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Trump is trying to wage an ambitious trade war with a shrinking army

19 August 2026 at 13:27

The staff of the tiny agency on the front lines of President Donald Trump’s trade wars has shrunk to its smallest size in two decades as its responsibilities balloon. Its work is suffering.

Since Trump returned to the White House, the agency has rolled out new tariffs across the globe, launched trade negotiations with dozens of countries and reopened the signature pact governing North American trade. And after the Supreme Court struck down many of his initial tariffs, it has begun four probes into countries’ unfair trade practices to provide legal justification for new duties — with more threatened

The trade agency is attempting to do all of this with a staff that has dwindled by about a fifth, which along with a hiring slowdown and an intensely compressed schedule is leading to often slapdash work, according to eleven former trade officials from the Trump and Biden administrations who spoke to POLITICO.

Some of the errors are embarrassing, including letters sent to foreign dignitaries announcing new tariffs that went out addressed to the wrong titles and genders, according to one former official.

Others could undermine the president’s drive to impose new duties on dozens of trading partners. A recent investigation into whether other countries’ inaction on forced labor is giving their exports an unfair advantage was rushed out in a matter of months when previous investigations have taken more than a year. An announcement of a second investigation lacked basic details like what policies are harming U.S. businesses. Tariff challengers have already seized on similar weaknesses in court.

“When you’re rushing like that, right, it’s kind of like crap in, crap out,” said one former Trump USTR official, who, like others interviewed by POLITICO, was granted anonymity to discuss the agency’s inner workings. USTR officials are getting “crushed” under the administration’s workload, the person said.

The brain drain at the agency, including the departures of senior officials responsible for leading trade talks with key allies, is continuing even as U.S. Trade Representative Jamieson Greer has pushed to expand the budget and stepped up hiring efforts.

A USTR spokesperson said that under Greer’s leadership, the agency has “delivered an unprecedented volume of work on behalf of the American people that is thorough and outcomes-based.”

Greer inherited an agency that was already shorthanded, and the Trump administration wasted no time in rolling out its new tariff-focused trade agenda. In the opening months of the administration, the president unveiled new tariffs on Mexico, Canada and China, before rolling out sweeping new duties on almost every U.S. trading partner on April 2, 2025 — what the president dubbed “Liberation Day.”

But the Liberation Day rollout was filled with errors. In addition to slapping tariffs on an uninhabited island filled only with penguins, which was roundly mocked in the media, the administration sent letters informing countries of their new tariff rates that contained the wrong genders and titles for foreign officials, said the first former official. The calculation for assessing the tariff rates, which USTR eventually published on its website, showed a simple back-of-the-envelope formula based on countries’ trade surpluses with the U.S., an embarrassment for an agency that prides itself on its data-driven, reasoned trade analysis and deep technical knowledge.

The episode “made USTR look like a joke,” the former official said.

The Supreme Court in February struck down Trump’s Liberation Day tariff regime, leaving USTR to come up with alternative legal justifications for imposing sweeping duties. More serious than the embarrassing mistakes, former officials said, is that the agency has been rushing out the reports and announcements that are used to create those justifications, potentially handing tariff challengers legal ammunition.

A March announcement of a probe into countries’ manufacturing overcapacity did not initially identify any specific policies from trading partners that qualify as an unfair trade practice, said Ed Gresser, a former assistant USTR for trade policy and economics, who left the agency during the Biden administration. The omission could leave the probe more vulnerable to a legal challenge, he said.

Countries also pushed back against inaccurate information in that announcement. An initial version referred to Singapore — one of the investigation’s targets — as having a bilateral trade surplus with the U.S. of $27 billion in 2024. But that language was quietly removed from a later version after the Singaporean government pointed out publicly that it was, in fact, the U.S. that had a trade surplus of $27 billion with Singapore. USTR also quietly corrected the numbers it cited for both Indonesia and Cambodia’s trade surpluses with the U.S.

Tariff challengers are already filing court documents citing omissions in the USTR investigation into efforts to curb imports made with forced labor. The July report into countries’ forced labor practices, initiated under Section 301 of the Trade Act of 1974 and produced in just four months, lacked the depth featured in comparable reports from previous administrations, three former officials noted.

“It strikes me a lot more vulnerable to legal challenge than previous 301 reports have been,” said Gresser, who is now the vice president and director for trade at the Progressive Policy Institute.

Democratic attorneys general filed a suit earlier this month seeking to overturn the proposed duties tied to forced labor. “The USTR made no effort to link the scope of the tariffs to the scope of harm,” they wrote in their filing.

Burlap and Barrel, a vendor of imported spices that is also suing, noted that the USTR failed to provide a “reasoned, record-based explanation” for its tariff findings.

“You can tell they’re stretched,” said Peter Harrell, a former Biden administration economic official who is now a trade law professor at Georgetown Law. Officials are “not able to put in or do the level of detail that they’ve been able to do in the past.”

USTR’s staff of less than 300 people has always punched above its weight, almost all of the former officials noted. The Commerce and Treasury Departments, by comparison, count workforces of around 40,000 and 80,000 employees, respectively.

From 2023 to 2026, however, the number of USTR employees fell almost 20 percent, from 269 workers to 220, leaving it with the smallest workforce since 2005, according to data from the White House Office of Personnel Management.

The agency’s lowest staffing in more than 20 years continues a decline that began in the latter half of the Biden administration when the agency faced a staff exodus driven by frustration with the former president’s dormant trade agenda.

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USTR’s in-house expertise has only continued to dwindle in the second Trump administration.

The agency’s most senior official responsible for North American trade, Daniel Watson, retired just days before the White House formally launched a review of the U.S.-Mexico-Canada Agreement on July 1. Meanwhile, Bryant Trick, the top trade official for Europe and the Middle East is also set to retire in the coming months at a time when U.S. talks with Europe over its digital trade practices, pharmaceutical pricing and implementation of a bilateral trade pact are in full swing.

Officials that left the agency during Trump’s second term did not agree on a single driving factor behind the recent departures. The first former USTR official cited their dismay over Trump’s ties to the late disgraced financier Jeffrey Epstein as a reason for their own departure. Others noted there was a cohort of staff nearing retirement age.

“I don’t sense that one can point to a morale problem or something like that,” a second former official said.

Greer, who served as chief of staff to Trump’s first-term trade representative, Bob Lighthizer, is widely respected at the agency, former officials said, and built up goodwill among staff for his handling of the administration-wide effort to cut the size of the government last year. USTR was spared from those cuts, which several former officials attributed to Greer’s assertiveness on personnel matters.

There is money available for USTR to staff up. The agency received $88 million in fiscal 2026, which should accommodate 274 employees, according toUSTR’s budget documents.Greer is also asking for $95 million in fiscal 2027 to beef up trade enforcement activities. The agency says the funding increase would allow for 301 full-time employees.

But it hasn’t been easy to hire.

Since Trump returned to office, the private sector has scrambled to bring on trade experts to help companies navigate the more complex tariff landscape, offering higher salaries than candidates and sitting officials can earn in government.

“It is no surprise that the private sector is eager to hire the well-regarded experts at USTR during this period of historic change in U.S. trade policy,” the USTR spokesperson added in a statement.

Three of the former officials said it is common for jobs to sit vacant for more than a year. One said they have seen the recruitment process drag on for two years, as the Executive Office of the President, which handles USTR’s hiring, prioritizes recruitment in other executive offices.

Shifts in human resources policies under Trump have also hurt recruitment efforts, two of the former USTR officials said, citing, in particular, new limits on remote work.

A flexible working environment “is one of the ways that you compete with better salaries and more certainty in other sectors,” one of the people said.

USTR is supposed to be a “nimble” agency, the person stressed — particularly so under Trump, where trade negotiations, investigations and new tariffs are rolled out on shortened timelines and responding to fast-moving developments in bilateral trade relationships.

“They’re being asked to do a lot,” the person said, but the hiring “system is just not set up to be nimble or to get results on any quick timeline.”

Paroma Soni contributed to this report.

UK ‘open to discussing’ digital services tax with Trump administration

19 August 2026 at 12:15

LONDON — Prime Minister Andy Burnham’s government said the U.K. is willing to discuss American concerns over its digital services tax amid renewed pressure from the White House.

President Donald Trump in June threatened to impose 100 percent tariffs on European countries with DSTs which target U.S. tech firms, and in an interview with The Times newspaper published on Monday, Trump’s top trade official Jamieson Greer said the threat was “not a bluff” and the president’s demands that foreign governments abandon such taxes were “quite serious.”

“We remain open to discussing U.S. concerns and working with partners internationally,” a U.K. government spokesperson said when asked about Greer’s comments.

“This tax is about making sure that businesses pay their fair share of U.K. tax based on the value they derive from U.K. activities,” the spokesperson said, adding that the U.K. is committed to removing it “once a global solution is in place.”

The DST raised over £1 billion last year, predominantly from American tech firms, and has repeatedly drawn Trump’s ire.

The U.K. government has so far resisted calls to abandon the tax, including during trade negotiations last year. A U.K.-U.S. Economic Prosperity Deal signed by Trump and Burnham’s predecessor, Keir Starmer, did not mention the DST but said both sides would continue discussions to increase digital trade and address non-tariff barriers.

Greer added in his interview with The Times that the U.S. administration would not “set artificial timelines” and that relations with his British counterparts, including Trade Secretary Jonathan Reynolds and the prime minister’s business adviser Varun Chandra, are positive.

Trump hits pause on new Canada tariffs

19 August 2026 at 05:14

President Donald Trump paused a 50 percent tariff on Canadian goods hours before it was scheduled to kick in, saying the two countries had reached a preliminary deal.

