
Sovereignty Is Having a Moment
That was not previously a detail that required much clarification. Then President Trump arrived. He has made repeated demands of Mexico, Canada, Brazil and other nations, including about whom they can trade with, whom they can investigate and how they secure themselves. He has tried to use tariffs, trade investigations and threats of force to make them obey.
As a result, sovereignty is having a moment.
Pushing back
Trump made his name bossing others around. It was the entire concept of 'The Apprentice.' His governing style takes the same shape: He expects deference.
In his second term, he has proved even more willing to push America's neighbors — and those nations have not taken it well.
Mexico: Trump has flayed its handling of immigration, drugs and trade. President Claudia Sheinbaum has in turn stressed that Mexico is a sovereign nation at least 30 times during her daily news conferences this year. 'Mexico is not subordinate to anyone,' she said last month.
Canada: After Trump said his northern neighbor should become the 51st state, Mark Carney won Canada's election for prime minister in a landslide by promising to defend his nation from Trump's 'threats to our sovereignty.'
Want all of The Times? Subscribe.
Hashtags

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
26 minutes ago
- Yahoo
Analysis-Trump may look like he's winning the trade war, but hurdles remain
By Andrea Shalal WASHINGTON (Reuters) -At a glance, U.S. President Donald Trump appears to be winning the trade war he unleashed after returning to the White House in January, bending major trading partners to his will, imposing double-digit tariff rates on nearly all imports, narrowing the trade deficit, and raking in tens of billions of dollars a month in much-needed cash for federal government coffers. Significant hurdles remain, however, including whether U.S. trading partners will make good on investment and goods-purchase commitments, how much tariffs will drive up inflation or stymie demand and growth, and whether the courts allow many of his ad-hoc levies to stand. On inauguration day, the effective U.S. tariff rate was about 2.5%. It has since jumped to somewhere between 17% and 19%, according to a range of estimates. The Atlantic Council estimates it will edge closer to 20%, the highest in a century, with higher duties taking effect on Thursday. Trading partners have largely refrained from retaliatory tariffs, sparing the global economy from a more painful tit-for-tat trade war. Data on Tuesday showed a 16% narrowing of the U.S. trade deficit in June, while the U.S. trade gap with China shrank to its smallest in more than 21 years. American consumers have shown themselves to be more resilient than expected, but some recent data indicate the tariffs are already affecting jobs, growth and inflation. "The question is, what does winning mean?" said Josh Lipsky, who heads economic studies at the Atlantic Council. "He's raising tariffs on the rest of the world and avoiding a retaliatory trade war far easier than even he anticipated, but the bigger question is what effect does that have on the U.S. economy." Michael Strain, head of economic policy studies at the conservative American Enterprise Institute, said Trump's geopolitical victories could prove hollow. "In a geopolitical sense, Trump's obviously getting tons of concessions from other countries, but in an economic sense, he's not winning the trade war," he said. "What we're seeing is that he is more willing to inflict economic harm on Americans than other countries are willing to inflict on their nations. And I think of that as losing." Kelly Ann Shaw, a White House trade adviser during Trump's first term who is now a partner at Akin Gump Strauss Hauer & Feld, said a still-strong economy and near-record-high stock prices "support a more aggressive tariff strategy." But Trump's tariffs, tax cuts, deregulation and policies to boost energy production would take time to play out. "I think history will judge these policies, but he is the first president in my lifetime to make major changes to the global trading system," she added. DEALS SO FAR Trump has concluded eight framework agreements with the European Union, Japan, Britain, South Korea, Vietnam, Indonesia, Pakistan and the Philippines that impose tariffs on their goods ranging from 10% to 20%. That's well short of the "90 deals in 90 days" administration officials had touted in April, but they account for some 40% of U.S. trade flows. Adding in China, currently saddled with a 30% levy on its goods but likely to win another reprieve from even higher tariffs before an August 12 deadline, would raise that to nearly 54%. Deals aside, many of Trump's tariff actions have been mercurial. On Wednesday he ratcheted up pressure on India, doubling new tariffs on goods from there to 50% from 25% because of its imports of oil from Russia. The same rate is in store for goods from Brazil, after Trump complained about its prosecution of former leader Jair Bolsonaro, a Trump ally. And Switzerland, which Trump had previously praised, is facing 39% tariffs after a conversation between its leader and Trump derailed a deal. Ryan Majerus, a trade lawyer who worked in both the first Trump administration and the Biden government, said what's been announced so far fails to address "longstanding, politically entrenched trade issues" that have bothered