How the US-EU trade deal wards off more escalation but will raise prices and slow growth
The tariffs, or import taxes, paid when Americans buy European products could raise prices for U.S. consumers and dent profits for European companies and their partners who bring goods into the country.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Toronto Star
29 minutes ago
- Toronto Star
Croatia holds military parade as it marks 30 years since a key war victory
ZAGREB, Croatia (AP) — Thousands watched a military parade in Croatia's capital on Thursday marking 30 years since a key war victory as the country looks to further boost its forces with a possible loan from a new European Union defense fund. A flyover in Zagreb by French-made Rafale jets was a highlight of the show that included 3,400 army personnel along with police units, emergency service teams and war veterans. Navy battle ships sailed simultaneously by the Adriatic Sea port of Split.
Global News
29 minutes ago
- Global News
Tariff uncertainty taking a toll on Alberta's construction industry
With the clock ticking down to Friday's deadline for Canada and the United States to negotiate a new trade agreement, people who work in Alberta's construction industry are keeping an anxious eye on the news out of Washington and Ottawa. If the two countries fail to reach an agreement by the deadline, imposed by U.S. President Donald Trump, he has threatened to impose 35 per cent tariffs on all goods imported from Canada not included in the existing Canada-U.S.-Mexico free trade agreement (CUSMA). The president of the Calgary Construction Association, Bill Black, said the uncertainty is already taking a toll. View image in full screen The president of the Calgary Construction Association said his members are anxiously watching the ongoing trade negotiations between Canada and the U.S., but at the end of the day, whatever the final tariffs are, the costs will need to be passed on to customers. Global News 'It's games, and it's playing with people's livelihoods. It's playing with business profitability and it's affecting the availability and affordability of housing, not just in Canada, also in the U.S.,' Black said. Story continues below advertisement While Black is hopeful the trade dispute will eventually be resolved, he said charging tariffs on products like copper makes no sense. 'Copper is utilized in electrical and a significant amount of building components that are used in the U.S. residentially and commercially,' Black said. View image in full screen People who work in the construction industry in Alberta are hoping for the best but preparing for the worst as the clock ticks down to Friday's deadline for a new trade agreement between Canada and the U.S. Global News Early Thursday morning, the U.S. president appeared to dampen expectations that negotiators for the two countries would be able to reach a deal by his self-imposed Friday deadline. Get daily National news Get the day's top news, political, economic, and current affairs headlines, delivered to your inbox once a day. Sign up for daily National newsletter Sign Up By providing your email address, you have read and agree to Global News' Terms and Conditions and Privacy Policy In a post on social media, Trump said it will be 'very hard' to make a deal with Canada after Prime Minister Mark Carney announced Wednesday that Ottawa intends to recognize a Palestinian state. View image in full screen The possibility that Canada and the U.S. will reach a new trade agreement by Friday's deadline took a hit when President Donald Trump took to social media to criticize Canada's decision to recognize a Palestinian state. Truth Social 'I definitely think we're going to see some tariffs,' Black said. 'I can't see how, frankly, his ego would let him not retain some.' Story continues below advertisement 4:36 Trump stands firm on tariff deadline as negotiations come down to the wire with Canada While Black said Canadian companies are looking to source more construction materials within Canada, making them less dependent on U.S. suppliers, there are some materials that are only available from the U.S. 'The difference between some owners and others is some are asking contractors to carry all the risk in their bid, and so that means you're probably going to get some significant contingency,' Black said. 'Other owners are saying, give me your best price now and tell me the items that we need to worry about.' 'At the end of the day,' Black said, 'if there is additional cost, it is going to result in being passed on (to customers).' The most recent data from the United States Census Bureau shows that, purely on goods traded, the U.S. had a trade deficit with Canada of US$61.98 billion in 2024. The year before, it was $63.6 billion. Story continues below advertisement In a separate post on Thursday morning, following a conversation he had with Mexican President Claudia Sheinbaum, Trump said he is giving that country an additional 90 days to negotiate an agreement before imposing a threatened 30 per cent tariff on goods from Mexico that aren't included in CUSMA.
Global News
29 minutes ago
- Global News
Canadian job vacancies fell to a near 8-year low amid hiring freezes
The Canadian job market showed more signs that it may be cooling off as companies slow or freeze hiring plans, with Statistics Canada reporting that job vacancies are at the lowest point in almost eight years. That comes as the Canadian job market continues to adapt to a rapidly changing landscape, as the trade war and U.S. President Donald Trump's tariff policies force some businesses to pivot in order to help minimize the impacts, including higher costs. Companies are mostly focused on maintaining their current business operations rather than setting long-term goals to expand due to the 'uncertainty' echoed by many economists and policymakers surrounding international trade — including a pending deal between Canada and the U.S. 'If you're an organization and you don't have clarity on what your business is going to look like tomorrow or next month or next quarter, you're not going to be risking adding any type of cost into the businesses,' says Cal Jungwirth, director of permanent placement services at Robert Half. Story continues below advertisement 'I'm not saying no one is hiring out there, but as a general trend, yeah, until organizations have a better feel of what the economy is going to look like, they're going to continue to be very cautious.' 1:44 Canada's jobless rate ticks up as Trump's tariffs cause cracks in labour market On Thursday, Statistics Canada released new job market data, which some experts say reflects the broader business sentiment surrounding the trade war. Get breaking National news For news impacting Canada and around the world, sign up for breaking news alerts delivered directly to you when they happen. Sign up for breaking National newsletter Sign Up By providing your email address, you have read and agree to Global News' Terms and Conditions and Privacy Policy According to the agency, the number of job vacancies, meaning job openings listed by businesses that have yet to be filled, fell in May of 2025 by 20,400, or 4.1 per cent, compared to the previous month, and that's after a 3.4 per cent drop in April. Compared to the same month in 2024, the total number of job vacancies in May of 2025 fell by nearly 16 per cent. Story continues below advertisement Statistics Canada also says that with May's reported job vacancies totalling 478,200, it is the lowest level recorded since October 2017. 'Organizations are not hiring at the levels that they were to begin the year, and we're not seeing right now just simple turnover or churn,' says Jungwirth. 'So when an individual stays (at a job) where they're at, versus if they were looking to leave and make a move, when they leave, that opens up a vacancy and creates jobs in the marketplace. If they don't leave their current role, the vacancy is not created. So, it's kind of a double whammy.' New research from Robert Half based on survey data shows 26 per cent of workers plan to look for a new job in the second half of the year, and that's down from 38 per cent near the start of 2025. 4:36 Trump stands firm on tariff deadline as negotiations come down to the wire with Canada 'Hiring appetite and recruiting activity are inherently forward-looking endeavours. You're planning for the workforce of your future, you have a sense of what your attrition might be, people leaving or layoffs, and then the workers you want to add,' says senior economist Brendon Bernard at Indeed. Story continues below advertisement 'I definitely think this is part of a relatively pessimistic environment going on in Canada right now. It's a difficult market for job seekers.' Bernard also says the consistent reports showing lower job vacancies in recent months is 'not a new trend,' and that the trade war creating this 'pessimistic environment' felt by some Canadian businesses may not be the only factor contributing to the declines. 'While the numbers (of job vacancies) have slipped over the past few months, they've also come down a lot just in general from their peaks in 2022, and the job vacancy rate is now a bit below where it was pre-pandemic,' says Bernard. 'I think 2022 was an exceptional period for the economy and the labour market in a lot of different ways. So we would expect that to cool off to some degree.'
