‘Win-win’ and still pushing: reactions to Trump tariffs

‘Win-win’ and still pushing: reactions to Trump tariffs
The 19 percent levy for Thailand and Cambodia — fresh from border clashes that killed over 40 people — is a let-off from the threatened 36 percent. (AP)
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‘Win-win’ and still pushing: reactions to Trump tariffs

‘Win-win’ and still pushing: reactions to Trump tariffs
  • The 19 percent levy for Thailand and Cambodia — fresh from border clashes that killed over 40 people — is a let-off from the threatened 36 percent

TOKYO: Some nations reacted with relief Friday after US President Donald Trump announced tariffs that in some cases were lower than threatened, and delayed by a week to August 7.

But others — including Switzerland and chip powerhouse Taiwan — still hope to negotiate lower rates, and uncertainty remains over transshipments and levies on Japanese cars.

Trump’s announcement does not cover export giant China — currently in negotiations on a trade deal ahead of an August 12 deadline — but here is how other economies reacted:

The 19 percent levy for Thailand and Cambodia — fresh from border clashes that killed over 40 people — is a let-off from the threatened 36 percent.

Thailand called it a “major success” and a “win-win approach aimed at preserving Thailand’s export base and long-term economic stability.”

The US trade deficit with Thailand hit $45.6 billion in 2024. Its main exports include machinery, vehicles and auto components.

Cambodian Prime Minister Hun Manet called it “the best news for the people and economy of Cambodia to continue to develop the country.”

The major manufacturer of low-cost clothing for Western brands was initially menaced with a tariff of 40 percent.

Neighbouring Vietnam concluded an agreement with Washington at the beginning of July on a rate reduced to 20 percent.

But Washington also intends to impose a 40 percent surcharge on goods transported to the United States via third countries — known as transshipments.

This could hurt in particular nations in Southeast Asia, whose production chains are closely linked to China.

Many Cambodian factories, for example, are Chinese-owned and the White House has accused the kingdom of allowing Chinese goods to stop over on the way to US markets, skirting steeper rates imposed on Beijing.

Experts however are unclear on how Washington will define these “transshipment” goods.

Taiwanese President Lai Ching-te called its 20 percent tariff announced by Trump “temporary... with the possibility of further reductions should an agreement be reached.”

The US president had threatened to hit the island with a 32 percent tax and possible duties on the island’s huge semiconductors shipments.

Soaring demand for Taiwan’s AI chips industry has fueled its trade surplus with Washington, putting it in the crosshairs of Trump’s tariff blitz.

Washington “needs Taiwan in supporting resilient supply chains, in supporting manufacturing and some high-end technologies,” Vice President Hsiao Bi-khim said recently.

Switzerland expressed “great regret” that it was hit with 39 percent — up from the threatened 31 percent — despite its “very constructive position.”

The levy — more than double the European Union’s 15 percent — appeared to catch the rich Alpine nation off guard.

Switzerland ranks sixth in terms of direct investment in the United States, with pharma giants Roche and Novartis announcing major spending plans in recent months.

A tariff of 15 percent agreed last week between Japan and Washington — down from a threatened 25 percent — is due to be applied from August 7.

But Japanese auto exports were already being hit by a 25 percent rate, and Tokyo wants to know when this will be lowered too.

“We continue to urge the US to take prompt measures to implement the agreement, including lowering tariffs on automobile and auto parts,” Prime Minister Shigeru Ishiba said Friday.

Confusion also surrounds Trump’s claim that Japan — as a “signing bonus” — will invest $550 billion in America, which will recoup 90 percent of the profits.

Malaysia also achieved a lower tariff of 19 percent — down from 25 percent — which the government called a “positive outcome.”

“This decision by the United States reflects the strong and enduring economic ties between our two nations,” Trade and Industry Minister Zafrul Abdul Aziz said.

Sri Lanka also expressed relief that it will face a 20-percent hit, a sharp reduction from the 44 percent originally floated, and expressed hope of a further cut.

“We are happy that our competitiveness in exports to the US has been retained,” finance ministry official Harshana Suriyapperuma told reporters.

