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      Trump to build ‘beautiful’ $200m ballroom at White House

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      The White House will soon begin construction of a new $200m ballroom to be ready before Donald Trump’s term ends in early 2029.Press secretary Karoline Leavitt said the building will be 90,000 sq ft (8,300 sq metres) and will hold up to 650 seats.It will be the latest change introduced to what’s known as “the People’s House” since the Republican president returned to office in January. It also will be the first structural change to the executive mansion itself since the addition of the Truman Balcony in 1948.The White House is currently unable to hold large-scale events, given the 200-person capacity in the White House’s East Room. In a phone interview with NBC News, Trump pointed to the White House’s set-up for large-scale events, which necessitates ferrying guests to tents set up on the South Lawn.“When it rains or snows, it’s a disaster,” Trump said, noting that tents are currently set up “a football field away from the White House”.From Trump’s view, a new ballroom has long been in demand.“I’m doing a lot of improvements,” Trump said to NBC. “I’ll be building a beautiful ballroom. They wanted it for many, many years.”Levitt said funding for the addition will come from Trump, as well as other “patriot donors”, according to the White House website, leading Trump to label the project as “his gift to the country”.McCrery Architects has been chosen to complete the design, with Clark Construction as the construction lead, and AECOM handling engineering. The ballroom will be separate from the White House’s main building, and will take the place of the current East Wing.The project fits nicely in the wheelhouse of America’s real-estate magnate president, who has taken the presidential tradition of redecoration a step further. While Trump’s past changes, such as paving portions of the Rose Garden and layering gold filigree throughout the White House, are easily reversible, a new ballroom building would last long after Trump leaves office. More

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      Trump news at a glance: president unleashes slew of new tariff rates for trading partners

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      Donald Trump has signed an executive order placing tariffs on dozens of US trading partners just hours before the 1 August deadline he set for deals to be done.The new tariffs, the next step in his trade agenda that will test the global economy, are set to go into effect in seven days. The extension reflects the government’s need for more time to harmonize the tariff rates, AP reports, according to a senior official who spoke to reporters on condition of anonymity.The order applies to 68 countries and the 27-member European Union. Rates were set at 25% for India’s US-bound exports, 20% for Taiwan, 19% for Thailand and 15% for South Korea.Trump also increased duties on Canadian goods to 35% from 25% for all products not covered by the US-Mexico-Canada trade agreement, but gave Mexico a 90-day reprieve from higher tariffs to negotiate a broader trade deal. Trump had threatened on Wednesday that Ottawa’s move to recognise a Palestinian state would make agreeing a trade deal “very hard”.Asian shares fell on Friday after the tariffs announcement.Read on for more on tariffs and other key US politics news of the day:Trump imposes tariffs of 10% to 41% on dozens of countries, hours before deadlineUS president Donald Trump has signed an executive order imposing reciprocal tariffs ranging from 10% to 41% on imports from dozens of countries and foreign locations, as he extended the deadline for a tariff deal with Mexico by another 90 days.Rates were set at 25% for India’s US-bound exports, 20% for Taiwan and 30% for South Africa ahead of Trump’s self-imposed deadline to strike trade deals with countries around the world by 1 August. Brazil’s tariff rate was set at 10%, but a previous order signed by Trump placed a 40% tariff on some Brazilian goods, to punish the country for prosecuting its former president, Jair Bolsonaro, for trying to overturn an election he lost and inspiring his supporters to storm the seat of government.Separately, the White House announced that Canadian imports will face tariffs of 35%, not the current 25%. Trump had threatened on Wednesday that Ottawa’s move to recognise a Palestinian state would make agreeing a trade deal “very hard”.Read the full storyTrump signs order increasing tariffs on Canadian goods from 25% to 35%Donald Trump signed an executive order on Thursday increasing tariffs on Canadian goods imported to the United States from 25% to 35%.The new import tax rates goes into effect on Friday, according to a White House factsheet. The tariff would cover all products not covered by the US-Mexico-Canada trade agreement. Goods transshipped to another country to evade the new tariffs would be subject to a transshipment levy of 40%.The decision comes after months of tariff threats from the Trump administration, and escalating trade tensions that have sowed anger in Canada.Read the full storyTrump threatens drug giants with crackdown over pricesDonald Trump has threatened to use “every tool in our arsenal” to crack down on pharmaceutical companies if they fail to cut drug prices for Americans within 60 days.The president wrote to executives at 17 companies on Thursday, demanding they match their US prices for prescription drugs with the lowest price offered in other developed nations.Read the full storyExecutive order brings back presidential fitness test in schoolsDonald Trump signed an executive order on Thursday to bring back the presidential fitness test, a series of physical tests for schoolchildren in the US that was in place for decades but suspended 12 years ago to focus less on competition and more on healthy lifestyles.Read the full storyHegseth aides used polygraphs against colleaguesSenior aides to the defense secretary, Pete Hegseth, conducted polygraphs on their own colleagues this spring, in some cases as part of an effort to flush out anyone who leaked to the media and apparently to undercut rivals in others, according to four people familiar with the matter.Read the full storyFema denies grants to Kentucky counties ravaged by stormsThe Federal Emergency Management Agency (Fema) denied requests for three Kentucky counties affected by severe storms last spring, and deemed the state ineligible for hazard mitigation grants that would help prepare for future disasters.Read the full storyTrump to build ‘beautiful’ $200m ballroom at White HouseThe White House will soon begin construction of a new $200m ballroom to be ready before Donald Trump’s term ends in early 2029.Press secretary Karoline Leavitt said the building will be 90,000 sq ft and will hold up to 650 seats.It will be the latest change introduced to what’s known as “the People’s House” since the Republican president returned to office in January. It also will be the first structural change to the executive mansion itself since the addition of the Truman Balcony in 1948.Read the full storyWhat else happened today:

      British singer Jess Glynne says she feels “sick” that the Trump administration was using her music to promote immigration deportations.

      The Pentagon will remove 1,350 national guard troops from Los Angelesoriginally sent to the state by the Trump administration to deal with protests over its immigration policies.

      Donald Trump evaded the question when asked if he agrees with Marjorie Taylor Greene that “what is occurring [in Gaza] is a genocide”. Trump replied: “Oh it’s terrible what’s occurring there, yeah”, before repeating his complaint that “nobody said thank you” when the US donated money to feed the people of Gaza, and his false claim that the recent donation of $30m was $60m.

      Reuters reports the Trump administration has sent a letter to Harvard informing the university it has referred been referred to the Department of Justice, to address allegations of antisemitic discrimination.
      Catching up? Here’s what happened 30 July 2025. More

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      Trump threatens drug giants with crackdown over prices

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      Donald Trump has threatened to use “every tool in our arsenal” to crack down on pharmaceutical giants if they fail to cut drug prices for Americans within 60 days.The president wrote to executives at 17 companies on Thursday, demanding they match their US prices for prescription drugs with the lowest price offered in other developed nations.Current prices were an “unacceptable burden” on US families, Trump said, claiming they could be up to three times higher than in other countries.After returning to the White House earlier this year and pledging to bring down drug prices, the president claimed that “most proposals” from the pharmaceutical industry amounted to “more of the same”, accusing firms of seeking to shift blame and requesting policies that would pave the way for handouts worths billions of dollars for the sector.“Make no mistake: a collaborative effort towards achieving global pricing parity would be the most effective path for companies, the government, and American patients,” Trump wrote. “But if you refuse to step up we will deploy every tool in our arsenal to protect American families from continued abusive drug pricing practices.“Americans are demanding lower drug prices, and they need them today.”The bosses of Pfizer, AstraZeneca and GSK were among those who received the letters. GSK did not respond to requests for comment. AstraZeneca declined to comment.Pfizer said: “Pfizer is working closely with the Trump administration and Congress on solutions that will increase access and affordability for American patients and enhance the power of the biopharmaceutical innovation ecosystem in the United States. Our discussions have been productive.”Shares in Pfizer slipped 2%, AstraZeneca fell 3.8% and GSK dropped 3.9% during afternoon trading in New York.At the heart of of Trump’s proposal is a status known as “Most Favored Nation”, through which he wants to bind the cost of medications sold in the US to the lowest prices paid elsewhere.The White House is demanding that pharmaceutical companies extend this to drugs used by older people through the government-backed Medicaid health program, as well as new drugs. More

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      Will the latest diplomatic moves to end the war in Gaza work?

