Share this @internewscast.com

Some of the largest and wealthiest companies in the world have reported losses equalling US$15 billion ($23.1 billion) this quarter, as the United States’ latest tariffs eat into global profits.
Meanwhile, the Australian economy is showing “mixed” results, which experts say could leave the country in a vulnerable position.
Felicity Deane, professor of trade law and taxation at Queensland University of Technology, said the tariffs have “thrown out the door” decades-old trade agreements, raising questions about what happens next.

Here’s what you need to know.

Which sectors have been affected?

A majority of the losses caused by the US tariffs have come from the industrial, manufacturing and automotive sectors, while financial and technology sectors have been less affected.
Companies like Caterpillar, Yum Brands, Molson Coors and Marriott are among those experiencing tariff-related losses.
Deane said complex supply chains and legalities mean tariffs can be inconsistent in their impact on pricing.
“While some sectors that rely on importing raw resources, like manufacturing, will obviously be impacted, it can be harder to tell how other sectors may be affected,” she told SBS News.
“Different countries may have differing definitions of their products, which can also change how customs classify imports, and therefore tariffs themselves.

“For example, something that is taxed in one nation might not be considered taxable in another.”

Deane said while it is hard to discern, Trump’s rationale behind the tariffs is that he wants to bring back investment and manufacturing to the US.

“He suggests that tariffs are the solution. He believes that the U.S. is unfairly treated by its trade partners,” she mentioned.

What impact is Trump having on the US economy?

Luke Hartigan, a lecturer in economics at the University of Sydney, told SBS News the US economy is dealing with a lot of uncertainty.
“I think there’s always a risk of a recession, and Trump’s approach to people could also harm the economy,” he said.
Earlier this week, Trump fired the commissioner of the US Bureau of Labor Statistics (BLS) after the department revised down recent job numbers by more than 250,000.

Even without supporting evidence, Trump claimed the numbers were manipulated to make his administration appear ineffective.

Hartigan said this was “deeply concerning”.
“What this says is that Trump is not happy with the figures being provided, and that he would rather accuse the BLS of cooking the books rather than acknowledging the data that didn’t suit him,” he said.
“What’s deeply concerning about that is that if he puts in someone who’s just looking to please Trump, they may want to mess with the data.
“Then we’re in a world of very bad outcomes because you don’t know what’s happening in the economy.”

Though recession threats and unexpected firings may worry investors, Australia’s impact seems minimal.

What does this mean for Australia?

Flavio Menezes, a professor of economics at The University of Queensland, said any impact from these tariffs would be “indirect” for Australia.
“The broader and more significant impact is likely to be indirect — stemming from how these tariffs affect China, Australia’s main trading partner, and subsequently other key partners such as the European Union, the United Kingdom, Japan, and South Korea,” he told SBS News.

“The full extent of these ripple effects remains largely unresolved.”

While the cost of groceries and household goods will largely remain the same, you could experience changes to your superannuation which is tied to foreign stock markets.
But for now, Australia’s economic picture is “mixed”, Menezes said.
“Unemployment has edged up slightly but remains at historically low levels. Inflation has returned to within the RBA’s target band, and while economic growth continues, it is modest.”

Share this @internewscast.com
You May Also Like
Prince Andrew

UK Prime Minister Supports Investigation into Prince Andrew’s Rent-Free Lease at Royal Lodge

UK Prime Minister Keir Starmer has thrown his support behind an inquiry…
Houses in an outer suburb.

Australia’s Property Market Faces $42 Billion Setback: What It Means for Homeowners and Investors

The latest study, unveiled today by the Climate Council in collaboration with…
Missing four-year-old Gus

Ex-Tyrrell Detective Shares Insider Insights on the Ongoing Search for Missing Boy Gus

One of the nation’s most high-profile former detectives says he’s confident South…
Top UN court says Israel must allow UN relief agency to supply Gaza aid

International Court of Justice Mandates Israel to Permit UN Relief Agency Access for Gaza Aid Distribution

The International Court of Justice says Israel must allow the UN aid…
Shane Hryhorec has been using a wheelchair for the past 18 years and ran into an ironic and glaring issue at Health and Disability Minister Mark Butler's office in Port Adelaide.

Accessibility Fail: Shocking Barrier Encountered at Disability Minister’s Office

For nearly two decades, Shane Hryhorec has navigated life in a wheelchair,…
According to clinical nutritionist, Gina Urlich, everyday seed oils could be slowly wrecking our health - and they're in everything from fast food takeaways and salad bar dressings to supermarket breads and even so-called 'healthy' snacks

Clinical Nutritionist Reveals the Common Kitchen Staple She Steers Clear Of

Many of us might casually pour a bit of oil into the…
For the past three years and eight months, Tom Phillips, 38, has been on the run, hiding out in the wilds of New Zealand. With him are his three children, Jayda, 12, Maverick, ten, and Ember, nine. Pictured: An image of what is believed to be the missing family, taken by a hunter

Enigmatic Partner Unveiled: Fugitive Father and Children Survive Four-Year Wilderness Escape in New Zealand

Some call him ‘The Bushman,’ while others refer to him as ‘The…
US military kills two people in strike on suspected drug boat in Pacific

US Military Conducts Lethal Strike on Suspected Drug Vessel in Pacific, Two Killed

The United States military executed its eighth operation against a suspected drug-trafficking…

Australian Homeowners Face $42 Billion Financial Burden: What It Means for You

Homeowners in flood zones are paying “a disaster penalty”, with a new…
Wild weather in Victoria

Victoria and SA Prepare for Intense Cyclonic Winds and Severe Weather Conditions

Residents throughout south-east Victoria, including those in Melbourne, are bracing for severe…
New Zealand primary school teacher Jordan Shallcrass revealed her ultimate art class hack in the Ryobi USB Lithium Power Cutter, available for $89 at Bunnings

School Teacher’s Discovery Turns Bunnings Gadget into Must-Have Item: ‘A True Game Changer

A primary school teacher in New Zealand has uncovered a surprising crafting…
Hannah Thomas was badly injured following an anti-Israel protest in Sydney's west.

Shocking Twist: Officer Faces Fresh Charges in Assault Case Involving Ex-Greens Candidate

A police officer already facing legal proceedings for allegedly assaulting former Greens…