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EU Targets Republican States With Tariffs in Trump Payback

Europe is ready to hit back as Trump’s tariffs go into effect.

Donald Trump speaks with his hands in the White House.
Kevin Dietsch/Getty Images

The European Union has responded to Trump’s trade war with tariffs of their own that deliberately target red states.

The European Commission on Wednesday greenlit tariffs of up to 25 percent on cigarettes from Florida, beef from Kansas and Nebraska, chicken from Louisiana, car parts from Michigan, and most importantly, soybeans.

The United States is the second-largest grower and exporter of soybeans in the world, and a whopping 82.5 percent of the soybeans that the EU gets from the U.S. come from Speaker Mike Johnson’s home state of Louisiana.

“Farmers are frustrated. Tariffs are not something to take lightly and ‘have fun’ with. Not only do they hit our family businesses squarely in the wallet, but they rock a core tenet on which our trading relationships are built, and that is reliability,” said Caleb Ragland, Kentucky soybean farmer and American Soybean Association president. “Soybean farmers still have not fully recovered market volumes from the damaging impacts of the 2018 trade war, and this will further exacerbate economic hardship on our farmers.”

Expect more and more domestic exporters to start sounding like Ragland. China’s, Canada’s, and the EU’s retaliatory tariffs will impact about $90 billion of American exports.

This is the direct human impact of Trump treating the global economy like it’s a video game you can infinitely restart back at the same checkpoint. Now our biggest allies have met spite with spite, and American exporters and consumers will suffer.

China Hits Back at Trump’s Tariffs in Major Retaliation

China is more than doubling its tariffs on U.S. goods.

Chinese President Xi Jinping speaks while pointing a finger.
Ken Ishii/Pool/Getty Images

China has announced that it will retaliate against Donald Trump’s tariffs by raising its own tariffs on U.S. goods from 34 percent to 84 percent, in response to Trump’s own tariff hike on China.

Beijing’s Commerce Ministry wrote in a policy paper Wednesday morning that the U.S. escalation is counterproductive, saying that the Chinese government “has the firm will and abundant means to take necessary countermeasures and fight to the end.”

“History and facts have proven that the United States’ increase in tariffs will not solve its own problems,” the paper said. “Instead, it will trigger sharp fluctuations in financial markets, push up US inflation pressure, weaken the US industrial base and increase the risk of a US economic recession, which will ultimately only backfire on itself.”

Trump raised U.S. tariffs against China to a staggering 104 percent on Monday following China’s initial import tax, escalating the self-inflicted trade war. China claims, contrary to Trump’s assertions, that the trade relationship between the two countries is “roughly balanced.”

Treasury Secretary Scott Bessent called China’s move “unfortunate.”

“I think it’s unfortunate that the Chinese actually don’t want to come and negotiate, because they are the worst offenders in the international trading system,” Bessent told Fox Business Wednesday morning, and said potentially kicking Chinese companies off of the American stock exchanges was on the table.

There is now a full-blown trade war between China and the U.S., and it’s already sending markets reeling around the world, with Dow Futures plunging more than 600 points. It’s an entirely predictable result for a self-made disaster based on terrible math, with no clear end in sight.

Trump Press Secretary Says Everyone Is Lying About Hating the Tariffs

According to Karoline Leavitt, all the backlash to Donald Trump’s tariffs is made up.

White House Press Secretary Karoline Leavitt speaks at a podium during a briefing
Andrew Thomas/AFP/Getty Images

The Trump administration is desperately trying to save its image as the president’s reciprocal tariff scheme tanks global markets and sparks fear of a recession.

“Everybody in Washington, whether they want to admit it or not, knows that this president is right when it comes to tariffs and when it comes to trade,” White House press secretary Karoline Leavitt told reporters Tuesday.

That’s not true. Even Republicans are turning on Donald Trump over his global tariffs, which are already devastating small businesses and spurring economic chaos in the United States and abroad. 

On “Liberation Day,” the president implemented reciprocal tariffs of 10 percent or more on about 90 countries, which he claimed will end the trade deficit between the U.S. and other countries.

Seven Republican senators, including the Senate’s president pro tempore Chuck Grassley, signed onto a bipartisan bill Monday that would require Congress to sign off on new tariffs on U.S. trading partners. 

