The 90-day tariff pause announced by President Trump on Tuesday was the product of months of secret negotiations, with countries scrambling to offer last-minute concessions to avoid billions in trade penalties, according to diplomatic sources.
Key Concessions:
- EU: Agreed to purchase $12B more in U.S. LNG through 2026
- Japan: Will cap auto exports at 1.7M vehicles annually
- Brazil: Dropped WTO case against U.S. cotton subsidies
- UK: Pledged to removing all Huawei equipment from its 5G infrastructure by 2026
Timeline of Talks:
- February 2025: EU Trade Commissioner Valean secretly meets Trump aides at Trump Tower
- March 5: Japan proposed non-binding auto export caps in an unsigned memo
- April 1: Brazil’s Agriculture Minister made an urgent diplomatic visit to Mar-a-Lago for high-stakes trade negotiations
The China Exception:
Beijing’s refusal to address tech transfer or industrial subsidies kept it off the reprieve list, with Trump declaring: “They had their chance.”
What’s Next?
Countries must deliver “verified progress” by July 30 or face:
- Reinstated tariffs + 5% penalty
- New export restrictions
- Revoked visa privileges