Donald Trump Tariff News Highlights: Germany expects zero GDP growth this year, blames Trump tariffs

The European Union and United States are far from reaching a deal on tariffs, France's economy minister said Thursday, as the bloc seeks a way out from trade tensions with Washington.

"We're not going to hide the fact that we're still a long way from an agreement," said minister Eric Lombard in an interview on the sidelines of the International Monetary Fund and World Bank's spring meetings in Washington.

China on Thursday denied any suggestion that it was in active negotiations with the administration of US President Donald Trump over tariffs, saying that any notion of progress in the matter was as groundless as “trying to catch the wind.”

China’s comments come after Trump said Tuesday that things were going “fine with China” and that the final tariff rate on Chinese exports would come down “substantially” from the current 145%.

Guo Jiakun, a spokesman for China's Foreign Ministry, said during a daily briefing on Thursday that, “For all I know, China and the U.S. are not having any consultation or negotiation on tariffs, still less reaching a deal.”

“China’s position is consistent and we are open to consultations and dialogues, but any form of consultations and negotiations must be conducted on the basis of mutual respect and in an equal manner,” Commerce Ministry spokesman He Yadong said.

“Any claims about the progress of China-U.S. trade negotiations are groundless as trying to catch the wind and have no factual basis," the spokesman said.

Trump had told reporters earlier in the week that "everything’s active” when asked if he was engaging with China, although his treasury secretary had said there were no formal negotiations.

After years spent working in sweatshops in California, Francisco Tzul got a job at a trendy lingerie brand that prides itself on ethical business practices and a "Made in America" approach.

But the 60-year-old immigrant from Guatemala now fears being laid off over President Donald Trump's sweeping tariffs on US trading partners.

Trump acknowledges his tariffs will cause Americans some pain initially, but believes that in the long run they will help bring industrial production back to the United States.

But for the Cantiq brand, which makes lingerie in Los Angeles from fabrics often sourced from Asia, the additional tariffs mean higher production costs and potential layoffs.

The tariffs "will harm the economy, not only for the owners, but the workers as well," Tzul, who has been employed at Cantiq for five years, told AFP on a recent afternoon.

Procter & Gamble cut its sales and profit forecast Thursday, citing a pullback in consumer behavior as uncertainty over tariffs and the economy cloud the picture.
P&G, whose brands include Tide detergent and Crest toothpaste, now sees flat sales for its current fiscal year after previously projecting growth of as much as four percent.

Executives also signaled likely price increases due to tariffs after trimming the full-year profit increase to a range of six to eight percent per share from the prior 10-12 percent range.

The company has seen a negative shift in consumption in recent weeks in both the United States and Europe compared with the prior 12 months, said Andre Schulten, chief financial officer of the consumer products giant.

Consumers are adopting a "wait and see attitude" as they monitor stock market gyrations in light of tariff headlines and weigh uncertainty around the job market, mortgage rates and other factors, Schulten said.

"We saw traffic down at the retailers and we saw consumers basically looking for value," Schulten said on a conference call with reporters.

"All those behaviors impact our top line," he said of the revenue outlook. "The main driver is a more nervous consumer reducing consumption in the short term."

US treasury secretary Scott Bessent's criticism of the International Monetary Fund raised "a number of important issues" to grapple with, the head of the Washington-based institution said Thursday.

A day earlier, Bessent used a speech in Washington to criticize the Fund for devoting "disproportionate time and resources to work on climate change, gender, and social issues," and not enough time on its core function lending to countries struggling with balance of payments problems.

He also criticized the Fund for not calling out China for pursuing "globally distortive policies and opaque currency practices for many decades," but stopped short of calling for major reforms to the international lender of last resort.

Speaking to reporters in Washington on Thursday, IMF Managing Director Kristalina Georgieva said she appreciated Bessent's "reiteration of the US commitment to the Fund and to its role."

"He raised a number of important issues and priorities for the institution that I look forward to discussing with the US authorities and the membership as a whole," she said, adding: "We have a way to go, and we are laser focused on it."

Germany's economy is expected to post zero growth in 2025, outgoing Economy Minister Robert Habeck said Thursday, blaming US President Donald Trump's trade policy.

