Overview

• The White House dispatched formal letters to 14 nations notifying them of reciprocal levies ranging from 25% to 40% that will take effect on August 1 with no further extensions
• Japan and South Korea have intensified negotiations with U.S. officials to seek exemptions or rate reductions, focusing on their key auto and steel exports
• The European Union is reportedly nearing a framework that would cap a general U.S. tariff at 10% and exempt strategic sectors such as pharmaceuticals, aviation and semiconductors
• In a recent Cabinet meeting, President Trump announced 50% tariffs on copper and threatened up to 200% on pharmaceutical imports to pressure companies to relocate production to the United States
• Global equity markets have traded with mixed performance as investors weigh heightened trade tensions and await the outcome of accelerated bilateral talks