Donald Trump has announced that most goods imported from Mexico and some from Canada are to be exempt from his trade tariff regime for at least four weeks, just days after the charges were imposed.
“We are working hard, together, on the border, both in terms of stopping illegal aliens from entering the United States and, likewise, stopping fentanyl,” the president posted on his Truth Social platform after first relaxing his sanctions against Mexico.
He often gives both issues as reasons for the tariffs.
The latest climbdown came after he surprised financial markets 24 hours earlier by waiving tariffs against carmakers following pleas from motor industry bosses.
The White House said that 62% of Canadian imports would still be subject to 25% tariffs because they were not compliant with a trade deal – USMCA (US Mexico and Canada) – struck in 2020.
News that Canadian goods which met the USMCA criteria were being spared tariffs until 2 April followed hours after the same concession was agreed between Mr Trump and his Mexican counterpart.
A tariff of 10% was to remain on potash – a fertiliser used by farmers – and Mr Trump added that the auto tariffs would definitely return next month.
The White House revealed some details. Parts due to flow into the US from Mexico and Canada as part of the manufacturing supply chain would not qualify for tariffs so long as they complied with the USMCA deal.
‘Rules of origin’ guidelines under the agreement allow goods to move between the three countries tariff-free if they qualify with a designation that they were made in North America.
US commerce secretary Howard Lutnick told Sky’s US partner network CNBC that, taken together, more than half of usual cross border trade volumes would be exempt under the expanded concessions.
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3:27
Why are tariffs such a big deal?
He too signalled there were signs of progress in the dispute with America’s closest trading partners, saying each had worked hard to make progress in tackling imports of Fentanyl – blamed for high crime and deaths in US communities.
But Mr Lutnick explained that, as things stand, the reprieve would only last until 2 April when the Trump administration plans to impose reciprocal tariffs – on top of the 25% charges that came into force on Tuesday.
At the same time, Mr Trump is under intense pressure to relax his tariff regime permanently amid a backlash from US firms and financial market investors who fear it is self defeating.
A closely-watched forecast has even suggested that the threats of a trade war were enough to push the US economy into recession before Mr Trump took office.
The dollar has sunk in value and US government borrowing costs have risen on the back of the turmoil.
US stock markets were also feeling the pressure again with the tech-heavy Nasdaq on course to fall by more than 3% on the day.
It is widely expected that the European Union will be next to face tariffs – possibly from 2 April – after Mr Trump threatened action “very soon” just last week.
Commenting on the threat to the eurozone from such a move, the president of the European Central Bank Christine Lagarde said on Thursday: “Just the threat of those tariff increases and potential retaliations are putting a brake on – on investment, on consumption decisions, on employment, hiring, all the rest of it.”
While Mr Trump has not issued a specific threat against the UK, her counterpart at the Bank of England Andrew Bailey told a committee of MPs on Wednesday that the US should work “multi-laterally” rather than bilaterally to resolve its disputes.
The White House is considering inviting Volodymyr Zelenskyy to a meeting between Donald Trump and Vladimir Putin in Alaska, according to reports in the US.
A senior US official and three people briefed on internal discussions have told Sky News’ US partner network NBC News that the Trump administration is now considering inviting the Ukrainian president to the summit.
“It’s being discussed,” one of the people briefed on the talks was quoted as saying.
For Ukraine – its exhausted, brave soldiers, its thousands of bereaved families mourning their dead, and its beleaguered president – it is exactly what they feared it would be.
They fear the compromise they will be forced to make will be messy, costly, unfair and ultimately beneficial to the invading tyrant who brought death and destruction to their sovereign land.
The sources said a visit by Mr Zelenskyy has not been finalised – and it is unclear whether the Ukrainian leader will be in Alaska.
However, the senior administration official said it is “absolutely” possible.
“Everyone is very hopeful that would happen,” the official said.
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Asked whether the US had officially invited Mr Zelenskyy, a senior White House official said: “The president remains open to a trilateral summit with both leaders. Right now, the White House is focusing on planning the bilateral meeting requested by President Putin.”
On Friday – before the summit was confirmed – Mr Trump had told reporters at the White House that “we’re getting very close to a deal” that would end the conflict.
The US president added there will be “some swapping of territories to the betterment of both sides”.
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1:31
US diplomacy ‘totally amateur’
Zelenskyy suggests he’s unwilling to give up territory
Yesterday, the Ukrainian president warned that allowing Russia to keep territory it has occupied in Ukraine will result in another invasion.
He said allowing Mr Putin to annex Crimea in 2014 didn’t prevent Russia forces from occupying more parts of Ukraine during the current conflict.
