President Trump on Tuesday said the US had reached a trade deal with the Philippines, which will see the country's imports face a 19% tariff into the US. Trump said US exports will face no import tax in the Philippines as part of the deal.

The deal comes as prospects for larger pacts with India and the European Union have soured. Prospects for an interim deal between the US and India before an Aug. 1 deadline have dimmed, according to Reuters. Talks remain deadlocked due to disagreements on key agricultural and dairy products.

Meanwhile, the European Union still wants a trade pact with the US, but the bloc said to be readying its counterattack as Trump plays hardball and makes a no-deal outcome more likely.

EU member states are pushing for new and stringent measures to retaliate against US companies, The Wall Street Journal reported, while its officials are meeting this week to draw up a plan for reprisals.

“If they want war, they will get war,” a German official told the WSJ, while noting there was still time to hammer out a deal.

Trump is reportedly pushing for higher blanket tariffs on imports from the EU, throwing a wrench in negotiations ahead of an Aug. 1 deadline for sweeping duties to take effect.

Trump wants at least a 15% to 20% tariff on EU goods, according to the FT. He threatened 30% duties from Aug. 1, targeting other countries and sectors like copper, pharma, and chips.

Last week, Trump said he would soon send letters to over 150 smaller US trade partners, setting blanket tariff rates for that large group. Trump has already sent letters to over 20 trade partners outlining tariffs on goods imported from their countries.

Earlier in July, Trump announced a 35% tariff on Canadian goods and followed that up with promises of 30% duties on Mexico and the EU. The letters have at times upended months of careful negotiations, with Trump saying he is both open to reaching different deals but also touting his letters as "the deals" themselves.

Treasury Secretary Scott Bessent on Tuesday said he expected many deals to take shape over the next several days.

Read more: What Trump's tariffs mean for the economy and your wallet

Here are the latest updates as the policy reverberates around the world.

President Trump said Tuesday the US had reached a trade deal with the Philippines following its president's visit to the White House.

He posted on Truth Social:

President Ferdinand Marcos, of the Philippines, is just leaving the White House, with all of his many Representatives. It was a beautiful visit, and we concluded our Trade Deal, whereby The Philippines is going OPEN MARKET with the United States, and ZERO Tariffs. The Philippines will pay a 19% Tariff. In addition, we will work together Militarily. It was a Great Honor to be with the President. He is Highly Respected in his Country, as he should be. He is also a very good, and tough, negotiator. We extend our warmest regards to the wonderful people of The Philippines!

This doesn't seem to move the needle much for the Philippines, whose imports to the US will see a 19% tariff instead of the 20% Trump had threatened from Aug. 1.

The Philippines is the US's 29th-largest trade partner.

Fascinating angle from Bloomberg:

At least four ships carrying copper are trying to reach US ports before August to get ahead of planned import tariffs on the metal.

The shipments represent the final scramble by merchants to cash in on a lucrative arbitrage trade that has upended the global copper market since US President Donald Trump first floated the idea of copper tariffs. The urgency to secure imports increased in the past two weeks after Trump announced the levy would be 50% starting Aug. 1.

Bulk carrier Kiating left Australia’s Townsville port last Wednesday carrying 8,000 metric tons of refined cargo and is destined to reach Hawaii by July 30, according to shipping data provider Kpler. The firm can’t identify who owns the cargo, but it said two other recent US-bound shipments from the port contained copper from Glencore Plc’s Mount Isa Mines.

Port data show that the Kiating was originally scheduled to land in New Orleans, but changed its destination to Hawaii after Trump’s announcement — cutting its likely voyage time by almost 20 days. Even so, the cargo owner will be in a race against time to register the metal with the local customs office once the vessel arrives.

“It’s hard to say how efficient clearance will be in Hawaii, given that it’s such an atypical destination for this cargo,” said Ben Ayre, lead dry-bulk shipping analyst at Kpler.

Read more here.

Coca-Cola's (KO) CFO said the company is managing President Trump's tariffs.

\\"June turned out to be a disappointing month,\\" Coca-Cola CFO John Murphy told Yahoo Finance on Tuesday. He noted that tariffs continue to create uncertainty heading into the second half of the year.

\\"We think we can manage absorbing any of the impacts with the various levers that we have at our disposal. It's always a local decision as to how to utilize those levers, but right now, it's something that we factored into our rest of year guidance.\\"

Yahoo Finance's Brooke DiPalma reports that Coca-Cola reported earnings for its second quarter that topped forecasts.

