The ripple effects of US President Donald Trump’s tariff policies continue to impact global supply chains. On Saturday, transport company DHL announced it would suspend international shipments over $800 to American consumers, citing that new tariff rules had overwhelmed its processing systems. Automaker Ford said it was “adjusting” its exports of vehicles like the F-150 Raptor, Lincoln Navigator, and Mustang to China, due to the impact of tariffs. And China’s Xiamen Airline reportedly returned a Boeing 737 MAX, freshly painted in company colors – the latest casualty of that country’s ongoing trade war with the US.
Other countries are opting for negotiation over retaliation. Italian Prime Minister Giorgia Meloni visited Washington on Friday hoping to talk EU trade with Trump, but found the US President was “in no rush” to strike a deal. This week, South Korea will enter into tariff talks, hoping to avert the 25% reciprocal tariff Trump announced, and then paused, in early April.
What else is expected in the next few days? On Tuesday, the IMF is set to release global growth forecasts – and is expected to both lower expectations for growth in tariffed countries while raising expectations for inflation. A day later, coordinated purchasing manager indexes from most major economies will be released, offering a first look at the early impacts of tariffs and trade threats on economic activity.