Israeli Army Radio Claims Syrian Fighters Led By HTS Clashed With Russian Forces In May
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
&w=3840&q=100)
First Post
4 minutes ago
- First Post
Trump strikes 'biggest ever' trade deal with EU: Here's what we know, what we don't
The US and European Union have struck a landmark trade deal imposing a 15 per cent tariff on most EU goods, averting Trump's threatened 30 per cent levy. The agreement promises $750 billion in US energy sales and $600 billion in EU investments, but leaves key issues unresolved read more The United States and the European Union have struck one of the most consequential trade agreements in recent years. Announced by US President Donald Trump and European Commission President Ursula von der Leyen during Trump's visit to Scotland, the pact establishes a 15 per cent tariff on most EU exports to America, replacing the looming threat of a 30 per cent levy that would have taken effect on August 1. While hailed as a breakthrough, the framework leaves crucial gaps unresolved. STORY CONTINUES BELOW THIS AD Both sides have presented the deal as a way to prevent a transatlantic trade confrontation, yet analysts are now parsing the details to understand exactly what has been agreed — and where negotiations must continue. The headline numbers: a 15 per cent tariff, billions in investment and major energy commitments. At the centre of the announcement is a 15 per cent tariff applied to 'the vast majority' of European goods shipped to the US — a rate lower than Trump's earlier proposals of 20 per cent and subsequent threats of 50 per cent and then 30 per cent, but still a dramatic jump from the near-zero tariff environment that existed before Trump's return to the White House. The deal is tied to two large European commitments. First, von der Leyen confirmed that the EU would purchase $750 billion (638 billion euros) worth of US natural gas, oil, and nuclear fuel, part of its continuing effort to pivot away from Russian energy sources. Second, European entities would invest $600 billion (511 billion euros) into the US economy, though the sources of this investment have not yet been disclosed. Standing alongside von der Leyen in Scotland, Trump celebrated the outcome, saying: 'I think this is the biggest deal ever made,' and praised the agreement as an expansion of US-EU ties. STORY CONTINUES BELOW THIS AD He argued that the deal would benefit both sides, claiming it would stabilise trade and create new opportunities for American farmers, energy companies and manufacturers. Von der Leyen, who led months of complex negotiations on behalf of the European Commission, described Trump as a 'tough negotiator' and acknowledged the compromise: 'The 15% rate was the best we could do.' She added that the deal would 'bring stability' and 'predictability' for companies on both sides of the Atlantic. Zero tariffs on these 'strategic' goods Although the 15 per cent tariff applies broadly — including on key sectors like cars, semiconductors and pharmaceuticals — there are notable carve-outs. Both sides agreed to zero tariffs on certain 'strategic' goods: Aircraft and aircraft parts Select chemicals Some generic drugs Semiconductor production equipment A range of agricultural items Critical raw materials and natural resources Von der Leyen stressed that the list is not final: 'We will keep working to add more products to this list.' Even with these exemptions, major questions linger. Tariff treatment for spirits remains unresolved, an issue of particular sensitivity given its impact on producers and consumers in both the US and the EU. Pharmaceuticals — a massive trade category — were intentionally left off the main deal. 'Pharmaceuticals were on a separate sheet of paper,' von der Leyen explained, meaning discussions will continue separately. A major flashpoint is steel. Trump made clear that his administration's 50 per cent tariff on imported steel — introduced earlier as part of his broader trade agenda — would remain in place. STORY CONTINUES BELOW THIS AD Von der Leyen signalled a willingness to keep talking about potentially replacing that tariff with a quota system, which would cap the amount of steel allowed into the US at lower duty rates. What this means for Americans & Europeans While the 15 per cent tariff avoided the heavier blow of 30 per cent, it still represents a seismic change. Prior to Trump's presidency, average US tariffs on European goods hovered around 1–1.5 per cent; the European Union's own tariffs on American products were similarly low. Trump himself had instituted a 10 per cent 'baseline tariff' while negotiations were ongoing — high enough that the European Commission downgraded its 2025 growth forecast from 1.3 per cent to 0.9 per cent earlier this year. The new tariff effectively cements that higher-cost reality. Import taxes of this scale