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Reuters
3 minutes ago
- Business
- Reuters
Trump issues blitz of tariff announcements on copper, Brazil, South Korea, small-value imports
July 30 (Reuters) - U.S. President Donald Trump on Wednesday issued a blitz of tariff announcements ranging from changes to previously threatened levies on imports of copper, goods from Brazil and South Korea, to ending an exemption from tariffs for small-value shipments from overseas. The wave of announcements came as the clock ticked down toward an August 1 deadline for higher U.S. tariff rates, as Trump presses on with his bid to reshape global trade. Capping a day that began with Trump announcing a 25% tariff rate on goods from India, after months of negotiations between Washington and New Delhi failed to produce a trade deal, Trump said a 50% tariff on copper pipes and wiring would kick in on Friday. Trump plans to sign new executive orders on Thursday imposing higher tariff rates on several countries that have been unable to reach negotiated trade deals with the United States, Politico reported, citing a White House official. Details of the copper levy fell short of the sweeping restrictions expected and left out copper input materials such as ores, concentrates and cathodes. The surprise move dragged down U.S. copper prices more than 17% on the Comex exchange and unwound a premium over the London global benchmark that had grown in recent weeks, with shipments diverted there in anticipation of higher domestic prices. "Markets are now busily repricing refined copper much lower after Trump's epic backflip on his own import tariff policy," said Tom Price, an analyst at the London brokerage Panmure Liberum. "Someone must have finally got through to (Trump) that the U.S. economy simply can't afford this new trade-hit." Trump first teased the copper tariff in early July, implying that it would apply to all types of the red metal, ranging from cathodes produced by mines and smelters to wiring and other finished products. Yet the proclamation released by the White House said the tariff will apply only to pipes, tubes and other semi-finished copper products, as well as products that copper is heavily used to manufacture, including cable and electrical components. The move aids manufacturers, but does little to boost the constrained U.S. copper mining industry, which for years has asked Washington for permitting reform or other steps that could fuel growth. The move is essentially a boost for Chile and Peru, two of the world's largest copper miners and major suppliers to the United States. Trump on Wednesday slapped a 50% tariff on most Brazilian goods to fight what he has called a "witch hunt" against former President Jair Bolsonaro, but softened the blow by excluding sectors such as aircraft, energy and orange juice from the heavier levies. That came as a relief for many in Brasilia, who since Trump announced the tariffs had been urging protections for major exporters caught in the crossfire. Shares of planemaker Embraer ( opens new tab and pulpmaker Suzano ( opens new tab rose. "We're not facing the worst-case scenario," Brazilian Treasury Secretary Rogerio Ceron told reporters. "It's a more benign outcome than it could have been." The new tariffs will go into effect on August 6, not August 1 as Trump announced originally. Trump also announced the U.S. will charge a 15% tariff on imports from South Korea as part of a deal that eases, for now, tension with a top-10 trading partner and key Asian ally. Imports from South Korea, a powerhouse exporter of computer chips, cars and steel, had faced a 25% rate. "I am pleased to announce that the United States of America has agreed to a Full and Complete Trade Deal with the Republic of Korea," Trump wrote on Truth Social, shortly after he met with South Korean officials at the White House. Trump said Seoul had agreed to invest $350 billion in the United States in projects selected by him and to purchase $100 billion of liquefied natural gas and other energy products. South Korean Finance Minister Koo Yoon-cheol said on Thursday that a shipbuilding partnership package dubbed "Make America Shipbuilding Great Again" was key to the tariffs agreement. The shipbuilding partnership worth about $150 billion will be led by South Korean shipbuilders to rebuild the U.S. shipbuilding industry, Koo said. The other $200 billion would include funds for chips, nuclear power, batteries, and biologics, Kim Yong-beom, policy chief from the South Korean presidential office, told a briefing. U.S. Commerce Secretary Howard Lutnick said on X that the South Korean energy purchases would take place "over the next 3.5 years." The White House also said the United States is suspending a "de minimis" exemption that allowed low-value commercial shipments to be shipped to the United States without tariffs. Under Trump's order, packages valued at or under $800 sent to the U.S. outside of the international postal network will now face "all applicable duties" starting on August 29, the White House said. Trump earlier targeted packages from China and Hong Kong. The tax-and-spending bill recently signed by Trump repealed the legal basis for the de minimis exemption worldwide starting on July 1, 2027. Goods shipped through the postal system will face one of two tariffs: either an "ad valorem duty" equal to the effective tariff rate of the package's country of origin or, for six months, a specific tariff of $80 to $200 depending on the country of origin's tariff rate.
