Politics
California businesses are reeling from Trump's on-again, off-again tariffs
Tariffs haven’t yet hit the supply chain at Anawalt in Malibu, but the hardware store and lumber seller is bracing for steep price hikes in the coming weeks.
The majority of the lumber that the store sells comes from Canada and nearly all of its steel products are made in China, general manager Rieff Anawalt said. Those countries, along with Mexico, have been targeted in sweeping tariffs imposed by President Trump during his second term, sparking a global trade war that intensified this week.
“These tariffs are 100% going to impact us,” Anawalt said. Wholesale reps for the family-run hardware company, which has five locations around Los Angeles County, have warned him to expect prices to go up by April 1 — costs that he said he’ll have to pass on to customers.
“We’re going to see major increases: 15% to 25% across the board in this industry,” he said. “It’ll make COVID prices seem cheap.”
Across California, businesses of all kinds — farmers, automakers, home builders, tech companies and apparel retailers — are reeling from weeks of on-again, off-again tariff chaos as Trump has announced a slew of levies against the country’s top three trading partners, implementing some while modifying, delaying or reversing others.
“It’s a day-by-day soap opera, and just like a soap opera, you get relief, then it heats up again,” said Jonathan D. Aronson, a professor of international communication and international relations at USC.
As a result, business owners “don’t know what’s going to happen,” he said. “They can’t plan. They don’t know how much to produce. They don’t know who their business partners are going to be.”
This month has been particularly tumultuous. On March 4, Trump’s 25% tariffs on imports from Canada and Mexico kicked in, with a limit of 10% on Canadian energy; he also doubled the tariff on all Chinese imports to 20%. All three countries vowed to strike back with their own measures.
A lumber yard in British Columbia, Canada, last month. Canada is the largest foreign supplier of lumber to the U.S.
(Bloomberg via Getty Images)
The next day, Trump granted a one-month exemption for U.S. automakers on his new tariffs on imports from Canada and Mexico. The day after that, he said he was postponing many of the tariffs on Canadian and Mexican imports for a month.
On Monday, in a blow to farmers in California and across the U.S., China imposed retaliatory duties of up to 15% on American agricultural products including chicken, corn, beef, pork, wheat and soybeans. Then on Wednesday, Trump’s 25% tariffs on all steel and aluminum imports went into effect.
To counterbalance the effects of the tariffs on their bottom lines, businesses may have to overhaul their operations, said Jerry Nickelsburg, faculty director of the UCLA Anderson Forecast.
“The way in which firms react to that uncertainty is to not put all their eggs in one basket,” he said. “So they cut back on how much they would order, which means they’re going to produce less and they need fewer people — or if not fewer people, fewer hours for the people they have.”
The latest volley came Thursday morning, when Trump threatened to place a 200% tariff on wine and liquor from the European Union in response to the EU proposing a 50% tariff on American whiskey. About an hour later, he wrote in a follow-up post on Truth Social that the U.S. “doesn’t have Free Trade. We have ‘Stupid Trade.’”
“The Entire World is RIPPING US OFF!!!” he said.
Bolstering the economy was one of Trump’s core promises during the election, and tariffs are key to his strategy. He threatened to slap tariffs on Mexico, Canada and China on his first day back in office, explaining the decision as a way to crack down on illegal immigration and drugs.
But the escalating trade tensions have pummeled Wall Street for three weeks. On Thursday, the S&P 500 closed in correction territory, ending the day down 1.39%; the index is now 10.1% below its record close Feb. 19. The Dow Jones Industrial Average fell 537.36 points, or 1.3%, closing at 40,813.57.
The fallout for farmers
The prolonged back-and-forth has also unsettled companies, both those that import goods from abroad and those that sell their products to foreign clients. California’s economy could be especially hard hit because of its heavy reliance on trade with China and Mexico, and because of its position as a global agricultural powerhouse.
Farmer Joe Del Bosque holds a raw almond in Firebaugh, Calif.
(Robert Gauthier / Los Angeles Times)
California farmers grow the largest share of the nation’s food — more than a third of the country’s vegetables and more than three-quarters of its fruits and nuts are grown here — and the state’s fertile ground is a major supplier of produce to countries around the world. Farmers also rely heavily on fertilizer from Canada, which could cost more as the tariffs take hold.
“Farmers in California are going to be hurt particularly badly because almonds, soybeans and things like that are huge exports of the United States,” Aronson said.
The state also accounts for about 85% of wines produced in the United States and is home to thousands of grape growers and wineries, many of them small and generations-old. The Wine Institute says the industry supports employment for more than 420,000 Californians and generates $73 billion in economic activity in the state. Canada is the largest market for California wine.
