{"id":156098,"date":"2025-07-07T09:49:53","date_gmt":"2025-07-07T09:49:53","guid":{"rendered":"https:\/\/quixnet.net\/wpinstance\/donald-trump-threatens-extra-10-tariff-for-anti-american-brics-policies-as-trade-war-deadline-approaches-business-live-the-guardian\/"},"modified":"2025-07-07T09:49:53","modified_gmt":"2025-07-07T09:49:53","slug":"donald-trump-threatens-extra-10-tariff-for-anti-american-brics-policies-as-trade-war-deadline-approaches-business-live-the-guardian","status":"publish","type":"post","link":"https:\/\/quixnet.net\/wpinstance\/donald-trump-threatens-extra-10-tariff-for-anti-american-brics-policies-as-trade-war-deadline-approaches-business-live-the-guardian\/","title":{"rendered":"Donald Trump threatens extra 10% tariff for \u2018anti-American\u2019 Brics policies, as trade war deadline approaches \u2013 business live – The Guardian"},"content":{"rendered":"

Rolling coverage of the latest economic and financial news, as Trump declares \u2018tariff letters and\/or deals\u2019 will be delivered from 12:00 PM (Eastern) today
Trump and US commerce secretary say tariffs are delayed until 1 August, sparking confusion<\/a>
Good morning, and welcome to our rolling coverage of business, the financial markets, and the world economy.<\/strong>
Donald<\/strong> Trump<\/strong> has targeted the BRICS group of developing nations in the latest salvo of his ongoing trade war, as the deadline to agree deals before the president\u2019s 90-day tariff pause looms.
Trump<\/strong> has warned overnight that he will impose a new 10% tariff on any country that aligns itself with the BRICS group, claiming they are \u201canti-American\u201d.
Writing on his Truth Social site, Trump<\/strong> declared:
<\/path><\/svg>Any Country aligning themselves with the Anti-American policies of BRICS, will be charged an ADDITIONAL 10% Tariff. There will be no exceptions to this policy. Thank you for your attention to this matter!
Trump\u2019s<\/strong> attack comes after the Brics group \u2014 which was originally made up of Brazil, Russia, India, China and South Africa but now includes other nations \u2014 met in Brazil at the weekend.
Brazil\u2019s president Luiz Inacio Lula da Silva<\/strong>, told the meeting in Rio de Janeiro that BRICS was the heir to the \u201cNon-Aligned Movement\u201d \u2013 the bloc of countries who declined to ally with either side in the Cold War.
Lula<\/strong> criticised the move (driven by Trump) towards increased spending on the military rather than on international development, pointing out: \u201cIt is always easier to invest in war than in peace\u201d.
He told leaders they were witnessing \u201cthe unparalleled collapse of multilateralism\u201d, before warning:
<\/path><\/svg>\u201cIf international governance does not reflect the new multipolar reality of the 21st century, it is up to BRICS to help bring it up to date.\u201d
The BRICS<\/strong> group also condemned US and Israeli attacks on Iran and urged \u201cjust and lasting\u201d solutions to conflicts across the Middle East.
All of which appears to have stirred Trump into another tariff threat.
There\u2019s also confusion this morning about the status of the original \u2018liberation day\u2019 tariffs which Trump announced at the start of April, and then paused for 90 days after the markets slumped.
The president told reporters on Sunday that his administration plans to start sending letters later today to US trade partners dictating new tariffs.
