United News of Bangladesh

President Donald Trump signed an executive order Wednesday to place an additional 25% tariff on India for its purchases of Russian oil, bringing the combined tariffs imposed by the United States on its ally to 50%. The tariffs would go into effect 21 days after the signing of the order, meaning that both India and Russia might have time to negotiate with the administration on the import taxes. Trump's moves could scramble the economic trajectory of India, which until recently was seen as an alternative to China by American companies looking to relocate their manufacturing. China also buys oil from Russia, but it was not included in the order signed by the Republican president. As part of a negotiating period with Beijing, Trump has placed 30% tariffs on goods from China, a rate that is smaller than the combined import taxes with which he has threatened New Delhi. Trump had previewed for reporters on Tuesday that the tariffs would be coming, saying the U.S. had a meeting with Russia on Wednesday as the Trump administration tries to end the war in Ukraine. “We’re going to see what happens," Trump said about his tariff plans. "We’ll make that determination at that time.” In 2024, the U.S. ran a $45.8 billion trade deficit in goods with India, meaning it imported more than it exported, according to the U.S. Census Bureau. At a population exceeding 1.4 billion people, India is the world’s largest country and represented a way for the U.S. to counter China's influence in Asia. But India has not supported the Ukraine-related sanctions by the U.S. and its allies on Moscow even as India's leaders have maintained that they want peace. The U.S. and China are currently in negotiations on trade, with Washington imposing a 30% tariff on Chinese goods and facing a 10% retaliatory tax from Beijing on American products.

Malaysia's asset tokenisation market could be worth up to US$43 billion by 2030, according to a new white paper titled Project Juara: Malaysia's Asset Tokenisation Opportunity, released jointly by Kenanga Investment Bank, Saison Capital, Helicap Labs, and Satori Research. The report outlines the significant potential of tokenising regulated financial products such as unit trusts, bonds, and sukuk to transform Malaysia’s financial landscape. It calls for a coordinated national effort to build a robust digital asset ecosystem, engaging financial institutions, regulators, infrastructure providers, and community leaders. “Tokenisation offers deep structural reform beyond digitalisation by reshaping how assets are issued, traded, and governed,” the paper notes. It also aligns with Malaysian Prime Minister Datuk Seri Anwar Ibrahim’s recent call to position Malaysia as a digital asset hub. Asian markets mixed as Wall Street slumps on weak U.S. jobs data Kenanga Group has already made major strides in the digital finance space with platforms like Rakuten Trade and Kenanga Digital Investing (KDI), as well as investments in digital asset exchanges and fintech firms. The group’s strategic partnerships—including with Ant Group—underscore its commitment to driving innovation in digital finance and tokenisation. The report serves as both a roadmap and a call to action for transforming Malaysia’s capital markets. Source: Agency 

