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US to tighten trade rules to hit low-cost China shipments

The United States unveiled a new rule Friday to tighten an exemption allowing low-value imports to enter the country duty-free, taking aim at Chinese shipments that might be benefiting from it.The proposal disqualifies certain products from the low-value, or “de minimis,” exemption, which allows goods valued at $800 or below to come into the United States without paying duties or certain taxes.”Both the volume and combined worth of low-value, or de minimis, shipments to the United States have risen significantly over the past ten years,” said Secretary of Homeland Security Alejandro Mayorkas in a statement.He added that the exemption has “undermined American businesses and workers” while allowing foreign products to flood US ports of entry, making it harder to screen the goods for security risks.”The actions announced today to tighten this exemption will strengthen America’s economic and national security,” he said.The number of shipments claiming the exemption rose from about 139 million in fiscal year 2015 to more than a billion in 2023.US officials have pointed to the growth of Chinese-founded online retailers Shein and Temu — known for selling items at low prices — as a key factor behind this increase.National Economic Advisor Lael Brainard accused Chinese-founded e-commerce platforms of trying to “gain an unfair trade advantage” by using the rules.With the new proposed rule, products subject to tariffs imposed under Section 301 of the Trade Act, for example, would not qualify for duty-free treatment under the de minimis exemption.The section has been a key tool used to justify levies against China in recent years.Section 301 tariffs hit about 70 percent of Chinese textile and apparel imports, meaning the move would reduce the number of shipments entering through this exemption.Packages containing products subject to Section 232 tariffs on steel and aluminum goods, as well as Section 201 safeguards impacting solar manufacturing, are also targeted.In a notice on Friday, US Customs and Border Protection (CBP) said low-value e-commerce shipments pose the same risks as higher-value ones.The large volume of imports and smaller amount of data received about low-value shipments make it increasingly tough to “target and block illicit synthetic drugs such as fentanyl and synthetic drug raw materials and related manufacturing equipment from entering the country,” said the CBP.In 2024, more than 120 US lawmakers raised “grave concerns” over the de minimis “trade loophole” in a letter and urged President Joe Biden to close it.Further action on the matter will fall to incoming President-elect Donald Trump, who takes office next week.

Trump inauguration moved indoors due to extreme cold

Donald Trump confirmed that his inauguration as US president on Monday will move indoors due to expected freezing weather, undercutting the Republican’s hopes for a grandiose spectacle to kick off his second term.”There is an Arctic blast sweeping the Country,” Trump wrote on his Truth Social feed on Friday. “Therefore, I have ordered the Inauguration Address, in addition to prayers and other speeches, to be delivered in the United States Capitol Rotunda.”The change of plan means Trump will not stand on the Capitol steps overlooking the National Mall, which traditionally hosts a large crowd to welcome new presidents. The Rotunda, an ornate, round hall under the dome of Congress, can typically only hold a few hundred people.Washington is forecast to be well below freezing on Monday, with gusty winds adding to the cold.Preparations have already been made in Washington for a huge influx of visitors — including thousands of chairs neatly lined up on the Mall — but most will now have to watch on television.It’s the first time the emergency measure has been taken since the 1985 inauguration of Ronald Reagan, also due to dangerously cold weather.In his post, Trump said that “various Dignitaries and Guests” will attend the events inside the Capitol, including prayers, the inaugural address and the singing of the anthem.The Republican, who has built a political brand around his large rallies, said supporters could watch the event on a live feed in Washington’s Capital One sports arena — and that he would go there after.Trump — who at 78 will be the oldest person ever to assume the presidency — said the ceremonies in the Rotunda “will be a very beautiful experience for all, and especially for the large TV audience!””We will open Capital One Arena on Monday for LIVE viewing of this Historic event, and to host the Presidential Parade. I will join the crowd at Capital One, after my Swearing In.”Trump supporter Matthew Medill, visiting Washington from more balmy California, said some will be disappointed, but “we are expecting a lot of excitement and a lot of jubilation — it doesn’t matter what the weather is.”- Who’s was bigger? -After his first inauguration in 2017, Trump was infuriated by reports that his crowd on the Mall was distinctly smaller than the turnout for Barack Obama in 2009.Trump claimed more than 1.5 million supporters thronged the Mall, far in excess of Obama’s crowd, and his  spokesman announced that the inauguration had been the most attended ever.However, this was immediately proven to be a lie, with aerial photos showing a far sparser crowd at Trump’s event than at Obama’s.The switch this time means Trump will miss out altogether on the traditional address to a sea of people, while looking out toward the soaring Washington Monument.However, as a former reality TV star, Trump will embrace the potential for television-friendly theatrics, both in the elegant Rotunda and afterward in the arena.”This will be a very beautiful experience for all, and especially for the large TV audience!” Trump posted.Capital One Arena, home of the Washington Wizards basketball team and ice hockey’s Washington Capitals, has a seating capacity of around 20,000.Before the decision to scrap the outdoor event, more than 220,000 tickets were distributed to the public via lawmakers’ offices.People braving the cold can still catch a glimpse of the newly sworn-in president as he travels down Pennsylvania Avenue from the Capitol to the White House.The White House, Capitol and parts of the Pennsylvania Avenue parade route are already ringed by eight-foot high (2.4-meter) metal barriers. And around 25,000 law enforcement and military personnel are converging on Washington, according to US Secret Service special agent Matt McCool.The country’s ninth president, William Henry Harrison, decided to ignore bitter weather at his 1841 inauguration, hoping to demonstrate his vigor, given that he was the oldest man elected to the job at that stage, at 68 years old.He went out without a coat or hat — and died a month later from pneumonia.

