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How tariffs work, and who pays them, as Trump’s levies take effect
President Trump speaks during an event with Apple CEO Tim Cook in the Oval Office of the White House on Aug. 6, 2025 in Washington, D.C. Win McNamee/Getty
By Washington Post
Sweeping and long-awaited tariffs took effect after midnight Thursday, raising import taxes on merchandise from dozens of countries as part of President Trump’s efforts to overhaul global trade.
The tariffs have changed numerous times since they were announced in April, as foreign leaders negotiate and try to secure exemptions.
So what are tariffs, and why are they so controversial?
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US Air Force to deny retirement pay to transgender service members being separated from the service — 3:47 p.m.
By the Associated Press
The US Air Force said it would deny all transgender service members who have served between 15 and 18 years the option to retire early and would instead separate them without retirement benefits.
The move means that transgender service members will now be faced with the choice of either taking a lump-sum separation payment offered to junior troops or be removed from the service.
An Air Force spokesperson told The Associated Press that “although service members with 15 to 18 years of honorable service were permitted to apply for an exception to policy, none of the exceptions to policy were approved.” About a dozen service members had been “prematurely notified” that they would be able to retire before that decision was reversed, according to the spokesperson who spoke on condition of anonymity to discuss internal Air Force policy.
All transgender members of the Air Force are being separated from the service under the Trump administration’s policies.
EPA cancels $7 billion Biden-era grant program to boost solar energy — 2:57 p.m.
By the Associated Press
The Environmental Protection Agency on Thursday terminated a $7 billion grant program that was intended to help pay for residential solar projects for more than 900,000 lower-income U.S. households.
It’s the latest Trump administration move hindering the nation’s shift to cleaner energy.
The funding, part of Democratic President Joe Biden’s Solar for All program, was awarded to 60 recipients including states, tribes and regions for investments such as rooftop solar and community solar gardens.
Solar, a renewable energy, is widely regarded as a way to introduce cleaner power onto the electrical grid and lower energy bills for American consumers.
Ralph Lauren warns that tariffs could squeeze its profit margin — 2:27 p.m.
By the Associated Press
Shares of Ralph Lauren fell more than 7% on Thursday as the maker of iconic polo shirts, sport coats and other luxury clothing said that tariff costs could hurt profit margins and that it’s monitoring shoppers’ reaction to higher prices.
“The big unknown sitting here today is the price sensitivity and how the consumer reacts to the broader pricing environment and how sensitive that consumer is,” Ralph Lauren’s CEO Patrice Louvet told analysts on Thursday. “That’s what we’re watching very closely as we head into the second half.”
The cautious comments came after the clothing maker posted strong sales in its fiscal first quarter — and upgraded its sales outlook. In May, the New York-based company had said that it would raise prices this fall because of tariffs.
UN chief welcomes all efforts to end the war in Ukraine that respect its territorial integrity — 1:50 p.m.
By the Associated Press
U.N. deputy spokesman Farhan Haq, asked for Secretary-General Antonio Guterres’ reaction to the announcement of a meeting between U.S. President Donald Trump and Russian President Vladimir Putin, said: “We’ll have to see what happens.”
“But clearly, we do welcome all efforts that are that are intended to bring about peace in Ukraine in line with the U.N. Charter, international law and the resolutions of the General Assembly and Security Council,” Haq said.
The U.N. Charter requires all 193 U.N. member states, including Russia and Ukraine, to refrain from using force against any other nation and to respect their sovereignty and territorial integrity. U.N. resolutions call for Russia, which invaded Ukraine in February 2022, to withdraw all its forces from the country.
Researchers laid off and science shelved as battle between Harvard and Trump administration continues — 1:47 p.m.
By the Associated Press
The loss of an estimated $2.6 billion in federal funding at Harvard has meant that some of the world’s most prominent scientists and academics are laying off young researchers.
They are shelving years or even decades of research, into everything from opioid addiction to cancer. The funding cuts are part of a monthslong battle that the Trump administration has waged against some the country’s top universities including Columbia, Brown and Northwestern.
The administration has taken a particularly aggressive stance against Harvard, freezing funding after the country’s oldest university rejected a series of government demands issued by a federal antisemitism task force.
And despite Harvard’s lawsuits against the administration, and settlement talks between the warring parties, researchers are confronting the fact that some of their work may never resume.
Harvard University professor Alberto Ascherio has collaborated with the U.S. government to collect blood samples taken from soldiers over the course of two decades for his groundbreaking research to identify the cause of multiple sclerosis and other neurodegenerative diseases. Now that work is on hold indefinitely.