A flurry of activity at the ports
Some L.A.-area companies have been stockpiling inventory to get ahead of expected price hikes tied to the tariffs, said Stephen Cheung, chief executive of the Los Angeles County Economic Development Corp.
“A lot of them were hit pretty hard during the last trade war with China,” he said, “so they knew better than to wait and hope for the best.”
That has been reflected in shipping data from the ports in Long Beach and Los Angeles, which continue to record huge numbers thanks to several months of front-loading cargo ahead of Trump’s inauguration.
The Port of Long Beach moved 765,385 twenty-foot equivalent units, or TEUs, in February, a 13.4% increase from the previous year. January’s year-over-year growth was even larger: 952,733 TEUs — a unit of measurement based on the volume of a standard shipping container — were moved, representing a 41.4% increase.
An aerial view of the Port of Long Beach.
(Allen J. Schaben / Los Angeles Times)
After Trump launched a trade war with China during his first term, the Port of Long Beach lost about 20% of expected Chinese cargo in 2019, Chief Executive Mario Cordero said. That was supplemented by a 10% increase in imports from countries in Southeast Asia including Vietnam, Indonesia and Thailand. He expects the same thing to happen this time around.
In the coming months, Cordero said, the local economy could see supply chain disruptions, similar to what occurred during the pandemic, “if we continue on the path of aggressive and high” tariffs.
The Port of Los Angeles expects a 10% reduction in volume from last year amid Trump’s tariffs against China, Executive Director Gene Seroka said.
It’s a day-by-day soap opera, and just like a soap opera, you get relief, then it heats up again.
— Jonathan D. Aronson, a professor of international communication and international relations at USC
One of the largest seaports in the country, the L.A. port has seen sharp increases in cargo since last summer as businesses stocked up in anticipation of potential Trump tariffs. Just under 10.3 million TEUs, a near record, passed through the port last year.
Those numbers are likely to trend downward as tariffs take hold and the economy adjusts, Seroka said. “Fewer containers mean fewer jobs.”
L.A. businesses try to adjust
Economists say it’s difficult for companies to quickly change suppliers, and some may be loath to upend their supply chains given the ever-changing nature of Trump’s trade policies.
Some are trying anyway.
Francesca Grace, an interior designer and home stager in Los Angeles, said tariffs have already affected the availability and price of items including fabrics, wood and other building materials, and smaller decor pieces.
Supply chain delays have extended her project timelines in some cases to three to six weeks from immediate availability, and she’s contending with “at least a 25% rise” in costs for materials from China. As a result, she’s now trying to source all of her products locally, up from 75%.
“While this shift aligns with our values, it will also cause our pricing to increase,” Grace said. “We are doing everything we can to avoid increasing our pricing too much. The last thing we want is for these changes to negatively impact our business or make our designs inaccessible.”
Other businesses say they have little choice when it comes to where they get their merchandise.
“Lumber prices are what they are. There’s no sourcing it somewhere else, so we’re going to have to deal with it as it comes,” said Anawalt, the general manager at the Malibu hardware store. “It’s so beyond my control, there’s nothing I can do. I was panicked at first, but now I’m just going to wait.”
Politics
Iran fires missiles at US bases across Middle East after American strikes on nuclear, IRGC sites
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Iran launched missile and drone strikes targeting U.S. military facilities in multiple Middle Eastern countries Friday, retaliating after coordinated U.S.–Israeli strikes on Iranian military and nuclear-linked sites.
Explosions were reported in or near areas hosting American forces in Bahrain, Qatar, the United Arab Emirates, Kuwait and Jordan, according to regional officials and state media accounts. Several of those governments said their air defense systems intercepted incoming projectiles.
It remains unclear whether any U.S. service members were killed or injured, and the extent of potential damage to American facilities has not yet been confirmed. U.S. officials have not publicly released casualty figures or formal damage assessments.
Iran’s Islamic Revolutionary Guard Corps (IRGC) described the operation as a direct response to what Tehran called “aggression” against Iranian territory earlier in the day. Iranian officials claimed they targeted U.S. military infrastructure and command facilities.
Explosions were reported in or near areas hosting American forces in Bahrain, pictured above. (Photo by Petty Officer 2nd Class Adelola Tinubu/U.S. Naval Forces Central Command/U.S. 5th Fleet )
The United States military earlier carried out strikes against what officials described as high-value Iranian targets, including IRGC facilities, naval assets and underground sites believed to be associated with Iran’s nuclear program. One U.S. official told Fox News that American forces had “suppressed” Iranian air defenses in the initial wave of strikes.
Tomahawk cruise missiles were used in the opening phase of the U.S. operation, according to a U.S. official. The campaign was described as a multi-geographic operation designed to overwhelm Iran’s defensive capabilities and could continue for multiple days. Officials also indicated the U.S. employed one-way attack drones in combat for the first time.
