
Aussie shares dip as Trump shifts tariff deadline again
Near midday on Monday, the benchmark S&P/ASX200 index was down 15.4 points, or 0.18 per cent, to 8,588.5, while the broader All Ordinaries was down 14.3 points, or 0.16 per cent, to 8,827.6.
Overseas, US stock market futures had fallen after President Trump confirmed that America's tariffs won't come into effect into August 1, rather than this week, potentially dragging out the drama even further.
"Tariffs go into effect August 1. But the president is setting the rates, and the deals, right now," Commerce Secretary Howard Lutnick told reporters as the president nodded in approval.
Markets had previously been operating under the assumption that the tariffs would go into effect on Wednesday, with the expiration of 90-day pause the Trump administration announced back on April 9.
US Treasury Secretary Scott Bessent denied in a television interview that the August 1 date represented a new deadline, but it potentially does give America's trading partners more time to negotiate - as well as drawing out the drama further.
Closer to home, the Reserve Bank is widely expected to trim interest rates on Tuesday, with futures markets on Friday giving implied odds of 97 per cent of a cut.
Four of the ASX's 11 sectors were higher at midday and six were lower, with telecommunications flat.
Utilities was the biggest mover, rising 2.7 per cent as Origin Energy advanced 5.5 per cent to a three-week high of $11.41.
In the mining sector, Northern Star had dropped 6.3 per cent to a more than three-month low of $17.23 after Australia's biggest listed goldminer told investors to expect higher costs and lower production in 2025/26.
Northern Star said the higher costs reflected industry-wide inflationary pressure as well as infrastructure and development costs and royalties.
Elsewhere in the sector, Fortescue was up 0.4 per cent, Rio Tinto had added 0.2 per cent and BHP had edged 0.1 per cent higher.
In the heavyweight banking sector, all of the big four banks were down. CBA had dipped 0.2 per cent, ANZ had lost 1.2 per cent, Westpac had retreated 1.0 per cent and NAB had slipped 0.6 per cent.
Elsewhere, Cobram Estate Olives was up 11.6 per cent to an all-time high of $2.40 after the olive-grower reported a successful 2025 harvest.
AML3D was up 6.3 per cent after the US Navy confirmed its interest in purchasing more parts from the industrial 3D metal printing technology company.
The Australian dollar had dropped to a week and a half low against its US counterpart, trading for 65.24 US cents, from 65.72 US cents at close of business on Friday.
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West Australian
37 minutes ago
- West Australian
Anthony Albanese's China visit: Prime Minister set to travel to Beijing, Shanghai and Chengdu from Saturday
Anthony Albanese has confirmed his visit to China from Saturday, when he is heading to Beijing, Shanghai and Chengdu. The Prime Minister is expected to meet Chinese President Xi Jinping and Premier Li Qiang for the annual bilateral leaders' dialogue during the trip that will span nearly a week. Trade is expected to be high on the agenda, with these meetings the first since China lifted its final barriers on Australian exports. The ban on Australian lobsters was lifted in December. 'China's an important trading partner for Australia – 25 per cent of our exports go to China. What that means is jobs, and one of the things that my government prioritises is jobs,' Mr Albanese said on Tuesday. 'What we have done is to get rid of the more than $20 billion of impediments on goods that were stopped from going to China. 'It's made an enormous difference … products like wine and barley have not just bounced back, they've bounced back higher than they were before.' This will be the fourth time Mr Albanese has met Mr Xi. The talks come as uncertainty continues around US President Donald Trump's tariffs. The US President has publicly issued letters he has sent to several countries, including Japan, South Korea, Malaysia, Indonesia, South Africa and Serbia, informing them he will lift the rate of tariffs imposed on them from 10 per cent to a 'reciprocal' level from August 1. Australia, which has a trade surplus with the US, does not expect to be hit with anything higher than the 10 per cent base rate. China's ambassador to Australia, Xiao Qian, this week called for Australia to expand its trade deal with his country to include greater cooperation on artificial intelligence. Mr Albanese brushed off questions about his approach to this, saying Australia would determine its own policy. Australia is working with the US and UK to cooperate on developing AI and advanced military capabilities as part of AUKUS Pillar II.


