Business
U.S. Government Shutdown Enters Third Week as Partisan Divide Worsens
U.S. Government Shutdown Enters Third Week as Partisan Divide Worsens
The political standoff in the United States has deepened as the government shutdown entered its third week on Monday, with Republicans and Democrats still unable to reach a compromise on a new funding bill to reopen federal operations.
The prolonged closure has left hundreds of thousands of federal workers furloughed, major public institutions such as the Smithsonian museums and the National Zoo closed, and key services like air traffic control under increasing strain.
Despite mounting frustration from citizens and mounting economic concerns, both parties remain entrenched in their positions, showing no immediate signs of compromise.
At the heart of the stalemate is a fierce disagreement over health care spending.
Senate Democrats have refused to support a short-term funding bill unless Republicans agree to restore subsidies under the Affordable Care Act (ACA) and reverse President Donald Trump’s cuts to Medicaid.
Republicans, on the other hand, insist that the government must first reopen before any policy negotiations can take place, accusing Democrats of “holding the budget process hostage.”
The impasse underscores the deep mistrust that has defined relations between both parties — now nine months into Trump’s second term.
While recent opinion polls suggest that a majority of Americans blame Republicans for the crisis, neither side has yet to gain a clear political advantage from the standoff.
Standoffs escalated further on Friday after the Trump administration dismissed hundreds of government employees, a move widely condemned as politically motivated and unprecedented in modern U.S. governance.
The White House defended the layoffs as part of broader “efficiency measures,” but critics say it was an attempt to pressure Democrats and consolidate control over key agencies.
Several of the terminations were later reversed after widespread confusion within government departments, exposing what observers described as chaotic management inside the administration.
In a bid to control the public narrative, President Trump assured that military personnel would continue to receive pay, presenting himself as a leader defending national security in difficult times.
He accused Democrats of “holding the government hostage”, saying they were using civil servants as bargaining chips.
However, Democrats have countered that narrative, accusing Trump of politicising the civil service and inflicting avoidable hardship on working families.
“This president is trying to turn public service into a political tool,” Senator Mark Kelly said. “It’s an attack on civil servants and the very idea of an independent government.”
Within the Republican camp, signs of internal friction are beginning to show.
While House Speaker Mike Johnson and Vice President JD Vance have maintained that Democrats are to blame for prolonging the shutdown, some lawmakers — including Marjorie Taylor Greene and Kevin Kiley — have criticised their leadership’s refusal to reconvene Congress to negotiate an end to the crisis.
Party insiders warn that the shutdown could deepen divisions within the GOP ahead of next year’s midterm elections, especially if the public continues to associate the crisis with Republican inflexibility.
Across the United States, the economic toll is beginning to bite.
Local businesses dependent on federal contracts are reporting losses, tourism has slowed, and public frustration is mounting, particularly in Washington, D.C., where government operations remain partially paralysed.
Unions representing furloughed workers have staged demonstrations in several cities, demanding that both sides return to the negotiating table.
Economists estimate that the shutdown could cost the U.S. economy billions of dollars if it extends into a fourth week.
For now, the standoff shows no sign of easing. Both parties appear determined to hold their ground — each calculating that the other will bear the greater political cost of public anger.
Until one side finds more advantage in compromise than confrontation, the shutdown — and the hardship it inflicts — may continue indefinitely.
Business
US Threatens New Tariffs on UK, EU, China, 57 Others
US Threatens New Tariffs on UK, EU, China, 57 Others
The United States has announced plans to impose fresh tariffs of between 10 and 12.5 per cent on imports from dozens of countries over concerns that they have failed to do enough to curb the trade in goods produced through forced labour.
The move marks the second major tariff initiative by the administration of President Donald Trump since the US Supreme Court struck down a significant portion of his earlier import duties in February.
According to the US Trade Department, the proposed tariffs would affect 60 trading partners that collectively account for almost all goods imported into the United States.
The department said the measures were aimed at countries that have either failed to prohibit the importation of goods made with forced labour or have not effectively enforced existing restrictions.
Announcing the proposal, US Trade Representative Jamieson Greer said the continued trade in goods linked to forced labour created unfair competition for American workers.
“It creates a dynamic where American workers are forced to compete globally on an unlevel playing field,” Greer stated.
The proposed tariffs have yet to take effect, as the Trump administration is expected to complete the necessary legal and regulatory processes before implementation.
The action follows an investigation launched in March by Greer into whether major US trading partners had taken adequate measures to prevent the importation of products made wholly or partly through forced labour.
Findings from the investigation indicated that 54 countries had “failed to impose a legal prohibition on the importation of goods produced wholly or in part with forced labour and to effectively enforce such a prohibition.”
The report further stated that six trading partners — the European Union, Canada, Ecuador, Indonesia, Mexico and Pakistan — had failed to effectively enforce existing bans on imports linked to forced labour.
Under the proposal, a 10 per cent tariff would be imposed on imports from countries and blocs including the European Union, United Kingdom, Canada, Mexico, Pakistan, Argentina, Bangladesh, Cambodia, Guatemala, Malaysia and Taiwan.
