Politics
Republicans look to stop China's 'backdoor' tariff dodging scheme
Republicans are targeting China’s efforts to sidestep U.S. tariffs through foreign production, with new legislation introduced Thursday by House Budget Chairman Jodey Arrington, R-Texas.
The Axing Nonmarket Tariff Evasion (ANTE) Act aims to stop subsidized and state-owned entities from setting up production in other countries to avoid tariffs.
“For far too long, adversaries like China have engaged in unfair trade practices, cheated the American economy, and cost the U.S. millions of jobs,” Arrington said in a statement to Fox News Digital.
Will the tariff truce with China give President Donald Trump a political bounce? (Fox News)
TRUMP SAYS CHINA AGREES TO ‘FULLY’ OPEN COUNTRY’S MARKETS TO US BUSINESSES
On April 2, which the White House dubbed “Liberation Day,” President Donald Trump announced sweeping tariffs with the intention of ending trade imbalances. Some of the harshest of the tariffs were imposed on China, which was initially hit with a 145% tariff that was later lowered to 30%.
While tariffs seem to be discouraging Chinese manufacturers from exporting to the U.S., as evidenced by a recent Commerce Department report showing import levels at their lowest since the COVID-19 pandemic, imports have not stopped entirely.
The Chinese Communist Party (CCP) has found ways to evade the tariffs, such as setting up production in third-party countries or by shipping goods to another country and re-labeling them before sending them to the U.S. By labeling the goods as originating from another country, manufacturers dodge the high tariffs on China and instead get hit with much lower tariffs that are imposed on other nations. This is something that Arrington hopes to stop with his legislation.
Chinese shipping containers are seen at the port of Oakland, as trade tensions continue over U.S. tariffs with China, in Oakland, California, on May 12, 2025. (REUTERS/Carlos Barria)
CHINA ACCUSES US OF ‘TURNING SPACE INTO A WARZONE’ WITH TRUMP’S GOLDEN DOME MISSILE DEFENSE PROJECT
“The ANTE Act will stop highly-subsidized, state-owned businesses from using third countries as backdoors to evade President Trump’s tariffs and help ensure a level playing field for American producers and manufacturers,” Arrington told Fox News Digital.
Sen. Jim Banks, R-Ind., who is introducing companion legislation in the Senate, is also confident the bill will stop the CCP from falsifying the origins of imports.
“Communist China shouldn’t be able to dodge U.S. tariffs by slapping a ‘Made in Mexico’ label on their products,” Banks said in a statement to Fox News Digital. “My bill closes loopholes and stops the CCP from cheating American workers and manufacturers.”
The phenomenon of “place-of-origin washing” is not limited to large businesses. Chinese social media platforms are filled with ads offering services to help sellers avoid tariffs, the Financial Times reported. The outlet also noted that South Korea’s customs agency has seen an uptick in cases involving sellers using their country to avoid U.S. tariffs.
The national flags of the United States and China flutter at the Fairmont Peace Hotel on April 25, 2024 in Shanghai. (Photo by Wang Gang/VCG via Getty Images)
Under U.S. law, goods must undergo “substantial transformation” in a country to qualify as originating from there. The transformation must significantly add to the value of the good, according to the International Trade Administration’s (ITA) website.
As an example, the ITA writes that if ingredients are taken from several countries and turned into baked goods, the country of origin can be listed as where the items were baked, as this constitutes a “substantial transformation.” However, if produce from multiple countries is frozen and mixed in another nation, then the origin of each ingredient must be listed.
Politics
Crews Drape Tarp Over White House in Latest Trump Restoration
Construction workers unfurled a large printed tarp to cover scaffolding installed at the White House’s front entrance. Doug Burgum, the interior secretary, said President Trump had ordered the repairs after noticing damage to columns.
Politics
WATCH: Trump’s Energy chief reveals what escalating Iran tensions could mean for gas prices
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Energy Secretary Chris Wright is telling Americans not to be concerned about the possibility of another surge of sharp increases in gasoline prices as tensions with Iran have started to escalate once again.
