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    Trump policies spur economic anxiety in US Republican heartland: ‘Tariffs are affecting everything’

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    For decades, a line of storefronts in Jeffersonville, Ohio, a town of 1,200 people 40 minutes south-west of Columbus, lay empty.But now locals are hard at work renovating the downtown and paving streets in anticipation of a potential economic boom fueled by a huge new electric vehicle battery manufacturing plant.Two miles south of Jeffersonville, Korean and Japanese companies LG Energy Solution and Honda are in the midst of sinking $3.5bn into a facility that is expected to begin production in the coming months.Hundreds of people have been employed in the construction of the plant, and more than 525 people have been hired to work in engineering and other manufacturing roles at the facility. In total, about 2,200 people are expected to be employed on a site that, until several years ago, was open farmland.But some locals are concerned.A host of Trump administration policies – tariff measures and the end of clean vehicle tax credits worth thousands of dollars to car buyers – are causing multinational manufacturing companies to consider pausing hundreds of millions of dollars in future investments, a move that would hit small, majority-Republican towns such as Jeffersonville especially hard.Moreover, a raid by ICE immigration officers on a Hyundai-LG battery plant in Ellabell, a small town in south-east Georgia in September that saw more than 300 South Korean workers detained and sent home has sent shock waves through places like Jeffersonville and the C-suites of international companies alike.View image in fullscreen“The construction process has been slowing down. My fear is that the whole thing is going to stop, and we’re left with just unfinished concrete out there,” says Amy Wright, a Fayette county resident, of the under-construction battery plant.“What’s more, a lot of the people hired to do the construction of the plant are not locals. They are from out-of-state; I’ve met them at the gym.”While in last year’s presidential election, 77% of voters in Fayette county backed Trump, recent polls suggest his popularity in rural America has taken a nosedive.One poll suggests that his approval rating among rural Americans has slipped from 59% in August to 47% in October. Others chart his net approval rating in states he won in last year’s presidential election – Ohio, Michigan and Indiana – in negative territory by as much as 18.9 points.Wright says her son, who works for a local company that supplies Honda with parts, recently received notice that a prior promise of overtime work was being rescinded. She says she believes Honda is reeling in spending due to US government policies.“Tariffs are affecting everything,” says Wright.What’s happening in Jeffersonville is being mirrored across the midwest.In Kentucky, Michigan and elsewhere, global giants Toyota and Stellantis have spent billions of dollars in small communities, much of which came in the form of clean energy tax breaks from the Biden administration’s Inflation Reduction Act of 2022.Toyota’s biggest production facility on the planet is in a small Kentucky town called Georgetown, where the company employs more than 10,000 people and has invested $11bn in the local economy since the late 1980s. These workers churn out nearly half a million vehicles and hundreds of thousands of engines every year.However, in August Toyota warned that it faced a $9.5bn financial hit to it and its suppliers due to tariffs imposed by the Trump administration, the largest estimate of any automotive manufacturer. In July, Kentucky’s governor, Andy Beshear, said Trump’s tariffs were undermining investments in the state such as Toyota’s, calling them “chaos”.View image in fullscreenSixty-three per cent of voters in Georgetown’s Scott county backed Trump in last year’s presidential election.Last April, Stellantis laid off 900 workers at locations across the midwest due to Trump’s tariffs.In Indiana, one of the largest employers in the state, the Swiss pharmaceutical company Roche is reportedly considering pulling out of $50bn worth of investment in the coming years if Trump follows through on his executive order to target companies that don’t reduce drug prices.“No [manufacturer] wanted to alienate customers, but those days are past. So, the bulk of tariff price increases will hit in the coming months. This matters, because factory employment is a major share of rural counties in the midwest – about 30% in Indiana, and similar in Illinois, Ohio, Michigan and Wisconsin,” says Michael Hicks, an economist and professor at Ball State University in Indiana.“These things will clearly have a political effect, but my hunch is not fully for several months. Overlaying all this is the risk of a significant [economic] downturn, where tariffs combine with a financial bubble that would surely hit rural – red – communities very hard.”Still, others believe that the tariffs will benefit small American towns in the long run.“Toyota is doing fine and I don’t see [tariffs] as being a big hurt for us here in Georgetown,” says Robert Linder, co-owner of the Porch restaurant that’s situated a mile north of the huge facility, and who worked at the plant for 29 years.In April, Toyota suggested it might move more vehicle production to Georgetown to beat the tariffs, though that move could be years in the making. Sales of Toyota brands in the US have been growing this year, with the company thus far eating the cost of tariffs rather than passing it on to consumers.“They just announced a $10bn investment in the United States for more Toyota plants. If Toyota was worried about [tariffs] they wouldn’t be expanding,” says Linder. Recent reports, however, suggest the $10bn figure referred to previously announced investments.However, large multinationals have a track record of announcing major projects only for reality to play out in a very different way.In Wisconsin, the Taiwanese tech company Foxconn claimed it would spend $10bn on a facility outside the town of Mount Pleasant. Instead, local taxpayers today find themselves on the hook for $1.2bn spent on highways, attorneys and other infrastructure for a facility that has never transpired.In Arizona, the Taiwan Semiconductor Manufacturing Company (TSMC), backed directly by Trump, has been plagued with lawsuits related to safety and other issues, and missed project deadlines following promises to become a major employer of local talent.Despite Ohio’s governor, Mike DeWine, recently claiming there was no need to worry about the future of the LG-Honda battery plant, on 28 October, Honda announced it was reducing production at plants across Ohio due to a semiconductor chip shortage.While more than two dozen jobs are available at the Jeffersonville site, according to the LG-Honda plant’s hiring website, it’s a far cry from the more than 2,000 positions cited by officials previously.For Amy Wright, policies coming out of the White House are having a clear effect on residents of rural Ohio. As an organizer of four local No Kings protests against Trump’s policies she’s noticed a change in the people who are coming to the rallies.“We’ve had more and more people who have voted for [Trump] show up and say: ‘This is not good, this is not what we voted for,’” she says. More

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      The Cybertruck was supposed to be apocalypse-proof. Can it even survive a trip to the grocery store?

