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The Guardian - US
The Guardian - US
World
Cecilia Nowell (now); Lucy Campbell and Tom Ambrose (earlier)

Trump’s tariffs are ‘teeing up a nationwide recession’, says Chuck Schumer – as it happened

man wearing glasses, grey suit and purple tie
Chuck Schumer at the Capitol last week. Photograph: Will Oliver/EPA

Closing summary

Our live coverage is ending now. In the meantime, you can find all of our live US politics coverage here. And you can also follow along with our continuing coverage of the US’s tariffs announcement here. Here is a summary of the key developments from today:

  • Donald Trump took questions from reporters during an Oval Office meeting with Israeli prime minister Benjamin Netanyahu today. In it, Trump indicated that he would attend “direct talks” with Iran on Saturday, that it “would be a good thing” to have the United States “controlling and owning the Gaza Strip”, and that European Union “rules and regulations” are “non-monetary barriers” on trade.

  • Shortly after Trump’s meeting with Netanyahu, Iranian officials and state media disputed Trump’s claims that the US is scheduled to participate in “direct talks” with the country this weekend, indicating that the country understood it was entering indirect talks moderated by Omani officials.

  • In a 5-4 decision, the US supreme court will allow the Trump administration to continue deporting Venezuelan migrants under an 18th-century wartime law.

  • After a phone call with Japanese prime minister Shigeru Ishiba this morning, Trump directed US treasury secretary Scott Bessent to open negotiations with the Japanese government.

  • Trump abruptly threatened to raise his tariffs on China by an additional 50% if China doesn’t withdraw its (retaliatory) tariffs of 34% by tomorrow. That would raise Trump’s tariff on China to an unprecedented 104%.

  • During speeches this afternoon, Democratic leadership in the House and Senate warned that Trump’s tariffs are teeing up “a nationwide recession”.

  • After US stock markets opened this morning on bear market territory, the Cboe Volatility Index, also known as Wall Street’s “fear gauge”, reached “crisis levels” as it skyrocketed to its highest level since the Covid-19 pandemic.

  • Canada has requested World Trade Organization (WTO) dispute consultations with the US over Trump’s decision to impose a 25% duty on cars and car parts from Canada, the WTO said today.

  • Mexico is seeking to avoid retaliatory tariffs against the US but is not ruling them out, Mexican president Claudia Sheinbaum said.

  • The US Conference of Catholic Bishops is ending a half-century of partnerships with the federal government to serve refugees and children, saying the “heartbreaking” decision follows the Trump administration’s abrupt halt to funding for refugee resettlement.

  • Health secretary Robert Kennedy Jr will direct the CDC to stop recommending states add fluoride to their drinking water.

  • In a social media post, Trump backed the Senate’s budget proposal – lending his support to the plan as House speaker Mike Johnson tees up a vote on the budget later this week despite still not having enough votes to guarantee its passage.

Updated

US homeland security department offers buyouts to workers – report

Homeland security employees have received a second email asking them to consider voluntarily resigning, retiring or taking a “buyout” of up to $25,000, Reuters reports, citing an internal email.

Staff members have one week to consider the options.

The notice represents the Trump administrations ongoing effort to shrink the federal government by aggressively laying off government workers. In a symbol of the agency’s importance to Trump’s mass deportation plans, however, law enforcement staff were exempted from the program.

Updated

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