U.S. policymakers for decades, and getting there would likely take "months, if not years." He also noted they lack specific enforcement mechanisms for the big investments announced, including $550 billion for Japan and $600 billion for the EU. PROMISES AND RISKS Critics lit into European Commission President Ursula von der Leyen after she agreed to a 15% tariff during a surprise meeting with Trump during his trip to Scotland last month, while gaining little in return. The deal frustrated winemakers and farmers, who had sought a zero-for-zero tariff. Francois-Xavier Huard, head of France's FNIL national dairy sector federation, said 15% was better than the threatened 30%, but would still cost dairy farmers millions of euros. European experts say von der Leyen's move did avert higher tariffs, calmed tensions with Trump, averting potentially higher duties on semiconductors, pharmaceuticals and cars, while making largely symbolic pledges to buy $750 billion of U.S. strategic goods and invest over $600 billion. Meeting those pledges will fall to individual EU members and companies, and cannot be mandated by Brussels, trade experts and analysts note. U.S. officials insist Trump can re-impose higher tariffs if he believes the EU, Japan or others are not honoring their commitments. But it remains unclear how that would be policed. And history offers a caution. China, with its state-run economy, never met its modest purchase agreements under Trump's Phase 1 U.S.-China trade deal. Holding it to account proved difficult for the subsequent Biden administration. "All of it is untested. The EU, Japan and South Korea are going to have to figure out how to operationalize this," Shaw said. "It's not just government purchases. It's getting the private sector motivated to either make investments or back loans, or to purchase certain commodities." And lastly, the main premise for the tariffs Trump has imposed unilaterally faces legal challenges. His legal team met with stiff questioning during appellate court oral arguments over his novel use of the 1977 International Emergency Economic Powers Act, historically used for sanctioning enemies or freezing their assets, to justify his tariffs. A ruling could come any time and regardless of the outcome seems destined to be settled ultimately by the Supreme Court. Sign in to access your portfolio
Yahoo
26 minutes ago
- Yahoo
US stock futures higher as Trump threatens semiconductor tax
U.S. stock futures are higher after President Donald Trump said semiconductors would face a 100% tax unless the companies "are building in the United States." The carveout was a relief for companies like Apple that invest in the United States. Apple just said it plans to spend an additional $100 billion on U.S. companies and suppliers over the next four years, in addition a $500 billion investment announced in February. Taiwan said TSMC is exempted from the tax, and South Korea said chips from Samsung Electronics and SK Hynix won't be subject to the 100% tariff either. The comments come on the heels of an earlier announcement of an additional 25% tax on India to bring the total levy to 50%. Trump said the additional tariff is because India continues to buy Russian oil. Other countries are racing to strike a deal with Trump with the Aug 7 deadline here. Nations without a deal face new tariffs. At 6 a.m., futures tied to the blue-chip Dow rose 0.48%, while broad S&P 500 futures added 0.69% and tech-heavy Nasdaq futures gained 0.70%. Investors are also eyeing corporate earnings, which have been mostly positive. About 80% of reports are beating analysts' earnings expectations, above the 76% average of the last four quarters, according to data provider LSEG. Data also showed earnings growth for the quarter is estimated at 12.1%, up from 5.8% at the beginning of July. Corporate news DoorDash's second-quarter results topped analysts' estimates. MetLife's second-quarter results fell on less favorable underwriting and lower investment margins. Duolingo reported better-than-expected second-quarter results and guided third-quarter sales above Street views. Airbnb beat second-quarter forecasts and issued third-quarter sales guidance that straddled analysts' estimates. It also revealed margin pressures. Corning inked an expanded partnership with Apple said it would expand its partnership with the company as part of its plans to increase manufacturing in the United States. DraftKings said it expects full-year sales at the top end of its guidance. United Airlines encountered a technical issue that grounded hundreds of flights and caused massive delays. Ride-share company Lyft reported revenues just shy of forecasts. Cryptocurrency Actelis Networks said its board approved a cryptocurrency treasury strategy to help it diversify its balance sheet. Medora Lee is a money, markets, and personal finance reporter at USA TODAY. You can reach her at mjlee@ and subscribe to our free Daily Money newsletter for personal finance tips and business news every Monday through Friday morning. This article originally appeared on USA TODAY: US stock futures higher as Trump threatens semiconductor tax Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data


San Francisco Chronicle
27 minutes ago
- San Francisco Chronicle
Independent candidate for Michigan governor is betting on partisan fatigue in the midterms
