Copper Import Proclamation Released
On July 30, President Trump issued a proclamation declaring that the U.S. would levy a 50% tariff on certain copper imports under the President’s Section 232 authority, due to go into effect on August 1. The 50% tariff will apply to semi-finished products as well as copper-intensive derivative products. Excluded from the tariffs are copper ores, copper scrap, and some copper products such as mattes, anodes, and cathodes. This tariff is less encompassing than originally anticipated when the President announced earlier this month that a 50% tariff would be levied on all copper imports. The proclamation also states that the President can implement a separate 15% tariff starting in 2027 and a 30% tariff starting in 2028 on all imported refined copper. The order also instructs the Secretary of Commerce to ensure that 25% of domestically produced copper input and scrap be sold within the U.S., as well as implement export controls over certain high-quality copper products.
EU-U.S. Trade Framework Announced
The EU-U.S. trade framework marks a historic modernization of the transatlantic economic relationship, committing both sides to a new era of fair, reciprocal, and strategic trade. The agreement establishes a 15% U.S. tariff ceiling on nearly all EU exports, including vehicles and semiconductors, while eliminating EU tariffs on U.S. industrial goods. It unlocks significant EU investment and ensures $750 billion in U.S. energy exports to Europe, reinforcing U.S. manufacturing and energy dominance. The deal improves access for American agricultural and fishery products, tackles longstanding non-tariff barriers, promotes mutual recognition of standards, and strengthens cooperation on digital trade, critical minerals, and supply chain security.
However, key issues remain unresolved: the agreement does not address solutions to the digital services taxes (DSTs) imposed by several EU member states, which will require further negotiation. In the meantime, the EU has agreed to hold off on implementing retaliatory tariffs for six months, offering a temporary window for diplomacy. The deal sets a foundation for deeper market integration, protects strategic industries, and restores predictability to the world’s largest bilateral trade and investment relationship, despite vocal opposition from France and some internal EU critics. Read the US fact sheet here and the EU press release here.
China Trade Deal Discussions Continue…
The United States and China have concluded their third round of high-level trade talks since May, this time in Stockholm, but a decision to extend the current tariff pause (set to expire on August 12) still awaits President Donald Trump’s approval. Treasury Secretary Scott Bessent and U.S. Trade Representative Jamieson Greer described the meetings as constructive, with growing mutual understanding, but emphasized that Trump retains final authority. If no extension is agreed, U.S. tariffs on Chinese goods could revert to punitive April levels, potentially reaching 80% due to layered duties. Both sides aim to extend the truce by another 90 days, though key issues such as China’s oil purchases from Iran and Russia, industrial overcapacity, and dual-use tech exports remain unresolved. A broader breakthrough may hinge on a likely fall meeting between President Trump and the Chinese leadership.
25% Tariff Plus “Penalty” for India Announced
On July 30, President Trump announced the U.S. was set to levy a 25% tariff on imports from India. President Trump also laid out the reasons behind the tariff rate, potentially setting the framework for any potential trade deal. India’s high tariff rate and “strenuous and obnoxious non-monetary Trade Barriers” were specifically mentioned. The announcement also promised a non-specific “penalty” in addition to the 25% tariff due to India’s purchases of Russian weaponry and energy, at a time when President Trump is attempting to negotiate a ceasefire in the Russian invasion of Ukraine. Earlier this month, President Trump threatened to implement secondary tariffs up to 100% on countries that continue to buy Russian oil and gas if President Vladimir Putin of Russia does not agree to a ceasefire. Negotiations on a potential U.S.-India trade deal have been ongoing for months, with Prime Minister Narendra Modi visiting the White House in February. Key sticking points include U.S. export access to Indian agricultural and dairy markets as well as increased Indian purchases of American energy, arms, and aircraft.
Latest on Additional Trade Discussions
Commerce Secretary Howard Lutnick stated on July 29 that he does not expect to extend the August 1 trade deal deadline and that the announced tariff rates will go into effect. Secretary Lutnick explicitly excluded China, as “they’re their own thing.”
Brazil: On July 30, President Trump signed an executive order enacting a sharp increase in Brazilian goods, citing a “national emergency” over Brazilian government actions. Total tariff rates for Brazil went from just 10% to 50%, cited in the order. Trump accused Brazilian authorities, particularly Supreme Court Justice Alexandre de Moraes, of persecuting former President Jair Bolsonaro and coercing U.S. tech companies to censor content and share sensitive data, under threat of harsh penalties. The administration launched a Section 301 trade probe into Brazil’s practices and imposed sanctions on de Moraes, while also revoking U.S. visas for him and other Brazilian officials. The tariffs against Brazil are set to take effect in 7 days and include a list of exempted products covered in Annex I of the order.
Taiwan: The U.S. has held multiple rounds of trade talks with Taiwan, and a deal could be imminent, though its outcome may hinge on ongoing U.S.-China negotiations in Sweden. Amid concerns that Trump may prioritize a deal with China over ties with Taipei, Taiwan is preparing for a future outcome where no deal is concluded. These fears have intensified following reports that the Trump Administration opposed a proposed “stopover” in New York by Taiwanese leader Lai Ching-te earlier this month. The U.S. set a 32% tariff on Taiwanese imports earlier this year, which is due to begin on August 1.
Indonesia: Confusion has emerged over the precise details of the U.S.-Indonesia trade deal. The White House issued an official statement on the trade deal and claimed that Indonesia will remove restrictions on exports to the U.S. on all industrial commodities, including critical minerals. However, Indonesia bans the export of raw copper and nickel ore to promote domestic processing. Chief Economic Affairs Minister Airlangga Hartarto stated that the ban would be upheld and that Indonesia would only export processed nickel and copper.
South Korea: President Trump announced that a deal has been reached, including a 15% tariff on South Korean exports, $350 billion in Korean investments in the U.S., and $100 billion in purchases of American energy products, while pledging that South Korea will fully open its market to U.S. goods.
De Minimis Designation Comes to an End
President Donald Trump signed an executive order ending the de minimis trade designation for low-value packages from all countries, effective August 29. This policy change will impose duties on shipments valued at $800 or less, including those sent via international postal services, based on their value and country of origin. The move builds on Trump’s earlier decision in May to suspend the loophole for goods from China, citing national security and economic concerns. The White House argued the loophole harms U.S. businesses and enables illicit imports, with de minimis shipments surging to over 300 million this fiscal year.
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Are you concerned about the impacts of the outlined trade issues? Please contact Sarah Helton, Michael Best Strategies’ Trade Practice Lead at sarah.helton@michaelbest.com for assistance.