No reprieve from Trump

Welcome to Balance of Power, bringing you the latest in global politics. If you haven't yet, sign up here.For all the warm smiles and firm h

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Welcome to Balance of Power, bringing you the latest in global politics. If you haven't yet, sign up here. For all the warm smiles and firm handshakes, Benjamin Netanyahu's White House meeting with President Donald Trump was ominous for other leaders looking to get tariffs eased. The Israeli prime minister was the first to meet with Trump since the US announced a range of levies on almost all countries last week. As strong allies, the encounter was a test of whether Trump was willing to budge and, if so, what he'd ask for in return. Israel had already said it would cancel customs duties on American products.  The result? The 17% US tariff on Israeli goods, which blindsided Netanyahu's government, remains in place. WATCH: Trump threatened to impose additional 50% import taxes on China. Netanyahu seems to have come away empty-handed yesterday, despite Israel being the US's closest partner in the Middle East, with the two coordinating closely over the war in Gaza and on Iran. He said he would work to "eliminate" Israel's trade surplus with the US — the biggest of any nation in the region, larger still if Israel's tech-software exports are included. "We intend to do it very quickly," Netanyahu said. "We think it's the right thing to do." Trump seems to regard the right thing for him is to hold fast until he gets a deal. He praised Japan's government for rushing to negotiate. The US president has shown no sign of backing down with anyone, however. He rejected a European Union proposal to drop tariffs on all bilateral trade in industrial goods, meaning his 20% tariff on EU imports is due to land tomorrow. Tensions with China are worsening: Beijing said Trump's threat to retaliate against Chinese counter-tariffs is a "mistake on top of a mistake." It all suggests that there's little prospect of the world's biggest economies reaching a deal on trade anytime soon. That's bad news for the global economy. It's also dire for the geopolitical outlook.— Paul Wallace Trump and Netanyahu outside the White House yesterday. Photographer: Al Drago/Bloomberg

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Trump said his administration had approved a defense budget in the "vicinity" of $1 trillion, calling it "the biggest one we've ever done for the military." Officials have yet to release the budget request for fiscal year 2026 as the government is operating under a stopgap funding measure for this year. Iran confirmed it will hold talks with the US this weekend in Oman, following months of rising tensions over the Islamic Republic's nuclear program. The negotiations, according to Iran's state-run Nour News, will be led by Iranian Foreign Minister Abbas Araghchi and Steve Witkoff, Trump's special envoy for the Middle East, while Oman's foreign minister, Badr Albusaidi, will mediate. Canada said a China-backed network pushed stories about Prime Minister Mark Carney in a bid to influence the electorate ahead of an April 28 election. China attempted to interfere in Canada's two most recent national votes but didn't affect the outcome or undermine their integrity, a public inquiry concluded last year. A BlackRock-led consortium's deal to buy two ports at either end of the Panama Canal from a unit of Hong-Kong based CK Hutchison was thrown into doubt after the central American country's top auditor accused the operator of wrongdoings and owing millions in dues. The Panama government launched its audit shortly after Trump began pushing to rid the trade route of Chinese influence. The Port of Balboa at the Pacific entrance of the Panama Canal. Photographer: Walter Hurtado/Bloomberg A divided US Supreme Court let Trump resume using a wartime law to deport alleged Venezuelan gang members, a boost for the government in a high-profile clash over the limits of presidential power. Singapore's People's Action Party, which has been in power for the past 60 years, could secure at least 40% of votes if a general election were held tomorrow, according to a YouGov survey. South Africa's Democratic Alliance is deeply divided about staying in the country's ruling coalition with the African National Congress after a standoff over the budget. Robert F. Kennedy Jr. plans to tell public health officials to stop recommending fluoridation of drinking water, a key tenet of the health secretary's Make America Healthy Again agenda, the AP reported.

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Chart of the Day

A plunge in Rheinmetall shares tempted the German defense group's chief executive officer to spend more than €710,000 ($781,000) increasing his stake, and he's already showing a profit. After opening down 27% yesterday, the stock erased all its declines. Armin Papperger's bet may help soothe investor nerves after Trump fueled an accelerated flight from risk assets.

And Finally

Libertarian President Javier Milei is removing all vestiges of Peronism as he re-brands Argentina as a free-market haven, airbrushing out the predominantly leftist political movement that has governed for roughly half of the past seven decades. Images of Eva Peron have been torn off the walls of government offices, while statues of subsequent Peronist leaders have been carted away and names removed from prominent buildings in downtown Buenos Aires. But Milei's had more success tearing down physical symbols of the populist old guard than he's had untangling the web of red tape it left behind.  Milei and former President Cristina Fernández de Kirchner, Argentina's most prominent Peronist, at the National Congress in 2023. Photographer: Fernando Gens/picture alliance/Getty Images

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