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President Trump announced a $1,776 “warrior dividend” payment to nearly 1.5 million US service members in an address to the nation on Wednesday evening.
“In honor of our nation’s founding in 1776, we are sending every soldier $1,776,” Trump said, adding: “We made a lot more money than anybody thought because of tariffs, and the bill helped us along. Nobody deserves it more than our military.”
Trump did not say how the program would be enacted or funded. But even before the “warrior dividend,” Trump had floated at least nine different plans for how revenue from his tariffs could be spent, according to an analysis from Yahoo Finance’s Ben Werschkul.
The promises have included everything from sending Americans $2,000 tariff dividend checks to paying for the tax cuts that Republicans instituted over the summer.
But after lifting some tariffs on items like coffee, oranges, and cocoa, monthly tariff revenues dropped, from $31.35 billion received in October to $30.76 billion last month. That marks the first decrease since Trump began implementing the duties.
Looming over all the tariff talk is the Supreme Court decision that could not only invalidate most of the new tariffs, but possibly force the government to issue refunds of up to $100 billion.
The administration announced a $12 billion bailout fund for farmers on Dec. 9, as the agricultural sector has been hard hit by tariff fallout. That money “would not be possible without tariffs,” the president said.
The affordability focus comes amid an increased push on Americans’ price concerns. In a recent interview, Trump allowed he may look for “some” additional carveouts, weeks after his administration slashed tariffs on items like beef, coffee, and bananas.
Read more: What Trump’s tariffs mean for the economy and your wallet
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The office of Canadian Prime Minister Mark Carney said on Thursday that Canada and the US will launch formal discussions to review their free trade agreement in mid-January. But discussions on key sectors was unlikely, with Carney saying the issue would be covered in a planned review of the United States-Canada-Mexico (USMCA) trade pact next year.
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Trump gave the green light for Nvidia (NVDA) to sell some of its more powerful H200 chips to China. The US president said that China’s Xi Jinping had responded “positively” to the move.
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Several US companies, such as Costco (COST), have filed lawsuits and claims to the US government for tariff refunds in the belief Trump’s tariffs will be struck down by the US Supreme Court. If the courts rule against Trump’s tariffs, the president may be forced to repay billions of dollars in collected revenue from imports.
LIVE 171 updates
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Canada and the US to launch formal talks to review their free trade agreement in mid-January
The office of Canadian Prime Minister Mark Carney confirmed on Thursday that the US and Canada will start formal discussions to review their free trade agreement in mid-January.
Carney confirmed to his provincial leaders that Dominic LeBlanc, the country’s point person for US-Canada trade relations, “will meet with US counterparts in mid-January” to launch talks.
President Trump imposed 25% tariffs on Canadian goods in February 2025, shortly after his inauguration, due to his concerns over illegal migration and fentanyl smuggling.
Canada retaliated in March with a 25% surtax on $30 billion worth of US goods. In July/August, annoyed with the lack of cooperation, Trump increased the rate to 35%. Fast-forward to October: The Ontario provincial government, led by Premier Doug Ford, launched a $75 million ad campaign in the US titled “Stronger Together,” featuring the late former US President Ronald Reagan, who spoke out against tariffs.
However, the bite of Trump’s tariffs on Canada has been questioned due to the United States-Mexico-Canada Agreement (USMCA), which allows most goods to trade freely between the countries. That agreement is up for review next year.
The AP reports:
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Nike shares slump as tariffs and China struggles continue
Bloomberg News reports:
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