“It’s like we have been creating a state-of-the-art telescope to explore the universe, and now we don’t have money to launch it,” said Ascherio. “We built everything and now we are ready to use it to make a new discovery that could impact millions of people in the world and then, ‘Poof. You’re being cut off.’”
United Nations chief calls US tariffs `disheartening news’ — 1:31 p.m.
By the Associated Press
Secretary-General Antonio Guterres believes all trade wars “are ruinous and need to be avoided,” UN deputy spokesman Farhan Haq said.
The secretary-general stresses to all governments that at a time of trade wars “measures need to be taken to protect the poorest and most vulnerable sectors of society who will certainly suffer as a result of the higher prices,” Haq said.
Brazil president and India prime minister call to discuss tariffs — 1:29 p.m.
By the Associated Press
Brazil’s President Luiz Inácio Lula da Silva spoke with Indian Prime Minister Narendra Modi on Thursday about unilateral US tariffs, according to a statement from Brazil’s presidency.
The call came as new tariffs imposed by Trump took effect. On Wednesday, Trump said he would be adding a 25 percent tariff on Indian imports tied to Russian oil starting in 21 days, raising the total to 50%. A similar rate was applied to Brazilian exports last week, which went into effect on Wednesday — though exemptions included aircraft parts, aluminum, tin and wood pulp.
Lula and Modi reaffirmed their goal to boost bilateral trade to more than $20 billion by 2030 and agreed to expand the MERCOSUR-India trade agreement. Lula confirmed plans to visit India in early 2026, with Vice President Geraldo Alckmin visiting in October.
How tariffs work, and who pays them, as Trump’s levies take effect — 1:24 p.m.
By Washington Post
Sweeping and long-awaited tariffs took effect after midnight Thursday, raising import taxes on merchandise from dozens of countries as part of President Trump’s efforts to overhaul global trade.
Full agreements have yet to be reached with the US’s three largest trading partners, Canada, China and Mexico; some Canadian imports have been subject to a 35 percent tariff since early August.
The tariffs have changed numerous times since they were announced in April, as foreign leaders negotiate and try to secure exemptions. Trump on Wednesday raised the tariff rate on India to 50 percent from 25 percent over the nation’s purchase of Russian oil. He also threatened to place a 100 percent tariff on imported computer chips unless companies commit to “building” in the United States.
Here’s what to know.
Americans will see an average tax of 18.6% for imported goods, Yale’s Budget Lab says — 1:02 p.m.
By the Associated Press
As Trump’s tariffs take effect, Americans will see an average tax of 18.6 percent for imported products, the highest rate since 1933, according to the Budget Lab at Yale, a non-partisan policy research center.
The Budget Lab estimated prices will increase 1.8 percent in the short term as a result of the trade war the US waged this year. That’s the equivalent of a $2,400 loss of income per US household, the group said.
The analysis, which is based on the effects of all US tariffs and foreign retaliation implemented in 2025 and through Wednesday, including the 50 percent tariff rate on India. The analysis assumes the Federal Reserve doesn’t react to tariffs and so the real income adjustment comes primarily through prices rather than nominal incomes. If the Federal Reserve reacted, the adjustment could in part come in the form of lower nominal incomes, the group said.
Vance to meet with foreign secretary during UK trip — 12:38 p.m.
By the Associated Press
On Friday, the White House says Vance will meet with UK Foreign Secretary David Lammy at Chevening House, a stately home in Kent, south of London.
The White House hasn’t detailed what’s on the agenda. But the meeting comes as the United Kingdom tries to come to favorable terms for steel and aluminum exports to the US, as the two sides work out details of a broader trade deal announced at the end of June.
Russia’s invasion of Ukraine and the Israel-Hamas war in Gaza are also likely to be on the agenda amid debates between Washington and London about the best way to end those conflicts.
Vice President JD Vance listens as President Trump speaks, Aug. 5, 2025, in Washington. Julia Demaree Nikhinson/Associated Press
The leaders of Armenia and Azerbaijan will meet at the White House on Friday — 12:17 p.m.
By the Associated Press
Trump is scheduled to meet Friday with Armenian Prime Minister Nikol Pashinyan and Azerbaijani President Ilham Aliyev, according to a US official who was not authorized to speak publicly and spoke on condition of anonymity.
The two nations have been working toward a peace treaty in their almost four decades of conflict and a possible peace deal is on the table, according to the official.
Armenia and Azerbaijan have been locked in a bitter conflict over territory since the early 1990s, when ethnic Armenian forces took control over the Karabakh province and nearby territories.
Senior FBI official who resisted Trump demands is ousted, AP sources say — 12:04 p.m.
By the Associated Press
A senior FBI official who served as acting director in the first weeks of the Trump administration and resisted demands to turn over the names of agents who participated in the Jan. 6, 2021, investigations is being forced out of the bureau, according to two people familiar with the matter who spoke to The Associated Press on Thursday.
