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Tag: Donald Trump
April 10, 2025
Jack Montgomery
Economy
World

EU Cracks, Suspends Retaliatory Tariffs Against U.S.

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❓What Happened: The European Union (EU) has suspended its planned retaliatory tariffs against the United States to pursue trade negotiations.

👥 Who’s Involved: European Union, European Commission President Ursula von der Leyen, U.S. President Donald Trump.

📍 Where & When: Announcement made in Brussels, April 7, 2025.

💬 Key Quote: Ursula von der Leyen stated, “We want to give negotiations a chance.”

⚠️ Impact: The 90-day suspension aims to facilitate a trade agreement, which could end U.S. reciprocal tariffs against the EU and dissuade the EU from retaliating.

IN FULL:

The European Union (EU) has backed down from its planned retaliatory tariffs against U.S. goods, to allow time for trade negotiations. This follows President Donald J. Trump’s announcement of a 90-day reduction of his April 2 “Liberation Day” tariffs against most countries to 10 percent while talks proceed.

President Trump initially imposed a 20 percent reciprocal tariff rate on the EU, higher than the 10 percent imposed on the likes of the United Kingdom but below some other countries, with the highest reciprocal tariff standing at 50 percent. All reciprocal tariffs have now been reduced to the 10 percent base rate—except for China, which faces a total tariff of 125 percent after retaliating against the U.S.

EU Commission President Ursula von der Leyen confirmed on Thursday that the EU had backed down from its own retaliatory tariffs, emphasizing a preference for diplomacy over trade conflict. This followed the White House issuing a statement declaring, “DO NOT RETALIATE AND YOU WILL BE REWARDED!”

Notably, the EU’s limited response, targeting specific U.S. goods such as orange juice and motorcycles, was not a response to the 20 percent reciprocal tariff, but to earlier, sector-specific tariffs President Trump imposed on products such as steel—which are unaffected by his 90-day reciprocal tariff reduction.

Image: European Union 2023 – Source: EP.

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April 10, 2025
William Upton
Economy
Politics

BREAKING: House Passes Trump’s ‘Big, Beautiful’ Budget and Tax Cut Bill.

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❓What Happened: The United States House of Representatives voted to concur with changes made by the Senate to a budget bill that will extend President Donald J. Trump’s 2017 tax cuts. This comes on the heels of the White House’s Council of Economic Advisers (CEA) releasing a report indicating that extending the Trump Tax Cuts could benefit Americans after prolonged economic difficulties.

👥 Who’s Involved: President Donald J. Trump; Council of Economic Advisers; U.S. Congress.

📍 Where & When: United States; April 10.

💬 Key Quote: President Trump urges Congress to “pass the one, big, beautiful bill” to enact both an extension of the tax cuts and his budget priorities.

⚠️ Impact: Extending the tax cuts could raise real wages by up to $3,300 per year, increase take-home pay for median-income households by up to $5,000 annually, and spur GDP growth. Failure to extend could have resulted in the largest tax hike in U.S. history, potentially harming job numbers and investments in distressed areas.

IN FULL:

The House of Representatives has passed a revised budget framework—concurring with changes made by the Senate—that will extend tax cuts enacted by President Donald J. Trump in 2017, avoiding a massive tax increase on most Americans at the end of the year. With House members voting almost entirely along partisan lines—Rep. Thomas Massie (R-KY) was among just two Republican dissenters in the 216-214 vote—the budget framework was narrowly adopted. Democrats in the House, however, have said they will continue to oppose the budget measure, with Rep. Steve Horsford (D-NV) going so far as to claim extending the tax cuts will “screw America.”

“The Speaker is rushing to the floor to pass a budget reconciliation, to screw America by passing the biggest tax cut in history,” the Nevada Democrat shouted during a Congressional hearing with U.S. Trade Representative Jamieson Greer on Wednesday. He continued: “W.T.F! Who is in charge?!”

Despite the Democrats’ claims, most economic analyses show that extending the 2017 cuts would benefit the economy. Conversely, letting Trump’s tax cuts expire could have had severely negative implications for American workers and investors.

A new report from the White House Council of Economic Advisors (CEA) breaks down the advantages of extending the 2017 tax cuts. Among the projections are significant increases in real wages by up to $3,300 annually and enhancements in take-home pay for median-income households, potentially rising by $5,000 each year.

The analysis further anticipates a short-term GDP boost between 3.3 percent and 3.8 percent, with long-term projections showing growth from 2.6 percent to 3.2 percent.