Other members of the GOP have publicly denounced the tariffs for being unconstitutional.

“Our Constitution was very specific that taxes—tariffs are a tax—taxes originate in the House, come to the Senate, and then go to the president,” Senator Paul Rand told reporters last week. “They don’t just go to the president and no one else. What kind of system would it be if all of our taxes and laws were passed by one person?”

House Democrats, meanwhile, have moved quickly to try to mitigate further damage. On Tuesday, they introduced a House disapproval resolution that would end the emergency authority Trump used to enact the tariff scheme and force the GOP to vote on the president’s reckless economic decisions. 

“Republicans can’t keep ducking the vote on these taxes. It is time they take a vote and show their constituents whether or not they support the ‘economic pain’ President Trump is inflicting on American families,” Representatives Gregory Meeks, Richard Neal, and Rick Larsen said while introducing the resolution. 

Apparently bipartisan moves to protect the country from “economic pain” and unconstitutional  taxes aren’t enough to convince the White House that no, not everybody in Washington thinks this president is right when it comes to tariffs and trade. 

Trump’s Tariffs Are Already Destroying Small U.S. Businesses

Business owners are worried they won’t be able to stay afloat once Donald Trump’s tariffs drive costs up.

Donald Trump holds up his fist while boarding Air Force One
Mandel Ngan/AFP/Getty Images

Small-business owners are already feeling the effects of Donald Trump’s tariff scheme that he claims will boost American manufacturing and bring jobs back to the United States.

Many have flocked to Reddit to share their struggles, desperately searching for advice amid fears of losing their livelihoods.

“Any other small shops trying to figure out what to do? I’ve single handedly created and ran my small business for almost three years. I sell bamboo clothing and bedding, and now with this tariff I’ll likely have to close,” one user posted on the r/smallbusiness board.

On “Liberation Day,” Trump implemented tariffs ranging from 10 percent to 60 percent on imports from about 90 countries, which he claims will eliminate the trade deficit between the U.S. and other countries (economic experts have scoffed at the far-fetched assertion). China will see the worst of it all; the country faces a new 34 percent reciprocal tariff, along with a previously announced 20 percent tariff. On Monday, Trump threatened to increase the rate to 104 percent if China did not rescind its retaliatory tariffs.  

One Reddit user received an email from their Chinese distributor informing them that it will no longer distribute their products in the United States. “I planned for so many different things over the past few months which should allow us to weather the storm for the next year or so, but I didn’t expect our largest supplier to back out of the U.S. market entirely,” the user wrote.

“Not sure what to do at this point. This completely guts our business and leaves us with no alternatives or hopes for alternatives.… Sigh. We’re cooked.”

Another wrote they ordered over $3,000 worth of aluminum parts from China and had to pay nearly $2,500 in import duty fees. 

The one consistent piece of advice on r/smallbusiness? Raise your prices, and let your customers know it’s Trump’s fault. 

One user wrote that they were going to add a “Trump tariff surcharge” of 37 percent on their invoices and receipts. 

“Raise the cost and be sure to tell your customers why,” another posted. 

“And let people know it’s tariffs that are at fault for your higher prices. If it’s true, it passes some of the blame from you to the administration, which can help change things,” one user wrote, offering a shred of hope to their fellow small-business owners. “A lot of people don’t watch the news, and they should know that it’s directly affecting them.”

Press Secretary Says Trump Wasn’t Joking About Deporting U.S. Citizens

Donald Trump had suggested sending American citizens to prison in El Salvador.

White House Press Secretary Karoline Leavitt speaks at a podium during a briefing
Saul Loeb/AFP/Getty Images

White House press secretary Karoline Leavitt waffled Tuesday when asked about Donald Trump’s threat to deport U.S. citizens to foreign prisons.

During a press briefing, Leavitt was asked to explain Trump’s disturbingly enthusiastic response to Salvadoran President Nayib Bukele’s wildly illegal proposition for the U.S. government to relocate individuals incarcerated in the federal prison system, including American citizens, to the Central American country.

The reporter wanted to know how the government could legally remove U.S. citizens, and how many would potentially be subject to removal. The short answer is: It can’t, so none. But Leavitt didn’t say that.

“So, the president has discussed this idea quite a few times publicly, he’s also discussed it privately,” she said, making sure to say that Trump had only discussed “potentially” deporting U.S. citizens.

