Adidas shares tumbled on Wednesday after the German sportswear giant reported second-quarter sales below expectations and warned that new US tariffs would significantly raise costs in the second half of the year.

Despite a solid rise in profit, the company opted to maintain its annual guidance, citing global volatility and uncertainty.

The stock fell as much as 8.9% in early European trading, extending its year-to-date decline to 24%.

At 10:46 am, the stock was down by 6.2% in Frankfurt.

The sharp drop came after Adidas said President Donald Trump’s renewed tariffs could increase the cost of its US products by up to 200 million euros ($231 million) over the remainder of the year.

“The year has started great for us, and normally we would now be very bullish in our outlook for the full year,” Chief Executive Bjorn Gulden said.

“We feel the volatility and uncertainty in the world do not make this prudent.”

Profit jumps, but sales miss market expectations

For the quarter ended June, Adidas posted revenue of 5.95 billion euros, a 2.2% increase compared to the same period last year.

However, this fell short of analysts’ expectations of 6.15 billion euros.

Operating profit rose nearly 58% to 546 million euros, ahead of the 520 million euros expected by analysts, according to LSEG data.

Net income climbed to 369 million euros from 190 million euros a year earlier.

The company’s gross margin also improved by 0.9 percentage points to 51.7%, driven by lower discounting and falling freight and production costs.

Despite the robust profit figures, analysts flagged disappointment over Adidas not upgrading its full-year forecast.

“This could cause some disappointment as the market expected an uplift of the group’s operating profit guidance,” said Volker Bosse, analyst at Baader Helvea.

Adidas maintained its 2025 outlook, projecting operating profit between 1.7 billion and 1.8 billion euros and targeting high single-digit growth in currency-neutral sales.

Tariffs and currency effects weigh on outlook, CEO says US price increases a possibility

The decision to keep guidance flat comes amid growing concerns over the impact of fresh US trade measures.

Earlier this month, the US imposed a 20% tariff on many goods from Vietnam and a 19% levy on products from Indonesia—Adidas’ two largest sourcing countries, which accounted for a combined 46% of its production in 2024.

These new tariffs have already impacted Adidas’ second-quarter results by what the company described as a “double-digit million euro” figure.

The full effect is expected to materialise in the coming months, further squeezing margins.

Gulden said there will be a pricing review with final duties, but price increases, if any, will only be implemented in the US.

Meanwhile, a stronger euro and weaker dollar also dented revenue, with currency fluctuations reducing sales by around 300 million euros in the June quarter.

Inventories rose 16% to 5.26 billion euros, partly due to the company frontloading shipments to the US to beat tariff deadlines.

Investors will eye H2 outlook and 2026 orderbook for reassurance: analysts

Investors reacted sharply to the mixed update.

“For investors to view this as a temporary setback, the company will need to deliver a reassuring message regarding the outlook for H2 and the early 2026 order book,” UBS analyst Robert Krankowski said in a note to clients.

Analysts at Jefferies added that the underlying turbulence in the wholesale orderbook would be closely watched, particularly in light of Adidas’ reluctance to revise its outlook despite strong Q2 earnings.

Market peers also felt the ripple effects. Shares in British retailer JD Sports, a key Adidas partner, declined 1.9% following the announcement.

JD’s own stock has dropped nearly 9% year-to-date, partly reflecting pressure across the sector.

While Adidas has shown resilience in cost management and operational efficiency, the months ahead may prove more challenging.

With tariffs increasing input costs and macroeconomic volatility clouding forecasts, investors will be looking for clarity in the company’s next update.

The post Adidas shares slump after sales miss, tariff warning and guidance confirmation appeared first on Invezz

President Donald Trump’s newly announced trade agreement with the European Union is sending ripples through global markets – and defense stocks are riding the wave.

EU has committed to buying “hundreds of billions of dollars” worth of US military equipment as part of the announced trade deal, which includes material tariff reductions on the region’s products as well.

