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Bessent announces move to buy back more US debt after days of bond market pain

19 August 2026 at 17:02

The Treasury Department on Wednesday announced that it will buy back more of its own bonds, a move that partially reversed a selloff in longer-term U.S. debt that is threatening to drive up politically important interest rates on mortgages and other consumer loans.

A number of factors have been pushing up yields on longer-term debt to their highest levels since 2007, such as concern that the conflict with Iran is showing little sign of resolution, growing competition for financing with borrowers that are building out artificial intelligence infrastructure and widening U.S. government deficits.

Treasury said it would “at least double” the size of its buybacks, in which the department reabsorbs older debt securities with a maturity of at least 10 years. The previous ceiling was $2 billion per operation, and that number will be at least $4 billion, effective Sept. 9 and through Nov. 4.

The move is the latest by Secretary Scott Bessent to affect U.S. Treasury yields. Earlier this month, the department conducted a joint intervention with Japan to boost the yen, which had been trading in July at its weakest level against the dollar in roughly four decades. Bessent warned in January that turmoil in Japanese government bonds was spilling into the Treasury market.

Treasury also recently signaled the possibility that it could decide to issue less longer-term debt in coming quarters.

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.

‘There is no breaking point’: The problem with Trump’s plan to economically strangle Iran

18 August 2026 at 22:28

President Donald Trump is waiting for Iran to cave to his economic pressure. Tehran may be willing to wait even longer.

Even as Treasury Secretary Scott Bessent promises a level of economic isolation “never seen before,” former Trump administration officials, U.S. ambassadors and other Middle East experts are skeptical that tightening the economic vise will force Iran to relinquish its desire to toll ships passing through the State of Hormuz and make the other concessions Trump is demanding to bring an end to the war.

“It’s an attrition campaign, and I am sure Treasury tweaks this or that to fill gaps or expand coverage of sanctions,” said James Jeffrey, a former ambassador who served in the Middle East during three presidential administrations, including Trump’s first term. “But, it’s hard to believe [there will be] something decisive after 20 years of U.S. sanctions and Iranian experience of going around them.”

It’s an acknowledgement that underscores the asymmetry of the situation. The Trump administration is staring down a consequential midterm election amid an unpopular war that has sent oil prices back up to roughly $90 a barrel and helped push long-term borrowing costs to their highest level in nearly two decades as hope dims that a peace deal is near.

Iran’s leaders, meanwhile, see the conflict as existential, giving Tehran reason to absorb the extraordinary economic pain rather than accept terms it believes could imperil the regime — especially as U.S. inflation remains elevated and treasuries sell off.

The yield on 30-year U.S. government bonds, a figure Trump has in the past been attuned to, jumped on Tuesday to its highest level since just before the global financial crisis.

The increase in the yield to its highest level in nearly two decades isn’t solely because of the six-month war; global fuel shortages and broader instability have kept energy prices higher for longer, increasing the threat of persistent inflation. And that’s heaped even more risk on global bond markets that have repeatedly blanched at Trump-related shocks.

“We are in a situation where we’re spending more and more to finance more and more,” said Julia Coronado, founder of MacroPolicy Perspectives. And the war has created “a riskier world full of more frictions, full of more supply shocks.”

Iran’s outsized incentive to muscle through the pain is partly why some former administration officials doubt that the naval blockade, while unprecedented in its scale in the modern era or whatever new strategies Bessent may unveil, will change Iran’s calculus.

“I think the economic pressure would need to hit them in new ways we haven’t seen so far to change the mindset of the regime,” said one former Trump administration official, granted anonymity to candidly assess the impact of the U.S.’s economic pressure campaign.

The administration has yet to indicate what further action it plans to take, but options include going after major Chinese banks that facilitate Iran’s oil trade, expand secondary sanctions on countries doing business with Iran and confiscating Iranian assets under U.S. jurisdiction instead of just freezing them.

Iranian leaders publicly mocked U.S. efforts to sanction them into submission.

“Americans think squeezing Iran harder will win concessions that were never part of the agreement,” Mohammad Bagher Ghalibaf, the speaker of Iran’s parliament, posted on X Tuesday.

“Bessent and [Defense Secretary Pete] Hegseth are way out of their league,” he wrote. “Stop waiting for the clown crew to pull a rabbit out of their hat and clean up the mess you made.”

White House aides, however, continue to contend that the leverage is on its side.

“The crushing sanctions and one of the most successful blockades that have crippled Iran’s economy and has left Iran completely broke,” said one administration official, granted anonymity to share the U.S.’s thinking. “There are many levers the president can crank harder in the weeks and months ahead.”

In the half-year since the Iran war began, the president has deployed an array of pressure tactics to choke Iran economically, including physically preventing the country from selling its most important export — oil — as part of an ongoing naval blockade of Iranian ports. The administration has also sanctioned foreign buyers of Iranian oil, targeted the country’s shadow fleet of ships that ferries it and sought to cut the country off from the financial networks it uses to move money.

That economic pressure has sent Iran’s economy, which was already troubled before the war, into a deeper tailspin. Now, Iran is grappling with year-over-year inflation of 88 percentlong lines and rationing at gas pumps and food prices that have more than doubled.

But those who have worked on previous Iran negotiations say that’s far from enough to get the regime to cave, especially after six months of U.S. bombing that has killed, by Tehran’s own measure, more than 3,000 Iranians.

“It’s undeniable that there is economic pressure. The question is whether there is a breaking point, and I would say for a regime that is fighting for its life and has never hesitated to transfer economic pain to its population, there is no breaking point,” said Ali Vaez, the International Crisis Group’s Iran project director, who helped work to bridge differences between Iran and world powers during negotiations over the 2015 nuclear agreement.

