Group 1 - The European Commission has proposed a retaliatory tariff list against U.S. goods valued at €72 billion (approximately $84 billion), including Boeing aircraft, automobiles, bourbon whiskey, and various industrial and agricultural products [1] - The proposed tariffs are a response to U.S. President Trump's threat to raise tariffs on EU goods to 30% starting August 1, which could significantly impact transatlantic trade relations [1] - The tariff list focuses on industrial products, with over €65 billion in value, including nearly €11 billion in aircraft-related products, over €9.4 billion in machinery, €8 billion in automobiles, and €6 billion in agricultural products [1] Group 2 - Affected automotive manufacturers include major U.S. and European companies such as General Motors, Ford, Stellantis, Tesla, Volkswagen, and Toyota, with concerns that tariffs will increase costs, reduce sales, and potentially lead to layoffs [2] - The automotive industry is one of the most severely impacted sectors, with European manufacturers like Volkswagen and BMW facing potential losses in sales amounting to billions of euros due to tariffs [2] - The scale and scope of the tariff measures highlight the escalation of trade tensions between the U.S. and EU, with the EU emphasizing compliance with World Trade Organization rules while warning of the deep economic impacts of a tit-for-tat tariff war [2] Group 3 - The World Trade Organization (WTO) has warned that U.S. tariff policies may lead to a decline in global trade volumes, negatively affecting the global economy [3] - WTO Director-General Iweala stated that U.S. tariff policies violate core WTO principles and are detrimental to the global economy [3]

Core Viewpoint - The ongoing trade negotiations between the EU and the US are facing significant challenges, with both sides preparing for potential escalations in tariffs if an agreement is not reached by the deadline of July 9 [1][2]. Group 1: Market Reactions - Major European stock indices closed mostly lower, with Germany's DAX down 0.61% to 23787.45 points, France's CAC40 down 0.75% to 7696.27 points, and the UK FTSE 100 remaining flat at 8822.91 points [1]. - The EU's second round of countermeasures has been reduced from an initial €95 billion to €72 billion, indicating a shift in strategy amid ongoing negotiations [1]. Group 2: Trade Negotiations - EU negotiators have not achieved breakthroughs in trade talks with the US, and discussions are expected to continue through the weekend [1]. - US President Trump announced plans to send letters to trade partners setting unilateral tariff rates, with new tariffs expected to take effect from August 1 [1]. - EU Commission President von der Leyen expressed readiness to reach a principle agreement on tariffs but warned of strong countermeasures if negotiations fail [1][2]. Group 3: Tariff Implications - The US currently imposes a 50% tariff on EU steel and aluminum products, a 25% tariff on automobiles, and a 10% baseline tariff on nearly all other goods [2]. - Trump threatened to impose a 50% tariff on EU goods if no agreement is reached by July 9, while the EU has prepared to retaliate with tariffs on €21 billion worth of US imports, delayed until July 14 to allow for negotiations [2].