In a post on social media late Tuesday, Trump announced that he would delay the duties, set to go into effect at midnight on Wednesday, for three days “based on the fact that Canada and the U.S.A., subject to the finalization of documents, have a DEAL!”

The president teased that the agreement could include resurrecting the Keystone XL Pipeline, a long-stalled pipeline extension intended to pump crude oil from Alberta, Canada to the Midwest of the United States.

Trump is weighing whether to grant Canada a tariff reprieve

18 August 2026 at 21:21

A deal between the U.S. and Canada to stave off new tariffs on Canadian goods is now on President Donald Trump’s desk, according to three people familiar with the discussions who were granted anonymity because of the sensitivity of the talks.

Now it’s up to Trump whether the 50 percent duty goes into effect, as scheduled, at midnight.

U.S. and Canadian officials have been in wall-to-wall talks for several days, with the administration pressing Canada to drop retaliatory measures it took against Trump’s tariffs last year — including provincial bans on U.S. liquor and tariffs on U.S. automobiles — and Ottawa looking to lower U.S. duties on autos, among other goods. The potential deal taking shape also includes Canadian concessions on its tariff-rate quota on dairy — an issue that has frequently come up in Trump’s missives against Canadian trade policy, according to two of the three people.

Negotiators hope a small deal on these issues can unlock broader talks between the two countries on a North American trade agreement that is up for review this year. But automobiles remained a major sticking point in negotiations Monday as U.S. and Canadian officials huddled in the afternoon, according to three other people familiar with the status of the talks, granted anonymity to discuss them. While the duties set to go into effect Wednesday only hit a small percentage of trade between the two countries, they could poison the broader negotiation on nearly $1 trillion worth of goods and services trade between the two countries.

“You can think of it as effectively trying to come up with an early harvest, an interim deal, a smaller package of what ultimately will land as part of the USMCA talks,” said Kelly Ann Shaw, who served as deputy assistant for international economic affairs during Trump’s first term.

The political stakes are high on both sides of the border. After repurposing a hockey fighting slogan to describe his approach to the U.S. during last year’s campaign, Canadian Prime Minister Mark Carney is now confronted with U.S. officials who are adamant that Canada will have to drop longstanding trade protections, like loosening its supply management program that protects the dairy and lumber industries.

“There’s going to be a political cost for Carney on any type of concession with some portion of the public,” said an industry figure, granted anonymity to speak candidly about the trade discussions. “I cannot understate how upset the average Canadian is with the United States, and really specifically with Trump.”

If the tariffs go into effect, the Trump administration risks creating more economic pain ahead of midterm elections — particularly in Maine and Michigan, two states that could help determine the control of the Senate.

“At the end of the day, [U.S. Trade Representative Jamieson] Greer cannot bring something to the president that doesn’t address some of the president’s personal core concerns,” Shaw said. “And I think Carney recognizes he’s got to bring something back where he can say, ‘Look, not only are we just at the table, but we actually got something for it.’”

The White House did not respond to a request for comment. Gabriel Brunet, the spokesman for Canada-U.S. Trade Minister Dominic LeBlanc, said the Canadians were “in a holding pattern at this time.”

Trump sparked the frenzied negotiations last month after he used a Great Depression-era tariff law to impose tariffs on a wide swath of Canadian goods, like hockey equipment and Canadian bacon, if Canada did not remove its tariffs on U.S. automobiles, eliminate provincial bans on U.S. alcohol and make changes to its dairy supply management laws. But his proclamation included a one-month lag before the duties to kick in, to allow more more talks. The tariffs officially take effect at midnight Aug. 19.

At the time, trade experts saw the tariffs as a way for Trump to force Canada to the negotiating table after struggling for months to make progress — to U.S. officials’ growing frustration.

“I think these three issues must be resolved before Canada can get into the room on USMCA with the United States,” said a former USTR official, shortly after Trump unveiled the new tariffs on Canada last month. “And the U.S. side is wanting a situation where Canada is in the room and so they’re trying to help prompt fixes to these three.”

Of the three issues, auto tariffs have emerged as a key sticking point. Canada is looking for reductions in the 25 percent auto tariffs Trump imposed last year on countries around the world and wants the duty to apply only to vehicle content produced outside North America, according to one of the people.

Automobiles could also be key to unlocking progress on U.S. demands. The United States has made clear that getting American wine and spirits back on Canadian shelves is a red line in the negotiations. But that issue is up to the individual provinces maintaining the bans, which will mean winning over premiers like Doug Ford of Ontario — a car-making hub.

Whether Ford caves will “come down to where we land on autos,” one of the people said, calling the automobile piece of the talks a “domino” in the discussions.

Ford exerted his control over his province’s liquor stores in March 2025, removing U.S. alcohol from shelves in the country’s most populous province. Other premieres soon followed, delivering a nearly $150 million blow to the U.S. distilled spirits industry, alone. While Alberta and Saskatchewan lifted their bans after just a few months, the two provinces account for less than 20 percent of the Canadian population.

Even if the premieres do end their boycott, there’s no guarantee that Canadians — who are also upset by Trump’s jabs that Canada should become the 51st U.S. state — will be quick to resume purchases.

“I would be surprised, even if the liquor goes back on the shelves, if Canadians buy it,” said the industry figure.

While Trump officials have repeatedly faulted Canada for being one of two countries that retaliated against the president’s tariffs — along with China — Trump is also attempting to get the country to drop longstanding protectionist measures for its dairy industry, a source of tension between the two neighbors for decades.

On the Canadian side, negotiators LeBlanc and Janice Charette have been pushing for reductions to U.S. national security tariffs imposed on automobiles and steel and aluminum. But the Trump administration has held firm on the 50 percent steel tariffs, according to three people familiar with the status of the metals discussions.

“That’s probably going to be something that is much more of a longer term” discussion, one of the people said, “if at all.”

Greer stressed to reporters last week that he has been satisfied with the steel tariffs and their impact on the domestic steel industry.

“This is working,” he argued, pointing to rising domestic steel production. Through mid-August, U.S. steelmaking was up more than 5 percent year-to-date on the same period last year, according to the American Iron and Steel Institute, and capacity utilization was up two percentage points.

“We’re seeing huge success in the American steel industry, which is exactly what President Trump wanted,” Greer said during a trip to Iowa Thursday.

Mike Blanchfield contributed to this report from Ottawa.

Der Preis von Europas China-Abhängigkeit – mit Janka Oertel

18 August 2026 at 05:05

Chinas Exporte treffen die deutsche Kernindustrie in nie da gewesener Härte und Geschwindigkeit. Weil massiv Arbeitsplätze wackeln, sucht Europa händeringend nach einer politischen Notbremse. Rixa Fürsen spricht mit Janka Oertel über die existenzielle Bedrohung für den Autobau und Maschinenbau. Oertel ist Politikwissenschaftlerin und China-Expertin, bei der Denkfabrik „European Council on Foreign Relations“ ist sie Direktorin des Asienprogramms und Senior Policy Fellow.

Wie hart Peking inzwischen zurückschlägt, zeigt die Reaktion auf jüngste EU-Sanktionen. Binnen 24 Stunden konterte China mit Exportrestriktionen gegen Rüstungskonzerne wie Rheinmetall. Trotzdem wächst in Europa der Widerstand, sodass beim EU-Rat im Oktober scharfe Handelsschutzmaßnahmen folgen könnten.

Während wir noch über E-Autos diskutieren, plant China längst die nächste industrielle Revolution. Im Bereich der sogenannten Biomanufaktur will Peking eine globale Dominanz aufbauen, um unabhängiger von fossilen Rohstoffen zu werden. Oertel warnt davor, dass Europa auch bei dieser Zukunftstechnologie seine aktuelle Führungsrolle verspielen könnte.

Das Berlin Playbook als Podcast gibt es jeden Morgen ab 5 Uhr. Gordon Repinski und das POLITICO-Team liefern Politik zum Hören – kompakt, international, hintergründig.

Für alle Hauptstadt-Profis: Der Berlin Playbook-Newsletter bietet jeden Morgen die wichtigsten Themen und Einordnungen. Jetzt kostenlos abonnieren.

Mehr von Rixa Fürsen gibt es auch hier:
Instagram: @rixafu | X: @rixa_fursen.

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Meet Dave Brat, the US ambassador who ‘can speak Trump’ in Canberra

17 August 2026 at 04:48

Dave Brat, Australia’s freshly confirmed U.S. ambassador, didn’t need to learn another language to qualify for his new gig. But he’s coming into the job fluent in a niche dialect that could give him a big advantage.

“He can speak Trump,” James Braid, President Donald Trump’s director of legislative affairs, said in a recent interview. “He can understand Trump, and he’s recognized as a longtime Trump ally. And I think that will really help him facilitate Aussie-United States relations.”

This dynamic could be key as Brat gets to work in Canberra, where political leaders have been rattled by the Trump administration’s aggressive trade agenda resulting in the implementation of a 12.5 percent tariff on Australian goods.

A longtime economist and academic, Brat is an avowed free trade advocate, which could quell some nerves on the ground. But Brat has also defended the Trump administration’s tariff regime as a kind of reset of the U.S. economic relationship with the world, telling a local news outlet in his home state of Virginia last year that “these tariffs are an attempt to bring some balance.”

At the same time, he has the ear of the White House, having earned Trump’s trust and respect long ago as a Republican member of the U.S. House of Representatives from 2014 to 2019. There, Brat was a member of the House Freedom Caucus — a contingent of conservative hard-liners known for taking uncompromising positions on federal spending — and in 2016 he embraced then-presidential candidate Trump as other more establishment Republicans turned their noses.

