President Trump on Thursday granted Mexico a 90-day delay on higher tariffs and said the two countries would try to negotiate a trade deal. But much of the rest of the world remained in limbo as countries waited to see if the spiraling tariffs the president has threatened to put in place as of midnight would go into effect and, if so, how much the United States would charge on imports.
Steep tariffs on dozens of countries are set to snap into effect at 12:01 a.m. Friday, as the president realizes his vision for remaking a global trading system he has long criticized as unfair. But although the administration has disclosed some tariff rates for countries on the president’s social media account or in fact sheets, the specific rates that importers and exporters will need pay to move certain goods across U.S. borders remained unclear, with just hours to go before the deadline.
Karoline Leavitt, the White House press secretary, said Thursday that the administration’s trade team was discussing tariff rates, and that president would be signing an executive order establishing the import taxes later this afternoon or evening. She said the United States had struck deals with many major trading partners, and sent out another 17 letters to countries informing them of the tariff rates they would face.
“The rest of those countries that either do not have a deal or have a letter, they will be hearing from this administration by the midnight deadline tonight,” Ms. Leavitt said. She said more trade agreements could be announced before the deadline tonight.
The Trump administration has now announced preliminary trade deals with a handful of trading partners, including Britain, Indonesia, the Philippines, Japan and the European Union. Those partners have promised to purchase vast amounts of American energy and airplanes, make investments in U.S. factories and lower their barriers to U.S. exports of farm and industrial good.
Top U.S. officials also met with their Chinese counterparts in Stockholm this week to discuss extending a trade truce that expires Aug. 12. While Chinese officials said they had secured a 90-day extension, U.S. officials said the decision was ultimately up to Mr. Trump. Treasury Secretary Scott Bessent said on CNBC on Thursday that an extension was likely.
“There’s still a few technical details to be worked out on the Chinese side between us,” Mr. Bessent said. “I’m confident that it will be done, but it’s not 100 percent done.”
Countries that have agreed to preliminary and often vague trade deals in recent weeks are set to be subject to tariffs of between 10 to 20 percent, lower than what the president threatened originally but still vastly higher than historical levels. Those that have not agreed to deals are expected to face tariffs of up to 50 percent, which could cripple their exports and significantly raise costs for American consumers.
On Thursday, Mr. Trump wrote on his social media account that he had concluded a call with Claudia Sheinbaum, Mexico’s president, and agreed to pause any escalation in tariffs on Mexico for 90 days, “with the goal of signing a Trade Deal.” He did not mention the existing trade deal between the United States, Mexico and Canada, which he updated and signed in his first term.
Earlier that morning, the president wrote on social media that, “Tariffs are making America GREAT & RICH Again.”
“The tide has completely turned, and America has successfully countered this onslaught of Tariffs used against it,” he wrote.
The administration has said that its trade deals will open foreign markets for U.S. farmers and factories and boost American prosperity. But many questions remain about what terms will govern international trade in fewer than 12 hours.
Richard A. Mojica, a customs attorney at Miller & Chevalier Chartered, said that in order for any change to actually go into effect, the United States would need to official modify its tariff schedule, for example through an executive order.
“Until that happens, there is no change,” he said.
His law firm had constructed a complex flow chart to try to counsel companies that are now trying to figure out how to calculate the various new tariffs they will pay, which he said was “not as simple as it has been historically.”
“It’s just a very complicated landscape,” he said.
Ana Swanson covers trade and international economics for The Times and is based in Washington. She has been a journalist for more than a decade.
The post Clock Ticks Down Toward Higher Tariffs With Little Clarity appeared first on New York Times.