Notably, the CEA report suggested that unless the cuts were extended, the U.S. could lose 4.1 million jobs. Meanwhile, renewing the tax cut provisions could bring an estimated $100 billion in investment into American communities that have suffered economically.

Image by Gage Skidmore.

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April 10, 2025
Editorial
News

Trump Crushes Inflation, Biggest Drop in Consumer Prices in Half a Decade.

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❓What Happened: The Consumer Price Index (CPI) for March showed a decrease of 0.1 percent month-over-month, leading to a year-over-year increase of 2.4 percent, below expectations. Core CPI also reported lower than anticipated figures, rising only 0.1 percent month-over-month.

👥 Who’s Involved: The report, used by economic policymakers, notably involves Federal Reserve Chairman Jerome Powell as part of their assessment for monetary policy adjustments.

📍 Where & When: The data pertains to the United States, specifically for March, as reported today.

💬 Key Quote: “Just out: ‘INFLATION IS DOWN!!!'” — President Donald J. Trump on Truth Social.

⚠️ Impact: These figures are crucial for understanding inflation trends, potentially influencing Federal Reserve policy, the financial markets, and economic decisions.

IN FULL:

The Consumer Price Index (CPI) for March showed a decline, indicating that inflation continues to subside. Notably, this suggests that the tariffs imposed by President Donald J. Trump in February and March, ahead of his “Liberation Day” tariffs imposed on April 2, caused little, if any, inflationary pressure.

According to the data, the headline CPI fell by 0.1 percent month-over-month, diverging from the anticipated 0.1 percent increase. Over the past year, the CPI rose by 2.4 percent, slightly below the predicted 2.5 percent gain and the lowest year-over-year increase since September.

The White is celebrating the positive economic news, with President Donald J. Trump posting on Truth Social: “Just out: ‘INFLATION IS DOWN!!!'”

Falling energy prices had a notable impact, easing inflationary pressure as the energy CPI dropped by 2.4 percent in March. This decrease was driven to a significant extent by a 6.3 percent reduction in gasoline prices, offsetting hikes in electricity and natural gas costs.

The core CPI, which excludes volatile food and energy prices, increased just 0.1 percent in March, also below expectations of a 0.3 percent rise. On a yearly basis, the core CPI saw a 2.8 percent increase, the lowest since March 2021. Within the core CPI, sectors such as personal care, medical care, education, and apparel experienced price rises, while airline fares and used car prices declined.

The subdued inflation figures come amid economic discussions around tariff impacts and potential recession risks tied to energy prices. These CPI results are significant for the Federal Reserve, which closely monitors inflation to inform interest rate decisions. Lower-than-expected inflation may move the central bank to begin reducing interest rates.

Image by Gage Skidmore.

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April 9, 2025
Education
Immigration

USCIS Will Scrutinize the Social Media of Student Visa Applicants for Pro-Terrorism Views.

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❓What Happened: U.S. Citizenship and Immigration Services (USCIS) will now screen the social media histories of visa applicants to determine any support or interaction with terrorist organizations, particularly focusing on anti-Semitic terrorism.

👥 Who’s Involved: U.S. Citizenship and Immigration Services, the Department of Homeland Security (DHS), and visa applicants, particularly students and those seeking permanent residency. Leftist groups on college campuses are also reacting.

📍 Where & When: The new screening measures are effective immediately across the United States.

💬 Key Quote: “There is no room in the United States for the rest of the world’s terrorist sympathizers, and we are under no obligation to admit them or let them stay here,” stated Tricia McLaughlin, the DHS Assistant Secretary for Public Affairs.

⚠️ Impact: Hundreds of student visas have been revoked, prompting legal challenges and protests from leftist groups.

IN FULL:

U.S. Citizenship and Immigration Services (USCIS) has introduced a new framework for screening social media accounts of immigrants applying for specific visas and residency permissions. This move, effective immediately, is intended to identify applicants who support or engage with terrorist organizations connected to anti-Semitic activities. The new USCIS measures result from an Executive Order signed by President Donald J. Trump, tasking the agency with enhancing scrutiny of foreign nationals aiming to enter the United States.

USCIS’s decision aligns with the Trump administration’s effort to bar those who share views consistent with organizations like Hamas, Hezbollah, and others linked to anti-Semitic violence from obtaining entry into the U.S., especially on student visas. Under this new guidance, applicants for lawful permanent residency and student visas will undergo additional layers of examination.