DETROIT (AP) — Detroit Mayor Mike Duggan spent his political career as a Democrat, leading Michigan's largest Democratic stronghold. But now, he's become a target of his former party, whose leaders are furious about his decision to run for Michigan governor next year as an independent. Detroit is a power base for Democrats in the battleground state, and some fear Duggan will draw support from their nominee and potentially help the Republican candidate. Democrats have launched attacks against Duggan, accusing him of being bankrolled by allies of President Donald Trump. But Duggan — who is soon leaving the office he has held since 2014 — says voters of all leanings are tired of partisan fighting. 'It doesn't actually matter where I go in the state,' Duggan said. 'People are angry that their problems are not getting solved because the two parties are so consumed with fighting with each other.' Duggan had been a major Democratic figure in Michigan with a close working relationship with former President Joe Biden. While there is precedent for independent governors in the U.S., none are currently in office and there has never been one in Michigan. Why run as an independent? He announced his bid a month after Democrats suffered heavy losses in the 2024 election. But, midterm elections tend to favor the party not in power. Democrats have now seized on cuts to Medicaid and SNAP benefits as winning issues in races across the country. Duggan doesn't see it that way. 'I mean, it would have been easier to win as a Democrat, but then I'd have just been part of the partisan problem,' Duggan said. As an example, Duggan pointed to Michigan's split Legislature, with Republicans in control of the state House and Democrats controlling the state Senate. Only six proposals have become law this year, and the state operating budget is still hung up. Duggan's campaign has focused on his independency from both parties and education in the state. Duggan derided Michigan House Democrats who voted against a measure to restrict cellphone usage in schools. 'I don't really intend to get involved in the national Republican versus Democratic talking points,' he said. Tariffs in Detroit, and abroad Several companies in Michigan's auto industry, centered in Detroit, have reported major losses and expressed worry about tariffs imposed by the Trump administration. Auto parts often move across the border between the U.S. and Canada multiple times during manufacturing. Duggan said tariffs on China and Mexico could push manufacturing to Michigan. However, tariffs on Canada are 'devastating,' he said. 'When you put a tariff on Canada, you put a tariff on Michigan,' he said. He also critiqued the ever-changing nature of Trump's tariff policies, saying they prevent companies from making educated, long-term investments. President Trump Duggan praised current Democratic Gov. Gretchen Whitmer for her work with the Trump administration, opposing the tariffs on Canada and working with him to get new fighter jets for an air force base. Some Democrats have criticized Whitmer for appearing with Trump multiple times this year. 'I think it's exactly the right kind of approach,' he said. Elon Musk Democrats in Michigan have frequently tied Duggan to Elon Musk; an attempt to undercut Duggan by association with the divisive public figure. Musk, a former Trump ally, said in July that he would create a third political party. When Duggan responded to Musk on X saying 'Now you've got my attention,' the Michigan Democratic Party said the mayor was 'cozying' up to the richest man in the world. When asked about exchange, Duggan said his bid is 'exactly the opposite' of a third party and said he wants no part of one. As an independent, he would not be responsible for any party majority, he said. 'I'm going to work with whoever wins to build bridges,' he said. Arab American voters Michigan is home to one of the largest populations of Arab American voters in the U.S., many of whom are disillusioned with both political parties over Israel's military offensive in Gaza which has resulted in a devastating humanitarian crisis. 'The governor doesn't make policy 6,000 miles away,' Duggan said. 'The governor has a great deal to say about the tone of hate speech and threats to individuals — whether it's the Jewish community, the Arab community — in the state of Michigan.' Who else is in the race? Whitmer is term-limited and cannot run for reelection. The crowded field vying to replace her includes three Democrats — Secretary of State Jocelyn Benson, Lt. Gov. Garlin Gilchrist II and Genesee County Sheriff Chris Swanson — and four Republicans — U.S. Rep. John James, state Senate Leader Aric Nesbitt, former state Attorney General Mike Cox and former Speaker of the state House Tom Leonard. Running as an independent allowed Duggan to avoid the Democratic primary, but he gave up access to the party's resources. He's well-known in Detroit and the surrounding areas but largely lacks statewide name recognition. Recent fundraising numbers showed Duggan was competitive with Benson, James and Nesbitt. Only Benson's campaign raised more than Duggan's, thanks to $1.1 million she transferred from her Secretary of State campaign account. National Democratic groups, though, are certain to prioritize the Michigan race and pour money in if needed. 'A lot of people in the state are fed up with a two party system,' Duggan said. 'And it's not going to change by electing another Republican or Democrat.'