CNBC
34 minutes ago
- Business
- CNBC
Trump's Aug. 1 tariff deadline is near. These are the countries that have — and have not — signed a deal
Come Friday, the world will have to contend with higher tariff rates from the Trump administration, raising the specter of even more economic uncertainty. For most countries, that can of worms has been kicked twice down the road, from "Liberation Day" on April 2, to July 9, and now to Aug. 1. Back in April, Trump had claimed to have done "over 200 deals" in an interview with Time Magazine, and trade advisor Peter Navarro had said that "90 deals in 90 days" was possible. The country has fallen far short of that, with only eight deals in 120 days, including one with the 27-member European Union. Here are where things stand in global trade. The U.K. led the charge on trade agreements with the U.S., striking one as early as May. The framework includes a 10% baseline tariffs on U.K. goods, as well as various quotas and exemptions for products such as autos and aerospace goods. But even after U.S. President Donald Trump met with Prime Minister Keir Starmer in Scotland recently, some points in their trade agreement remain uncertain. That includes tariffs on U.K. steel and aluminum, which the U.S. agreed to slash. Talks about the U.K.'s digital services tax, which Trump wants scrapped, also seem to be continuing. Vietnam was the second to cross the line with the Trump administration, with Trump announcing a trade agreement on July 2 that saw the tariff imposed on Vietnam slashed from 46% to 20%. One point with Vietnam was a 40% "transshipping" tariff on goods originating in another country and transferred to Vietnam for final shipment to the U.S, although it is not clear how this will be applied. Trump also claimed that there would be full market access to the country for U.S. goods. Chinese manufacturers have used transshipping to sidestep the hefty tariffs on its direct shipments to the United States, using Vietnam as a major transshipment hub. However, it seems that Vietnam was blindsided by the 20% rate imposed, according to a report by Politico. Politico said negotiators had expected a 11% levy, but Trump unilaterally announced the 20% rate. Indonesia's tariff rate was cut to 19% from 32% in its agreement with Trump, announced on July 15. The White House said Indonesia will eliminate tariff barriers on over 99% of U.S. products exported to Indonesia across all sectors, including agricultural products and energy. The framework also says the countries will also address various "non-tariff barriers" and other obstacles that the U.S. faces in Indonesian markets. Unlike its ASEAN counterparts above, which had sizable reductions to its tariff duties, the Philippines saw a decrease of a single percentage point to 19% from 20% on July 22. Manila will not impose tariffs on U.S. goods as part of the agreement, according to Trump, who praised the country for what he described as "going OPEN MARKET with the United States." In addition, Trump also said that the Philippines will work together "Militarily," without specifying any details. The two countries are already treaty allies, with Manila hosting U.S. troops and having a mutual defense treaty going back to 1951. Japan was the second major Asian economy to come to an agreement with the U.S. after China, seeing its tariff rate cut to 15% from 25% on July 23, and being the first economy to see a lower preferential tariff rate for its key automobile sector. Trump called the agreement "perhaps the largest Deal ever made," while adding that Japan would invest $550 billion in the United States and the U.S. would "receive 90% of the Profits." The path to this agreement was fraught with uncertainty, with Trump saying days before the agreement that he did not expect the two countries to reach a deal. He described Japan on separate occasions as "very tough" in trade talks and suggested the country was "spoiled" for not accepting U.S. rice despite facing a domestic rice shortage. The European Union's agreement with the U.S. was struck just days ago, after long negotiations. EU goods are now facing a 15% baseline tariff rate, half the 30% Trump had previously threatened the bloc with. Existing duties on autos will be reduced to 15%, and levies on some products like aircraft and certain drug generics will go back to pre-January levels. But the deal has been met with criticism, including from some European leaders. French Prime Minister Francois Bayrou went as far as saying it was an act of "submission" and a "dark day." EU Trade Commissioner Maros Sefcovic, however, called it "the best deal we could get under very difficult circumstances." South Korea is the latest country to