Live updates – Trump defends Musk as Doge faces mounting criticism – BBC.com
President Donald Trump says he will impose a 25% import tax on all steel and aluminium entering the USThe president also says he’s planning to impose “reciprocal tariffs” on countries currently taxing US imports – but did not specify which nations would be targeted, or if there would be any exemptionsKey allies like Canada and the UK are nervously waiting for further details from the Trump administrationMeanwhile, Trump said on Sunday that Palestinians would have no right of return to Gaza under his takeover plan, almost a week after first suggesting the US should “own” the territoryUnder the plans, Palestinians “wouldn’t” have the right to return to the land, he tells Fox NewsSecretary of State Marco Rubio is meeting Egypt’s foreign minister in Washington DC today – Egypt is one of several countries to reject Trump’s Gaza planThis video can not be playedAny steel coming into the US will have a 25% tariff – TrumpEdited by Caitlin Wilson in Washington DC and Brandon Livesay in New YorkSimon AtkinsonAustralia producer, BBC NewsA photo from 2018 showing Malcom Turnbull and Donald TrumpAs Prime Minister during Donald Trump’s first spell in the White House, Malcolm Turnbull was able to convince the president to give Australia an exemption from aluminium and steel tariffs in 2017.But as the current PM Anthony Albanese prepares for an imminent phone call with President Trump to ask for the same, Turnbull says there’s a decent chance a similar deal just won’t be possible this time. “He (Trump) believes if a country has a … trade deficit, it’s a loser. If it has a trade surplus, it’s a winner,” he told the Australia Broadcasting Corporation’s 7.30 programme.”It’s economic nonsense, obviously, but he’s believed it for decades — and he’s now surrounded by people who will support him.”He urged Albanese to be strong, “use all of his advocacy skills… and defend the Australian national interest”, calling President Trump a “bully”.Australia’s steel and iron exports to the United States were worth $237m (£191m) in 2023 according to Trading Economics.Under an existing free trade deal, 96.1% of Australian exports to the US are currently tariff free according to stats from Canberra, but Turnbull says Australia can’t rely on that relationship.”After you see what he did with Canada and Mexico… Trump basically is saying ‘might is right.'”Bernd Debusmann JrReporting from the White HouseTrump’s planned executive order signings today have been delayed until later this afternoon, the BBC understands.According to the public schedule released by the White House earlier today, the Oval Office event was originally slated to take place at 13:00 EST (18:00 GMT). The reasons for the delay are unclear. Among the executive orders Trump is expected to sign is one mandating the end to an effort to replace plastic straws with eco-friendly paper straws in the US government. Ritika GuptaNorth America business correspondent, reporting from New YorkIn 2018, the first Trump administration imposed a 10% duty on imported aluminium and 25% on steel. The purpose was to support domestic production and make the industries more self-reliant.However in 2024, the output of the US steel industry was 1% lower than in 2017, before the first round of tariffs by Trump. While the aluminium industry produced almost 10% less.Other factors, including rising labour and energy costs, contributed to the slowdown.While the new tariffs may increase production, there are implications for the broader economy. The US relies on imports to meet the large demand for these metals, which are used in everything from construction to packaging.Analysts say that US steel mills, which currently run under capacity, will need to ramp up production to compensate for fewer imports.While tariffs can support domestic producers, the risk is they will ultimately be inflationary and hurt American consumers.Theo LeggettBBC International Business CorrespondentThe US is a key market for the UK steel industry. It
accounts for about 10% of exports overall, but for some suppliers of speciality
products it is much more important than that, making up a large proportion of
their overall business.When President Trump imposed 25% tariffs on steel imports
during his first presidency, in 2018, it was described as a “hammer blow” by
the industry association UK Steel. Exports to the US did fall sharply, from
nearly 310,000 tonnes in 2017 to just 153,000 by 2020.In 2022, the Biden administration introduced an olive
branch, creating a tariff free quota for the UK of 500,000 tonnes. This did
provoke a short-term improvement. However, UK Steel says other factors, notably
the energy crisis that followed Russia’s invasion of Ukraine stifled the
