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Economy
Trump Trade 'Deal' With UK Ripped as Another 'Con on American Workers'
"At this point the goal of policy seems to be to goose the market for the next few days, with no long-term plan."
May 08, 2025
U.S. President Donald Trump on Thursday unveiled the framework of a trade deal with the United Kingdom that was extremely light on details despite being billed as a "full and comprehensive agreement," leading critics to describe the fanfare surrounding the announcement as a cynical photo op for both sides.
In a statement, U.K. Prime Minister Keir Starmer touted the deal as "historic" while acknowledging that it is incomplete. Trump insisted the deal is "maxed out," though he told reporters in the Oval Office that "the final details are being written up in the coming weeks."
U.S. Agriculture Secretary Brooke Rollins, meanwhile, described the agreement as one "in concept," drawing comparisons to Trump's widely derided statement on the campaign trail that he had a "concept of a plan" on healthcare.
Melinda St. Louis, Global Trade Watch director at Public Citizen, said Thursday that "Trump may have enjoyed having his ego stroked by Starmer and [U.S. Commerce Secretary Howard] Lutnick fawning over him for 'closing' a deal—one that is obviously not actually done—but his con on American workers continues."
"The American and British people need to see whatever text there is or is developed in ongoing talks—and no deal should be approved or go into effect without going through proper on-the-record public comment processes and congressional oversight," said St. Louis. "We need to know, for instance, when they claim to address 'non-tariff barriers,' just what giveaways for Big Tech may be inserted on behalf of Elon Musk and Trump's other tech-bro billionaire buddies, given that he waved around Big Tech's wish list when he announced the tariffs."
"With claims of dozens more 'deals' in progress," St. Louis added, "Congress must act swiftly to demand transparency and accountability in any trade deal before Trump and his team sell off our country for parts behind closed doors."
According to summaries released by the Trump White House and U.K. government, the bilateral trade framework would leave in place the 10% tariff rate that Trump has applied to all imports to the U.S. while providing targeted tariff relief for the British auto, steel, and aluminum industries.
The White House also said, without providing specific details, that the deal would "significantly expand U.S. market access in the U.K., creating a $5 billion opportunity for new exports for U.S. farmers, ranchers, and producers."
The U.K. is the first country to announce an agreement in principle with Trump since he unilaterally imposed tariffs on imports to the U.S. last month, invoking emergency authority. The U.S. ran a trade surplus with the U.K. last year, and experts questioned the extent to which the terms of the agreement broadly outlined Thursday would change the trade dynamic between the two countries.
"At this point the goal of policy seems to be to goose the market for the next few days, with no long-term plan," suggested economist Paul Krugman.
Around the world, stocks rose in response to the U.S.-U.K. announcement.
Nick Dearden, director of the U.K.-based advocacy group Global Justice Now, said that Thursday's events were primarily "about appeasing Trump"—but cautioned that worse could be coming in the near future.
"While there are limited tariff reductions, we remain in a much worse position than we were six months ago," Dearden argued. "What's more, Trump could impose new tariffs at any time because Starmer has proven to him that his threats work: caving in to a bully is not something to be celebrated. Today's press conference also fires the starting gun on a genuinely scary, fuller trade deal, and there are strong indications our rights, standards, and protections will be up for grabs in that larger agreement."
"Unless we stand up to this deal, the British public will pay a very high price for Starmer's friendship with Donald Trump," Dearden added.
In a blog post published ahead of Thursday's announcement, Dearden warned that the new framework could set the stage for a deal that locks the U.K. "into policies that favor the unchecked growth of tech monopolies: deregulated AI, increased corporate access to NHS data, and restrictions on our ability to rein in Silicon Valley giants."
"Worse may be coming unless we stop treating trade negotiations as a matter of royal prerogative," wrote Dearden. "We need a modern, democratic process for international agreements—transparent, accountable, and inclusive. But Starmer has shown that such reform won't be gifted by those in power. It must be demanded."
