U.S. to Unveil New Tariff Structure for Key Trade Partners Within Weeks
President Donald Trump confirmed on Friday that his administration will begin issuing new tariff rates for U.S. trading partners “within the next few weeks,” a move that signals a dramatic recalibration of American trade policy ahead of the 2024 election cycle. Speaking during a meeting with business leaders in the United Arab Emirates, Trump stated that the U.S. trade team is working through capacity limitations and cannot simultaneously negotiate with all global partners.
Treasury Secretary Scott Bessent and Commerce Secretary Howard Lutnick have been tasked with formally notifying foreign governments and corporations of their new tariff obligations. These communications, according to Trump, will lay out “what they’ll be paying to do business in the United States,” suggesting a direct administrative route to implementing revised trade costs without awaiting lengthy negotiations.
Highlights:
Trump administration will set new tariffs for trading partners in coming weeks.
Treasury and Commerce Departments to send formal letters outlining new trade costs.
Trump cites limited administrative bandwidth as a reason for staggered negotiations.
U.S.-China Trade Truce May Be Short-Lived as Investors Anticipate Tariff Stability
While recent headlines have focused on a temporary trade detente between the U.S. and China, analysts suggest that the current 90-day truce may be merely a pause rather than a precursor to long-term resolution. The Chinese state-affiliated Global Times called the 90-day window insufficient, signaling Beijing’s desire for an extended grace period to ease trade tensions and adapt to regulatory uncertainty.
Despite market optimism earlier in the week, expectations are firming that U.S. tariffs — particularly those impacting high-tech and manufacturing sectors — will remain elevated beyond the current truce window. Negotiations with South Korea are ongoing, but Bloomberg reports indicate that any substantial tariff relief is unlikely within the short-term horizon.
Highlights:
U.S.-China tariffs paused for 90 days following recent UK trade deal.
China calls the truce too short and seeks greater flexibility.
Tariffs are expected to remain high despite ongoing talks in South Korea.
India Trade Developments and Apple Criticism Signal Dual Focus on Tariffs and Domestic Production
Trump also suggested on Thursday that India may reduce tariffs on U.S. imports in a forthcoming trade agreement, potentially easing a long-standing friction point between the two economies. India’s tariffs on electronics, agricultural goods, and pharmaceuticals have frequently been cited as obstacles to deeper trade integration.
In the same context, Trump took aim at Apple CEO Tim Cook, pressing the tech giant to prioritize domestic manufacturing rather than increasing its footprint in India. The remarks come at a time when Apple is expanding production operations in India, including iPhone exports to the U.S., in part to sidestep Chinese tariffs and hedge geopolitical risks.
Highlights:
Trump expects future trade deal with India to lower tariffs on U.S. goods.
Criticism of Apple’s India expansion reflects push for U.S.-based manufacturing.
Apple’s India strategy aims to bypass Chinese tariffs and stabilize supply chains.
Retail Sector Reels as Walmart Warns of Tariff-Driven Price Increases
The broader corporate fallout from Trump’s aggressive tariff regime is beginning to show. Walmart warned on Thursday that higher tariffs will inevitably translate into increased costs for American consumers. The company joined a growing list of major retailers declining to issue profit guidance for the next quarter, citing unpredictable trade conditions and supply chain disruptions.
Retailers are grappling with a cost structure in flux as duties on imported goods, especially electronics, clothing, and home goods, remain a key driver of inflationary pressure. Walmart’s disclosure underscores the tariff policy’s potential to erode consumer purchasing power and shrink corporate margins.
Highlights:
Walmart cautions that tariffs will lead to higher consumer prices.
Retailers like Walmart avoid issuing forward guidance amid tariff uncertainty.
Tariff-induced supply chain disruptions compound inflationary risks.
Middle East AI Push Gains Momentum Amid Trump Visit, Boosts Nvidia and AMD
Trump’s visit to the Middle East also produced economic ripple effects, particularly in the tech sector. Saudi Arabia and the UAE unveiled new partnerships with leading American chipmakers, including Nvidia and AMD, to accelerate their artificial intelligence (AI) development agendas. These agreements come as part of broader initiatives by Gulf nations to diversify away from oil and invest heavily in digital infrastructure.
The deals are expected to funnel hundreds of thousands of AI chips to the region, aligning with recent announcements by Nvidia and its Saudi partner Humain. The AI boom in the Gulf provides a bright spot for U.S. tech exports even as global trade frictions persist elsewhere.
Highlights:
Saudi Arabia and UAE move forward with AI ambitions during Trump’s visit.
Nvidia and AMD to supply chips under new Gulf region partnerships.
Middle East AI deals offer export opportunities despite broader trade tension.
