Tariffs, EU sources: 'We are in final negotiations with the US'. Union risks tariffs above 10%

"The EU Commission has informed us that an understanding in principle with the US could be reached within a few days. The negotiations have entered an intense and probably final phase'. This was stated by a senior diplomat ahead of the extraordinarily convened EU Trade Council on Monday. Tomorrow is the meeting of the ambassadors of the 27 (Coreper). The dynamics of the discussion between the ministers will depend on the developments in the coming hours. The possible halt to the automatic activation - scheduled for 14 July - of the first EU counter-duties "is in the hands of Brussels," explains the same source, indicating that if the negotiations should founder, "the EU will be ready" with the second package.

"Today we have reminded the President of the European Commission that compensation will be needed for the sectors that will in any case be in the most difficulty" with the tariffs "and to open new markets immediately, and on this we say that at least among the confindustries there is cohesion: Mercosur is fundamental, so we hope that compensation will also be found here quickly for the world of agriculture, because we cannot lose this challenge that our products are ready to be accepted by these countries". This was said by the President of Confindustria, Emanuele Orsini, at the end of the 7th Franco-Italian Economic Forum organised by Confindustria and Medef, referring to the presence this morning of the President of the EU Commission, Ursula von der Leyen. "The subject of tariffs, for us, for an exporting country like ours, is a problem, because it is not only a subject of a possible 10% but also of a devaluation of the dollar that could impact an additional 13%, so it would be a 23%. We have sectors that will still perform, but sectors that will struggle,' Orsini reiterated.

Brazilian MP Eduardo Bolsonaro, son of former President Jair Bolsonaro, blamed Supreme Court Judge Alexandre de Moraes for US President Donald Trump's announcement to impose 50% tariffs on Brazilian products. The MP also called for an amnesty for his father as an 'institutional way out'. Brazilian companies wishing to access the US market will be subject to the 'Moraes Tariff', said Eduardo Bolsonaro. "President Trump has correctly understood that Alexandre de Moraes can only act with the support of a political, business and institutional establishment that tolerates his authoritarian escalation," he added. The MP went on to call for a 'broad, general and unrestricted' Congress-led amnesty. He also called for new legislation that would 'guarantee freedom of expression' and the accountability of public officials who 'abused their power', referring to Moraes. "We urge the Brazilian authorities to avoid escalating the conflict and to adopt an institutional way out that restores freedoms," he concluded.

With regard to the tariffs announced by the US government, CISL leader Daniela Fumarola says: "We are particularly concerned, we cannot afford to lose production, important industrial sectors, and 115,000 jobs. The sectors most affected are automotive, pharmaceuticals, and agribusiness, and we have asked for strong and non-isolated action on the part of Italy. It is up to Europe to intervene by protecting production and jobs and looking at new commercial outlets. It is crucial not to break off the relationship with Trump and the US. We need to reason together, including with the social partners'.

Do you think an agreement on tariffs will be reached? "Absolutely. That's why we continue with intensive engagements with the US to find solutions and avoid an escalation of tensions on tariffs." So said EU Economy Commissioner Valdis Dombrovskis, a guest on Sky Tg24's Start programme.

"The first deadline was 9 July, it has been passed. We are now working on the deadline for 1 August. We are trying," he continued, "to reach an agreement as quickly as possible, negotiations are continuing intensively at the political and technical level. Our priority is to reach a mutually acceptable negotiated position. In the absence of a solution, we need to take necessary steps to defend our companies and our economic interests'. On the 10 per cent tariff on all goods, 'we have had consultations with other EU states on how to proceed and I would say we have broad consensus on how to proceed, but I cannot comment on the details,' he concluded.

'We are particularly worried, we cannot afford to lose production, supply chains and 115,000 jobs'. This was said by the leader of the CISL, Daniela Fumarola, speaking at Coffee Break and talking about tariffs. "The sectors most affected are automotive, pharmaceuticals, and agri-food - she added - we have asked that there be a strong and not isolated action on the part of Italy. It is up to Europe to intervene by protecting production and jobs and looking at new trade outlets. It is crucial not to break off the relationship with Trump and the US. We need to reason together, including with the social partners'.

Criticism from China over Donald Trump's decision to impose 50% tariffs on copper from 1 August. "We have always opposed an over-extension of the concept of national security," said Beijing Foreign Ministry spokeswoman Mao Ning in statements reported by the Global Times. "We also believe there are no winners in tariffs and trade wars, and abusing tariff measures is not in anyone's interest.

"Brazil is a sovereign state, with independent institutions, and will not accept any form of protection". It is with a long post on X that Luiz Inácio Lula da Silva responds to the 'letter' published on X by Donald Trump with the 50% tariffs for Brazilian products that will arrive on the American market from 1 August and statements on the trial of Jair Bolsonaro, considered by the tycoon to be a 'witch hunt'.

