imports

A draft regulation approved by European Union energy ministers would phase out Russian import contracts by January 2028.

European Union states have agreed to halt Russian oil and gas imports by 2028, severing an energy link they fear helps fuel Moscow’s war in Ukraine.

Almost all EU energy ministers voted in favour of the draft regulation, which applies to both pipeline oil and liquefied natural gas (LNG), during a meeting in Luxembourg on Monday.

It would require EU members to phase out new Russian gas import contracts from January 2026, existing short-term contracts from June 2026 and long-term contracts in January 2028.

The proposal must now be approved by the European Parliament, where it is expected to pass.

The plan is part of a broader EU strategy to curb Russian energy dependence amid the war in Ukraine – and follows persistent calls by United States President Donald Trump for European states to stop “funding the war against themselves”.

‘Not there yet’

Lars Aagaard, Denmark’s energy minister, called the proposal a “crucial” step to make Europe energy independent.

“Although we have worked hard and pushed to get Russian gas and oil out of Europe in recent years, we are not there yet,” Aagaard said. His country currently holds the EU’s rotating presidency.

The EU has already brought down Russian oil imports to just 3 percent of its overall share, but Russian gas still makes up 13 percent of gas imports, accounting for more than 15 billion euros ($17.5bn) annually, according to the European Council.

Nevertheless, these purchases make up a relatively small portion of Russia’s overall fossil fuel exports, which mostly go to China, India and Turkiye, according to the Centre for Research on Energy and Clean Air.

The EU countries importing the most Russian energy are Hungary and Slovakia, followed by France, the Netherlands and Belgium.

Hungary and Slovakia – which are diplomatically closer to Moscow – both opposed the latest EU initiative, but it only needed a weighted majority of 15 states to pass, meaning they could not block it.

“The real impact of this regulation is that our safe supply of energy in Hungary is going to be killed,” Budapest’s top diplomat, Peter Szijjarto, was quoted as saying by the AFP news agency.

The text approved on Monday allowed specific flexibilities for landlocked member states, which include Hungary and Slovakia.

In addition to the trade restrictions, the EU is negotiating a new package of sanctions against Russia that would ban LNG imports one year earlier, from January 2027.

The EU’s high representative for foreign affairs, Kaja Kallas, said earlier on Monday the new sanctions package could be approved as early as this week.

WASHINGTON — Sen. Jim Sasser (D-Tenn.), saying “the United States and this Administration have no trade policy,” Saturday called on the White House to impose restraints on shoe imports to help the suffering domestic footwear industry.

“It is time we got beyond simplistic catchwords that have immobilized us for so long,” he said in the Democratic response to President Reagan’s weekly radio address. “Free trade does not really exist in the modern market.”

“The U.S. shoe industry is literally withering on the vine due to a surge in footwear imports that reached 75% of the U.S. market in 1985,” Sasser said. In the senator’s home state, Tennessee, once the fifth-largest shoe-producing state in the country, 12 shoe factories have closed in the last 18 months.

Disarming in Trade War

“Far more is at stake here than the fate of a single industry. Frankly, we’re dealing with the credibility of our entire system of trade law,” Sasser said. “If the President fails to act here, where the evidence of import damage is truly extraordinary, we will be declaring unilateral disarmament in the intensifying battle for world trade.”

The President is required under law to act by next Sunday on a recommendation made by the International Trade Commission in June that he impose a novel shoe import quota system, in which the government would auction the right to import certain amounts of shoes.

“The International Trade Commission found that the shoe industry deserves and needs temporary relief, but the continued vacillation of the White House . . . only affirms what some of us have suspected for some time: that the United States and this Administration have no trade policy,” Sasser said.

“The belief that there is no middle ground between absolute free trade and absolute protectionism is largely responsible for the trade crisis we face today,” he added.

Trade Deficit Zooms

He said that the scope of that crisis is indicated by the growth of the nation’s trade deficit from $28 billion in 1981 to “the very real prospect of trade deficits that will have increased fivefold, to $150 billion” in 1985.

“For the first time in this century, the United States is now a debtor nation and our main export right now is American jobs,” Sasser said.

The problem, he said, is not with Japan or Canada or any other foreign nation. “The problem is ours and it’s a matter of gross inaction,” he said.

“The protectionist label is a red herring when virtually every government in the world seeks to assist its domestic industries with subsidies, with currency manipulation or with quotas,” he said.

WASHINGTON — President Trump said Friday that he’s placing an additional 100% tax on Chinese imports starting on Nov. 1 or sooner, potentially escalating tariff rates close to levels that in April fanned fears of a steep recession and financial market chaos.

The president said on his social media site that he is imposing these new tariffs because of export controls placed on rare earth elements by China. The new tariffs built on an earlier post Friday on Truth Social in which Trump said that “there seems to be no reason” to meet with Chinese leader Xi Jinping as part of an upcoming trip to South Korea.

Trump said that “starting November 1st, 2025 (or sooner, depending on any further actions or changes taken by China), the United States of America will impose a Tariff of 100% on China, over and above any Tariff that they are currently paying.”