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Experts Warn Fed Remarks Show Trump Policies Brewing 'Perfect Storm for a Recession'
"Donald Trump's tariffs mean you could suffer higher prices and lose your job AT THE SAME TIME," said Sen. Elizabeth Warren.
May 07, 2025
Alex Jacquez from the progressive think tank Groundwork Collaborative issued a stark warning to the U.S. public on Wednesday in response to a statement from the Federal Reserve committee that sets interest rates.
The new statement from the Federal Open Market Committee (FOMC) "provides further evidence that a perfect storm for a recession is brewing" under U.S. President Donald Trump, said Jacquez, Groundwork's chief of policy and advocacy. "Barely 100 days into Trump's second term, working families are already being crushed by sticky inflation and slowing growth."
"A Trump-engineered recession will devastate working families, but the president refuses to stand down on his failed trade war, no matter the cost," added Jacquez, who previously advised former President Barack Obama and Sen. Bernie Sanders (I-Vt.).
The FOMC said Wednesday that "the risks of higher unemployment and higher inflation have risen," and opted to keep the federal funds rate at 4.25-4.5%. The committee has maintained the rate for the past three meetings, following a series of cuts last year.
Trump on Sunday pushed for a rate cut, and though he has backed off a threat to try to oust Fed Chair Jerome Powell, the president "could reconsider if the economy stumbles in the coming months," The Associated Pressreported Wednesday.
According to the AP:
Asked at the press conference whether Trump's calls for lower rates [have] any influence on the Fed, Powell said, "[It] doesn’t affect doing our job at all. We're always going to consider only the economic data, the outlook, the balance of risks, and that's it."
If the Fed were to cut rates, it could lower other borrowing costs, such as for mortgages, auto loans, and credit cards, though that is not guaranteed.
Addressing Trump's evolving tariff policy, Powell said Wednesday that "if the large increases in tariffs that have been announced are sustained, they're likely to generate a rise in inflation, a slowdown in economic growth, and a rise in unemployment."
Sharing a video of his remarks on social media, Sen. Elizabeth Warren (D-Mass.) stressed that Trump's tariffs mean higher prices.
Donald Trump's tariffs mean you could suffer higher prices and lose your job AT THE SAME TIME. Forget dolls, families will be forced to make impossible choices between necessities like food, housing, and health care.
[image or embed]
— Elizabeth Warren ( @warren.senate.gov) May 7, 2025 at 3:13 PM
In a Wednesday blog post, former Labor Secretary Robert Reich wrote: "Recall that last November, the single biggest reason voters gave in exit polls for choosing Trump was that he'd bring prices down... Although Trump has scaled back some tariffs and paused others as he seeks trade deals with foreign nations, his tariffs are already eating into household budgets."
Reich highlighted comments about price hikes from companies whose products include everything from baby supplies and laundry detergent to paper towels and tools. He also emphasized that "tariffs will particularly hurt small businesses."
"This bodes ill for American workers, since 80% of U.S. employment comes from small businesses with fewer than 500 workers. The likely result: higher unemployment," he explained, projecting price hikes and job losses this month. "But here's the question: Will consumers and workers realize Trump is the cause? And if they do, will they remember this by the November 2026 midterm elections?"
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By Confirming Bisignano, Senate GOP Greenlights 'DOGE Destruction of Social Security'
"Their playbook is clearly to break Social Security so they can justify further cuts and privatization," one labor leader warned.
May 06, 2025
Defenders of the Social Security Administration sounded the alarm on Tuesday after U.S. Senate Republicans banded together to confirm President Donald Trump's pick to lead the federal agency, former financial services executive Frank Bisignano.
The new SSA commissioner—confirmed with a 53-47 vote along party lines—has described himself as a "DOGE person," referring to Trump's Department of Government Efficiency, which is led by billionaire Elon Musk.
