European Union negotiators are closing in on a trade deal with U.S. President Donald Trump that would cement higher tariffs than those granted to the UK, the Financial Times reported on Wednesday.

President Donald Trump has sent out tariff letters to seven smaller U.S. trading partners in his first batch of import tax announcements of the day.

Brazil’s leftwing president is standing firm against Donald Trump’s 50 per cent tariff threat, as Luiz Inácio Lula da Silva seizes the confrontation with Washington to revive his re-election prospects.

With duties set to resume on Aug. 1, numerous foreign governments are now rushing to finalize deals with the White House. That includes the European Union (EU), of which Trump spoke favorably on Tuesday as he claimed that a framework agreement with the bloc was near.

The pause on the biggest of Trump's tariffs won't pass this week, as planned, but the problems they present still loom large.

The European Union will not receive a letter from the Trump administration laying out higher tariffs and there is a possibility of exemptions from the U.S. baseline levy of 10%

"America will, once again, build a DOMINANT Copper Industry," Trump said in a post on his Truth Social media platform.

There are now at least 21 nations expecting tougher US tariffs from 1 August, unless they can negotiate an exemption by then.