Yet Trump continued to project patience on Tuesday, signaling that he was prepared to let the pressure campaign play out.

“There are no talks or conversations going on, or scheduled, with the Islamic Republic of Iran. The Naval Blockade remains in full force and effect. The Hormuz Strait is open and operating. All water mines have been removed or detonated. Thank you for your attention to this matter!” Trump wrote on Truth Social.

A senior White House official, granted anonymity to discuss the situation in Iran, insisted that Iran will cave long before the pain in the U.S. or world markets become intolerable.

“Ultimately we want a deal, but in the interim, the Iranian economy is tanking … people are lining up for gas, just for a half gallon of gas. And there’s a lot of civil unrest going on in Iran, that’s not being played on the news for whatever reason,” the official said late last week. “We’re fine if that’s the route they want to take.”

Still, there are signs inside the White House that the economic impacts are a growing concern. Vice President JD Vance last week said on Fox News that the administration’s first goal in the Iran war was to “keep oil and gas cheap for Americans all over the country.” The president, meanwhile, has repeatedly insisted voters will bear the pain of higher gas prices for an end to Iran’s nuclear ambitions.

The voters have a more dyspeptic view. A Reuters/Ipsos survey released this week showed Trump’s approval rating at 33 percent, the lowest level of his presidency. Roughly 80 percent of Americans — 87 percent of Democrats and 71 percent of Republicans — think U.S. involvement in Iran “will go on for an extended period of time,” the poll found.

But some former Trump administration officials, however, are holding out hope that patience will be rewarded and that the administration’s economic pressure campaign will work, in part because they see the other options on the table, including putting U.S. boots on the ground in Iran, as politically untenable.

Fred Fleitz, Trump’s former National Security Council chief of staff and vice chair of the American First Policy Institute’s American Security, predicted that the U.S. could be “dealing with a different Iran” in 30 to 60 days.

“I think patience is the best approach,” Fleitz said. “I don’t believe that a large-scale military attack right now is going to make a difference in changing the regime’s position, and I strongly oppose the idea of seizing Kharg Island or sending in American troops. The American people don’t want that. That would really bog us down in a quagmire.”

US oil producers set to ink production deals with Venezuela

18 August 2026 at 22:05

Several independent U.S. oil producers are expected to sign production contracts with Venezuela’s state-run oil company in the coming days, according to three industry representatives familiar with the plans — a step forward for the Trump administration’s efforts to boost production in the beleaguered South American nation.

A signing ceremony involving several smaller U.S. producers and the Petróleos de Venezuela had been set for Tuesday evening in Houston, according to the people, who were granted anonymity because details of the event have not been made public. Venezuela’s oil minister is scheduled to attend, as is the head of exploration for PDVSA, one of the people said. The ceremony could be pushed back until Wednesday morning, another of the people added.

The White House, which did not immediately respond to a request for comment, is not expected to be formally involved with Tuesday’s ceremony, but it comes after top administration officials traveled to Caracas in late April to secure memorandums of understanding that laid the groundwork for formal production deals in the country that holds some of the world’s largest oil reserves.

It marks a sign of progress after the Trump administration’s effort to push new oil development in Venezuela, which began after the U.S. raid that captured former leader Nicolás Maduro in January, had slowed in recent months. Despite a boost from higher crude prices, negotiations have bogged down around key details like dispute resolution, while authorities in Caracas dealt with a devastating pair of June earthquakes that killed thousands.

Venezuela’s interim president Delcy Rodríguez last month unveiled new regulations offering more favorable fiscal terms to international oil companies.

The signings come after the Trump administration renewed pressure on Rodríguez to have PDVSA sign contracts with American companies, an industry source familiar with the negotiations. Those efforts included outreach from Secretary of State Marco Rubio to discuss how increased oil revenue could help the country after a devastating earthquake earlier this summer, this person said.

“There’s a renewed acknowledgement from Delcy that increased oil production is the pathway to rebuilding after the earthquakes and accomplishing what her government wants to do for the people who are suffering because of the earthquakes,” this person said.

David Goldwyn, head of the international energy consulting firm Goldwyn Global Strategies, said investment from independent oil producers and expanded production from existing fields are likely to be Venezuela’s “primary source of new oil growth for the next couple of years.”

“While the supermajors bide their time until they see how the politics sort out, and whether they can cherry pick the best assets, independents can derisk their projects in a short period of time,” Goldwyn said.

But those investments are only likely to add up to 300,000 barrels a day to the country’s oil production over the next year, far from the increase of millions of barrels the authorities in Caracas and Washington would like to see, Goldwyn said.

“Incremental production is all we will see until the framework improves, electricity is restored, and the political picture becomes clearer,” he said.

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.

Farage’s victory over Binface won’t silence his critics

14 August 2026 at 09:01

LONDON — Nigel Farage’s victory in the Clacton by-election is emphatic — but it won’t let him off the hook.

Winning back his seaside House of Commons seat by an increased margin allows the Reform UK leader to claim victory in the “people vs the establishment” contest he triggered in response to intense scrutiny of his finances.

Farage won the backing of 22,239 constituents, or 63 percent of the vote. That’s 1,014 more votes in this by-election than at the U.K. general election two years ago, and a 17-point swing in his favor.

But second-placed this time was Count Binface, a comedian with a trash can on his head who secured — by many thousands — his highest ever vote count in a palpable protest against Farage. None of Britain’s mainstream parties took part in the contest, branding it a circus.

The Reform UK leader’s refusal to turn up at the count to hear the result Friday — a move that would have seen him pictured alongside a cast of comedy characters — underlined the struggle for him to get back on the front foot he is used to contesting politics from. 