... adjusted earnings per share came in at $0.87, higher than the $0.83 analysts had expected, according to Bloomberg data.

Adjusted revenue in the quarter tallied $12.62 billion compared to forecasts for $12.55 billion. The company said its 5% increase in net revenues was driven by a 6% increase in prices and its mix of goods sold, along with a 1% decline in concentrate sales.

The company also updated its guidance, saying it now expects adjusted earnings per share to rise 3% against the $2.88 it reported a year ago. Its revenue for the year is now expected to face a 1%-2% currency headwind, with organic sales still forecast to rise 5%-6% for the year.

Read more here.

US Treasury Secretary Scott Bessent told Fox Business on Tuesday that he plans to meet his Chinese counterpart next week and discuss an extension of an August 12 deadline for higher tariffs. Both China and the US reached a trade truce in London last month to prevent escalating tariffs.

Reuters reports:

\\"I think we've actually moved to a new level with China, where it's very constructive and very we're able - we're going to be able - to get a lot of things done now that trade has kind of settled in at a good level,\\" Bessent said

Bessent told Fox Business that trade with China was in \\"a very good place\\" and the meetings in Stockholm would take place next Monday and Tuesday.

Read more here.

US aerospace and defense giant RTX (RTX) cut its 2025 profit forecast on Tuesday, citing President Trump's trade war as the major reason. Shares of the company fell 3% in premarket trading.

Reuters reports:

Trump's imposition of tariffs on imports of aluminum (ALI=F) and steel has shrouded the markets with uncertainty, threatening to add pressure on an already-strained supply chain.

RTX had warned of an $850 million hit from the trade war, though it was based on the assumption that steel and aluminum tariffs remain at 25%, China tariffs remain at 145% and global reciprocal tariffs remain at 10%.

Since then, levies on steel and aluminum have doubled to 50% and Trump has unveiled new tariffs on most trading partners, but those on China have significantly reduced.

RTX now expects adjusted profit between $5.80 and $5.95 per share for 2025, down from its prior forecast of $6.00 and $6.15 per share.

Read more here.

Tariffs have started to hit US automaker General Motors (GM), who reported a fall in second quarter core profit of 32% to $3 billion on Tuesday. The automaker said tariffs have sapped $1.1 billion from results as it continues to grapple with President Trump's challenging trade war.

Reuters reports:

The automaker's revenue in the quarter ended June 30 fell nearly 2% to about $47 billion from a year ago. Its quarterly adjusted earnings per share fell to $2.53 compared with $3.06 a year earlier.

Analysts on average expected the company to notch a quarterly adjusted profit of $2.44 per share, according to data compiled by LSEG. Shares of the company fell about 4% in premarket trade.

The largest U.S. automaker by sales said it expects the tariff impact to worsen in the third quarter and stuck to a previous estimate that trade headwinds threaten to hit the bottom line by $4 billion to $5 billion. GM said it could take steps to mitigate at least 30% of that impact.

Read more here.

American imports to Canada have dropped sharply due to Canadian provinces' boycott of US spirits amid the ongoing trade war with the United States, according to a Canadian liquor trade group.

Reuters reports:

Sales of US spirits in Canada dropped 66.3% between March 5, when provinces announced they would stop carrying the products in retail stores, and the end of April, according to an analysis by Spirits Canada.

The group, which represents Canadian manufacturers and marketers of distilled spirits, said total spirits sales in Canada fell 12.8% during the same period.

\\"The North American spirits sector is highly interconnected, and the immediate and continued removal of all U.S. spirits products from Canadian shelves is deeply problematic for spirits producers on both sides of the border,\\" said Cal Bricker, president and CEO of Spirits Canada.

Several Canadian provinces pulled U.S. spirits from liquor stores in response to U.S. President Donald Trump's imposition of a 25% tariff on certain imports.

Read more here.

Pharmaceutical giant, AstraZeneca (AZN) announced it plans to invest $50 billion in US manufacturing by 2030, in the hopes it will avoid steep tariffs on imported components manufactured abroad.

Yahoo Finance's senior reporter Anjalee Khemlani looks at how AstraZeneca's latest US investment keeps pace with its big pharma rivals.

UK-based AstraZeneca said it currently relies on the US market for 42% of its revenue, but CEO Pascal Soriot told Yahoo Finance he hopes to increase the US market share to 50% of revenues with this move. AstraZeneca, known for vaccines and its oncology drugs Tagrisso and Imfinzi, is now also eyeing cardio-metabolic diseases — thanks to the rise in popularity of GLP-1s.

