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Trump trade deal shows how vital China’s rare-earth metals are to US defense firms
by Evelyn Reynolds 11 June 2025, 19:56
The draft trade agreement with China announced by Donald Trump on Wednesday would ease concerns from top US military suppliers about rare-earth metals and magnets that, if cut off permanently, could hobble production of everything from smart bombs to fighter jets to submarines and other weapons in the US arsenal.While the deal has not yet been finalised, it may reassure major defense companies such as Lockheed Martin, the largest US user of samarium – a rare-earth metal used in military-grade magnets – whose supply is entirely controlled by China.The issue of China’s export restrictions on the metals and magnets was so important that Trump specifically mentioned them as part of his announcement of a broader trade agreement with China that would reduce US tariffs to 55% and Chinese tariffs to 10%.“Our deal with China is done, subject to final approval with President Xi and me,” Trump wrote. “Full magnets, and any necessary rare earths, will be supplied, up front, by China.”Rare earths are crucial to the production of F-35 fighter jets, Virginia- and Columbia-class nuclear-powered submarines, Tomahawk missiles, radar systems, unmanned aerial vehicles and smart bombs, according to Gracelin Baskaran of the Center for Strategic and International Studies, a thinktank.China in April imposed export restrictions on seven rare earth elements during the tough negotiations over Trump’s new tariffs. China also targeted the aerospace and defense industries by limiting 15 US entities with ties to the industry from receiving dual-use goods.“The United States is already on the back foot when it comes to manufacturing these defense technologies,” Baskaran said in an interview published by CSIS. “China is rapidly expanding its munitions production and acquiring advanced weapons systems and equipment at a pace five to six times faster than the United States. While China is preparing with a wartime mindset, the United States continues to operate under peacetime conditions.”Trump has amassed a team of foreign policy China hawks, including a number who have warned that the US should focus more on the pacing threat posed by China over the coming decades instead of current conflicts in Ukraine or the Middle East.“Even before the latest restrictions, the US defense industrial base struggled with limited capacity and lacked the ability to scale up production to meet defense technology demands,” she continued. “Further bans on critical minerals inputs will only widen the gap, enabling China to strengthen its military capabilities more quickly than the United States.”China and the US had agreed last month in Geneva to pause the implementation of sky-high tariffs that would have delivered a severe economic blow to manufacturers and consumers in the US, as well as exporters in China.But China maintained export licenses on rare-earth metals used by both defense producers and carmakers that threatened to upend global supply chains and imperil production in the US.In particular, China has a stranglehold on the production and export of samarium, a magnet used in combination with cobalt to provide highly durable magnets used to withstand the intense temperatures in military-grade tech. China produces the entire world’s supply of the rare-earth metal.skip past newsletter promotionafter newsletter promotionIn particular, the magnets are important for the production of guided missiles, satellite-guided “smart bombs”, and aircrafts, including fighter jets, according to Apex Magnets, a supplier.Those supplies of weapons have been depleted through deliveries of missiles and other ordnance to Ukraine and to the Israeli military. Pentagon planners and other officials in the administration of Joe Biden, regularly squared off over whether foreign weapons deliveries expose a US vulnerability in case it faced off with a major military power.In order to break the deadlock, secretary of state Marco Rubio also abruptly announced plans to cancel hundreds of thousands of visas for Chinese students in the US. While publicly that was said as a plan to root out Chinese spies in US higher education, Axios reported that the visa ban was also motivated by China’s obstinance on resuming rare earths exports.The breakthrough comes as Trump is planning to display US military prowess at a parade in Washington DC this weekend that has been seen as an attempt to flex American muscle and reinforce the US president’s bonafides as a supporter of the military.Trump in 2019 ordered the Pentagon to find new sources of procuring rare earth minerals, in particular samarium, because the US did not have the capacity to produce them domestically. The initiative was “essential to the national defense”, he said then. More
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Trump’s tariffs have become his Vietnam – and the right is breaking ranks | Sidney Blumenthal
by Evelyn Reynolds 5 June 2025, 12:00
Donald Trump’s trade war has become his quagmire: legal, economic and political. On 28 May, the court of international trade ruled his tariffs exceeded his constitutional authority. Point by point, the decision decimated Trump’s arguments as flimsy and false, implicitly castigated the Republican Congress for abdicating its constitutional responsibility, and reminded other courts, not least the supreme court, of the judicial branch’s obligation to exercise its authority regardless of the blustering of the executive and the fecklessness of the legislative branches.Trump’s tariffs, along with his withdrawal of active support for Ukraine and passivity toward his strongman father figure Vladimir Putin, have broken the western alliance, forcing the west to make its own arrangements with China, and cementing the idea for a generation to come that the United States is an untrustworthy and unstable partner.On the economic front, Trump’s tariffs have already begun to increase inflation, shutter trade, devalue the dollar, and undermine manufacturing. They will soon create shortages of all sorts of goods, ruin small business, and force layoffs that bring about stagflation that has not been seen since the 1970s, which was then the result of an external oil shock, not self-harm. On 3 June, the Organization for Economic Cooperation and Development reported that as a result, principally, of Trump’s tariffs, the US will suffer a decline in the rate of growth from what had been forecast this year. “Lower growth and less trade will hit incomes and slow job growth,” the OECD stated.As a political matter, besides being unpopular, Trump’s tariffs, in combination with his assaults on the institutions of civil and legal society, have drawn out the most intelligent and skillful members of the conservative legal establishment, who themselves have been some of the most crucial players in the rise of the right wing, to man the ramparts against him. These are not the familiar Never Trumpers, but newly engaged and potentially more dangerous foes.While corporate leaders uniformly abhor Trump’s tariffs, they have stifled themselves into a complicit silence on the road to serfdom. But Trump’s new enemies coming from the conservative citadel of the Federalist Society are filing brief after brief in the courts, upholding the law to halt his dictatorial march.Trump naturally cannot help but turn everything he touches into sordid scandal. After announcing his “Liberation Day” tariffs, which tanked the stock market, Trump declared a pause during which he promised he would sign, seal and deliver 90 deals in 90 days. But he has announced only a deal with Britain. Most of the deals Trump has seen have been with the Trump Organization. Under the shadow of a threatened 46% tariff, Vietnam, after a visit from Eric Trump, granted a $1bn Trump Tower in Ho Chi Minh City and a $1.5bn golf club and resort near Hanoi with “two championship golf courses”, relative crumbs alongside the billions the Trump family has accrued from across the Middle East, not to mention the $400m jet that his team solicited from Qatar to serve as his palatial Air Force One.Standing before the white marble plinth of the Unknown Soldier at Arlington national cemetery on Memorial Day, 26 May, after reading prepared remarks about “our honored dead” to a gathering of Gold Star families, Donald Trump fell into a reverie about his divine destiny. “I have everything,” he said. He spoke about the parade of troops and tanks he has ordered for 14 June, his 79th birthday, which happens to coincide with the date that George Washington created the Continental army. “Amazing the way things work out. God did that, I believe that too. God did it.”Two days after Trump had mused about his election by heaven to possess “everything”, the court of international trade issued what the Wall Street Journal