"The US trade policy of threatening and imposing tariffs has a direct impact on the German economy, which is very export-oriented," he said, presenting the forecast.

The German government had previously expected slight GDP growth of 0.3 percent for this year after Europe's top economy shrank for the past two years.

The United States, a key destination for German products from cars to chemicals, is its largest trading partner and last year took about 10 percent of its exports.

The United States under Trump now levies a 10 percent tariff on European Union exports into the country, having earlier announced a higher 20 percent rate which was then paused.

"Tariffs and trade policy turbulence are hitting the German economy harder than other nations," Habeck said.

"We depend on open markets, functioning markets, and a globalised world. That's what has made this country rich," he told a Berlin press conference.

British consumer goods giant Unilever on Thursday said the impact of US tariffs on its products would be "limited", as it reported a dip in first quarter revenue.
The group whose products range from Dove soap to Ben & Jerry's ice cream maintained its 2025 outlook despite the uncertainty posed by US President Donald Trump's baseline 10 percent tariffs on global imports.

"Heightened global macroeconomic uncertainty is a fact," new chief executive Fernando Fernandez said in an earnings statement, after Trump this month paused plans to impose higher duties on dozens of countries.

But Unilever added that "the direct impact of tariffs on our profitability is expected to be limited and manageable".

The group said revenue dropped less than one percent to 14.8 billion euros ($16.8 billion) in the first quarter compared to the first three months of 2024.

Fernandez took the helm in March, succeeding Hein Schumacher, who stepped down after less than two years in the role, during which time the company posted two sets of disappointing annual results.

"The quality of our innovation programme, the strong investment behind our brands and our improving competitiveness give us confidence we will deliver on our full year plans," Fernandez said Thursday.

Unilever is undergoing a major overhaul, which includes cutting around 7,500 jobs and spinning off its ice cream division into a standalone business.

The Magnum Ice Cream Company is set to operate from July 1.

Finnish telecoms equipment maker Nokia on Thursday reported a net loss of 60 million euros ($68 million) for the first quarter, citing the tariff wars and the "rapidly evolving global trade landscape".

The company said tariffs imposed by the United States could result in "some short-term disruption" in its operations, but held its outlook of posting an annual operating profit.

"We are not immune to the rapidly evolving global trade landscape," chief executive Justin Hotard said in a statement.

"However based on early customer feedback, I believe our markets should prove to be relatively resilient," he added.

Hotard said the company expects the current tariffs would impact second quarter comparable operating profit by 20 to 30 million euros.

The company posted an operating profit of 432 million euros in the second quarter last year.

US President Donald Trump implemented a tariff of 10 percent on global imports this month, but he paused plans for higher duties on dozens of countries, including a 20 percent duty for goods from EU nations.

Americans’ trust in President Donald Trump to bolster the U.S. economy appears to be faltering, with a new poll showing that many people fear the country is being steered into a recession and that the president’s broad and haphazardly enforced tariffs will cause prices to rise.

Roughly half of U.S. adults say that Trump’s trade policies will increase prices “a lot” and another 3 in 10 think prices could go up “somewhat,” according to the poll by The Associated Press-NORC Center for Public Affairs Research.

About half of Americans are “extremely” or “very” concerned about the possibility of the U.S. economy going into a recession in the next few months.

While skepticism about tariffs is increasing modestly, that doesn’t mean the public is automatically rejecting Trump or his approach to trade. However, the wariness could cause problems for a president who promised voters he could quickly fix inflation.

Trump shows vulnerability on the economy
Three months into his second term, Trump’s handling of the economy and tariffs is showing up as a potential weakness. About 4 in 10 Americans approve of the way the Republican president is handling the economy and trade negotiations. That’s roughly in line with an AP-NORC poll conducted in March.

PepsiCo lowered its full-year earnings expectations Thursday, citing increased costs from tariffs and a pullback in consumer spending.

The maker of Pepsi beverages and Frito-Lay snacks said it now expects its core earnings per share to be even with last year. Previously it expected mid-single-digit percentage growth.

A 25% tariff on imported aluminum is among those hitting PepsiCo and other beverage makers.