“The president hasn’t forgotten that,” said Braid, who was policy director of the Freedom Caucus during that period.

The Freedom Caucus was, as it is now, perpetually at war with party leadership on Capitol Hill, but the group harnessed Brat’s affable disposition and deft touch in high-stakes policy negotiations. He was obsessed with making sure that the group’s goals would be understood both by negotiators across the table and the public — something his former colleagues expect him to bring to the international stage.

Justin Ouimette, a former longtime executive director of the House Freedom Caucus, said in an interview that Brat’s approach has always been, “here’s the message and here’s where it is coming from” — a tactic that “tends to lower the temperature.”

“He was one of those guys that’s typically dispatched to disagree without being disagreeable,” Braid agreed. “Brat is really effective at stating a position, being firm while also collaborating to reach an outcome, and so that that experience will serve him well in his new diplomatic post.”

There’s hope among some in Washington that Brat’s views on trade, coupled with his ties to the Trump administration, could help soothe existing tensions and result in a positive working relationship between the U.S. and Australia. That optimism is shared by Virginia’s two Democratic U.S. senators, Tim Kaine and Mark Warner, who supported Brat’s nomination.

“He will be very focused on commerce, trade, and economic opportunity. You know, things that are good for the U.S. and good for the Australian economies,” said Kaine, who as governor once relied on Brat’s contributions to a bipartisan economic advisory panel to build the state’s budget.

“He’ll be very mindful of the commercial relationship, and I think that’s something that will be viewed positively by the Aussies,” Kaine added.

He noted that Virginia’s massive naval base would now have an advocate in Brat amid the continued implementation of AUKUS, a trilateral security pact among Australia, the U.K. and the U.S. in 2021 aimed at helping Australia acquire nuclear-powered submarines.

Warner was less effusive, saying he has “disagreed with Dave on a lot of issues,” but acknowledged he also was “a smart guy” he supported for the ambassadorship.

Brat also has long been vocal about the competitive threats to the U.S. posed by China, a concern shared by Australia in its diplomatic engagement with the Pacific region. Ouimette speculated that “his clear-mindedness and alignment with the administration on that particular issue weighed in his favor” as the White House was making its ambassador selection.

There are still some unknowns, however, including whether Brat will be living in Canberra full time and how he’ll handle staffing issues at the U.S. Embassy.

“I understand that Mission Australia’s current staffing and facilities are insufficient to meet the demands of our expanding Alliance activities,” Brat said in a written response to U.S. Sen. Brian Schatz, a Hawaii Democrat, as part of his confirmation proceedings. “Our investment in diplomatic infrastructure reflects our commitment to this vital partnership.”

Brat’s arrival heads a wave of new senior appointments at the embassy including Robert T. Koepcke as deputy chief of mission and Jonathan A. Habjan as counselor for political affairs.

A slew of new military postings at the embassy includes Col. Richard Bush as defense attaché; Col. Pete Roongsang as Army attaché; and Col. Kabir Rao as chief of MILGROUP, which manages security cooperation, foreign military sales and defense relations with the Australian Armed Forces.

Brat also hasn’t spoken publicly or at length about how or why he was recommended for this particular posting, though he said during his confirmation hearing that he “loved the Australian people I have met in my life and appreciate their decency, wit and sense of humor” — as well as being a “tennis fanatic” eager to engage in “sports diplomacy across the board.”

Australian Prime Anthony Albanese is also a keen tennis player, known to invite dignitaries and journalists to play on the court at his official Canberra residence, The Lodge.

“I’m very much looking forward to having a hit of tennis with David Brat,” Albanese told POLITICO, adding that he believes Brat’s appointment will “bolster” the existing alliance.

Brat did not respond to POLITICO’s requests for interviews.

But Braid made clear that sending Brat to Australia is not a vanity posting or just a favor for a longtime Trump loyalist, calling Brat “a serious lawmaker with serious chops.” He conceded that while Brat “comes from a political tradition that may be a little bit unfamiliar to the Australians,” he brings relationships and experiences to the table a career foreign service officer could not.

“This is a serious person,” Braid said.

Trump’s “forever” tariffs are kicking in for the long haul – and US consumers are footing the bill

16 August 2026 at 12:00

President Donald Trump’s tariff announcements no longer cause the market gyrations that they did in 2025. But their sticker shock for American consumers is becoming increasingly clear – just as economic sentiment is souring ahead of the November 2026 midterm elections.

Many business groups had hoped that the tariff wars would end in February, when the Supreme Court overturned Trump’s emergency tariffs. They got a rude awakening five months later, however, when Trump announced a raft of new import taxes to replace the levies that were struck down.

Covering nearly all U.S. imports, the advantage of these tariffs in the Trump administration’s view is that they’re more firmly based on existing U.S. trade law, beyond the reach of the Supreme Court’s review. And Trump has said he envisions enacting many more of these so-called trade law tariffs.

As a trade economist who has been following the tariff wars, I believe that the longer these import taxes are in place, the more the consumers will bear their burden. The 2025 “Liberation Day” tariffs that the Supreme Court struck down, as well as other levies Trump announced after the February ruling, turned out to be temporary. But the bulk of the new levies are designed to be permanent.

That means that for consumers, the total cost burden is likely to increase even if the tariff rates don’t change – because the new tariffs will be stacked on older ones.

The cost squeeze

On one level, Trump’s tariff fixation is a mystery. Tariffs continue to be unpopular, and it’s unclear why Trump would double down on them before midterm elections when his approval ratings, including on the economy, are so low.

But on another level, Trump’s embrace of tariffs can be understood as an instrument of personal power. He has long viewed them as tools for negotiating leverage, and he recently declared that U.S. tariffs “aren’t high enough.” The president also has deflected criticism of their impact on consumer prices by claiming erroneously that foreigners pay for them.


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The simple fact is that U.S. tariff invoices issued by the Treasury Department are sent to the U.S. businesses that import the foreign products. These companies may try to absorb some of the cost to protect their market share and work through existing inventory. But eventually, the squeeze will compel them to pass most of that extra tax onto U.S. consumers – no matter which foreign countries are targeted.

And now that tariffs have had time to work through the economy, researchers have found an impact on prices. The Dallas Federal Reserve recently estimated that the Fed’s preferred inflation measure would have risen without tariffs at an annual rate of 2.3% in March, instead of its actual 3.2%. Meanwhile, an analysis by the Yale Budget Lab concluded that consumers are paying anywhere from half to the entire cost of the levies through higher prices, depending on the goods.

Tariffs upon tariffs

Trump based his July tariff announcements on three different legal justifications: a country’s unfair trade practices, like forced labor, which is known as Section 301; national security protection, or Section 232; and discrimination against U.S. imports, or Section 338. The last is a trade war tariff dating to the Smoot-Hawley Tariff Act of 1930.

The new Section 301 tariff rates, which are global, currently range from 10% to 12.5%, but they could go up at the president’s discretion.

Section 301 has also opened the door to new country-specific tariffs targeted at Brazil, at 25%, while Section 338 was cited to slap an extra 50% import tax on certain Canadian goods. In addition, Trump has imposed levies ranging from 25% to 50% for specific products, covering steel, aluminum, automobiles, copper, timber, lumber and pharmaceuticals.

Yet more new tariffs are planned for wind turbines, personal protective and medical equipment, robotics, machinery and coal, as well as to combat foreign excess production capacity and support U.S. production of foreign generic prescription drugs.

With so many tariffs in the mix, consumers will be even more squeezed because many of these taxes will be stacked on top of one another. For example, Section 301 tariffs will be applied on top of the older legacy tariffs that date back to World Trade Organization rules setting a baseline Most Favored Nation rate, as well as on top of each other.

So if a country ends up facing tariffs based on forced labor violations as well as excess capacity, each at 10%, on top of a uniform Most Favored Nation rate of 3%, the total rate on all products from that supplying country would be 23%. And this levy will be paid by U.S. consumers, not foreigners.

Pushback from the states

Trump is especially interested in Section 301, which is meant to remedy foreign trade practices that are discriminatory, unfair or unreasonable, and that burden U.S. commerce. It sets no limit on tariff rates and lets the president discriminate among exporting countries. Furthermore, federal courts have typically given the president broad discretion in implementing the statute.

Trump chose to use this measure to punish virtually all U.S. trading partners on grounds that they failed to prevent imports into their markets that were made with forced labor. His administration based the decision on its own investigation that determined the U.S. is the only country that prevents forced labor imports.

These tariffs were set at 12.5% for countries without any formal prohibition on forced labor imports, and 10% for all other countries with such a prohibition. These tariffs are similar in scope and impact to the earlier Liberation Day tariffs.

Twenty-five U.S. states then challenged these levies at the U.S. Court of International Trade, using similar reasoning as the Supreme Court when it struck down the emergency tariffs on grounds that they were an unconstitutional tax on U.S. consumers. Citing the affordability burden, the lawsuit claims that the Section 301 tariffs do the same thing. Nor did the administration offer any indication of how the tariffs were calculated and when, if ever, they would be removed.

The lawsuit further alleges that the new tariffs go far beyond the original purpose of Section 301, which is to open specific markets to U.S. exports through negotiated policy reforms, not to impose global tariffs with no clear goal in sight.

Whether this legal challenge will succeed depends in part on whether judges will continue to defer to the president on these particular levies, no matter how much they deviate from previous practice. And I believe Trump is counting on it.

Kent Jones, Professor Emeritus of Economics, Babson College

This article is republished from The Conversation under a Creative Commons license. Read the original article.

