Tariffs 101: Why women's products cost more
Did you know that women's clothing and personal care products are often priced higher than men's? It's been that way for years and there's even a name for it. Pink Tax. Now with Trump implementing widespread tariffs, how will this impact women's goods and jobs?
This week on Now You Know, we talk to Prachi Agarwal, a research fellow at the International Economic Development Group at ODI Global. She focuses on trade policy and women in trade, explaining how tariffs work and why they disproportionately impact women.
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Qatar Tribune
39 minutes ago
- Qatar Tribune
Global markets pick up amid data, geopolitics and volatile trade trends
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UK GDP rose 0.3 percent in Q2, unemployment held at 4.7 percent, and earnings growth remained at 5 percent, whilst German ZEW sentiment fell sharply to 34.7 and eurozone sentiment declined to 25.1; EUR/USD and GBP/USD both edged up on the week. In Asia-Pacific, China's growth softened with industrial output at 5.7 percent YoY, retail sales at 3.7 percent, and new yuan loans contracting for the first time in two decades, as USD/CNY reached 7.1845, whilst Japan's Q2 GDP expanded 1 percent annualized on robust business investment and moderated PPI at 2.6 percent YoY. The Reserve Bank of Australia cut the cash rate by 25 bps to 3.6 percent, with unemployment at 4.2 percent and wage growth at 3.4 percent; AUD/USD ended the week at 0.6507. Equity markets were mixed, Treasury yields experienced volatility amidst inflation numbers, and Brent and WTI crude fell modestly ahead of the Trump-Putin Alaska summit and weaker Chinese data. Spot gold closed the week at $3,336.19 per ounce, easing after President Trump stated that gold imports would be excluded from US tariffs. President Donald Trump confirmed his shortlist for the next Federal Reserve chair has narrowed to 'three or four' candidates, with Kevin Hassett, Kevin Warsh, and Christopher Waller emerging as frontrunners. The US Treasury will interview 11 individuals, including long-shot candidates such as David Zervos, Larry Lindsey and Rick Rieder. Trump has criticized current Chair Jerome Powell, whose term ends in May 2026, for resisting deeper rate cuts, reiterating his preference to lower the federal funds rate from 4.25 percent-4.50 percent to 1 percent. Market focus has shifted to the September meeting, with swaps data now assigning an 85 percent probability of a 25 bps cut following softer jobs and inflation data, whilst some officials advocate a 50 bps move. DXY was last seen at 97.839. Following the US-Russia summit in Alaska, President Donald Trump is redirecting his diplomatic focus toward Ukraine, with President Volodymyr Zelensky set for an Oval Office meeting on Monday. The Alaska talks, held in secrecy with President Vladimir Putin, did not yield an immediate ceasefire, with Moscow insisting Kyiv cede the Donbas region. Trump signaled Zelensky should consider broader peace negotiations, increasing political pressure on Ukraine amidst ongoing European calls for territorial integrity. European officials emphasized that international borders cannot be altered by force and reiterated the need for a trilateral discussion involving Trump, Putin, and Zelensky. The Alaska summit outcome is seen as advancing Russia's diplomatic leverage, whilst Zelensky's forthcoming engagement in Washington will test Ukraine's willingness to negotiate under intensified US pressure. US inflation strengthened in July, with Core CPI rising 0.3 percent MoM (+3.1 percent YoY) and headline CPI up 0.2 percent MoM (+2.7 percent YoY), driven by the largest services cost increase since early 2024. Preliminary UoM consumer sentiment eased to 58.6, whilst one-year inflation expectations rose to 4.9 percent. Producer prices rose 0.9 percent MoM (+3.3 percent YoY), the strongest in three years, led by a 1.1 percent jump in services and 0.7 percent rise in goods. Labour market indicators showed initial jobless claims at 224K and continuing claims at 1.95M, remaining near their highest since 2021, signaling softer hiring and slower re-employment. Treasury Secretary Scott Bessent has called for cumulative Fed easing of 150-175 bps, citing labour market revisions and moderating growth. The Federal Reserve, holding rates at 4.25 percent-4.50 percent, faces balancing persistent price pressures with growing calls for accelerated policy accommodation. The UK economy expanded 0.3 percent in Q2, exceeding the 0.1 percent forecast from both private-sector economists and the Bank of England, with June output up 0.4 percent following minor contractions in prior months. Payrolls fell by just 8,353 in July - the smallest monthly decline since January - bringing total employment losses since October to 165K, notably below earlier estimates. The unemployment rate held steady at 4.7 percent, whilst total earning growth excluding bonuses remained at 5 percent, well above levels compatible with BOE's 2 percent inflation target. Labour market inactivity fell by 156K to 21 percent. These trends complicate the BOE's decision on further rate cuts from 4 percent, with markets now pricing a 3.5 percent terminal rate for 2026, reflecting a moderate but resilient economic environment. GBP/USD was last seen at 1.3554. The German ZEW Economic Sentiment Index declined sharply to 34.7 in August 2025, down from 52.7 in July and below market expectations of 40. The Current Situation Index also deteriorated, falling to -68.6 from -59.5, against an anticipated -65. In the eurozone, sentiment weakened to 25.1 from 36.1, missing forecasts of 28.1, whilst the Current Situation Index dropped to -31.2 from -24.2. According to the ZEW, the