Mōrena and welcome to your Monday recap of the key business and political stories making news throughout the world this weekend.
First up, China announced retaliatory tariffs on some Canadian agricultural products, after Canada introduced import duties on Chinese-made electric vehicles, steel and aluminium, CNBC reported.
China said a 100% tariff would be imposed on Canadian rapeseed oil, oil cakes and peas, while a 25% tariff would be introduced on pork from March 20.
“Canada’s unilateral imposition of tariffs disregards objective facts and World Trade Organisation rules, is a typical trade protectionist practice, constitutes a discriminatory measure against China, seriously infringes on China’s legitimate rights and interests, and undermines China-Canada economic and trade relations,” said China’s customs authorities.
Meanwhile, US President Donald Trump expanded the list of goods exempted from tariffs imposed on Canada and Mexico, the BBC reported.
Trump praised his Mexican counterpart, Claudia Sheinbaum. "Our relationship has been a very good one and we are working hard, together, on the border," he said.
European Commission President Ursula von der Leyen said there was no reason to de-risk the bloc’s relationship with the US, Bloomberg reported.
Von der Leyen led a shift in the EU’s relationship with China, but said it was a “clear no” on whether a similar strategy was now needed towards the US.
“It’s a completely different relationship with the United States than we have with China,” she said.
The US decision to suspend aid to Ukraine, as well as intelligence sharing, was “a very strong wake-up call” for Europe to boost its defence capabilities, she added.
Bloomberg also reported that billionaire businessman Elon Musk supported a US exit from Nato, writing on social media that it “doesn’t make sense for America to pay for the defence of Europe”.
The senior adviser to Trump was responding to a post on X that asserted the US should “Exit NATO *now*!”. “We really should,” he responded.
NBC reported last week that Trump had discussed with aides linking US engagement with Nato in a way that favoured members that spent a certain percentage of GDP on defence.
Federal Reserve chair Jerome Powell.
Meanwhile, Federal Reserve chair Jerome Powell said the central bank could wait to see how Trump’s policy actions play out before it moves again on interest rates, CNBC reported.
“[The White House] is in the process of implementing significant policy changes in four distinct areas: trade, immigration, fiscal policy, and regulation,” he said.
“It is the net effect of these policy changes that will matter for the economy and for the path of monetary policy.”
Powell said the Fed did not need to rush any rate decisions. The comments were at odds with growing market expectations for interest rate cuts this year, CNBC reported.
Elsewhere, Russian missiles killed more than 20 people in another night of heavy strikes on Ukraine, CNN reported.
“This is what happens when someone appeases barbarians,” said Polish Prime Minister Donald Tusk. “More bombs, more aggression, more victims. Another tragic night in Ukraine.”
Meanwhile, Ukraine’s presence in Russia’s Kursk region deteriorated sharply, with Ukraine on the back foot, while Russian forces used a gas pipeline to launch a surprise raid.
In the UK, Chancellor Rachel Reeves was preparing to give an important update on her plans to revive the economy later this month, the BBC reported.
Reeves had previously ruled out further tax increases but had difficult decisions to make because of the sluggish economy and global uncertainty.
The Office for Budget Responsibility will publish its forecasts for the UK economy on March 26. It will also provide estimates on the cost of living and whether the government could stick to its borrowing and spending.
Recent data showed UK economic growth had been sluggish – expanding just 0.1% in the December quarter last year.
UK Chancellor Rachel Reeves.
Finally, let’s ease into Monday with some beats. King Charles III has created a personal playlist of music that lifts his spirits and celebrates music from Commonwealth countries, the BBC reported.
"Throughout my life, music has meant a great deal to me," the King said.
“It has that remarkable ability to bring happy memories flooding back from the deepest recesses of our memory, to comfort us in times of sadness, and to take us to distant places.”
The full list of tracks will be published this week to mark Commonwealth Day. The list is expected to include Bob Marley, Kylie Minogue, and Grace Jones.