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US threatens EU over its green reporting rules

14 August 2026 at 17:01

The U.S. on Friday threatened action against the EU unless Brussels reins in its environmental and human rights rules, which Washington says unfairly burden American companies.

Acknowledging Brussels had made “some positive reforms,” Washington said the EU had “failed to fully address U.S. concerns,” and that it “will take any actions necessary to address unreasonable burdens on U.S. commerce.”

U.S. Ambassador to the EU Andrew Puzder piled on the pressure Friday, writing on X that “now it’s time for the EU to deliver.” He pointed to commitments made under last year’s Turnberry trade deal to ensure U.S. businesses do not face “undue restrictions” on transatlantic trade due to Brussels’ green regulations.

The dispute centers on two pillars of the EU’s corporate sustainability rulebook: the Corporate Sustainability Due Diligence Directive, which requires large companies to address human rights and environmental harms linked to their operations and supply chains, and the Corporate Sustainability Reporting Directive, which requires companies to disclose sustainability-related information.

Brussels has scaled back both laws in its drive to cut red tape, but has stopped short of Washington’s demand to shield U.S. companies from their reach.

Last week, Puzder similarly attacked the EU’s Carbon Border Adjustment Mechanism as a tariff on U.S. exporters. On Thursday, the White House also accused the EU and more than 40 countries of enabling Chinese goods to skirt U.S. tariffs by rerouting them through their markets.

A European Commission spokesperson told POLITICO that Brussels had made “considerable efforts” to explain its rules and highlight “its willingness to cooperate with the US to increase trade where possible,” but drew a line at changing its regulatory regime in response to U.S. pressure.

“We have been very clear and consistent on the fact that neither our rules framework nor our regulatory autonomy are up for negotiation,” said the spokesperson.

This story has been updated.

Koen Verhelst contributed reporting.

Manitoba's premier: booze returns when the Epstein files do

12 August 2026 at 01:07
Manitoba premier booze Epstein files — Image via Wikipedia

A whole lotta Canadians love them some Wab Kinew. The current premier of Manitoba (think Minnesota but a whole lot more hockey), Kinew wore a lot of hats before wading into politics: journalist, author and musician. In every one of those roles, his skill with words, calm, friendly demeanor and intelligence made him shine. — Read the rest

The post Manitoba's premier: booze returns when the Epstein files do appeared first on Boing Boing.

Will Alberta become the 51st US state? Some Canadians hope so.

10 August 2026 at 05:12

MIRROR, ALBERTA — Nestled within a sleepy community campground and roadside cafe, hundreds of Canadians are gathered to imagine a new country of their own.

It’s July 1, and they’re hosting a family-friendly event that looks like a typical Canada Day celebration. Live music, a farmers’ market, hamburgers on the grill. Except there isn’t a Maple Leaf in sight.

Instead, people have wrapped themselves in Alberta’s flag, wave “we’re done” banners and wear “Trump 2024” and MAGA — Make Alberta Great Again — ball caps. This is an “Albertans’ Day” gathering at the Whistle Stop Cafe, which gained notoriety for bucking pandemic-era rules and which former Alberta premier Jason Kenney calls “ground zero” for the province’s fast-growing separatist movement.

Instead, people have wrapped themselves in Alberta’s flag, wave “we’re done” banners and wear “Trump 2024” and MAGA — Make Alberta Great Again — ball caps. This is an “Albertans’ Day” gathering at the Whistle Stop Cafe, which gained notoriety for bucking pandemic-era rules and which former Alberta premier Jason Kenney calls “ground zero” for the province’s fast-growing separatist movement.

And until Alberta separates, Moore places her faith not in Canadian Prime Minister Mark Carney — whom she views as part of a Davos “cabal” — but in U.S. President Donald Trump.

“I kept thinking this: Trump is the only one that can save us.”

Moore’s affinity for conspiracy theories is shared by many, though certainly not all, of the separatists. Resentment toward the federal government in Ottawa is longstanding in Alberta. But a surprising new ingredient has turbocharged the separatist push: Trump and the increasingly toxic U.S.-Canada relationship. The separatists are furious about Carney’s friction with Trump and the fraying ties to their southern neighbor. Some even hope the Trump administration might help their cause.

Many separatists believe Trump’s presidency makes Alberta’s independence possible, with the United States a ready customer for its oil and gas should they split from Canada. One group, the Alberta Prosperity Project, is trying to seek a C$500-billion U.S. government loan to fund the province’s “seamless departure” from Canada.

“This isn’t your grandfather’s independence movement,” says Jeffrey Rath, a co-founder of the Alberta Prosperity Project and a longtime separatist activist who has sought to court the Trump administration.

Many separatists see a cultural kinship with the United States. They proudly share fake newspaper clippings that highlight the province’s history of early American settlers allegedly helping to shape a self-reliant, frontier culture that remains in Alberta today. They argue the Eastern provinces are more associated with European traditions than American ones.

While some object to Trump’s idea of making Canada the 51st American state, others embrace the idea.

“I like freedom and less taxes,” says Casey Phillips from Edmonton, Alberta.

Carney and his government are now working hard to convince skeptical Albertans their best prospects lie with a united Canada. He and Alberta Premier Danielle Smith, who called the Oct. 19 vote, are touting a new pipeline agreement to send western oil abroad. The effort may work with some swing voters, but the hard-core separatists aren’t likely to buy it.

“It will never happen because Canada’s a communist country and there will be 24 years of paperwork,” Phillips says of the pipeline project. “It’s all lies.”

The separatists have good reason to think the Trump administration could be an ally. In January, Treasury Secretary Scott Bessent called Alberta a “natural partner for the U.S.” while referencing the province’s “great resources.”

“People are talking,” Bessent told conservative podcaster Jack Posobiec, nodding to the separatist movement. “People want sovereignty. They want what the U.S. has got.”

Rath says he has requested introductions to the U.S. Treasury Department and major financial institutions like JP Morgan Chase and Goldman Sachs to build a day one feasibility plan for Albertan independence, though it’s unclear if he has had any such conversations.

The Alberta Prosperity Project, however, has taken three trips to Washington, D.C., and Rath insists the group has met with “very senior level” officials, who he says have taken their information directly to the White House.

A State Department spokesperson said the department “regularly meets with a wide range of representatives. We do not anticipate any future meetings, and all department engagements are at our sole discretion.”

“As Ambassador to Canada Pete Hoekstra has said, the vote is a decision for the people of Alberta,” the spokesperson added.

Bessent made his comments amid heightened U.S.-Canada tensions; days earlier Carney had argued at Davos that middle powers needed to form new coalitions after the Trump-fueled “rupture” in the global order.

That episode inflamed the pro-America separatists, as did Carney’s subsequent use of the phrase “new world order” during a January trip to China to sign new energy and trade agreements. That phrase is catnip to those who fear the creation of a global government, and more conspiracy theories quickly seeped into Alberta’s separatist movement through Facebook groups and YouTube videos claiming Carney is steering the country toward communism and against the U.S.

But it’s also true that Alberta’s grievances with Ottawa began long before Carney jostled with Trump. They have been passed down for generations, rooted in a belief that the federal government has ignored, exploited or misunderstood the province since its founding.

Today, that resentment has become deeply personal. Separatists point to what they see as federal overreach and clean energy policies that have made life more expensive and undermined their economy.

Federalists, meanwhile, are alarmed that neighbors, friends, family, and sometimes even spouses, are “willing to betray their country,” in Kenney’s words.

Former Conservative MP Damien Kurek cautions against dismissing separatists as traitors. Instead, he argues, politicians should ask why so many Albertans feel abandoned by the federation.

For Kurek, one of the defining moments of Albertan anger came in 2021, when U.S. President Joe Biden cancelled the Keystone XL pipeline on his first day in office by revoking its cross-border permit.

The ripple effects spread throughout Kurek’s riding. He says mechanics had fewer oilfield trucks to repair and restaurants served fewer meals, while roadside motels sat empty and young families put off buying homes.

But what many Albertans remember most isn’t Biden’s decision. It’s the belief that Ottawa, under then-Prime Minister Justin Trudeau, failed to fight it.

“I was very frustrated with the Liberals, including many Liberals that told me that I just needed to accept it, that are still on the Liberal Cabinet benches today,” says Kurek, whose riding included Hardisty, Canada’s largest oil pipeline hub.

That moment reinforced a deeper belief among many of his constituents, he says: If our national leader won’t stand up for us when we need him most, the very “promise of Canada” was in question.

Many in rural Alberta feel like their communities live or die by decisions made thousands of miles away in Ottawa. But this was just another chapter in a much longer story.

Kenney, the former Alberta premier, traces Western alienation back to the province’s creation in 1905. He says Ottawa initially treated Alberta more like a colony than an equal partner, including delaying provincial control over its natural resources.

The modern separatist movement then took shape in the 1980s after former Liberal Prime Minister Pierre Elliott Trudeau introduced the National Energy Program, which raised taxes on oil companies and oil exports and shifted more of the industry’s profits from Alberta to Ottawa. The unpopular program was dismantled five years later, but Albertans didn’t forget.

When Trudeau’s son, Justin, became prime minister in 2015, his government introduced environmental policies that Alberta’s oil industry argued made it more difficult and expensive to build pipelines, expand production and attract investment.

Albertans’ sense of alienation also extends beyond energy policy. Many feel their votes carry less weight than those cast in vote-rich Ontario and Quebec, since that’s where federal elections are often decided. After repeatedly electing Conservative MPs only to see Liberal governments take power in Ottawa, some have concluded federal elections have little effect on Alberta’s fortunes.