PepsiCo’s net revenue fell 1.8% to $17.9 billion in the first quarter as its sales volumes dropped around the world. That was slightly higher than the $17.8 billion Wall Street was expecting, according to analysts polled by FactSet.

The Purchase, New York, company’s net income fell 10% to $1.8 billion. Adjusted for one-time items, PepsiCo earned $1.48 per share. That was slightly lower than the $1.49 analysts forecast.

Italian oil and gas giant Eni said it would make cuts worth 2 billion euros this year due to the macroeconomic downturn and uncertainty over tariffs, but stood by planned dividend payments to shareholders.

Eni's quarterly profit dropped by three percent to 1.17 billion ($1.33 billion) from 1.21 billion in the year-ago period in what chief executive Claudio Descalzi called solid results "despite the uncertain macro-economic backdrop" and a drop in crude oil prices.

The company said in a statement it planned to take "mitigating actions" worth more than 2 billion euros during 2025 "in response to macro headwinds and uncertainty around trade tariffs."

It cited cuts in capital expenditures, costs and other cash initiatives to offset potential unknowns.

Net capital expenditure was now expected to be below six billion euros, compared with an earlier forecast of 6.5-7 billion euros, Eni said.

Descalzi said the company would stand by its planned dividends, which call for a 1.05 euro per share payout to shareholders this year, an increase of five percent.

The company also plans 1.5 billion euros in share buybacks.

Japan's three biggest automakers Toyota, Nissan and Honda said Thursday they all saw a spike in US sales last month, as consumers sought to dodge tariffs on vehicle imports.

President Donald Trump imposed in early April a 25-percent surcharge on automobiles imported into the United States in an attempt to revive the country's manufacturing prowess.

Reports at the time suggested US consumers had rushed to dealerships to purchase vehicles before the levies entered into force, something that Thursday's data backed up.

Toyota, the world's top-selling carmaker, said unit sales in the US market surged 7.7 percent year-on-year in March, to around 231,300 vehicles.

This was "due to continued strong demand as well as a rush in demand before the tariffs took effect", it said.

Nissan also reported US sales up 9.9 percent year-on-year in March, while Honda saw a spike of 13.2 percent.

Japanese companies are the biggest investors into the United States and Japan is a vital strategic ally for Washington.

The head of the International Monetary Fund urged countries to move “swiftly’’ to resolve trade disputes that threaten global economic growth.
IMF managing director Kristalina Georgieva said the unpredictability arising from President Donald Trump’s aggressive campaign of taxes on foreign imports is causing companies to delay investments and consumers to hold off on spending.

“Uncertainty is bad for business,’’ she told reporters Thursday in a briefing during the spring meetings of the IMF and its sister agency, the World Bank.

Georgieva’s comments came two days after the IMF downgraded the outlook for world economic growth this year. The 191-country lending organization, which seeks to promote global growth, financial stability and to reduce poverty, also sharply lowered its forecast for the United States. It said the chances that the world’s biggest economy would fall into recession have risen from 25%, to about 40%.

Georgieva warned that the economic fallout from trade conflict would fall most heavily on poor countries, which do not have the money to offset the damage.

Since returning the White House in January, Trump has aggressively imposed tariffs on American trading partners. Among other things, he’s slapped 145% import taxes on China and 10% on almost every country in the world, raising U.S. tariffs to levels not seen in more than a century. But he has repeatedly changed U.S. policy — suddenly suspending or altering the tariffs — and left companies bewildered about what he is trying to accomplish and what his end game might be.

Trump’s tariffs — a sharp reversal of decades of U.S. policy in favor of free trade — and the resulting uncertainty around them have caused a weekslong rout in financial markets. But stocks rallied Wednesday after the Trump administration signaled that it is open to reducing the massive tariffs on China. “There is an opportunity for a big deal here,” U.S. Treasury Secretary Scott Bessent said Wednesday.

U.S. applications for jobless benefits rose modestly last week as business continue to retain workers despite fears of a possible economic downturn.
Jobless claim applications inched up by 6,000 to 222,000 for the week ending April 19, the Labor Department said Thursday. That’s just barely more than the 220,000 new applications analysts forecast.

Weekly applications for jobless benefits are considered a proxy for layoffs, and have mostly stayed in a healthy range between 200,000 and 250,000 for the past few years.