reach an agreement, on Thursday, with the terms being somewhat similar to the one Japan received. The country will see a blanket 15% tariff on its exports, while duties on its auto sector are also lowered to 15%. South Korea "will give to the United States $350 Billion Dollars for Investments owned and controlled by the United States, and selected by myself, as President," Trump said. U.S. Commerce Secretary Howard Lutnick said "90% of the profits" from that $350 billion investment will be "going to the American people." However, South Korean President Lee Jae Myung said the $350 billion fund will play a role in facilitating the "active entry" of Korean companies into the U.S. market into industries such as shipbuilding and semiconductors. The Trump administration's trade talks with China has taken a different tack than the rest of the world. The world's second largest economy was firmly in Trump's trade crosshairs from the moment he took office. Rather than a deal, China has reached a series of suspensions over its "reciprocal" tariff rate. It was initially hit with a 34% tariff from "Liberation Day," before a series of back-and-forth measures between the two sides saw the duties skyrocket to 145% duties for Chinese imports to the U.S. and 125% for U.S. imports to China. However, both sides agreed to reduced tariffs in May, after their first trade meeting in Geneva, Switzerland. The truce was agreed to last till Aug. 12. China currently faces a 30% combined tariff rate, while the U.S. is looking at 10% duties. The countries' most recent meeting in Stockholm ended without a truce extension, but U.S. Treasury Secretary said that any truce extension will not be agreed to until Trump signs off on the plan. For countries without a deal, it appears that a higher global baseline tariff of about 15%-20% will be slapped on them, according to Trump, higher than the 10% baseline announced on "Liberation Day." Countries with a trade surplus with the U.S. will most likely see a higher "reciprocal" tariff rate. Here are some key trading partners that have not agreed to a deal with the U.S. On Wednesday, Trump announced a 25% tariff on India, with an additional unspecified "penalty" for what he views as unfair trade policies and for India's purchase of military equipment and energy from Russia. "While India is our friend, we have, over the years, done relatively little business with them because their Tariffs are far too high, among the highest in the World," Trump said in a post on Truth Social. The 25% tariff rate is modestly lower than what Trump imposed on India on "Liberation Day," when he announced a 26% rate on the key trading partner, but at the high end of the 20%-25% range that the U.S. president said he was considering. There has been frequent back-and-forth between Canada and the U.S. over tariffs in recent months, with the country being hit by duties even before Trump announced his so-called "reciprocal" tariffs. Canada is now facing 35% tariffs on various goods from Aug. 1, with Trump also threatening to increase that rate in case of retaliation. The rate is separate from any sectoral tariffs. Trump has repeatedly cited drugs flowing from Canada to the U.S. as a reason for his move to impose tariffs. Canadian Prime Minister Mark Carney said earlier this week that the partners were in an "intense phase" of talks, noting that it would be unlikely for an agreement not to include any tariffs, Reuters reported. Like Canada, Mexico has also long been a U.S. tariff target, with Trump citing drugs and illegal migration as factors in his decision to announce levies on the U.S.' southern neighbor. The president has said that Mexico has not done enough to secure the border. Mexico is set to be hit with a 30% tariff, with any retaliation set to be met with an even higher rate from the U.S. The Mexican government has stressed that it is important for the trading partners to resolve their issues ahead of Aug. 1, but there have not been many signs of progress toward an agreement in recent weeks. Australia currently faces the baseline 10% as it runs a trade deficit with the United States. However, the country could be facing a higher tariff rate if Trump decides to raise his baseline rate to 15%-20%. Canberra has not been publicly known to be in trade talks with Washington, with Prime Minister Anthony Albanese reportedly arguing that Australia's deficit with the U.S. and its free trade agreement should mean there should be no tariff on Australian imports. Most recently, Australia relaxed restrictions on U.S. beef, a move which the office of the U.S. trade representative credited to Trump, but Albanese had reportedly said the move was not prompted by Trump.