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      View image in fullscreenThe Cybertruck answers a question no one in the auto industry even thought to ask: what if there was a truck that a Chechen warlord couldn’t possibly pass up – a bulletproof, bioweapons-resistant, road rage-inducing street tank that’s illegal to drive in most of the world?Few had seen anything quite like the Cybertruck when it was unveiled in 2019. Wrapped in an “ultra-hard, 30X, cold-rolled stainless steel exoskeleton”, the Cybertruck was touted as the ultimate doomsday chariot – a virtually indestructible, obtuse-angled, electrically powered behemoth that can repel handgun fire and outrun a Porsche while towing a Porsche, with enough juice leftover to power your house in the event of a blackout. At the launch, Tesla’s CEO, Elon Musk, said the truck could tackle any terrain on Earth and possibly also on Mars – and all for the low, low base price of $40,000. “Sometimes you get these late-civilization vibes [that the] apocalypse could come along at any moment,” Musk said. “Here at Tesla, we have the best in apocalypse technology.”Six years on, Covid and Musk’s political alignment with Donald Trump have kicked up the apocalypse vibes, and Tesla’s good sense has only become more questionable as the Cybertruck has been reduced to an object of universal scorn and derision further raising a host of questions: is the Cybertruck even a decent doomsday chariot? Could it really survive end times? Will it survive Musk himself? “There’s no doubt it’s a heavy-duty vehicle that can take some punishment, even from small arms fire,” says Arthur Bradley, a prepping expert who oversees the building of satellite systems at Nasa’s Langley research center in Virginia. “But you can’t weigh the pros without also asking: ‘Are people shooting at me because they think I’m an idiot or a bad guy, or they don’t support my political views – or they don’t support me supporting this company?’”View image in fullscreenPost-armageddon transport has a simple but specific brief: be tough, durable and drive through anything – and no vehicle ticks those boxes more reliably than trucks. Fictional concepts such as Mad Max’s tanker-based War Rig are often the inspiration for real-world creations like Ford’s custom-built F650 Supertruck, a tractor-trailer sized monstrosity that can carry 120 gallons of fuel, tow 30,000lb, and be reinforced with bulletproof armor. The truck is how insurgent fighters get around war zones and what storm chasers use to run down tornadoes. “They’re certainly pretty good for prepping purposes,” says Sean Gold, a former air force emergency manager who has worked in the prepping industry for nearly a decade. “They’re large, off-road-capable, able to get off roads that might be congested – that sort of thing.”The Cybertruck, however, broke from a century’s worth of truck-building orthodoxy, eschewing the typical three-box layout for a wedge-shaped silhouette that took inspiration from the movie Blade Runner and cyberpunk motifs. It mocked the F-150, the US’s top-selling vehicle for the last 47 years, as prehistoric tech. On its website, Tesla featured imaginative images of the Cybertruck crawling around Mars. Few knew what to make of it. Simone Giertz, a DIY robotics inventor who built a Tesla truck on her popular YouTube channel, was among a select group invited to Tesla’s Hawthorne, California, studio for the Cybertruck unveiling. “I have never physically felt the air leave a room in the way that it did when the Cybertruck rolled out on stage,” she recalls. “People were so confused.”Since Musk’s hard-right turn, however, the Cybertruck’s design has gone from aesthetically polarizing to politically so. A recent Slate article nods at the truck’s uncanny resemblance to the Casspir, the apartheid-era military transport that patrolled South African townships in Musk’s boyhood. “As violence and flames engulfed the streets of the nation, Black South African children drew and wrote about the apartheid security forces and its tools – dogs and Casspirs – chasing and shooting at them in their schools, streets, and homes,” the article says. “By the 1990s, the Casspir had become an iconic global symbol of apartheid oppression.”View image in fullscreenIt’s no surprise then that the Cybertruck would become a status symbol for security forces. One California police department spent $153,000 on a Cybertruck for “community outreach efforts” (though it didn’t rule out using it to “respond to emergencies” as needed), and a Chechen warlord showed off a machine-gun mounted Cybertruck he claimed was purpose-built to help his army fight alongside Russia in the Ukraine war. “I am sure that this ‘beast’ will bring a lot of benefit to our fighters,” Ramzan Kadyrov said while heaping praise on “the respected Elon Musk”, who has denied making the vehicle for Kadyrov. Ultimately, the Cybertruck had to be towed from the battlefield after randomly shutting down on Chechen forces, and Kadyrov accused Musk of switching it off remotely – a nagging concern among Tesla owners.In Tesla’s early days, the catastrophe thinking was small – a “bioweapon defense mode” button on each vehicle’s climate control, something Musk reckoned might come in handy “if there’s ever an apocalyptic scenario of some kind”. But even as Musk’s winking references to the apocalypse manifested into a bulletproof rig made of stainless steel, there was no denying that he may have been right to think the Cybertruck could be a hit with consumers. After the 2019 unveiling, Tesla received about 2m preorders from customers plonking down $100 each. But in the end the enthusiasm wouldn’t last because Musk couldn’t keep his promises.The Cybertruck came to market two years too late, which was time that allowed Tesla’s rivals to get in the game; more Cybertruck reservation holders might have hung in there if Musk hadn’t marked the truck’s base price up to $99,000. Perhaps most detrimental for Tesla: the Cybertruck’s purported utility appeared to be worse than advertised. The average truck is undergirded with a steel frame to handle the rigors of hauling and towing – but the Cybertruck’s underbody is made of aluminum, much lighter metal that can bend and even break under heavy strain. Stainless steel is also susceptible to rust – which is to say the Cybertruck is an iffy proposition to survive regular winter, let alone nuclear winter.The internet teems with video of the Cybertruck spinning its wheels in a snowy parking space, on the beach and farther off the beaten path; meanwhile the Rivian R1T, a legitimately capable electric vehicle rival to the Cybertruck, was apparently no worse for wear after being tossed around during Hurricane Helene. (“What a dream marketing opportunity for Rivian,” Giertz says. “Your truck actually survived a natural disaster.”)Dan Neil, the Wall Street Journal’s Pulitzer prize-winning car critic, slid off a hill while test-driving the Cybertruck with his teenage daughter. “We took it on class three and class four trails, which it is technically capable of,” he says. “But it’s also 2ft wider than any trail at any national park could generally accommodate. That’s the part I don’t get. It’s definitely an on-road car.”View image in fullscreenThat makes the Cybertruck an even tougher sell to doomsday preppers – many of whom already had their doubts about the viability of EV technology during and after a major disaster, says Gold, the former air force manager. The Cybertruck’s 300ish-mile range in particular becomes a much riskier proposition when plugs stop working. “The beauty of EVs is you don’t have to hunt for fuel,” says Bradley, the Virginia-based prepping expert. “But the drawback is most people don’t have a large solar power generation system. If you get a little too far out, or run into a situation that causes you to use up your energy, you might not get back home.”Daisy Luther, a former automotive service manager who went into the prepping business after the 2008 financial collapse, wonders how anyone in the post-apocalypse would go about fixing a Cybertruck (which has already been recalled eighttimes) – especially in the event of an electromagnetic pulse or similar event. “I generally recommend that if someone is getting a vehicle to last them through some kind of apocalyptic situation that it have as few computer chips and electronics as possible,” says Luther, who drives an old Jeep. “I can do small repairs on something mechanical, but I can’t do anything that requires a computer flash or a satellite upgrade because I don’t have the equipment.”Last month I rented a Tesla Cybertruck to get a feel for it as a family vehicle and found it to be ill-equipped for these times, let alone the end times. (And I say that as the owner of a Model Y, an exceedingly versatile family hauler that’s also massively fun to drive.) At over 6ft wide, 18ft long and 3.5 tons, the Cybertruck was a bear to maneuver around Atlanta’s narrow streets; its obtuse-angled shape made identifying traffic hazards through the car’s windows and mirrors a virtual impossibility. Even when I find myself considering the Cybertruck just for its potential as a standby home generator, I was soon reminded that Hyundai and Kia EVs offer similar capability for a fraction of the cost.For my toddler boys the Cybertruck is what the Lamborghini Countach was to me in my youth, the apogee of poster cars – but the truck isn’t what I would call kid-friendly. Mostly, it kept me worried about them gouging out an eye, losing a finger or getting static shock from touching the steel doors as they explored.“You’re driving a meme car!” Ezra Dyer, the Car and Driver columnist, helpfully reminds me. “You have to buy into the idea that it’s kind of funny, wink-wink.” When my wife asked if the children would be safe inside, I hesitated to tell her that Alijah Arenas – the highly regarded USC basketball recruit and son of former NBA All-Star Gilbert Arenas – had to be put into a coma after losing control of his Cybertruck and crashing into a fire hydrant in Los Angeles. Suffice to say, had Alijah Arenas been driving a Rivian (the safest pickup on the road full stop) or Tiger Woods’s 2009 Escalade, he would have been able to walk away from the accident; but somehow, bystanders managed to pry open the Cybertruck’s doors, which don’t have exterior handles (!), and pull him away from a fiery scene made scarier by the truck’s tough to extinguish high-voltage battery – the last thing you’d want to deal with when the world’s already burning.View image in fullscreenUnlike modern cars, the Cybertruck was expressly not designed to deform on impact – further ratcheting up the safety risks during and after a cataclysmic disaster. (This is also why Cybertrucks are banned in the UK, EU and China, the world’s largest EV market.) Gold, who drives a Model 3, could envision a bad actor hacking into the truck remotely or even Musk himself shutting them down out of spite as may or may not have been the case with the Chechen warlord. “I know it doesn’t really make sense [for him to do that],” Gold says, “but the possibility is concerning”.Then there’s Gold’s point: the Cybertruck is such a ripe target, it sticks out so much. Early on the Ford CEO, Jim Farley, dismissed it as the kind of status mobile you might find “parked in front of a hotel”. In its relatively short life, the Cybertruck has gone from being a status mobile for Kim Kardashian, Pharrell Williams and other tastemakers to the ultimate meme-mobile – a Maga hat on wheels. (SNL’s Colin Jost called it the answer to the question: “What if Kanye was a car?”) When the truck isn’t being flipped off in traffic (although that wasn’t my experience driving it in Atlanta, a saturated Tesla market), it’s being used as a slate canvas for political protests against Musk. “I mean, I wouldn’t want to drive one around town today,” Bradley says.Read more from The Armageddon complex series

