Donald Trump

Taipei, Taiwan – As United States President Donald Trump plays up the prospects of a trade deal with China, experts say Beijing is unlikely to make the first move and may even demand preconditions before coming to the negotiating table.

Trump has said he expects to see his 145 percent tariff on China “come down substantially” but that a lower rate would depend on Beijing’s next steps.

“We’re going to have a fair deal with China,” Trump told reporters on Wednesday in his latest remarks, stirring hopes of a de-escalation in tensions between the sides.

But given the high stakes in its standoff with the US, China “can’t afford to be the side that makes the first move because it can’t be viewed as capitulating to the Trump administration’s pressure campaign”, William Yang, a senior analyst on Northeast Asia at the International Crisis Group, told Al Jazeera.

“As a result, China will firmly uphold its current position until it sees the US government make some credible concessions that can allow Beijing to consider coming to the negotiating table and claim victory.”

Beijing may even see Trump’s more optimistic rhetoric as a sign that “digging in its heels” is working, Yang said.

US and Chinese officials have not formally announced the start of trade negotiations, though Trump said on Wednesday that his administration was “actively” negotiating with the Chinese side, without elaborating.

On Thursday, China’s Ministry of Commerce rebuffed Trump’s remarks, saying there were no talks on trade taking place between the sides.

“Any claims about the progress of China-US economic and trade negotiations are groundless and have no factual basis,” ministry spokesman He Yadong told a news conference.

China has said the door is “wide open” to talks but insisted it will not shirk from a fight with the US if necessary.

In contrast to Trump’s off-the-cuff remarks and vacillating statements on the possibility of relief from his tariffs, Beijing’s messaging, which has been largely communicated through the Ministry of Commerce and the Ministry of Foreign Affairs, has been tightly controlled and consistent.

“I would say that, at least on the surface, China has the upper hand,” Zhiwu Chen, a professor of finance at the University of Hong Kong’s Business School, told Al Jazeera.

“It’s more in control, whereas President Trump and Secretary Bessent have been signalling and doing things that further help to weaken their hand,” Chen said, referring to US Treasury Secretary Scott Bessent.

“I think the statement really shows he is anxious and panicking, whereas China has been pretty quiet and muted,” Chen added, referring to Trump’s comments that he intends to lower his tariffs at some point.

China has slapped US exports with a 125 percent tariff in response to Trump’s trade salvoes, as well as announcing various other “countermeasures”, including restrictions on rare earth exports and limits on the number of Hollywood film releases in China.

If tensions continue to escalate, Beijing could potentially halt cooperation on issues like controlling fentanyl exports.

In theory, it could also inflict pain on the US economy by dumping its more than $760bn in US government debt – a move that economists view as unlikely given that it would have serious ramifications for the Chinese economy as well.

Unlike Trump, who prefers to negotiate face-to-face with world leaders, Beijing will want to engage in preliminary meetings before any meeting between Chinese President Xi Jinping and the US president, said Tom Nunlist, an associate director of tech and data policy at Trivium China.

“They will be looking to have secured a deal before the top leaders meet to confirm it. To reach out to Trump directly may look like Xi is caving to US pressure, and it also risks failure,” Nunlist told Al Jazeera.

“Generally speaking, the US is the aggressor here, and China has calibrated its response to be forceful but avoid escalation,” Nunlist said.

It is likely that discussions would address a wider array of concerns than just tariffs, according to analysts, especially now that Trump appears to have blinked first in the standoff.

Potential areas for concessions include “tech export controls and Taiwan”, according to Dingli Shen, a Shanghai-based international relations scholar.

“Longstanding grievances about how China is treated within the global system” could be on the table, according to Marina Zhang, an associate professor at the University of Technology Sydney’s Australia-China Relations Institute.

“In practice, it means no public humiliation, no unilateral ultimatums, and no compromises on four key ‘red lines’: Issues related to Taiwan, democracy and human rights, China’s political system, and its right to development,” Zhang told Al Jazeera.

Zhang said US export controls on critical technology could be on the agenda, as well as the blacklisting of Chinese tech companies such as Huawei and Chinese chipmaker SMIC.

“China may also push for the relaxation of investment screening rules, particularly in sensitive sectors like semiconductors, clean energy, and advanced manufacturing. Another likely ask is a degree of de-escalation over Taiwan,” she said.

“While Beijing does not expect full concessions, it would welcome less overt political signalling from Washington – such as limits on high-level official visits and arms sales.”

For Beijing, the wait could be worthwhile if it means achieving some of its longer-term goals, said the International Crisis Group’s Yang.

“This is more than a pure trade negotiation for China at this point. It views the trajectory of this tariff standoff as a precursor to how bilateral relations with the US will develop over the next four years,” he said.

“Beijing will want to see the Trump administration make the first move to reduce the tariffs imposed on imported Chinese products. The level of potential tariff reduction could potentially determine the Chinese government’s willingness to start high-level trade negotiation with the Trump administration.”

Trade-reliant Southeast Asian country is facing a 46 percent levy under Trump’s so-called ‘reciprocal’ tariffs.

Vietnam and the United States have kicked off trade talks, the Vietnamese government has said, as Hanoi scrambles to avoid a crippling 46 percent tariff announced by US President Donald Trump.

Vietnamese Minister of Industry and Trade Nguyen Hong Dien and US Trade Representative Jamieson L Greer held a phone call to officially initiate their negotiations on “bilateral economic and trade issues”, Vietnam’s trade ministry said on Thursday.

Nguyen told Greer that Vietnam wants to develop a “comprehensive strategic partnership” with the US and promote “economic and trade relations in a balanced, stable, sustainable, and effective manner”, the ministry said.

“He noted that Vietnamese ministries and agencies are ready to negotiate solutions to issues of US concern and work together with the US to find reasonable solutions that benefit both sides, based on the spirit of harmonized interests and shared risks,” the ministry said, adding that Greer expressed confidence that the two sides “would soon reach suitable solutions to foster stable and mutually beneficial economic and trade relations.”

Vietnam is one of the world’s most trade-dependent economies, with its exports in 2023 accounting for more than 87 percent of gross domestic product (GDP), according to the World Bank.

Trump’s 46 percent tariff on Vietnamese exports is among the highest tax rate imposed on a trading partner under his so-called “reciprocal” tariffs.

Since Trump announced a 90-day pause on most of his steepest tariffs on April 9, Vietnamese exports, like those from dozens of other countries, have been subject to a baseline duty of 10 percent.

Vietnam had a $123.5bn trade surplus with the US last year, the fourth-largest imbalance after China, the European Union and Mexico.

The United States buys $235.6bn more in goods than it sells to the 27 countries that make up the European Union (EU).

That $236bn gap, known as the trade deficit, is something US President Donald Trump wants to reduce.

In an effort to close the gap, on April 2 the US imposed a 20 percent tariff on goods imported from the EU, aimed at reducing European exports to the US and encouraging domestic production.

In addition, the EU faces a 25 percent US tariff on steel, aluminium and cars.

