The U.S. administration has reiterated its intent to reinstate higher tariffs on trading partners that do not participate in trade negotiations “in good faith,” according to Treasury Secretary Scott Bessent during television interviews on Sunday.
While Bessent did not specify how “good faith” would be defined or offer a timeline for potential tariff adjustments, he indicated that letters would be sent to countries not meeting the administration’s expectations, notifying them of their applicable tariff rates.
President Trump initially imposed higher tariff rates on April 2, but later adjusted those rates on April 9—lowering tariffs on most imported goods to 10% for a 90-day period to allow time for trade discussions. The tariff rate for goods from China was separately set at 30%. The administration has since emphasized the importance of concluding deals with key trade partners within this window.
Bessent stated that the U.S. is currently prioritizing 18 critical trading relationships and suggested that countries not meeting engagement standards may see tariff rates revert to the April 2 levels. He also mentioned the possibility of regional tariff frameworks being developed for areas such as Central America and parts of Africa.
Asked about the timing of any finalized trade agreements, Bessent noted that progress would depend on the responsiveness of trading partners and their willingness to participate constructively in the negotiations.
The administration’s evolving trade policy has created uncertainty for global markets and businesses, many of which are navigating the challenges posed by shifting tariffs and trade conditions. Companies are adjusting strategies related to supply chains, pricing, and operations in response to policy changes.
Walmart, the world’s largest retailer, recently announced plans to increase prices in May due to the financial impact of tariffs. President Trump publicly criticized the company’s stance, suggesting businesses should absorb the costs rather than pass them on to consumers.
Bessent confirmed that he spoke with Walmart CEO Doug McMillon and stated that the company would be absorbing some of the tariff costs. Walmart has not commented publicly on the matter.
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