EU to keep US trade countermeasures on hold until August, says von der Leyen
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 EU will extend its suspension of countermeasures to U.S. tariffs until early August as it aims for a negotiated solution on trade with the United States, European Commission President Ursula von der Leyen said on Sunday.
U.S. President Donald Trump escalated his global trade war on Saturday and threatened to impose a 30% tariff on imports from the European Union from Aug. 1, separate from sector-specific duties, despite months of intense talks.
Announcing the extension of the halt on retaliatory measures, von der Leyen told reporters the bloc would "continue to prepare further countermeasures so we are fully prepared".
A first package of countermeasures to U.S. tariffs on steel and aluminium that would hit 21 billion euros ($24.6 billion) 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.
A second package has been in the works since May and would target 72 billion euros of U.S. goods, but these measures have not yet been made public and the final list requires approval by member states.
Von der Leyen added that use of the EU's Anti-Coercion Instrument was not yet on the table.
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 30 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
"The (anti-coercion) instrument is created for extraordinary situations, we are not there yet," she said.
The instrument allows the bloc to retaliate against third countries that put economic pressure on EU members to change their policies.
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. REUTERS
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Straits Times
14 minutes ago
- Straits Times
Taiwan president to visit Paraguay next month, likely to make US transits
Find out what's new on ST website and app. FILE PHOTO: Taiwan President Lai Ching-te delivers a speech on anniversary of the end of World War Two in Europe in Taipei, Taiwan May 8, 2025. REUTERS/Ann Wang/File photo ASUNCION - Paraguay is preparing to receive Taiwan's President Lai Ching-te next month, President Santiago Pena said on Monday, meaning Lai will also most likely make sensitive transit stops in the United States that are bound to infuriate Beijing. Paraguay is one of only 12 countries to maintain formal diplomatic ties with Chinese-claimed Taiwan, and the only one in South America. Visits by Taiwanese presidents to Central and South America always involve what are officially only stopovers in the United States given the distance from Taiwan, but are often the most important parts of the trip given Washington is the island's top international backer and arms supplier. Pena, speaking at a bilateral investment conference in the South American nation's capital, said Lai would be coming next month. "We are preparing anxiously and with much affection to receive President Lai in 30 days," Pena told the conference, which Lai's Foreign Minister Lin Chia-lung also attended. Belize will also host Lai during a planned visit to the region, a government official told Reuters, without giving a date. Taiwan has a handful of other allies in Latin America and the Caribbean, but several have cut ties in recent years in favor of relations with economic powerhouse China, which considers Taiwan to be a Chinese province. Top stories Swipe. Select. Stay informed. Singapore $3b money laundering case: MinLaw acts against 4 law firms, 1 lawyer over seized properties Singapore Air India crash: SIA, Scoot find no issues with Boeing 787 fuel switches after precautionary checks Opinion What we can do to fight the insidious threat of 'zombie vapes' Singapore $230,000 in fines issued after MOM checks safety at over 500 workplaces from April to June Business 'Some cannot source outside China': S'pore firms' challenges and support needed amid US tariffs Opinion Sumiko at 61: Everything goes south when you age, changing your face from a triangle to a rectangle Multimedia From local to global: What made top news in Singapore over the last 180 years? Singapore 'Nobody deserves to be alone': Why Mummy and Acha have fostered over 20 children in the past 22 years "This is to show the world that small countries have the capacity to become major global players," Pena added. Taiwan's presidential office declined to comment, saying that, as in the past, if it had anything to announce it would do so "in due course". It normally confirms such trips only shortly before they take place. China's foreign ministry on Tuesday reiterated its opposition to what it called "sneaky visits" to the United States by Taiwanese leaders under any pretext. Ministry spokesperson Lin Jian told reporters in Beijing that the United States must understand how sensitive the Taiwan issue is and act with the utmost caution. Lai has yet to go to the United States since U.S. President Donald Trump took office for the second time earlier this year, though late last year Lai transited Hawaii and the U.S. territory of Guam while visiting the Pacific. The U.S. State Department also did not immediately respond to a request for comment on the possibility of a Lai transit next month. China strongly objects to any interactions between Taiwan and the United States and routinely denounces U.S. stopovers of Taiwanese presidents. Taiwan's government rejects China's territorial claims and says it has a right to forge ties with other countries and engage with the world. REUTERS
