Postal traffic to the US dropped more than 80% after the Trump administration ended the de minimis tariff exemption for low-cost imports, the United Nations postal agency said Saturday. The AP reports that 88 postal operators have told the UPU they’ve suspended some or all postal services to the US until a solution is implemented with regard to U.S.-bound parcels valued at $800 or less, the previous limit for imported goods to avoid customs charges.
President Trump on Friday signed an executive order exempting gold, tungsten and uranium from global tariffs, Bloomberg reported.
And on Thursday, Trump cemented and signed an executive order implementing the US’s pact with Japan. But despite this, many of Trump’s tariffs remain tied up in legal battles, after courts ruled most of them illegal.
Amid legal questions hanging over tariffs, Trump has also asked the Supreme Court for an immediate hearing in hopes of overturning an appeals court ruling that deemed most of his tariffs illegal.
His administration called for the high court to put the case on a highly expedited schedule, with arguments starting in early November, according to reported filings.
On Wednesday, Trump said the US may have to «unwind» existing trade deals, including with the European Union, Japan, and South Korea, if the Supreme Court doesn’t uphold the tariffs.
«If we don’t win that case, our country is going to suffer so greatly,» Trump told reporters before meeting with Polish President Karol Nawrocki. «These deals are all done. I guess we’d have to unwind them.»
A federal appeals court ruled that most of Trump’s global tariffs were illegal, reaffirming an earlier ruling by the Court of International Trade and saying he exceeded his authority in using emergency powers to impose them. The judges, however, allowed the tariffs to remain in place while the case moves through the appeals process.
That means the «reciprocal» tariffs Trump unveiled on dozens of US trade partners (which you can see in the graphic below) now face legal limbo.
Meanwhile, Trump said he will soon impose tariffs on semiconductor imports but will spare companies like Apple (AAPL), which have promised to increase US investments. Trump said Apple CEO Tim Cook «would be in pretty good shape» because of the company’s recent commitments.
Elsewhere, Trump has said he is not considering lowering tariffs on India, a week after the US doubled duties on its imports to 50% in response to India’s purchase of Russian oil.
When a reporter asked if he might roll back some of the tariffs, Trump replied, «No.»
Trump lamented later in the week that India — along with Russia — appear to be «lost» to «deepest darkest China.» Trump’s comments come as Indian Prime Minister Narendra Modi has embarked on bids to strengthen ties with China and Russia as relations with the US have deteriorated.
Trump’s tariffs leave US business tied up in costly red tape
One thing President Trump promised to do was to slash red tape for US businesses, butit seems that pledge may already have been broken due to the US president’s sweeping tariffs, which have created more paperwork for American firms.
Lutnick says big trade deals to stay despite ongoing legal battle
US Commerce Secretary Howard Lutnick said in an interview Friday that President Trump’s trade deals will stay in place despite the ongoing legal battles around tariffs currently taking place.
Reuters reports:
Trump says India and Russia appear ‘lost’ to ‘deepest, darkest China’
President Trump unleashed another scathing attack on China Friday and posted that India and Russia appear to be lost to «deepest, darkest, China.»
This latest comment from Trump follows the Shanghai Cooperation Organisation (SCO) meeting in Beijing this week where their leaders stood alongside Chinese President Xi Jinping.
Trump posted: «Looks like we’ve lost India and Russia to deepest, darkest, China. May they have a long and prosperous future together! President Donald J. Trump.»
President Trump said new tariffs on semiconductor imports are coming soon but noted companies like Apple (AAPL) will be spared due to their US investment pledges.
Analysis: US tariffs still spell big pain for Japan’s small automakers
President Trump has given some relief to Japanese automakers by cutting high US levies on their vehicle sector, but the reduced tariffs still mean pain for Japan’s smaller car companies.
Japan stocks rise as 15% Trump tariff deal sealed brings relief
Japanese stocks rose after President Trump signed an executive order putting his trade deal with Japan into effect, setting tariffs of upto 15% on most products, including cars.
Trump signs executive order implementing trade pact with Japan
President Trump has signed an executive order implementing the US’s trade deal with Japan, the White House said Thursday.
The move cements tariffs of 15% on most imports from Japan.