Even though President Donald Trump has paused or pulled back on many of his tariff threats, concerns remain about a global economic slowdown that could upend what has been an historically resilient labor market.

Early Thursday, the head of the International Monetary Fund urged countries to move “swiftly’’ to resolve trade disputes that threaten global economic growth.

US Treasury Secretary Scott Bessent has said he expects India to strike the first bilateral trade deal to avoid President Donald Trump's reciprocal tariffs, according to the New York Post. A 26 per cent 'reciprocal' tariff on Indian exports to the US is currently on a 90-day pause, set to expire on July 8. However, like other countries, India is presently subject to a 10 per cent tariff under the existing policy.

According to the New York Post, Bessent told a roundtable of about a dozen reporters on Wednesday that trade talks with India are "very close" to reaching a successful conclusion because the world's most populous nation doesn't have "so many high tariffs."

"India also has fewer non-tariff trade barriers, obviously, no currency manipulation, very, very little government subsidies, so that reaching a deal with the Indians is much easier," Bessent said at the DC event on the sidelines of the annual World Bank and International Monetary Fund meetings.

President Trump has demanded that other countries break down their tariffs and non-tariff barriers to American goods, as well as eliminate US trade deficits, the New York Post said.

Earlier on Tuesday, US Vice President JD Vance in Jaipur urged India to drop non-tariff barriers, give greater access to its markets and buy more American energy and military hardware as he laid out a broader roadmap of deeper ties between the two nations for a "prosperous and peaceful" 21st century.

Finnish telecoms equipment maker Nokia on Thursday reported a net loss of 60 million euros ($68 million) for the first quarter, citing the tariff wars and "rapidly evolving global trade landscape".
The company said tariffs imposed by the United States could result in "some short-term disruption".

"We are not immune to the rapidly evolving global trade landscape. However based on early customer feedback, I believe our markets should prove to be relatively resilient", Justin Hotard President and CEO of Nokia said in a statement.

"Based on what we see today, we currently expect a EUR 20 to 30 million impact to our comparable operating profit in the second quarter from the current tariffs", Hotard said.

US President Donald Trump implemented a tariff of 10 percent on global imports this month, but he paused plans for higher duties on dozens of countries, including a 20 percent duty for goods from EU nations.

China on Thursday denied any talks with the US to reach a deal on tariffs, saying that there is "no factual basis" for any claims of progress in the bilateral talks. "China and the US are not having consultation or negotiation on tariffs, still less reaching a deal," Chinese Foreign Ministry spokesperson Guo Jiakun told a media briefing here, reacting to reports that China and the US are having talks and are even about to reach a deal.

"This tariff war was launched by the US. China's position is consistent and clear. We will fight if it is a must. Our doors are open if the US wants to talk; dialogue and negotiation must be based on equality, respect, and mutual benefit," Guo said.

Global shares traded mixed Thursday, as worries crept back following a Wall Street rally that came after President Donald Trump appeared to back off his criticism of the Federal Reserve and his tough talk in his trade war. France's CAC 40 slipped 0.9% in early trading to 7,412.26, while the German DAX shed early 1.0% to 21,755.04. Britain's FTSE 100 fell 0.3% to 8,375.06. US shares were set to drift lower with Dow futures declining nearly 0.9% at 39,433.00. S&P 500 futures fell 0.8% to 5,359.25.

Japan's benchmark Nikkei 225 added 0.5% to finish at 35,039.15. Australia's S&P/ASX 200 rose 0.6% to 7,968.20. South Korea's Kospi lost 0.1% to 2,522.33. Hong Kong's Hang Seng declined 0.7% to 21,909.76, while the Shanghai Composite was little changed, inching up less than 0.1% to 3,297.29.

Calling Trump's policy announcements "headline turbulence," Tan Jing Yi of the Asia & Oceania Treasury Department at Mizuho Bank warned that global economies could be hurt in the long run, adding, "Sentiments swing from hopes of intense relief to inflicted economic gloom."

Much of the recent market volatility is because of uncertainty about what Trump will do with his economic policies. Adding to some relief was Trump saying late Tuesday that he has "no intention" to fire the head of the Federal Reserve.

