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President Donald Trump talks to the media next to Tesla CEO Elon Musk, with a Tesla car in the background, at the White House on March 11, 2025.
The Tesla CEO was invited to visit America’s five-sided symbol of strength by Defense Secretary Pete Hegseth, who will lead a slide presentation detailing the operational plan, aka O-plan, from early indications of a possible threat from China through to full-on engagement.
Is there a conflict of interest? Good question. Pundits are wondering whether Musk, who helms both SpaceX and Tesla and has plenty of financial investments in China, should be let in on state secrets about how the US might fight a hypothetical war with China. Should Beijing get wind of the plans, it would help China prepare, giving it the advantage.
But, on the other hand ... the man who’s driving bids to reduce the federal deficit may need to know how much money is required to keep American war-fighting capabilities afloat. The White House has notably said that Musk would recuse himself in the case of such conflicts of interest.
We’ll be keeping an eye on Musk’s visit and how both President Donald Trump and Beijing respond to the fallout.
HARD NUMBERS: Turks protest political arrests, EU postpones tariffs, Home sales surge, American happiness drops
Protesters march in the Turkish capital, Istanbul, on Thursday after the arrest of the city's mayor, Ekrem Imamoglu.
1,000’s: Thousands of Turks are protesting the detention of Istanbul Mayor Ekrem Imamoğlu, a key rival of President Recep Tayyip Erdoğan, after he was arrested Thursday on graft and terrorism-related charges. Opposition leaders have condemned Imamoglu’s arrest as a political coup, and he posted to X, “We must stand against this evil as a nation.”
50: The European Union has postponed two sets of retaliatory tariffs on US products, including a 50% levy on American whiskey, from April 1 to mid-month. According to EU spokesperson Olof Gill, the delay represents a “slight adjustment” to allow more time for negotiations. American tariffs against a wide range of EU goods are still set to take effect on April 2, though their exact amount remains unknown.
4.2: US existing home sales surged 4.2% in February, despite higher mortgage rates, upending expectations that sales would drop by a monthly rate of 3.2%. But sales remain below levels from a year ago, and homes are taking longer to sell as high prices and borrowing costs continue to deter some buyers.
24: The United States fell from 23rd to 24th place out of 147 countries – its lowest ranking ever – in the annual World Happiness Report, which was released Thursday. Finland remains the happiest nation for the eighth year in a row, followed once again by Denmark, Iceland, and Sweden.
Secretary of Education Linda McMahon smiles during the signing event for an executive order to shut down the Department of Education next to U.S. President Donald Trump at the White House in Washington, DC, March 20, 2025.
President Donald Trump signed an executive order on Thursday stripping away much of the Department of Education, but he stopped short of dismantling it completely.
Trump instructed Education Secretary Linda McMahon to “take all necessary steps to facilitate the closure [of] the Department of Education and return education authority to the States,” though the department will continue to administer programs like student loans and Pell grants.
Still, the US president can’t just declare the department null and void despite campaign promises to shutter it. The Department of Education was created by Congress in 1979, and it can only be dismantled by congressional action.
Trump has referred to left-wing “indoctrination” in school curricula against the backdrop of a culture war over whether transgender youth should be allowed to play on sports teams matching their gender identity. During his campaign, Trump pledged to return control of the schools to states — though states and school districts already decide matters like curriculum and youth sports.
The administration is already taking direct control of arm’s-length regulatory agencies while trying to hollow out others, and it has laid off employees of the Education Department’s Office of Civil Rights, which is charged with protecting students’ civil rights. But White House Press Secretary Karoline Leavittsaid Thursday that the Department of Education will still carry out core functions, including providing funding for low-income students and students with disabilities.Canadian PM Mark Carney
Until January, Pierre Poilievre’s Conservatives had maintained a two-year lead in opinion polls, which ran as high as 25% in December. But the resignation in January of unpopular Prime Minister Justin Trudeau, coupled with the return to power of US President Donald Trump, upended the race. It allowed new leader Carney, former governor of both the Bank of Canada and the Bank of England, to capitalize on his financial and governance experience in the face of anxiety about Trump’s tariffs and talk of annexation. The Liberals are now neck and neck with the Conservatives and even ahead in some polls.
