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10 Jul 2025

The impact of Trump's tariffs may be felt in second-quarter earnings

The impact of US President Donald Trump's sweeping tariff agenda is likely to be felt in the upcoming second-quarter corporate earnings season, according to analysts at Capital Economics.

Although the implementation of the punitive "reciprocal" tariffs he first unveiled in April has been largely postponed, Trump has maintained a 10% base tariff, in addition to higher duties on goods such as steel, aluminum, and autos. Analysts have suggested that effective US tariffs are higher than they were at the start of Trump's second term earlier this year.

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