Lutnick Says Trump Team Has First Deal Secured

• Commerce Secretary Howard Lutnick announced on Tuesday that the Trump administration has finalized its first trade deal, pending approval from the unnamed country’s prime minister and parliament.
• The deal, not involving China, follows widespread tariff hikes on “Liberation Day,” with China facing over 100% tariffs while other levies are paused for 90 days.
• Dozens of countries, including likely candidates Japan, South Korea, and India, have initiated trade talks to secure exemptions, as the administration aims to reshape global trade.

The Trump administration is on the verge of securing its first trade deal, with Commerce Secretary Howard Lutnick announcing on Tuesday that an agreement has been finalized but awaits approval from the unnamed country’s prime minister and parliament. Speaking to CNBC’s Brian Sullivan, Lutnick expressed confidence that approval is imminent, though he withheld the country’s identity, noting only that it is not China, as those negotiations fall under Treasury Secretary Scott Bessent’s purview. Lutnick emphasized that his role covers trade deals with the rest of the world, signaling a broad effort to reshape U.S. trade relationships.

This development follows President Trump’s sweeping tariff hikes announced nearly a month ago on “Liberation Day,” which imposed levies on most global imports. While tariffs on China have escalated to over 100%, a 90-day pause on many other levies has spurred dozens of countries to initiate trade talks, with Japan, South Korea, and India emerging as likely contenders for early agreements. The urgency to negotiate stems from the administration’s aggressive trade strategy, which aims to address longstanding U.S. trade deficits and bolster domestic manufacturing. However, the lack of an official announcement and the pending foreign parliamentary approval underscore the complexity of finalizing deals under tight timelines.

Lutnick’s tease of a near-complete deal reflects the administration’s push to demonstrate tangible progress amid global economic uncertainty caused by the tariffs. Countries like Japan and South Korea, major U.S. trading partners with significant auto exports, face pressure to secure exemptions or concessions to avoid economic fallout. India, with a $46 billion trade deficit with the U.S., has also been actively negotiating. As the Trump administration navigates these high-stakes talks, the outcome of this first deal could set a precedent for future agreements, shaping global trade dynamics in an era of heightened protectionism.

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