President Donald Trump stepped back—slightly. On Tuesday, he signed a new order softening his auto tariffs just days before fresh 25% duties were set to hit imported car parts.
The move offers temporary relief. U.S. carmakers will be able to claim credits worth up to 15% of the value of vehicles assembled domestically, using them to offset import costs. It’s a narrow path to stability in an industry still caught in a whirlwind.
The White House framed it as a measure of support. “We didn’t want to penalise them,” Trump said before heading to Michigan, home of the U.S. auto legacy. But behind the words lies a deeper tension—between protectionist ambition and economic disruption.
Auto firms had been lobbying hard. The tariffs threatened a production model that spans borders—integrating U.S., Mexican, and Canadian supply chains. General Motors, facing the uncertainty head-on, withdrew its annual forecast and delayed its investor call.
Others followed. UPS announced 20,000 job cuts. Electrolux and Kraft Heinz warned that chaotic trade policies are making long-term planning almost impossible. In total, more than 40 companies have adjusted their earnings guidance in just two weeks.
Markets, for now, responded with optimism. A vague signal from Commerce Secretary Howard Lutnick—claiming a deal with a foreign partner, pending local approval—helped lift stocks. The S&P 500 closed higher for a sixth straight session.
But the fundamentals are softening. U.S. GDP is expected to have grown by just 0.3% in the first quarter, dragged down by import surges and consumer stockpiling. Trump’s 90-day pause on broader tariffs has done little to calm broader fears.
His administration hopes to finalise 90 trade deals in the same 90 days. But for most businesses, the clock is ticking louder than the promises.
“Every single prediction has been proved wrong,” said Electrolux CEO Yannick Fierling. At this point, markets aren’t asking for precision—they’re asking for clarity.
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A pivotal trial that could shape the governance of artificial intelligence begins Tuesday in California, as Elon Musk and Sam Altman face off over OpenAI’s shift to a for-profit model.
Russia has significantly expanded its blacklist of European Union officials and figures banned from entering the country, in retaliation for Brussels’ newly approved 20th sanctions package against Moscow.
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President Donald Trump said on Sunday Iran could telephone if it wants to negotiate an end to their two-month war. Tehran said the U.S. should remove obstacles to a deal, including its blockade of Iran's ports. Meanwhile Iranian Foreign Minister Abbas Araghchi arrives in St Petersburg for talks.
Adidas shares rose after Kenya’s Sebastian Sawe delivered a historic performance at the London Marathon on Sunday (26 April), becoming the first athlete to run an official marathon in under two hours.
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British lawmakers on Tuesday voted against launching an inquiry into whether Prime Minister Keir Starmer misled Parliament over his decision to appoint Peter Mandelson as ambassador to the U.S.
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Former close aide to Keir Starmer admitted on Tuesday he was “wrong” to back the appointment of Peter Mandelson as ambassador to the U.S., amid mounting political pressure.
Russia has significantly expanded its blacklist of European Union officials and figures banned from entering the country, in retaliation for Brussels’ newly approved 20th sanctions package against Moscow.
China is moving to make it easier and cheaper for people to have children, with lawmakers reviewing plans to expand maternity insurance coverage nationwide.
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