recovery.The UK industry has had to cope with high energy
costs, which have made its products more expensive and less competitive
globally.If Trump were to abolish the current quotas, it would
certainly be a blow to the industry. But for a number of years, US firms have
also been allowed to import specialist steel products that are not available in
the US tariff-free, outside of the quota system.If these exemptions were to be removed as well, it would
have a very serious impact on specialist firms in the UK that have previously
benefitted from them.Another worry for the UK industry is how US tariffs would
affect the global steel market as a whole. If exporters from China
and East Asia were to find the US market unprofitable, they would look for
other places to sell products.This could lead to the UK market being swamped with cheap
steel imports, making life even more difficult for local producers. We expect Donald Trump to sign executive orders shortly at the White House. But we’re now hearing steel and aluminium tariffs may not be included in this latest batch.It’s unclear what executive orders the president is about to sign, or whether he will sign more orders later today that address tariffs on the metals. Stick with us for the latest. The acting director of the Consumer Financial Protection Bureau (CFPB) has told the agencies’ workers not to come into the office or perform any work without permission. Russell Vought has moved quickly in seeking to halt the majority of the agency’s work – he was only appointed to the role on Friday. The CFPB was set up in the wake of the 2007- 2008 financial crisis, with the stated aim of protecting consumers. It was spearheaded in part by the work of Democratic Senator Elizabeth Warren. The White House released a statement on Monday describing the bureau as “another woke, weaponized arm of the bureaucracy”. They also pinned blame on Warren, calling the agency her “brainchild”. “President Trump campaigned on lowering costs. But he’s letting billionaire Elon Musk and Project 2025 Architect Russ Vought kill the Consumer Financial Protection Bureau,” the Massachusetts senator wrote on X. “If they succeed, CEOs on Wall Street will once again be free to cheat you out of your savings.”As we’ve been reporting, Trump has announced plans to impose 25% tariffs on all steel and aluminium imports, and he’s expected to sign an executive order to that effect later today. Earlier we talked you through which countries supply the most steel to the US – now we’re going to take a closer look at aluminium imports. Of all the countries that supply aluminium to the US, Canada delivers by far the most – around ten times the country in second place, the United Arab Emirates (UAE), according to figures from the US Department of Commerce. And because Canada supplies more than half the US’s aluminium imports, it is also the country that will be hit hardest by a 25% tariff.We’re hearing now that Mexico found out about Trump’s anticipated announcement on steel tariffs via the media yesterday. A little earlier, the European Union said they hadn’t received any official notification of new tariffs – you can read about that in our previous post. As a reminder, it was only last week that Trump and Mexican President Claudia Sheinbaum reached an agreement whereby 25% tariffs on imports from the country would be paused for 30 days. Both then and now, Sheinbaum has insisted the country will act with a “cool head”.This video can not be played‘We found out through the media’ – Mexico’s president on latest tariff threatsBernd Debusmann JrReporting from the White HouseLast week, Donald Trump touched upon another steel issue that his administration is dealing with: the $14.9bn (£12bn) bid by Japan’s Nippon Steel to acquire US Steel. The deal – previously blocked by President Joe Biden on national security grounds – would create one of the largest steel companies in the world. Trump – who mistakenly referred to the firm as “Nissan”, like the car company – said that it would drop the bid, and would instead “invest heavily” in the company without taking a majority stake.Neither company has commented on the deal and no further details were provided. Trump said he would meet with the head of Nippon Steel to “mediate and arbitrate” the deal.The announcement came as Trump met with Japanese Prime Minister Shigeru Ishiba. Asked about the possibility of US tariffs – and counter-tariffs – Ishiba declined to provide details.”I am unable to respond to a theoretical question,” he said, eliciting laughs from Trump and journalists in the room. “That’s the official answer we have.”Privately, Japanese officials told reporters that they would analyse the potential of new US policies – including on the steel industry – before determining a course of action. By Ben ChuStudies of the tariffs that
