Sterling, yen dragged by fiscal and political worries
The pound and the yen came under strain on Wednesday, weighed down by renewed investor concerns over global fiscal health and political uncertainty in...
The U.S. raised tariffs on imported steel and aluminum from 25% to 50% under President Trump’s order, urging trade partners to submit proposals to avoid additional tariffs set for early July.
White House economic adviser Kevin Hassett, speaking at a steel industry conference in Washington, explained the decision: “We started at 25 and then after studying the data more, realized that it was a big help, but more help is needed. And so that is why the 50 is starting tomorrow.”
The higher tariffs apply to all trading partners except the United Kingdom, which has reached a preliminary trade agreement with the U.S. Under this arrangement, The United Kingdom will retain the 25% tariff rate until at least July 9.
The policy is expected to have a substantial impact on key suppliers, particularly Canada and Mexico. Canada, which provides nearly half of all aluminum imported into the U.S., is likely to face the hardest consequences. The office of Canadian Prime Minister Mark Carney noted that the government is “engaged in intensive and live negotiations to have these and other tariffs removed.”
Mexico has also raised concerns. Economy Minister Marcelo Ebrard called the tariffs “unsustainable and unfair,” highlighting that Mexico imports more steel from the United States than it exports there.
In addition to the tariff increase, the U.S. administration has asked its trading partners to submit formal trade proposals by Wednesday These proposals are intended to enable countries to avoid further tariff increases that are scheduled to begin in early July.
According to officials, the proposals should include lower tariff and quota rates for U.S. goods, as well as plans to address non-tariff barriers. So far, only the United Kingdom has reached a preliminary framework.
Many trading partners are mainly concerned about whether the current 10% tariff on most of their exports to the U.S. will stay the same after that date or increase sharply in many cases.
At the same time, China’s recent decision to limit exports of rare earth elements—materials critical to industries such as automotive, aerospace, electronics, and defense—has intensified global supply chain concerns. Automakers and manufacturers have warned that these restrictions could cause significant production delays.
Uncertainty around U.S. trade policy is already affecting business outlooks. French spirits producer Rémy Cointreau has withdrawn its long-term growth targets, citing declining sales in the U.S. and growing market unpredictability. Austrian specialty steelmaker Voestalpine has warned of potential losses this year, while Germany’s VDMA engineering association has linked a 6% drop in new orders in May to the instability caused by shifting U.S. trade measures.
A powerful eruption at Japan’s Shinmoedake volcano sent an ash plume more than 3,000 metres high on Sunday morning, prompting safety warnings from authorities.
AnewZ has learned that India has once again blocked Azerbaijan’s application for full membership in the Shanghai Cooperation Organisation, while Pakistan’s recent decision to consider diplomatic relations with Armenia has been coordinated with Baku as part of Azerbaijan’s peace agenda.
The UK is gearing up for Exercise Pegasus 2025, its largest pandemic readiness test since COVID-19. Running from September to November, this full-scale simulation will challenge the country's response to a fast-moving respiratory outbreak.
A Polish Air Force pilot was killed on Thursday when an F-16 fighter jet crashed during a training flight ahead of the 2025 Radom International Air Show.
Ukraine’s air defence systems were activated in Kyiv on Wednesday as the capital came under a new Russian air attack. Authorities urged residents to remain in shelters during the strikes.
China launched its largest military parade on Wednesday, showcasing growing firepower as President Xi Jinping sought to project Beijing’s role on the global stage. Russian President Vladimir Putin and North Korean leader Kim Jong Un were among the leaders attending at Tiananmen Square.
China held its largest-ever military parade on Wednesday, showcasing its growing military power and geopolitical influence as President Xi Jinping positions Beijing as a custodian of the post-U.S. international order.
U.S. forces carried out a precision strike on a suspected transnational drug vessel in the southern Caribbean, killing all 11 people aboard, President Donald Trump and the Pentagon confirmed on Tuesday.
Moscow maintains that negotiations between Russia and Ukraine should continue, but stresses that progress is only possible if what it calls the “new territorial realities” are acknowledged.
You can download the AnewZ application from Play Store and the App Store.
What is your opinion on this topic?
Leave the first comment