The announcement after financial markets closed on Friday risked throwing the global economy into turmoil. Not only would the global trade war instigated by Trump be rekindled at dangerous levels, but import taxes being heaped on top of the 30% already being levied on Chinese goods could, by the administration’s past statements, cause trade to break down between the U.S. and China.

While Trump’s wording was definitive, he is also famously known for backing down from threats, such that some investors began engaging in what The Financial Times called the “TACO” trade, which stands for “Trump Always Chickens Out.” The prospect of tariffs this large could compound the president’s own political worries inside the U.S., potentially pushing up inflation at a moment when the job market appears fragile and the drags from a government shutdown are starting to compound into layoffs of federal workers.

The president also said that the U.S. government would respond to China by putting its own export controls “on any and all critical software” from American firms.

It’s possible that this could amount to either posturing by the United States for eventual negotiations or a retaliatory step that could foster new fears about the stability of the global economy.

The United States and China have been jostling for advantage in trade talks, after the import taxes announced earlier this year triggered a trade war between the world’s two largest economies. Both nations agreed to ratchet down tariffs after negotiations in Switzerland and the United Kingdom, yet tensions remain as China has continued to restrict America’s access to the difficult-to-mine rare earths needed for a wide array of U.S. technologies.

Trump did not formally cancel the meeting with Xi, so much as indicating that it might not happen as part of a trip at the end of the month in Asia. The trip was scheduled to include a stop in Malaysia, which is hosting the Association of Southeast Asian Nations summit; a stop in Japan; and a visit to South Korea, where he was slated to meet with Xi ahead of the Asia-Pacific Economic Cooperation summit.

“I was to meet President Xi in two weeks, at APEC, in South Korea, but now there seems to be no reason to do so,” Trump posted.

Trump’s threat shattered a monthslong calm on Wall Street, and the S&P 500 tumbled 2.7% on worries about the rising tensions between the world’s largest economies. It was the market’s worst day since April when the president last bandied about import taxes this high. Still, the stock market closed before the president spelled out the terms of his threat.

China’s new restrictions

On Thursday, the Chinese government restricted access to the rare earths ahead of the scheduled Trump-Xi meeting. Beijing would require foreign companies to get special approval for shipping the metallic elements abroad. It also announced permitting requirements on exports of technologies used in the mining, smelting and recycling of rare earths, adding that any export requests for products used in military goods would be rejected.

Trump said that China is “becoming very hostile” and that it’s holding the world “captive” by restricting access to the metals and magnets used in electronics, computer chips, lasers, jet engines and other technologies.

The Chinese Embassy in Washington did not immediately respond to an Associated Press request for comment.

Sun Yun, director of the China program at the Stimson Center, said Beijing reacted to U.S. sanctions of Chinese companies this week and the upcoming port fees targeting China-related vessels but said there’s room for deescalation to keep the leaders’ meeting alive. “It is a disproportional reaction,” Sun said. “Beijing feels that deescalation will have to be mutual as well. There is room for maneuver, especially on the implementation.”

The U.S. president said the move on rare earths was “especially inappropriate” given the announcement of a ceasefire between Israel and Hamas in Gaza so that the remaining hostages from Hamas’ Oct. 7, 2023, attack can be released. He raised the possibility without evidence that China was trying to steal the moment from him for his role in the ceasefire, saying on social media, “I wonder if that timing was coincidental?”

There is already a backlog of export license applications from Beijing’s previous round of export controls on rare earth elements, and the latest announcements “add further complexity to the global supply chain of rare earth elements,” the European Union Chamber of Commerce in China said in a statement.

Gracelin Baskaran, director of the Critical Minerals Security Program at the Center for Strategic and International Studies in Washington, D.C., said China signaled it is open to negotiations, but it also holds leverage because to dominates the market for rare earths with 70% of the mining and 93% of the production of permanent magnets made from them that are crucial to high-tech products and the military.

“These restrictions undermine our ability to develop our industrial base at a time when we need to. And then second, it’s a powerful negotiating tool,” she said. And these restrictions can hurt efforts to strengthen the U.S. military in the midst of global tensions because rare earths are needed.

Trump’s trade war

The outbreak of a tariff-fueled trade war between the U.S. and China initially caused the world economy to shudder over the possibility of global commerce collapsing. Trump imposed tariffs totaling 145% on Chinese goods, with China responding with import taxes of 125% on American products.

The taxes were so high as to effectively be a blockade on trade between the countries. That led to negotiations that reduced the tariff charged by the U.S. government to 30% and the rate imposed by China to 10% so that further talks could take place. The relief those lower rates provided could now disappear with the new import taxes Trump threatened, likely raising the stakes not only of whether Trump and Xi meet but how any disputes are resolved.

Differences continue over America’s access to rare earths from China, U.S. restrictions on China’s ability to import advanced computer chips, sales of American-grown soybeans and a series of tit-for-tat port fees being levied by both countries starting on Tuesday.

Nebraska Republican Rep. Don Bacon said “China has not been a fair-trade partner for years,” but the Trump administration should have anticipated China’s restrictions on rare earths and refusal to buy American soybeans in response to the tariffs.