Yahoo
an hour ago
- Business
- Yahoo
Trump issues blitz of tariff announcements on copper, Brazil, South Korea, small-value imports
By Ernest Scheyder, David Shepardson, Gabriel Araujo and Ju-min Park (Reuters) -U.S. President Donald Trump on Wednesday issued a blitz of tariff announcements ranging from changes to previously threatened levies on imports of copper, goods from Brazil and South Korea, to ending an exemption from tariffs for small-value shipments from overseas. The wave of announcements came as the clock ticked down toward an August 1 deadline for higher U.S. tariff rates, as Trump presses on with his bid to reshape global trade. Capping a day that began with Trump announcing a 25% tariff rate on goods from India, after months of negotiations between Washington and New Delhi failed to produce a trade deal, Trump said a 50% tariff on copper pipes and wiring would kick in on Friday. Trump plans to sign new executive orders on Thursday imposing higher tariff rates on several countries that have been unable to reach negotiated trade deals with the United States, Politico reported, citing a White House official. Details of the copper levy fell short of the sweeping restrictions expected and left out copper input materials such as ores, concentrates and cathodes. The surprise move dragged down U.S. copper prices more than 17% on the Comex exchange and unwound a premium over the London global benchmark that had grown in recent weeks, with shipments diverted there in anticipation of higher domestic prices. "Markets are now busily repricing refined copper much lower after Trump's epic backflip on his own import tariff policy," said Tom Price, an analyst at the London brokerage Panmure Liberum. "Someone must have finally got through to (Trump) that the U.S. economy simply can't afford this new trade-hit." Trump first teased the copper tariff in early July, implying that it would apply to all types of the red metal, ranging from cathodes produced by mines and smelters to wiring and other finished products. Yet the proclamation released by the White House said the tariff will apply only to pipes, tubes and other semi-finished copper products, as well as products that copper is heavily used to manufacture, including cable and electrical components. The move aids manufacturers, but does little to boost the constrained U.S. copper mining industry, which for years has asked Washington for permitting reform or other steps that could fuel growth. The move is essentially a boost for Chile and Peru, two of the world's largest copper miners and major suppliers to the United States. BRAZIL 'NOT WORST-CASE SCENARIO' Trump on Wednesday slapped a 50% tariff on most Brazilian goods to fight what he has called a "witch hunt" against former President Jair Bolsonaro, but softened the blow by excluding sectors such as aircraft, energy and orange juice from the heavier levies. That came as a relief for many in Brasilia, who since Trump announced the tariffs had been urging protections for major exporters caught in the crossfire. Shares of planemaker Embraer and pulpmaker Suzano rose. "We're not facing the worst-case scenario," Brazilian Treasury Secretary Rogerio Ceron told reporters. "It's a more benign outcome than it could have been." The new tariffs will go into effect on August 6, not August 1 as Trump announced originally. SOUTH KOREA 'SHIPBUILDING DEAL' Trump also announced the U.S. will charge a 15% tariff on imports from South Korea as part of a deal that eases, for now, tension with a top-10 trading partner and key Asian ally. Imports from South Korea, a powerhouse exporter of computer chips, cars and steel, had faced a 25% rate. "I am pleased to announce that the United States of America has agreed to a Full and Complete Trade Deal with the Republic of Korea," Trump wrote on Truth Social, shortly after he met with South Korean officials at the White House. Trump said Seoul had agreed to invest $350 billion in the United States in projects selected by him and to purchase $100 billion of liquefied natural gas and other energy products. South Korean Finance Minister Koo Yoon-cheol said on Thursday that a shipbuilding partnership package dubbed "Make America Shipbuilding Great Again" was key to the tariffs agreement. The shipbuilding partnership worth about $150 billion will be led by South Korean shipbuilders to rebuild the U.S. shipbuilding industry, Koo said. The other $200 billion would include funds for chips, nuclear power, batteries, and biologics, Kim Yong-beom, policy chief from the South Korean presidential office, told a briefing. U.S. Commerce Secretary Howard Lutnick said on X that the South Korean energy purchases would take place "over the next 3.5 years." 'DE MINIMIS' The White House also said the United States is suspending a "de minimis" exemption that allowed low-value commercial shipments to be shipped to the United States without tariffs. Under Trump's order, packages valued at or under $800 sent to the U.S. outside of the international postal network will now face "all applicable duties" starting on August 29, the White House said. Trump earlier targeted packages from China and Hong Kong. The tax-and-spending bill recently signed by Trump repealed the legal basis for the de minimis exemption worldwide starting on July 1, 2027. Goods shipped through the postal system will face one of two tariffs: either an "ad valorem duty" equal to the effective tariff rate of the package's country of origin or, for six months, a specific tariff of $80 to $200 depending on the country of origin's tariff rate.
