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Daily News Brief

July 23, 2025

Welcome to CFR’s Daily News Brief. Today we’re covering U.S. President Donald Trump’s announcements of new tariff rates for Japan and the Philippines, as well as...

  • Ukraine’s anti-government protests
  • China-linked hackers’ targeting of Microsoft
  • The falling price of green energy
 
 

Top of the Agenda

Trump announced new U.S. tariff rates of 15 percent on Japanese imports and 19 percent on Philippine imports in social media posts yesterday. Trump said that Washington reached deals with both countries, though Philippine President Ferdinand Marcos Jr. said many details are still pending. The announcements nevertheless provided clarity for other nations about tariff rates achievable through talks with the Trump administration. Separately, the U.S. and Indonesian governments released details of a trade framework first announced last week.

 

Japan’s 15 percent duty falls below the 25 percent that Trump threatened in a letter earlier this month. 

  • Crucially, the rate includes cars, which previously had been subject to Trump’s global 25 percent tariff on auto imports. Autos are Japan’s top export to the United States.
  • In exchange, Japan will provide loans and guarantees for up to $550 billion in the United States, Prime Minister Ishiba Shigeru said. Japan also pledged to drop some testing requirements on imported U.S. cars and trucks.
  • The deal does not cover Japanese steel and aluminum products, which remain hit by a 50 percent sectoral tariff. 

For the Philippines, talks only managed to push a threatened 20 percent rate down 1 percent.

  • Trump’s announcement came after White House talks yesterday with Marcos, who called the rate a “significant achievement.”
  • While Trump said U.S. goods would face no tariffs from the Philippines, Marcos said that Manila was considering steps such as removing duties on U.S. cars. The Philippines pledged to increase purchases of U.S. soy, wheat, and pharmaceutical products.
  • Trump also said the countries would work together militarily, though he didn’t provide details. 

Indonesia, meanwhile, agreed to drop inspections of some U.S. agriculture imports and “work together” on recognizing U.S. rules on car safety and drug products, according to a joint statement yesterday. Trump celebrated the framework for its removal of so-called non-tariff barriers on U.S. products. Indonesia will face a 19 percent U.S. tariff on its goods.

 
 

“[It] should go without saying that a world where the same product faces a different tariff depending on whether it is produced in the United Kingdom, Japan, Indonesia, Vietnam or China is going to be an administrative nightmare. Such differentials tend to move trade to the location with the lowest tariff.”

—CFR expert Brad W. Setser on X

 

The China-Philippines Maritime Standoff

The President's Inbox

In the South China Sea, tensions between the Philippines and China could draw in the United States, RAND’s Derek Grossman says on this episode of The President’s Inbox.

Listen
 
 

Across the Globe

Ukraine’s anti-government protests. Thousands of people demonstrated in Kyiv yesterday after legislators approved a bill to weaken the country’s anti-corruption institutions, marking the first major protests against the government since Russia invaded in 2022. Earlier yesterday, the European Union’s enlargement commissioner called the law “a serious step back.” President Volodymyr Zelenskyy signed the bill into law overnight, but today pledged to release a new anti-corruption plan within two weeks.

 

China-linked hacks on Microsoft. Chinese state-linked hacking groups are behind recent attacks that exploited vulnerabilities in Microsoft software, the tech firm said yesterday. U.S. government agencies, such as the National Nuclear Security Administration, are among those targeted, unnamed sources including U.S. federal investigators told multiple news outlets. The Chinese Embassy in Washington said Beijing opposes all forms of cyberattacks, while Microsoft said it was working with U.S. government agencies to address the vulnerabilities. 

 

Green energy savings. Last year, 91 percent of new utility-scale renewable energy projects produced cheaper electricity than the lowest-cost fossil fuel alternatives, according to a new report from the International Renewable Energy Agency. UN Secretary-General António Guterres called the transition to clean energy “unstoppable” in a speech yesterday, adding that the United States’ current policies are “missing the greatest economic opportunity of the twenty-first century.”

 

WHO mosquito virus warning. The World Health Organization (WHO) issued a public warning yesterday about the global spread of chikungunya virus. Outbreaks have been registered this year in Indian Ocean islands, and the virus is spreading to India and some countries in sub-Saharan Africa, Southeast Asia, and Europe. There is no cure for the mosquito-borne virus, which can cause long-term illness.

 

Pharma investment in the U.S. British-Swedish drugmaker AstraZeneca pledged to invest $50 billion in the United States by 2030 amid the Trump administration’s threats to issue tariffs on foreign-made pharmaceutical products. AstraZeneca’s CEO made the announcement at a ceremony with U.S. officials on Monday. Swiss firms Roche and Novartis, as well as France’s Sanofi, also announced multibillion-dollar investments in the United States earlier this year.

 

Syrian probe of violence. A March spate of violence that killed security forces and Alawites—an Arab ethnoreligious group—left 1,426 people dead, according to a Syrian government fact-finding committee. It said that military commanders did not give orders for revenge attacks. An Alawite council rejected the findings and called for an independent investigation; a Reuters report last month linked some people who ordered attacks to the interim government. 

 

Nuclear power in Japan. A Japanese power utility said yesterday that it will begin a survey about the potential construction of a nuclear reactor in Fukui prefecture. It is the country’s first step toward building a new reactor after the 2011 Fukushima disaster, during which a tsunami damaged a plant that released radioactive materials. The survey could take years to complete. Japanese public opinion remains divided on nuclear power.

 

China-India tourism thaw. Starting tomorrow, India will resume providing tourist visas to Chinese citizens after five years. The Indian government suspended the visas following 2020 border clashes, while China suspended tourist visas around the same time, citing the COVID-19 pandemic. Senior officials held several bilateral meetings last year to ease tensions. China relaxed tourist restrictions for Indian nationals in March.

 
 

Rising U.S. ‘National Security’ Protectionism

A chart of tariffed U.S. imports under Section 232

Council on Foreign Relations

The Trump administration’s use of national security arguments to justify tariffs parallel the rising use of such arguments at the World Trade Organization, CFR expert Benn Steil writes for Geo-Graphics.

 
 

What’s Next

  • Today, Indian Prime Minister Narendra Modi begins a visit to the United Kingdom.
  • Tomorrow, leaders from China and the EU hold a summit in Beijing.
  • Tomorrow, the Gaikindo Indonesia International Auto Show begins in Tangerang.
 
 

America’s Pill Problem

An employee checks coated tablets at a manufacturing plant in Ahmedabad, India, April 2025

Amit Dave/Reuters

The United States is alarmingly dependent on imports for many of its critical medicines and their ingredients. But a blanket tariff on pharmaceutical imports won’t fix the problem, CFR’s Thomas J. Bollyky, Chloe Searchinger, and Prashant Yadav write for Foreign Affairs. 

 
 

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