But there\u2019s confusion about when these levies would kick in. Trump<\/strong> implied they would start on Wednesday, saying \u201cI think we\u2019ll have most countries done by July 9, yeah. Either a letter or a deal.\u201d
But commerce secretary Howard<\/strong> Lutnick<\/strong> then weighed in to explain:
<\/path><\/svg>\u201cBut they go into effect on August 1. Tariffs go into effect August 1, but the president is setting the rates and the deals right now.\u201d
Trump<\/strong> has subsequently posted that \u201cTARIFF Letters, and\/or Deals\u201d will be delivered from 12:00 PM (Eastern)\u201c today, (that\u2019s 5pm BST)
7am BST: Halifax house price index for June
2pm BST: Eurogroup ministers meeting in Brussels
The indications that new US tariffs could kick in on 1 August, rather than this week, could bring some relief to markets.<\/strong>
But that\u2019s probably countered by Donald Trump\u2019s threat of a new 10% tariff on imports from BRICS-aligned countries.
This has left the Stoxx<\/strong> 600<\/strong> up 0.16% in early trading, with Germany\u2019s DAX<\/strong> index gaining 0.6%.
Joshua Mahony<\/strong>, chief market analyst at Rostro<\/strong>, explains:
<\/path><\/svg>A mixed affair for European equities this morning, with traders weighing up the implications of Donald Trump\u2019s decision to delay the reciprocal tariffs (against) set against the threat of a 10% BRICS tax. Whether it is a case of him chickening out, he clearly does not want to implement the reciprocal tariffs in their original format, and thus what started as April, pushed to July, and now turns to August.
There will be many that see this as weakening his hand as nations note his unwillingness to follow through on his threats. Nonetheless, this once again provides markets with a breather, bringing over three-weeks longer until tariffs kick in.
After last week\u2019s gyrations, the UK bond market is looking calmer this morning.<\/strong>
The prices on UK short and long-term government bonds have risen slightly, which has pulled down yields (the effective interest rate on the debt) a little.
The yield on 10-year gilts is hovering around 4.538%, down two basis points from Friday night\u2019s close of 4.552%.
That\u2019s lower than the 4.633% hit last Wednesday, when uncertainty over chancellor Rachel Reeves\u2019s future hit the bond market. But it\u2019s still higher than the 4.498% set at the end of June, before worries about change at the top of the Treasury pushed up borrowing costs.
Dean Turner<\/strong>, economist at UBS<\/strong>, suggests gilts could be attractive at current levels, telling clients:
<\/path><\/svg>We learned last week that any attempt to curb spending is going to prove almost impossible for this government, even with such a large majority. This inevitably means taxes are going up. The sooner the government is honest with the public and gets the deed done, the better.
For investors in the gilt market, the volatility is likely here to stay for the time being. But this does not mean gilts do not look attractive, especially relative to cash, as interest rates will be much lower by the time the government\u2019s second anniversary comes around.
Despite the uncertainty over tariffs, investor sentiment in the eurozone has hit its highest level in over three years.<\/strong>
The Sentix<\/strong> index, which tracks euro area investor morale, has risen to 4.5 points this month, a rise of 4.4 points, its highest reading since February 2022.
#sentix<\/a> Economic Index: Upswing gains breadth – third increase in a row
In the eurozone, the overall index rose by 4.4 points to reach +4.5 points, its highest level since February 2022. Current situation values in particular are now picking up. A plus of +5.8 points means the\u2026 pic.twitter.com\/nmjZ65jsdt<\/a>
A measure of the current economic situation rose, but remained in negative territory, while a gauge of economic expectations also increased.
Sentix<\/strong> says:
<\/path><\/svg>Overall, the global upturn is gaining in breadth. The US economy in particular is making up ground. After the weak previous months, the US economy showed the greatest growth in July. The regions of Japan and Asia ex Japan are also providing growth impetus.
Oof! Tesla\u2019s shares are down over 7% in pre-market trading in New York, as investors react to Elon Musk\u2019s launch of the new America party.<\/strong>
That, by my maths, knocks around $70bn of Tesla\u2019s market value, pulling it below the $1tn level to around $945bn.