IF KHAMENEI FALLS, WHO TAKES IRAN? STRIKES WILL EXPOSE POWER VACUUM — AND THE IRGC’S GRIP
Smoke rises after reported Iranian missile attacks, following strikes by the United States and Israel against Iran, in Manama, Bahrain, Feb. 28, 2026. (Reuters)
Iran’s retaliatory barrage targeted countries that host American forces, including Bahrain — home to the U.S. Navy’s Fifth Fleet — as well as Qatar’s Al Udeid Air Base and the UAE’s Al Dhafra Air Base. Authorities in those nations reported intercepting many of the incoming missiles. At least one civilian was killed in the UAE by falling debris, according to local authorities.
Iranian officials characterized their response as proportionate and warned of additional action if strikes continue. A senior U.S. official described the Iranian retaliation as “ineffective,” though independent assessments of the overall impact are still developing.
Smoke rises over the city after the Israeli army launched a second wave of airstrikes on Iran in Tehran on Feb. 28, 2026. (Fatemeh Bahrami/Anadolu via Getty Images)
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Regional governments condemned the strikes on their territory as violations of sovereignty, raising the risk that additional countries could become directly involved if escalation continues.
The situation remains fluid, with military and diplomatic channels active across the region. Pentagon officials are expected to provide further updates as damage assessments and casualty reviews are completed.
Fox News’ Jennifer Griffin contributed to this report.
Politics
Why Iran resists giving up its nuclear program, even as Trump threatens strikes
Embassy staffers and dependents evacuating, airlines suspending service, eyes in Iran warily turning skyward for signs of an attack.
The prospects of a showdown between the U.S. and Iran loom ever higher, as massive American naval and air power lies in wait off Iran’s shores and land borders.
Yet little of that urgency is felt in Iran’s government. Rather than quickly acquiescing to President Trump’s demands, Iranian diplomats persist in the kind of torturously slow diplomatic dance that marked previous discussions with the U.S., a pace that prompted Trump to declare on Friday that the Iranians were not negotiating in “good faith.”
But For Iran’s leadership, Iranian experts say, concessions of the sort Trump are asking for about nuclear power and the country’s role in the Middle East undermine the very ethos of the Islamic Republic and the decades-old project it has created.
“As an Islamic theocracy, Iran serves as a role model for the Islamic world. And as a role model, we cannot capitulate,” said Hamid Reza Taraghi, who heads international affairs for Iran’s Islamic Coalition Party, or Hezb-e Motalefeh Eslami.
Besides, he added, “militarily we are strong enough to fight back and make any enemy regret attacking us.”
Even as another round of negotiations ended with no resolution this week, the U.S. has completed a buildup involving more than 150 aircraft into the region, along with roughly a third of all active U.S. ships.
Observers say those forces remain insufficient for anything beyond a short campaign of a few weeks or a high-intensity kinetic strike.
Iran would be sure to retaliate, perhaps against an aircraft carrier or the many U.S. military bases arrayed in the region. Though such an attack is unlikely to destroy its target, it could damage or at least disrupt operations, demonstrating that “American power is not untouchable,” said Hooshang Talé, a former Iranian parliamentarian.
Tehran could also mobilize paramilitary groups it cultivated in the region, including Iraqi militias and Yemen’s Houthis, Talé added. Other U.S. rivals, such as Russia and China, may seize the opportunity to launch their own campaigns elsewhere in the world while the U.S. remains preoccupied in the Middle East, he said.
“From this perspective, Iran would not be acting entirely alone,” Tale said. “Indirect alignment among U.S. adversaries — even without a formal alliance — would create a cascading effect.”
We’re not exactly happy with the way they’re negotiating and, again, they cannot have nuclear weapons
— President Trump
The U.S. demands Iran give up all nuclear enrichment and relinquish existing stockpiles of enriched uranium so as to stop any path to developing a bomb. Iran has repeatedly stated it does not want to build a nuclear weapon and that nuclear enrichment would be for exclusively peaceful purposes.
The Trump administration has also talked about curtailing Iran’s ballistic missile program and its support to proxy groups, such as Hezbollah, in the region, though those have not been consistent demands. Tehran insists the talks should be limited to the nuclear issue.
After indirect negotiations on Thursday, Oman’s Foreign Minister Badr al-Busaidi — the mediator for the talks in Geneva — lauded what he said was “significant progress.” Iranian Foreign Ministry spokesman Esmail Baghaei said there had been “constructive proposals.”
Trump, however, struck a frustrated tone when speaking to reporters on Friday.
“We’re not exactly happy with the way they’re negotiating and, again, they cannot have nuclear weapons,” he said.