Asian stock markets showed a mixed performance on Monday after Wall Street suffered its worst drop since May, triggered by a weaker-than-expected U.S. jobs report. Investors across Asia had already reacted on Friday to U.S. President Donald Trump’s surprise announcement of sweeping new tariffs on imports from several key trading partners. The new duties are set to take effect Thursday, further rattling markets. Tokyo’s Nikkei 225 index fell 1.6% to 40,134.97, recovering from deeper earlier losses. In contrast, Hong Kong’s Hang Seng inched up 0.2% to 24,589.21, while China’s Shanghai Composite remained nearly flat at 3,562.18. South Korea’s Kospi gained 0.7% to 3,140.92. Australia’s S&P/ASX 200 slipped 0.2% to 8,643.00. The cautious sentiment followed the U.S. Labor Department’s report showing that employers added just 73,000 jobs in July—far below forecasts. Additionally, earlier job growth numbers for May and June were revised down by a combined 258,000 jobs. “The labor market, once a pillar of resilience, is now looking more like a late-cycle casualty,” said Stephen Innes of SPI Asset Management, noting the shift in market sentiment from “soft landing” optimism to growing economic concern. Despite the weak data, U.S. futures edged up 0.3% early Monday. On Friday, the S&P 500 slid 1.6% to 6,238.01, its steepest drop since May 21 and its fourth consecutive daily loss. It ended the week down 2.4%. The Dow Jones Industrial Average lost 1.2% to 43,588.58, while the Nasdaq composite fell 2.2% to 20,650.13. Global stocks slide after Trump orders new tariffs on 68 countries, EU Tech stocks were hit hard, with Amazon tumbling 8.3% despite reporting strong quarterly earnings. Apple also beat expectations but fell 2.5%, citing a potential $1.1 billion impact from new tariffs this quarter. Adding to the turbulence, Trump’s abrupt dismissal of the head of the federal agency that produces monthly jobs data raised fears of political interference in future reports. The disappointing jobs numbers have fueled speculation that the Federal Reserve may cut interest rates as early as September. The yield on the 10-year Treasury dropped to 4.21% from 4.39% before the report, while the 2-year yield—a key indicator of Fed rate expectations—plunged to 3.68% from 3.94%. The Fed has held rates steady since December. While a rate cut could stimulate hiring and economic growth, it also risks stoking inflation, which remains above the Fed’s 2% target. An update last Thursday showed inflation rising to 2.6% in June, up from 2.4% in May. Although Fed Chair Jerome Powell has faced pressure from Trump to cut rates, decisions are made collectively by the Federal Open Market Committee. Meanwhile, American businesses and investors are grappling with the uncertainty surrounding U.S. trade policy. Companies like Walmart and Procter & Gamble have warned that ongoing and unpredictable tariff measures are driving up costs and could ultimately lead to higher consumer prices. In commodities trading early Monday, U.S. benchmark crude fell 18 cents to $67.15 a barrel, while Brent crude, the international benchmark, dropped 23 cents to $69.44. Microsoft's cloud revenue hits $75B, profit beats expectations In currency markets, the U.S. dollar rose to 147.80 Japanese yen from 147.26 yen, while the euro slipped to $1.1577 from $1.1598. Source: Agency 

India has signaled that it will maintain its oil trade with Russia, brushing aside warnings from U.S. President Donald Trump about possible trade penalties. At a regular press briefing on Friday, Indian foreign ministry spokesperson Randhir Jaiswal emphasized that India's energy policy is shaped by market availability and global conditions, not external pressure. He reaffirmed that India’s relationship with Russia is “steady and time-tested,” and should not be judged through the lens of any third country. His remarks came in response to Trump’s recent announcement that the U.S. may impose a 25% tariff on Indian goods, along with additional import duties, as retaliation for New Delhi’s ongoing purchases of Russian crude oil. The U.S. president, frustrated by Moscow’s refusal to agree to a ceasefire in Ukraine, has threatened fresh sanctions, raising concerns about secondary impacts on nations continuing to trade with Russia. Global stocks slide after Trump orders new tariffs on 68 countries, EU India’s imports of Russian oil have seen a dramatic surge since the Ukraine conflict began in February 2022. From just 68,000 barrels per day in January 2022, imports soared to 1.12 million barrels per day by June that year and peaked at 2.15 million in May 2023. At one point, Russian crude accounted for nearly 40% of India’s total oil imports, making Russia its top supplier, according to data cited by the Press Trust of India from analytics firm Kpler. India consumes approximately 5.5 million barrels of oil daily, with about 88% of that demand met through imports. While the country traditionally relied on Middle Eastern suppliers, it shifted focus to discounted Russian crude following Western sanctions against Moscow. India, the world’s third-largest oil importer after China and the U.S., has defended its procurement choices as a matter of national interest amid rising global energy prices and supply volatility. Source: Agency 

