Image

Daily News Brief

May 9, 2025

Welcome to CFR’s Daily News Brief. Today we’re covering the principles of a new trade agreement between the United States and United Kingdom (UK), as well as...

  • The election of the first American pope
  • Nigeria’s repayment to the IMF
  • Protests in Panama
 
 

Top of the Agenda

The United States and the UK announced a draft tariff agreement yesterday. The United States plans to reduce tariffs on many UK cars and remove them from some metals; it will leave a 10 percent levy on most goods. In return, the UK plans to open its markets to U.S. beef and ethanol. While further details are still being ironed out, both governments announced the broad outline of the deal. 


The draft deal. The two countries did not say when they expected the deal to be finalized, but described its general terms:

 

  • U.S. tariffs on one hundred thousand UK cars imported per year—almost all of the total sold to the United States—would be reduced from 27.5 percent to 10 percent.

  • U.S. duties on UK aluminum and steel would be entirely removed, the UK said.
  • The UK would remove its duties on U.S. beef and more than 300 million gallons per year of U.S. ethanol.

 

Other ongoing negotiations. U.S. President Donald Trump said deals with many other countries are imminent. His flurry of trade negotiations has accelerated as high tariffs appear to be affecting goods shipments to major U.S. ports, with some reporting a drop in cargo deliveries.

 

  • The European Union yesterday announced a plan to impose retaliatory tariffs on more than $100 billion worth of U.S. goods in the case that trade negotiations with Washington are unsatisfactory. Even so, some European officials have cautioned the bloc’s leadership to try to avoid any heavy retaliation ahead of a high-stakes NATO summit in June.

  • Tomorrow, U.S. envoys will begin trade talks with China. The discussions will weigh reducing U.S. tariff rates that currently stand at more than 145 percent—but such steps would need to overcome bilateral tensions that are currently running high.

  • Trump’s trade team has also held talks with India and Japan in recent days.

 
 

“This is a very small deal. Most of the new U.S. tariffs remain. Most of the restrictions on U.S. exports to the UK (which are modest) remain … Lots of salesmanship, but the reality of this deal is that the UK more or less accepted the 10 percent reciprocal tariff—and bargained for a few adjustments to [other duties]. Let’s see if others are willing to do that kind of deal.”

—CFR expert Brad Setser on X

 

The U.S.-China Trade War

U.S. President Donald Trump attends a bilateral meeting with China's President Xi Jinping during the G20 leaders summit in Osaka, Japan, June 29, 2019. U.S. President Donald Trump attends a bilateral meeting with China's President Xi Jinping, as they both stand backs to each other with their countries' flags behind them.

China Daily/Reuters

China’s response to the U.S. tariff hikes so far has implications for the broader trajectory of U.S.-China relations, CFR expert Zongyuan Zoe Liu tells The President’s Inbox.

 
 

Across the Globe

An American pope. Cardinals elected the first American pope in the history of the Catholic Church yesterday. Robert Prevost of Chicago chose to be called Pope Leo XIV. The new pontiff worked for decades in Peru and is also a Peruvian national. He focused on peace in his first brief message to supporters yesterday, while a social media account in his name was found to have posted articles defending migrants. Trump said that having an American pope was a “great honor for our country.”

 

India-Pakistan clashes. Indian and Pakistani officials today each said that the other side carried out new military attacks in the Kashmir region. Separately, an unnamed U.S. official told Reuters that there was high confidence that Pakistan had shot down at least two Indian fighter jets on Wednesday. Pakistan was reportedly using Chinese-made fighter jets, while at least one downed plane was French-made. Security analysts are studying what appears to be a rare case of Chinese-issued fighter jets being used in action.

 

Putin’s military parade. While European officials meet in western Ukraine today to affirm support for Kyiv, Russian President Vladimir Putin hosts heads of state for a military parade. Putin said Russia would achieve its objectives in Ukraine in a speech that did not mention Trump’s call yesterday for a thirty-day ceasefire. Meanwhile, Ukraine’s legislature voted to approve a minerals coinvestment deal with the United States. Russia and Ukraine continued to report fighting despite today being the second day of a Russia-announced ceasefire. 

 

Nigeria pays off the IMF. The country made its final payment to the International Monetary Fund (IMF) as part of a $3.4 billion loan issued during the COVID-19 pandemic, exiting the lender’s debt list. Nigerian President Bola Tinubu has carried out pro-market economic reforms since taking office in 2023 that have included removing controls on the country’s exchange rate. Following those changes, the local currency lost more than 70 percent of its value against the dollar.

 

Protests in Panama. Panamanian President José Raúl Mulino said yesterday he would not renegotiate a new security deal with the United States despite recent street protests against it. The deal allows U.S. troops access to Panamanian bases, a sensitive issue for some as the United States invaded Panama in 1989. Mulino and the U.S. ambassador to Panama both said yesterday that the agreement signed last month would not allow for the establishment of U.S. bases.

 

Talks on Gaza aid. The U.S. State Department said yesterday that an announcement was coming soon about a new arrangement to be able to deliver food aid to Gaza. Israel, which has imposed a monthslong blockade on aid, has in recent days outlined a plan in which it would guard food distribution points. However, U.S. Ambassador to Israel Mike Huckabee said today that Israel would not take part in the aid distribution itself. He said the provision of aid would not depend on there being a pause in fighting.

 

French-Polish military cooperation. A defense cooperation treaty the countries are signing today will open the possibility of Poland being protected by France’s nuclear shield, Polish Prime Minister Donald Tusk said. He described the deal for mutual military assistance in conflict as “groundbreaking.” Poland plans to spend around 4.7 percent of its gross domestic product on defense this year, a record high.


Bombardment in Sudan. UN Secretary-General António Guterres said the expansion of conflict into the city of Port Sudan was “alarming” amid a series of drone attacks that continued into yesterday. The city is Sudan’s temporary administrative capital and a refuge for displaced people. It has been serving as an aid hub, but the UN humanitarian service suspended flights on May 4 due to worsening conflict conditions.

 
 

Why the Papal Conclave Matters to the Globe

The President's Inbox promotional image

Vatican Media/Reuters

Former U.S. Ambassador to the Holy See Joe Donnelly spoke about the process of picking a new pope and how the papacy affects foreign affairs in this CFR Q&A.

 
 

What’s Next

  • Today, new German Chancellor Friedrich Merz meets with NATO Secretary-General Mark Rutte in Brussels.
  • Tomorrow, Iran’s foreign minister visits Saudi Arabia and Qatar.

  • On Sunday, Albania holds a parliamentary election.

 

India’s Anti-Terrorism Doctrine

A bar chart graphic that shows the value of environmental tech exports by sector

Reuters

India is willing to conduct conventional warfare in response to the April 22 terrorist attacks even though the possibility of Pakistan using low-yield nuclear weapons still exists, CFR expert Manjari Chatterjee Miller says in this YouTube Short.

 
 
 

Council on Foreign Relations

58 East 68th Street, New York, NY 10065

1777 F Street, NW, Washington, DC 20006

Was this forwarded to you? Subscribe to the Daily News Brief

FacebookTwitterInstagram