"Elon Musk and Donald Trump, with the quiet help of Frank Bisignano, have spent the last few months taking a chainsaw to Social Security," said Nancy Altman, president of the advocacy group Social Security Works. "This vote was an opportunity for the Senate to reject the decimation of Social Security, and demand that Trump nominate a commissioner who will stop the bleeding. Instead, every Senate Republican just signed off on the DOGE destruction of Social Security."
Bisignano "is a Wall Street CEO with a long history of slashing the companies he runs to the bone, including massive layoffs," she noted. "He is also a liar. He claims he was not involved in all the chaotic and destructive changes at the Social Security Administration: the hollowing out of the agency, the stealing of our most sensitive data, the harmful and poorly rolled out policy changes, their sudden reversals, and more. However, there are well over a dozen long-serving civil servants, identified by a brave whistleblower, who can validate that he is lying."
Altman warned that "with Bisignano's increased power as a confirmed commissioner, he will accelerate the destruction of our Social Security system. One ray of hope is that the DOGE henchmen running Social Security have reversed course on some of the biggest cuts in the face of massive public outrage. They know how popular Social Security is with voters of all parties."
"Together, we can save Social Security from Trump, Musk, and Bisignano," she added. "It's going to take millions of people in the street raising our voices together, saying hands off our Social Security."
American Federation of State, County and Municipal Employees (AFSCME) president Lee Saunders similarly said that "the Senate just escalated threats to Social Security" by confirming a billionaire CEO who "has spent his career catering to Wall Street elites."
"Bisignano could have stood up for working families and retirees by opposing efforts to roll back Social Security services, shut down offices, and lay off thousands of workers. Instead, he promises to provide more of the same failed, destructive leadership we have seen so far at Social Security," Saunders pointed out, also flagging his "DOGE person" remarks.
"Their playbook is clearly to break Social Security so they can justify further cuts and privatization," the labor leader stressed, vowing that AFSCME members "are keeping up the fight to protect our freedom to retire with dignity."
Richard Fiesta, executive director of the Alliance for Retired Americans, called the confirmation vote "deeply troubling to millions of current and future retirees who rely on the guaranteed benefits they paid for and earned through a lifetime of work."
"Mr. Bisignano's testimony before the Senate, along with his long career in the finance and tech sectors, provides no reassurance that he understands—let alone prioritizes—the needs of older and disabled Americans," said Fiesta. "We remain alarmed by the risk that he will support privatization schemes or replace essential SSA workers with AI systems, which could undermine the quality and accessibility of services."
Newly elected Democratic National Committee Chair Ken Martin also blasted the Senate GOP for confirming "a Wall Street stooge and self-proclaimed 'DOGE person' who wants to help Donald Trump and his shadow president Elon Musk gut the program."
"Just like Trump and Musk, Bisignano will gladly put Social Security on the chopping block to line the pockets of billionaires and special interests," Martin added, arguing that the men put the benefits of 73 million people at risk.
Members of the Senate Democratic Caucus, including Minority Leader Chuck Schumer (D-N.Y.), also warned of the danger posed by the new commissioner. In Schumer's words, "The nomination of Mr. Slash-and-Burn Bisignano is DOGE by another name."
"Donald Trump and Republicans know they can't admit they want to kill Social Security outright, so instead they're choosing another method: strangulation. Office closures, delays, mass layoffs, trouble over the phone, trouble over email. Bisignano would bring even more strangulation," Schumer said before the vote. "If Mr. Bisignano is confirmed, Senate Republicans will own all of the chaos he creates at the Social Security Administration."
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Trump Tariffs Seen as 'Baby Tax' as Costs Soar for Parenting Essentials
"His tariff policies are making it harder and more expensive to prepare for a new baby or raise kids, and his solution is to tell parents to buy fewer toys for their children," said the head of the Groundwork Collaborative.
May 06, 2025
The progressive think tank Groundwork Collaborative on Tuesday highlighted how U.S. President Donald Trump's sweeping tariffs are effectively a "baby tax" paid by parents, given rising prices of everything "from car seats to sippy cups."