Global markets dropped sharply on Friday as investors reacted to U.S. President Donald Trump’s surprise order to impose new tariffs on 68 countries and the European Union, set to take effect in seven days. The announcement — which replaced a previous August 1 deadline — added fresh volatility to an already fragile global trading environment. In early European trading, Germany’s DAX fell 1.5% to 23,697.31, the FTSE 100 in London declined 0.7% to 9,068.97, and France’s CAC 40 lost 1.6% to 7,647.56. U.S. futures were also lower, with the S&P 500 and Dow Jones Industrial Average both down 0.8%. In Asia, Japan’s Nikkei 225 slipped 0.7%, South Korea’s Kospi tumbled 3.9%, Hong Kong’s Hang Seng dropped 1.1%, and China’s Shanghai Composite edged down 0.4%. India’s Sensex dipped 0.4%, and Taiwan’s TAIEX lost 0.5%. Stephen Innes of SPI Asset Management described the move as a “structural rewrite” of trade policy, raising the average U.S. tariff to 15.2% from 13.3%, compared to 2.3% before Trump returned to office. Canada is expected to be hit especially hard. Rabo Bank strategist Benjamin Picton criticized the policy as “imperial trade,” suggesting the U.S. is favoring high-value sectors at the expense of global partners. Trump announces 25% tariffs, penalty on India On Wall Street Thursday, major indexes closed lower as a rally in tech stocks faded. The S&P 500 dipped 0.4%, the Dow lost 0.7%, and the Nasdaq ended just below flat. Health care stocks led the losses after the White House asked major pharmaceutical firms to cut drug prices within 60 days. UnitedHealth dropped 6.2%, Eli Lilly fell 2.6%, and Bristol-Myers Squibb lost 5.8%. Meanwhile, Meta surged 11.3% after reporting strong earnings, and Microsoft rose 3.9% on upbeat cloud performance. In commodities, U.S. crude rose 15 cents to $69.41 a barrel, and Brent added the same to reach $71.85. The dollar weakened to 150.55 yen, while the euro edged up to $1.1419. Source: Agency 

Microsoft revealed on Wednesday that its Azure cloud computing platform generated over $75 billion in annual revenue, marking a 34% year-over-year increase. This is the first time the tech giant has publicly disclosed Azure’s revenue, highlighting its central role in Microsoft’s shift toward artificial intelligence. The announcement came as part of Microsoft’s end-of-year earnings report, which also showed a strong 24% jump in quarterly profit — surpassing Wall Street expectations and easing investor concerns over the company’s aggressive investments in data centers needed to support cloud and AI services. “We continue to scale our own data center capacity faster than any other competitor,” CEO Satya Nadella told investors, noting that Microsoft now operates more than 400 data centers across six continents. In the fiscal fourth quarter (April to June), Microsoft posted a profit of $34.3 billion, or $3.65 per share, exceeding analyst predictions of $3.37 per share. Revenue for the quarter stood at $76.4 billion, up 18% from the same period last year and above the $73.86 billion projected by FactSet analysts. Though Azure launched over a decade ago, it has become increasingly integral to Microsoft’s AI strategy. The company is working to integrate AI tools, including chatbots, into its core offerings for enterprise customers. Trump announces 25% tariffs, penalty on India Despite Azure’s impressive growth, it still lags behind Amazon Web Services (AWS), which reported $107.6 billion in revenue for its most recent fiscal year ending in December. The cost of building and maintaining the infrastructure needed for cloud and AI growth is substantial. In response, Microsoft has sought to cut costs in other areas, including laying off around 15,000 employees this year. Nadella acknowledged the toll of these layoffs but framed them as necessary for reimagining Microsoft’s mission in the AI era. Interestingly, the company’s overall headcount has remained stable at 228,000 full-time employees as of June 30, the same as the previous year. However, there has been a shift, with more employees now based in the U.S. and fewer working in support or consulting roles. Investors have responded positively to Microsoft’s more streamlined approach, especially as major tech firms face pressure to justify heavy capital expenditures needed to fuel the AI race. Microsoft’s CFO, Amy Hood, said capital spending is expected to reach $30 billion in the July-September quarter. By comparison, Google recently announced it would boost its capital expenditure budget by $10 billion, reaching $85 billion. While Microsoft didn’t provide details on how U.S. tariffs are currently affecting revenue, its annual report highlighted tariffs as one of the risks facing the company. It warned that increasing geopolitical instability and shifting U.S. trade policies are creating uncertainty, potentially affecting the supply chain and cost competitiveness of its cloud and device operations.

