A summary
A quick recap.
Stock markets in Europe and across Asia-Pacific countries have fallen after Donald Trump announced new tariffs on dozens of US trading partners.
Last night, as the latest deadline to reach deals approached, Trump signed an executive order imposing tariffs ranging from 10% to 41%.
Rates were set at 25% for India, 20% for Taiwan and 30% for South Africa ahead of Trump’s self-imposed deadline of 1 August for striking trade deals with countries worldwide.
Trump also extended the deadline for a tariff agreement with Mexico by another 90 days.
Share prices have weakened in response – with Germany’s DAX down 1.9% and France’s CAC losing 2.2%, as European stock markets fell to a one-month low.
Asia-Pacific stock markets were on track for their worst week since April, with Japan’s Nikkei 225 losing 0.6%,
South Africa’s stock market is now down almost 1.5%.
And there was shock in Switzerland, which has been lumbered with a 39% tariff rate – which manufacturers fear will lead to job losses.
“,”elementId”:”5aae040e-86c4-4d85-ae58-77b2e35bcdad”},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
Stock markets in Europe and across Asia-Pacific countries have fallen after Donald Trump announced new tariffs on dozens of US trading partners.
“,”elementId”:”bc3065a6-152d-4fbd-94a8-b1e441a2168a”},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
Last night, as the latest deadline to reach deals approached, Trump signed an executive order imposing tariffs ranging from 10% to 41%.
“,”elementId”:”60cf3d75-620c-47b6-ab85-15120c31770a”},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
Rates were set at 25% for India, 20% for Taiwan and 30% for South Africa ahead of Trump’s self-imposed deadline of 1 August for striking trade deals with countries worldwide.
“,”elementId”:”cc4f0f5f-a4dc-4ea7-8fdf-6ff3ea465627″},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
Trump also extended the deadline for a tariff agreement with Mexico by another 90 days.
“,”elementId”:”82b5b141-bf5f-4de5-a900-8505f638a350″},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
Share prices have weakened in response – with Germany’s DAX down 1.9% and France’s CAC losing 2.2%, as European stock markets fell to a one-month low.
“,”elementId”:”de8d86f9-d4c4-4e7a-ba6f-c77c80961e7b”},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
Asia-Pacific stock markets were on track for their worst week since April, with Japan’s Nikkei 225 losing 0.6%,
“,”elementId”:”286fd2c0-6d9f-4484-be10-70fec76d8b22″},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
South Africa’s stock market is now down almost 1.5%.
“,”elementId”:”a9b3e240-343c-44fb-9a9e-27c827df1f7d”},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
“,”elementId”:”e231bfdf-ed65-4329-817f-2b81ef3645ed”},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
And there was shock in Switzerland, which has been lumbered with a 39% tariff rate – which manufacturers fear will lead to job losses.
“,”elementId”:”318178fe-ef2b-4059-b942-77c278e897b5″}],”attributes”:{“pinned”:true,”keyEvent”:true,”summary”:false},”blockCreatedOn”:1754047302000,”blockCreatedOnDisplay”:”07.21 EDT”,”blockLastUpdated”:1754047768000,”blockLastUpdatedDisplay”:”07.29 EDT”,”blockFirstPublished”:1754047710000,”blockFirstPublishedDisplay”:”07.28 EDT”,”blockFirstPublishedDisplayNoTimezone”:”07.28″,”title”:”A summary”,”contributors”:[],”primaryDateLine”:”Fri 1 Aug 2025 08.19 EDT”,”secondaryDateLine”:”First published on Thu 31 Jul 2025 22.19 EDT”},{“id”:”688ca0048f0871e4e6fe9d1b”,”elements”:[{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
The European stock market selloff is gathering pace.
“,”elementId”:”d99615ed-34b2-4b7b-8a3a-30d4f7b56579″},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
After a volatile morning, Germany’s DAX index and Italy’s FTSE MIB are both down 1.9% while France’s CAC has lost 2.3%.
“,”elementId”:”6ba41192-bbe2-4a61-b019-e46825637b29″},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
Joshua Mahony, chief market analyst at financial services group Rostro, reports that sentiment in the markets has ‘soured’ after last night’s tariff announcements from the White House.
“,”elementId”:”ad33e490-3751-423a-ac3f-972956b16698″},{“_type”:”model.dotcomrendering.pageElements.BlockquoteBlockElement”,”html”:”
n
Global markets are heading lower as we close out a week of major volatility, with a raft of corporate, economic, central bank, and trade headlines hitting the newswires on a daily basis. For the most part we have seen the strength of US tech earnings and positive trade agreements helping to prop up market sentiment for many markets, although that strength has started to falter as risks grow. With the DAX falling to the lowest level in a month, we have clearly started to see sentiment sour after relative stability.
n
The announcement of tariff levels across the globe has provided a follow up to the initial ‘Liberation Day’ cardboard cutout, with the new levels providing many with lower tariffs than had initially been set out. Notably, those rates come into play in a weeks’ time, providing hope for those seeking fresh trade agreements before the heftier tax levels come into play.
n
“,”elementId”:”c2d99451-9285-41e3-a6e2-4fbeee9225e4″}],”attributes”:{“pinned”:false,”keyEvent”:true,”summary”:false},”blockCreatedOn”:1754046468000,”blockCreatedOnDisplay”:”07.07 EDT”,”blockLastUpdated”:1754046677000,”blockLastUpdatedDisplay”:”07.11 EDT”,”blockFirstPublished”:1754046678000,”blockFirstPublishedDisplay”:”07.11 EDT”,”blockFirstPublishedDisplayNoTimezone”:”07.11″,”title”:”European selloff deepens”,”contributors”:[],”primaryDateLine”:”Fri 1 Aug 2025 08.19 EDT”,”secondaryDateLine”:”First published on Thu 31 Jul 2025 22.19 EDT”},{“id”:”688c94e08f086217179df06a”,”elements”:[{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
Donald Trump’s decision to hit Switzerland with a 39% tariff rate has caused shock in the markets, and in the Swiss Confederation.