More significantly, Farage’s triumph means that parliamentary investigations into his financial affairs will now resume. That could lead to another by-election — one in which serious rivals are far less likely to stand aside to allow Farage to face-off against a long list of no-hopers.

Count Binface waits with other candidates for the declaration of the winner of the Clacton by-election at Clacton Leisure Centre, England, on Aug. 14, 2026. | Dan Kitwood/Getty Images

Labour MPs switched out their own leader in part because of Farage’s storming success at local elections in May, but the focus on this contest has also made it harder for Farage to land blows on Britain’s new Prime Minister Andy Burnham.

This week, Labour overtook Reform in POLITICO’s Poll of Polls after months on the back-foot for the governing party.

Snubbing the count

Clacton is Farage’s fiefdom. It was one of the most Brexit-voting constituencies in the country and was the place that first sent him to the Commons on his eighth time of trying.

But Binface, a proud proponent of the British tradition of satirical candidates contesting elections, had never won more than 308 votes in a parliamentary election before. Against Farage, he secured 9,455 votes. That means 28 percent plumped for the comedy candidate with a bin on his head.

Farage on Friday snubbed the leisure center count and the mild embarrassment of accepting victory alongside Binface that three prime ministers — Boris Johnson, Rishi Sunak and Andy Burnham — have endured before him. 

He told his own “Farage Fest” jamboree organized in secret away from the results venue that he’d been advised by Essex Police of an “organized campaign to disrupt and degrade the result.”

Farage engages with locals outside a polling station in Clacton-on-Sea, England, on Aug. 13, 2026. | Ben Montgomery/Getty Images

“I’m not scared of these people, far from it,” he told fans. “But I’m damned if I’m going to stand on a stage, having won a resounding victory, a ringing endorsement of all that I’ve tried to fight for, and you’ve tried to fight for, and be demeaned and humiliated by nobodies, and I will not sadly be attending the count.”

That meant, according to reports, Farage became the first winning candidate not to turn up for a result since jailed Irish Republican Army hunger striker Bobby Sands won Fermanagh and South Tyrone in 1981.

Instead, Farage railed against the media and the “establishment” in his own event fit with branded pint cups, a ferris wheel and yurts for overnight stays. It was yet another demonstration of his attempt to bend the norms that accompany mainstream politics to his will.

Essex Police assured a “proportionate and robust policing operation” was in place at the count — while it was made clear that Farage was not advised to avoid the event. He cancelled a scheduled speech in Clacton, too.

Farage had gambled that a strong victory would inhibit the chances of parliamentary watchdogs imposing a severe enough sentence to set up a recall, should he be found to have breached the rules. “The bigger the vote, the bigger the message. Let’s tell the establishment where to go,” Farage said as polls opened on Thursday.

In the event, the turnout — at 44 percent — was not astonishing. That it’s less than the general election may not be surprising, but it was lower than another high-profile by-election held in this seat a decade earlier.

In 2014 Douglas Carswell resigned as the Conservative MP for the area to run for Ukip, Farage’s Eurosceptic party that helped drive Brexit. 

Clacton returned Carswell in his new guise, making him the first MP elected under the Ukip banner. He won 60 percent of the vote, on a 51 percent turnout.

That day was described as a “mini-earthquake in British politics” — but Friday’s result is producing less stable ground for Reform. “Farage’s distraction by-election doesn’t clear his name – it just shows he likely has so much more to hide,” argued Labour Party Chair Bridget Phillipson Friday morning.

Probes continue

So now the uphill battle. The parliamentary standards commissioner will resume two investigations into Farage — one centering on a £5 million donation from a crypto-entrepreneur, the other into support provided by a convicted fraudster.

The MP denies wrongdoing in both instances, arguing he didn’t need to declare the donations because they were given in a personal capacity before he was elected. 

But if there’s a finding of a serious rule breach then the Commons could vote to suspend Farage and trigger a recall petition.

Andy Burnham, whose arrival drowned out some of Farage’s usual dominance, speaks to the media after chairing a COBR meeting at Downing Street in London on Aug. 12, 2026. | Pool photo by Kin Cheung via WPA/Getty Images

The signatures of just 10 percent of registered voters in Clacton would then be needed to expel Farage from parliament — and trigger another by-election in which he could stand. Farage has expressed hopes that there isn’t such an appetite in his constituency — but the support for Binface throws that into doubt.

Clacton’s electorate is 79,785 — the 9,455 votes that Binface secured represents around 12 percent of those eligible voters, a comfortable margin for recall to be successful. 

Tactical errors?

That is all potential peril for the future. Right now, the August by-election has even some supporters questioning whether this was a rare miscalculation from a veteran campaigner.

Farage has in recent years dominated the summer break when many MPs vacate the political playing field.

But broadcasting rules on election periods stymied this year’s effort. Media invites to the press conferences Farage did throw had to assure broadcasters he would not be mentioning Clacton. And every mention of Clacton meant presenters were obliged to read the full 34-candidate list — namedropping Nick the Incredible Flying Brick and Baron Von Thunderclap in the process. 

Reform has also been struggling to grapple with a squeeze on its right from Rupert Lowe’s Restore Britain splinter party. Farage’s one-time Reform comrade touted the possibility of a pact to unite the right — but deeply held grievances on both sides mean the distraction has dragged on.

A row over one of Reform’s most senior officials, Zia Yusuf, calling a Conservative former defense secretary a “traitor to Britain” has also been generating unwanted headlines and exposing rifts inside Reform.

If that second by-election does emerge in the coming months then the Conservatives have already vowed to fight it. Farage, should he choose to stand again, would face a far tougher contest against the backdrop of parliament having ruled against him, and many voters in Clacton had been unimpressed by the “laughing stock” caused by the first election.