That frustration is compounded by Canada’s equalization program, enshrined in the Constitution, which redistributes federal tax revenue to help less wealthy provinces fund public services. Because Alberta’s oil-rich economy is one of the country’s wealthiest, it has never qualified for those payments. At the same time, Ottawa collects more in federal taxes from Albertans than it spends in the province, which reinforces a decades-old belief that Alberta bankrolls the rest of the country while getting too little in return.

“It’s very scary to see what they’re trying to take from us, what they’re trying to control,” says Trina, a Red Deer resident who volunteers with a separatist group and who did not give her last name. “It leaves us with a lot of uncertainty. Nothing feels secure.”

Carney is aware of the challenge ahead. Even as he has warned Alberta against stumbling into its own Brexit disaster, he has sought to address the province’s most tangible concerns.

Last November, Carney signed an agreement with Alberta to work toward a new oil pipeline and soon after, delivered a sobering wake-up call to his Liberal caucus behind closed doors.

To the surprise of MPs in the room, Carney opened his remarks by addressing the specter of Alberta separatism, framing the pipeline deal not just as an economic win, but as a strategic necessity to keep the country together.

“He was emotional,” a Liberal MP, who was granted anonymity to discuss internal party matters, told POLITICO at the time. “You could hear a pin drop.”

It was a clear sign from the prime minister that the separatist movement was shaping his thinking — and federal policy.

“This was a no-BS kind of thing,” the Liberal lawmaker said. “This was coming from someone who grew up in that province, who understands that province, and who was very worried about the feelings of alienation.”

The speech also marked Carney’s first step in persuading Liberal supporters — many of whom had embraced Justin Trudeau’s aggressive climate agenda — that pipelines, increased oil production and energy exports were essential to Canada’s economic and geopolitical future.

Carney has made a similar pitch to the broader public.

“In Canada, we are strongest when we are united — when we look out for each other and ensure that no child, no family, no one is left behind,” Carney said in a speech to Canadians and his Cabinet in January. “This spirit of solidarity and generosity helps define us as a nation.”

Nine months later, Carney has backed up that message with action. Since taking office, he has rolled back several Trudeau-era environmental policies despite pushback from some Liberal MPs, including former environment minister Steven Guilbeault, who is leaving politics after accusing his party of “backsliding” on climate action. Last month, the West Coast oil pipeline got closer to fruition, after Carney’s government announced its partnership with Alberta would amount to a C$35 billion project in a bid to boost the province’s energy sector.

The policy shift is part of Ottawa’s effort to encourage federalists to send a strong message on Oct. 19, that they want to remain in Canada. In July, Carney made three trips to Alberta, two of which included photo-ops with Smith, Alberta’s premier. Both have been framing their pipeline pact as proof that Canada still works, for all its people, even as many separatists argue it comes a decade too late.

Federalists say the biggest risk in the vote isn’t necessarily that Alberta endorses moving toward separation; polls show about 30 percent of Albertans want independence. It’s that federalists don’t show up to vote since they assume victory. If turnout is low, a highly motivated separatist base could post an unexpectedly strong result, giving the movement new legitimacy and driving away private investment in the province.

“We can all think that the worst isn’t going to happen. We could put signs on our lawn and write poetry about Canadian unity. But honestly, unless people show up at the polls on Oct. 19, we could lose this referendum question,” says Eleanor Olszewski, a federal Liberal cabinet minister from Alberta.

Back outside the Whistle Stop Cafe, the conversations at Albertans’ Day drift from claims Carney wasn’t democratically elected, to beliefs the pandemic was orchestrated by global elites, to how a federal ban on assault-style firearms is meant to stop Canadians from rising up against the federal government.

One vendor sells knives, stun batons, tactical shovels, night-vision glasses and body shields, encouraging Albertans to protect themselves. Pickup trucks and SUVs are modified to look like sheriff’s vehicles with “Republic of Alberta” decals. Some separatists show off homemade T-shirts that read “skid mark Carney” or “pure-blood warriors” showcasing a white baby in the paws of a lion.

The antipathy toward Carney and enthusiasm for Trump even has some separatists ready to defend Trump’s wave of tariffs against Canadian goods.

Keith Walker, who is from a small farming community in southern Alberta, believes the only thing preventing Canada from becoming a communist country under Carney is Trump’s trade war.

Canada, in his view, is part of a group of governments that Trump is trying to dismantle alongside Venezuela, Cuba and Iran. “That’s why that’s happening,” Walker says of Trump’s tariffs; he and a friend are both wearing Trump 2024 hats.

The separatists’ longstanding grievances with Ottawa aren’t occurring in a vacuum. Populist forces have reshaped the globe over the last decade, amid Brexit and Trump and the pandemic, and they are now converging in Alberta.

Separatism has become a right-wing uni-cause.

“It is a perfect umbrella,” Kenney says, “for every obsession, paranoia and anxiety on the right.”

Trump announces tariffs on key component for solar panels and semiconductors

7 August 2026 at 01:38

President Donald Trump on Thursday announced tariffs on polysilicon and its related products, in his administration’s latest attempt to eliminate China’s choke points in the global supply chain for solar panels and semiconductors.

But Trump’s directive won’t take effect until Dec. 4 — well after November’s midterm elections and a planned September summit between Trump and Chinese leader Xi Jinping — as the administration grapples with voters complaining of high prices and fragile trade negotiations with China.

“This will bring the supply chain here,” Commerce Secretary Howard Lutnick said of the order on Thursday alongside Trump at the White House. “We’ve got the industry here, it’s too small, and it’s going to explode.”

Because polysilicon is used in semiconductors and solar panels, it’s essential for military hardware and everyday electronics like cell phones and laptops, in addition to the world’s fastest-growing energy source.

The order imposes a 15 percent tariff on imported polysilicon and its derivatives, as well as minimum prices for imports of polysilicon, polysilicon ingots and wafers, solar cells and solar modules.

It also includes a clause intended to prevent companies from stockpiling those materials between now and December, authorizing Customs and Border Protection to restrict imports if it suspects an importer is attempting to dodge the higher duties.

Trump’s order is the result of a Commerce Department investigation launched last July into national security risks in the polysilicon supply chain, as part of a broader effort to shift supply chains away from China for multiple industries including wind turbines and robotics.

China has a near-monopoly on the production of polysilicon, according to S&P Global. But recent U.S. efforts to limit key areas of trade with China have already drawn a backlash from Beijing, which earlier this week implemented new controls on drone exports to the U.S.

The White House emphasized the order’s impact on domestic semiconductor production, a key focus as the U.S. looks to build out infrastructure related to artificial intelligence. Trump said the U.S. will “have a big percentage of the chip business by the time I leave office.”

But Thursday’s order may have a big impact on the solar industry, according to Jon Toomey, president of the pro-tariff Coalition for a Prosperous America organization.

“This proclamation delivers the most significant global trade protection action for the American polysilicon and solar industry in the modern era,” Toomey said in a statement. “For the first time, the United States is protecting the entire solar supply chain with a single action — and rewarding the manufacturers that build here — while taking a significant step to bolster the domestic semiconductor supply chain.”

Machthaber: Xi Jinping

6 August 2026 at 05:30

Wer regiert die Welt – und was treibt sie an? In unserem regelmäßigen Machthaber-Spezial geht es um die mächtigsten und umstrittensten Politikerinnen und Politiker unserer Zeit. Wir zeigen, wie sie denken, entscheiden – und was das für uns bedeutet. Eine Politikerin oder Politiker, ein Blick hinter die Kulissen der Macht.

Das Berlin Playbook als Podcast gibt es jeden Morgen ab 5 Uhr. Gordon Repinski und das POLITICO-Team liefern Politik zum Hören – kompakt, international, hintergründig.

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Washington holds up approval for France’s US ambassador pick amid human rights spat

5 August 2026 at 18:01

PARIS — The United States is dragging its feet on approving President Emmanuel Macron’s pick for French ambassador to Washington amid a spat over human rights at the United Nations, according to three people familiar with the dispute.

Macron may have charmed U.S. President Donald Trump with pleasantries and fine dining at Versailles Palace during his June visit to France, but the delay in approving the new envoy reveals that diplomatic tensions between the two countries are still simmering.

Aurélien Lechevallier, a longtime Macron ally, was expected to take office next month but his posting is yet to be approved by the U.S. Department of State — a process that is usually a formality between allied countries.

According to two people familiar with the matter, the Trump administration took offense at a social media post from France’s mission to the U.N. in Geneva that criticized Washington’s decision to side with Russia and North Korea against the renewal of U.N. High Commissioner for Human Rights Volker Türk’s mandate.

“The U.S. used to be a beacon of human rights. Not anymore,” wrote the French mission on X last month. “And the world no longer listens to it.” The post prompted the U.S. delegation to walk out of a U.N. Security Council meeting in protest.

“The United States is very disappointed in the irresponsible and disrespectful rhetoric from the French,” said an official from the Department of State in response to a written question about Lechevallier’s clearance process. “We are responding appropriately to their comments.”

Türk, an Austrian national who has been high commissioner since 2022, has drawn U.S. ire for his criticism of the country’s immigration policy and Israel’s war in Gaza.

Two of the individuals also expressed hope that the dispute, which was first reported by Reuters, would blow over and Washington would not block Lechevallier’s appointment.

Love-hate relationship

The spat illustrates the volatile relationship between the U.S. and its oldest ally France. While Macron and Trump have shared moments of camaraderie in front of the cameras, they have polar opposite world views and regularly spar over NATO, Ukraine and trade relations.

