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    Asia Stocks Rise on Hope for Lower Tariffs After U.S.-China Talks

    Investors were optimistic after American officials touted progress in trade negotiations over the weekend, though details had yet to be released.Stocks in Asia gained on Monday after weekend talks signaled that progress had been made in easing trade tensions between the United States and China.Benchmark indexes in Japan and South Korea edged higher in early trading on Monday morning. Stocks in Hong Kong and Shenzhen in China climbed about 1 percent, while futures pointed to similar gains for the S&P 500 when trading begins in New York.Meetings in Geneva between U.S. and Chinese officials concluded on Sunday with Scott Bessent, the U.S. Treasury secretary, saying that “substantial progress” had been made. China’s vice premier, He Lifeng, called the talks “candid, in-depth and constructive.” Details are expected to be released on Monday, both sides said.The meetings were the first between Washington and Beijing since President Trump ratcheted up tariffs on Chinese imports to 145 percent and China retaliated with its own taxes of 125 percent on U.S. goods. The tariffs are so high as to effectively block much of the trade between the two countries.The escalating trade war has left financial markets uneasy, and the meeting raised investors’ hopes that tariffs could eventually be lowered.Analysts at the financial services firm Wedbush Securities said the talks were a “positive step in the right direction.” They anticipated that an initial agreement, once unveiled during the U.S. day on Monday, would “at a minimum” involve a “much lower level” for tariffs.Economists have warned that the tit-for-tat trade barriers have significantly increased the possibility of an economic downturn. That includes in Asia, where some of the biggest economies, including Japan and South Korea, are heavily reliant on both China and the United States as trade partners.The World Trade Organization has forecast that the continuing division of the global economy into “rival blocs” could cut global gross domestic product by nearly 7 percent over the long run. Earlier this month, Japanese officials slashed their growth forecast for this year by more than half.Last week, China reported that its exports to the United States in April dropped 21 percent from a year earlier. Recession warnings are beginning to emerge in the United States.Heading into the weekend, investors had relatively low expectations for a breakthrough at the talks that would result in a meaningful reduction in tariffs. Many analysts expected the discussions to revolve around determining what each side wanted and how negotiations could move forward.Recently, Mr. Trump has opened the door to lower tariffs. Last week, he suggested that tariffs could come down to 80 percent. Commerce Secretary Howard Lutnick told Fox News that so-called reciprocal tariffs on trade with China may settle near 34 percent. More

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    A plea to the West: help us save America’s democracy | Anonymous