At the time of writing, Lockheed Martin is up over 1.0% while Kratos Defence gained as much as 2.5% on Monday – reflecting investor optimism on what this meaningful increase in defence procurement will mean for these names.

US defence stocks stand to benefit from the EU trade deal

Defence stocks are in focus this morning since the centrepiece of the EU trade deal is the region’s pledge to spend more than $150 billion on US military equipment.

The announcements directly benefit major defence contracts like Lockheed Martin, Kratos, and RTX – all of which could see increased demand for systems ranging from missile defence platforms to cybersecurity solutions.

Additionally, the bloc plans on negotiating steep tariffs on steel and aluminium – critical materials in aerospace and weapons manufacturing – with the Trump administration as well, which may further boost margins for these firms.

The aforementioned surge in procurement comes on the heels of NATO’s broader push to raise defence spending to 5.0% of the gross domestic product (GDP) by 2035, up from the current 1.5%.

According to experts, this could translate into multi-year contracts and stable cash flows for US defence firms.

On Monday, Julian Cruz, a defence analyst, for example, said, “This deal is a strategic windfall for American contractors. It’s not just about exports – it’s about reshaping Europe’s defence architecture around US technology.”

Should you invest in US defence stocks today?

Beyond procurement, the US-EU trade deal signals a deeper geopolitical shift.

European nations are increasingly pivoting away from non-US suppliers, favouring American firms for advanced systems like hypersonic weapons, AI-powered radar, and autonomous drones.

RTX’s Networked Collaborative Autonomy (NCA) and Lockheed’s AI Factory partnership with Google Cloud are examples of how US firms are integrating cutting-edge technology into defence platforms.

The EU’s $600 billion investment in US infrastructure – including AI and semiconductors – also benefits defence contractors with dual-use capabilities.

RTX’s $218 billion backlog and LMT’s recent $3.1 billion Aegis Combat System contract underscore their resilience and global reach.

As trade tensions ease, defence stocks are emerging as safe havens in a volatile macro environment, with investors reallocating capital toward firms positioned for transatlantic growth.

Investors should also note that both RTX and Lockheed Martin stocks currently pay a healthy dividend yield of 1.74% and more than 3.0% respectively, which makes them all the more exciting to own in the second half of 2025.

The post Here’s what US-EU trade deal has in store for defense stocks appeared first on Invezz

Oil prices jumped about 2% on Monday, driven by a mix of geopolitical and trade news that caught the market’s attention.

A newly announced trade agreement between the US and the European Union helped boost sentiment, but what really moved the needle was President Trump’s statement calling for a shortened timeline to end the war in Ukraine, with the threat of tougher sanctions on Russia if progress stalls.

The combined effect lifted investor confidence and gave crude prices a noticeable push after a shaky few sessions.

Brent crude climbed between $1.36 and $1.63 a barrel on Monday, rising roughly 2% to 2.4% and briefly topping $70.07, its highest level in nearly ten days.

Prices held above the $69.80 mark for most of the session as momentum picked up.

US West Texas Intermediate (WTI) crude saw similar gains, up around 2% on the day, trading in the range of $66.49 to $66.78 per barrel.

What factors are driving Oil prices today?

The US-EU trade deal announced Sunday sets a 15% tariff on most EU imports, far below what had been threatened earlier.

It also commits the EU to buying around $750 billion in US energy over the coming years, a detail that helped ease concerns about demand risks and supply disruptions.

In a separate announcement, Donald Trump shortened Russia’s window to exit Ukraine from 50 days to just 10–12, raising the risk of new sanctions.

Russia’s role as a major crude exporter gave that news extra weight.

Hopes for an extension of the US-China tariff pause added to the upbeat tone, as trade tensions between the two countries have long been a drag on commodity markets.

What analysts said?

Analysts said the US-EU trade deal and signs of progress with China helped calm markets and provided a more stable backdrop for risk assets, including oil.

