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Harvard to face Trump administration in court over funding cuts

Harvard to face Trump administration in court over funding cuts

Global News21-07-2025
Harvard University will appear in federal court Monday to make the case that the Trump administration illegally cut US$2.6 billion from the storied college — a pivotal moment in its battle against the federal government.
If U.S. District Judge Allison Burroughs decides in the university's favor, the ruling would reverse a series of funding freezes that later became outright cuts as the Trump administration escalated its fight with the nation's oldest and wealthiest university. Such a ruling, if it stands, would revive Harvard's sprawling scientific and medical research operation and hundreds of projects that lost federal money.
'This case involves the Government's efforts to use the withholding of federal funding as leverage to gain control of academic decisionmaking at Harvard,' the university said in its complaint. 'All told, the tradeoff put to Harvard and other universities is clear: Allow the Government to micromanage your academic institution or jeopardize the institution's ability to pursue medical breakthroughs, scientific discoveries, and innovative solutions.'
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A second lawsuit over the cuts filed by the American Association of University Professors and its Harvard faculty chapter has been consolidated with the university's.
Harvard's lawsuit accuses President Donald Trump's administration of waging a retaliation campaign against the university after it rejected a series of demands in an April 11 letter from a federal antisemitism task force.
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The letter demanded sweeping changes related to campus protests, academics and admissions. For example, the letter told Harvard to audit the viewpoints of students and faculty and admit more students or hire new professors if the campus was found to lack diverse points of view. The letter was meant to address government accusations that the university had become a hotbed of liberalism and tolerated anti-Jewish harassment on campus.
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Trump signs proclamation to block almost all international students from attending Harvard
Harvard President Alan Garber pledged to fight antisemitism but said no government 'should dictate what private universities can teach, whom they can admit and hire, and which areas of study and inquiry they can pursue.'
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The same day Harvard rejected the demands, Trump officials moved to freeze US$2.2 billion in research grants. Education Secretary Linda McMahon declared in May that Harvard would no longer be eligible for new grants, and weeks later the administration began canceling contracts with Harvard.
As Harvard fought the funding freeze in court, individual agencies began sending letters announcing that the frozen research grants were being terminated. They cited a clause that allows grants to be scrapped if they no longer align with government policies.
Harvard, which has the nation's largest endowment at US$53 billion, has moved to self-fund some of its research, but warned it can't absorb the full cost of the federal cuts.
In court filings, the school said the government 'fails to explain how the termination of funding for research to treat cancer, support veterans, and improve national security addresses antisemitism.'
The Trump administration denies the cuts were made in retaliation, saying the grants were under review even before the April demand letter was sent. It argues the government has wide discretion to cancel contracts for policy reasons.
'It is the policy of the United States under the Trump Administration not to fund institutions that fail to adequately address antisemitism in their programs,' it said in court documents.
The research funding is only one front in Harvard's fight with the federal government. The Trump administration also has sought to prevent the school from hosting foreign students, and Trump has threatened to revoke Harvard's tax-exempt status.
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Finally, last month, the Trump administration formally issued a finding that the school tolerated antisemitism — a step that eventually could jeopardize all of Harvard's federal funding, including federal student loans or grants. The penalty is typically referred to as a 'death sentence.'
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Trump is getting the world economy he wants - but the risk to growth could spoil his victory lap
Trump is getting the world economy he wants - but the risk to growth could spoil his victory lap

CTV News

time15 minutes ago

  • CTV News

Trump is getting the world economy he wants - but the risk to growth could spoil his victory lap

President Donald Trump reads from a paper and European Commission President Ursula von der Leyen listens after reaching a trade deal between the U.S. and the EU at the Trump Turnberry golf course in Turnberry, Scotland Sunday, July 27, 2025. (AP Photo/Jacquelyn Martin) WASHINGTON — U.S. President Donald Trump is getting his way with the world economy. Trading partners from the European Union to Japan to Vietnam appear to be acceding to the president's demands to accept higher costs — in the form of high tariffs — for the privilege of selling their wares to the United States. For Trump, the agreements driven by a mix of threats and cajoling, are a fulfillment of a decades-long belief in protectionism and a massive gamble that it will pay off politically and economically with American consumers. 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‘We'll see where things land,' Carney says amid ‘intense phase' of ongoing U.S. negotiations and looming tariff deadline
‘We'll see where things land,' Carney says amid ‘intense phase' of ongoing U.S. negotiations and looming tariff deadline

CTV News

time15 minutes ago

  • CTV News

‘We'll see where things land,' Carney says amid ‘intense phase' of ongoing U.S. negotiations and looming tariff deadline

