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    Jimmy Kimmel: ‘Somehow Donald Trump has managed to transform the stock market into Kanye West’

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    Late-night hosts recap Donald Trump’s escalation of a trade war that many expect will lead to a global recession.Jimmy Kimmel“What a crazy country we live in. It’s hard to remember what things we used to be worried about,” said Jimmy Kimmel on Tuesday evening, as the markets once again roiled with Trump’s escalation of his tariffs on nearly all countries. “The Dow, the Nasdaq, the S&P all down again today. Somehow Donald Trump has managed to transform the stock market into Kanye West.”Trump, meanwhile, didn’t seem bothered by the worst week on Wall Street since March 2020. Instead, he posted on Truth Social that he would undergo his annual physical examination at Walter Reed medical center on Friday. “I bet it’s going to be an excellent report,” Kimmel deadpanned. “Let me guess: his physical strength and stamina are extraordinary, his blood pressure is astonishing and he is by far the healthiest president to successfully tank the world economy overnight.“I will say, after all he’s put us through, it will be nice to know that on Friday, somebody will be squeezing his balls for a change,” he added.In light of the economic downturn, Kimmel referenced an old quote of Trump, saying: “There’s a lot of opportunity in the bad times.”“And now there’s nothing but opportunity as far as the eye can see,” Kimmel joked. “It’s a Chernobyl of opportunity right now.”On Tuesday, Trump heaped even more tariffs on Chinese imports, effectively a 104% tax on all goods. “How’s he even coming up with these numbers?” Kimmel fumed. “‘What do you think about a tariff of 100% on China? Not enough! Make it 104!’”In response, the Chinese ministry of commerce said the tariffs were “mistake on top of a mistake” – “which is also what Trump said when Eric was born”, Kimmel quipped.Stephen Colbert“The tariffs are already hitting Americans right in the joystick,” said Stephen Colbert on the Late Show. Gamers were supposed to be able to order Nintendo Switch 2 consoles on Wednesday, but now the company has delayed orders to the US because of Trump’s tariffs.“What am I supposed to do without a new Mario game?” Colbert wondered. “Take a bunch of mushrooms and jump on turtles in real life? That’s what got me banned from the petting zoo.”The markets had a brief upturn on Tuesday, when rumors circulated that Trump may back down from his trade war. Asked by reporters if he would back down or if the tariffs were permanent, Trump answered paradoxically: “It could both be true.”“No, you can’t say it’s temporary and it’s permanent,” said Colbert. “That’s like being asked to call heads or tails and saying ‘I call coin.’”But around noon local time on Tuesday, the White House confirmed that they would levy a 104% tariff on all Chinese imports starting at midnight on Tuesday, “and the market stepped on a rake and then stepped down a mineshaft”, said Colbert. “One hundred and four percent Chinese tariffs are going to make everything more expensive – iPhones, laptops, those wonderful knockoff toys you can find only at the gas station like New Style Ninja Tortoise.”As for the Chinese ministry of commerce’s response – “the US threat to escalate tariffs on China is a mistake on top of a mistake” – Colbert had a wisecrack: “Coincidentally, it’s also what it’s called when Don Jr gives Eric a piggyback ride.”Seth MeyersOn Tuesday, Trump welcomed the World Series champion Los Angeles Dodgers to the White House, and praised star player Shohei Ohtani with “he’s got a good future, I’m telling you”.“Not exactly a bold prediction – ‘I think that guy who won three MVP awards is going to turn out to be a pretty good ballplayer,’” Seth Meyers joked on Late Night.In other news, Elon Musk and the so-called “department of government efficiency” (Doge) are reportedly working with Boeing to resolve delays in the new model of Air Force One. “Because nothing inspires confidence like hearing ‘Boeing built this in a hurry,’” Meyers joked.On Friday, Trump headlined a fundraiser at Mar-a-Lago that cost $1m a plate. “Unfortunately, due to the price of groceries, they only broke even,” Meyers quipped.And according to a new analysis by the Washington Post, Trump has spent one-third of his days in office at his golf courses. “And I think we might be better off if we could somehow get that up to three thirds,” said Meyers.The Daily Show“It’s been one week since Donald Trump announced his bold vision for destroying the economy,” said Desi Lydic on the Daily Show. “And guess what? His plan is working.”Lydic pointed to a graph of the Dow Jones since Trump took office, which plunged precipitously after the president announced his tariffs. “I’m not an economist, but it’s probably a bad sign when the chart itself looks like it jumped off the roof,” she said. “Look at that drop! Six Flags is going to make a roller coaster of that.”“The president may have singlehandedly tipped us into a global recession,” Lydic continued. “And with so much uncertainty, the world is glued to the financial news networks, who are surely focusing on this story 24/7, right Fox Business?”In fact, Fox’s business network focused on the LA Dodgers visiting the White House, and not Trump’s 104% tax on Chinese imports. “This is getting really serious. We’ll know exactly how serious one we get China to do the math for us,” Lydic joked. “But point is: Trump is out of control right now. I’d say he’s like a bull in a china shop, but at 104%, I can’t afford to say that.” More

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      Two visions within Trump world are battling for primacy. Which will win? | Ben Davis