With the election expected for either April 28 or May 5, the Conservatives are scrambling to retool their message, notably on the carbon tax, which Carney has now set to zero for consumers but maintained for industrial emitters. They are also questioning Carney’s ethics, claiming he has conflicts of interest stemming from his work as chair of Brookfield Asset Management. The New Democratic Party of Jagmeet Singh is feeling the squeeze as it attempts to hold onto progressive voters, while the Bloc Québécois of Yves-François Blanchet will fight to represent Quebec’s interests in the new parliament.
For news about outgoing GZERO Publisher Evan Solomon and his decision to run for the Liberals, click here.
Human rights activists hold a placard reading 'Military is a Killer of Women' during Aksi Kamisan, or Thursday's Protest, in front of the Merdeka Palace in Jakarta, Indonesia, on March 20, 2025.
Indonesian activists are protesting a new law allowing active-duty military members to serve an expanded role in the civilian government — a move they warn could bring back the days of military repression under strongman leader Suharto.
Indonesia’s current president, Prabowo Subianto Djojohadikusumo, aka Prabowo, is a former general who served as minister of defense under former President Joko Widodo. He is accused of serious human rights abuses, including participation in massacres in East Timor and forced disappearances of pro-democracy activists.
Prabowo — in power since October — has already worked to integrate the military deeper into governance. Amendments to the 2004 Law on the Indonesian Armed Forces — which parliament passed unanimously on Thursday — allow active duty military officers to hold positions in 14 different government institutions. Previously, they were only allowed to serve in institutions related to defense and national security, but now they’ll be able to serve in institutions like the attorney general’s office and the Supreme Court.
Prabowo’s election last year raised concerns about democratic backsliding in the country. But Indonesians have responded: Hundreds came to the parliament building on Wednesday to protest the new legislation and demand that the military and civilian government remain separate.
Vice-President of the European Commission Kaja Kallas arrives at the Consilium building in Brussels, Belgium, on March 20, 2025.
An EU Summit in Brussels is expected to culminate with a commitment from all member states except Hungary to affirm that “the European Union maintains its ‘peace through strength’ approach,” a policy that commits European governments to supporting Ukraine in preserving “its own robust military and defense capabilities.” (Hungary’s pro-Kremlin Prime Minister Viktor Orban maintains his objections to support for Ukraine.) Russia’s Vladimir Putin insists that no comprehensive ceasefire is possible if Western governments continue to help arm Ukraine.
In addition, discussions in London have focused on a possible “reassurance force” that the “coalition of the willing” would provide. This so-called Multinational Force Ukraine would be intended to encourage confidence in the country’s security by providing air cover, a naval presence in the Black Sea to protect trade flows, and about 20,000 troops on the ground. Critics of the idea say a force this small may instill some confidence but can’t keep the peace. Proponents insist the force would be strong enough to protect cities, ports, and the most vital energy infrastructure.
Last Thursday, Justin Trudeau’s last full day as prime minister, Donald Trump was emphatic in his desire to force Canada to join the United States during a press event in the Oval Office.
“Canada only works as a state,” he said, referring to the border as “an artificial line” and suggesting that Canschluss — a play on the term Anschluss, denoting Nazi Germany’s annexation of Austria in 1938 — is just a matter of time.
“There will be a little disruption, but it won’t be very long. But they need us. We really don’t need them. And we have to do this. I’m sorry.”
On Friday, former central banker Mark Carney was sworn in as Canada’s prime minister. In his first news conference, he called Trump’s comments “crazy. That’s all you can say.”
For a few days, Trump didn't repeat his threats, which opened up the possibility that he merely enjoyed dunking onTrudeau, whom he seems to despise, and would now move on. But it was likely that the US president was just busy — carrying out airstrikes in Yemen, deporting migrants to El Salvador, and trying to negotiate a ceasefire in Ukraine.
On Tuesday night, in an interview with Fox News, Trump angrily denounced Canada again, said he doesn’t care if his comments cost the Conservatives the election, and said Canada is “meant to be our 51st state.”