«Under the Agreement, the United States will apply a baseline 15% tariff on nearly all Japanese imports entering the United States, alongside separate sector-specific treatment for automobiles and automobile parts; aerospace products; generic pharmaceuticals; and natural resources that are not naturally available or produced in the United States,» the order says.
The US trade deficit widened to its largest amount in four months in July as companies raced to import products in order to front-run President Trump’s latest round of broad-based tariffs.
Bloomberg reports that the goods and services trade gap grew nearly 33% from the prior month to $78.3 billion, Commerce Department data showed Thursday. The value of imported goods increased 5.9% in July, driven by industrial supplies, consumer goods, gold, and capital equipment. Exports also ticked higher during the month.
The swings in trade this year have created volatility in gross domestic product (GDP) readings as well, as frequent policy changes have led some importers to pull forward or pause shipments. Following the release of trade deficit data, Goldman Sachs lowered its third quarter GDP growth forecast to 1.6% from 1.7%.
If Trump’s biggest tariffs get thrown out, companies could get a refund — but not consumers
While companies absorb tariff costs and pass some of them along to consumers, President Trump has been touting the amount of money US tariffs are bringing the government.
But if the Supreme Court upholds a lower court’s ruling that the tariffs are illegal, thereby striking them down, the government could have to refund the taxes it has collected on imported goods. That would mark a huge reversal in Trump’s trade policy — but not one that is likely to land consumers any cash back.
India looking beyond US for pharma exports amid tariff tensions
India is seeking to boost drug exports to Africa, Latin America, and Southeast Asia, in an effort to reduce dependence on the US market amid tariff concerns, Reuters reports.
China just made its latest deliberated move in its trade dance with the Trump administration.
Bloomberg reports:
China started imposing levies on additional US optical fiber imports, after a six-month investigation found that American companies had circumvented its anti-dumping measures.
The duties, ranging from 33.3% to 78.2%, took effect Thursday Beijing time on “certain cut-off shifted single-mode optical fiber” from the US, according to a statement from the Chinese Ministry of Commerce.
Among the companies subject to the new duties, Corning Inc. (GLW) now faces a 37.9% levy, OFS Fitel LLC is at 33.3% and Draka Communications Americas Inc. has a 78.2% duty.
The probe was the first anti-circumvention investigation China has ever initiated, the Mofcom said in a separate statement published Thursday.
Carney sends envoy to DC after ‘constructive’ Trump call
Bloomberg reports on some progress around talks between the US and Canada:
As a reminder, some goods from Canada face 35% US tariffs. But many goods are exempted under the US-Canada-Mexico trade agreement, leading Carney to boast that the effective 5.5% rate is the «lowest average tariff of any country in the world.»
But sectoral duties — and overall certainty — remain a concern:
Bolsonaro’s coup trial speeds ahead as his son tries to keep Trump engaged
Bloomberg has an interesting nugget in a story today about former Brazilian President Jair Bolsonaro’s coup trial.
Eduardo Bolsonaro, the former president’s son, took a leave from Brazil’s Congress and moved to the US to lobby President Trump on his father’s cause. He wasn’t pushing for — and didn’t expect — the US leader to respond by levying 50% tariffs on Brazilian imports. Politically, it has backfired.
Analysis: Trump’s tariffs threaten to choke European chemicals recovery
Europe’s chemical makers face new strain as US tariffs disrupt trade. Customers are delaying orders, which is hitting demand in a sector struggling to recover from the region’s 2022 energy crisis.
India minister says country hopes to clinch US trade deal by November
India said it aims to finalize a trade pact with the US by November, Commerce Minister Piyush Goyal said at an investor conference in Mumbai on Tuesday.
He added that talks with the EU are moving forward and ties with China are improving as broader tensions ease.
Merz offers to help Swiss reduce ‘exorbitant’Trump trade tariff
German Chancellor Friedrich Merz has offered Switzerland his support after President Trump hit the export-dependent nation with high tariffs last month.
India eyes Russia, Brazil, Netherlands for pharma export growth as US tariffs concerns linger
India is making moves to increase its pharma exports to Russia, the Netherlands and Brazil, according to sources. New Delhi is hoping this will expand its presence beyond the US, its largest market.
Key Starbucks supplier in Switzerland tastes bitter harvest of Trump tariffs
Swiss coffee machine maker Thermoplan grew from a small family business into a major Starbucks supplier during the late 1990s globalization wave, bringing over 500 jobs to its Alpine lakeside village.