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      The start of the second Trump administration has been chaotic, to put it mildly. It is difficult for Americans to understand what exactly the administration is trying to do and how it will affect them. It has been simultaneously a colossal remaking of the US state and the entire global order, but also seemingly haphazard, with significant policy decisions such as spending cuts and tariff rates clearly made with little thought or preparation. Analysts and commentators of all stripes have speculated on the motives and strategy behind the Trump administration’s huge overhaul of society. But what is the Trump administration’s plan for the US?The primary moves the administration has made are major cuts to federal government capacity through the “department of government efficiency” (Doge) and now an unprecedented tariff regime that has sent financial markets into a free fall. Some view these changes as part of a grand overarching strategy to rebuild some version of an imagined past America: globally hegemonic and able to exercise power nakedly over other countries, economically self-sufficient with a large manufacturing base, and a reassertion of the previous social norms and order around gender, race, and sexuality. But a deeper dive into the Trump administration’s explanation of their policies and vision reveals that rather than a single, coherent ideological project, the Trump administration is sclerotic and being used as a vehicle for more than one competing ideological project.While the first Trump administration had no real ideological project, with Donald Trump’s surprise win being based on a personalist coalition without the backing of an organized movement, and different factions within the administration battling for control over policy and favor from the president, the second Trump administration was backed and is staffed by two major ideological projects, representing different segments of capital: the oft-discussed “national conservatism” of the Claremont Institute, the Heritage Foundation and Project 2025, and tech capital, which has used Trump as a vehicle for its own priorities.These two overarching political projects and visions both see Trump as able to advance their goals, but these projects are competing with each other. Both have accepted that Republicans will lose the midterms in 2026, as the president’s party nearly always does, and are thus trying to radically reshape society in that time in ways that can’t easily be reversed. They have deeply different visions for the future, and whether one wins out or both of their incompatible sets of policies are carried out will have enormous implications for the lives of Americans and people around the globe.On tariffs, the administration has offered multiple, mutually exclusive visions: with some viewing tariffs as primarily a way to rebuild US manufacturing by incentivizing producers to build in the US; some viewing tariffs as primarily a way to raise revenue, cut the deficit, and in the long-term replace the income tax entirely; and some viewing tariffs primarily as a negotiating tool to force countries to make concessions to the US on a variety of issues.Trump personally has suggested that the US become an autarky, with no trade of any kind with the outside world. It’s unclear which of these will be the plan because they each have dramatically different implications for how the tariffs are structured in the long-term, how long they will last, and their effects on US workers.In the first two views, the tariffs are a part of the national conservative project of returning the US to a previous social order. They view the nation-state as the primary actor in a zero-sum anarchic global order of competing nation-states seeking to dominate each other. Tariffs are then a way of reasserting US national power relative to other states. This fits in with Trump’s rhetoric about the US, taking the country back and reasserting American nationhood, and is the primary way analysts and commentators have viewed the administration.The tech capital that oversees Doge, however, has a different project entirely. Elon Musk, who has personally overseen the large-scale slashing of the federal government, rejects tariffs entirely. The Doge project and the tariff project are at odds. The Doge project is cloaked in the rhetoric of retro America First nationalism that would seem on its face (and is understood as by its supporters) to be precisely the opposite of what it is in practice: the outmoding of the nation-state entirely.It’s notable that the first target for Doge’s cuts were not the New Deal programs conservatives have long wanted to cut, but instead the cold war-era nodes of American state power: scientific research, funding for education and the arts, foreign aid, and other programs that were created to allow the US to outcompete the Soviet Union and other countries. Musk does not care about American great power competition, such as with China, as Trump does. Indeed, Musk has close ties with the Chinese state.For Musk and his cohorts, the US must progress past the nation state model – where the state exist to project power against other nation states and part of this bargain is keeping a certain social compact of living standard with citizens – to the vendor state model where international firms are paramount and states exist instead to compete for their favor. The Doge project of Silicon Valley technolibertarianism aims to sublimate the state to capital entirely and to outsource state capacity to transnational tech firms. This is, rather than an end of globalization as the national conservatives want, the final conclusion of globalization, where international capital exists above and beyond the bounds of the nation-state.This is the reason large swathes of tech capital reversed course on Trump during the Biden administration and became his biggest financial backers. For them, Trump exists as a vehicle for their overall project.Both of these projects are disastrous for the American people on their own, but both being partially implemented in opposing ways is even worse and will lead to disaster for US workers and our society’s basic capacity to function.While the tariffs by themselves are devastating to US consumers and could lead to a major economic crisis, the Doge cuts strip state capacity that would be needed to implement the most positive vision of tariffs returning manufacturing jobs. While tariffs drive up prices on things like semiconductors or electric vehicles, the government is simultaneously slashing the programs designed to encourage these goods to be manufactured domestically. And while the Doge cuts have slashed the state and led to the direct capture of swathes of the state by tech capital, their overall project of global tech hegemony cannot progress in a world where international trade has broken down completely.Trump and the national conservative’s dream of a return to a pre-financialization manufacturing-based economy, where the US has security through economic self-reliance, and the tech right’s commitment to creating shareholder value at all costs, and whose entire model is based entirely on the result of financialization, are incompatible and on a collision course. Different sections of capital – tech on the one hand, and the revanchist small capital class who form national conservatism’s base on the other – have different and competing interests and control of different sections of administration policy. The consequences of this intranecine competition are enormous, but either way, the next four years look dire for the American working class. The damage may take generations to fix.

      Ben Davis works in political data in Washington DC. He worked on the data team for the Bernie Sanders 2020 campaign More

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      Rightwing group backed by Koch and Leo sues to stop Trump tariffs

