U.S. President Donald Trump announced significant progress in trade negotiations with India and the European Union during a Wednesday interview, while expressing uncertainty about reaching an agreement with Canada before looming August tariff deadlines. The developments come as global markets watch closely for shifts in trade dynamics affecting Asian supply chains and investment flows.
"We're very close to India, and… we could possibly make a deal with the EU," Trump told Real America's Voice, noting improved engagement from European counterparts. His comments coincided with the arrival of an Indian trade delegation in Washington and EU Trade Chief Maros Sefcovic's visit for critical tariff discussions.
The administration aims to finalize agreements before August 1, when scheduled tariff increases on $200 billion worth of imported goods could take effect. Analysts suggest successful deals with India and the EU could stabilize technology and manufacturing sectors across Asia, where many countries rely on U.S.-driven supply chains.
While Trump described EU negotiators as transitioning from "brutal" to "very nice" in their approach, Canada remains a wildcard. Prime Minister Mark Carney cautioned that no worker-friendly deal currently exists, echoing Trump's "too soon to say" assessment. The president also floated potential blanket tariffs of 10-15% for smaller trading partners if negotiations stall.
For business leaders and policymakers across Asia, these developments carry implications for export strategies and cross-border investments. India's potential agreement – reportedly addressing digital trade and agricultural exports – could create new opportunities in one of Asia's fastest-growing economies.
