Crypto News: Courting Trump on tariffs

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It's a quirk of Vietnam that it's run by a Communist government but still among the world's most trade-dependent nations.

As a key supplier to the US of everything from clothing to footwear and computers, Vietnamese officials worked tirelessly for months to avoid US tariffs.

They were hit by a 46% levy regardless, among the highest rates on the list of some 60 countries alongside other Southeast Asian nations that took the brunt of President Donald Trump's reciprocal tariffs.

Trump during his tariffs announcement in the Rose Garden of the White House on Wednesday. Photographer: Kent Nishimura/Bloomberg

Vietnam runs the third-highest trade surplus with the US, behind China and Mexico. Officials pledged to rectify the gap by removing trade barriers and importing US energy. Prime Minister Phạm Minh Chính said the national carrier was looking at spending billions on Boeing jets.

In the end, it wasn't enough, underscoring the hurdles for the region as it attempts to appease Trump.

Cambodia, facing the highest individual tariff of any Asian economy at 49%, promised to lower rates for some US goods from 35% to 5%. Indonesia, with a 32% levy, pledged to ease trade rules and is sending a delegation to Washington. Malaysia, as current chair of the Association of Southeast Asian Nations, will lead efforts to coordinate a response.

Waiting in the wings as always is China, with President Xi Jinping reportedly planning a three-nation trip to the region this month. Even if demand is weak at home, Beijing has taken up the mantle as a leading advocate of a multipolar world order the US created, and which it now appears to be abandoning.

It's unclear to what extent Xi stands to gain ground in a region where tensions are already high with some countries as a result of China's outsized economic presence and vast claims over disputed territory.

But as the US stuns traditional allies and rivals alike, tipping the global economy toward recession, it's a dynamic worth watching closely. — Philip Heijmans

WATCH: Trump said he wasn't intentionally fueling a market selloff, in comments aboard Air Force One.

Global Must Reads

China's policymakers discussed measures over the weekend to stabilize the economy and markets roiled by Trump's tariffs, sources say, including whether to accelerate plans to unleash stimulus to bolster consumption. As the fallout spreads, read our Big Take here on how the American investor class is quickly coming to terms with its much-diminished status: from corporate executives counting their stock options to the billionaire hedge-fund moguls and everyone in between, they're merely collateral damage now.

Fresh talks between Russia and the US toward a ceasefire in Ukraine are expected as soon as this week, Kremlin negotiator Kirill Dmitriev said in a state TV interview that aired hours after Moscow's forces fired a ballistic missile at Kyiv, killing at least one person. It was unclear from his comments who would be involved in the negotiations, or even whether there would be in-person meetings.

Iran warned against any military aggression while reiterating its commitment to regional peace and a civilian nuclear program in its official response to a recent letter from Trump. An Israeli official, meanwhile, said that along with tariffs, Prime Minister Benjamin Netanyahu will discuss the Iranian nuclear program, the war in Gaza and the situation in Syria during talks with Trump in Washington today.

After locking in political backing for a grand plan to ramp up investment in infrastructure and the armed forces, German Chancellor-in-waiting Friedrich Merz now needs to work out how to spend the money — anything but a straightforward task in a country that often struggles to get things done. Meanwhile, a senior official from Merz's conservative Christian Democratic Union said he's optimistic talks with the Social Democrats on forming the next government can conclude before Easter.

French far-right leader Marine Le Pen called on supporters to join her in "patriotic resistance" after she was found guilty of embezzlement and given a five-year ban on running for office. Addressing a rally in Paris yesterday, Le Pen described last week's court verdict as a political "witch hunt," echoing comments made by Trump critical of her trial.

Le Pen during the National Rally demonstration at Place Vauban in Paris yesterday. Photographer: Anita Pouchard Serra/Bloomberg

South Africa is in talks to secure loans from Germany and the UK under the terms of a climate pact the US walked away from last month, evidence that countries that remain part of the Just Energy Transition Partnership are pushing ahead with the program.

Serbian President Aleksandar Vučić nominated political novice Djuro Macut for prime minister, hoping to quell public discontent after the previous government quit in the face of protests triggered by a deadly roof collapse at a train station.

A deal to sell off TikTok's US operations, reportedly advanced by a consortium of US investors including Oracle and Blackstone, has been stalled by China's objections to new tariffs, Trump said yesterday.

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Chart of the Day

Wealthy individuals hailing from Europe, the Middle East and Africa have been exiting Britain since early 2024 amid a wave of tax reforms. The most unsettling measure is the scrapping at the weekend of a preferential regime for non-domiciled residents, which allowed individuals to avoid UK taxes on their overseas earnings for as long as 15 years. The amendments are discouraging many foreigners from buying homes in the UK, particularly in the flashiest parts of London.

And Finally

When Trump slapped bigger-than-expected tariffs on imports from around the world, some Americans lamented pending price hikes for Champagne, Parmesan and Ferraris. But the impact goes far beyond specialist foods and luxury cars. As the new levies take effect, manufacturers and suppliers of everything from supermarket goods to shoes and sunglasses, and beauty products to sex toys, have to figure out how much of the extra cost to pass on to customers.

Former US President Joe Biden with his Ray-Ban aviator sunglasses. Photographer: Chip Somodevilla/Getty Images

Thanks to the 36 people who answered Friday's quiz, and congratulations to José Goenaga, who was first to correctly identify South Sudan as the country which stands on the brink of another civil war after its vice president was placed under house arrest.