Trump’s participation in the June G7 summit in Evian was praised as a high point in the relationship, with the U.S. president showing signs of support for Ukraine and prolonging his visit to France to join Macron and his wife for dinner at the gilded Versailles Palace.

“We have our ups and downs in our relationship with the U.S.,” said a former French official, who has kept informed of the transatlantic relationship. Macron is capable of challenging America’s bullying at the Economic Forum of Davos, but “can also hug President Trump and invite him to sign his Iran deal in Versailles.”

The hold-up in Lechevallier’s approval process will end up being “an anecdote,” said the former official, who, like others quoted here, was granted anonymity to discuss a sensitive topic. “But it confirms we are not afraid of a confrontation” with Washington, they added.

For a senior figure from Macron’s Renaissance party, however, the U.S. targeting a senior French diplomat is “staggering.” Lechevallier is currently chief of staff to Foreign Minister Jean-Noël Barrot and was Macron’s classmate at the elite ENA graduate school.

“We’ve been extremely cooperative, even considerate, on Iran … We’ve been polite and diplomatic. And we’re faced with something that is a bit humiliating,” said the official.

Diplomatic tensions

The French foreign ministry declined to comment on Lechevallier’s stalled approval procedure and has not protested publicly. But Paris has not rowed back its criticism of the U.S. human rights record either.

“Our position was known. We supported the renewal of the high commissioner’s mandate,” said a French diplomat. “Differences of opinion over a [U.N.] vote do not call into question the strength of our relationship or our ability to work together.” Last month, the U.S. voted against the renewal of Türk’s term, accusing him of leading the U.N. human rights system “to its deathbed.”

Despite the personal relationship between Trump and Macron, the dispute comes at a time of simmering diplomatic tensions with the U.S. Barrot has sharply criticized Washington over its military intervention in Venezuela, as well as its threats against Greenland. He also vowed France would never give in to U.S. “blackmail” over trade tariffs.

Relations with U.S. Ambassador to France Charles Kushner have also soured over his perceived lecturing on the fight against antisemitism in France and his alleged interference in French political life. Kushner, the father of Trump’s son-in-law Jared, was twice summoned to the foreign ministry.

“Kushner had problems [with the French foreign ministry] … He was humiliated. Maybe this is also payback,” said the former French diplomat.

Jerry Wu contributed reporting.

One Year Later, Some of Trump’s Trade Deals Are Real. Others, Not So Much.

4 August 2026 at 21:09

During a Cabinet meeting at Camp David on Friday, President Donald Trump touted growing “investment” into the U.S. since he took office.

“There’s never been anything like it from the standpoint of investment into our country,” Trump told reporters and members of his administration. “It’s five to six times higher than anybody has ever seen, than any other country, not just us, has ever had.”

Part of a diatribe about the economy which included a segment about his tariffs, the president was likely referring at least in part to the several trillions of dollars in foreign investment commitments his White House announced beginning last year after Trump leveraged threats of historically high tariffs as a bargaining chip with various countries. (The president employed equally aggressive tactics to elicit financial commitments and expensive gifts from U.S. companies including tech giants Apple and Nvidia.) There’s even a whole page on the White House website titled, simply, “Investments,” touting $10.7 billion in U.S. and foreign investment commitments beneath pulsating text that reads “The Trump Effect.”

The webpage frames the numbers as if they’re dollars already spent. But in many cases, they aren’t. 

“The Trump approach remains to be seen,” Ryan Mulholland, a senior international economic policy fellow at the Center for American Progress, a left-leaning think tank, told TPM. 

A year ago, international trade experts and economists told TPM that many foreign governments were playing Trump. Today, some investment agreements are already underway, while others have virtually no mechanism to be executed at all. It remains to be seen whether Trump’s stick approach to foreign economic relations will send real dollars flowing to U.S. companies and workers — or whether it’s just one more way for Trump to enrich himself, his family and companies allied with the president.

Where do these deals leave us?

New money coming from foreign governments to the U.S. is up compared to last year, according to data from the Bureau of Economic Analysis. And commitments for 2026 made in 2025 are much higher than those made in 2024. But they’re not the highest in history. New foreign investment commitments were nearly $20 billion higher under former President Joe Biden in 2022. And their impact on U.S. prosperity is much more of a mixed bag.

There’s no indication that new foreign investment in the U.S. stems from Trump’s trade deals, according to available federal data. And most deal-related boosts won’t show up in the most recent figures from the BEA. What is apparent in the data, though, are high-tech investments into the AI industry — new investments that are separate from Trump’s trade policy agreements, a late June research paper from the Federal Reserve showed.

The economic hallmark of Trump’s second presidential term are his tariffs, which his administration has said are aimed at correcting long-running imbalances between the U.S. and its trading partners. One of his attempts at correction — to levy blanket tariffs using a 1970s era law — was struck down by the Supreme Court. A second tariff scheme using a different provision was blocked by a lower court, too. Small businesses are suing Trump right now to overturn his administration’s third attempt at reordering global trade through tariffs, which SCOTUS ruled were a tax on the American people. All the while, Trump and his officials are hammering home the idea that the president’s savvy salesmanship has saved a failing American economy.

“I think other countries have largely figured out that they can give Trump a sort of headline that he likes, and in exchange win all of the details of a trade deal,” Mulholland said. 

“Where do these deals leave us? Are we in a better position to create prosperity for everyday people?
Are we in a position to work with our partners and allies around the world to solve the challenges that impact people’s lives? I think on both of those scores,” Mulholland continued, “Trump’s very sort of short-term, zero sum kind of view of trade relationships has hurt us.”

Trump is prepared to act if foreign governments fail to uphold their agreement terms, White House spokesman Kush Desai told TPM in an email.

“President Trump means what he says, and he has never hesitated to leverage the might of the American economy to hold trading partners accountable to their agreed-upon commitments,” Desai said.

Meeting Trade Commitments Will Prove ‘Very Difficult’ for Most Countries

Japan agreed to invest $550 billion in U.S. manufacturing sectors including semiconductors, pharmaceuticals, and the shipbuilding industry with special financing provisions that mean Japan will pay for the projects at little cost to America. That deal, along with commitments on U.S. tech and manufacturing investments from Taiwan and shipbuilding from South Korea, has progressed the most.

“I guess the only place where we’ve seen some action is really on Japan’s commitments. “The conditions are [once] the project is approved, the Japanese government is obligated to provide financing for it,” Greg Auclair, a statistician and researcher at the Peterson Institute for International Economics, told TPM. “That’s a very small list right now.”

Already, Japan and Taiwan have poured about $75 billion into the U.S., Auclair said,  though he noted that opaque commitment terms and novel financing mechanisms make it harder to know whether those investments are one-to-one correlations with the trade deals.

Auclair co-published a report suggesting foreign governments will have a hard time financing their commitments to the U.S. Auclair showed that even if some countries with commitments to Trump tap significant portions of their investment capacities and turn them toward the U.S., those nations would still struggle to fulfill their pledges over a 10-year timeline.

“I don’t think they will all be fulfilled,” Auclair’s co-author Adnan Mazarei told Politico in January.

Countries would essentially have to rob Peter to pay Paul — reallocating import schema to benefit the U.S. at the expense of other trading partners, selling foreign assets to purchase more American ones, and bumping up against their own debt capacities.  

“Putting everything together,” Auclair told TPM, “it would be possible for them to meet the pledges but very difficult.”

An update to Auclair’s January report will show that the first year of Trump’s presidency saw foreign investment in the U.S. align with the long-run average, he said, pushing back on Trump’s narrative of historic inflows of foreign cash.

In some cases, Trump’s overbearing tactics have pushed countries to take the opposite tack, reducing exposure to the U.S. economy while creating historic trade agreements with other countries. 

The European Union in January closed a deal with several South American countries that’d been more than two decades in the making. The bloc of 27 European countries also closed a “landmark” free trade deal with India in January to protect against growing U.S. trade volatility. A bloc of South American countries are now in talks with Japan, and Canada is diversifying its economy away from the U.S. as evidenced by a recent electric vehicle deal with China.

“So there are a lot of instances where governments are seeking to reduce their exposure to the United States, and that is a direct result of Trump’s belligerence on the world stage,” Mulholland said. 

Future U.S. presidential administrations, he added, will be limited as a result.

“[Other countries’] ability to negotiate kind of new things with the United States,” Mulholland said, “is going to be hamstrung by commitments that they’ve already made to each other in the deals they did to reduce their exposure to the Trump administration.”

This article has been updated to include a statement from the White House.

This article has been updated to correct the amount of new and planned investment from Japan and Taiwan. It is $75 billion. TPM regrets the error. 

Democratic-led states sue to block Trump’s latest wave of tariffs

4 August 2026 at 03:14

A group of 25 Democratic-led states sued President Donald Trump’s administration Monday to block the latest round of tariffs imposed on goods from dozens of countries.

The lawsuit in the U.S. Court of International Trade marks the latest in a growing list of legal actions that accuse the White House of exceeding its authority when it used Section 301 of the Trade Act of 1974 — which allows a president to impose tariffs over unfair trade practices — to penalize countries over the alleged use of forced labor after prior trade penalties had either expired or been invalidated by the Supreme Court.

“The Plaintiff States oppose forced labor in all its forms and support protections for workers around the globe,” the states said in their lawsuit. “But the Administration cannot use forced labor as a pretext to continue its illegal tariff scheme.”

Monday’s complaint contests tariffs of 10 or 12.5 percent the administration slapped on goods from 60 economies, including China and the European Union, that took effect last month.

“President Trump is so intent on raising the cost of living for Americans that he is willing to break law after law after law to do so,” said California Attorney General Rob Bonta, whose state is among the plaintiffs, in a statement announcing the lawsuit.

