Trump signs ultimatum with 12 countries to increase pressure, up to 70% tariffs, nuclear bomb to explode on August 1st!

President Trump of the United States stated that the US is preparing to set unilateral tariffs as high as 70%, which will take effect on August 1st, putting pressure on global trade negotiations while delaying the imposition of tariffs. The European Union will hold key talks with the US over the weekend in an effort to reach a temporary trade agreement to avoid higher tariffs. Sources said that the European Commission officials informed member states on Friday that they are close to reaching a potential framework agreement with the US that would maintain the current 10% tariff on most European imports. European officials held negotiations in Washington last week in a race to reach an agreement before July 9th, when Trump threatened to raise tariffs on EU imports to 50%. The details of the negotiations are still evolving, and it is uncertain whether an agreement will be reached in the end. Trump said that the US is prepared to inform multiple trading partners that import tariffs will be between "60% to 70% down to 10% and 20%." With the US market closed for Independence Day, global investors are on the defensive. Trump mentioned that these notifications will be sent out before July 9th, which is the deadline set by the White House to end the 90-day suspension period of the initial "tit-for-tat" tariffs imposed in April. He stated, "They start paying on August 1st." Later on Friday evening, Trump mentioned that he had signed around 12 letters, which will be sent to relevant countries on Monday. Inga Fechner, an economist at the Dutch international group ING, said that the signal of tariffs taking effect in August indicates that the US wants more time to push for agreements with major trade partners such as the EU, Japan, and South Korea. "This is the most important thing to watch, because it basically means that he will leave more room for negotiation," Fechner pointed out that if higher tariffs go into effect next week, major trade partners may take retaliatory measures. Currently, the US government has reached preliminary trade agreements with the UK and Vietnam, and has had intermittent ceasefire agreements with China. It is unclear whether the EU will be able to negotiate tariff exemptions for specific industries such as automobiles or steel, which are key demands of countries like Germany. The EU currently faces a 25% tariff in the automotive sector, and a 50% tariff on steel and aluminum products. Sources said that EU officials informed member state ambassadors on Friday that the Trump administration is expected to categorize trading partners into three groups based on the progress of the negotiations: - Countries that have reached provisional agreements with the US will continue to benefit from the 10% baseline tariff for the near future, which may be further reduced; - Trading partners close to reaching an agreement will see their baseline tariff rise to the country-specific levels announced earlier this year until a final agreement is reached; - If the Trump administration perceives that negotiations with a particular country are not progressing well, tariffs will revert to higher levels indefinitely. The Trump administration has prioritized negotiations with core trade partners, and the July 9th deadline for these countries may have some flexibility, but the US does not have the capacity to engage in detailed negotiations with all global partners. Treasury Secretary Scott Bessent recently stated that the US "may wrap up trade negotiations before Labor Day" and will focus on reaching agreements with 18 key trade partners. However, when asked about other agreements during a media briefing on Thursday, Trump stated, "We have a couple of other deals, but you know, my inclination is to just put out a letter saying how much they're going to pay in tariffs." A spokesperson for the European Commission stated on Friday that the EU hopes to resolve issues with the US through negotiations, and significant progress has been made on a provisional agreement during the final round of talks held in Washington before Independence Day. The spokesperson mentioned that following discussions with EU member states on the status of trade negotiations, the Commission will resume contact with the US over the weekend to discuss the substance of a potential agreement. "At the same time, we are also preparing for the possibility that a satisfactory agreement may not be reached, and the EU is ready to impose retaliatory tariffs against the US." If the terms of the agreement favor the US too much, it may face resistance from EU member states. A European official described the US draft as a "take it or leave it proposal," but the details are not clear, and negotiations are still ongoing over the weekend. The official revealed that some product categories may be exempt from tariffs. For example, both parties agreed that European car manufacturers can export a car tax-free for every car produced in a US factory and exported back to Europe - a provision that benefits specific manufacturers like BMW in Germany. The draft also requires the EU to lift legal restrictions on the import of US meat products, except for chlorinated chicken. This change may spark controversy in agricultural-heavy European countries like France. As part of the agreement, the US hopes that the EU will accept a 17% tariff on products from the Shenzhen Agricultural Power Group, however, an EU diplomat stated that it is unclear if the US will insist on this. EU Trade Commissioner Maro efovi met with US officials on Thursday, and both sides acknowledged that more work needs to be done.