In response, the EU decided to impose retaliatory tariffs on $23.8bn worth of US goods, with EU officials describing the US tariffs as “unjustified and damaging”.

What does the US sell to the EU?

In 2024, trade between the US and EU reached nearly $1 trillion, making the EU the biggest trading partner bloc for the US.

The US mainly exports fuels, pharmaceutical products, machinery and aircraft to the EU, according to the US International Trade Commission.

In 2024, the US sold $370.2bn worth of goods to the EU. The main exports include:

• Mineral fuels ($78.9bn) accounting for 21.3 percent of total exports.
• Pharmaceutical products ($39.4bn) accounting for 10.6 percent of exports.
• Nuclear reactors, boilers, machinery and mechanical appliances ($36.6bn) accounting for 9.9 percent of exports.
• Aircraft, spacecraft and parts ($35.1bn) accounting for 9.5 percent of exports.
• Optical, photographic and cinematographic equipment ($30.8bn) accounting for 8.3 percent of total exports.

What does the US buy from the EU?

The US mainly buys pharmaceutical products from the EU, as well as mechanical appliances, cars and other non-railway vehicles.

In 2024, the US bought $605.8bn worth of goods from the EU. The main imports include:

• Pharmaceutical products ($127.8bn) accounting for 21 percent of total imports.
• Nuclear reactors, boilers, machinery and mechanical appliances ($89.8bn) accounting for 14.8 percent of imports.
• Cars and other non-railway vehicles ($60.3bn) accounting for 10 percent of imports.
• Electrical equipment ($39.3bn) accounting for 6.5 percent of imports.
• Optical, photographic and cinematographic equipment ($36.9bn) accounting for 6.1 percent of total imports.

Which US states import and export the most to the EU?

According to the US International Trade Administration, the midwestern state of Indiana buys the most of any other state from the EU. It bought $49.3bn worth of goods in 2024.

New Jersey imported the second-most goods from the EU, valued at $40.9bn, followed by North Carolina, which bought $39.6bn.

Texas leads the US in exports to the EU, selling $81.5bn worth of goods in 2024. California ranks second, with $28bn in sales, followed by Louisiana at $20.8bn.

Explore the table below to see which states import and export the most to and from the EU.

What does each US state sell most to the EU?

Aerospace products and parts are the top exports from the US to the EU, with 15 states reporting this category as their primary export. These states include Arizona, Arkansas, Connecticut, Florida, Georgia, Hawaii, Kansas, Kentucky, Maine, Maryland, New Hampshire, New Mexico, Ohio, Oklahoma, and Washington.

Aerospace products consist of complete aircraft and aircraft parts, with the US specifically exporting Boeing commercial aircraft and Lockheed Martin F-16 fighter jets to the EU.

What does each US state buy most from the EU?

Pharmaceuticals and medicines are the leading import for 11 US states, including Delaware, Georgia, Illinois, Indiana, Kentucky, Missouri, North Carolina, Ohio, Pennsylvania, Tennessee and Wisconsin.

Motor vehicles and vehicle parts rank second, being the top import for eight states: Alabama, California, Maryland, Michigan, New Jersey, Rhode Island, South Carolina and Texas.

According to the European Automobile Manufacturers’ Association (ACEA), the US is the second-largest market for new EU vehicle exports after the UK, where the US accounted for 22 percent of the EU’s vehicle export market in 2024.

The Center for Automotive Research found that the Detroit Three automakers – General Motors, Ford, and Stellantis (formerly Chrysler) – will see an average cost of the tariff per vehicle for imported vehicle parts of $4,911, higher than the overall industry’s average of $4,239 per vehicle.

April 23 (UPI) — A coalition of 12 states with Democratic leaders on Wednesday sued the Trump administration regarding “illegal tariffs.”

The lawsuit comes as President Donald Trump has softened his stance on the 145% tariffs on some products from China.

The attorneys general allege that the federal government doesn’t have the authority to enact duties without congressional approval.

The lawsuit, which was filed in the United States Court of International Trade, also seeks to halt future reciprocal tariffs paused on April 9 for 90 days. On Wednesday, President Donald Trump said it could enact them sooner if deals aren’t made with trading partners in the “next two or three weeks.”

Trump imposed the tariffs through the International Emergency Economic Powers Act, which gives the president the authority to enact those powers in response to “threats of national security.”

“In the nearly five decades since IEEPA was enacted, no other President has imposed tariffs based on the existence of any national emergency, despite global anti-narcotics campaigns spearheaded by the United States and longstanding trade deficits,” the lawsuit argued.

“Congress never intended it to be used for tariffs.”

White House spokesperson Harrison Fields has said that trade deficits with other countries constitute a “national emergency.”

The lawsuit was filed by the attorneys general of Arizona, Colorado, Connecticut, Delaware, Illinois, Maine, Minnesota, New York, Nevada, New Mexico, Oregon and Vermont.

“Congress has not granted the president the authority to impose these tariffs and therefore the administration violated the law by imposing them through executive orders, social media posts, and agency orders,” New York Attorney General Letitia James‘ office said in a statement.

“Donald Trump promised that he would lower prices and ease the cost of living, but these illegal tariffs will have the exact opposite effect on American families. His tariffs are unlawful and if not stopped, they will lead to more inflation, unemployment, and economic damage.”

A New York news release said the tariffs “will cost the average family thousands of dollars per year.” In addition, other nations have slapped tariffs on exported products, which would affect businesses in the United States, including autos, pharmaceuticals, agricultural products and timber.

New York Gov. Kathy Hochul said: “New York is standing up to fight back against the largest federal tax hike in American history. Attorney General James and I are partnering on this litigation on behalf of New York consumers, because we can’t let President Trump push our country into a recession.”

A report from the New York City comptroller estimated that even a mild recession because of tariffs would lead to more than 35,000 lost jobs in New York City.

Last week, California announced its own lawsuit against the Trump administration, also claiming the Trump administration lacked the authority to impose the tariffs and it has caused “irreparable harm to California, its Governor, and its residents.”

Reciprocal tariff plans

On “Liberation Day” on April 2, Trump said he will impose a baseline tariff of 10% on most trading partners.

“We’ve been ripped off by every country in the world practically, friend and foe, and we’re not doing that anymore,” Trump said Wednesday.

The “worst offenders” would be subject to reciprocal ones, including 145% against China. On April 13, Trump excluded electronics products from China.

China has responded with a 125% boost. Cambodia was hit with 49% and Vietnam at 46%.

Trump has softened his stance against China, saying Tuesday he wasn’t going to play “hardball” with China. and the 145% rate will eventually “come down substantially.” Trump the two nations have had contact daily.

“We’re going to be very nice; they’re going to be very nice, and we’ll see what happens,” Trump said.

The hashtag “Trump chickened out” has accumulated over 150 million views on China’s social media, Weibo, according to USA Today.

Treasury Secretary Scott Bessent said: “There is an opportunity for a big deal.” He spoke at an event hosted by the Institute of International Finance.