“Tariffs are taxes,” Bonta said. “And the American people cannot and should not shoulder the extra costs that come from the President’s failed and illegal economic policy — no matter how much the President wants them to.”

The effort to block Trump’s third crack at rebuilding his global tariff regime comes after the Supreme Court in February knocked down tariffs the president imposed on countries under the 1977 International Emergency Economic Powers Act, and after the Court of International Trade ruled in May that the Section 122 surcharge Trump imposed in their place was also illegal. The trade court’s May ruling was stayed, allowing the duties to keep being collected pending appeal. Those tariffs expired last month.

The White House defended the tariffs, saying the administration was using its “lawful authority” to crack down on practices that burden American commerce.

“A foreign country’s failure to impose and effectively enforce a prohibition on the importation of goods produced with forced labor is unreasonable and burdens U.S. commerce, including American workers, and must be addressed,” White House spokesperson Kush Desai said in a statement. “Section 301 tariffs have proven to be a legally durable tool since the President’s first term, and they remain so now.”

The lawsuit also accuses the U.S. of bypassing country-specific consultations and failing to explain why duties on countries with such varied forced-labor measures were set in a “nearly uniform manner.”

And it comes on the heels of lawsuits from two groups of small businesses that challenged the tariffs the day they took effect: one led by Burlap & Barrel, a New York spice importer, and a separate suit led by Learning Resources, an educational-products maker that was the named plaintiff in the Supreme Court case that invalidated Trump’s IEEPA tariffs.

Background: The dispute centers on Trump’s use of Section 301, an authority widely viewed as far more legally durable than the other powers Trump tapped to impose tariffs.

Duties from one Section 301 investigation into China during Trump’s first term have now lasted more than seven years. But Section 301’s durability does not give the president unlimited discretion, because the law requires the USTR to identify specific foreign acts, policies or practices and show that they burden or restrict U.S. commerce.

Matthew Seligman, founder of Grayhawk Law and an attorney representing importers seeking tariff refunds, said the states’ challenge is strong but faces a harder legal path than the challenges to the IEEPA and Section 122 tariffs.

“Unlike those prior cases, this case will turn on how much the courts defer to the administration’s seemingly pretextual rationalization that these tariffs are aimed at combatting forced labor,” Seligman said.

“Typically, courts grant substantial deference to the executive branch about these sorts of policy judgments — especially when it implicates foreign affairs —but, as is so often the case with the Trump administration, this case will really test the limits of that judicial deference,” he added.

Pluralistic: How the EU can punish Google (despite Trump) (27 Jul 2026)


Today's links

  • How the EU can punish Google (despite Trump): Grant me the courage to change the things I can.
  • Hey look at this: Delights to delectate.
  • Object permanence: Chilling Effects; Billy Bragg v Myspace; Glenn Beck calls murdered Norwegian children "Hitler Youth"; Photog sues Getty for $1b copyfraud; Best paid CEOs perform worst; Olympics v "Olympics"; Alberta tar sands v "hot lesbians"; IoT security apocalypse; 3 Little Pigs in pidgin; The nasty party; Copyright extortionist infringed fellow extortionist; Grandpa mobbed for photographing grandson in park; Ice Bucket Challenge didn't cure ALS; Twiddling enshittifies your brain.
  • Upcoming appearances: Edinburgh, Sydney, Melbourne, Brighton, London, South Bend.
  • Recent appearances: Where I've been.
  • Latest books: You keep readin' em, I'll keep writin' 'em.
  • Upcoming books: Like I said, I'll keep writin' 'em.
  • Colophon: All the rest.



A giant fist clutching the Android robot. The robot is orange and has Trump's hair. The fist extends from an EU-flag-blue cuff, and it is ringed with yellow EU flag stars. To the side is an old-timey western bar with a drunk, smoking, glaring Uncle Sam leaning on it. The background is a haunted, moonlit forest.

How the EU can punish Google (despite Trump) (permalink)

The "Serenity Prayer" (Serenity to accept things I can't change/Courage to change the things I can/Wisdom to know the difference) is usually cited as pop psychology or addiction recovery advice, but I think there's a place for it in policymaking.

Take the EU's fight against US Big Tech. During the Biden years, the EU's tech policy matured into something serious and ambitious, culminating in the Digital Markets Act (DMA) and Digital Services Act (DSA), a pair of big, muscular policies that would curb Big Tech's most abusive conduct. The EU's ambition didn't occur in a vacuum: it was part of a global wave of antitrust fervor whose top agenda item was reining in tech:

https://pluralistic.net/2025/06/28/mamdani/#trustbusting

In this fight, the EU had important partners all over the world. For example, South Korea and Japan used the facts uncovered through EU enforcement action against Google and Apple to pursue similar cases:

https://pluralistic.net/2024/04/10/an-injury-to-one/#is-an-injury-to-all

But the EU's most important partner in its fight against American Big Tech was America. Biden's trustbusters – Lina Khan, Rohit Chopra, Jonathan Kanter, Tim Wu, et al – were every bit as serious about Big Tech power as anyone in the EU. After all, the American public are always the first victims of any new tech scam, and America is the only country with a large, affluent population who lack modern, comprehensive consumer privacy protection, making Americans highly prized prey for tech companies:

https://pluralistic.net/2025/04/23/zuckerstreisand/#zdgaf

With America and the EU on the same side of the tech fight, the world had a fighting chance. Tech knew this, which is why Big Tech backed Trump hard during the 2024 election and aggressively curried his favor after he won. From the tech barons who paid $1m each to sit behind Trump on the inaugural dais to the millions tech companies donated to Trump's Epstein Ballroom at the White House, tech has made it clear that it supports anything Trump wants to do, provided he shields Big Tech from any attempt to limit their ability to spy on and steal from Americans and the world.

Even before he took office, Trump made it clear how he would reward tech's loyalty: weeks before the inauguration, Trump went to Davos and threatened the EU with reprisals if they enforced the DSA or DMA against his tech companies:

https://techcrunch.com/2025/01/23/trumps-not-happy-with-how-eu-regulators-have-treated-us-tech-giants/

Trump wasted no time leaning on US trading partners on behalf of Big Tech. He bullied Canadian PM Mark Carney into dropping his plan to tax US tech companies. Big Tech uses a variety of tax-cheating gambits to evade taxation around the world, making it impossible for (tax-paying) domestic companies to compete:

https://www.canada.ca/en/department-finance/news/2025/06/canada-rescinds-digital-services-tax-to-advance-broader-trade-negotiations-with-the-united-states.html

Trump also got UK PM Keir Starmer to drop his plan to tax tech:

https://www.theguardian.com/us-news/2025/apr/01/starmer-offered-big-us-tech-firms-tax-cuts-in-return-for-lower-trump-tariffs

And he got the EU to roll back its plan to regulate AI:

https://fortune.com/2025/11/07/eu-ai-act-weaken-regulation-delay-big-tech-trump-government/

None of the governments that caved to Trump got anything in return. As I've written:

Give Trump everything he asks for and he'll demand more. Deny Trump anything and he'll demand more. Sign a contract with Trump and he'll break it. Send Trump an invoice and he'll stiff you. For Trump, "the art of the deal" can be summed up in one word: renege.

https://pluralistic.net/2026/07/22/table-flipper/#graveyard-of-indispensable-nations

Case in point: after the EU surrendered to Trump on AI regulation, Trump announced that a on ban EU officials who had worked on the Digital Services Act from traveling to the USA:

https://www.state.gov/releases/office-of-the-spokesperson/2025/12/announcement-of-actions-to-combat-the-global-censorship-industrial-complex/

Then, after the EU made more concessions to Trump, he announced a ban on even more EU officials:

https://www.lawfaremedia.org/article/the-trump-administration-targets-europe-s-content-moderation-laws

Trump ordered his tech giants to dig through EU officials' private correspondence so he can figure out who to ban next:

https://www.politico.eu/article/us-congress-judiciary-committee-big-tech-private-communication-eu-officials/

Trump's tech companies got the memo. When the EU ordered Apple to follow the law, Apple told the EU to fuck off:

https://pluralistic.net/2024/02/06/spoil-the-bunch/#dma

After all, Apple is a key partner in the Trump administration's mass deportations. Apple blocked an iPhone app that warns Apple customers if they're about to be kidnapped or murdered by ICE. Trump needs Apple, just as much as Apple needs Trump:

https://pluralistic.net/2025/10/06/rogue-capitalism/#orphaned-syrian-refugees-need-not-apply

Despite this, the EU keeps trying to enforce its laws against Trump's companies. Last week, the Commission announced a $1b fine against Google for violating the Digital Services Act with conduct that cost Europeans many billions:

https://digital-markets-act.ec.europa.eu/commission-fines-google-eur890-million-breaches-digital-markets-act-2026-07-23_en

In other words, Google wasn't even being ordered to disgorge all the money it stole, just some of it. Remember, a fine is a price: the EU's fine here will only make this kind of cheating slightly less profitable.

Nevertheless, Trump responded immediately by threatening the EU with many billions more in tariffs if they continue to attempt to enforce the law against one of his companies:

https://www.lemonde.fr/en/international/article/2026/07/24/trump-says-eu-to-pay-very-big-price-for-890-million-google-fine_6755804_4.html

Trump, the European Commission and Google all know this is about more than one $1b fine. The DSA and DMA both provide for steeply rising fines and other penalties for repeat offenders, and Google clearly has no plan to end its very profitable European crime-spree. Trump's threats aren't a bid to kill this enforcement – Trump wants to kill all enforcement.

