Trade Talks: Time is Running Out

The clock is ticking on trade negotiations, and the US economy might feel the heat soon. With just over a week left before the 90-day pause on "Liberation Day" tariffs ends, the White House is scrambling to finalize deals. But with only two agreements signed and many more to go, the July 9 deadline seems far-fetched. President Trump has been talking big about trade deals, claiming to have made 200 deals in an interview with Time. But two weeks later, he admitted that negotiating with 200 countries in such a short time is unrealistic. Instead, he hinted at sending out letters to countries, demanding they pay higher tariffs to do business in the US. Meanwhile, the US is still in talks with key trading partners, but promises of deals have been made before with little progress. Commerce Secretary Howard Lutnick has been optimistic, saying deals are coming soon. But White House press secretary Karoline Leavitt and Treasury Secretary Scott Bessent have downplayed the urgency, suggesting negotiations could drag on until Labor Day. The economy is showing signs of trouble, with consumer spending falling for the first time since January. Inflation is rising, job growth is slowing, and retail sales are sinking. Higher tariffs could make things worse, leading to price hikes and potential retaliation from trading partners. Economists warn that uncertainty and tariffs could push the economy into a recession. The good vibes from the stock market and consumer sentiment might not last if trade talks continue to stall.