Daijiworld Media Network - Washington
Washington, Jul 7: In a temporary easing of trade tensions, US President Donald Trump has deferred the imposition of country-specific tariffs to August 1, offering a window for ongoing negotiations with several key trade partners, including India. The tariffs were originally slated to take effect on July 9.
The announcement of the postponement came from US Commerce Secretary Howard Lutnick, who confirmed on Sunday (local time) that President Trump is “setting the rates and the deals right now” as trade talks reach a critical phase.
Speaking to the media, Trump struck a firm tone, stating, “I think we’ll have most countries wrapped up by July 9, either through letters or finalised agreements.” He also signalled that formal notification letters warning of tariff hikes would begin rolling out from Monday, with more to follow on Tuesday.
Trump defended his strategy, saying it was more efficient to issue flat tariff terms than to engage in drawn-out bilateral negotiations: “This is what you have to pay if you want to do business with the United States.”
The tariff policy, first announced in April, includes a base import tax of 10% on most U.S. trading partners, with additional duties climbing as high as 50% in certain cases.
So far, the US has finalized trade agreements with the United Kingdom and Vietnam, with more deals reportedly in the final stages. US Treasury Secretary Scott Bessent said on CNN that Trump’s administration is actively pressuring countries to expedite negotiations.
“President Trump is going to send letters to some of our trading partners stating that if progress stalls, by August 1 tariffs will snap back to the higher levels announced on April 2. That’s going to force a lot of quick agreements,” Bessent said.
India, for its part, recently sent a high-level delegation to Washington, led by chief negotiator Rajesh Agrawal, for crucial trade talks. However, negotiations ended without a breakthrough—particularly on contentious issues like agriculture and dairy imports, which the US has been pushing to open further.
In a move that could escalate geopolitical tensions, Trump also declared that an additional 10% tariff will be imposed on nations that, in his view, “align themselves with the anti-American policies of BRICS.”
The US president’s aggressive trade posture comes at a time when global alliances are shifting, and countries like India are striving to strike a balance between national interests and international partnerships.
As the clock ticks down to August 1, pressure is mounting on governments to secure deals—or risk steep tariffs that could disrupt trade flows and economic stability.