Tariff concerns have heightened to such an extreme level that China and Japan are discussing deepening ties. Donald Trump may be awarded a Nobel Peace Prize for that one. Japan and China, along with South Korea, held their first trade discussions in half a decade where they agreed to navigate US tariffs.

One of the aspects that made the US economy great was consumerism. Other nations lined up for the opportunity to sell goods to US citizens. But now that tariffs will heavily impact the price of goods, nations are looking for new buyers.

The Regional Comprehensive Economic Partnership (RCEP) went into effect in 2022 to lower trade barriers between 15 Asian nations. However, ongoing tensions have caused the partnership to reach a stalemate of sorts. The alliance includes 10 ASEAN members (Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand, Vietnam) and five regional partners (Australia, China, Japan, New Zealand, South Korea). India withdrew from the alliance but the option to rejoin is on the table. This bloc covers 30% of GLOBAL GDP and includes 30% of the world’s population or 2.2 billion people.

“It is necessary to strengthen the implementation of RCEP, in which all three countries have participated, and to create a framework for expanding trade cooperation among the three countries through Korea-China-Japan FTA negotiations,” said South Korean Trade Minister Ahn Duk-geun, referring to the Regional Comprehensive Economic Partnership.

“The three countries exchanged views on the global trade environment, and as you can see in the joint statement, they shared their understanding of the need to continue economic and trade cooperation,” the South Korean trade ministry spokesperson said.

Breaking down America’s trade with these three nations alone:

China exported $143.5 billion in goods to the US in 2024, down 2.9% from the year prior. The US imported $438.9 billion to China, up 2.8% form the year prior. The nations have a $295.4 billion trade deficit, a 5.8% YoY increase. The top US imports were electrical equipment ($127.1 billion), machinery ($85.1 billion), and toys/games ($32 billion).

Japan exported $79.7 billion in goods to the US in 2024, up 5.4% from 2023. The US imported $148 billion to Japan last year, up 0.7% YoY. The trade deficit between the two nations fell by 4.3% on an annual basis to $68 billion. The top US imports were vehicles ($45.4 billion), machinery ($26.5 billion), and electronics ($20.7 billion).

South Korea imported %127.8 billion to the US in 2024, up 10.5% from 2023. US imports to South Korea totaled $135.5 billion. The two nations have an estimated $7.7 trade deficit. The top US imports were vehicles ($45.4 billion), machinery ($26.5 billion), and electronics ($20.7 billion).

Note that autos/vehicles account for a substantial portion of US trade with South Korea and Japan. China’s auto sector has been rapidly expanding. The government has been providing mass subsidies to manufacturers and China already has the materials needed to create vehicles without any reliance on the US or West.

Technology was reportedly in the spotlight during discussions. China is willing to import semiconductor raw materials to Japan and South Korea. Japan and South Korea are willing to sell chip products to China.

Now the RCEP was expected to add $186 billion to the global economy before the US announced tariffs. Again, this alliance accounts for 30% of the global population. China’s middle class continues to grow and nations are now realizing that there are buyers outside the US. America will lose its spot as the financial capital of the world to China, as the computer has been predicting, once the world begins lining up to sell goods to China instead.

Companies are beginning to move production to the United States to avoid tariffs. “President Trump’s economic polices are simple: if you invest in and create jobs in America, you’ll be rewarded. We’ll lower regulations and reduce taxes,” Vice President J.D. Vance posted online. “But if you build outside of the United States, you’re on your own.”

Hyundai announced a massive $20 billion investment in the United States with plans to open plants in Georgia and Alabama. Around $5.8 million will go towards an updated steel plant that is expected to employ over 1,400 people. Hyundai believes it will soon produce over 1 million cars in America per year.

Eli Lilly is sending $27 million to the US economy as it enhances domestic pharmaceutical production, equating to a total of $50 billion in US manufacturing since 2020. Johnson & Johnson also plans to invest $55 billion in domestic drug manufacturing over the next four years and will build a new biologics facility in North Carolina.