They noted that the trade deal gave a boost to broader financial sentiment and helped support crude, adding to underlying strength in the market.

Beyond the trade headlines, supply-side factors were also in focus.

OPEC+ is expected to stick with its existing production plans at its upcoming meeting, though voluntary cuts by some members continue to shape the supply picture.

In the US, crude inventories fell by 3.2 million barrels last week, according to recent data, a sizable drawdown that added further support to prices.

US-China hold talks

The developments in oil prices came as the United States and China resumed trade talks in Stockholm, with both sides looking to extend their current tariff truce by another 90 days.

The goal is to prevent a fresh round of trade tensions ahead of the August 12 deadline, a risk that could once again rattle global supply chains.

US Treasury Secretary Scott Bessent and Chinese Vice Premier He Lifeng are leading the discussions, which center on lowering tariffs and easing export controls, including restrictions on US technology shipments.

A successful extension could lay the groundwork for a potential meeting between President Trump and President Xi Jinping later this year, signaling progress toward easing one of the most significant trade conflicts in recent memory.

The post Oil jumps 2% as trade deals, Ukraine tensions and supply cuts stir market momentum appeared first on Invezz

CEA Industries Inc (NASDAQ: VAPE) saw a 7x increase in its stock price this morning after announcing plans to transform into the largest publicly listed holder of Binance Coin (BNB).

VAPE is raising $500 million through a private placement deal, proceeds from which will be used to loan up on BNB.

The offering has the potential to raise up to $1.25 billion through warrant exercises, its press release confirmed on Monday.

Including today’s explosive move, CEA Industries’ stock is up more than 1,000% versus its year-to-date low in the first week of May.

Why did CEA Industries’ stock go parabolic on BNB news?

VAPE has already hired crypto and financial technology experts to lead its BNB treasury strategy.

Following the PIPE offering (expected to complete within the next few days), David Namdar (Galaxy Digital co-founder) will serve as its chief executive, while the CIO position will be handed over to Russell Read (former CalPERS CIO).

The capital infusion ($400 million in cash and $100 million in crypto) gives CEA immediate firepower to accumulate BNB.

Moreover, institutional interest is strong, with over 140 subscribers, including Pantera Capital and Blockchain.com – signalling confidence in the new model.

VAPE share price rally reflects investor optimism about access to the BNB Chain ecosystem and the potential for yield generation via staking and lending.

BNB news is significant as it could drive crypto enthusiasts to CEA Industries stock in the second half of 2025 – creating demand that could help it sustain or even extend gains moving forward.

Why VAPE shares remain unattractive to own

Despite the excitement-driven meteoric rally on Monday, CEA Industries shares carry considerable risk.

The company’s pivot to a single-asset crypto treasury model exposes it heavily to fluctuations in BNB price, which are notoriously volatile.

Regulatory uncertainty surrounding digital assets adds another layer of complexity, especially as global scrutiny intensifies.

Additionally, the private placement is structured to include warrants that could significantly dilute existing shareholders if exercised.

More importantly, investors should note that the current valuation (including today’s surge) may already reflect much of the anticipated upside, leaving limited room for error in execution.

In short, while the new leadership team brings credibility, the operational shift is rather ambitious and untested, making VAPE shares a speculative bet instead of a stable investment for the months ahead.

CEA Industries does not currently pay a dividend to incentivise ownership, despite the aforementioned risks.

How to play CEA Industries Inc at current levels?

VAPE’s bold move into crypto treasury management could unlock substantial value if executed well, especially given the scale of its planned BNB holdings and access to a vast user ecosystem.

The leadership team’s pedigree and institutional backing lend credibility to the vision as well.

Still, the risks – from market volatility to regulatory headwinds and shareholder dilution – remain significant.

Plus, CEA Industries’ stock is not particularly covered by Wall Street analysts, which should serve as another red flag for the disciplined investors.