Around 40 percent of Sri Lanka’s $5.0 billion of garment exports last year went to the United States.


Bosnian Serb leader Dodik vows to defy political ban, write to Trump

Bosnian Serb leader Dodik vows to defy political ban, write to Trump
Updated 3 sec ago

Bosnian Serb leader Dodik vows to defy political ban, write to Trump

Bosnian Serb leader Dodik vows to defy political ban, write to Trump
“I do not accept the verdict,” he told reporters
“I will seek help from Russia and I will write a letter to the US administration“

SARAJEVO: The separatist president of the Serb part of Bosnia vowed to defy a court ruling banning him from political office for six years on Friday and said he would seek help from both Russia and US President Donald Trump.

Milorad Dodik was responding to a ruling by Bosnia’s appeals court upholding a sentence handed down to him for defying the orders of the international peace envoy, whose role is to prevent multi-ethnic Bosnia sliding back into civil war.

Dodik told reporters he would continue to go to work.

“I do not accept the verdict,” he told reporters. “I will seek help from Russia and I will write a letter to the US administration.”

He said he would ask his associates not to communicate with ambassadors from the European Union, which has a peacekeeping force in Bosnia to ensure stability that has deployed reserve forces over the crisis.

The sentence, handed down to Dodik in February for defying the Constitutional Court as well as the peace envoy, included a one-year prison term that under Bosnia’s legal system can possibly be exchanged for a fine.

His lawyer Goran Bubic said his team would appeal Friday’s appeals court ruling to the Constitutional Court and seek a temporary delay of the implementation of the verdict pending its decision.

Dodik’s conviction in February sparked uproar in Bosnia’s autonomous Serb Republic, triggering Bosnia’s worst political crisis since the conflict, which killed around 100,000 people in 1992-5.

A pro-Russian nationalist who seeks to split his region from Bosnia, Dodik responded with measures to reduce the state’s presence in the Serb Republic by ordering lawmakers to ban the state’s prosecutor, court, and intelligence agency.

The constitutional court then temporarily suspended the regional parliament’s legislation as endangering the constitutional and legal order and sovereignty of Bosnia and Herzegovina, the formal name of the country.

Dodik is a long-time advocate of the secession of the Serb-dominated region, which along with the Bosniak-Croat Federation makes up Bosnia. The crisis precipitated by his separatist push represents one of the biggest threats to peace in the Balkans since the conflicts that followed Yugoslavia’s collapse.

US sanctions force vessels with Russian oil to divert from India, sources say

US sanctions force vessels with Russian oil to divert from India, sources say
Updated 23 min 49 sec ago

US sanctions force vessels with Russian oil to divert from India, sources say

US sanctions force vessels with Russian oil to divert from India, sources say
  • Three ships — the Aframaxes Tagor and Guanyin and the Suezmax Tassos — were scheduled to deliver Russian oil to Indian ports this month, trade sources said
  • All three vessels are under US sanctions

NEW DELHI/MOSCOW: At least two vessels loaded with Russian oil bound for refiners in India have diverted to other destinations following new US sanctions, trade sources said, and LSEG trade flows showed.

The US Treasury Department this week imposed sanctions on more than 115 Iran-linked individuals, entities, and ships, some of which are involved in transporting Russian oil.

US President Donald Trump has urged countries to halt purchases of oil from Moscow, threatening 100 percent tariffs unless Russia agrees to a significant peace deal with Ukraine.

Three ships — the Aframaxes Tagor and Guanyin and the Suezmax Tassos — were scheduled to deliver Russian oil to Indian ports this month, trade sources said. All three vessels are under US sanctions.

Tagor was bound for Chennai on India’s east coast, while Guanyin and Tassos were headed to ports in western India, according to trade sources and Russian ports data.

Tighter Western sanctions aimed at cutting Russia’s oil revenue, seen as funding its war against Ukraine, have been increasingly hitting Russian oil supplies for India, which buys more than a third of its oil needs from Russia.

Tagor is now heading to Dalian in China, while Tassos is diverting to Port Said in Egypt, the data shows.

