WASHINGTON: US tariffs will take effect on August 1 unless trading partners, including Taiwan and the European Union, reach agreements with Washington, Treasury Secretary Scott Bessent confirmed.
The rates will revert to the higher levels initially announced by former President Donald Trump in April, following a suspension for negotiations.
Bessent stated on CNN that the administration is applying “maximum pressure” to secure deals, with several agreements expected in the coming days. Trump had previously set a July 9 deadline for negotiations but extended the timeline, signaling that tariffs would be enforced if no progress was made.
The president confirmed that letters announcing rate hikes would be sent to multiple countries, though some deals, such as those with the UK and Vietnam, have already been finalized. US Commerce Secretary Howard Lutnick emphasized that while tariffs are set to begin in August, the administration is actively negotiating terms.
Countries like Japan and the EU remain cautious, with Japanese Prime Minister Shigeru Ishiba stating he “won’t easily compromise” in trade talks. Meanwhile, BRICS leaders expressed concerns that the tariffs could disrupt global trade.
Bessent dismissed inflation fears, distinguishing between temporary price adjustments and broader economic impacts. “Inflation is a generalized monetary phenomenon. We’re not going to see that,“ he told Fox News. – AFP
