The World That Was

Adrian Olivier,

Sunday 6 April – Sunday 13 April:

On Sunday, top U.S. officials said over 50 countries have reached out to begin negotiations in response to President Trump’s sweeping new tariffs, set to take effect Wednesday. The tariffs have shaken financial markets, raised fears of a global recession, and impacted both allies and adversaries, including Israel and Vietnam. Treasury Secretary Scott Bessent said unfair trade practices can’t be resolved quickly and emphasized the need to evaluate offers seriously. Trump, meanwhile, urged resilience, posting “WE WILL WIN. HANG TOUGH.” White House economic adviser Kevin Hassett confirmed that many nations are angry and retaliating but are also coming to the negotiating table. Israeli Prime Minister Benjamin Netanyahu is expected to discuss the tariffs during his upcoming White House visit, along with the war in Gaza. Vietnam has reportedly expressed willingness to eliminate tariffs if a deal is reached. Italian Premier Giorgia Meloni criticized the tariffs but said Italy is prepared to support its businesses through negotiations and economic measures.

On Monday, President Trump announced that the U.S. will begin direct talks with Iran over its nuclear program, set to start on Saturday while warning that Iran would be in “great danger” if the talks fail. Speaking after a White House meeting with Israeli Prime Minister Benjamin Netanyahu, Trump said a deal was preferable to “the obvious” and hinted at possible consequences if diplomacy doesn’t succeed. Netanyahu expressed support for a diplomatic resolution, citing Libya’s 2003 disarmament deal as a model. Trump declined to disclose details about the negotiations but said they would occur at “almost the highest level.” The meeting with Netanyahu, his second in just over two months, also covered Trump’s global tariffs, the Iran issue, and the ongoing Israel-Hamas war. Prior to the meeting, Trump held calls with French President Macron, Egyptian President El-Sisi, and Jordan’s King Abdullah II to discuss de-escalation efforts in the Middle East. Netanyahu also pledged to eliminate Israel’s $7.4 billion trade deficit with the U.S., noting that bilateral trade reached $37 billion last year.

On Monday, Ukraine’s President Volodymyr Zelensky confirmed for the first time that Ukrainian troops are operating in Russia’s Belgorod region to protect border towns in Ukraine. He also acknowledged a continued Ukrainian presence in parts of Russia’s Kursk region, eight months after a cross-border incursion, though much of the territory has since been retaken by Russian forces. In his nightly address, Zelensky said Ukraine’s top commander reported on operations in both regions, calling them “absolutely justified” and emphasizing that the war must be pushed back into Russian territory. He highlighted the role of Ukraine’s 225th Assault Regiment and praised their performance. Zelensky argued that the operation in Kursk has helped reduce Russian pressure on Ukraine’s main front in the Donetsk region by drawing enemy forces away.

On Tuesday, Japan expressed interest in joining NATO’s Ukraine mission command based in Germany, signaling a significant deepening of ties with the European alliance. Japanese Defence Minister Gen Nakatani made the announcement during talks in Tokyo with NATO Secretary-General Mark Rutte, stating that Japan wants to participate in the NATO Security Assistance and Training for Ukraine (NSATU) mission headquartered in Wiesbaden, Germany. While details are still under discussion—including whether Japanese Self Defense Forces would be sent—any involvement would be non-combat, in keeping with Japan’s post-WWII military restrictions. Nakatani said participation would help Japan gain insights from the war in Ukraine and strengthen its security cooperation with NATO. Rutte welcomed the move and emphasized broadening collaboration with Japan across crisis response, cyber defence, maritime security, and defence industry efforts. Japan is part of NATO’s Indo-Pacific 4 (IP4) group, along with South Korea, Australia, and New Zealand.

