… Trump unveiled his tariffs last night, and it was far worse than anyone expected. The tariffs varied by country, but most were extremely high and appeared to make very little economic sense. When we learned how the tariff rates were calculated, it showed that they were a function of our trade deficit with most of the countries. So if we buy too much from a country, Trump imposed huge tariffs on them. In other words, they are NOT reciprocal tariffs, even though the WH is calling them that.
… JP Morgan issued a report saying that Trump’s tariffs are “the largest tax increase since the Revenue Act of 1968. The somewhat confusing nature of today’s news, coupled with uncertainty over how long these tariffs will remain in place, should make for an even less friendly environment for investment spending.”
… Sen. Rand Paul today in the Senate: "Despite arguments to the contrary, Americans know tariffs are a tax they are going to have to pay. The Founding Fathers so feared the power of taxation that they gave it only to Congress. I stand to speak against the tariffs. I stand to speak against the idea of skipping democracy, of skipping the constitutional republic, of rejecting our founding principles. I do this because I love my country. This is a tax, plain and simple, and taxes should not be enacted by one person."
… James Surowiecki, former Editor of Financial Page at the New Yorker: “I just figured out where these fake tariff rates come from. They didn't actually calculate tariff rates + non-tariff barriers, as they say they did. Instead, for every country, they just took our trade deficit with that country and divided it by the country's exports to us. So we have a $17.9b trade deficit with Indonesia. Its exports to us are $28b. $17.9/$28 = 64%, which Trump claims is the tariff rate Indonesia charges us. What extraordinary nonsense this is.”
… Former Treasury Sec Lawrence Summers: “It’s now clear that the Trump Admin computed reciprocal tariffs without using tariff data. This is to economics what creationism is to biology, astrology is to astronomy, or RFK-thought is to vaccine science. The Trump tariff policy makes little sense EVEN if you believe in protectionist mercantilist economics.”
… WSJ analysis: “He’s hitting China with a 34% tariff, but our Japanese friends will pay nearly as much at 24%. The EU gets whacked with 20%, India with 24%.” The Journal then listed a series of impacts tariffs will have. These were some:
“There will certainly be higher costs for American consumers and businesses. Tariffs are taxes, and when you tax something you get less of it. Car prices will rise by thousands of dollars, including those made in America. Trump is making a deliberate decision to transfer wealth from consumers to businesses and workers protected from competition behind high tariff walls.”
“Tariffs impose costs that businesses will want to avoid. They will thus be a windfall for Beltway lobbyists as companies and countries seek exemptions from this or that border tax. Trump is saying there will be no tariff exemptions. But watch that promise vanish as politicians, including Trump, see exemptions as a way to leverage campaign contributions from business. Liberation Day is Buy Another Yacht Day for the swamp.”
“The cost in lost American influence will be considerable. Trump thinks the lure of the US market and American military power are enough to bend countries to his will. But soft power also matters, and that includes being able to trust America’s word as a reliable ally and trading partner. Trump is shattering that trust as he punishes allies and blows up the USMCA that he negotiated in his first term.”
“Trump’s new tariff onslaught is giving China another opening to use its large market to court American allies. South Korea and Japan are the first targets, but Europe is on China’s list. Closer trade ties with China, amid doubts about access to the U.S. market, will make these countries less likely to join the U.S. to impose export controls on technology to China or to ban the next Huawei.”
… Sky News highlighted some of the most bizarre tariffs:
The Heard and McDonald Islands, an external territory of Australia in the Antarctic is inhabited only by penguins and seals. Despite having no human residents - or imports and exports - the island now faces a 10% tariff for any goods bound for the US.
Australian territory Norfolk Island, a volcanic island 600 miles east of Queensland, was also hit with a hefty 29% tariff on exports to the US. That's much higher than mainland Australia, which had a 10% tariff imposed. The news was met with confusion by some of Norfolk Island's 2,188 residents. Business owner Richard Cottle: "Norfolk Island is a little dot in the world. We don't export anything. It was just a mistake.”