The Reform hardcore may be buoyed by Farage’s railing against the “establishment” — but what this saga does to his reputation with the wider electorate he needs to propel him into Downing Street remains the biggest unanswered question.

Farage probe resumes after he wins Clacton by-election

14 August 2026 at 07:26

LONDON — Nigel Farage was declared the winner of the Clacton by-election Friday morning — and immediately stepped into a resumed parliamentary investigation into his finances.

The Reform UK leader won the special contest with 22,239 votes, returning him as the member of parliament for the seaside constituency. His nearest rival, a comedian styling himself as Count Binface, came second with 9,455 votes.

Farage got 1,014 more votes this time around than in 2024 — a 17-point swing in his favor — albeit against no real competition after all the main political parties boycotted the contest. Turnout was 44.37 percent.

The by-election was called by Farage himself amid mounting scrutiny of his finances.

The right-wing populist has faced repeated questions over a £5 million donation from crypto-entrepreneur Christopher Harborne, received before he became Clacton’s member of parliament in 2024, as well as support from convicted fraudster George Cottrell.

Farage has given varying explanations for the support, and billed this election — called at a dramatic press conference railing against the mainstream parties — as a “people versus the establishment” chance for Clacton’s voters to be his judge.

On Friday, the website of Parliament’s standards commissioner was updated to make clear that a paused probe into the Harborne donation has now been resumed.

That tees up the prospect of a further electoral test for Farage in Clacton if he is found to have broken the rules. The Conservatives, likely to be the most competitive challengers, have made clear that they would stand in such a contest.

Farage on Friday broke with tradition by declining to attend the result declaration at Clacton Leisure Centre.

He told supporters in an earlier speech in the town he would not be attending due to what he called an “organized campaign to disrupt and degrade” the result, claiming police had warned Reform UK of such a threat. A later Clacton victory rally has also been cancelled.

An Essex Police spokesperson said only that: “The decision of candidates to attend or not attend the election count is a decision for individuals and their security teams, our role is to make sure our policing operation is sufficiently robust to ensure the safety of all and we are grateful to all of our officers, staff and the staff at Tendring District Council who worked through the night to ensure the safety of all.”

Farage told his supporters: “I’m damned if I’m going to stand on a stage having won a resounding victory, a ringing endorsement of all that I’ve tried to fight for and you’ve tried to fight for and be demeaned and humiliated by nobodies.”

US lawmakers visit Vatican to discuss AI — and meet the pope

14 August 2026 at 03:10

A bipartisan House delegation met with top Vatican officials on Wednesday to discuss artificial intelligence during a visit that briefly included Pope Leo XIV, according to two people with knowledge of the trip granted anonymity to disclose details of the private meetings.

The delegation’s visit, which has not been previously reported, included nine lawmakers and was coordinated by the House Select Committee on the Chinese Communist Party, the person said. Committee member Rep. Dan Newhouse (R-Wash.) and California Rep. Ro Khanna, the panel’s top Democrat, led the trip.

A spokesperson for the committee declined to comment.

In an interview confirming the visit, Khanna said the topics of discussion included religious freedom, AI’s economic and geopolitical risks, as well as broader ethical and existential implications. It centered on two key principles: human dignity and equality.

“Human dignity means that human beings need to be responsible for any key decisions involving health, involving finances, involving individual freedom, involving public services,” he said.

The Silicon Valley Democrat said that in this context, equality means preventing automation from causing mass unemployment, and ensuring AI cannot be used to exclude people from social services. Khanna said it also means guarding against a concentration of power in which “a few billionaires can make decisions about data and algorithms.”

The Vatican did not respond to a request for comment about the meeting. But Pope Leo has taken a special interest in the technology and used a May encyclical to call on countries to “safeguard humanity” as AI develops, warning that the technology could deepen inequality, fray the social fabric and erode moral responsibility if it doesn’t have ethical guardrails. Congress, meanwhile, has introduced dozens of AI bills and held several hearings, but has failed to agree on a comprehensive federal framework for governing the technology.

The pope previously cast the global race to develop cutting-edge AI technology in stark terms. As the U.S., China and other powers compete for an edge, he warned against a “dehumanizing ambition to develop ever more powerful technologies or to secure control over them,” describing a contest between “opposing imperialisms” seeking either to preserve or seize technological supremacy.

Khanna told POLITICO he plans to introduce legislation that would tax the use of autonomous AI agents to incentivize companies to hire human workers.

The group also discussed AI’s implications for human mortality and the limits of human knowledge — boundaries some developers have long imagined technology might overcome by uploading human consciousness and accumulated wisdom to the cloud.

Following the meetings, Khanna sent letters to top executives at OpenAI, Anthropic, Meta, Google, Microsoft, Apple, Nvidia, and Amazon, asking how they intend to align their technology with the tenets of human dignity and equality.

An OpenAI spokesperson pointed POLITICO to prior policy documents outlining the AI company’s commitment to safety and to ensuring benefits from the technology are distributed equitably. The other companies did not respond to requests for comment.

The lawmakers traveled to Berlin to discuss China’s rising global influence, before picking up on the topic during their Vatican visit and in meetings with Italian government officials a few days later.

Alongside Khanna and Newhouse, Reps. Diana DeGette (D-Colo.), Buddy Carter (R-Ga.), John Rutherford (R-Fla.), Randy Feenstra (R-Iowa), Shontel Brown (D-Ohio), Jill Tokuda (D-Hawaii) and Raja Krishnamoorthi (D-Ill.) took part in the discussions, according to one of the people familiar with the trip.

Spokespeople for the members did not respond to requests for comment.