Victoria Scholar, <\/strong>head of investment at interactive investor<\/a>, <\/strong>says:
<\/path><\/svg>Much to the dismay of Tesla\u2019s shareholders, after a brief political hiatus, it looks like Musk is renewing his focus on Washington once again, meaning he\u2019ll have less time to spend on the electric vehicle giant. There is a distant idea that Musk garnering great political influence could mean a bounce back in interest in the green energy transition and a boost to green subsidies which would help Tesla. However, the more realistic, shorter-term likelihood is that Musk\u2019s political shift is negative for Tesla since it comes at a time when the company\u2019s performance is lagging, which necessitates a more hands-on approach from its boss.
It looks like shares in Tesla will open lower today on Wall Street, with its Frankfurt listed shares in the red this morning. The stock is already down around 17% this year, sharply underperforming most mega cap tech names and the wider US stock market. Its latest figures revealed that Tesla is struggling amid Musk\u2019s political focus and increased competition from EV rivals. The company suffered a 13.5% drop in quarterly deliveries in April to June, falling short of Wall Street\u2019s estimates. It looks like there\u2019s a long, bumpy, uphill drive ahead for Tesla.\u201d
The co-head of Japan\u2019s opposition Japan<\/strong> Innovation<\/strong> Party<\/strong> has called on Tokyo to diversify its trade ties beyond the US market, and focus on countries favouring free trade.
Hirofumi Yoshimura<\/strong> warned that Donald Trump\u2019s tariffs show that the US is a source of uncertainty that could hurt its economy.
Citing Europe as an example, he told Reuters:
<\/path><\/svg>\u201cJapan should expand trade ties with countries that focus on free trade.\u201d
\u201cInstead of standing on just one, big pillar like the U.S., Japan should stand on, say, five to 10 smaller pillars. That\u2019s a better approach to avoid its roof from falling off.\u201d
China opposes tariffs being used as a tool to coerce others, the Chinese foreign ministry said on Monday, after Donald Trump threatened an extra 10% tariffs on countries aligning themselves with the BRICS group of developing nations<\/a>.<\/strong>
The use of tariffs serves no one, said Mao<\/strong> Ning<\/strong>, spokesperson of the ministry, at a regular press conference, Reuters reports<\/em>.
Over in Frankfurt, shares in Tesla are sliding as the row between Elon Musk and Donald Trump escalates.<\/strong>
Telsa<\/strong> have fallen 3% in early trading, an indication that they could fall when Wall Street trading begins later today, as investors react to Musk\u2019s<\/strong> plan to launch a new US political party called the America party.
Trump<\/strong> called the idea \u201cridiculous\u201d, and claimed Musk<\/strong> had gone completely \u2018off the rails\u2019.
Veteran tech analyst Dan<\/strong> Ives<\/strong> of Wedbush<\/strong> said Musk<\/strong> was Tesla\u2019s \u201cbiggest asset\u201d and his decision to dive deeper into politics could hurt the car maker\u2019s share price.
Ives<\/strong> wrote:
<\/path><\/svg>\u201cTesla needs Musk as CEO and its biggest asset and not heading down the political route yet again…while at the same time getting on Trump\u2019s bad side.
\u201cIt would also not shock us if the Tesla board gets involved at some point given the political nature of this endeavour depending on how far Musk takes it.\u201d
London\u2019s stock market has slipped very slightly at the start of trading.<\/strong>
The FTSE<\/strong> 100<\/strong> index of blue-chip shares has dropped by 9 points, or 0.1%.
Shell<\/strong> are the top faller, down 1.8%, after lowering its forecast for gas output and natural gas production this morning, and predicting that trading and optimisation at its integrated gas division in the last quarter will be significantly lower than in Q1.
Standard<\/strong> Chartered<\/strong> (+1.4%), the Asia-Pacific focused bank, are the top riser.
UK house prices stagnated last month, new data from lender Halifax shows.<\/strong>
Halifax<\/strong> reports that house prices were effectively unchanged month-on-month in June with the average price of a property sold coming in at \u00a3296,665, compared to \u00a3296,782 in May.