“,”elementId”:”b0a8719c-ae87-4042-90ca-923d81e290b5″},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
Swiss president Karin Keller-Sutter posted on X last night that she spoke to Donald Trump on Thursday, but that the two country’s hadn’t reached an agreement.
“,”elementId”:”50d3dd0b-3f04-404d-9dda-a96ae972cf2e”},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
She explained:
“,”elementId”:”fd9d5607-aae2-42fd-a46b-edf1b171c7a1″},{“_type”:”model.dotcomrendering.pageElements.BlockquoteBlockElement”,”html”:”
n
I had a final conversation today with US President Trump before the deadline for US tariffs expires. For the President, the trade deficit is the main focus. No agreement could be reached on the letter of intent negotiated between Switzerland and the USA.
n
“,”elementId”:”8f929593-792f-4b30-b735-06f43df59821″},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
The Swiss government says (see earlier post) it “continues to strive for a negotiated solution” over a tariff announcement which it “notes with regret”; manufacturers are warning that jobs are at risk.
“,”elementId”:”fe621720-7312-4446-98af-a8cb2b48aafb”},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
Stefan Brupbacher, director of manufacturers’ association Swissmem, said:
“,”elementId”:”b637d632-45ba-40e8-bac8-5755117b8cc7″},{“_type”:”model.dotcomrendering.pageElements.BlockquoteBlockElement”,”html”:”
n
“I am stunned. These tariffs are based on no rational basis and are arbitrary.
n
“This decision puts tens of thousands of jobs in the industry at risk.”
n
“,”elementId”:”78bf96a5-3542-4da1-a6c4-6d7998169d3e”},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
Swissmechanic, an industry lobby group, called the 39% rate “dangerous.”
“,”elementId”:”f8a02f58-598a-4409-a799-54cd07807201″},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
It urged the government to keep negotiating in the remaining time until the tariffs are set to come into effect on 7 August, which otherwise risks leaving the economy becoming “one of the few countries that permanently struggle with structural competitive disadvantages”, Bloomberg reports.
“,”elementId”:”da5dd9cd-1312-49a9-87be-93974069a6ef”},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
As flagged earlier, shares in Watches of Switzerland have fallen sharply in London – they’re now down almost 9%.
“,”elementId”:”77ae9616-c4cc-41e1-9cf5-af348f08aa38″},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
Kathleen Brooks, research director at XTB, says Switzerland got the rough end of Trump’s trade war, explaining:
“,”elementId”:”eabb9ba0-ac4f-48de-b9a4-9d68fc1d991b”},{“_type”:”model.dotcomrendering.pageElements.BlockquoteBlockElement”,”html”:”
n
The Swiss rate was a shock, and the Swiss government have said that they plan to keep negotiating with the US to secure a lower levy. Chocolatiers, watch makers and pharma companies are all under threat. Pharma accounts for 50% of Swiss exports to the US. Swiss pharma giant Novartis’s share price is lower by 2% today, while Roche is lower more than 3% on Friday. Swiss pharma giants are also pressured by Trump’s campaign to force drug makers to charge lower prices for US consumers and demanding that they charge the same rate for the US as they do for other countries.
n
Switzerland will hope to secure the same rate as the EU, but time is running out. It appears that Switzerland may have been punished more than elsewhere because of the Swiss government’s desire to protect its openness, and to protect its domestic agriculture. Although it had said it was willing to lower import rates for fruit, nuts, shellfish and some medical devices, this was not enough for the US.
n
“,”elementId”:”3620a645-1231-4181-9ffe-7c6968c36b4e”}],”attributes”:{“pinned”:false,”keyEvent”:true,”summary”:false},”blockCreatedOn”:1754043616000,”blockCreatedOnDisplay”:”06.20 EDT”,”blockLastUpdated”:1754044259000,”blockLastUpdatedDisplay”:”06.30 EDT”,”blockFirstPublished”:1754044259000,”blockFirstPublishedDisplay”:”06.30 EDT”,”blockFirstPublishedDisplayNoTimezone”:”06.30″,”title”:”Job loss fears over Swiss tariffs”,”contributors”:[],”primaryDateLine”:”Fri 1 Aug 2025 08.19 EDT”,”secondaryDateLine”:”First published on Thu 31 Jul 2025 22.19 EDT”},{“id”:”688c840e8f08fd3663577aae”,”elements”:[{“displayCredit”:true,”_type”:”model.dotcomrendering.pageElements.ImageBlockElement”,”role”:”inline”,”media”:{“allImages”:[{“index”:0,”fields”:{“height”:”3413″,”width”:”5120″},”mediaType”:”Image”,”mimeType”:”image/jpeg”,”url”:”https://10xwealthreport.com/wp-content/uploads/2025/08/echo/5120.jpg?width=480&quality=45&auto=format&fit=max&dpr=2&s=a3d8999b9ce1420a5fe44e268efd7933″,”width”:960}]}],”data”:{“alt”:”French vineyards in the Champagne region”,”caption”:”French vineyards in the Champagne region”,”credit”:”Photograph: Danita Delimont Creative/Alamy”}},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
France’s wine and spirits industry expects to lose €1bn should the US go ahead with imposing a 15% import tariff on their products next week, as the European Union makes a last-ditch effort to obtain an exemption, Bloomberg reports.
“,”elementId”:”038bfe61-2233-438a-99b9-25670172b2e0″},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
The levy, due to come into force on 7 August, will likely cut a quarter of France’s annual exports from the sector, the country’s federation of wine and spirit exporters FEVS said in a statement on Friday.
“,”elementId”:”f4ce2e0b-60a4-472a-a895-dc94e475b6f7″},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
It will also jeopardize the jobs of the 600,000 people directly employed by the industry, they fear.