“There is no room in the United States for the rest of the world’s terrorist sympathizers, and we are under no obligation to admit them or let them stay here,” said Tricia McLaughlin, the DHS Assistant Secretary for Public Affairs, the parent agency of USCIS. Notably, the Trump administration has stated that the new policy has resulted in the cancellation of numerous student visas, drawing protests from leftist groups on college campuses.

Several foreign students who’ve had their visas and permanent residency status revoked are attempting to challenge the action in court. Mahmoud Khalil, a Columbia University graduate student and “pro-Hamas” activist, successfully obtained an order from U.S. District Court Judge Jesse M. Furman last month, preventing—for now—his deportation from the United States.

Likewise, Momodou Taal, a former student of Cornell University and a dual national of the United Kingdom and the Gambia, attempted to challenge his deportation after his visa was canceled due to social media posts urging the “destruction” of the U.S. However, Taal ultimately self-deported after a federal judge denied his request for an order barring his removal from the country.

Image by SWinxy.

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April 9, 2025
William Upton
Economy

Dow Jones Sees Largest Single Day Point Jump in History, S&P Posts Biggest Gain Since 2008.

PULSE POINTS:

❓What Happened: President Trump has overseen a historic Wall Street surge, with the Dow jumping 2,962.86 points and the S&P up nearly 10 percent as he continues to steer his America First tariff strategy.

👥 Who’s Involved: Donald J. Trump, U.S. markets, China, 75 negotiating countries, Wall Street traders.

📍 Where & When: U.S. markets, late Wednesday, April 9, 2025.

💬 Key Quote: “Don’t be Weak! Don’t be Stupid! Don’t be a PANICAN (A new party based on Weak and Stupid people!). Be Strong, Courageous, and Patient, and GREATNESS will be the result!” — President Trump, April 7.

⚠️ Impact: Record 30 billion shares traded, markets soar after tariff relief, but China’s U.S. debt dump and 4.5 percent Treasury yield spike signal a brewing economic showdown.

U.S. markets surged late Wednesday following an announcement by President Donald J. Trump that he would ease tariff measures against most of America’s trading partners as the White House begins bilateral negotiations with around 75 countries—except for China, which saw tariff rates on its goods increase to 125 percent.

The Dow Jones closed at 40,608.45, a gain of 2,962.86 points on the day—the single largest daily point gain in history. Meanwhile, the S&P 500, which saw significant volatility over the past week, saw nearly a 10 percent gain, closing at 5,456.90.

An estimated 30 billion shares were traded on Wednesday, marking the heaviest—by volume—trading day in Wall Street’s history. The surge in trading almost entirely came after President Trump posted on Truth Social that he would pause his reciprocal tariffs—although not sector-specific tariffs on products such as steel—on all foreign nations, except China, with only the 10 percent global tariff remaining in effect while his White House begins negotiations with a number of countries on a new, more equitable trade system accounting for the interests of the United States.

The prospect of a long-term trade war between the United States and most nations worldwide rattled markets following President Trump’s “Liberation Day” tariff announcement on April 2. However, it appears the most concerning development for the Trump White House occurred Tuesday evening as the 10 Year Treasury Bond yield rate began to increase to over 4.5 percent, signifying that either foreign governments or institutional investors were moving to dump U.S. debt. By early Wednesday morning, it became apparent that China was selling off the U.S. Treasuries as it was forced to defend its currency from the tariff effects by purposefully devaluing it.

On April 7, President Trump urged people fretting over the short-term reaction to tariffs to stay the course, writing, “Don’t be Weak! Don’t be Stupid! Don’t be a PANICAN (A new party based on Weak and Stupid people!). Be Strong, Courageous, and Patient, and GREATNESS will be the result!”

Jack Montgomery contributed to this report.

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April 9, 2025
Economy
World

EU Hits America with $21 Billion in Retaliatory Levies Hours Before Trump Tariff Pause.

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❓What Happened: On Wednesday, before President Donald J. Trump announced he would be reducing tariffs on countries that have not “retaliated in any way, shape, or form against the United States,” the European Union (EU) approved an estimated $21 billion in retaliatory tariffs against a number of American exports.

👥 Who’s Involved: The European Union, the European Commission, and U.S. President Donald J. Trump.

📍 Where & When: Brussels, Belgium on Wednesday, April 9.

💬 Key Quote: “The EU considers U.S. tariffs unjustified and damaging, causing economic harm to both sides, as well as the global economy. The EU has stated its clear preference to find negotiated outcomes with the U.S., which would be balanced and mutually beneficial,” the European Commission said in a statement.

