Latest news with #US-EU
Yahoo
4 hours ago
- Business
- Yahoo
Trump deciding trade deals by August 1: Lutnick
US President Donald Trump will make his trade deal decisions this week even as separate negotiations with China and the European Union continue, US Commerce chief Howard Lutnick says ahead of Trump's self-imposed August 1 deadline. US and EU officials were still discussing steel and aluminium tariffs as well as digital services regulations following their framework announced on Sunday, Lutnick told CNBC in an interview, adding that talks with China were also "their own thing". "But for the rest of the world, we're going to have things done by Friday," he said in the interview. Asked about remaining uncertainties surrounding the US-EU agreement, Lutnick said Trump was working "to get things done now". .@POTUS: "We just signed a very big deal, as you know, with the European Union, but also with the United Kingdom ... A great deal for the country." — Rapid Response 47 (@RapidResponse47) July 29, 2025 He said pharmaceuticals were a key part of the EU deal so that medicines made in EU member countries - home to several major drug makers - would have their products included in the 15 per cent tariff. "It was important for them to have pharmaceuticals be part of the deal at 15 per cent because President Trump is going to come out in the next two weeks with his pharmaceutical policy, and it is going to be higher," he said. South Africa's trade ministry said on Tuesday that it still wanted to negotiate a trade deal with the United States, before a 30 per cent tariff on its exports to the US is due to kick in on Friday. South Africa's government has been tight-lipped about its negotiations with the US administration ahead of the August 1 deadline, which comes as the two countries' relationship has deteriorated over South Africa's domestic race policy and its genocide case against Israel, which Israel denies. In a statement, the trade ministry said it was still waiting for "substantive feedback from our US counterparts on the final status on our framework deal". .@SecScottBessent and @USTradeRep give an update from Stockholm following the latest round of trade talks with China: "We had great momentum going into the meeting thanks to the President's trade deals. I think that the Chinese were surprised by the magnitude." — Rapid Response 47 (@RapidResponse47) July 29, 2025 Trump said on Tuesday he had spoken with Treasury Secretary Scott Bessent who told him that he had a very good meeting with Chinese officials in Sweden. "He felt very good about the meeting, better than he felt yesterday," Trump told reporters aboard Air Force One on his way back to Washington DC after five days in Scotland. US and Chinese officials agreed to seek an extension of their 90-day tariff truce following two days of talks in Stockholm aimed at defusing an escalating trade war between the world's two biggest economies. No major breakthroughs were announced and US officials said it was up to Trump to decide whether to extend a trade truce that expires on August 12 or potentially let tariffs shoot back up to triple-digit figures. Asked about a possible trade deal with India, another major trading partner, Trump said no deal had been finalised and noted that India had higher tariffs than nearly all other countries.
The Australian
5 hours ago
- Business
- The Australian
ASX cautious ahead of inflation data to be released on Wednesday
Cautious traders lifted the ASX from an early fall on Tuesday but are still waiting for Wednesday's key CPI figure and US tariff fallout. The benchmark ASX200 eked out a small 6.9 or 0.08 per cent gain to 8,704.6 after falling by as much as 0.6 per cent on the open. The broader All Ordinaries also finished in the green up 3.20 points or 0.04 per cent to 8,966.70. Australia's dollar firmed marginally up 0.06 per cent to buy 65.25 US cents. Markets pared back early losses during Tuesday's trading. Picture NewsWire/ Gaye Gerard. On an overall quiet day of trading, seven of the 11 sectors finished in the green, led by energy, industrials and healthcare stocks. Woodside Energy gained 1.57 per cent to $26.60 and Santos jumped 2.06 per cent to $7.91 on the back of rising oil prices. Healthcare giant CSL gained 0.52 per cent to $272, Pro Medicus gained 0.86 per cent to $323.21 and Fisher Paykel Healthcare jumped 1.44 per cent to $33.78. It was a mixed day for the market heavyweight big four banks. Commonwealth Bank shares slipped 0.35 per cent to $174.29 while Westpac fell 0.06 per cent to $33.19. Offsetting the falls were gains from National Australia Bank which closed 1.17 per cent higher to $38.20 and ANZ which eked out a 0.03 per cent gain to $30.32. The initial excitement in the markets on the back of a US-EU trade deal over the weekend quickly died down as the White House announced a possible bounce in the tariff rate. Under the new plan the 'Rest of World', including Australia, could now face tariffs of 15 to 20 per cent, up from the 10 per cent initial base rate. senior financial market analyst Kyle Rodda said market excitement on the back of trade talks between the US and the EU was short lived. 'Wall Street failed to hold onto the post US-EU trade deal buzz but that's only because of the mountain of event risk that the markets confront in the coming days,' he said. 