On July 3, 2025, President Donald Trump announced a significant shift in the United States' approach to international trade negotiations, revealing plans to send letters to multiple countries simultaneously to outline specific tariff rates they would face when exporting goods to the U.S. market. This move marks a departure from the previous strategy of pursuing individual bilateral trade agreements with each of the more than 170 countries involved.
Speaking to reporters at Andrews Air Force Base in Maryland before departing for Iowa, Trump acknowledged the complexity of negotiating with so many countries. "I tend to send a letter and tell them what tariff they will pay. It's just much easier. We have more than 170 countries, and how many agreements can you make? And you can make good agreements, but they are much more complicated," he explained.
According to the new plan, starting July 4, 2025, the U.S. government will send letters to 10 countries daily, specifying potential tariff rates ranging from 20% to 30%. This direct approach aims to clarify U.S. tariff policies without engaging in protracted negotiations with every country. Trump emphasized that while a few detailed agreements might still be reached, his administration prefers to inform most countries about their tariff obligations upfront.
This announcement comes just days before the July 9 deadline set by the White House for reaching new trade agreements. The U.S. had temporarily suspended reciprocal tariffs on dozens of countries to facilitate negotiations during a 90-day pause that began in April 2025. Treasury Secretary Scott Bessent told Bloomberg Television that around 100 countries are expected to face a 10% reciprocal tariff once the suspension ends, a figure lower than the initial projection of 123 countries announced in April.
President Trump initially stunned markets on April 2, 2025, when he unveiled plans to impose reciprocal tariffs ranging from 10% to 50% on most U.S. trading partners. Following that, tariffs were temporarily lowered to 10% to allow time for negotiations. However, many countries subjected to the 10% tariff have yet to engage in talks, except for the United Kingdom, which secured an agreement in May to maintain the 10% tariff and won concessions in sectors like automobiles and aircraft engines.
Major trade partners currently negotiating with the U.S. face higher tariffs: 20% for the European Union, 26% for India, and 24% for Japan. Countries without ongoing negotiations face even steeper tariffs, including 50% for Lesotho, 47% for Madagascar, and 36% for Thailand.
The U.S. has also made progress with its largest trade partners. It has reached a trade agreement with the United Kingdom and is nearing a framework agreement with China. This comes amid ongoing efforts to balance trade interests and reduce barriers, even as the broader strategy shifts towards a more streamlined, letter-based notification system.
In a related development, on July 2, 2025, General Secretary To Lam of Vietnam held a phone conversation with President Trump concerning Vietnam-U.S. relations and reciprocal tariff negotiations. This dialogue underlines the importance of bilateral engagement even as the U.S. moves toward a more generalized tariff communication strategy.
The shift in U.S. trade policy reflects the administration’s recognition of the immense challenges in negotiating complex trade agreements with numerous countries simultaneously. Trump's approach prioritizes transparency and efficiency by directly informing countries of their tariff obligations, potentially accelerating the implementation of U.S. trade policies.
While this method may streamline processes, it also signals a tougher stance on trade, with the U.S. prepared to enforce tariffs if agreements aligning with American interests are not reached. The administration anticipates announcing a series of trade agreements before the July 9 deadline, but the letter strategy underscores a readiness to proceed with tariffs where negotiations stall.
Market reactions have been mixed, with some analysts expressing skepticism about the feasibility of negotiating multiple agreements in a short time frame, while others see the letter approach as a pragmatic acknowledgment of the complexities involved. The impact on global trade dynamics remains to be seen, especially as the U.S. balances its economic interests with diplomatic considerations.
In summary, the Trump administration’s decision to send tariff notification letters to multiple countries simultaneously marks a new chapter in U.S. trade policy. It reflects both the difficulties inherent in bilateral negotiations with a vast number of countries and a strategic pivot toward a more direct, assertive approach to protecting American economic interests on the global stage.