⚠️ Impact: The EU retaliatory trade measures were to be imposed in three phases from April 15, impacting a number of American goods, including soybeans, motorcycles, orange juice, meat, tobacco, steel, and aluminum. Their fate is unclear now that President Trump has announced he will drop reciprocal tariffs—but not tariffs specific to certain tariffs, such as steel—to 10 percent for everyone but China for 90 days while trade negotiations are conducted.

IN FULL:

The European Union (EU) has cleared the way to impose an estimated $21 billion in retaliatory tariffs on American goods in response to steel and aluminum tariffs enacted by U.S. President Donald J. Trump last month. The European Commission—the EU’s unelected, quasi-executive body—announced the decision on Wednesday, noting that 26 of its 27 member states approved the trade measures. Viktor Orbán’s Hungary was the only EU country to oppose the tariff package.

“The EU considers U.S. tariffs unjustified and damaging, causing economic harm to both sides, as well as the global economy. The EU has stated its clear preference to find negotiated outcomes with the U.S., which would be balanced and mutually beneficial,” The European Commission said in a statement.

The EU tariffs on U.S. goods are to be enacted in three phases, the first of which will take effect next week. Additional tariff measures will be imposed in May, and the final phase will be imposed in December. As of the time of publication, this timeline does not appear to have been changed as a result of President Trump’s pause.

The EU’s retaliatory measure consisted mainly of a 25 percent trade duty on American goods such as soybeans, motorcycles, orange juice, meat, tobacco, steel, and aluminum. However, the list of products hit with the trade levy could grow, if the EU moves forward with retaliatory measures next week in response to President Trump’s 25 percent tariff on European automobiles and the now paused 20 percent reciprocal tariff on all EU goods. It is unclear, now that Trump has paused the reciprocal tariffs, whether the Europeans will move forward with additional retaliatory measures.

Following the EU’s approval of the retaliatory measures, President Trump announced he would reduce U.S. reciprocal tariffs on countries that have not imposed any new import duties on America to a universal 10 percent tariff for 90 days, while they negotiate bilateral trade agreements with the White House. China was the one named exception by Trump, and will instead face a 125 percent tariff for imposing retaliatory levies on the U.S.

Notably, sector-specific U.S. tariffs on products, including steel, aluminum, and automobiles, appear unaffected by this pause.

Image: European Union 2017 – European Parliament.

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April 9, 2025
Crime
Immigration

Noem Confirms El Salvador Prison Ready to Accept More U.S. Deportees.

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❓What Happened: The Trump administration says it will continue to collaborate with El Salvador President Nayib Bukele to deport and house dangerous illegal immigrants in his country’s CECOT super prison. Homeland Security Secretary Kristi Noem stated on Tuesday that thousands more illegal immigrants may soon be sent to the facility.

👥 Who’s Involved: Department of Homeland Security Secretary Kristi Noem, El Salvador President Nayib Bukele, Supreme Court justices, and the Trump administration.

📍 Where & When: Phoenix, Arizona, on a Tuesday morning, following a federal immigration raid.

💬 Key Quote: “You’ll see us continuing to partner with El Salvador. CECOT has the capacity for 40,000 individuals, and [El Salvador President Nayib Bukele] has said they’ll take as many as we want to send,” said Kristi Noem.

⚠️ Impact: The Supreme Court earlier this week ended a lower court’s pause on deportations to El Salvador, potentially leading to increased use of the Central American country’s prisons for criminal migrants.

IN FULL:

In the wake of a federal immigration enforcement operation on Tuesday, the Department of Homeland Security (DHS) is eyeing the relocation of substantial numbers of illegal immigrant criminal gang members to El Salvador’s CECOT prison. Homeland Security Secretary Kristi Noem suggested, following the raid, that the CECOT facility can hold thousands more dangerous illegal immigrants and that the Trump administration is looking to ramp up expulsions under the Alien Enemies Act.

“You’ll see us continuing to partner with El Salvador. CECOT has the capacity for 40,000 individuals, and [El Salvador President Nayib Bukele] has said they’ll take as many as we want to send,” Noem said, adding: “There’s 14,000 there now.”

In addition, the DHS Secretary revealed that Bukele intends to build a second prison facility next to CECOT, which could be used to hold even more members of violent, illegal immigrant gangs like Tren de Aragua and MS-13.

