Trump pauses tariffs on Mexico and Canada, but not China

The flags of Mexico, Canada and the United States are shown near the Ambassador Bridge, Monday, Feb. 3, 2025, in Detroit. (AP)
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Updated 04 February 2025
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Trump pauses tariffs on Mexico and Canada, but not China

  • Mexico agreed to reinforce its northern border with 10,000 National Guard members to stem the flow of illegal migration and drugs
  • Trump suggested on Sunday the 27-nation European Union would be his next target, but did not say when

MEXICO CITY/WASHINGTON/OTTAWA: US President Donald Trump suspended his threat of steep tariffs on Mexico and Canada on Monday, agreeing to a 30-day pause in return for concessions on border and crime enforcement with the two neighboring countries.
US tariffs on China are still due to take effect within hours.
Both Canadian Prime Minister Justin Trudeau and Mexican President Claudia Sheinbaum said they had agreed to bolster border enforcement efforts in response to Trump’s demand to crack down on immigration and drug smuggling. That would pause 25 percent tariffs due to take effect on Tuesday for 30 days.
Canada agreed to deploy new technology and personnel along its border with the United States and launch cooperative efforts to fight organized crime, fentanyl smuggling and money laundering.
Mexico agreed to reinforce its northern border with 10,000 National Guard members to stem the flow of illegal migration and drugs.
The United States also made a commitment to prevent trafficking of high-powered weapons to Mexico, Sheinbaum said.

HIGHLIGHTS

• Trump pauses tariffs on Mexico and Canada

• Mexico, Canada to bolster border enforcement

• EU leaders meet to discuss tariff threat response

“As President, it is my responsibility to ensure the safety of ALL Americans, and I am doing just that. I am very pleased with this initial outcome,” Trump said on social media.
The agreements forestall, for now, the onset of a trade war that economists predicted would damage the economies of all involved and usher in higher prices for consumers.
After speaking by phone with both leaders, Trump said he would try to negotiate economic agreements over the coming month with the two largest US trading partners, whose economies have become tightly intertwined with the United States since a landmark free-trade deal was struck in the 1990s.

CHINA TARIFFS STILL PLANNED
No such deal has emerged for China, which faces across-the-board tariffs of 10 percent that are poised to begin at 12:01 a.m. ET on Tuesday (0501 GMT). A White House spokesperson said Trump would not be speaking with Chinese President Xi Jinping until later in the week.
Trump warned he might increase tariffs on Beijing further.
“China hopefully is going to stop sending us fentanyl, and if they’re not, the tariffs are going to go substantially higher,” he said.
China has called fentanyl America’s problem and said it would challenge the tariffs at the World Trade Organization and take other countermeasures, but also left the door open for talks.
The latest twist in the saga sent the Canadian dollar soaring after slumping to its lowest in more than two decades. The news also gave US stock index futures a lift after a day of losses on Wall Street.
Industry groups, fearful of disrupted supply chains, welcomed the pause.
“That’s very encouraging news,” said Chris Davison, who heads a trade group of Canadian canola producers. “We have a highly integrated industry that benefits both countries.”
Trump suggested on Sunday the 27-nation European Union would be his next target, but did not say when.
EU leaders at an informal summit in Brussels on Monday said Europe would be prepared to fight back if the US imposes tariffs, but also called for reason and negotiation. The US is the EU’s largest trade and investment partner.
Trump hinted that Britain, which left the EU in 2020, might be spared tariffs.
Trump acknowledged over the weekend that his tariffs could cause some short-term pain for US consumers, but says they are needed to curb immigration and narcotics trafficking and spur domestic industries.
The tariffs as originally planned would cover almost half of all US imports and would require the United States to more than double its own manufacturing output to cover the gap — an unfeasible task in the near term, ING analysts wrote.
Other analysts said the tariffs could throw Canada and Mexico into recession and trigger “stagflation” — high inflation, stagnant growth and elevated unemployment — at home.

 


Vietnam village starts over with climate defenses after landslide

Updated 56 min 24 sec ago
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Vietnam village starts over with climate defenses after landslide

  • Last year, Typhoon Yagi’s rains unleashed a landslide that engulfed much of Lang Nu village in mountainous Lao Cai province

