EU holds off on US tariff countermeasures for now to pursue talks
FILE PHOTO: European Commission President Ursula von der Leyen looks on during a joint news conference with Canadian Prime Minister Mark Carney and European Council President Antonio Costa, during an EU-Canada summit in Brussels, Belgium June 23, 2025. REUTERS/Gonzalo Fuentes/File Photo
BRUSSELS - The European Union said on Sunday it would extend its suspension of countermeasures to U.S. tariffs until early August and continue to press for a negotiated settlement, after U.S. President Donald Trump ratcheted up his trade war on the bloc.
Trump said on Saturday he would be imposing a 30% tariff on most imports from the EU from August 1, though his deadline gave the EU, like other targeted countries, time to hammer out agreements that could lower the threatened tariff rate.
Ursula von der Leyen, head of the EU's executive Commission which handles trade policy for the 27 member states, said the bloc would maintain its two-track approach: keep talking and prepare retaliatory measures.
"We have always been very clear that we prefer a negotiated solution. This remains the case, and we will use the time that we have now," von der Leyen told a press conference, adding that the bloc would extend its halt on countermeasures until August.
Von der Leyen's decision to resist immediate retaliatory measures points to the European Commission's desire to avoid a spiralling tit-for-tat escalation in the trade war while there remains a chance of negotiating an improved outcome.
White House economic adviser Kevin Hassett said Trump had seen some trade deal offers and thinks they need to improve, adding that without that, he would proceed with the threatened tariffs on Mexico, the EU and other countries.
"These tariffs are real if the president doesn't get a deal that he thinks is good enough," Hassett told ABC's This Week programme. "But you know, conversations are ongoing, and we'll see where the dust settles."
Top stories
Swipe. Select. Stay informed.
Singapore Govt will continue to support families, including growing group of seniors: PM Wong at PCF Family Day
Singapore From Normal stream to Parliament: 3 Singapore politicians share their journeys
World Israeli strikes kill over 40 as truce talks deadlocked, says Gaza civil defence
Singapore Segregated recycling bins found to lower contamination rate as more spring up
Asia Mahathir discharged from hospital after feeling fatigued during birthday gathering
Business 29 Jollibean workers get help from MOM, other agencies, over unpaid salaries
Singapore Medics treat 7 after blaze at HDB block lift lobby in Chai Chee
Singapore I lost my daughter to Kpod addiction: Father of 19-year-old shares heartbreak and lessons
TEST OF UNITY
The latest salvo from Trump and the question of how to respond may test the unity of member states, with France appearing to take a tougher line than Germany, the bloc's industrial powerhouse whose economy leans heavily on exports.
French President Emmanuel Macron said the Commission needed more than ever to "assert the Union's determination to defend European interests resolutely", and that retaliation might need to include so-called anti-coercion instruments.
Germany's economy minister called for a "pragmatic solution" immediately after Trump's latest threat, though on Sunday the country's finance minister said the EU should be ready to take firm action if talks failed.
"If a fair negotiated solution does not succeed, then we must take decisive countermeasures to protect jobs and companies in Europe," Finance Minister Lars Klingbeil, also vice chancellor in the ruling coalition, told Sueddeutsche Zeitung newspaper.
While the EU has held back from retaliating against the U.S. in the months since Trump hit the bloc with tariffs, it has readied two packages that could hit a combined 93 billion euros of U.S. goods.
A first package, in response to U.S. levies of 50% on imported steel and aluminium that would hit 21 billion euros in U.S. goods was suspended in April for 90 days to allow time for negotiations. The suspension had been due to expire on Monday before the extension was announced.
A second package in retaliation against Trump's "reciprocal" tariffs has been in the works since May and was set to target 72 billion euros of U.S. goods. These measures have not been made public and the final list requires approval by member states.
ANTI-COERCION INSTRUMENT
Von der Leyen said on Sunday that the use of the EU's Anti-Coercion Instrument was not yet on the table.
The instrument allows the bloc to retaliate against third countries that put economic pressure on EU members to change their policies.
"The (anti-coercion) instrument is created for extraordinary situations, we are not there yet," she said.
Possible retaliatory steps could include restricting EU market access to goods and services, and other economic measures related to areas including foreign direct investment, financial markets and export controls.
