Tariffs, Trump: 'Letter to the EU today'. Orsini: 'If over 10 per cent we need compensation'

If the tariffs imposed by the US administration on the European Union exceed 10%, 'compensation is needed'. This is how the president of Confindustria, Emanuele Orsini, at the PD national conference on industrial policies, responds to those who ask him about the possible scenarios pending the arrival of US President Donald Trump's letter addressed to Brussels that will contain the decisions on the new trade tariffs.

The Wall Street stock market opened on a downward trend. The Nasdaq index started trading down 0.27%, the S&P down 0.48% and the DJ down 0.38%. Uncertainty over tariffs weighed again on the stock markets after Trump's announcement of additional tariffs of 35% for Canada and as we wait to see how the tariffs issue will be resolved with the European Union, with which an agreement in principle is expected in the coming hours.

The European Union will have to decide by Monday 14 July whether to extend the 90-day suspension, which it had decided on 14 April, of retaliatory countermeasures against the increase in US tariffs from 10% to 25% on EU steel and aluminium imports imposed by President Donald Trump on 10 February. The extension of the suspension is quite likely in view of the possible announcement by the US, in the coming hours or over the weekend, of the acceptance of a 'Agreement in Principle' with the EU on tariffs, which would trigger subsequent more detailed negotiations for the different sectors in transatlantic trade.

"We still have three days until the deadline, and a lot can happen in the meantime. We have got used to events happening very quickly, or not, in this area', that of trade negotiations with the US. In short, we will see where we are in the next few days,' Commission chief spokesperson Paula Pinho remarked, replying to journalists at the daily press briefing of the EU executive in Brussels today. If necessary, explained the Commission's trade spokesperson Olof Gill, 'we will take the decision to suspend the countermeasures as a matter of urgency'. Meanwhile, Gill reported, 'we remain fully committed to an agreement with the United States. We will see what happens when our American friends wake up today', given the time difference with Europe.

Based on data collected as part of the Bank of Italy's Survey on Inflation and Growth Expectations, about one-third of Italian manufacturing companies expect a negative impact of US tariffs on their demand and investment in 2025. This was reported by the Bank of Italy in an analysis included in its latest Economic Bulletin. However, the Via Nazionale institution points out, in the first half of the year, assessments of foreign demand were still positive overall.

If US trade tariffs on China eventually turn out to be higher than those indicated last May, the Asian giant could divert up to EUR 30 billion of additional goods to the euro area and this could lower inflation by up to 0.2 percentage points. This is the forecast of the Bank of Italy contained in an analysis box of the Economic Bulletin.

"According to recent estimates," it reads, "an increase in US tariffs against China of the magnitude foreshadowed in May could result in an increase in Chinese exports to the area of about EUR 10 billion; prices of imported Chinese goods would fall by about 2.5 per cent. Consumer prices of non-energy industrial goods in the area would fall by about 0.3 per cent over a two-year horizon'.

In the afternoon, at 3 p.m., the Permanent Representatives of the 27 in the EU (Coreper II) will meet again: two main dossiers, the EU-US trade relations and the 18th sanctions package against Russia. In the first case, the meeting will take place in a restricted format and without diplomats being allowed to take their mobile phones with them. With regard to the second dossier, negotiations are continuing with Slovakia so that it will lift its veto on the total embargo on Russian gas and, at the same time, discussions are continuing on the imposition of the price cap on Russian oil, on which Malta, Cyprus and Greece remain somewhat perplexed. Finally, the ambassadors of the 27 will discuss the issues that will be the focus of the Foreign Affairs Council on Tuesday.

"Compared to yesterday, we remain on our side fully prepared to conclude an agreement in principle with the United States. We have no updates to indicate that this will happen anytime soon." This was said by European Commission Trade Spokesman Olof Gill, taking stock of the ongoing negotiations with Washington. "There are no contacts expected" in the coming hours, "but everything can change at any moment," he pointed out.

"The tariffs affair itself is a symptom of an epochal change in the trade framework. The United States, which with Clinton wanted globalisation, has gone backwards with the Trump administration. We are returning to the unthinkable until a few years ago'. So said Economy Minister Giancarlo Giorgetti at the Abi assembly underway in Milan.

US Secretary of State Marco Rubio met with Chinese Foreign Minister Wang Yi on the sidelines of the ASEAN (Association of Southeast Asian Nations) summit in Kuala Lumpur, marking their first in-person meeting. The main topics of the meeting related mainly to the tariffs policy promoted by the Trump Administration and the situation in Taiwan.

Before the meeting Rubio - for the first time in Asia since taking office - declared that the US 'has no intention of abandoning' the Asia-Pacific region.

"Trump's letter if it was the optimal one would be with zero tariffs. So it would be perfect. Then it is obvious that we are saying let's negotiate, let's negotiate, let's negotiate". This was said by the president of Confindustria, Emanuele Orsini, on the sidelines of the assembly of the Industrial Union of Naples. "As we have said many times, we have several chapters to negotiate for, one is energy and gas, the other is the defence procurement that Europe is doing towards the United States. Then we have Big Tech, which is another topic of negotiation,' Orsini recalled, adding that 'it is obvious that we hope it will be zero, as low as possible, but we must never forget the exchange rate effect, because today the exchange rate effect fluctuates between 10 and 14%, so the average is 12 or 13%, which added to 10% (of tariffs) makes 23%. Some sectors can withstand the impact, others cannot'. In this context, concluded Orsini, 'as we told the President of the European Commission yesterday, compensation is needed for those companies that must remain competitive'.

Philippine President Ferdinand 'Bongbong' Marcos Jr. is expected in the US for a three-day visit from 20 to 22 July. This was announced by Manila, just days after Donald Trump's announcement of 20 per cent tariffs on imports to the US from the Philippines as of 1 August. "We are working with the US State Department to finalise the details of the visit," reads a note released by the Manila Foreign Ministry.

Mark Carney responds to Donald Trump's 'letter' announcing tariffs of 35 per cent from 1 August on Canadian imports to the United States. "During the current trade negotiations with the United States, the Canadian government has steadfastly defended our workers and businesses. We will continue to do so as we work towards the August 1 date," reads a post on X by the Canadian premier, responding to the US president's words on the fentanyl dossier. "Canada has made crucial progress in stopping the proliferation of fentanyl in North America," Carney claims, "We are committed to continuing to work with the United States to save lives and protect communities in both our countries. In the message, Carney talks about the Canadian economy and adds: 'We are preparing to implement a number of important new projects in the national interest. We are working to strengthen our business partnerships around the world'.

While imposing 35% tariffs on Canada, Donald Trump announced that the European Union will receive the tariff letter today. In addition, the president said he intends to impose generalised tariffs of 15% or 20% on most trading partners. "We're simply going to say that all the remaining countries," those who have not received the tariff letters, "will pay, whether it's 15% or 20%." Trump added that he will make a "major statement" on Russia on Monday, reiterating that he is "disappointed" in Moscow. The president expects the Senate to pass tougher sanctions against the country.

Further reading

Tariffs, Trump's flop: 90 days and not even a deal

09 July 2025

The United States will impose 35% tariffs on imports from Canada starting on 1 August, President Donald Trump announced on his Truth Social profile. "Starting August 1, 2025, we will charge Canada a 35% tariff on Canadian products shipped to the United States, separate from all sectoral tariffs. If for any reason you decide to increase your tariffs, then whatever amount you choose to increase will be added to the 35 per cent we charge," he concluded.