The post CEA Industries stock soars on BNB treasury plans: how to play VAPE shares here? appeared first on Invezz

Shares of Celcuity surged more than 186% on Monday after the biotechnology company reported highly positive topline results from a Phase 3 clinical trial of its investigational breast cancer treatment.

The stock was set for its best day on record if it held the gains.

The trial tested gedatolisib, a PAM inhibitor developed by Celcuity, in combination with Pfizer’s Ibrance and AstraZeneca’s Faslodex, in patients with previously treated HR+/HER2- advanced breast cancer.

The triple combination therapy significantly delayed disease progression compared to standard treatment.

According to the company, patients receiving the combination lived 9.3 months without progression of the disease versus just two months for those on Faslodex alone.

This marks a more than seven-month improvement, a striking advancement in the treatment landscape for this breast cancer subtype, which accounts for about 70% of all breast cancer cases.

The study also found that the risk of disease progression or death was reduced by 76% when the triple therapy was used, compared to Faslodex monotherapy.

A secondary analysis revealed that a double combination of gedatolisib and Ibrance alone reduced the risk of progression or death by 67%, extending progression-free survival to an average of 7.4 months.

Sara Hurvitz, co-principal investigator for the trial, said that the data for both combination treatments in the trials are “potentially practice-changing.”

Analysts call results ‘unprecedented’

“The study showed “unprecedented results,” Leerink Partners analyst Andrew Berens said.

Gedatolisib could become a new standard of care as a second-line treatment in breast cancer, especially in the community settings, Berens said.

The optimism was reflected in investor response, with Celcuity’s stock more than doubling during premarket trading and maintaining gains throughout the day.

Gedatolisib belongs to the same class of drugs as Novartis’s Afinitor and AstraZeneca’s Truqap, both known as PI3K/mTOR inhibitors.

Celcuity noted that its combination therapy showed improved tolerability compared to earlier-stage trials, with lower rates of high blood sugar and inflammation of the mouth lining—side effects that often limit treatment adherence.

Regulatory plans and financial outlook

Celcuity said it plans to submit a New Drug Application for gedatolisib in the fourth quarter of 2025.

The company also expects to share full Phase 3 results and additional data from a separate trial later this year.

Despite being a pre-revenue company with negative earnings per share of -$3.05, Celcuity has a strong cash position of $205.69 million.

This provides sufficient runway to support ongoing clinical development.

Analysts remain bullish, with price targets ranging up to $33.00 and recent sentiment tilting toward Buy and Strong Buy ratings.

Needham maintained a price target of $29 per share for Celcuity, a downside of 26.24%.

In a further boost to its long-term prospects, Celcuity recently secured a patent extension for gedatolisib through 2042, strengthening its intellectual property position ahead of potential commercialization.

The post Celcuity shares skyrocket as breast cancer drug combo shows dramatic Phase 3 success appeared first on Invezz

Rheinmetall AG (ETR: RHM) has been one of the standout performers in Europe’s defense sector this year, with its stock price nearly tripling since January.

RHM share price surge reflects investor enthusiasm for defense firms amid heightened geopolitical tensions and increased military spending across the continent.

Despite impressive rally and strong fundamentals, however, “Blue Whale Growth Fund” manager Stephen Yiu is taking a cautious stance.

While he remains bullish on the sector’s long-term prospects, Yiu believes the current valuation levels are too stretched to justify new investments– even in top-tier names like Rheinmetall stock.

Why has Rheinmetall stock soared in 2025?

Rheinmetall’s meteoric year-to-date rally is largely attributed to a wave of defense spending commitments from European governments and NATO allies.

As geopolitical instability persists, countries across the continent have pledged to bolster their military capabilities, triggering a rush of capital into defense manufacturers.

Rheinmetall, known for its armored vehicles and munitions, has been a major beneficiary of this trend.

Investors have responded enthusiastically to the firm’s expanding order book and strategic positioning within Europe’s defense ecosystem.

The broader Stoxx Europe Aerospace and Defense index has soared over 70% year-to-date, but RHM shares’ performance has far outpaced the average, reflecting its perceived leadership in the sector.