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      This article was first published in The Conversation UK’s World Affairs Briefing email newsletter. Sign up to receive weekly analysis of the latest developments in international relations, direct to your inbox.

      It feels as if things are moving at completely different speeds in Gaza and in the outside world. From the embattled Gaza Strip the narrative is depressingly familiar. Dozens more Palestinian civilians have been killed in the past 24 hours as they try to get hold of scarce supplies of food.

      Aid agencies report that despite air drops of supplies and “humanitarian pauses” in the fighting, the amount of food getting through to the starving people of Gaza remains pitifully insufficient.

      Two more children are reported to have died of starvation, bringing the total number of hunger-related deaths to 159, according to Palestinian sources quoted by al-Jazeera.

      US envoy Steve Witkoff arrived in Jerusalem for more talks as the US president Donald Trump posted his latest bout of social media diplomacy on his TruthSocial site, a message which appears pretty faithful to the Netanyahu government’s position: “The fastest way to end the Humanitarian Crises in Gaza is for Hamas to SURRENDER AND RELEASE THE HOSTAGES!!”

      Both sides continue to reject the other side’s demands, bringing ceasefire negotiations to an effective standstill.

      In the outside world, meanwhile, events seem to be gathering pace. A “high-level conference” at the United Nations in New York brought together representatives of 17 states, the European Union and the Arab League, resulting in “a comprehensive and actionable framework for the implementation of the two-state solution and the achievement of peace and security for all”.

      Sign up to receive our weekly World Affairs Briefing newsletter from The Conversation UK. Every Thursday we’ll bring you expert analysis of the big stories in international relations.

      What first catches the eye about this proposal, which was signed by Saudi Arabia,
      Qatar, Egypt and Jordan, is that it links a peace deal with the disarming and disbanding of Hamas. It also condemns the militant group’s savage attack on southern Israel on October 23 2023, which was the catalyst for the latest and arguably most grievous chapter of this eight-decade conflict. It’s the first time the Arab League has taken either of these positions.

      The New York declaration, as it has been dubbed, envisages the complete withdrawal of Israeli security forces from Gaza and an end to the displacement of Palestinians. Government will be the responsibility of the Palestinian Authority (PA), and a conference to be scheduled in Egypt will design a plan for the reconstruction of Gaza, much of which has been destroyed in the 20-month assault by the Israel Defense Forces.

      It is, writes Scott Lucas, a “bold initiative” which, “in theory could end the Israeli mass killing in Gaza, remove Hamas from power and begin the implementation of a process for a state of Palestine. The question is whether it has any chance of success.”

      Lucas, an expert in US and Middle East politics at the Clinton Institute of University College Dublin, is not particularly sanguine about the short-term prospects for a ceasefire and the alleviation of the desperate conditions for the people of Gaza. But what it represents more than anything else, is “yet another marker of Israel’s increasing isolation”.

      He points to recent announcements that France, the UK (subject to conditions) and Canada will recognise the state of Palestine at the UN general assembly in September. The prospect of normalisation between Israel and Arab states, at the top of the agenda a few short years ago, is now very unlikely. And in the US, which remains Israel’s staunchest ally, a Gallup poll recently found that public opinion is turning against Israel and its prime minister, Benjamin Netanyahu.

      Read more:
      New peace plan increases pressure on Israel and US as momentum grows for Palestinian statehood

      But how important are the declarations by France, the UK and Canada of intent to potentially recognise Palestinian statehood, asks Malak Benslama-Dabdoub. As expert in international law at Royal Holloway University of London, who has focused on the question of Palestinian statelessness, Benslama-Dabdoub thinks that the French and British pledges bear closer examination.

      Meanwhle airstrikes continue in northern Gaza.
      EPA/Atef Safadi

      The French declaration was made on July 24 on Twitter by the president, Emmanuel Macron. Macron envisages a “demilitarised” state, something Benslama-Dabdoub sees as a serious problem, as it effectively denies the fundamental right of states to self-determination and would rob a future Palestinian state of the necessary right to self-defence.

      The declaration by the UK prime minister that Britain may also recognise Palestinian statehood in September is framed as a threat rather than a pledge. Unless Israel agrees to a ceasefire, allows the UN to recommence humanitarian efforts and engages in a long-term sustainable peace process, the UK will go ahead with recognising Palestine at the UN.

