‘Take it or leave it’: Trump threatens new wave of tariffs in two weeks

US President Donald Trump has reiterated his threat to impose unilateral tariffs on dozens of countries, giving them a two-week ultimatum to accept new trade terms or face higher duties.

Speaking at an event at the John F. Kennedy Center for the Performing Arts in Washington, Trump said his administration would be sending letters to US trading partners outlining “the deal”, stating, “You can take it or leave it,” as quoted by Bloomberg.

This comes ahead of a self-imposed July 9 deadline to reimpose duties that were initially delayed earlier this year amid financial market jitters and diplomatic pushback.

Trump’s latest warning: Unilateral tariffs in ‘one to two weeks’

According to Bloomberg, Trump said on Wednesday, “We’re going to be sending letters out in about a week and a half, two weeks, to countries, telling them what the deal is.” He added, “At a certain point, we’re just going to send letters out,” indicating a unilateral approach that may bypass negotiations.

While Trump has frequently used two-week deadlines as political pressure tactics with many either delayed or abandoned, this warning marks a potential inflection point in his 2025 economic agenda.

He has also signalled a reduced appetite for full-scale negotiations, telling reporters that the administration lacked the capacity to strike individual deals with “dozens” of economies.

Talks would now be prioritised with a few major partners, including India, Japan, South Korea, and the EuropeanUnion.

Trump tariff saga

On 2 April 2025, Trump unveiled sweeping global tariffs in what he heralded as his administration’s “Liberation Day” trade offensive. Under Executive Order 14257, a baseline 10 per cent reciprocal duty was imposed on nearly all US imports, with significantly higher levies aimed at key trading partners.

In China’s case, the tariff assault was especially dramatic. The US first raised duties from 20 per cent to 34 per cent, then to 84 per cent, and finally to a stratospheric 145 per cent by 11 April. China, in turn, retaliated, escalating its tariffs to roughly 125 per cent on US exports, including agricultural and industrial goods .

Beijing also issued export restrictions on rare-earth minerals and magnets, key inputs for tech industries, intensifying tensions further.

Similar reciprocal tariffs were applied to other major economies. Mexico and Vietnam faced a 15 per cent duty on low-cost electronics and solar equipment, while Germany and South Korea saw 20 per cent levies on automobiles and industrial machinery.

India was slapped with a stiff 26 per cent tariff on pharmaceuticals and processed metals, far higher than earlier reported estimates . Meanwhile, Indonesia and Thailand confronted new duties targeting textiles and battery components.

In the midst of the chaos, Trump reversed course on 9 April, pausing most tariffs for 90 days while keeping Chinese tariffs intact prompting a dramatic rebound in stocks. Treasury Secretary Scott Bessent described the reprieve as a deliberate tactic to buy time for negotiations.

However, the pause did little to resolve the core dispute. A US trade court ruled the tariff plan overstepped legal authority on 28 May, temporarily halting implementation. Trump swiftly appealed, keeping the threat alive .

Trade tensions with China simmer despite truce

Among the most fragile trade relationships remains that with China. Although Trump has touted a partial deal with Beijing, declaring earlier this week that “the framework is done,” tensions continue to simmer.

As per Bloomberg, the agreement includes Beijing’s commitment to supply rare earths and industrial magnets, while the US would ease restrictions on Chinese students pursuing higher education in American institutions.

Yet, this truce has already been tested. Both Washington and Beijing have accused each other of backtracking on key terms, leading to an emergency round of talks in London. According to Reuters, US negotiators fear that China’s state subsidies and export controls on critical minerals remain unresolved issues.

No EU deal in sight, bilateral talks prioritised

While some limited progress has been made such as a tariff truce with China and a skeletal trade understanding with the UK, the Trump administration has failed to reach comprehensive agreements with most other partners.

Commerce Secretary Howard Lutnick, speaking on Wednesday, expressed frustration at the pace of negotiations with the European Union, calling the 27-member bloc “an impossible consensus machine.” As quoted by Reuters, Lutnick said, “The EU is likely to be among the last deals we close, not the first.”

In contrast, efforts to finalise bilateral agreements with India, Japan and South Korea are ongoing. But details remain scarce, and many analysts see Trump’s unilateral approach as risking renewed trade wars with traditional allies and emerging economies alike.

With the July 9 deadline fast approaching, Trump’s two-week ultimatum puts pressure on US trading partners to accept revised trade terms or brace for higher tariffs.

While some nations may seek to negotiate exemptions or fast-track bilateral agreements, others could retaliate, plunging global trade into another uncertain chapter.

Whether Trump follows through with his tariff threats remains to be seen. But one thing is clear, his trade doctrine is back on the global agenda, and the consequences could be far-reaching.

(With inputs from the agencies)