    Donald Trump and his political allies in Washington have undertaken far-sweeping actions to undermine the foundations of American democracy, while simultaneously pursuing policies that erode and disrupt eight decades of trust and cooperation with democratic allies in Europe, North America and Asia.While leaders in these countries grapple with what is happening in Trump’s America, they must now ask themselves a new and critical question of immense relevance – one that has never been asked before in the modern era:“As nations who were helped by America in world war two and who have depended on the United States for our security, do we now have an obligation to reciprocate and help tens of millions of Americans whose liberty is threatened? Should we – can we – do anything to help the American people in their moment of democratic peril?”Yes. I firmly believe that the European Union, the United Kingdom, Canada and Japan have a historic obligation to the American people to do what they can to help us preserve our democracy. An America descending into authoritarianism also poses a threat to the democracies they lead.I have two memories that speak to how foreign democracies should think about what they see happening in the United States of 2025.When my mother passed away, I found a small ceramic teapot in her cupboard with gold lettering on the bottom that read: “For England and Democracy. This teapot was transported to the USA by the Royal Navy.” My mother had purchased it during the early days of the second world war to support Britain and its people. Ordinary Americans such as my mother were doing their part – however small – to support a democratic country besieged by Nazi Germany.During the cold war, I remember hearing American presidents deliver speeches that were highly critical of the Soviet Union. At the end of these remarks, they would sometimes take a moment to directly address “the Russian people”. Our presidents were saying: “We see you as victims of oppression. We know that you are suffering under a cruel regime, and we hope that someday, in some manner, you will be free from the yoke of Soviet communism.” I know that when these messages got through Russian jamming, they were heard and gave some degree of hope to large segments of the Russian population.These two memories tell me that fundamental bonds based on enduring values can exist between governments and peoples who are not citizens of that government. Freedom, democracy and the rule of law can be those values. They also say that in the modern world, ordinary citizens in one nation can take a range of actions to support governments and citizens of another country.Today’s America is a place of fear for many. Americans are afraid that their livelihoods will be destroyed by a president who exercises unconstitutional acts of political retribution against his “enemies”. His targets: universities, law firms, corporations, states, certain agencies of his own government, and any federal employee who dissents in public. The judiciary and the media have been targets of vicious verbal attacks from Trump and his allies in Congress, which are precursors of actual future assaults. Foreign students, permanent residents and immigrants are rounded up and deported using highly questionable methods.European, Canadian and Japanese leaders are having a difficult time adjusting to this new American reality. The muscle memory of 80 years of intense cooperation, and in some cases dependency on the United States, is very difficult to break.I know the questions these leaders must be asking in private: is the United States becoming our adversary and perhaps our enemy? Will we be alone in our battle against the authoritarians in Russia and China? Will Trump and Elon Musk use governmental power and immense personal wealth to undermine our own democracies by encouraging the growth of far-right, anti-democratic forces in our countries? How can we protect ourselves when the wealthiest and most powerful country in the world is in rapid retreat from justice, from economic reality, from science, from policies that protect global health, while it aggressively pursues actions that accelerate dangerous atmospheric warming to the detriment of all?The silence of European, Canadian and Japanese leaders in the face of the US’s democratic crisis is both understandable and deeply disappointing. But make no mistake, their silence is a betrayal of their historic obligation to the American people as well as their commitment to democratic forces the world over. There are at least three difficult steps these leaders should consider.First, they must form common cause with the American people – not our government – and publicly state what they are saying in private. American democracy is in peril from an increasingly lawless government in Washington. They need to acknowledge that if American democracy erodes and dies, democracies the world over will be less safe. For the first time in history, Americans need to hear a message from foreign democratic leaders in support of preserving and sustaining our 249-year-old republic. You owe us at least this if you believe in democracy.skip past newsletter promotionafter newsletter promotionSecond, take steps that begin to isolate the United States in world diplomacy that indicate strong disapproval of Trump’s activities to curtail democracy and his efforts to strengthen ties to authoritarian governments such as Russia. Refuse to visit the United States and make it clear that the US president is not welcome in Europe, Canada and Japan. If the US slips further into authoritarianism or undermines your own democracies, consider suspending the G-7’s yearly meetings and taking further actions to indicate that diplomatic business as usual will not be the norm as the Trump administration pursues an anti-democratic path.Third, move aggressively to act as Trump attacks our great universities and science centers, weakens countless not-for-profit organizations including our national museums, cultural centers and public media, as he moves to destroy US humanitarian relief efforts, as he terminates prior US environmental commitments and repeals laws and regulations designed to slow the climate crisis. Invite Americans engaged in these endeavors to work directly with the people of Europe, Canada and Japan and your like-minded institutions to support these American entities because they are part of our democratic fabric. And they often better your own societies and help people the world over. Establish and encourage the creation of people-to-people initiatives that will bring Europeans, Canadians, Japanese and Americans closer together to carry on what Trump and his allies are either destroying or weakening.I know that taking these actions will be extremely difficult. Trump will respond with verbal assaults and irrational retaliation because his power is unchecked. He and his allies will accuse you of interfering in our domestic affairs. In forming common cause with Americans fighting for our democracy, I deeply regret that you will begin to understand the growing fear that grips all segments of our society, and the retaliation visited every day upon the American people and institutions Trump deems as “enemies”.Defending European, Canadian and Japanese economic interests from Trump’s obsession with tariffs and other harmful actions he may take in the foreign policy arena, though important, does not repay the historic debt that you owe the people of the United States to help us preserve our democracy. I ask you to understand that staying silent as Donald Trump weakens American democracy will not deter him from harming your democratic societies. And your silence can only serve to embolden him in his efforts to erode the democratic standards embedded in the US constitution.