Retaliatory tariffs aren't the only weapon Trump has at his disposal. If the EU (or any other country) levies a serious fine against Google, Apple, Oracle, Microsoft, or any of Trump's other tech companies, Trump can order US banks not to turn over those fines, even after the EU sends them a court order for the money. If a bank defies Trump, he can threaten to yank its charter. Or he could just run the same swindle he pulled on Tiktok: stealing the whole company and selling it to one of his buddies, who will run it the way Trump wants.

The reality is that without America's assistance, the EU has precious little hope of forcing American companies to do things they don't want to do. In terms of the Serenity Prayer, this is "a thing they cannot change."

The Serenity Prayer doesn't stop with "things you can't change." The next line seeks "the courage to change the things I can." The EU has no control over Google's conduct, but it has total control over its own conduct.

Specifically, the EU could get rid of the laws that ban European companies from modifying US tech exports. The EU adopted the Copyright Directive in 2001. Article 6 of the EUCD makes it a crime to reverse-engineer and modify a device without the manufacturer's permission. This law was adopted under pressure from the US Trade Representative, who threatened the EU with tariffs on its exports unless it adopted an "anticircumvention rule" that banned EU technologists from making products that let Europeans prevent US tech companies from stealing their money and data":

https://pluralistic.net/2026/01/01/39c3/#the-new-coalition

This law is still in force in the EU, despite the fact that Trump (predictably) reneged on the US side of the bargain, hitting the EU with massive tariffs and even threatening to steal part of Denmark.

Article 6 of the Copyright Directive is the reason European tech companies can't jailbreak America's apps, whether that's to get its government and corporate data off of US platforms:

https://pluralistic.net/2025/10/15/freedom-of-movement/#data-dieselgate

Or to modify American social media apps to respect EU privacy laws:

https://pluralistic.net/2026/01/30/zucksauce/#gandersauce

The EU can't control what Apple or Google do. But the EU can absolutely decide whether Trump's companies can use Europe's courts to destroy European companies that defend the privacy and economic integrity of the European people.

If the EU kills off Article 6 of the Copyright Directive, they can use European companies to bring Google and Apple's defective tech exports into compliance with European law. Unlike Trump's companies, those companies can be forced to pay their taxes and respect their users' privacy, labor and consumer rights.

That's the Serenity Prayer's "wisdom to know the difference."


Hey look at this (permalink)



A shelf of leatherbound history books with a gilt-stamped series title, 'The World's Famous Events.'

Object permanence (permalink)

#25yrsago Chilling Effects https://web.archive.org/web/20010801172448/http://eon.law.harvard.edu/chill/

#25yrsago 13-year-old hacker's book deal: “The Unofficial Guide to Ethical Hacking" https://web.archive.org/web/20011102164905/http://www.vnunet.com/News/1124279

#20yrsago France’s new copyright law slaughters kills use and open source https://web.archive.org/web/20060812223624/http://soufron.typhon.net/spip.php?article150

#20yrsago Billy Bragg gets MySpace’s terms of service changed https://web.archive.org/web/20100809150257/http://blogs.myspace.com/index.cfm?fuseaction=blog.view&friendID=34570397&blogID=137856388&MyToken=626131d4-c695-42ba-867b-754b9e2bfeaa

#15yrsago Buy an Old West town in South Dakota for $0.8M https://web.archive.org/web/20110728012824/https://edition.cnn.com/2011/US/07/27/south.dakota.town.sale/index.html

#15yrsago Glenn Beck compares murdered Norway campers to “Hitler Youth” https://www.latimes.com/archives/blogs/top-of-the-ticket/story/2011-07-25/opinion-glenn-beck-hits-new-low-compares-norway-victims-to-hitler-youth

#15yrsago 3 Little Pigs rendered into Papua New Guinea pidgin https://www.abc.net.au/reslib/200709/r184705_686227.mp3

#15yrsago Why they call the Tories “the nasty party” https://www.theguardian.com/uk/2011/jul/28/tory-lib-dems-clash-on-policy

#15yrsago US ISP/copyright deal: a one-sided private law for corporations, without public interest https://www.eff.org/deeplinks/2011/07/graduated-response-deal-what-if-users-had-been

#15yrsago Copyright extortionist ripped off his competitor’s threatening material https://torrentfreak.com/anti-piracy-lawyers-rip-off-work-from-competitor-110727/

#15yrsago Karl Schroeder: Science fiction versus structured study of the future, sf as aspiration https://www.antipope.org/charlie/blog-static/2011/07/beyond-prediction.html

#15yrsago Norwegian PM refuses to let terrorist attacks drive his country to intolerance and paranoid “security” https://www.nytimes.com/2011/07/28/world/europe/28norway.html?_r=1

#15yrsago Man with camera in park who fled angry parent sought by police (turns out he was taking pix of his grandson) https://web.archive.org/web/20110829052009/https://pixiq.com/article/man-photographing-grandkid-in-park-deemed-suspicious

#10yrsago Laurie Penny at the DNC: “Dissent will not be tolerated. Protest will not be permitted.” https://medium.com/welcome-to-the-scream-room/bad-moon-rising-8cd348df50e9#.9lhcixjn1

#10yrsago The Ice Bucket Challenge did not fund a breakthrough in ALS treatment https://web.archive.org/web/20160914225439/http://www.healthnewsreview.org/2016/07/ice-bucket-challenge-breakthrough-experts-pour-cold-water-superficial-reporting/

#10yrsago Silicon Valley banks offer tech giants’ new hires 100% mortgages on 24 hours’ notice https://web.archive.org/web/20160727095557/http://www.bloomberg.com/news/articles/2016-07-27/zero-down-on-a-2-million-house-is-no-problem-in-silicon-valley

#10yrsago Patent fighters attack the crown jewels of three of America’s worst patent trolls https://web.archive.org/web/20160727191625/https://arstechnica.com/tech-policy/2016/07/patent-defense-group-seeks-to-knock-out-top-three-trolls-of-2015/

#10yrsago Censorship company drops bogus lawsuit against researchers who outed them https://citizenlab.ca/research-interest/

#10yrsago Photographer sues Getty Images for $1B because they’re charging for pix she donated to LoC https://hyperallergic.com/photographer-files-1-billion-suit-against-getty-for-licensing-her-public-domain-images/

#10yrsago First-ever Michelin star for street food awarded to Singaporean hawker stalls https://web.archive.org/web/20160723174014/http://uk.reuters.com/article/us-singapore-food-hawkers-michelin-star-idUKKCN1021XA

#10yrsago Highest-paid CEOs generate lowest shareholder returns https://www.msci.com/documents/10199/91a7f92b-d4ba-4d29-ae5f-8022f9bb944d

#10yrsago Olympics to companies: mentioning “Olympics” in social media is a trademark violation #https://web.archive.org/web/20160727075209/https://www.espn.com/olympics/story/_/id/17120510/united-states-olympic-committee-battle-athletes-companies-sponsor-not-olympics

#10yrsago Pro-tar-sands activists say dirty Canadian oil is better because “lesbians are hot” https://www.joeydevilla.com/2016/07/26/this-ill-advised-hot-lesbians-ad-promoting-canadian-vs-saudi-oil-is-real-and-not-a-parody-by-the-onion/

#5yrsago The infosec apocalypse is nigh https://pluralistic.net/2021/07/27/gas-on-the-fire/#a-safe-place-for-dangerous-ideas

#1yrago How twiddling enshittifies your brain https://pluralistic.net/2025/07/28/twiddlehazard/#outboard-brains-considered-harmful


Upcoming appearances (permalink)

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A screenshot of me at my desk, doing a livecast.

Recent appearances (permalink)



A grid of my books with Will Stahle covers..

Latest books (permalink)



A cardboard book box with the Macmillan logo.

Upcoming books (permalink)

  • "The Post-American Internet," a geopolitical sequel of sorts to Enshittification, Farrar, Straus and Giroux, 2027
  • "Unauthorized Bread": a middle-grades graphic novel adapted from my novella about refugees, toasters and DRM, FirstSecond, April 20, 2027

  • "Enshittification, Why Everything Suddenly Got Worse and What to Do About It" (the graphic novel), Firstsecond, 2027

  • "The Memex Method," Farrar, Straus, Giroux, 2027



Colophon (permalink)

Today's top sources:

Currently writing: "The Post-American Internet," a sequel to "Enshittification," about the better world the rest of us get to have now that Trump has torched America. Fourth draft completed. Submitted to editor.

  • A Little Brother short story about DIY insulin PLANNING

This work – excluding any serialized fiction – is licensed under a Creative Commons Attribution 4.0 license. That means you can use it any way you like, including commercially, provided that you attribute it to me, Cory Doctorow, and include a link to pluralistic.net.

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Quotations and images are not included in this license; they are included either under a limitation or exception to copyright, or on the basis of a separate license. Please exercise caution.


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ISSN: 3066-764X

Trump’s New ‘Forced Labor’ Tariffs Were Set Under Sham Pretenses

24 July 2026 at 20:08

President Donald Trump has made clear from very early in his second term that he intends to reorder global trade  by instilling permanent tariffs. More than a year later, his government has proven relentless in its attempt. Compounding the growing inflationary pressures from his ill-conceived war in Iran, Trump on Friday set a new round of tariffs ranging from 10% to 12.5% on products from more than 80 countries.

But like other aspects of the administration’s signature policies — from bogus Justice Department investigations to unfounded claims of widespread national voter fraud — the stated reasons behind the administration’s freshest round of tariffs smell like a sham, a former trade official and international trade policy expert told TPM.

❌