This pulled the annual rate of house price inflation down to 2.5% from 2.6% in May.
Northern<\/strong> Ireland<\/strong> has by far the strongest annual price growth in the UK, with prices up by +9.6% over the past year.
But, growth was much more subdued in the South<\/strong> West<\/strong> of<\/strong> England<\/strong>, and London<\/strong>, with prices rising by just +0.5% and +0.6% respectively.
Amanda Bryden<\/strong>, head of mortgages at Halifax<\/strong>, said the UK housing market \u201cremained steady in June\u201d, adding:
<\/path><\/svg>\u201cThe market\u2019s resilience continues to stand out and, after a brief slowdown following the spring stamp duty changes, mortgage approvals and property transactions have both picked up, with more buyers returning to the market. That\u2019s being helped by a few key factors: wages are still rising, which is easing some of the pressure on affordability, and interest rates have stabilised in recent months, giving people more confidence to plan ahead.
Bryden <\/strong>pointed out that affordability is still stretched, particularly for those coming to the end of fixed-rate deals, explaining:
<\/path><\/svg>The economic backdrop also remains uncertain; while inflation has eased, it\u2019s still above target, and there are signs the jobs market may be softening.
According to @HalifaxBank<\/a> average house price growth was flat in June making the average property price now \u00a3296,665, down \u00a3117 on May\u2019s efforts. Moving forward increased flex around mortgage lending and two rate cuts has the lender expectant of a more buoyant market towards the\u2026 pic.twitter.com\/jdCqNEjyGt<\/a>
Most Asia-Pacific markets are in the red today.<\/strong>
Japan\u2019s Nikkei<\/strong> 225<\/strong> index has dropped by 0.55%, Hong Kong\u2019s Hang<\/strong> Seng<\/strong> is down 0.4%, Australia\u2019s S&P\/ASX<\/strong> is off 0.15%, and India\u2019s Sensex<\/strong> has slipped by 0.1%
Jim Reid<\/strong>, market strategist at Deutsche<\/strong> Bank<\/strong>, says:
<\/path><\/svg>\u201cAsian equity markets are a little nervous this morning, perhaps on Trump\u2019s BRICs comments.\u201d
Some BRICS currencies have also dipped this morning.<\/strong>
South Africa\u2019s<\/strong> rand has fallen 1%, to 17.75\/$ from 17.57\/$ on Friday night.
India\u2019s<\/strong> rupee has slipped by 0.5% against the dollar, to 85.8 rupees\/$ down from 85.3925\/$ at the end of last week.
China\u2019s<\/strong> yuan has slipped by 0.1%, while Brazil\u2019s<\/strong> real and Russia\u2019s<\/strong> rouble are both flat.
Many currencies are slipping against the US dollar this morning, as traders await news of the tariff \u2018deals and letters\u2019 which Donald Trump says he will issue later today.<\/strong>
The euro<\/strong> has slipped by 0.15% against the dollar to $1.176, not too far from the near-four-year high touched last week.
The Australian<\/strong> dollar has lost 0.7%, while New<\/strong> Zealand\u2019s<\/strong> dollar has dropped by 0.95%.
The British<\/strong> pound is also weakening a little, down 0.35% at just over $1.36.
So far, only the UK, China and Vietnam have reached any kind of trade agreements with the US in the last 90 days\u2026.
Good morning, and welcome to our rolling coverage of business, the financial markets, and the world economy.<\/strong>
Donald<\/strong> Trump<\/strong> has targeted the BRICS group of developing nations in the latest salvo of his ongoing trade war, as the deadline to agree deals before the president\u2019s 90-day tariff pause looms.
Trump<\/strong> has warned overnight that he will impose a new 10% tariff on any country that aligns itself with the BRICS group, claiming they are \u201canti-American\u201d.