The circumstances of Brian Driscoll’s ouster were not immediately clear, but his final day is Friday, said the people, who were not authorized to discuss the personnel move by name and spoke on the condition of anonymity.
Indiana Republicans mum on Vance redistricting talk — 12:00 p.m.
By the Associated Press
Indiana Governor Mike Braun told reporters that Republican leaders discussed a “wide array of topics” in a private meeting with JD Vance Thursday morning.
“We listened,” he said while walking through the statehouse, and confirmed redistricting was discussed, according to a video posted by a reporter with Fox 59 in Indianapolis.
Indiana House Speaker Todd Huston and Senate President Pro Tem Rodric Bray, both Republicans, declined to comment to reporters, and in a post on X, Braun’s office did not mention redistricting.
“It was great to meet with @VP Vance today. We discussed a number of issues, and I was pleased to highlight some of the great things happening in Indiana,” the post said.
Indiana Governor Mike Braun is joined by Health and Human Services Secretary Robert F. Kennedy, Jr, right, and Centers for Medicare and Medicaid Services Administrator Dr. Mehmet Oz during a news conference in Indianapolis, April 15, 2025.Michael Conroy/Associated Press
Alcohol trade groups ask for ‘toasts not tariffs’ — 11:55 a.m.
By the Associated Press
A coalition of 57 US associations and state guilds that represent businesses that make, import, distribute and sell alcohol, called the “Toasts not Tariffs Coalition” asked Trump to keep the trade in U.S. and European Union spirits and wines free of reciprocal tariffs.
The group estimates that Trump’s 15 percent tariff on US imports of EU wine and spirits could result in more than 25,000 American job losses and nearly $2 billion in lost sales.
“Many U.S. and EU spirits are recognized as ‘distinctive products’ and can only be made in their designated countries — Bourbon and Tennessee Whiskey in the U.S., and Cognac in France,” the group wrote. “Similarly, wine is linked to its place of origin through American Viticultural Areas, appellations of origin or geographical indications. Consequently, production of these products cannot simply be relocated to circumvent tariffs.”
Trump holding closed-door meeting as complaints about RFK Jr.’s mRNA vaccine announcement loom — 11:52 a.m.
By the Associated Press
Trump said he would discuss a controversial decision by his Health and Human Services Secretary to cancel $500 million worth of mRNA vaccine development research during a noon meeting on Wednesday.
A key Kennedy adviser, Dr. Robert Malone, is urging “Make America Healthy Again” supporters to use their social media channels to encourage Trump to uphold the cancellations.
But US Senator Bill Cassidy, R-La., among others, blasted Kennedy’s decision to end the vaccine research.
“It is unfortunate that the Secretary just canceled a half a billion worth of work, wasting the money which is already invested,” Cassidy wrote on X.
Secretary of Health and Human Service Robert F. Kennedy Jr. speaks during an event with President Trump at the White House in Washington, July 30, 2025.ERIC LEE/NYT
Poll shows waning Ukrainian support for continuing to fight — 11:37 a.m.
By the Associated Press
A new Gallup poll finds Ukrainians increasingly eager for a peace settlement. About seven in 10 Ukrainians surveyed in early July said negotiations should begin as soon as possible.
This enthusiasm for a negotiated deal is a sharp reversal from 2022, when Gallup found about three-quarters of Ukrainians wanted to fight until victory. Now only about one-quarter hold that view.
The findings were based on samples of 1,000 or more respondents ages 15 and older living in Ukraine. Some territories under entrenched Russian control, representing about 10 percent of the population, were excluded due to lack of access.
In Kyiv, opinions were divided on the usefulness of a Trump-Putin meeting without Zelensky. Some said Putin only wants to avoid US sanctions.
Trump to sign executive order on race in college admissions — 11:23 a.m.
By the Associated Press
Trump plans to sign an executive order Thursday requiring colleges to submit data to prove they do not consider race in admissions, according to a fact sheet shared by the White House ahead of the signing.
In 2023, the Supreme Court ruled against the use of affirmative action in admissions, but said colleges may still consider how race has shaped students’ lives if applicants share that information in their admissions essays.
The Trump administration is accusing colleges of using personal statements as “racial proxies.”
Ex-Biden aide Dunn says Biden was an effective president — 10:38 a.m.
By the Associated Press
A former top Biden official is telling congressional investigators that he made all key decisions and was “fully engaged and clear” and “active” while in office.
“His ability to probe, to find the weakness in an argument, and to make well-informed decisions, did not change during my time in the White House,” former senior adviser Anita Dunn will say in her opening remarks before the House Oversight Committee on Thursday. “The President made it clear that decisions rested with him, and White House staff brought issues to him for him to decide.”