Canada and Mexico were not part of the 10% baseline tariffs or reciprocal ones because earlier there was levy of 25% on most products. Also goods that are part of the United States-Mexico-Canada Agreement are excluded.

He is threatening higher ones against Canada.

“They took a large percentage of the car industry and I want to bring it back to this country. I really don’t want cars from Canada,” Trump said. “So when I put tariffs on Canada, they’re paying 25%, but that could go up in terms of cars.”

The United States is working with several nations, including Japan and India, to lower tariffs.

The stock markets in the United States reacted positively to possible trade deals. The Dow Jones Industrials were up 419.59 points, or 1.07%, to 39,606.57, the Standard and Poor’s 500 rose 88.1, or 1.67%, to 5,375,86 and the Nasdaq Composite climbed 407.63, or 2.5%, to 16,708.05.

The averages are way off the records of the DJIA of 45,014 on Dec. 4, 2024; S&P of 61,44.15 on Feb. 9; and Nasdaq of 20,173.89 on Dec. 16, 2024.

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US stock markets closed higher but well off intraday highs on Wednesday, even as President Donald Trump pledged to reduce tariffs on China “substantially,” while denying intention to fire Fed Chair Powell. The S&P 500 surged by 3.6% before retreating sharply and finished 1.67% higher, although posting a second consecutive gain.

On Wednesday, the Wall Street Journal reported that the Trump administration is considering reducing tariffs on China to a range between 50% and 65%. A tiered approach may be adopted, with levies of 35% on goods deemed non-critical to national security, while retaining tariffs of at least 100% on essential Chinese imports. While these figures represent a sharp reduction from the current 145%, the proposed trade barriers remain significant.

However, Treasury Secretary Scott Bessent told reporters that there was no unilateral offer to lower tariffs on China, adding that the administration was considering measures beyond tariffs. Speaking at the Institute of International Finance in Washington, Bessent said there was “an opportunity for a big deal” on trade issues between the US and China.

He argued that China should “graduate” from developing country status, stating: “There is no justification for this continued lending… Treating China — the second-largest economy in the world — as a ‘developing country’ is absurd.”

In addition, the Financial Times reported that the Trump administration is considering reducing tariffs on Chinese auto parts. However, Trump denied such a proposal and suggested he may raise import levies on Canadian auto components. Earlier this month, the US president imposed a 25% tariff on all auto imports, granting a one-month exemption for auto parts under the United States-Mexico-Canada Agreement (USMCA).

“While these latest developments obviously have bullish near-term implications, it all again speaks to the incoherent and volatile nature by which policy continues to be made,”  Michael Brown, a senior research stargetist at Perpperstone London, wrote in a note, “the ever-changing stances on display are likely to do nothing to stem the tide of the ‘sell America’ trade.”

Stock markets mixed

At 6 a.m. CEST, US stock futures declined during Thursday’s Asian session as uncertainty continued to mount. The Dow Jones Industrial Average was down 0.28%, the S&P 500 slipped 0.14%, and the Nasdaq Composite fell 0.22%. Investors remain wary amid policy and economic uncertainty driven by Trump’s erratic and unpredictable tariff plans.

Asian markets were mixed. Hong Kong’s Hang Seng Index fell 1.23%, Japan’s Nikkei 225 rose 0.58%, South Korea’s Kospi slipped 0.33%, while Australia’s ASX 200 climbed 0.66%.

In contrast, European stock futures were marginally lower, pointing to a flat open across the continent. Notably, European markets have continued to outperform their US counterparts, supported by a more stable macroeconomic environment. Germany’s DAX jumped 3.14%, returning to a one-month high, while the Euro Stoxx 600 rose 1.8% on Wednesday.

Euro retreats

The euro has weakened sharply against the US dollar over the past two trading sessions. The greenback has strengthened following Trump’s apparent reversals on both China and Federal Reserve Chair Jerome Powell, although the dollar’s rebound may prove unsustainable. The EUR/USD pair fell to just above 1.13 in early Thursday trading, down from a more than three-year high of 1.1566 reached on Monday.

Gold rebounds

Gold prices rebounded swiftly after a two-day decline, reflecting ongoing market uncertainty. At 5:55 a.m. CEST, spot gold rose 1.2% to $3,329 per ounce during the Asian session, recovering most of Wednesday’s losses. Gold futures climbed 1.3% to $3,338 per ounce.

April 24 (UPI) — Federal prosecutors have announced the first terrorism-related charges filed against an alleged member of the Tren de Aragua gang, which the Trump administration has been targeting amid his nationwide crackdown on immigration.

The five-count superseding indictment was returned by a Houston grand jury April 8 but was unsealed Wednesday in a Southern District of Texas courtroom, charging Jose Enrique Martinez Flores, 24, with conspiring to provide and providing material support to a designated foreign terrorist organization, as well as with drug-related offenses.

President Donald Trump designated Tren de Aragua as a foreign terrorist organization in February, a move he used last month to invoke the 1798 Alien Enemies Act to deport hundreds of Venezuelans to El Salvador — a move that has since been blocked by the courts, halting further deportations.

Federal prosecutors have accused Flores, who also goes by “Chuqui,” of being a high-ranking member of the Venezuelan gang. He was arrested in Colombia at the request of the United States on March 31.

The charging document alleges that he was involved in the delivery of approimately 11 pounds or more of cocaine for international distribution. The Justice Department said he “is part of the inner circle of senior TdA leadership.”

He is currently in Columbian custody, though he is expected to be extradited to the United States, despite the Trump administration’s efforts to deport those accused of being affiliated with the gang.

“Today’s charges represent an inflection point in how this Department of Justice will prosecute and ultimately dismantle this evil organization, which has destroyed American families and poisoned our communities,” Attorney General Pamela Bondi said in a statement announcing the charges.

If convicted, Flores faces a maximum penalty of life in prison and a $10 million fine.

The indictment was unsealed Wednesday after the Justice Department charged 27 alleged members and associates of the Venezuelan gang with a slew of offenses, including human smuggling, armed robberies and sex and drug trafficking.

Wall Street rallies for second day on hopes of a de-escalation in trade tensions between world’s two largest economies.

United States President Donald Trump has reiterated his intention to lower his crippling tariffs on China, but insisted the timeline for any relief will depend on Beijing.

Speaking to reporters at the White House on Wednesday, Trump said he could announce new tariff rates on US trading partners, including China, over the next few weeks, depending on the outcome of his administration’s negotiations with other countries.

“That depends on them. We have a situation where we have a very, very great place. It’s called the United States of America, and it’s been ripped off for years and years,” Trump said when asked how soon he could lower the 145 percent tariff he has imposed on most Chinese goods.

“In the end, what I think is going to happen is we’re going to have great deals, and by the way, if we don’t have a deal with a company or a country, we’re going to set the tariff.”

Trump said he got on “very well” with Chinese President Xi Jinping, and he hoped to see the sides reach a deal.

“Otherwise, we will set a price,” Trump said.

Asked earlier on Wednesday if his administration was “actively” talking to China, Trump said: “Actively. Everything is active. Everybody wants to be a part of what we’re doing.”

