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Illustration: Sarah Grillo/Axios

President Trump is now confronting two nuclear standoffs and fighting a trade war on multiple fronts — all at the same time.

The big picture: Trump's March decision to agree to meet with Kim Jong-un led to speculation he might hold off on withdrawing from the Iran nuclear deal, so as not to face dueling nuclear dilemmas. He didn't. Common cause on North Korea had seemed to pave the way for a trade war truce with China. It didn't. Now, Trump is slapping tariffs on America's closest allies — and they're hitting back.

The latest: Trump's tariffs — 25% on steel and 10% on aluminum — will go into effect at midnight on the E.U., Canada and Mexico, Commerce Secretary Wilbur Ross told reporters today.

  • European Commission President Jean-Claude Junckercalled the move "protectionism, pure and simple" and said Europe had no choice but to retaliate. The E.U.'s list of targets includes "everything from corn and tobacco, to T-shirts, Levi's jeans, bourbon, motor boats and various forms of steel," per NPR.
  • Canadian prime minister Justin Trudeau announced tariffs on U.S. steel, aluminum and other products, to match the total value of Canada's 2017 steel and aluminum exports to the U.S. He called the tariffs "totally unacceptable," and said he finds it "inconceivable" that "Canada could be considered a national security threat to the United States."
  • "Mexico’s Economy Ministry said it would target several U.S. goods in response, including some steel and pipe products, lamps, berries, grapes, apples, cold cuts, pork chops and various cheese products," per the WSJ.

The big picture:

  • Gary Hufbauer, a former senior Treasury official now at the Peterson Institute, told me "this is not a macroeconomic event, this is pinpoint pain" for certain U.S. firms and industries. "But pinpricks are very painful for those on the receiving end," he added, and members of Congress from affected districts will be speaking out.
  • He said a deal to change the tariffs to quotas, which are less painful for exporters, was likely to be reached in 3 months or so with Europe, and sooner with Mexico and Canada — though NAFTA negotiations could complicate things.
  • "I think the way this turns into a macro event is if the Chinese don't come up with a nice pot of concessions when Ross goes over there this weekend," Hufbauer said. He noted Trump has threatened tariffs on up to $150 billion in Chinese products, while the steel trade is worth $10-15 billion.

The bottom line: Trump needs Europe to help him confront China, and China to help him squeeze North Korea. Facing several crises at once, he seems to have scores of allies and none at the same time.

Go deeper

23 mins ago - Technology

Exclusive: Facebook's blackout didn't dent political ad reach

Photo: Valera Golovniov/SOPA Images/LightRocket via Getty Images

Americans saw more political ads on Facebook in the week before the 2020 election than they did the prior week despite the company's blackout on new political ads during that period, according to Global Witness, a human rights group that espouses tech regulation.

Why it matters: The presidential election was a key stress test for Facebook and other leading online platforms looking to prove that they can curb misinformation. Critics contend measures like the ad blackout barely made a dent.

Wall Street wonders how bad it has to get

Illustration: Aïda Amer/Axios

Wall Street is working out how bad the economy will have to get for Congress to feel motivated to move on economic support.

Why it matters: A pre-Thanksgiving data dump showed more evidence of a floundering economic recovery. But the slow drip of crumbling economic data may not be enough to push Washington past a gridlock to halt the economic backslide.

2 hours ago - Health

Moderna to file for FDA emergency use authorization for COVID-19 vaccine

Photo illustration by STR/NurPhoto via Getty Images

Moderna announced that it plans to file with the FDA Monday for an emergency use authorization for its coronavirus vaccine, which the company said has an efficacy rate of 94.1%.

Why it matters: Moderna will become the second company to file for a vaccine EUA after Pfizer did the same earlier this month, potentially paving the way for the U.S. to have two COVID-19 vaccines in distribution by the end of the year. The company said its vaccine has a 100% efficacy rate against severe COVID cases.