In a sign of the EU's desire to strike deals with more trading partners at a time of deepening uncertainty in trans-Atlantic relations, von der Leyen said a political agreement had been reached to advance an EU-Indonesia trade deal.
France's cheese producers warned of the damaging consequences of a 30% tariff for the local dairy industry, which exports nearly half its produce, including to the United States.
"It's a new environment we will have to get used to - I don't think this is temporary," Francois Xavier Huard, CEO of dairy association FNIL, told Reuters. REUTERS
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
CNA
17 minutes ago
- CNA
Crypto exchanges rushed to list Trump's coin - leaving many losers and some big winners
NEW YORK :Crypto exchange Coinbase assures users on its website that it puts any new digital coin through "rigorous" vetting before allowing it to trade. It's an at-times lengthy process meant to protect customers by examining the people connected to the project and the risk of market manipulation or other scams. With President Donald Trump's crypto token, $TRUMP, Coinbase made up its mind in just one day. The $TRUMP token, which launched three days before his inauguration in January, is a meme coin. Based on cultural fads or celebrities, these coins have no intrinsic value and – past experience has shown – are prone to large price swings that can leave investors with losses. A Reuters analysis of crypto market data and industry announcements found that, compared to other recent large meme coins, the biggest crypto exchanges took Trump's to market with unusual speed, despite stating they vet risky coins thoroughly to protect small investors. Some also approved the listing in spite of the high share of coins concentrated in the hands of Trump and his partners, which would normally represent a red flag because of the risk that dumping of tokens by insiders could collapse the price and hurt other investors, some executives said. After reaching an all-time high of $75.35 on April 19, just two days after its launch, $TRUMP crashed to the $7 range by early April, leaving many holders nursing losses. It was trading around $9.55 Thursday. "When the president of the United States launches a meme coin, I thought I might as well put some money inside," said Carl 'Moon' Runefelt, a Dubai-based crypto investor who runs a bitcoin trading channel on YouTube called the "Moon Show." Runefelt said he bought $300,000 worth of the meme coin in tranches at between $50 and $60: "It's probably one of my worst trades, unfortunately." The Reuters analysis showed that eight of the 10 largest crypto exchanges by market share listed the coin within 48 hours of its release. The ninth, Coinbase, added $TRUMP to its listings roadmap on January 18 – indicating it had decided to accept it - and listed the coin three days later. The tenth, Upbit, listed $TRUMP on February 13. That was much faster than they've done on average with the biggest meme coins. Reuters examined how long it took the same 10 exchanges - Binance, Bitget, MEXC, OKX, Coinbase, Bybit, Upbit, and HTX - to list the four other largest meme coins launched since 2022. These, measured by market cap on May 29, are Pepe, Bonk, Fartcoin and dogwifhat. All 10 exchanges listed Pepe and Bonk. Nine listed dogwifhat, and seven listed Fartcoin. On average, the 10 exchanges took 129 days to list those coins. For $TRUMP, they took an average of four. Asked for comment about why they listed $TRUMP so quickly, Bitget, MEXC, OKX, Coinbase and Upbit all said they had not cut any corners with their vetting process. The other five exchanges did not respond to Reuters' questions. Three – Bitget, Coinbase, MEXC – said they moved fast to respond to overwhelming demand for the $TRUMP coin. "The crypto space was buzzing with the hype and, as any other token with a growing craze, it was imperative to add TRUMP," Gracy Chen, Bitget's CEO, said in a statement. Chen said the fact that Trump himself announced the coin on his social media accounts "should kind of solve the compliance issue," citing the fact that "he's the president of the United States." 'NO CONFLICTS OF INTEREST' Reuters found no suggestion that Trump or anyone related to his businesses exerted pressure on the exchanges. In response to a request for comment, a White House press official told Reuters the president's assets had been placed in a family trust: "There are no conflicts of interest because the president isn't managing the assets. Any insinuation that there is a conflict of interest is irresponsible." The official referred specific questions about the meme coin to the Trump Organization, which did not respond to Reuters. Coinbase said the $TRUMP token got no special exceptions and the exchange followed its normal process when listing the coin. Paul Grewal, Coinbase's chief legal officer, said many people had to work over the weekend to get the listing done quickly, but no steps were skipped. "Given the information that was shared publicly, we were confident that users could engage with the token positively and safely," Grewal told Reuters. Coinbase listed $TRUMP as an "experimental" token to indicate it comes with "certain risks, including price swings," according to the company's website. The vetting of coins often focuses on how well-known the issuer is, how likely they are to remain in the public eye and how much they engage with the online community to sustain interest in the coin, metrics that $TRUMP would score highly on, according to Santa Clara University finance professor Seoyoung Kim, who specializes in crypto analytics. She cautioned that focusing on vetting speed alone could provide an incomplete picture of investor protection. A more holistic analysis, Kim said, would also involve factors such as the average market cap at which a coin is listed, for how long it has sustained that level before its listing, and its daily trading volumes. With $TRUMP listed so soon after launch, there was little such data for exchanges to parse. $TRUMP's market cap has since fallen to around $1.9 billion, down sharply from its peak above $15 billion on January 19. But that still ranks it amongst the largest meme coins launched since 2022. Reuters ran its listing-speed analysis past five academics with crypto expertise, including Kim, who all said its methodology was sound. David Krause, Emeritus Professor of Finance at Marquette University, who has studied Trump's crypto ventures, said the quickness of the $TRUMP listing "suggests either a dramatic acceleration of due diligence or corners being cut." "Either scenario has significant implications for investor protection and market integrity," he said. YOU DON'T SAY NO TO THE PRESIDENT The president's rush of business ventures in a lightly-regulated sector that his government is responsible for overseeing has drawn criticism from Democrats, consumer advocacy groups and former financial enforcement officials. "You don't say no to hosting the president's new meme coin," said Corey Frayer, a former senior crypto advisor at the U.S. Securities and Exchange Commission. Frayer is now director of a non-profit advocacy group, the Consumer Federation of America. "The president controls who oversees your business and how they enforce the law." Under former President Joe Biden, the SEC maintained that most crypto tokens, including meme coins, should be regulated as securities, making exchanges cautious about listing them. That began to change, quickly, after Trump was elected last November. The Republican has styled himself as the "crypto president," pledging to overhaul regulation of the sector. Following Trump's election, Coinbase – the largest publicly traded crypto exchange in the United States – and several of its rivals began listing more meme coins. In Trump's second term, the SEC has paused or withdrawn high-profile enforcement actions against crypto operators, including a major investor in a Trump family crypto project, and issued a staff statement concluding that meme coins do not constitute securities. An SEC spokesperson declined to comment on the agency's crypto policy and Trump's coin. Trump's family has launched multiple crypto ventures, raking in hundreds of millions of dollars. The $TRUMP token quickly earned an estimated $320 million in fees, though it's not publicly known how that amount has been divided between a Trump-controlled entity and its partners. OVERLOOKED CONCERNS Exchanges have been major beneficiaries of Trump's embrace of the industry. $TRUMP has generated significant revenue for the 10 exchanges in Reuters' review: more than $172 million in trading fees, according to estimates based on standard fees compiled for the news agency by CoinDesk Data, a crypto industry data provider. Trade in the coin, meanwhile, has favored a small group of investors. At the top, 45 crypto wallets cleared about $1.2 billion in profits overall, while another 712,777 wallets have collectively lost $4.3 billion, according to trading data analyzed by crypto analysis firm Bubblemaps as of June 18. In the middle, more than half a million wallets made an average of $5,656 profit each. In listing $TRUMP, some exchanges proceeded despite a factor they'd previously labelled as a red flag: 80 per cent of the coin's supply was held by the Trump family and its partners. Such a high concentration of ownership can allow the team behind a coin to sell large amounts of it at once, collapsing the price for retail investors. The terms of the $TRUMP coin specified that its total supply would be gradually unlocked over three years after initial release. On January 16, the day before $TRUMP was released, the New York State Department of Financial Services issued an alert to consumers about the risks of meme coins. Such coins, the notice said, are carried by platforms not licensed by the state and the supply of the digital tokens is often controlled by a small number of people. That opens the door to "pump-and-dump schemes," the regulator noted, in which public hype by their issuers leads to a jump in price – with big, early investors exiting and smaller retail buyers left holding the losses that follow. The NYDFS declined to comment beyond the guidance. Coinbase, which is subject to New York