European negotiators head for Washington after Trump agrees Japan deal
European automobile stocks led a broad-based rally, rising 3.6%, tracking strength in Asian rivals. Carmakers such as Mercedes-Benz, Volkswagen, and Porsche gained between 7.4% and 5.1%.
Mr Trump struck a trade deal with Japan, lowering tariffs on auto imports and sparing Tokyo from punishing new levies on other goods in exchange for a $550bn (€468bn) package of US-bound investment and loans.
The Japan deal included reduced 15% tariffs for auto exports to the US, down from 25% earlier.
Meanwhile, the prospects of an EU-US trade agreement improved after Mr Trump said that EU representatives would come for trade negotiations on Wednesday.
"The message is that things are negotiable," said RBC Brewin Dolphin's head of market analysis, Janet Lui, mentioning how Japan faced similar difficulties in reaching a tariff consensus with the U.S.
"The read across is there is potential to reach a trade deal that's lifting European markets across the board."
Among individual stocks, Temenos gained 18.1%, the biggest gainer in the STOXX 600, after the banking software company raised its full-year earnings forecast.
UniCredit rose 3.4% after the Italian lender posted higher-than-expected quarterly profit and raised its fiscal-year outlook.
Lonza rose 6.3% after the Swiss company topped core profit forecast.
Conversely, Nokia slumped 7.7%, pressuring media stocks, after the Finnish group lowered its guidance for 2025 comparable operating profit on Tuesday.
ASM International ASMI.AS fell the most in the benchmark index, down 9.3%, after the computer chip equipment maker reported second-quarter bookings below market expectations.
SAP fell 2.5% after the German software maker reported a positive second-quarter profit on cost cuts and increased demand.
Meanwhile, the latest earnings forecasts showed on Tuesday that the outlook for European corporate health has slightly improved.
On the day, Alphabet and Tesla will kick off the results season for the "Magnificent Seven" stocks.
Investors will also focus on euro zone consumer confidence flash for July later in the day.
Meanwhile Mr Trump said on Tuesday he would use import restrictions to force foreign suppliers to cut drug prices and that pharmaceutical companies would have a lot of problems if they did not agree to bring prices down.
Speaking at the White House at an event with Republican lawmakers, Trump pledged to reduce what consumers must pay for prescription drugs.
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RTÉ News
23 minutes ago
- RTÉ News
Is this EU-US trade deal a good one for Ireland?
Yesterday the EU and US reached agreement on a framework deal that ends months of uncertainty and avoids a full-blown trade war between the two blocs. While there is still a lot to be ironed out, there's a decent level of detail that has been announced. What's included in the deal? It introduces a 15% import tariff on most EU goods being exported to the US, which is half the 30% rate US President Donald Trump had threatened. This baseline tariff will apply across the board, including for Europe's crucial car manufacturing sector, pharmaceuticals, and semiconductors. However, there will be no tariffs on aircraft and their components, some chemicals and generic drugs, certain agricultural products, and critical raw materials. As part of the agreement, the EU has also committed to buying around €640 billion worth of US energy products over the next three years. This will largely involve purchases of US liquefied natural gas (LNG), oil and nuclear fuels. While Brussels has also said it will spend at least €515 billion on American military equipment. It's unlikely the deal will go much beyond those sectors in terms of what the EU agrees to buy from the US. For example, it's not expected the EU will have to commit to allowing in and buying more US beef as part of the broader agreement. What are we still not sure about? Some important elements of this trade deal still have to be thrashed out, such as what it will mean for the EU's dairy and spirits sector. Dairy and especially spirits, make