    The writer is a former US diplomat who wishes to remain anonymous More

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    California’s economy surpasses Japan’s as it becomes fourth largest in world

    California’s economy has surpassed Japan’s, making the Golden state the fourth largest economy in the world, governor Gavin Newsom announced on Thursday.The state’s nominal GDP reached $4.1tn, according to data from the International Monetary Fund and the US Bureau of Economic Analysis, edging out Japan’s $4.02tn nominal GDP. California now ranks behind the US at $29.18tn, China at $18.74tn and Germany at $4.65tn.Along with the tech and entertainment industry capitals, the state, which has a population of nearly 40 million people, is the center for US manufacturing output and is the country’s largest agricultural producer.“California isn’t just keeping pace with the world – we’re setting the pace. Our economy is thriving because we invest in people, prioritize sustainability, and believe in the power of innovation,” Newsom said in a statement.The state has outperformed the world’s top economies with a growth rate in 2024 of 6% compared with the US’s 5.3%, China’s 2.6% and Germany’s 2.9%. This week’s new rankings come six years after California surpassed the United Kingdom and became the world’s fifth largest economy.Newsom noted, however, that the Trump administration’s agenda endangers California’s economic interests.“And, while we celebrate this success, we recognize that our progress is threatened by the reckless tariff policies of the current federal administration. California’s economy powers the nation, and it must be protected.”skip past newsletter promotionafter newsletter promotionCalifornia last week became the first state to sue the federal government over Donald Trump’s tariff policies, and has argued that the president’s actions are unlawful and that constitution explicitly grants Congress the power to impose tariffs.“No state is poised to lose more than the state of California,” Newsom said during a press conference announcing the lawsuit. “It’s a serious and sober moment, and I’d be … lying to you if I said it can be quickly undone.”California is a major contributor to economic growth nationally, with the money it sends to the federal government outpacing what it receives in federal funding by $83bn, according to a statement from Newsom’s office.Despite an enormous shortage of affordable housing that has fueled a homelessness crisis in the state, the population has grown in recent years. Meanwhile, last year the state reported its tourism spending had hit an all-time high – though California has seen a drop in some areas.Canadian tourism in California was down 12% in February compared with the same month last year amid Trump’s tariff war. In response, the state has announced a new campaign to draw Canadians back, while one city has put up pro-Canada signs across its downtown. More

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    Come With Me if You Want to Survive an Age of Extinction

    Every great technological change has a destructive shadow, whose depths swallow ways of life the new order renders obsolete. But the age of digital revolution — the time of the internet and the smartphone and the incipient era of artificial intelligence — threatens an especially comprehensive cull. It’s forcing the human race into what evolutionary biologists call a “bottleneck” — a period of rapid pressure that threatens cultures, customs and peoples with extinction.When college students struggle to read passages longer than a phone-size paragraph and Hollywood struggles to compete with YouTube and TikTok, that’s the bottleneck putting the squeeze on traditional artistic forms like novels and movies.When daily newspapers and mainline Protestant denominations and Elks Lodges fade into irrelevance, when sit-down restaurants and shopping malls and colleges begin to trace the same descending arc, that’s the bottleneck tightening around the old forms of suburban middle-class existence.When moderates and centrists look around and wonder why the world isn’t going their way, why the future seems to belong to weird bespoke radicalisms, to Luigi Mangione admirers and World War II revisionists, that’s the bottleneck crushing the old forms of consensus politics, the low-key ways of relating to political debates.When young people don’t date or marry or start families, that’s the bottleneck coming for the most basic human institutions of all.And when, because people don’t pair off and reproduce, nations age and diminish and die away, when depopulation sweeps East Asia and Latin America and Europe, as it will — that’s the last squeeze, the tightest part of the bottleneck, the literal die-off.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