Mr Zelenskyy added: “Now, Putin wants to be forgiven for seizing the south of our Kherson region, Zaporizhzhia, the entire territory of Luhansk and Donetsk regions, and Crimea. We will not allow this second attempt to partition Ukraine.
“Knowing Russia – where there is a second, there will be a third.”
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2:28
Zelenskyy: Ukraine will not give land to ‘occupier’
NATO allies say Ukraine must be involved in negotiations
Ukraine and several NATO allies have reportedly been privately concerned Mr Trump might agree to Mr Putin’s proposals for ending the war without taking their positions into account.
In a joint statement last night, UK Prime Minister Sir Keir Starmer and the leaders of France, Italy, Germany, Poland, Finland and the European Commission said Ukraine’s future cannot be decided without Kyiv.
They said: “Ukraine has the freedom of choice over its own destiny. Meaningful negotiations can only take place in the context of a ceasefire or reduction of hostilities.
“The path to peace in Ukraine cannot be decided without Ukraine.
“We remain committed to the principle that international borders must not be changed by force.
“The current line of contact should be the starting point of negotiations.”
Image: From left: Volodymr Zelenskyy, Donald Trump and Vladimir Putin. Pics: AP
UK hosts Ukrainian officials ahead of summit
Earlier, Foreign Secretary David Lammy hosted a meeting of top Ukrainian officials and European national security advisers alongside US Vice President JD Vance.
The meeting took place at Chevening, the foreign secretary’s official country retreat in Kent, where Mr Vance is staying at the start of a UK holiday.
After the meeting, Mr Lammy said: “The UK’s support for Ukraine remains ironclad as we continue working towards a just and lasting peace.”
Image: From left: Rustem Umerov, David Lammy, JD Vance and Andriy Yermak. Pic: X/David Lammy
It is understood that the meeting had been called at Washington’s request, and included representatives from the US, Ukraine, France, Germany, Italy, Finland and Poland, as well as the UK.
Ukraine was represented by Rustem Umerov, secretary of the country’s national security and defence council, and the head of Mr Zelenskyy’s office, Andriy Yermak.
In a post on social media, Mr Yermak said the allies’ positions were “clear” that “a reliable, lasting peace is only possible with Ukraine at the negotiating table, with full respect for our sovereignty and without recognising the occupation”.
Ahead of the meeting, Sir Keir discussed the talks in a call with Mr Zelenskyy, and also spoke to French President Emmanuel Macron.
A Downing Street spokeswoman said Sir Keir and Mr Macron “discussed the latest developments in Ukraine, reiterating their unwavering support for President Zelenskyy and to securing a just and lasting peace for the Ukrainian people”.
A man who opened fire on the headquarters of America’s national public health agency – leaving a police officer dead – had blamed the COVID vaccine for making him depressed and suicidal.
Patrick Joseph White, a 30-year-old from Georgia, had tried to enter the Centers for Disease Control and Prevention (CDC) headquarters in Atlanta but was stopped by guards, a law enforcement official said.
They added that White then drove to a pharmacy across the street before opening fire late on Friday afternoon.
He was armed with five guns – including at least one long gun.
DeKalb County Police Officer David Rose, who had three children, was shot dead while responding to the incident.
Image: DeKalb County Police Officer David Rose. Pic: Reuters
White also died, but authorities haven’t said whether he was killed by police or if he killed himself.
His father had contacted police and identified his son as the possible gunman.
White’s father also said his son had been upset over the death of his dog and had become fixated on the COVID-19 vaccine.
Health and Human Services Secretary Robert F. Kennedy Jr, whose scepticism of vaccines has been a cornerstone of his career, voiced support for CDC employees yesterday.
But some laid-off CDC employees said Mr Kennedy shares responsibility for the violence and should resign.
Image: An armed police officer at the scene. Pic: AP
Mr Kennedy has a history as a leader in the anti-vaccine movement, but he reached new prominence by spreading distrust of COVID-19 vaccines. For example, he called it “criminal medical malpractice” to give these jabs to children.
He said after the shooting: “We are deeply saddened by the tragic shooting at CDC’s Atlanta campus that took the life of officer David Rose.
“We know how shaken our public health colleagues feel today. No one should face violence while working to protect the health of others.”
Sarah Boim, a former CDC communications staffer who was fired this year during a wave of terminations, said the shooting was the “physical embodiment of the narrative that has taken over, attacking science, and attacking our federal workers”.
Image: The CDC headquarters in Atlanta, Georgia. Pic: AP
White’s ‘distrust of COVID vaccines’
A neighbour of White told The Atlanta Journal-Constitution that the gunman spoke with her multiple times about his distrust of COVID-19 jabs.