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      The irony of Tesla’s apocalypse machine is it couldn’t even overcome Musk’s worst nature, or even live up to the Earth-saving principles that Tesla used to espouse. “Maybe this explains it: he’s working really hard on bringing down civil society; maybe that was just to increase the market?” Giertz jokes. “It’s interesting because when the environmentalists turned on Elon, he immediately pivoted to another target group: the preppers who want to be self-sufficient. But at this point when civility is out the window and we are even more pissed at the guy who brought the apocalypse in, I’d rather be in a Toyota Prius than a Cybertruck.”On the company’s earnings call last month Musk vowed to step back from running the so-called “department of government efficiency” (Doge) to devote more time to Tesla amid speculation that he could be replaced as CEO – but the catastrophe may be unsalvageable. “I don’t think that [Doge] is the issue,” Ross Gerber, a major Tesla investor, told CNN. “Actually, it’s that people despise Elon Musk even more than they hate Trump. And that’s not something that he can solve at this point.”Despite being the world’s top selling EV pickup, Cybertruck sales are still so poor that the company doesn’t even bother reporting them – but record high inventory and steep depreciation curves give the game away. Quietly, Tesla shifted marketing strategies for the Cybertruck, pivoting away from the Martian imagery to more classic pickup truck iconography – but it’s too little, too late, and now just gaslighting the public. In recent months Tesla’s board chair made $198m unloading the company’s stock amid falling profits. Ford, Rivian and other competitors are fast gaining ground in the market. “It’s really interesting to see how far Tesla has fallen,” says Benoit. “At this point it’s beyond political.”If anything, the Cybertruck becoming the Titanic of cars is the fate we actually should’ve prepared for. History tells us anytime a vehicle is touted as future-proof, it’s all but doomed to become a monument to unchecked hubris. “My guess is this incarnation of the Cybertruck has a very limited life,” Bradley says. “I think there will be another Cybertruck, but it will probably be more modern-looking – like a regular pickup truck.” More

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      Trump hails achievements of first 100 days despite polls revealing American disapproval on economy – as it happened

      by

      Trump is speaking now at a rally in Warren, Michigan and he has fulsome praise for what he calls “the most successful 100 days of any administration in the history of our country”.A raft of opinion polls released this week shows that a majority of Americans disagree, strongly, expressing deep disapproval of his performance as president, and particularly his handling of the economy, which has been severely damaged by his chaotic imposition of tariffs against nearly even nation, except Russia.A new NPR/PBS News/Marist poll released on Tuesday shows that 45% of those asked to grade Trump’s performance as president gave him an F, 7% a D, 8% a C, 17% a B, and 23% an A.Half of independents said Trump deserves an F, and only a slim majority of Republicans gave him an A.This brings our coverage of day 100 of Donald Trump’s second term to a close. We will be back in the morning, as the next of 1,000-plus days dawn, but in the meantime we leave you with this list of the day’s developments:

      At Donald Trump’s rally in Michigan, his supporters reacted to the screening of a long video, set to ominous music, showing the harsh treatment of men he had deported from the United States to a prison in El Salvador without due process by chanting”: “USA! USA!”

      As Trump defended his broadly unpopular handling of the economy, he criticized Fed chair Jerome Powell, saying: “I have a Fed person who’s not really doing a good job, but I won’t say that.” The businessman president who used bankruptcy law to rescue his failed enterprises six times added: “I know much more about interest rates than he does”.

      Trump mistakenly attacked the Michigan representative John James, calling the Republican he had endorsed “a lunatic” for trying to impeach him. That was someone else.

      Trump supporters praised by the president at a rally included the former member of a violent cult who founded Blacks for Trump, and a retired autoworker who once told people to read David Duke’s “honest and fair” book about race.

      The US Department of Justice has begun the first criminal prosecutions of immigrants for entering a newly declared military buffer zone created along the border with Mexico, according to court filings.

      Trump called Amazon executive chair Jeff Bezos on Tuesday morning to complain about a report that the company planned to display prices that show the impact of tariffs. Trump told reporters later that Bezos “was very nice, he was terrific” during their call, and “he solved the problem very quickly”.

      The Trump administration has reached one trade deal already but won’t tell us who with until that country’s prime minister and parliament approve the deal, the commerce secretary Howard Lutnick said told CNBC.

      The United States proposed sending up to 500 Venezuelan immigrants with alleged ties to the Tren de Aragua gang to El Salvador as the two governments sought to reach an agreement on the use of the nation’s notorious mega-prison, according to emails seen by CNN.

      Donald Trump signed a proclamation on Tuesday that offers temporary relief to automakers from the 25% tariffs he imposed in March in a previous proclamation. The measure gives automakers a break for two years to give them time to move auto production back to the United States.

      Doug Emhoff, the husband of Kamala Harris, accused the Trump administration of turning “one of the worst atrocities in history into a wedge issue”, after he and other Joe Biden appointees were removed from the board of the US Holocaust Memorial Museum.

      Pete Hegseth has abruptly banished the Pentagon’s Women, Peace and Security program as part of his crusade against diversity and equity, dismissing it as a “woke divisive/social justice/Biden initiative” despite it being a signature Donald Trump achievement from his first term.

