India US Trade Deal News: BRICS was set up to ‘hurt us, degenerate our dollar’, says Trump; vows 10 per cent charge on member countries

At mid-day, amid continued concerns on the US trade deals and tariff, the S&P 500 was trading marginally higher and traded 0.1 percent higher, while the Nasdaq Composite gained 0.3 percent. The Dow Jones Industrial Average slipped 76 points, or 0.2 percent.

President Donald Trump said on Truth Social that the August 1 start date for the tariffs laid out in letters to countries is a firm timeline that will not change.

On the Dow, top gainers included Chevron, Salesforce and Merck and Co. On the S&P 500, the gainers included Moderna, Albermarle, Devon Energy. Read more...

Trump indicated he will soon be announcing measures targeting the pharmaceutical sector, as well as fresh semiconductor tariffs.

"We're going to be announcing pharmaceuticals, chips, and various couple of other things, you know, big one," said Trump.

"Now today we're doing copper... I believe the tariff on copper, we're going to make it 50%."

"It has always been August 1 (deadline)... Our country was the wealthiest 1870 to 1913. We had a couple of Presidents who were very strong. Tariffs are charged by other countries at levels that are ridiculous. I called those other countries, and now everyone is willing to give us everything... For years, they ripped us off and we didn't have a President that understood it," Trump said.

Responding to questions on tariff threats against BRICS countries, Trump repeated his claim that the bloc was created "to hurt us" and "degenerate our dollar." "And that's OK, if they want to play their game. But I can play that game too. So anybody that's in BRICS is getting a 10% charge," he said.

US Treasury Secretary Scott Bessent stated that US tariff revenues have hit $100 billion so far and may climb to $300 billion before the year concludes.

According to US President Trump, tariffs are starting to come in at "record" levels, and "big money" will start coming in later this summer, Reuters reported.

"Tremendous amounts of money are coming in to our country. We never did that before," said Trump. "And the big money will start coming in on August 1st."

He also stated the US had earlier adhered to the rules of other nations "who charge us tremendous tariffs" because the country was led by "stupid people or people without any business sense".

With the US imposing higher tariffs on countries like Bangladesh and Thailand, Indian exporters expect sectors like apparel and footwear to become more competitive in the American market, PTI reported.

Bangladesh is the third biggest exporter of apparel (not knitted or crocheted) to the US with a market share of 13.15 per cent in 2024.

India's exports to the US in this sector was USD 2.5 billion but it is not among the top three, according to an analysis by economic think tank Global Trade Research Initiative (GTRI).

(With PTI inputs)

Trump’s announcement of new tariff hikes on 14 countries will push the average US tariff rate to 17.6 per cent, up from 15.8 per cent, marking the steepest level in over 90 years, Reuters reported citing Yale Budget Lab.

After consumption shifts, the average tariff rate will be 16.5 per cent, the highest since 1936, according to the group.

Assuming the Federal Reserve does not react, the equivalent cost per household from all 2025 tariffs equates to $2,300 in lost income in 2025, the group found, and payroll employment would be 538,000 lower.

US President Donald Trump took to Truth Social and said, “As per letters sent to various countries yesterday, in addition to letters that will be sent today, tomorrow, and for the next short period of time, tariffs will start being paid on August 1, 2025.”

“There has been no change to this date, and there will be no change. In other words, all money will be due and payable starting August 1, 2025 - No extensions will be granted. Thank you for your attention to this matter!” he added.

US stocks opened flat on Tuesday as investors attempted to stabilise after a sharp sell-off triggered by President Donald Trump’s sweeping tariff announcements. A softer tone from Trump late Monday helped soothe market nerves, with some traders now betting that the worst of the trade war scare may be behind. Read more

According to government sources cited by CNN-News18, India is prepared in case the trade agreement with the United States is not to its satisfaction. The sources said that instead, India is now looking at partnering with countries like Cambodia and others that got their tariff letters on Monday (July 7).

Moreover, sources said that India is also ready for a “no deal” situation especially when it comes to dairy and agricultural, as well as labour intensive products.

US President Donald Trump's decision to delay implementing major tariff hikes on most trading partners may have offered some relief, but the extension is also prolonging global trade uncertainty, the UN warned Tuesday. Read more

India has proposed a fair deal that would assist its domestic industries – in particular those reliant on exports such as textiles and leather, according to sources cited by CNBC-TV18.