up a huge chunk of Ireland's near €2 billion in annual food and drink exports to the US, so from an Irish perspective clarity in this area will be crucial. Essentially, we don't know yet for example if Irish whiskey exports to America will be subject to a 15% tariff. If so, that will have significant financial implications for the many distilleries here that rely heavily on the US market. Some sectors are also calling for clarity on whether exports going from Northern Ireland (NI) to the US will be treated differently to Republic of Ireland (ROI) exports to the US. America and the UK agreed a trade deal in May that included a baseline 10% tariff on many goods exported to the US, and this agreement includes goods being exported from NI. However, the dairy industry has pointed out that it operates on an "all island basis" with integrated supply chains and cross-border trade in raw milk, ingredients, and finished products. It says that any divergence in tariff treatment between NI and ROI (for example 10% for NI and 15% for ROI) could create huge issues and added cost for processors and farmers. Who pays the tariff? This means American-based companies will have to pay an extra 15% in tax to the US government on any goods they buy from the EU. These companies can either choose to absorb some or all of the cost of this extra 15% themselves, get discounts from the EU supplier they are buying from to cover the increase, or add the cost onto the price of the product, which would mean US consumers end up paying more. Ultimately though, the Irish and EU companies selling into the US will likely take a hit with this deal. US firms buying their goods may look for discounted prices to cover the new tariff rate, while if their products end up being more expensive in US shops then sales could drop if American consumers decide they are too expensive. So, while EU companies will be impacted financially by the new tariffs, it's worth noting consumers here will not have to pay any more as a result. They would only need to start worrying about higher prices if the EU implemented reciprocal tariffs on US goods. But that's far more unlikely now we have a deal. Is this a good deal for Ireland and the EU? It depends on your perspective. Right away, it takes the threat of an escalating trade war off the table. This adds a degree of certainty for EU businesses that hasn't been there for months. While they were hoping for no tariffs, there was a lingering threat of 30% tariffs - which is now gone. And while there is now a 15% tariff, at least they can makes plans in a more stable economic environment. That's what proponents of the deal are brings much-needed certainty. There are obvious benefits for the bloc's carmakers. Before this agreement there was a 27.5% tariff on cars being exported from the EU to the US, which will drop by 12.5.%. The US has a €200 billion trade deficit with the EU (meaning America buys a lot more from the EU than the other way around). EU Commission President Ursula von der Leyen has accepted that deficit needs to be cut. "We have to rebalance it," she said. However, not everyone in the EU is happy. Eurosceptic Hungarian PM Viktor Orbán said: "Donald Trump ate Von der Leyen for breakfast." French minister for Europe Benjamin Haddad said the deal is "unbalanced". Critics such as Haddad point out the EU is accepting a 15% tariff, while not placing a tariff on US goods entering the single market, and hasn't leveraged the scale and power of the single market as much as it could have in negotiations. But the dealmakers in Brussels will say the EU had much more to lose if there was no deal, given how much the bloc sells to the US, and that it's worth making compromises to protect more than €1.6 trillion in EU-US trade every year. What happens next? Over the next few weeks, European Commission and American officials will flesh out the agreement made yesterday. This is when we'll get more specifics on the spirits sector and issues around NI/ROI exports to the US for example. Then EU member states will have to approve the deal, which could come into effect before the end of the summer.