called the “ruling heard ‘round the world … proving again that America doesn’t have a king who can rule by decree’”.The US court of appeals for DC then temporarily stayed the ruling while it considered the case. But the trade court’s decision to deny Trump his toys was comprehensive, blistering and devastating. Now, Trump’s trade war is his Vietnam, a quagmire of his own.Trump’s entire program dances on the head of his tariffs. By fiat, without congressional approval, he has willfully invoked the International Emergency Economic Powers Act as cover for his helter-skelter gyrations to reshape the global economy according to his desire for domination of the Earth. He has further explained that his tariffs are necessary to pay for the vast tax cuts for the wealthy in his budget bill that would increase deficits. He claims that the tariffs will replace the revenue raised from income tax, fixed in the constitution by the 16th amendment, ratified in 1913. Without tariffs on the scope he projects his dream house of cards collapses. With his tariffs even as his stated minimal goal he blows up the world.The court of international trade, a court based on specialized expertise, whose judges have lifetime appointments, flatly stated that Trump’s use of the emergency law under which he claimed his authority does “not permit the president to impose tariffs in response to balance-of-payments deficits”, “exceeds any tariff authority delegated to the president”, “would create an unconstitutional delegation of power”, and is “contrary to law”.Having ruled that Trump’s worldwide tariffs are illegal, the court deemed his “trafficking tariffs” imposed on Canada and Mexico also lawless. Trump has asserted them on a contrived national security rationale of preventing the importation of fentanyl. But the court stated that Trump’s “use of tariffs as leverage … is impermissible not because it is unwise or ineffective but because … [the federal law] does not allow it”. Thus, the court concluded in both instances, “the worldwide and retaliatory tariff orders exceed any authority granted to the president … to regulate importation by means of tariffs. The trafficking tariffs fail because they do not deal with the threats set forth in those orders.”The trade court’s ruling suddenly exposed the extent to which Trump’s relationship with the conservative legal movement is unraveling. The fissure runs deeper and wider than name-calling. Trump’s trade war has morphed into a widespread civil war within the right with the core of the conservative legal establishment resisting him.Trump’s venomous social media posts against Leonard Leo, the Federalist Society co- chairman and rightwing powerhouse, reads like a memoir of an ingenue taken advantage of in the big city by strangers. “I was new to Washington,” Trump explained, “and it was suggested that I use The Federalist Society as a recommending source on Judges. I did so, openly and freely, but then realized that they were under the thumb of a real ‘sleazebag’ named Leonard Leo, a bad person who, in his own way, probably hates America, and obviously has his own separate ambitions.”Slowly, Trump has come to the realization that this Leonard Leo “openly brags how he controls Judges, and even Justices of the United States Supreme Court”. Trump was revealing that Leo understood his power beyond his influence over Trump on appointments. “Backroom ‘hustlers’ must not be allowed to destroy our Nation!” He is victim of a con, Donald Chump.“Talk about friendly fire,” editorialized the Wall Street Journal. But there was more to the story than Trump revealed, which the Journal’s editorial page, Leonard Leo’s friend in court as it were, happily provided. The judge on the trade court whom Trump appointed and blames on Leo, Timothy Reif, was in fact, according to the Journal, “recommended to the White House by Robert Lighthizer, who was Mr Trump’s first-term trade representative. Mr Leo had nothing to do with it.” Perhaps Trump is suffering from memory loss.Trump bellowed that the reason for the trade court’s ruling must be “purely a hatred of ‘TRUMP’? What other reason could it be?” “Well,” suggested the Journal, “how about the law and the constitution?” After Leo had been the one to give Trump the names of the three justices he appointed to the supreme court who made possible the infamous decision granting him “absolute immunity” for “official acts” that enabled his evasion of prosecution during the 2024 campaign, this was a thick and rich ragu.The Journal also rushed to Leo’s side with a podcast featuring John Yoo, who as deputy assistant attorney general under George W Bush and the author of the notorious Torture Memos. Yoo said it was “truly outrageous to accuse Leonard Leo, one of the stalwarts or the conservative movement, of being something like a traitor”. Yoo stated: “Why would President Trump turn his back on one of his greatest, if not his greatest achievements from the first term, appointing three justices?” Indeed, Yoo was right that Leo had dictated Trump’s choices, exactly as Trump confessed. What neither disclosed is that it was the price Trump paid for a political armistice with the mighty rightwing Koch political operation. Some deal, some art.And Yoo added in an admission of truth-telling about the supreme court’s invention of absolute presidential immunity for “official acts”: “If it weren’t for Federalist Society judges, he would be in jail right now because it was the Roberts court that said former presidents just can’t be prosecuted for crimes.”But to Trump, the betrayal is cutting. The trade court’s ruling against him echoed the amicus brief filed by a bipartisan group of legal eminences that included leading conservative lights. There was Steven Calabresi, professor at Northwestern Law School, the co-founder and co-chairman of the Federalist Society, and the chief theorist of the conservative doctrine of the “unitary executive”. There was Michael W McConnell, former federal judge, Stanford law professor, and a chief defender of religious right lawsuits. There was Michael Mukasey, former federal judge and George W Bush’s attorney general. There was Peter Wallison, President Reagan’s White House counsel. They all signed the brief stating: “The president’s tariff proclamations bypass the constitutional framework that lends legitimacy and predictability to American lawmaking.”The breaking of ranks on the right is not isolated. Other well-known members of the conservative legal establishment have done more than submit an amicus brief. They have become counsels to some of the most important institutions in Trump’s crosshairs – Harvard University, National Public Radio and the WilmerHale law firm.William Burck and Robert Hur are co-counsels representing Harvard in its suit against the Trump administration order denying its enrollment of international students unless the university submits to his draconian control over its academic processes.Burck, former deputy White House counsel to George W Bush and a current member of the board of directors of the Fox Corporation, is the head of “one of a few top US firms that seemed well placed not only to avoid Donald Trump’s wrath but also benefit from connections to the president’s inner circle”, according to the Financial Times. He was hired to be an ethics adviser to the Trump Organization – that is, until he chose to represent Harvard. Trump ranted against him: “Harvard is a threat to Democracy, with a lawyer, who represents me, who should therefore be forced to resign, immediately, or be fired. He’s not that good, anyway, and I hope that my very big and beautiful company, now run by my sons, gets rid of him ASAP!” Eric Trump, who had previously called Burck “one of the nation’s finest and most respected lawyers”, wielded the executioner’s axe for his father.Hur had been appointed the US attorney for Maryland by Trump and served as the special counsel investigating President Biden’s alleged mishandling of classified documents stored in boxes in his home’s garage. Hur filed no charges, but said of Biden that he was “a sympathetic, well-meaning, elderly man with a poor memory”.In Harvard’s suit against the Trump administration, Burck and Hur state that its actions against the university are “a blatant violation of the first amendment, the due process clause, and the Administrative Procedure Act. It is the latest act by the government in clear retaliation for Harvard exercising its first amendment rights to reject the government’s demands to control Harvard’s governance, curriculum, and the ‘ideology’ of its faculty and students. The government’s actions are unlawful for other equally clear and pernicious reasons.”For its representation in its suit against the Trump administration, which seeks to slash its funding, National Public Radio has hired Miguel Estrada, a star of the conservative legal firmament, whose nomination to the federal