Why does Yiu caution against buying RHM shares?

Despite Rheinmetall’s strong fundamentals and sector leadership, Stephen Yiu is wary of initiating or expanding positions at current prices.

In a recent interview with CNBC, the Blue Whale Growth Fund manager agreed he appreciates the quality of European defense firms, but said valuations have reached levels he believes are “quite extreme.”

Yiu emphasized that the sector’s recent gains have already priced in much of the anticipated fiscal stimulus, and that it could take years before government commitments translate into meaningful earnings growth.

“The easy money has already been made,” he argued, cautioning that investors entering now may face limited upside in Rheinmetall shares.

His fund has already taken profits on several defense stocks, including Italian firm Leonardo, and is now adopting a more selective approach.

Recommendation for playing Rheinmetall AG

RHM stock may be unattractive to own at stretched valuation also because it doesn’t pay a healthy dividend at writing.

Yiu’s current strategy, therefore, reflects a balance between conviction and prudence.

While the London based “Blue Whale Growth” fund manager hasn’t exited the European defense sector entirely, he’s scaled back exposure and is avoiding fresh buys in high-flying names like Rheinmetall stock.

According to Stephen Yiu, these names may still continue to do well, but the risk-reward profile has shifted unfavourably.

So, for new investors, he recommends waiting for a more attractive entry point, as valuations normalize and earnings begin to catch up with expectations.

The post Fund manager Stephen Yiu likes Rheinmetall stock but won’t buy it: here’s why appeared first on Invezz

Morgan Stanley on Monday warned that it foresees “elevated volatility in key performance indicators and financial metrics” for online dating companies Match Group and Bumble in Q2 and 2025, with few signs that recent turnaround efforts are bearing fruit.

“The two online dating companies are under new management and are emphasizing faster product development and leaner operations as they attempt to set-up for medium-term user growth,” the analysts said.

However, they added that this will cause turbulence in key performance indicators and financial metrics in the near term “especially as the turnaround efforts in 2024 didn’t drive meaningful improvements.”

“As a result, we expect minimal evidence in the quarter that will help frame the turnarounds’ timing or change of success with industry-wide top of funnel trends pointing to further deceleration,” the analysts said.

Both companies are restructuring operations in response to shifting user behaviours and an industry-wide slowdown in app engagement.

The online dating segment, once a dependable source of subscription revenue, has faced challenges ranging from inflation and user fatigue to a saturation of similar services.

Bumble slashes workforce, raises revenue forecast

Bumble Inc. has taken sweeping steps to realign its operations, announcing last month that it will lay off approximately 240 employees—nearly 30% of its global workforce—as part of a broad cost-cutting initiative.

Despite the layoffs, the company raised its second-quarter revenue forecast to a range of $244 million to $249 million, compared to its previous guidance of $235 million to $243 million.

Adjusted EBITDA is now expected to fall between $88 million and $93 million, up from the earlier range of $79 million to $84 million.

The company posted $247.1 million in first-quarter revenue, slightly above analyst estimates.

Bumble said the restructuring would result in one-time costs of $13 million to $18 million, primarily in severance and benefits, to be recognized across the third and fourth quarters.

Still, management expects the plan to yield $40 million in annual savings, which will be reinvested in product and technology enhancements, including AI-driven matchmaking tools.

Bumble stock is down by 0.82% YTD, while the broader NASDAQ index has gained over 9.6% during the same period.

Match trims costs, turns to AI and Gen-Z friendly features

In May, Match Group—the parent company of Tinder, Hinge, and OkCupid—announced plans to cut 13% of its workforce.

The move marked the first major strategic action under new CEO Spencer Rascoff, who took over in February with a mandate to reinvigorate user engagement and reverse declining trends.

The company’s March-quarter revenue fell 3% to $831 million, though it narrowly topped Wall Street expectations.