The GOP-led committee is probing Biden’s cognitive fitness while president. Dunn’s testimony says she did not see White House staff making “key decisions or exercising the powers of the presidency” without Biden’s consent.
A crowd is protesting the vice president in Indianapolis — 10:28 a.m.
By the Associated Press
A crowd of people protested inside the Indiana statehouse in downtown Indianapolis Thursday morning ahead of Vice President JD Vance’s visit to discuss whether and how Republican leaders might increase the GOP’s 7-2 House advantage.
“I’m 75, and I never, never thought I had to worry about our democracy being taken apart from the inside,” said Linda Linn of Indianapolis, who held a cardboard sign warning the Indiana governor not to disenfranchise her. “I feel like we have to take action where we can.”
The only two Democrats in Indiana’s congressional delegation plan a news conference Thursday afternoon at the statehouse to speak out against mid cycle redistricting.
Senator John Cornyn says FBI has agreed to help find Texas lawmakers — 10:18 a.m.
By the Associated Press
Senator John Cornyn says the FBI has agreed to help state law enforcement find the Democratic legislators who left Texas to block a vote on new redistricting maps.
Cornyn’s statement did not say what kind of help the FBI agreed to provide. He had requested federal help on Tuesday.
Dozens of lawmakers left the state on Aug. 3 to deny Republicans the quorum they need to approve the maps. Some went to Illinois, New York and Massachusetts.
The Texas House issued civil warrants to detain and return them, but they’re not enforceable outside Texas. The Democrats also face mounting fines every day they remain absent, and threats from Republican Governor Greg Abbott and Attorney General Ken Paxton to try to have them removed from office.
FILE — Sen. John Cornyn (R-Texas) during a Senate Judiciary Committee hearing in the Dirksen Senate Office Building in Washington, June 18, 2025. ERIC LEE/NYT
Trump plans to sign order letting people have crypto, private equity in retirement accounts — 10:10 a.m.
By the Associated Press
The White House says the president will sign an order that could change the composition of 401(k) plans, letting them invest in cryptocurrencies, private equity funds, real estate and other digital assets previously seen as too risky for everyday Americans approaching retirement.
The order asks the Labor Department to examine and update its guidance and asks other agencies to determine whether regulatory changes are needed to allow such investments.
Crypto can be extremely volatile, while private equity, real estate investment trusts and certain digital assets have often been for more sophisticated investors without immediate liquidity needs. It’s unclear how adding such investments would affect management fees, which have been trending downward as more 401(k) holders invest in index funds.
Trump wants Census to ignore some people, despite the 14th Amendment — 9:56 a.m.
By the Associated Press
Trump’s Truth Social post directing the Census Bureau to stop counting people seen as living in the country illegally fits his pattern of trying to reshape basic measures of how US society is faring, whether they be monthly jobs figures or how congressional districts are drawn going into the 2026 midterm elections.
But there could be legal challenges to reshaping the census, which guides the distribution of $2.8 trillion in federal funds to the states for roads, health care and other programs.
The US Supreme Court effectively blocked Trump from adding a citizenship question to the 2020 census. The 14th Amendment says that “the whole number of persons in each state” should be counted for the numbers used for apportionment, the process of allocating congressional seats and Electoral College votes among the states based on population.
Ultra-processed foods make up a big portion of Americans’ diet, CDC finds — 9:56 a.m.
By the Associated Press
About 55 percent of Americans get more than half their calories from ultra-processed foods, those super-tasty, energy-dense foods typically full of sugar, salt and unhealthy fats, according to a new federal report.
Nutrition research has shown for years that ultra-processed foods make up a big chunk of the US diet, especially for kids and teens. For the first time, the US Centers for Disease Control and Prevention has confirmed those high levels of consumption, using dietary data collected from August 2021 to August 2023. For kids through age 18, it was nearly 62 percent.
Health Secretary Robert F. Kennedy Jr. blames chronic diseases on such foods, saying “we’re poisoning ourselves.” Many studies have correlated this diet with obesity, diabetes and heart disease, but they haven’t been able to prove they directly cause these chronic health problems.
FILE – Potato chips are displayed at a store in New York, March 25, 2021. Mark Lennihan/Associated Press
Indiana governor not yet on board with mid-decade redistricting in state — 9:49 a.m.
By the Associated Press
Republican Governor Mike Braun said in a television interview Thursday that he plans to discuss with Vice President JD Vance whether Indiana would redraw its congressional districts.
“I’m going to be listening to JD today and our two leaders of the legislature as well, and we’re going to have that discussion,” Braun said on Fox News.