bench by George W Bush was blocked by Senate Democrats in 2002. According to the NPR complaint, Trump’s action “violates the expressed will of Congress and the first amendment’s bedrock guarantees of freedom of speech, freedom of the press, and freedom of association, and also threatens the existence of a public radio system that millions of Americans across the country rely on for vital news and information”.When Trump issued executive orders against big law firms that had somehow offended him, coercing their surrender to his whim, one of those firms, WilmerHale, subject to such an order for having had as a senior partner Robert Mueller, the former FBI director who headed the investigation into Russian influence in the 2016 election, did not cave. Instead, it hired Paul Clement, George W Bush’s solicitor general, who has argued on behalf of many of the most controversial conservative causes before the supreme court, including against the Defense of Marriage Act and against the Affordable Care Act, or Obamacare.Citing the example of John Adams, who defended British soldiers in the Boston Massacre, Clement argued against the Trump administration that “British monarchs’ practice of punishing attorneys ‘whose greatest crime was to dare to defend unpopular causes’ – which threatened to reduce lawyers to ‘parrots of the views of whatever group wields governmental power at the moment’ – helped inspire the Bill of Rights”.Then, Ed Whelan, who holds the Antonin Scalia chair in constitutional studies at the rightwing Ethics and Public Policy Center, and is a close surrogate for Leonard Leo, savaged Trump’s nomination of Emil Bove, who was his personal attorney in the New York hush-money trial and whom he had appointed as deputy attorney general, to be a judge on the US court of appeals for the third circuit.Bove ordered corruption charges dropped against the New York City mayor, Eric Adams, which a federal judge said “smacks of a bargain: dismissal of the indictment in exchange for immigration policy concessions”. The US attorney for Manhattan, Danielle Sassoon, a conservative Republican, resigned in protest, stating that the deal “amounted to a quid pro quo” and that Bove had ordered her not to take notes during meetings. Seven members of the public integrity section of the justice department also resigned.Whelan, writing in the conservative magazine National Review, called Bove Trump’s “henchman”, decried his “bullying mishandling” of the Adams case, and suggested he might be put on the federal bench to “position him well for the next supreme court vacancy. A rosier possibility is that Bove is tired of being Stephen Miller’s errand boy.”Now, Trump is worried about what conservatives on the supreme court might rule when presented with the trade court’s decision. He rails in private against Justice Amy Coney Barrett, whom he appointed to the supreme court, for her unexpected occasional independence. The Journal, with the inside track, writes that “the White House boasts it will win at the supreme court, but our reading of the trade court’s opinion suggests the opposite. Mr Trump’s three court appointees are likely to invoke the major-questions precedent” – which would uphold the trade court and force Trump either to bring his policy before the Congress or drop it.Trump is enraged that his betrayers from the Federalist Society have claimed roles in the resistance. He has no loyalty to anyone or thing, but demands personal fealty, certainly now above any ideological litmus tests. The only ideological tests are to be imposed on universities. Trump has learned his lesson. In his insistence on obedient judges, Trump is returning to his first principle as he was taught in the beginning by his mob attorney Roy Cohn, who said: “Don’t tell me what the law is, tell me who the judge is.”
Sidney Blumenthal, a former senior adviser to President Bill Clinton and Hillary Clinton, has published three books of a projected five-volume political life of Abraham Lincoln: A Self-Made Man, Wrestling With His Angel and All the Powers of Earth. He is a Guardian US columnist and co-host of The Court of History podcast More
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‘Saying Trump is dangerous is not enough’: Bernie Sanders on Biden, billionaires – and why the Democrats failed
by Evelyn Reynolds 4 June 2025, 04:00
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‘I think what Trumpism is about, is an understanding that the system in America is not working for working-class people,” says Bernie Sanders, sitting in the Guardian’s offices in London. “In a phoney, hypocritical way, Trump has tapped into that. His quote-unquote ‘solutions’ will only make a bad situation worse.”View image in fullscreenIn person, Sanders’ 83 years read differently than in photograph, perhaps because of how conversational he is. His voice is magnetic – a Brooklyn accent that feels both warm and tough. “But what I have been aware of, and I’ve talked about it for years, is that in America, the very richest people are doing phenomenally well, while 60% of our people live paycheck to paycheck.”Later, he will say the same thing to an audience in London – only with more emphasis and passion. “Sixty per cent. Six-zero. Do you know what paycheck to paycheck means?” It’s exhilarating to hear Sanders speak to a crowd: his zeal is reflected back in their faces, his moral clarity is such a relief, set against the cynicism and resignation of most of the Democratic party’s opposition to Trump and his administration. Class war is as old as time, but it’s a peculiarity of this age that you rarely hear a politician name it. “I do,” he tells me. “There is a class war going on. The people on top are waging that war.”It’s a look at what could have been. Sanders ran, of course, to be the Democratic presidential candidate in 2016, and again in 2020. The first time, there was a real sense, in the US and abroad, that something incredible might happen: that someone with “almost no name recognition,” he says, a senator from the small state of Vermont, might successfully challenge Hillary Clinton, whom the party had already anointed. We all know how that worked out. Was it the greatest disappointment of his political life? “Well, you’re too busy to feel things,” he says. “You’re just working very hard.”What is absolutely unequivocal is his criticism of the Democrats. The party, he thinks, lacks any real progressive promise. “What they say is, ‘The status quo is working pretty good, and we will tinker around the edges’, and that is not a message that resonates with working people”. He refuses to indulge in any personal ill-will towards Joe Biden or Kamala Harris. The most he’ll voice is a weary resignation about 2020, when his campaign “won the first three states, primary states, in terms of popular votes. Then the Democratic establishment made sure the other candidates dropped out, and they rallied around Joe Biden. You know, that’s the world that we live in. We are taking on not just the Republican leadership, we are taking on a Democratic establishment which is tied to elements of corporate America.”During the 2024 election, he “worked very hard to see that Kamala Harris was elected. I was all over the country and was one of her major surrogates. We begged our campaign to start talking about the needs of working people. But their consultants and the money people behind them thought of another strategy, showing that she was more conservative, that she worked with people like Liz Cheney, worked with Republicans, had billionaires going out and saying that she’s wonderful. They thought that was the right approach. I did not think that was the approach, and I was public about that.” He pauses, and not for effect: it’s hard to relive November 2024. “But my voice did not carry,” he says.Sanders started his political life in 1981, when he was elected mayor of Burlington, Vermont. His brother, Larry, is 90 and lives in Oxfordshire. He stood as a Green candidate in David Cameron’s old parliamentary seat in 2016. In a speech that year, supporting Sanders as the Democratic nominee, Larry gave a brief portrait of their parents. “Eli Sanders and Dorothy Wexford Sanders. They did not have easy lives, and they died young,” he said. Dorothy was born in New York, to Jewish immigrant parents fleeing Russian pogroms. Eli arrived in the US in 1921, most of his family remaining in what is now Poland and what was then Austrian Galicia, to be “wiped out by Hitler,” Sanders has said in the past. Eli worried constantly about providing for his family and both he and Dorothy were political, Larry said in the speech: “They loved the New Deal of Franklin D Roosevelt, and would be especially proud that Bernard is renewing that vision.”View image in fullscreenSanders’ charge to the Democrats now is twofold. “Their weakness is, I think, that their credibility is now quite low. And they don’t have much of