Asian shares traded mixed Thursday, as worries crept back following a Wall Street rally that came after President Donald Trump appeared to back off his criticism of the Federal Reserve and his tough talk in his trade war. Japan's benchmark Nikkei 225 added nearly 0.9 per cent in morning trading to 35,168.80. Australia's S&P/ASX 200 rose 0.6 per cent to 7,966.50. South Korea's Kospi lost 0.5 per cent to 2,513.17. Hong Kong's Hang Seng declined 0.3 per cent to 22,005.16, while the Shanghai Composite gained 0.4 per cent to 3,309.12.

Calling Trump's policy announcements "headline turbulence," Tan Jing Yi of the Asia & Oceania Treasury Department at Mizuho Bank warned that global economies could be hurt in the long run, adding, "Sentiments swing from hopes of intense relief to inflicted economic gloom."

The US dollar rebounded Wednesday, strengthening against major currencies after President Trump eased tensions with the Federal Reserve and China. His decision not to fire Fed Chair Jerome Powell and speculation about reduced tariffs on Chinese goods lifted market sentiment. Previously under pressure from trade uncertainties and Fed criticism, the greenback found support in Trump's and Treasury Secretary Scott Bessent’s comments signaling improved US-China ties. The dollar index rose 0.297% to 99.86. Markets rallied: Dow futures gained 1.9%, S&P 500 rose 2.6%, and Nasdaq jumped 3%. Tech stocks surged, led by Tesla, while Apple and Meta advanced despite regulatory headwinds.

US President Donald Trump on Wednesday played up prospects of a "fair deal" on trade with China, but his top officials offered few details of how Washington might de-escalate its damaging tariff war with Beijing.

Trump told reporters his country would have a "fair deal with China," adding that "everything's active" when asked if Washington was talking to Beijing.

But how soon the tariffs can be lowered "depends on them," Trump said, referring to Beijing, even as he maintained that he gets along "very well" with Chinese President Xi Jinping and hopes they can reach an agreement.

Trade tensions between the world's two biggest economies have soared as Trump ramped up levies on imports from China this year, imposing an additional 145 percent tariff on many products over practices Washington has deemed unfair, and other issues.

Beijing in turn has countered with new 125 percent tariffs on US goods.

Despite signals that Washington is looking towards a fair agreement, the state of discussions remains murky.

Asked if there is direct US contact with China on trade, Trump said: "Every day."

But earlier Wednesday, US Treasury Secretary Scott Bessent told reporters that the two countries are "not yet" talking when it comes to lowering tariffs.

"I think both sides are waiting to speak to the other," he said at an event on the sidelines of the International Monetary Fund and World Bank's spring meetings in Washington.

He added that there is no unilateral offer from Trump to slash duties on Chinese goods.

Boeing confirmed that China has "stopped taking delivery" of its aircraft, as tensions between Washington and Beijing over tariffs continue to disrupt the global aviation market.

During a CNBC television interview, Boeing CEO Kelly Ortberg confirmed that Chinese clients had "stopped taking delivery of aircraft due to the tariff environment". He indicated that should this suspension persist, the company would seek alternative carriers for these aircraft.

Despite Wednesday's positive performance, Boeing, a significant US exporter, faces uncertainty due to President Trump's trade disputes with China and other nations.

US Treasury Secretary Scott Bessent said that Washington has not initiated discussions with Beijing regarding tariffs, clarifying that President Donald Trump has not extended any independent proposal to reduce duties on Chinese imports.

During a forum in Washington, Bessent noted that both nations appear to be awaiting the other's initiative. This statement followed the White House's previous day's positive assessment regarding a potential trade agreement with China.

According to Bessent, negotiations can only proceed after both nations reduce their substantial tariffs on each other's merchandise.
He expressed his belief that the present tariff rates are unsustainable for both countries, suggesting the likelihood of a mutual reduction.
Since January, the Trump administration has implemented an additional 145 percent tariff on numerous Chinese goods, whilst Beijing has retaliated with 125 percent levies against Washington's recent measures.

Bessent likened the situation to an embargo, stating that a trade severance between the two nations would not benefit either party.
He concluded by expressing optimism about the possibility of both sides reducing tensions.