Ex-CIA analyst guilty of leaking docs on Israel plans to strike Iran

A former CIA official pleaded guilty Friday to leaking top secret US intelligence documents about Israeli military plans for a retaliatory strike on Iran.Asif Rahman, 34, who worked for the Central Intelligence Agency since 2016 and held a top secret security clearance, was arrested by the FBI in Cambodia in November.Rahman faces up to 20 years in prison after pleading guilty in a federal court in Virginia to two counts of willful retention and transmission of national defense information.Iran unleashed a wave of close to 200 ballistic missiles on Israel on October 1 in retaliation for the killings of senior figures in the Tehran-backed Hamas and Hezbollah militant groups.Israel retaliated with a wave of strikes on military targets in Iran in late October.According to a court filing, Rahman, on October 17, printed out two top secret documents “regarding a United States foreign ally and its planned kinetic actions against a foreign adversary.”He photographed the documents and used a computer program to edit the images in “an attempt to conceal their source and delete his activity,” it said.Rahman then transmitted the documents to “multiple individuals he knew were not entitled to receive them” before shredding them at work.”Rahman also destroyed multiple electronic devices, including a personal mobile device and an internet router he used to transmit classified information,” the filing said, discarding the destroyed devices in public trash bins.The documents, circulated on the Telegram app by an account called Middle East Spectator, described Israeli preparations for a possible strike on Iran but did not identify any actual targets.According to The Washington Post, the documents, generated by the US National Geospatial-Intelligence Agency, described aviation exercises and movements of munitions at an Israeli airfield and the leak led Israeli officials to delay their retaliatory strike. “Mr Rahman betrayed the trust of the American people by unlawfully sharing classified national defense information he swore an oath to protect,” Assistant Attorney General Matthew Olsen said in a statement.Sentencing was set for May 15.