The Advertiser
39 minutes ago
- The Advertiser
Donald Trump serves up new tariffs
President Donald Trump says the US will impose a 25 per cent tariff on imports from Japan and South Korea beginning August 1 as he unveiled the first two of what he has said will be a wave of letters to trading partners outlining the new levies they face. Trump also announced the US will impose 25 per cent tariffs on Malaysia and Kazakhstan, 30 per cent on South Africa and 40 per cent on Laos and Myanmar. Meanwhile, Indonesia was hit with a 32 per cent tariff and Cambodia and Thailand 36 per cent. Bosnia copped 30 per cent, while Bangladesh and Serbia got 35 per cent. "If for any reason you decide to raise your Tariffs, then, whatever the number you choose to raise them by, will be added onto the 25 per cent that we charge," Trump said in letters to the leaders of South Korea and Japan, which he posted on his Truth Social platform. The rate for South Korea is the same that Trump initially announced on April 2, while the rate for Japan is one point higher than first announced. Trump a week later capped all of the so-called reciprocal tariffs at 10 per cent until July 9 to allow for negotiations. There was no immediate response from the Japanese or South Korean embassies on the announcement. Only two agreements have so far been reached, with Britain and Vietnam. US stocks fell in response, the latest market ruction since Trump unleashed a global trade war on his return to office in January. The S&P 500 on Monday was down nearly 1.0 per cent, its biggest drop in three weeks. His moves have repeatedly roiled financial markets and sent policymakers scrambling to protect their economies. US-listed shares of Japanese automotive companies fell, with Toyota Motor down 4.1 per cent in early afternoon trading and Honda Motor off by 3.8 per cent. US Treasury Secretary Scott Bessent said earlier on Monday he expected to make several trade announcements in the next 48 hours, adding that his inbox was full of last-ditch offers from countries to clinch a tariff deal before a July 9 deadline. Countries have scrambled to hammer out deals before the Wednesday deadline. South Korea and Indonesia dispatched representatives to Washington, while Thailand submitted a new trade proposal offering zero tariffs on many US goods. Bessent did not say which countries could get deals and what they might contain. Trump has kept much of the world guessing on the outcome of months of talks with countries hoping to avoid the hefty tariff hikes he has threatened. "We've had a lot of people change their tune in terms of negotiations. So my mailbox was full last night with a lot of new offers, a lot of new proposals," Bessent said in an interview with CNBC. The European Union will not be receiving a letter setting out higher tariffs, EU sources familiar with the matter told Reuters on Monday. For its part, the European Union still aims to reach a trade deal by July 9 after European Commission President Ursula von der Leyen and Trump had a "good exchange," a Commission spokesperson said. It was not immediately clear, however, whether there had been a meaningful breakthrough in talks to stave off tariff hikes on the United States' largest trading partner. Adding to the pressure, Trump threatened to impose a 17 per cent tariff on EU food and agriculture exports, it emerged last week. The EU has been torn over whether to push for a quick and light trade deal or back its own economic clout in trying to negotiate a better outcome. It had already dropped hopes for a comprehensive trade agreement before the July deadline. "We want to reach a deal with the US We want to avoid tariffs," the spokesperson told reporters at a daily briefing. "We want to achieve win-win outcomes, not lose-lose outcomes." Without a preliminary agreement, broad US tariffs on most imports would rise from their current 10 per cent to the rates set out by Trump on April 2. In the EU's case, that would be 20 per cent. Von der Leyen also held talks with the leaders of Germany, France and Italy at the weekend, Germany said. President Donald Trump says the US will impose a 25 per cent tariff on imports from Japan and South Korea beginning August 1 as he unveiled the first two of what he has said will be a wave of letters to trading partners outlining the new levies they face. Trump also announced the US will impose 25 per cent tariffs on Malaysia and Kazakhstan, 30 per cent on South Africa and 40 per cent on Laos and Myanmar. Meanwhile, Indonesia was hit with a 32 per cent tariff and Cambodia and Thailand 36 per cent. Bosnia copped 30 per cent, while Bangladesh and Serbia got 35 per cent. "If for any reason you decide to raise your Tariffs, then, whatever the number you choose to raise them by, will be added onto the 25 per cent that we charge," Trump said in letters to the leaders of South Korea and