Trump’s comments came as Wall Street rallied for a second straight day on hopes that Washington and Beijing will de-escalate tensions that have spiralled into an effective trade embargo between the world’s two largest economies.

The benchmark S&P 500 closed 1.67 percent higher on Wednesday, while the tech-heavy Nasdaq Composite finished up 2.50 percent, adding to gains the previous day spurred by US Treasury Scott Bessent’s comments that a trade with China was “unsustainable”.

On Wednesday, the Wall Street Journal reported that the Trump administration was considering slashing tariffs on Chinese goods by 50-60 percent in a bid to lower tensions.

The report, which cited people familiar with the matter, said that Trump was considering a number of options for easing the duties but would expect to see Beijing lower its 125 tariffs on US goods in return.

On Tuesday, Trump publicly acknowledged that his 145 percent tariff on China was “very high” and said the rate would “come down substantially” at some point.

China has said it opposes protectionist measures such as tariffs, but that it is prepared to “fight to the end” if the US continues to escalate its trade salvoes.

“We have made it very clear that China does not look for a war, but neither are we afraid of it. We will fight, if fight we must,” Chinese Foreign Ministry spokesperson Guo Jiakun said during a regular media briefing on Wednesday.

“Our doors are open if the US wants to talk. If a negotiated solution is truly what the US wants, it should stop threatening and blackmailing China and seek dialogue based on equality, respect and mutual benefit.”

The US-China trade war has raised fears of a global economic slowdown, with the International Monetary Fund earlier this week slashing its 2025 growth forecast from 3.3 percent to 2.8 percent.

On Wednesday, a group of 12 US states, including Arizona, Colorado, Connecticut, Illinois and New York, filed a lawsuit challenging Trump’s authority to impose the tariffs without the approval of the US Congress.

In the suit filed at the US Court of International Trade in New York, the states said that Trump had “upended the constitutional order and brought chaos to the American economy”.

“President Trump’s insane tariff scheme is not only economically reckless – it is illegal,” Arizona Attorney General Kris Mayes said in a statement.

“Arizona cannot afford President Trump’s massive tax increase. No matter what the White House claims, tariffs are a tax that will be passed on to Arizona consumers.”

WASHINGTON, April 23 (UPI) — The Environmental Protection Agency told more than 450 employees working in diversity, equity and inclusion — as well as environmental justice — they would be fired or reassigned as part of President Donald Trump‘s executive order to remove DEI programs from the federal government.

In a notice sent late Monday, the EPA said it laid off 280 employees while an additional 175 will be reassigned to other offices within the agency. The layoffs in the Office of Environmental Justice and External Civil Rights, the Office of Inclusive Excellence and regional offices were scheduled to take place July 31, according to an email from the EPA press official.

“Today, the EPA notified diversity, equity and inclusion and environmental justice employees that EPA will be conducting a Reduction in Force,” the email read. The RIF was announced internally on the eve of Earth Day but not officially announced. In February, the EPA placed 171 DEI and environmental justice staffers on administrative leave.

EPA Administrator Lee Zeldin in March said the layoffs reflected the agency’s commitment to its “core mission” of protecting the environment and human health. He described environmental justice as “funding left-wing activists instead of actually spending those dollars to directly remediate environmental issues for those communities.”

However, former agency leaders accused him of abandoning the EPA’s mission. In many cases low-income and minority residents suffer most from pollution in their communities, research has shown.

“When you took the reins of the agency, you took an oath to uphold that mission. Yet, the opposite has ensued. From mass firings, to planned elimination of the scientific mission, dismantling the EJ office, and freezing grants,” a group of former EPA Regional Administrators wrote Zeldin earlier this month. “[T]hese actions all profoundly undermine the mission.”

EPA spokesperson Molly Vaseliou dismissed the group’s claims, calling them “Biden political appointees grasping for media attention” in an email to Medill News Service/UPI.

“Unlike these partisan Biden political appointees grasping for media attention, the Trump Administration is committed to EPA’s core mission of protecting human health and the environment and providing clean air, land and water for ALL Americans instead of wasting tens of billions of taxpayer dollars on their radical climate friends,” Vaseliou said.

The staff cuts were among several deregulatory actions announced by the EPA in March as part of their “Power the Great American Comeback” initiative, which the administrator said will “roll back trillions in regulatory costs and hidden ‘taxes’ on U.S. families.”

The layoffs came as part of a broader federal initiative by the Department of Government Efficiency, led by Elon Musk, which seeks to reduce the size of federal agencies and cut spending. Zeldin said he planned to cut 65% of the EPA’s total spending, and already had cut more than $2 billion in DEI and environmental justice grants.

Rep. Frank Pallone, D-N.J., wrote on X on Wednesday that the “EPA was created to defend public health” but is now a “weapon against the most vulnerable communities.” Pallone, who leads the Energy and Commerce Committee Democrats, also wrote that he “demanded answers from Trump’s EPA” about the layoffs.

April 23 (UPI) — President Donald Trump is inviting the top 220 holders of his $TRUMP meme to a private dinner, prompting the price of the coin to rise more than 50% on Wednesday.

The coins in circulation have a total value of $2.7 billion. The single coin rose $5.32, or 58%, to $14.32 on Wednesday afternoon. That’s the biggest move of any cryptocurrency, outpacing Sui, which is up 23%, according to CoinMarketCap.

The project’s website claims that 80% of the token supply is held by the Trump Organization and affiliated entities. The original offering was $10 and in all 1 billion are planned to be distributed over three years with a $31.37 billion fully diluted valuation

“Have Dinner in Washington, D.C. With President Trump,” reads a message on the Trump coin’s website.

The black tie option dinner is scheduled for May 22 at Trump National Golf Club in Sterling, Va., “for a once-in-a-lifetime evening,” according to the website. There is no charge to attend the dinner.

Afterward, there will be a reception with Trump for the top 25 wallets. Also, a “VIP White House Tour” will take place the following day.

“President Donald J. Trump is Known as the “Crypto President!” the website reads. “At this Intimate Private Dinner, Hear First-Hand President Trump Talk about the Future of Crypto.”

The top 220 average holders from April 23 to May 12 will earn the invitation.

“The more $TRUMP you hold-and the longer you hold it-the higher Your Ranking will be,” the website says.

Trump launched the coin three days before his Jan. 20 inauguration.

The speculative coin, which represents his “fight, fight, fight” response to the assassination attempt in Butler, Pa., on July 13, was trading for $31 on the first day for 200 million initially available. That’s 20% of the total to be made.

The meme features an image of Trump holding up his right fist and imposed over the word “FIGHT,” which appears three times.

First lady Melania Trump launched her own coin — $MELANIA — the next day.

According to Bitcoin.com, meme coins are cryptocurrencies or digital assets inspired by internet memes and online communities. “They often start as jokes or social experiments but can gain significant market value and attention due to their viral nature and community support,” according to the website.

The crypto coin is not intended as an investment opportunity, the U.S. Securities and Exchange Commission warned on Feb. 27.

