The European Union announced retaliatory trade actions Wednesday, focusing new duties on U.S. industrial and farm products from Republican-led states, within hours of the Trump administration’s 25% tariffs on all steel and aluminum imports. Trump promises the taxes will help create U.S. factory jobs, but his seesawing threats are jolting the stock market and raising fears of an economic slowdown.
The Education Department announced plans to lay off more than 1,300 employees, a prelude to Trump’s plan to entirely dismantle the agency. And the Trump administration is halting a $1 billion program that helps keep tens of thousands of units livable for low-income Americans, according to a document obtained by The Associated Press.
Here’s the latest:
Canada and Europe retaliate quickly to Trump’s steel and aluminum tariffs
Canada will announce retaliatory tariffs that add up to $21 billion in U.S. dollars, according to a senior Canadian government official who spoke on condition of anonymity because they weren’t authorized to speak before the announcement.
The European Union also announced retaliatory trade action with new duties on U.S. industrial and farm products, responding within hours to the Trump administration’s increase in tariffs on all steel and aluminum imports to 25%.
Canada is the largest foreign supplier of steel and aluminum to the U.S.
US inflation cooled last month, though trade war threatens to lift prices
U.S. inflation slowed last month for the first time since September and a measure of underlying inflation fell to a four-year low, even as additional tariffs on steel and aluminum that kicked in Wednesday threaten to send prices higher.
The consumer price index increased 2.8% in February from a year ago, Wednesday’s report from the Labor Department showed. Sticky inflation could create problems for Trump, who promised while campaigning to “knock the hell out of inflation.”
Grocery prices were unchanged overall last month from January, but the cost of eggs jumped 10.4% and are nearly 60% more expensive than a year ago.
? Read more about where consumer prices stand ahead of the impact of tariffs
Vance breaks fast with Irish PM at vice president’s residence
JD Vance welcomed Micheál Martin to Washington with a breakfast reception, the first of several events during the Irish leader’s visit to celebrate St. Patrick’s Day.
Next up is an Oval Office meeting with President Donald Trump, a lunch on Capitol Hill and another White House event Wednesday afternoon.
Vance reminisced about a recent trip to Ireland and joked that his wife, Usha, could finally wear her green pants: “She’s had these in the closet for years.”
Martin thanked the United States for being “a steadfast friend” and praised Trump for working to end the war in Ukraine, saying “We are ready to play our part.”
Trump pressured Ukraine for a peace deal. Will it push Russia as well?
Rubio wouldn’t say as he spoke with reporters en route to talks with U.S. allies in Canada.
“We don’t think it’s constructive to stand here today and say what we’re going to do if Russia says no,” Rubio said, adding he wants to avoid statements about Russia that “are abrasive in any way.”
The Trump administration cut off military and intelligence support to Ukraine for a week to get Ukrainian President Volodymyr Zelenskyy’s agreement to talks. Trump and Vice President JD Vance also angrily confronted Zelenskyy in a televised White House meeting.
Rubio did note that Biden administration sanctions on Russian President Vladimir Putin over his 2022 invasion of Ukraine remain in place.
Rubio defends arrest of pro-Palestinian Columbia student
The secretary of state says that if a green card holder supports Hamas, riles up anti-Jewish activities and shuts down college campuses, “we’re going to kick you out. It’s as simple as that.”
“This is not about free speech. This is about people that don’t have a right to be in the United States to begin with. No one has a right to a student visa. No one has a right to a green card,” Rubio said.
Mahmoud Khalil, a legal U.S. resident born in Syria who was a graduate student at Columbia until December, was detained Saturday and flown to an immigration jail in Louisiana.
Student leaders say their broad anti-war movement also includes Jewish students and groups and is not antisemitic.
? Read more on Columbia student’s detention
US says ball in Russia’s court on talks to end its war on Ukraine
Secretary of State Marco Rubio says the U.S. is pursuing multiple points of contact to see if Russian President Vladimir Putin is ready to negotiate an end to his war against Ukraine.
“The ball is truly in their court,” Rubio said after mediation in Saudi Arabia saw Ukraine agree to start immediate talks with Russia on ending their three-year war.
Rubio spoke to reporters en route to Group of Seven talks with U.S. allies in Canada.
Rubio expressed hopes that Russia will stop attacks on Ukraine within the next few days as a first step, saying “It’s hard to start a process when people are shooting at each other and people are dying.”
? Read more on Russia-Ukraine ceasefire efforts
The Education Department was created to ensure equal access. Who would do that in its absence?