The Irish Sun
23 minutes ago
- The Irish Sun
Inside Golf Force One…Trump's modified cart coated with armour & bulletproof glass protecting him from fairway assassins
DONALD Trump's security entourage deployed a highly modified golf buggy to protect the prez from fairway assassins while he played his favourite sport. The all-black bond-style cart, dubbed Advertisement 11 The £20,000 cart can hit speeds of 65mph and has been adapted with toughened windows, reinforced panels Credit: TOM FARMER 11 The armoured cart and 26 others followed Trump around the course Credit: Robert Perry/PA Wire 11 President Donald Trump during his round of golf at Turnberry Golf Club, Ayrshire in Scotland Credit: Reuters 11 It was debuted by Trump's security Team as he The visiting leader took to the historic course after While the president was seen driving a standard white-framed buggy around the course, a unique buffed-up cart followed his fleet of 28 vehicles. It is said to be a modiefied Polaris NorthStar Edition which has been fitted with hardened tinted windows and reinforced panels. Advertisement The vehicle, which can sit six people, is believed to have state-of-the-art security protection - including smoke screens, electrified door handles and armoured plates. Gary Relf, director of Armoured Car Services, 'The windscreen is a giveaway, as are the side panels, doors and the large panel at the rear above the load tray.' Experts say the jet-black tinted windows indicate layers of protective laminate - typically used to prevent bullets in case of a shootout. Advertisement Most read in The US Sun Mr Relf added that it was likely the modifications would be designed to keep the vehicle as secure as possible while remaining lightweight enough to avoid damaging grass on the course. The all-wheel-drive mini beast comes with a twin Cylinder dual overhead cam engine that can reach upto 65mph. A source told The Scottish Sun: 'Trump was zipping between holes on a regular cart with this huge thing following behind. I was inches from death as Trump rally gunman shot at president – moment I shielded my pregnant wife fearing the worst 'His bodyguards were staying close and were ready to zoom off if he had to dive in. Advertisement 'The cart is an amazing bit of kit. 'It has massive chunky tyres, what looked like a winch on the front and even has space at the back for his clubs. 'Americans love their motors and Trump seems no different — this thing was bigger than some of the compact cars you see on the road here.' Donald Trump blasts 80s chart-topper from golf buggy DONALD Trump pressed play on an iconic eighties track yesterday as he played golf in Scotland. The US President teed off his five-day visit with a round at his Turnberry resort, accompanied by a massive security team. Angry campaigners waved creative signs in Aberdeen and Edinburgh as the American leader enjoyed a round of golf at his luxury Ayrshire resort. But this didn't get the leader of the free world down as he breezed past them while listening to Billy Joel's 1983 hit Uptown Girl. Also on President Trump's playlist was Memory from the Andrew Lloyd Webber musical Cats, All Out of Love by Air Supply, Unchained Melody by the Righteous Brothers and Bridge Over Troubled Water by Simon and Garfunkel. After surviving two assasination attemps - including one that almost took his life - Trump's security team seem to be well-prepared to thwart a third attempt. Advertisement The MAGA prez last year The suspect, who was able to get within 400-500 yards of Trump and even attempted to flee the scene in an SUV has been He was arrested after Secret Service agents saw 11 Specialist Rifle Officers ahead of a visit by US President Donald Trump to his Trump Turnberry golf course in South Ayrshire, during his five-day private trip to the country Credit: PA Advertisement 11 A defiant Trump showing a thumbs up after the attack that shook US politics Credit: Getty 11 The former president took cover after the shots as the Secret Service drew their weapons Credit: Getty 11 The MAGA prez last year survived a dangerous assassination bid while playing golf at the National Golf Club in West Palm Beach, Florida. Credit: The Mega Agency Just two months previously, Trump was left wounded when a Advertisement Shooter Thomas Matthew Crooks, 20, fired off eight shots from an assault rifle before he was taken out. A US government spokesman said: 'The US Secret Service employs a variety of tools and resources to safeguard our protectees. 'In order to maintain operational security, the Secret Service does not discuss the specific means and methods used to conduct our protective operations.' Over the weekend, Trump was seen enjoying golf at Advertisement Hillarious footage showed the moment Trump, 79, was seen being escorted down to the course, with a convoy of 20 other carts following close behind. The caddies went ahead of the US leader and one appeared to secretly place a golf ball on the ground. The brash New Yorker - whose mother was born in Scotland - then got out and claimed to have made the shot himself. Advertisement Read more on the Irish Sun One person who watched the footage circulating on "I want to know how he finds caddies to do that for him," added another. 11 Footage appeared to show a caddy drop the President's ball in a prime spot Credit: X / RoguePOTUSStaff 11 Donald Trump made an appearance at his Trump Turnberry golf course Credit: Shutterstock Editorial Advertisement 11 A massive security operation was in place as the President played golf on the course Credit: PA