On Wednesday, President Trump abruptly rolled back steep tariffs on nearly 100 countries just hours after they took effect, a surprising reversal that sent stock markets soaring. However, he simultaneously announced a sharp escalation in tariffs on China, raising them to 125% “effective immediately.” The baseline 10% tariff on nearly all imports will remain in place, Trump said, but the administration is pausing for 90 days the higher “reciprocal” tariffs aimed at so-called trade “bad actors”—with China as the sole exception. An administration official confirmed that Canada and Mexico will continue to be exempt from the 10% baseline tariff and will also retain exemptions on many goods covered under the U.S.-Mexico-Canada trade agreement, despite facing planned 25% tariffs linked to fentanyl and immigration concerns. Markets responded positively. The Nasdaq jumped 12%, the S&P 500 rose 9.5%, and the Dow surged nearly 8%, gaining 2,962 points by market close. Trump said the pause came in response to mounting economic concerns. “They were getting yippy,” he said, referring to nervous investors and advisers. “A little bit afraid.” The 90-day delay gives trading partners time to negotiate new trade deals with the U.S. “Nothing is over yet,” Trump said, suggesting that his aggressive trade actions were necessary to correct global imbalances and claiming several countries—including China—have already signalled willingness to make deals.

On Thursday, the European Union announced it would pause its first round of countermeasures against U.S. tariffs following President Donald Trump’s decision to temporarily ease the sweeping duties he had imposed on dozens of countries. European Commission President Ursula von der Leyen said the EU will hold off on retaliatory tariffs for 90 days to give negotiations a chance. The EU had planned to implement tariffs on about €21 billion ($32.7 billion CAD) worth of U.S. goods starting next Tuesday, targeting imports like maize, wheat, motorcycles, poultry, fruit, and clothing in response to Trump’s 25% tariffs on steel and aluminum. The bloc is still evaluating how to respond to the broader 10% base tariff and potential U.S. duties on cars. “We want to give negotiations a chance,” von der Leyen posted on X, confirming the temporary hold while noting that the countermeasures had strong support from EU member states. Markets reacted sharply. Eurozone bond yields rose, spreads tightened, and investors pulled back expectations of future European Central Bank rate cuts. European stocks rallied on the news.Von der Leyen called Trump’s move “an important step toward stabilizing the global economy” but made clear the EU is keeping its options open. “If negotiations are not satisfactory, our countermeasures will kick in,” she warned, adding that “preparatory work on further countermeasures continues.”

On Friday, U.S. special envoy Steve Witkoff met with Russian President Vladimir Putin in St. Petersburg for high-level talks focused on ending the war in Ukraine. The meeting, held at the presidential library, lasted over four hours, according to Russian state media. The Kremlin confirmed that the talks centred on “aspects of a Ukrainian settlement.” The engagement came as President Donald Trump publicly urged Moscow to accelerate peace efforts. “Russia has to get moving,” Trump wrote on Truth Social. “Too many people (are) DYING, thousands a week, in a terrible and senseless war — a war that should have never happened, and wouldn’t have happened, if I were President!!!” Kremlin spokesperson Dmitry Peskov said the discussions between Putin and Witkoff may include the possibility of a future face-to-face meeting between Putin and Trump, hinting at the potential for renewed direct diplomacy between Washington and Moscow.

On Saturday, Iranian state media reported that Iran and the United States will hold another round of nuclear negotiations next week, following initial talks in Muscat, Oman. This marks the first direct communication between the two nations since President Trump returned to office. U.S. envoy Steve Witkoff and Iranian Foreign Minister Abbas Araghchi briefly spoke face-to-face, a notable shift given the hardline stance of Iranian state media. The White House described the discussions as “very positive and constructive,” while acknowledging the complexity of the issues. The next round is scheduled for April 19.

On Sunday, Hong Kong’s largest pro-democracy party, the Democratic Party, received overwhelming support from its members to begin the process of disbanding, citing increasing pressure and shrinking political freedoms under Beijing’s crackdown. Chairman Lo Kin-hei said over 90% of members backed the motion, with a final vote expected in the coming months. While the party will continue operating in the meantime, leaders acknowledged that the group has become more of a symbolic pressure group. The decision underscores the erosion of Hong Kong’s promised autonomy since its handover from Britain to China in 1997.