Tokelau, a dependent territory of New Zealand, with a population of around 1,600 people, and the Cocos Islands, another territory of Australia, home to around 600 people, were hit with 10% tariffs. Australian Prime Minister Anthony Albanese: “It’s a bit strange".
Lesotho in southern Africa, listed as the 22nd poorest country in the world, has been slapped with the highest duty of 50%. It primarily exports diamonds and clothing.
The 2nd-highest tariff went to Cambodia at 49%, even though the US is Cambodia's largest single-country export destination.
Madagascar in east Africa, the world's 9th poorest country, will face 47% reciprocal tariffs. It primarily exports vanilla, cloves, and clothing.
… Billionaire Trump-supporter Bill Ackman: “Sometimes the best strategy in a negotiation is convincing the other side that you are crazy.”
… Former Rep. Tom Malinowski: “Over 98% of the clothes we buy in the US are imported. So we can pay the tariff tax for them, or we can train hundreds of thousands of Americans to stitch clothes (diverting our workforce from the advanced manufacturing it should be doing) - and still pay more.”
… Commerce Secretary Howard Lutnick on Fox: "I mean, the European Union won't take chicken from America. They will take lobsters from America, but they hate our beef because our beef is beautiful and theirs is weak."
… The EU has a ban on chicken washed in chlorine - which is allowed by the USDA. The EU also only bans beef that has been treated with artificial growth hormones - which applies to most beef produced in the US.
… Canadian PM Mark Carney announced reciprocal tariffs of 25% on all vehicles imported from the US. He also made a statement about the US tariffs in general: “The effects on the global economy will be monumental.”
… Lutnick on CBS: "Foreign goods may become a little more expensive, but domestic goods do not. So if you're looking at Poland Springs water versus let's say Fiji Water, the Poland Springs is not gonna be more expensive. So for the first time in your lives you're gonna actually think about the Americans who make the products."
… Treasury Secretary Scott Bessent: “I would advise none of the countries to panic. I wouldn't try to retaliate because as long as you don't retaliate, this is the high end of the number.”
… Lutnick on CNN: "Let Donald Trump run the global economy. He's knows what he's doing. He's been talking about it for 35 years. You gotta trust Donald Trump in the White House. It's broken, let him fix it. Let Trump fix the American economy."
… Bessent was asked by CNN last night what he expects the stock market to look like today: “I don't know. You know, I don't know where it's going to trade. I don't know where it's going to close tomorrow.”
… Sen. Bernie Moreno (R-OH) to CNN: “I think the stock market is going to go very, very high.”
… Press Secretary Karoline Leavitt on CNN: “To anyone on Wall Street this morning, I would say ‘trust in President Trump.’”
… The Dow was down 1,679 (3.98%) today. NASDAQ was down 1,050 (5.97%), Tesla was down 15.48 (5.47%).
… Fox took the stock market ticker off their screen for the first time in the history of the network.
… Senator Angus King (I-ME) during a committee hearing: "I have to point out, Mr. Chairman, in the hour that we've been sitting here, investors in the US stock market have lost two and a half trillion dollars."
… Pastor Greg Locke: “If you bail on Trump when things get tough and uncomfortable, you’re weak. We voted for a better America not a perfect Utopia. Keep standing. Stay on the frontlines. Our Nation is in a moment of repairing the broken places. God is not affected by a stock market crash. Stop freaking out! Faithfulness and obedience is always rewarded in difficult times!”
… Morgan Housel, Director of Markel Group: I spoke to an investor who said, ‘if the market actually processed what happened yesterday it would be down 30-40%. The fact that it’s not is either denial or a belief that it will soon be reversed.’”
