Trump 2.0 Week 22 In Review: Discussing The UK Trade Deal, Stalled Negotiations With The EU and Japan, and New Tariff Threats

While tensions in the middle east have been rightfully hogging the headlines this week, beneath the surface there’s a few new important developments that manufacturers and distributors need to be aware of.

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In this week’s recap we cover:

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• Canada’s plans to increase tariffs on U.S. steel & aluminum

• Trump’s rekindled pharmaceutical tariff threat

• The new U.K. trade deal

• Slow moving negotiations with Japan and the EU

• Major new investments in U.S. manufacturing

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Canada Prepares to Increase Tariffs on U.S. Steel & Aluminum

On Thursday, Canadian Prime Minister Mark Carney indicated he may increase retaliatory tariffs on U.S.-produced steel and aluminum if a broader trade agreement with the U.S. is not reached within 30 days. He also announced that, starting July 21, Canada will adjust its existing counter-tariffs to levels aligned with the progress of ongoing negotiations. While he initially refrained from matching Trump’s recent tariff hike to 50%, Carney emphasized that Canada’s response will depend on the developments in the talks, with the goal of protecting its steel and aluminum industries amid the U.S. tariffs, which have been a devastating blow to Canada. At the G7 summit, both leaders agreed to try and reach a trade deal within 30 days.

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Pharmaceutical Tariffs Coming Very Soon, Claims Trump

On Tuesday on his way back from the G7 summit, President Trump told reporters that pharmaceutical tariffs are imminent, and that they will be implemented "very soon" to encourage companies to bring manufacturing back to America. This comes after previous remarks in March about revitalizing the sector and targeting countries like Ireland and China, which host significant manufacturing operations for American firms. Although plans to impose these tariffs were temporarily shelved in April, Trump’s recent comments suggest a renewed push to implement them.

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While exact timing and scope is still up in the air, Trump has previously indicated that they will start around 25%, and possibly go higher over time.

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President Trump Signs Order Confirming Parts of US-UK Trade Deal

On Monday, President Trump signed an agreement with the United Kingdom that lowers certain tariffs, including eliminating tariffs on U.K. aerospace products and reducing auto import tariffs from 27.5% to 10% for the first 100,000 vehicles. While steel tariffs remain unchanged at 25% for now, an executive order released by the White House on Monday stated the U.K. is committed to working to meet U.S. requirements regarding steel and aluminum product supply chain security, and once those requirements are met, “the United States intends to promptly construct a quota at most-favored-nation rates for steel and aluminum articles.”

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The deal also grants reciprocal access to 13,000 metric tonnes of beef for U.S. and British farmers and aims to strengthen economic ties, though it is not yet fully implemented. U.K. Prime Minister Keir Starmer welcomed the deal, emphasizing its importance for jobs and trade, while Trump highlighted its fairness and economic benefits for both countries.

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Other Ongoing Trade Negotiations

The U.S. has yet to finalize trade agreements with major partners like China, the European Union, and Japan, and the U.K. deal so far remains the only one signed since liberation day.

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European Union (EU)

On Monday at the G7 summit, President Trump had his first bilateral meeting with European Commission President Ursula von der Leyen, the EU’s top official responsible for negotiating trade deals on behalf of the bloc’s 27 members. Shortly after, Trump expressed skepticism about the EU’s willingness to negotiate fairly, stating, “we’re talking, but I don’t feel that they’re offering a fair deal yet.” and also that “They’re either going to make a good deal, or they’ll just pay whatever we say they have to pay.”

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For context, the EU like most other countries is currently subject to a baseline 10% tariff. If the two sides fail to reach a deal by July 9th however, the tariff will go up to 50% according to Trump’s recent threats, which would be a devastating blow to the EU’s economy.

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Additionally, while the EU is still pushing for a lower rate, they’ve also become increasingly resigned to the likelihood that a 10% reciprocal tariff rate will serve as the baseline in trade negotiations. According to one EU official, negotiating the rate down has only become harder now that the U.S. has started pulling revenue from its tariffs. Another EU official claimed there has been no official acceptance of the 10% baseline rate, but also acknowledged that it will be difficult to change the baseline.

