G7 leaders urge Trump to ease off trade war
G7 leaders urge Trump to ease off trade war
US President Donald Trump holds a signed trade agreement with Britain during a meeting with British Prime Minister Keir Starmer at the G7 summit. Photo: Reuters
World leaders at the Group of Seven summit in Canada on Monday tried to push US President Donald Trump to back away from his punishing trade war that poses a risk to global economic stability.
At a summit where host Canada hopes to avoid stoking Trump's anger, and with attention on events in the Middle East, leaders still urged the US leader to reverse course on his plans to slap even steeper tariffs on countries across the globe as early as next month.
"Several participants asked to end the tariff dispute as soon as possible. They argued that this dispute weakens the G7's economies and in the end will only strengthen China," a senior German official told reporters on condition of anonymity.
The six other countries urged Trump to end his trade conflict as soon as possible, telling him that his protectionist policies were only "damaging to ourselves," the official added.
Most countries represented at the G7 are already subject to a 10 percent baseline tariff imposed by Trump, under a temporary easing of higher rates, with European countries and Japan also slapped with additional levies on cars and steel and aluminum.
Britain in May was the first country to sign a preliminary deal with Washington to avoid deeper tariffs, and the two leaders at the G7 said they had agreed on the accord's final points and signed the agreement.
"I like them. That's the ultimate protection," Trump told reporters after a meeting with British Prime Minister Keir Starmer on the G7 sidelines.
Trump opened a folder to display the signed documents, only for the paperwork to slide out and spread across the ground.
"Oops, sorry about that," he said as Starmer scrambled to gather up the loose sheets and stuff them back in the folder.
The trade issue is of particular interest to Canada after the Trump administration announced several extra levies on Canadian imports in recent months, throwing the country's economic future into deep uncertainty.
After a meeting between Trump and Prime Minister Mark Carney, the Canadian government indicated that the two sides could come to a trade truce deal in the next 30 days.
Mexican President Claudia Sheinbaum will also have her face-to-face time with Trump as her country tries to renegotiate its three-way North American free trade agreement that also includes Canada.
Dozens of countries are locked in negotiations with Washington to clinch some sort of trade deal before the US imposes stinging reciprocal tariffs, threatened for July 9.
But US Treasury Secretary Scott Bessent last week said that the date could be pushed back later for countries thought to be negotiating in good faith.
German Chancellor Friedrich Merz told reporters he would team up with his counterparts from France and Italy to discuss the US trade threat with Trump directly. (AFP)
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Asia Times
23 minutes ago
- Asia Times
Vietnam takes a risk and a chance on BRICS
On June 13, 2025, BRICS officially welcomed Vietnam as 'a partner country', marking a significant milestone in Hanoi's foreign policy. This decision reflects a carefully planned strategy, developed over years, to diversify Vietnam's international relations and strengthen its position in a multipolar world. By aligning with BRICS – a bloc comprising Brazil, Russia, India, China, and South Africa, and recently expanded to include other emerging economies –Vietnam aims to reduce its dependence on specific partners while navigating complex global dynamics. Vietnam's relationship with the United States, elevated to a comprehensive strategic partnership in September 2023, has faced challenges since the re-election of President Donald Trump. The Trump administration has imposed stringent tariff barriers and scrutinized Vietnam's trade practices, particularly its role as a potential conduit for Chinese goods entering the US market. Hanoi, acutely aware of these tensions, seeks to balance its economic ties with the US by deepening engagement with other global players. Joining BRICS is a strategic step in this direction, aligning Vietnam with a bloc that collectively represents over 40% of the world's population and a significant share of global GDP. Vietnam's accession to BRICS, even as a partner rather than a full member, carries both opportunities and risks. On one hand, it enhances Hanoi's access to economic resources, particularly from China, a dominant BRICS member. Recent agreements with Beijing, including financing for a high-speed railway project connecting Vietnam and China and other infrastructure initiatives, underscore Vietnam's reliance on Chinese loans and technical expertise. These projects are critical for modernizing Vietnam's economy, which remains heavily dependent on foreign investment to sustain growth. BRICS membership also offers Vietnam a platform to advocate for a more equitable global economic order, aligning with the bloc's calls for reforming institutions like the United Nations and the World Bank. However, this move risks straining relations with the US under the Trump administration, which targets China's economic influence. The US has expressed concerns that Vietnam serves as a transit hub for Chinese goods relabeled to evade US tariffs. If Hanoi fails to address these concerns, it could face punitive sanctions, disrupting its export-driven economy, which relies heavily on the US market. Such measures could also destabilize Vietnam's domestic political landscape, as economic downturns often fuel public discontent. To mitigate this, Vietnam has intensified efforts to enhance transparency in trade practices. Recent nationwide crackdowns in Vietnam by the economic police and the Market Management forces on