Trump is so toxic in Canada that Conservative Leader Pierre Poilievreseized on the comment as evidence that he, not Carney, is the champion the country needs.
Trump’s continued trash talk may show that his fixation is too deep to be deterred by the disinclination of Canadians to be annexed, which is setting him up for a showdown with the new prime minister.
People who know Carney think he may be better equipped to respond than Trudeau was.
Anthony Scaramucci, who became friends with Carney at Goldman Sachs many years ago, and who briefly worked for Trump in 2017, said on MSNBC that the president likely doesn’t want a fight with Carney, who he described as a “very, very tough guy.”
“I don’t think the administration really wants to fight with him,” said the Mooch. “He has energy on his side. He has electricity on his side.”
Trudeau looked weak
Trump and Carney have not yet had the traditional congratulatory call but, on the other hand, he is not yet calling Carney governor — which would be ironic, since he previously served as governor of both the Bank of Canada and the Bank of England.
It may be that Trump had a special desire to bully Trudeau, who was an unpopular lame duck when Trump was elected.
“Trump, as everybody knows, has an unerring instinct for the weakness of a counterparty, and he seeks to exploit that and control them for it,” says Graeme Thompson, a senior analyst with Eurasia Group.
The White House will have noticed that Canadians now have their backs up, says Jamie Tronnes, executive director of the Center for North American Prosperity and Security, and are unified around the idea of “sticking it” to the Americans.
“It really has changed the way in which they will be able to negotiate with the United States in an upcoming [trade] renegotiation. It doesn’t matter who the leader of the Canadian government is. That person is going to have to represent the national mood, and the national mood is not conducive to cutting a deal with the United States.”
And Trump appreciates muscle. After blustery Ontario Premier Doug Ford threatened to impose a 25% tariff on electricity exports to the United States, Trump threatened him into backing down, and then praised him as “a very strong man.”
Thompson notes that Trump has been respectful to Ford, who just won a majority, and Mexico’s president, Claudia Sheinbaum, who enjoys overwhelming support among Mexicans.
“I think that whoever ends up on the other side of the Canadian election, if they get a majority, that would be the most powerful thing in Carney or Poilievre’s pocket, in terms of relations with the Trump administration.”
An election on tackling Trump
For Carney, everything depends on managing Trump, since he has the power to badly damage Canada’s economy with tariffs.
Carney is trying to show strength. After being sworn in, he flew to Europe to meet with French President Emmanuel Macron and British Prime Minister Keir Starmer to “strengthen ties with reliable allies,” which seemingly no longer includes the United States.
After flying back to the Canadian Arctic, Carney announced that Canada would buy a CA$6 billion radar system from Australia, getting it before the Americans. He also has asked for a review of the planned CA$19 billion purchase of 88 F-35 fighter jets from the United States, “given the geopolitical environment,” although the Americans might be able to use technology-sharing agreements to block Canada from purchasing alternatives.
Last week, Portugal announced it would buy European jets rather than F-35s because of America’s new hostility toward traditional allies, so the Canadian announcement would seem like bad news for politically powerful American supplier Lockheed Martin. This would normally be the kind of thing to get a president’s attention.
Carney, who has met Trump at international conferences and been involved in business deals with Jared Kushner and Elon Musk, will highlight his economic and crisis-management experience in the upcoming Canadian election, which could start as soon as Sunday.
Polls show, in a dramatic reversal, that Canadians now favor Carney over his Conservative rival, who is promising to stand up to Trump but whom Carney has linked to the MAGA movement.
Carney is campaigning on taking a hard line. In London, he said he didn’t intend to negotiate with Trump until he stopped threatening to make Canada the 51st state.
“We’ve called out those comments,” he said. “They’re disrespectful, they’re not helpful, and they need to stop. They will have to stop before we sit down and have a conversation about our broader partnership with the United States.”
But Trump shows no sign of stopping, and if he doesn’t, it’s unclear what Carney — or Poilievre — can do. Both leaders talk about diversifying trade, but it would take years to build the transport infrastructure to make a major shift workable. In the short term, a showdown with a hostile neighbor looks inevitable.