“,”elementId”:”0658d89c-2f52-4dd9-b7e8-c54c20fe2af2″},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
FEVS President Gabriel Picard said:
“,”elementId”:”5cdad66d-65e0-467c-989f-191bac6f6bf7″},{“_type”:”model.dotcomrendering.pageElements.BlockquoteBlockElement”,”html”:”
n
“We welcome the efforts already made to try to obtain the exclusion of wines and spirits from this 15% duty.
n
“The situation cannot remain as it is. It is vital that France and the European Union actively engage with us to very concretely support our sector.”
n
“,”elementId”:”8b54381e-0f63-41ee-a54c-5288dc9e4aa9″}],”attributes”:{“pinned”:false,”keyEvent”:true,”summary”:false},”blockCreatedOn”:1754039310000,”blockCreatedOnDisplay”:”05.08 EDT”,”blockLastUpdated”:1754039536000,”blockLastUpdatedDisplay”:”05.12 EDT”,”blockFirstPublished”:1754039536000,”blockFirstPublishedDisplay”:”05.12 EDT”,”blockFirstPublishedDisplayNoTimezone”:”05.12″,”title”:”French wine exporters see €1bn losses from Trump tariff”,”contributors”:[],”primaryDateLine”:”Fri 1 Aug 2025 08.19 EDT”,”secondaryDateLine”:”First published on Thu 31 Jul 2025 22.19 EDT”},{“id”:”688c77c68f0871e4e6fe9a50″,”elements”:[{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
President Trump’s latest flurry of tariffs implies that the US effective tariff rate will rise to about 18%, from 2.3% last year, reports Stephen Brown, deputy chief North America economist at City consultancy Capital Economics.
“,”elementId”:”a1bca059-0c85-4a35-b128-a4e2b1337b13″},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
Brown told clients this morning:
“,”elementId”:”efeb7b58-4410-4916-8467-3a0ef5f724fd”},{“_type”:”model.dotcomrendering.pageElements.BlockquoteBlockElement”,”html”:”
n
That is a little higher than we assumed and so presents modest downside risks to our forecast for global GDP growth and a small upside risk to our US inflation forecast.
n
That said, this is unlikely to be the final word, as it still seems likely that some other countries will reach their own deals with the US, while there is a chance that the US courts will eventually strike down these tariffs.
n
“,”elementId”:”3e1b7d7c-2d81-40f1-997d-48650dc61e56″}],”attributes”:{“pinned”:false,”keyEvent”:true,”summary”:false},”blockCreatedOn”:1754036166000,”blockCreatedOnDisplay”:”04.16 EDT”,”blockLastUpdated”:1754036270000,”blockLastUpdatedDisplay”:”04.17 EDT”,”blockFirstPublished”:1754036246000,”blockFirstPublishedDisplay”:”04.17 EDT”,”blockFirstPublishedDisplayNoTimezone”:”04.17″,”title”:”Capital Economics: New US tariff regime still not the end of the story”,”contributors”:[],”primaryDateLine”:”Fri 1 Aug 2025 08.19 EDT”,”secondaryDateLine”:”First published on Thu 31 Jul 2025 22.19 EDT”},{“id”:”688c6b588f0871e4e6fe99ef”,”elements”:[{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
South Africa’s financial markets have been rattled by Trump’s decision to impose a 30% tariff on its exports to the US.
“,”elementId”:”abe515b0-a695-4353-9dac-696003fc7e03″},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
South Africa’s JSE FTSE all share index has fallen by 1.2% in morning trading, with ‘consumer cyclicals’ the worst-performing sector.
“,”elementId”:”3196d100-6d9a-4e0c-ac72-421ab14bfd00″},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
The South African rand is on the backfoot this morning too. It dipped to a two-month low of 18.24 against the US dollar, its lowest level since mid-May.
“,”elementId”:”c3e42444-d590-42b0-8db2-556ac4123219″}],”attributes”:{“pinned”:false,”keyEvent”:true,”summary”:false},”blockCreatedOn”:1754032984000,”blockCreatedOnDisplay”:”03.23 EDT”,”blockLastUpdated”:1754033455000,”blockLastUpdatedDisplay”:”03.30 EDT”,”blockFirstPublished”:1754033455000,”blockFirstPublishedDisplay”:”03.30 EDT”,”blockFirstPublishedDisplayNoTimezone”:”03.30″,”title”:”South Africa’s rand hits two-month low after US sets 30% tariff”,”contributors”:[],”primaryDateLine”:”Fri 1 Aug 2025 08.19 EDT”,”secondaryDateLine”:”First published on Thu 31 Jul 2025 22.19 EDT”},{“id”:”688c68ca8f086217179dee5b”,”elements”:[{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
Stock markets across Europe have dropped, after Donald Trump intensified his trade war last night.
“,”elementId”:”acd0e344-a0f0-4288-9f5e-8f16ec5b94e6″},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
Germany’s DAX index has dropped by 1.1% at the start of trading in Frankfurt, while France’s CAC fell by almost 1% and Spain’s IBEX lost 0.6% – even though Europe reached a trade deal with the US at the start of this week.
“,”elementId”:”627d4403-5983-4c6a-adc3-14f794fa3604″},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
That, and the 0.5% drop on the London stock market (see here), shows concerns that Trump’s tariffs will weigh on the global economy, weakening trade growth.
“,”elementId”:”d5148863-152c-4ffa-afb9-3989ee52fca8″}],”attributes”:{“pinned”:false,”keyEvent”:true,”summary”:false},”blockCreatedOn”:1754032330000,”blockCreatedOnDisplay”:”03.12 EDT”,”blockLastUpdated”:1754032674000,”blockLastUpdatedDisplay”:”03.17 EDT”,”blockFirstPublished”:1754032674000,”blockFirstPublishedDisplay”:”03.17 EDT”,”blockFirstPublishedDisplayNoTimezone”:”03.17″,”title”:”European stock markets fall”,”contributors”:[],”primaryDateLine”:”Fri 1 Aug 2025 08.19 EDT”,”secondaryDateLine”:”First published on Thu 31 Jul 2025 22.19 EDT”},{“id”:”688c66688f086217179dee4b”,”elements”:[{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
London’s stock market has opened in the red, as the City digests Donald Trump’s swathe of tariffs on trading partners.
