US signals trade announcements in 48 hours
The clock is ticking down for countries around the world to conclude deals with the US after President Donald Trump unleashed a global trade war that has roiled financial markets and sent policymakers scrambling to protect their economies. Bessent did not say which countries could get deals and what they might contain. Trump has kept much of the world guessing on the outcome of months of talks with countries hoping to avoid the hefty tariff hikes he has threatened.
'We've had a lot of people change their tune in terms of negotiations. So my mailbox was full last night with a lot of new offers, a lot of new proposals,' Bessent said in an interview with CNBC. 'So it's going to be a busy couple of days.'
Trump said the US would start delivering tariff letters from 12 pm ET (1600 GMT) on Monday, but Bessent said they would not necessarily contain ultimatums. 'It's just 'thank you for wanting to trade with the United States of America,'' he said. ''We welcome you as a trading partner, and here's the rate, unless you want to come back and try to negotiate'.'
For its part, the European Union still aims to reach a trade deal by July 9 after Commission President Ursula von der Leyen and Trump had a 'good exchange', a Commission spokesperson said. It was not immediately clear, however, whether there had been a meaningful breakthrough in talks to stave off tariff hikes on the United States' largest trading partner.
Adding to the pressure, Trump threatened to impose a 17 percent tariff on EU food and agriculture exports, it emerged last week. Trump had on Sunday said the US was close to finalizing several trade pacts and would notify other countries by July 9 of higher tariff rates. He said they would not take effect until August 1, a three-week reprieve.
More broadly, stocks drifted and the US dollar held near multi-year lows after the US flagged the tariff reprieve but failed to provide specifics. The EU has been torn over whether to push for a quick and light trade deal or back its own economic clout in trying to negotiate a better outcome. It had already dropped hopes for a comprehensive trade agreement before the July deadline.
'We want to reach a deal with the US We want to avoid tariffs,' the spokesperson told reporters at a daily briefing. 'We want to achieve win-win outcomes, not lose-lose outcomes.' Without a preliminary agreement, broad US tariffs on most imports would rise from their current 10 percent to the rates set out by Trump on April 2. In the EU's case, that would be 20 percent.
Von der Leyen also held talks with the leaders of Germany, France and Italy at the weekend, Germany said. Chancellor Friedrich Merz has repeatedly stressed the need for a quick deal to protect industries vulnerable to tariffs ranging from cars to pharmaceuticals. The German spokesperson said the parties should allow themselves 'another 24 or 48 hours to come to a decision'.
Germany's Mercedes-Benz MBGn.DEsaid on Monday its second-quarter unit sales of cars and vans had fallen 9 percent, blaming tariffs. Russia said BRICS was 'a group of countries that share common approaches and a common world view on how to cooperate, based on their own interests'. – Reuters
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