President Donald J. Trump’s administration has used the 1798 Alien Enemies Act for expedited expulsions of illegal immigrants found to be members of Tren de Aragua, MS-13, and other violent criminal groups. Last month, a far-left U.S. District Court Judge temporarily halted the removals, prompting the Trump White House to file an emergency appeal with the Supreme Court. On Monday, the high court lifted the lower court’s restraining order, allowing Alien Enemies Act expulsions to resume.

Addressing the Supreme Court’s ruling and continued Democrat lawfare efforts against the Trump administration’s push to deport violent and dangerous illegal immigrants, Noem said: “We’re going to continue using that act in order to return people from these terrorist organizations to face consequences and be removed from our country.”

Meanwhile, the DHS Secretary also warned illegal immigrants that the Trump administration, later this week, will begin enforcing provisions of the Alien Registration Act of 1940. Under this law, foreign nationals who reside in the United States for more than 30 days must register with the federal government. Those failing to register will face severe financial penalties.

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April 9, 2025
William Upton
Breaking

BREAKING: Trump Announces Tariff on China Will Rise to 125%, Offers 90 Days of Relief to Countries That Are Negotiating.

President Donald J. Trump announced on Wednesday that the United States will now impose a total tariff of 125 percent on Chinese imports, after raising the total trade duty to 104 percent less than 12 hours earlier. In addition, Trump signaled that he would reduce the tariffs imposed on countries that have not moved to retaliate against the U.S. for a 90-day period, as each engages in bilateral talks with the White House.

“Based on the lack of respect that China has shown to the World’s Markets, I am hereby raising the Tariff charged to China by the United States of America to 125%, effective immediately. At some point, hopefully in the near future, China will realize that the days of ripping off the U.S.A., and other Countries, is no longer sustainable or acceptable,” Trump wrote in a post on Truth Social, in response to China raising retaliatory tariffs on the U.S.

Notably, the increasing tariff rate on Chinese goods appears to be forcing the People’s Bank of China (PBOC) into a series of emergency devaluations of the Chinese yuan, leading to increasing concerns for the Chinese economy.

The President continued: “Conversely, and based on the fact that more than 75 Countries have called Representatives of the United States, including the Departments of Commerce, Treasury, and the [United States Trade Representative], to negotiate a solution to the subjects being discussed relative to Trade, Trade Barriers, Tariffs, Currency Manipulation, and Non Monetary Tariffs, and that these Countries have not, at my strong suggestion, retaliated in any way, shape, or form against the United States, I have authorized a 90 day PAUSE, and a substantially lowered Reciprocal Tariff during this period, of 10%, also effective immediately.”

According to the White House, over 75 countries have now asked to engage in bilateral talks, with only China, the European Union (EU), and Canada having threatened any significant relation. Treasury Secretary Scott Bessent, speaking Wednesday afternoon, emphasized that the pause is necessary because of the number of nations entering talks, and the fact that President Trump wants to be a part of each negotiation.

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President Donald J. Trump announced on Wednesday that the United States will now impose a total tariff of 125 percent on Chinese imports, after raising the total trade duty to 104 percent less than 12 hours earlier. In addition, Trump signaled that he would reduce the tariffs imposed on countries that have not moved to retaliate against the U.S. for a 90-day period, as each engages in bilateral talks with the White House. show more
April 9, 2025
Immigration
Lawfare

ACLU Launches Fresh Lawfare Attack on Alien Enemies Act After Trump SCOTUS Win.

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❓What Happened: The American Civil Liberties Union (ACLU) has filed a lawsuit against the Trump administration to stop deportations under the 1798 Alien Enemies Act (AEA).

👥 Who’s Involved: The ACLU, the Trump administration, two Venezuelan migrants, and the Supreme Court.

📍 Where & When: The lawsuit was filed on Tuesday in New York after a related Supreme Court decision on Monday.

💬 Key Quote: “The AEA has only ever been a power invoked in time of war… It cannot be used here against nationals of a country—Venezuela—with whom the United States is not at war,” the ACLU claims.

⚠️ Impact: The lawsuit challenges the use of presidential powers to deport designated “alien enemies,” potentially affecting over 130 illegals already removed from the U.S.

IN FULL:

The American Civil Liberties Union (ACLU) initiated a new lawsuit against the Trump administration on Tuesday, seeking to halt the deportation of two Venezuelan migrants under the 1798 Alien Enemies Act. Filed with the U.S. District Court for the Southern District of New York, the litigation follows a U.S. Supreme Court ruling on Monday that lifted a restraining order issued by Judge James Boasberg that prevented President Donald J. Trump from using the act to remove members of Tren de Aragua from the country. In addition, the Supreme Court determined that future challenges to deportation under the act must be filed with the lower court in the jurisdiction in which the migrant was detained.