decline reflects disappointment over the recently announced EU-US trade deal, coupled with weaker Q2 performance in Germany. Outlooks for the chemical, pharmaceutical, mechanical engineering, metals, and automotive sectors have worsened. The data signals a broad cooling in investor sentiment, with downward revisions in growth expectations extending beyond Germany to the wider monetary union. EUR/USD was last seen at 1.1706. China's economy lost momentum in July, with broad-based weakness across production, consumption, and investment. Industrial output grew 5.7 percent YoY, down from June's 6.8 percent and the slowest pace since November 2023, whilst retail sales rose 3.7 percent, the weakest this year and below the prior month's 4.8 percent. Fixed-asset investment in January-July slowed to 1.6 percent, reflecting deeper contraction in the property sector. The urban unemployment rate climbed to 5.2 percent. Credit conditions deteriorated sharply, with yuan-denominated new loans declining by CNY 49.9B (USD 7B), the first contraction since July 2005, as households and corporates focused on debt repayment over new borrowing. Medium- and long-term loans fell, with corporate borrowing down for the first time since 2016. The data signals heightened downside risks, potentially prompting further targeted policy support in coming months. USD/CNY was last seen at 7.1845. Japan's economy grew at an annualized 1 percent in the April-June quarter, exceeding the 0.4 percent market forecast and following an upwardly revised 0.6 percent expansion in Q1. Growth was driven by a 1.3 percent QoQ rise in business investment, above the 0.7 percent consensus, and a 0.2 percent gain in private consumption, supported by solid wage growth. Net exports added 0.3 percent to GDP, with export volumes rising 2 percent despite higher US tariffs, aided by resilient tourism spending, which increased 18 percent YoY. The data bolsters the case for a potential Bank of Japan rate hike later in 2025, with swap markets currently discounting 17 bps worth of hikes by year end. in October. Producer price index inflation eased to 2.6 percent YoY in July, its slowest in 11 months, signaling moderated upstream cost pressures despite ongoing trade headwinds. USD/JPY was last seen at 147.19.
Qatar Tribune
an hour ago
- Qatar Tribune
Trump administration unveils stricter subsidy rules for wind, solar projects
Agencies The U.S. Treasury Department on Friday unveiled stricter rules for how solar and wind projects can qualify for federal tax subsidies that President Donald Trump's new tax and spending law is phasing out over the next two years. The revisions change longstanding definitions for what it means for a project to be considered under construction by requiring developers of big solar arrays and wind farms to complete physical work rather than simply show that they have invested changes are in response to an executive order Trump issued last month directing the Treasury Department to restrict tax credit eligibility unless a substantial portion of a facility is built. Since taking office in January, Trump has repeatedly sought to stall development of wind and solar energy, calling them unreliable, expensive, and overly dependent on Chinese supply chains. The One Big Beautiful Bill Act, which Trump signed into law last month, requires projects to begin construction by July of next year or enter service by the end of 2027 to qualify for a 30% tax credit and bonuses that can push the subsidy even higher. Under the new rules, which will affect projects that start construction as of September 2, utility-scale projects will be required to show substantial and continuous physical work to be eligible for the credits. They will still have four years to claim the subsidies. For the last decade, project developers had also been able to 'safe harbor' projects for four years by incurring 5% of total costs before a credit expired or stepped down to a lesser value. According to an agency document, 'substantial' work does not include permitting, design or holding components in inventory. Small projects of under 1.5 megawatts will still be able to use the 5% 'safe harbor' provision, Treasury said, a positive for the residential solar industry.
Qatar Tribune
a day ago
- Qatar Tribune
Trump says to set tariffs on steel, semiconductors in coming weeks
Agencies United States will announce tariffs on imports of steel and semiconductor chips in the coming weeks, President Donald Trump said on Friday. 'I'll be setting tariffs next week and the week after on steel and on, I would say, chips,' Trump told reporters aboard Air Force One as he headed to a meeting with Russian President Vladimir Putin in said the rates would be lower at the start to allow companies to build up domestic manufacturing in the U.S., rising sharply later, following a pattern he has also outlined for tariffs on pharmaceuticals. He gave no exact rates. 'I'm going to have a rate that is going to be lower at the beginning – that gives them a chance to come in and build – and very high after a certain period of time,' he said. Trump said he felt confident that companies would opt to manufacture in the United States, rather than face high has upended global trade by imposing sharply higher duties on nearly all countries' exports to the United States, along with tariffs on specific sectors, such as in February raised tariffs on steel and aluminum to a flat 25%, but he announced in May that he would double the rate to 50% to boost domestic was not immediately clear if another tariff increase on the metals was in the offing. Trump said last week he would impose a tariff of 100% on imports of semiconductors, but companies that committed to building up manufacturing in the United States would be exempt.