Guanyin remains on course to Sikka, a port used by Reliance Industries and Bharat Petroleum Corp. Ltd..

Indian Oil Corp, which was to receive the Tagor shipment, and BPCL did not respond to Reuters’ emailed requests for comment.

Zulu Shipping, linked to Panama-flagged Tassos and Tagor, and Guanyin-owner Silver Tetra Marine could not be reached for comments. Both companies are under US sanctions.

A Reliance spokesperson said that “neither of these two vessels, Guanyin and Tassos, is coming to us.”

Reliance has previously purchased oil in Guanyin.

Separately, two other vessels, Achilles and Elyte, loaded with Russian oil, are preparing to discharge Russian Urals for Reliance, according to LSEG data. Both these vessels are sanctioned by Britain and the European Union. India has condemned the EU sanctions.


Six new arrests over Serbian train station disaster

Six new arrests over Serbian train station disaster
Updated 58 min 14 sec ago

Six new arrests over Serbian train station disaster

Six new arrests over Serbian train station disaster
  • In February, the public prosecutor’s office for organized crime opened another probe into the corruption aspect of the case
  • Friday’s arrests were linked to this

BELGRADE: Six people, including a former minister, were arrested in Serbia on Friday over a train station disaster in which 16 people died.

The concrete canopy of the newly renovated station in the northern city of Novi Sad collapsed on November 1, 2024 and was widely blamed on corruption and poor oversight.

It sparked a wave of student-led protests and led to the resignation of prime minister Milos Vucevic and the fall of his government.

The public prosecutor’s office in Novi Sad opened an investigation into the accident and deaths.

In February, the public prosecutor’s office for organized crime opened another probe into the corruption aspect of the case and Friday’s arrests were linked to this.

The six, all suspected of abuse of office, include former construction, transport and infrastructure minister Tomislav Momirovic as well as former acting director of the state-run Serbian Railway Infrastructure company Nebojsa Surlan, prosecutors said.

They said nine other people, including former transport minister Goran Vesic who was among the first to resign after the accident, were being sought.

According to the Nova.rs news site, Vesic was hospitalized and underwent emergency surgery on Friday.

Two companies — China Railway International and China Communications Construction (CRI-CCC) — as well as France’s Egis and Hungary’s Utiber were in charge of the railway station works.

According to the prosecutor’s office, the two former ministers and three other suspects enabled CRI — CCC to charge more than $1.2 billion for work and then carry out additional work worth more than $64 million.

This enabled CRI-CCC to obtain an “illegal financial gain” of more than $18 million, the statement said.

Since the accident, protests have been growing across Serbia, with some bringing hundreds of thousands of people to the streets to demand a transparent investigation and early elections.

A new protest was due on Friday evening in the capital Belgrade to commemorate nine months since the accident.


Ukrainians mourn 31 killed in Russian strike on Kyiv

Ukrainians mourn 31 killed in Russian strike on Kyiv
Updated 01 August 2025

Ukrainians mourn 31 killed in Russian strike on Kyiv

Ukrainians mourn 31 killed in Russian strike on Kyiv
  • The worst damage was to an apartment building that partially collapsed in the Sviatoshyn district
  • On Friday, mourners laid flowers and lit candles at the wrecked apartment block, where rumbling excavators hoisted heavy pieces of rubble

KYIV: Ukrainian rescuers recovered more than a dozen more bodies from the rubble of a collapsed apartment block in Kyiv overnight, bringing the death toll from Russia’s worst air strike of the year on Ukraine’s capital to 31.

A two-year-old was among the five children found dead after Thursday’s sweeping Russian drone and missile attack, President Volodymyr Zelensky said on Friday, announcing the end of a more than 24-hour-long rescue operation.

A total of 159 people were wounded in the multi-wave strike, in which Russia launched more than 300 drones and eight missiles early on Thursday, the latest in a campaign of fierce strikes on Ukrainian towns and cities.

The worst damage was to an apartment building that partially collapsed in the Sviatoshyn district in western Kyiv. Damage was also reported in at least three other districts of the capital.