… On his way out of the White House to fly to FL for the rest of the week where he is hosting the Saudi-owned LIV golf tournament, Trump was asked about the stock market crashing today: “I think it’s going very well. It was an operation like when a patient gets operated on and it’s a big thing. The markets are going to boom. The stock is going to boom. The country is going to boom.”
… One of the only countries on the planet that wasn’t hit with a tariff just happened to be Russia. Go figure. WH Press Secretary Karoline Leavitt claimed to Axios that US sanctions already "preclude any meaningful trade.” But that is not true. The US trades more with Russia, despite those sanctions, than many of the countries on the sanctions list.
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… Mike Pence: “The Trump Tariff Tax is the largest peacetime tax hike in US history. These Tariffs are nearly 10x the size of those imposed during the Trump-Pence Admin and will cost American families over $3,500 per year. He then posted a link to an article titled: “Spoiling America’s Golden Age”.
… Sen. Bernie Moreno (R-OH): “Mike Pence - he's never run anything other than a political campaign. He's not a business guy. So he's repeating talking points. Trump is reversing the policies of people like Mike Pence, who sold this country out.”
… Lutnick: “Mike Pence is just bitter. These tariffs are the definition of America First, which is a concept he doesn’t understand.”
Yesterday on my podcast Uncovered we took a deep dive into the political implications of the tariffs and behind the scenes infighting in the Trump Admin about them, also talked about the WI election, Cory Booker and Schumer, Luna v. Mike Johnson, Vance’s trip to Greenland, and a few other things. Link to show is here.
… Sen. Rand Paul (R-KY): “The tariffs that Trump detailed mark the most significant US protectionist trade action since the 1930s, when Congress imposed tariffs on more than 20,000 goods and dug the US economy deeper into the Great Depression.”
… Sen. Thom Tillis (R-NC), who is facing a tough reelection battle next year: “Anyone who says there may be a little bit of pain before we get things right need to talk to my farmers who are one crop away from bankruptcy. So we've got to be crisp on this implementation. Otherwise, we could do damage that is irreparable to farmers."
… Sen. Ron Johnson (R-WI) to CNN: “As the president has admitted, tariffs will create pain for some businesses, and I think Wisconsin will be particularly hard hit with all the manufacturing and agricultural interest. Right now, I’ll give him the benefit of the doubt, but I'm concerned.”
… Sen. Ted Cruz (R-TX): “Tariffs are a tax on consumers, and I'm not a fan of jacking up taxes on American consumers.”
… Rep. Don Bacon (R-NE): “We’ve already heard from some of our beef processors, popcorn exporters, that they’re losing some American share in Europe, so it is concerning. I think in the end a trade war doesn’t help anybody.”
… Sen. Mitch McConnell (R-KY): “As I have always warned, tariffs are bad policy, and trade wars with our partners hurt working people most. Tariffs drive up the cost of goods and services. They are a tax on everyday working Americans. Preserving the long-term prosperity of American industry and workers requires working with our allies, not against them. With so much at stake globally, the last thing we need is to pick fights with the very friends with whom we should be working with to protect against China’s predatory and unfair trade practices.”
… Senators Chuck Grassley (R-IA) and Maria Cantwell (D-WA) rushed to the Senate floor this morning to introduce a bipartisan bill which would require congressional approval for any new tariffs. Mike Johnson has already said that he will not bring this bill to the floor in the House, and Trump would surely veto it if it did pass. Bottom line is Republicans are going to have to live with the implications of this whether they like it or not.
… NYT columnist David French: “The Republican Congress could end this nonsense tomorrow by simply yanking back their tariff power that previous congresses stupidly handed over to the president. But they won't. It is their choice as much as Trump's to make this happen.”
… Rep. Hakeem Jeffries to MeidasTouch: “The stock market is collapsing, and that means the retirement savings of everyday Americans are disappearing by the hour. This is all because of Trump's reckless mismanagement of the economy. Now, these tariffs that are being imposed will raise the cost of goods for everyday Americans.”
