EIW Today - July 8th, 2025

Prism Group's Daily Summary

CONGRESS SHIFTS TO SPENDING BATTLES AFTER OBBB PASSES…  With the reconciliation package behind them, lawmakers are turning to the FY2026 appropriations process, where early House and Senate bills diverge from President Trump’s proposed deep domestic cuts. Congress also faces a July 18 deadline to act on a $9 billion rescissions package, which is drawing bipartisan pushback. Meanwhile, the Senate is advancing its version of the NDAA, which includes key small business provisions on contracting, innovation, and supply chain resilience.

PRESIDENT TRUMP TURNS UP TARIFFS… President Trump has threatened to significantly raise tariffs on key partners such as Japan and South Korea, along with others across Asia, Africa, and Europe. Many proposed tariff rates would either match the initial reciprocal figures imposed by the Administration or exceed them in some capacity - President Trump has extended the “kick-in” deadline from July 9 to August 1 to allow continued negotiations amid these proposals. White House sources revealed that those countries which were threatened with higher tariffs have not been “meaningfully engaging” with the Administration, and that the ultimatum from President Trump will compel the notified states, even strategic partners in Japan and South Korea, to more substantial negotiation.

US & CHINA DIAL DOWN TRADE TENSIONS… Delivering on the agreement reached in London last month, the United States and China are set to lift restrictions on industrial production goods, marking a major development in trade relations. The most notable implication for the US being the lifting of curbs on rare earth materials. In addition to being of vital concern for US defense, increased access to these minerals will provide a boost to high-tech industries and US markets as a whole. As China continues to hold a monopoly on the global supply of rare earth metals, the United States hopes to sustain bilateral trade with China. 

THE STATE OF THE STATES

SESSIONS BY THE NUMBERS: 

Eight legislatures are in regular session.

WHAT WE'RE WATCHING: 

Maine Gov. Janet Mills (D) has signed legislation creating a state Department of Energy Resources. The new agency will have authority to conduct competitive procurement for new clean energy projects as Maine seeks to meet its goal of 100% clean electricity by 2040.

Texas Gov. Greg Abbott (R) has signed legislation allowing residents to use precious metals stored in a state-run Bullion Depository for everyday purchases through debit cards and mobile applications. The law allows the state Comptroller to establish electronic systems converting gold and silver into U.S. dollars at the point of sale.

LAWMAKERS... IN OR OUT? 

The House... convenes Thursday at 11:00 AM. The full schedule may be found here. 

The Senate... convenes today at 3:00 PM. The full schedule may be found here.

HAPPENING ON THE HILL  

The House...  

Check back tomorrow for possible updates.

The Senate...    

Committee on Energy & Natural Resources will hold a hearing Wednesday, July 9th at 9:30 AM entitled, “Full Committee Hearing to Consider Pending Nominations."

Committee on Health, Education, Labor, and Pensions will hold a hearing Wednesday July 9th at 9:30 AM entitled, “Nomination.”

Committee on Foreign Relations will hold a hearing Wednesday, July 9th at 10:00 AM entitled, “Nominations.”

Committee on Banking, Housing, and Urban Affairs will hold a hearing Wednesday, July 9th at 10:15 AM entitled, “From Wall Street to Web3: Building Tomorrow’s Digital Asset Markets.”

Committee on Health, Education, Labor, and Pensions will hold a hearing Wednesday, July 9th at 10:00 AM entitled. “Securing the Future of Health Care: Enhancing Cybersecurity and Protecting Americans’ Privacy.”

Committee on Appropriations will hold a hearing Wednesday, July 9th at 10:00 AM entitled, “A Future Without Type 1 Diabetes: Accelerating Breakthroughs and Creating Hope.”

BILLS OF INTEREST 

Rep. Greg Murphy (R-NC-3) introduced HR 4299 to amend the Social Security Act to provide for a rebate by manufacturers for selected biological products and drugs. 

Rep. Dina Titus (D-NV-1) introduced HR 4304 to amend the Internal Revenue Code with respect to wagering losses. 

AT THE AGENCIES  

The U.S. Department of Labor 

The Department of Labor announced on July 3 that it allocated $1 million in grant funding to support disaster-relief jobs for Missouri residents affected by severe storms occurring between March 14-15, 2025, and then again from March 30-April 8, 2025. The grant, a Disaster Recovery National Dislocated Worker Grant, provides residents with compensation for temporary jobs focused on cleanup and recovery efforts. 

The U.S. Department of the Treasury 

U.S. Secretary of the Treasury Scott Bessent issued a statement praising the passage of the One, Big, Beautiful Bill in the Senate. The Treasury has also stated that it will begin targeting diverse networks involved in the Iranian Oil Trade.

The U.S. Department of Commerce 

Check back tomorrow for possible updates.

The U.S. Trade Representative 

Check back tomorrow for possible updates. 

The U.S. Small Business Administration 

The SBA announced that the quarterly Interagency Task Force (IATF) on Veterans Small Business Development meeting will occur on July 15, 2025. The IATF provides policy recommendations and offers counsel to the SBA Administrator, the Associate Administrator for SBA’s Office of Veterans Business Development, Congress, the President, and other U.S. policymakers. Its mission is to support the growth and development of veteran- and military spouse-owned small businesses across the nation.

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