Overview

• President Trump signed an executive order on July 6 to push back the start of threatened EU tariffs to August 1 and keep negotiations alive.
• At noon on July 7, the administration dispatched the first letters to seven uncooperative countries outlining new reciprocal rates from 25% to 40% effective August 1.
• Trump threatened an additional 10% levy on any nation aligning with BRICS policies, prompting a joint statement of serious concern from the bloc’s leaders.
• Brussels has shifted its stance from zero tariffs to a 10% common rate with exemptions for strategic sectors under Ursula von der Leyen’s guidance.
• The European Commission has prepared two countermeasure packages valued at up to €120 billion and continues high-level calls and Coreper meetings to secure a deal.