Tariff Panic Is Back – But Here's Why I'm Not Worried VIEW IN BROWSER Last week marked a critical moment in one of the biggest market stories of the year… Yes, I’m talking about tariffs again, folks. That’s because there’s a new deadline as well as a new round of tariff threats. And that’s leading to a whole new level of tension building between the U.S. and its biggest trading partners. If you’re feeling like you have a case of déjà vu all over again, you’re not alone. See, back in March, I told you that President Trump’s new reciprocal tariffs were going to reshape the global trade landscape. On April 2, those tariffs officially went into effect, applying at least a 10% levy on all trading partners and much higher rates on countries with massive trade imbalances. For example, China was hit with a 34% tariff. Vietnam got 46%. To say it shocked the market would be an understatement. And over the past three months, we’ve seen mixed reactions. Some countries came to the negotiating table, while others pushed back. What followed was months of tension and speculation, leading to a 90-day enforcement pause meant to give foreign governments time to respond and, potentially, negotiate. But now, the pause is over. Or is it…? In today’s Market 360, I’ll break down what’s really going on. I’ll explain why Trump’s new trade push could be even more aggressive than the first – but why I still believe it could ultimately be good for the U.S. economy and smart investors alike. Then, I’ll wrap things up by explaining how this is part of a much bigger plan – and a new, under-the-radar way for investors to profit. Let’s dive in… What's Going on With Tariffs? As I’ve been saying for months, Trump’s new tariff plan is rooted in a bigger strategy. It starts with a 10% baseline tariff – a way to capture revenue from the underground economy and force foreign exporters to help pay down our deficit. With value-added taxes (VATs) politically unpopular, this approach is much easier to implement. Then come the reciprocal tariffs – targeted hits for countries that impose barriers or refuse to buy U.S. goods. That part is already underway. You see, Trump set a July 9 deadline, which has been extended to August 1. However, it's getting very contentious right now. Brazil is facing a 50% tariff unless it backs off its prosecution of their former president. Vietnam was hit with 20% tariffs… and an even steeper 40% penalty if Chinese products are rerouted through it for subassembly. Mexico’s now under the microscope, too. And starting August 1, Japan and South Korea face new 25% tariffs. But they have an option: move more manufacturing to the U.S., where they still operate large auto plants. Europe’s in for a fight as well. The EU has put up massive trade barriers to protect its 27 member countries, but the U.S. would rather have bilateral deals and domestic reshoring. For example, President Trump wants the German auto industry to basically move to the South. To show how broken the EU model is, consider the case of Stellantis NV (STLA). It owes the EU a staggering $3 billion because they didn't make enough EVs (electric vehicles). Well, Stellantis simply can't compete with the Chinese EVs that Europe's importing. They’re in an impossible situation. Furthermore, by 2035, they can't build vehicles with internal combustion engines. It has to be all EVs. So if I’m Stellantis, I'm just going to pick up and move to America. At least you can build engines here. | Recommended Link | | | | Elon Musk says his upcoming innovation could be the “biggest product of all time”… And by the looks of things, it could turn out to be one of the biggest profit opportunities we’ve ever seen… So much so that NVIDIA’s CEO Jensen Huang says it could be the “next trillion-dollar industry”. But if you want a shot at astronomical returns… You have to make this simple move. Because it might be the best way to potentially profit from Elon’s upcoming launch if you’re not an insider. |  | | The Latest News Now, as last week drew to a close, Trump went public again – this time releasing a batch of letters to foreign leaders announcing tariff hikes set to begin in August. The latest additions? The EU and Mexico. Both now face 30% tariffs. Meanwhile, President Trump also revealed plans for a 50% tariff on copper imports – and floated a jaw-dropping 200% tariff on pharmaceutical products. As you can see in the image below, this is where tariffs currently stand with the countries who still have yet to negotiate with the U.S.  What The Market Is Missing But here’s what I want you to remember... There is no doubt that the tariffs the Trump administration is imposing are controversial. But countries that cooperate with the U.S., like Australia and Britain, are only being hit with 10% baseline tariffs. Those will be largely offset by appreciation in the U.S. dollar in the upcoming months. Other countries face high reciprocal tariffs if they have their own trade barriers and do not agree to buy U.S. energy or other U.S. exports. Plus, I remain in the camp that when all the dust settles, there will be freer trade with fewer tariffs, since many countries cannot fight with the U.S. Meanwhile, a lot of people are ignoring the fact that tariff revenue is soaring. It was responsible for $27 billion in June, and we actually had a budget surplus for the first time since 2017. And it's probably headed to $60 billion in a month. It's going to help pay for the tax cuts that were just passed in that “Big Beautiful Bill.” Now, here’s the interesting thing happening that is largely being ignored. U.S. exports continue to rise as the Trump administration demands that other countries buy U.S. agricultural and energy products in exchange for more favorable reciprocal trade deals. As the trade deficit shrinks, it naturally boosts GDP growth. So, I am expecting that after the manufacturing sector perks up due to all the onshoring underway, the U.S. will briefly hit 5% annual GDP growth. And since a significant proportion of this GDP growth will be tied to exports, I do not expect that resurging GDP growth will be inflationary. The bottom line is we've got a lot to look forward to. I realize President Trump is a little unconventional. I realize he gets a lot of people rattled, but he does that on purpose so he can negotiate from strength. The Bigger Plan... Make no mistake, these tariffs aren’t just another policy footnote. They’re a signal. A signal that the U.S. is moving aggressively to reclaim control over its industrial and technological future – whether that’s through tariffs, supply chain realignment or massive investment in domestic production. And I believe we’re just getting started. Because while most investors are focused on the short-term market noise, the smart money is already focusing on the small U.S. companies that could lead the next wave of growth. That’s exactly what I discussed during my special event, Trump’s AI Day. I went live to share what I believe could be the most important investment story of the next decade – and how it ties directly into Trump’s fast-moving agenda to restore U.S. dominance in AI, defense and energy… starting with the raw materials that power it all. I revealed how a little-known executive order, specifically EO #14179, could unleash a wave of capital into five tiny U.S. stocks tied to AI infrastructure. I even gave away the name of one of them, completely free. If you missed it, don’t worry. You can still catch the full replay. But I urge you not to wait… this event will no longer be available after midnight tomorrow. Click here to watch Trump’s AI Day replay now. This could be your chance to get positioned before the next leg of the AI Boom begins. Sincerely, | .png)
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