      You have to consider that the UK government’s statement said that the position has always been that “Palestinian statehood is the inalienable right of the Palestinian people”. So to frame this as a threat rather than a demand is arguably to deny that “inalienable right”.

      Read more:
      UK to recognise Palestinian statehood unless Israel agrees to ceasefire – here’s what that would mean

      Paul Rogers also sees serious problems with the pledges to recognise Palestinian statehood. Demands for Hamas to disarm and play no further role in Palestinian government he sees as a non-starter as is the thought of a demilitarised Palestine. “Neither plan has the slightest chance of getting off the ground.”

      Rogers, who has researched and written on the Middle East for more than 30 years, also thinks that without the full backing of the US there is very little chance that a peace plan could succeed.

      Rogers finds it hard to believe that Washington will change tack on the Palestinian question, “unless the US president somehow gets the idea that his own reputation is being damaged”. There’s always a chance of this. News from the Gaza Strip is relentlessly horrifying and the aforementioned polls suggest many voters are reassessing their views of the conflict. But Trump is heavily indebted for his re-election to the far-right Christian Zionist movement, who wield a great deal of power with the White House.

      The killing continues in Gaza.
      EPA/Mohammed Saber

      The other thing that might influence the conflict is if enough of the IDF’s top brass recognise the futility of waging what has always been an unwinnable conflict. This, writes Rogers, is whispered about in Israel’s military circles and one eminent retired general, Itzhak Brik, has come out and said: “Hamas has defeated us.”

      These, writes Rogers, are currently the only routes to an end to the conflict.

      Read more:
      UK and France pledges won’t stop Netanyahu bombing Gaza – but Donald Trump or Israel’s military could

      Inside Trumpian diplomacy

      We mentioned earlier that the Canadian prime minister, Mark Carney, has also pledged to recognise the state of Palestine in September. This was immediately greeted by Trump with the threat that he does so it will derail a trade deal with the US. Whether this will cut any ice with Carney, who had to make concessions to get the trade deal done in the first place, remains to be seen.

      But there’s a broader point here, writes Stefan Wolff. As Wolff reports, this week the foreign ministers of the Democratic Republic of Congo and Rwanda got together in Washington to sign a ceasefire deal, brokered by the US. Trump also claims to have successfully ended a conflict between India and Pakistan at the end of May and hostilities between Thailand and Cambodia earlier this month.

      Meanwhile his efforts to secure peace deals, or even a lasting ceasefire, in Gaza or Ukraine have been unsuccessful.

      Wolff considers why some countries respond to Trump’s diplomatic efforts while others don’t. There are a number of reasons, principally the US president’s ability to apply leverage through trade deals or sanctions and the differing complexity of the conflicts.

      He also points to the depleted resources of the US state department, Trump’s use of personal envoys with little foreign affairs experience and the US president’s insistence on making all the important decisions himself. He concludes: “The White House simply may not have the bandwidth for the level of engagement that would be necessary to get to a deal in Ukraine and the Middle East.”

      Read more:
      Why Donald Trump has stopped some conflicts but is failing with Ukraine and Gaza

      One US government department whose resources haven’t been depleted under Donald Trump is the US Immigration and Customs Enforcement agency, known as Ice. Part of the Department of Homeland Security, Ice has been responsible for identifying and detaining non-citizens and undocumented migrants.

      Ice agents: the enforcers of Donald Trump’s new migration policy.
      John Garry/Alamy

      Their agents carry guns, wear masks and typically operate in plain clothes, although they often wear military kit. The agency received massive funding via Trump’s One Bzig Beautiful Bill Act earlier this month, which will allow the agency to recruit hundreds, if not thousands, of new agents. The number of arrests is increasing steadily, as is the disquiet their operations are prompting in many American cities, where opposition protests are also growing.

      Dafydd Townley, an expert in US politics at the University of Portsmouth, explains how Ice operates and where it sits in Donald Trump’s plan to deport millions of illegal migrants from the US.

