Treasury Secretary Scott Bessent confirmed Sunday that President Donald Trump is prepared to reinstate suspended tariffs on foreign imports if key trading partners fail to reach new agreements by August 1.
Appearing on CNN’s State of the Union, Bessent told host Dana Bash that the Trump administration would be “very busy” in the next 72 hours, with letters going out to multiple countries laying out their final notice.
“President Trump’s going to be sending letters to some of our trading partners, saying that if you don’t move things along, then on August 1, you will boomerang back to your April 2 tariff level,” Bessent said. “So I think we’re going to see a lot of deals very quickly.”
When asked whether this marked a new deadline, Bessent pushed back: “It’s not a new deadline. We are saying this is when it’s happening. If you want to speed things up, have at it. If you want to go back to the old rate, that’s your choice.”
Bessent emphasized that the administration’s trade strategy hinges on maximum pressure—and that it’s working. “Three weeks ago, President Trump threatened 50 percent tariffs, and within hours, five European national leaders were on the phone,” he said. “The head of the E.U., Ursula von der Leyen, was calling. That tells you how serious this is.”
According to Bessent, the U.S. holds the upper hand because of its trade deficit status. “When you’re the deficit country, you have the leverage,” he said. “These are surplus countries. They sell far more to us than we do to them. So we are in the driver’s seat.”
Bessent dismissed concerns about business uncertainty, arguing that Trump’s “One Big, Beautiful Bill” has already provided major clarity by locking in the tax code and delivering full expensing for new investments. “When I’m out talking to businesses, they want trade and taxes. We’ve now delivered both,” he said.
He closed by reiterating that the U.S. is in active talks with 18 key countries and that several major trade announcements are expected in the coming days.