Indian and US officials are set to begin formal talks on a proposed bilateral trade agreement (BTA) in Washington on Wednesday (US time), aiming to resolve outstanding issues and advance negotiations, as reported by news agency PTI.

The three-day talks mark the first face-to-face engagement under the agreed terms of reference, which span 19 chapters, including tariffs, non-tariff barriers, and customs facilitation.

Officials from India and the United States will commence discussions on the proposed bilateral trade agreement in Washington starting Wednesday, aiming to resolve outstanding issues and accelerate negotiations. The United States has indicated that the agreement with India would facilitate access to new markets for American products whilst generating opportunities for workers, farmers and entrepreneurs across both nations.

The United States Trade Representative has outlined objectives including enhanced market access, lower tariffs, reduction of non-tariff barriers, and negotiation of additional comprehensive commitments to ensure sustained advantages.

The United States has repeatedly expressed concerns regarding its growing trade deficit with India, which stands at USD 45.7 billion in 2024. Through the BTA, the US aims to address and reduce this trade imbalance with India.

Both nations have concluded the terms of reference (ToR) for the agreement.

Swedish heavy truck maker Volvo Group on Wednesday posted a 30-percent drop in net profit in the first quarter as vehicle sales fell by nine percent on uncertainty over trade tariffs.

"Recent tariffs and other trade restrictions imposed or considered to be imposed by the US and other countries have significantly increased uncertainty about trade conditions in markets where the Group is present, as well as in relation to global and regional supply chains," Volvo Group said in a statement.

"The situation is fast-changing and complex to assess, and no predictions can be made on future developments, potential impacts on the Group or whether trade restrictions may impact the Group more severely than main competitors."

China said Wednesday that it was willing to engage in trade talks with Washington, a day after US President Donald Trump signalled that hefty tariffs he imposed on the country would come down after the sides reach a deal.

"China pointed on early on that there are no winners in tariff wars and trade wars," foreign ministry spokesman Guo Jiakun said at a daily press conference in Beijing, adding: "The door for talks is wide open."

Equity benchmark indices Sensex and Nifty surged in early trade on Wednesday driven by a sharp rally in global markets and foreign fund inflows. Buying in blue-chip IT stocks also added to investors' optimism.

The 30-share BSE benchmark Sensex jumped 658.96 points to 80,254.55 in early trade. The NSE Nifty rallied 192.05 points to 24,359.30.

From the Sensex firms, HCL Tech surged over 6 per cent after the firm posted an 8.1 per cent increase in consolidated net profit at Rs 4,307 crore for March quarter 2024-25, mainly on account of large deals with a total contract value of about Rs 25,500 crore.

During discussions in Beijing on Wednesday, Chinese President Xi Jinping expressed concerns about tariffs whilst meeting with Azerbaijani President Ilham Aliyev, according to state media.

In his remarks reported by state news agency Xinhua, Xi stated that tariff and trade conflicts "undermine the legitimate rights and interests of all countries, hurt the multilateral trading system, and impact the world economic order". The statement emphasised his position on international trade relations.

Donald Trump said Tuesday he had no intention of firing the chair of the US Federal Reserve and signalled a "substantial" lowering of tariffs on China -- bringing relief to global markets spooked by his aggressive trade policies.

Trump's recent outbursts against Fed boss Jerome Powell had fanned concern that he would oust him, sending jitters through markets.

The president had criticized Powell for warning that the White House's sweeping tariffs policy would likely reignite inflation.

"I have no intention of firing him," Trump said Tuesday. "I would like to see him be a little more active in terms of his idea to lower interest rates -- it's a perfect time to lower interest rates.

"If he doesn't, is it the end? No."

Asian markets experienced gains following reassurance from President Trump regarding Jerome Powell's position and positive signals on trade from Treasury Secretary Bessent. US markets rebounded strongly, fueled by corporate earnings and Elon Musk's focus on Tesla, despite IMF's global growth forecast downgrade. Bond markets stabilized, while crude oil prices and the euro saw increases.

The Shanghai Auto Show, the world's biggest automotive exhibition, commences Wednesday, highlighting the dominance of electric vehicles whilst international trade restrictions potentially affect China's worldwide expansion plans.