Straits Times
30 minutes ago
- Straits Times
US-backed ceasefire plan for Gaza still under discussion, but optimism fading
FILE PHOTO: A tank drives near Israeli heavy machinery, as seen from the Israeli side of the Israel-Gaza border, July 13, 2025. REUTERS/Amir Cohen/File photo Israeli and Hamas negotiators have been taking part in the latest round of ceasefire talks in Doha since July 6, discussing a U.S.-backed proposal for a 60-day ceasefire that envisages a phased release of hostages, Israeli troop withdrawals from parts of Gaza and discussions on ending the conflict. U.S., Qatari and Egyptian mediators have been working to secure an agreement. However, initial optimism that a deal might be at hand has waned in recent days. Here are the details of the ceasefire proposals, as outlined by an official, who spoke on condition of anonymity, and a look at some of the political calculations in play: HOSTAGES AND PALESTINIAN PRISONERS Ten hostages held in Gaza will be returned along with the bodies of 18 others, spread out over 60 days. The swaps will take place without ceremonies or parades. In exchange, Israel will release detained Palestinians. The exact number is not clear. Israel says that of 50 hostages held by Hamas and its allies, about 20 are believed to be alive. AID TO PALESTINIANS Top stories Swipe. Select. Stay informed. Singapore $3b money laundering case: MinLaw acts against 4 law firms, 1 lawyer over seized properties Singapore Air India crash: SIA, Scoot find no issues with Boeing 787 fuel switches after precautionary checks Opinion What we can do to fight the insidious threat of 'zombie vapes' Singapore $230,000 in fines issued after MOM checks safety at over 500 workplaces from April to June Business 'Some cannot source outside China': S'pore firms' challenges and support needed amid US tariffs Opinion Sumiko at 61: Everything goes south when you age, changing your face from a triangle to a rectangle Multimedia From local to global: What made top news in Singapore over the last 180 years? Singapore 'Nobody deserves to be alone': Why Mummy and Acha have fostered over 20 children in the past 22 years In accordance with a January 19 agreement, aid will immediately enter Gaza in sufficient amounts with the involvement of the United Nations and the International Committee of the Red Cross. ISRAELI WITHDRAWALS On Day One, after an initial eight hostages are released, the Israeli army will withdraw from parts of northern Gaza as per maps that will be agreed upon. On Day Seven, after receiving five bodies, Israel will withdraw from parts of the south as per the maps. A technical team will work on drawing boundaries for withdrawals during rapid negotiations that will take place after agreement on the framework of the proposal. NEGOTIATIONS ON A PERMANENT CEASEFIRE On Day One of the agreement, negotiations will start on a permanent ceasefire. If an agreement is reached, all remaining Palestinian prisoners detained from Gaza since October 7, 2023, will be released. GUARANTEES The proposal guarantees U.S. President Donald Trump's commitment to the agreement. The mediators will guarantee serious negotiations take place during the pause. If more time is needed, they can extend that period. POLITICAL CALCULATIONS IN ISRAEL Two far-right members of the Israeli cabinet -- Finance Minister Bezalel Smotrich and National Security Minister Itamar Ben-Gvir -- have criticised the ceasefire push, demanding instead the total destruction of Hamas. It is not clear if they would resign if a deal is signed. Looking to keep them on side, Netanyahu is pushing for the Israeli military to hold much more of Gaza than it did when the last ceasefire came into effect in January, allowing the army to control land between Khan Younis and Rafah in the south. The government has said it plans to build a "humanitarian city" for some 600,000 people in this area, saying it will be a safe space for Gazans. Opponents have likened it to a concentration camp. Critics say Netanyahu is looking to stretch out the negotiations until July 27, when the Knesset (parliament) breaks for the summer recess. It is much harder to collapse a government when the Knesset is closed. POLITICAL CALCULATIONS FOR HAMAS Hamas is fundamentally opposed to leaving so much land under direct Israeli control or the creation of a closed-off "humanitarian city", which would further diminish its already battered grip on the coastal enclave. As such, it is demanding that Israeli forces withdraw to the lines established ahead of the January ceasefire. It has also pushed for stronger guarantees that any pause in hostilities would lead to a permanent end to the war, worried that the Israelis have no intention of extending the truce. REUTERS