LAO CAI, Vietnam: Nguyen Thi Kim’s small verdant community in northern Vietnam no longer exists, wiped away in a landslide triggered by Typhoon Yagi’s devastating heavy rains last year.
She and dozens of survivors have been relocated to a site that authorities hope will withstand future climate change-linked disasters, with stronger homes, drainage canals and a gentler topography that lessens landslide risks.
It is an example of the challenges communities around the world face in adapting to climate change, including more intense rains and flash floods like those Typhoon Yagi brought last September.
Kim lost 14 relatives and her traditional timber stilt home when Yagi’s rains unleashed a landslide that engulfed much of Lang Nu village in mountainous Lao Cai province.
The storm was the strongest to hit Vietnam in decades, killing at least 320 people in the country and causing an estimated $1.6 billion in economic losses.
It is unlikely to be an outlier though, with research last year showing climate change is causing typhoons in the region to intensify faster and last longer over land.
Climate change, caused largely by burning fossil fuels, impacts typhoons in multiple ways: a warmer atmosphere holds more water, making for heavier rains, and warmer oceans also help fuel tropical storms.
Kim remains traumatized by the landslide.
She says everything is painful, especially the memory of the moment a torrent of mud swept away her and her two-year-old daughter.
“This disaster was too big for us all,” she said recalling the moment the pair were pulled from the mud hours later.
“I still cannot talk about it without crying. I can’t forget,” the 28-year-old said.
Yagi hit Vietnam with winds in excess of 149 kilometers (92 miles) per hour and brought a deluge of rain that caused destructive flooding in parts of Laos, Thailand and Myanmar.
In Lang Nu, 67 residents were killed, and authorities vowed to rebuild the homes of survivors in a safe spot.
By December, 40 new houses were ready at a site around two kilometers away.
It was chosen for its elevation, which should be less impacted by adjacent streams, and its relatively gentle slope gradient.
“Predicting absolute safety in geology is actually very difficult,” said Tran Thanh Hai, rector of Hanoi University of Geology and Mining, who was involved in choosing a new site.
But the site is secure, “to the best of our knowledge and understanding.”
Lao Cai is one of Vietnam’s poorest areas, with little money for expensive warning systems.
However, a simple drainage system runs through the new community, diverting water away from the slope.
This should reduce soil saturation and the chances of another landslide, scientists who worked on the site said.
The village’s new homes are all built of sturdier concrete, rather than traditional wood.
“We want to follow our traditions, but if it’s not safe any longer, we need to change,” Kim said, staring out at the expanse of mud and rock where her old village once stood.
Months later it remains frozen in time, strewn with children’s toys, kitchen pans and motorcycle helmets caught up in the landslide.
Like Kim, 41-year-old Hoang Thi Bay now lives in the new village in a modern stilt house with steel structural beams.
Her roof, once made of palm leaves, is now corrugated iron and her doors are aluminum glass.
She survived the landslide by clinging desperately to the single concrete pillar in her old home as a wall of mud and rocks swept her neighborhood away.
“I still wake up in the night obsessing over what happened,” she said.
“Our old house was bigger and nicer, with gardens and fields. But I sleep here in the new house and I feel much safer,” she said.
Even at the new site, home to around 70 people, there are risks, warned Hai.
Development that changes the slope’s gradient, or construction of dams or reservoirs in the area could make the region more landslide-prone, he said.
Building more houses or new roads in the immediate area, or losing protective forest cover that holds earth in place, could also make the site unsafe, added Do Minh Duc, a professor at the Institute of Geotechnics and Environment at the Vietnam National University in Hanoi.
Yagi wiped out large areas of mature natural forest in Lao Cai and while private companies have donated trees for planting, it is unclear whether they can provide much protection.
“In terms of landslide prevention, the only forest that can have good (protective) effects is rainforest with a very high density of trees, so-called primary forest,” explained Duc, an expert on disaster risk maps who also helped choose the new site.
Leaving the old community was hard for Kim, whose family had lived and farmed there for nearly half a century.
But she is grateful that she and other survivors have a second chance.
“I believe this is the safest ground for us.”


Indian army kills two gunmen in Kashmir

Updated 23 April 2025
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Indian army kills two gunmen in Kashmir

  • Kashmir has been divided between nuclear-armed rivals India and Pakistan since their independence in 1947
  • Rebel groups have fought for decades demanding independence for Kashmir or its merger with Pakistan

SRINAGAR, India: India’s army said they had killed two gunmen in Kashmir close to the contested frontier with Pakistan, a day after attackers massacred at least 26 people in separate violence.
The army’s Chinar Corps reported Wednesday a “heavy exchange of fire” with gunmen they said were part of an “infiltration bid” at Baramulla, saying it had seized large quantities of weapons and ammunition.
“Two terrorists have been eliminated,” the army said.
Muslim-majority Kashmir has been divided between nuclear-armed rivals India and Pakistan since their independence in 1947, with both claiming the territory in full.
India has an estimated 500,000 soldiers permanently deployed in the territory.
Rebel groups have fought for decades demanding independence for Kashmir or its merger with Pakistan.
Security forces are undertaking a major manhunt after gunmen in the popular tourist spot of Pahalgam slaughtered at least 26 people on Tuesday, the region’s deadliest attack on civilians since 2000.
Fighting has decreased since 2019, when Prime Minister Narendra Modi’s government canceled the partial autonomy of the territory and imposed direct control from New Delhi.