“Given the speculative nature of meme coins, they tend to experience significant market price volatility, and often are accompanied by statements regarding their risks and lack of utility, other than for entertainment or other non-functional purposes,” according to the SEC.

“Accordingly, neither meme coin purchasers nor holders are protected by the federal securities laws.”

In September Trump’s sons, Donald Jr. and Eric, launched a separate crypto company called World Liberty Financial.

In March, Trump signed an executive order empowering the federal government to build a “strategic reserve” of cryptocurrency assets it seizes through law enforcement proceedings.

Earlier this month, the Department of Justice ended its National Cryptocurrency Enforcement Team, while also redirecting focus away from targeting crypto fraud.

“The President is openly inviting investors to have a bidding war over who can buy the most access to him while he laughs all the way to the bank,” Tony Carrk, U.S. executive director with Accountable.US, a nonpartisan advocacy group, said in a statement. “There has never been a clearer case of a President using their office to put money in their pocket, or greater potential for special interests to buy an administration’s favor that could threaten the public interest. Donald Trump is trampling over every historical ethical norm to see how much corruption he can get away with before his allies in Congress flinch.

“While Donald Trump wines and dines with his wealthy backers seeking access to the executive branch, working people across the country brace for higher costs under the Trump tariffs and less health security under the Trump budget.”

As the United States and China engage in a trade war driven by steep tariffs imposed by President Donald Trump and counter levies by President Xi Xinping, one sector that could be deeply impacted – and in turn have a disproportionate impact on the health of Americans – is pharmaceuticals.

The US imports 75 percent of its essential medicines. The Trump administration has begun its investigation into imports of medications and the active ingredients needed to make them, saying a lack of that in the US poses a national security threat. It as also threatened sectoral tariffs – that could range from 7.5 percent to 100 percent – in addition to the 145 percent currently in place on China.

While pharmaceuticals have been exempt from Trump’s reciprocal tariffs thus far, it’s not clear how long that will last, especially with potential sectoral levies in the pipeline.

In the immediate term, there is some insulation between the looming escalated prices and what consumers will pay when they go to pick up their medication at their local pharmacy.

Unlike other goods, pharmaceutical prices for consumers are not subject to the same instantaneous market fluctuations. The complex supply chain across the pharmaceutical industry means that there is a lag between tariffs and the impact they might have on patients.

At the same time, there are stockpiles at nearly every step of the supply chain. Wholesalers have their own, as do pharmaceutical giants and even the federal government.

“A lot of these medications, especially ones that are, like, in pill forms, are pretty stable for a long time,” Bruce Y Lee, professor of health policy at the CUNY Graduate School of Public Health and Health Policy, told Al Jazeera.

In the short term, pharmaceutical companies and healthcare providers can eat the spike in costs like they did during the COVID-19 pandemic. That gives pharmaceutical companies and trade groups time to plead with the administration to ensure exceptions from the tariffs continue.

India supplies about half of all generic drugs used in the US. However, it depends on China for 80 percent of its active pharmaceutical ingredients (APIs), the chemical compounds medications are made from.

One of the globe’s biggest pharmaceutical giants said it worries any tariff would drive up prices and hurt patient care.

In a shareholder meeting, Michel Demare, chairman of the board for AstraZeneca, said, “We still strongly believe that medicines should be exempted from any kind of tariffs because, at the end, it is just harming patients’ health systems and restricting health equity.”

AstraZeneca did not respond to Al Jazeera’s request for further remarks.

Eli Lilly and Johnson and Johnson echoed similar concerns. In the last six months, all three companies have pledged multibillion-dollar investments to ramp up manufacturing as well as research and development in the US.

But pharma giants will be able to bite the cost only for so long. Falling stock prices for pharma giants mean that they will need to find other ways to raise the stock price to meet their fiduciary responsibilities to shareholders. Experts say they can do that by renegotiating drug prices higher, depending on the medication. That causes a downstream effect that will lead to higher insurance premiums across the board and higher prices for Americans who rely on these drugs daily.

“Demand for many pharmaceuticals is not flexible. This is not a consumer good,” Lee pointed out. “When you impose something that increases the cost, like the tariff, you can’t really change the demand … and will ultimately hurt patients”.

A socioeconomic divide

According to a report from the supply chain analytics company Exiger released last week, the US relies on China for as much as 80 percent of active pharmaceutical ingredients. For generic antibiotics, in particular, the dependence is much higher at 90 percent.

Because China disproportionately produces more generic drugs, which are 80 to 85 percent cheaper than their brand-name alternatives, tariffs on China will hurt low-income communities the hardest.

“If there’s a place where you save money, it is generic, and that’s exactly where the increases will be. Generic companies work on the slimmest margins, and they’re just not in a position to absorb [that],” Michael Abrams, partner at Numerof and Associates, a global healthcare consulting firm, told Al Jazeera.

Recent analysis from the financial services company ING found that even a 25 percent pharma tariff could force cancer patients to pay as much as $2,000 more for a 24-week supply.

Tariffs could force makers of generics to pull out of the US market altogether, says Tom Kraus, vice president of government relations for the American Society of Health-System Pharmacists (ASHP) told Al Jazeera.

“Imposing tariffs on medications and their ingredients could force generic drug manufacturers with already slim profit margins to drop out of the US market for a given medication, resulting in drug shortages for American patients,” Kraus said.

About 90 percent of the medications prescribed in US pharmacies are generic or biosimilar (meaning ingredients that have similar effects), according to a report from the Association of Accessible Medicines published in February.

“It will cause a lot of reverberations throughout because someone’s going to have to pick up the tab. This will result in a smaller percentage of medication costs being covered by insurance companies, and thus this burden pushed to patients and consumers,” Lee added.

Americans are already struggling to meet the costs of healthcare as it is. One in three Americans say they cannot take medications they are prescribed because of the cost, and 11 percent of Americans say they cannot meet their healthcare costs, with a higher burden on Hispanic adults at 18 percent overall.

The Congressional Budget Office estimates that 7.7 percent of Americans are uninsured, meaning their medical costs are out of pocket. Even for those who do have insurance, public health experts believe that insurance premiums will increase if Trump moves ahead with pharmaceutical tariffs.

“They’re going to spread that out among anyone paying insurance as a whole. That’s the whole concept of insurance,” Lee said.

More expensive drugs are produced stateside or in Europe. Those could also get pricier. There is currently a 10 percent tariff in place impacting these drugs but that could go higher when country-specific tariffs, currently on pause, kick in.

Drugs that come out of Europe are more often the blockbuster brand-name medications. Zepbound, Eli Lilly’s weight loss medication, for instance, is made in Ireland. If tariffs kick in there, out-of-pocket costs for US patients on Zepbound could run as much as $1,086.37 for a one-month supply, in contrast to as low as $25 with insurance.

Supply chain strain

In February, the American Hospital Association (AHA), in a letter calling for tariff exceptions for pharmaceuticals, said it is worried that the levies would make existing supply chain strains worse.