Japan, which he posted on his Truth Social platform. The rate for South Korea is the same that Trump initially announced on April 2, while the rate for Japan is one point higher than first announced. Trump a week later capped all of the so-called reciprocal tariffs at 10 per cent until July 9 to allow for negotiations. There was no immediate response from the Japanese or South Korean embassies on the announcement. Only two agreements have so far been reached, with Britain and Vietnam. US stocks fell in response, the latest market ruction since Trump unleashed a global trade war on his return to office in January. The S&P 500 on Monday was down nearly 1.0 per cent, its biggest drop in three weeks. His moves have repeatedly roiled financial markets and sent policymakers scrambling to protect their economies. US-listed shares of Japanese automotive companies fell, with Toyota Motor down 4.1 per cent in early afternoon trading and Honda Motor off by 3.8 per cent. US Treasury Secretary Scott Bessent said earlier on Monday he expected to make several trade announcements in the next 48 hours, adding that his inbox was full of last-ditch offers from countries to clinch a tariff deal before a July 9 deadline. Countries have scrambled to hammer out deals before the Wednesday deadline. South Korea and Indonesia dispatched representatives to Washington, while Thailand submitted a new trade proposal offering zero tariffs on many US goods. Bessent did not say which countries could get deals and what they might contain. Trump has kept much of the world guessing on the outcome of months of talks with countries hoping to avoid the hefty tariff hikes he has threatened. "We've had a lot of people change their tune in terms of negotiations. So my mailbox was full last night with a lot of new offers, a lot of new proposals," Bessent said in an interview with CNBC. The European Union will not be receiving a letter setting out higher tariffs, EU sources familiar with the matter told Reuters on Monday. For its part, the European Union still aims to reach a trade deal by July 9 after European Commission President Ursula von der Leyen and Trump had a "good exchange," a Commission spokesperson said. It was not immediately clear, however, whether there had been a meaningful breakthrough in talks to stave off tariff hikes on the United States' largest trading partner. Adding to the pressure, Trump threatened to impose a 17 per cent tariff on EU food and agriculture exports, it emerged last week. The EU has been torn over whether to push for a quick and light trade deal or back its own economic clout in trying to negotiate a better outcome. It had already dropped hopes for a comprehensive trade agreement before the July deadline. "We want to reach a deal with the US We want to avoid tariffs," the spokesperson told reporters at a daily briefing. "We want to achieve win-win outcomes, not lose-lose outcomes." Without a preliminary agreement, broad US tariffs on most imports would rise from their current 10 per cent to the rates set out by Trump on April 2. In the EU's case, that would be 20 per cent. Von der Leyen also held talks with the leaders of Germany, France and Italy at the weekend, Germany said. President Donald Trump says the US will impose a 25 per cent tariff on imports from Japan and South Korea beginning August 1 as he unveiled the first two of what he has said will be a wave of letters to trading partners outlining the new levies they face. Trump also announced the US will impose 25 per cent tariffs on Malaysia and Kazakhstan, 30 per cent on South Africa and 40 per cent on Laos and Myanmar. Meanwhile, Indonesia was hit with a 32 per cent tariff and Cambodia and Thailand 36 per cent. Bosnia copped 30 per cent, while Bangladesh and Serbia got 35 per cent. "If for any reason you decide to raise your Tariffs, then, whatever the number you choose to raise them by, will be added onto the 25 per cent that we charge," Trump said in letters to the leaders of South Korea and Japan, which he posted on his Truth Social platform. The rate for South Korea is the same that Trump initially announced on April 2, while the rate for Japan is one point higher than first announced. Trump a week later capped all of the so-called reciprocal tariffs at 10 per cent until July 9 to allow for negotiations. There was no immediate response from the Japanese or South Korean embassies on the announcement. Only two agreements have so far been reached, with Britain and Vietnam. US stocks fell in response, the latest market ruction since Trump unleashed a global trade war on his return to office in January. The S&P 500 on Monday was down nearly 1.0 per cent, its biggest drop in three weeks. His moves have repeatedly roiled financial markets and sent policymakers scrambling to protect their economies. US-listed shares of Japanese automotive companies fell, with