“,”elementId”:”e4f694da-64e9-4139-b7d7-6ff83c3d0f63″},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
The FTSE 100 index of blue-chip shares has dropped by over 0.5%, down 50 points at 9082 points.
“,”elementId”:”6dda291f-e6d6-434c-a94d-21716fd5937a”},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
That’s a fairly mild drop, taking the ‘Footsie’ away from the record high set yesterday, following the modest losses in Asia-Pacific markets earlier.
“,”elementId”:”4db99843-46ec-473e-ba83-7011530167a4″},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
Tony Sycamore, market analyst at IG, explains:
“,”elementId”:”b61ae6d9-3ffb-481b-b4a3-cdb9b9deb3ab”},{“_type”:”model.dotcomrendering.pageElements.BlockquoteBlockElement”,”html”:”
n
Market reactions to the newly announced tariffs, have been relatively subdued, largely due to recent trade agreements with the EU, Japan, and South Korea + others that have mitigated their impact.
n
Mexico’s 90-day tariff reprieve and positive progress on US-China trade talks, as noted by President Trump, further softened the blow.
n
“,”elementId”:”bc5fba95-af98-4c54-9afe-04ddd380acb6″}],”attributes”:{“pinned”:false,”keyEvent”:true,”summary”:false},”blockCreatedOn”:1754031720000,”blockCreatedOnDisplay”:”03.02 EDT”,”blockLastUpdated”:1754031931000,”blockLastUpdatedDisplay”:”03.05 EDT”,”blockFirstPublished”:1754031932000,”blockFirstPublishedDisplay”:”03.05 EDT”,”blockFirstPublishedDisplayNoTimezone”:”03.05″,”title”:”FTSE 100 opens lower”,”contributors”:[],”primaryDateLine”:”Fri 1 Aug 2025 08.19 EDT”,”secondaryDateLine”:”First published on Thu 31 Jul 2025 22.19 EDT”},{“id”:”688c57ce8f0871e4e6fe9961″,”elements”:[{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
Financial experts are digesting the new tariff rates announced by the US last night.
“,”elementId”:”7c3e5aba-6616-48ae-b5d9-60c9adb6b7df”},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
Jim Reid, market strategist at Deutsche Bank, points out that the effective US tariff rate is the highest since the 1930s, when the protectionist Smoot–Hawley Tariff Act was in place, exacerbating the Great Depression.
“,”elementId”:”0d51cee1-fa1b-49dc-88ab-31474e64d231″},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
Reid explained:
“,”elementId”:”1bdf000d-13ae-4ffd-86ea-baaabe663d5c”},{“_type”:”model.dotcomrendering.pageElements.BlockquoteBlockElement”,”html”:”
n
Welcome to August, which begins with the deadline now having been passed for tariff deals to be concluded with the United States. Much of the rhetoric and the negotiation are now behind us and we’ll now see how the rubber hits the road. The US tariff rate has risen to about 15% from a little over 2% at the start of the year. That’s their highest level since the 1930s but that has not prevented US equities from being near their all-time highs and other markets being much stronger this year.
n
“,”elementId”:”84f517df-af4d-4c36-9a83-abfc9718f7a0″},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
Michael Brown, senior research strategist at brokerage Pepperstone, points out that the Donald Trump failed to secure many trade deals during the last few months:
“,”elementId”:”ffc4cc27-2933-4956-b867-9cf75878cf1d”},{“_type”:”model.dotcomrendering.pageElements.BlockquoteBlockElement”,”html”:”
n
Quite apart from the ’90 deals in 90 days’ that the Admin had sought, what we have actually ended up with is 8 deals in 120 days, the details of most remaining fuzzy. That’s called ‘winning’, apparently.
n
“,”elementId”:”10b1fd57-6f95-47ef-9949-3110c3ea9f50″}],”attributes”:{“pinned”:false,”keyEvent”:true,”summary”:false},”blockCreatedOn”:1754027982000,”blockCreatedOnDisplay”:”01.59 EDT”,”blockLastUpdated”:1754030622000,”blockLastUpdatedDisplay”:”02.43 EDT”,”blockFirstPublished”:1754030622000,”blockFirstPublishedDisplay”:”02.43 EDT”,”blockFirstPublishedDisplayNoTimezone”:”02.43″,”title”:”Trump tariffs: What the analysts say”,”contributors”:[],”primaryDateLine”:”Fri 1 Aug 2025 08.19 EDT”,”secondaryDateLine”:”First published on Thu 31 Jul 2025 22.19 EDT”},{“id”:”688c56418f086217179dede0″,”elements”:[{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
Switzerland’s government has said it “notes with great regret” that the White House has announced a higher 39% tariff on Swiss imports to the United States.
“,”elementId”:”f5574e70-6281-4bac-9aec-82c7cb6d0f0a”},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
In a post on X, the Swiss Federal Council has said “Switzerland has been and continues to be in contact with the responsible authorities in the US,” adding that it “continues to strive for a negotiated solution”.
“,”elementId”:”bd5ad70e-5a41-400c-988a-b70cb2100baa”},{“_type”:”model.dotcomrendering.pageElements.TweetBlockElement”,”source”:”Twitter”,”id”:”1951161888164741263″,”elementId”:”bc0f4892-bd22-4f5c-8195-e7a0d9d9fc1a”,”hasMedia”:false,”role”:”inline”,”url”:”https://x.com/BR_Sprecher/status/1951161888164741263″,”isThirdPartyTracking”:false,”html”:”
The Federal Council notes with great regret that, despite the progress made in bilateral talks and Switzerland’s very constructive stance from the outset, the US intends to impose unilateral additional tariffs on imports from Switzerland.
— Bundesrat • Conseil fédéral • Consiglio federale (@BR_Sprecher) August 1, 2025
nn”},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
The government said it would analyse the new situation and decide on how to proceed.
