International Trade Bulletin — May 23, 2025

1. Trump Announces 50% EU Tariffs & Apple Threat

On May 23, President Donald Trump declared a 50% tariff on all European Union imports effective June 1, following unsuccessful trade talks. He also warned that Apple products would face a 25% duty unless iPhone production returns to U.S. soil. Global markets reacted negatively, with U.S. indices (Dow Jones, Nasdaq) falling more than 1% and European benchmarks (DAX, CAC) nearly 2%.

2. European Luxury Firms Under Pressure

Major luxury groups such as LVMH and Hermès experienced steep share-price declines after the tariff announcement. Approximately 25% of their revenues derive from the U.S., and the new duties may force higher consumer prices or costly production relocations.

3. China and Germany Pledge Trade Cooperation

During discussions in Berlin, President Xi Jinping and Chancellor Friedrich Merz emphasized the critical importance of maintaining and expanding Sino-German trade, especially to reinforce supply-chain resilience and support mutual economic growth amid rising protectionism.

4. Taliban Negotiates Local-Currency Trade

The interim Afghan government led by the Taliban is in talks with Russia and China to conduct bilateral trade in rubles and yuan, aiming to circumvent U.S. dollar sanctions and strengthen financial sovereignty. Afghanistan’s annual trade volume stands at around $300 million with Russia and $1 billion with China.

5. ACCA Conference in Hanoi Addresses Trade Instability

At the ACCA forum held in Hanoi, thought leaders from finance and industry convened to discuss strategies for coping with global trade volatility. Participants highlighted the need for robust forecasting, digital innovation, and cross-sector partnerships to address the intertwined challenges of tariff disputes, climate transition, and digital transformation.