'This Could Not Be More Stupid’: Trump’s Tariffs Shake Global Markets, Push U.S. Toward Recession
Former Trump National Security Advisor says President's tariffs are "a form of economic illiteracy"
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The deadline for U.S. President Donald Trump's worldwide "reciprocal" tariffs against dozens of countries passed on Wednesday, including a 104% rate on Chinese imports that towers above the rest, as officials in Beijing stood their ground against what they described as "blackmail." Scott Galloway, host of “The Prof G Pod,” said of the tariffs: “This could not be more stupid.” Former Trump National Security Advisor John Bolton was even more unsparing in his criticism - telling CNN’s Anderson Cooper: “These tariffs are a form of economic illiteracy. Trump has no idea really what he’s talking about….It’s just sad and depressing that more Republicans haven’t stood up and said this - that this is illiteracy.”
Chinese President Xi Jinping has pledged to strengthen strategic bonds with neighbouring nations by “appropriately” managing differences and enhanced supply chain ties. In the Chinese leader’s first public speech since the escalation of a trade war between Beijing and Washington, Xi said that “building a community of a shared future” will prioritise China’s diplomacy with its neighbouring countries. It was the latest sign of the growing focus that China’s decision makers have placed on relations with other Asia nations - which Beijing characterised in 2023 as “always at the top of the country’s overall diplomatic agenda” – amid the increasingly fierce strategic competition with the United States - SCMP
Although the Chinese economy has slumped in recent years, Trump hopes that his tariffs will erode China’s surplus and enable American factories to compete again. But, as the FT’s Edward White wrote, “the Chinese trade juggernaut is built on deep competitive advantages built up over decades that will not be easily dislodged.’
Canada reconfirmed plans to implement 25% retaliatory tariffs on U.S.-made vehicles into Canada, saying the new levies will go into effect at 12:01 a.m. ET Wednesday. The response includes 25% tariffs on vehicles from the U.S. that are not compliant with the United States-Mexico-Canada Agreement, or USMCA, as well as non-Canadian and non-Mexican content of USMCA-compliant fully assembled vehicles imported into Canada from the U.S. - CNBC
The rapid change has shaken US businesses with decades of ties to China, which now find themselves paralysed and unsure how this escalating trade fight might end. "You would laugh if you weren't crying," said US businessman Jay Foreman, whose toy company Basic Fun! is known for classics such as Tonka Trucks and Care Bears, the vast majority of which are made in China. He put out notice to his suppliers to halt any shipments to the US earlier this week, as the US announced it would hit goods from China with duties starting at 104%. "We just have to hold our shipments until this thing gets sorted out," he said. "And if it doesn't get sorted out, them I'm going to sell down the inventory that I have in my warehouse and pray." - BBC
Indonesia is predicted to suffer more than needed because of a bungled response to the Trump tariff blitz. At the moment it has no ambassador in Washington DC to coordinate Jakarta’s actions. Indonesia stocks dropped almost 10% on Tuesday, the first day of trading after the Eid holiday. “There seems no easy way for Indonesia to absorb its Trump-assigned 32% tariff. The apparel and footwear industries will both be hit hard. Nike and Adidas, between them, have about one-third of their labor force stationed in Indonesia. The furniture industry, which exports about half its product to the US, will also likely be driven to the wall,” wrote Asia Times’ Joseph Rachman
"You would laugh if you weren't crying," - US toy company executive Jay Foreman on the damage to sales he is expecting once Trump’s tariffs take hold
China clapped back at JD Vance on Tuesday, deeming the vice president ignorant after he purported that the U.S. was borrowing money from “Chinese peasants,” Politico reported. Beijing “has made its position perfectly clear on its trade relations with the U.S.,” Foreign Ministry spokesperson Lin Jian said during a press conference. “To hear words that lack knowledge and respect like those uttered by this vice president is both surprising and kind of lamentable.” During an interview on Fox Newslast Thursday, Vance defended President Donald Trump’s controversial tariff measures by tearing down Chinese people. “Fundamentally, it’s based on two principles, incurring a huge amount of debt to buy things other countries make for us… We borrow money from Chinese peasants to buy the things that Chinese peasants manufacture,” he added. China and the U.S. are currently caught up in a tit-for-tat tariff war in which Trump has slapped a 34 percent duty on Chinese imports, which in turn prompted Beijing to respond with a reciprocal tariff - Daily Beast
Ukrainian forces have captured two Chinese nationals who were fighting for the Russian army in eastern Ukraine's Donetsk region, President Volodymyr Zelensky has said. He said on Tuesday that intelligence suggested the number of Chinese soldiers in Russia's army was "much higher than two". A Ukrainian official said Chinese troops fighting on Ukrainian territory "puts into question China's declared stance for peace" and added that their envoy in Kyiv was summoned for an explanation. It is the first official allegation from Ukraine that China is supplying Russia with manpower. There has been no immediate response to the claims from Moscow or Beijing. In a statement on social media platform X, Zelensky said the soldiers were captured in Ukraine's eastern Donetsk region with identification documents, including bank cards which had "personal data" on them. Ukraine's forces fought six Chinese soldiers and took two of them prisoner, he said. The post was accompanied by a video showing one of the alleged Chinese captives in handcuffs, speaking Mandarin Chinese and apparently describing a recent battle. "We have information suggesting that there are many more Chinese citizens in the occupier's units than just these two," he said - BBC