Braun pointed to the Republican-led states of “Missouri, Ohio, Texas and maybe other states” that are looking to redistrict but said that “here, I think we’re going to look at it logically and do what makes sense.”
Trump expected to honor Purple Heart recipients at White House — 9:44 a.m.
By the Associated Press
A group that represents recipients of the military medals honoring service members wounded or killed during enemy action says representatives are at the White House Thursday for a “historic tribute event” being hosted by Trump.
The National Purple Heart Honor Mission says medal recipients from conflicts including the Korean War, Vietnam War and Operation Iraqi Freedom will be available for interviews following a late afternoon event with Trump.
The White House hasn’t publicly given specifics on the event, other than that Trump is giving a speech. National Purple Heart Day is marked annually on August 7.
Trump meeting with Putin would hinge on Putin agreeing to meet Zelensky — 9:39 a.m.
By the Associated Press
The US president is open to meeting with Putin as soon as next week but such a meeting would not happen if the Russian leader does not agree to meet with Zelensky, according to a White House official who was not authorized to speak publicly and spoke on condition of anonymity.
The official said no location for a Trump-Putin meeting had been determined Thursday morning, and the US still expects to impose secondary sanctions against Russia on Friday.
President Donald Trump and Vladimir Putin in 2018. BRENDAN SMIALOWSKI/AFP/Getty Images
Trump plans to sign order meant to stop banks from banning customers based on politics — 9:31 a.m.
By the Associated Press
The White House says Trump on Thursday will sign an order to ensure that federal agencies “do not promote activities and practices” that enable banks to restrict their services based on political and religious beliefs.
The president has said that JPMorganChase and Bank of America rejected his deposits and that his supporters have been denied banking services.
The order says that financial regulators will remove “reputational risk” as a criteria for assessing account holders and that cases of discrimination can be referred to the Justice Department, and that the Treasury Department will develop a strategy to prevent the debanking of people due to politics.
Analyst: Employers are reluctant to expand — or reduce — their payrolls — 9:30 a.m.
By the Associated Press
While layoffs remain low by historical standards, there has been noticeable deterioration in the labor market this year.
Last week, the government reported that US employers added just 73,000 jobs in July, well short of the 115,000 expected. Worse, revisions to the May and June jobs figures shaved a stunning 258,000 jobs off previous estimates and the unemployment rate ticked up to 4.2 percent from 4.1 percent.
“The ‘no hire/no fire’ theme in the labor market remains firmly intact,” analysts for Jeffries wrote in a note to clients.
Intel’s stock tumbles after Trump says its CEO must resign — 9:05 a.m.
By the Associated Press
Intel’s shares are tumbling before Thursday’s opening as traders react to a Trump social media post that said “The CEO of Intel is highly CONFLICTED and must resign, immediately.”
“There is no other solution to this problem. Thank you for your attention to this problem!” Trump posted.
The president reacted after Senator Tom Cotton sent a letter to Intel Chairman Frank Yeary expressing concern over CEO Lip-Bu Tan’s investments and ties to semiconductor firms that are reportedly linked to the Chinese Communist Party and the People’s Liberation Army.
Intel CEO Lip-Bu Tan.Annabelle Chih/Photographer: Annabelle Chih/Blo
A modest rise in filings for jobless benefits, despite tariffs uncertainty — 8:57 a.m.
By the Associated Press
Jobless claims for the week ending Aug. 2 rose by 7,000 to 226,000, the Labor Department reported Thursday, slightly more than the 219,000 new applications that economists had forecast.
The report is the first government labor market data release since Trump fired the head of the agency that tallies the monthly jobs numbers after a grim July jobs report that sent financial markets spiraling downward. It suggests employers are still retaining workers despite economic uncertainty related to US trade policy.
The four-week average of claims, which smooths out some of the week-to-week volatility, fell by 500 to 220,750. The total number of Americans collecting unemployment benefits for the previous week of July 26 jumped by 38,000 to 1.97 million, the highest level since November of 2021.
Zelensky says Ukraine — and Europe — must have seats at the table — 8:51 a.m.
By the Associated Press
A meeting between Putin and Trump on the war would be a departure from the Biden administration’s policy of “nothing about Ukraine without Ukraine” — a key demand from Kyiv.
Zelensky said he planned calls with European leaders Thursday to discuss the latest developments amid a flurry of diplomatic activity.
European countries must also be involved in finding a solution to the war on their own continent, he said on Telegram.
“Ukraine is not afraid of meetings and expects the same bold approach from the Russian side. It is time to end the war,” he added.
Vladimir Putin says he wants to meet directly with Trump next week — 8:47 a.m.