In terms of US agricultural items, India is likely to offer tariff reductions on a limited set, according to the report.

India has reportedly denied to make concessions on sensitive commodities including wheat, rice, maize, dairy, and genetically modified crops.

Donald Trump’s delay of tariff increases until Aug. 1 may have just softened the price impact for Christmas by pushing it into 2026, according to UBS Group AG Chief Economist Paul Donovan. Speaking on Bloomberg Television, he said the 10% levy affecting all trade will drive higher inflation numbers in July and August, but extra duties applied to specific countries under the US president’s policies may not now affect shoppers until much later.

The much anticipated mini trade deal between India and US will likely be announced today (July 8) by 10 pm, CNBC Awaaz reported citing people familiar with the matter.  The two countries will announce today that they have agreed to the deal, while the details regarding the same may be released later, the news channel reported.

The 10 percent baseline tariffs earlier announced by US will however continue after the trade deal, but labour intensive sectors like textile, garments and leather products may see reduced tariff rates as part of the deal, the channel said.

Agro and farm products, which have been a reason of contention between the two countries, will not to be part of this mini trade deal, CNBC-Awaaz further said.

After sending letters to 14 countries, the United States has now reached the final stage of a trade deal with India. According to exclusive information received by CNBC-Awaaz, both sides — India and the US — have shared the draft of the mini trade deal with each other. It is expected that the deal could be jointly announced tonight.

• Stocks rose Tuesday as traders cautiously welcomed Donald Trump's extension of his tariff deadline and indication he could push it back further, though uncertainty over US trade policy capped gains.
• Days before the three-month pause on his "Liberation Day" tariffs was set to expire, the US president said he would give governments an extra three weeks to hammer out deals to avoid paying sky-high levies for exports to the world's biggest economy.
• That came as he sent out letters to more than a dozen countries -- including top trading partners Japan and South Korea -- setting out what he had decided to charge if they did not reach agreements by the new August 1 target date. - AFP

Bangladesh will hold further negotiations with the United States to push for deeper tariff cuts, even as US President Donald Trump slapped a 35% levy on goods from the South Asian nation. Officials are scheduled to hold crucial trade negotiations with the Trump administration from July 9-10 to seek a solution, Commerce Adviser to the interim government Sk. Bashir Uddin said in an interview from Washington. (Read More)

• Gold prices were little changed on Tuesday, caught between safe-haven demand following U.S. President Donald Trump's new tariff proposals for Japan, South Korea, and others, and rising Treasury yields that capped any upside momentum.
• Spot gold eased 0.1% to $3,330.71 per ounce as of 0434 GMT. U.S. gold futures was steady at $3,340.70.
• On Monday, Trump began telling trade partners that sharply higher U.S. tariffs would start on August 1, marking a new phase in the trade war he launched earlier this year, with tariffs on goods from Japan and South Korea set at 25%. - Reuters

South African President Cyril Ramaphosa’s office has pushed back against US President Donald Trump’s move to impose a 30% tariff on South African goods, disputing the data behind the decision and calling for more clarity before any negotiations can proceed. In a statement, the presidency said:

“South Africa maintains that the 30% reciprocal tariff does not accurately reflect current trade data. According to our analysis, the average tariff on goods entering South Africa is 7.6%. Notably, 56% of imports arrive duty-free under the most-favoured-nation status, and 77% of US goods face zero tariffs when entering the South African market.” The statement added that South Africa remains committed to pursuing “a more balanced and mutually beneficial trade relationship with the United States” through diplomatic channels, but is currently awaiting a detailed "template" that U.S. officials had committed to sharing during the June 23 summit in Luanda.

US President Donald Trump's chaotic trade policy has a new chapter in the making. After weeks of uncertainty over the tariff pause, Trump has said that as many as 14 nations will face levies of at least 25 percent from August 1 if these nations refuse to reach an agreement with the US. In a press conference, the White House unveiled the list, which included key American allies such as South Korea and Japan. Trump posted the letters on his social media platform, Truth Social. This could be a risky pivot for global trade, as nations scramble to reach a sustainable pact that also caters to their domestic interests. (Read Here)

• Thailand is preparing a back-up plan to deal with the 36% tariff imposed on its exports to the United States, the country's finance minister says.
• Finance Minister Pichai Chunhavajira said on Tuesday morning that he is confident that Thailand will be able to get a competitive tariff similar to those imposed on other countries.