How analysts see moves by U.S. and China

Wendy Cutler, senior vice president of the Asia Society Policy Institute, said Trump’s post shows the fragility of the détente between the two countries and it’s unclear whether the two sides are willing to de-escalate to save the bilateral meeting.

Cole McFaul, a research fellow at Georgetown University’s Center for Security and Emerging Technology, said that Trump appeared in his post to be readying for talks on the possibility that China had overplayed its hand. By contrast, China sees itself as having come out ahead when the two countries have engaged in talks.

“From Beijing’s point of view, they’re in a moment where they’re feeling a lot of confidence about their ability to handle the Trump administration,” McFaul said. “Their impression is they’ve come to the negotiating table and extracted key concessions.”

Craig Singleton, senior director of the China program at the Foundation for Defense of Democracies, a think tank, said Trump’s post could “mark the beginning of the end of the tariff truce” that had lowered the tax rates charged by both countries.

It’s still unclear how Trump intends to follow through on his threats and how China plans to respond.

“But the risk is clear: Mutually assured disruption between the two sides is no longer a metaphor,” Singleton said. “Both sides are reaching for their economic weapons at the same time, and neither seems willing to back down.”

Boak and Tang write for the Associated Press. AP writers Stan Choe in New York and Josh Funk in Omaha, Neb., contributed to the report.

SEIZURES of beer smuggled  to   Britain   have   nearly quadrupled in five years.

Some 5.6million pints were confiscated at ports compared to 1.5million in 2019, according to ­government figures.

Many cans and bottles from mainland Europe are hidden in trucks and routed through Ireland.

Customs bosses said checks had been increased at ports such as Heysham and Birkenhead, in the North West, and Cairnryan in Scotland.

Illegal booze is now estimated to cost the UK around £1billion a year in lost duty payments.

The British Beer and Pub Association said: “A third of the price of an average UK pint goes to the taxman.

“No wonder illicit trade is booming.”

1

Tougher United States trade penalties on goods originating in one country being re-shipped from another are not expected to immediately follow new US tariffs, three people in Southeast Asia with knowledge of the matter said, easing a major cause of concern.

Southeast Asian countries, including Vietnam and Thailand, have been explicitly targeted by White House officials for their alleged role in facilitating the so-called transshipment to the US of Chinese goods, which would face higher tariffs if shipped directly from China.

The administration of US President Donald Trump imposed tariffs on goods from dozens of countries from Thursday, and in an executive order, said products determined to have been illegally rerouted to conceal their country of origin would face additional duties of 40 percent. But it did not clarify what constitutes transshipment.

US imports from Southeast Asia’s biggest economies, which rely heavily on exports, are now subject to tariff rates of about 19 percent, many of which have been significantly reduced from previously threatened rates.

Existing US customs guidance states that goods from countries with no free trade agreements with Washington, such as Southeast Asian nations, can be labelled as made in the country where they undergo a “substantial transformation” of components, even if those parts entirely come from another country, such as China.

And with no new US guidance on rules of origin or specification of what transshipment means, some officials in Southeast Asia have told exporters that existing rules apply.

That effectively limits cases of transshipment to illegal activities, like the use of forged export certificates or documents obtained illicitly.

“Currently, all exported goods [from Thailand] are subject to a 19 percent rate because there are no rules on transshipment yet,” Arada Fuangtong, head of the Thai Ministry of Commerce’s Department of Foreign Trade, told Reuters on Thursday.

Her message was echoed by US officials in Vietnam, who told businessmen the tariff of 20 percent would apply to Vietnamese goods, even if they are entirely made with Chinese components and only assembled in Vietnam, according to one person familiar with those talks.

Trade consultants have said rules are vague, and they have advised clients, even before the new wave of US tariffs, to have at least 40 percent of local content for their exports to the US. That is “to be on the safe side”, one of them said.

The US embassy in Vietnam did not immediately reply to a request for comment. The Office of the US Trade Representative did not immediately respond to a request for comment outside US working hours.

“Goods defined by US customs as transshipped are subject to 40 percent duties, but pending any new definition, that’s limited to old definitions,” said a Vietnam-based consultant.

Both people declined to be named in order to speak more freely.

China dependence

According to the US customs guidance, repackaging does not usually cause a “substantial transformation”, but assembly may, depending on the complexity of the operations.

It is unclear if this narrow interpretation of transshipment could be enforced for other countries.

Economic ministries in Indonesia, Malaysia, the Philippines, Vietnam and Singapore did not immediately respond to requests for comment on the issue.

Manufacturers in Southeast Asia, which rely heavily on Chinese components, have been in the dark for months about what Washington would consider transshipment.

Questions remain about whether that would include goods with a large, but yet undefined, share of components or raw materials from China, even when they are legitimately transformed in Southeast Asian nations.

A strict definition of transshipment may come later, multiple investment consultants warned.

An executive order signed by Trump last week said the US will “publish every six months a list of countries and specific facilities used in circumvention schemes”.

That will “inform public procurement, national security reviews, and commercial due diligence”, it said.

“The message from Washington is deterrence,” said Marco Forster, director for Southeast Asia at investment consultancy Dezan Shira and Associates.

“If your supply chain cuts corners, it won’t be treated as a technical error. It’ll be treated as fraud.”