“,”elementId”:”9ff29380-ccae-46f1-8849-61f80513ce4d”}],”attributes”:{“pinned”:false,”keyEvent”:true,”summary”:false},”blockCreatedOn”:1754027585000,”blockCreatedOnDisplay”:”01.53 EDT”,”blockLastUpdated”:1754029833000,”blockLastUpdatedDisplay”:”02.30 EDT”,”blockFirstPublished”:1754029834000,”blockFirstPublishedDisplay”:”02.30 EDT”,”blockFirstPublishedDisplayNoTimezone”:”02.30″,”title”:”Switzerland ‘continues to strive for a negotiated solution'”,”contributors”:[],”primaryDateLine”:”Fri 1 Aug 2025 08.19 EDT”,”secondaryDateLine”:”First published on Thu 31 Jul 2025 22.19 EDT”},{“id”:”688c54de8f086217179deddc”,”elements”:[{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
Across Europe, politicians are digesting the latest escalation of Donald Trump’s trade war.
“,”elementId”:”dac3fa89-03ab-4964-a828-5d49613608fc”},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
Norwegian Minister of Trade and Industry Cecilie Myrseth told public broadcaster NRK this morning that Norway continues to seek a trade agreement with the US, after the White House announced a 15% tariff on its exports.
“,”elementId”:”047b7fd8-ccf9-4bd7-b093-92d8eb76a935″}],”attributes”:{“pinned”:false,”keyEvent”:true,”summary”:false},”blockCreatedOn”:1754027230000,”blockCreatedOnDisplay”:”01.47 EDT”,”blockLastUpdated”:1754027699000,”blockLastUpdatedDisplay”:”01.54 EDT”,”blockFirstPublished”:1754027699000,”blockFirstPublishedDisplay”:”01.54 EDT”,”blockFirstPublishedDisplayNoTimezone”:”01.54″,”title”:”Norway still aims for US trade agreement”,”contributors”:[],”primaryDateLine”:”Fri 1 Aug 2025 08.19 EDT”,”secondaryDateLine”:”First published on Thu 31 Jul 2025 22.19 EDT”},{“id”:”688c49af8f0871e4e6fe9902″,”elements”:[{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
Further to Mark Carney saying Canada is “disappointed” at Trump’s 35% tariff on Canadian goods, the prime minister said the Canadian government “will act to project Canadian jobs, invest in our industrial competitiveness, buy Canadian and diversity our export markets”.
“,”elementId”:”8416c02f-58fd-465f-b055-6e597da5d903″},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
Carney said parts of Canada’s economy including lumber, steel, aluminium and automobiles were heavily impacted by American tariffs but despite the steep levy on US-bound Canadian goods outside of the US-Mexico-Canada trade agreement, Canada remained committed to the deal.
“,”elementId”:”6760870d-42c9-4210-b8bb-c48f8d8250a6″},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
Carney said in his statement that the US had justified its 35% rate on the basis of the cross-border flow of fentanyl, “despite the fact that Canada accounts for only 1% of US fentanyl imports and has been working intensively to further reduce these volumes”.
“,”elementId”:”3e86808d-96be-490d-a217-cfd9583708ff”},{“_type”:”model.dotcomrendering.pageElements.BlockquoteBlockElement”,”html”:”
n
We will continue working with the United States to stop the scourge of fentanyl and save lives in both our countries.
n
“,”elementId”:”c6221b0e-4074-42ed-a6b1-efd69c430aa4″},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
Carney said Canada was also working internally to “cut down trade barriers to build one Canadian economy”.
“,”elementId”:”27ed59f1-86f7-487b-9894-b790f98cec7b”},{“_type”:”model.dotcomrendering.pageElements.BlockquoteBlockElement”,”html”:”
n
Canadians will be our own best customer, creating more well-paying careers at home, as we strengthen and diversify our trading partnerships throughout the world.
n
We can give ourselves more than any foreign government can ever take away by building with Canadians workers and by using Canadian resources to benefit all Canadians.
n
“,”elementId”:”ea3fe26f-0803-4efd-bb26-89a13774f6fd”},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
Here’s Carney’s statement via Bluesky:
“,”elementId”:”a0c32824-7fb7-476c-833b-b025a9de2a8b”},{“_type”:”model.dotcomrendering.pageElements.EmbedBlockElement”,”isMandatory”:false,”sourceDomain”:”embed.bsky.app”,”safe”:false,”alt”:”post”,”elementId”:”fe3acce3-d9d9-48b7-8c2b-5fb6fbd7e920″,”isThirdPartyTracking”:true,”html”:”
My statement on Canada-U.S. trade:
— Mark Carney (@mark-carney.bsky.social) 1 August 2025 at 14:28
“}],”attributes”:{“pinned”:false,”keyEvent”:true,”summary”:false},”blockCreatedOn”:1754024367000,”blockCreatedOnDisplay”:”00.59 EDT”,”blockLastUpdated”:1754028274000,”blockLastUpdatedDisplay”:”02.04 EDT”,”blockFirstPublished”:1754026371000,”blockFirstPublishedDisplay”:”01.32 EDT”,”blockFirstPublishedDisplayNoTimezone”:”01.32″,”title”:”Carney says Canada accounts for only 1% of US fentanyl imports”,”contributors”:[],”primaryDateLine”:”Fri 1 Aug 2025 08.19 EDT”,”secondaryDateLine”:”First published on Thu 31 Jul 2025 22.19 EDT”},{“id”:”688c486c8f086217179ded99″,”elements”:[{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
Canadian prime minister Mark Carney has said he is disappointed at Donald Trump raising tariffs from 25% to 35% on Canadian goods outside of the US-Mexico-Canada trade agreement.
“,”elementId”:”b001f3af-eb9e-441b-9baa-d482cfff38bd”},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
More on Carney’s statement in a moment.
