Cross Border Trade Updates
June 30, 2025
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- U.S. Tariff Negotiations on Higher Reciprocal Tariffs
- Last Friday, June 28, President Trump said that “over the next week and a half or so” the United States would inform countries on “what they have to pay” to conduct trade with the United States. That same day, US Treasury Secretary Scott Bessent said that there may be some extensions to finalize trade deals by end of August. Please see below for the latest as reported by the press on trade negotiations between the United States and countries seeking to reduce or avoid higher reciprocal tariffs on their goods.
- Canada: On 30 June, Canada and the US are resuming trade negotiations as Canada announced that they are stopping their digital service tax targeting U.S. technology firms after President Trump last Friday said that the US was stopping trade talks.
- China: On 26 June, President Trump said that the US and China signed a trade deal. As no formal document has been revealed, it is unclear how PMMI members will be affected.
- EU: On 26 June, EU Commission President Ursula von der Leyen said that the EU had received the “latest U.S. document” for further negotiations on tariffs but did not reveal specifics.
- India: On 30 June, India said that they will extend their visit to the United States to try to reach a trade agreement with President Trump.
- South Korea: On 30 June, South Korea said that they will seek an extension to the 90-day tariff pause as negotiations will likely continue past the 9 July deadline.
- Indonesia: On 30 June, Indonesia said they will relax import regulations on goods ranging from fertilizers to footwear, to enhance competitiveness and bolster ongoing U.S. tariff talks and other trade negotiations.
- Thailand: On 29 June, Thailand’s Finance Minister Pichai Chunhavajira will travel to the US for trade talks that will be held over the next two days.
- Japan: On 26 June, Japan said that they will continue negotiations with the United States.
- Vietnam: On 26 June, Vietnam’s Prime Minister said that he expects a trade deal with the US before the reciprocal tariff pause ends on 9 July.
- United States (US) and Mexico Discuss Import Quota on Steel: On 24 June, it was reported that the US and Mexico are negotiating a possible quota system to reduce tariffs on a certain volume of steel imports. As details are still in development, it is unclear how PMMI members’ imports into the United States from Mexico will be affected.
- Canada’s Steel Industry Representatives Say that Canada’s Measures Against U.S. Tariffs Are Insufficient: On 27 June, it was reported that Canada’s steel industry representatives told Canada’s government that their tariff protection measures to shield the industry from consequences of U.S. tariffs on steel are insufficient, and would not prevent the industry from steel dumping nor potential mass layoffs. The industry representatives asked the government to extend tariff quotas to all countries with unfair trade practices, including free trade agreement partners, as Europe and Asia have started diverting their products to Canada to avoid U.S. tariffs.
- UK Developments
- On 30 June, the US-UK Economic Prosperity Deal came into effect. With the deal now in place, there is still uncertainty whether there will be a further reduction in Section 232 tariffs on UK-origin steel and aluminum. The UK government said that they “will continue to go further and make progress towards 0% tariffs on core steel products agreed”.
- The UK also announced on Monday, 30 June, that starting 1 July, UK steel producers will benefit from stronger trade measures to help protect domestic industry from unforeseen surges in foreign imports as part of the Plan for Change, the UK’s government’s initiative to drive innovation in the public sector and build partnerships across the country. Measures include changes in quantities steel-producing countries around the world can send to the UK.
- EU Metal Producers Lobbying to Impose Export Duties on Scrap Metal Shipments: Last week, metal producers in the EU warned of a shortage of scrap in the EU which is commonly recycled and reused. Producers are lobbying to impose export duties or controls on scrap metal shipments “in the next few weeks” to curb the sharp increase in EU exports of scrap to the United States that is not subject to the 50% Section 232 tariffs.