… Sen. Chris Murphy (D-CT) said tariffs are a threat to democracy: “The private sector plays a role to protect democracy. Independent industry has power. The tariffs are Trump’s tool to erode that independence. Now, one by one, every industry or company will need to pledge loyalty to Trump in order to get sanctions relief. What could Trump demand as part of a quiet loyalty pledge? Public shows of support from executives for all his economic policy? Contributions to his political efforts? Promises to police employees’ support for his political opposition?”
… “And once Trump has the lawyers, colleges and industry under his thumb, it becomes very hard for the opposition to have any viable space to maneuver. Trump didn’t invent this strategy. It’s the playbook for democratically elected leaders who want to stay in power forever. The tariffs aren’t economic policy - they are political weapons. But as long as we see this clearly, we can stop him. Public mobilization is working. Today, a few Repubs joined Dems to vote against one set of tariffs. The people still have the power.”
… Eric Trump: “I wouldn’t want to be the last country that tries to negotiate a trade deal with Donald Trump. The first to negotiate will win - the last will absolutely lose. I have seen this movie my entire life.”
… Sen. John Kennedy (R-LA): “If you want a surefire investment, go book as many hotel rooms near the White House as you can—because every foreign trade representative is coming to America to negotiate a deal with President Trump.”
… But Karoline Leavitt claimed to CNN that Trump is not going to back off and the tariffs non-negotiable: “He’s firm in his approach. If these countries wanted to negotiate, if these countries wanted to do what’s right, they've had 70 years to do it."
… Lutnick was asked if the Admin plans to back off any of the tariffs in the near future: “I don't think there's any chance Trump is gonna back off his tariffs. This is the reordering of global trade.”
… WaPo reported than Canadian tourism to the US is crashing: “McKenzie McMillan, a Vancouver-based adviser with the Travel Group, said his company would typically be busy this time of year arranging last-minute spring break and summer trips for Canadians to such favorite spots as San Diego, Palm Springs, Phoenix, Las Vegas and Florida. Instead, he said, ‘it’s zero.’ The steep drop-off started gradually, with some clients in Jan saying they were thinking they might avoid the US this year. ‘Since Feb, it’s been a complete collapse.’”
… Politico reported that DNC Chair Ken Martin and WI Democratic Chair Ben Wikler credited Cory Booker's speech with helping to energize voters to get to the polls for Susan Crawford. Wikler: "As I was crisscrossing WI in the final sprint, before polls closed, in house after house, the TV was turned on and Cory Booker's voice could be heard from the living room. Booker inspired and energized Democrats all across this country. It was a masterclass in commanding the stage."
… "I think Democrats are following his example and fighting back at every level. Voters as they were waiting in line to cast ballots, were talking about how inspired they were by Booker's extraordinary record breaking speech. And I think this is the beginning - not just at the grassroots and in states like WI and FL, but also in DC.”
… Senior Advisor Jason Miller said Trump should not be blamed for Brad Schimel’s big loss in WI: “You got to remember, candidates do matter. In this case, we did not have a particularly good one. Democrats also have a ton of out-of-state money that came in.”
… Republicans spent $53 million on the race. Much more than Democrats.
… Elon Musk retweeted a post from Alex Jones to his 220 million followers that said there was “overwhelming evidence that the WI Supreme Court race was stolen.” Of course it was.
… Axios reported that House Democrats now want Musk to come to their districts to campaign for their Republican opponents in 2026:
Rep. Mark Pocan (D-WI): "I'll pay for his coach flight."
Rep. Hillary Scholten (D-MI): "Yes please! Can you arrange that? Who do I speak to about that?"
… Sen. Bernie Sanders (D-VT): “We owe Trump and Musk a debt of gratitude. For a long time the big money interests, under Democratic and Republican administrations, dominated our government and our politics. Their work was done quietly and out of public scrutiny. They had the power. They just didn’t advertise it. But not anymore.”