"Sovereignty, respect and defence of the interests of the Brazilian people are the values that guide our relations with the world," Lula said in the post. "The judicial proceedings against those responsible for planning the coup fall exclusively within the jurisdiction of the Brazilian judiciary and, as such, are not subject to any interference or threat that could compromise the independence of national institutions," the president points out. For him, the "claims" about the "US trade deficit in trade relations with Brazil" are "inaccurate" and "any unilateral increase in tariffs will be handled according to the Brazilian Law of Economic Reciprocity", he writes in reference to the text recently adopted to allow the government to increase tariff measures on imported products.

If President Trump imposes a reciprocal tariffs of 25 per cent on Japanese goods, this is likely to drop Japan's real GDP cumulatively by 1.1 per cent, says Kento Minami, economist at Daiwa Securities. As a result, real GDP growth for the year ending March 2026 is expected to be around 0.1%-0.2%. This compares with the 0.8% expansion for the fiscal year 2024.

"Trump's tariffs are unlikely to cause serious shocks to the economy," says Minami. "From a monetary policy perspective, as inflationary pressures intensify due to structural labour shortages, it is unlikely that [the Bank of Japan] will give up raising interest rates, but it is likely to stick to its stance of continuing to raise rates over the long term."

What is needed is 'dialogue with the US, so that we do not start a trade war that would be devastating for everyone. We must aim to reduce tariffs as far as possible, with the perspective that must always remain clear of a strategic vision that, when the conditions are right, must lead us to create a macro-area of free trade between the two sides of the Atlantic, between the two Europes'. This was said by Adolfo Urso, Minister of Enterprise and Made in Italy, at the Franco-Italian Economic Forum organised by Confindustria and Medef, in the presence of EU Commission President Ursula von del Leyen. For Urso, "this would be a great engine for growth, technological, productive and civil". At the same time, 'it is right for Europe to pursue with determination other free trade agreements with growing markets, with which there can also be a consonance of values, to guarantee our supply chains'.

"We are concerned about the issue of tariffs. Even 10% worries us, because adding them to the devaluation of the dollar for Italian companies is an important burden'. This was said by the president of Confindustria, Emanuele Orsini, opening the proceedings of the Franco-Italian Economic Forum, organised by Confindustria and Medef. 'There will be sectors,' he explained, 'that will be able to perform well, but for others we have to put in place support policies to ensure that they can be competitive'.

"We are working tirelessly to find an initial understanding with the US, to keep tariffs as low as possible and to provide the stability that companies need. We believe that tariffs are a loss for everyone. A tax on industry. A tax on people. But we are not naive either: we know that the relationship with the US may never be the same as it used to be". This was said by EU Commission President Ursula von der Leyen at the 7th Franco-Italian Confindustria-Mefed Economic Forum in Rome. "We are working hard to strengthen and diversify our trade relations. Eighty per cent of our trade is with partners other than the US'. (

The Trump administration's 25% 'reciprocal' tariffs on imports from Japan, if implemented, will reduce the Asian nation's gross domestic product by 0.8% in 2025, says the Daiwa Institute, adding that in the long term - by 2029 - the new tariffs are expected to reduce the country's GDP by 1.9%. Together with other tariffs already imposed by Trump, including 27.5% tariffs on cars, the US trade policy could reduce national GDP by 1.3% in 2025 and 3.7% in 2029, the think tank says. According to economist Koki Akimoto, if the 25 per cent tariffs are implemented, they are likely to have a wide-ranging impact on the Japanese economy, ranging from reduced production levels for exports, to a decrease in capital investment.

Tensions between the US and Brazil over tariffs are rising. The Brazilian government returned the letter sent by US President Donald Trump announcing 50% tariffs to the US embassy. Brazilian President Luiz Ina'cio Lula da Silva promised to reciprocate the move against the tariffs imposed by President Trump. US embassy chargé d'affaires Gabriel Escobari was told by Brazilian officials to reject it as offensive and inaccurate. The New York Times reports.

In a letter to Brazilian President Luiz Inácio Lula da Silva, Trump had written that the new tariffs would come into effect on 1 August and 'the way Brazil treated former President Bolsonaro, a leader who was highly respected around the world during his term, including by the United States, is an international disgrace'.

The US will impose a 50 per cent tariffs on copper as of 1 August to strengthen the country's national security. This was declared by US President Donald Trump.

"I am announcing a 50% tariffs on COPPER, effective 1 August 2025, following a robust NATIONAL SECURITY ASSESSMENT. Copper is needed for semiconductors, aircraft, ships, munitions, data centres, lithium ion batteries, radar systems, missile defence systems and even hypersonic weapons, of which we are building many. Copper is the second most used material in the Department of Defence! Why have our foolish (and PIGRIAN!) 'Leaders' decimated this important industry? This 50% tariffs will reverse the Biden administration's reckless and stupid behaviour,' Trump wrote on Truth Social.