Straits Times
30 minutes ago
- Straits Times
Explainer: Netanyahu in tight spot after ultra-Orthodox party quits coalition
Find out what's new on ST website and app. UTJ, one of Israel's ultra-Orthodox parties, said it was quitting Prime Minister Benjamin Netanyahu's ruling coalition over a new military conscription bill. JERUSALEM - One of Israel's ultra-Orthodox Jewish parties has quit Prime Minister Benjamin Netanyahu's coalition in a long-running dispute over a new military conscription bill. The move by the six United Torah Judaism (UTJ) party members leaves Mr Netanyahu's nationalist-religious government extremely vulnerable with just a one-seat majority in the Knesset - Israel's Parliament. Has Netanyahu's government collapsed? No. But it might. UTJ is allied with another ultra-Orthodox coalition member called Shas, which has traditionally kept in lockstep with UTJ. If Shas quits, Mr Netanyahu will lose his majority in Parliament and his government will find it hard to function. However, UTJ's withdrawal from the coalition will only go into effect 48 hours after submission of its ministers' resignation letters, which gives the prime minister some time to seek a compromise. Even if that fails, Parliament goes on summer break at the end of July, giving Mr Netanyahu around three months to try and resolve the crisis. A lot can happen in that time and the prime minister has shown extraordinary political survival skills over the years. How do Israeli governments work? Governments rarely complete a full four-year term in Israel. No single party has ever won an outright majority in an election, so governments are formed by a coalition of parties. Top stories Swipe. Select. Stay informed. Singapore $3b money laundering case: MinLaw acts against 4 law firms, 1 lawyer over seized properties Singapore Air India crash: SIA, Scoot find no issues with Boeing 787 fuel switches after precautionary checks Opinion What we can do to fight the insidious threat of 'zombie vapes' Singapore $230,000 in fines issued after MOM checks safety at over 500 workplaces from April to June Business 'Some cannot source outside China': S'pore firms' challenges and support needed amid US tariffs Opinion Sumiko at 61: Everything goes south when you age, changing your face from a triangle to a rectangle Multimedia From local to global: What made top news in Singapore over the last 180 years? Singapore 'Nobody deserves to be alone': Why Mummy and Acha have fostered over 20 children in the past 22 years Prime ministers have often had to contend with sectarian demands and ideological clashes within their coalitions. When divisions emerge, coalitions can quickly unravel and governments fall. Will there be an early election? Possibly. But not for several months. There are a few political paths that would lead to the ballot being brought forward. They include Parliament voting to dissolve itself and the government failing to pass an annual budget. In no scenario would an election be immediate. Some political analysts have predicted that a ballot will likely be brought forward from the end of 2026 to early in the year. How do elections work? Israel's elections are parliamentary. The 120 Knesset seats are allocated by proportional representation to national party lists, which may secure seats after passing a threshold of 3.25 per cent of the vote. Since 2019, Israel has held five national elections. The last one, which gave Mr Netanyahu a decisive victory, was in November 2022. Successive polls of voter intentions have shown his coalition would lose an election, were it to be held today. Coalition shape Although Mr Netanyahu's coalition has fluctuated over the past two and half years, with political shifts, finding replacements for UTJ to join the ranks of his government, which is made up of right-wing and religious Jewish parties, would be extremely difficult. The opposition includes centrist, left-wing, right-wing, liberal and conservative factions. Coalition composition Total Knesset seats: 120 Number of factions: 13 Total coalition seats: 61 Seats held by Netanyahu's Likud party: 32 Seats held by ultra-Orthodox party Shas: 11 Seats held by Finance Minister Bezalel Smotrich's Religious Zionism party: 7 Seats held by National Security Minister Itamar Ben-Gvir's Jewish Power party: 6 Seats held by National Right party: 4 Seats held by Noam party: 1 Will political turmoil affect the war in Gaza? This is still unclear. US-backed ceasefire talks are underway in Qatar. Israelis have become increasingly weary of the war against Hamas in Gaza and surveys show popular support for ending it with a deal that will bring back remaining hostages held by the Palestinian militant group. Mr Netanyahu still has enough support within his government to secure a ceasefire. However, the two far-right parties in Netanyahu's coalition - Jewish Power and Religious Zionism - are unlikely to back ending the war entirely anytime soon. REUTERS