Trump’s order is seeking to address trade practices Washington deems unfair, but small businesses may be harmed, and economists caution it could fuel inflation.

United States President Donald Trump’s sweeping higher tariffs on more than 60 countries have taken effect.

The higher so-called “reciprocal” tariffs, announced last week in an executive order, were being collected by the US Customs and Border Protection (CBP) agency from 00:01 EDT (04:01 GMT) on Thursday, following months of negotiations with major trading partners.

The US duties range from 50 percent on goods from Brazil to 10 percent on imports from the United Kingdom.

Ahead of the deadline, Trump lauded the “billions of dollars” that will flow into the US as a result of the increased duties. Secretary of the Treasury Scott Bessent has said that tariff revenues could top $300bn a year.

“THE ONLY THING THAT CAN STOP AMERICA’S GREATNESS WOULD BE A RADICAL LEFT COURT THAT WANTS TO SEE OUR COUNTRY FAIL!” Trump wrote on his Truth Social platform.

Imports from many countries had previously been subject to a baseline 10 percent import duty after Trump paused higher rates announced in early April.

But since then, Trump has frequently modified his tariff plan, slapping some countries with much higher rates, including 50 percent on goods from Brazil, 39 percent on Switzerland, 35 percent on Canada and 25 percent on India.

Trump announced on Wednesday that he would increase tariffs on India to 50 percent later this month unless it stops buying Russian oil.

The US president says the tariffs are a response to trade practices Washington deems unfair. However, some companies and industry groups have warned that the new levies will hurt smaller US businesses, while some economists have cautioned that they could fuel inflation and affect long-term growth.

Reporting from Washington, DC, Al Jazeera’s Alan Fisher said the hike in tariffs on Brazil will likely affect the US coffee industry, which was already grappling with rising prices due to weather-related shortages.

“Many [US] companies source their coffee in Brazil, not just the big chains, but smaller places [too],” said Fisher.

The US has a trade surplus with Brazil, leading many to believe that the tariffs are Trump’s attempt to punish Brazil for prosecuting his ally, former President Jair Bolsonaro, who is accused of trying to stage a coup, said Fisher.

‘Winners and losers’

Eight major trading partners accounting for about 40 percent of US trade flows have reached deals with Trump, including the European Union, Japan and South Korea, setting their base tariff rates at 15 percent.

The UK agreed to a 10 percent rate, while Vietnam, Indonesia, Pakistan and the Philippines secured rates of 19 or 20 percent.

Trump’s order has specified that any goods determined to have been transshipped from a third country to evade higher US tariffs will be subject to an additional 40 percent import duty, but details on enforcement are unclear.

According to John Diamond, an analyst at the Center for Tax and Budget Policy at the Baker Institute, the tariffs will likely leave US consumers with fewer choices in the number of goods, as well as higher prices for those goods.

“I think you’re going to see that there’s winners and losers, and you’re going to see that there’s a lot of inefficiency with political kickbacks and political punishments for adversaries,” Diamond told Al Jazeera.

The US president also announced late on Wednesday that he will impose a 100 percent tariff on foreign-made semiconductors, although exemptions will be made for companies that have invested in the US.

US President Donald Trump said the tariff will not impact companies if they have already invested in US facilities.

United States President Donald Trump says he will impose a 100 percent tariff on foreign-made semiconductors, although exemptions will be made for companies that have invested in the US.

“We’ll be putting a tariff on of approximately 100 percent on chips and semiconductors, but if you’re building in the United States of America, there’s no charge, even though you’re building and you’re not producing yet,” Trump told reporters at the Oval Office on Wednesday evening.

The news came after a separate announcement that Apple would invest $600bn in the US, but it was not unexpected by US observers.

Trump told CNBC on Tuesday that he planned to unveil a new tariff on semiconductors “within the next week or so” without offering further details.

Details were also scant at the Oval Office about how and when the tariffs will go into effect, but Asia’s semiconductor powerhouses were quick to respond about the potential impact.

Taiwan, home of the world’s largest chipmaker TSMC, said that the company would be exempt from the tariff due to its existing investments in the US.

“Because Taiwan’s main exporter is TSMC, which has factories in the United States, TSMC is exempt,” National Development Council chief Liu Chin-ching told the Taiwanese legislature.

In March, TSMC – which counts Apple and Nvidia as clients – said it would increase its US investment to $165bn to expand chip making and research centres in Arizona.

South Korea was also quick to extinguish any concerns about its top chipmakers, Samsung and SK Hynix, which have also invested in facilities in Texas and Indiana.

Trade envoy Yeo Han-koo said South Korean companies would be exempt from the tariff and that Seoul already faced “favourable” tariffs after signing a trade deal with Washington earlier this year.

TSMC, Samsung and SK Hynix are just some of the foreign tech companies that have invested in the US since 2022, when then-President Joe Biden signed the bipartisan CHIPS Act offering billions of dollars in subsidies and tax credits to re-shore investment and manufacturing.

Less lucky is the Philippines, said Dan Lachica, president of Semiconductor and Electronics Industries in the Philippines Foundation.

He said the tariffs will be “devastating” because semiconductors make up 70 percent of the Philippines’ exports.