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      A libertarian group backed by Leonard Leo and Charles Koch has mounted a legal challenge against Donald Trump’s tariff regime, in a sign of spreading rightwing opposition to a policy that has sent international markets plummeting.The New Civil Liberties Alliance filed a suit against Trump’s imposition of import tariffs on exports from China, arguing that doing so under the International Emergency Economic Powers Act (IEEPA) – which the president has invoked to justify the duties on nearly all countries – is unlawful.The group’s actions echo support given by four Republican senators last week for a Democratic amendment calling for the reversal of 25% tariffs imposed on Canada.Last Wednesday’s amendment passed with the support of Mitch McConnell, the former Republican Senate majority leader, and his fellow GOP members Rand Paul, Susan Collins and Lisa Murkowski, who argued that tariffs on Canada would be economically harmful.The action from the alliance has the potential to be even more emblematic, given its backing from Koch, a billionaire industrialist, and Leo, a wealthy legal activist who advised Trump on the nomination of three conservative supreme court justices during his first presidency, which has given the court a 6-3 rightwing majority. The group received money from organisations affiliated with Leo and Koch in 2022.The alliance has tabled its action on behalf of Simplified, a Florida-based home goods company whose business is heavily reliant on imports from China. It argues that the president has exceeded his powers in invoking the IEEPA to justify tariffs.“This statute authorizes specific emergency actions like imposing sanctions or freezing assets to protect the United States from foreign threats,” the alliance said in a statement. “It does not authorize the president to impose tariffs. In its nearly 50-year history, no other president – including President Trump in his first term – has ever tried to use the IEEPA to impose tariffs.”The alliance also argues that power to impose tariffs lies not with a sitting president, but with Congress, and warns that those imposed by Trump could run afoul of US supreme court rulings.“His attempt to use the IEEPA this way not only violates the law as written, but it also invites application of the supreme court’s major questions doctrine, which tells courts not to discern policies of ‘vast economic and political significance’ in a law without explicit congressional authorization,” its statement said.Mark Chenoweth, the alliance’s president, said the court in Pensacola – where the suit has been filed – would have to observe this legal precedent.“Reading this law [IEEPA] broadly enough to uphold the China tariff would transfer core legislative power,” he said. “To avoid that non-delegation pitfall, the court must construe the statute consistent with nearly 50 years of unbroken practice and decide it does not permit tariff setting.”The suit argues that there is no connection between the fentanyl epidemic – which Trump has cited as a reason for invoking the emergency powers – and the tariffs.“The means of an across-the-board tariff does not fit the end of stopping an influx of opioids, and is in no sense ‘necessary’ to that stated purpose,” the complaint filed on behalf of Simplified argues.“In fact, President Trump’s own statements reveal the real reason for the China tariff, which is to reduce American trade deficits while raising federal revenue.”The legal case adds to rumbling disquiet on tariffs among some of Trump’s usually vocal supporters, including the billionaire hedge fund manager Bill Ackman.Paul, a senator from Kentucky who has been one of the most consistent congressional anti-tariff voices, told the Washington Post that other Capitol Hill Republicans shared his concern.“They all see the stock market, and they’re all worried about it,” Paul said. “But they are putting on a stiff upper lip to try to act as if nothing’s happening and hoping it goes away.”Speaking in support of last week’s Democratic amendment, sponsored by the Virginia senator Tim Kaine, Paul said: “I don’t care if the president is a Republican or a Democrat. I don’t want to live under emergency rule. I don’t want to live where my representatives cannot speak for me and have a check and balance on power.”Trump attacked Paul and the three other Republican senators who backed the amendment and suggested they were driven by “Trump derangement syndrome”.In another sign of Republican concern, the GOP senator from Iowa Chuck Grassley – along with a Washington Democrat, Maria Cantrell – introduced a bill that would limit Trump’s ability to impose or increase tariffs by requiring Congress to approve them within 60 days. The White House budget office said on Monday that Trump would veto the bill. More

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      Here’s one key thing you should know about Trump’s shock to the world economy: it could work | James Meadway

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      It’s less than a week since Donald Trump’s sensational announcement that he was unilaterally ending the world’s trading system with the imposition of a 10% minimum tariff for trading with the US – and a very much higher rate for those countries unfortunate enough to have the US as a major export partner. Long-term allies such as Japan and South Korea have been hammered with tariffs of around 25%, while export-dependent poorer countries such as Vietnam, which sells about a third of its exports to the US, have been hit with tariffs in excess of 45%. A further round of global debt crises is possible as heavily indebted countries face the sudden loss of export earnings.Global stock markets have tumbled as panicked investors dump shares, and political condemnation has been near-universal. China has already retaliated with 34% tariffs, threatening an escalating trade war. Right now, it looks and feels like disastrous overreach by a uniquely erratic administration at the behest of a president with a terrifyingly limited grasp of how the modern economy works.Trump has talked about imposing tariffs on the world since he first rose to prominence in the 1980s, when his target was Japan. In a political career notable for its jack-knifes in policy and direction, tariffs – “the most beautiful word in the dictionary” – have been a constant. But this is about far more than his long-cherished whims. However inconsistent or even confused Trump may sometimes appear to be, those around him have a clear-eyed view of what they want to achieve.His Treasury secretary, hedgefund billionaire Scott Bessent, has spoken of a “global economic reordering” that he intends to shape to the benefit of the US’s elite. Trump’s new chair of the Council of Economic Advisers, Stephen Miran, wrote a lengthy paper, A User’s Guide to Restructuring the Global Trading System, shortly before his appointment. The latter is particularly ambitious – detailing how the US should use not only tariffs but also the threat of withdrawing its security support to compel its friends and allies to accept cuts in payments due from the Federal Reserve on their US Treasury bills. This would be a potentially massive loss to them, akin, in reality, to a US debt default. But it is tariffs that are the cutting edge of the plan – leveraging the US’s power as the world’s largest consumer and greatest debtor to compel other countries into a negotiation on terms.After decades winning in an international trading game it wrote and refereed the rules for, the US is now facing serious competition – primarily from China, but with Europe as an expensive irritant. The response of this administration is to kick over the table, and demand everyone starts again. What it ultimately wants is a cheaper dollar to revive US manufacturing and Chinese competition held off, all the while keeping the dollar as the world’s reserve currency. And the rest of the world will pay the price.There are precedents. In October 1979, Paul Volcker, newly appointed as chair of the Federal Reserve, drove up interest rates to a remarkable 13% in a bid to tackle inflation, later raising them to 17%. Soon the US was in recession. Millions lost their jobs over the next two years, notably in manufacturing, where soaring interest rates had driven up the value of the dollar, making US exports less affordable on the world market. After a light easing of interest rate hell by the Fed, Volcker applied a second dose of the medicine, driving interest rates up to 19% and forcing the economy back into a double-dip recession. Unemployment peaked at around 10% in late 1982.View image in fullscreenBut by mid-1983, inflation had come down to 2.5%. For the rest of the 1980s, the US economy boomed. The “Volcker shock” appeared to have worked. Volcker is today a folk hero among central bankers: Ben Bernanke, chair of the Federal Reserve during the 2008 crisis, praised Volcker’s “independence” and willingness to brazen out the political storm.More decisive than lower inflation, however, was the reshaping of the US economy Volcker’s interest-rate shock accelerated: with manufacturing in freefall, investment flooded into finance and property, firing up what became the great credit bubble of the 1990s and 2000s. The world economy was reordered around a US that acted as a giant sink for its output – swallowing exports from the rest of the world on seemingly limitless borrowing. China’s extraordinary boom was the flipside of US debt and deindustrialisation. The Volcker shock, more than any other single action, created the globalised world system that Trump is now bent on destroying.Few would have bet on Volcker’s world-shaping capacity at the time. The stock market response to the shock was immediate and unanimous. US shares plunged by a record 8% in the two days after his announcement. The S&P 500 lost 27% of its value before August 1982 – two years of grinding decline. Manufacturers and unions hated it, understandably: they were on the wrong side of an epochal reconfiguration of US capitalism. But they were not the only losers: rising interest rates in the US meant less developed countries had to spend more on servicing debts, just as recession squeezed their major export markets. The result was the so-called “third world” debt crisis, as heavily indebted countries across the global south plunged into spirals of economic decline and soaring indebtedness.Over the weekend, Bessent and commerce secretary Howard Lutnick were doing the media rounds, insisting that there would be no climbdown on the tariffs. Trump is not for turning on what is clearly for him a personal crusade. Already, countries such as Vietnam are promising to cut all their tariffs on US goods – a clear and brutal demonstration of the US’s continuing economic power. The administration has claimed 50 other countries have also asked to open negotiations. By the end of the week, expect Trump to be triumphantly announcing more such concessions from economies in the global south. His real target – China – will be a far tougher nut to crack, if it breaks at all.Perhaps the rolling market chaos will become too much. Perhaps the administration will blink first. There is no guarantee this extraordinary gamble will work, not even for those in the clique around Trump. But it would be a mistake to assume it cannot work – and however the pieces now land, they will not return to their old places.