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    Stocks Jump in Asia After Trump’s Tariff Reprieve

    Markets in Japan, South Korea and Taiwan soar after the U.S. president pauses punishing tariffs. Gains in mainland China were modest as trade hostilities heat up between Washington and Beijing.Following President Trump’s decision to pause punishing tariffs on dozens of countries, markets in Asia reacted predictably: Stocks soared in the countries that were spared.In early trading on Thursday, benchmark indexes rose more than 9 percent in Taiwan, 8 percent in Japan and 5 percent in South Korea. All three Asian economies were among the U.S. trading partners given a 90-day reprieve from Mr. Trump’s so-called reciprocal tariffs.While the U.S. allies won’t immediately face the 24 percent to 32 percent tariffs the Trump Administration had previously threatened, they will still be subject to a lower rate of 10 percent. That comes on top of 25 percent tariffs that Mr. Trump has imposed on goods including cars — a particular sore point for big auto exporters Japan and South Korea.In the United States, the reversal by Mr. Trump on Wednesday sparked the biggest one-day rally of the S&P 500 since October 2008, when stocks soared as investors anticipated central bank rate cuts in the wake of the global financial crisis.Huge Gains and Losses in One WeekModest gains or losses are the most common outcomes on S&P 500 trading days. But since last Thursday the index has had two steep drops and one of its biggest gains since 2000. More

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    Another Rocky Day in Markets: Stocks in Asia Resume Their Slide

    With the S&P 500 nearing a bear market, shares in Asia decline as China and other major U.S. trading partners await the start of significantly higher tariffs.Market turmoil extended into Wednesday’s trading session in Asia, as stocks across the region faced renewed downward pressure amid the impending imposition of significantly higher taxes on imports to the United States.Benchmark indexes in Japan and Hong Kong opened down more than 3 percent on Wednesday morning, following a day on Wall Street when stocks whipsawed. The S&P 500 ended near a bear market, which is a 20 percent drop from a recent peak — a symbolic, and relatively rare and worrisome threshold for investors.Stocks slumped across Asia in early trading on Wednesday. The declines were less pronounced in mainland China, South Korea and Taiwan, where indexes fell between around 1 and 2 percent.President Trump uprooted investors last week with the announcement of tariffs on countries across the world. Significantly higher American import taxes on goods from dozens of other countries were set to take effect at 12:01 a.m. ET on Wednesday.After Tuesday’s drop, the S&P 500 closed 18.9 percent below its mid-February record, having plunged more than 12 percent just in the days since Mr. Trump announced his new tariffs. S&P 500 futures, which let investors bet on the direction of the index when it resumes trading in New York, were about 1 percent lower.Administration officials appeared to leave the door open for negotiations that could ultimately defuse the trade war, citing the fact that dozens of countries had approached the U.S. government in recent days to strike deals. But White House officials have sought to set a high bar for what the president is willing to accept, marking a shift in tone after Mr. Trump and his aides initially signaled they would not haggle over tariffs at all.“If they come to us with really great deals that advantage American manufacturing and American farmers, I’m sure he’ll listen,” Kevin Hassett, the director of the White House National Economic Council, said in an interview on Fox News.But, he added, “after decades and decades of mistreating American workers, it’s going to be tough to get him to decide to really come to the table and sign on the dotted line.”Since Mr. Trump’s announcement last week of new tariffs, including a base tax of 10 percent on virtually all American imports, countries have responded with tariffs of their own on U.S. goods, or with threats of retaliation.China, the world’s second-largest economy, retaliated with 34 percent tariffs on American goods that are set to take effect at noon ET on Wednesday.Earlier this week, Japan emerged as the first major economy to secure priority tariff negotiations with the Trump administration. The news triggered a brief surge in Tokyo-listed stocks before they resumed their decline on Wednesday. More

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    Stocks Sink as Trump’s Tariff Threats Weigh on Confidence

