President Donald Trump has announced that he will delay imposing 50% tariffs on European imports until July 9. This decision comes after a call with European Commission President Ursula von der Leyen. Trump had initially threatened to implement the tariffs starting June 1, accusing European states of taking advantage of the United States.
However, following the conversation with von der Leyen, he agreed to provide more time for negotiations to potentially avoid a transatlantic trade war. Von der Leyen stated that the discussion with Trump allowed both sides additional time to negotiate and reach a favorable deal. She emphasized that Europe is prepared to advance talks quickly and decisively, but would require the extension until July 9.
In response to the announcement, European assets rallied on Monday. The euro reached its highest level against the dollar since April 30, and European shares experienced a surge.
Trade war negotiations extended until July
Trump also addressed the ongoing conflict in Ukraine, denouncing Russian President Vladimir Putin for the largest aerial attack on Ukraine to date. He mentioned considering new sanctions on Moscow while simultaneously criticizing Ukrainian President Volodymyr Zelenskyy. The Kremlin responded to Trump’s criticism of Putin, attributing the comments to emotional overload.
However, they also expressed gratitude for U.S. assistance in peace negotiations regarding Ukraine. Trump concluded his statement by cautioning Russia that any attempts to conquer all of Ukraine would lead to its own downfall. In other news, South Korean media reported that the United States has demanded South Korea address the trade imbalance between the countries during recent talks in Washington.
The discussions covered various trade issues, including economic security, digital trade, and non-tariff measures. Additionally, federal judges are considering a proposal to shift their security from the Department of Justice to direct control under the judiciary. This idea emerged amidst increasing threats against judges and concerns about potential political interference.