GE Aerospace plans to invest $1 billion to “strengthen manufacturing and increase the use of innovative new parts and materials needed for the future of flight.” The company will increase operations across 16 states, with plans to hire 5,000 new employees.

Apple announced one of the largest investment plans to the tune of $500 billion over the next five years. The company plans to build advanced AI server manufacturing factory in Texas and will double the size of its Advanced Manufacturing Fund from $5 to $10 billion. Apple will need to fill over 20,000 new positions.

Taiwan Semiconductor Manufacturing Company (TSMC) is set to invest $165 billion into creating new plants and R&D centers. Nvidia also plans to begin manufacturing highly desired semiconductor chips in the US over the next four years.

Tariffs are not helpful overall, but US manufacturing was at a standstill. The Inflation Reduction Act promised to fund the Infrastructure Investment and Jobs Act that was intended to expand American manufacturing, but regulation and an emphasis on clean energy initiatives drove business away. The Biden Administration had promised to add 1 million manufacturing jobs to the US but failed miserably. So far, there is a bit of success behind the push for US manufacturing and job creation, but the overall burden of tariffs will have a wider impact on the global economy. The latest ADP report shows a 21,000 increase in manufacturing jobs, but it is too early to know if the trend will continue.

Donald Trump signed an executive order that will require voters to show ID before voting for proof of citizenship, a move that has angered Democrats to the point of filing charges against the president.

The Democratic National Committee (DNC), House Minority Leader Hakeem Jeffries (D-NY), and Senate Minority Leader Chuck Schumer (D-NY) have filed a suit with the United States District Court of Columbia, accusing the president of “conspiratorial beliefs” and “election denialism.”

“Although the Order extensively reflects the President’s personal grievances, conspiratorial beliefs, and election denialism, nowhere does it (nor could it) identify any legal authority he possesses to impose such sweeping changes upon how Americans vote,” the court order reads.

You cannot board a plane without identification, nor can you open a bank account, purchase alcohol, or even enter a movie theater, depending on your age. Yet, the Democrats believe that requiring proof of ID is voter suppression because they are so deeply unpopular that they must import voters.

“The Executive Order seeks to impose radical changes on how Americans register to vote, cast a ballot, and participate in our democracy—all of which threaten to disenfranchise lawful voters and none of which is legal,” the Democrat lawsuit reads.

This is another 80-20 issue that few support. I reported last year that a Gallup poll found that 84% of Americans believed photo identification should be required to vote. Non-citizens who do not pay into our system should not have a say in the direction of our country. Every developed nation requires voter identification to protect the integrity of the democratic process.

The Democrats could not even pay millions of migrants to vote in their favor. The party is simply too far gone and has lost its entire platform by fragmenting into two extreme groups. We have the center liberals who condone the war in Gaza and Ukraine. Then we have those who support Ukraine but want to abandon Israel. This is no longer the party of peace that opposes war. Open borders, inflated government, and endless spending—all of these policies have been deeply unpopular with the public. Then we have the Democrats like Nancy Pelosi who are overtly profiting on their position in the public sector through lobbying and insider trading.

The latest Quinnipiac poll shows Democrats falling to their lowest approval rating on record at 21%. Instead of listening to the wishes of the public, they are doubling down on the very policies that cost them the election. Schumer openly admitted that his party filled the courts with judges who vehemently opposed Trump and would vote against his policies regardless of whether the American public favored those policies.

It has begun. German hospitals are preparing for war. Germany has embarked on its first permanent foreign deployment of its troops outside of Germany since the days of Hitler and World War II. Merz is a very dangerous warmonger, and Germany’s parliament has approved the dispatch of German troops to eastern Lithuania, along NATO’s eastern boundary. This is truly a historic event. I was in Tokyo when the government wanted to send troops to the Middle East, but the US had restricted its constitution to confine Japanese troops within 200 miles of their border. The politicians wanted to change the constitution, and hundreds of thousands of Japanese protested, fearing the military would rise again.

