Trade War & Tariffs - US President threatens 30% tariffs on EU and Mexico if better trade terms are not agreed by August 1 [1][4][46] - Brussels delays retaliatory tariffs while negotiations with the US continue [1][46] - A 30% tariff rate could disrupt trade between the EU and US [12][77] - EU is considering engaging with other nations hit by US tariffs to counter the threats [9][76] - The EU Foreign Ministers are meeting to discuss progress on trade talks [76][78] Market Impact & Economic Outlook - Stocks fall as trade war escalates, with investors bracing for data on tariff impacts [1][46] - European markets are down, impacted by the possibility of European tariffs going up to 30% on August 1 [3][12] - A 30% tariff could be a "real challenge" for European manufacturers and could tip the Euro Zone into a recession [13][14][15] - Germany's growth is already flat, and a 30% tariff could lead to negative growth [16] Monetary Policy & Fiscal Policy - Markets are focused on the physical outlook, with Germany having a solid footing with debt GDP around 65% [19] - There is a likelihood of a more dovish shift from the ECB due to the risks around growth and weakening trade relationships [25] - The market is underpricing the risk of the Fed chair being forcibly removed or dismissed [93] China's Economy & Trade - China's export growth has accelerated, driven by demand and helped by the trade war truce with the US [28] - China had a $590 billion surplus in the first theft of the year, which will help drive growth [28] - Companies worldwide are trying to buy as much Chinese products as they can due to price deflation [31] Panama & International Relations - Panama was removed from the EU's list of high-risk regimes [33][34] - Panama's relationship with the US is "very good," with close cooperation on commerce and security [36][37] - There is "no Chinese influence" in Panama or the Panama Canal [38][39][40] Renewable Energy & India - India is making strides in clean energy to reduce reliance on fossil fuels, which account for 5% of GDP in imports [55] - The Indian clean energy sector is mostly domestically focused, with a 6% annual growth in the electricity system [57] - The Indian government is taking a strategic view to localize the manufacturing of clean energy equipment [62][63]

Trade Talks Key Takeaways Prior to these trade talks, the US charged no import tariff on formulations and a weighted average of 1.7% on active pharmaceutical ingredients (note): A 10% incremental tariff was imposed in February as part of fentanyl talks, and another 10% was imposed in March targeting pharmaceuticals (note). This 20% is much lower than the reciprocal rate of 145% on the rest of the Chinese import base, which was later lowered to 55% (reference). The imminent pharma-specific package that Presi ...

The US ambassador to Canada gave an optimistic assessment of trade talks between the countries, playing up the odds that a fair deal will emerge soon from negotiations between Donald Trump and Mark Carney https://t.co/hoBWNP0PTf ...

India has threatened retaliatory tariffs on US goods after Washington hiked auto duties, signaling a tougher stance as trade talks continue https://t.co/rFh3HxKG6p ...

The US and China have major disagreements on Taiwan, cyber and the South China Sea, but they can be set aside from trade talks, @stavridisj writes (via @opinion) https://t.co/UN7AySfLFp ...

is geopolitics. Canada's been a very difficult country to deal with uh over the years. Uh you know, we hear Canada, we have a great relationship with the people of Canada, but it's been very difficult.Is there anything Canada can do to change your mind about this situation. No. They put a tax on uh companies that were American companies that they should a very very severe tax and uh yeah I guess they could remove it.They will but it I don't really I mean it doesn't matter to me. We'll continue to conduct uh ...

Canada said that it is rescinding its digital services tax that would have targeted U.S. technology firms, in a bid to restart trade talks between Washington and Ottawa. https://t.co/zK2CrfzWXk ...

Canada drops tech tax to restart US trade talks https://t.co/mqqwQZ8fQx ...

Bloomberg Daybreak Europe is your essential morning viewing to stay ahead. Live from London, we set the agenda for your day, catching you up with overnight markets news from the US and Asia. And we'll tell you what matters for investors in Europe, giving you insight before trading begins. On today's show, Canada rescinds its digital services tax after the US President abruptly ended trade talks. Mark Carney's government now hopes to agree a trade deal by July 21. Meanwhile a deal to cut US tariffs on UK car ...

Trade Relations - Canada will rescind a digital services tax [1] - This action aims to restart trade talks with the US [1]