“,”elementId”:”07e53cc7-bdaf-488f-8747-ff1af0cbf349″}],”attributes”:{“pinned”:false,”keyEvent”:true,”summary”:false},”blockCreatedOn”:1754024044000,”blockCreatedOnDisplay”:”00.54 EDT”,”blockLastUpdated”:1754025103000,”blockLastUpdatedDisplay”:”01.11 EDT”,”blockFirstPublished”:1754024347000,”blockFirstPublishedDisplay”:”00.59 EDT”,”blockFirstPublishedDisplayNoTimezone”:”00.59″,”title”:”Mark Carney ‘disappointed’ at 35% Trump tariffs on Canada”,”contributors”:[],”primaryDateLine”:”Fri 1 Aug 2025 08.19 EDT”,”secondaryDateLine”:”First published on Thu 31 Jul 2025 22.19 EDT”},{“id”:”688c280c8f086217179decd8″,”elements”:[{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
Shares in Asia fell on Friday after the US hit dozens of trading partners with high tariffs.
“,”elementId”:”b56ec8fd-5be0-4f1c-9927-818a38e9c1e2″},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
MSCI’s broadest index of Asia-Pacific shares outside Japan fell 0.7%, bringing the total loss this week to 1.8%. South Korea’s KOSPI plunged 3% while Taiwanese shares fell 0.9%, Reuters reports.
“,”elementId”:”baf556c9-704c-468b-8b31-204f977f858f”},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
Japan’s Nikkei dropped 0.4%. Chinese blue chips were flat and Hong Kong’s Hang Seng index eked out a small gain of 0.2%.
“,”elementId”:”c6402ea5-a51a-46fe-ad56-854fe118c063″},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
“At this point, the reaction in markets has been modest, and I think part of the reason for that is the recent trade deals with the EU, Japan, and South Korea have certainly helped to cushion the impact,” said Tony Sycamore, an analyst at IG.
“,”elementId”:”74b84af4-def4-4558-a7eb-82bbd56fc331″},{“_type”:”model.dotcomrendering.pageElements.BlockquoteBlockElement”,”html”:”
n
The market now, I think, has probably taken the view that these trade tariff levels can be renegotiated, can be walked lower over the course of time.
n
“,”elementId”:”7bd5f595-a9e6-4380-85d0-537bc5f6bd08″},{“displayCredit”:true,”_type”:”model.dotcomrendering.pageElements.ImageBlockElement”,”role”:”inline”,”media”:{“allImages”:[{“index”:0,”fields”:{“height”:”4856″,”width”:”7363″},”mediaType”:”Image”,”mimeType”:”image/jpeg”,”url”:”https://10xwealthreport.com/wp-content/uploads/2025/08/echo/7363.jpg?width=480&quality=45&auto=format&fit=max&dpr=2&s=d83cf978afca1000017f6ba287fd6d27″,”width”:960}]}],”data”:{“alt”:”South Korean dealers work in front of monitors at Hana Bank in Seoul, South Korea.”,”caption”:”South Korean dealers work in front of monitors at Hana Bank in Seoul, South Korea.”,”credit”:”Photograph: Jeon Heon-Kyun/EPA”}}],”attributes”:{“pinned”:false,”keyEvent”:true,”summary”:false},”blockCreatedOn”:1754015756000,”blockCreatedOnDisplay”:”22.35 EDT”,”blockLastUpdated”:1754019841000,”blockLastUpdatedDisplay”:”23.44 EDT”,”blockFirstPublished”:1754015924000,”blockFirstPublishedDisplay”:”22.38 EDT”,”blockFirstPublishedDisplayNoTimezone”:”22.38″,”title”:”Asian stocks tumble amid new Trump tariffs”,”contributors”:[],”primaryDateLine”:”Fri 1 Aug 2025 08.19 EDT”,”secondaryDateLine”:”First published on Thu 31 Jul 2025 22.19 EDT”},{“id”:”688c263c8f08fd3663577830″,”elements”:[{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
Here is a searchable list of the latest reciprocal tariffs announced by the White House:
“,”elementId”:”a76e1de1-fa07-4cc3-bf54-4c5bf9ea933e”},{“_type”:”model.dotcomrendering.pageElements.InteractiveBlockElement”,”scriptUrl”:”https://interactive.guim.co.uk/embed/iframe-wrapper/0.1/boot.js”,”alt”:”list of tariffs”,”elementId”:”c003ec3c-5f64-4106-a10f-d40819202d61″,”isMandatory”:false,”url”:”https://interactive.guim.co.uk/datawrapper/embed/IJ1pO/4/”}],”attributes”:{“pinned”:false,”keyEvent”:true,”summary”:false},”blockCreatedOn”:1754015292000,”blockCreatedOnDisplay”:”22.28 EDT”,”blockLastUpdated”:1754015380000,”blockLastUpdatedDisplay”:”22.29 EDT”,”blockFirstPublished”:1754015381000,”blockFirstPublishedDisplay”:”22.29 EDT”,”blockFirstPublishedDisplayNoTimezone”:”22.29″,”title”:”The tariff list – in full”,”contributors”:[],”primaryDateLine”:”Fri 1 Aug 2025 08.19 EDT”,”secondaryDateLine”:”First published on Thu 31 Jul 2025 22.19 EDT”},{“id”:”688c0fd28f086217179dec3e”,”elements”:[{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
Welcome to our live coverage of Donald Trump’s sweeping tariff regime.
“,”elementId”:”f647aae2-87e8-4e44-90ff-4e399dad7d37″},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
The US president signed an executive order on Thursday imposing reciprocal tariffs from 10% to 41% on US imports from dozens of countries and foreign locations. Rates were set at 25% for India, 20% for Taiwan and 30% for South Africa ahead of Trump’s self-imposed deadline of 1 August for striking trade deals with countries worldwide.
“,”elementId”:”1a536308-c642-4c17-ab91-7d83449abc6e”},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
He extended the deadline for a tariff agreement with Mexico by another 90 days.
“,”elementId”:”c72be224-8e0a-4a61-b95c-5b6a372647ed”},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
Brazil’s tariff rate was set at 10%, but a previous order signed by Trump placed a 40% tariff on some Brazilian goods, to punish the country for prosecuting its former president Jair Bolsonaro over an alleged coup attempt after the 2022 election.
