MNI POLITICAL RISK-US Metals Tariffs Take Effect, EU Hits Back

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Executive summary:

• President Donald Trump sought to downplay this week’s market selloff in remarks at a Business Roundtable event yesterday. His appearance came ahead of the next major step in Trump’s trade war, with a universal tariff on steel and aluminium going into effect at 00:01 this morning.
• The tariff implementation followed tariff threats exchanged with Canadian officials that ended in détente following a call between Ontario Premier Doug Ford and Commerce Secretary Howard Lutnick.
• Canadian PM-designate Mark Carney appeared to offer some concessions on key issues.
• Europe responded most forcefully to metals tariffs, with the EU imposing immediate reciprocal tariffs on USD$28.4 billion worth of US goods.
• UK Prime Minister Keir Starmer said the Britain will take a "pragmatic approach".
• Australian PM Anthony Albanese said he would not impose reciprocal tariffs.
• South Korea said that it will go into "full emergency response mode". 
• The House of Representatives passed a government funding package to keep the government operating through September 30, teeing up another challenging vote in the Senate. Should Congress pass the government funding package, attention will turn to raising the debt limit. 
• US officials will discuss truce terms with Russia today after Ukraine accepted a US-brokered ceasefire framework.
• The Education Department will cut more than 1,300 jobs.
• Poll of the Day:Americans are “not impressed” with Trump’s stewardship of the economy.

Please find the full article attached below: US DAILY BRIEF