TikTok’s US future in limbo after Supreme Court ruling

The US Supreme Court on Friday upheld a law that could force TikTok to shut down in the United States, potentially cutting off the app’s 170 million users  within days.The unanimous ruling, which found the law does not violate free speech rights, dealt a major blow to TikTok and created uncertainty about what will happen when the ban takes effect on Sunday.The court agreed with the government’s national security concerns about Chinese company ByteDance’s ownership of the app. The White House-backed legislation, passed overwhelmingly by Congress last year, requires ByteDance to either sell TikTok or cease US operations by January 19. ByteDance has firmly rejected selling its US operation, a stance also taken by Beijing, which has denounced the law as theft.The justices acknowledged that, “for more than 170 million Americans,” the social media giant “offers a distinct and expansive outlet for expression, means of engagement, and source of community.”But, the court concluded, “Congress has determined that divestiture is necessary to address its well-supported national security concerns regarding TikTok’s data collection practices and relationship with a foreign adversary.”Even if the ban now stands, the Biden White House said it won’t enforce it, leaving the matter to incoming president Donald Trump. Trump, who opposes the ban, discussed TikTok with Chinese President Xi Jinping on Friday.”The Supreme Court decision was expected, and everyone must respect it,” Trump wrote on Truth Social as he said he would need time to find an alternative to the ban. The Department of Justice noted that enforcing the law “will be a process that plays out over time,” in a potential sign that it does not intend to carry out the law for now.Despite the court defeat, TikTok CEO Shou Chew thanked Trump for his “commitment to work with us to find a solution.”Trump “truly understands our platform,” he added.TikTok has been lobbying furiously to thwart the law’s implementation with Chew set to attend Trump’s inauguration on Monday.The law requires Apple and Google to remove TikTok from their app stores, blocking new downloads. The companies could face penalties of up to $5,000 per user who can access the app.Chew gave no indication on whether TikTok would unilaterally shut down its app in the US when the ban kicks in, as reported in US media.TikTok’s lawyer Noel Francisco had warned the platform would shut down Sunday in case of a legal defeat.- ‘Viable deal’ -Trump’s incoming national security advisor Mike Waltz told Fox News the administration would work “to keep TikTok from going dark,” noting the law allows a 90-day delay if the White House can show progress toward “a viable deal.” Frank McCourt, former Los Angeles Dodgers owner, has expressed interest in leading a purchase of TikTok’s US activity and said he’s “ready to work with the company and President Trump to complete a deal.”The ban would hugely benefit US-owned rivals Instagram Reels and YouTube Shorts, but influencers said that TikTok’s unique abilities could not be matched.”Making videos and reaching people on TikTok is so much easier than a lot of a lot of other platforms,” said Nathan Espinoza, who has more than 500,000 followers on TikTok.Courtney Spritzer, head of digital marketing agency Socialfly, said TikTok creators were in “great uncertainty.” Among advertisers, “some are betting there will be a shutdown while others are more optimistic that it will continue to exist after Sunday.”

US grounds SpaceX’s Starship rocket pending probe

The US Federal Aviation Administration on Friday grounded SpaceX’s Starship pending an investigation by Elon Musk’s company into why the rocket’s upper stage dramatically disintegrated in a fiery cascade over the Caribbean during its latest test flight.According to procedure, SpaceX will now be required to carry out a “mishap investigation” — including the identification of any corrective actions, which the FAA will review before determining the launch vehicle can return to flight. Or, SpaceX may submit a request to return to flight before the probe is finished if it completes a filing that demonstrates it has taken preventative measures and that the mishap did not jeopardize public safety.”The FAA is requiring SpaceX to perform a mishap investigation into the loss of the Starship vehicle during launch operations on Jan. 16,” the agency said.  “There are no reports of public injury, and the FAA is working with SpaceX and appropriate authorities to confirm reports of public property damage on Turks and Caicos.”It added that during the event, it briefly activated a “Debris Response Area” protocol to slow aircraft outside the area where the debris was falling, or stop aircraft at their departure location.”Several aircraft requested to divert due to low fuel levels while holding outside impacted areas.”Starship is the biggest, most powerful rocket ever built, and is key to Musk’s ambitions of colonizing Mars. NASA meanwhile hopes to use a modified version of the rocket as a human lunar lander for its Artemis missions to return to the Moon. Thursday’s uncrewed launch was Starship’s seventh orbital test, and the first involving a taller, upgraded version of the rocket.SpaceX, which dominates the commercial launch market through its workhorse Falcon 9 rocket, underscored its technical prowess by catching Starship’s first stage booster in the “chopstick” arms of its launch tower for a second time. But the triumph was short-lived when teams lost contact with the upper stage vehicle. SpaceX later confirmed it had undergone “rapid unscheduled disassembly,” the company’s euphemism for an explosion.