The American administration reached a trade deal with the European Union, but negotiations with Canada continue. CTV National's Colton Praill has the latest. Prime Minister Mark Carney says negotiations with the U.S. are at an 'intense phase,' as U.S. President Donald Trump's deadline to increase tariffs on Canadian goods to 35 per cent fast approaches. 'It's a complex negotiation,' Carney told reporters on Monday, when asked what message he's sending to the industries that are anxious about the U.S. threatening higher levies. 'You see with the various trade deals that have been agreed by other jurisdictions — European Union yesterday, Japan before, Indonesia, etc., the United Kingdom — that there are many aspects to these negotiations.' 'We're engaged in them, but the assurance for Canadian business, for Canadians, is we will only sign a deal that's the right deal, that's a good deal for Canada,' Carney also said, echoing statements he made last week that his government is prioritizing 'the best deal' over a timely one. Carney made the comments on P.E.I. Monday following an announcement the federal government is cutting the toll to use the Confederation Bridge. Still looming, meanwhile, is Trump's threat to increase tariffs to 35 per cent on Friday, the date by which Carney has said the Canadian government is aiming to hash out a new economic deal with the United States. The new levies will not apply to goods that are covered by the Canada-U.S.-Mexico Agreement (CUSMA), the White House has confirmed. Still in place, however, are steep tariffs on steel and aluminum, and autos, with Trump also signalling he plans to impose higher duties on copper as of Friday. While the protracted trade war and the status of negotiations have dominated discussions among Canadian lawmakers — namely during last week's meetings between Carney and the premiers, and as Canada-U.S. Trade Minister Dominic LeBlanc met with several U.S. senators both in Ottawa and Washington last week — Trump on Friday said his administration hasn't 'been focused' on Canada. 'Aug. 1 is going to come, and we will have most of our deals finished, if not all,' Trump told reporters at the White House. 'We haven't really had a lot of luck with Canada. I think Canada could be one where they'll just pay tariffs. It's not really a negotiation.' Today, the prime minister dismissed the president's comments as a negotiating tactic. Still, LeBlanc has said Canada is still working toward an Aug. 1 target date to reach a deal, and to that end he is set to return to Washington this week. Asked Monday whether he should have kept the controversial digital services tax (DST) to earn the revenue from it, Carney said that's 'a hypothetical on a hypothetical.' Carney dropped the tax late last month after Trump said he'd end negotiations with Canada 'effective immediately' over the issue, with the president calling it 'a direct and blatant attack' on the U.S. and its technology companies. 'We'll see where things land in terms of negotiation,' Carney said Monday. 'There are pros and cons of that tax, as there are with any tax.' 'It may seem like it's a long way from a trade discussion at the end of this week,' Carney also said, pointing to other efforts his government has made to reduce the impact of the trade war on Canadians. 'What we're really spending the vast, vast part of our time on is what we can control, and building the country together, bringing the country together, and then building out the country.'

Heineken shares slide as tariff uncertainties spook investors
Heineken shares slide as tariff uncertainties spook investors

CTV News

timean hour ago

  • CTV News

Heineken shares slide as tariff uncertainties spook investors

FILE - Bottles of Heineken beer are photographed in Washington, USA, March 30, 2018. Dutch brewer Heineken has completed its withdrawal from Russia, 18 months after Moscow launched its full-scale invasion of Ukraine, selling its business in Russia for just 1 euro, the company announced Friday, Aug. 25, 2023. (AP Photo/J. David Ake, FILE) LONDON — Dutch brewer Heineken's shares slid over 8 per cent on Monday as a forecast-beating profit rise was eclipsed by investor worries over second-half profits and volumes, which Heineken warned may be softer as tariffs weigh on confidence. The world's No.2 brewer welcomed a trade deal struck between the European Union and the United States and said on Monday that it was weighing all options to deal with growing tariff challenges in the long term, including shifting manufacturing. Its shares closed down 8.45 per cent despite a 7.4 per cent rise in first-half profit, above analyst estimates, for which it credited growth in once-difficult regions like Africa and Asia as well as cost savings. Beer sales volumes, however, dipped 1.2 per cent. Analysts and investors pointed to Heineken's warning that volumes would be softer than expected for the remainder of the year as U.S. President Donald Trump's trade salvos disrupt markets in the Americas. A price dispute with retailers meanwhile dented sales in Europe. The company exports beer, especially its namesake lager, to the U.S. from Europe and Mexico, and has also suffered from the indirect impact on consumer confidence in key markets like Brazil. CEO Dolf van den Brink welcomed the certainty brought by the trade deal clinched on Sunday, which reduced a threatened 30 per cent U.S. tariff on EU goods to 15 per cent - a rate that would still hit Heineken's U.S. profits. While some in the industry, such as spirits makers, are hopeful for an exemption, this does not appear to be a prospect for beer. All options are being considered to mitigate tariffs long-term, including shifting manufacturing, he said, but added that such moves were capital intensive and would first need more consistency in policy. 'We look at all options from ... continuing with our current setup, a more hybrid version, or otherwise,' he told journalists on a call. 'If and when we deem them financially to be more attractive in the mid- to long-term, we would for sure explore them.' LINGERING TARIFF FEARS, ECONOMIC UNCERTAINTY Heineken still faces U.S. tariffs of up to 30 per cent on products it produces in Mexico unless the Mexican government can reach an agreement with Washington ahead of an August 1 deadline. Executives told journalists that since the first quarter, Heineken has also seen economic uncertainty hit spending and confidence in the U.S., Brazil and Mexico. In Mexico, remittances from the U.S. have fallen significantly, impacting beer industry sales. And U.S. Hispanic consumers were also spending less, van den Brink said. Heineken continues to expect annual profit growth of between 4 per cent and 8 per cent. The company also beat forecasts for second quarter revenue and volume, with growth in markets like Vietnam and India, and increased an annual cost-saving goal by a quarter to 500 million euros ($586 million). 'They have slightly downgraded their volume guidance,' said Ryann Dean, global analyst at Heineken investor Aylett Fund Managers. 'Given everything going on in the world... that to me doesn't feel like a terrible outcome.' Heineken's strong growth in markets like India and China, and consistent profitability, more than offset this, he continued, adding that emerging markets would drive Heineken's long-term volume growth. Brokerage Jefferies also expressed surprise at the sharp share price fall, which it said was down to worries over softer sales and slower second-half profit growth. 'This represents an attractive buying opportunity in our view, given volume reassurance and profit delivery underpinned by delivery on the cost program,' it said in a note. (Reporting by Emma Rumney; Editing by Lincoln Feast and Joe Bavier, Kirsten Donovan and Nick Zieminski)

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