By the Associated Press
The Russian president said Thursday that the United Arab Emirates might serve them as a meeting site. He spoke on the eve of a White House deadline for Moscow to show progress toward ending the 3-year-old war in Ukraine.
Putin’s foreign affairs adviser Yuri Ushakov had earlier brushed aside the possibility of Ukraine President Volodymyr Zelenskyy joining the summit, something the White House had said Trump was ready to consider. Putin has spurned Zelensky’s previous offers of a meeting to clinch a breakthrough.
“We propose, first of all, to focus on preparing a bilateral meeting with Trump, and we consider it most important that this meeting be successful and productive,” Ushakov said, adding that US special envoy Steve Witkoff’s suggestion of a meeting including Ukraine’s leader “was not specifically discussed.”
Trump says he will change the Census counts to exclude immigrants in the US illegally — 7:41 a.m.
By the Associated Press
Trump posted on Truth Social that he has “instructed” the Commerce Department to change the way the Census Bureau operates.
The president says it will be based on “modern day facts and figures and, importantly, using the results and information gained from the Presidential Election of 2024,” an indication that he might try to inject his politics into survey work that measures everything from child poverty to business operations.
Trump stressed that as part of the changes, people in “our Country illegally” will be excluded from Census counts.
Tariff rate confusion in Japan — 7:26 a.m.
By the Associated Press
Japan’s Prime Minister Shigeru Ishiba told reporters that his country is asking the US government to immediately correct tariffs that are not consistent with their agreement that says no additional tariff is added to items whose tariffs exceed 15 percent, and that tariffs for other items will be capped at 15 percent.
Ishiba said Japan’s top tariff negotiator, Ryosei Akazawa, double-checked details of the agreement between Japan and the United States and that the negotiator is now asking the Americans to take immediate steps to correct discrepancies in the presidential order.
Ishiba’s comments come after conflicting messages from top officials.
Chief Cabinet Secretary Yoshimasa Hayashi said earlier there was no discrepancy between Japan and the U.S. about the understanding of the new tariff deal.
But later, the ruling Liberal Democratic Party’s policy affairs chief said the 15 percent tariff is added on top of existing rates.
South Africa’s leader says he spoke with Trump — 6:54 a.m.
By the Associated Press
South Africa’s leader said he spoke with US President Trump as some African nations hope they can still negotiate tariff rates that threaten to increase unemployment in countries already struggling with high rates of joblessness.
President Cyril Ramaphosa’s office said he and Trump spoke Wednesday ahead of steep 30 percent tariffs coming into effect on some South African exports to the US on Thursday.
The statement said the two leaders “undertook to continue with further engagements.”
South Africa has said it believes it can still negotiate with the US, even after Trump has been especially critical of the country.
The Trump administration said it has stopped aid and assistance to Africa’s most diverse economy over what it calls its anti-white and anti-American policies.
South African neighbors Botswana and Lesotho have also said they still hope to negotiate better tariff rates.
Lesotho, a tiny mountainous country, was threatened with a huge 50 percent tariff rate before it was reduced to 15 percent.
It says that is still high enough to threaten thousands of jobs and businesses in its crucial clothing sector, which makes and exports well-known brands like Levi’s and others to the American market.
South African President Cyril Ramaphosa.Leon Sadiki/Bloomberg
Swiss tech firms condemn ‘horror scenario’ — 6:50 a.m.
By the Associated Press
A leading association of tech companies in Switzerland is decrying a “horror scenario” from 39 percent US tariffs on Swiss goods that took effect Thursday, lamenting how a “strong commitment” from the Swiss government failed to get the Trump administration to back off.
The association, Swissmem, says tens of thousands of jobs in the wealthy Alpine country are at risk from such high tariffs and the knock-on effect could impact the tourism, healthcare and infrastructure sectors.
“If this horrendous tariff burden persists, the Swiss tech industry’s export business to the US will effectively be dead — especially given the significantly lower tariffs for competitors from the EU and Japan,” Swissmem said in a statement Thursday.
That alluded to 15 percent tariff rates that the US has set on goods from the European Union and Japan, which would put Swiss tech products at a price disadvantage in the United States.
Swissmem President Martin Hirzel called on the Swiss government to continue to reach out to the US administration, “because the winds in Washington can change at any time.”
Switzerland faces the highest tariffs of any developed country and is surpassed only by Laos, Myanmar and Syria, which are facing rates of 40-41 percent.
China’s exports and imports picked up in July, helped by the pause in Trump’s higher tariffs — 6:46 a.m.
By the Associated Press
China’s exports surged 7.2 percent in July from a year earlier while its imports grew at the fastest pace in a year, as businesses rushed to take advantage of a truce in President Trump’ s trade war with Beijing.