US President Donald Trump on Thursday sharply criticized Russia’s “disgusting” behavior against Ukraine, while saying he was not sure whether sanctions would deter Russia. He has given President Vladimir Putin until August 8 to make a deal or else he will respond with economic pressure.

Natalia Matviyenko, 65, sitting near the damaged apartment building, said she did not place much faith in Trump’s tough rhetoric.

“Trump just says, ‘I’m upset with President Putin’s behavior.’ And what? No results,” she said.

The US leader, who returned to power on a pledge to swiftly end the war, has in recent weeks rolled back his earlier conciliatory approach toward Moscow and signalled openness to arming Ukraine.

But a diplomatic effort to end the war has stalled, with Moscow not backing down from what Kyiv and its allies describe as maximalist demands.

’WILL PUTIN LISTEN?’
On Friday, mourners laid flowers and lit candles at the wrecked apartment block, where rumbling excavators hoisted heavy pieces of rubble. The makeshift shrine included brightly colored stuffed animals.

Oksana Kinal, 43, who was placing flowers to honor a co-worker who had been killed alongside a son, said she hoped Trump would follow up on his threat but also expressed doubt.

“I think America has a lot of points of leverage that can be used against Russia,” she said.

“But will Putin listen to this? I don’t know.”

Kyiv’s air force said on Friday that Ukrainian air defenses had destroyed more than 6,000 drones and missiles across the country in July alone.

“The world possesses every instrument required to ensure Russia is brought to justice,” Prime Minister Yulia Svyrydenko wrote on X on Friday. “What is lacking is not power — but will.”


Swiss will try to negotiate way out of stiff US tariffs

Swiss will try to negotiate way out of stiff US tariffs
Updated 01 August 2025

Swiss will try to negotiate way out of stiff US tariffs

Swiss will try to negotiate way out of stiff US tariffs
  • The Swiss government said it remains in contact with US authorities and “still hopes to find a negotiated solution“
  • President Karin Keller-Sutter, who is also finance minister, spoke with Trump on Thursday

GENEVA: The Swiss government said Friday it would negotiate with the United States to try to avoid the tough 39-percent US tariff rate that would harm key industries.

As part of a slew of new tariffs unveiled late Thursday on nearly 70 countries, Washington said it planned to charge a 39-percent tariff rate on Swiss goods, higher than the 31-percent rate that it had been threatening to implement.

The new rate is set to go into effect on August 7, and would also prove painful for Switzerland’s manufacturing and watchmaking industries.

The Swiss government said it remains in contact with US authorities and “still hopes to find a negotiated solution,” in a statement on X.

“The Federal Council notes with great regret the intention of the US to unilaterally burden Swiss imports with considerable import duties despite the progress made in bilateral talks and Switzerland’s very constructive position,” it added.

Senior Swiss officials had held numerous discussions with their US counterparts in an attempt to reach a deal with the administration of US President Donald Trump, like Britain and the European Union have.

President Karin Keller-Sutter, who is also finance minister, spoke with Trump on Thursday.

“The trade deficit remains the center” of Trump’s preoccupation and they could not reach an agreement on a framework trade deal, she said on X.

The United States is a key trading partner for Switzerland, taking 18.6 percent of its total exports last year, according to Swiss customs data.

Pharmaceuticals dominated at 60 percent of Swiss goods exports to the United States, followed by machinery and metalworking at 20 percent and watches at eight percent.

The trade balance was heavily in Switzerland’s favor at 40 billion Swiss francs ($49 billion) last year.

Trump has paid particular attention to trade deficits, considering them a sign that the United States is being taken advantage of by its trading partners.

Switzerland is however the sixth country in terms of foreign direct investment into the United States, particularly in research and development.

Swiss pharmaceutical giants Roche and Novartis have both announced plans to invest tens of billions of dollars in the United States in the coming five years as they try to head off threats by Trump to impose separate tariffs of up to 200 percent on medicines if foreign drugmakers do not move more production into the United States.

The trade association representing the small and medium-sized firms in Switzerland’s machine and metal-working industry urged the government to take advantage of the negotiating window before the entry into force on August 7 of the new tariffs, which it warned would have serious long-term consequences.