'The August 1 trade deadline loomed as potentially the biggest story of the week'. Seven of the 11 sectors finished higher on a quiet day of trading. Picture: NewsWire / Max Mason-Hubers But Mr Rodda pointed out that with deals worked out between the US and the EU, Japan and potentially China means markets attention will shift to macroeconomic figures and corporate earnings. Australia's key macroeconomic data comes out on Wednesday with the release of the quarterly CPI figures. Economists say a quarterly trimmed mean inflation rate between 2.6 and 2.7 per cent over the year, would fall in the RBA's target band of 2 to 3 per cent and open the door for further interest rate relief. In company news, shares in jeweller Michael Hill jumped 2.47 per cent to $0.42 on the bell after the business announced founder Sir Michael Hill died at age 86 earlier on Tuesday. 'To every endeavour he pursued, Michael brought a deep sense of purpose, an enduring curiosity, open-mindedness and creativity that challenged all of us to embrace ever more lofty goals and be unconstrained in our thinking – a legacy that will continue to inspire us,' Michael Hill chairman Rob Fyfe said in a statement to the ASX. Boss Energy continued its slump following the announcement of its result on Monday, dropping another 5.51 per cent to $1.80. The stock fell more than 40 per cent after warning the market it is unlikely to meet its production targets at its Honeymoon project in South Australia on the back of costs and concerns about the uranium quality. Shares in wagering company Tabcorp finished 1.31 per cent higher to $0.78 after Aware Super told the market it exited its stake on July 24 on the back of strong gains made earlier this year. Read related topics: ASX
Yahoo
6 hours ago
- Business
- Yahoo
Italy's Wood Supply Chain Urges Swift Trade Deal With South American Trade Bloc
MILAN — Now that the EU and the U.S. reached a trade deal, fixing tariffs on EU exports at 15 percent, the focus has turned to South America. The Brazilian market, for example, is highly protected with an applied customs averaging duty of 13.5 percent, according to the European Commission. More from WWD Upscale Italian Furniture Maker B&B Italia Presses On With Global Expansion, Opens Seoul Store Cambodia Is a Growing Footwear Production Hub - A Trade Deal Could Be on the Way Questions Remain on US-EU Trade Deal, But 'Reduction of Uncertainty' Could Be Positive Step On Tuesday, FederlegnoArredo, the Italian federation of woodworking and furniture industries which represents the majority of Europe's luxury furniture-makers, said its president Claudio Feltrin met with Italy's Deputy Prime Minister and Minister of Foreign Affairs Antonio Tajani in July to discuss supporting a historic deal that would lift tariffs on goods to the region. 'The government insists that the European Commission finalize the Mercosur agreement as soon as possible. This would remove the existing tariffs for a very interesting area for our exports, starting with Brazil,' Feltrin said, adding that swift action would counterbalance the 15 percent tariffs on goods to the U.S. market. Brazil was strongly represented at Salone del in April, he stated. 'They clearly appreciate our design products and [the nation] offers great potential for growth and development for wood-furniture enterprises,' he said. His statements were first aired on Italy's Class CNBC. The EU encourages Brazil to reduce tariff and non-tariff barriers, and to promote a stable and more open regulatory environment for European investors and traders. The 27-nation European Union and Mercosur, the South American trade bloc that includes Brazil, Argentina, Paraguay, Uruguay and Bolivia have been discussing a trade deal since 1999. A draft deal was finally announced in 2019, but it has not been backed by major EU countries like France. The European Commission said the deal will save EU companies 4 billion euros worth of export duties per year. The European Commission reached an agreement with South American countries in December 2024 but delayed submitting it as it awaits ratification by the member states and the European Parliament. The goal of the EU Mercosur trade deal is to increase bilateral trade and investment and lower tariff and non-tariff trade barriers, notably for small and medium-sized companies. It would also create more stable and predictable rules for trade and investment through better and stronger rules, in the area of intellectual property rights, for example, as well as competition and good regulatory practices. Feltrin said the spotlight was also on India, a country that is imposing mandatory certifications that will create roadblocks for Italian goods. According to economists at Istat, Italy's statistics bureau, forecasts in June said the Italian economy is expected to grow 0.6 percent in 2025 and 0.8 percent in 2026, lifted by improving domestic demand. The nation's largest industry confederation, Confindustria, insisted that amid difficult times, geographical diversification is key. The report said Italian exporters should focus on markets with high growth potential, such as the South American trade bloc, which contributed 7.5 billion euros to Italian exports. The report also mentioned India, Australia and South East Asia. According to Confindustria's estimates, sales of goods to the rest of the world could increase by about 13 billion euros cumulatively in 2027, offsetting U.S. export losses. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Irish Post
7 hours ago
- Business
- Irish Post
Irish and EU pharma sector to be hit by 15 percent tariff