      James Meadway is the host of the podcast Macrodose More

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      Corporate America won’t stop Trump’s tariffs. Here’s why | Alex Bronzini-Vender

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      Few historical analogies exist for Donald Trump’s newly announced tariffs. The investment bank Evercore estimates that the so-called “liberation day” announcement has raised the weighted average US tariff to 29% – its highest rate since 1900. To call it a generational action would be an understatement; my grandmother was born in 1939.These tariffs, if they remain in place, will raise prices, eliminate jobs and shrink retirements. No one will pay for them more dearly than American workers. Yet a shock to capitalism inevitably raises the question of whether, and how, capitalists will respond. Faced with Trump’s tariffs, what will the US’s business class do?Some commentators have hoped that, once the effects of Trump’s economic misrule become apparent, executives will finally turn on the Maga movement. But the answer, as during Trump’s previous tariff scares, is likely to disappoint. The Chamber of Commerce, National Association of Manufacturers, and International Dairy Foods Association have each issued strongly worded statements against Trump’s trade action. Others are likely forthcoming. But those words are unlikely to become meaningful action, for it is simply not in the business lobby’s nature to fight the Republican party.Unlike much of the developed world, the US lacks a single, representative organization for big business. Barring extraordinary initiative by political actors, or moments of deep and protracted crisis, unified and cross-sectoral corporate lobbies rarely appear in American history. The National Association of Manufacturers and the Chamber of Commerce began as initiatives of presidents William McKinley and William Howard Taft, respectively; the Business Roundtable, founded through a merger of two union-busting business groups in 1972, stands as a rare business lobby organized by business itself.If these organizations have a difficult time coming together, they have an even harder time sticking together. The roundtable and the chamber experienced their greatest momentum during the economic turbulence of the 1970s: at last, their managers were able to unite the otherwise fractious American business community under the banner of fighting organized labor and its New-Dealer allies within the Democratic party. But by the middle of Ronald Reagan’s presidency, those enemies had been vanquished – and the chamber and roundtable hemorrhaged membership in turn.Business organizations never regained the command of American capitalism they had won in the late 70s and early 80s. The Chamber of Commerce has maintained stature only by becoming, essentially, an all-purposes lobbying firm. Its primary function is to receive contributions from industries attempting to obscure their hand in pushing politically unpopular causes: tobacco seeking to shield itself from liability, the auto industry seeking to relax safety standards, the health insurance sector seeking to stall healthcare reform, etc.Though the chamber and roundtable briefly stepped into more activist roles during the disruptions of the Tea Party, their success was, at best, mixed. At once, they found themselves dueling against the oil, gas and utilities sectors, each of whom fervently backed rightwing insurgents. By 2014, they had largely eliminated the Tea Party’s beachhead in Congress. Even so, they failed to repel the advance of Trump during the 2016 primaries; nor did they manage to sap the influence of the Freedom Caucus, today a king-making group among House Republicans.Though business organizations managed to significantly shape Trump’s 2017 Tax Cuts and Jobs Act, they notably failed to shape his administration’s 2018 trade war. Rather than mount a united front against Trump’s tariff regime, nearly 4,000 firms attempted to individually lobby the office of Robert Lighthizer for individual exemptions for their imports of interest. This, the political scientist Jack Zhang explains, had the ironic effect of overwhelming the United States trade representative’s office, and crowding out most lobbyists: few ultimately received exemptions, while the rest continued paying the cost of high tariffs.That period’s patterns are telling: American business, given the weakness of its coordinating institutions, is essentially incapable of coordinating significant challenges to the Republican party’s governance. A previous generation of corporate leadership might have met a shock of Wednesday’s magnitude with a coordinated response felt at all levels of American society – whether through lobbying efforts in Washington or advertisements in local newspapers. But American business is too disunited to mount similar campaigns today. “The pursuit of individual self-interests,” as Zhang noted in 2020, “left none to defend the public goods associated with a free and open market between the US and China.”That phenomenon is a persistent feature of the Trump era. The chamber’s boycott of campaign contributions to the Republican party after the January 6 insurrection lasted little more than two months. And the agricultural lobby, once a powerful pro-immigration voice on Capitol Hill, has all but abandoned its public advocacy for immigrants: organizing on the issue, where it exists, is done through quiet lobbying behind closed doors. If history is any guide, then, there will be no meaningful corporate break with the Republican party.“We are living through the nightmare edition of ‘Great Men Make History’,” wrote the leftwing theorist Mike Davis shortly before his death in 2022. “Unlike the high Cold war when politburos, parliaments, presidential cabinets and general staffs to some extent countervailed megalomania at the top, there are few safety switches between today’s maximum leaders and Armageddon.”Our moment, as Davis observed, is the apogee of a long-brewing structural crisis of American liberalism, where even the mechanisms that once aligned state policy with corporate interests have fundamentally broken down. Whether among executives, lobbyists or university trustees, an elite-led backlash to the Trump administration – on trade, immigration, the rule of law or anything else – is not forthcoming. Only an organized working class, then, can resist Trump.