“These would be heinous, violent criminals who have broken our nation’s laws repeatedly. These are violent, repeat offenders in American streets,” Leavitt said.

“The president has said if it’s legal, if there’s a legal pathway to do that, he’s not sure, we are not sure if there is, it’s an idea that he has simply floated and has discussed uh, very publicly, in the effort of transparency,” Leavitt said.

But Trump didn’t simply float the idea; it was offered by a foreign leader—who has already struck a $6 million deal to take alleged Venezuelan gang members that the Trump administration removed under the Alien Enemies Act.

Leavitt also took the opportunity to present her own alternative interpretation of the Supreme Court ruling Monday on removals under the AEA.

The court’s decision would allow the Trump administration to proceed with deportations under the AEA, but crucially, the ruling upheld the detainees’ right to due process, contrary to the Trump administration’s rampage against legal protections for people it wants to deport.

The justices said that detainees were entitled to receive notice of their removal within a reasonable time frame, and must be provided with an opportunity to challenge their removal. But when a reporter asked about it, Leavitt rejected the ruling.

“That’s not quite true,” Leavitt said. “They said that they are entitled to a habeas petition, and we are going to continue to comply with the law.”

The ruling said that detainees could be provided the opportunity to file habeas petitions in the U.S. Court of Appeals for the Fifth Circuit, a MAGA-aligned court in Texas where the deportation flights are staged. The petitions will likely have to be individually filed, rather than via class action, which could lead to a torrent of litigation for far-right judges to smack down.

Supreme Court Justice Sonia Sotomayor emphasized this crucial point in her dissent, writing that “the government cannot usher any detainees, including plaintiffs, onto planes in a shroud of secrecy, as it did on March 15, 2025,” and that it could not “immediately resume removing individuals without notice.”

“To the extent the Government removes even one individual without affording him notice and a meaningful opportunity to file and pursue habeas relief, it does so in direct contravention of an edict by the United States Supreme Court,” she wrote.

Pro-Israel Group Asks Pam Bondi to Investigate YouTube Star Ms. Rachel

The far right thinks Ms. Rachel should be under investigation for caring about kids in Gaza.

Ms. Rachel smiles along with several Sesame Street puppets.
Jamie McCarthy/Getty Images
Ms. Rachel attends the Sesame Workshop 2024 Benefit Gala in New York City.

The right-wing StopAntisemitism group thinks that children’s YouTube educator Ms. Rachel should be investigated by Attorney General Pam Bondi for “pro-Hamas propaganda.”

The New York Post reports that the organization sent a letter to Bondi complaining about social media posts from the YouTube star, whose real name is Rachel Accurso, about Palestinian children killed by Israel during its brutal massacre of Gaza since 2023.

“Her posts have largely ignored the suffering of Israeli victims, hostages, and Jewish children, while she consistently amplifies misinformation from Hamas and other anti-Israel sources,” StopAntisemitism director Liora Rez wrote in the letter.

Rez also claimed that with “vast sums of foreign funds” being “directed toward propagandizing our young people on college campuses, we suspect there is a similar dynamic in the online influencer space.”

“We urge you and your office to investigate whether or not Ms. Rachel is being remunerated to disseminate Hamas-aligned propaganda to her millions of followers, as this may violate the Foreign Agents Registration Act (FARA),” Rez wrote to Bondi.

The organization accuses Accurso of using fabricated and debunked reports of children dying of hypothermia (that have actually been verified), and using death toll figures from Gaza that it says came from Hamas (but are actually considered reliable).

Accurso didn’t respond to the Post’s inquiries, but said on Instagram in May that “I care deeply for all children. Palestinian children, Israeli children, children in the US—Muslim, Jewish, Christian children—all children, in every country. Not one is excluded.”

The letter seems to be fitting into a pattern of pro-Israel organizations, such as Canary Mission and Betar, targeting critics of Israel’s military actions, as well as supporters of Palestinian self-determination. Betar says it has provided lists of noncitizen protesters to Immigration and Customs Enforcement, the Department of Homeland Security, and other government agencies, recommending deportation.

