{"id":1189,"date":"2025-04-25T07:38:37","date_gmt":"2025-04-25T07:38:37","guid":{"rendered":"https:\/\/www.insuracarelife.com\/blog\/trump-team-races-to-form-trade-deals-after-tariffs-sow-global-chaos\/"},"modified":"2025-04-25T07:38:37","modified_gmt":"2025-04-25T07:38:37","slug":"trump-team-races-to-form-trade-deals-after-tariffs-sow-global-chaos","status":"publish","type":"post","link":"https:\/\/www.insuracarelife.com\/blog\/trump-team-races-to-form-trade-deals-after-tariffs-sow-global-chaos\/","title":{"rendered":"Trump Team Races to Form Trade Deals After Tariffs Sow Global Chaos"},"content":{"rendered":"<div data-testid=\"companionColumn-0\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">For a president who advertises himself as a paramount deal maker, the next 11 weeks will be a pivotal test, as his advisers race to accomplish what no other administration has done before and reach dozens of individual trade deals with other governments.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">President Trump has promised big gains for American trade, and officials from Japan, South Korea, India and elsewhere have been pushing for agreements as they look to forestall punishing tariffs. But trade experts say the administration has set up a seemingly impossible task, given that traditional trade deals typically take months or years to negotiate.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Mr. Trump has tried to use tariffs as leverage to notch quick agreements, and his trade adviser, Peter Navarro, has promised \u201c90 deals in 90 days.\u201d But the levies are creating chaos and financial pain for many businesses, and they have not brought some of America\u2019s largest trading partners, including China, to the table.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Some U.S. trade with China has ground to a halt after the countries imposed triple-digit tariffs on each others\u2019 products, and a wave of bankruptcies, especially among small U.S. businesses that rely on Chinese imports, appears to be looming if the trade barriers are maintained.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-1\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">Some Trump officials recognize that the situation with China is not sustainable and have been strategizing how to reduce the tariffs between the countries, two people familiar with the discussions said. Another person familiar with the discussions said administration officials were concerned about the hit to the stock market, which has experienced intense volatility and some of its worst trading days in years. The S&amp;P 500 is down 10 percent since Mr. Trump\u2019s Jan. 20 inauguration.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Speaking from the Oval Office on Wednesday, Mr. Trump said he wanted to make a deal with China. But he said what happens with his tariffs on China \u201cdepends on them.\u201d He denied any concerns about what the tariffs are doing to small businesses, but said that the high tariff \u201cbasically means China isn\u2019t doing any business with us.\u201d<\/p>\n<p class=\"css-at9mc1 evys1bk0\">He also claimed the United States had spoken with 90 countries, all of which wanted to do deals. \u201cToo many to fully deal with, but we\u2019re going to be fair to them,\u201d he said.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">On Tuesday, Mr. Trump signaled that the 145 percent tariff he put on Chinese imports could drop. \u201cIt won\u2019t be anywhere near that high,\u201d he said. \u201cIt\u2019ll come down substantially. But it won\u2019t be zero.\u201d<\/p>\n<p class=\"css-at9mc1 evys1bk0\">So far, officials from the United States and China do not appear to have engaged in substantive talks over the trade spat. Trump officials believe the Chinese economy is vulnerable, given its dependence on exports to the United States.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-2\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">\u201cPresident Trump has been clear: China needs to make a deal with the United States of America,\u201d said Kush Desai, a White House spokesman.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Scott Bessent, the Treasury secretary, on Wednesday dismissed speculation that the president was considering unilaterally lowering the tariffs that he had imposed on China ahead of any negotiations with Xi Jinping, the Chinese leader. He emphasized that any moves to de-escalate trade tensions would need to be mutual.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">\u201cI don\u2019t think either side believes that the current tariff levels are sustainable,\u201d Mr. Bessent told reporters. \u201cThis is the equivalent of an embargo, and a break between the two countries on trade does not suit anyone\u2019s interest.\u201d<\/p>\n<p class=\"css-at9mc1 evys1bk0\">On Wednesday, Guo Jiakun, the spokesman for the Chinese foreign ministry, reiterated that China would not be bullied by U.S. tariff threats.