TACO again......

Trump team moves goalposts on tariffs again

Treasury Secretary Scott Bessent warns tariffs will ‘boomerang back’ Aug. 1.

By Ari Hawkins

Tariffs will revert back to their April 2 rates on Aug. 1 for countries that fail to nail down new trade deals with the United States, Treasury Secretary Scott Bessent said Sunday, just three days before the Trump administration’s initial July 9 deadline for tariffs to return.

Bessent told CNN’s “State of the Union” that the Trump administration would be sending out letters to 100 smaller countries “saying that if you don’t move things along, then on August 1st, you will boomerang back to your April 2nd tariff level.”

The announcement effectively pushes back the tariffs that were originally set in April but had been suspended until July 9, a window the Trump administration used to pursue an ambitious round of dealmaking with other countries aimed at reaching deals to stave off the return of tariffs of between 10 and 50 percent on dozens of countries. It comes as Trump administration officials increasingly hint at difficulties in nailing down deals.

In the interview, Bessent said that the August target is “not a new deadline” for negotiations.

“We are saying this is when it’s happening. If you want to speed things up, have at it. If you want to go back to the old rate, that’s your choice,” Bessent said.

Since announcing sweeping so-called reciprocal tariffs, the Trump administration has only signed agreements with the United Kingdom and Vietnam, as well as a limited deal with China that saw both countries walk back sky-high tit-for-tat tariff rates temporarily. The U.S. is also reportedly close to reaching a deal with India, and the European Union, which Trump once accused of slow-walking negotiations, appears willing to make significant concessions for a deal.

Some administration officials are signaling there may be flexibility around the new deadline — particularly for key trading partners. National Economic Council Director Kevin Hassett suggested as much in an interview on CBS’ “Face the Nation,” noting that the final call would ultimately rest with President Donald Trump.

“There are deadlines, and there are things that are close, and so maybe things will push back the dead, past the deadline,” Hassett said, adding: “In the end, the president’s going to make that judgment.”

In a separate interview with “Fox News Sunday,” Bessent himself hinted at the Trump administration’s strategy with the new August target.

“There’s a lot of congestion going into the home stretch and, as a part of the trade team, what’s great about having President Trump on our side is he’s created maximum leverage,” Bessent said.

Trump told reporters Friday that letters could be sent to a dozen countries as soon as Monday, with tariff rates ranging from ”'60 or 70 percent to 10 or 20 percent.” He said the fees would take effect Aug. 1, while again falsely claiming that foreign countries pay the tariffs — which are actually paid by U.S. importers.