One of the industries under severe strain from Trump's tariffs is the steel and aluminium industry. Europe&rsquo;s top steelmakers delivered better-than-expected first-quarter results, but the optimism is clouded by what's to come. Major players are flagging significant risks to 2025 demand due to global trade tensions, particularly in the US and China.<o:p></o:p>
Swedish steelmakers echoed these concerns, noting that while proximity to customers and specialised products cushioned initial tariff shocks, the Outlook remains &ldquo;more uncertain than usual.&rdquo;<o:p></o:p>
<h2 class="MsoNormal">Trade tensions rattle steel demand<o:p></o:p></h2>
Aperam, which beat estimates on the back of higher European volumes and its US business consolidation, also warned that pricing pressure will continue to weigh on earnings.&nbsp;<o:p></o:p>The broader European steel sector remains under strain from high energy costs, weak local prices, and growing competition from cheap Chinese exports.<o:p></o:p>
The OECD reports that global steel overcapacity is rising, driven by cross-border investments by Chinese firms, adding further pressure on margins across key markets. China has long been under scrutiny for dumping cheap goods and relying on aggressive trade tactics amid declining domestic demand.
While ArcelorMittal sees continued strength in India, buoyed by a new 12 per cent safeguard duty on Chinese imports, it expects persistently weak spreads in China due to oversupply. <o:p></o:p>
In Europe, a rebound in spreads is supported by the EU&rsquo;s steel and metals action plan and expected infrastructure-led demand in Germany. Still, companies admit it is difficult to provide a reliable full-year outlook amid ongoing market volatility.<o:p></o:p>
(With inputs from the agencies)<o:p></o:p>

Business & Economy: Major players are flagging significant risks to 2025 demand due to global trade tensions, particularly in the U.S. and China.

One of the industries under severe strain from Trump's tariffs is the steel and aluminium industry. Europe’s top steelmakers delivered better-than-expected first-quarter results, but the optimism is clouded by what's to come. Major players are flagging significant risks to 2025 demand due to global trade tensions, particularly in the US and China. Swedish steelmakers echoed these concerns, noting that while proximity to customers and specialised products cushioned initial tariff shocks, the Outlook remains “more uncertain than usual.” Trade tensions rattle steel demand Aperam, which beat estimates on the back of higher European volumes and its US business consolidation, also warned that pricing pressure will continue to weigh on earnings. The broader European steel sector remains under strain from high energy costs, weak local prices, and growing competition from cheap Chinese exports. The OECD reports that global steel overcapacity is rising, driven by cross-border investments by Chinese firms, adding further pressure on margins across key markets. China has long been under scrutiny for dumping cheap goods and relying on aggressive trade tactics amid declining domestic demand. While ArcelorMittal sees continued strength in India, buoyed by a new 12 per cent safeguard duty on Chinese imports, it expects persistently weak spreads in China due to oversupply. In Europe, a rebound in spreads is supported by the EU’s steel and metals action plan and expected infrastructure-led demand in Germany. Still, companies admit it is difficult to provide a reliable full-year outlook amid ongoing market volatility. (With inputs from the agencies)

Steelmakers warn of trade risks amid demand uncertainty

<a href="https://www.wionews.com/world/singapore-fines-credit-suisse-local-bank-over-1mdb-corruption-scandal-16218">Credit&nbsp;Suisse&nbsp;</a>cut a key&nbsp;profitability target for this year and next as a drop-in dealmaking, negative interest rates and uncertainty caused by global trade tensions dimmed the outlook.

Switzerland's second-largest lender said on Wednesday it expects to hit a return on tangible equity (RoTE) above 8 per cent&nbsp;this year, below its previous target of 10-11 per cent. The Zurich-based bank also cut its forecast for next year.

"If markets are constructive and support&nbsp;revenue&nbsp;growth, we would expect our year-end 2020 RoTE to be approximately 11 per cent," the bank said in a statement ahead of an investor day in London.

"Conversely, should markets remain challenging in 2020, we have identified up to 50 basis points of additional cost measures in order to protect our RoTE ambition of approximately 10 per cent."

<a href="https://www.wionews.com/business-economy/indian-mobile-industry-to-consolidate-further-if-government-doesnt-offer-material-relief-262952">Credit&nbsp;Suisse</a>&nbsp;previously aimed to achieve 11-12&nbsp;per cent&nbsp;RoTE in 2020.

The bank will present its first investor update since completing a three-year restructuring in 2018 which cut back its investment banking activities, boosted cooperation with wealth management, and whittled down costs.

While performance at its <a href="https://www.wionews.com/business-economy/global-markets-bonds-reign-supreme-equities-struggle-on-recession-brexit-fears-246318">Global Markets</a> trading division, the focus of previous criticism, has picked up in 2019,&nbsp;revenues have&nbsp;fallen in its investment banking and capital markets business due to floundering M&amp;A activity.&nbsp;Credit&nbsp;Suisse&nbsp;now expects the division to make a loss this year.

The bank last month appointed new leadership to the division and aims to bolster its M&amp;A activity by adding more bankers to advise deals in growth industries including technology and healthcare.

"Looking ahead to 2020, we are working on actions that will reinvigorate the division, building on a strongly improving pipeline, which we expect will put us in a more advantageous position compared to 2019," it said on Wednesday.

The Swiss lender said it expected to distribute at least 50&nbsp;per cent&nbsp;of net income to shareholders looking ahead to 2020 by growing its dividend at least 5&nbsp;per cent&nbsp;annually and through a share buyback of 1-1.5 billion Swiss francs ($1.00-$1.50 billion).

Credit Suisse cut a key profitability target for this year and next as a drop-in dealmaking, negative interest rates and uncertainty caused by global trade tensions dimmed the outlook.

Credit Suisse cut a key profitability target for this year and next as a drop-in dealmaking, negative interest rates and uncertainty caused by global trade tensions dimmed the outlook. Switzerland's second-largest lender said on Wednesday it expects to hit a return on tangible equity (RoTE) above 8 per cent this year, below its previous target of 10-11 per cent. The Zurich-based bank also cut its forecast for next year. "If markets are constructive and support revenue growth, we would expect our year-end 2020 RoTE to be approximately 11 per cent," the bank said in a statement ahead of an investor day in London. "Conversely, should markets remain challenging in 2020, we have identified up to 50 basis points of additional cost measures in order to protect our RoTE ambition of approximately 10 per cent." Credit Suisse previously aimed to achieve 11-12 per cent RoTE in 2020. The bank will present its first investor update since completing a three-year restructuring in 2018 which cut back its investment banking activities, boosted cooperation with wealth management, and whittled down costs. While performance at its Global Markets trading division, the focus of previous criticism, has picked up in 2019, revenues have fallen in its investment banking and capital markets business due to floundering M&A activity. Credit Suisse now expects the division to make a loss this year. The bank last month appointed new leadership to the division and aims to bolster its M&A activity by adding more bankers to advise deals in growth industries including technology and healthcare. "Looking ahead to 2020, we are working on actions that will reinvigorate the division, building on a strongly improving pipeline, which we expect will put us in a more advantageous position compared to 2019," it said on Wednesday. The Swiss lender said it expected to distribute at least 50 per cent of net income to shareholders looking ahead to 2020 by growing its dividend at least 5 per cent annually and through a share buyback of 1-1.5 billion Swiss francs ($1.00-$1.50 billion).

Credit Suisse cuts profit goals as revenue hopes fall short

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Steelmakers warn of trade risks amid demand uncertainty

Credit Suisse cuts profit goals as revenue hopes fall short