      Alex Bronzini-Vender is a writer living in New York More

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      Senior Trump officials give conflicting lines on tariffs after markets turmoil

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      Senior officials within Donald Trump’s administration gave conflicting messages on Sunday about the US president’s global tariffs that have caused a meltdown in stock markets, prompted warnings of a world recession and provoked rare expressions of dissent from within his Republican party.Cabinet members fanned out across Sunday’s political talk shows armed with talking points on Trump’s 10% across-the-board tariff on almost all US imports, with higher rates targeted at about 60 countries. If the intention was to calm nerves with a clear statement of intent, then it backfired as top officials gave starkly contrasting signals.Howard Lutnick, the billionaire commerce secretary, struck an aggressive note on CBS News’s Face the Nation in which he portrayed the tariffs as here to stay. Asked whether there was a chance that tariffs would be postponed to allow countries to negotiate a deal with Washington, he replied: “There is no postponing – they are definitely going to stay in place for days and weeks, that is sort of obvious.”Lutnick added that Trump intended to “reset global trade”.“The president has made it crystal, crystal clear,” he said.However, two other cabinet members gave the opposite take, suggesting that negotiations with individual countries were very much on the cards. Scott Bessent, the treasury secretary, told Meet the Press on NBC News that Trump had “created maximum leverage for himself, and more than 50 countries have approached the administration about lowering their non-tariff trade barriers, lowering their tariffs, stopping currency manipulation”.The agriculture secretary, Brooke Rollins, echoed Bessent by flagging up possible talks. “We’ve got 50 countries that are burning the phone lines into the White House,” she told CNN’s State of the Union.The scale of Trump’s tariffs have sent shockwaves around the world, catching US investors as well as top Republican politicians by surprise. In just two days last week, more than $6tn was wiped off Wall Street’s market value.Trump told US consumers in a post on his Truth Social network to “hang tough, it won’t be easy, but the end result will be historic”. Yet as he spent the weekend golfing at his Mar-a-Lago resort in Florida, his unprecedented tax increase goaded senior Republicans to speak out, in a vanishingly rare display of criticism of their leader.Trump’s former vice-president, Mike Pence, denounced the tariffs as the “largest peacetime tax hike in US history”. Thom Tillis, the Republican senator from North Carolina, said: “Anyone who says there may be a little bit of pain before we get things right needs to talk to farmers who are one crop away from bankruptcy.”Ted Cruz, a senator from Texas, warned of a “bloodbath” for Republicans in the 2026 midterm elections should the tariffs force the US into recession.Democrats are detecting opportunity in such unusual challenges to Trump from within his own party. Adam Schiff, the Democratic senator from California, floated on Meet the Press what sounded like a draft campaign strategy for the midterms.“If we head into a recession, it will be the Trump recession,” he said. Of Trump, Schiff also said: “He’s wrecking our economy.”Tim Walz, the governor of Minnesota who ran as the Democrats’ vice-presidential candidate in last November’s defeat to Trump, called the tariffs “really, really terrifying” on State of the Union. He warned that if you punish dependable trading partners like Mexico and Canada, “they don’t come back overnight.”As the tariffs kick in, analysts are increasingly pointing to the chances of a recession, which is normally assessed as being two consecutive quarters of falling GDP. The head of economic research at JP Morgan, Bruce Kasman, has raised the probability of global recession to 60%, a figure that he included in a memo titled There Will Be Blood.Larry Summers, the US treasury secretary during Bill Clinton’s presidency, called the tariffs the “biggest self-inflicted wound we’ve put on our economy in history”. Speaking on ABC News’s This Week, he gave his own estimate of the total loss to US consumers at $30tn – equivalent to doubling petrol prices at the pump.skip past newsletter promotionafter newsletter promotionTrump’s cabinet members attempted to use rhetorical devices as a way of assuaging rattled investors and consumers. Rollins said the markets weren’t crashing – they were “adjusting”.Asked what he would say to Americans close to retirement who had just watched their lifetime savings drop significantly in recent days, Bessent called that a “false narrative”.“Americans who want to retire right now, they don’t look at the day-to-day fluctuations of what’s happening,” Bessent said.Bessent’s answer was coloured, perhaps, by his own net worth, which has been put at more than $521m.There were moments of the surreal in the exchanges between Trump’s top officials and the political show hosts. Asked by CNN’s Jake Tapper why 10% tariffs had been placed on Heard Island and McDonald Islands, which are populated by penguins near Antarctica but no humans, Rollins said: “I mean, come on, whatever. Listen, the people that are leading this are serious, intentional, patriotic – the smartest people I’ve ever worked with.”Tapper then pushed back on the agriculture secretary’s justification for the 20% “reciprocal” tariffs that have been imposed on EU goods sold to the US. Rollins said that Honduras bought more pork from the US than the entire European Union.Tapper pointed out that the EU had tight restrictions on hormone use in livestock production. The EU banned use of synthetic hormones in 1981, and blocked imports of animals that had been treated in that way.Rollins then accused the EU of using “fake science” to prohibit US products. “That’s just absolute bull,” she said. “We produce the safest, the most secure, the best food in the world.” More