The exhibition features approximately 1,000 participants, with international automotive manufacturers eager to demonstrate their capability to compete with Chinese companies, who currently lead the electric vehicle sector.

The Chinese domestic market has thrived due to government support for electric and hybrid vehicle development, with market analysts noting its appeal to younger consumers who embrace innovation.

China maintains its position as the largest automotive market globally, experiencing continued growth whilst other significant markets face declining sales.
According to a pre-show report by AlixPartners consultancy, "Domestic growth in China is being driven by rapid adoption of electric vehicles, increasingly with intelligent-vehicle features such as autonomous-driving systems."

The US president said that the final tariff rate with China would come down “substantially” from the current 145%.“It won’t be that high, not going to be that high,” Trump said.

At the Shanghai Auto Show, global and Chinese automakers are showcasing new models amid fierce competition in the world’s largest car market. Chinese manufacturers, now leading in domestic sales and expanding globally, are dominating the shift to electric vehicles (EVs), with BYD surpassing Tesla in sales and unveiling ultra-fast charging tech. Government subsidies and strong local demand have accelerated EV adoption, even as traditional car sales decline. Foreign automakers face rising pressure from Chinese rivals and geopolitical challenges like US tariffs, which are prompting firms to localize production. The show marks a turning point, with Chinese brands emerging as global leaders.

Bullion hit another record Tuesday while the dollar steadied and equities mostly fell as Donald Trump's latest salvo against Federal Reserve boss Jerome Powell added fuel to fears about the central bank's independence.

With the US tariff blitz still causing ructions on global trading floors, investors are now dealing with the added worry that the US president will try to remove the country's top banker that many fear could hammer already fragile market confidence.

Trump took a swipe at Powell last week for his warning that the sweeping levies would likely reignite inflation, saying his "termination cannot come fast enough" and adding that "I'm not happy with him. I let him know it and if I want him out, he'll be out of there real fast, believe me".

While that raised eyebrows, the Republican tycoon sent shivers through markets Monday by calling on the Fed boss again to make pre-emptive cuts to interest rates and calling him a "major loser" and "Mr. Too Late".

The US administration is engaging in trade discussions with India, seeking to provide full market access for online retailers like Amazon and Walmart in India's burgeoning ecommerce sector, according to report from Financial Times. This push comes amid potential tariff increases and aims to address what the US considers non-tariff barriers, such as restrictions on foreign ecommerce enterprises and product inspections.

India and the US have finalised the terms of reference outlining the roadmap for negotiations of the proposed Bilateral Trade Agreement (BTA), according to a statement issued by the US. US Trade Representative (USTR) Jamieson Greer said that these ongoing talks will help achieve balance and reciprocity by opening new markets for American goods and addressing unfair practices that harm US workers.

"India's constructive engagement so far has been welcomed, and I look forward to creating new opportunities for workers, farmers, and entrepreneurs in both countries," he said in a statement.

"I am pleased to confirm that USTR and India's Ministry of Commerce and Industry have finalised the Terms of Reference to lay down a roadmap for the negotiations on reciprocal trade," Ambassador Greer said.

BJP MP Praveen Khandelwal on Tuesday emphasised the importance of US Vice President JD Vance's visit to India, stating that his meeting with Prime Minister Narendra Modi will play a crucial role in strengthening trade relations between both nations.

Khandelwal noted that the visit was significant not only for enhancing trade ties but also for promoting India's culture and heritage in the US and expressed hope that discussions would also focus on safeguarding India's interests amidst the ongoing trade tariff war between the US and China.

"In the current global situation, the visit of the Vice President of America to India is very important. His meeting with Prime Minister Narendra Modi will strengthen the trade relations between India and America. Not just for trade but also for the spread of India's culture and heritage across the US, this visit is important... I am hopeful that there will also be a discussion on how far India's interests will be protected in the current trade tariff battle," Khandelwal said.

The US and India have finalized terms for negotiating a Bilateral Trade Agreement, aiming for reciprocity and new market opportunities. Discussions seek to address practices detrimental to US workers, with the US Trade Representative highlighting a serious lack of reciprocity in the current trade relationship. Both nations reported substantial progress towards a mutually advantageous trade agreement.