President Trump imposed in his first term as president suggest that much of the
economic burden was ultimately borne by US consumers, external.A survey by the University of Chicago, external in September 2024 asked a group of economists whether they
agreed with the statement that “imposing tariffs results in a substantial
portion of the tariffs being borne by consumers of the country that enacts the
tariffs, through price increases”. Only 2% disagreed.For example, Trump imposed a
50% tariff on imports of washing machines in 2018 and researchers estimate thevalue of washing machines jumped, external by around 12% as a direct consequence,
equivalent to $86 (£69) per unit.That meant US consumers
paid around $1.5bn extra a year in total for these products.According to his public schedule, Donald Trump will be signing executive orders in the Oval Office from 13:00 ET (18:00 GMT). As we’ve reported, at least one of these orders is likely to be an imposition of tariffs on steel and aluminium imports coming into the United States.Executive orders are written missives issued by the president which do not require congressional approval. Orders range from dramatic reverses of policy, like Trump’s approval for the construction of two bitterly contested oil pipelines in 2017, to ordinary business – such as Barack Obama’s instructions on half-day closing for government departments, external.Ritika GuptaNorth America Business CorrespondentStocks in the US and Europe are trading higher on Monday, as traders appear to shake off the latest US tariff threat from President Donald Trump. Tech shares, the most influential equity group, are leading the gains. Meanwhile, steel and aluminium stocks are bouncing higher, with US steel Nucor, Cleveland-Cliffs and Alcoa among the gainers. This comes after Trump announced plans to impose 25% tariffs on all steel and aluminium imports.While you might think this news would send stocks falling – Wall Street is taking it in stride, so far. It’s still uncertain whether Trump will follow through on these threats, as we saw with Canada and Mexico, whereby he announced, then paused tariffs, while proceeding with a 10% levy on all shipments from China.Bernd Debusmann JrReporting from the White HouseWhile we know that President Trump is expected to sign executive orders at about 1300 EST (1800 GMT), the White House has so far not provided me any specific details into what those could be – though I approached them to see if they could shed any light on the topics.Many observers will be watching to see whether those executive orders involve his highly publicised promise to introduce 25% tariffs on steel and aluminium imports, a decision that would send shockwaves throughout the global economy.The BBC’s US partner, CBS News, reports an executive order to that effect is expected to be signed at the session, along with another aimed at reversing a Biden administration measure to reduce the federal government’s use of plastic straws.This video can not be playedMarco Rubio meets with Egyptian Foreign Minister Badr AbdelattyWith President Donald Trump focused on tariffs ahead of an anticipated announcement later today, his secretary of state, Marco Rubio, is set to meet Egyptian Foreign Minister Badr Abdelatty in Washington shortly.Today’s meeting comes against the backdrop of the president’s continued messaging over how to rebuild Gaza. On Sunday, Trump told reporters on Air Force One that he is “committed to buying and owning” the Gaza Strip and relocating Palestinians who are living there. It follows his previous comments in which he described Gaza as a “demolition site” – saying the people should be moved, temporarily or long-term. The idea of displacing Palestinians has subsequently been rejected by several countries, including Egypt. Rubio and Abdelatty have already spoken since Rubio started in his new position a few weeks ago. A release issued by a spokesperson for the US Department of State referenced a call last month in which the secretary and foreign minister “affirmed the importance of the US-Egypt strategic partnership for promoting regional peace, security, and stability”.While in Washington DC, Abdelatty has already met with Democratic Senator Chris Van Hollen “promoting Egypt-US bilateral relations, developments in Gaza and strengthening regional stability”, according to a spokesperson for the Egyptian foreign ministry. Meanwhile, Hamas has said today it is suspending the release of Israeli hostages.Speaking to reporters on Air Force One on Sunday, Trump repeated his plan to take over Gaza.”I’m committed to buying and owning Gaza. As far as US