Donald Trump is set to speak to the leaders of Canada and Mexico later but warned them against retaliating to his tariffs, saying: “We can play the game all they want.”
However, the US president returned to Washington from Mar-a-Lago on Sunday night and brushed aside the reprisals.
“I love the people of Canada. I disagree with the leadership of Canada. And something’s gonna happen there.
“If they want to play the game, I don’t mind. We can play the game all they want.”
Mr Trump also threatened to impose steeper tariffs elsewhere, telling reporters import taxes will “definitely happen” with the European Union.
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When asked about potential tariffs on the UK, Mr Trump told reporters “we’ll see what happens”.
He said the UK “is out of line” on trade with US, but was confident the situation “can be worked out” without tariffs.
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Later on he posted on his Truth Social platform: “Anybody that’s against Tariffs, including the Fake News Wall Street Journal, and Hedge Funds, is only against them because these people or entities are controlled by China, or other foreign or domestic companies.
“Anybody that loves and believes in the United States of America is in favor of Tariffs. They should have never ended, in favor of the Income Tax System, in 1913. The response to Tariffs has been FANTASTIC!”
The Trump administration had said the tariffs are aimed at stopping the spread and manufacturing of the opioid fentanyl, as well as pressuring America’s neighbours to limit illegal immigration to the US.
But it risks a trade war and higher prices for American consumers.
Image: Donald Trump speaks to reporters next to Air Force One after arriving back at Joint Base Andrews. Pic: AP Photo/Ben Curtis
Shares on Asian markets tumbled in early trade on Monday and US equity futures pointed sharply lower in the wake of Mr Trump’s imposition of tariffs.
Japan’s Nikkei opened down 2% this morning, with large falls also reported on Taiwan and South Korea’s indices.
“Trump’s trade war has started,” said Alvin Tan, head of Asia currency strategy at RBC Capital Markets in Singapore.
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Earlier on Sunday, Mr Trump said any potential pain caused by the trade war would be worth it.
“Will there be some pain? Yes, maybe (and maybe not!). It will all be worth the price that must be paid.”
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10:47
Trump tariffs: ‘You could be next’
Meanwhile, Canada’s high commissioner to the UK Ralph Goodale, speaking to Sky News’ Kamali Melbourne, had a warning for allies.
He said: “I would just say to our allies around the world watch this closely, you could be next, and in the meantime, stand by your friends.”
He added Mr Trump’s words were a “salesman’s pitch” and despite the historically close relationship between the countries “we don’t want to be each other”.
A federal court has paused aspects of a plan by Donald Trump to dismantle the US Agency for International Development (USAID) and put roughly 2,700 of its staff on leave.
District judge Carl Nichols, who was nominated by the US president during his first term, agreed with legal arguments from the largest government workers’ union and an association of foreign service workers.
They sued to stop Mr Trump’s administration attempting to close USAID, which distributes billions of dollars of humanitarian aid around the world.
Justice department official Brett Shumate told Judge Nichols that about 2,200 USAID employees would be put on paid leave under the administration’s plans.
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3:35
What is USAID?
“The president has decided there is corruption and fraud at USAID,” said Mr Shumate.
It echoes comments President Trump made on Friday in a post on Truth Social accusing USAID – without evidence – of corruption and spending money fraudulently.
But Karla Gilbride, a lawyer for the unions, argued the plans were unlawful: “The major reduction in force, as well as the closure of offices, the forced relocation of these individuals were all done in excess of the executive’s authority in violation of the separation of powers.”
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Judge Nichols’s order, which is in effect until 14 February, blocks Mr Trump’s administration from implementing plans to place the 2,200 USAID workers on paid leave from Saturday.
It also reinstates some 500 employees who had already been furloughed.
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And there will be a ban on relocating USAID humanitarian workers stationed outside the US, after overseas staff were ordered to return home within 30 days.
Judge Nichols will consider a request for a longer-term pause at a hearing scheduled for next week.
But he rejected other requests from the unions to reopen USAID buildings and restore funding for agency grants and contracts.
Soon after being inaugurated, Mr Trump ordered all US foreign aid be paused to ensure it is aligned with his “America First” policy.
The dismantling of USAID has largely been overseen by Elon Musk, who is spearheading the president’s effort to cut costs and bureaucracy.
US secretary of state Marco Rubio insists the government will continue providing foreign aid, “but it is going to be foreign aid that makes sense and is aligned with our national interest”.
Judges have temporarily paused other controversial policies, including one offering financial incentives for federal workers to resign and another ending American citizenship for anyone born in the US if their parents are in the country illegally.
Twenty days into Donald Trump’s second term, US correspondents James Matthews and Mark Stone are joined by Washington DC cameramen Ed Young and Michael Herd to take a step back and discuss what it’s like covering the White House under President Trump compared to President Biden.
They also share some of the moments they got close (perhaps too close) to the most powerful man in the world.
A small plane which crashed in western Alaska with 10 people on board has been found and the US Coast Guard (USCG) says there were no survivors.
The Bering Air flight left Unalakleet at 2.38pm on Thursday but contact was lost less than an hour later, the firm’s operations director David Olson said.
On Saturday, in a post on X, the coastguard said: “USCG has ended its search for the missing plane after the aircraft was located approx 34 miles southeast of Nome. 3 individuals were found inside and reported to be deceased.
“The remaining 7 people are believed to be inside the aircraft but are currently inaccessible due to the condition of the plane. Our heartfelt condolences are with those affected by this tragic incident.”
The Cessna 208B Grand Caravan – carrying a pilot and nine adult passengers – was flying across Norton Sound when tracking site Flightradar24 reported it at 5,300ft before contact was lost.
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It was travelling from Unalakleet, a community of about 690 people in western Alaska, to Nome, a gold rush town just south of the Arctic Circle.
The flight time is normally just under an hour.
Mike Salerno, a spokesperson for the US Coast Guard, said rescuers were searching the aircraft’s last known location by helicopter when they spotted the wreckage. They lowered two rescue swimmers to investigate.
Image: The plane was heading to Nome, just south of the Arctic Circle. Pic: AP
In a post on Facebook, Nome’s fire department issued an update: “The Nome Search and Rescue Team is spooling up with assistance from the Alaska Air National Guard with recovery efforts.
“From reports we have received, the crash was not survivable. Our thoughts are with the families at this time.”
On Friday, Lieutenant Benjamin McIntyre-Coble, from the Alaskan coastguard, explained that the plane suffered a rapid loss of altitude and speed, according to radar data, but did not expand on the potential cause.
Weather in Unalakleet at take-off time was -8.3C (17F) with fog and light snow, according to the US National Weather Service.
Bering Air serves 32 villages in western Alaska and air travel is often the only option of travelling long distances in rural parts of the US state, especially in winter.