Trump’s latest round of blanket tariffs on US trade partners is due to go into effect on Thursday, but the White House has also targeted specific industries like steel, aluminium, automobiles and pharmaceuticals with separate tariffs.

Aug. 6 (UPI) — President Donald Trump on Wednesday raised tariffs on goods imported from India to 50% in response to the country’s continued purchase of Russian oil.

“I find that the Government of India is currently directly or indirectly importing Russian Federation oil,” President Donald Trump said in an executive order.

“Accordingly, and as consistent with applicable law, articles of India imported into the customs territory of the United States shall be subject to an additional ad valorem rate of duty of 25%,” the executive order said.

This adds to the previous 25% tariffs set to take effect Thursday. The new tax will begin in 21 days.

The India tariff is now one of the highest on all of the United States’ trading partners, and it’s the latest sign that Trump is honoring his threat on countries that buy oil from Russia. The tariff is meant to put pressure on Russian President Vladimir Putin to encourage him to work toward a peace agreement with Ukraine.

On Tuesday, Trump said he would raise the tariff on India “very substantially over the next 24 hours, because they’re buying Russian oil, they’re fueling the war machine.”

“And if they’re going to do that, then I’m not going to be happy,” Trump said on CNBC’s Squawk Box.

In response to Trump’s Monday threat, India accused the United States, and the European Union, of hypocrisy, saying they began importing from Russia “because traditional supplies were diverted to Europe after the outbreak of the conflict.”

“India’s imports are meant to ensure predictable and affordable energy costs to the Indian consumer. They are a necessity compelled by global market situation,” India’s foreign ministry said in a statement. “However, it is revealing that the very nations criticizing India are themselves indulging in trade with Russia. Unlike our case, such trade is not even a vital national compulsion.”

It said the targeting of India was “unjustified and unreasonable.”

“Like any major economy, India will take all necessary measures to safeguard its national interests and economic security.”

Trump has long seen tariffs as a tool to right trade deficits and as a bargaining tool. He has also started to use it as a punitive measure to retaliate against countries for taking actions he disagrees with.

July 9 (UPI) — President Donald Trump on Wednesday informed seven more nations about new tariffs, singling out Brazil with a 50% duty because of what he called the “disgrace” of how former President Jair Bolsonaro has been treated and an “unfair trade relationship.”

Other nations told about rates effective Aug. 1 were the Philippines 20%, Moldova 25% and Brunei 25%, and Algeria, Libya and Iraq at 30% on goods they ship to the United States.

Trump so far has sent letters to 21 nations with seven on Monday. They all had standard language in the two-page letters, except for the one to Brazil.

Trump told current President Luiz Inacio Lula da Silva in a letter posted on Truth Social that “the way Brazil has treated former President Bolsonaro, a Highly Respected Leader throughout the World during his term, including by the United States, is an international disgrace. The trial should not be taking place. It is a Witch Hunt that should end IMMEDIATELY.”

Bolsonaro, who faces charges that he plotted to overturn his 2022 election loss against Lula, has been referred to as the “Trump of the tropics.”

Trump also noted “Brazil’s insidious attacks on Free Elections, and the Fundamental Free Speech Rights of Americans.”

And he said the United States also is launching an investigation into potential unfair trade practices by Brazil, Trump wrote in the letter.

He said the South American nation’s trade policies have caused “unsustainable Trade Deficits against the United States,” which threaten the U.S. economy and national security.

On April 2 on “Liberation Day,” Brazil was among most U.S. trading partners imposed a 10% baseline tariff. Brazil was not among the nations threatened with harsher reciprocal tariffs but on Monday, Trump threatened an additional 10% tariffs on BRICS nations, including Brazil, Russia, India, China, South Africa. The other BRICS nations are Egypt, Ethiopia, Indonesia, Iran, Saudi Arabia and United Arab Emirates

Tariffs has not sent letters to the BRICS nations except a 30% one for South Africa and 32% for Indonesia.

The U.S. has a goods trade surplus with Brazil of $7.4 billion in 2024, according to the Office of the U.S. Trade Representative.

The United States’ big imports from Brazil include crude petroleum and refined petroleum products, iron and steel, machinery and agricultural products, including fruit and vegetable juices, and meats.

“Please note that the 50% number is far less than what is needed to have the Level Playing Field we must have with your country,” Trump wrote. “And it is necessary to rectify the grave injustices of the current regime. As you are aware, there will be no Tariff if Brazil, or companies within your country, decide to build of manufacture within the United States, and we will do everything possible to get approvals quickly, professionally, and routinely, in other words, in a matter of weeks.”

On Tuesday, he signed an executive order that officially pushed back the implementation date from July 9 to Aug. 1. He said there will be no more extensions. Trump originally intended the harder penalties to take effect earlier but on April 9 he paused it 90 days.

The new tarriffs, except for Brazil, range from 20% to 40% with the latter imposed on Laos and Myanmar.

Among major trading partners, Japan and Korea were slapped with 25% duties.

The letters state that the 25% tariffs are separate from sector-specific duties on key product categories.

On Tuesday, Trump announced a 50% tariff on imported copper after 50% imposed in June on steel and aluminum.

