US President Donald Trump has confirmed he does not plan to extend the 90-day pause on tariffs on most nations beyond July 9, 2025, signalling that countries without finalized trade deals with the United States will soon face new trade penalties.

Trump stated in a Fox News interview that his administration would begin sending letters to affected countries before the deadline, specifying the tariff rates they will be subject to—ranging from 10% to as high as 50%, depending on how the US assesses its trade relationship with each nation.

This announcement comes at a critical point in US-India trade negotiations, as both sides race to finalize a preliminary agreement. The talks, initially scheduled to conclude by June 27, were extended as India's delegation remained in Washington to resolve outstanding issues before the July 9 deadline.

India is particularly seeking a full exemption from a proposed 26% reciprocal tariff announced by the US on April 2, which was temporarily suspended for the 90-day period. However, a baseline 10% tariff remains in effect.

While Trump has hinted at the possibility of a major trade deal with India, he has also made clear that the US is seeking removal of all trade barriers for American goods and services, describing such an outcome as "unthinkable" but desirable. The White House has left open the possibility of a short extension to the July 9 deadline to allow for a "balanced" interim agreement, but Trump’s public statements suggest he is inclined to move forward with tariffs unless a deal is reached imminently.

The administration’s broader strategy aims for rapid progress, with a target of reaching 90 trade deals in 90 days, though Trump acknowledged the practical challenges, noting, "there's 200 countries, you can't talk to all of them".

Treasury Secretary Scott Bessent has indicated that while some deals may not be ready by July 9, significant progress is expected by Labour Day, and the comprehensiveness of these agreements remains uncertain.

Meanwhile, trade tensions have escalated with Canada after Trump abruptly cut off negotiations in response to Canada’s digital services tax targeting US tech firms, threatening new tariffs within the week. Talks also continue with the European Union, Japan, and other major partners, as the US seeks to leverage the impending tariff deadline to secure more favorable trade terms globally.

Unless a breakthrough is achieved in the coming days, India and other countries without finalized agreements face the imminent prospect of steep new US tariffs starting July 9, as Trump’s administration moves to implement its aggressive trade policy agenda.

Based On A News18 Report