Last 24 hours! The tariff deadline is approaching, the United States intensifies pressure, and multiple countries rush to Washington for overnight negotiations

As the deadline for tariffs on August 1 approaches with less than 24 hours remaining, global trade negotiations have entered a heated phase. Delegations from several major U.S. trading partners are gathering in Washington for intense final discussions with the Trump administration. According to CCTV News, U.S. President Trump stated on July 15 local time that tariffs would begin to be imposed on August 1.

The latest developments from the White House have intensified the sense of urgency. Media reports on the 31st cited a White House official confirming that Trump plans to sign a new executive order on Thursday to impose higher tariffs on countries that fail to reach an agreement. Trump stated on social media on the 30th:

"The deadline of August 1 is the deadline of August 1 — it is firm and will not be extended."

Meanwhile, according to CCTV News, Trump announced that starting August 1, a 25% tariff would be imposed on goods imported from India, higher than the 15% to 20% range imposed on several other Asian countries. Trump also threatened to impose additional penalties due to India's purchase of energy from Russia. A series of dazzling maneuvers has made the situation even more complex.

Despite the exceptionally tense diplomatic negotiations, the U.S. market is currently reacting calmly, with the S&P 500 index reaching a historic high. However, some Wall Street institutions warn that the market may be overly complacent and underestimate the potential impact of a shift in trade policy on the economy and markets.

Final Sprint at the Negotiation Table

As the deadline approaches, Washington has become the center of the global trade game. According to media reports citing informed sources, important U.S. allies Canada and Mexico have both sent delegations to engage in tense closed-door talks with U.S. officials.

Despite negotiations continuing through the night, the outlook remains unclear. Canadian Prime Minister Mark Carney expressed cautious optimism about the progress of the negotiations on Wednesday evening, stating:

"The negotiations are complex, comprehensive, and constructive, and it is possible that they may not conclude before August 1."

Meanwhile, some countries seem to have made breakthroughs. The Trump administration announced on Wednesday evening that a preliminary agreement had been reached with South Korea. According to CCTV News, on July 30 local time, Trump stated that a trade agreement had been reached with South Korea, which would see a 15% tariff imposed on Korean goods. Trump mentioned that South Korea would provide the U.S. with $350 billion for investment projects owned, controlled, and selected by him as president

Trump's Tough Stance and Personal Intervention

In this round of negotiations, President Trump himself was deeply involved. According to insiders, Trump has repeatedly vetoed potential agreements proposed by his senior aides, including Secretary of Commerce Wilbur Ross and U.S. Trade Representative Jamieson Greer, demanding that they secure more concessions for the United States.

Trump's personal intervention even extended into specific negotiations. According to two individuals familiar with the discussions, as negotiations with India progressed, Trump personally joined calls with India's Trade Minister and Ross. He stated to the media on Wednesday that the U.S. is negotiating with a few major countries, while for the majority of others, "we're just sending out the bills."

Media reports cited a White House official confirming that Trump will sign a new executive order before midnight on Thursday to determine the final tariff rates. This move aims to avoid the automatic reinstatement of tariffs to the original levels announced in April. It remains unclear whether Trump will hold a public event to declare victory or simply sign the order privately.

For some smaller economies or countries with unique trade structures, meeting U.S. demands is nearly an impossible task. For example, Switzerland does not impose tariffs on U.S. industrial goods, but due to its significant exports of high-value pharmaceuticals and high-end machinery to the U.S., it has a substantial trade surplus.

Rahul Sahgal, CEO of the Swiss-American Chamber of Commerce, pointed out that with a population of only 8.8 million, even if "everyone eats a steak every day, drinks a bottle of bourbon, and buys a Harley-Davidson," it would hardly change the trade balance.

Underlying Currents Beneath the Calm Market

In contrast to the tense atmosphere in diplomacy, the U.S. financial markets have shown remarkable resilience. The S&P 500 index continues to rise, and the dollar has reached a multi-month high of 99.6 points. Traders seem to bet that Trump will ultimately not implement tariffs severe enough to shake the market.

However, some analysts have issued warnings. Morgan Stanley wrote in a report to clients:

"Deadlines come and go, tariffs rise... but economic data and the market have not collapsed. Therefore, it is easy for people to no longer believe that U.S. trade policy will affect the market. Please resist this temptation."

U.S. Treasury Secretary Steven Mnuchin attempted to downplay the impact in an interview on Tuesday, stating:

"I think if these retaliatory tariffs are only in effect for a few days to a few weeks, as long as the relevant countries continue to negotiate in good faith, it’s not the end of the world."