Meanwhile, Putin is no fool, and neither is China. They are now both aware that NATO intends to create some sort of false flag to invade Russia. This is the end goal. Putin has just issued the biggest military call-up in years with 160,000 more soldiers. While the Western press continues to paint Russia as collapsing and troops are deserting all to justify a NATO invasion of Russia, the truth is that the Russian people are coming to realize that the West hates all Russians. They are fighting for not just their country, but for their families.

Kaja Kallas is extremely dangerous. She is the person who hates all Russians and said that Russia is too big and it needs to be broken up. She ignores the facts of this war and that the Donbas were promised the right to secede with the Minsk Agreement brokered by Germany and France. That was an outright lie. Can you imagine if Putin said that the EU should be broken up or the United States? The press would be going crazy. But it’s perfectly fine for the West to hate Russians and turn a blind eye to this thirst for war, pretending that they can defeat Russia without losing one European?

Kaja Kallas will be remembered by history for she will cause the deaths of far more people than Marx or World War II.

Merkel even admitted publicly that they NEVER intended to honor that peace agreement. They played Putin for a fool to buy time for Ukraine to build an army. This has been the plot to conquer Russia from the outset. Let’s stop the bullshit. Europe is desperate for war. They can taste the blood of Russians on their lips. But that is going to be mixed with European blood.

Beware of the Ides of May

President Trump announced a baseline 10% tariff on U.S. imports, with steeper reciprocal levies on goods from Europe, Japan, China, and more than 50 other nations. The problem is that he will be blamed for the recession/depression the world is headed into, which will not bottom until August 25th, 2028. Economists widely criticized tariffs for deepening the global trade collapse during the Great Depression. The Smoot-Hawley tariffs were targeting agriculture because they did not understand currency. I disagree with what Trump is doing with tariffs. Some are justified where the EU is very abusive, for they are still living in the days of Marxism. You keep high tariffs to protect local jobs at the expense of your living standards. Citizens must pay 20% more for goods made domestically because they are subsidized by blocking imports from other provinces, as inside Canada, or nations such as the EU.

I believe Trump will have a PR problem because the economy is turning down because of global debt and warmongering, but the LEFT and economists, who are biased leftists in general, will blame Trump and his tariffs. I stated at the November WEC in 2024 that it did not matter who won economically, the world is in trouble, and we were headed into a recession by 2028.

I was pro-Trump because of the war, and I knew he was anti-war. My computer warns that we are headed into World War III, and I stated that clearly at the 2011 WEC conference in Philadelphia. I understand that many hate my guts because they do not like the forecasts. These are NOT my personal opinions. My job is to present the forecasts that Socrates has put out. I have also said at our WEC events that I have tried my best to defeat my own model. I have consistently failed.

Trump announced that universal 10% tariffs on all imports into the US will go into effect on April 5th, in a key moment for global trade. Certain countries will be hit with steeper tariffs based on US trade deficits, as high as 50% – these begin April 9th. Insofar as the UK is concerned, Trump says the UK will have a 10% tariff on goods, but the EU’s rate will be 20% Theis will benefit the UK for what you will see is redeployment of goods being shipped from the AAEU to the UK and then sent to USA to skirt the tariffs.

The Smoot-Hawley Tariff Act, formally known as the Tariff Act of 1930, was signed into law by President Herbert Hoover on June 17, 1930. This protectionist legislation significantly raised U.S. tariffs on over 20,000 imported goods, aiming to shield American industries during the Great Depression. However, it exacerbated global economic tensions by prompting retaliatory tariffs from other nations, further reducing international trade. The act is often cited as contributing to the severity of the worldwide economic downturn in the 1930s.

