With his sweeping tax bill advancing and global trade talks heating up, Trump signals a possible deal with India — but warns Japan may face tariffs as high as 35%.
As the July 9 tariff deadline approaches, President Donald Trump has intensified his global trade pressure campaign, declaring optimism about reaching a deal with India while casting serious doubt on any agreement with Japan.
Speaking aboard Air Force One on Tuesday, Trump said India is “ready to lower barriers” and allow more US companies access to its markets — a shift that could avert a steep 26% tariff scheduled to kick in next week.
“Right now, India doesn’t accept anybody in,” Trump said. “If they do that, we’re going to have a deal for much less tariffs.”
India: Progress but No Guarantee
Trump’s comments followed extended trade negotiations in Washington, with Indian officials reportedly staying through Monday in hopes of finalizing a deal. Treasury Secretary Scott Bessent told Fox News the US is “very close” to a deal that would lower Indian tariffs on US goods and help India avoid retaliatory hikes under Trump’s “reciprocal trade” strategy.
Indian Foreign Minister Subrahmanyam Jaishankar, speaking in New York, said the two countries are “hopefully more than halfway” through negotiations but cautioned that “give and take” is still needed.
India is among a dozen countries rushing to strike agreements with the US before the July 9 expiration of a 90-day tariff pause that began April 2. Without a deal, India could face tariffs rising from 10% to 27%.
Japan: “I Doubt We’ll Have a Deal”
Trump, however, delivered a starkly different message for Japan.
“I’m not sure we’re going to make a deal. I doubt it,” he told reporters, citing Japan’s refusal to accept US-grown rice while enjoying massive car exports to the US.
The president threatened to impose tariffs of 30% or 35%, far above the paused 24% rate announced in April, and insisted he would not extend the July 9 deadline.
“So what I’m going to do is I’ll write them a letter… and therefore you pay a 30%, 35%, or whatever number we determine,” Trump said.
Japan’s government has so far declined to make concessions, particularly on sensitive issues like agriculture. Chief Cabinet Secretary Yoshimasa Hayashi said Tokyo would not agree to terms that harm its farmers.
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