      Donald Trump surprised Michigan’s governor, Gretchen Whitmer, by inviting her to speak during his address at Selfridge air national guard base on Tuesday afternoon.
      One notable feature of Tuesday’s Trump rally in Michigan is that it featured cameos from supporters of the president who have been fixtures of his campaign rallies for nearly a decade.Early in the speech, as he pointed to familiar faces, Trump recognized the Front Row Joes, a group of diehard supporters akin to groupies who have traveled the country to attend dozens of his rallies. He also shouted out Blake Marnell, a supporter who wears a “brick suit” in homage to Trump’s border wall and witnessed the assassination attempt last year in Butler, Pennsylvania.“There’s my friend, Blacks for Trump. I like that guy. He follows me”, the president said pointing into the crowd. “We love you, your whoile group has been so supportice over the years, I want to thank you”.“Everyone thinks I pay you a fortune”, Trump added. “I don’t even know who the hell he is, I just like him”.As I reported in 2020, the “Blacks for Trump” founder is Maurice Symonette, a.k.a. Michael the Black Man, a former member of a violent cult who posts anti-Semitic screeds and racist conspiracy theories online, and yet has been a featured member of the audience at Trump campaign events since 2016.Symonette was known as Maurice Woodside until 1992, when the black supremacist cult leader he followed, Yahweh ben Yahweh, was jailed for leading a conspiracy to murder 14 white people in initiation rites. Woodside was among the Miami-based Nation of Yahweh cult members charged in two of the murders, but he was acquitted. After the trial, he changed his last name to Symonette, which was his father’s surname, before eventually reinventing himself as Michael the Black Man.On his website, Symonette makes a variety of bizarre claims, including that Omar and other prominent Black Democrats, artists and athletes — including former President Barack Obama, Jesse Jackson, Spike Lee, Colin Kaepernick, and Rep. Maxine Waters, D-Calif. — are “DECEVING [sic] FAKE BLACK PEOPLE WHO ARE REALLY INDIANS!” In a sermon now deleted from YouTube, he claimed that the Senate is controlled by a secret underground of “Cherokee Mormons.”Later in the speech, Trump called to the stage another supporter who has been a figure at rallies since 2016: Brian Pannebecker, a retired auto worker who told the crowd, “We have the greatest President, probably not just in our lifetimes, but in the history of this country!”Pannebecker’s brief cameo was clipped and shared on social media by an official White House account, despite the fact that it was first reported a decade ago that he had written a glowing review of David Duke’s book, “My Awakening”, in which he called the former Klansman’s work “honest and fair”. After reading the book, Pannebecker wrote in his online review, people “will be able to discuss the issue of race without the fear of being labeled a racist because you will have the facts and the truth on your side”.A federal judge in New Jersey ruled on Tuesday that Mahmoud Khalil, the recent Columbia graduate and Palestine solidarity activist who was detained on 8 March in his apartment building in New York and moved to an Immigration and Customs Enforcement (Ice) detention center in Louisiana, can move forward with his lawsuit claiming the government is unlawfully detaining him for his political views.“This Court has habeas jurisdiction over this case” Judge Michael Farbiarz wrote. “And as set out in this Opinion, that jurisdiction is intact. It has not been removed.”“As I am now caring for our barely week-old son, it is even more urgent that we continue to speak out for Mahmoud’s freedom, and for the freedom of all people being unjustly targeted for advocating against Israel’s genocide in Gaza,” Noor Abdalla, Khalil’s wife said in a statement. “I am relieved at the court’s finding that my husband can move forward with his case in federal court. This is an important step towards securing Mahmoud’s freedom. But there is still more work to be done. I will continue to strongly advocate for my husband, so he can come home to our family, and feel the pure joy all parents know of holding your first-born child in your arms.”“The court has affirmed that the federal government does not have the unreviewable authority to trample on our fundamental freedoms,” Noor Zafar of the ACLU’s Immigrants’ Rights Project said in a statment emailed to reporters. “This is a huge step forward for Mahmoud and for the other students and scholars that the Trump administration has unlawfully detained in retaliation for their political speech, and a rebuke of attempts by the executive to use immigration laws to weaken First Amendment protections for political gain.”The US Department of Justice has begun the first criminal prosecutions of migrants for entering a newly declared military buffer zone created along the border with Mexico, according to court filings, Reuters reports.At least 28 migrants were charged were charged in federal court in Las Cruces, New Mexico, on Monday for crossing into the 170-mile-long, 60-foot-wide militarized buffer zone patrolled by active-duty US troops.Pete Hegseth, the defense secretary, visited the area last week and said it was the start of a plan to extend the buffer zone along the border.“The reason we are here today, at almost the 100-day mark of President Trump’s administration is because you’re standing on a National Defense Area, this may as well be a military base” Hegseth said in a defense department social media video posted online. “Any illegal attempting to enter that zone is entering a military base.”“As New Mexicans, we have deep concerns about the enhanced militarization of our borderlands communities” the American Civil Liberties Union of New Mexico in a statement last week. “The expansion of military detention powers in the ‘New Mexico National Defense Area’ – also known as the ‘border buffer zone’ – represents a dangerous erosion of the constitutional principle that the military should not be policing civilians.”The idea of militarizing the border has long been a dream of far-right politicians, like the failed Arizona senate candidate Blake Masters, who devoted a campaign ad to the idea in 2022.Trump has left the stage, and his supporters are filing out of the venue, which we are told by the pool reporter there has a capacity of 4,000, but was only about half or three-fifths full.One bizarre moment early in the speech that we would have heard a lot more about had the speaker been Joe Biden was when Trump tore into Representative John James, telling the crowd the Michigan Republican he had endorsed and campaigned with was “a lunatic”.“Some guy that I never heard of, John James. Is he a congressman? This guy? He said, he said, ‘Ladies and gentlemen, I am going to start the impeachment of Donald Trump”, Trump told the crowd. Many of his supporters in the room, and watching at home, were probably aware that the president, who celebrates his 79th birthday in six weeks, had confused James with Representative Shri Thanedar, the Michigan Democrat who did, in fact, introduce articles of impeachment against Trump on Monday.Trump has just finished speaking and departed to the strains of the Village People anthem YMCA. He spoke for about 90 minutes in what was a fairly typical rally speech and even told the crowd early on, “I miss you guys. I miss the campaign”.If there has been one constant theme throughout his time in office, it has been that he clearly loves the adulation of the crowd that comes from making campaign speeches far more than the work of governing.Trump just made the entirely false claim that, “for the first time in modern history, more Americans believe that our country is headed in the right direction than the wrong direction”.“For the first time ever, in, I think, ever, that they’re saying the country is headed in the right direction”, Trump added. “Has never happened before”.It is not clear why the president thinks this is true, or indeed if he does, but it is very clearly not true.In the latest nationwide poll, conducted from April 17-21 for the Associated Press by National Opinion Research Center at the University of Chicago, the overwhelming majority of Americans said that the country is headed in the wrong direction (62% vs 37%).The latest Gallup poll, from earlier in April showed that just 34% were satisfied with the way things were going in the US, and 64% were dissatisfied. While those numbers were markedly better than last summer, when satisfaction was as low as 18% and dissatisfaction reached 80%, the majority still clearly says the country is headed in the wrong direction.It is also not true to say that American have never previously said the country was going in the right direction. Gallup found that 50% of the public said that things were going n the right direction at this point in George W. Bush’s first term in 2001. There was even more optimism in 1999, during the presidency of Bill Clinton, when the right direction number reached 70%.Defending his handling of the economy, which has been severely damaged by his trade war and the prospect of rising inflation, Trump just told his supporters in Michigan: “Inflation is basically down, and interest rates came down despite the fact that I have a Fed person who’s not really doing a good job, but I won’t say that. I want to be very nice. I want to be very nice and respectful to the Fed. You’re not supposed to criticize the Fed; you’re supposed to let him do his own thing, but I know much more about interest rates than he does, believe me.”At his rally in Michigan, Donald Trump’s supporters reacted to the screening of a long video, set to ominous music, showing the harsh treatment of men he had deported from the United States to a prison in El Salvador without due process by chanting “USA! USA”!”The video, first posted on Elon Musk’s social media platform X by Salvadoran President Nayib Bukele in March, shows 238 men accused of being members of the Venezuelan criminal organization, Tren de Aragua, being taken from planes and confined in the Terrorism Confinement Center, known as Cecot.The images of the abusive treatment clearly delighted Trump, and his supporters. The fact that the men were not given an opportunity to contest the accusation that they are members of either Tren de Aragua or the Salvadoran gang MS-13, seemed not to trouble Trump.Instead, he accused Democrats of “racing to the defense of some of the most violent savages on the face of the Earth”.