Latest news with #USrelations
BreakingNews.ie
26-05-2025
- Business
- BreakingNews.ie
EU engaging ‘sensibly' with US administration following tariff threat
The European Union has been engaging 'sensibly' with the US administration over its threatened tariffs on all EU imports, the Taoiseach has said, as he welcomed a decision to pause the move until July. Taoiseach Micheál Martin said he believes the US is anxious to reach a deal on trade with the EU, and that Donald Trump's administration has issues it wants resolved through the negotiations. Advertisement It comes as Mr Trump said he will pause his threatened 50 per cent tariffs on the EU until July 9, following a 'very nice call' with European Commission President Ursula von der Leyen. In April, Mr Trump announced a 20 per cent tariff on EU goods being sold into the US. He later reduced that to 10 per cent until July 9th to allow for time for talks with Brussels on a potential agreement. President Donald Trump has threatened to increase the tariffs on goods imported from the EU (Niall Carson/PA) On Friday, Mr Trump claimed the talks were 'going nowhere' and said he was recommending that the 50 per cent tariff rate comes into effect on June 1st. He rowed back on the decision on Monday, claiming that Ms Von der Leyen called him asking for extension to the date. Advertisement Mr Martin, who attended the Global Economic Summit in Killarney, Co Kerry, on Monday, welcomed the move. 'I do believe that the European Union has been engaging sensibly on this. I do believe the US side is anxious to get a deal on this that's sustainable too,' he said. 'They have issues, the US have issues that they want resolved through this negotiation. 'But all of the indications in terms of the interaction between Maros (Sefcovic) and his counterparts is that they wanted a deal here. Advertisement 'Europe has responded, so far, in a fairly modest and sensible way. 'We need to stay focused on those sectors that Ireland is doing well in, and I've been in fairly regular contact now over the last four months with leaders in the pharmaceutical industry, medtech and the technology industry. 'I spoke to a lot of CEOs, getting their perspective on what's happening in the US, and also their own sense of how it affects their companies and their facilities. 'Suffice to say that I think everybody so far appreciates the European Union's approach in terms of not overreacting to various announcements and to various decisions, but rather to focus on a negotiating resolution to this. Advertisement 'I welcome the conversation that President Trump has had with President Von der Leyen, and that we're back to the original timetable of July for what Europe and the US to negotiate a deal. 'But tariffs are not good for our economy. They're not good for the world economy. They're not good for consumers. 'It's absolutely important that we can get a realistic and reasonable deal between Europe and the United States to help consumers, to help citizens across the world.' Mr Martin said there is a lot of 'wait and see' among businesses and investors, saying that many are uncertain about the future. Advertisement He said that uncertainty changes the public's spending behaviour, which has an impact on the domestic economy. In a statement, Tánaiste Simon Harris said: 'I want to welcome confirmation from President Trump that the threatened higher tariffs are paused until July 9th. 'This follows contact between President Von der Leyen and the US President who spoke yesterday, as well as the discussions on Friday between Commissioner Sefcovic and his US counterparts. 'These contacts at the highest political level present the opportunity for negotiations to move forward. This is our priority. We want to see meaningful and substantive talks. 'The EU-US economic relationship is an engine of growth for the entire world. 'There is no doubt that the circumstances are challenging at present but I am confident that we can find a way forward. 'Ireland will continue to contribute actively and positively to these efforts. I remain in close and ongoing contact with Commissioner Sefcovic and with our EU partners and, of course, we will continue our outreach to the US. 'We have much work to do and no time to waste to find a deal that that is good for both economies and protects jobs and investment.'
