Which countries are making significant progress in trade negotiations with the U.S.?

🇨🇳 China: Initial Positive Signals

After a prolonged period of high-level communication disruptions, the phone call between President Trump and Chinese President Xi Jinping marks a significant step toward restarting bilateral relations. Observers note this as a necessary move to resume negotiations, especially concerning the trade dispute over rare earth minerals—a critical component in high-tech industrial supply chains.

President Trump mentioned that Xi agreed to expedite the export of these minerals to the U.S., potentially benefiting American automakers and electronics manufacturers. However, specific details have not been confirmed by Beijing, and analysts believe substantial gaps remain between the two sides.

China is set to participate in the upcoming negotiation round in London, led by Vice Premier He Lifeng. While positive approaches are evident, it remains unclear whether a comprehensive agreement can be achieved or if the tensions will only be temporarily alleviated.

🇪🇺 Europe: Cautious Negotiations

The European Union (EU) is among the partners facing significant pressure from the U.S. tariff strategy, particularly in the automotive and metal sectors. Brussels has repeatedly proposed a “zero-for-zero” agreement with Washington, including automobiles and industrial goods, but has been rejected by the U.S.

During a recent visit to Washington, German Chancellor Friedrich Merz emphasized the interconnectedness of transatlantic supply chains—even driving a BMW produced in South Carolina as a symbol of trade ties. Nevertheless, discussions with President Trump were overshadowed by the Trump-Musk controversy, with no significant progress recorded between the two major industries.

The United Kingdom is the only country to have reached a preliminary agreement with the U.S. so far. However, this agreement is still under detailed negotiation and has become more complex after the U.S. continued to impose a 25% tariff on British steel and aluminum—contrary to initial exemption statements.

🇮🇳 Asia: Independent Approaches

India, viewed by the Trump administration as a potential partner for a swift agreement, is adopting a defensive strategy. New Delhi has filed a complaint against the U.S. auto tariffs with the World Trade Organization (WTO) and reaffirms its stance on protecting domestic production in negotiations.

Nevertheless, U.S. officials remain optimistic that a bilateral agreement could be reached “in the near future.” According to U.S. Secretary of Commerce Howard Lutnick, India is one of the countries with potential to make progress in trade negotiations with the U.S. if a balance between trade