a message for working people, other than to say Trump is dangerous. I think that’s just not enough.” He point blank refuses to get into Trump’s administration – its excesses, surprises, non-surprises, without first walking through everything that was already wrong with the US. “What the Democrats have to absolutely make clear is this: we’re going to take on the billionaire class. They’re going to start paying their fair share of taxes. We’re going to have healthcare for all people as a human right. We’re going to have a strong childcare system that every American can afford. We’re going to make public colleges and universities tuition-free. We’re going to create millions of jobs transforming our energy system away from fossil fuel. We’re going to build housing – boy, housing is like it is here, just a huge crisis. We’re going to build millions of units of low-income and affordable housing. Do Democrats say that? No.”That Sanders will not be drawn on every new Trump calumny, instead focusing on an economic reality that’s been worsening for decades, does help him keep on course. And it definitely doesn’t stop him giving Trump both barrels. “We don’t usually have presidents suing the media, threatening the media if they write bad stories about them. We don’t usually have presidents threatening to impeach judges. We don’t have presidents suing law firms. You add all that together, it is a movement for authoritarianism.” Is it worse than he predicted? I was thinking specifically about the extrajudicial detentions and deportations, students dragged off campus and held for weeks, perfectly legal migrants sent to El Salvador, when they weren’t even from there. “First time around, Trump was not as well organised. They’ve had four years to get their act together, so to speak. And that’s what this Project 2025 document was about.”Project 2025 was a document published by rightwing thinktank the Heritage Foundation in 2024, offering a terrifying vision for a second Trump term. An outright proposal to dismantle the US government, it was a roadmap to crackdown on immigration, LGBTQ+ rights, abortion rights – as well as being against action on the climate crisis and against vaccines. If it looked like a blueprint for The Handmaid’s Tale and The Road combined, none of the alarm last year could ever have encompassed the reality that would come. Among many other things, the Trump administration would go on to deport people without due process, and then ignore a supreme court ruling that an 18th-century wartime declaration about “alien enemies” was not a proper legal instrument.I ask a question about who funds the Heritage Foundation – as it keeps all donations secret, which raises questions about whose interests Project 2025 is really serving. His reply is impatient: “It doesn’t matter who it is they have. There’s no lack of well-paid, right-wing consultants and intellectuals who can move this country to an oligarchic authoritarian society.” His tone is clear – stop getting lost in detail, stop looking for hidden connections, stop messing around and start fighting.“One of the frightening aspects of what’s going on is the degree to which the establishment-type folks have caved in, and so quickly,” he says. “That was much less the case, during Trump’s first term.” He mentions Jeff Bezos, “who one had assumed was kind of a moderate Democrat”, losing his editorial board because they were going to endorse Kamala Harris. “Same thing in the Los Angeles Times. When you have ABC agreeing to a settlement with Trump; the bogus lawsuit against CBS that Paramount are negotiating right now. When you have major, billion-dollar law firms saying, ‘OK, we plead guilty to having clients who went to court against you and your friends, that was a terrible crime, we’re going to give you millions of dollars.’ Harvard has buckled up a little bit and appears not to be caving in, but a lot of universities have. None of this was the case eight years ago. They are creating the overall mentality that it will be dangerous to be strongly critical of Donald Trump.”View image in fullscreenIn other areas, money is talking so loudly in politics that it’s all you can hear. Sanders has used Gaza as an example when he says that politicians are afraid to speak out on Israel’s actions in case Super Pacs – which can put forward unlimited amounts of money for a candidate – will penalise them at the next election. Today, he says it’s not just Gaza, but a host of other issues. “If you say, ‘Do you really think it’s a good idea to cut Medicaid and give tax breaks to billionaires? Do you really think that climate change is a hoax?” there will be a number, not a majority, but a number of Republicans who would say: ‘No. But if I stand up and vote ‘no’, the next day, Elon Musk would say, “All right, you are going to be primaried [a candidate will be fielded against you], and Trump will support your opponent. I will put unlimited sums of money to elect your opponent.”’ Good luck to you.’”While that pattern is undoubtedly visible across many issues, the example of Gaza is particularly stark – with groups such as Aipac, funded by pro-Israel billionaires, putting tens of millions of dollars against congressional candidates, mainly Democrats, that it did not deem to be sufficiently supportive of Israel in the run-up to 2024. As the atrocities in Gaza leave many in civil society dumbfounded, what is the long game here, I ask. “That’s a difficult question, and I don’t know the answer. I will tell you that the United States has had a long-term relationship with Israel, and there are many people who have intellectually chosen not to understand that Netanyahu does not represent the Israel of 20 years ago. The moderate democratic society is now controlled by right-wing racist extremists who have done, and are doing today, absolutely horrific things to the Palestinian people in violation of American law and international law. They refuse to recognise that.” In Dublin, he was heckled for not using the word genocide, and some US progressives were dismayed, two years ago, when he didn’t call for an immediate ceasefire. He speaks out now, choosing his words carefully; he’s not on the fence.Since the end of March, Sanders and Alexandria Ocasio-Cortez (he always calls her that, never AOC), have been holding campaign rallies all over the US from Arizona to Utah. They are deliberately not skipping the diehard Democratic states – but have been more surprised by the numbers they’ve been getting in red states. “This is not a campaign. This is a political rally, and I think the numbers are almost unprecedented. Large numbers of people, including in conservative areas, do not want to see oligarchy in America, do not want to see authoritarianism, do not want to see massive tax breaks for the rich and cuts to the programmes that working-class people desperately need.” Sure, he and AOC sometimes disagree, “my wife and I disagree on issues! But Alexandria, I think, comes pretty much from where I come from.”View image in fullscreenHe has hope for the future, too. There are a couple of dozen people in the house Progressive Caucus – a 98-strong group of the more left-wing members of the Democratic party in Congress – that are “strong progressives”, he says. “Alexandria is maybe one of the most articulate and charismatic, but there are others there as well.” Ilhan Omar, Ayanna Pressley and Rashida Tlaib to name a few.Sanders is clear that he and Ocasio-Cortez are not trying to start a third political party. Instead, they’re “trying to build a grassroots movement of working-class people and young people … If you’re seeing candidates now arising who are progressive, that’s down to a lot of the work that we are doing for the 2026 midterms.”Sanders in person is very much as he is in his book, It’s OK to Be Angry About Capitalism, in which he lays out some principles, among them, “wars and excessive military budgets are not good”; “carbon emissions are not good”; “racism, sexism, homophobia and xenophobia are not good”; “exploiting workers is not good”. It’s really the sight of him igniting a crowd that’s so hopeful, which holds for him, too – he keeps his optimism because he has the “fortune of being able to go around the country and speak to large numbers of wonderful people”. The message doesn’t change, though – it doesn’t have to be new: it just has to be true.As he leaves to make his way upstairs to the photography studio, he strides on ahead, his wife Jane O’Meara Sanders, an activist herself, making small talk with me in his wake. It’s not that he’s performing vigour in an era where politicians’ ages are relentlessly analysed. It’s just his manner – all this urgent change should have happened yesterday. More
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Four queer business owners on Pride under Trump: ‘Our joy is resistance’
by Evelyn Reynolds 31 May 2025, 11:00