Economic Times
2 hours ago
- Business
- Economic Times
No trade deal? Trump to slap more tariffs on countries without deals by August 1: Report
US President Donald Trump is set to authorise a wave of new tariffs on countries that have not secured fresh trade deals with the United States. The orders, due to be signed on Thursday, will impose steep penalties from Friday, targeting nations that failed to meet Trump's self-imposed deadline. A White House official confirmed the president has finalised tariff rates for most major trade partners. Countries still in limbo include Canada, Mexico, Taiwan and India. This time, there's no wiggle room. The White House is adamant: the August 1 deadline is final."THE AUGUST FIRST DEADLINE IS THE AUGUST FIRST DEADLINE — IT STANDS STRONG, AND WILL NOT BE EXTENDED. A BIG DAY FOR AMERICA!!!" Trump posted on Truth Social, his own isn't the first deadline he has set. Tariffs were originally introduced in April, then paused for 90 days. Trump extended the grace period again in July. Now, according to the administration, there won't be a third. For Canada and Mexico, the stakes are high but complicated. Their trade flows are largely shielded under the USMCA deal, signed during Trump's first term. Still, tensions are rising. Canadian Prime Minister Mark Carney sent his top trade negotiators to Washington this week. Mexican President Claudia Sheinbaum also signalled hope for a last-minute business leaders are unconvinced."It's extremely wishful thinking," said Pedro Casas Alatriste, executive vice president of the American Chamber of Commerce in Mexico told Politico. "I still have a little percentage of hope that something might happen."One of the most difficult talks has been with Taiwan. Trade negotiators have worked for months to avert a 32 percent tariff. The US has demanded wide-ranging access to Taiwan's markets, including increased purchases of US agricultural products, energy and military equipment.'US trade negotiators are squeezing Taiwan like a lemon,' said a source familiar with the discussions. 'The US wants it all in terms of access to Taiwan's markets.'So far, talks haven't delivered a breakthrough. And Taiwan's President Lai Ching-te is in a bind. Accept harsh terms and risk political fallout, or push back and face the possibility of alienating Washington at a time of increasing Chinese military pressure.'For Taiwan the danger of displeasing Donald Trump is existential,' the source was not included in the original group that received tariff warning letters, but Trump unexpectedly announced on Wednesday that a 25 percent duty would now be imposed on Indian goods. True to form, he also hinted there might still be room for negotiation before with other major economies have also stalled. In total, 22 countries were notified of new tariff rates that will take effect from August 1. Many have been unable to strike deals, including smaller nations like Lesotho and Madagascar, which depend heavily on exports to the US.'There's not a hell of a lot they can do,' said Mark Linscott, a former US trade negotiator. 'If you're too small to be given the attention to try to negotiate a lower tariff, you're kind of stuck with just taking what the administration dishes out and then after that, seeing how you can mitigate that.'On Wednesday, Trump launched a series of additional trade actions: Tariffs on Brazilian goods were raised to 50 percent New duties were imposed on semi-finished copper imports The tariff exemption for low-value overseas packages was scrapped He also announced new deals with South Korea and Pakistan. South Korea agreed to a 15 percent tariff in return for over $350 billion in investment commitments and $100 billion in US energy purchases. With Pakistan, Trump said the two countries would 'work together on developing their massive Oil Reserves,' although no tariff adjustments were trade partners say the demands simply don't match economic reality. Switzerland, for example, doesn't tax US industrial imports, but faces new duties due to its large export volume.'Even if we were to eat a steak every day and every third, drink a bottle of bourbon and buy a Harley Davidson, it would hardly change the trade balance,' said Rahul Sahgal, CEO of the American-Swiss Chamber of Swiss companies have already absorbed a 10 percent tariff. A jump to 31 percent, however, could start hitting profit margins and jobs, Sahgal president has so far used tariff threats to bring some countries to the table. Japan, the EU, the UK, and several Southeast Asian nations have agreed to terms ranging from 15 to 20 percent. China has so far avoided new penalties, though an 12 August deadline looms for its own to reporters on Wednesday, Trump summed up his strategy, 'We're now negotiating with various other countries and the rest we're just sending out the bill to... we send a letter saying you pay a certain tariff. Obviously that's most of them because you have, as you know, hundreds of countries, a lot of countries out there.'Despite last-minute diplomacy, White House officials say new executive orders will be signed by midnight Thursday. Whether the president makes a public announcement or signs them behind closed doors remains to be is clear is that the tariff regime set in motion in April is back, and with more bite. For many businesses around the world, the impact will be immediate — and painful.
Toronto Star
4 hours ago
- Politics
- Toronto Star
From ‘Crossfire' to ‘CeaseFire': C-SPAN executive launches program that promotes common ground
For several years when he was at CNN, Sam Feist was in charge of 'Crossfire,' the show that set a template for televised political combat. Now that he runs C-SPAN, Feist is going in another direction. The public affairs network debuts 'CeaseFire' this fall, described as an attempt to bring political opposites together to find common ground, and on Wednesday announced that Dasha Burns of Politico will be its host.