      Read more:
      Masked and armed agents are arresting people on US streets as aggressive immigration enforcement ramps up

      World Affairs Briefing from The Conversation UK is available as a weekly email newsletter. Click here to get updates directly in your inbox. More

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      Jess Glynne feels ‘sick’ over use of Jet2 song to promote US deportations

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      It is the internet meme of the summer, sparking laughter and thousands of wry smiles at the pitfalls of a British summer holiday.But the journey of the viral Jet2 holiday advert – with its promotional voiceover played out over cheerless summer holiday footage, including water-slide disasters and images of pouring rain – took a darker turn this week when it was used by the White House in a post on X to promote Ice (Immigration and Customs Enforcement) deportations.Jess Glynne – whose 2015 single Hold My Hand accompanies the advert – responded to the post on Wednesday, saying she felt “sick” that her music was being used to spread “division and hate”.She told the Guardian on Thursday: “I’m devastated to see my song used in this way. Hold My Hand was written about love, support, and standing by someone through everything – it’s meant to offer hope and empowerment. Using it to promote something I fundamentally disagree with goes completely against the message of the song.”On Thursday afternoon Jet2 also condemned the post, saying it was “disappointed to see our brand being used to promote government policy such as this”.The official White House account posted a clip on X on Wednesday evening showing people wearing handcuffs and being taken out of cars and on to planes, captioned: “When Ice books you a one-way Jet2 holiday to deportation. Nothing beats it!”In the six months since Donald Trump took office, the US president has supercharged the country’s immigration enforcement, overseeing a sweeping mass arrest and incarceration scheme, which resulted in a record number of arrests by immigration officers in June, according to Guardian analysis.The post delighted Trump supporters but was decried as disgusting, embarrassing and unchristian by critics. Glynne, who has previously joined in with the fun spirit of the Jet2 holidays meme by posting a TikTok video miming the voiceover, expressed her disapproval of the White House’s appropriation of the trend on Instagram.“This post honestly makes me sick,” she wrote. “My music is about love, unity and spreading positivity – never about division or hate.”Jet2 had previously appeared to welcome the extra publicity generated by the meme, launching a challenge that offered a £1,000 holiday voucher as a prize.A spokesperson said the company welcomed the “good humour” of the viral phenomenon, but not the White House’s contribution. “We are of course aware of a post from the White House social media account,” they said. “This is not endorsed by us in any way, and we are very disappointed to see our brand being used to promote government policy such as this.”The advert’s voiceover actor, Zoë Lister, said she would never condone her voiceover “being used in promotion with Trump and his abhorrent policies”.She told the BBC: “The Jet2 meme has spread a lot of joy and humour around the world, but the White House video shows that Trump has neither.”The White House Ice deportation post is the latest example of an unorthodox digital communications strategy that has veered away from previous administrations’ traditional – and relatively sedate – use of social media platforms.In February, the White House used X to promote Trump’s congestion pricing policy, posting a fake Time magazine front cover portraying the president as a monarch, along with the phrase: “CONGESTION PRICING IS DEAD. Manhattan, and all of New York, is SAVED. LONG LIVE THE KING!”The post was described as “revoltingly un-American” by Adam Keiper, the executive editor of the conservative Bulwark news site, while New York state’s Democratic governor, Kathy Hochul, said: “New York hasn’t laboured under a king in over 250 years and we sure as hell are not going to start now.”The administration also faced criticism after Trump shared an AI-generated video that showed him in a transformed, glittering Gaza, topless and sipping a cocktail with Israel’s prime minister, Benjamin Netanyahu. After criticism, the administration recently posted on X: “Nowhere in the constitution does it say we can’t post banger memes.”Last month the Trump administration appeared to be on track to oversee one of the deadliest years for immigrant detention after the deaths of two men – one from Cuba and another from Canada – while in federal custody.Human rights experts have raised concerns about the detention of children with their parents at the newly recommissioned “family detention centres” in Texas, and while Trump has repeatedly claimed his administration is trying to arrest and deport “dangerous criminals”, analysis shows that most of the people Ice is now arresting have never been convicted of a crime. More

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      Trump’s tariffs face skepticism in court hours before latest round is set to kick in