force two choices for companies selling into the US market: raise prices for American consumers — risking market share — or absorb the cost through lower profit margins. European exporters are bracing for the impact. The Federation of German Industries warned of serious consequences, with senior official Wolfgang Niedermark stating: 'Even a 15 per cent tariff rate will have immense negative effects on export-oriented German industry.' STORY CONTINUES BELOW THIS AD Trump insists that the tariffs are a tool for fairness, pointing to the long-standing trade imbalance between the two economies. Before his return to office, the US-EU trade relationship — worth around €1.7 trillion ($2 trillion) annually — was largely balanced in services but heavily tilted in goods: in 2024, the EU posted a €198 billion trade surplus with the US. How Europe has reacted Reactions in Europe have been cautious but largely positive — driven by relief that a full-scale trade war has been avoided. German Chancellor Friedrich Merz welcomed the outcome, saying it prevented 'an unnecessary escalation in transatlantic trade relations' and preserved 'our core interests.' He added, however, that 'I would have very much wished for further relief in transatlantic trade.' Markets showed mild optimism. The euro rose about 0.2 per cent against the dollar, sterling, and yen within an hour of the announcement — a sign that investors were reassured by the removal of Trump's August 1 tariff threat. Economists, however, are urging caution. Carsten Brzeski, global chief of macroeconomics at ING, summed up the hesitation, 'The big caveat to today's deal is that there is nothing on paper, yet. With this disclaimer in mind and at face value, today's agreement would clearly bring an end to the uncertainty of recent months. An escalation of the US-EU trade tensions would have been a severe risk for the global economy. This risk seems to have been avoided.' STORY CONTINUES BELOW THIS AD What about the auto industry Among the industries most affected by Trump's tariffs is the European auto sector. Until now, European carmakers had been paying a 27.5 per cent tariff — made up of Trump's 25 per cent tariff on all imported cars plus the preexisting 2.5 per cent duty. The new agreement cuts that total to 15 per cent, a meaningful reduction but still far above historical norms. Von der Leyen pointed out that the new rate is 'much lower' than the current burden, making it easier for carmakers to sell into the US. Yet for major automakers, the damage has already been done. Volkswagen reported a €1.3 billion ($1.5 billion) hit to profits in the first half of 2025 alone due to higher tariffs. Mercedes-Benz, while somewhat shielded by its Tuscaloosa, Alabama production plant — which makes 35 per cent of Mercedes vehicles sold in the US — warned of 'significant increases' in car prices in coming years. Dealers have said they are holding prices steady 'until further notice,' but acknowledge hikes are coming. Japan deal with a lot of holes The new EU agreement resembles the framework Trump struck with Japan a week earlier, which carried a $550 billion price tag. Like that deal, the EU pact leaves major details unsettled and is being cast by the White House as a victory in its push to 'rebalance' global trade. Trump has long argued that the EU was formed to disadvantage the US economically. He has claimed that tariffs have generated 'hundreds of billions of dollars' in revenue for the American government and dismissed warnings from economists about inflationary effects. STORY CONTINUES BELOW THIS AD This latest deal fits into his administration's broader goal of signing '90 deals in 90 days' — a goal officials admit hasn't been met, but which has already yielded agreements with UK, Japan, Indonesia and Vietnam. Senior US officials underscored the scale of this latest accord. 'Remember, their economy is $20 trillion … they are five times bigger than Japan,' one official said during a briefing to reporters. 'So the opportunity of opening their market is enormous for our farmers, our fishermen, our ranchers, all our industrial products, all our businesses.' Why the deal is still incomplete Not every issue was resolved in Scotland. Spirits remain a particularly thorny topic, with both US bourbon makers and European wine and liquor producers awaiting clarity on whether they will face tariffs. Steel and aluminium, too, remain at the top of the agenda. Trump is keeping the 50 per cent steel tariff intact, while the EU is pushing for talks to turn it into a quota-based system. There's also the question of pharmaceuticals and non-tariff barriers. US officials claim Europe has agreed to reduce some of these regulatory barriers for automobiles and certain agricultural goods — but EU officials counter that the specifics are still under discussion. STORY CONTINUES BELOW THIS AD Trump has also reserved the right to raise tariffs again if the EU fails to follow through on its investment and energy-buying pledges, according to senior administration figures. The US and EU together represent 44 per cent of global GDP, and their trade flows total nearly €1.7 trillion ($2 trillion) annually. For decades, this partnership thrived on low tariffs and deep economic integration, with US goods tariffs averaging 1.47 per cent and EU tariffs on U.S. products averaging 1.35 per cent, according to the Brussels-based Bruegel think tank. Trump's tariffs — starting with steel, then cars, and now a sweeping 15 per cent rate — have disrupted that status quo. With inputs from agencies
