• Treasury Secretary Scott Bessent expects a wave of new trade agreements in the coming weeks.
  • The administration may extend its July 8 deadline for negotiations with 18 trading partners.
  • Recent UK steel/aluminum tariff exemptions signal potential template for other bilateral deals.

Flexibility in Trade Timeline

Treasury Secretary Scott Bessent indicated Thursday that the U.S. is preparing to announce additional trade agreements imminently, while signaling potential flexibility on the administration's July 8 deadline for concluding negotiations. The remarks follow last week's preliminary deal with the UK that eliminated reciprocal tariffs on steel and aluminum shipments - an agreement that sources suggest could serve as a model for other bilateral pacts.

"We believe you will see more trade deals coming very quickly," Bessent said during a policy discussion, noting that several negotiations had reached "advanced stages." People familiar with the matter say the administration is weighing a 30-60 day extension for partners demonstrating good-faith progress, particularly with India and Japan where talks have intensified in recent weeks.

Market Implications

The S&P 500 edged up 0.3% following Bessent's comments as traders priced in reduced tariff risks. The administration's aggressive trade policy has lifted effective U.S. tariff rates to 15% this year from just 2.5% in January, creating supply chain headaches for manufacturers. A Treasury spokesperson declined to specify which countries might secure deals next, but noted "multiple productive dialogues" are underway.

Strategic Shift

This potential deadline extension marks a tactical adjustment for an administration that had threatened to reimpose double-digit tariffs on over 60 countries by July 9. Analysts suggest the move reflects both negotiation realities and growing recession concerns. "They're recognizing that squeezing everyone simultaneously wasn't yielding optimal results," said one trade advisor who requested anonymity to discuss private deliberations. The UK agreement's structure - focusing on specific sectors rather than comprehensive terms - may indicate the administration's evolving approach.