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      Donald Trump’s global tariffs faced significant skepticism in a federal appeals court on Thursday, as judges investigated whether the president had overstretched his powers just hours before the latest sweeping round of duties is set to kick in.The full 11-strong bench of the US court of appeals for the federal circuit in Washington DC is considering whether Trump exceeded his authority in imposing “reciprocal” tariffs on a large number of US trading partners.Judges repeatedly asked if Trump was justified in relying on emergency powers to effectively tear up the US tariff schedule without consulting Congress.Businesses challenging his strategy accused the White House of engineering a “breathtaking” attempt to force it through, unlike any trade move attempted by a US administration in two centuries.The 1977 International Emergency Economic Powers Act (IEEPA), which Trump has used to invoke emergency powers and enforce many of his tariffs, “doesn’t even say ‘tariffs’”, one of the judges noted. “Doesn’t even mention them.”In May a three-judge panel of the court of international trade blocked the import duties on grounds that Trump’s use of IEEPA was unjustified. The appeals court has stayed that ruling pending the outcome of Thursday’s hearing.“The government uses IEEPA all the time,” said Brett Shumate, assistant attorney general in the justice department’s civil division, representing the administration, to the court. He conceded, however, that it was the first IEEPA had been used to implement tariffs.The US trade deficit – the gap between what it imports to and exports from the world – has “reached a tipping point”, claimed Shumate, enabling Trump to take emergency action. “It’s affecting our military readiness,” he said. “It’s affecting our domestic manufacturing capability.”But Neal Katyal, a lawyer representing businesses challenging the tariffs, argued that Trump was laying a “breathtaking claim to power that no president has asserted in 200 years”.The administration is effectively saying “that our federal courts are powerless; that the president can do whatever he wants, whenever he wants, for as long he wants – so long as he declares an emergency”, Katyal argued.Trump posted about the hearing on his Truth Social platform on Thursday, calling it “America’s big case”. He said: “If our Country was not able to protect itself by using TARIFFS AGAINST TARIFFS, WE WOULD BE ‘DEAD,’ WITH NO CHANCE OF SURVIVAL OR SUCCESS.”“Now the tide has completely turned, and America has successfully countered this onslaught of Tariffs used against it,” the president claimed. “ONE YEAR AGO, AMERICA WAS A DEAD COUNTRY, NOW IT IS THE ‘HOTTEST’ COUNTRY ANYWHERE IN THE WORLD.”The challenge to Trump’s use of emergency powers has been brought by five small businesses acting alongside 12 Democratic-controlled states. They argue that the IEEPA was designed to address “unusual and extraordinary” threats arising in national emergencies, and that the reason for the tariffs do not meet that standard.The small businesses are being represented by a libertarian public interest law firm, the Liberty Justice Center. The non-profit is supported by billionaire rightwing donors including Robert Mercer and Richard Uihlein, who, paradoxically, have also been major backers of Trump’s presidential campaigns. More

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      Canada braces as tariff deadline looms and talks with US ‘chaos machine’ drag