Writing on his Truth Social site, Trump<\/strong> declared:
<\/path><\/svg>Any Country aligning themselves with the Anti-American policies of BRICS, will be charged an ADDITIONAL 10% Tariff. There will be no exceptions to this policy. Thank you for your attention to this matter!
Trump\u2019s<\/strong> attack comes after the Brics group \u2014 which was originally made up of Brazil, Russia, India, China and South Africa but now includes other nations \u2014 met in Brazil at the weekend.
Brazil\u2019s president Luiz Inacio Lula da Silva<\/strong>, told the meeting in Rio de Janeiro that BRICS was the heir to the \u201cNon-Aligned Movement\u201d \u2013 the bloc of countries who declined to ally with either side in the Cold War.
Lula<\/strong> criticised the move (driven by Trump) towards increased spending on the military rather than on international development, pointing out: \u201cIt is always easier to invest in war than in peace\u201d.
He told leaders they were witnessing \u201cthe unparalleled collapse of multilateralism\u201d, before warning:
<\/path><\/svg>\u201cIf international governance does not reflect the new multipolar reality of the 21st century, it is up to BRICS to help bring it up to date.\u201d
The BRICS<\/strong> group also condemned US and Israeli attacks on Iran and urged \u201cjust and lasting\u201d solutions to conflicts across the Middle East.
All of which appears to have stirred Trump into another tariff threat.
There\u2019s also confusion this morning about the status of the original \u2018liberation day\u2019 tariffs which Trump announced at the start of April, and then paused for 90 days after the markets slumped.
The president told reporters on Sunday that his administration plans to start sending letters later today to US trade partners dictating new tariffs.
But there\u2019s confusion about when these levies would kick in. Trump<\/strong> implied they would start on Wednesday, saying \u201cI think we\u2019ll have most countries done by July 9, yeah. Either a letter or a deal.\u201d
But commerce secretary Howard<\/strong> Lutnick<\/strong> then weighed in to explain:
<\/path><\/svg>\u201cBut they go into effect on August 1. Tariffs go into effect August 1, but the president is setting the rates and the deals right now.\u201d
Trump<\/strong> has subsequently posted that \u201cTARIFF Letters, and\/or Deals\u201d will be delivered from 12:00 PM (Eastern)\u201c today, (that\u2019s 5pm BST)
7am BST: Halifax house price index for June
2pm BST: Eurogroup ministers meeting in Brussels<\/p>\n

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Rolling coverage of the latest economic and financial news, as Trump declares \u2018tariff letters and\/or deals\u2019 will be delivered from 12:00 PM (Eastern) todayTrump and US commerce secretary say tariffs are delayed until 1 August, sparking confusionGood morning, and welcome to our rolling coverage of business, the financial markets, and the world economy.Donald Trump has […]<\/p>\n","protected":false},"author":1,"featured_media":156099,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","footnotes":""},"categories":[9],"tags":[],"class_list":["post-156098","post","type-post","status-publish","format-standard","has-post-thumbnail","category-us","entry"],"_links":{"self":[{"href":"https:\/\/quixnet.net\/wpinstance\/wp-json\/wp\/v2\/posts\/156098","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/quixnet.net\/wpinstance\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/quixnet.net\/wpinstance\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/quixnet.net\/wpinstance\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/quixnet.net\/wpinstance\/wp-json\/wp\/v2\/comments?post=156098"}],"version-history":[{"count":0,"href":"https:\/\/quixnet.net\/wpinstance\/wp-json\/wp\/v2\/posts\/156098\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/quixnet.net\/wpinstance\/wp-json\/wp\/v2\/media\/156099"}],"wp:attachment":[{"href":"https:\/\/quixnet.net\/wpinstance\/wp-json\/wp\/v2\/media?parent=156098"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/quixnet.net\/wpinstance\/wp-json\/wp\/v2\/categories?post=156098"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/quixnet.net\/wpinstance\/wp-json\/wp\/v2\/tags?post=156098"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}