Toyota Motor down 4.1 per cent in early afternoon trading and Honda Motor off by 3.8 per cent. US Treasury Secretary Scott Bessent said earlier on Monday he expected to make several trade announcements in the next 48 hours, adding that his inbox was full of last-ditch offers from countries to clinch a tariff deal before a July 9 deadline. Countries have scrambled to hammer out deals before the Wednesday deadline. South Korea and Indonesia dispatched representatives to Washington, while Thailand submitted a new trade proposal offering zero tariffs on many US goods. Bessent did not say which countries could get deals and what they might contain. Trump has kept much of the world guessing on the outcome of months of talks with countries hoping to avoid the hefty tariff hikes he has threatened. "We've had a lot of people change their tune in terms of negotiations. So my mailbox was full last night with a lot of new offers, a lot of new proposals," Bessent said in an interview with CNBC. The European Union will not be receiving a letter setting out higher tariffs, EU sources familiar with the matter told Reuters on Monday. For its part, the European Union still aims to reach a trade deal by July 9 after European Commission President Ursula von der Leyen and Trump had a "good exchange," a Commission spokesperson said. It was not immediately clear, however, whether there had been a meaningful breakthrough in talks to stave off tariff hikes on the United States' largest trading partner. Adding to the pressure, Trump threatened to impose a 17 per cent tariff on EU food and agriculture exports, it emerged last week. The EU has been torn over whether to push for a quick and light trade deal or back its own economic clout in trying to negotiate a better outcome. It had already dropped hopes for a comprehensive trade agreement before the July deadline. "We want to reach a deal with the US We want to avoid tariffs," the spokesperson told reporters at a daily briefing. "We want to achieve win-win outcomes, not lose-lose outcomes." Without a preliminary agreement, broad US tariffs on most imports would rise from their current 10 per cent to the rates set out by Trump on April 2. In the EU's case, that would be 20 per cent. Von der Leyen also held talks with the leaders of Germany, France and Italy at the weekend, Germany said. President Donald Trump says the US will impose a 25 per cent tariff on imports from Japan and South Korea beginning August 1 as he unveiled the first two of what he has said will be a wave of letters to trading partners outlining the new levies they face. Trump also announced the US will impose 25 per cent tariffs on Malaysia and Kazakhstan, 30 per cent on South Africa and 40 per cent on Laos and Myanmar. Meanwhile, Indonesia was hit with a 32 per cent tariff and Cambodia and Thailand 36 per cent. Bosnia copped 30 per cent, while Bangladesh and Serbia got 35 per cent. "If for any reason you decide to raise your Tariffs, then, whatever the number you choose to raise them by, will be added onto the 25 per cent that we charge," Trump said in letters to the leaders of South Korea and Japan, which he posted on his Truth Social platform. The rate for South Korea is the same that Trump initially announced on April 2, while the rate for Japan is one point higher than first announced. Trump a week later capped all of the so-called reciprocal tariffs at 10 per cent until July 9 to allow for negotiations. There was no immediate response from the Japanese or South Korean embassies on the announcement. Only two agreements have so far been reached, with Britain and Vietnam. US stocks fell in response, the latest market ruction since Trump unleashed a global trade war on his return to office in January. The S&P 500 on Monday was down nearly 1.0 per cent, its biggest drop in three weeks. His moves have repeatedly roiled financial markets and sent policymakers scrambling to protect their economies. US-listed shares of Japanese automotive companies fell, with Toyota Motor down 4.1 per cent in early afternoon trading and Honda Motor off by 3.8 per cent. US Treasury Secretary Scott Bessent said earlier on Monday he expected to make several trade announcements in the next 48 hours, adding that his inbox was full of last-ditch offers from countries to clinch a tariff deal before a July 9 deadline. Countries have scrambled to hammer out deals before the Wednesday deadline. South Korea and Indonesia dispatched representatives to Washington, while Thailand submitted a new trade proposal offering zero tariffs on many US goods. Bessent did not say which countries could get deals and what they might contain. Trump has kept much of the world guessing on the outcome of months of talks with countries hoping to avoid the hefty tariff hikes he has threatened. "We've had a lot of people change their tune in terms of negotiations. So