U.S.-EU Trade Deal Faces Aug 1 Deadline Amid Trump’s 30% Tariff Threat

- U.S. Commerce Secretary warns of August 1 deadline for U.S.-EU trade deal to avert tariffs. - Trump threatens 30% tariffs on EU and Mexico, with additional duties on other goods. On July 20, 2025, U.S. Commerce Secretary Howard Lutnick said on CBS’s “Face the Nation” that the United States and the European Union must finalize a trade agreement by August 1. Lutnick warned that failing to reach a deal would trigger sweeping tariffs proposed by President Trump, including a 30% tariff on imports from the EU and Mexico and additional tariffs ranging from 10% to 50% on other global imports. Reuters and CBS News also reported on July 20 on President Trump’s intended measures, which include a specific 50% tariff on copper imports. These developments follow recent stalls in U.S.-EU trade negotiations and create significant economic challenges for industries and smaller global economies. As a result, smaller economies across Latin America, the Caribbean, and Africa face baseline tariffs of 10%. Although goods compliant with the United States-Mexico-Canada Agreement (USMCA) are currently exempt, Lutnick mentioned that President Trump plans to renegotiate the agreement's terms next year, which could alter this status.