“They’re racing to the courts to help them”, Trump claimed, ignoring the fact that his own administration has admitted in court that at least one of the man deported, Kilmar Ábrego García, was sent there by mistake, in violation of an order issued during hjis previous term in office. The families of other men seen in the video have pointed to multiple errors in the interpretation of their tattoos as proof that they are gang members.Trump is speaking now at a rally in Warren, Michigan and he has fulsome praise for what he calls “the most successful 100 days of any administration in the history of our country”.A raft of opinion polls released this week shows that a majority of Americans disagree, strongly, expressing deep disapproval of his performance as president, and particularly his handling of the economy, which has been severely damaged by his chaotic imposition of tariffs against nearly even nation, except Russia.A new NPR/PBS News/Marist poll released on Tuesday shows that 45% of those asked to grade Trump’s performance as president gave him an F, 7% a D, 8% a C, 17% a B, and 23% an A.Half of independents said Trump deserves an F, and only a slim majority of Republicans gave him an A.“Today, the Prime Minister, Mark Carney, spoke with the President of the United States, Donald J Trump”, a statement from the Canadian prime minister’s office said.“President Trump congratulated Prime Minister Carney on his recent election. The leaders agreed on the importance of Canada and the United States working together – as independent, sovereign nations – for their mutual betterment. To that end, the leaders agreed to meet in person in the near future.”Carney’s center-left Liberal party won Monday’s general election thanks to a wave of resentment about Trump’s threats to annex Canada and the imposition of tariffs on Canadian imports.“As I’ve been warning for months, America wants our land, our resources, our water, our country”, Carney said in his victory speech late Monday. As the crowd jeered and shouted “Never!” Carney agreed. “These are not idle threats. President Trump is trying to break us so that America can own us. That will never, never, ever happen”.As Canadian went to the polls on Monday, Trump posted what seemed like an endorsement of Carney’s rival, the Conservative party leader Pierre Poilievre, suggesting that the pro-Trump politician would help bring about Canada’s absorption into the United States. When the votes were counted, however, Poilievre, who had a commanding lead in the polls before Trump started talking about annexing the country, had not only failed to lead the Conservatives to power, he had even lost his own seat.Despite Carney’s office claiming on Tuesday that he and Trump had agreed to work together “as independent, sovereign nations”, White House officials insisted that Trump is still serious about his stated desire to make Canada the 51st US state.White House press secretary Karoline Leavitt was asked during a briefing for rightwing influencers if Trump was “truthing or trolling” when he says that he wants to annex Canada, and Greenland. “Trump truthing, all the way”, she replied. “And the Canadians would benefit greatly, let me tell you that”.Donald Trump surprised Michigan’s governor, Gretchen Whitmer, by inviting her to speak during his address at Selfridge air national guard base on Tuesday afternoon.Trump, who came to Macomb county, Michigan, for an evening rally to celebrate what he calls the historic accomplishments of the first 100 days of his second term, despite widespread disapproval of his actions by a majority of Americans in a series of polls, announced a new fighter jet mission for the base outside Detroit, easing fears that the installation would be closed.For decades, Trump said, the base has “stood as a crucial pillar of North American air defense”.“In recent years, many in Michigan have feared for the future of the base. They’ve been calling everybody, but the only one that mattered is Trump,” he said. “Today I have come in person to lay to rest any doubt about Selfridge’s future.”Whitmer’s political standing was damaged earlier this month when she was photographed hiding her face from photographers in the Oval Office after Trump invited her to be present as he signed executive orders, two of which demanded investigations of critics who had served in his first administration.On Tuesday, she was careful to begin her impromptu remarks by saying that she had not expected to speak, and then praised the decision as a boon for the local economy, but did not praise Trump, as Republicans he invited to make remarks did.Donald Trump signed a proclamation on Tuesday that offers temporary relief to automakers from the 25% tariffs he imposed in March in a previous proclamation.The White House confirmed to Fox Business earlier that the new measure would give automakers a break for two years to give them time to move auto production back to the United States.The proclamation outlines a series of technical changes to the tariff regime, “to modify the system imposed in Proclamation 10908 by reducing duties assessed on automobile parts accounting for 15 percent of the value of an automobile assembled in the United States for 1 year and equivalent to 10 percent of that value for an additional year”.As we reported earlier, the changes will allow carmakers with US factories to reduce the amount they pay in import taxes on foreign parts, using a formula tied to how many cars they sell and the price.Doug Emhoff, the husband of Kamala Harris, accused the Trump administration of turning “one of the worst atrocities in history into a wedge issue”, after he and other Joe Biden appointees were removed from the board of the US Holocaust Memorial Museum.Emhoff, who is Jewish and spoke passionately against the rising tide of antisemitism during his time as the second gentleman, said he was informed on Tuesday that he had been removed from the museum’s council.“Let me be clear: Holocaust remembrance and education should never be politicized. To turn one of the worst atrocities in history into a wedge issue is dangerous – and it dishonors the memory of six million Jews murdered by Nazis that this museum was created to preserve,” he said.“No divisive political decision will ever shake my commitment to Holocaust remembrance and education or to combatting hate and antisemitism. I will continue to speak out, to educate, and to fight hate in all its forms – because silence is never an option.”The New York Times reported that the Trump administration also fired Ron Klain, Biden’s first chief of staff; Susan Rice, national security adviser to Barack Obama, and Biden’s top domestic policy adviser; and Tom Perez, the former labor secretary who was a senior adviser to the former president.Trump defeated Harris, then the US vice-president, in November. Emhoff’s law firm recently struck a deal with the Trump administration to avert an executive order targeting its practice, a decision Emhoff is reported to have voiced his disagreement with.Pete Hegseth has abruptly banished the Pentagon’s Women, Peace and Security program as part of his crusade against diversity and equity, dismissing it as a “woke divisive/social justice/Biden initiative” despite it being a signature Donald Trump achievement from his first term.In a post on X, the US defense secretary wrote: “This morning, I proudly ENDED the ‘Women, Peace & Security’ (WPS) program inside the [Department of Defense]. WPS is yet another woke divisive/social justice/Biden initiative that overburdens our commanders and troops – distracting from our core task: WAR-FIGHTING.”Hegseth added that the program was “pushed by feminists and left-wing activists”, claiming: “Politicians fawn over it; troops HATE it.”But the decision is raising some eyebrows, as the initiative was established during Trump’s first administration when he signed the Women, Peace and Security Act in 2017, making the US the first country in the world to codify standalone legislation on the matter.The Trump campaign even courted female voters by citing the initiative as one of its top accomplishments for women on its website.Attempting to square this circle, Hegseth later claimed the Biden administration had “distorted & weaponized” the original program. “Biden ruined EVERYTHING, including ‘Women, Peace & Security,’” he insisted.The Senate has confirmed billionaire investment banker Warren Stephens to be ambassador to the UK, backing Donald Trump’s nominee by 59 to 39.Stephens is chair, president and CEO of Stephens Inc, a privately owned financial services firm headquartered in Little Rock, Arkansas. He is a longtime contributor to Republican candidates, including Trump, having donated millions of dollars to support Trump’s campaigns and 2025 inauguration fund.Asked about negotiations with Congress over tax legislation, Trump said: “The Republicans are with us. I think we’ve got the big beautiful deal that’s moving along, and I think we’re going to have it taken care of.” He added:
      A very important element that we’re working on now, more important than anything with the border in good shape, is the fact that we want to get, and very importantly, the big beautiful new deal. If we get that done, that’s the biggest thing … And I think we’re going to get it done. We have great Republican support. If the Democrats blocked it, you’d have a 60% tax increase. I don’t think that’s going to happen. We have great support from Republicans. …
      The next period of time, I think, my biggest focus will be on Congress, the deal that we’re working on. That would be the biggest bill in the history of our country in terms of tax cuts and regulation cuts, and other things. More