NATO’s plan for a drone-infested battlefield: Let AI fly while humans decide who dies

13 August 2026 at 17:42

NATO plans to fortify its eastern edge using drones, sensors and artificial intelligence in a massive network designed to spot and help repel a potential Russian attack.

Western officials say the alliance is exploring AI-assisted drone operations as part of the broad effort to bolster its defenses. The aim, however, isn’t full autonomy; instead, machines could help to pilot the drones while human operators make the call on what they strike.

The approach echoes what Ukraine is already doing. The embattled country is increasingly incorporating AI into its drone operations, but both soldiers and defense tech firms have repeatedly emphasized that humans must remain at the center of the fight, even as the war becomes more robotic.

For NATO, AI-assisted drones would be part of the Eastern Flank Deterrence Initiative — a digital battlespace network the alliance is building to track threats along its borders with Russia and Belarus, which stretch from northern Finland to the Black Sea.

The new concept includes thousands of drones, sensors and satellites linked with AI to detect potential breaches of allied territory and repel attacks as the first line of defense. Conventional military forces, such as tanks, fighter jets and artillery, will remain the backbone.

U.S. Army Maj. Ben Schiff, a software operations officer, told Bild — which, like Business Insider and POLITICO, is part of the Axel Springer Global Reporters Network — that both Ukraine and Russia still rely on humans to control drones.

While some systems have AI or machine-learning capabilities that allow brief moments of autonomy in flight, piloting is primarily performed by operators on the ground. Schiff said that “the most boring parts of flying”— drones loitering above the battlefield looking for targets — should be automated. But when it comes to deciding what the drone should strike, that’s where a human comes into play.

“So the humans are deciding what the drone does, but they don’t necessarily need to take the action of flying it because we don’t have a million pilots. We can’t fly a million drones at the same time,” said Schiff at the U.S. Army Europe and Africa headquarters in Wiesbaden, Germany.

Schiff is a product manager for the EFDI Data Backbone, a developing framework designed to help NATO forces detect, classify, share and act on information at speed and scale. The backbone bridges incompatible computer and command systems across multiple allied nations, allowing real-time data to flow from forward-deployed sensors all the way back to headquarters.

The goal is to help NATO move beyond today’s linear system — called a “kill chain” — where information moves from the front line back to a decision-maker and then back again to the battlefront to a “kill web,” where data from sensors can be rapidly passed to weapons systems and operators.

“The value of a drone, sensor or other capability is not determined solely by its individual performance,” said Maj. Matt Blubaugh, a spokesperson for U.S. Army Europe and Africa“Its effectiveness depends on how well it integrates into the broader operational ecosystem.”

Learning from Ukraine

Ukraine is already pioneering the integration of AI into military operations.

Soldiers observe a drone in the Dnipropetrovsk region of Ukraine on June 14, 2025. | Florent Vergnes/AFP via Getty Images

On the battlefield, Ukraine has made significant progress in using AI to support functions like decision-making, drone navigation, terminal guidance and precision, said Andrii Hrytseniuk, the CEO of the Ukrainian state-backed innovation platform Brave1.

This spring, Hrytseniuk told Business Insider in Kyiv that more than 200 local companies were developing AI-based components for drones, missiles, radars and other systems. However, they insist machines won’t control drones from start to finish.

Wild Hornets, the manufacturer of the popular Sting interceptor drone, also told Business Insider in May that AI will be gradually integrated at almost every stage of flight operations — target detection, identification and, later, terminal guidance.

A spokesperson for the company said humans will still make the final decision on what to strike. Since Russia is constantly changing its tactics, interceptor operators must keep tabs on these changes and make necessary adjustments, they said.

As autonomous systems become more common on the battlefield in Ukraine, commanders also told Business Insider that humans need to remain in the loop.

Grek, the call sign of a company commander overseeing robots with Ukraine’s 21st Unmanned Systems “Kraken” Regiment, said the goal is to “allow people to focus on the tasks where human judgment has the greatest value.”

U.S. Army officers stressed that NATO is using the operational environment in Ukraine to inform military planning for a potential future confrontation.

“We’re not copying Ukraine,” said Capt. Ronan Sefton. “We’re learning from Ukraine.”

The Axel Springer Global Reporters Network harnesses the resources of the company’s newsrooms to publish ambitious scoops, investigations, interviews, opinion pieces and analysis. It allows journalists — including those from POLITICO, Business Insider, WELT, BILD, The Telegraph, Onet and Fakt — to collaborate on major stories for an international audience of hundreds of millions across platforms: online, print, TV and audio.

The government is recruiting tech companies to help fight its cyber battles

13 August 2026 at 18:58

President Donald Trump is paving a legal pathway for U.S. companies to launch cyberattacks on foreign cybercriminal gangs — a significant and potentially controversial measure that would put approved tech and cybersecurity firms on the front lines of digital combat.

The presidential memorandum, released late Wednesday, comes as the Trump administration has repeatedly pushed for more aggressive action to counter foreign scams and cyberattacks, which the White House said cost Americans nearly $21 billion last year.

The memo represents one of the biggest shifts in U.S. cyber policy undertaken in recent years. It would empower tech and security companies — whose data and control over internet infrastructure often offer unique insight into foreign hacking operations — to mount state-sanctioned digital strikes.

While many such companies already work closely with U.S. intelligence and law enforcement agencies, a web of legal and political constraints has long prevented them from taking direct action inside foreign networks.

Companies that want to participate would be required to sign contracts with both the Department of Justice and the Department of Homeland Security and to undergo what the memo describes as “rigorous vetting” while working with the government. The overall effort would be overseen by a National Coordination Center, established in an earlier Trump administration executive order, with co-executive directors from DOJ and DHS.

