Global Latest News and Outlook as of July 5, 2025
Key Points of This Article
- Japan: Government warns of increased earthquake risk southwest of Kyushu
- OPEC +: Agrees 548,000 bpd production increase in August to ease supply tightness
- U.S.: Trump to send “take-it-or-leave-it” tariff letters to 12 countries on July 7
- India: Prime Minister Modi to attend BRICS summit in Brazil, July 5–8
- Ethiopia: Announces completion of Grand Renaissance Dam, reigniting Nile talks
- Corporate: Foxconn posts record Q2 revenue but flags geopolitical and FX risks
- Ukraine: Special forces strike Russia’s Borisoglebsk air base, destroying glide-bomb depot
1. Japan: Earthquake Risk Warning Southwest of Kyushu
Japan’s government issued an alert on July 5, warning that recent swarms of tremors—over 1,000 quakes near Kagoshima Prefecture in the past two weeks—could presage stronger earthquakes in the waters southwest of Kyushu. Authorities have urged residents in remote islands to prepare evacuation plans and accelerate infrastructure inspections, while emphasizing that precise quake prediction remains impossible under current science :contentReference[oaicite:0]{index=0}.
2. OPEC +: August Output Rise to Cushion Markets
OPEC and its allies agreed on July 5 to boost oil production by 548,000 barrels per day in August, up from July’s 411,000 bpd increase. Citing low global inventories and strong summer demand, the group led by Saudi Arabia and Russia aims to regain market share and stabilize prices. Brent crude is expected to hover in the low $70s, though Middle East risks could still drive spikes :contentReference[oaicite:1]{index=1}.
3. U.S.: Trump’s Tariff Letters to 12 Countries
President Trump announced that letters outlining new “reciprocal” tariff rates would be dispatched to 12 trading partners on July 7. The non-negotiable “take-it-or-leave-it” offers, effective August 1, follow the end of a 90-day pause on his elevated tariffs. Treasury Secretary Scott Bessent indicated most countries will face a 10% levy, though some may see rates as high as 70% if no deals are reached by the July 9 deadline :contentReference[oaicite:2]{index=2}.
4. India: Modi Heads to BRICS Summit in Brazil
Prime Minister Narendra Modi will travel to Brazil from July 5 to 8 to participate in the 17th BRICS Summit in Rio de Janeiro. India, a founding member, will push for expanded cooperation among emerging economies and support new members such as the UAE, Egypt, and Indonesia. The visit underscores India’s focus on South–South collaboration and strengthening its global influence :contentReference[oaicite:3]{index=3}.
5. Ethiopia: Grand Renaissance Dam Declared Complete
Ethiopia announced on July 3 that the Grand Ethiopian Renaissance Dam is now fully constructed and power-generating infrastructure is in place. With an installed capacity exceeding 6,000 MW—the largest in Africa—the dam is projected to double Ethiopia’s electricity output and allow future exports. However, downstream nations Egypt and Sudan have opposed the unilateral completion and call for binding water-sharing agreements :contentReference[oaicite:4]{index=4}.
6. Foxconn: Record Q2 Revenue, Continued Caution
Taiwan’s Foxconn reported record second-quarter revenue of T$1.797 trillion (up 15.8% YoY), driven by strong AI-server demand. June alone hit T$540.2 billion. Despite the upbeat top line, the company warned of geopolitical headwinds and exchange-rate volatility that could temper growth in the coming quarters :contentReference[oaicite:5]{index=5}.
7. Ukraine: Special Forces Strike Russian Air Base
Ukraine’s special operations forces said they destroyed a glide-bomb storage facility at Russia’s Borisoglebsk air base in the Voronezh region on July 5. The precision strike follows Russia’s surge in drone attacks this summer; Kyiv says it enhances its deterrence by targeting high-value enemy assets far behind the frontlines :contentReference[oaicite:6]{index=6}.
What to Watch Next
- Japan’s quake monitoring and community preparedness measures
- OPEC +’s next production meeting on August 3 and price reactions
- Unfolding trade responses after U.S. tariff letters arrive
- Outcomes of Modi’s BRICS engagements and any new agreements
- Progress in Nile basin negotiations among Ethiopia, Egypt, and Sudan
- Foxconn’s full Q2 earnings (August 14) and forward guidance
- Ukraine’s evolving tactics in deep-strike operations and Western aid flows
This briefing is based on information available as of July 5, 2025. We will continue to monitor developments and provide timely updates. ::contentReference[oaicite:7]{index=7}