Fibre2Fashion
7 minutes ago
- Fibre2Fashion
EU, US strike trade deal; 15% baseline tariff on EU exports to US
The European Union and the United States yesterday signed a trade deal in Scotland that would see a baseline tariff of 15 per cent imposed on EU exports to the latter. President Donald Trump termed it 'probably the biggest deal ever reached in any capacity" after his meeting with European Commission President Ursula von der Leyen. The EU and the US yesterday signed a trade deal in Scotland that would see a baseline tariff of 15 per cent imposed on EU exports to the latter. The 15-per cent tariff would apply across the board, including for Europe's crucial automobile sector, pharmaceuticals and semiconductors. The EU will purchase $750 billion worth of energy from the US, as well as make $600 billion in additional investments. The 15-per cent tariff would apply across the board, including for Europe's crucial automobile sector, pharmaceuticals and semiconductors, Trump said. 'This 15 per cent is a clear ceiling. No stacking. All-inclusive. So it gives much-needed clarity for our citizens and businesses. This is absolutely crucial,' von der Leyen said in a statement. Pre-existing US tariffs on European goods average around 4.8 per cent, but with companies currently facing an additional flat rate of 10 per cent, the new rate is close to what is now being imposed on European goods imported into the United States. 'Today we have also agreed on zero-for-zero tariffs on a number of strategic products. This includes all aircraft and component parts, certain chemicals, certain generics, semiconductor equipment, certain agricultural products, natural resources and critical raw materials. And we will keep working to add more products to this list,' she said. As part of the deal, the EU has agreed to purchase $750 billion worth of energy from the United States, as well as make $600 billion in additional investments, Trump said. 'Purchases of US energy products will diversify our sources of supply and contribute to Europe's energy security. We will replace Russian gas and oil with significant purchases of US LNG, oil and nuclear fuels,' von der Leyen said. "It will bring stability. It will bring predictability. That's very important for our businesses on both sides of the Atlantic," she said. Any such deal needs to be approved by EU member states. German Chancellor Friedrich Merz hailed the deal, saying it avoided "needless escalation in transatlantic trade relations". The Federation of German Industries said the 15-per cent tariff rate would significantly affect the excessively export-focussed German industry. Fibre2Fashion News Desk (DS)
The Hindu
34 minutes ago
- The Hindu
Russia starts direct commercial flights between Moscow, Pyongyang
Russia on Sunday (July 27, 2025) opened a regular air link between Moscow and Pyogyang, a move reflecting increasingly close ties between the two countries. The first flight operated by Russian carrier Nordwind took off from Moscow's Sheremetyevo airport carrying more than 400 passengers. Russia's Transport Ministry said there will be one flight a month to meet demand. North Korea plans to send military construction workers and deminers to Russia Russian Foreign Minister Sergey Lavrov, who visited North Korea's new Wonsan-Kalma beach resort earlier this month to meet with North Korean leader Kim Jong Un, promised to encourage Russian tourists to visit the complex. The resort, which can accommodate nearly 20,000 people, is at the centre of Mr. Kim's push to boost tourism to improve his country's troubled economy. North Korea's Kim says he'll 'unconditionally support' Russia's war against Ukraine North Korea has been slowly easing the curbs imposed during the pandemic and reopening its borders in phases. But the country hasn't said if it would fully resume international tourism. Regular flights between Russia's eastern port city of Vladivostok and Pyongyang reopened in 2023 following a break caused by the coronavirus pandemic. Russia and North Korea have sharply expanded military and other ties in recent years, with Pyongyang supplying weapons and troops to back Russia's military action in Ukraine.