That is because the economists were all LEFTIST Marxists. I had to read in high school The Great Crash by Galbraith and I came to understand everything I was being taught is school was a lie – just LEFTIST propaganda. Galbraith never mentioned that all of Europe defaulted on its debt. Even Canada defaulted. That is what pushed the dollar to historic highs and that is what led to the protectionism. It was all currency.

If Galbraith told the truth, then FDR’s New Deal was wrong – the problem was not greedy capitalists, but greedy politicians. Nevertheless, just as they still lie every day in economics classes around the globe, selling covertly Marxism/Keynesianism, nobody mentions the Sovereign Defaults of 1931 that led to the collapse of 9000 banks.

Canada suspended the gold standard in 1931, following the United Kingdom’s decision to abandon it in September of that year. The move was part of a broader response to the economic pressures of the Great Depression, which led many countries to exit the gold standard to gain more flexibility in monetary policy. Canada’s suspension occurred shortly after Britain’s, aligning with its economic ties to the British Commonwealth. The exact timing is often cited as October 1931, marking a critical step in Canada’s efforts to mitigate financial instability during the crisis. This decision differentiated Canada from the United States, which retained the gold standard until 1933.

The US share market, based on the Dow Jones Industrials, fell 89%. However, the dollar rose 41%. That means in real terms of international value, the Dow Jones declined by only about 47% – not 89%. Nobody understood the capital flows, and nobody understood currency.

Trump will be blamed for the Tariffs

Just as they blamed the Capitalists rather than Governments in the 1930s

President Trump announced sweeping global tariffs on Liberation Day — a risky move that he vowed would lure manufacturing back to the United States. Sorry – it’s the taxes, not tariffs!

This will upend the global economy mainly because Europe is HIGHLY Marxist. We are talking about culture shifts, not just economic

Sorry. I cannot be Partisan. I have to call the Shots as they are fired

Vladimir Putin is one world leader who has studied history thoroughly. In a recent address, Putin discussed America’s plan to annex Greenland and explained that it is not some “extravagant plan” that Trump imagined. In fact, the United States had plans to annex Greenland going back to the 1860s.

Secretary of State William H. Seward was keenly in favor of annexing Iceland and Greenland in the 1860s as part of American expansionism. Not only was Greenland abundant in minerals, fish, and game, but it provided a strategic military base. Denmark was willing to listen to the proposal and considered selling Iceland and Greenland for $5.5 million in gold. There was no formal offer and President Andrew Johnson along with Congress refused to approve of a treaty, as it was considered wasteful by Republicans at the time.

America believed Canada may consider joining the United States if they acquired Greenland. The Trump Administration’s ideas may seem absurd but this geopolitical strategy spans over 150 years.

The Alaska Purchase of 1867 was immediately met with backlash. The media mocked the purchase of Alaska as “Seward’s icebox” or “Seward’s folly,” angered that the $7.2 million purchase should have been spent elsewhere. The media claimed the “polar bear garden” had nothing of value and relentlessly mocked the acquisition. The unpopularity of the Alaksa Purchase is one of the reasons the Greenland proposal failed back then.

America’s ambitions in the Arctic continued. In 1919, Denmark, Germany, and the United States discussed territorial disputes, and had the deal passed, the United States would have acquired Greenland. During the next World War, Denmark permitted the United States to establish military bases on Greenland to prevent the Nazis from capturing it. The United States offered to buy the land after the war ended but it fell through.

Putin explained that the United States will continue to “systematically pursue its geostrategic, military, economic, and political interests in the Arctic.” He said that this is a matter between two specific countries and “has nothing to do with us [Russia.” However, Russia is extremely concerned that “NATO views the Arctic as a potential staging ground for conflict,” noting that NATO is actively training troops to fight in Arctic conditions. They are taking troops from Sweden and Finland, “countries with which, I should note, we had no issues until very recently.”

“They are creating these problems with their own hands. Why? That’s entirely unclear,” Putin said in his address, noting that Russia would “respond accordingly.”