“,”elementId”:”24ad9470-accc-4e21-a75d-c857d71ffdf6″},{“displayCredit”:true,”_type”:”model.dotcomrendering.pageElements.ImageBlockElement”,”role”:”inline”,”media”:{“allImages”:[{“index”:0,”fields”:{“aspectRatio”:”5:4″,”height”:”1888″,”width”:”2359″},”mediaType”:”Image”,”mimeType”:”image/jpeg”,”url”:”https://10xwealthreport.com/wp-content/uploads/2025/08/echo/2359.jpg?width=480&quality=45&auto=format&fit=max&dpr=2&s=5a91f4c83d70265f978e759d11fa93fe”,”width”:960}]}],”data”:{“alt”:”Cargo containers line a shipping terminal at the port of Oakland, California”,”caption”:”Cargo containers line a shipping terminal at the port of Oakland, California, on Thursday. “,”credit”:”Photograph: Noah Berger/AP”}},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
In other key news:
“,”elementId”:”08559ad0-f948-4d30-ab6f-0511ebb65881″},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
- n
- n
Canadian imports will face tariffs of 35%, not the current 25%, the White House announced. Trump had threatened on Wednesday that Ottawa’s move to recognise a Palestinian state would make agreeing a trade deal “very hard”.
- n
Some of the world’s poorest and most war-torn countries were hit with punitive rates, including Syria, which faces a levy of 41%; Laos and Myanmar with rates of 40%; Libya with a rate of 30%; Iraq with 35% and Sri Lanka with 20%. Switzerland faces a rate of 39%. The rates are set to go into effect in seven days, according to the order.
- n
Thailand’s finance minister said on Friday that a 19% tariff rate had been agreed – significantly lower than the 36% level announced in April and better aligned with other countries in the region. Vietnam and Indonesia reportedly negotiated tariffs of 20% and 19% respectively.
- n
China faces a separate deadline for its higher tariffs of 12 August, with an extension to the truce agreed in principle but yet to be approved by the White House.
- n
By 31 July just eight countries or economic blocs had reached formal agreements with the White House: the UK, Vietnam, Indonesia, Philippines, South Korea, Japan, Pakistan and the EU.
– With Helen Livingstone, Lisa O’Carroll and agencies
n
n
n
n
n
“,”elementId”:”2dae2f00-6cc4-4a20-a987-7e50ff731ff6″}],”attributes”:{“pinned”:false,”keyEvent”:true,”summary”:false},”blockCreatedOn”:1754014757000,”blockCreatedOnDisplay”:”22.19 EDT”,”blockLastUpdated”:1754015327000,”blockLastUpdatedDisplay”:”22.28 EDT”,”blockFirstPublished”:1754014757000,”blockFirstPublishedDisplay”:”22.19 EDT”,”blockFirstPublishedDisplayNoTimezone”:”22.19″,”title”:”Opening summary”,”contributors”:[],”primaryDateLine”:”Fri 1 Aug 2025 08.19 EDT”,”secondaryDateLine”:”First published on Thu 31 Jul 2025 22.19 EDT”}],”filterKeyEvents”:false,”id”:”key-events-carousel-mobile”,”absoluteServerTimes”:false,”renderingTarget”:”Web”}”>
Key events
Please turn on JavaScript to use this feature
Donald Trump’s tariff playbook is becoming clearer following last night’s announcement, says Paul Diggle, chief economist at Aberdeen Investments.
This playbook consists of:
-
A 10% global baseline tariff
-
A rate of at least 15% on countries with goods trade deficits with the US
-
An additional 40% on goods transhipped to evade higher rates elsewhere
-
A variety of new country-specific rates on smaller trading partners, such as 20% on Taiwan or 39% on Switzerland
-
Trump has also announced a 35% tariff on Canada, although the carve-out for USMCA-compliant trade remains [that’s the United States-Mexico-Canada Agreement]
Diggle adds that there are still plenty of uncertainties, including where US-China tariffs settle….
Last night’s tariff announcement contained some good news for the African country of Lesotho.
Donald Trump has lowered Lesotho’s tariff rate to 15%, having previously threatened it with a 50% rate.
That should make it easier for manufacturers in Lesotho – which last month declared a national state of disaster over the country’s “high rates of youth unemployment and job losses” – to sell their goods to American consumers.
The BBC reported earlier this week that a Lesotho garment factory, which has produced Trump-branded golf shirts, was at risk of shutting down due to the high tariffs….
A summary
A quick recap.
Stock markets in Europe and across Asia-Pacific countries have fallen after Donald Trump announced new tariffs on dozens of US trading partners.
Last night, as the latest deadline to reach deals approached, Trump signed an executive order imposing tariffs ranging from 10% to 41%.
Rates were set at 25% for India, 20% for Taiwan and 30% for South Africa ahead of Trump’s self-imposed deadline of 1 August for striking trade deals with countries worldwide.
Trump also extended the deadline for a tariff agreement with Mexico by another 90 days.
Share prices have weakened in response – with Germany’s DAX down 1.9% and France’s CAC losing 2.2%, as European stock markets fell to a one-month low.
Asia-Pacific stock markets were on track for their worst week since April, with Japan’s Nikkei 225 losing 0.6%,
South Africa’s stock market is now down almost 1.5%.
And there was shock in Switzerland, which has been lumbered with a 39% tariff rate – which manufacturers fear will lead to job losses.
European selloff deepens
The European stock market selloff is gathering pace.
After a volatile morning, Germany’s DAX index and Italy’s FTSE MIB are both down 1.9% while France’s CAC has lost 2.3%.
Joshua Mahony, chief market analyst at financial services group Rostro, reports that sentiment in the markets has ‘soured’ after last night’s tariff announcements from the White House.
Global markets are heading lower as we close out a week of major volatility, with a raft of corporate, economic, central bank, and trade headlines hitting the newswires on a daily basis. For the most part we have seen the strength of US tech earnings and positive trade agreements helping to prop up market sentiment for many markets, although that strength has started to falter as risks grow. With the DAX falling to the lowest level in a month, we have clearly started to see sentiment sour after relative stability.
The announcement of tariff levels across the globe has provided a follow up to the initial ‘Liberation Day’ cardboard cutout, with the new levels providing many with lower tariffs than had initially been set out. Notably, those rates come into play in a weeks’ time, providing hope for those seeking fresh trade agreements before the heftier tax levels come into play.