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">\u201cIf the U.S. truly wants to resolve issues through dialogue and negotiation, it should stop threatening and coercing, and engage in dialogue with China on the basis of equality, respect and mutual benefit,\u201d he said. \u201cTalking about reaching an agreement with China while constantly pressuring China to the maximum is not the correct way to deal with China and will not work.\u201d<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-3\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">Mr. Trump\u2019s tariff threats have created urgency for other governments, motivating them to begin talks with the United States about removing tariffs and other trade barriers. On April 9, just hours after the president imposed stiff tariffs on nearly 60 countries, he paused them for 90 days, saying he would give governments a chance to negotiate trade deals instead.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">This week, Karoline Leavitt, the White House press secretary, said that the Trump administration had received 18 proposals on paper and that the trade team was \u201cmeeting with 34 countries this week alone.\u201d<\/p>\n<p class=\"css-at9mc1 evys1bk0\">\u201cThere is a lot of progress being made,\u201d she said. \u201cWe are moving at Trump speed to ensure these deals are made on behalf of the American worker and the American people.\u201d<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Asked if the tariffs have actually worked, she responded, \u201cHave some patience and you will see.\u201d<\/p>\n<p class=\"css-at9mc1 evys1bk0\">But negotiating so many deals at the same time poses significant challenges. Many of Mr. Trump\u2019s departments are still understaffed, with midlevel officials not yet confirmed. Torsten Slok, the chief economist at Apollo Global Management, an investment firm, wrote online that on average, trade deals signed by the United States had taken <a class=\"css-yywogo\" href=\"https:\/\/www.apolloacademy.com\/trade-negotiations-take-time\/\" title=\"\" rel=\"noopener noreferrer\" target=\"_blank\">18 months to negotiate<\/a> and 45 months to implement.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">\u201cWhile markets wait for trade negotiations with 90 countries at the same time,\u201d he wrote, \u201cglobal trade is grinding to a standstill with problems similar to what we saw during Covid: growing supply chain challenges with potential shortages in U.S. stores within a few weeks, higher U.S. inflation and lower tourism to the U.S.\u201d<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-4\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">Another hurdle, people familiar with the negotiations say, is that foreign governments say they do not know exactly what the Trump administration wants. And given Mr. Trump\u2019s unpredictable demands, they are not sure that his deputies are empowered to close a deal with them.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Greta Peisch, a former trade official who is now a partner at the law firm Wiley Rein, said the tight timeline raised questions about whether any deals concluded in the next few months would be<strong class=\"css-8qgvsz ebyp5n10\"> <\/strong>\u201cmore tentative or aspirational\u201d<strong class=\"css-8qgvsz ebyp5n10\"> <\/strong>rather than actual trade agreements. She also said the economic benefits could be limited.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">\u201cWhen you look at some of these trade relationships, simply removing trade barriers likely won\u2019t move the needle much in terms of changing trade flows in the near term,\u201d she said.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">South Korean finance and trade ministers were set to meet with Mr. Bessent and Jamieson Greer, the United States trade representative, on Thursday. Officials from Thailand, Japan, India and other countries were also scheduled to hold talks in Washington this week.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-5\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">In a visit to New Delhi on Tuesday, Vice President JD Vance announced the outlines for a potential trade agreement with India, which would ramp up trade between the countries, reduce Indian barriers to U.S. exports and fold in discussions of defense, energy and strategic technologies.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-6\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">While the Trump administration has said some deals could be concluded quickly, initial meetings have suggested that talks could be more complicated, particularly with major trading partners like Japan.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">The two nations have trade disputes extending back decades over industries like steel and auto parts. And some agreements under discussion \u2014 for example, a project that could see Japan, South Korea and Taiwan invest in <a class=\"css-yywogo\" href=\"https:\/\/www.spglobal.com\/commodity-insights\/en\/news-research\/latest-news\/lng\/040925-major-alaska-energy-deal-involving-japan-south-korea-taiwan-could-narrow-us-trade-deficit\" title=\"\" rel=\"noopener noreferrer\" target=\"_blank\">a pipeline<\/a> to export liquefied natural gas from Alaska \u2014 could take at least five years to come to fruition.