Asked whether Americans should worry about higher prices at the pump and how the Trump administration is preparing to keep the economy stable if the conflict continues to worsen, Wright told Fox News Digital: “It has not been any good behavior from Iran that’s allowed oil to flow. It’s been the United States military.”
“That’s not changing,” he assured, speaking from the Great American State Fair on the National Mall this week.
US CLAWS BACK KEY CONCESSION TO IRAN AFTER FRESH ATTACKS ON COMMERCIAL SHIPS IN STRAIT OF HORMUZ
(Mario Tama/Getty Images) (Mario Tama/Getty Images)
With Iran striking three commercial vessels transiting the Strait of Hormuz on Monday and Tuesday, Wright doubled down in urging citizens to not credit Iran for the U.S. military’s work to ensure oil shipments continue flowing through the strait.
“Look, the U.S. Military has been the key asset here,” he said. “They have assured the flow of oil and gas through the Strait of Hormuz throughout. Not at the beginning of this conflict, but through the last six weeks.”
Wright said the administration is closely monitoring global oil supplies as the tentative ceasefire with Iran seemingly came to come to a halt, with President Donald Trump telling Secretary-General Mark Rutte the call for peace with Iran is “over” at the NATO Summit in Turkey on Wednesday.
But, he pointed to the continued shipping through the Strait as evidence that markets should remain stable.
TRUMP SAYS IRAN CEASEFIRE IS ‘OVER’ AFTER IRANIAN ATTACKS TRIGGER MASSIVE US RESPONSE
President Donald Trump speaks at the White House on Tuesday, April 22. (AP/Alex Brandon)
“We’re of course constantly watching the supply of oil, the supply of refined products and what’s going on there,” Wright said. “And I think still all positive trends.”
Beyond geopolitical concerns, Wright also praised the new chain of discounted gas stations across Pennsylvania and New Jersey, Freedom Fuel, which promises customers prices below the national average.
The Trump administration, though not involved with the network, has heavily endorsed the new chain and its 25 locations.
“We love it,” Wright said when asked about Freedom Fuel. “I mean, look, any mechanism we can to lower energy costs for Americans of all kinds, we’re all in on.”
“With Freedom Fuels, they’re just lowering it down to their wholesale price of gasoline,” Wright said. “So they’re not making any money selling gasoline, but they’ve got convenience stores. That’s how most gas stations make money.”
NEWSOM UNDER FIRE AS CALIFORNIA GAS TAX HIKE SENDS PUMP PRICES EVEN HIGHER
Gasoline costs are a known concern for many Americans, and amid surging prices there has been a considerable increase in those opting to purchase electric vehicles to save money long-term at the pump — with Tesla dominating the market for these types of models.
Wright argued one of the benefits to living in America is having the option to choose what type of vehicle you drive.
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“We just want people to buy what they would prefer,” he told Fox News Digital when asked his thoughts on increasing calls for support of the electrification of cars. “Consumer choice — you wanna buy an electric car, you wanna buy a gas powered car, diesel powered car, buy a big truck. That’s the choice.”
“That’s why you live in America. You get the choice of all those.”
Politics
Black mold and $1 wages: Settlement forces immigrant detention centers to protect workers
In 2023, California regulators levied more than $100,000 in fines against the private operator of a federal immigration facility, kicking off a three-year battle over whether detainees who do work at the facilities should be considered employees.
The question went beyond semantics: If considered employees, the detainees would be subject to state worker protection laws.
A legal settlement announced this week now affirms that private immigrant detention facilities are subject to California’s workplace safety and health requirements.
“Every worker deserves a safe and healthy workplace and should be able to report workplace hazards without fear of retaliation,” said Denisse Gómez, spokesperson for the California Division of Occupational Safety and Health or Cal/OSHA.
“Individuals who perform work in these facilities are entitled to workplace safety protections, and this settlement reinforces Cal/OSHA’s commitment to enforcing those protections and safeguarding vulnerable workers,” she added.
