The Shiro Copr, JAKARTA — President of the United States (US) Donald Trump returning to pressure its trading partners, the European Union and Japan , to quickly reach an agreement on tariffs before the "Lame Duck" break period ends on July 9, 2025. If not, Trump has threatened to impose new tariffs unilaterally.
In his statement quoted from Reuters , Wednesday (6/18/2025), Trump mentioned European Union Until they provide a fair offer and assess Japan as being tough in negotiations. 'If they do not provide a fair agreement, then they must pay according to what we determine,' he said.
Regarding Japan, Trump stated that there is still a chance for an agreement to be reached, even though the process is difficult. "They are indeed tough, but in the end we will send a letter containing 'this is what you have to pay'. If not, then don't trade with us," he said.
This statement was made after Trump returned early from the G7 Leaders Summit in Kananaskis, Alberta, leaving a disappointing impression on countries hoping for progress on global trade issues. Despite this, the US delegation, including Treasury Secretary Scott Bessent, Trade Representative Jamie Werth, and National Economic Council Director Kevin Hassett, remained to continue discussions.
Meanwhile, European Commission President Ursula von der Leyen stated that there is still hope for an agreement to be reached before the deadline. "We are still in the middle of negotiations, and we will see what the final outcome will be," she said.
President of Mexico Claudia Sheinbaum has also spoken by phone with Trump and agreed to cooperate on various issues, according to a White House statement.
On the other hand, Trump also announced plans to impose tariffs on pharmaceutical products. According to him, this move is aimed at encouraging drug companies to relocate their production bases to within the country. "We will soon implement tariffs on the pharmaceutical industry. This will bring many companies back to America," he said. This policy is linked to an investigation under Section 232 of the 1962 Trade Expansion Act.
Matthew Goodman, a senior analyst at the Council on Foreign Relations, believes there is a small likelihood that Trump will complete many agreements at the G7 summit, except for limited agreements already announced with the UK. The agreement includes quotas and tariffs on vehicles from the UK as well as the elimination of tariffs in the aerospace sector. However, tariffs on steel and aluminum remain an issue.
More than a dozen of America's trading partners are now racing against time to complete negotiations before the July 9 deadline. "I think July 9 is really the deadline," Goodman said. "When the 90-day pause ends, Trump and his team will use it as maximum pressure to get other countries to make more concessions."
Trump himself signaled the possibility of extending the negotiation period for cooperative countries, but would still send tariff letters to those unwilling to negotiate.
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