Under the agreed provisions, the EU will cut tariffs to zero on American industrial goods, and the U.S. will keep tariffs on many European goods at around 15%

The practice first emerged in the U.S. as technology companies rushed to secure generation capacity for energy-hungry data centers, and has since spread to Europe and the Middle East.

In May, U.S. manufacturing activity remained in “expansion territory,” said Susan Spence, MBA, Chair of the Institute for Supply Management (ISM) Manufacturing Business Survey Committee. 

The effective closure of the Strait of Hormuz in early March has driven Asian buyers to look for alternative sources to replace disrupted Persian Gulf barrels.

Tesla has been in the storage battery business since 2015, and Ford said in 2025 that it would convert a factory in Kentucky to make large batteries.

Commerce Department data showed exports rose in April, shrinking the monthly trade deficit.

The tankers boom, and the potential for it to seed the next downturn, was a constant talking point at the industry’s biennial Posidonia gathering in Athens, June 1-5.

The momentum toward reshoring has been “clearly fading, with leading indicators pointing to a sharp slowdown in new product activity."

The move is part of an effort to insulate Americans from rising energy costs, including gas at more than $4 per gallon, because of the war with Iran.

Section 301 tariffs are seen as more legally sound and flexible than other powers Trump has eyed, but also more time-consuming.