Many companies will be confused about how the new US tariffs apply to them, warns Andrew Wilson, deputy secretary-general of the International Chamber of Commerce (ICC).
Wilson explains:
“At a macro level, last night’s announcement provides confirmation that the administration is set on applying generally higher tariff rates. So, the TACO logic seems to be off the menu.
But at a more practical level, we still see companies struggling to understand how the country specific rates will apply in practice.
The Executive Order (EO) only states the headline tariff rate, with no specifics as regards their implementation aside from the EU deal.
As such, there are still widespread questions about which tariffs will stack — the Japan deal for instance is notably silent on this issue compared to the EU agreement.
So, clarity on the direction of travel. But many questions remain about implementation and the real world implications.”
As an example, the information released by the White House last night showed that Brazil now faced a tariff of 10%. However, on Wednesday Trump signed an executive order confirming that the US would impose 50% tariffs on Brazil.
And as my colleague Lisa O’Carroll explained in her earlier post, the European Union’s trade deal with the US (a 15% tariff, agreed last weekend) is not stacked on top of a pre-existing tariff, meaning it’s a better deal than many other countries.
The US dollar has hit its highest level in two months against a basket of currencies today.
The dollar index has risen by 0.1%, on track for its seventh daily rise in a row.
Traders may be calculating that Trump’s tariffs will be inflationary, pushing prices paid by consumers and making it harder for the US Federal Reserve to lower interest rates. They could also be factoring in the damage that the trade war will do to other countries, which could force their central banks to keep interest rates lower.
Job loss fears over Swiss tariffs
Donald Trump’s decision to hit Switzerland with a 39% tariff rate has caused shock in the markets, and in the Swiss Confederation.
Swiss president Karin Keller-Sutter posted on X last night that she spoke to Donald Trump on Thursday, but that the two country’s hadn’t reached an agreement.
She explained:
I had a final conversation today with US President Trump before the deadline for US tariffs expires. For the President, the trade deficit is the main focus. No agreement could be reached on the letter of intent negotiated between Switzerland and the USA.
The Swiss government says (see earlier post) it “continues to strive for a negotiated solution” over a tariff announcement which it “notes with regret”; manufacturers are warning that jobs are at risk.
Stefan Brupbacher, director of manufacturers’ association Swissmem, said:
“I am stunned. These tariffs are based on no rational basis and are arbitrary.
“This decision puts tens of thousands of jobs in the industry at risk.”
Swissmechanic, an industry lobby group, called the 39% rate “dangerous.”
It urged the government to keep negotiating in the remaining time until the tariffs are set to come into effect on 7 August, which otherwise risks leaving the economy becoming “one of the few countries that permanently struggle with structural competitive disadvantages”, Bloomberg reports.
As flagged earlier, shares in Watches of Switzerland have fallen sharply in London – they’re now down almost 9%.
Kathleen Brooks, research director at XTB, says Switzerland got the rough end of Trump’s trade war, explaining:
The Swiss rate was a shock, and the Swiss government have said that they plan to keep negotiating with the US to secure a lower levy. Chocolatiers, watch makers and pharma companies are all under threat. Pharma accounts for 50% of Swiss exports to the US. Swiss pharma giant Novartis’s share price is lower by 2% today, while Roche is lower more than 3% on Friday. Swiss pharma giants are also pressured by Trump’s campaign to force drug makers to charge lower prices for US consumers and demanding that they charge the same rate for the US as they do for other countries.
Switzerland will hope to secure the same rate as the EU, but time is running out. It appears that Switzerland may have been punished more than elsewhere because of the Swiss government’s desire to protect its openness, and to protect its domestic agriculture. Although it had said it was willing to lower import rates for fruit, nuts, shellfish and some medical devices, this was not enough for the US.
Today’s selloff has dragged European stock markets down to a one-month low.
The pan-European Stoxx 600 index is now down 1.1% at its lowest level since late June.
European pharmaceuticals stocks have dropped after Donald Trump wrote to executives at 17 companies on Thursday, demanding they match their US prices for prescription drugs with the lowest price offered in other developed nations.
Taiwan’s government is hoping that it can negotiate its new US tariff down, before the new deadline of 7 August.
Taiwanese president Lai Ching-te said today that the new 20% tariff rate set by the Trump administration on goods imported from the island is “temporary”, and the government expects to negotiate a lower figure.
Lai also noted that rates for semiconductors, electronics as well as information and communication technology will be subject to separate U.S. sectoral tariffs and are still to be worked out.
Lai told a press briefing:
“The 20% tariff rate was never Taiwan’s target to begin with. We will continue negotiations and strive for a rate that’s more favourable for Taiwan.”
French wine exporters see €1bn losses from Trump tariff
France’s wine and spirits industry expects to lose €1bn should the US go ahead with imposing a 15% import tariff on their products next week, as the European Union makes a last-ditch effort to obtain an exemption, Bloomberg reports.
The levy, due to come into force on 7 August, will likely cut a quarter of France’s annual exports from the sector, the country’s federation of wine and spirit exporters FEVS said in a statement on Friday.
It will also jeopardize the jobs of the 600,000 people directly employed by the industry, they fear.
FEVS President Gabriel Picard said:
“We welcome the efforts already made to try to obtain the exclusion of wines and spirits from this 15% duty.
“The situation cannot remain as it is. It is vital that France and the European Union actively engage with us to very concretely support our sector.”
Trump’s tariffs are a huge blow to global commerce, warns Atakan Bakiskan, US economist at Berenberg bank.
Bakiskan’s verdict is that that the situation is bad, but could have been even worse, explaining:
The tariffs distort competition between companies that produce in the US to serve the US market relative to those that produce abroad. But many European, Japanese and South Korean-based producers compete more against each other than against US-based producers in the US market.
As they all face a 15% levy, the competition between them is distorted by less than would have been the case if Trump had imposed widely different country-specific US tariffs against these key advanced economies.