The strategy to invest billions in manufacturing is one being deployed by the industry in order to curry favor with President Donald Trump and his reshoring agenda. This is in hopes of avoiding strict tariffs on imported drug components manufactured abroad. Soriot told Yahoo Finance he isn't as worried about exposure to tariffs, and believes the tax and economic incentives the U.S. offers is enough to spur the transition to more U.S.-based manufacturing.

\\"I think tariffs are an issue, and a threat for some companies. To some extent, we are insulated, and we will be further insulated with the investments we are making now,\\" Soriot said.

The commitment is the largest investment to date, according to the company in a statement Monday. It includes expansions of current sites, including in Maryland and Massachusetts, as well as a new facility in Virginia.

\\"The cornerstone of this landmark investment is a new multi-billion dollar US manufacturing facility that will produce drug substances for the Company’s innovative weight management and metabolic portfolio, including oral GLP-1, baxdrostat, oral PCSK9 and combination small molecule products,\\" the company said. \\"The new state-of-the-art centre will produce small molecules, peptides and oligonucleotides.\\"

Read more here

China's growth could be eroded due to President Trump's efforts to target the country via its trading partners across global supply chains, according to Bloomberg Economics.

China is using other countries like Vietnam and Mexico more to make products for the US, a trend that accelerated after Trump's first trade war. China's share of total value- added manufacturing of goods destined for the US via Vietnam and Mexico surged 22% in 2023 from 14% in 2017.

Bloomberg News reports:

If Trump is successful in targeting transshipments via higher levies or supply chain requirements, it would threaten 70% of China’s exports to the US and more than 2.1% of the Asian country’s gross domestic product, the analysts found. There’s a risk of additional economic damage if the restrictions weigh on countries’ desire to do business with China, they said.

“Trade flows via third countries are substantial and have helped cushion the blow from existing US tariffs,” Bloomberg Economics analysts Chang Shu, Rana Sajedi and David Qu wrote in a research note Tuesday. “Tighter controls on these shipments would increase the damage from the trade war and could erode growth opportunities in the long term.”

Read more here.

Hopes for a US-India trade deal before the August 1 deadline are fading, with talks stuck over cuts to farm and dairy tariffs, according to sources.

Reuters reports:

\\"An interim deal before August 1 looks difficult, though virtual discussions are ongoing,\\" one of the Indian government sources said, adding a US delegation was expected to visit New Delhi soon to continue negotiations.

US President Donald Trump threatened a 26% tariff on Indian imports in April but paused implementation to allow for talks. That pause ends on August 1, though India has yet to receive a formal tariff letter, unlike over 20 other countries.

India's trade delegation, led by chief negotiator Rajesh Agrawal, returned from Washington after a fifth round of talks without a breakthrough.

Read more here.

Orange juice prices join the list of products that could see price increases as a result of tariffs imposed by the Trump administration.

Bloomberg reports:

A US orange juice distributor is suing over President Donald Trump’s move to impose a 50% tariff on Brazil starting next month.

Johanna Foods Inc. is arguing that Trump’s reasons for the levy increase — including support for Brazil’s former right-wing President Jair Bolsonaro — don’t present “unusual and extraordinary” threats that give him emergency authority to circumvent Congress’ taxing power.

The New Jersey-based company estimates that the Brazil tariffs would increase its costs for not-from-concentrate orange juice from Brazil by $68 million over the next 12 months and raise retail costs for consumers between 20-25%. According to the complaint, Brazil supplies more than half of all orange juice sold in the US.

Read more here.

President Trump's August 1 tariff deadline is steadily approaching, and trading partners are preparing for multiple outcomes. Brazil, for example, is increasingly open to the possibility that a trade deal won't be reached in time.

Reuters reported:

Brazil's finance minister said on Monday his country would not give up negotiating with the U.S. but acknowledged that a trade deal may fail to be reached by August 1, when President Donald Trump's 50% tariffs on Brazilian goods are due to take effect.

\\"That could happen,\\" Fernando Haddad told radio station CBN in an interview, saying Latin America's largest economy was still awaiting a response from Washington on trade proposals initially submitted in May.

Trump announced the steep tariffs earlier this month, citing what he called a \\"witch hunt\\" against former Brazilian president Jair Bolsonaro, who is on trial on charges of plotting a coup, and trade practices he said were unfair.

