June was rough for EU exporters: shipments to the U.S. dived by over 10% compared to last year. Rising U.S. tariffs are taking a real toll, slashing the Eurozone's trade surplus in June to just €2.8 billion – down from €15.6 billion in May 📉.
Here's the lowdown:
- Exports fell 2.4% month-on-month, while imports rose over 3%.
- New U.S. duties: 10% reciprocal tariff, 25% on cars, up to 50% on steel & aluminum.
- August saw 15% tariffs on most EU goods, well above the previous 5% average.
Many firms rushed to ship before the hikes, then saw a sharp drop once duties kicked in. ING Research’s Carsten Brzeski warns that a strong euro, high U.S. levies, global trade uncertainty, and tougher competition could keep pressure on EU exports in the coming months ⚖️.
Port action: The Port of Hamburg reported nearly a 20% drop in U.S. trade volume in the first half of 2025, even as routes to the Far East and Baltic Sea region grew. This shift shows how tariffs are reshaping global shipping routes and supply chains 🌏🚢.
For South and Southeast Asians, these shifts highlight how tariff policies can ripple across markets, affecting prices, supply lines, and even your favorite gadgets 😉. Staying alert to policy changes is key in our interconnected world.
Reference(s):
cgtn.com