As the first Pride month under Donald Trump’s second presidency approaches, LGBTQ+ businesses are stepping up, evolving quickly to meet the community’s growing concerns.Since day one, Trump has signed executive orders targeting the LGBTQ+ community, particularly the trans and gender non-conforming population. He aims to eradicate “gender ideology” by enforcing a two-sex binary determined at conception, reinstating and expanding the military ban on transgender service members, and directing agencies to prevent gender-affirming care for youth.This leaves the LGBTQ+ community feeling apprehensive about losing further rights and protections.The Guardian spoke with four queer business owners, and one message was clear: queer businesses are here to support the community now more than ever and spread joy as resistance.Uptick in weddingsBusiness is surging for New England-based wedding photographer Lindsey “Lensy” Michelle as queer couples decide to take their vows, fearing the Trump administration will go after marriage equality. Michelle says she’s only getting louder and even “more queer”.“I’m not changing anything about my business, no matter what the government says,” Michelle said. “We elected a president who doesn’t support this type of marriage, or at the very least doesn’t care enough to try to protect it.”View image in fullscreenShe is seeing queer couples accelerate their wedding plans in fear of Trump and the supreme court overturning 2015’s ruling on Obergefell v Hodges, which recognized same-sex marriages. Michelle currently offers accessible pricing for queer couples.“[Pride] is a good time to remind wedding vendors to stop advertising to only brides or using very gendered language, or assuming that every couple has a bride and a groom,” she said. “Performative allyship is really dangerous, and for businesses June can be a time of greater reflection on how they can be more clear and inclusive.”According to Michelle, there is an emerging trend for queer couples to distinguish legal marriage from a wedding ceremony. Many of her clients explained that they are registering their marriage now out of an “abundance of caution” because they don’t feel like “their rights will be protected”, she said.“It’s a privilege when you’re able to celebrate instead of protest and queerness is always rebellious,” she said. “You protest when things aren’t welcoming to begin with and you celebrate when you’re able to but I think also you have to do both. Otherwise, it becomes quite sad.”After noticing an uptick in demand, she created an LGBTQ+ wedding directory of more than 130 businesses. She didn’t stop there: Michelle then teamed up with five other vendors to throw a queer mass wedding ball for six lucky couples on 5 January.“We don’t really feel like celebrating. We feel like crying and we feel helpless and all we’re trying to do is get married,” Michelle said. “We just wanted to throw a party. This event is coming out of the time of fear and uncertainty, but that’s always been the queer story.”View image in fullscreenThe team behind the wedding ball are “open to the idea” of hosting a similar event in other states, particularly in Republican-led ones.Nine states are urging the supreme court to reverse Obergefell v Hodges.“We’re scared, and I don’t put that lightly,” Michelle said.We will surviveIn Decatur, Georgia, Charis Books & More aims to alleviate the fears the queer and trans community are experiencing.“My job is to support young people and those with children and to say: ‘Look, we have spent most of our history as queer and trans people as outlaws and we can be outlaws again. But, we will survive, we are very creative and we’ll figure out how to get through this time,’” said Errol Anderson, the executive director of Charis Books & More’s non-profit arm, Charis Circle.View image in fullscreenCharis Circle hosts events like story time and offers support groups, especially for the trans community. They have four support groups for trans and gender non-conforming individuals across ages. Georgians in less welcoming parts of the state see Charis “as a beacon”, according to Anderson.“We’re seeing these particularly aggressive attacks on trans people for the past couple years now being mirrored in national legislation and it’s very scary,” Anderson said. “A lot of people right now feel very hopeless, but we need to remember we do actually have a lot of power to speak up for what we believe in and our voices do matter.”Joy as resistanceNew York’s 34-year-old queer bar Henrietta Hudson is returning to its roots as a political activist space, especially as Pride approaches.View image in fullscreen“Acutely since the inauguration, but really since the election, there’s a different tone to how people come to [the bar]. It feels more necessary,” Hutch Hutchinson said. “People are craving to be around other queer people and to be in a safer space. We have to buckle down for the family we have here.”Hutchinson, who uses he/they pronouns, is the director of operations at Henrietta Hudson. He said Pride is already in the air as the bar has seen a surge in energy and purpose.“[Pride] often does feel like a protest and we call our Pride as occupying Hudson, a very definitive statement on us taking up space in the West Village,” he said. “The general feeling at Henrietta Hudson is that we’ve just become more political. This place has been through so many eras of queer resistance and uprising. We are relighting that fire.”They lend their bar to vetted non-profits and local grassroots organizations for events giving back to the LGBTQ+ community, such as a Pride week fundraiser benefiting the BTFA Collective for Black trans femme artists and the annual NYC Dyke March.Hutchinson explained that the bar will always take explicit stances to protect and support the community. It posted a message on their Instagram, calling out the “immoral”, “dangerous” and “unlawful” attacks by Trump’s administration.“We talk, as a [staff] about, what does resistance look like? Sure, resistance is showing up to rallies and supporting the ACLU, learning your rights, marching and protesting,” he added. “But it’s so important for us to dance and to see each other smile and laugh and sing. Our joy is resistance.”Being visible is more importantDown in St Louis, Missouri, art collective Swan Meadow plans to be a safe third space for the community where members can “simply exist as who they are”. Partners Fern and Mellody Meadow, who both use they/them pronouns, emptied their savings to open the collective last fall after a close presidential election.View image in fullscreen“We are always trying to craft events and spaces for people to come to and to sit with complicated emotions and thoughts and to talk to people about them,” Fern said. “It can be isolating and so frustrating to know that things are wrong that are outside of our control, but when you come together as a community, so much positive change can happen.”They open their workshop multiple times a month for free community-focused events such as “crafternoons”. Some events act as fundraisers for local mutual aid organizations such as the Community Closet, which distributes free household, cleaning and hygiene items. The collective also offers branding, photography and printing services.The Meadows envision Swan Meadow taking on a larger role in political advocacy for the community.“As pushback becomes more prevalent and discrimination becomes more normal, being visible is more important than ever,” Mellody said. “I’m tired of living through history.” More
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‘Going to increase prices on everybody’: US energy department workers sound alarm over cuts
by Evelyn Reynolds 31 May 2025, 11:00