my mailbox was full last night with a lot of new offers, a lot of new proposals," Bessent said in an interview with CNBC. The European Union will not be receiving a letter setting out higher tariffs, EU sources familiar with the matter told Reuters on Monday. For its part, the European Union still aims to reach a trade deal by July 9 after European Commission President Ursula von der Leyen and Trump had a "good exchange," a Commission spokesperson said. It was not immediately clear, however, whether there had been a meaningful breakthrough in talks to stave off tariff hikes on the United States' largest trading partner. Adding to the pressure, Trump threatened to impose a 17 per cent tariff on EU food and agriculture exports, it emerged last week. The EU has been torn over whether to push for a quick and light trade deal or back its own economic clout in trying to negotiate a better outcome. It had already dropped hopes for a comprehensive trade agreement before the July deadline. "We want to reach a deal with the US We want to avoid tariffs," the spokesperson told reporters at a daily briefing. "We want to achieve win-win outcomes, not lose-lose outcomes." Without a preliminary agreement, broad US tariffs on most imports would rise from their current 10 per cent to the rates set out by Trump on April 2. In the EU's case, that would be 20 per cent. Von der Leyen also held talks with the leaders of Germany, France and Italy at the weekend, Germany said.


Perth Now
39 minutes ago
- Perth Now
Update for Aus as Trump sends tariff letters
Australian goods may not be getting slugged with higher US tariffs, but that does not mean the country is getting the best deal possible, the opposition says. Donald Trump has begun sending out letters to countries that failed to lock in new trading terms with the US. The letters informed them their exports to the US would be hit with new tariff rates from August 1. The countries included close allies Japan and South Korea, which both face 25 per cent imposts. For others, the new rate is as high as 40 per cent. Australia was not named among those facing 'reciprocal tariffs' announced in April but was instead subjected to the universal 10 per cent taxes on all foreign imports – a position Anthony Albanese has said he did not expect to change. Opposition finance spokesman James Paterson said on Tuesday any tariffs on Australia were unacceptable but the Prime Minister had not given Australia the 'best chance' of getting a carve out. 'The only fair tariff on Australia would be 0 per cent, and I hope that's what we get,' Senator Paterson told Nine's Today. 'But we haven't given ourselves the best chance of securing that from the Trump administration because the Prime Minister has not even met President Trump now, seven months after he was elected. 'In stark contrast to other world leaders, like the UK Prime Minister Keir Starmer who did secure an exemption from steel and aluminium tariffs for the UK because of the personal relationship that he formed with President Trump. 'I really hope the Prime Minister doesn't leave it any longer before he forms that relationship and argues for the best case possible for our country.' Opposition finance spokesman James Paterson says the 'only fair tariff for Australia' is 0 per cent. David Crosling / NewsWire Credit: News Corp Australia The UK and Vietnam are the only countries to secure deals with the Trump administration. Though, neither have escaped the US President's levies altogether, with Vietnam still subject to 20 per cent duties. UK Prime Minister Keir Starmer has said his efforts to build a strong personal relationship with Mr Trump helped secure tariff leniency, particularly on automakers. British cars were facing a 25 per cent rate, but that was dropped to 10 per cent. Similarly, British steel and aluminium have remained at the initial 25 per cent rate, while Australian steel and aluminium have been swept up in the 50 per cent rate. But speaking to Sky News, Assistant Treasurer Dan Mulino insisted the Albanese government was 'clearly continuing to argue for the best possible deal'. 'My understanding is that we are still at the position of having a 10 per cent tariff imposed, but the good news is that that is the lowest rate that any country has been able to secure,' he said. 'So we'll continue to argue for the best possible deal, and we'll continue to argue for it to be lower than that.' Mr Mulino went on to cite Productivity Commission analysis that suggested Australia could have an advantage over other countries because 'if we're lower than other countries, that might present opportunities for us to increase our trade with the US'. 'In some situations, the tariffs the US imposing might also offer opportunities for us to secure goods from other countries that might be redirecting their trade to other parts of the world,' he said.