Brazilian President Lula criticises US President Donald Trump over BRICS tariff threats. “It’s neither responsible nor serious for him to issue global threats online,” Lula said, reacting strongly to Trump's warning of potential tariffs on BRICS nations. “We are sovereign nations,” he added. “If he believes he can impose tariffs, then so can we.”

Thailand's acting prime minister Phumtham Wechayachai said Tuesday he wanted a "better deal" than the 36 percent tariff Donald Trump threatened to impose in a letter to the country. Bangkok was hit with the same rate when the US president announced his initial wave of levies at the start of April, but has been paying a 10 percent standby rate as negotiators raced for a deal before a July 9 deadline. - AFP

Titan, Tata Motors, Navin Fluorine, Refex Industries, JSW Infrastructure, Lodha Developers, Kotak Mahindra Bank in focus on 8 July (Read More)

• Malaysia will continue to engage with the US for a “mutually beneficial” trade agreement after President Donald Trump threatened to impose a 25% tariff on the Southeast Asian nation, higher than the 24% announced in April.
• “Malaysia is committed to continuing engagement with the US towards a balanced, mutually beneficial, and comprehensive trade agreement,” the Ministry of Investment, Trade and Industry said in a statement. - Bloomberg

• President Donald Trump said Monday that the United States will send additional defensive weapons to Ukraine, days after his administration paused certain military shipments.
• “We’re going to send some more weapons. We have to—they have to be able to defend themselves,” Trump said ahead of a dinner with Israeli Prime Minister Benjamin Netanyahu.
• “They’re getting hit very hard. We’re going to have to send more weapons,” he added. “Defensive weapons, primarily, but they’re getting hit very, very hard.”
• Trump’s remarks follow a recent pause in US arms shipments to Ukraine, including air defense systems, which a senior White House official attributed to a broader review of military spending and foreign aid. The review was approved by Secretary of Defense Pete Hegseth.

US President Donald Trump on July 7 issued letters to more than a dozen nations informing them of higher tariffs from August 1, after pushing the pause on reciprocal duties from July 9. This could offer India more time to get an approval for a mini-trade deal that awaits a much-needed political push. “India needs to wait and watch and see what others have got, if you do a deal too soon, it could be an uneven one,” a source aware of the developments said. (Read More)

• Japanese PM Says: This Is A De-facto Extension For Negotiations
• US, Japan Still Not On The Same Page Over Some Elements
• Seek Trade Deal As Soon As Possible With US, South Korea

Israeli Prime Minister Benjamin Netanyahu has officially nominated US President Donald Trump for the Nobel Peace Prize. Presenting the nomination letter, Netanyahu said, “I want to present to you, Mr. President, the letter I sent to the Nobel Prize Committee. It nominates you for the Peace Prize—which is well deserved—and you should receive it.”

Adding to concerns, the US has imposed the same steep tariffs on trans-shipped goods as on direct exports from targeted countries. According to one of the letters, goods rerouted through third countries to avoid higher duties—such as Bangladesh's 35% tariff—will still attract the full tariff. Vietnam, despite having a trade deal with the US, has faced similar treatment under the new rules, underscoring Washington’s tougher enforcement approach.

While India is pushing for exemptions on sectoral tariffs—particularly on steel and automobile parts—the first round of tariff letters issued by the US includes steeper duties that go beyond these sectors. The move has dampened expectations of any immediate relief, as the new levies override the areas where India was seeking flexibility.

Hello and welcome to Moneycontrol. Today, we are tracking the latest on trade war. As the world watches a new chapter of the trade war unfold, US President Donald Trump told the media that his country is very close to striking a deal with India. Talking to reporters in Washington, Trump said, "We’re close to finalising a deal with India. We've already struck agreements with the United Kingdom and China. As for others we've met with—if a deal doesn’t seem likely, we simply send them a letter outlining the tariffs they'll need to pay. Some of those tariffs might be adjusted slightly if there’s a valid reason—we’re not going to be unfair about it." The statement comes hours after the Trump administration issued a series of letters to respective nations regarding the new levies.