U.S. Treasury Secretary Yellen: The U.S.-India trade agreement is nearing completion, and negotiations with South Korea and Japan are going well.

On April 29, 2025, U.S. Treasury Secretary Scott Bessant stated that significant progress has been made in trade negotiations between the United States and India, South Korea, and Japan. The agreement with India is nearing completion and could be one of the first agreements to be signed; the framework of the agreement with South Korea is in place, but it is influenced by the elections; talks with Japan have entered a critical phase, with the G7 summit possibly playing a key role. These negotiations are occurring in the context of President Trump's "reciprocal tariffs" policy, as Asian countries actively respond to tariff pressures.

Rapid Progress in US-India Agreement, Could Be Among the First Signatories

In interviews with media outlets such as CNBC and Fox News, Besent frequently highlighted India's proactive role in trade negotiations. He stated, "I anticipate that India will be among the first countries to sign a trade agreement with us (the United States)." He added that Vice President JD Vance visited India last week and had concrete and productive talks with Indian Prime Minister Narendra Modi, achieving substantial progress in multiple areas.

Besent further explained that negotiations with India are comparatively straightforward because India's tariff structure is high and complex, allowing both parties to directly negotiate on tariff issues. He stated, "I believe negotiations with India are proceeding smoothly, and we are very close to reaching an agreement."

According to informed sources, the US and India have reached consensus in 19 negotiation areas, covering issues such as agricultural products, e-commerce market opening, combating corruption, and preventing "origin laundering." Besent also stated that the first trade agreement might be finalized this week or next week.

South Korea Agreement Outline Emerging, But Election Schedule May Affect Progress

Regarding negotiations with South Korea, Besent noted, "I can see the contours of a trade agreement with South Korea taking shape." He emphasized that discussions are progressing smoothly, with in-depth discussions on multiple issues.

However, South Korea's official response has been more cautious. A South Korean government official stated that it is unlikely for Seoul to reach a comprehensive trade agreement with Washington before the presidential election on June 3, and questioned whether an agreement could be completed by early July. The official pointed out that negotiations involve complex issues such as defense, shipbuilding, and energy, particularly a $44 billion Alaska LNG project.

Nevertheless, Besent remains optimistic about the progress of negotiations and believes that South Korea has shown a willingness to cooperate in reducing non-tariff barriers, expanding imports of American goods, and increasing investment in the US.

Substantial Talks with Japan, G7 Summit May Be a Key Point

When discussing trade negotiations with Japan, Besent stated, "We have engaged in very substantive discussions with our Japanese allies." He noted that the negotiations have entered an in-depth stage, covering multiple specific issues.

However, Japan's upcoming parliamentary elections in July may affect the progress of negotiations. Despite this, analysts expect that Japanese Prime Minister Shigeru Ishiba and US President Trump may announce an agreement during the G7 Summit in Canada in June.

Currently, the US and Japan have not disclosed specific agreement details, but reports suggest that the focus may be on reducing non-tariff barriers and expanding market access. Besent also admitted that non-tariff barriers are more complex than tariffs and harder to detect and address.

Asian Countries Actively Responding to US Tariff Pressure

Besent pointed out that Asian countries have shown the most proactive stance in trade negotiations. He stated, "Asian trade partners and allies have shown the most proactive stance in negotiating agreements." This is related to the US's "reciprocal tariff" policy implemented on multiple countries. The Trump administration announced on April 2 that it would impose tariffs ranging from 11% to 50% on goods from multiple countries, with a 90-day grace period expected to end on July 8.

Against this backdrop, export-oriented economies like India, Japan, and South Korea are accelerating their negotiation pace, striving to reach agreements before the grace period ends to avoid high tariffs impacting exports. Besent stated, "Many countries have made some very good proposals, and we are evaluating these proposals."

President Trump to Closely Participate in Negotiation Process

Besent emphasized that President Trump will be "closely involved" in the negotiation process with 15 to 18 important trade partners. He noted that the Trump administration's focus is on reaching principled agreements with various countries as soon as possible and formulating "customized" trade agreements based on each country's situation.

Currently, the US has not announced any formally signed agreements with any country, but Besent has repeatedly stated that the first agreement might be finalized this week or next week, with widespread attention on whether India will be the first signatory.

U.S. Treasury Secretary Yellen: The U.S.-India trade agreement is nearing completion, and negotiations with South Korea and Japan are going well.

Key Updates

Adidas is under pressure to raise prices due to high tariffs imposed by the US, and the CEO warns that the Samba and Campus shoes might be affected.

U.S. President Trump signed an executive order to adjust car tariffs to support domestic manufacturing.

The United States is Facing Economic Shocks Driven by Policy: Increasing Instability Due to Trade Deficit and Pressure from the Debt Ceiling.

In response to Trump's tariff policies, Taiwanese electronics manufacturing giants like Inventec, Foxconn, and Wistron have strategically established factories in Texas.

The U.S. consumer confidence index dropped to its lowest point in five years, mainly due to worries about tariff policies.