Several international students targeted by Betar and Canary Mission, including Mahmoud Khalil and Rumeysa Ozturk, have been detained by ICE as they fight deportation in the courts. But Ms. Rachel is an American citizen with a YouTube following of millions of children around the world, and has merely expressed concern about a human rights catastrophe. It seems even that is grounds for a criminal investigation in today’s political climate.

IRS Strikes Unprecedented Deal With ICE on Undocumented Immigrants

The IRS is now working with federal agents to locate undocumented immigrants.

Two federal agents wearing flak jackets hold the arms of a detained immigration suspect wearing a black t-shirt with his hands handcuffed behind his back.
Christopher Dilts/Bloomberg/Getty Images

On Monday, the Internal Revenue Service agreed to start sharing tax data with Immigration and Customs Enforcement to help the Trump administration find and deport undocumented immigrants, according to The New York Times.

This is a serious 180 from previous protocol. U.S. law historically requires the IRS to keep taxpayer information like addresses and income under wraps, even from other departments of the federal government. Now Trump is classifying these deportations as criminal investigations to take advantage of a loophole that breaks from that IRS privacy practice.

“It’s unprecedented,” Center for Taxpayer Rights director and former IRS official Nina Olson told the Times. IRS chief counsel William Paul was fired as the deal was made and replaced with Andrew De Mello, a Trump appointee.

Undocumented immigrants paid $96.7 billion in federal, state, and local taxes in 2022 at a rate of $8,889 per person, paying into programs with benefits that they’re barred from receiving. This IRS and ICE deal will likely push undocumented immigrants to stop paying those taxes and pursue unreported employment to avoid getting their information leaked to ICE. These “under the table” jobs are unregulated, dangerous, and often exploitative.

Lawyer Representing Student Protester Detained by Immigration Agents

Amir Makled, a U.S. citizen, was detained by federal agents at an airport for 90 minutes.

A student protester wearing a keffiyeh writes "End the genocide" on the ground in chalk at the University of Michigan
Adam J. Dewey/Anadolu/Getty Images

The Trump administration is continuing its unconstitutional attack on attorneys it disagrees with, this time by detaining an American citizen.

Amir Makled, an attorney representing a pro-Palestinian student protester arrested at the University of Michigan last year, was detained at the Detroit Metro Airport Sunday upon returning from a trip to the Dominican Republic with his family. 

Federal agents held Makled for 90 minutes, questioning him about his clients. They also tried to get Makled to give up his phone, which he refused to do, but agents did look at his contact list, the Detroit Free Press reported.

Makled was ultimately released without incident, but his detention is an indication of Donald Trump’s growing assault on attorneys taking cases he is against. The president has already issued executive orders penalizing five of the country’s top law firms, as well as a memo to the Justice Department directing the agency to punish immigration attorneys supposedly perpetuating fraud in the system.  

“This current administration is doing something that no administration has done—they are attacking attorneys,” Makled told the Press. “This is a different type of threat to the rule of law that I see. They are now challenging the judiciary, or lawyers, they’re putting pressure (on them) to dissuade attorneys from taking on issues that are against the government’s issues. We have an obligation as lawyers to stand up to this stuff.”

Trump’s punishment of law firms, which is a move out of the autocrat’s handbook, comes amid a larger crackdown on free speech and any sign—personal or institutional—of Palestinian solidarity. In recent weeks, several international students involved in pro-Palestine protests have been unlawfully kidnapped and detained by Immigration and Customs Enforcement, and nearly 300 international students have had their visas revoked for similar reasons.

Makled’s client, Samantha Lewis, is an American citizen and one of seven pro-Palestine protesters arrested at the University of Michigan last spring. The 38-year-old attorney is unsure whether this case is what triggered his detention Sunday, but he told the Press he will not stay silent despite the White House’s intimidation strategy.

“I have to be a person who can speak out when your rights are violated. We have to be the balancing act. We’re a nation of laws. You gotta have lawyers,” he said.

Justice Department Announces Stunning Change on Crypto Investigations

The DOJ is all but declaring open season on crypto fraud.

Deputy Attorney General Todd Blanche
Victor J. Blue/Getty Images

Trump’s Justice Department  is going to pull back on prosecuting cryptocurrency fraud, according to a memo from Deputy Attorney General Todd Blanche.

The memo, sent to the Justice Department Monday, states that the DOJ won’t be pursuing cases that Blanche said are better suited for financial regulators, instead focusing on crimes committed with cryptocurrency, such as selling illegal drugs, The Washington Post reports.  