However, analysts said the improvement also reflected a low base for comparison in July 2024.
Exports to the United States sank nearly 22 percent year-on-year, while imports from America fell almost 19 percent. But exports to Africa and Southeast Asia surged at double-digit rates as Chinese businesses diverted sales to other markets.
Tariffs on Chinese goods are being considered separately from the new higher tariffs that took effect on Thursday for dozens of US trading partners.
Trucks loaded with container move through a container terminal port in Shanghai, China, Thursday, Aug. 7, 2025. Uncredited/Associated Press
South Korea braces for uncertainty despite deal with US — 5:23 a.m.
By the Associated Press
South Korea’s trade minister warned Thursday of continued trade uncertainty despite a last-minute tariff deal with the Trump administration, calling for swift support for vulnerable sectors and long-term efforts to diversify trade networks and enhance the competitiveness of key industries.
During a meeting with business leaders and trade experts, Hankoo Yeo said South Korea must reset its trade strategy to address the global rise in protectionism, which he called the “new normal,” as participants discussed follow-up measures to last week’s trade deal with the United States, his ministry said.
Under the deal, Washington agreed to cut its reciprocal tariff on South Korea to 15 percent from the initially proposed 25 percent and to apply the same reduced rate to South Korean cars, the country’s top export to the United States.
South Korea also agreed to purchase $100 billion in US energy resources and commit $350 billion to US investments, though the two countries have offered differing interpretations of how the investment fund would be structured and managed.
In a separate radio interview, Yeo insisted that South Korea’s major chipmakers—Samsung Electronics and SK Hynix—would be unaffected by the 100 percent tariffs that Trump has vowed to eventually impose on semiconductor imports.
Yeo said Washington, under the recent tariff deal, agreed to designate Seoul as one of its most favored trade partners, shielding it from such rates.
Vice President JD Vance to visit Indiana as Trump pressures GOP states to redistrict — 4:51 a.m.
By the Associated Press
Vice President JD Vance visits Indiana on Thursday to discuss redistricting with Republican leaders as President Trump ramps up pressure on GOP states to redraw congressional boundaries and give the party more winnable seats in the 2026 midterm elections.
Vance is scheduled to hold private meetings with Governor Mike Braun and others before attending a GOP fundraiser Thursday night in the solidly Republican state. Braun told reporters Tuesday he expects to discuss several matters with the vice president — including redistricting — but said no commitments have been made.
“It looks like it’s going to happen across many Republican states,” Braun said.
Trump to meet Putin in coming days, Kremlin says — 4:46 a.m.
By the Associated Press
The Kremlin said Thursday that a meeting in the coming days between Russian President Vladimir Putin and President Trump has been agreed on, as a new Gallup poll found that Ukrainians are increasingly eager for a settlement that ends the fight against Russia’s invasion.
Putin’s foreign affairs adviser Yuri Ushakov said the two sides are working on setting up a meeting, and that a venue for the meeting has been agreed on and will be announced later.
A meeting between Putin and Trump would be their first since Trump returned to office this year. It would be a significant milestone in the more than 3-year-old war, though there’s no promise such a meeting would lead to the end of the fighting, since Russia and Ukraine remain far apart on their demands.
Swiss officials meet to tackle high tariffs — 4:35 a.m.
By the Associated Press
The Swiss executive branch, the Federal Council, was expected to hold an extraordinary meeting Thursday afternoon after President Karin Keller-Sutter and other top Swiss officials returned from a hastily arranged trip to Washington, which initially appeared to produce few results, in a bid to avert steep 39 percent US tariffs on Swiss goods.
On her X account, Keller-Sutter posted photos of meetings with US Secretary of State Marco Rubio — with whom her team discussed tariffs and other issues — as well as with American and Swiss business leaders.
She made no reference to any deal to bring down the US tariffs on Swiss products, which are among the highest imposed on any country by the Trump administration.
New US tariffs cloud outlook for exporters in Asia and beyond — 3:33 a.m.
By the Associated Press
President Trump’s new tariff rates on US imports from dozens of countries took effect Thursday, the latest chapter in the saga of Trump’s reshaping of global trade. But many questions remain.
Trump has threatened tariffs of up to 200 percent on imports of pharmaceuticals and has ordered a 100 percent import tax on computer chips. Most U.S. imports of copper, steel, and aluminum are subject to a 50 percent tariff.
There’s still no agreement on what tariffs might apply to products shipped from China. India has no deal yet and faces a potential 50 percent tariff as Trump pressures it to stop buying oil from Russia.
A shipping terminal in the city of Chongqing, China.GILLES SABRIE/NYT
Tariffs to affect more than half of Indian exports to the US — 2:50 a.m.