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      After months of tariff threats from the US and escalating trade tensions that have sowed anger in Canada and fractured a once-close alliance, the country is now fast approaching a 1 August deadline to reach a deal with the Trump administration – which has shown no signs of backing down.And observers are keeping a close eye on negotiations this week to determine whether too large a chasm has grown between the countries, resulting in what could be an explosive end to what was decades of free-flowing trade.Canada is also in a highly vulnerable position, as it has closely intertwined its economy with the US’s, and is extremely reliant on a low-barrier trade environment, said William Huggins, an assistant professor in economics at McMaster University in Ontario.“Canada has tried to negotiate sort of forcefully from a position of not acquiescing to every demand, but by the same token, has also realised it’s not in the strongest position to do so … We’ve had to navigate carefully,” said Huggins.The Canadian public is also anxiously awaiting the deadline to strike up a deal. Economists and political scientists say the country’s prime minister, Mark Carney, was elected on the belief that he’s the right person to be at the helm of negotiations and lead Canada through a tenuous period with their southern neighbour.His successes or failures in this arena could affect public perception – as he has characterised his government as being the most adept in the crisis around its sovereignty due to the tariffs and Donald Trump’s persistent claims that he’d like to make Canada the 51st state.“[Carney] is in a situation where he doesn’t hold all the cards and whoever we put in was going to have to figure out a way through this … [His] ability to plan is severely limited by the chaos machine that is operating south of the border,” said Dennis Pilon, the chair of the politics department at York University in Ontario.On Monday, Carney said at a news conference on Prince Edward Island that the trade negotiations are at an “intense pace” and that they are “complex”. But he projected tentative optimism, stating that the negotiations are “tough” because the government is standing up for Canadian interests.“There is a landing zone that’s possible but we have to get there. We’ll see what happens,” he told reporters.But Trump spoke of the negotiations flippantly when asked by reporters outside the White House last Friday. “We haven’t really had a lot of luck with Canada … Canada could be one where there’s just a tariff, not really a negotiation,” he said.So far, much of the talks have happened behind closed doors. There was a glimpse into what could be the dynamic between Carney and Trump when the prime minister had his first meeting with the president in the Oval Office in early May. There were positive tones in both initially offering praise for each other, but the encounter quickly grew tense as Trump repeated his annexation claims, which were subsequently rebuffed by Carney.Since March, Trump has imposed several tariffs on Canadian goods and energy resources. There is a 25% tariff on all goods, excluding potash and energy products. But there’s separately a 10% tariff on energy resources, including potash. Additionally, there’s a further 50% tariff on steel and aluminum imports and a 25% tariff on autos and auto parts.At this stage, the tariffs have seemingly not delivered a significant blow to Canada’s economy, but that could change quickly. The Royal Bank of Canada noted in its June forecast that nearly 90% of Canadian goods are exempt from tariffs under the United States-Mexico-Canada Agreement (USMCA), the free trade deal that replaced Nafta in 2020 and which provides a degree of insulation.In an assessment published by the Toronto-Dominion Bank (TD) on Tuesday, it reported that energy exports have not been significantly affected by the tariffs, as most exports are compliant under the USMCA, and are therefore exempt from tariffs.Some of the insulation so far from tariffs could be from opening Canada up to other markets. TD said that in the past four months, Canadian businesses rapidly moved to reorient supply chains and export to non-US markets. Now about 30% of exports go outside the US – a level not seen since the pandemic, when TD notes there was disorientation in trade.But TD also warned that the negative effects of the tariffs might be beginning to emerge. It said that Canadian exports to the US are “generally underperforming” in tariff-targeted industries, particularly steel and automaking. Canada’s auto exports fell to levels not seen since late 2022, following the April imposition of tariffs. Automakers have also “slashed” production in response, it said.Andrea Lawlor, an associate professor of political science at McMaster University, said that while there haven’t been many layoffs or a complete reorientation of production lines yet, industries targeted by tariffs are preparing to do so.Lawlor also said that Carney has been prudent in his negotiation strategy so far, and right in waiting for deals to be brokered between the US and other nations, as they were this month with Japan and the EU, to help inform Canada’s strategy.skip past newsletter promotionafter newsletter promotionAnd despite concerns about marred relationships with First Nations people, pushing forward controversial infrastructure legislation and his quick scrapping of Canada’s digital services tax – which many, including top former diplomats, viewed as fawning capitulation toward Trump – the prime minister is still enjoying fairly positive polling in his term’s infancy.Abacus Data reported at the end of June that 52% of Canadians surveyed approve of the Carney government. The research firm states it shows that his post-election honeymoon period is “far from over”.Lawlor said the best outcome for Carney in the negotiations is a favourable trade deal – however, there has been signalling from Carney, in his discussion of “tough” talks so far, that Canadians may have to accept a baseline of tariffs.“Many Canadians just simply will not be satisfied if that is the outcome,” she said. But due to Carney facing limited criticism of his interactions with the Americans so far, Lawlor said she believes the prime minister will not face extreme negative blowback if he doesn’t trounce tariffs for good this week.But he will be more vulnerable if the tariffs start to place downward pressure on multiple industries, she said.As Canadians are waiting and watching for the Friday deal deadline, the real fears are around the cementing of a new world order and whether long-term business and consumer decisions need to be made in response, said Preetika Joshi, an assistant professor at McGill University in Quebec that specialises in taxation.“If you were a business owner and you knew Trump is going to be in power for only three, four years, would you necessarily make big, significant changes in your supply chain … or would you just wait it out?” she said.But given some grim messaging from those close to Carney – Canadians might be facing tough decisions. Dominic LeBlanc, the federal minister responsible for Canada-US trade, said last week there’s a lot of work ahead of them and minimised the 1 August deadline.“We’re going to continue to work toward the 1 August deadline,” said LeBlanc to reporters in Washington. “But all of these deadlines are with the understanding that we’ll take the time necessary to get the best deal,” he said.Deal or no deal, the negotiations might reveal that there isn’t a best-case scenario, said Joshi.“What we were used to before Trump, where there were very little tariffs, that reality is slightly over,” she said. “We’ll have to wait and see … but the reality is that there are going to be some tariffs.” More

