The Trump administration reached a trade deal with Taiwan on Thursday, with Taiwan agreeing to remove or reduce 99% of its tariff barriers, the office of the U.S. Trade Representative said.
The agreement comes as the U.S. remains reliant on Taiwan for its production of computer chips, the exporting of which contributed to a trade imbalance of nearly $127 billion during the first 11 months of 2025, according to the Census Bureau.
Most of Taiwan’s exports to the U.S. will be taxed at a 15% rate, the USTR’s office said. The 15% rate is the same as that levied on other U.S. trading partners in the Asia-Pacific region, such as Japan and South Korea.
Trade Representative Jamieson Greer and Commerce Secretary Howard Lutnick attended the signing of the reciprocal agreement, which occurred under the auspices of the American Institute in Taiwan and the Taipei Economic and Cultural Representative Office in the United States. Taiwan’s Vice Premier Li-chiun Cheng and its government minister Jen-ni Yang also attended the signing.
computer chips, the exporting of which contributed to a trade imbalance of nearly $127 billion during the first 11 months of 2025, according to the Census Bureau.
Most of Taiwan’s exports to the U.S. will be taxed at a 15% rate, the USTR’s office said. The 15% rate is the same as that levied on other U.S. trading partners in the Asia-Pacific region, such as Japan and South Korea.
Trade Representative Jamieson Greer and Commerce Secretary Howard Lutnick attended the signing of the reciprocal agreement, which occurred under the auspices of the American Institute in Taiwan and the Taipei Economic and Cultural Representative Office in the United States. Taiwan’s Vice Premier Li-chiun Cheng and its government minister Jen-ni Yang also attended the signing.
“President Trump’s leadership in the Asia-Pacific region continues to generate prosperous trade ties for the United States with important partners across Asia, while further advancing the economic and national security interests of the American people,” Greer said in a statement.
The Taiwanese government said in a statement that the tariff rate set in the agreement allows its companies to compete on a level field with Japan, South Korea and the European Union. It also said the agreement “eliminated” the disadvantage from a lack of a free trade agreement between Taiwan and the U.S.
The deal comes ahead of President Donald Trump’s planned visit to China in April and suggests a deepening economic relationship between the U.S. and Taiwan.
Taiwan is a self-ruled democracy that China claims as its own territory, to be annexed by force if necessary. Beijing prohibits all countries it has diplomatic relations with — including the U.S. — from having formal ties with Taipei.
Cheng said Taiwan hopes the agreement will make it a strategic partner with the U.S. “so as to jointly consolidate the democratic camp’s leading position in high technology.”
The agreement would make it easier for the U.S. to sell autos, pharmaceutical drugs and food products in Taiwan. But the critical component might be that Taiwanese companies would invest in the production of computer chips in the U.S., possibly helping to ease the trade imbalance.
President Donald Trump on Monday threatened to block the opening of a new Canadian-built bridge across the Detroit River, demanding that Canada turn over at least half of the ownership of the bridge and agree to other unspecified demands in his latest salvo over cross-border trade issues.
“We will start negotiations, IMMEDIATELY. With all that we have given them, we should own, perhaps, at least one half of this asset,” Trump said in a lengthy social media post, complaining that the United States would get nothing from the bridge and that Canada did not use U.S. steel to built it.
The Gordie Howe International Bridge, named after a Canadian hockey star who played for the Detroit Red Wings for 25 seasons, had been expected to open in early 2026, according to information on the project’s website. The project was negotiated by former Michigan Gov. Rick Snyder — a Republican — and paid for by the Canadian government to help ease congestion over the existing Ambassador Bridge and Detroit-Windsor tunnel. Work has been underway since 2018.
It’s unclear how Trump would seek to block the bridge from being opened, and the White House did not immediately return a request for comment on more details. The Canadian Embassy in Washington also did not immediately return a request for comment.
Trump’s threat comes as the relationship between the U.S. and Canada increasingly sours during the U.S. president’s second term. The United States-Mexico-Canada trade agreement is up for review this year, and Trump has been taking a hard-line position ahead of those talks, including by issuing new tariff threats.
Canadian Prime Minister Mark Carney, meanwhile, has spoken out on the world stage against economic coercion by the United States.
“So to shoot yourself in the foot and threaten the Gordie Howe Bridge means that this guy has completely lost the plot on what’s good for us versus just what’s spite against the Canadians,” Slotkin said.
