs on steel and aluminum in the UK are not at zero. The UK is the only country to survive Trump’s new 50% tax, but still faces a 25% metal import tax.
At its peak, Trump’s new tariffs on Chinese goods totaled 145%, while China’s objection to U.S. products reached 125%. But on May 12, the state agreed to its 90-day armistice tax, reducing these taxes to 30% and 10% respectively. In June, details began to involve a tentative trade agreement.
U.S. Treasury Secretary Scott Bessent said China agreed to make Chinese magnets and rare earth minerals easier for U.S. companies, which is crucial for manufacturing and microchip production. At the same time, China’s Ministry of Commerce said that the United States will “revoke a series of restrictive measures taken against China.”
Other key details of the deal remain bleak – including the timing of the implementation of these terms. On July 29, senior Chinese trade officials said that after a two-day trade meeting in Stockholm, the two sides have agreed to extend the deadline for new tariffs on August 12. The U.S. side said it discussed the expansion plan but no decision was made.
–Associated Press journalists from around the world contributed to the report.