Yahoo
26-05-2025
- Business
- Yahoo
European stock markets set to rebound as Trump delays 50% tariffs on the EU to 9 July
US President Donald Trump announced on Sunday that he had agreed to delay the implementation of a 50% tariff on EU imports to 9 July, following a phone call with European Commission President Ursula von der Leyen. The announcement sparked a sharp rebound in US stock futures and is expected to boost European equities on Monday. 'I agreed to the extension — July 9, 2025 — It was my privilege to do so,' Trump posted on Truth Social, quoting von der Leyen's statement on X, in which she wrote: 'The EU and US share the world's most consequential and close trade relationship. Europe is ready to advance talks swiftly and decisively. To reach a good deal, we would need the time until July 9.' Trump had originally announced 20% 'reciprocal tariffs' on the EU on 2 April before reducing them to 10% for 90 days. However, he threatened to impose a 50% tariff from 1 June, citing a lack of progress in negotiations due to disagreements among EU member states. According to the bloc's trade chief, Maroš Šefčovič, the EU submitted a revised trade proposal to the US last week. In a social media post on Friday, Trump criticised the EU's non-tariff barriers, including VAT regimes, 'ridiculous corporate penalties,' non-monetary trade restrictions, and 'unjustified lawsuits against American companies,' which he claimed contributed to an annual trade deficit of over $250 billion (€219 billion). 'Our discussions with them are going nowhere!' he wrote, justifying his move to raise import levies. Trump's tariff threats triggered broad market sell-offs in both the US and Europe on Friday, representing a renewed escalation in global trade tensions, just two weeks after the latest round of US-China trade talks. Major stock benchmarks in Europe are set to open higher on Monday following Trump's reversal. According to futures pricing, the Euro Stoxx 600 jumped 1.54%, and the DAX surged 1.35% as of 3:30 am CEST. 'It's obviously a derivation of the Trump put. But it's prompting traders to place their bets that any new tariff threat is bluster and any existing tariff will eventually be lowered,' said Kyle Rodda, a senior market analyst at Australia. The US stock futures also rebounded significantly, with the Dow Jones Industrial Average rising 0.85%, the S&P 500 up 1%, and the Nasdaq 100 climbing 1.19%. Asian markets were mixed in the early trading on Thursday, with Japan's Nikkei 225 and South Korea's Kospi rising, while Australia's ASX 200 and China's Hang Seng Index fell. The euro extended gains against the US dollar during Monday's Asian session. As of 3:35 am CEST, the EUR/USD pair rose above 1.40, its highest level since 29 April. The dollar remained under pressure after Trump's tariff threats on Friday, with the US dollar index falling below 99 for the first time in May. 'While part of the dynamic is the market pricing in policy convergence between the US and the rest of the world, I think the major driver of dollar depreciation is the marginal loss of confidence in US assets,' Rodda said. Recently, Moody's downgraded the US credit rating, citing concerns over rising government debt and the widening budget deficit. Trump's proposed tax cuts and spending plans are also facing stiff opposition in Congress. These compounding factors have renewed sell-offs in US assets, including equities, the dollar, and government bonds, in the past week. 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
News24
20-05-2025
- Business
- News24
Ramaphosa aims to mend US ties with Musk business push
President Cyril Ramaphosa plans to discuss business opportunities for Elon Musk's companies during a visit to Washington this week aimed at mending relations with US President Donald Trump, Ramaphosa's spokesperson said on Monday. Trump has taken aim at South Africa during his second term, citing disapproval of its land reform policy and of its genocide case against US ally Israel before the International Court of Justice. His administration cut funding to the country in February and last week granted refugee status to a group of white South Africans it said were facing racial discrimination - a claim the South African government denies. The two heads of state are scheduled to meet on Wednesday. And South African officials have been preparing a trade proposal to present to Trump to reset the relationship. One potential proposal would be for Tesla - led by Musk, a close ally and adviser to Trump - to receive favourable tariffs on its imports into South Africa in exchange for building electric vehicle charging stations. '(It) could be one of the points discussed,' Ramaphosa's spokesperson Vincent Magwenya said in response to a text message query on the matter. Asked about the question of licencing for Musk's satellite company Starlink, Magwenya said: 'Certainly, the issue will be discussed.' The United States has pushed some nations facing tariffs to approve Starlink, the Washington Post reported earlier this month, citing State Department cables. Musk, who is South African-born, has previously claimed Starlink was barred from operating in South Africa because he is not Black, an allegation South African officials refuted. South Africa's telecoms regulator said in March that Starlink had not applied for a licence. Musk's false claim appeared to be taking a swipe at local Black Economic Empowerment rules, requiring foreign-owned telecommunications licencees to sell 30% of the equity in their local subsidiaries to historically disadvantaged groups. Agriculture Minister John Steenhuisen, part of the delegation travelling to the United States on Monday, said he wanted to secure trade benefits for South African farmers. South African agricultural products currently enjoy duty-free access to the US market under the African Growth and Opportunity Act. Under Trump's tariff regime, however, that is now at risk. 'Losing these benefits would be disastrous for farmers, farm workers and the economy at large,' Steenhuisen said in a statement.
