Donald Trump's decision to postpone reciprocal tariffs for 90 days, except for China, has given global markets a breather. While Wall Street indices surged on Wednesday after the tariff shift, the effect has been replicated in the Tokyo stock market and European markets on Thursday. The Ibex 35 saw a 6.15% increase at midday, reaching 12,520.4 points.
Meanwhile, the PP's Deputy Secretary of Health and Education, Ester Muñoz, stated that Pedro Sánchez should have canceled his trip to China as it strains diplomatic relations with the EU and the US, coming at the "worst possible time."
European Commission President Ursula von der Leyen announced that the EU is suspending countermeasures against US tariffs for 90 days to allow for negotiations, with the possibility of implementing them if negotiations are unsatisfactory.
China's Ministry of Commerce spokesperson, He Yongqian, warned of the danger posed by the new tariffs, emphasizing the impact on Chinese companies and the global economic order.
Additionally, China revealed plans to reduce the number of US films shown in the country in retaliation for the 125% tariffs imposed by Donald Trump.
Trade War Pushes Europe and Mercosur to Accelerate Trade Agreement
President Trump's trade offensive, which has already begun with 10% tariffs on most US trading partners, has spurred political efforts to advance the free trade agreement between the European Union (EU) and Mercosur. After 25 years of negotiations and an official signing in December 2024, the treaty has yet to be ratified, but the current international situation may be opening a decisive window for its implementation.
French Minister of Economy, Éric Lombard, stated that the current trade difficulties should accelerate discussions in favor of Mercosur, emphasizing the need for adjustments in agriculture and the environment.
The agreement, affecting around 800 million consumers, would eliminate over 90% of tariffs between the two blocs and include provisions on sustainable development, labor rights, and technical cooperation. Ratification depends on the parliaments of the 27 EU countries and the four Mercosur countries: Argentina, Brazil, Paraguay, and Uruguay.
EU Confident in Strategy Against US Tariffs
The European Commission expressed confidence on Thursday that its strategy against US tariffs is correct, following the decision to postpone its response for 90 days to allow for negotiations. The Commission's trade spokesperson, Olof Gill, highlighted the strategy's coherence and consultation with member states and industry.