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">\u201cTokyo wants to preserve the alliance and keep peace with Trump, but without surrendering Japan\u2019s interests,\u201d Daniel Russel, the vice president of the Asia Society Policy Institute, wrote in a recent analysis. \u201cThe Japanese government is willing to increase investments in the U.S. and buy more American goods, but will resist being rushed and pressured into lopsided deals.\u201d<\/p>\n<p class=\"css-at9mc1 evys1bk0\">South Korean officials also appear willing to discuss trade imbalances, as well as buying more natural gas and investing to revitalize the U.S. shipbuilding industry. But it is not clear the Korean government is in a position to aggressively negotiate a deal, given that the country\u2019s president has been impeached and an election will not be held until June 3.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-7\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">Speaking from Washington on Wednesday, Britain\u2019s chancellor of the Exchequer, Rachel Reeves, also said there was no plan to rush into a trade deal with the United States.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Ms. Reeves, who was set to meet with Mr. Bessent, said she wanted to reduce trade barriers between Britain and other countries, but there were firm lines her government would not cross, like changing food or car safety standards.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">With larger trading partners, like the European Union, discussions appear more difficult. European officials have expressed frustration about a lack of clear goals from the Trump administration.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">\u201cOne would wish for more clarity on expectations,\u201d Valdis Dombrovskis, the European commissioner responsible for the economy, said on Wednesday at the Semafor World Economy Summit. He said that European officials had put forward \u201cconcrete proposals,\u201d such as buying more liquefied natural gas and zero-for-zero tariffs on industrial goods, but that the United States needed to provide more clarity on what it wanted.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">\u201cWe are trying to find a solution and a way forward,\u201d he said. \u201cBut we have also indicated in absence of solution we are also ready to defend our companies.\u201d<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-8\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">E.U. officials have drawn up lists of American products they can put their own tariffs on in retaliation, and are working to diversify their trading relationships.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Ursula von der Leyen, the president of the European Commission, told a German newspaper last week that she was having \u201ccountless talks with heads of state and government around the world who want to work together with us on the new order,\u201d including Iceland, New Zealand, the United Arab Emirates, India, Malaysia, Indonesia, the Philippines, Thailand and Mexico.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">\u201cThe West as we knew it no longer exists,\u201d she said.<\/p>\n<p class=\"css-798hid etfikam0\">Choe Sang-Hun<!-- -->, <!-- -->Eshe Nelson<!-- --> and <!-- -->Alan Rappeport<!-- --> contributed reporting. <!-- -->Siyi Zhao<!-- --> contributed research.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n","protected":false},"excerpt":{"rendered":"<p>For a president who advertises himself as a paramount deal maker, the next 11 weeks will be a pivotal test, as his advisers race to accomplish what no other administration has done before and reach dozens of individual trade deals with other governments. President Trump has promised big gains for American trade, and officials from [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":1190,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[883,881,880,753,879,882,199,878,246,158],"class_list":["post-1189","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-blog","tag-chaos","tag-deals","tag-form","tag-global","tag-races","tag-sow","tag-tariffs","tag-team","tag-trade","tag-trump"],"_links":{"self":[{"href":"https:\/\/www.insuracarelife.com\/blog\/wp-json\/wp\/v2\/posts\/1189","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.insuracarelife.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.insuracarelife.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.insuracarelife.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.insuracarelife.com\/blog\/wp-json\/wp\/v2\/comments?post=1189"}],"version-history":[{"count":0,"href":"https:\/\/www.insuracarelife.com\/blog\/wp-json\/wp\/v2\/posts\/1189\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.insuracarelife.com\/blog\/wp-json\/wp\/v2\/media\/1190"}],"wp:attachment":[{"href":"https:\/\/www.insuracarelife.com\/blog\/wp-json\/wp\/v2\/media?parent=1189"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.insuracarelife.com\/blog\/wp-json\/wp\/v2\/categories?post=1189"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.insuracarelife.com\/blog\/wp-json\/wp\/v2\/tags?post=1189"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}