“These Tariffs may be modified, upward or downward, depending on our relationship with your Country,” Trump wrote in the letters. “You will never be disappointed with the United States of America.”

Trump has yet to impose new tariffs on the 27-member European Union, but has said negotiations were not going well.

Trump also warned that the rates could be higher if they impose retaliatory duties.

In the latters Trump said there will be no tariff in the nation or the company “decide to build or manufacture product within the United States and, in fact, we will do everything possible to get approvals quickly, professionally, and routinely.”

U.S. stock indexes rose Wednesday, with the Dow Jones Industrial Average going up 0.49%, Standard and Poor’s 500 rising 0.61% and tech-heavy Nasdaq Composite increasing 0.95%.

Two index are just off record highs Thursday — S&P 16 points and Nasdaq 13 points. DJIA is several hundred points off a record on Dec. 4.

Stock indices in the U.S on Monday each dropped less than 1% after the letters were made public.

Published on
09/07/2025 – 10:23 GMT+2

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US copper prices spiked after US President Donald Trump said he planned to place a 50% tariff on imports of the metal on Tuesday.

Copper futures traded in New York jumped around 13% to $5.69 a pound, a record closing-price, dramatically outpacing gains on copper futures traded in London.

As of around 3.30am EDT on Wednesday, the New York price had dropped to around $5.59, although it remained at a much higher level than before Trump’s announcement.

The president commented on the tariff during a televised cabinet meeting, without giving great detail, and Commerce Secretary Howard Lutnick said the administration would formalise the decision in the coming days. Lutnick suggested that the duty would come into effect around the end of this month, or in early August.

The development also comes as Trump is nearing his 1 August deadline, before which he has vowed to slap “so-called” reciprocal duties on countries running a trade surplus with the US.

The president has been sending out letters to trading partners, notifying them of tariff rates, and he said that seven more country-specific rates would be announced on Wednesday. So far, the US has reached trade agreements with the UK, China, and Vietnam.

Copper is used in a wide variety of products, meaning the tariff will affect electronics, construction, and industrial machinery, likely to push up inflation across the board.

This comes as Trump is putting pressure on Federal Reserve Chair Jerome Powell to cut interest rates. Powell said last week that the Fed would have eased monetary policy by now if not for the new US tariffs, which are sowing uncertainty and risking economic stability.

According to the US Geological Survey, the US imported about 810,000 metric tons of refined copper last year, about half of what it consumed. Chile is the most significant exporter to the US, followed by Canada.

A 50% tariff on the metal would bring the rate in line with the duties already placed on aluminium and steel, which became effective in June.

Although the exact rate was undisclosed, the copper duty itself was not unexpected, as Trump in February ordered a Section 232 investigation into imports of the metal. The probe intends to determine whether Trump has the right to impose the tariffs on national-security grounds.

Trump also said on Tuesday that a 200% tariff on pharmaceuticals was coming “very soon”, but he added that he would give the industry at least a year to adjust.

July 7 (UPI) — President Donald Trump on Monday informed 13 nations, including Japan and South Korea, that new tariffs of at least 25% will be imposed starting Aug. 1 on most goods sent to the United States.

Trump sent letters to Japanese Prime Minister Ishiba Shigeru and South Korean President Lee Jae-myung informing them of a 25% duty. He shared the letters on Truth Social on Monday afternoon.

He then sent letters to five other nations’ leaders, raising tariffs 25% for Malaysia and Kazakhstan, 30% for South Africa, and 40% for Myanmar and Laos.

In another batch, he imposed 36% on Cambodia and Thailand, 35% on Serbia, 32% on Indonesia, 30% on Bosnia and 25% on Tunisia. Meanwhile, White House press secretary Karoline Leavitt said more letters will be sent.

After the announcement, American stocks tumbled and stayed in the red. The Dow Jones Industrial Average declined 422.17 points, or 0.94%, to 44,406.36, the S&P 500 slumped 49.37 points, or 0.79%, to 6,229.98, and the tech-dominant Nasdaq Composite was down 188.59 points, or 0.9%, to 20,412.52. Setting record highs Thursday were the S&P at 6,279,35 and Nasdaq at 20,624.51. DJIA that day reached 44,828.53, below the record 45,014.04 on Dec. 4.

U.S.-listed Japanese automakers dropped significantly: Toyota 4.02%, Nissan 7.16% and Honda 3.86%. Korea’s Kia was half a percent down and Hyundai was up about 2.82% with their cars mostly made in the United States. American companies also produce cars from other countries and import parts, so tariffs will be tacked onto them.

“Markets are tilting to a risk-off posture as participants brace for the chance of Trump tariff-sparked turbulence in the coming hours and days,” Jose Torres, a senior economist at Interactive Brokers, wrote in a note obtained by Business Insider.

“At 25%, it is possible, but challenging, to trade with Japan and Korea,” Barry Appleton, co-director of the Center for International Law at New York Law School, told CBS MoneyWatch. “This rate was carefully set at the higher side of the spectrum. In essence, trade with the U.S. now is a pay-to-play proposition for Japan, Korea and likely others to come.”

Besides Japan and South Korea, other nations are bracing for higher tariffs, including the 27 countries in the European Union. USA Today reported as many as 100 letters could go out to nations.