regulations, blocked state residents from accessing the token, but allowed U.S. customers elsewhere to trade. To list $TRUMP in New York, the exchange would have faced a long list of risk assessment and governance requirements. Some other exchanges acknowledged they looked past concerns about the concentration in a bid to serve customer demand. MEXC's chief operating officer, Tracy Jin, told Reuters that, because of the concentration of tokens, $TRUMP did not meet its usual standards for a full listing on its main board, but the exchange pushed ahead anyway due to strong demand. In a follow-up written statement, an MEXC spokesperson said that a "faster-than-usual" listing was possible because the coin had clear market momentum and it met "our listing standards early." Commenting on the Reuters listing-speed analysis, the spokesperson said market conditions and demand for political meme tokens had changed since 2022, "making direct comparisons less relevant." Bitget also had concerns about the 80 per cent figure, CEO Chen told Reuters. "Eighty percent held by the team, even though there's a little bit of a lock-up period, is in my opinion very risky," said Chen. "Ultimately, user trading volume, demand … overrode the so-called risky factor here." Like some exchanges, Bitget, based in the Seychelles, does not have a business presence in the U.S. or serve clients who reside there, Chen said. "Globally," she added, "people are generally aware of the risks associated with trading meme coins." Upbit, which operates in South Korea, said it does not comment on specific coin listings but that it has "a rigorous and comprehensive evaluation process." Erald Ghoos, CEO for Europe of OKX, said the exchange's legal and compliance teams stayed up all night over different time zones to work on the listing. Seychelles-registered OKX says its diligence process requires "meticulous preparation." It decided to list $TRUMP within 26 hours.
AsiaOne
17 minutes ago
- AsiaOne
Iran says it will respond to reimposition of UN sanctions, Asia News
DUBAI — Iran will react to any reimposition of United Nations sanctions over its nuclear programme, the country's foreign ministry spokesperson said on Monday (July 14), without elaborating on what actions Tehran might take. A French diplomatic source told Reuters last week that European powers would have to restore UN sanctions on Iran under the so-called "snapback mechanism" if there were no nuclear deal that guaranteed European security interests. The "snapback mechanism" is a process that would reimpose UN sanctions on Tehran under a 2015 nuclear deal that lifted the measures in return for restrictions on Iran's nuclear programme. "The threat to use the snapback mechanism lacks legal and political basis and will be met with an appropriate and proportionate response from the Islamic Republic of Iran," Foreign Ministry spokesperson Esmaeil Baghaei told a press conference, without giving further details. The 2015 deal with Britain, Germany, France, the US, Russia and China — known as the Joint Comprehensive Plan of Action (JCPOA) — states that if the parties cannot resolve accusations of "significant non-performance" by Iran, the "snapback mechanism" process can be triggered by the 15-member UN Security Council. "The European parties, who are constantly trying to use this possibility as a tool, have themselves committed gross and fundamental violations of their obligations under the JCPOA," Baghaei said. "They have failed to fulfil the duties they had undertaken under the JCPOA, so they have no legal or moral standing to resort to this mechanism." Western countries accuse Iran of plotting to build a nuclear weapon, which Tehran denies. The United States pulled out of the deal in 2018 under the first administration of President Donald Trump, who called the agreement "weak". Trump, whose second presidency began in January, has urged Tehran to return to nuclear negotiations on a new deal after a ceasefire was reached last month that ended a 12-day air war between Iran and Israel that destabilised the Middle East. When asked if Iranian Foreign Minister Abbas Araqchi would meet with Trump's Middle East envoy, Steve Witkoff, Baghaei said no date or location had been set for resuming the US-Iran nuclear talks. [[nid:719760]]
Straits Times
24 minutes ago
- Straits Times
Veteran diplomats and tech pioneer given honorary degrees by NUS
