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“Tariffs is the most beautiful word to me in the dictionary,” said Donald Trump during his second inauguration as US president, alongside God, religion, and love.

This weekend, Trump hopes to follow through on his threat to hit imports, starting with a 25% border tax rate on Canada and Mexico. But some worry the protectionist trade policies, new tariffs and retaliatory measures by other nations could slow economic growth in the US, spur inflation, and trigger a trade war.

Niall is joined by Ed Conway, our economics and data editor, to unpick why Trump loves tariffs, what he hopes to achieve with them, and how likely a trade war is.

Producer: Natalie Ktena
Editor: Paul Stanworth

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At least 13 people confirmed dead and more than 20 missing from girls camp in Texas flooding

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At least 13 people confirmed dead and more than 20 missing from girls camp in Texas flooding

13 people have been killed in the US state of Texas after heavy rain caused flash flooding, according to local media reports.

Officials have also said more than 20 are missing from a girls’ camp in Texas.

As much as 10 inches (25 centimetres) of heavy rain fell in just a few hours overnight in central Kerr County, causing flash flooding of the Guadalupe River.

Judge Rob Kelly, the chief elected official in the county, confirmed fatalities from the flooding and dozens of water rescues so far.

A flood watch issued on Thursday afternoon estimated isolated amounts up to seven inches (17 centimetres) of rising water.

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Vladimir Putin tells Donald Trump he will not back down from goals in Ukraine, Kremlin says

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Vladimir Putin tells Donald Trump he will not back down from goals in Ukraine, Kremlin says

Vladimir Putin told Donald Trump he “will not back down” from Russia’s goals in Ukraine during a phone call today, the Kremlin has said.

The Russian president spoke to his US counterpart for almost an hour, and Mr Trump “again raised the issue of an early end to military action” in Ukraine, Kremlin aide Yuri Ushakov told reporters.

In response, Mr Putin said “Russia will not back down” from its aims there, which include “the elimination of the well-known root causes that led to the current state of affairs,” Mr Ushakov said.

The phrase “root causes” is shorthand for Moscow’s argument that it was compelled to invade Ukraine in order to prevent the country from joining NATO.

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Trump and Putin’s latest call on Ukraine

Ukraine and its European allies say this is a pretext to justify what they call an imperial-style war, but Mr Trump has previously shown sympathy with Russia.

At the same time, Mr Putin told the US president that Russia is ready to continue negotiating, the aide said.

The Russian president said any prospective peace deal must see Ukraine give up its NATO bid and recognise his country’s territorial gains.

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Donald Trump and Volodymyr Zelenskyy NATO summit in The Hague, Netherlands June 25, 2025. Pic: Reuters
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Volodymyr Zelenskyy, seen with Mr Trump in June, is pushing for Ukraine to join NATO. Pic: Reuters

He also briefed Mr Trump on agreements made last month, which saw Russia and Ukraine exchange prisoners of war and dead soldiers.

Specific dates for the third round of peace talks in Istanbul were not discussed – nor was the US decision to halt some shipments of critical weapons to Ukraine.

Mr Putin and Mr Trump’s call came after the Pentagon confirmed some weapons due to be sent to Ukraine have been held as it reviews military stockpiles.

The paused shipments include air defence missiles and precision-guided artillery, two people familiar with the situation have said.

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The decision led to Ukraine calling in the acting US envoy to Kyiv on Wednesday to underline the importance of military aid from Washington.

Kyiv also cautioned that the move would weaken Ukraine’s ability to defend itself against intensifying Russian airstrikes and battlefield advances.

Mr Putin and Mr Trump’s phone call was the sixth they have publicly disclosed since the US president returned to the White House in January.

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Donald Trump’s ‘big beautiful’ tax cuts bill passes final hurdle in US Congress

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Donald Trump's 'big beautiful' tax cuts bill passes final hurdle in US Congress

Donald Trump’s ‘big beautiful bill’ has been passed by the US congress, sending it to the president to sign into law.

The controversial tax breaks and spending cuts package cleared its final hurdle as the Republican-controlled House of Representatives narrowly approved the bill with a 218-214 vote.

The bill delivers tax breaks Mr Trump promised in his 2024 election campaign, cuts health and food safety programmes, and zeroes out dozens of green energy incentives.

According to the nonpartisan Congressional Budget Office (CBO), it will lower tax revenues by $4.5trn over 10 years and add $3.4trn to the US’s $36.2trn debt.

But despite concerns over the 869-page bill’s price tag – and its hit to healthcare programmes – Republicans largely lined up in support, with just two rebelling on the vote.

Speaker Mike Johnson congratulated following the signing of Trump's bill. Pic: Reuters
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House Speaker Mike Johnson is congratulated following the vote. Pic: Reuters

Every Democrat in Congress voted against the bill, blasting it as a giveaway to the wealthy that will leave millions of Americans uninsured.

House Speaker Mike Johnson made the Republicans’ closing argument for the bill, telling Congress: “For everyday Americans, this means real, positive change that they can feel.”

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Earlier, the House’s Democratic leader Hakeem Jeffries gave a record-breaking eight-hour and 44-minute speech against it.

“The focus of this bill, the justification for all of the cuts that will hurt everyday Americans, is to provide massive tax breaks for billionaires,” he said.

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The bill’s spending cuts largely target Medicaid, the health programme that covers 71 million Americans on low incomes.

It will tighten enrolment standards, institute a work requirement and clamp down on a funding mechanism used by states to boost federal payments.

The changes could leave nearly 12 million people without health insurance, according to the CBO.

On the other side of the ledger, it will stave off tax increases that were due to hit most Americans at the end of the year, when tax cuts from President Trump’s first term were due to expire.

It also sets up new tax breaks for overtime pay, seniors and tipped income.

Read more:
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Kremlin shares details of Putin-Trump call

The bill narrowly passed the US Senate on Tuesday after vice president JD Vance cast the deciding vote to break a 50-50 tie.

Mr Trump will sign it into law on Friday at 5pm local time (10pm in the UK), the White House said.

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