Trump calls on the EU not to sue American companies anymore! 50% tariffs extended to 7/9, US Treasury Secretary Bessent: striving to reach a high-tech protocol agreement.
U.S. President Donald Trump (Donald Trump) was scheduled to impose a 50% tariff on European goods on 6/1, but after a call with European Commission President von der Leyen (Ursula Gertrud von der Leyen), it was decided to postpone it to 7/9。 It also reflects the strategic direction outlined by US Treasury Secretary (Scott Bessent) in an interview on May 26 for the current US industrial economy. That is, through tough negotiations and industrial incentives, promote the strengthening of its own technology supply chain and pull back to the United States.
Key Summary
The United States originally planned to impose a 50% tariff on Europe on June 1, delayed to July 9.
Trump originally imposed a 20% tax on the EU, which has currently been temporarily reduced to 10%. If future negotiations fail, it will increase to 50%.
Trump criticizes the EU for suppressing Apple and Tesla, urging businesses to return to the US to set up factories.
The EU's new proposal covers non-tariff barriers, economic security, and bilateral investment.
U.S. Treasury Secretary Becerra stated that tariffs are not only a trade retaliation but also part of a "growth strategy."
U.S. economic goal: To reduce the fiscal deficit to a ratio starting with 3 of GDP by 2028.
The stablecoin policy is about to be implemented, which is expected to create a demand for $2 trillion in U.S. Treasury bonds.
The originally scheduled course on June 1 has been postponed due to the EU 50% tariff extension until July 9.
Trump stated on Truth Social on 5/23:
The EU has been bullying the US in trade, and negotiations have been dragging on, so I decided to impose a 50% tariff directly on the EU and encourage companies to return to the US to set up factories.
After the news broke, European Commission President Ursula von der Leyen subsequently tweeted on 5/26 (X) saying:
"The EU is ready to negotiate, but it will take some time to reach a good agreement; July 9 will be the deadline."
Immediately following, Trump also posted:
"I just had a pleasant phone call with von der Leyen, so I've decided to wait a little longer."
A 50% tariff on the EU affects a total bilateral trade volume of $321 billion.
According to Bloomberg's estimate, assuming Trump really imposes a 50% tariff on Europe:
The total value of bilateral trade exceeds 321 billion US dollars.
The GDP of the United States decreased by 0.6%.
Inflation rises over 0.3%
Trump calls for strengthening the technology Supply Chain, echoing the views of the U.S. Treasury Secretary.
Trump previously stated that what the United States wants is military equipment, AI, and the Supply Chain for chips, rather than bringing back clothing and shoes to be made in the United States. This corresponds with the views shared by U.S. Treasury Secretary Scott Bessent during an interview on May 26.
"The United States must focus on high-tech manufacturing, rather than wasting resources on sunset industries."
The EU's new proposal has been exposed, emphasizing safe cooperation and the removal of technical barriers.
According to informed officials, the EU proposed an updated negotiation draft last week, which includes:
Addressing non-tariff trade barriers: such as inspection processes, product certification
Bilateral Economic Security Cooperation: Focusing on Key Technologies such as Semiconductors and AI
Joint Investment Platform Construction
Cooperative mechanisms to address global challenges such as climate and energy
Three major policy directions to promote U.S. economic growth, U.S. Treasury Secretary: Growth first, then discuss the deficit.
Facing external doubts that tax cuts and tariffs will exacerbate the U.S. fiscal deficit. In response, Treasury Secretary Basant emphasized three major economic policy directions currently:
Trade Strategy: Includes Tariffs
Extend the 2017 Tax Reform Act to 2034, allowing businesses to feel stable and secure about the policy.
Relax regulations to stimulate capital investment and capital repatriation.
Besent also called out:
"Deficits are not the issue; the key is whether the economy is growing!"
Currently executed plans, tariffs, Doge, and drug price reforms.
Besant has also listed several ongoing open-source cost-cutting solutions:
Import tariffs: can bring in hundreds of billions of dollars in revenue each year.
Doge: Plans to eliminate redundant budgets and inefficient subsidies
Drug Price Reform Bill: Expected to Effectively Compress Federal Healthcare Spending
He stated that the results will gradually reflect on the deficit curve in the coming seasons, with the goal of reducing the fiscal deficit to a figure starting with 3 as a percentage of GDP by 2028.
Stablecoins are on the way, regulations are easing, and the United States is ready to welcome a new wave of capital.
Bessent also revealed that the stablecoin bill is about to be implemented:
In the short term, it is expected to drive up to 2 trillion dollars in demand for U.S. Treasury bonds.
will tie stablecoins to US bonds to consolidate the "digital dollar hegemony"
It also synchronously relaxes the bank's supplementary leverage ratio ( SLR ) restrictions, making local banks more willing to hold U.S. Treasury bonds, which can also help the government raise funds.
Whether the EU concedes is the focus, and we still need to pay attention to the direction of U.S. policy.
In summary, you can pay attention to the following four points:
Will the EU make concessions on technical openness, non-tariff barriers, and investment cooperation agreements on 7/9?
The return of the technology Supply Chain is the main axis of the US policy.
The stablecoin bill has become a new tool to consolidate the hegemony of the US dollar.
The effectiveness of the policy will be observed until the fiscal deficit situation in 2028.
(AI Crypto Tsar Sacks: The "GENIUS Act" could create trillions in US debt demand, stablecoin impacts bank profitability )
In this article, Trump calls on the EU not to sue American companies! 50% tariffs extended to 7/9, US Treasury Secretary Bessent: Striving to negotiate a high-tech agreement, first appeared on Chain News ABMedia.