IRELAND has responded with cautious relief to the new EU-US trade deal announced on Sunday by US President Donald Trump and European Commission President Ursula von der Leyen. While the agreement imposes a 15% tariff on all EU goods exported to the United States—including key Irish sectors like pharmaceuticals, autos, and semiconductors—it avoids the far more damaging 30% rate that had been under threat until late last week. Irish officials say the outcome, while not ideal, brings much-needed clarity after months of uncertainty. Minister of State for Foreign Affairs Neale Richmond said Ireland is 'not exactly celebrating,' but added that the deal represents 'probably the least bad option' given the circumstances. Speaking to BBC Radio Ulster, he described the agreement as unlike any other trade deal he had seen in his 15 years working on EU trade policy. 'We don't want a tariff war. Tariffs are a bad thing. We want stability for businesses, and we have that today,' he said. Ireland, the most US-dependent EU economy, exported €81.1 billion worth of goods to the United States in 2024. Much of that comes from the pharmaceutical industry, which had faced the prospect of being hit by a separate US investigation into national security risks tied to medical imports. President Trump has floated the possibility of slapping tariffs as high as 200% on pharma, in an effort to force US companies to bring manufacturing back home. That investigation is expected to conclude next month, but for now, EU pharma exports to the US will fall under the 15% ceiling agreed in Sunday's deal. Minister for Public Expenditure Jack Chambers said the original threat of 30% tariffs would have been 'severely damaging for the Irish economy' and could have resulted in significant job losses. 'The stability and predictability of what's being set out here gives certainty to the business community,' he told RTÉ, adding that the Department of Finance will now begin modelling the economic impact of the 15% tariff across key sectors. The US-EU deal also commits the EU to purchasing $750 billion in American energy and making $600 billion in new investments in the US by 2028. At the same time, the EU has agreed to eliminate tariffs on US industrial goods, a move Washington says will benefit American farmers, manufacturers, and exporters. A White House fact sheet claimed the agreement would generate tens of billions of dollars in new revenue and help close the trade gap between the two economies by reshoring production and expanding US market access in Europe. Despite those benefits for the US, the deal still raises concerns across Europe, particularly in export-heavy economies like Ireland. Taoiseach Micheál Martin called the deal 'very welcome' in terms of stability but acknowledged that higher tariffs would make trade 'more expensive and more challenging.' He said the agreement would help protect Irish jobs, though it falls short of the free trade status quo that had previously existed. The European Commission, which negotiates trade deals on behalf of the EU bloc, described the agreement as a 'framework' and indicated that further technical negotiations will continue in the weeks ahead. EU member state ambassadors are expected to meet this week for a formal debrief. While the pharmaceutical industry remains under review in the US, Richmond said there had been 'a case made' for certain medications to be exempt from tariffs, noting their importance not just to Irish businesses but also to American patients who depend on them. For now, Ireland and its exporters are adjusting to a new reality: one where tariffs are no longer a distant threat but an operational cost. As former British ambassador to the US Lord Kim Darroch put it to the BBC, 'It's a relief that it's not worse, but this isn't anything for great celebration. This is a backwards step.'
Business Recorder
8 hours ago
- Business
- Business Recorder
Oil prices rise 1% on trade war relief, US pressure on Russia
NEW YORK: Oil prices rose on Tuesday, extending the previous day's rally, on optimism that a trade war between the United States and its major trading partners was abating and as President Donald Trump ramped up pressure on Russia over its war in Ukraine. Brent crude futures were up 95 cents, or 1.36%, at $70.99 a barrel at 12 p.m. EDT (1600 GMT), having touched their highest since June 23, while U.S. West Texas Intermediate crude was at $67.70, up 99 cents, or 1.48%. Both contracts settled more than 2% higher in the previous session. The trade agreement between the United States and the European Union, while imposing a 15% import tariff on most EU goods, sidestepped a full-blown trade war between the two major allies that would have rippled across nearly a third of global trade and dimmed the outlook for fuel demand. Oil rises on US-EU trade deal 'There is definitely some optimism around the trade deals,' said Bob Yawger, director of energy futures at Mizuho. 'It's not perfect, especially for the Europeans, but it is better than it could have been by a long shot.' The agreement also calls for $750 billion of EU purchases of U.S. energy over the next three years, which analysts say the bloc has virtually no chance of meeting, while European companies are to invest $600 billion in the U.S. over Trump's second term. Top economic officials from the U.S. and China finished meetings in Stockholm that were aimed at resolving longstanding economic disputes and stepping back from an escalating trade war between the world's two biggest economies. Trump set a new deadline on Monday of '10 or 12 days' for Russia to make progress toward ending the war in Ukraine. Trump has threatened sanctions on both Russia and buyers of its exports unless progress is made. 'Oil prices rallied after President Trump said he would shorten the deadline for Russia to come to a deal with Ukraine to end the war, raising supply concerns,' ING analysts said in a note. Market participants are also waiting to hear the outcome of the U.S. Federal Open Market Committee meeting on Tuesday and Wednesday. The Fed is widely expected to hold rates but could signal a dovish tilt amid signs of cooling inflation, said Priyanka Sachdeva, senior market analyst at brokerage Phillip Nova.
