#trade-war

#trade-war

The world's 10 richest people lost nearly $70 billion on Friday as fresh fears of a global trade war rattled markets. The value of their stock holdings tumbled after President Donald Trump said the US would impose an additional 100% tariff on imports from China from November 1, and restrict its access to "any and all critical software," after China tightened export controls on rare earth elements and other key materials for advanced tech manufacturing.

On Thursday, China's commerce ministry said that starting on Dec. 1 a license will be required for foreign companies to export products with more than 0.1% of rare earths from China or that are made with Chinese production technology. That prompted President Donald Trump to announce Friday that he will impose an additional 100% tariff on China and limit U.S. exports of software.

With the U.S. reeling in the aftermath of the Charlie Kirk assassination, President Donald Trump and First Lady Melania Trump headed to the United Kingdom on Tuesday for a long-scheduled state visit. The president is known to be a huge fan of pomp and pageantry, and Britain is eager to deliver. King Charles and Queen Camilla are hosting the Trumps at Windsor Castle on Wednesday, and activities include a horse-drawn carriage procession, military flyovers, and a state banquet.

How India's refusal to acknowledge Trump's mediation during the brief war with Pakistan led to a trade war with the US. For decades, the United States has been courting India as a counterbalance to China in Asia. But after Indian Prime Minister Narendra Modi refused to agree with US President Donald Trump's insistence that he had ended a Pakistan-India military conflict in May, Trump slapped 50 percent tariffs on Indian goods entering the US market.

Trump's tariffs will reduce the competitiveness of US manufacturing and reduce manufacturing employment. They're raising the costs of production to US manufacturing companies.

Goldman Sachs economists noted one distinction between this year and last: the unemployment rate was rising alongside slowing hiring rates last year, while this year has seen stability.

The recent batch of indicators has punctured the notion on Wall Street that the U.S. economy is bulletproof and can withstand headwinds like President Donald Trump's trade war.

Trump's tariffs, the highest since the 1930s, have resulted in $64 billion in new revenue for the U.S. in the second quarter, a $47 billion increase over the previous year.

Europe's trade commissioner insists we want to use every minute until 1 August to find a negotiated solution. The European Union is readying a package of tariffs.

Large and persistent annual U.S. goods trade deficits, which have grown by over 40 percent in the past 5 years alone, reach $1.2 trillion in 2024, pose an extraordinary threat to national security.

During Amazon's Prime Day, analysts expect $23.8 billion in online sales, with a focus on categories like apparel and electronics facing significant price drops.

"Deglobalization has had its roots in the geopolitical and economic competition between the United States and China," Wells Fargo said. "Recent events raise the possibility of further cleaving of the global economic order. Specifically, the possibility that the European Union goes in its own geopolitical and economic direction is no longer unfathomable."