Lutnick Declares August 1 as’s ‘Hard Deadline’ for EU and Tariffs
US Commerce Secretary Confirms August 1 Tariff Deadline
Commerce Secretary Howard Lutnick emphasized that the upcoming August 1 deadline for implementing new tariffs is definitive. While countries can continue negotiations after this date, they will be subject to the new tariffs starting August 1.
Although President Trump has previously adjusted this deadline, Lutnick assured that August 1 is now a firm cutoff. The Trump administration has repeatedly delayed tariffs, initially set for April, then pushed to July, and finally to August.
President Trump has proposed a 30% tariff against the European Union and has threatened additional punitive tariffs on countries that do not agree to new trade terms. Besides the standard 10% tariff on most imports, the administration has also imposed higher rates on specific goods, such as automobiles, aluminum, and steel, especially from Canada and Mexico, in line with the USMCA agreement.
Despite the pressing deadline, Lutnick expressed optimism that the US and European Union will reach a mutually beneficial deal. He stated, “There’s plenty of room. The biggest trading partners, the US and EU, are talking, and I am confident a deal will be made. We will see some of the best trade agreements for America.”
Lutnick also confirmed that the current 10% baseline tariff will remain during ongoing negotiations. The administration has already reached trade agreements with the UK and Vietnam and has a tariff truce with China, which Trump claims is subject to a 55% rate.
“The next two weeks will be decisive. President Trump is committed to delivering for the American people,” Lutnick said.
Additional tariffs of 25% on automobiles, aluminum, steel, and imports from Canada and Mexico are also in effect to enforce US trade policies.
Trump has threatened to raise tariffs further, up to 35% against Canada and 30% against Mexico. In recent weeks, he has sent notices to smaller trading partners warning of tariffs if deals are not completed soon. Nonetheless, many smaller nations are expected to face the standard 10% tariff as focus remains on larger economies.
Lutnick suggested that smaller countries, such as those in Latin America, the Caribbean, and Africa, will likely face the baseline rate, while larger economies will either open their markets or pay tariffs for unfair treatment.