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Japan

Trade talks between the U.S. and Japan are moving slowly, with little progress made at the recent G7 summit meeting between President Trump and Japanese Prime Minister Shigeru Ishiba. Key issues remain unresolved, and both sides are still far apart on major points. Japan’s negotiators have been pushing hard for the removal of the imported vehicle tariff, and have suggested a framework for reducing duties based on the contributions of Japanese automakers to the American economy, but the U.S. has not yet accepted this proposal and is unlikely to do so. Trump has also recently stated that unless Japan agrees to the terms set by the U.S., it will no longer be able to conduct business with the American market.

While the Japanese government continues to call for a balanced and mutually beneficial agreement, the pressure is mounting as the July tariff deadline approaches. For context, Japan was hit with a 24% tariff following the April 2nd ‘liberation day” announcement.

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New Investments in U.S. Manufacturing

While so-called “experts” have claimed that tariffs will have little effectiveness in getting companies to reshore manufacturing operations, reality tells a much different story.

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Numerous major companies across various sectors have announced significant investments in U.S. manufacturing since the beginning of Trump’s second term, and things are showing no signs of slowing down.

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Below are some of the most notable recent announcements.

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Micron Technology Announces $200B Investment in Domestic Semiconductor Manufacturing Capabilities

Late last week, Micron Technology announced a major expansion of its U.S. operations, with plans to invest around $200 billion in domestic manufacturing capabilities and R&D over the coming years. This includes building new leading-edge memory fabs in Idaho and New York, modernizing existing facilities in Virginia, and developing advanced packaging capabilities for High Bandwidth Memory (HBM), which is critical for AI applications. The investments aim to boost U.S. production capacity, support market demand, and will create approximately 90,000 jobs, reinforcing Micron’s position as a global leader in memory technology and ensuring a significant share of DRAM production remains domestically. Learn more

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Texas Instruments Announces Historic $60B Investment in U.S. Semiconductor Manufacturing

Earlier this week, Texas Instruments (TI) announced a historic investment of over $60 billion in U.S. semiconductor manufacturing. This expansion involves developing seven large-scale, connected fabs across three sites in Texas and Utah, which will support more than 60,000 U.S. jobs and significantly increase the production capacity of essential analog and embedded processing chips. For context, these chips are vital for a wide range of applications, including smartphones, vehicles, data centers, and satellites.

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The new manufacturing mega-sites will enable TI to produce hundreds of millions of chips daily, strengthening its leadership in foundational semiconductor manufacturing. Notable developments include the initial start of production at TI’s first fab in Sherman, Texas, called SM1, set to begin this year, along with the completion of the exterior shell of SM2. The company also plans to add two more fabs, SM3 and SM4, to meet future demand. Learn more

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Whirlpool Teases New Investment in U.S. Manufacturing Footprint

On Thursday morning in an interview with Fox News host Maria Bartiromo, Whirlpool CEO Marc Bitzer announced that Whirlpool plans to make significant additional investments in their U.S. factories, including product development, automation, and factory updates, to support a strategic shift toward greater vertical integration. Bitzer highlighted that this focus on expanding manufacturing capacity and efficiency will benefit U.S. factories, products, and consumers, with the goal of increasing factory utilization from 60% to 70-80% in the coming quarters to improve profitability and prevent any price increases. Learn more

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UCB Announces Plans For New Domestic Manufacturing Facility

UCB, a leading Belgian pharmaceutical company, recently announced plans to establish a new biologics manufacturing facility in the U.S., aiming to strengthen its presence in a rapidly growing market, improve supply chain resilience, and support biomedical innovation. While the company did not specify the investment amount, it estimates the project will have a total economic impact of around $5 billion and create approximately 300 high-skilled jobs once completed. UCB is currently considering locations that offer strong talent pipelines and innovation ecosystems to host the new plant, which will help bring its pipeline closer to patients and bolster its manufacturing capacity.