But its future has been thrown into jeopardy due to President Trump’s tariffs.
Bessent expects Supreme Court to uphold legality of Trump’s tariffs
Treasury Secretary Scott Bessent said Monday he believes the Supreme Court will support President Trump’s use of a 1977 emergency law to impose wide tariffs, but added the administration has an alternative if it does not.
He told Reuters he is drafting a legal brief highlighting the urgency of fixing trade imbalances and stopping fentanyl from reaching the US.
Indian oil minister denies country is profiteering from Russian imports
India’s oil minister Hardeep Singh Puri said on Monday that the country is not «profiting» from Russian oil imports, and its purchases have stabilized markets while keeping prices from rising as much as $200 a barrel.
Trump slams India’s high tariffs, calls trade relationship a ‘disaster’
President Trump criticized the trade relationship between the US and India on Monday, saying it has been heavily one-sided for decades.
Trump noted that while India sells large amounts of goods to the US, American businesses sell very little to India because of the high tariffs New Delhi have put in place, which he called the highest of any country.
«In other words, they sell us massive amounts of goods, their biggest “client,” but we sell them very little – Until now a totally one sided relationship, and it has been for many decades,» Trump posted.
«The reason is that India has charged us, until now, such high Tariffs, the most of any country, that our businesses are unable to sell into India. It has been a totally one sided disaster! Also, India buys most of its oil and military products from Russia, very little from the US»
Trump continued by saying India has offered to eliminate tariffs entirely. The US president said this action was overdue and that such trade policies should have been addressed years ago.
‘We haven’t seen the worst of it’: Retailers warn tariff impacts are far from over
Yahoo Finance’s Senior Reporter Allie Canal looks at President Trump’s tariffs and the retailers who are feeling the impact:
Rice remains sticking point as Japan, US seek to implement deal
Rice continues to be a sticking point between Japan and the US as both countries navigate differing interpretations of their July trade agreement, much of which has not yet been implemented.
US still working on trade deals despite court ruling: Greer
The Trump administration is pressing ahead with trade talks with its partners, even after a US appeals court ruled that the majority of President Trump’s tariffs are illegal, US Trade Representative Jamieson Greer said Sunday.
Indian Prime Minister Narendra Modi visited China for the first time in seven years to hold talks with Chinese President Xi Jinping. The two discussed how the two countries will work to cooperate in the face of an ongoing trade war with the United States.
He also notes that the appeals court left the duties in place until October to allow the Supreme Court time to weigh in. Until then, however, it’s not clear what businesses can — or should — do.
The Associated Press examines what may happen from here — both on the legal front and on the broad implications if the Supreme Court does ultimately end up invalidating the duties.
Appeals court invalidates many of Trump’s tariffs. Next stop: The Supreme Court.
A federal appeals court struck down most of President Trump’s Congress-averting global import tariffs Friday in a dispute that’s predicted to head to the US Supreme Court.
The 7-4 ruling, issued by 11 judges for the US Court of Appeals for the Federal Circuit in Washington, D.C., allows the tariffs to remain in place while the administration decides on an appeal to the US Supreme Court.
The decision upholds a ruling handed down in May by the US Court of International Trade (CIT), saying that the president lacked legal authority to order, by way of executive orders, a series of global tariffs imposed on US trading partners. […]
The court emphasized that under the US Constitution, Congress is empowered to lay and collect taxes, duties, imposts, and excises and to regulate commerce with foreign nations.
«Tariffs are a tax, and the framers of the Constitution expressly contemplated the exclusive grant of taxing power to the legislative branch,» the ruling said.
Trump’s reciprocal tariffs shot down by appeals court
A wide swath of President Trump’s tariffs were shot down by a federal appeals court on Friday, which found the administration’s use of emergency economic powers to impose reciprocal tariffs on nearly every US trading partner overstepped the powers granted by that law.
The Trump administration had argued that a president can unilaterally impose wide-ranging, global tariffs by invoking a law enacted in 1977 to protect the US from international threats known as “IEEPA” — the International Economic Emergency Powers Act
IEEPA authorizes the president to “regulate” international commerce after declaring a national emergency.
Tariffs imposed by the administration under Section 232 rules, which includes categories like steel and aluminum imports, will not be impacted by this ruling.