Trump readies for triumphant, but icy, inauguration

Donald Trump will complete an extraordinary comeback on Monday when he is sworn in for a second term as US president — although his inauguration will be moved indoors due to an arctic blast.Apparently stronger and more unpredictable than ever, the Republican will be inaugurated at the US Capitol before making a triumphant return to the White House that he left in disgrace four years earlier.For the 78-year-old Trump it will cap a remarkable journey that saw him defy two assassination attempts and a historic criminal conviction to seize back the presidency from Joe Biden.But expected freezing weather will deprive the image-conscious Trump of the icing on the cake — the traditional ceremony on the steps of the Capitol in front of a large crowd. The billionaire will instead be sworn in and give his inaugural address in the domed Rotunda, for the first time since Republican icon Ronald Reagan in 1985.Trump’s inaugural parade will then be held at a sports arena in Washington — the same venue where Trump is hosting a star-studded “Make America Great Victory Rally” on Sunday.The rally on the eve of the inauguration will reportedly feature the world’s richest man Elon Musk, while the Village People, the band behind his signature song “Y.M.C.A.”, have confirmed they will perform.- ‘Golden age’ -America and the world will be watching Trump’s inaugural speech to see how he sets the tone for a presidency that many expect to be even more volatile than his first. Since the election that tone has veered between promises of a “golden age” and vows of vengeance against his enemies — coupled with outlandish territorial threats against Greenland and Panama and promises of sweeping tariffs.Trump’s official photo as the 47th US president — and the first to be a felon — even bears a striking resemblance to a viral 2023 mugshot taken in another criminal case.He is also expected to quickly issue executive orders on key topics including migration, and to pardon some of the pro-Trump rioters who attacked the Capitol on January 6, 2021.But the guest list for Trump’s inauguration underscores how the man whose 2016 victory shocked the world has now become the new normal for American politics.Musk and fellow billionaires Jeff Bezos of Amazon and Mark Zuckerberg of Meta will all reportedly attend, highlighting the tech moguls’ efforts to court Trump.Outgoing president Biden, 82, warned of a dangerous “oligarchy” around the top of Trump’s government in a dark farewell speech from the Oval Office on Wednesday.On his final full day in office on Sunday, the Democrat is set to visit a Black church and museum in Charleston in South Carolina while Trump is rallying in Washington.- Star guests -Where many celebrities shunned Trump’s inauguration in 2017, this time country star Carrie Underwood will sing “America the Beautiful” during the inauguration. And his MAGA rally on Sunday will see Trump return to arguably his favorite part of politics — the campaigning where he fired up huge crowds with grievance-filled speeches.Overall the contrast could not be bigger with Trump’s first swearing-in, which was largely overshadowed a row over the size of the crowd on the National Mall, initiated by his spokesman.Things were very different four years ago too.Trump left the White House in disgrace after the Capitol riots by protesters supporting his false claims to have beaten Biden in the 2020 election, while Biden pledged to heal post-Trump America.Written off by many, Trump nevertheless succeeded in capitalizing on voter frustration with Biden’s age, the state of the economy and record numbers of illegal migrants to secure his comeback.The challenge now is for Trump — who will supersede Biden as the oldest person in US history to be sworn in as president — to deliver.He will enter the White House with higher ratings than his last term, according to a CNN poll, but must hope the US economy stays positive.

Trump inauguration to be moved indoors due to cold

Donald Trump said Friday that his inauguration as US president on Monday will be moved indoors due to expected freezing weather.”There is an Arctic blast sweeping the Country,” Trump wrote on his app Truth Social. “Therefore, I have ordered the Inauguration Address, in addition to prayers and other speeches, to be delivered in the United States Capitol Rotunda.”The dramatic change of plan means Trump will not stand on the Capitol steps overlooking the National Mall, which traditionally hosts a large crowd to welcome in new presidents.The last time a president took the oath of office indoors was Ronald Reagan in 1985, who also moved the ceremony into the Capitol’s ornate Rotunda due to dangerously cold weather.Washington is forecast to be well below freezing on Monday, with the wind adding to the cold.In his post, Trump said that “various Dignitaries and Guests” will attend the events inside the Capitol, including prayers, Trump’s inaugural address, and singing of the anthem.However, the Republican, who has built a political brand around his staging of large rallies, said supporters could watch the event on a live feed in Washington’s Capital One sports arena — and that he would go there after.Trump, 78, said the ceremonies in the Rotunda “will be a very beautiful experience for all, and especially for the large TV audience!””We will open Capital One Arena on Monday for LIVE viewing of this Historic event, and to host the Presidential Parade. I will join the crowd at Capital One, after my Swearing In.”