Workers at the US Department of Energy say cuts and deregulations are undermining the ability for the department to function and will result in significant energy cost hikes for consumers.Donald Trump’s “big, beautiful bill” will raise energy costs for American households by as much as 7% in 2035 due to the repeal of energy tax credits and could put significant investment and energy innovation at risk, according to a report by the Rhodium Group. The non-partisan thinktank Energy Innovation calculated the average US household will see its utility bills rise by over $230 by 2035 as a result of cuts to renewable energy investments.The rises are being driven in part by cuts to the agency. Trump has proposed cutting the department’s budget by $19.3bn.More than 3,500 employees at the Department of Energy have reportedly taken delayed resignation buyout offers, though the Department of Energy declined to provide final numbers or an estimate on the departures. Some 43% of its workforce of nearly 16,000 employees was deemed “non-essential”, not including 555 probationary employees that were fired earlier this year.The US Department of Energy announced on 12 May plans to eliminate 47 regulations, comprising mostly of energy efficiency standards for appliances, claiming the cuts would save nearly $11bn, but did not provide any analysis or data for how it came to that savings estimate.The Department of Energy estimated in December 2024 that stronger energy efficiency appliance standards would save consumers about $1trn over the next three decades. An analysis by the Appliance Standards Awareness Project found the energy efficiency cuts would add $54bn in utility energy costs.“The impact of a lot of what I was working on in the energy efficiency and electrification space is aimed at saving folks money. The business case around energy efficiency has been made for the past 30 years. Reducing the cost of energy, any of those fixed costs for folks, can really be life changing, freeing up their budget for other necessities,” said a US Department of Energy employee who requested to remain anonymous for fear of retaliation as they have accepted a resignation buyout offer.“Changing that has so many effects down the line,” they added. “We already know things are getting more expensive. Budgets are getting tighter for many households in the state, and also territories and tribes. The work that I did was not only with states, but also with us, territories and tribes as well, and a lot of these communities, every dollar matters, and that’s not unique to red or blue areas or anything like that.”Another employee at the US Department of Energy said morale at the department sank after attacks on civil servants by the so-called “department of government efficiency” (Doge) and the chaos and uncertainty of the firings of probationary employees, contractors, and employees resigning, leaving a drain on resources, talent and knowledge throughout the agency.“Appointees came in with a clear agenda to dismantle programs and shrink staff,” they said. “It is very clear they don’t care about the work or the workforce. Many were looking to score points with Doge and made quick cuts without concerns for long-term damage, such as the chaos and lost knowledge caused by the delayed resignation program.”A former senior Department of Energy official who requested to remain anonymous explained the totality of the cuts to personnel, grants, regulations and budget for the department are “going to increase prices on everybody”.“As much as the election was on affordability, there’s a reason that Trump is doing incredibly poorly on affordability and inflation. I think what’s happening at the Department of Energy is just such a great example of a whole variety of efforts that near-term, medium-term and longer-term are going to raise prices on consumers, on companies, and make us less competitive internationally,” they said.“The efficiency regulations end up saving consumers an awful lot of money, certainly as a percentage of their budget. I don’t think there is any truth whatsoever, if you talk to anyone who’s ever done analysis and rigor on this, that somehow not doing these regulations is actually saving money. It’s the exact opposite if you think of the whole system.”They also criticized the fact that many of these actions will result in lawsuits and legal changes, and the negative impacts of research and development cuts to renewable energy.They cited the demand for energy to power emerging AI and data centers and energy consumption is expected to rise significantly and wind, solar, and battery energy storage are relatively quick and cheap to construct.About 96% of added US energy capacity to the grid in 2024 was from carbon-free sources.“If you stop any research for next generation solar or battery technology, or wind or geothermal or other pieces, what you’re effectively doing is compromising a huge range of technology that has the potential to reduce costs, and of course, has the potential to reduce greenhouse gas emissions. But even if you don’t care about that, these are the technologies that could reduce costs for consumers,” they added. “The chaos with the tariffs, with the regulations, with the not fully thought through and analyzed nature of this is just causing a lot of confusion, a lot of incoherence, a lot of inconsistency and uncertainty. And that’s just not good for businesses, let alone consumers.”A spokesperson for the US Department of Energy refuted claims of costs due to eliminating regulations.“President Trump and Secretary Wright pledged to restore commonsense to our regulatory policies and lower costs for American consumers – that is exactly what these deregulatory actions do. To argue consumers benefit from being forced to purchase more-expensive, time-intensive products that are often less energy efficient because they don’t do the job right the first time is total nonsense,” they said in an email. “DOE’s approach recognizes that consumer choice and market-driven innovation, not bureaucratic mandates, lead to better-performing and more affordable consumer products. DOE’s deregulatory actions empower consumers to choose products that meet their needs and budgets, while also supporting American manufacturers.” More
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Want to see where Trump’s tariffs are leading US business? Look at Georgia
by Evelyn Reynolds 31 May 2025, 11:00
If you want a bellwether to measure the broad impact of Donald Trump’s tariffs on the economy, look south, to Georgia. The political swing state has a $900bn economy – somewhere between the GDPs of Taiwan and Switzerland.The hospitality industry is facing an existential crisis. Wine merchants wonder aloud if they will survive the year. But others, like those in industrial manufacturing, will carefully argue that well-positioned businesses will profit. Some say they’re insulated from international competition by the nature of their industry. Others, like the movie industry, are simply confused by the proposals that have been raised, and are looking for entirely different answers. So far, it’s a mixed bag.In a state Trump won by two points and with yet another pivotal US Senate race in a year, Republican margins are thinner than those of the retailers with their business on the line here.Carson Demmond, a wine distributor in Georgia, finds herself looking at seaborne cargo notices for her wine shipments from France with the nervousness of a sports gambler watching football games. She’s betting on her orders of French champagne and bordeaux getting to a port in Savannah before tariffs restart.It’s a risk. Demmond put a hold on orders after Trump enacted sky-high tariffs on European goods last month. When he paused the tariffs days later, Demmond began to assess what she might chance on restarting some purchases.But her wine isn’t showing up on a ship in France yet, she said.“I don’t see them booked on ships yet, and normally they would already be booked, and I would already have sail dates,” she said. “I see a lot of my orders now collecting in consolidation warehouses in Europe, which says to me that there’s something wrong.”Demmond suspects that shipping is suffering from a bullwhip-like effect from uncertainty around tariffs and the economy: so many buyers are trying to get ahead of tariffs that there aren’t enough shipping containers to go around to meet the short-term demand.“It means that as strategic as I’m trying to be with regards to timing my orders so I don’t get hit with lots of tariff bills at the same time, I feel like now all of that is out of my control,” Demmond said. “I never want to face a situation where I have too many orders that all sail and land at the same time, and then getting hit with really large tariff bills in one fell swoop.”US courts, meanwhile, are vacillating on the legality of Trump’s tariffs. The stock market rallied this week after the US court of international trade (CIT) ruled that Trump’s use of extraordinary powers under the International Emergency Economic Powers Act (IEEPA) exceeded his authority. Less than a day later, an appellate court lifted the lower court’s block on the tariffs while the case plays out.Unpredictability is driving volatility, and volatility is poisonous to businesses built for stable markets and stable prices.Georgia’s ports have not yet witnessed the massive slowdown occurring on the west coast. Shipping at the port of Los Angeles is down by a third as buyers cancel orders from China. But Savannah – the third-busiest port in the United States behind the Los Angeles area and New York/New Jersey ports – just came off its busiest month.