Michigan, a swing state that Trump carried in both 2016 and 2024, has so far largely avoided the brunt of his second-term crackdown, which has targeted blue states with aggressive immigration raids and cuts to federal funding for major infrastructure projects.
Trump and Democratic Gov. Gretchen Whitmer have also maintained an unusually cordial relationship, with the president publicly praising her during an Oval Office appearance last April. The two also shared a hug last year ahead of Trump’s announcement of a new fighter jet mission for an Air National Guard base in Michigan.
While Canada paid for the project, the bridge will be operated under a joint ownership agreement between Michigan and Canada, said Stacey LaRouche, press secretary to Whitmer.
Rep. Shri Thanedar, the Democratic House representative of Detroit, said blocking the bridge would be “crazy” and said Trump’s attacks on Canada weren’t good for business or jobs. “The bridge is going to help Michigan’s economy. There’s so much commerce between Michigan and Canada. They’re one of our biggest partners,” Thanedar said.
Democratic Rep. Debbie Dingell of Ann Arbor brushed aside the president’s threat, saying she’s looking forward to the bridge’s opening later in the spring. “And I’ll be there,” Dingell said.
The Justice Department is taking direct aim at the financial lifelines of Mexico’s most violent drug cartels, targeting money brokers who prosecutors say have adapted to intensified enforcement by increasingly routing drug profits through cryptocurrency from American cities to cartel leaders in Mexico.
The cases of four defendants recently sent from Mexico to the U.S. for prosecution provide a glimpse into shadowy money laundering networks that allow the Jalisco New Generation Cartel and other violent groups to continue pumping dangerous drugs into American communities. The prosecutions underscore the Justice Department’s efforts to turn up the pressure on cartels and stay ahead of their sophisticated and ever-evolving tactics to launder money across the border without detection.
By targeting alleged money brokers — rather than street-level traffickers — prosecutors say they are aiming at a choke point they believe is essential to the cartels sustaining their operations as law enforcement pressure mounts on more visible drug routes.
Since the beginning of President Donald Trump’s second administration, the Mexican government has turned over more than 90 high-level defendants with ties to cartels in three transfers now at the center of a legal debate in Mexico. The defendants were wanted by U.S. prosecutors for crimes including drug trafficking, human smuggling and money laundering.
Senior Justice Department officials say bringing cartel figures to the United States is designed to do more than be a deterrent message. It could also lead to indictments against other high-level leaders if defendants cooperate, allowing prosecutors to reach higher into cartel leadership. Under Trump’s Republican administration, the Justice Department has restructured the Criminal Division to integrate narcotics prosecutors with anti-money laundering experts to better target cartels and to reflect a broader shift toward targeting the financial systems that sustain their operations.
The latest transfers to the U.S. include alleged Mexico-based money brokers, who authorities say oversee the movement of drug proceeds and pocket a percentage of the money that returns to the cartels as a commission, according to court papers. The brokers arrange for cash to be picked up in cities across the U.S. and conceal the money to get it across the border, often through digital assets as law enforcement has cut off other methods.
Prosecutors “want to hear on the distribution side how it works, who is involved, and seek additional indictments, and on the money laundering side, exactly the methods that they are using to get the money out of the United States through the U.S. banks,” Duva said. “There’s bulk cash smuggling that has been going on since the beginning of time, and then also sort of the newer trend of taking the cash, buying cryptocurrency, and then trading that cryptocurrency.”
Eduardo Rigoberto Velasco Calderon, Eliomar Segura Torres, Manuel Ignacio Correa and Cesar Linares-Orozco face money laundering conspiracy charges in indictments filed in Kentucky’s federal court. An attorney for Linares-Orozco declined to comment in an email to the AP, and no attorneys were listed in court papers for the other defendants.
The January transfer of 37 defendants from Mexico to the U.S. marked the third of its kind under Trump’s second term. Observers have described the transfers as an offering by Mexican authorities to offset mounting threats by Trump to take military action against cartels.
A group of lawyers and family members of cartel figures have accused Mexico of breaking the law by sending them without an extradition order. Mexico’s government has maintained the transfers were legal, carried out in the name of national security.
Amazon is slashing about 16,000 corporate jobs in the second round of mass layoffs for the ecommerce company in three months.
The tech giant has said it plans to use generative artificial intelligence to replace corporate workers. It has also been reducing a workforce that swelled during the pandemic.