Match has forecast second-quarter revenue between $850 million and $860 million, slightly above analysts’ consensus.

Match group share price is up by just over 5% YTD, while the broader NASDAQ index has seen a growth of over 9.6% during the same period.

As part of its revamp strategy, Match is introducing new features designed for younger users, including a “double date” function that allows two friends to pair up with another duo.

The feature is reportedly resonating with Gen-Z users, with 90% of double-date profiles coming from users under 29.

The company also debuted a voice-based game feature called “Game Game,” which allows users to practice flirting with an AI character.

A narrowing focus and the AI gamble

With macroeconomic pressures squeezing user wallets and attention spans, both Bumble and Match are betting on artificial intelligence and more focused, engaged user bases to drive future growth.

UBS analysts noted that Bumble has trimmed marketing spend by $20 million and is pivoting away from performance-heavy marketing strategies.

“These efforts are expected to weigh on near-term payer growth and revenue,” UBS said, but they may position Bumble better for long-term stability.

As dating apps adapt to a new phase of slower growth and user skepticism, 2025 could prove decisive for how the industry reinvents itself—or risks being swiped left by an increasingly discerning digital generation.

The post Morgan Stanley foresees volatility for Match, Bumble in Q2 as turnaround remains elusive appeared first on Invezz

William Blair analyst Jed Dorsheimer was all praise for Tesla Inc (NASDAQ: TSLA) $16.5 billion chip supply agreement with Samsung Electronics in an interview with CNBC today, but he won’t recommend buying the EV stock still.

On Monday, the multinational announced one of its largest long-term tech partnerships to date that centers on Samsung’s new Texas-based fab, which will manufacture TSLA’s next-gen AI6 chips – custom silicon designed to power everything from FSD systems to the Optimus humanoid robot.

The company’s billionaire chief executive, Elon Musk, emphasized the strategic importance of the Samsung collaboration, even stating he’d “walk the line personally” to accelerate progress.

Alongside Tesla stock, the announcement sent Samsung shares up some 7.0% on Monday as well.

Why is the Samsung deal a positive for Tesla stock

Jed Dorsheimer sees the Samsung partnership as a significant positive for TSLA shares.

“Most investors want to see Elon do what Elon does best, which is innovate – and this certainly is a data point for that,” the William Blair analyst told CNBC on Monday.

Tesla’s valuation includes core business segments like automotive and energy, but the moonshot businesses – robotaxis, humanoid robots, and artificial intelligence (AI) infrastructure – do carry significant weight in investor expectations.

According to Dorsheimer, Samsung’s deal reinforces the automaker’s commitment to those futuristic ambitions, offering tangible progress toward commercialising its advanced tech stack.

Note that Tesla Inc.’s team-up with Samsung arrives shortly after billionaire Elon Musk said it was “game on” for the company’s AI future.

Why Dorsheimer still rates TSLA shares at market perform

While the Samsung deal sure is positive for Tesla shares, Dorsheimer remains cautious.

On “The Exchange”, he cited worsening fundamentals in the company’s core automotive business, including margin compression and the loss of regulatory credits worth nearly $3 billion.

“That just makes the business more challenging,” he argued during the interview, noting that while energy is improving, the auto segment remains under pressure.

The valuation gap between Tesla’s current operations and its future tech bets is widening, and without clearer visibility into scaling those moonshot ventures, Dorsheimer believes TSLA stock is fairly valued.

His rating reflects a wait-and-see approach amid execution risks and macro headwinds.

Is it worth investing in Tesla Inc?

Tesla’s chip deal with Samsung is undeniably strategic – it strengthens supply chain autonomy, accelerates AI chip development, and signals Musk’s hands-on commitment to innovation.

For long-term believers in TSLA’s vision, this partnership could be a foundational step toward realizing its AI-first ambitions.

However, near-term challenges in the auto segment persist while the valuation already prices in substantial future success.

That’s why Wall Street analysts at large recommend treading with caution in Tesla stock.