Nancy Hoalst, who lives on the same street as White’s family, said he seemed like a “good guy” but he would bring up vaccines even in unrelated conversations.
“He was very unsettled, and he very deeply believed that vaccines hurt him and were hurting other people.” Ms Hoalst told the Atlanta newspaper. “He emphatically believed that.”
However, she said she never believed White would be violent and added: “I had no idea he thought he would take it out on the CDC.”
Donald Trump has announced his “highly anticipated” meeting with Vladimir Putin will take place next Friday in the US state of Alaska.
The two presidents are expected to discuss the war in Ukraine – with the talks potentially leading to a breakthrough in Mr Trump’s effort to end the conflict.
But there’s no guarantee it will stop the fighting since Moscow and Kyiv remain far apart on their conditions for peace.
Earlier, the US president told reporters “we’re getting very close to a deal” that would end the war.
Mr Trump added there will be “some swapping of territories to the betterment of both sides”.
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0:23
‘I’m not against meeting Zelenskyy’
The meeting between the two leaders will be the first US-Russia summit since 2021, when former US President Joe Biden met Mr Putin in Switzerland.
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Mr Trump wrote on Truth Social: “The highly anticipated meeting between myself, as President of the United States of America, and President Vladimir Putin, of Russia, will take place next Friday, August 15, 2025, in the Great State of Alaska. Further details to follow. Thank you for your attention to this matter!”
The meeting was also confirmed by Kremlin aide Yury Ushakov, who said the leaders will “focus on discussing options for achieving a long-term peaceful resolution to the Ukrainian crisis”.
He added that the two presidents could meet in Russia in future and that an invitation has already been extended to Mr Trump.
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Yesterday, Mr Trump had told reporters at the White House that he couldn’t announce where or when the meeting would take place but he would do so soon.
He also suggested that his meeting with the Russian leader could come before any discussion involving Ukrainian President Volodymyr Zelenskyy.
“We’re going to have a meeting with Russia, start off with Russia. And we’ll announce a location. I think the location will be a very popular one,” Mr Trump said.
The US president added: “President Putin, I believe, wants to see peace, and Zelenskyy wants to see peace … in all fairness to President Zelenskyy, he’s getting everything he needs to, assuming we get something done.”
Image: Donald Trump, right, and Vladimir Putin at a summit in Vietnam in 2017. Pic: Reuters
Territory to form part of talks
Speaking about the role that territory will play in the peace talks, Mr Trump said: “You’re looking at a territory that’s been fought over for three-and-a-half years. A lot of Russians have died. A lot of Ukrainians have died.
“So we’re looking at that, but we’re actually looking to get some back, and some swapping.
“It’s complicated, actually. Nothing is easy. It’s very complicated. But we’re going to get some back.
“We’re going to get some switched. There’ll be some swapping of territories to the betterment of both.”
Analysts, including some close to the Kremlin, have suggested that Russia could offer to give up territory it controls outside of the four regions it claims to have annexed.
Pressed on if this was the last chance to make a major peace deal, Mr Trump said: “I don’t like using the term last chance … when those guns start going off, it’s awfully tough to get them to stop.”
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5:24
Trump says he will meet Putin
Western officials ‘to meet in UK’
Meanwhile, senior officials from the US, Ukraine and several European countries are due to meet in the UK this weekend to try and reach common positions ahead of the Trump-Putin meeting, according to Axios.
Ukraine and several NATO allies are reported to be privately concerned that Mr Trump might agree to Mr Putin’s proposals for ending the war without taking their positions into consideration.
Since his return to the White House in January, Mr Trump has moved to mend relations with Russia and sought to end the war – with public comments veering between admiration and sharp criticism of Mr Putin.
In a sign of his growing frustration with Russia’s refusal to halt its military offensive, Mr Trump had threatened to impose new sanctions and tariffs against Moscow – and countries that buy its exports – unless the Kremlin agreed to end the conflict.
A deadline was set for yesterday, but it is unclear whether these sanctions are taking effect, or if they will be delayed or cancelled in light of the talks.
Image: Ukrainian servicemen of the 148th artillery brigade load ammunition into a M777 howitzer before firing in Zaporizhzhia.
Pic: AP
War grinds on ahead of talks
The meeting has been arranged as Russia’s bigger army is slowly advancing deeper into Ukraine at great cost in troops and armour while it relentlessly bombards Ukrainian cities.
Ukrainian forces are locked in intense battles along the 620-mile frontline that snakes from northeast to southeast Ukraine.
The Pokrovsk area of the eastern Donetsk region is taking the brunt of punishment as Russia seeks to break out into the neighbouring Dnipropetrovsk region.