Russia and the United States are to resume talks on April 10 in Istanbul on the normalization of their respective diplomatic missions. State Department spokeswoman Tammy Bruce told reporters on April 8 that delegations from Moscow and Washington will hold the second round of consultations focused on embassy operations. Bruce said there would be no political or security issues discussed and stressed that the war in Ukraine would “absolutely not” be on the agenda. "These talks are solely focused on our embassy operations, not on normalizing a bilateral relationship overall, which can only happen, as we've noted, once there's peace between Russia and Ukraine," she said. Russian Foreign Ministry spokeswoman Maria Zakharova previously reported that the Russian delegation would be headed by Russian Ambassador to the United States Aleksandr Darchiyev, and the American delegation would be headed by Deputy Assistant Secretary of State for European and Eurasian Affairs Sonata Coulter - RFE/RL
A prominent American academic has been detained in Thailand after being charged with insulting the monarchy, a rare case in which a foreign national has fallen foul of the country’s strict lese-majesty law. Paul Chambers, who specialises in civil-military relations and democratisation in south-east Asia, was denied bail on Tuesday and is being held at Phitsanulok provincial prison in northern Thailand, his lawyers said. He has been charged under section 112 of the Thai criminal code, which contains the country’s lese-majesty law, and section 14 of the Computer Crimes Act. The charges relate to a webinar invitation titled “Thailand’s 2024 Military and Police Reshuffles: What Do They Mean?”. It was published in October 2024, on the website of the ISEAS – Yusof Ishak Institute, a research centre based in Singapore. “[Chambers] denied all charges. He neither wrote nor published the blurb on the website,” said Akarachai Chaimaneekarakate, of Thai Lawyers for Human Rights, which represents Chambers. Chambers plans to appeal against the court’s decision to deny bail, Akarachai added. Thailand has one of the world’s most strict lese-majesty laws, under which criticism of the royal family can lead to 15 years in jail on a single charge. If a person faces multiple cases, they can be sentenced to decades in prison: in January 2024 a man was sentenced to 50 years over his comments about the royal family The Guardian
The Trump administration has frozen more than $1 billion in funding for Cornell and $790 million for Northwestern amid civil rights investigations into both schools, two U.S. officials said. The funding pause involves mostly grants from and contracts with the Departments of Agriculture, Defense, Education and Health and Human Services, according to the officials, who spoke on the condition of anonymity to discuss the unannounced decision. The moves are the latest and largest in a rapidly escalating campaign against elite American universities that has resulted in roughly $3.3 billion in federal funds being suspended or put under review in just over a month. Other schools that have had funds threatened include Brown, Columbia, Harvard, the University of Pennsylvania and Princeton - NYT
In an interview with Israel TV channel, Kan 11, released Israeli hostage, Liri Albag, said that if she were to meet Israeli Prime Minister Benjamin Netanyahu, she would tell him that he is to blame for the failure of the October, 7, 2023, Hamas attack, during which she was taken captive. “Because of you, I went through the worst thing a human being can ever go through. You are to blame, and you need to fix what you did.” Since the release of a video clip, Albag has requested from Kan 11 that they pull it from the air, because of the threats of violence and hate she and her family have been receiving from devout Netanyahu supporters. The majority of the hate posts originated from pro-Netanyahu Facebook groups online, with pro-Netanyahu accounts calling her “a trash girl,” and suggesting to “send her back to Gaza,” or “too bad you didn’t die in captivity.” Wrote Jerusalem blogger Leora Lider: “The Prime Minister keeps insisting that he represents ‘the will of the people,’ and continues to call for ‘unity,’ and yet his own supporters attack returned hostages, and according to the most recent polls, over 70% of all Israeli citizens – including those on the Right – demand elections, now.”
A federal judge ordered the White House on Tuesday to restore The Associated Press’ full access to cover presidential events, affirming on First Amendment grounds that the government cannot punish the news organization for the content of its speech. U.S. District Judge Trevor N. McFadden, an appointee of President Donald Trump, ruled that the government can’t retaliate against the AP’s decision not to follow the president’s executive order to rename the Gulf of Mexico. The decision, while a preliminary injunction, handed the AP a major victory at a time the White House has been challenging the press on several levels. “Under the First Amendment, if the Government opens its doors to some journalists—be it to the Oval Office, the East Room, or elsewhere—it cannot then shut those doors to other journalists because of their viewpoints,” McFadden wrote. “The Constitution requires no less.” It was unclear whether the White House would move immediately to put McFadden’s ruling into effect. McFadden held off on implementing his order for a week, giving the government time to respond or appeal. Shortly after the ruling, an AP reporter and photographer were turned away from joining a motorcade with the White House press pool to cover Trump’s appearance before the National Republican Congressional Committee. The AP has been blocked since Feb. 11 from being among the small group of journalists to cover Trump in the Oval Office or aboard Air Force One, with sporadic ability to cover him at events in the East Room.
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