In the filing, which asks U.S. District Court Judge Alvin Hellerstein to block the deportation of two Venezuelan illegal immigrants, the ACLU argues that the Alien Enemies Act has historically only been deployed during wartime and not against foreign nationals from countries with which the United States is at peace. “The AEA has only ever been a power invoked in time of war, and plainly only applies to warlike actions: it cannot be used here against nationals of a country—Venezuela—with whom the United States is not at war, which is not invading the United States, and which has not launched a predatory incursion into the United States,” the filing contends.

Additionally, the ACLU accuses the Trump administration of violating the Supreme Court’s Monday ruling, which requires federal officials to provide those detained under the Alien Enemies Act with notice before they are deported. “Respondents seek to move Petitioners in secret, without due process, to a prison in El Salvador known for dire conditions, torture, and other forms of physical abuse—possibly for life,” the filing states, adding: “This has already borne out for over 130 individuals on March 15 who have lost all contact with their attorneys, family, and the world.”

The Trump White House has utilized the Alien Enemies Act to expedite the expulsion of illegal immigrants shown to be affiliated with violent criminal organizations and gangs like Venezuela’s Tren de Aragua and El Salvador’s MS-13. Those detained and deported under the law are sent to El Salvador’s Terrorism Confinement Center (CECOT).

Previously, Judge Hellerstein—presiding over the case—twice rejected President Trump’s attempts last year to move Manhattan District Attorney Alvin Bragg’s so-called hush money prosecution against him to federal court.

Image by Billy Wilson.

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April 9, 2025
Economy
World

CCP Announces Another Retaliatory Tariff Against U.S. After Trump Raises Duties on China to 104%.

PULSE POINTS:

❓What Happened: The United States raised tariffs on Chinese goods to 104 percent at midnight. In retaliation, China announced a further 50 percent tariff on American goods, raising its total tariff on U.S. imports to 84 percent.

👥 Who’s Involved: President Donald J. Trump, U.S. Treasury Secretary Scott Bessent, Chinese President Xi Jinping, Chinese Foreign Ministry spokesman Lin Jian.

📍 Where & When: The tariffs were enforced at midnight on Tuesday, April 8, with China’s retaliatory measures scheduled to start on Thursday, April 10.

💬 Key Quote: “They are the surplus country. Their exports to the U.S. are five times our exports to China. So, they can raise their tariff, but so what?” — U.S. Treasury Secretary Scott Bessent.

⚠️ Impact: The additional tariff imposed by China on American goods marks a continued escalation in the trade conflict between the two nations and will likely increase global market volatility. However, China’s position as a heavy net exporter means their tariff is likely to have little effect on the American economy overall.

IN FULL:

The People’s Republic of China will impose an additional 50 percent tariff on American goods beginning Thursday after U.S. President Donald J. Trump raised the tariff on all Chinese imports to 104 percent yesterday at midnight. American goods exported to China will now face an 84 percent tariff in total. The Chinese retaliatory tariff will likely have little effect as the communist state exports far more goods than it imports.

“I think it’s unfortunate that the Chinese actually don’t want to come and negotiate because they are the worst offenders in the international trading system. They have the most imbalanced economy in the history of the modern world. And I can tell you that this escalation is a loser for them,” U.S. Treasury Secretary Scott Bessent said on Wednesday after China announced the new trade duties. He explained: “They are the surplus country. Their exports to the U.S. are five times our exports to China. So, they can raise their tariff, but so what?”

The Treasury Secretary also warned the Chinese Communist Party (CCP) that what they “should not do is try to devalue their way out of this,” noting that the Chinese offshore yuan—the country’s internationally tradable currency—hit its weakest level since 2010 on Tuesday. Bessent emphasized that any attempt by China to devalue the yuan would force other nations to “keep raising their tariffs to offset the devaluation.”

China, however, contends the United States is using trade policy to attack its sovereignty and development interests. “We will not let anyone take away the Chinese people’s legitimate right to development. We will not tolerate any attempt to harm China’s sovereignty, security, and development interests, ” Lin Jian, a spokesman for the Chinese Foreign Ministry, said after the announcement of an additional 50 percent tariff on U.S. goods on Wednesday.

While China and a handful of other nations continue to resist President Trump’s moves to end unfair trade barriers against American products, at least 70 countries are set to begin negotiations with the White House on bilateral trade agreements.

Image via Wikimedia Commons.

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