Biden grants clemency to 2,500 people, most ever in a day

President Joe Biden on Friday commuted the sentences of nearly 2,500 people convicted of non-violent drug offenses in what the White House called the largest single-day act of clemency in US history.Those whose sentences were commuted were serving “disproportionately long sentences” compared to what they would receive today, Biden said in a statement.He called the move “an important step toward righting historic wrongs, correcting sentencing disparities, and providing deserving individuals the opportunity to return to their families.””With this action, I have now issued more individual pardons and commutations than any president in US history,” Biden said, adding that he may issue further commutations or pardons before he hands over power to President-elect Donald Trump on Monday.The outgoing president said those receiving clemency had received lengthy sentences based on now-discredited distinctions between crack and powder cocaine, which have disproportionately impacted the Black community.Historically, there have been considerably more crack cocaine convictions involving Black offenders than whites and the disparate sentencing policy has been condemned as racist.Kara Gotsch, executive director of The Sentencing Project, which campaigns for prison reform, welcomed the White House clemency action, saying it would provide “relief for countless families who have endured punishments for loved ones that far exceed their utility.””Cruel and excessive prison sentences that have overwhelmingly harmed Black communities have been the cornerstone of federal drug policy for generations,” Gotsch said in a statement. “American communities, disproportionately Black and Brown, have long borne the scars of the Drug War.”Biden commuted the sentences of nearly 1,500 people and pardoned 39 others last month.Among those pardoned in December was Biden’s son Hunter, who was facing a possible prison sentence after being convicted of gun and tax crimes.Biden has meanwhile reportedly been debating whether to issue blanket pre-emptive pardons for some allies and former officials amid fears they could be targeted for what Trump has previously called “retribution.”In December, Biden also commuted the death sentences of 37 of the 40 inmates on federal death row.Three men were excluded from the move: one of the 2013 Boston Marathon bombers, a gunman who murdered 11 Jewish worshippers in 2018 and a white supremacist who killed nine Black churchgoers in 2015.Trump has indicated that he will resume federal executions, which were paused while Biden was in office.

Trump homeland security pick calls border ‘number one’ threat

US Homeland Security secretary nominee Kristi Noem said Friday weaknesses at the southern border are the country’s “number one threat” as she set out her vision for the department that will oversee Donald Trump’s promised immigration crackdown.  The South Dakota governor would be in overall charge of Customs and Border Protection and Immigration and Customs Enforcement (ICE) — agencies on the front line of US efforts to get to grips with a surge in undocumented migrants in recent years.The department also leads on cybersecurity, terrorism and federal emergency management — another hot-button issue in the wake of last year’s two devastating hurricanes and the ongoing wildfires in Los Angeles. Noem, 53, is best known internationally for sinking her chances of being Trump’s vice-presidential pick with her cheerful admission that she had shot her dog, Cricket, because it was “untrainable.”Despite her state’s distance from Mexico, Noem sent National Guards troops to the frontier, earning plaudits from the Republican right.In her opening statement, she said the southern border would be a top priority, asserting America’s “responsibility to secure our borders against those who would do us harm,” while stressing that the system must be fair and lawful.Underlining her focus on the issue, she was asked about domestic terrorism but pivoted back to the border.”This is a grave concern for our country, as we all agree that the number one threat to our homeland security is the southern border,” she said.Illegal immigration was a key topic in November’s election, and Trump’s promises to seal the border and carry out the largest deportation program in American history appeared to resonate at the ballot box.- ‘No political bias’ -After the election, Trump named as his new “border czar” Tom Homan, a former acting director of ICE who oversaw a policy that separated parents and children at the border.Noem, who would be his boss, appeared to have robust support from Republicans who are in the Senate majority and will ultimately decide her future.But the job is considered a pressure cooker, and Trump went through six permanent or acting Homeland Security secretaries during his first term.The Democratic appointee that Noem would replace, Alejandro Mayorkas, was a target of Republican fury as illegal entries across the southern border soared in 2023 and he was impeached last year.Homeland Security Committee Chairman Rand Paul described the 260,000-employee DHS as an agency that “epitomizes unchecked power” and “demands rigorous scrutiny.”He said Noem would have the task of restoring “transparency and accountability” to a bureaucracy that had “lost its way.”Democrats did not give Noem the hard time that other nominees have experienced, and the opening exchanges were cordial.”Governor, thank you again for your willingness to serve in this incredibly important position,” said Gary Peters, the panel’s top Democrat.While much of the questioning focused on immigration, Noem was asked to address the distribution of disaster aid, with Trump and other Republicans suggesting relief for fire-ravaged California should be conditioned on the actions of the state’s Democratic leaders.”Under my leadership at the Department of Homeland Security, there will be no political bias to how disaster relief is delivered to the American people,” she pledged.Newly released financial disclosures reveal that Noem made $139,750 in an advance payment for the memoir in which she recounted how she shot and killed her disobedient family pet.