“Despite ongoing efforts to build the domestic supply chain, the US healthcare system relies significantly on international sources for many drugs and devices needed to both care for patients and protect our healthcare workers. Tariffs, as well as any reaction of the countries on whom such tariffs are imposed, could reduce the availability of these life-saving medications and supplies in the US,” the trade group said in a letter to the White House. “US providers import many cancer and cardiovascular medications, immunosuppressives, antibiotics and combination antibiotics from China. For many patients, even a temporary disruption in their access to these needed medications could put them at significant risk of harm, including death.”

The AHA declined Al Jazeera’s request for additional comment.

“Healthcare has a very elaborate logistics chain, and obviously, it varies from product to product, but some of them are very complicated,” Abrams of Numerof and Associates added.

For instance, some APIs undergo two or three different processes and not all of them are in the same place before they even come to the US to be incorporated into the final product, he explained.

“When you take all these relationships and throw them up in the air and see how they come down, inevitably it leads to disruption in supply,” he continued.

There are more than 104 active drug shortages in the United States, including common antibiotics like amoxicillin. China is one of the world’s three biggest exporters of the drug, and the US is the largest importer.

Another concern about the US’s extreme reliance on China is that the country’s API market is only expected to grow by 7.8 percent over the next five years, according to the market research firm Modor Intelligence.

Washington’s call for action

During the COVID-19 pandemic, when trade essentially halted temporarily, there were concerns that the US did not have enough medications in its strategic reserve to handle a temporary halt. Both Republicans, such as Arkansas Senator Tom Cotton and Democrats, such as former President Joe Biden have long called for less reliance on China for pharmaceuticals as a result.

“When you have supply chains that are not well diversified or dependent on just particular channels, then that supply chain is fragile and there’s risk,” Lee said.

There have long been suggestions from prominent Chinese voices, including economist Li Daokui, that have called on leadership in Beijing to reduce antibiotic exports to the US as a tool in a trade war.

But experts agree that Trump’s rapid approach does not give companies time to prepare and thus is putting patients at risk.

The ASHP told the White House in a February letter that tariffs “should be applied selectively and dovetail with other incentives to increase domestic production and promote a stable supply chain”.

“You can’t do it in the 18 months that you’re trying to get it done, OK? And it’s not even exactly a four-year undertaking either,” Abrams added.

Some companies have said they will bring more pharmaceutical manufacturing jobs stateside. Swiss pharmaceutical giant Roche announced a $50bn investment in the US over the next five years, which will include funds to build research and development facilities and expand existing manufacturing operations.

Roche follows Novartis, which announced that it would invest $23bn over the next five years to expand its US infrastructure. That includes thousands of new jobs in seven facilities that will manufacture drugs and APIs.

But building and getting plants like these in production will not solve the immediate issue, according to ASHP.

“It is important to note that building new pharmaceutical manufacturing capacity will take several years. In the meantime, tariffs risk higher prices for those drugs that can pass increased costs to consumers, and shortages for generic drugs that can’t,” Kraus of ASHP continued.

The White House did not respond to Al Jazeera’s request for comment.

April 23 (UPI) — President Donald Trump on Wednesday signed an executive order that targets the college accreditation process, including encouraging competition in the process.

The accreditation process is linked to colleges and universities accessing federal money for student loans and Pell grants. The schools depend on grants besides tuition and for public schools’ state funding.

“University accreditation is currently a process controlled by a number of third-party organizations that’s by statute, by law, many of those third-party accreditors have relied on sort of woke ideology to accredit universities, instead of accrediting based on merit and performance,” Will Scharf, White House staff secretary, said.

Secretary of Education Linda McMahon was directed to “hold higher education accreditors accountable, including through denial, monitoring, suspension, or termination for poor performance or violations to the federal Civil Rights Act.”

Also, McMahon and Attorney General Pam Bondi were ordered to investigate and terminate unlawful discrimination by American higher education institutions, including law schools and medical schools.

The education secretary, whose agency Trump wants to dismantle, was present in the Oval Office for signings. His also signed an executive order to ensure the training of artificial intelligence in schools for the future workforce in the United States.

“There’s somebody today, very smart person, said that AI is the way to the future. I don’t know if that’s right or not, but certainly, very smart people are investing in it.”

Another order will be “enforcing the laws on the books with respect to foreign gifts to American universities.” In the order, the schools must make certain disclosures.

The accreditation order will allow colleges to switch accreditors easily and encourage more competition instead of the current lengthy process.

In 2019, Trump in his first term removed geographic restrictions on which accrediting schools could be used.

Florida Gov. Ron DeSantis, a Republican, sued the Biden administration over the college accreditation system in 2023. One year later, Judge Jacqueline Becerra, a Biden appointee, dismissed the suit.

“The State’s objection to the requirement that they comply with standards set by private agencies to receive federal dollars from its students simply fails to state a claim,” Becerra wrote.

The Southern Association of Colleges and Schools Commission on Colleges was Florida’s accreditor.

On Monday, Harvard sued the Trump administration after cutting off $2 billion in grants and contracts for refusing to agree to overnight and scrapping diversity, equity and inclusion.

President Trump says “everything’s active” on China trade talks. Speaking from the White House lawn, he vowed the US will strike “a fair deal with China,” but brushed off questions about whether he’s considering lowering tariffs.

Anger flared and nearly turned into physical confrontation at a town hall hosted by US Republican Senator Chuck Grassley. Crowd members argued over the deportation of Kilmar Abrego Garcia, who the Trump administration is trying to avoid bringing back despite a court order.

Veteran Singaporean diplomat Kishore Mahbubani argues that it’s “legitimate” for US President Donald Trump to be worrying about the widening gap between rich and poor in the United States, but his idea to force factory jobs back to the US is probably not going to work.

Mahbubani tells host Steve Clemons that China will be damaged by the current trade war with the US, but “the Chinese are prepared to accept short-term pain for long-term gain”.

The disarray in US policy is “a gift to China,” says Mahbubani. “I don’t see countries walking away from China.”

The greenback has depreciated against other major currencies since Donald Trump’s inauguration in January. Investors are worried that Trump’s tariffs could cause a recession in the United States, and they have rushed to the exit.

Is the president bothered? Trump appears to be of two minds when it comes to his nation’s currency.
He wants a dominant dollar because it gives the US geopolitical leverage.

But, he says, a weaker greenback spurs US manufacturing.

Some economists say the president could devalue the dollar. His team has backed the idea of a “Mar-a-Lago Accord” to weaken it.

BRICS countries are also decreasing their reliance on the dollar.

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Global markets reversed course following US President Donald Trump’s shift in tone on both China and Federal Reserve Chair Jerome Powell. Stocks rebounded, the US dollar strengthened, and gold prices retreated as investor sentiment improved.

Speaking at the White House on Tuesday, President Trump stated that tariffs on China would be reduced “substantially,” though “they won’t be zero”. His comments echoed earlier remarks by Treasury Secretary Scott Bessent, who said that high tariffs were not sustainable and that a de-escalation in the US–China trade war was expected.