    Stocks in Japan tumbled nearly 4 percent as investors braced for a week of market turmoil caused by an expected announcement of more tariffs.Stocks in Asia tumbled Monday as investors braced for a week of market tumult caused by an expected announcement of more tariffs by President Trump on America’s biggest trading partners.Japan’s Nikkei 225 index fell nearly 4 percent in early trading. Stocks in South Korea and Taiwan were down more than 2 percent.Stocks in Hong Kong and mainland China were mostly unchanged, bolstered by a report signaling that China’s export-led industrial sector continues to expand despite Mr. Trump’s initial tariffs.Futures on the S&P 500, which allow investors to trade the benchmark index before exchanges reopen in New York in the morning, slumped 0.5 percent on Sunday evening. On Friday, the S&P 500 dropped 2 percent on concerns about inflation and weak consumer sentiment.Since taking office a little over two months ago, Mr. Trump has kept investors and companies guessing with his haphazard rollout of what he calls an “America First” trade policy.In some cases, Mr. Trump has imposed tariffs to make imports more expensive in industries like automobiles, arguing that the trade barriers will spur investment and innovation in the United States. He has also used tariffs, and their threat, to try to extract geopolitical concessions from countries. He has further unnerved investors by saying he does not care about the fallout of his actions on markets or American consumers, who will have to pay more for many goods if import prices rise.Over the weekend, Mr. Trump ramped up the pressure, threatening so-called secondary sanctions on Russia if it does not engage in talks to bring about a cessation of fighting in Ukraine. The tactic echoes similar sanctions concerning Venezuela. He said last week that any country buying Venezuelan oil could face another 25 percent tariff on its imports to the United States. The threats over the weekend add to tariffs of 25 percent on imported cars and some car parts set to be implemented this week, barring any last minute reprieve. That’s in addition to previously delayed tariffs on Mexico and Canada, as well as the potential for further retaliatory tariffs on other countries.Adding to investors’ angst is the scheduled release on Friday of the monthly report on the health of the U.S. jobs market. It could provide another reading of how the Trump administration’s policy pursuits are weighing on the economy.Keith Bradsher More

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    Hegseth Pledges to Step Up Military Cooperation With Japan and Deter China

    The U.S. defense secretary sought to reassure its ally over security ties and vowed to speed up the creation of a joint “war-fighting headquarters” to deter China.Secretary of Defense Pete Hegseth wrapped up his first official visit to the Asia on Sunday by offering reassurances to Japan that President Trump wants a stronger military alliance in the region to deter an increasingly assertive China.Following an 85-minute meeting in Tokyo with his Japanese counterpart, Mr. Hegseth said the Trump administration would abide by promises to increase security cooperation with its staunch ally. This would include speeding up a Biden administration-era plan to create a new joint U.S.-Japan military command in Tokyo that he called a “war-fighting headquarters,” although Mr. Hesgeth did not say when it would become operational. He also said there would be more joint military exercises in the Okinawa islands near Taiwan, a self-ruled island that China says is part of its territory and has threatened to take by force.Mr. Hegseth arrived in Japan from the Philippines, another U.S. ally, where the defense secretary also sought to allay anxiety about the Trump administration’s commitment to the region. Japan has watched with concern as the United States has broken with traditional allies in Europe to seek a deal that might allow Russia to keep territory seized from Ukraine.U.S. Marines training on the Japanese island of Okinawa.Chang W. Lee/The New York TimesJapanese officials have worried in private that such concessions might encourage China to make a move on Taiwan. After the meeting with Gen Nakatani, the Japanese defense minister, Mr. Hegseth struck a strident tone about the alliance, proclaiming that the United States would work with Japan to secure “peace through strength” that will deter the Chinese from taking action.“America first does not mean America alone,” Mr. Hegseth told reporters. “America and Japan stand firmly together in the face of aggressive and coercive actions by the communist Chinese.” Mr. Hegseth did not address concerns about his sharing of military information on the Signal chat app that included a journalist.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More