The consensus rating on TSLA shares currently sits at “hold,” only with the mean target of about $313, indicating potential downside of some 4.0% from current levels.

The post William Blair is all praise for Tesla-Samsung partnership but remains dovish on TSLA shares appeared first on Invezz

The United States’ top trade official has indicated that “more negotiations” will be necessary to secure a trade deal with India, a sobering assessment that comes just days before a critical August 1 deadline, after which higher US tariffs are scheduled to take effect.

US Trade Representative Jamieson Greer, speaking in an interview on CNBC on Monday, stated that Washington needs additional talks to gauge just how ambitious the Indian government is willing to be to secure a comprehensive trade agreement.

While Greer acknowledged that he had previously suggested a deal with New Delhi might be imminent, he emphasized the significant policy shifts that would be required from India.

He highlighted India’s historic policy of “strongly protecting their domestic market,” noting that any move to reduce these long-standing barriers would represent a major reversal.

“We continue to speak with our Indian counterparts, we’ve always had very constructive discussions with them,” Greer said.

They have expressed strong interest in opening portions of their market, we of course are willing to continue talking to them. But I think we need some more negotiations on that with our Indian friends to see how ambitious they want to be.

Greer explained the fundamental challenge in the negotiations: “The thing to understand with India is their trade policy for a very long time has been premised on strongly protecting their domestic market. That’s just how they do business.”

He contrasted this with the Trump administration’s objective: “And the president is in a mode of wanting deals that substantially open other markets, that they open everything or near everything.”

An elusive agreement despite months of optimism

Greer’s comments come just a few days after Indian Commerce Minister Piyush Goyal had expressed his own optimism that an agreement could be reached to avert the threatened 26% tariffs.

Goyal had insisted there weren’t any major sticking points in the U.S.-India relationship and had noted that sensitive immigration rules, including those around H-1B visas for skilled workers, had not come up in the trade talks.

Despite these repeated claims from both sides in recent months that an agreement was within reach, a final trade deal between India and the US has remained elusive.

This is particularly notable as the US, over the last few days, has successfully signed trade deals with other major economies, including Japan and the European Union.

Furthermore, US and Chinese economic officials resumed their talks in Stockholm, Sweden, on Monday, with a previous tariff and export control agreement from May having an August 12 deadline that experts believe may be extended.

In contrast, there has been no major public breakthrough on the trade deal front between the US and India.

Last Thursday, July 24, India’s Ministry of External Affairs (MEA) did state that India and the US are working towards finalizing the “first tranche of a mutually beneficial, multi-sector Bilateral Trade Agreement (BTA),” but concrete details have been sparse.

Sticking points and external pressures: why is a deal delayed?

Hopes had been high that a trade deal between India and the US could be finalized before an earlier deadline of July 9, which had been set by President Donald Trump for the new tariffs to take effect.

However, despite several rounds of talks and reports suggesting that President Trump was expected to make a final decision, no agreement materialized.

A key point of contention has reportedly been the US’s insistence on gaining greater access to Indian markets for its agricultural, dairy, and genetically modified (GM) products.

India, however, has consistently argued that granting such access could negatively impact the livelihoods of its large farming population, a politically sensitive issue for the Indian government.

Another potential reason for the delay in finalizing the trade deal is the US’s broader geopolitical stance, particularly its opposition to countries importing oil from Russia.

Last week, US Senator Lindsey Graham issued a stark warning that President Trump intends to impose steep tariffs on any countries that continue to import oil from Russia, a policy that could have significant implications for India.

These complex and multifaceted issues continue to complicate the path to a final agreement.

The post US needs ‘more negotiations’ with India on trade ahead of Aug 1 tariff deadline, Greer says appeared first on Invezz

Floating liquefied natural gas (FLNG) terminals are increasingly impacting the global LNG market, with Rystad Energy forecasting a threefold increase in capacity by 2030. 

Despite past technical and operational hurdles, FLNG projects now achieve utilisation rates similar to onshore terminals. 