“We’re still watching how this goes,” said Tom Boyd, the chief communications officer for Georgia’s ports authority. “We still are having 30 to 32 vessels a week. Most everybody has been front loading to avoid any supply chain disruptions. Volumes are strong, but we expect volumes to decrease.”Savannah’s port sees more ships from the Indian subcontinent, Vietnam and Europe than from China, because it’s a few days shorter from India through the Suez Canal than across the Pacific, he said.Demmond, who runs the wine distributor Rive Gauche, watches the reports up and down the eastern seaboard carefully because many of the ships from Europe dock in New Jersey before coming south, she said. About 60% of her business is in French wine. Shipping volumes are making logistical planning difficult, she said. Amazon has hired away warehouse workers, which slows down unloading and can leave her wine on a ship for longer periods.She likened the logistical disruption today to the effects of Covid-19 shutdowns.“There’s going to be a crazy ripple effect through multiple industries,” Demmond said. “In normal times, I could count on approximately eight weeks from the time I send my purchase order to the winery for them to prepare it, to the time that it arrives at port. Now, you know, I have no idea, because everything is different and unpredictable. I have a hard time quoting arrival times to people.”Demmond is a wine merchant, not a political economist. Predicting the course of trade negotiations has become a business hazard. She and other Georgia wine distributors met with the representative Hank Johnson last month to describe the effect of a 200% tariff on European wine imports on their business.Many restaurants derive half of their revenue or more from alcohol sales. If the cost of spirits triples, many people will change their dining habits. Domestic supply can’t make up the difference, she said. A decision to expand a domestic winery made today wouldn’t produce a bottle of wine for three to five years. By then, Congress or a new president may have rescinded the tariffs, blowing up the investment.If it were just European liquor, a conservative might dismiss the disruption as something affecting well-heeled wine snobs. But the problem has wide applicability, Demmond said.“There are no American coffee growers. There are no coffee farms here,” she said. “That’s an impossibility. All you’re doing is increasing prices. You’re not helping create jobs by taxing that stuff. Some of it is impossible to re-shore.”Georgia calls itself the Peach state, but California has long eclipsed Georgia’s peach production. Instead, the most widely exported Georgia peach has been the one moviegoers see at the end of the credits: Georgia had $2.6bn in film and television production in 2023.Georgia’s tax incentive program is among the most aggressive in the US and the reason Georgia has become a rival to Hollywood. It’s an economic development strategy that has unusually bipartisan support in a state famously split down the middle politically. Studios have invested billions in Georgia over the last 10 years.Between Disney’s Marvel movies such as The Avengers, Tyler Perry’s studios in Atlanta and Netflix productions including Stranger Things, Georgia has overtaken Hollywood as a center for cinematic production. In any given year, studios spend $2-$4bn making movies in Georgia, according to figures from the Georgia Film Office.But the tax-incentive-chasing film industry is fickle. Acres of shiny new studio space springing up across the state have not prevented the movie business from slowing down a bit over the last couple of years. With the release of Thunderbolts*, for the first time in more than a decade no Marvel movies are slated for production in Georgia. Disney has shifted to studios in England and Australia.So when Trump said he wanted a 100% tariff on foreign-produced films, Georgia Entertainment CEO Randy Davidson did a double take.“It kind of took people by surprise,” Davidson said. “You know, on the one hand, you have people that have been struggling with their jobs here already, thinking initially that was going to be like a quick-fix answer to get production back here. … And then there was the other side: how is politicizing movies into the tariff discussion beneficial? Because it doesn’t make sense.”Trump’s tariff talk emerged after a meeting at the White House with actor Jon Voight and independent film producer Steven Paul. Voight proposed to support the domestic film industry with federal tax credits and international cooperative production agreements, not with a tariff, said Duncan Crabtree-Ireland, Sag-Aftra’s chief negotiator and national executive director.“You know, we haven’t had a federal tax incentive in the United States,” Crabtree-Ireland said. “It’s quite common in a lot of major production centers around the world now, and I think it’s definitely time for us to have that conversation.”Films are largely a digital service today. Setting aside the logistical difficulty of assessing a tariff on intellectual property, doing so would violate American law.Crabtree-Ireland suggested that Trump’s rhetoric might be an aggressive negotiating ploy, starting out with an extreme stand that moves a compromise point to a more favorable position. But a workable plan would have more nuance, Crabtree-Ireland said: “Which is what I think ultimately would be under consideration.”Crabtree-Ireland said he wouldn’t expect a federal tax incentive to supplant state tax credits. But any international agreement to level the incentive playing field would have to address it.“What Georgia can hope for is that this topic does not get entangled in a charged-up political atmosphere where it will have a shot to be an actual bipartisan effort and initiative that would actually be good for the country,” Davidson said.As Georgia companies try to manage inventory before a tariff deadline, warehouse space is only one issue. Capital is another.“Most companies can’t afford to get two years’ worth of inventory to manage their business while we figure out what’s going to happen, right? So, they’re going to buy a little time, but not a lot,” said Carl Campbell, an executive director for business recruitment at the Dalton chamber of commerce.Not that there’s a warehouse to be rented in Dalton right now. The north Georgia mill town of about 34,000 in far-right representative Marjorie Taylor Greene’s district is a longstanding center of the carpet-and-flooring industry in the US. But it has had competition for warehouse and industrial space in recent years from solar panel manufacturers, spurred by state tax incentives, the Infrastructure Investment and Jobs Act and federal incentives for the semiconductor industry.“Everything’s full, you know.” Campbell said. “We’ve got companies that are going to grow manufacturing capacity. They’re currently deciding where to do it, and so the tariffs may swing it to the US. Sometimes that’s swinging that our way. Sometimes it’s making that decision happen sooner rather than later, and sometimes it makes it not happen at all.”Campbell notes that both Democrats and Republicans can lay claim to Dalton’s industrial successes. Qcells, a solar panel manufacturer owned by the Korean conglomerate Hanwha, is an example, he said.“When Trump was in office the first time, he implemented tariffs on goods from China,” Campbell said. “They suddenly got very, very serious about doing panel production and assembly in the US. And they had to do that quickly and as fast as possible.” The same tariff regime began imposing costs on imported flooring from Asia, which boosted Dalton’s flooring manufacturers.Three years later, the Inflation Reduction Act – enacted under Joe Biden – added incentives for clean energy manufacturing, and Georgia’s two Democratic senators, Jon Ossoff and Raphael Warnock, worked to make sure some of the benefit landed in Georgia. About $23bn has been invested in clean energy production in the state since the act passed. Qcells used those incentives to expand in 2023, and employs more than 2,000 people today.“Tariffs are sometimes a tale of winners and losers. And so, yeah, we won a little bit on that,” Campbell said. “And of course, some of our companies got hurt, and they lost a little bit on that.”The problem, again, is uncertainty, he said.“It can create an opportunity for folks like me and companies like ours, yeah, but it can also crush business plans – if you’re reliant on foreign goods and suddenly you just took a 25% hit on your cost. It’s made some people sit on their hands and not move forward on some efforts that we were thinking would happen soon. It’s made some other folks, you know, escalate plans and have to do them faster.” More
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Trump announces 50% steel tariffs and hails ‘blockbuster’ deal with Japan
by Evelyn Reynolds 31 May 2025, 01:39
