USTR Greer says US is initiating Section 301 investigation into 16 trading partners, including China, EU, Mexico, Vietnam, India and Japan, adds the investigation could lead to responsive actions, including tariffs

• Have been in consultation with trading partners, and new actions should not be a surprise to them.
• EU has done approximately 0% of what was agreed in the bilateral trade deal.

The initiation of a Section 301 investigation into 16 trading partners, including major economies like China and the EU, signals a potential escalation in trade tensions. This could lead to tariffs, which may disrupt global supply chains and impact various asset classes, notably commodities and equities. Investors should brace for volatility as the geopolitical landscape shifts and assess how this might influence currency valuations and market sentiment.