In a separate Oval Office meeting, Trump told reporters that he had “no intention” of firing Fed Chair Jerome Powell. “I would like to see him be a little more active in terms of his idea to lower interest rates,” Trump said. “This is a perfect time to lower interest rates.” These comments marked a significant softening from his previous post on Truth Social, where he labelled Powell “Mr Too Late, a major loser”.

Trump’s remarks followed Monday’s sharp sell-off on Wall Street, a tumbling US dollar, and declines in US Treasuries as investors continued to flee American assets. Despite Tuesday’s rebound, analysts remained sceptical over whether the rally could be sustained.

“Nevertheless, participants understandably remain jittery, not only as the haven value of both Treasuries and the USD continues to be called into question, but also as a huge degree of trade uncertainty continues to linger,” wrote Michael Brown, senior research strategist at Pepperstone, in a note.

Stocks rally

US stock futures jumped following Trump’s comments, with the Dow up 1.13%, the S&P 500 rising 1.51%, and the Nasdaq Composite climbing 1.76%.

Equities across Asia also joined the broader rally on hopes of a de-escalation in the US–China trade war. As of 5:38 am CEST, Hong Kong’s Hang Seng Index was up 2.4%, Japan’s Nikkei 225 rose 1.91%, South Korea’s Kospi climbed 1.54%, and Australia’s ASX 200 rallied 1.41%.

US Dollar and government bonds rebound

In currency markets, the US dollar index surged by more than 1% to 99.25, recovering from a three-year low just above 98. Haven currencies such as the euro, Swiss franc, and Japanese yen weakened against the dollar. Notably, the EUR/USD pair fell below 1.14 during Wednesday’s Asian session, retreating from above 1.15 the previous day when the euro hit its highest level since November 2021.

US government bonds also staged a relief rally, particularly among long-dated Treasuries. Yields on the 10-year and 30-year Treasuries rose by 5 and 8 basis points, reaching 4.35% and 4.8%, respectively. Bond prices move inversely with yields. The interest rate-sensitive two-year Treasury yield increased by 6 basis points to 3.8%, as markets priced in a slower pace of rate cuts.

Gold retreats while Bitcoin surges

Gold prices fell sharply as haven demand eased. The precious metal may also have been overbought, prompting potential profit-taking by investors. Comex gold futures dropped from as high as $3,510 per ounce to $3,355 per ounce as of 6:07 am CEST. Spot gold also slumped by over 4% from Monday’s all-time high, falling to $3,343 per ounce.

By contrast, Bitcoin rallied, rising 6.25% in the past 24 hours to trade above $93,400 (€82,000) at 6:20 am CEST. The leading cryptocurrency has remained above $84,000 (€73,000) over the past week, showing notable resilience despite heavy selling in US technology stocks.

European markets set to rise

Futures markets point to a broadly higher open across Europe, buoyed by risk-on sentiment. The Euro Stoxx 50 rose 1.73%, Germany’s DAX jumped 2.49%, and the UK’s FTSE 100 gained 1.1%. Investors will closely monitor the upcoming manufacturing and services Purchasing Managers’ Indexes (PMIs), due later today.

Chinese leader’s remarks come amid renewed hopes of a trade deal between Washington and Beijing.

Chinese President Xi Jinping has warned that tariffs threaten the interests of all countries amid an ongoing de facto trade embargo between China and the United States.

During a meeting with Azerbaijan President Ilham Aliyev on Wednesday, Xi said trade wars “undermine the legitimate rights and interests of all countries, hurt the multilateral trading system and impact the world economic order”, the state-run news agency Xinhua said.

“Xi said that China is willing to work with Azerbaijan to safeguard the international system with the United Nations at its core and the international order based on international law, firmly protect respective legitimate rights and interests, and defend international fairness and justice,” Xinhua said.

Xi’s remarks come as trade between the world’s two largest economies is at an effective standstill following the imposition of punishing tariffs on each other’s exports.

US President Donald Trump’s administration has imposed a 145 percent tariff on most Chinese goods, with China slapping a 125 percent duty on US exports in response.

The trade war has raised fears of a global economic slowdown, with the International Monetary Fund on Tuesday revising its 2025 growth estimate from 3.3 percent to 2.8 percent.

Global stocks surged on Wednesday after comments by Trump and top administration officials raised hopes of a trade deal between Washington and Beijing.

In a speech to investors on Tuesday, US Treasury Secretary Scott  Bessent said a trade war with China was “unsustainable” and he expected the sides to reach a deal on trade at some point.

Following Bessent’s remarks, Trump acknowledged that the tariff on Chinese goods was “very high” and said the rate would “come down substantially” in time.

“It will not be anywhere near that number,” Trump said.

Russian President Vladimir Putin has discussed Iran’s nuclear programme with the visiting leader of Oman, Sultan Haitham bin Tariq Al Said, the Kremlin has said, as the diplomatic shuttling around the edges of Iran-US nuclear talks continues apace.

Oman has been mediating between Iran and the United States as US President Donald Trump seeks an agreement that would curb Iran’s nuclear programme, which Washington believes is aimed at developing a nuclear weapon – something that Iran denies.

“This topic was touched on … in the context of mediation efforts by Oman,” Kremlin spokesman Dmitry Peskov told reporters during a briefing at the Kremlin on Tuesday.

Kremlin foreign policy aide Yury Ushakov also said both sides “discussed the progress of negotiations between Iranian and American representatives”, according to remarks carried by Interfax.

“We will see what the result will be. We maintain close contact with our Iranian colleagues. Where we can, we help,” Ushakov was quoted as saying.

Trump has threatened to bomb Iran unless a deal is reached. Iran has said there can be no deal under threat of bombardment.

Russia signed a strategic partnership treaty with Iran in January and is also trying to improve relations with the Trump administration.

Moscow has a role in nuclear talks with Iran as a signatory to a previous landmark 2015 nuclear deal that Trump abandoned during his first term as US president in 2018 – a move that prompted Iran to breach its terms a year later.

Russia has warned that any US military action against Iran would be illegal.

In televised comments, Putin was shown telling the sultan that Russian energy companies were interested in developing relations with Oman.

Meanwhile, Putin announced plans to stage a summit with the Arab League group of states later this year as Moscow searches for new partners as it continues its three-year offensive on Ukraine.

Slapped with sweeping Western sanctions after sending troops into Ukraine, Russia has turned towards Asian, African and Arab countries for political and economic ties.

“We plan to hold a summit between Russia and Arab countries this year,” Putin told the Omani leader.

“Many of our friends in the Arab world support this idea,” he added, inviting Sultan Haitham bin Tariq Al Said to the summit, without specifying the date and location.

The visit comes days after Putin hosted Qatar’s Emir Sheikh Tamim bin Hamad Al Thani in Moscow for talks on Syria and the besieged and bombarded Gaza Strip. Doha is a key mediator between Israel and the Palestinian group Hamas.