Thousands evacuate as fire spreads in US state of New Jersey

Updated 23 April 2025
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Thousands evacuate as fire spreads in US state of New Jersey

  • Jones Road Wildfire was raging across Ocean County and was 10 percent contained
  • Local media said the blaze had begun in a massive, rural coastal ecosystem known as the Pine Barrens

NEW YORK: Some 3,000 residents were evacuated in the US state of New Jersey after a wildfire exploded in size, scorching thousands of acres and threatening hundreds of structures, the state’s fire service said Tuesday.
As of 10:30 p.m. (0230 GMT) the Jones Road Wildfire was raging across Ocean County and was 10 percent contained, the New Jersey Forest Fire Service said in a post on social media platform X.
It put the size of the blaze at 8,500 acres (3,440 hectares), just two hours after reporting the fire had hit 3,200 acres.
The fire service said “numerous” fire and rescue personnel had been deployed along with fire engines, bulldozers and ground crews.
It said the cause of the fire was “under investigation.”
Local media said the blaze had begun in a massive, rural coastal ecosystem known as the Pine Barrens, one of the largest protected land areas on the US East Coast.
New Jersey had been under an official drought warning, the state’s Department of Environmental Protection said in March.
Power was knocked out to roughly 25,000 customers, Jersey Central Power & Light said in a post on X.
The blaze also forced the closure of a section of the Garden State Parkway, a major highway through the state.
Ocean County, south of New York City, is a popular tourist destination that is part of the Jersey Shore and contains sights such as the Six Flags amusement park.
The fire service said it would hold a press conference on Wednesday.


Japan PM to visit Vietnam, the Philippines from Sunday

Updated 23 April 2025
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Japan PM to visit Vietnam, the Philippines from Sunday

  • The April 27-30 trip follows a Southeast Asia tour by Chinese President Xi Jinping
  • Some Japanese companies are increasingly shifting production to Vietnam and its neighbor Cambodia

TOKYO: Japan’s Prime Minister Shigeru Ishiba will visit Vietnam and the Philippines next week, officials said Wednesday, as Tokyo seeks to ramp up regional ties after Donald Trump’s tariff onslaught.
The April 27-30 trip follows a Southeast Asia tour by Chinese President Xi Jinping, with Beijing trying to position itself as a stable alternative to the United States as leaders confront Trump’s levies.
“Strengthening relations with Southeast Asia, a global growth center and strategic location, is one of the top priorities of Japanese diplomacy,” Chief Cabinet Secretary Yoshimasa Hayashi told reporters.
“Relations with Vietnam and the Philippines are of particular importance, with their populations exceeding 100 million and as they continue their strong economic growth.”
Xi last week urged Vietnam to join forces with China to “oppose unilateral bullying and uphold the stability of the global free trade system.”
Hours later, Trump said Xi’s visit to Hanoi had been aiming to “screw” the United States.
Despite being a key US ally and the biggest investor into the United States, Japan has been pinched by steep tariffs imposed by Trump on imports of cars, steel and aluminum.
Some Japanese companies, reportedly including gaming giant Nintendo, are increasingly shifting production to Vietnam and its neighbor Cambodia, partly because of the fallout from the last US-China trade war.
An official statement from Manila said that Ishiba would visit the Philippines on Tuesday and Wednesday next week.
A meeting between Ishiba and Philippine President Ferdinand Marcos “will aim to deepen and improve economic and development cooperation, political and defense engagements, and people-to-people exchanges,” it said.
Japan is a key security partner of the Philippines, and an agreement that would allow them to deploy troops on each other’s territory is awaiting ratification by Tokyo.
The two countries in January vowed to strengthen cooperation to counter China’s actions in the disputed South China Sea – with Japan pledging to enhance the Philippines’ “maritime security” and “maritime safety capabilities.”


Trump: No plans to fire Fed Chair Powell, but wants lower rates

Updated 23 April 2025
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Trump: No plans to fire Fed Chair Powell, but wants lower rates

  • “I have no intention of firing him,” Trump told reporters in the Oval Office on Tuesday

WASHINGTON: President Donald Trump said on Tuesday he has no plans to fire Federal Reserve Chair Jerome Powell, but said he wants interest rates to be lower, remarks that could defuse tensions over the central bank chief’s future that have rattled investors.
“I have no intention of firing him,” Trump told reporters in the Oval Office on Tuesday. “I would like to see him be a little more active in terms of his idea to lower interest rates,” he added.
Trump’s statement was the first de-escalation after days of withering criticisms he has lobbed at Powell for not further cutting interest rates since Trump resumed office in January.
The broadsides were often accompanied by threatening remarks, such as last week’s social media posting that Powell’s termination as Fed chair “cannot come fast enough,” that spooked financial markets that view the Fed’s independence as underpinning its credibility on the global financial stage.
But while he seems to have set aside those threats for now, his criticisms of Fed rate policy remain just as pointed.
“We think that it’s a perfect time to lower the rate, and we’d like to see our chairman be early or on time, as opposed to late,” Trump said.