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'Juvenile' tariff feud, IRS tumult and Chinese fighters in Ukraine

 
Today's GLOBAl Trade story

Musk and Navarro feud as Trump's trade war escalates

What happened
As President Donald Trump's trade war enters a new stage with today's imposition of steep "reciprocal" tariffs on more than 100 countries, two of his top advisers are publicly feuding over trade policy. DOGE chief Elon Musk yesterday called Trump's top trade adviser Peter Navarro "truly a moron" who is "dumber than a sack of bricks," mocking him as "Peter Retarrdo." Navarro, who is publicly pushing for permanent tariffs to revive U.S. manufacturing, said Musk was less a "car manufacturer" than an "assembler" of foreign parts. 

Who said what
The "extraordinary spat" between Musk — the world's wealthiest man and a "relative newcomer to the Trump orbit" — and Navarro, a committed protectionist "so loyal to the president that he went to prison for him," has been "brewing quietly for months," Politico said. It may be "crass" and "juvenile," but their "feud" represents "more substantive divisions" within "MAGA's new, big-tent coalition." 

"This isn't exactly Lincoln's team of rivals," but the success of Trump's economic policies depends on Musk's "Silicon Valley MAGA" faction prevailing over Navarro's "Steve Bannon wing of MAGA," The Wall Street Journal said in an editorial. Musk is an "erratic political messenger," but he "isn't a flunky" and Trump would be wise to listen to him on tariffs. 

Trump, who "claims to hold" both advisers "in high regard," has "long allowed, and at times fostered, conflict between his top advisers, but it is unusual for animus between aides to play out so publicly," The New York Times said. Musk's "rare criticism" of Trump's policies comes as he "is estimated to have lost roughly $31 billion" since Trump's April 2 tariff rollout.

What next?
"Boys will be boys," White House press secretary Karoline Leavitt said of Musk and Navarro. "We will let their public sparring continue." It's "exceptionally clear" that Navarro's "team tariff is winning right now" over "team econ," Ed Mills, a policy analyst at Raymond James, told Semafor.

 
 
Today's NATIONAL story

IRS chief resigning after ICE deal on taxpayer data

What happened
Acting IRS Commissioner Melanie Krause is stepping down, along with several other top officials at the tax agency, after Treasury Secretary Scott Bessent signed a deal with Homeland Security Secretary Kristi Noem that forces the IRS to share protected taxpayer records with Immigration and Customs Enforcement to further President Donald Trump's deportation drive, news organizations said yesterday.

Who said what
Bessent and Noem signed the deal Monday, even after "IRS lawyers had counseled" that the plan "probably violates privacy law," but Krause only learned of it when Treasury representatives "released it to Fox News," The Washington Post said. 

Krause was once seen as "aligned with Elon Musk's" DOGE but had become "uncomfortable with the direction of the IRS under the Trump administration," The New York Times said. She is the third IRS chief to leave during Trump's first three months in office. Her predecessor, Doug O’Donnell, "retired rather than clash with DOGE and immigration enforcement officials" seeking "broad access to confidential personal taxpayer data," the Post said.

The administration argued that ICE can access tax data for anyone who committed the crime of defying a court order to leave the U.S. Using "immigrants' tax data against them should send chills down the spine of every U.S. taxpayer who disagrees with this administration," said Lisa Gilbert of Public Citizen. 

What next?
After years of IRS privacy guarantees, the data-sharing agreement will "discourage undocumented immigrants from paying taxes," Axios said, costing the government tens of billions of dollars a year in lost revenue and Social Security taxes.

 
 
Today's INTERNATIONAL Story

Ukraine nabs first Chinese troops in Russia war

What happened
Ukraine's military has captured two Chinese men fighting alongside Russian forces in the eastern Donetsk region, President Volodymyr Zelenskyy said yesterday, and there's evidence "significantly more Chinese citizens" have joined Moscow's war.

Who said what
The discovery "puts into question China's declared stance for peace," Ukrainian Foreign Minister Andrii Sybiha said on X. China and Russia did not immediately respond to Ukraine's "first official allegation" that Beijing is "supplying Russia with manpower," the BBC said. But both have "boasted of their 'no limits' partnership" and military cooperation" since Moscow's 2022 invasion, said Al Jazeera.