The remaining 45 countries, including China and India, would face higher duties of 12.5 per cent.
Reacting to the announcement, the British government maintained that it was taking steps to address forced labour concerns within supply chains, while China rejected allegations that goods produced through forced labour were entering global markets.
The European Union, however, described the proposed tariffs as unjustified.
An Indian trade analyst characterised the move as a pressure tactic aimed at strengthening Washington’s position in ongoing trade negotiations with New Delhi.
Business
Nigeria Grants Rwandans 30-Day Visa-Free Entry to Boost African Integration, Trade
Nigeria Grants Rwandans 30-Day Visa-Free Entry to Boost African Integration, Trade
The Nigerian Government has commenced a 30-day visa-free entry policy for Rwandan nationals, in a move aimed at strengthening continental integration, boosting trade, and enhancing mobility under the African Continental Free Trade Area (AfCFTA) framework.
The policy, which takes immediate effect across all entry points, follows an announcement by President Bola Tinubu at the Africa CEO Forum held in Kigali, Rwanda, where he reiterated Nigeria’s commitment to easing movement across African borders.
In a statement issued on Thursday, the Nigeria Immigration Service (NIS) confirmed that operational arrangements had been concluded for the full implementation of the directive at airports, land borders and seaports nationwide.
Under the new arrangement, Rwandan citizens will be allowed to enter Nigeria without a visa for up to 30 days for legitimate purposes, including tourism, business engagements and official visits.
The Service, however, clarified that visitors wishing to stay beyond the approved period must obtain the appropriate visa through Nigerian diplomatic missions abroad or apply via the Nigeria e-Visa platform.
“Under this bilateral arrangement, Rwandan nationals may enter Nigeria without a visa for a period not exceeding thirty (30) days for lawful purposes, including tourism, business, and official engagements,” the statement read.
The NIS said the policy reflects the strengthening diplomatic relationship between Nigeria and Rwanda, while also aligning with broader African efforts to promote free movement of persons, trade facilitation and economic cooperation across the continent.
It added that the initiative underscores Nigeria’s commitment to regional integration under the AfCFTA agreement, which seeks to create a single African market for goods and services.
“The Nigeria Immigration Service notes that this initiative reflects the strong diplomatic and bilateral relations between the Federal Republic of Nigeria and the Republic of Rwanda, while promoting intra-African mobility, tourism, and economic cooperation in line with continental aspirations,” the agency said.
The Service reaffirmed its readiness to ensure safe, orderly and lawful migration in line with international standards and the Federal Government’s Renewed Hope Agenda.
The visa waiver comes amid growing continental momentum toward easing intra-African travel barriers, as several countries push policies aimed at improving economic linkages, tourism flows and regional investment opportunities.
Business
Trump Threatens Higher Tariffs on EU if Trade Talks Fail
Trump Threatens Higher Tariffs on EU if Trade Talks Fail
United States President, Donald Trump, has threatened to impose “much higher” tariffs on the European Union if the bloc fails to remove its levies on American goods before July 4, escalating fresh tensions in transatlantic trade relations.
Trump issued the warning after a phone conversation with European Commission President Ursula von der Leyen, stating that the EU must agree to zero tariffs on U.S. exports or face steep economic consequences.
“I agreed to give her until our Country’s 250th Birthday or, unfortunately, their Tariffs would immediately jump to much higher levels,” Trump said.
In response, von der Leyen said the European Union was making “good progress towards tariff reduction” ahead of the deadline, while reaffirming commitment to ongoing negotiations between both sides.
The tariff dispute comes amid renewed uncertainty over a trade agreement reached last year between Washington and Brussels, which initially proposed a 15 per cent tariff on EU exports to the United States, while Trump had earlier pushed for a 30 per cent levy on European goods.
Although the deal received conditional backing from the European Parliament in March, lawmakers inserted safeguards requiring assurances that the United States would also honour its commitments, particularly concerning steel and aluminium exemptions.
Under the proposed arrangement, EU legislators insisted they would only accept zero tariffs on U.S. goods if European exports made with steel and aluminium were excluded from Trump’s global 50 per cent tariffs on the metals.
Despite parliamentary progress, final approval still depends on agreement from all 27 EU member states, while further negotiations are expected to continue later this month in Strasbourg.
Ahead of Trump’s latest comments, European Parliament chief negotiator Bernd Lange said discussions were progressing but warned that “there is still some way to go.”
However, tensions were further complicated hours after Trump’s threat when a United States trade court ruled that his latest 10 per cent global tariffs were not justified under U.S. trade law, potentially opening the door to further legal challenges.
The court ruling, though limited in scope, questioned the legal basis used by the Trump administration under Section 122 of the 1974 Trade Act, which allows temporary tariffs to address balance of payments deficits.
Trump had previously introduced the sweeping 10 per cent levy in February, following earlier legal and political disputes over his so-called “freedom day” tariffs.
While the court decision does not immediately block the tariffs nationwide, it applies to import duties involving two companies and could encourage wider legal opposition.
With negotiations ongoing and legal uncertainty mounting, analysts say the dispute signals a renewed phase of economic friction between the United States and the European Union.
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