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      ‘Hands Off’ protests take off across US and Europe to oppose Trump agenda – live

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      Also speaking at in Washington DC was Rachel O’Leary Carmona, executive director of the Women’s March.Carmona said:
      We are exercising the People’s Veto on Musk, Trump, Zuck–all these broligarchs–who want a country ruled by bullies to benefit billionaires. And they don’t care what–or who–they have to bulldoze to make it happen.
      But here’s the thing: We are the majority. Workers. Students. Parents. Teachers. Activists. We are the backbone of this country. Not the elites. They’re scared that a movement this large can threaten their power.
      But despite all the nonsense they’ve put us through, we’re still here and our numbers are growing.
      What I know is true about Women’s Marchers, and what I suspect to be true about everyone here today is that we are not afraid of hard work. That’s who we are: regular people who stepped up when there was work to be done…We are enough, and I believe that we will win.
      The strength of a movement isn’t measured by our easy wins, but by the hard days when we showed up anyway. And that’s what we need to do. Work hard. Work together. That is true people power. That is how we win.”
      Speaking in Washington DC, the former commissioner of the Social Security Administration, Martin O’Malley, told demonstrators:
      You and I are different. We do not believe, as Elon Musk believes, that you only have value as a human being in our country if you contribute to his economic system that makes him wildly rich.
      No, you and I are different. Elon Musk thinks that the greatest waste and inefficiency are people that don’t contribute to his economy. Therefore, the elderly who can’t work, people with disabilities who can’t work, they’re the wasteful inefficiency. Elon Musk is going after you and I.
      Protesters across the US rallied against Donald Trump’s policies on SaturdayThe “Hands Off” demonstrations are part of what the event’s organisers expect to be the largest single day of protest against Trump and his billionaire ally Elon Musk since they launched a rapid-fire effort to overhaul the government and expand presidential authority.Here are some images coming from Hollywood, Florida, where demonstrators are protesting against Donald Trump’s administration:Hundreds of protesters – including Americans living abroad – have taken to the streets across major European cities in a show of defiance against Donald Trump’s administration.On Saturday, demonstrators rallied in Frankfurt, Germany, as part of the “Hands Off” protest organized by Democrats Abroad, Reuters reports.In Berlin, demonstrators stood in front of a Tesla showroom and the US embassy in protest against Trump and the Tesla CEO Elon Musk. Some held signs calling for “an end to the chaos” in the US.In Paris, demonstrators, largely American, gathered around Place de la République to protest the US president, with many waving banners that read “Resist tyrant”, “Rule of law”, “Feminists for freedom not fascism” and “Save Democracy”, Reuters reports.Crowds in London gathered in Trafalgar Square earlier on Saturday with banners that read “No to Maga hate” and “Dump Trump”.Protesters also gathered in Lisbon, Portugal, on Saturday with some holding signs that read “the Turd Reich”.In addition to large US cities, anti-Donald Trump protests are also taking place through the US’s smaller towns, including in red counties.Here are some photos coming through BlueSky from St. Augustine, a small town in Florida of 14,000 people in a red county:Jamie Raskin, a Democratic congressman from Maryland and the party’s ranking member on the House justice committee, said today’s demonstration was part of a “creative and nimble” strategy to resist Donald Trump.Talking to the Guardian, he said mass protests needed to be combined with a “smart legislative strategy” to be effective.Studies of authoritarian regimes abroad had shown that a strategy of either mass protest or legislature resistance did work on their own, he said, in response to a question about the failure of demonstrations to unseat strongman leaders in countries like Hungary, Serbia and Turkey.Here are some images coming through the newswires from across the country as thousands take to the streets in demonstrations against Donald Trump’s administration:About 600 people registered for the event, billed as a “Hands Off” rally, at the Ventura Government Center on Victoria Avenue in California.Ventura, with a population of 109,000, is a laidback beach and agricultural community with a vibrant cultural scene, about 65 miles north of Los Angeles.Leslie Sage, mother of two, drove up from nearby Thousand Oaks and said: “I’m a white woman and I want everyone to know white women don’t support Trump.” Sage’s sign read: “Russian Asset, American Idiot.”She came with her friend Stephanie Gonzalez. “As a double lung transplant recipient, I’m outraged that access to medical care and funding for research is at risk. This president is deranged.”People showed up from Ventura but also Ojai, Thousand Oaks, Westlake Village, Camarillo and Simi Valley.Harlow Rose Rega, an eight-year old from Ventura, came with her grandmother Sandy Friedman. Harlow made her own sign: “Save my future.”Friedman is worried about her social security. “I worked my whole life and so did my husband. Now I’m afraid Trump will take it away,” she said. Signs indicated protesters are worried about a range of issues – racism, national parks, health care, environment, veteran benefits, grocery costs and more. Some people said AI helped with their signage but refused to create anti-Trump slogans specifically so they worked around that.In Ventura, a chant of “Donald Trump has got to go. Hey hey ho ho!” started amid lots of cheers and honking cars.A mix of English and Spanish songs is also blasting from the mobile sound system. People are in good spirits and friendly with peacful though loud protests and no evidence of Trump support.Several hundred vociferous anti-Trump demonstrators converged on a traffic circle in Florida’s Fort Lauderdale suburb of Hollywood Saturday morning to vent their rejection of the 47th president’s policies and myriad executive orders.Chanting “hey hey, ho ho, Trump and Musk have got to go,” the predominantly white protestors jeered motorists in Tesla Cybertrucks and hoisted a variety of colorful placards that left little doubt where they stand on the topic of Donald Trump.“Prosecute and jail the Turd Reich,” read one. Some reserved special ire for the world’s richest person: “I did not elect Elon Musk.” Others emphasized the protestors’ anxieties about the future of democracy in the U.S.“Hands off democracy,” declared one placard. “Stop being Putin’s puppet,” enjoined another.“This is an assault on our democracy, on our economy, on our civil rights,” said Jennifer Heit, a 64-year-old editor and resident of Plantation who toted a poster that read, “USA: No to King or Oligarchy.”“Everything is looking so bad that I feel we have to do all we can while we can, and just having all this noise is unsettling to everyone,” Heit said.Heit attended a protest outside a Tesla dealership in Fort Lauderdale last week, and the Trump administration’s frontal assault on the rule of law and the judiciary has outraged her.“We’re supposed to be a nation of laws and due process,” she said, “and I am especially concerned about the people who are being deported without any due process.” More