Under the settlement between California and the GEO Group, a Florida-based private prison company, the company recently withdrew its legal challenges and agreed to pay more than $100,000 in the fines.
The GEO Group did not respond to requests for comment.
Back in 2023, Cal/OSHA issued $104,510 in fines against the GEO Group. The agency had found six violations of state code by the company after detainees complained about a lack of protective equipment and proper training while cleaning the facility for $1 per day.
Detainees alleged they routinely wiped black mold off shower walls at the facility, saw black dust spew from air vents and used cleaning solutions that lacked instructions during the COVID-19 pandemic.
The biggest fine levied against the GEO Group was for failure to establish and maintain “effective written procedures to reduce employee risk of exposure to aerosol transmissible disease.”
Advocates viewed Cal/OSHA’S recognition of the detainees as workers as a victory that could pave the way for future labor rights fights at other detention centers in the state.
But the GEO Group appealed, arguing that detainees participating in ICE’s voluntary work program make their own schedules and aren’t employees, so hazard exposure couldn’t be “as a result of assigned duties,” as California law states. Plus, the company argued, there wasn’t enough evidence that detainees were exposed to any hazard.
Early last year, the state’s Occupational Safety and Health Appeals Board rejected the GEO Group’s argument and found that detainees should be considered “affected employees.”
The GEO Group sued, but three days before a California Superior Court hearing in May, the company and Cal/OSHA reached the settlement.
Along with paying the fines, the GEO Group agreed to draft plans for avoiding aerosol transmissions at 12 secure and reentry facilities in California, including five detention centers that hold immigrants.
“GEO ensures detainees are afforded the necessary tools, equipment, and personal protective equipment … to safely and effectively perform any necessary tasks,” the settlement states.
Gómez said the settlement also leaves intact the appeals board’s ruling that civil immigration detainees who participate in work programs can participate in proceedings anonymously, “acknowledging the potential for retaliation when individuals raise workplace safety concerns.”
But the question of whether detainees are employees and deserve certain protections isn’t entirely resolved — at least not for the federal government.
Last month, U.S. Immigration and Customs Enforcement released new standards for detention facilities across the country. The revised guidelines “emphasize that detainee volunteers participating in the voluntary work program are not considered facility and/or government employees” and thus not entitled to labor regulations.
Attorney Mariel Villarreal said the timing of the new detention standards made her question whether the GEO Group had asked ICE to specify in its standards that detainees are not workers in response to its battle with Cal/OSHA.
“To me, it’s a reaction to this very settlement,” she said. Villarreal works for the California Collaborative for Immigrant Justice, which filed the original complaint on behalf of detainees who said they worked in unsafe conditions.
Villarreal pointed to a Washington Post report that GEO Group executives privately asked ICE to specify that detainees are not employees of the facilities where they work. Two top Trump administration officials, border czar Tom Homan and acting ICE director David Venturella, previously worked for the GEO Group.
New versions of ICE detention standards take effect as contracts are established or modified, so this year’s rules won’t immediately apply to every facility.
An ICE spokesperson did not comment about the settlement. The spokesperson, who did not provide their name in an emailed statement Wednesday, said the agency has begun transitioning detention facilities to meet the 2026 standards, “building on its longstanding commitment to safe, secure, and professional detention operations.”
“ICE has consistently implemented many of these best practices independently, reinforcing its role as the leader in detention operations,” the spokesperson added.
The GEO Group and other immigrant detention center operators have faced other legal battles over workers’ rights, including lawsuits in Washington, Colorado and California over the $1-per-day payment.
Villarreal said she’s confident that the Cal/OSHA settlement would continue to hold even if California facilities incorporated the new standards. But she said she believes the statements are an attempt by the GEO Group to “sidestep responsibility” and avoid the possibility of being fined under similar circumstances in other states.
“These statements in the new standards are a way for them to try and preserve profits as much as possible,” she said. “GEO and ICE are so intertwined at this point that they have the same motives.”
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