Trump's trade countdown: US tells partners to submit final offers or miss the deal

The Trump administration has urged trading partners to submit their best offers on key trade issues by Wednesday, aiming to fast-track negotiations ahead of a looming July 8 deadline, according to a draft letter obtained by Reuters.

The letter, from the Office of the United States Trade Representative (USTR), outlines President Donald Trump’s push to conclude complex trade talks that began on April 9, when he paused his “Liberation Day” tariffs for 90 days. The tariff freeze came in response to turmoil in financial markets, triggered by Trump’s sweeping tariff proposals.

Reuters reports that the letter reflects a mounting sense of urgency in Washington to wrap up multiple trade agreements. Despite repeated assurances from officials, including White House economic adviser Kevin Hassett, that deals were near, only one agreement, a limited framework with Britain, has been reached with a major U.S. trading partner so far.

According to the draft, the U.S. is asking countries to submit their strongest proposals on several key issues: tariff and quota offers for U.S. industrial and agricultural goods, solutions to non-tariff barriers, and commitments on digital trade and economic security. Country-specific pledges are also being sought, Reuters said.

The U.S. plans to assess the responses swiftly and identify a potential “landing zone,” which could include reciprocal tariff rates. While the letter does not specify which countries received it, Reuters notes that it targets nations actively engaged in talks with the U.S., including the European Union, Japan, Vietnam, and India.

A USTR spokesperson told Reuters that negotiations remain active: “Productive negotiations with many key trading partners continue at a rapid pace. It is in all parties’ interest to take stock of progress and assess any next steps.”

Tiffany Smith, vice president of global trade policy at the National Foreign Trade Council, welcomed the USTR’s efforts to move quickly. “We are encouraged that USTR is moving negotiations ahead as quickly as they can,” she told Reuters. “Trade deals that remove barriers for U.S. companies abroad and lower U.S. tariffs would be a win-win if done in a way that returns predictability and stability to trade relationships.”

Trump’s high-stakes tariff strategy remains a cornerstone of his “America First” economic policy. He has repeatedly vowed to reduce trade deficits and shield U.S. industries, even as his approach has sparked volatility in global markets. After steep declines in early 2025, U.S. stocks staged their biggest monthly rally in May since November 2023, Reuters noted, though gains have remained fragile amid continued tariff threats.

On Friday, Trump stunned markets by announcing a surprise doubling of tariffs on steel and aluminum imports at an event in Pittsburgh. The news had little immediate effect on stocks Monday afternoon, Reuters reported.

However, the legal foundation of Trump’s broadest tariff actions is under scrutiny. Last week, the U.S. Court of International Trade ruled that the president overstepped his authority under the International Emergency Economic Powers Act (IEEPA), the statute used to justify the “Liberation Day” tariffs and earlier measures against Canada, Mexico, and China over fentanyl trafficking claims. An appeals court quickly paused that decision, allowing the tariffs to remain in place for now.

Importantly, the draft letter obtained by Reuters signals that the administration intends to press forward with its trade agenda regardless of the court outcome.

“Regardless of ongoing litigation concerning the President’s reciprocal tariff action in U.S. courts, the President intends to continue this tariff program pursuant to other robust legal authorities if necessary,” the draft says. “So it is important that we continue our discussions on these matters.”