goods lacking clear origins or invoices demonstrate Hanoi's commitment to aligning with international trade standards. Vietnam has also made diplomatic gestures to maintain cordial ties with the US, such as facilitating projects by the Trump Organization. While these moves signal Hanoi's desire to avoid antagonizing Washington, they are unlikely to resolve the core issue of Vietnam's trade practices. The Trump administration's focus on 'America First' policies leaves little room for compromise, placing Vietnam in an unstable position. Moreover, BRICS's push for global institutional reform highlights Vietnam's own domestic challenges. The country has faced international criticism over issues like transparency, institutional accountability and restrictions on freedom of speech. Without substantial internal reforms, Vietnam's participation in BRICS risks being perceived as symbolic rather than substantive. For instance, Hanoi's anti-corruption campaign, while notable, has yet to fully address systemic governance issues that could undermine its credibility within a bloc advocating for global equity. Vietnam's status as a partner country, rather than a full BRICS member, reflects a cautious foreign policy, aligning with its 'bamboo diplomacy.' This half-step allows Hanoi to engage with the bloc without fully committing to its geopolitical agenda, which is heavily influenced by China and Russia. However, this approach may limit Vietnam's ability to shape BRICS's vision for a new global economic order. Amid post-Covid economic recovery, Vietnam faces pressure to attract foreign capital from both China and the US while preserving its strategic autonomy. Joining a China-Russia-led alliance raises questions about Hanoi's ability to maintain its foreign policy of 'independence, self-reliance, diversification and multilateralization of relations', especially given ongoing disputes with Beijing in the South China Sea, where China's assertive claims challenge Vietnam's maritime rights. Vietnam's entry into BRICS as a partner country offers opportunities to diversify its economic and diplomatic ties but also poses critical challenges. Hanoi must navigate US-China tensions, address domestic governance issues, and clarify its trade practices to fully capitalize on BRICS membership. Without internal reforms and strategic foresight, Vietnam risks being caught in a geopolitical tug-of-war, undermining its aspirations for independence and influence in a rapidly changing global order.
RTHK
an hour ago
- RTHK
G7 says Iran is 'main source of instability in region'
G7 says Iran is 'main source of instability in region' The G7 leaders called for a broader de-escalation of hostilities in the Middle East, including a ceasefire in Gaza. Photo: Reuters The Group of Seven nations have expressed support for Israel and labeled its rival Iran as a source of instability in the Middle East, with the G7 leaders urging broader de-escalation of hostilities in the region. The air war between Iran and Israel – which began on Friday when Israel attacked Iran with air strikes – has raised alarm in a region that had already been on edge since the start of Israel's military assault on Gaza in October 2023. "We affirm that Israel has a right to defend itself," G7 leaders said in a statement issued late on Monday. "We reiterate our support for the security of Israel. "Iran is the principal source of regional instability and terror." The G7 leaders went on to say it was "clear that Iran can never have a nuclear weapon". Israel attacked Iran on Friday in what it called a preemptive strike to prevent Tehran from developing nuclear weapons. Since then the two Middle Eastern rivals have exchanged blows, with Iranian officials reporting over 220 deaths, mostly civilians, while Israel said 24 civilians were killed. Iran denies seeking nuclear weapons and has said it has the right to develop nuclear technology for peaceful purposes, including enrichment, as a party to the Nuclear Non-Proliferation Treaty. Israel, which is not a party to the NPT, is the only country in the Middle East widely believed to have nuclear weapons. Israel does not deny or confirm that. "We urge that the resolution of the Iranian crisis leads to a broader de-escalation of hostilities in the Middle East, including a ceasefire in Gaza," the G7 statement said, adding the nations were also ready to coordinate on safeguarding stability in energy markets. (Reuters)
South China Morning Post
2 hours ago
- South China Morning Post
Trump abruptly leaves G7 summit after urging ‘everyone' to flee Tehran
US President Donald Trump abruptly cut short his G7 summit visit to Canada, the White House announced, just minutes after the president issued a stark warning on social media urging the immediate evacuation of Tehran – a city of nearly 9.5 million people – amid escalating tensions in the Middle East. 'Iran should have signed the 'deal' I told them to sign. What a shame, and waste of human life. Simply stated, IRAN CAN NOT HAVE A NUCLEAR WEAPON. I said it over and over again!' Trump posted on Truth Social. 'Everyone should immediately evacuate Tehran!' He then told reporters that he needed to return to Washington 'for obvious reasons … as soon as I can', adding: 'I wish I could stay back but [the G7 leaders] understand. This is big stuff.' Earlier on Monday, Israel's military issued an evacuation warning affecting up to 330,000 people in a part of central Tehran that includes the country's state broadcaster and police headquarters. Three large hospitals, including one owned by Iran's paramilitary Revolutionary Guard, are also in the area. 02:09 Iran state TV resumes live broadcasts after service stopped during Israeli air strike Iran state TV resumes live broadcasts after service stopped during Israeli air strike Iran state television lost service after an Israeli attack on the Islamic Republic of Iran Broadcasting (IRIB) building in Tehran.