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      Trump’s ‘Liberation Day’ could mean recession in the US and pain worldwide | Steven Greenhouse

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      With the huge and painful tariffs that Donald Trump announced on Thursday, “Tariff Man” is acting like a paranoid 12-year-old bully who is convinced that everyone has wronged him, and he wants revenge. But the president’s instrument of revenge – massive tariffs – is going to do serious damage to the US and global economies. Stock market investors are convinced that’s the case, with Wall Street and world stock markets losing trillions of dollars in value in recent days as a result of Trump’s obsession.The president has escalated his risky, vengeful trade war even though the US economy was in strong shape when he took office – the jobless rate was just 4.1%, inflation was below 3% and US economic growth was the strongest in the industrial world, with its stock market at record levels. So it’s unclear whether the US economy needed the shock treatment that Trump is inflicting. The price increases resulting from his tariffs – which are a tax on imports – will cost the average American family $3,800 a year, according to the Budget Lab at Yale.Trump is right that the number of manufacturing jobs is down substantially from decades ago, and he is intent on getting that number back up. But he’s taking a very high-stakes bet that he can significantly increase the number of factory jobs, even as many economists say the horses have left that barn, and it is too late or will be too painful to do much about it. In 1979, the US had a record 19.5m factory jobs. That number fell to 17m in 2001 and to 12.7m today (having risen by 600,000 during Joe Biden’s presidency).Trump’s new tariffs result from a combination of impulsiveness, impetuousness and ignorance, although some economists say that idiocy and economic illiteracy also play a big part. Paul Krugman says that Trump’s tariffs reflect the “whims of a mad king”, adding that the administration’s case for tariffs is “completely incoherent”, as it insists that the tariffs won’t raise prices but will still raise hundreds of billions of dollars in revenue.The tariffs that Trump announced on Thursday are staggering – 50% on tiny Lesotho, 49% on Cambodia, 46% on Vietnam, 34% on China, 32% on Taiwan, 24% on Japan and 20% on European Union countries. These percentages were arrived at not by careful, probing analysis that took months, but by some slapdash, Keystone Kops math.It would be generous to say it’s the one-eyed leading the blind. Rather, it’s an economically blind, impetuous president leading a mum, intimidated Republican-controlled Congress. One of the tragedies here is that many congressional Republicans see the grievous damage Trump is doing, but they’re too craven to speak out and risk Trump’s and Elon Musk’s social media wrath.Mark Zandi, the chief economist at Moody’s Analytics, is predicting disaster. He says that as a result of Trump’s tariffs a recession “will hit imminently and extend until next year”. Zandi says that economic growth could fall by 2 percentage points, while the jobless rate could leap to a very painful 7.5%. On Friday, the Federal Reserve chair, Jerome Powell, also sounded the alarm, saying that Trump’s tariffs could cause even slower economic growth and higher inflation than originally expected.With Trump’s 50% tariff rate on Lesotho, 46% on Vietnam and 37% on Bangladesh, those countries – with their export-dependent apparel industries – will suffer terribly. There will be huge layoffs and no doubt an increase in hunger and immiseration – just as Trump-Musk’s tremendous foreign aid cuts at USAID have already resulted in increased hunger and deaths. And one has to wonder: by pummeling poor, apparel-producing countries such as Lesotho, Cambodia, Vietnam and Bangladesh, what is Trump trying to achieve? Does he want to bring back to the US low-paying, garment-industry jobs making jeans and sneakers?Carefully crafted tariffs can be helpful. They can be used to help build important industries or prevent the wholesale destruction of industries due to other countries’ bad behavior, like China’s improperly subsidizing its industries or dumping goods on the world market far below the cost of production. Unfortunately, Trump’s so-called “liberation day” tariffs are not a scalpel designed to help specific industries, but rather a blunderbuss mess, hitting everyone and everything, including US consumers and industries. Let’s not forget that the tariffs will raise costs at many US manufacturers and make them less competitive by, for instance, greatly increasing the price of imported steel and auto parts.The tariffs that Trump is imposing are even greater than the infamous Smoot-Hawley tariffs, which are widely seen as having worsened the Great Depression. Krugman noted that Trump’s tariffs could also do serious damage because “imports as a share of the [US] economy are three times what they were in the 1920s”.Even if Trump’s tariffs were to do what he hopes – create another million or two factory jobs – the cost would be immense. A recession. Millions of families hurt by higher prices. Trillions and trillions in lost stock market value. Far worse relations with our close allies and other countries. Opening the door to Trump’s adversary, China, significantly improving its trade and economic relations with other countries. Plus, a severe economic shock to many poorer nations.And it’s not at all certain that Trump’s tariffs will create a million or more manufacturing jobs: US economic growth and jobs will be hurt by a possible tariff-induced recession, trade retaliation from other countries, a long-term loss of markets as traditional trading partners turn away from the US, and a possible long-term decline in US industrial competitiveness as tariff protections enable inefficient companies to succeed.skip past newsletter promotionafter newsletter promotionTrump’s big hope is that corporations will build new factories and create more factory jobs in the US, but corporate executives won’t do that unless they’re convinced that there’s economic stability and predictability. They’re not blind to how capricious and unpredictable Trump is, and they know that he loves to play master dealmaker and win concessions from other countries and then immediately slash their tariffs. Trump’s team says these tariffs will be here for the long haul, but can corporate CEOs count on those claims when they’re deciding to spend $400m on a new factory?In announcing his huge new tariffs last Thursday, Trump proclaimed: “April 2, 2025 will forever be remembered as the day American industry was reborn, the day America’s destiny was reclaimed, and the day that we began to make America wealthy again.” As usual, Trump failed to note some extremely important things.Although he won’t admit it, the US is already very wealthy. If he were truly serious about fixing the economy and making it fairer, he wouldn’t be rushing to give massive tax cuts to the ultra-rich and sparking fears of vast cuts Medicaid and food stamps that struggling American families rely on.What Trump and his team will never admit is that 2 April 2025 may for ever be remembered as the day the US economy took a grievous, Trump-induced tumble toward recession and higher prices. And not that Trump cares, but 2 April 2025 may also be remembered overseas for creating tremendous pain for struggling workers from Bangladesh to Lesotho to Honduras.