“I want to emphasize Russia has never threatened anyone in the Arctic, but we are closely monitoring the situation and building the appropriate response, enhancing the combat readiness of our armed forces and modernizing our military infrastructure. We will not allow any infringement on our sovereignty. We will reliably defend our national interests,” the president stated, continued by saying Russia will promote peace in the region and support Greenland’s economic development. Putin said he would be interested in investing in the Arctic and collaborating on projects with “friendly nations, and possibly even Western countries if they show interest in cooperating.”

History always repeats, but few bother looking through the scrolls of time to understand why the world is unfolding at its current pace. The United States has always desired control over Greenland, and this issue of acquiring the island reemerges every few decades. The concern here is that the world is not at peace. The neocons, historically, have wanted to confiscate Russia for itself and began arranging the current proxy war in Ukraine long ago to use as a stepping stone to enter Russia. They are not well-versed in history, as plans to conquer Russia have failed countless times.

Incoming German Chancellor Friedrich Merz believes it is time for the European Union to begin punishing Hungary for voting against pro-war policies. The Social Democrat Party of the last administration, along with Merz, is forming a coalition to ensure that any remaining vestige of a democracy in Brussels dies.

“Existing protective instruments, from infringement proceedings and the withholding of EU funds to the suspension of membership rights such as voting rights in the Council of the EU, must be applied much more consistently than before,” negotiators from Merz’s conservative bloc and the SPD wrote in a draft coalition agreement on EU politics.

Now, the European Commission blocked Hungary from receiving €22 billion in aid back in 2022. Orban attempted to meet with Putin directly to act as a peacekeeper of sorts, deeply angering the EU as their agenda does not permit a de-escalation. The EU has been battling Viktor Orban for years and most recently decided the “new norm” would be to void the need for any unanimous vote among member states since Orban does not want to send endless funds to Ukraine.

The new German government plans to “advocate an expansion of qualified majority voting in the Council of the EU, particularly on certain issues of the Common Foreign and Security Policy (CFSP), such as the imposition of sanctions.” This basically means that Hungary will have absolutely no say in policies that it must abide by under the authoritarian rule of the EU.

Germany, France, and Poland are looking to strengthen their alliance, the Weimar Triangle, and use their strength to shape future EU policies. Germany is the breadwinner for the alliance, followed by France who is also taking the strongarm position and offering nuclear protections for Europe. Then you have Poland who has agreed to contribute more to defense than ever before and is positioned as a stepping stone to Ukraine.

“In the Weimar Triangle, we will seek close coordination on all relevant European policy issues in order to act more united in the service of the EU as a whole,” reads the draft agreement, echoing previous statements made by incoming chancellor Merz.

The entire union was created unfairly, and certain member states have always benefitted more than others. Now, the top economies in Europe are ready to strongarm the others. They will dictate policies and determine how other nations are to operate, while only thinking of the best interests of Brussels. The demise of the European Union is certainly on the horizon.

Half of American parents with adult children are supporting them financially, according to a report by Savings.com. The number of adult children dependent on their parents continues to tick higher, up from 47% in 2024 and 45% in 2023. In fact, the average parent is spending $1,474 monthly per child to make ends meet amid the cost of living crisis.

Around 83% of respondents reported contributing to their adult children’s monthly grocery bills, 65% assist with cell phone plans, 44% are paying off auto payments, and 45% are paying for student loans. For those who are not living at home, 63% of parents admitting to helping pay toward rent or mortgages.

This is causing stress for a generation that should be planning for retirement, with 60% admitting they are living a more frugal lifestyle to support their adult kids. Half of respondents said that they have had to pull money from their savings and/or retirement accounts, and another 31% have taken on debt to continue supporting their kin. As for retirement, 35% believe they will need to push back on retirement plans.