US President Donald Trump has announced that India will face a 25% tariff on all exports to the United States starting August 1, along with an additional unspecified penalty. The announcement was made Wednesday via a post on Truth Social, Trump’s own social media platform. Trump justified the move by citing India’s continued purchase of military hardware and oil from Russia, despite being labeled "our friend" by the American leader. He also criticized India for what he called "strenuous and obnoxious non-monetary trade barriers" and some of the highest tariffs in the world. "Remember, while India is our friend... we have, over the years, done relatively little business with them because their tariffs are far too high, among the highest in the world. And they have the most strenuous and obnoxious non-monetary trade barriers of any country," Trump posted. Sanctions on UN expert over Israel criticism affect life He further alleged that both India and China are indirectly funding Russia’s war in Ukraine — a conflict he claims he could resolve within 24 hours of taking office next January. "Also, they have always bought a vast majority of their military equipment from Russia, and are Russia's largest buyer of energy... at a time when everyone wants Russia to stop the killing in Ukraine. India will, therefore, be paying a tariff of 25 per cent, plus a penalty for the above, starting August 1..." Trump’s announcement follows earlier tariff hikes declared in April, which were later scaled down and delayed to allow space for negotiations. August 1 was the self-imposed deadline for imposing reciprocal tariffs on multiple countries, including India. Speaking to reporters earlier on Wednesday after returning from a golf trip to Scotland, Trump reiterated, "India has been a good friend... but has charged basically more tariffs than almost any other country... you can't do that." The decision comes amid stalled US-India trade talks, with American officials seeking greater access to India’s dairy and agricultural markets—sectors that remain politically sensitive in India due to their impact on local farmers. US Trade Representative Jamieson Greer said earlier this week that Washington needs more time to assess India’s willingness to open its markets to American goods. Source: NDTV

The United States and China have agreed to work on extending a tariff pause set to expire on August 12, following two days of high-level trade negotiations in the Swedish capital, according to Chinese officials. The U.S. delegation acknowledged the topic was discussed but said no final decision has been made. China’s Vice Premier He Lifeng, who led Beijing’s team, said the discussions were “in-depth, candid, and constructive,” and emphasized the importance of a stable and sustainable U.S.-China trade relationship for global economic growth. While he confirmed an agreement to work toward a 90-day extension of the current tariff pause, he did not specify how it would be implemented. U.S. Treasury Secretary Scott Bessent described the meetings as “very fulsome,” touching on key U.S. concerns including China’s purchase of Iranian oil, supply of dual-use technology to Russia, and overproduction in key industrial sectors. He stressed the importance of “de-risking” strategic industries such as rare earths, semiconductors, and pharmaceuticals, and reiterated U.S. priorities to restore domestic manufacturing, reduce trade deficits, and secure more favorable purchase agreements for American agricultural and energy exports. The Stockholm talks, held behind closed doors at the office of Swedish Prime Minister Ulf Kristersson, marked the latest attempt to resolve lingering disputes over tariffs and export controls. The two sides previously met in Geneva and London to address contentious issues, including steep tariffs and critical supply chain restrictions. FPT, ATEC Forge first global partnership to boost Japan’s auto software innovation On Monday, Kristersson met Bessent and U.S. Trade Representative Jamieson Greer for breakfast before talks resumed. Both sides said the meetings ended on a constructive note and pledged to maintain open lines of communication on trade and economic issues. Possibility of Trump-Xi Summit The talks came amid speculation that President Donald Trump may meet Chinese President Xi Jinping later this year. Trump hinted at the possibility during a press briefing aboard Air Force One, saying he may visit China at Xi’s invitation. However, he clarified via his Truth Social platform that he was not actively seeking a summit. Although the topic of a Trump-Xi meeting was not formally discussed during the Stockholm negotiations, U.S. officials noted that both presidents support continued engagement between their trade teams. Greer confirmed that the American delegation would return to Washington to consult with President Trump regarding the potential extension of the August deadline. Pressure Builds Ahead of Tariff Deadline The urgency surrounding the talks stems from a looming increase in tariff rates. Currently, the U.S. imposes a 30% tariff on Chinese goods, while China levies a 10% duty on American imports. These rates are significantly lower than the triple-digit tariffs proposed earlier this year during the peak of the trade standoff. The two sides agreed to a 90-day pause in May, following tense negotiations in Geneva. That pause is set to expire on August 12 unless a new agreement is reached. China has so far been guarded about its specific goals, while the U.S. has made it clear that it wants to rebalance the trade relationship and secure better terms for its exporters. Analysts say any extension of the tariff pause would be a positive step but warn that longer-term solutions remain complex and politically sensitive. 100 Days to 8th CIIE: Preps Harden as Global Exhibitors Eye Business Potential in China Wendy Cutler, a former U.S. trade negotiator and now vice president at the Asia Society Policy Institute, cautioned that China is now a more assertive player on the world stage. “Beijing has learned lessons since the first Trump administration and will not buy into a one-sided deal this time around,” she said. Symbolic Setting, Strategic Stakes The high-stakes talks drew significant attention in Stockholm. Police cordoned off the waterfront near the prime minister’s office, where American and Chinese flags flew side by side. Crowds of onlookers and media gathered outside the venue, underscoring the global significance of the negotiations. Both Bessent and He Lifeng expressed optimism that the dialogue in Stockholm could pave the way for further progress. “We agreed to stay in close contact and communicate with each other in a timely manner,” He said. Source: Agency