      Steven Greenhouse is a journalist and author focusing on labor and the workplace, as well as economic and legal issues More

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      in US Politics

      Trump insists he won’t back down from global trade war as markets slump

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      Donald Trump doubled down on his decision to launch a global trade war, declaring that he would “never” back off from sweeping tariffs on US trading partners.The US president’s announced action sent shock waves around the world this week, prompting fierce threats of retaliation and sharp sell-offs in stock markets.In an all-caps message on his Truth Social social media platform, Trump sought to convey his defiance in the wake of news that Beijing is preparing to hit back with 34% tariffs of its own.“TO THE MANY INVESTORS COMING INTO THE UNITED STATES AND INVESTING MASSIVE AMOUNTS OF MONEY, MY POLICIES WILL NEVER CHANGE,” he claimed. “THIS IS A GREAT TIME TO GET RICH, RICHER THAN EVER BEFORE!!!”Within hours, however, the president was indicating that he might be prepared to change course. “Just had a very productive call with To Lam, General Secretary of the Communist Party of Vietnam, who told me that Vietnam wants to cut their Tariffs down to ZERO if they are able to make an agreement with the U.S.,” Trump wrote on Truth Social, adding that he looked forward to a meeting “in the near future”.The comments came as markets tumbled for the second straight day after Trump’s move to bring in tariffs on scores of countries. He claims the policy – a blanket 10% tariff from Saturday, with higher rates for specific markets from next week – will bring US manufacturing jobs back to the US and raise trillions of dollars for the federal government. Many economists have cautioned it will trigger economic chaos, and likely raise prices.The International Monetary Fund (IMF) has warned that the move may well knock the global economy. Kristalina Georgieva, its managing director, , said: “We are still assessing the macroeconomic implications of the announced tariff measures, but they clearly represent a significant risk to the global outlook at a time of sluggish growth.”Shortly before Wall Street opened on Friday, Trump claimed China had “panicked” by announcing new retaliatory tariffs on US imports. “CHINA PLAYED IT WRONG, THEY PANICKED – THE ONE THING THEY CANNOT AFFORD TO DO!” he wrote on Truth Social.China’s industry associations have unanimously condemned the tariffs. The country’s National Textile and Apparel Council said it “supported the government’s forceful measures” and that the US had “damaged the resilience of the global textile industry’s supply chain”.The S&P 500 fell 4.4% in early trading, exacerbating a decline that began in February. The index, which tracks 500 of the leading US companies, is now down almost 14% from its peak.Shares in the US bank sector had fallen nearly 6% on Friday, reflecting fears that the trade war could trigger a recession. It could also be an indicator that investors are expecting faster interest rate cuts by the US Federal Reserve, in order to instigate growth.Crude oil prices also plunged by 8% on Friday, heading for their lowest point since the middle of the pandemic in 2021.Trump personally selected the controversial formula for determining what tariffs would be imposed on specific countries from a menu of options, according to the Washington Post.skip past newsletter promotionafter newsletter promotionThe chosen formula was based on two simple variables: the trade deficit with each country and the total value of its US exports.Several Trump aides had apparently been working on crafting country-specific tariffs for weeks, taking into account a broad range of tariff & non-tariff barriers. Sources told the Post that more sophisticated approaches had been developed.Trump reportedly didn’t decide on the final plan until around 1pm Wednesday – less than three hours ahead of his Rose Garden address announcing the tariffs. It is unclear who authored the formula Trump ultimately picked.The US secretary of state, Marco Rubio, told reporters that the markets “will adjust” to the sweeping tariffs imposed by Trump. “The markets are reacting to a dramatic change in the global order in terms of trade … As long as they know what the rules are going to be moving forward … the markets will adjust.”Many Democrats have expressed frustration with the early impacts of the tariffs on the US economy. JB Pritzker, the governor of Illinois, wrote on X: “The biggest tax hike in American history. Donald Trump’s tariffs are throwing the economy into the tank.”California senator Alex Padilla wrote: “I’m not enraged by the stock market crashing because I’m sympathetic towards traders on Wall Street. I’m mad because this hurts the pensions and retirement savings of so many Americans. And Trump couldn’t care less.” More