The U.S. president had imposed a Wednesday deadline for nations to negotiate better trade deals. On April 2 on “Liberation Day,” he announced 10% across-the-board baseline tariffs on 90 trading partners and harsher ones for the worst offenders. Stocks and bond prices slumped.

One week later, he pushed the deadline back until July 9 for the reciprocal duties.

Leavitt said Trump will sign an executive order to delay the deadline to Aug. 1, when the new ones will be implemented. Also, new trade deals with some nations will be signed by the deadline, she said.

The original reciprocal tariffs were 24% for Japan; 25% for South Korea and Malaysia; 48% for Laos; 45% for Mayanmar; 27% for Kazakhstan; and 31% for South Africa.

The letters state that the 25% tariffs are separate from sector-specific duties on key product categories.

“Goods transshipped to evade a higher Tariff will be subject to that higher Tariff,” Trump said. That refers to moving goods to an interim country before their final shipment to the United States.

The letters say that the higher tariffs are necessary because the other nations are taking advantage of the United States.

“Please understand this 25% number is far less than what is needed to eliminate the Trade Deficit disparity we have with your Country,” Trump wrote to countries.

“These Tariffs may be modified, upward or downward, depending on our relationship with your Country. You will never be disappointed with the United States of America.”

In 2024, the U.S. had a $68.5 billion goods deficit with Japan and a $66 billion with South Korea, according to the Office of the United States Trade Representative.

Trump also warned that the rates could be higher if they impose retaliatory duties.

“As you aware, there will be no Tariff if Korea, or companies within your Country, decide to build or manufacture product within the United States and, in fact, we will do everything possible to get approvals quickly, professionally, and routinely — in other words, in a matter of weeks,” Trump wrote to South Korea’s president.

Trump on Monday threatened nations that support BRICS nations — Brazil, Russia, India and China — would be slapped with an additional 10% tariff. India is facing a 26% reciprocal tariff with Brazil at 10%. No new tariffs have been imposed on Russia though they already are high.

Deals have been announced with Great Britain, China and Vietnam.

For Britain, there is a 10% baseline tariff on most goods but an exemption for 50% tariffs on steel and aluminum on most other countries. Instead, it is 25%. Britain was originally to be imposed only the 10% rate. U.S. tariffs on British car imports and auto parts will be reduced to 10% for 100,000 cars.

In China, there is a 30% tariff on most Chinese imports, with exceptions on smartphones and computers. Originally the tariff on most goods was to be 134%.

In Vietnam, imports are subject to a 10% tariff with products originating from third countries shipped to the United States in Vietnamese ports increased to 40%. The original reciprocal was 46%.

Trump has wanted to boost the American manufacturing sector, but economists fear this strategy will lead to product shortages and inflation.

June 30 (UPI) — Imports of livestock from Mexico will resume in phases starting next week after a ban in May at ports of entry because of fear of the spread of New World screwworm, the U.S. Department of Agriculture announced Monday.

Ports of entry will allow certain cattle, horses and bison to go into Arizona, New Mexico and Texas after they were banned on May 11, the agency said in a news release.

The screwworm has been eradicated from the United States for decades. But it has been detected in Mexico as far north as Oaxaca and Veracruz, about 700 miles away from the U.S. border.

When NWS maggots burrow into the flesh of a living animal, they cause serious and often deadly damage to the animal, USDA said. Mature screwworm larvae can grow up to two-thirds of an inch.

The USDA Animal and Plant Health Inspection Service experts and their counterparts in Mexico worked to increase New World Screwworm surveillance, detection and eradication.

A phased reopening of the southern ports will start Monday in Douglas, Ariz., based on the lowest risk because of the geography of Sonora and an effective collaboration between APHIS and Sonora.

The other openings are set for July 14 in Columbus, N.M.; July 21 in Santa Teresa, N.M.; Aug. 18 in Del Rio, Texas; and Sept. 15 in Laredo, Texas.

In the past eight weeks, there hasn’t been a notable increase in reported NWS cases in Mexico or any northward movement, the agency said.

USDA has been conducting sterile NWS fly dispersal seven days each week, including the dispersal of more than 100 million flies each week.

Five teams of APHIS staff were sent to observe and gain a deeper understanding of Mexico’s NWS response.

“At USDA we are focused on fighting the New World Screwworm’s advancement in Mexico,” USDA Secretary Brooke L. Rollins said. “We have made good progress with our counterparts in Mexico to increase vital pest surveillance efforts and have boosted sterile fly dispersal efforts. These quick actions by the Trump Administration have improved the conditions to allow the phased reopening of select ports on the Southern Border to livestock trade.

“We are continuing our posture of increased vigilance and will not rest until we are sure this devastating pest will not harm American ranchers.”

On June 18, she met with cattle fever tick riders along the Rio Grande River. If the NWS advances northward into the United States, these tick riders “will play a crucial role in spotting and combating this pest,” an agency news release said.

USDSA is building a fly-production center at Moore Air Base in Edinburg, Texas, that could boost domestic sterile fly production by up to 300 million flies per week. Another one is planned at Moore Air Base, which alo could boost domestic sterile fly production by up to 300 million flies per week.