Find out what's new on ST website and app. (From left) Honorary graduands Chan Heng Chee, Dr Noeleen Heyzer and Wong Ngit Liong, and NUS president Professor Tan Eng Chye (far right) during the graduation ceremony on July 14. SINGAPORE – Veteran diplomats Chan Heng Chee and Noeleen Heyzer, as well as tech pioneer Wong Ngit Liong, received honorary degrees from the National University of Singapore (NUS) on July 14. The honorary Doctor of Letters degrees were presented by Education Minister Desmond Lee at the commencement ceremony for 99 graduates from the NUS Business School, held by NUS at the University Cultural Centre. The honorary degrees are the university's highest form of recognition for outstanding individuals whose service has had an impact in Singapore and globally. Professor Chan Heng Chee is an NUS alumna who graduated with first class honours in Political Science in 1964 when it was then known as the University of Singapore, and returned to do her PhD in 1974. She was NUS' first female head of Political Science, before being appointed to lead the new Institute of Policy Studies in 1988. In 1996, at the start of her 16-year stay in Washington as Singapore's UN Representative and Ambassador to the United States, Prof Chan deepened ties, culminating in the US-Singapore Free Trade Agreement which was signed in 2003. In a citation, Professor Simon Chesterman, NUS' vice provost and dean of NUS College, said that through her career transitions, from academic to diplomat and then public intellectual, Prof Chan brought together a rare combination of intellectual independence and global experience. 'Throughout her career, Ambassador Chan has helped to shape how Singapore understands itself and how Singapore is understood by the world... at a time when expertise is not always valued quite as much as it is needed,' he said. While students of her time were focused on being 'present-ready' to grapple with political developments of the time such as Singapore's separation from Malaysia, Prof Chan said universities today have to prepare students to be 'future-ready'. With unpred icta bility and volatility being the new normal in 2025, she said students need to also develop an interest in politics and geopolitics. Addressing the graduands, she encouraged them to understand and follow what is happening in the world and locally, as it is crucial for their futures. 'Going forward, geopolitics is an inescapable part of our future, and we should be prepared to ride it, to deal with it,' said Prof Chan. Ambassador-at-Large Chan Heng Chee (left) being conferred the Honorary Doctor of Letters by Education Minister Desmond Lee on July 14. ST PHOTO: MARK CHEONG Fellow honorary degree recipient and NUS alu mn a Noeleen Heyzer was former Under-Secretary-General of the UN and the highest ranking Singaporean in the UN system from 2007 to 2014. A leadership pioneer for women, Dr Heyzer was the first woman from outside North America to head the UN's Development Fund for Women, and the first woman to serve as the executive secretary of the UN's Economic and Social Commission for Asia and the Pacific since its founding in 1947. Calling her a trusted voice in global governance, NUS' vice provost of student life and acting dean at the Lee Kuan Yew School of Public Policy Leong Ching said that Dr Heyzer is a trailblazer for women's empowerment across the world. 'Her leadership has redefined the nature of power itself – as a force for dignity, inclusion, and transformation,' said Prof Leong. Speaking at the ceremony, Dr Heyzer said that she is blessed to be born and raised in Singapore, where social mobility was provided for many, including her and her family. 'The transformative role of education and the thirst for learning played a big part in my evolving life,' she said. She called on graduates to provide new leadership in a world filled with paradox and disruptions, but also immense possibilities. Said Dr Heyzer: 'We are not just inheriting an emerging new world order. We are called to co-create it.' Dr Noeleen Heyzer being conferred the Honorary Doctor of Letters by Education Minister Desmond Lee on July 14. ST PHOTO: MARK CHEONG Mr Wong Ngit Liong, the final honorary degree recipient, is the executive chairman and founder of Venture Corporation. Since its inception in 1984, Mr Wong has led the company's evolution from a start-up in electronics manufacturing services into a globally recognised technology powerhouse. In public service, Mr Wong has been on numerous national boards and committees, including the Economic Development Board, 2002 Economic Review Committee and Singapore Exchange, among others. In a citation, Professor Aaron Thean, NUS' provost and deputy president of academic affairs, called Mr Wong a 'distinguished leader and pioneer in the global technology industry'. He added that as chairman of NUS' Board of Trustees from 2004 to 2016, Mr Wong's leadership was crucial in the university's structural transformation, including its propulsion into the ranks of the world's top universities. Recounting NUS's transformation since 2005, Mr Wong said he was part of a team that toured top universitie s in the US, Europe and China to learn and exchange ideas. Mr Wong Ngit Liong, executive chairman and founder of Venture Corporation, speaking after being conferred the Honorary Doctor of Letters by Education Minister Desmond Lee on July 14. ST PHOTO: MARK CHEONG Though foreign experts were invited to review local tertiary education strategy and curriculum, he said after some years, they were no longer needed. 'We adopted best practices, learned and leapfrogged to greater heights... We are so much more ahead of them, that they now have to learn from us,' said Mr Wong. A total of 17,646 students will receive bachelor's or graduate degrees this year from NUS at ceremonies taking place over 12 days from July 10 to July 21.