As LNG demand grows and smaller gas fields become more viable, FLNG offers a quicker, more adaptable, and cost-effective solution, capable of responding to evolving market conditions and tapping into previously inaccessible reserves.

Global FLNG capacity is projected to surge to 42 million tonnes per annum (Mtpa) by 2030 and then to 55 Mtpa by 2035, a substantial increase from the 14.1 Mtpa recorded in 2024. 

This growth, estimated by Rystad Energy, represents nearly a fourfold expansion. 

Notably, FLNG terminals operational before 2024 have demonstrated strong performance, achieving an average utilisation rate of 86.5% in 2024 and 76% thus far in 2025, figures that align with those of global onshore LNG facilities.

“FLNG has come a long way in less than a decade. The only real roadblocks were early teething issues that come with any new technology, as seen with projects like Shell’s Prelude, which faced cost overruns and unstable output,” Kaushal Ramesh, vice president, gas & LNG Research, Rystad Energy.

But since then, the industry has matured significantly, including Prelude itself. Utilization rates are improving, the technology is proving reliable across a range of environments, and the economics are starting to make more sense.

Projects

Early FLNG (Floating Liquefied Natural Gas) projects, like Shell’s Prelude, constructed in South Korea by the Technip–Samsung consortium, served as a negative illustration of the initial limitations of FLNG, largely due to the absence of a pre-existing blueprint. 

The cost of liquefaction alone escalated significantly, reaching $2,114 per tonne.

Nonetheless, with increased operational and construction expertise within the industry, capital expenditure per tonne has fallen considerably, aligning costs with onshore LNG projects.

Proposed developments along the US Gulf Coast have an average cost of approximately $1,054 per tonne, according to Rystad. 

Delfin FLNG, a proposed US project, is slightly above this average at $1,134 per tonne. Coral South FLNG in Mozambique, a project of similar scale, has a comparable liquefaction cost of $1,062 per tonne.

The Norway-based energy intelligence company added:

However, we note that project concepts are not entirely comparable. Some are complex integrated producers with upstream components as part of the LNG facilities, while others simply liquefy pipeline-spec gas.

Vessel conversions

Meanwhile, FLNG developers are increasingly opting for vessel conversions over newbuild facilities as a more cost-effective solution.

By repurposing Moss-type LNG carriers, projects like Tortue/Ahmeyim FLNG, Cameroon FLNG, and Southern Energy’s FLNG MK II have achieved significantly lower capital expenditure levels, specifically $640, $500, and $630 per tonne, respectively.

The vessels’ modular spherical tank design facilitates these conversions by enabling easier integration of prefabricated liquefaction modules.

The anticipated retirement of several Moss-type LNG tankers in the coming years presents an opportunity for their repurposing. This could lead to an increase in cost-effective FLNG solutions.

FLNG vessels demonstrate operational flexibility in various environments, including deepwater, ultra-deepwater, and onshore supply.

“Should certain projects stall, their vessel could be relocated or sold, demonstrating the inherent mobility and adaptability of FLNG assets,” Rystad said.

Accelerating time

In today’s energy landscape, characterised by tight markets and the potential for oversupply, achieving rapid first production is paramount, according to Rystad.

Extended construction timelines delay revenue generation and expose projects to a higher risk of cost overruns.

FLNG units offer a significant advantage over onshore liquefaction facilities due to their faster delivery times, which allows for quicker final investment decisions and more agile project execution, according to Rystad Energy data.

Newbuild FLNG projects typically finish in about three years, which is notably quicker than the approximate 4.5 years (capacity-weighted) required for operational onshore plants.

FLNG vessels presently being built are expected to have an average construction period of just 2.85 years.

The growing preference for FLNG is largely driven by its accelerating timeline, which allows developers to minimise exposure and expedite returns.

The post Floating LNG terminals overcome hurdles, set for nearly fourfold expansion by 2035 appeared first on Invezz