"President Trump's economic policies are an affront to young families," said Groundwork Collaborative executive director Lindsay Owens in a statement. "His tariff policies are making it harder and more expensive to prepare for a new baby or raise kids, and his solution is to tell parents to buy fewer toys for their children."
"While the president works overtime to give his billionaire donors a massive tax giveaway, he's placing a baby tax on every parent across the country," added Owens, referencing an effort to get a package containing more tax cuts for the rich—paid for by gutting the social safety net—through the GOP-controlled Congress.
"He's placing a baby tax on every parent across the country."
Citing the Juvenile Products Manufacturers Association (JPMA)—which has directly pressured Trump to "exclude all juvenile products" from tariffs on Chinese imports—The New York Timesreported Friday that "about 90% of durable baby and children's products sold in the United States are manufactured overseas, with the vast majority produced in China."
Noting that statistic, Groundwork focused on the costs of some essentials for babies and young children, including clothes, cribs, high chairs, sippy cups, and toys. For example, the group pointed out, the car seat and stroller companies Evenflo, Nuna, and UPPAbaby have recently announced price hikes.
"This represents a major challenge for parents, as car seats—which can run over $400—are required by law in all 50 states and should be bought new due to safety concerns," Groundwork said. "New parents spend, on average, $1,000 on baby safety gear."
As for strollers—or, as Trump put it, "the thing that you carry the babies around in"—UPPAbaby's Vista "just increased from $900 to $1,200," Groundwork continued. "Or, for a cheaper option, Bombi's flagship stroller now costs $225 instead of $199."
Some companies, including UPPAbaby, have made clear that the price increases are a direct result of Trump's evolving tariff policy.
"Due to rising import tariffs, updated pricing will go into effect on May 5th, 2025 across most UPPAbaby products," the company explained in a blog post last month. "If tariffs are reduced or lifted, we'll reassess pricing as quickly as business operations allow."
UPPAbaby is also among 13 U.S.-based companies that launched an advertising campaign calling tariffs a "baby tax," as The Washington Postreported last week. The ad declares that "becoming a parent is one of life's greatest joys, one our country should champion, not tax."
In addition to UPPAbaby chief executive Bob Monahan, the ad is signed by the CEOs of Babylist, Ergobaby, Frida, Guava Family, Hatch Baby, Lalo, Million Dollar Baby Co., Mockingbird, Munchkin, Nanit, Owlet, and Willow Innocations.
Groundwork highlighted Tuesday that "the CEO of popular baby accessory brand Munchkin, Steve Dunn, said the company will increase prices on about 90% of products, likely by at least 20%. Their cheapest high chair is currently $170."
Crib costs are also a concern. "Three-quarters of all baby furniture is made in China," Groundwork noted. "Get ready for some sleepless nights: the popular smart bassinet SNOO is manufactured in China and might soon cost more than its current $1,695 price tag."
Additionally, the clothing giant "Carter's has already raised prices on many items," which often come from Bangladesh, Cambodia, India, and Vietnam, and "Mattel CFO Anthony DiSilvestro has warned of possible price hikes as 40% of Mattel toys come from China," the think tank added.
Groundwork's statement was released as a bipartisan group called the Cost Coalition officially launched on Tuesday. Its goal, according toThe Associated Press, is "to highlight Trump's struggle to control rising costs."
"In 100 days, Donald Trump put the best-performing economy in the world on a crash course toward recession. Trump's tariffs—the biggest middle class tax hike in modern history—are making everyday prices skyrocket and wreaking havoc for businesses large and small," said Terry Holt, a former spokesperson for Republican leaders, and Andrew Bates, who was a Democratic spokesperson, in a joint statement to the AP.
"Next up are grossly inflationary tax cuts for the wealthy that will only saddle future generations with staggering debt," Holt and Bates continued. "Whether you're a Republican, Democrat, or anything else, Donald Trump's agenda is an economic crisis threatening your livelihood and standard of living."
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