Beth Galetti, a senior vice president at Amazon, said in a blog post Wednesday that the company has been “reducing layers, increasing ownership, and removing bureaucracy.”
The company did not say what business units would be impacted, or where the job cuts would occur.
The latest reductions follow a round of job cuts in October, when Amazon said it was laying off 14,000 workers. While some Amazon units completed those “organizational changes” in October, others did not finish until now, Galetti said.
She said U.S.-based staff would be given 90 days to look for a new role internally. Those who are unsuccessful or don’t want a new job will be offered severance pay, outplacement services and health insurance benefits, she said.
“While we’re making these changes, we’ll also continue hiring and investing in strategic areas and functions that are critical to our future,” Galetti said.
CEO Andy Jassy, who has aggressively cut costs since succeeding founder Jeff Bezos in 2021, said in June that he anticipated generative AI would reduce Amazon’s corporate workforce in the next few years.
The layoffs announced Wednesday are Amazon’s biggest since 2023, when the company cut 27,000 jobs.
Meanwhile, Amazon and other Big Tech and retail companies have cut thousands of jobs to bring spending back in line following the COVID-19 pandemic. Amazon’s workforce doubled as millions stayed home and boosted online spending.
The job cuts have not arrived with a company on shaky financial ground.
In its most recent quarter, Amazon’s profits jumped nearly 40% to about $21 billion and revenue soared to more than $180 billion.
Late last year after layoffs, Jassy said job cuts weren’t driven by company finances or AI.
“It’s culture,” he said in October. “And if you grow as fast as we did for several years, the size of businesses, the number of people, the number of locations, the types of businesses you’re in, you end up with a lot more people than what you had before, and you end up with a lot more layers.”
Hiring has stagnated in the U.S. and in December, the country added a meager 50,000 jobs, nearly unchanged from a downwardly revised figure of 56,000 in November.
Labor data points to a reluctance by businesses to add workers even as economic growth has picked up. Many companies hired aggressively after the pandemic and no longer need to fill more jobs. Others have held back due to widespread uncertainty caused by President Donald Trump’s shifting tariff policies, elevated inflation, and the spread of artificial intelligence, which could alter or even replace some jobs.
While economists have described the labor situation in the U.S as a “no hire-no fire” environment, some companies have said they are cutting back on jobs, even this week.
On Tuesday, UPS said it planned to cut up to 30,000 operational jobs through attrition and buyouts this year as the package delivery company reduces the number of shipments from what was its largest customer, Amazon.
That followed 34,000 job cuts in October at UPS and the closing of daily operations at 93 leased and owned buildings during the first nine months of last year.
Also on Tuesday, Pinterest said it plans to lay off under 15% of its workforce, as part of broader restructuring that arrives as the image-sharing platform pivots more of its money to artificial intelligence.
Shares of Amazon Inc., based in Seattle, rose slightly before the opening bell Wednesday.
Prominent Republicans and gun rights advocates helped elicit a White House turnabout this week after bristling over the administration’s characterization of Alex Pretti, the second person killed this month by a federal officer in Minneapolis, as responsible for his own death because he lawfully possessed a weapon.
The death produced no clear shifts in U.S. gun politics or policies, even as President Donald Trump shuffles the lieutenants in charge of his militarized immigration crackdown. But important voices in Trump’s coalition have called for a thorough investigation of Pretti’s death while also criticizing inconsistencies in some Republicans’ Second Amendment stances.
If the dynamic persists, it could give Republicans problems as Trump heads into a midterm election year with voters already growing skeptical of his overall immigration approach. The concern is acute enough that Trump’s top spokeswoman sought Monday to reassert his brand as a staunch gun rights supporter.
“The president supports the Second Amendment rights of law-abiding American citizens, absolutely,” White House press secretary Karoline Leavitt told reporters.
Leavitt qualified that “when you are bearing arms and confronted by law enforcement, you are raising … the risk of force being used against you.”
That still marked a retreat from the administration’s previous messages about the shooting of Pretti. It came the same day the president dispatched border czar Tom Homan to Minnesota, seemingly elevating him over Homeland Security Secretary Kristi Noem and Border Patrol chief Greg Bovino, who had been in charge in Minneapolis.
Within hours of Pretti’s death on Saturday, Bovino suggested Pretti “wanted to … massacre law enforcement,” and Noem said Pretti was “brandishing” a weapon and acted “violently” toward officers.