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      Pete Hegseth’s aides used polygraphs against their own Pentagon colleagues

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      Senior aides to the defense secretary, Pete Hegseth, conducted polygraphs on their own colleagues this spring, in some cases as part of an effort to flush out anyone who leaked to the media and apparently to undercut rivals in others, according to four people familiar with the matter.The polygraphs came at a time of profound upheaval in his office, as Hegseth opened a leak investigation and sought to identify the culprits by any means necessary after a series of sensitive disclosures and unflattering stories.But the polygraphs became contentious after the aides who were targeted questioned whether they were even official, given at least one polygraph was ordered without Hegseth’s direct knowledge and sparked an intervention by a Trump adviser who does not work at the Pentagon.The fraught episode involved Hegseth’s lawyer and part-time navy commander Tim Parlatore seeking to polygraph Patrick Weaver, a senior adviser to the secretary who was at the White House in Donald Trump’s first term and has ties to Trump’s deputy chief of staff, Stephen Miller, the people said.When Weaver learned of his impending polygraph, he complained to associates that he had been suspected without evidence, the people said. That led the external Trump adviser to take his complaint to Hegseth – only for Hegseth to say he did not even know about the test.The external Trump adviser called Parlatore on his cellphone to shut down the impending polygraph, shouting down the line that in Trump’s second term, career employees did not get to question political appointees, according to two people familiar with the conversation.Weaver does not appear to have escalated his complaint to the White House, telling associates that he preferred not to bother Miller with problems. Earlier reports suggested the White House intervened on Weaver’s behalf but the people said the White House learned of the test after it was cancelled.A White House spokesperson declined to comment. A Pentagon spokesperson, Sean Parnell, said in a statement: “The Department will not comment on an ongoing investigation.”The extraordinary episode underscored ongoing concerns around Hegseth’s ability to manage the Pentagon – he is still facing an inspector general report into his disclosures in a Signal chat about US strikes against the Houthis – and why a Trump adviser ended up staging an intervention.Weaver’s cancelled polygraph was earlier reported by the Washington Post. But the effort at the Pentagon to weed out leakers with lie detector tests continued against uniformed military officers even after the incident with Weaver, three of the people said.Hegseth’s then-military aide and current acting chief of staff, Ricky Buria, at one point ordered polygraphs against several people connected to possible and perceived rivals at the Pentagon including senior adviser Eric Geressy, despite his own polygraph coming back as inconclusive.View image in fullscreenBuria, who is said not to care for Geressy, did not order a polygraph against him in the wake of the Weaver incident. Instead, the people said, he ordered polygraphs for officers who worked for Geressy, including Hegseth’s military assistants Capt William Francis, a former Navy Seal, and Col Mike Loconsolo.In an additional twist, the polygraphs for the uniformed officials became fraught after one person complained his had not been conducted by the Defense Intelligence Agency but a defense department contractor, and was separately told his polygraph could just double as being for his regular background investigation, two people familiar with the matter said.Hegseth himself threatened polygraphs to catch leakers, including against two top military officials, the Wall Street Journal earlier reported: navy Adm Christopher Grady, the vice-chair of the joint chiefs of staff, and army Lt Gen Douglas Sims, the director of the joint staff.According to two people familiar with the case of Sims, Buria had privately suggested that he might have played a role in leaking a classified plan for the Panama canal to NBC News, among other transgressions that included an allegation that Sims had been disrespectful.While it does not appear that Sims was actually polygraphed, Hegseth revoked his promotion to a four star general, despite earlier agreeing to the move at the recommendation of multiple career and political officials, the New York Times earlier reported.Hegseth told Sims that his connections to Gen Mark Milley, the former chief of the joint staff that Trump hates, were disqualifying – although Sims had ironically helped remove Milley’s portrait off the wall at the Pentagon when Hegseth arrived at the Pentagon, one of the people said.Several officials, including the chairman of the joint chiefs, Gen Dan Caine, told Hegseth that Sims was not a leaker and deserved better. Hegseth told officials he would sleep on it but never revisited the matter, the people said. More