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      in US Politics

      Michigan autoworkers wary of Trump’s tariffs: ‘Playing poker with people’s lives’

      by

      The General Motors Flint Assembly plant is a hulking symbol of American auto industry might, a 5m-sq-ft factory stretching as far as the eye can see down Van Slyke Road, and it hums: three shifts almost daily crank out the Silverado truck, the automaker’s most popular product.The plant weathered decades of industrial disinvestment in Flint, a blue-collar city of about 80,000 in mid-Michigan, the nation’s auto capital. Flint Assembly remains an economic cornerstone of a Rust belt region filled with working-class swing voters who helped propel Donald Trump to his second term.The president did well here in part because he promised an industrial revival that will regenerate towns like Flint. On the campaign trail he promised tariffs would achieve this goal. This week the tariff war kicked into a higher gear. The reviews are mixed.Autoworkers, small business owners and residents here say tariffs could help Flint, but many aren’t comforted by what they characterized as Trump’s haphazard approach, higher prices on everyday goods and the prospect of middle-income folks becoming “collateral damage”.“Trump is playing poker, but he’s playing poker with people’s lives at this point,” said Chad Fabbro, financial secretary of United Auto Workers (UAW) Local 538 in Flint. Even the union is a house divided. The UAW president, Shawn Fain, supports tariffs, but Fabbro said many of the 5,000-strong rank and file at Flint Assembly see them as “bullshit”.Onshoring industry is a good idea, if well planned, Fabbro added, but an abrupt, full-scale tariff war is “not good for anyone because middle America is going to suffer”.Before Trump partly pulled back on Wednesday, his unprecedented trade war enacted at least 10% tariffs on nearly every country in the world last week, while hitting China, Taiwan and Vietnam with much higher rates. The war with China has escalated.There’s little disagreement about whether the tariffs would cause prices to increase for everyday goods like clothing, electronics and groceries – some estimate it could cost the average US household $3,800.In Flint, the debate seems to be: “Is the president’s political and economic gamble worth it?”The president’s supporters say “yes”, and have pushed variations of a message: any economic pain will be worth the benefits of a restructured world economy. Among them is Brian Pannebecker, a retired Ford employee who started Auto Workers for Trump.“It’s going to cause a little short-term pain, but we’re going to have to endure it for six months or a year, however long it takes,” he said last week. “The workers of this country have been enduring pain for decades as they closed plants down.”But among small business owners in downtown Flint, there’s some doubt about the idea of more pain in one of the nation’s poorest big cities – about 35% live in poverty.“The person who said that must be coming from a place of privilege because it is obvious that they’re going to be OK for the next year or so, but I think a lot of people are not in the same boat, so we have to be mindful of that,” Rebekah Hills, co-owner of Hills’ Cheese, said on Tuesday.Her shop imports about half of its product from countries such as the Netherlands, France and England – the cost of those products would go up 10% under Trump’s latest plan, or more if he changes his mind. “It really sucks because it’s small businesses that suffer the most,” Hills added.Frustration with stubbornly elevated prices – especially among foods – was largely behind a relatively strong Trump showing in 2024 in Genesee county, where Flint is located. He had lost to Biden and Hillary Clinton here by about 10% in the two previous elections, but closed the gap to 4% last year. Just north, in Saginaw county, also part of Michigan’s auto industry heartland, the president edged out Kamala Harris.Democrats in Michigan, some of whom are fiercely critical of free trade agreements, are calibrating their messaging with these things in mind. Among those who support tariffs is US representative Debbie Dingell, whose district near Detroit is home to many rank-and-file autoworkers.“I think tariffs are a tool in the toolbox so that we are competing on a level playing field with China, who subsidizes production, owns the companies and doesn’t pay a decent wage,” Dingell recently told WDET. “But it can’t be done chaotically.”Trump’s approach was damaging the economy, she said, but she also noted that 90% of the nation’s pharmaceuticals are imported, and onshoring that kind of production was a good idea. But, Dingell added, “you can’t do it overnight”.On Wednesday, just after Trump pulled back on most tariffs, the conservative-leaning Michigan political analyst Bill Ballenger said he wasn’t surprised by the abrupt announcement. The tariff rollout wasn’t going well for Republicans in Michigan or nationally, he said. It was more “too much, too soon” from the administration.“The public understands the tariffs and they get his overall goal and mission, but the way he’s implementing them seems incoherent,” Ballenger said. However, what that may mean in 19 months when the next elections happen is anyone’s guess, he added.skip past newsletter promotionafter newsletter promotionWill Flint be OK?Alan Jackson, a retiree from an auto supplier, echoed the president’s line. “Why does China and everyone else get to take advantage of us? Why do they get to screw us? I’m glad someone is standing up to that.”Jackson dismissed the fears of higher prices and economic damage. “People will be fine – it’s worth it,” he added.But polls showed a major drop in Trump’s approval rating, and in downtown Flint people are worried.The Flint farmers’ market, in a repurposed newspaper printing press building, is a local economic hub where a half-million people annually shop for everything from locally grown produce to local jerky.But many here partly rely on imports. Tony Vu, a restaurateur and leader in the local food system, is about to reopen his Vietnamese restaurant, MaMang. The uncertainty is generating fear of supply chain shortages, Vu said: “It seems like deja vu, but with no end in sight.”The tariffs especially take a toll on south-east Asian, Latino and other chefs of color importing goods that can’t be produced here – avocados don’t grow in Flint, Vu noted, and Michigan’s growing season is only five months long. Imports are essential.A case of fish sauce, a staple of Vietnamese cuisine, went from about $82 to $100 just on the speculation that tariffs were increasing, highlighting another problem – some companies use disruptions to the economy as an excuse to raise prices, even if they don’t need to.“It’s going to take an industry that already operates on thin margins and is really hard, and it’s going to create more pressure,” Vu said. “If businesses are not quick enough to adapt, then it’s going to be a death blow.”At d’Vine Wines, with shelves full of bottles from France and Italy, manager Aaron Larson said on Tuesday he was not totally sure what to make of the tariffs yet, but he doesn’t trust Trump. Fabbro, of the UAW, pointed to massive increases in Canadian aluminum prices that were a threat to Michigan’s robust craft brewery industry. Meanwhile, his neighbors where he lives in rural Vassar, a few miles north of Flint, grow soybeans they sell to China.About 40% of US soybean exports go to China, which just hit them with an 84% tariff on all US goods (later raised to 125%). They’re scared, Fabbro said.‘That’s how capitalism works’Auto Workers for Trump’s Pannebecker said that corporations should “absorb” some increased costs, and added that the unions are trying to have it both ways – they want higher wages but they want cars to be affordable. Something might have to give, he said.“The market will settle itself out because that’s how capitalism works,” he said.The president’s supporters trust his judgment.“He’s a shrewd businessman, right? That’s why people vote for him, so I say let’s give it a chance, but if the cost of everything goes up then maybe he has to pull back at some point,” said Russ, an autoworker at the farmers’ market who would only give his first name.At the UAW local hall across from the Flint Assembly plant, Fabbro isn’t convinced, and fears layoffs. “It’ll only be a few years? OK, don’t feed your kids for a few years. Sell your boat and home and everything you’ve worked for because you’re willing to be a bargaining chip,” he said. More

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      Labour: changes to EV rules will have ‘negligible’ impact on UK emissions

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      Labour’s changes to electric vehicle (EV) rules in response to Donald Trump’s tariffs will have a negligible impact on emissions, the transport secretary has said.Keir Starmer has confirmed plans to boost manufacturers, including reinstating the 2030 ban on the sale of new petrol and diesel cars.But regulations around manufacturing targets on electric cars and vans will also be altered, to help companies in the transition, and new hybrids will be on the market for a further five years.Heidi Alexander said the taxes on imports announced by the US president last week, which spurred reciprocal action by some affected countries, “are bad news for the global economy, because it’s bad for global demand, it’s bad for prices and it’s bad for consumers”.Speaking on BBC Breakfast about the impact on carbon emissions of the government’s changes to electric vehicle rules, she said: “The changes we are making have been very carefully calibrated so as not to have a big impact upon the carbon emissions savings that are baked into this policy. In fact, the impact on carbon emissions as a result of these changes is negligible.”Under the measures, luxury supercar companies such as Aston Martin and McLaren will be allowed to keep producing petrol cars beyond 2030 because they manufacture only a small number of vehicles a year. New hybrids and plug-in hybrid cars will be allowed to be sold until 2035. Petrol and diesel vans will be able to be sold until 2035, as well as all hybrid models.Alexander said the government had “struck the right balance” between protecting British businesses and cutting carbon emissions.Asked whether the retention of a 2030 target for the phasing out of all pure petrol and diesel cars would restrict free markets at a time when the car industry was on its knees, she said: “It is an opportunity for the car industry to remain at the cutting edge of the transition to EVs, but it’s right that we’re pragmatic.“It’s right that we are looking at how we can be flexible in the way in which car manufacturers make this transition, because we want cheaper EVs to be available for consumers. We want people to be able to benefit from those lower running costs as well.“And so it’s important that, as a government, we do everything that we can – not only to support British businesses and manufacturing to grow the economy, but also to cut those carbon emissions, and I think we’ve struck the right balance in the package that we’re announcing today.”Asked on BBC Radio 4’s Today programme if Starmer was prepared to use the relationship he has built with Trump to ask him to change course, she said: “Obviously when the prime minister has discussions internationally with allies he will be honest about what is in the best interests of the British people.”Challenged that the EV measures were planned before the announcement of the tariffs and were a tweak to policy rather than dramatic change, she told Today: “These are significant changes to the car industry. You are right to say we started the consultation on Christmas Eve and that we closed the consultation in the middle of February.”skip past newsletter promotionafter newsletter promotionShe said Trump’s imposition of tariffs meant the UK government had to look at its EV plans with “renewed urgency”.The Green party MP Siân Berry said: “The government is wrong to apply the brakes on the sale of EV cars. This is just the latest in a series of boosts the Labour government has given fossil fuel industries. We’ve also seen the green light being given to airport expansion and a new road tunnel under the Thames. This suggests Labour is weakening its climate commitments, and its health-related policy goals because all these moves will have a detrimental impact on air quality.“Slowing down the move away from fossil-fuelled transport makes no economic sense either, since green sectors of the economy are growing three times faster than the overall UK economy.”Colin Walker, the head of transport at the Energy and Climate Intelligence Unit, said: “In weakening the mandate elsewhere by extending flexibilities and allowing the sale of standard hybrids between 2030 and 2035, the government risks reducing the competition it has stimulated between manufacturers, meaning prices for families seeking an EV might not fall as fast, and sales could slow.“The growth of the secondhand EV market, where most of us buy our cars, would in turn be stunted, leaving millions of families stuck in petrol and hybrid cars paying a petrol premium of hundreds, and even thousands, of pounds a year.” More