rebuilding it, we may give it to other states in the Middle East to build sections of it,” he said, while travelling to the Super Bowl. Trump added that he thinks “it’s a big mistake to allow people, the Palestinians… to go back another time”.”It’s a demolition site. It’ll be reclaimed. It’ll be levelled out, fixed up. There won’t be anybody there,” Trump said, adding that they will build “beautiful sites” on the land. “People can come from all over the world and live there, but we’re going to take care of the Palestinians.”As we’ve reported already today, his claims on taking over the region drew widespread criticism last week, and rejection from Palestinians in Gaza. The White House later said any resettlement of residents would be temporary.Bernd Debusmann JrReporting from the White HouseGood morning from the White House, where things are currently quiet after a flurry of activity over the weekend.The pace of events will surely heat up later this week, though, when US President Donald Trump meets Jordan’s King Abdullah against the backdrop of Trump suggesting the US could “take over” Gaza – a move Jordan’s monarch has rejected. Trump has explicitly said that he believes Jordan could play a role housing Gazans, and suggested that US aid could be used to negotiate a “deal”. Later in the week, he’s also scheduled to meet Indian Prime Minister Narendra Modi, with whom he has had warm relations in the past. The return of undocumented Indian immigrants in the US and a push for a narrower trade deficit between the two are likely to form significant parts of their discussions. This video can not be playedWatch: What President Trump has said about GazaDonald Trump has said he is “committed to buying and owning” the Gaza Strip and relocating the two million Palestinians who live there – but how does he see this playing out?Moving away from tariffs momentarily, Fox News has shared another clip from its sit down interview with US President Donald Trump, which has been teased since yesterday. The latest snippet shows the president discussing his plans for Gaza, announced last week during a televised meeting with Israeli Prime Minister Benjamin Netanyahu, which he said would include the removal of the territory’s entire civilian population and the development of what he called “The Riviera of the Middle East”.Under the plans, Palestinians “wouldn’t” have the right to return to the territory, Trump tells Fox’s Bret Baier in the newly-released clip. He also says Palestinians will have better housing built for them “a little bit away from where they are” – but doesn’t specify where he means.Trump’s proposal, which would be a crime under international law, has been almost universally rejected, including by Arab states. The Saudi foreign ministry has said it won’t accept “any infringement on the Palestinians’ unalienable rights”, while Egypt has also rejected the idea. Palestinians have been pictured, in their thousands, returning home to northern Gaza since the Israel-Hamas ceasefire took effect last monthHarry FarleyPolitical correspondentThe UK government has made “extensive preparations” to be ready “for all situations”, the prime minister’s spokesperson says when asked about possible US tariffs on steel and aluminium. “We’re always working to put the interest of UK businesses, consumers and the economy first,” he tells reporters, adding: “But I’m not going to get ahead of proposals that we haven’t seen the detail of yet.”He also isn’t drawn on whether the UK would retaliate with its own tariffs. The US accounted for 5% of UK steel exports in 2023 and 6% of aluminium exports, the spokesperson says, and ministers are committed to supporting the British steel industry. “I haven’t seen any detailed proposals following the reporting overnight, but we will obviously engage as appropriate,” he adds. Lord Mandelson is still awaiting formal recognition as the UK’s ambassador to Washington, No 10 indicates, but is able to work as the head of the British mission in the US. We’ve been mentioning the impacts that new tariffs on steel and aluminium could have on key trading partners for the US – if President Donald Trump imposes them – but which countries are the US’s biggest trade partners for steel?America’s neighbouring countries, Canada and Mexico, are two of the US’s biggest steel trading partners, and Canada is the biggest supplier of aluminium.If the tariffs do come into effect, they will greatly impact steelmakers in countries that trade with the US.Canada, Brazil and Mexico were the US’s top three steel trading partners last year, followed by South Korea, Vietnam and Japan.Copyright © 2025 BBC. The BBC is not responsible for the content of external sites. Read about our approach to external linking.