Donald Trump announced on Friday he was doubling foreign tariffs on steel imports to 50%, as the president celebrated a “blockbuster” agreement for Japan-based Nippon Steel to invest in US Steel during a rally in Pennsylvania.Surrounded by men in orange hardhats at a US Steel plant in West Mifflin, Trump unveiled the new levies, declaring that the dramatic rate increase would “even further secure the steel industry in the United States”.“Nobody is going to get around that,” Trump said, of the tariff rate hike from what was 25%.In a social media post after the conclusion of his remarks, Trump announced that the 50% tariffs on steel would also apply to imported aluminum and would take effect on 4 June.“This will be yet another BIG jolt of great news for our wonderful steel and aluminum workers,” he declared in the post.It was not immediately clear how the announcement would affect the trade deal negotiated earlier this month that saw tariffs on UK steel and aluminum reduced to zero.Trump’s Friday tariffs announcement came a day after a federal appeals court temporarily allowed his tariffs to remain in effect staying a decision by a US trade court that blocked the president from imposing the duties.The trade court ruling, however, does not impede the president’s ability to unilaterally raise tariffs on steel imports, an authority granted under a national security provision called section 232 of the Trade Expansion Act.The precise relationship between Nippon Steel and US Steel raised questions on Friday, even for some of Trump’s allies. The president has thrown his full support behind the deal, months after insisting he was “totally against” a $14.9bn bid by Nippon Steel for its US rival.The United Steelworkers union had previously urged Trump to reject Nippon’s bid, dismissing the Japanese firm’s commitments to invest in the US as “flashy promises” and claiming it was “simply seeking to undercut our domestic industry from the inside”.Speaking to steelworkers, Trump insisted that US Steel would “stay an American company” after what he is now calling “a partnership” with Nippon.But US Steel’s website links to a standalone site with the combined branding of the two companies that features a statement describing the transaction as “US Steel’s agreement to be acquired by NSC”.On the website touting the deal, there were also multiple references to “Nippon Steel’s acquisition of US Steel” and the “potential sale of US Steel to Nippon Steel”.Even pro-Trump commentators on Fox expressed bafflement over the exact nature of the deal.“This is being described as ‘a partnership’, this deal between Nippon and US Steel – but then it’s described as an acquisition on the US Steel website,” Fox host Laura Ingraham pointed out on her Friday night show.She asked a guest from another pro-Trump outlet, Breitbart: “Who owns the majority stake in this company?”When the guest said he did not know, Ingraham suggested Trump might not be aware of the details. “I don’t know if he was fully informed about the terms of the deal. We just don’t know.”Trump’s predecessor, Joe Biden, had blocked Nippon’s acquisition, citing national security concerns, during his final weeks in office.During his remarks at the rally, Trump gloated that the Nippon investment would once again make the American steelmaker “synonymous with greatness”. He said protections were included to “ensure that all steel workers will keep their jobs and all facilities in the United States will remain open and thriving” and said Nippon had committed to maintaining all of US Steel’s currently operating blast furnaces for the next decade.The president also promised that every US steel worker would soon receive a $5,000 bonus – prompting the crowd to start a round of “U-S-A!” chants.Trump told the steelworkers in attendance that there was “a lot of money coming your way”.“We won’t be able to call this section a rust belt any more,” Trump said. “It’ll be a golden belt.”During the event, Trump invited local members of United Steelworkers on to the stage to promote the Nippon deal, which saw its leader break with the union to support it. Praising the president, Jason Zugai, vice-president of Irvin local 2227, said he believed the investments would be “life-changing”.But the powerful United Steelworkers union remained wary.“Our primary concern remains with the impact that this merger of US Steel into a foreign competitor will have on national security, our members and the communities where we live and work,” United Steelworkers president David McCall said in a statement.“Issuing press releases and making political speeches is easy. Binding commitments are hard.”Trump framed the administration’s drive to boost domestic steel production as “not just a matter of dignity or prosperity or pride” but as “above all, a matter of national security”.He blamed “decades of Washington betrayals and incompetence and stupidity and corruption” for hollowing out the once-dominant American steel industry, as the jobs “melted away, just like butter”.“We don’t want America’s future to be built with shoddy steel from Shanghai. We want it built with the strength and the pride of Pittsburgh,” he said.In his remarks at a US steel plant, Trump also repeated many of the false claims that have become a feature of his rallies including the lie that the 2020 election was stolen from him. He gloated over his 2024 victory and, gesturing toward his ear that was grazed by a would-be assassin’s bullet last year at a rally in Butler, Pennsylvania, said it was proof that a higher power was watching over him.He also called on congressional Republicans to align behind his “one big, beautiful bill,” urging attendees to lobby their representatives and senators to support the measure.Lois Beckett and Callum Jones contributed reporting More
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Google and Home Depot drop Pride Toronto sponsorship amid Trump’s DEI war
by Evelyn Reynolds 30 May 2025, 18:39
In another blow to one of the largest celebrations of LGTBQ+ people in North America, Pride Toronto has unexpectedly lost two more major corporate sponsors, just weeks before the festival in a setback the festival’s organizer says is direct result of Donald Trump’s campaign to eradicate diversity, equity and inclusion (DEI) initiatives in the US.Google and Home Depot both announced their plans to abandon the festival in the form of one-line emails, said Kojo Modeste, the executive director of the Canadian event.Organizers have warned that the loss of sponsors will pose operational challenges for Pride Toronto that attracts 3 million attendees annually. Other organisations, including local trade unions, have stepped in to help make up the shortfall, but Modeste told the Guardian he was deeply worried about the celebration’s future.“Am I going to have to drastically cut what the festival looks like for 2026? This is not the place that I want to be in,” he said.Home Depot told the Guardian it continually reviews its non-profit giving and decided not to contribute this year. Google told the newspaper it would be supporting “Toronto Googlers” marching in the parade and “community moments” from Pride.The sudden exit of Google and Home Depot follows the departure in February of three other prominent sponsors. At the time, Modeste did not name them, but on Friday he revealed that they were Nissan, Adidas and Clorox.Nissan Canada said it was unable to sponsor Pride in Toronto due to a “local decision” that it says was based on a reevaluation of marketing and media activities. Adidas and Clorox have been approached for comment.“These are American companies and they are showing their true colours,” said Modeste. “We thought they were with the community, but clearly, they’re not.”Corporate sponsorship not only goes towards paying staff, but hundreds of local artists and to keep Pride as a free event.Modeste said he grew up in a period before widespread Pride celebrations – and did not want that to be the experience of current younger generations. “I don’t want to be the one to have to make that decision, to take Pride away from the community,” he said.The White House’s condemnation of diversity and inclusion efforts has resulted in corporations shirking away from festivals that they once loudly supported, said Sui Sui, a professor at Toronto Metropolitan University whose research focuses on DEI initiatives.Sui said that the move also signals that commitments large sponsors made in the past were tenuous and motivated not because of genuine support, but because of the perceived profitability of aligning with such causes.The months-long purge of US federal government workers by the Trump administration has resulted in the firings of tens of thousands of people, including those who worked in forwarding diversity and equity initiatives.Sui said that the chill around sponsors for pride events has also affected New York City and Philadelphia. Mastercard, Nissan, Pepsi, Garnier and more major backers have abandoned the New York celebration, while Target and Philadelphia Union exited Philly Pride 365.“Canada is following suit,” she said.For the future, Pride Toronto and other pride events may need to rely more significantly on grassroots efforts to keep events going, she said.“It’s for them to see who truly believes the importance of Pride.” More

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