Global tech giant FPT and Japan’s automotive software developer ATEC have signed a strategic Memorandum of Understanding (MoU) to jointly develop next-generation automotive software, marking ATEC’s first international partnership. The collaboration aims to address Japan’s growing demand for embedded system developers and the talent crunch in the automotive sector. Together, they will co-develop solutions for Software-Defined Vehicles (SDVs) and AUTOSAR systems for leading Japanese automakers. As part of the deal, a new Offshore Development Center will be established in Ho Chi Minh City, with expansion plans underway. “This partnership opens exciting opportunities for both sides in Japan’s dynamic automotive sector,” said Do Van Khac, CEO of FPT Japan. 100 Days to 8th CIIE: Preps Harden as Global Exhibitors Eye Business Potential in China With over 20 years of experience in automotive technology and $500 million revenue from Japan in 2024, Vietnam-based FPT aims to double that figure and become a top 15 IT services provider in Japan by 2027. Founded in 1988, ATEC is a certified engineering partner of Germany’s Vector Informatik and a key player in Japan’s automotive software space. Source: Agency

Chinese investors have demonstrated strong interest in Bangladesh’s key sectors during a series of bilateral engagements between Bangladesh delegation and Chinese investors held in Shanghai and Guangzhou. Chowdhury Ashik Mahmud Bin Harun, executive chairman of Bangladesh Investment Development Authority (BIDA) and the Bangladesh Economic Zones Authority (BEZA), led the Bangladesh delegation to China covering Shanghai and Guangzhou from 20–26 July.  More than 100 Chinese investors took part in an investment seminar jointly organised by BIDA and the Embassy of Bangladesh in Shanghai on 21 July, according to BIDA. Chinese investors Handa Industries and New Tiger Energy shared their investment experiences in Bangladesh and offered insights on the country’s evolving investment landscape during the seminar. Alongside the seminar, the delegation held over 25 bilateral meetings with companies exploring new or expanded investments in Bangladesh. Key sectors of interest included renewable energy, ready-made garments (RMG), healthcare, and consumer electronics. Govt initiative needed to restore trust of share market investors: Khosru “We are encouraged by the positive engagement from Chinese companies,” said Ashik Chowdhury.  “These interactions allowed us to highlight recent policy progress in Bangladesh, particularly in areas such as currency stability and the simplification of investment procedures. We were pleased to receive positive feedback from Chinese investors on these initiatives,” he added. The delegation of senior officials from BIDA and BEZA was accompanied by representatives from CitiBank NA, EBL, HSBC and Standard Chartered.  The team also explored avenues for future collaboration with prominent Chinese business associations and members of the non-resident Bangladeshi (NRB) community.  In addition, early discussions were held on establishing BIDA’s first overseas office to support sustained investor engagement and facilitation in East Asia, according to BIDA official release.