Haddad said Brazil had contingency plans to deal with any potential tariffs, and could ultimately redirect more than half its current U.S. exports to other markets.

\\"But that would take time,\\" he cautioned.

Read more here.

Cleveland-Cliffs (CLF) CEO Lourenco Goncalves praised President Trump's protectionist policies on Monday, stating that the 25%-50% tariffs on foreign steel imports have had a \\"positive impact\\" on the US steel and automotive industries.

The Section 232 steel tariffs \\"have played a significant role in supporting the domestic steel industry,\\" Goncalves said during the company's earnings call.

“So far, there’s no indication that the Section 232 tariffs will be used as a bargaining chip by the Trump administration as leverage in trade deals with other countries,\\" Goncalves added. \\"We appreciate that and fully expect that the administration will keep in place and enforce these Section 232 tariffs.\\"

Goncalves said the only place where it's having a problem is with Stelco, the Canadian steel company it acquired in November 2024. The CEO urged Canadian Prime Minister Mark Carney to implement similar protectionist policies, saying that other efforts to curb unfair trade practices were \\"insufficient.\\"

Cleveland-Cliffs stock soared 11% in early trading Monday after the company reported record steel shipments of 4.3 million net tons for the three months ended June 30.

Read more about how Cleveland-Cliffs' stock is trading.

Treasury Secretary Scott Bessent on Monday said the US wouldn't rush to make trade deals ahead of an Aug. 1 deadline for many of President Trump's sweeping tariffs to kick in.

\\"We're not going to rush for the sake of doing deals,\\" Bessent told CNBC in an interview.

More from Reuters:

Asked whether the deadline could be extended for countries engaged in productive talks with Washington, Bessent said U.S. President Donald Trump would decide. \\"We'll see what the president wants to do. But again, if we somehow boomerang back to the August 1 tariff, I would think that a higher tariff level will put more pressure on those countries to come with better agreements.\\"

On China, Bessent said there would be \\"talks in the very near future.\\" \\"I think trade is in a good place and, I think, now we can start talking about other things. The Chinese unfortunately ... are very large purchasers of sanctioned Iranian oil, sanctioned Russian oil,\\" he said.

Bessent told CNBC he would encourage Europe to follow the United States if it implements secondary tariffs on Russia.

On Japan, Bessent said the administration was less concerned with its domestic politics than with getting the best deal for Americans.

Read more here.

We detailed earlier (keep scrolling) how the EU is readying its plans for retaliation in case a trade deal with the US fails. The Wall Street Journal has a big report out today with some more details of those plans — and details on how delicate negotiations are on even thinner ice, as President Trump keeps wanting more.

The report said the EU got a \\"surprise\\" when US officials said Trump would want a higher baseline tariff in any deal, likely north of 15%, after months of talks around a 10% baseline.

That apparently prompted Germany, Europe's largest economy, to swing to more of an alignment with France, which has been pushing a harder line throughout the negotiations.

“All options are on the table,” a German official said. The official said there was still time to negotiate a deal but added, “If they want war, they will get war.”

More from the report:

On Friday, Berlin signaled it could support the EU using its so-called anticoercion instrument, a legal tool that lets the bloc hit back at economic bullying with a range of restrictions on trade and investment. It has never been used before. EU officials view the tool as the bloc’s most powerful trade weapon, and a last resort. [...]

The measures that are being readied include possible levies or other restrictions on U.S. digital services and curbs on American companies’ access to the bloc’s public procurement market, the people said.

That would be in addition to measures the EU has already prepared. The EU earlier drew up two packages of tariffs targeting more than $100 billion of U.S. exports to the bloc, ranging from airplanes to peanut butter and whiskey, although they haven’t been put into effect.

Read more here.

Big Three automaker Stellantis (STLA) warned on Monday that it expects a 2.3 billion euro ($2.7 billion) net loss for the first half of 2025, hit by restructuring costs, ebbing sales, and an initial hit from US tariffs.

The Chrysler maker's US-listed shares slipped nearly 2% in premarket, mirroring a drop in its stock in Milan.

Reuters reports:

The owner of brands including Fiat, Peugeot, Chrysler and Jeep said its initial estimate was that tariffs imposed by President Donald Trump on U.S. imports would have cost it 300 million euros, due to lower shipments and production cuts as the company adjusted manufacturing levels to the trade duties.

North America shipments, or deliveries of cars to dealers, distributors or retail and fleet customers, declined by 25% year-on-year in the second quarter, it said.