However, the memo states that no operations by the companies would be approved until the executive directors at DOJ and DHS establish “consensus procedures” with the White House Homeland Security Council guaranteeing “complete oversight and control of Participating Companies’ performance.”

Those procedures, it notes, should be drafted within 60 days. They are likely to be extensive.

They will outline steps for participating companies to obtain approval for proposed offensive hacking operations, so the government can confirm that the targets are criminal gangs and ensure that operations are consistent with U.S. law and don’t undermine ongoing U.S. intelligence efforts. Companies could propose surveillance operations to help identify criminals or “effects” operations to degrade the systems they use to stage their attacks.

Participating companies would have to pass minimum standards for technical expertise and personnel vetting, and would be required to notify the federal government if they believe approved operations may result in the loss of life or rise to the level of use of force under international law.

Some see the memo as a critical step to help the U.S. government counter foreign cybercriminal gangs that operate outside the reach of U.S. law enforcement.

“For years we’ve called the American technology industry a strategic asset but left it on the cyber sidelines,” Joe Lin, the CEO and co-founder of Twenty, a start-up that builds offensive cyber tools for the U.S. government, said in a statement. “This administration is changing the paradigm.”

The memo notes that companies will only be authorized to target criminals that are “not an institutional part of a foreign government or wholly operated under a foreign government’s direction.”

Even with the help of the U.S. intelligence community, making that distinction could be difficult.

Adversaries such as Russia, China and Iran have persistently targeted U.S. critical infrastructure, including water systems, ports, and telecommunications infrastructure, while multinational crime syndicates have defrauded billions of dollars annually from Americans via complex online schemes.

But many cyber gangs in Eastern Europe are thought to operate with the tacit consent of the Russian government, while state hackers in Iran and China sometimes moonlight as cybercriminals to earn extra money or deflect blame for their governments’ attacks.

More broadly, it is not always easy for digital investigators to determine who is responsible for a given cyberattack, or who different computer networks belong to — another risk the memo contemplates.

Companies that accidentally carry out operations targeting a U.S. citizen or network will be required to immediately pause the operation and notify the U.S. government, the memo states. It does not appear to preclude activities that are deliberately “directed” at a U.S. person, so long as they receive “any necessary authorization, judicial or otherwise, prior to approval of the operation.” Under U.S. law, a “U.S. person” can refer to an American business or organization.

Many lawmakers and security experts have broadly supported calls for the private sector to play a larger role in responding to cybercrime, though not all approve of granting them the ability to launch active hacking efforts.

In recent years, some House members have debated the idea of issuing “letters of marque” to private companies to carry out cyberattacks on behalf of the U.S. government, similar to the U.S. Navy authorizing private ships to disrupt British shipping during the War of 1812.

As part of a more assertive cyber posture, Trump has turned to U.S. Cyber Command to mount digital attacks in tandem with U.S. military operations, including in Iranand Venezuela. He signed an executive order this March to clamp down on countries that fail to take action against scam centers operating within their borders.

That same month, the White House called on the private sector to broadly help it “disrupt” foreign adversaries in its new national cyber strategy, though it stopped short of telling private companies to take riskier and more consequential steps, such as directly launching attacks against foreign criminals.

Some of the most prolific online fraud operations are believed to emanate from scam compounds in Southeast Asia. But hackers from North Korea — who for years have stolen hundreds of millions in cryptocurrency from victims around the world — would likely be exempt from targeting by U.S. companies since they work at the direction of the North Korean government.

Police are now scanning faces at a London Underground station

13 August 2026 at 17:57
live facial recognition — District Line platform at Victoria Underground Station, photo by N Chadwick / CC BY-SA 2.0 (Wikimedia Commons)

The British Transport Police announced it would start using facial recognition cameras in a London Underground station. The Victoria Underground station was the first to be equipped with cameras.

The cameras scan the faces of everyone who walks past them and compare each face to a watchlist of people the police or the courts want to find. — Read the rest

The post Police are now scanning faces at a London Underground station appeared first on Boing Boing.

Scorching summer will cost France €10B to €15B, environment minister estimates

13 August 2026 at 12:27

PARIS — France’s historically hot summer will end up costing the country €10 billion to €15 billion — the equivalent of as much as 0.5 percent of French gross domestic product — according to an estimate shared by Minister for Ecological Transition Monique Barbut.

Barbut said the preliminary estimate, which she advised treating “with great caution,” was based on an extrapolation of heat-related costs compiled by France’s official statistics agency, Insee, in past years. She added that the figure could rise as temperatures remain well above seasonal averages in many French regions. Eighty-five percent of the country was also under drought warnings as of mid-July.

Barbut said recent wildfires and drops in agricultural output were the biggest estimated costs and warned they would continue to grow in the future if governments fail to implement policies to limit the impacts of climate change.

France’s August 2003 heatwave, which, until this summer, was the warmest ever recorded in the country, led to a 22 percent drop in cereal production and a 9 percent drop in wine production, according to the French statistics agency.

A 2025 report from the European Central Bank found that regions hit by heat waves and droughts both had noticeable impacts on European economic output.

Nicolas Camut contributed to this report.

Trump sued over paid early access to Truth Social posts

13 August 2026 at 01:42

A news organization and free speech nonprofit sued President Donald Trump over his social media platform’s program that offers paid early access to his posts after the scheme went live at the beginning of August.

The lawsuit, filed Wednesday in the U.S. District Court for the Southern District of New York by the left-leaning nonprofit newsroom The Intercept and the Freedom of the Press Foundation, alleges the practice “is extraordinary, corrupt, and unconstitutional.”