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This announcement comes amid a broader industry trend of significant U.S. manufacturing investments by major pharmaceutical firms, driven largely by threats of tariffs on foreign-made drugs. Companies like Johnson & Johnson, Roche, Eli Lilly, and Novartis have already pledged over $150 billion to expand their U.S. operations. Read more

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In a World of Uncertainty, Operational Agility Is Your Greatest Asset

Right now, the only certainty is uncertainty. Negotiations with key trading partners are progressing slowly with no clear outcome, reciprocal tariffs are under legal scrutiny, and the threat of new tariffs looms.

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This is why so many business leaders are paralyzed in fear and hesitant to take action. It’s understandable really - it’s hard to want to commit to new hires or other capital investments when you don’t know what the next few months hold. That’s why 36%+ of respondents in the NAM’s Q2 2025 survey are delaying or cancelling planned investments.

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Those with Veryable implemented into their operations? They play by a different set of rules as they’re able to expand or contract their workforce daily. They don’t have to spend weeks or months on direct hiring, or lock into restrictive temp agency contracts that offer little flexibility when growth opportunities emerge. And if demand drops suddenly, whether for a few days or a few weeks, they aren’t having to make difficult layoff decisions and let all the resources invested into these workers go right out the window. This allows these businesses to be proactive and aggressive while simultaneously minimizing risk.

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The bottom line? The next few quarters and beyond belong to those who are agile and proactive.

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To learn more about how the Veryable solution will help you turn uncertainty into a catalyst for growth, check out these articles:

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The Pressure That Creates Progress: Why Those Who Move First Win The Most: The companies that adapt first don’t just survive; they capture market share, drive innovation, and cement themselves as leaders. Those that hesitate become irrelevant, outpaced, or acquired by the competition.

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Agility Drives Profitability: How Veryable Enable Rapid Business Pivots: Agility is no longer just a luxury—it’s a necessity. Companies that build it into their labor strategy are best positioned to adapt, grow, and dominate their industries.

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The Reshoring Reckoning: Why American Manufacturing Can't Afford to Wait This One Out: As tariffs and reshoring reshape global trade, American Manufacturing faces a pivotal moment. This article explores why operations clinging to rigid workforce models will falter while those embracing operational agility with Veryable will thrive.

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Profiting From Preparation: Getting Paid to Build Your Operational Ark With Veryable: “The future is not something to fear; it’s something to build for.” That’s the mindset that separates leaders from followers. Veryable’s on-demand labor marketplace makes this possible. It’s not about patching gaps in your workforce—it’s about creating a system that grows and flexes with your needs.

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Asset Light: How “As a Service” Unlocks Growth and Eliminates Waste: The shift from fixed to variable costs isn’t just a trend—it’s a fundamental rethinking of how businesses operate. Veryable enables a natural progression of this revolution, helping businesses to eliminate inefficiencies and respond instantly to market changes.

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To learn more about the Veryable solution, click here or contact us.

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U.S. Manufacturing Today Podcast

For more information and insights, make sure to check out our new U.S. Manufacturing Today Podcast. Hosted by our Head of Reindustrialization, Matt Horine, and featuring interviews with business leaders as well as industry experts, this podcast aims to help you cut through the noise of pervasive narratives and provide clarity on the significant policy shifts shaping the U.S. manufacturing sector.

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In this week’s episode, Georgia Association of Manufacturers (GAM) President & CEO Lloyd Avram joined host Matt Horine to discuss Georgia’s growing role in the U.S. manufacturing renaissance.

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You can find this podcast on our website, Spotify, Apple, YouTube, and PocketCasts.

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Additional Resources

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Navigating Trump 2.0

For additional insights into the developments under Trump 2.0, visit our “Navigating Trump 2.0” page. There you'll find comprehensive information on recent and potential future changes, along with a collection of articles offering guidance for manufacturers and distributors on how to succeed in this rapidly evolving environment.

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Veryable Vendor Network

The Veryable Vendor Network (VVN) is an ecosystem of manufacturing, warehousing, and logistics companies that utilize Veryable to deliver quality products and world-class service to their customers regardless of demand. If you’re looking for new domestic suppliers, submit a form and our team will be in contact shortly after.