Stellantis' preliminary first half results, which compared with a 5.6 billion euro net profit a year earlier, underscore the carmaker's ongoing struggle and the challenge for new CEO Antonio Filosa, who was appointed in May after poor results in 2024 led to the ousting of former boss Carlos Tavares.

Read more here.

EU negotiators are scrambling to make a trade agreement with the US as the Aug. 1 tariff deadline closes in. But they are also stepping up preparations to strike back if the two sides fail to secure a deal.

Bloomberg reports:

European Union envoys are set to meet as early as this week to formulate a plan for measures to respond to a possible no-deal scenario with US President Donald Trump, whose tariff negotiating position is seen to have stiffened ahead of an Aug. 1 deadline.

The overwhelming preference is to keep negotiations with Washington on track in a bid for an outcome to the impasse ahead of next month’s deadline.

Still, efforts have yet to yield sustained progress following talks in Washington last week, according to people familiar with the matter. Negotiations will continue over the next two weeks.

The US is now seen to want a near-universal tariff on EU goods higher than 10%, with increasingly fewer exemptions limited to aviation, some medical devices and generic medicines, several spirits, and a specific set of manufacturing equipment that the US needs, said the people, who spoke on condition of anonymity to discuss private deliberations. ...

The two sides have also discussed a potential ceiling for some sectors, as well as quotas for steel and aluminum and a way to ring-fence supply chains from sources that oversupply the metals, the people said. The people cautioned that even if an agreement were reached it would need Trump’s sign off – and his position isn’t clear.

Read more here.

WASHINGTON (Reuters) -U.S. Commerce Secretary Howard Lutnick said on Sunday he was confident the United States can secure a trade deal with the European Union, but August 1 is a hard deadline for tariffs to kick in.

Lutnick said he had just gotten off the phone with European trade negotiators and there was \\"plenty of room\\" for agreement.

\\"These are the two biggest trading partners in the world, talking to each other. We'll get a deal done. I am confident we'll get a deal done,\\" Lutnick said in an interview with CBS' \\"Face the Nation.\\"

President Donald Trump threatened on July 12 to impose a 30% tariff on imports from Mexico and the European Union starting on August 1, after weeks of negotiations with the major U.S. trading partners failed to reach a comprehensive trade deal.

Lutnick said that was a hard deadline.

\\"Nothing stops countries from talking to us after August 1, but they're going to start paying the tariffs on August 1,\\" he said on CBS.

Read more here

NEW YORK (AP) — With summer in full swing in the United States, retail executives are sweating a different season. It’s less than 22 weeks before Christmas, a time when businesses that make and sell consumer goods usually nail down their holiday orders and prices.

But President Donald Trump's vacillating trade policies have complicated those end-of-year plans. Balsam Hill, which sells artificial trees and other decorations online, expects to publish fewer and thinner holiday catalogs because the featured products keep changing with the tariff rates the president sets, postpones and revises.

“The uncertainty has led us to spend all our time trying to rejigger what we’re ordering, where we’re bringing it in, when it’s going to get here,” Mac Harman, CEO of Balsam Hill parent company Balsam Brands, said. “We don’t know which items we’re going to have to put in the catalog or not.\\"

Months of confusion over which foreign countries' goods may become more expensive to import has left a question mark over the holiday shopping season. U.S. retailers often begin planning for the winter holidays in January and typically finalize the bulk of their orders by the end of June. The seesawing tariffs already have factored into their calculations.

Read more here

(Bloomberg) — Hawaiian coffee farmers have a message for President Donald Trump: Steep tariffs on major exporters such as Brazil will end up hurting them, too.

Hawaii at first glance might seem the obvious beneficiary of tariffs on coffee. It is the only state in the country where the tropical goods grow, with the vast majority of java imbibed by Americans imported from South America and Vietnam. Higher priced foreign imports should, in theory, make the island state’s products comparatively more affordable.

But growers say the opposite is true: rising prices across the board will hit consumers already struggling with inflation, curbing demand on everything from popular everyday roasts available at grocery stores to luxury Kona beans.

While the discourse around trade and Trump’s “Buy American” mantra could draw attention to Hawaiian goods, the upshot for the state’s farmers is that “tariffs will probably will hurt us as much as it would hurt the mainland roasters,” said Suzanne Shriner, the vice president of the Kona Coffee Farmers Association and the president of Lions Gate Farms.

Read more here