This growing trend is altering society. Every generation is feeling the burden of the cost of living crisis. Rentals have never been higher and it is increasingly difficult for adults with entry-level jobs to find housing. In fact, one in three adults aged 18 to 34 still live with mom and dad. Autos, groceries, health care—every aspect of life has increased dramatically for the younger generations. This is one of the reasons why we see a declining birth rate as the cost of living is costing Gen Z and younger Millennials the opportunity to pave their own way.

You have to wonder why we have the most incompetent people in government, perhaps in history. While there is not a single leader in Europe who I would even want to have a drink with or shake hands, we see the same on the LEFT in the United States. No matter how often they want to rob anyone who produces and works for a living, they seem incapable of learning from experience. What is this? The triumph of hope that Marxism will work one day?

The mayor of Seattle, founded on November 13th, 1851, in a fictional place they call the Emerald City, admitted that the city collected $47 million less in payroll taxes last year as large companies continue to flee this Marxist utopia. According to the Seattle Times, he said that the expected tax per head to bring in over $400 million in revenue instead brought in only $360 million in 2024, leaving a $47 million payroll tax deficit that is added to a $260 million budget deficit, pushing Seattle over the edge.

Retailers understand that they sell less if they raise prices without improving quality. The LEFTIST Marxists REFUSE to look at human nature because they are too busy stuffing their pockets. DO NOT BUY DEBT from Seattle. We are sliding into a Sovereign Default once again, as in the 1840s, which was a period known as the Hard Times because of the Sovereign Defaults of the States.

Andrew Jackson, founder of the Democratic Party, set the Sovereign Defaults of States in motion by shutting down the central bank. This led to every state allowing banks to issue their own money, which led to fraud and Wildcat Banking. In 1866, the U.S. Government levied a 10% tax on the bank notes of state and private banks, effectively forcing them to retire their currency. Jackson also demanded only gold for the purchase of federal land, which also undermined the private currency.

While everyone points to the Federal Reserve and the Federal Debt, the Feds also have the authority to create money. The states DO NOT!!!! While in theory the Feds can monetize their way out of a debt crisis, states CANNOT! We have just witnessed here in Seattle the mindset of Blue states and how dangerous they have become when we look forward in time. Recent analyses that we have undertaken up to 2023 have revealed that several U.S. states face significant fiscal stress that could elevate their risk of default.

As seen in Seattle, states are confined to adjusting budgets and raising tax revenues. Key factors contributing to risk include high debt burdens, unfunded pension liabilities, structural perpetual budget deficits, weak economics as the great migration from high-taxed states to lower-taxed states dominates post-2020, and the demographic trends of reduced population. Young girls are told to enjoy life, and the world has too many people, so we see the birth rates collapsing throughout the West. That ensures the pension fund Ponzi scheme will not survive since they are based on the assumption that the population grows, not shrinks. The states that are often highlighted as having elevated default risk:

Pension Liabilities: Illinois, Kentucky, and New Jersey have the worst-funded pension systems.

Debt Load: Connecticut and Massachusetts lead in per-capita debt.

Economic Volatility: Alaska, Louisiana, and Hawaii face sector-specific risks (oil, tourism).

Demographics: Illinois and West Virginia struggle with population loss and shrinking tax bases.

We are told that default is unlikely. However, the states’ tools to avoid default, namely tax hikes, have reached their limits. People and companies are migrating. While they like to say no state has defaulted since the Great Depression, the city of Detroit suspended its debt payment in 1937 and finally made good with the devaluation thanks to inflation in 1963. This was NOT confined to the United States. Canada also defaulted on its national debt in 1931. By 1937, they were also concerned about a widespread default by the provinces.

The Democrats are still in denial about the cause of losing the election to Trump. They are not reforming or surrendering their WOKE agenda. This is what guarantees that we are headed toward a massive state default on debts. We are looking at a complete system-wide default by 2034.

As I wrote recently about how states are trying to seize power from municipalities, this is also about lining their pockets with more money.