“I don’t know of any peaceful protester that shows up with a gun and ammunition rather than a sign,” Noem said.
White House deputy chief of staff Stephen Miller, an architect of Trump’s mass deportation effort, went further on X, declaring Pretti “an assassin.”
Bystander videos contradicted each claim, instead showing Pretti holding a cellphone and helping a woman who had been pepper sprayed by a federal officer. Within seconds, Pretti was sprayed, too, and taken to the ground by multiple officers. No video disclosed thus far has shown him unholstering his concealed weapon -– which he had a Minnesota permit to carry. It appeared that one officer took Pretti’s gun and walked away with it just before shots began.
A federal judge will hear arguments Monday on whether she should at least temporarily halt the immigration crackdown in Minnesota that has led to the fatal shootings of two people by government officers.
The state of Minnesota and the cities of Minneapolis and St. Paul sued the Department of Homeland Security earlier this month, five days after Renee Good was shot by an Immigration and Customs officer. The shooting of Alex Pretti by a Border Patrol officer on Saturday has only added urgency to the case.
On Monday, President Donald Trump said he is sending border czar Tom Homan to Minnesota. The president’s statement comes after Homeland Security Secretary Kristi Noem and Border Patrol Commander Gregory Bovino, who had become the public face of the administration’s crackdown, answered questions at news conferences over the weekend about Pretti’s shooting. Trump posted on social media that Homan will report directly to him.
Since the original court filing, the state and cities have substantially added to their original request in an effort to restore the order that existed before the Trump administration launched Operation Metro Surge in Minnesota on Dec. 1.
Democratic Minnesota Attorney General Keith Ellison said he plans to attend.
The lawsuit asks U.S. District Judge Katherine Menendez to order a reduction in the number of federal law enforcement officers and agents in Minnesota back to the level before the surge and to limit the scope of the enforcement operation.
Justice Department attorneys have called the lawsuit “legally frivolous” and said “Minnesota wants a veto over federal law enforcement.” They asked the judge to reject the request or to at least stay her order pending an anticipated appeal.
Ellison said during a news conference Sunday that the lawsuit is needed because of “the unprecedented nature of this surge. It is a novel abuse of the Constitution that we’re looking at right now. No one can remember a time when we’ve seen something like this.”
It is unclear when the judge might rule.
The case has implications for other states that have been or could become targets of ramped-up federal immigration enforcement operations. Attorneys general from 19 states plus the District of Columbia, led by California, filed a friend-of-the-court brief supporting Minnesota.
“If left unchecked, the federal government will no doubt be emboldened to continue its unlawful conduct in Minnesota and to repeat it elsewhere,” the attorneys general wrote.
Malaysia and Indonesia have become the first countries to block Grok, the artificial intelligence chatbot developed by Elon Musk’s company xAI, as concerns grew among global authorities that it was being misused to generate sexually explicit and nonconsensual images.
The moves reflect growing scrutiny of generative AI tools that can produce realistic images, sound and text and concern that existing safeguards are failing to prevent their abuse. The Grok chatbot, which is accessed through Musk’s social media platform X, has been criticized for generating manipulated images, including depictions of women in bikinis or sexually explicit poses, as well as images involving children.
Last week, Grok limited image generation and editing to paying users following a global backlash over sexualized deepfakes of people, but critics say it didn’t fully address the problem.
An emailed request for comment by The Associated Press to xAI resulted in an automated reply from the media support email address which stated, “Legacy Media Lies.” This was the same message received from a different email when asked for comment regarding the global backlash.
Regulators in the two Southeast Asian nations said that existing controls weren’t preventing the creation and spread of fake pornographic content, particularly involving women and minors. Indonesia’s government temporarily blocked access to Grok on Saturday, followed by Malaysia on Sunday.
“The government sees nonconsensual sexual deepfakes as a serious violation of human rights, dignity and the safety of citizens in the digital space,” Indonesian Communication and Digital Affairs Minister Meutya Hafid said in a statement Saturday.
The ministry said the measure was intended to protect women, children and the broader community from fake pornographic content generated using AI.
Initial findings showed that Grok lacks effective safeguards to stop users from creating and distributing pornographic content based on real photos of Indonesian residents, Alexander Sabar, director-general of digital space supervision, said in a separate statement. He said that such practices risk violating privacy and image rights when photos are manipulated or shared without consent, causing psychological, social and reputational harm.