The Gulf states are gaining ever-growing diplomatic influence as mediators in negotiations to resolve the world’s most pressing crises, which have claimed thousands of lives, such as the conflict in Ukraine and Israel’s genocidal war in Gaza.

A third round of negotiations between Tehran and Washington is scheduled to take place in Oman on Saturday.

Ahead of the visit, Iran’s Foreign Minister Abbas Araghchi is set to visit China on April 23 at the invitation of Beijing, the Chinese Foreign Ministry announced on Tuesday.

The two sides will discuss bilateral relations and international and regional hot-spot issues of common concern, ministry spokesperson Guo Jiakun told a regular press conference.

The visit is believed to have great significance for deepening political mutual trust between the two countries, Guo told reporters.

Araghchi previously visited China, which was a signatory to the since-abandoned 2015 agreement brokered by world powers that both reined in Tehran’s nuclear programme and provided it with substantial financial relief, in December.

During a trip to Moscow last week, Araghchi told state TV that Tehran always closely consults with its friends, Russia and China, over nuclear issues.

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Tesla reported a sharp year-on-year decline in first-quarter earnings, driven by a fall in deliveries, partly linked to CEO Elon Musk’s political involvement. Revenue and net income both came in well below analysts’ expectations, as factory retooling for new models and macroeconomic uncertainty dampened demand.

Despite the disappointing results, Tesla’s shares jumped more than 5% in after-hours trading, amid a broader rally in equity markets triggered by US President Donald Trump’s remarks that he had no intention of dismissing Federal Reserve Chair Jerome Powell. Nevertheless, Tesla’s shares remain down 34% year-to-date, making it the worst performer among the so-called Magnificent Seven tech stocks.

Tesla’s earnings fall sharply

In the first three months of the year, Tesla’s automotive revenue declined 20% year-on-year to $14 billion (€15.9 billion), while earnings per share dropped 40% to $0.27 (€0.31). Total revenue fell 9% from a year earlier to $19.3 billion (€21.9 billion). Meanwhile, revenue from energy generation and storage rose by 67%, achieving “a fourth sequential record for Powerwall deployments.”

In its earnings report, the company attributed the revenue decline to reduced vehicle deliveries, “in part due to the Model Y update across all four vehicle factories, reduced vehicle average selling price due to mix and sales incentives,” and negative foreign exchange impacts. However, growth in energy generation and storage services, along with increased regulatory credit revenue, helped to partially offset the drop.

Tesla delivered 336,681 vehicles in the first quarter, down 13% from a year earlier and marking the weakest quarter since 2022. It is worth noting that the first quarter is typically Tesla’s seasonally weakest.

While the energy segment continued its steady growth, supply constraints and tariffs are expected to impact battery production. “Megafactory Shanghai will be an important asset for meeting global energy storage demand during a time of uncertain cost structure in the US,” the company noted. CFO Vaibhav Taneja said on the earnings call that tariffs’ impact on the energy business is “outsized” because China supplies the majority of battery cells. US-made cells represent only a small proportion of the segment, while sourcing from non-China suppliers “will take time”.

Musk addresses political backlash

Tesla’s brand has come under pressure due to Musk’s political activity both domestically and internationally. Protests have taken place outside Tesla showrooms in the US, Europe, and Australia. Musk’s support for Germany’s far-right AfD party and his involvement in advising Trump on major federal job cuts have drawn widespread criticism.

On the earnings call, the CFO said “the negative impact of vandalism and unwarranted hostility towards our brand and people” in certain markets had weighed on deliveries. Musk claimed—without evidence—that the protestors were being paid: “because they’re receiving fraudulent money” or are “recipients of wasteful largesse”.

Musk confirmed that the time he spends on the Department of Government Efficiency (DOGE) would decrease “significantly” starting in May. He plans to spend “a day or two per week” on his government role, “for as long as the president would like me to do so”. At an event in Wisconsin earlier this month, he said his government service was “costing me a lot to be in this job.” He also reaffirmed support for “predictable tariff structures, free trade, and lower tariffs,” and claimed to have provided advice to the US president. However, he added, “I am not the president.”

Robotaxi and Optimus

Previously, Musk had stated that unsupervised Full Self-Driving (FSD) would launch in California and Texas by June. The service is also scheduled to debut in Austin and will feature the Model Y equipped with a “localised parameter set”. He now says Tesla’s Robotaxi service will be available in several cities later this year.

In addition, Musk noted that production of Tesla’s AI-powered humanoid robot, Optimus, has been impacted by magnet supply issues, which may lead to delays. China recently imposed restrictions on rare earth exports in retaliation for Trump’s tariffs as the US–China trade war escalates. Tesla had previously aimed to produce several thousand Optimus robots this year.

April 22 (UPI) — Paul Atkins, who was nominated by President Donald Trump in what some say was a nod to the crypto industry, was sworn in Tuesday to become the next chairman of the Securities and Exchange Commission.

Atkins was sworn in by Treasury Secretary Scott Bessent during an Oval Office ceremony at the White House, as he vowed to provide a “firm, regulatory foundation for digital assets.”

“At the helm of the SEC, I can confidently say it is a new day. It’s time for the SEC to end its waywardness and return to its core mission that Congress set for it: investor protection, fair, orderly and efficient markets and capital formation,” Atkins said.

“I will work to protect investors from fraud and keep politics out of our securities laws and regulations, and advance clear rules that encourage investment in our economy to the benefit of Americans,” he added.

Atkins will permanently replace the SEC’s former chair, Gary Gensler, after being confirmed by the Senate with a 52 to 44 vote earlier this month. Atkins had previously served as an SEC commissioner and ran a Washington consulting firm on compliance and policy. Atkins has also served on advisory roles with crypto firms, including Token Alliance.

Mark Uyeda, whom Trump named as acting chair on Jan. 20, will return to his former role as the SEC commissioner.

Securities and Exchange Commission member Hester Peirce, who is currently leading the agency’s crypto task force, said she has “very high regard” for Atkins’ “integrity.”

“He cares about economic growth and how the markets that we regulate can support economic growth,” Peirce told Cointelegraph. “I would love the chance to work with Atkins on trying to reorient the agency so that it does take into consideration all aspects of our mission.”

“I think we’re all trying to get to a good place, which is putting some clarity around crypto, some regulatory clarity,” Peirce added.

Since Trump took office, the SEC has dropped two key cases against cryptocurrency marketplaces. The SEC agreed to drop charges against Coinbase for allegedly illegally selling securities. Coinbase said the case “should never have been filed in the first place.” And Robinhood Cryptocurrency announced that the SEC was ending its investigation into the company over possible violations of securities law.

Trump says he is committed to making the United States the “crypto capital.” In a January executive order, Trump said he wants the United States to adopt digital assets and establish a government stockpile.

Atkins also vowed Tuesday to help the president advance his agenda “to bolster the economy and build on U.S. leadership of the global markets.”

“A top priority of my chairmanship will be to provide a firm, regulatory foundation for digital assets through a rational, coherent and principled approach,” Atkins said.

“We will work to ensure that the United States is the best and most secured place in the world to invest and to do business.”