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      Tesla investors brace for global sales data amid consumer backlash over Elon Musk

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      Tesla investors are bracing for evidence of declining global demand this week as the electric carmaker battles headwinds including a consumer backlash against its chief executive, Elon Musk.On 2 April, the US company will release data for first-quarter deliveries – a proxy for sales – that is expected to show a dip on the same period last year. The figures follow global protests on Saturday against Musk and Tesla, targeting the carmaker’s showrooms.Analysts have been lowering their forecasts amid evidence that Musk’s senior role in the Trump administration has damaged the Tesla brand.Dan Ives, managing director at the US financial firm Wedbush Securities and a self-avowed Tesla “core bull”, forecast deliveries to come in at between 355,000 and 360,000, a fall of 7% on the same period last year and down from initial predictions across Wall Street of 400,000.View image in fullscreenIves, who recently warned investors that Tesla was facing a “brand tornado crisis moment”, said 30% of the anticipated decline was due to brand damage associated with Musk and his involvement in the so-called department of government efficiency (Doge). The advisory body has targeted federal agencies with cost-cutting policies and redundancies.Other issues affecting Tesla’s figures during the first three months of the year include consumers waiting for an update to the top-selling Model Y. The US is Tesla’s biggest market.In a note to investors last week, Ives said that while “much of this softness is related to customers waiting for Model Y refreshes along with a lower-cost new model set to be launched by the summer … the anti-Musk and brand issues are clearly at play”.Matthias Schmidt, a Berlin-based electric car analyst, said Musk was “hitting his liberal consumer demographic exactly where it hurts”.“He has become the core toxic issue behind the disintegration of the brand and should step-aside before it explodes like one of his rockets,” added Schmidt, who is expecting first-quarter deliveries in western Europe to come in at just under 70,000 for the first time since the end of 2022.skip past newsletter promotionafter newsletter promotionView image in fullscreenAmong Tesla owners, the Democrat owner group has fallen from 40% during the Biden administration to 29% now, with the Republican group averaging about 30% since 2021, according to market research firm Strategic Vision.Last week, Donald Trump announced a 25% tariff on cars from overseas, with Tesla also expecting to be affected despite making its cars for the US market in America. The company imports some parts for its US-made cars. Last week, Musk wrote on X, his social media platform, that Tesla is “not unscathed” by tariffs. He added: “The tariff impact on Tesla is still significant.”The tariffs threaten to plunge the global auto industry into “pure chaos”, according to Ives. “Every auto maker in the world will have to raise prices in some form selling into the US and the supply chain logistics of this tariff announcement heard around the world is hard to even put our arms around at this moment,” he said in a note to investors last week.However, on Saturday, Trump said he “couldn’t care less” if carmakers raise prices in response to the tariffs on foreign-made vehicles. Indeed, the US president told NBC News that he hoped foreign carmakers raise prices as it means “people are gonna buy American-made cars. We have plenty.” More

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      US allies worldwide decry Trump’s car tariffs and threaten retaliation

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      Governments from Tokyo to Berlin and Ottawa to Paris have voiced sharp criticism of Donald Trump’s sweeping tariffs on car imports, with several of the US’s staunchest long-term allies threatening retaliatory action.Trump announced on Wednesday that he would impose a 25% tariff on cars and car parts shipped to the US from 3 April in a move experts have predicted is likely to depress production, drive up prices and fuel a global trade war.The US imported almost $475bn (£367bn) worth of cars last year, mostly from Mexico, Japan, South Korea, Canada and Germany. European carmakers alone sold more than 750,000 vehicles to American drivers.France’s president, Emmanuel Macron, said on Thursday he had told his US counterpart that tariffs were not a good idea. They “disrupt value chains, create an inflationary effect and destroy jobs. So it’s not good for the US or European economies,” he said.Paris would work with the European Commission on a response intended to get Trump to reconsider, he said. Officials in Berlin also stressed that the commission would defend free trade as the foundation of the EU’s prosperity.Germany’s chancellor, Olaf Scholz, bluntly described Trump’s decision as wrong, and said Washington appeared to have “chosen a path at whose end lie only losers, since tariffs and isolation hurt prosperity, for everyone”.France’s finance minister, Eric Lombard, called the US president’s plan “very bad news” and said the EU would be forced to raise its own tariffs. His German counterpart, Robert Habeck, promised a “firm EU response”. “We will not take this lying down,” he said.Poland’s prime minister, Donald Tusk, said Europe would approach the US with common sense but “not on our knees”. Good transatlantic relations are “a strategic matter” and must survive more than one prime minister and one president, he said.The European Commission president, Ursula von der Leyen, described the move as “bad for businesses, worse for consumers” because “tariffs are taxes”. She said the bloc would continue to seek negotiated solutions while protecting its economic interests.The British prime minister, Keir Starmer, said the tariffs were “very concerning” and that his government would be “pragmatic and clear-eyed” in response. The UK “does not want a trade war, but it’s important we keep all options on the table”, he said.His Canadian counterpart, Mark Carney, said on social media: “We will get through this crisis, and we will build a stronger, more resilient economy.”Carney later told a press conference that his administration would wait until next week to respond to the new US threat of tariffs, and that nothing was off the table regarding possible countermeasures.He would, he added, speak to provincial premiers and business leaders on Friday to discuss a coordinated response.“It doesn’t make sense when there’s a series of US initiatives that are going to come in relatively rapid succession to respond to each of them. We’re going to know a lot more in a week, and we will respond then,” he said.One option for Canada is to impose excise duties on exports of oil, potash and other commodities. “Nothing is off the table to defend our workers and our country,” said Carney, who added that the old economic and security relationship between Canada and the US was over.South Korea said it would put in place a full emergency response to Trump’s proposed measures by April.China’s foreign ministry said the US approach violated World Trade Organization rules and was “not conducive to solving its own problems”. Its spokesperson, Guo Jiakun, said: “No country’s development and prosperity are achieved by imposing tariffs.”The Japanese prime minister, Shigeru Ishiba, said Tokyo was putting “all options on the table”. Japan “makes the largest amount of investment to the US, so we wonder if it makes sense for [Washington] to apply uniform tariffs to all countries”, he said.Reuters and Agence-France Presse contributed to this report More

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      Tesla tells US government Trump trade war could ‘harm’ EV companies

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      Elon Musk’s Tesla has warned that Donald Trump’s trade war could expose the electric carmaker to retaliatory tariffs that would also impact other automotive manufacturers in the US.In an unsigned letter to Jamieson Greer, the US trade representative, Tesla said that it “supports fair trade” but that the US administration should ensure that it did not “inadvertently harm US companies”.Tesla said in the letter: “As a US manufacturer and exporter, Tesla encourages the Office of the United States Trade Representative (USTR) to consider the downstream impacts of certain proposed actions taken to address unfair trade practices.”The company, led by Musk, a close ally of Trump who is leading efforts to downsize the federal government, said it wanted to avoid a similar impact to previous trade disputes which resulted in increased tariffs on electric vehicles imported into countries targeted by the US.Tesla said: “US exporters are inherently exposed to disproportionate impacts when other countries respond to US trade actions. The assessment undertaken by USTR of potential actions to rectify unfair trade should also take into account exports from the United States.“For example, past trade actions by the United States have resulted in immediate reactions by the targeted countries, including increased tariffs on electric vehicles imported into those countries.”Trump has imposed significant tariffs that will affect vehicles and parts made around the world.The EU and Canada have announced large-scale retaliations for tariffs on steel and aluminium imports into the US, while the UK has so far held off on announcing any countermeasures.Tesla’s share price has fallen by more than a third over the last month over concerns about a potential buyer backlash against Musk, who has shown support for Germany’s far-right Alternative für Deutschland party, theatrically brandished a chainsaw at a conservative conference, and accused Keir Starmer and other senior politicians of covering up a scandal over grooming gangs.skip past newsletter promotionafter newsletter promotionThis week Trump said said he was buying a “brand new Tesla” and blamed “radical left lunatics” for “illegally” boycotting the EV company – a day after Tesla’s worst share price fall in nearly five years.Tesla said: “As USTR continues to evaluate possible trade actions to rectify unfair trade practices, consideration should also be given to the timeline of implementation. US companies will benefit from a phased approach that enables them to prepare accordingly and ensure appropriate supply chain and compliance measures are taken.” More

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      ‘Major brand worries’: Just how toxic is Elon Musk for Tesla?