Russia, Iran harden military and trade ties in new pact

Russia and Iran signed a new treaty on Friday underpinning their economic and military cooperation, in what both sides cast as a major milestone in their relations.Moscow has looked to the Islamic republic as a strategic ally since sending troops into Ukraine in February 2022, worrying Western officials who see both as malign actors on the world stage.The two sides agreed to help each other counter common “security threats”, according to a copy of the text published by the Kremlin. But they stopped short of a mutual defence pact like the one signed between Russia and North Korea last year.They also agreed that if either side was subjected to aggression, the other would not provide “assistance to the aggressor”.Russian President Vladimir Putin and his Iranian counterpart Masoud Pezeshkian, who signed the agreement together at a ceremony in the Kremlin, both hailed the accord as a new chapter in their ties.”This truly breakthrough document is aimed at creating the necessary conditions for the stable and sustainable development of Russia and Iran and our entire Eurasian region,” Putin said.Pezeshkian said the pact would “open a new chapter in relations between Iran and Russia in all fields, especially in the field of economic cooperation.”- ‘All areas’ -The two sides agreed to “support trade and economic cooperation in all areas”, a key point as both sides ramp up trade in the face of heavy Western sanctions on their energy industry.They also agreed to cooperate on training military personnel, as well as to formalise the docking of warships and vessels at each others’ ports.The agreement did not explicitly reference the exchange of weapons, an area of cooperation that the West has slapped with sanctions.Iran has already supplied Russia with self-detonating “Shahed” drones that Moscow fires on Ukraine in nightly barrages, according to Ukrainian and Western officials.Sitting next to Putin in the Kremlin after signing the treaty, Pezeshkian called for a political settlement to end the nearly three-year conflict.”I would like to remind that war is not a suitable solution to solve problems and we welcome negotiations and achieving peace between the two countries of Russia and Ukraine,” he said.Moscow and Tehran had been working on a new treaty for years. Their previous relationship was governed by a 2001 document they have renewed periodically.They share a complicated history. Iran and Russia fought wars in the 18th and 19th centuries over land in the Caucasus, and the Soviet Union and Britain launched a joint invasion of Persia during World War II.- ‘Global hegemony’ -Russian President Vladimir Putin has made building ties with Iran, China and North Korea a cornerstone of his foreign policy as he seeks to challenge what he calls as a US-led “global hegemony” and amid his Ukraine offensive.Tehran has also sought closer ties with Moscow, after suffering a series of foreign policy setbacks last year.A rebel offensive overthrew Russian and Iranian-backed Syrian leader Bashar al-Assad last month, and a war between Israel and Tehran-ally Hezbollah substantially weakened the Islamist militant group.Speaking ahead of a fragile truce between Israel and the Iran-backed Hamas that was due to come into force, Pezeshkian said he hoped a “permanent ceasefire will be established in Gaza and the aggressions on this land will end”.Putin also expressed hope for a “long-term stabilisation” in Gaza and called for the world not to “weaken efforts for a comprehensive settlement of the Palestinian-Israeli conflict on the basis of international law”.Pezeshkian’s visit to Russia also comes just days before Iran-hawk Donald Trump returns to the White House.The US President-elect, who is seeking a rapid end to the conflicts in Ukraine and the Middle East, has made repeated military threats against the Islamic republic.During his first term, the Republican pulled out of a multinational deal that provided Iran sanctions relief in exchange for restrictions on its nuclear programme.In 2020, Iranian Revolutionary Guards commander Qasem Soleimani was assassinated in a US drone strike in Iraq on Trump’s orders, prompting a wave of fury in Iran.Trump last year warned the US would “wipe (Iran) off the face of the Earth” if a recent alleged Iranian plot to kill him had been succesful.