… Musk is now facing a class-action lawsuit from people he hired as canvassers during the 2024 election. The federal lawsuit filed in PA alleges that Musk owes more than $5 million to more than 100 people. The lawsuit said they were promised $100 for signing a petition supporting free speech and gun rights, plus another $100 for every additional voter’s signature they helped secure, but never received their checks.
… A huge nationwide protest of Trump and Musk will take place on Saturday called, "Hands Off!" From the website of the organizers: ”This is not just corruption. This is not just mismanagement. This is a hostile takeover. This is a nationwide mobilization to stop the most brazen power grab in modern history. Trump, Musk, and their billionaire cronies are orchestrating an all-out assault on our govt, our economy, and our basic rights—enabled by Congress every step of the way."
… Sen. Susan Collins (R-ME), is concerned about Medicaid cuts in the Republican budget: “I’m concerned about the instruction to the House Committee for $880 billion, it’s the Energy and Commerce Committee in the House, which has jurisdiction over Medicaid, because I don’t see how you can get to that amount without cutting Medicaid benefits.”
… “In my state, there are more than 400,000 Mainers that rely on that health care program. Our rural hospitals depend upon it as well, and they are really struggling because of actions and inactions by the state Legislature. So the last thing I want to do is cut Medicaid for vulnerable people who are disabled or seniors who cannot work.”
… Sen. Josh Hawley (R-MO) was asked if Republicans need to do a better job with messaging about their budget: “Well, I mean, they need to do a better job of not cutting Medicaid.”
… NYT reported that right-wing activist Laura Loomer met with Trump yesterday in the Oval Office, where presented reasons why he should fire National Security Council staff members whom she said demonstrated disloyalty in the past. She wanted into the meeting with a stack of papers to show Trump her evidence.
… Their boss, embattled NSA Mike Waltz, was in on the meeting. CNN then reported today that 3 of the appointees were fired today by Trump: Brian Walsh, a former top staffer for Marco Rubio on the Senate Intel Committee; Thomas Boodry, who previously served as Waltz's legislative director in Congress, and David Feith, a senior director overseeing technology who served in the State Dept during Trump's first admin."
… Loomer later posted this: “If you worked with the SPIES WHO LIED for years, all while knowing what they did while on CIA payroll during the 2020 election to run cover for Hunter Biden, you have no business being at the NSC. I’m committed to protecting President Trump and his admin from bad actors.”
… Trump was asked about it today: “She makes recommendations and people and sometimes I listen to those recommendations. I listen to everybody and then I make a decision. She always has something to say and it’s usually constructive. She recommended some people for jobs.”
… NYC Mayor Eric Adams announced he is dropping out of the Dem primary and running as an independent. To Politico: “I’m in the race to the end. I’m not running on the Democratic line. It’s just not realistic to turn around my numbers and to run a good campaign from where we are right now. It hurts like hell.”
… Alina Habba just assumed office as Trump’s new US Attorney in NJ. Naturally, she put on a costume and posed with a suspect on her first day doing a photo op. I was a federal prosecutor and a lawyer in the criminal justice system for 29 years. I have never seen a US Attorney do anything like this - Republican or Democrat.
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… Charges were dropped against the man Rep. Nancy Mace (R-SC) falsely accused of assaulting her, which led to Mace making hundreds of social media posts and showing up in Congress with her arm in a sling. Multiple witnesses at the scene said that foster care advocate James McIntyre simply shook her hand, but Mace didn’t like what he said to her so she claimed the handshake was too “aggressive” and injured her.
… Mace responded: “When a man can physically assault a woman in the halls of Congress, with impunity, it sends an appalling message to every woman in America. If it can happen here, it can happen anywhere. I filed charges, and they were inexplicably ignored. But I will not be. I will not back down. I will not be intimidated. And I sure as hell won’t stay silent.”
… I have no doubt she is certainly telling the truth about the last part.
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