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Semafor Signals

Trump doubles down on tariffs despite market turmoil

Updated Mar 5, 2025, 3:05pm EST
North America
U.S. President Donald Trump looks on during a joint session of Congress.
Evelyn Hockstein/Reuters
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The News

US President Donald Trump used his Tuesday night speech to Congress to emphasize what he sees as the key pillars of his “America First” agenda, promising to double down on tariffs on US allies and make sweeping changes to the country’s foreign policy.

Trump’s still-young second term has already been defined by significant, and sometimes explosive, executive actions and policy pivots. But Trump said he was “just getting started.”

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The 100-minute-long speech also covered Trump’s rollback of US support for Ukraine and his ambitions for greater control over Greenland, as well as his backing of the tech billionaire Elon Musk’s moves to cut government spending as a White House adviser. Democrats staged protests throughout the speech, with Texas Rep. Al Green evicted after repeatedly heckling Trump.

Trump acknowledged Democratic discontent during the “unusually partisan speech,” the Financial Times wrote — a speech that was reminiscent of his campaign rallies.

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SIGNALS

Semafor Signals: Global insights on today's biggest stories.

Trump doubles down on Canada, Mexico trade tariffs

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Sources:  
The New York Times, Semafor, Associated Press

Despite the global market turmoil that has followed new tariffs on imports from Canada, Mexico, and China, Trump remained bullish in his congressional address that there would be only “a little disturbance” from the measures. Still, Republicans are not enthused about the idea of a drawn-out trade war with Canada and Mexico, Semafor reported, with many hoping that the escalation will resolve itself quickly. On Wednesday, the administration delayed tariffs to the automobile sector for a month. While Trump has argued the tariffs will balance America’s relationship with other countries, some Republicans aren’t so sanguine: “I do know the harm it’s going to cause the economy, and the stock market is showing it,” Sen. Ron Johnson, R-Wis., told Semafor. The White House press secretary said Trump could consider other exemptions if necessary.

Trump indicates softening toward Ukraine in speech, less so in practice

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Sources:  
Politico, Financial Times, BBC

Trump struck a softer tone on Ukraine in his address Tuesday than in the days after Friday’s disastrous Oval Office meeting, saying that he appreciated a message from Ukrainian President Volodymyr Zelenskyy calling to “make things right” and begin peace negotiations. But Trump also made a point of stressing Russia’s involvement in any talks: “If you want to end wars, you have to talk to both sides.” Despite the more conciliatory tone, the administration has paused military aid and intelligence sharing to Ukraine, a move that seems clearly aimed at forcing Ukraine to begin peace talks on Trump’s terms, the BBC wrote.

Trump presented “swaggering” image of his administration

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Sources:  
The Wall Street Journal, The Washington Post

The president’s speech offered what The Wall Street Journal described as a “swaggering” perspective on the first weeks of his second term. In highlighting his most explosive policies, Donald Trump offered his most ardent followers a moment of “collective celebration,” The Washington Post wrote. He made almost no attempt at bipartisanship, referring to Democrats as “radical left lunatics.” Yet to Americans outside the MAGA sphere, Trump may have less reason to celebrate, a Republican official told the Post: His polls are mixed, but the trend overall suggests that the president’s approval is slipping.

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