This is our flagship newsletter Morning Wire. You can subscribe here and we’ll email it to you daily.In the news today: Trump’s latest tariff move against Canada; gas prices; and Israel builds a miles-long barrier inside Gaza. Also, United Airlines offers a row with an empty middle seat, for a price.
President Donald Trump speaks during an event to announce new tariffs in the Rose Garden at the White House on April 2, 2025, in Washington. (AP Photo/Mark Schiefelbein, File)
Trump imposes 50% tariffs on Canadian goods, citing disputes over autos, alcohol and cheeseThe move could unleash a new wave of economic chaos, with risks of higher inflation and further fraying of relations between two nations that had been closely woven together before President Donald Trump’s return to the White House. The administration official previewing the action said that Canada was one of the only nations other than China that retaliated against Trump’s previous tariffs and must be held accountable. Read more.Why this matters:The White House said in a fact sheet that the tariffs would go into effect in 30 days, meaning there is time for negotiations as Trump has not always followed through on his announced tax hikes on imports.Canadian Prime Minister Mark Carney said in a statement that his government believes in the “benefits of free and fair trade,” having signed “more than 20 new economic and security partnerships.” He said Canada is prepared to negotiate with the Trump administration. “This trade dispute has raised costs for families, particularly in the U.S.,” Carney said. Still, the tariffs could escalate into a wider trade war as Canada seeks to defend its economy.Related coverage →Darline Graham says she will run for a full term in Lindsey Graham’s Senate seat