The plaintiffs also say the controversial $100,000-a-month program violates their First Amendment rights to access presidential statements “on equal terms with other members of the press and public.”

In announcing plans to introduce the program, Truth Social — whose parent company Trump founded in 2021 after being kicked off social media platforms and owns a plurality stake in — described the initiative as valuable for “organizations that place a premium on immediate, verified access to information.” But critics allege it amounts to insider trading on advanced access to the president’s market-moving words.

The service gives traders and other entities high-speed access to the president’s Truth Social account in addition to the nine other most-popular accounts on the platform, including Vice President JD Vance, White House press secretary Karoline Leavitt and Health and Human Services Secretary Robert F. Kennedy Jr.

A spokesperson for Truth Social, which isn’t named as a defendant in the complaint but is referenced throughout it, said in a statement that “information from President Trump is disseminated by countless platforms and news outlets, many of which offer subscription APIs.”

“One of those channels is Truth Social, which was founded as an uncancellable haven for free speech after the President was unjustly deplatformed,” the statement continued. “Now, left-wing activists are trying to wrongfully weaponize the courts to censor him again and harm our shareholders.”

The White House did not respond to requests for comment.

The Intercept’s chief legal officer, David Bralow, in a statement said “nothing could be more antithetical to the free, independent press than the president charging for early access to his public announcement.”

Natalie Harp, an executive assistant to Trump who media reports suggest is responsible for authoring many of the president’s social media posts, is named as a defendant in the suit alongside deputy chief of staff Dan Scavino, the Executive Office of the President and the White House Office.

The subjects of the president’s Truth Social posts can range from squabbles with federal judges to hiring and firings within his administration and threats against foreign adversaries. They also provide a glimpse at the issues of the day that occupy Trump’s attention.

Such announcements have had the ability to sway markets, like when oil prices plunged after Trump posted that he was calling off an attack on Iran in April. He has also occasionally touted specific companies on the platform, causing their stock prices to rise.

The plaintiffs also express concerns that the program would give outlets willing to pay for the service an unfair advantage over other newsrooms and hinder efforts to catalog the president’s posts by scraping Truth Social.

The company said in an August earnings report that despite a $238 million loss in the second quarter of 2026, 10 customers had already registered for the service.

The program has caught the eyes of Democratic lawmakers on the Hill. Sens. Ruben Gallego (D-Ariz.) and Mark Warner (D-Va.) introduced a bill Tuesday seeking to ban social media companies from selling early access to government employees’ accounts and specifically invoked the Truth Social program.

Burnham chairs crisis meeting as UK swelters in extreme heat

12 August 2026 at 11:04

LONDON — Prime Minister Andy Burnham will lead a meeting of the government’s emergency committee Wednesday afternoon in response to ongoing heatwaves, droughts and wildfires across the U.K.

COBR (Cabinet Office Briefing Room) meetings are convened during a crisis or emergency — and come as the record-breaking conditions take a severe toll on U.K. infrastructure.

The crisis is an early test for Burnham, who came to office just last month.

A Downing Street spokesperson said: “We know how challenging this summer is proving, particularly for firefighters tackling wildfires, farmers working in drought conditions, and NHS staff in busy A&E units.

“We will continue to take the action needed to keep communities safe, protect water supplies, support farming communities and safeguard the environment.”

Britons are this week bracing for their fifth heatwave of 2026, with some temperatures forecast to exceed 36C. The Met Office, Britain’s national weather service, has warned that this summer is set to be the U.K.’s hottest since records began.

More than two-thirds of England is now in drought after the driest July since records began in 1836. The whole of Wales is also in drought, and more than 27 million people across the U.K. are facing water restrictions including hosepipe bans.

The U.K. is grappling with wildfires including at the New Forest national park in south England. The National Fire Chiefs Council responded to 458 wildfires last month, its busiest month on record.

‘Snail’s pace’

The rival Green Party first demanded a COBR meeting weeks ago after a wildfire engulfed parts of Suffolk in eastern England. Green Leader Zack Polanski said Wednesday’s meeting is “only a first step. This is a climate emergency which is leading to hundreds of deaths and stretching our firefighters, health staff and farmers to the limit. What we urgently need is concrete action.”

Liberal Democrat Energy Spokesperson Pippa Heylings warned a COBR meeting alone “will not put out fires or protect our communities,” and said government is “moving at a snail’s pace.”

Prior to today’s COBR, the U.K.’s National Drought Group and Severe Weather Resilience Network have held regular meetings, and the government has also vowed to work with water companies to build nine new reservoirs for the U.K. — which built its last reservoir back in 1992.

U.K. climate advisers have meanwhile spent much of the summer urging the country to up its game when it comes to adaptation for a warming world.

The Committee on Climate Change, a government advisory body, said in May that cooling to protect from heat, “increased flood preparedness, and improved water management are the highest priorities.”

“Deploying these adaptations at scale will help avoid loss of life – particularly amongst those most vulnerable to climate impacts – and unnecessary damage and disruption to people and to the economy,” it said.

The U.K. has been “built to a climate that no longer exists,” Swenja Surminski, a member of the Climate Change Committee Adaptation Committee, told MPs in June.

Additional reporting by Charlie Cooper.

‘We are going to court’: California threatens legal action on Trump offshore wind cuts

12 August 2026 at 02:24

California is launching a probe into the Trump administration’s most recent move to scuttle the state’s nascent offshore wind industry.

Gov. Gavin Newsom’s administration on Tuesday released an investigative subpoena against German energy company RWE, according to David Hochschild, chair of the California Energy Commission.

“These are unlawful actions … they’re using funds that are not dedicated to those purposes, and we’re going to vigorously contest those,” Hochschild said of the Trump administration’s settlement agreements to kill offshore wind projects. “We’re going to court.”