Trump also downplayed concerns that an attack could escalate into a longer conflict.
This frame grab from footage circulating on social media shows protesters dancing and cheering around a bonfire during an anti-government protest in Tehran, Iran, on Jan. 9.
(Uncredited / Associated Press)
“I guess you could say there’s always a risk. You know, when there’s war, there’s a risk in anything, both good and bad,” Trump said.
Three days earlier, in his State of the Union address Tuesday, said, “My preference is to solve this problem through diplomacy. But one thing is certain, I will never allow the world’s number one sponsor of terror, which they are by far, to have a nuclear weapon — can’t let that happen.”
There are other signs an attack could be imminent.
On Friday, the U.S. Embassy in Israel allowed staff to leave the country if they wished. That followed an earlier move this week to evacuate dependents in the embassy in Lebanon. Other countries have followed suit, including the U.K, which pulled its embassy staff in Tehran. Meanwhile, several airlines have suspended service to Israel and Iran.
A U.S. military campaign would come at a sensitive time for Iran’s leadership.
The country’s armed forces are still recovering from the June war with Israel and the U.S, which left more than 1,200 people dead and more than 6,000 injured in Iran. In Israel, 28 people were killed and dozens injured.
Unrest in January — when security forces killed anywhere from 3,000 to 30,000 protesters (estimates range wildly) — means the government has no shortage of domestic enemies. Meanwhile, long-term sanctions have hobbled Iran’s economy and left most Iranians desperately poor.
Despite those vulnerabilities, observers say the U.S. buildup is likely to make Iran dig in its heels, especially because it would not want to set the precedent of giving up positions at the barrel of a U.S. gun.
Other U.S. demands would constitute red lines. Its missile arsenal, for example, counts as its main counter to the U.S. and Israel, said Rose Kelanic, Director of the Middle East Program at the Defense Priorities think tank.
“Iran’s deterrence policy is defense by attrition. They act like a porcupine so the bear will drop them… The missiles are the quills,” she said, adding that the strategy means Iran cannot fully defend against the U.S., but could inflict pain.
At the same time, although mechanisms to monitor nuclear enrichment exist, reining in Tehran’s support for proxy groups would be a much harder matter to verify.
But the larger issue is that Iran doesn’t trust Trump to follow through on whatever the negotiations reach.
After all, it was Trump who withdrew from an Obama-era deal designed to curb Iran’s nuclear ambitions, despite widespread consensus Iran was in compliance.
Trump and numerous other critics complained Iran was not constrained in its other “malign activities,” such as support for militant groups in the Middle East and development of ballistic missiles. The Trump administration embarked on a policy of “maximum pressure” hoping to bring Iran to its knees, but it was met with what Iran watchers called maximum resistance.
In June, he joined Israel in attacking Iran’s nuclear facilities, a move that didn’t result in the Islamic Republic returning to negotiations and accepting Trump’s terms. And he has waxed wistfully about regime change.
“Trump has worked very hard to make U.S. threats credible by amassing this huge military force offshore, and they’re extremely credible at this point,” Kelanic said.
“But he also has to make his assurances credible that if Iran agrees to U.S. demands, that the U.S. won’t attack Iran anyway.”
Talé, the former parliamentarian, put it differently.
“If Iranian diplomats demonstrate flexibility, Trump will be more emboldened,” he said. “That’s why Iran, as a sovereign nation, must not capitulate to any foreign power, including America.”
Politics
Video: Bill Clinton Says He ‘Did Nothing Wrong’ in House Epstein Inquiry
new video loaded: Bill Clinton Says He ‘Did Nothing Wrong’ in House Epstein Inquiry
transcript
transcript
Bill Clinton Says He ‘Did Nothing Wrong’ in House Epstein Inquiry
Former President Bill Clinton told members of the House Oversight Committee in a closed-door deposition that he “saw nothing” and had done nothing wrong when he associated with Jeffrey Epstein decades ago.
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“Cause we don’t know when the video will be out. I don’t know when the transcript will be out. We’ve asked that they be out as quickly as possible.” “I don’t like seeing him deposed, but they certainly went after me a lot more than that.” “Republicans have now set a new precedent, which is to bring in presidents and former presidents to testify. So we’re once again going to make that call that we did yesterday. We are now asking and demanding that President Trump officially come in and testify in front of the Oversight Committee.” “Ranking Member Garcia asked President Clinton, quote, ‘Should President Trump be called to answer questions from this committee?’ And President Clinton said, that’s for you to decide. And the president went on to say that the President Trump has never said anything to me to make me think he was involved. “The way Chairman Comer described it, I don’t think is a complete, accurate description of what actually was said. So let’s release the full transcript.”
By Jackeline Luna
February 27, 2026
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