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      Globally renowned brands would not, ordinarily, want to be associated with Germany’s far-right opposition. But Tesla, one of the world’s biggest corporate names, does not have a conventional chief executive.After Elon Musk backed Alternative für Deutschland (AfD) – calling the party Germany’s “only hope” – voters are considering an alternative to Tesla. Data released on Thursday showed that registrations of the company’s electric cars in Germany fell 76% to 1,429 last month. Overall, electric vehicle registrations rose by 31%.Tesla’s biggest shareholder, who has voiced support for rightwing leaders around the world, is now a de facto US cabinet member under Donald Trump’s administration.Tesla’s valuation has become inextricably tied to Musk’s politics. After he spent $288m backing Trump’s 2024 election victory, Tesla’s valuation passed $1tn. Yet Musk’s political involvements – unprecedented for the head of a company that size – could also be having a negative effect.On Friday, a group of Extinction Rebellion activists occupied a Tesla store in central Milan. Activists chained themselves to the cars’ tyres, and others glued themselves to the windows along with the slogans “Make millionaires pay again” and “Ecology for all, no ecofascism”.Analysts are openly wondering if Musk is causing lasting damage to a brand he has made synonymous with electric cars and, by extension, liberal aspirations to tackle climate change.Tesla was approached for comment.Tesla was the world’s biggest producer of battery electric cars in 2024, but sales dropped to 1.79m, the first time the company has endured a sales decline since 2011 after years of rapid growth that made it the world’s most valuable carmaker.The manufacturer said in January that global sales would grow during 2025, and Wall Street analysts expect Tesla to sell more than 2m cars this year. But even those forecasts would hardly represent a blazing return to form. As recently as October, Musk said he expected 20% to 30% annual sales growth, implying as many as 2.3m cars sold.“Customer retention will be key in 2025 as customers may begin to look for an ‘Alternative for Tesla’,” said Matthias Schmidt, a Berlin-based electric car analyst.View image in fullscreenOther analysts are more optimistic. Dan Ives, of Wedbush Securities, a US financial firm, is a longstanding Tesla supporter. Ives believes the company’s share price could rise from its current level of about $280 to hit $550. However, he acknowledged the negative perception created by Musk’s partnership with Trump and his work on the so-called department of government efficiency (Doge) – an issue he described as the “elephant in the room” for the brand.Calling them “major brand worries for Tesla”, he added in a note to investors that the direct impact on sales should be relatively small. “We estimate less than 5% of Tesla sales globally are at risk from these issues despite the global draconian narrative for Musk.”Ives said that Tesla was on the verge of making a new, cheaper vehicle – costing less than $35,000 – and would “own” the autonomous vehicle market, factors that would help push Tesla to a valuation of more than $2tn.Nonetheless there are clear signs in the US, Tesla’s biggest market, that would-be buyers are wavering, according to Strategic Vision, a market research company. Its new vehicle experience study tracks the buying preferences of up to 250,000 car buyers in the US, and it shows a sharp decline in regard for Tesla since Musk bought Twitter (now X) in 2022.Shortly before the multibillionaire bought the social media platform, 22% of new vehicle buyers would have “definitely” considered buying a Tesla. By the end of 2024 it was just under 8%. The proportion who would not consider buying a Tesla has risen from 39% over the same period to 63%.According to Strategic Vision, approximately half of non-Tesla EV buyers identify as Democrat or liberal, compared with about 20% identifying as Republican or conservative. Among Tesla owners, the Democrat owner group has fallen from 40% during the Biden administration to 29% now, with the Republican group averaging about 30% since 2021.“Democrats, the majority party of EV owners, are now actively rejecting Tesla and choosing other options,” said Alexander Edwards, president of Strategic Vision.Meanwhile, global protests against Musk and Tesla are intensifying. In America, there have been demonstrations outside dozens of Tesla showrooms, while in the UK a guerrilla poster campaign – “0 to 1939 in 3 seconds” – has emphasised Musk’s fascist-style salute at an inauguration rally. In Germany, he was recently caricatured on a carnival float as “Napo-Elon”.Ross Gerber, chief executive of the US investment management firm Gerber Kawasaki, which holds shares in Tesla, said Musk had given people an outlet to express their disdain for his politics.skip past newsletter promotionafter newsletter promotionHe said: “He has left himself open to a direct way for people to attack him if they don’t like his politics. It’s ironic because the vehicles were made for liberals who care about the environment and it has become a symbol of the conservative movement.”Tesla is valued at about $847bn – still more than the next 10 carmakers combined. Few investment banks have included any effect from Musk in their work trying to accurately value Tesla. Still, there are further reports of falling sales. In Australia, February sales were down about 72% compared with the same month in 2024, according to data released this week.View image in fullscreenSeveral analysts have raised concerns that the current valuation is much too high. JP Morgan is among the most pessimistic of the investment banks, suggesting that Tesla’s share price could fall as low as $135 – or a valuation closer to $400bn. Musk is the largest shareholder in Tesla, a key contributor to his status as the world’s wealthiest person.“Tesla shares continue to strike us as having become completely divorced from the fundamentals,” wrote JP Morgan in January, pointing out that 2025 profit expectations were down 70% since 2022. The share price has more than doubled since then – something that would not usually happen when investors expect lower profits.Analysts at UBS, a Swiss investment bank, concur, saying that Tesla’s valuation “continues to confound us”, with big risks in its efforts to make money from self-driving cars or humanoid robots.While sales declined steeply in January in several markets, several analysts have warned against relying on numbers for a single month. Schmidt said: “Some consumers are likely holding back purchase decisions and waiting for the updated Model Y which arrives this month. The big question though is, are these just the die-hard Tesla enthusiasts which remain in line while other potential consumers jump ship?”There have also been positive signs elsewhere. UK Tesla sales fell in January, but bounced back by a fifth in February to leave sales up year-on-year for 2025 so far. In the US there were also signs of a recovery after a fall in January, with preliminary data for February indicating rebound sales of about 42,000 cars, up 14% year-on-year, according to Wards Intelligence.But the UK sales figures also highlight another concern for investors: that Tesla’s lead on rivals could be narrowing as a flood of new models arrive. Tesla’s electric market share for the first two months of 2025 was 11%, down from 14% in 2024, according to New Automotive, a research group.Ben Nelmes, New Automotive’s chief executive, said: “The impact of Elon Musk’s political views on Tesla’s sales may have been overstated, but Tesla is gradually losing its position as the dominant EV seller in the UK as other carmakers bring more up-to-date and cheaper models to market.”In China Tesla is under big pressure from a slew of cheaper competitors, most notably BYD. In Tesla’s second-biggest market, sales of its China-made EVs dropped 49% year-on-year in February, to the lowest level since August 2022.Edward Niedermeyer, author of Ludicrous – a 2019 book about Tesla which focuses on Musk’s habit of making bold claims about the business that don’t stack up – argues that the prospect for new business like robotaxis and robots are distant. “The unique moment that we’re in now is the business has peaked,” he said.The worry for Tesla investors is whether Musk has turned that peak into a cliff-edge.Additional reporting Lorenzo Tondo More