By the Associated Press
Toyota’s profit plunged 37 percent in the April-June quarter, the company said Thursday, cutting its full year earnings forecasts largely because of President Trump’s tariffs.
The Japanese automaker said it based its report on the assumption that Trump’s tariffs on exports from Japan, including autos, would be 12.5 percent starting this month. As of now they stand at 15 percent.
Tariffs to affect more than half of Indian exports to the US — 2:41 a.m.
By the Associated Press
A top body of Indian exporters said Thursday the latest US tariffs will impact nearly 55 percent of the country’s outbound shipments to America and force exporters to lose their long-standing clients.
“Absorbing this sudden cost escalation is simply not viable. Margins are already thin,” S.C. Ralhan, president of the Federation of Indian Export Organisations, said in a statement.
The tariffs effectively impose a cost burden, placing Indian exporters at a competitive disadvantage with countries that have lesser import taxes, he added.
In 2024, the US ran a $45.8 billion trade deficit in goods with India, meaning America imported more from India than it exported, according to the US Census Bureau.
American consumers and businesses buy pharmaceutical drugs, precious stones, and textiles and apparel from India, among other goods.
How India ended up facing steep US tariffs despite its strategic partnership — 2:25 a.m.
By the Associated Press
President Trump has vowed additional 25 percent tariff on India for its purchases of Russian oil, bringing the combined tariffs imposed by the United States on its ally to 50 percent. India has called the additional tariffs “unfortunate.”
Trump’s Wednesday announcement came as India and the US are still negotiating a trade deal that has faced roadblocks after it was first announced when Indian Prime Minister Narendra Modi met Trump in Washington earlier this year.
It also comes at a time when ties between India and the US appear to have taken a hit even as Modi and Trump share a warm relationship.
Modi vows to defend farmers’ interests — 2:09 a.m.
By the Associated Press
Prime Minister Narendra Modi on Thursday said India will never compromise the interests of farmers.
“For us, the interests of farmers are a top priority. I know I will have to personally pay a heavy price for it, but I am ready,” Modi said at a conference in what was seen as a message to the US administration, which has been seeking greater access to India’s agriculture and dairy sectors.
India and the US have had five rounds of negotiations on a bilateral trade agreement, but haven’t been able to clinch one so far.
On Wednesday, Trump signed an executive order to place an additional 25 percent tariff on India for its purchases of Russian oil. The order would go into effect in 21 days and bring the combined tariffs imposed on India to 50 percent.
Sony raises its profit forecast after saying it expects less damage from Trump’s tariffs — 2:05 a.m.
By the Associated Press
Japanese entertainment and electronics company Sony said Thursday that its profit surged 23 percent in the last quarter from the year before, as damage from President Trump’s tariffs was less than it had expected.
The Tokyo-based manufacturer reported its April-June profit totaled 259 billion yen, or $1.8 billion, up from 210 billion yen. Quarterly sales edged up 2 percent to 2.6 trillion yen ($17.7 billion) as demand grew for games and network services, imaging solutions and sensors.
New US tariffs cloud outlook for exporters in Asia and beyond — 1:57 a.m.
By the Associated Press
Recent data shows uncertainty is clouding the outlook for exporters around the world as a rush to beat the tariffs during a pause for negotiation tapers off. Companies are reporting billions of dollars in higher costs or losses due to the higher import duties.
Global financial markets took Thursday’s tariff adjustments in stride, with Asian shares and US futures mostly higher.
Ontario premier says he doesn’t trust Trump and warns the US president could reopen trade pact — 12:33 a.m.
By the Associated Press
The leader of Canada’s most populous province said Wednesday he doesn’t trust President Trump and expects the president to soon reopen the free trade agreement he agreed to in his first term.
Ontario Premier Doug Ford said the federal government needs to prepare for that to happen this fall.
Ford made the comments after the country’s provincial premiers and Prime Minister Mark Carney met in private for the first time since Trump escalated his trade war by hitting Canada with a baseline 35 percent tariff last week.
Trump’s broad tariffs go into effect, just as economic pain is surfacing — 12:08 a.m.
By the Associated Press
President Trump was set to officially begin levying higher import taxes on dozens of countries Thursday, just as the economic fallout of his monthslong tariff threats has begun to create visible damage for the US economy.
The White House said that starting just after midnight that goods from more than 60 countries and the European Union would face tariff rates of 10 percent or higher. Products from the European Union, Japan, and South Korea will be taxed at 15 percent, while imports from Taiwan, Vietnam, and Bangladesh will be taxed at 20 percent. For places such as the EU, Japan, and South Korea, Trump also expects them to invest hundreds of billions of dollars in the US.
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