RTÉ News
an hour ago
- RTÉ News
Trump says Gaza ceasefire is 'possible'
US President Donald Trump said that a ceasefire between Israel and Hamas in Gaza was "possible". He made the comments to reporters at his Turnberry golf resort in Scotland, where he was meeting British Prime Minister Keir Starmer. Mr Trump also said that he will cut the 50-day deadline he has set Russian President Vladimir Putin to end the war in Ukraine. "I'm disappointed in President Putin, very disappointed in him. So we're going to have to look and I'm going to reduce that 50 days that I gave him to a lesser number". The prime minister travelled to Ayrshire, where the US president is staying at his Turnberry golf resort, for wide-ranging discussions on trade and the Middle East as international concern grows over starvation in Gaza. The two leaders have built a rapport despite their differing political backgrounds, with Mr Trump praising Mr Starmer for doing a "very good job" in office ahead of their talks. But humanitarian conditions in Gaza and uncertainty over US import taxes on key British goods in America threaten to complicate their bilateral meeting. Peace talks in the Middle East came to a standstill last week after the US and Israel recalled negotiating teams from Qatar, with White House special envoy Steve Witkoff blaming Hamas for a "lack of desire" to reach an agreement. Since then, Israel has promised military pauses in three populated areas of Gaza to allow designated UN convoys of aid to reach desperate Palestinians. But the UK, which is joining efforts to airdrop aid into the enclave and evacuate children in need of medical assistance, said that access to supplies must be "urgently" widened. During discussions with Mr Trump, Downing Street said the prime minister will "welcome the president's administration working with partners in Qatar and Egypt to bring about a ceasefire in Gaza". "He will discuss further with him what more can be done to secure the ceasefire urgently, bring an end to the unspeakable suffering and starvation in Gaza and free the hostages who have been held so cruelly for so long," it said. The leaders will also talk "one-on-one about advancing implementation of the landmark Economic Prosperity Deal so that Brits and Americans can benefit from boosted trade links between their two countries", it added. The agreement signed at the G7 summit last month cut trade barriers on goods from both countries. But tariffs for the steel industry, which is of key economic importance to the UK, were left to stand at 25% rather than falling to zero as originally agreed. Concerns had previously been raised that the sector could face a levy of up to 50% - the US's global rate - unless a further agreement was made by 9 July, when Mr Trump said he would start implementing import taxes on America's trading partners. But that deadline has been and gone without any concrete update on the status of UK steel. Downing Street said both sides are working "at pace" to "go further to deliver benefits to working people on both sides of the Atlantic" and to give UK industry "the security it needs". The two leaders are also expected to discuss the war in Ukraine, which Number 10 said would include "applying pressure" on Russian President Vladimir Putin to end the invasion, before travelling on together for a private engagement in Aberdeen. It comes after Mr Trump announced he had agreed "the biggest deal ever made" between the US and the European Union after meeting Ursula von der Leyen for high-stakes talks at Turnberry yesterday. After a day playing golf, the US president met the president of the EU Commission to hammer out the broad terms of an agreement that will subject the bloc to 15% tariffs on most of its goods entering America. This is lower than a 30% levy previously threatened by the US president. The agreement will include "zero for zero" tariffs on a number of products including aircraft, some agricultural goods and certain chemicals, as well as EU purchases of US energy worth 750 billion dollars (€638bln) over three years. Speaking to journalists yesterday about his meeting with the prime minister, Mr Trump said: "We're meeting about a lot of things. We have our trade deal and it's been a great deal. "It's good for us. It's good for them and good for us. "I think the UK is very happy, they've been trying for 12 years to get it and they got it, and it's a great trade deal for both, works out very well." Mr Trump said he thinks discussions will feature "a lot about Israel". "They're very much involved in terms of wanting something to happen," he said. "He's doing a very good job, by the way," he added. Mr Trump's private trip to the UK comes ahead of a planned state visit in September.