The North Korean troops that have been fighting with Russia in recent months are gaining "unmatched battlefield experience" they can take home and "spread throughout the country's massive army," The Wall Street Journal said, unnerving "North Korea's own foes in Seoul and Tokyo." Japanese Defense Minister Gen Nakatani yesterday expressed interest in joining NATO's Ukraine support mission in Germany, offering a "major boost in ties" with the Atlantic alliance," The Associated Press said. "Both Japan and NATO face many challenges and our security environment has become increasingly more severe," Nakatani told NATO leaders.

What next?
Moscow has "effectively rejected a U.S. proposal for an immediate and full 30-day halt" in fighting, the AP said, and "both sides are believed to be readying a spring-summer campaign on the battlefield."

 
 

It's not all bad

Boat captain Chrissy Lovitt's golden retriever, Macy, has been barking at whales her entire life, and one finally returned her greeting. During a recent sail off Lahaina, Maui, the 11-year-old dog spotted a humpback and began barking excitedly. The whale then "swam over to meet her," appearing to look straight at Macy, Lovitt told The Associated Press. Lovitt filmed the encounter and described it as the "best day" of Macy's life.

 
 
Under the radar

One of the major casualties of Russia's war in Ukraine is the area of conflict itself. Experts say Ukraine is experiencing an ecocide — essentially the destruction of the environment by humans. Now Kyiv is looking to take legal action against Russia over the damage.

The war "may end, but damage from artillery shells, mines, drones and missiles will endure for decades," introducing "health risks and eroding natural beauty," said The New York Times. The "extent of contamination" can "only be estimated in many areas," said Oleksii Vasyliuk, the head of the Ukrainian Nature Conservation Group, to Deutsche Welle. 

The environmental damages are many, from an increased level of emissions to destroyed soil and agriculture. In 2023, when the Kakhovka Dam was blown up, it "unleashed a deluge down the Dnipro River, sending toxic sediments and trillions of gallons of fresh water into the salty Black Sea and wrecking coastal ecosystems during a peak reproductive period for marine organisms," said the Times. Ukraine also experienced substantial wildfires as a result of the war. The area "burned over the last 12 months was more than double the annual average from the previous two years," said Euronews. 

Ukraine is seeking justice for the ecological damage through the International Criminal Court. While the term "ecocide" is "yet to be recognized under international law, the deliberate destruction of wildlife and natural resources is a criminal offense," said Forbes. The country's authorities have "recorded more than 5,000 cases of destruction to Ukraine's forests, soils, air and water directly connected to the Russian invasion," said DW.

 
 
On this day

April 9, 1918

Architect Jorn Utzon was born in Copenhagen, Denmark. Utzon's projects included Kuwait's National Assembly Building and his Kingo housing development. His most well-known work, though, came when he won a contest in 1957 to design the Sydney Opera House. Today, the opera house is one of the most recognized buildings in the world.

 
 
TODAY'S newspaperS

"Brushing off concerns," Donald Trump "pushes forward with his steep tariffs," The New York Times says on Wednesday's front page. "Broad U.S. tariffs take effect as China vows 'fight to the end'" and a "massive selloff batters" investors, The Wall Street Journal says. "Trump team sees hope in trade war," USA Today says. "Poultry industry squeezed on two fronts," bird flu and now tariffs, The Atlanta Journal-Constitution says. "Producer profits soar along with egg prices" and "USDA payments," The Washington Post says. As his tariffs push "S&P near bear market" losses, "Trump's tactics subvert vision of a 'Golden Age.'"

► See the newspaper front pages

 
 
Tall tale

Cheaper by the dozen

Because eggs are more expensive and scarce right now, some Americans are dyeing potatoes, marshmallows and onions instead this Easter. "I don't know that we will ever go back to dyeing eggs after dyeing marshmallows," blogger Steph Gigliotti told CBS News Philadelphia. Any size marshmallow works, with jumbo ones best for "dramatic effect," Gigliotti said. Colorful marshmallows are "very versatile" and fun to eat on their own or in s'mores and Rice Krispies Treats.

 
 

Morning Report was written and edited by Theara Coleman, Nadia Croes, Catherine Garcia, Scott Hocker, Anya Jaremko-Greenwold, Justin Klawans, Devika Rao, Rafi Schwartz and Peter Weber, with illustrations by Stephen Kelly and Julia Wytrazek.

Image credits, from top: Roberto Schmidt / AFP via Getty Images; Chip Somodevilla / Getty Images; Danylo Antoniuk / Ukrinform / NurPhoto via Getty Images; Illustration by Julia Wytrazek / Getty Images