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Trump calls on the EU not to sue American companies anymore! 50% tariffs extended to 7/9, US Treasury Secretary Bessent: striving to reach a high-tech protocol agreement.
U.S. President Donald Trump (Donald Trump) was scheduled to impose a 50% tariff on European goods on 6/1, but after a call with European Commission President von der Leyen (Ursula Gertrud von der Leyen), it was decided to postpone it to 7/9。 It also reflects the strategic direction outlined by US Treasury Secretary (Scott Bessent) in an interview on May 26 for the current US industrial economy. That is, through tough negotiations and industrial incentives, promote the strengthening of its own technology supply chain and pull back to the United States.
Key Summary
The United States originally planned to impose a 50% tariff on Europe on June 1, delayed to July 9.
Trump originally imposed a 20% tax on the EU, which has currently been temporarily reduced to 10%. If future negotiations fail, it will increase to 50%.
Trump criticizes the EU for suppressing Apple and Tesla, urging businesses to return to the US to set up factories.
The EU's new proposal covers non-tariff barriers, economic security, and bilateral investment.
U.S. Treasury Secretary Becerra stated that tariffs are not only a trade retaliation but also part of a "growth strategy."
U.S. economic goal: To reduce the fiscal deficit to a ratio starting with 3 of GDP by 2028.
The stablecoin policy is about to be implemented, which is expected to create a demand for $2 trillion in U.S. Treasury bonds.
The originally scheduled course on June 1 has been postponed due to the EU 50% tariff extension until July 9.
Trump stated on Truth Social on 5/23:
The EU has been bullying the US in trade, and negotiations have been dragging on, so I decided to impose a 50% tariff directly on the EU and encourage companies to return to the US to set up factories.
After the news broke, European Commission President Ursula von der Leyen subsequently tweeted on 5/26 (X) saying:
"The EU is ready to negotiate, but it will take some time to reach a good agreement; July 9 will be the deadline."
Immediately following, Trump also posted:
"I just had a pleasant phone call with von der Leyen, so I've decided to wait a little longer."
A 50% tariff on the EU affects a total bilateral trade volume of $321 billion.
According to Bloomberg's estimate, assuming Trump really imposes a 50% tariff on Europe:
The total value of bilateral trade exceeds 321 billion US dollars.
The GDP of the United States decreased by 0.6%.
Inflation rises over 0.3%
Trump calls for strengthening the technology Supply Chain, echoing the views of the U.S. Treasury Secretary.
Trump previously stated that what the United States wants is military equipment, AI, and the Supply Chain for chips, rather than bringing back clothing and shoes to be made in the United States. This corresponds with the views shared by U.S. Treasury Secretary Scott Bessent during an interview on May 26.
"The United States must focus on high-tech manufacturing, rather than wasting resources on sunset industries."
The EU's new proposal has been exposed, emphasizing safe cooperation and the removal of technical barriers.
According to informed officials, the EU proposed an updated negotiation draft last week, which includes:
Addressing non-tariff trade barriers: such as inspection processes, product certification
Bilateral Economic Security Cooperation: Focusing on Key Technologies such as Semiconductors and AI
Joint Investment Platform Construction
Cooperative mechanisms to address global challenges such as climate and energy
Three major policy directions to promote U.S. economic growth, U.S. Treasury Secretary: Growth first, then discuss the deficit.
Facing external doubts that tax cuts and tariffs will exacerbate the U.S. fiscal deficit. In response, Treasury Secretary Basant emphasized three major economic policy directions currently:
Trade Strategy: Includes Tariffs
Extend the 2017 Tax Reform Act to 2034, allowing businesses to feel stable and secure about the policy.
Relax regulations to stimulate capital investment and capital repatriation.
Besent also called out:
"Deficits are not the issue; the key is whether the economy is growing!"
Currently executed plans, tariffs, Doge, and drug price reforms.
Besant has also listed several ongoing open-source cost-cutting solutions:
Import tariffs: can bring in hundreds of billions of dollars in revenue each year.
Doge: Plans to eliminate redundant budgets and inefficient subsidies
Drug Price Reform Bill: Expected to Effectively Compress Federal Healthcare Spending
He stated that the results will gradually reflect on the deficit curve in the coming seasons, with the goal of reducing the fiscal deficit to a figure starting with 3 as a percentage of GDP by 2028.
Stablecoins are on the way, regulations are easing, and the United States is ready to welcome a new wave of capital.
Bessent also revealed that the stablecoin bill is about to be implemented:
In the short term, it is expected to drive up to 2 trillion dollars in demand for U.S. Treasury bonds.
will tie stablecoins to US bonds to consolidate the "digital dollar hegemony"
It also synchronously relaxes the bank's supplementary leverage ratio ( SLR ) restrictions, making local banks more willing to hold U.S. Treasury bonds, which can also help the government raise funds.
Whether the EU concedes is the focus, and we still need to pay attention to the direction of U.S. policy.
In summary, you can pay attention to the following four points:
Will the EU make concessions on technical openness, non-tariff barriers, and investment cooperation agreements on 7/9?
The return of the technology Supply Chain is the main axis of the US policy.
The stablecoin bill has become a new tool to consolidate the hegemony of the US dollar.
The effectiveness of the policy will be observed until the fiscal deficit situation in 2028.
(AI Crypto Tsar Sacks: The "GENIUS Act" could create trillions in US debt demand, stablecoin impacts bank profitability )
In this article, Trump calls on the EU not to sue American companies! 50% tariffs extended to 7/9, US Treasury Secretary Bessent: Striving to negotiate a high-tech agreement, first appeared on Chain News ABMedia.