He made the announcement on stage during POLITICO’s The California Agenda: Sacramento Summit.

Hochschild’s statements show that California, facing a relentless assault on its offshore wind ambitions, is turning to the courts as its primary venue for fighting back.

RWE announced a $1.2 billion agreement on Thursday to surrender its offshore wind leases off the coasts of New York, California and Louisiana. That signaled the continued success of a recent Trump administration strategy to kill wind projects it opposes: offer the developers funds to instead invest in fossil fuel facilities. That tactic has so far ended three of the five planned wind projects off the California coast.

In May, California issued a similar investigative subpoena to Golden State Wind after it cut a Trump administration deal to cancel an offshore wind project. The state later said it intended to sue over that deal. California followed that same playbook with Invenergy’s offshore wind cancellation. It has not filed any lawsuits in response to the deals to date.

What will Burnham do on AI?

10 August 2026 at 08:55

Artificial intelligence could transform the economy, the workplace, and even the way we think — but is Britain ready for it? And is Andy Burnham?

In the second of Sam Coates and Anne McElvoy’s summer box set conversations, they sit down with POLITICO UK tech editor Isobel Asher Hamilton to look at the choices facing the new prime minister this autumn.

Should Britain be building the next OpenAI, or focusing on using AI to revive manufacturing? Can the UK compete with the US and China? And where will the government land on the biggest political battles ahead, from copyright and data centres to the future of work?

US Senate passes Russia sanctions bill

8 August 2026 at 09:36

The Senate voted 86 to 11 to pass the sweeping Russia sanctions bill championed by the late Sen. Lindsey Graham on Friday, advancing legislation that would give the White House more leverage against Moscow as it seeks to end the war in Ukraine — and a brand new tariff tool.

Now that the bill has cleared the upper chamber, it’s up to lawmakers in the House to determine its fate when they return in September. President Donald Trump has already signaled he would sign the bill if it lands on his desk.

The bill, which Graham and cosponsors including Sen. Richard Blumenthal (D-Conn.) have worked to advance for more than a year, would issue mandatory sanctions not only on Russia’s leadership and energy sector, but also on abetters of Russia’s defense industry and so-called shadow fleet in an effort to curb the flow of cash to Moscow’s war chest.

Ukraine’s supporters on the Hill and officials in Kyiv have been urging its passage, arguing that it would deal a timely blow to Russia’s war efforts as Kyiv seeks to capitalize on a series of recent favorable turns in the war to end it altogether.

In comments on the Senate floor ahead of the vote, ranking member of the Senate Foreign Relations Committee and vocal backer of the bill Sen. Jeanne Shaheen (D-N.H.) stressed the “urgency” of the moment.

“The momentum is on Ukraine’s side,” Shaheen said. “Now is the time to put more pressure on Putin.” She added that the situation on the ground could turn back in Moscow’s favor within months — especially with assistance from foreign foes like China.

It has already been a long road for the sanctions measure, which Graham and Blumenthal first introduced in April 2025. The lawmakers negotiated for months with the White House, which wanted more control over what entities it could sanction, and by how much. In July, Graham announced — from Kyiv — that the White House had agreed to a revised version of the bill.

The new iteration of the bill includes broad authority for the president to waive any sanctions that are applied, as long as the White House provides a written certification that the waiver is “in the national interests of the United States” and a report outlining the basis for the certification.

Following a last-minute demand from Trump, lawmakers also added language to the bill to extend certain sanctions on Iran.

Graham’s sudden death just days after winning Trump’s green light spurred his fellow senators to support the legislation, which cleared a procedural hurdle at the end of the month by a wide margin.

But a provision in the bill that would grant the White House authority to issue 100 percent tariffs on top buyers of Russian oil, and countries facilitating sanctions evasion, nearly derailed the measure’s passage in the upper chamber before lawmakers left town for August recess.

An amendment pushed by Sens. Rand Paul (R-Ky.) and Ron Wyden (D-Ore.) that would have stripped the tariff language from the bill entirely failed in a 64 to 32 floor vote Friday.

Still, nearly one-third of the upper chamber voted in favor of striking the tariff language, highlighting Democrats’ worries about handing more tariff powers to a White House already eager to use that tool against Washington’s global allies and enemies. That Democratic discontent is likely a foreshadowing of a similar sticking point for lawmakers on the House side when they return from recess in September.

As Senate leadership tried to reach an agreement to fast-track consideration of the bill before the chamber adjourned for the summer, lawmakers opposed to the tariff provisions threatened to derail that effort over squabbles about what amendments should get a floor vote.

One of those amendments was an effort from Sens. Raphael Warnock (D-Ga.) and Bill Cassidy (R-La.), to add language curbing the tariff powers afforded to Trump in the bill. Warnock — who voted to advance the bill in July — had threatened to thwart Senate leadership’s effort to fast-track consideration of the legislation this week if his amendment didn’t get a floor vote.

But Warnock pulled the amendment at the eleventh hour Thursday evening after securing the Trump administration’s commitment to enact a clear off-ramp for countries hit with tariffs, according to a person familiar with the senator’s plans granted anonymity to speak about internal conversations.

That move may not go far enough to quell the concerns of Democrats in the House — some of whom have already expressed frustration over the provision.

House Foreign Affairs ranking member Gregory Meeks (D-N.Y.) and Rep. Don Beyer (D-Va.) issued a joint statement following the Senate vote slamming the current bill text as “unacceptable” and citing the broad waiver authority and tariff powers granted to the White House.

But the lawmakers vowed to “continue to seek a path forward that remedies this bill’s flaws.”

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