Officials have suggested other agencies could take over the Education Department’s major responsibilities once it’s dismantled.
But the question remains about what could happen with a more lofty part of its mission — promoting equal access for students in an American education system that is fundamentally unequal.
Without the department, advocates worry the federal government would not look out in the same way for poor students, those still learning English, disabled students and racial and ethnic minorities.
The equity goal of the Education Department, which was founded in 1980, emerged partly from the anti-poverty and civil rights movements of the 1960s and 1970s.
Trump has said he wants to return all control of schools to states.
? Read more about the impact of the Education Department’s layoffs
President Donald Trump spent the night angry at Rep. Thomas Massie
“GRANDSTANDER!” Trump posted on Truth Social, his social media platform, at 1:23 a.m.
The Kentucky congressman was the only House Republican to vote against legislation to prevent a government shutdown.
The president previously suggested Massie would face a primary challenge, although he’s been able to maintain support in his home state despite antagonizing leaders in Washington.
Massie said the funding legislation didn’t do enough to address the federal deficit. Trump and other Republicans have said that will be addressed in other measures this year.
Education Department cuts half its staff, a prelude to Trump’s elimination
The Education Department plans to lay off more than 1,300 of its employees, a prelude to Trump’s plan to dismantle the agency.
The Trump administration had already been whittling the agency’s staff, through buyout offers and the termination of probationary employees. After Tuesday’s layoffs, the department’s staff will sit at roughly half of its previous 4,100, the agency said.
The layoffs are part of a dramatic downsizing directed by Trump as he moves to reduce the footprint of the federal government. Thousands of jobs are expected to be cut across the Department of Veterans Affairs, the Social Security Administration and other agencies.
Department officials said it would continue to deliver on its key functions such as the distribution of federal aid to schools, student loan management and oversight of Pell Grants.
Education Secretary Linda McMahon said when she got to the department, she wanted to reduce bloat to be able to send more money to local education authorities.
? Read more about the layoffs at the Department of Education
Trump’s 25% tariffs on all steel and aluminum imports go into effect
Trump officially increased tariffs on all steel and aluminum imports to 25% on Wednesday, promising that the taxes would help create U.S. factory jobs at a time when his seesawing tariff threats are jolting the stock market and raising fears of an economic slowdown.
Trump removed all exemptions from his 2018 tariffs on the metals, in addition to increasing the tariffs on aluminum from 10%. His moves, based off a February directive, are part of a broader effort to disrupt and transform global commerce.
Trump told CEOs in the Business Roundtable on Tuesday that the tariffs were causing companies to invest in U.S. factories. The 8% drop in the S&P 500 stock index over the past month on fears of deteriorating growth appears unlikely to dissuade him, as Trump argued that higher tariff rates would be more effective at bringing back factories.
? Read more about Trump’s tax on steel and aluminum
UK calls Trump tariffs disappointing but doesn’t retaliate
The British government called the Trump administration’s tariffs on global steel and aluminum imports “disappointing,” but said that it won’t impose retaliatory measures.
Business Secretary Jonathan Reynolds, however, did not rule out future tariffs on U.S. imports and said he would “continue to engage closely and productively with the U.S. to press the case for U.K. business interests.”
Britain is not part of the European Union, which Wednesday announced import taxes on American goods, ranging from steel and aluminum to bourbon, peanut butter and jeans in response to Trump’s move.
Center-left U.K. Prime Minister Keir Starmer has worked to build strong ties with Trump, in hope of avoiding the tariffs levied on many other U.S. trading partners.
? Read more about the UK not retaliating against Trump’s tariffs
The EU retaliates against Trump’s tariffs, slapping duties on produce from Republican states
The European Union on Wednesday announced retaliatory trade action with new duties on U.S. industrial and farm products, responding within hours to the Trump administration’s increase in tariffs on all steel and aluminum imports to 25%.
The world’s biggest trading bloc was expecting the U.S. tariffs and prepared in advance, but the measures still place great strain on already tense transatlantic relations. Only last month, Washington warned Europe that it would have to take care of its own security in the future.
The EU measures will cover goods from the United States worth some 26 billion euros ($28 billion), and not just steel and aluminum products, but also textiles, home appliances and agricultural goods.
The EU duties aim for pressure points in the U.S. while minimizing additional damage to Europe. The tariffs — taxes on imports — primarily target Republican-held states.
? Read more about the EU’s tariffs on GOP states