Blanche also plans to dismantle the National Cryptocurrency Enforcement Team, which was set up in 2022 to “address the challenge posed by the criminal misuse of cryptocurrencies and digital assets.” The move throttles an enforcement team that has successfully prosecuted market manipulation schemes and attempts to hide the owners of crypto assets. The unit was already hampered by the fact that in the Trump administration’s first days, its leader was transferred to a new sanctuary cities division in the DOJ. 

Now other attorneys previously focused on cryptocurrency will instead focus on immigration crimes and procurement fraud, the memo states, although federal prosecutors will still be directed to bring cases against people who defraud investors.

The shift away from prosecuting crypto crimes is not surprising for the Trump administration. The president has long cozied up to cryptocurrency investors, and even engaged in some shady crypto transactions of his own, such as his deal with Justin Sun, a Chinese national accused of fraud. Trump and his wife, Melania, have also released their own memecoins.

The president’s announcement last month of a new national “crypto strategic reserve” smacks of a blatant ploy to make some of his cronies richer, and the Trump family has reportedly held talks about taking a financial stake into Binance, a cryptocurrency firm that pleaded guilty in 2023 to money laundering. It seems that Trump and his cronies are looking to profit from cryptocurrency and want pesky regulations and law enforcement out of the way.

Musk Trashes Trump’s “Moron” Trade Adviser Amid Major Tariff Blowback

Elon Musk went after trade adviser Peter Navarro.

Donald Trump’s trade adviser Peter Navarro stands in the White House Rose Garden after a press conference on tariffs
Andrew Harnik/Getty Images

Elon Musk called Donald Trump’s top trade adviser Peter Navarro “dumber than a sack of bricks” Tuesday, once again betraying the administration’s deep rift over the president’s disastrous tariffs. 

Navarro found himself in hot water with Musk after he called the billionaire bureaucrat a “car assembler” during an appearance on CNBC Monday.  

“When it comes to tariffs and trade, we all understand in the White House—and the American people understand—that Elon’s a car manufacturer. But he’s not a car manufacturer. He’s a car assembler, in many cases,” Navarro said. 

“If you go to his Texas plant, a good part of the engines that he gets, which in the EV case is the batteries, come from Japan and come from China, the electronics come from Taiwan,” Navarro said.

Navarro explained that Musk’s view on tariffs differed from the White House’s because he wanted to continue to use “cheap foreign parts.”

Musk was furious. “Navarro is truly a moron. What he says here is demonstrably false,” he wrote in a post on X Tuesday. 

In a separate post, Musk claimed that “Tesla has the most American-made cars.”

“Navarro is dumber than a sack of bricks,” he added. 

Musk included a link to an article from 2023 citing a Cars.com study that found Tesla produced the “most American” cars. One extremely important caveat: The study included Canada as part of the U.S., which is, of course, subject to Trump’s “permanent” 25 percent tariffs on all imported vehicles and auto parts.

The more recent version of that same study, from 2024, found that the Tesla Model Y still topped the list, though it noted that the company no longer held “a vice grip at the top of the order thanks in part to changes in this year’s workforce calculations.” Still, the study included Canadian parts content as U.S. parts. 

And crucially, Navarro’s not wrong that Musk’s electric vehicle company relies on foreign parts. Tesla’s batteries are manufactured at its Giga Shanghai factory in China in collaboration with Chinese battery manufacturer Contemporary Amperex Technology Co. Even if Tesla wanted to produce its batteries domestically, it would need to source materials such as nickel and lithium from other countries.

Over the weekend, the billionaire attacked Navarro’s defense of Trump’s tariffs on X, and posted a video of economist Milton Friedman that explains the global nature of supply chains, which was interpreted as a criticism of Trump’s sweeping “reciprocal tariffs” on nearly every country. 

Navarro replied by saying Musk “doesn’t understand” trade.

“The thing that’s, I think, important about Elon to understand, he sells cars. That’s what he does,” he said during an interview on Fox Business Monday. “He’s simply protecting his own interests, as any businessperson would do.”

“He’s got X, he’s got a big microphone; we don’t mind him saying whatever he wants,” Navarro added—though he may come to regret that sentiment.