This week, Mexico will begin renovation of its sterile fruit fly facility in Metapa with completion by July 2026. The changes will allow for production of between 60 and 100 million sterile NWS flies each week.

The goal is produce an estimated 400 to 500 million flies each week to re-establish the NWS barrier at the Darien Gap, which is the border between Panama and Colombia.

Only cattle and bison, born and raised in Sonora or Chihuahua, in Mexico, or are treated according to cattle and bison NWS protocol when entering the U.S. will be eligible for import.

Equines may import from anywhere in Mexico though there is a seven-day quarantine at the port of entry.

USDA plans to remove any federal regulatory hurdles for sufficient treatments and work with state officials on emergency management plans in states.

The Texas and Southwestern Cattle Raisers Association and the National Cattlemen’s Beef Association back the agency’s efforts.

Cambodia’s PM Hun Manet announced that the decision would take effect from midnight on Sunday.

Cambodia has announced it will stop all fuel imports from its neighbour Thailand as relations have plunged to their lowest ebb in more than a decade after a Cambodian soldier was killed last month in a disputed area of the border.

Prime Minister Hun Manet announced the decision on Sunday, posting on social media that it would take effect from midnight.

Manet said energy companies would be able to “import sufficiently from other sources to meet domestic fuel and gas demands” in the country.

Separately, on Sunday, Cambodia’s Foreign Ministry urged its citizens not to travel to Thailand unnecessarily. Concurrently, Thailand’s consular affairs department warned Thais in Cambodia to avoid “protest areas”.

The ongoing escalation between the two countries began last month after a brief exchange of gunfire in the disputed border area killed a Cambodian soldier.

For more than a century, Cambodia and Thailand have contested sovereignty at various un-demarcated points along their 817km (508-mile) land border, which was first mapped by France when it colonised Cambodia in 1907.

But following the soldier’s death, the two countries have taken several measures to secure their borders, with both announcing closures of border checkpoints and crossings.

Leaked phone call

The border dispute created wider political turmoil after a leaked phone call on Wednesday between Thailand’s Prime Minister Paetongtarn Shinawatra and the former Cambodian leader, Hun Sen, who remains a powerful influence in his nation.

During the call, the Thai premier told Hun Sen that she was under domestic pressure and urged him not to listen to “the opposite side”, including a prominent Thai military commander at the border.

Soon after the leak, a major coalition partner, the Bhumjaithai Party, quit the ruling alliance, overshadowing Paetongtarn’s premiership.

But on Sunday, the Thai leader said all coalition partners have pledged support for her government, which she said would seek to maintain political stability to address threats to national security.

Following a meeting with her coalition partners, she said, “The country must move forward. Thailand must unite and push policies to solve problems for the people.”

A rally has, nevertheless, been called for June 28 to demand that Paetongtarn, the daughter of influential former Prime Minister Thaksin Shinawatra, resign.

European Parliament backs bill that will enact duties in July and gradually increase them over three years.

The European Parliament has voted to impose tariffs on fertiliser and certain farm produce imports from Russia and its ally Belarus, despite European farmers’ fears that the move could lead to higher prices.

The European Parliament on Thursday voted 411 to 100 in support of the bill that will enact duties in July and gradually increase them to a point where they would make imports unviable in 2028.

In 2023, more than 70 percent of EU fertiliser consumption was of nitrogen-based fertiliser, of which Russia accounted for 25 percent of EU imports worth about 1.3bn euros ($1.5bn).

According to the bloc, the tariffs for certain fertilisers will increase over three years from 6.5 percent to an amount equivalent to about 100 percent, effectively halting trade by 2028.

For farm produce, an additional 50 percent duty will apply.

While Russia and Belarus were hit with prohibitive tariffs last year over the war in Ukraine, the new measures will apply to 15 percent of agriculture imports from Russia that were not previously hit, including meat, dairy produce, fruit and vegetables.

EU lawmaker Inese Vaidere, spearheading the push for increased tariffs, said the bloc must stop fuelling “the Russian war machine” and “limit the dependency of Europe’s farmers to Russian fertilisers”.

Member states still must formally give the bill their final approval, having already supported the idea.

Russia said on Thursday that the tariffs would cause fertiliser prices in the EU to rise.

Kremlin spokesperson Dmitry Peskov said that demand for Russian nitrogen fertilisers on other export routes remained high, adding that Russian fertilisers were of the highest quality.

Farmers’ fears

The pan-European farmers’ group Copa-Cogeca told the AFP news agency that using Russian fertilisers was the “most competitive in terms of price, due to well-established logistics”.

The tariff could be “potentially devastating” for the agriculture sector, the group warned, adding, “European farmers must not become collateral damage”.

A farmer in Belgium accused the EU of hurting its farmers.

Amaury Poncelet told AFP that he “doesn’t understand the European Union’s idea of punishing its farmers”.

“We’re losing money because of these European decisions that treat us like pawns who don’t matter,” he said.

The European Commission has argued the tariffs will help support domestic production and suggested duties on imports from other regions could be removed to alleviate price pressures, among other mitigating measures, in case of price shocks.