Friday, April 4, 2025

China retaliates, allies respond, and Washington backpedals.

Prepper Perry
April 04, 2025

Happy Friday everyone! This week, markets buckled as China hit back on tariffs, pressure mounted on Russia over Ukraine, and internal fractures inside the Trump administration began to show. France called for a pause on U.S. investment, Kennedy scrambled to reverse health cuts, and reports revealed critical understaffing across the National Weather Service during peak disaster season. Here’s what you need to know.

BRIEFING ROOM

ECONOMY

Markets Crash as Trade War Escalates

U.S. stocks just had their worst week since the early days of COVID as China responded to Trump’s sweeping tariffs with 34% import taxes, restrictions on key minerals, and blacklisted several American companies. The S&P 500 fell nearly 6%, while the Dow and Nasdaq also took major hits. European and Asian markets followed, with the FTSE 100 and Germany’s DAX both dropping around 5%. Trillions in global value were wiped out in just days as fears of a prolonged trade war grew.

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PREPPER PERSPECTIVE

This isn’t just market noise. We’re looking at the start of a serious economic shift. Small businesses are already warning of 30% to 40% price increases on basic goods. Supply chains are tightening, and investor confidence is slipping fast. If this trade war deepens, it could lead to job losses, a spike in inflation, and long-term damage to global stability. Now is a good time to audit your finances, double check your essentials, and pay close attention to how fast this escalates.

GEOPOLITICS

Rubio to Russia: U.S. Patience on Ukraine Is Running Out

After a NATO summit in Brussels, Secretary of State Marco Rubio warned that Russia has only weeks to show it’s serious about peace talks in Ukraine. Congress is already preparing new sanctions, and NATO leaders are exploring troop deployments to help enforce a possible cease-fire. Behind the scenes, tensions are building over Trump’s tariffs, the future of NATO, and even renewed claims over Greenland.

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PREPPER PERSPECTIVE

This marks a shift in how the U.S. is approaching the war. What was once framed as a quick peace deal is now turning into a drawn out standoff. If diplomacy stalls, we could see broader military involvement, economic fallout, and more friction between the U.S. and its allies. Energy prices, defense spending, and international stability are all in play. This is a good time to pay close attention to what’s happening in Eastern Europe and prepare for more volatility ahead.

POLITICS

Trump Signals Musk’s Exit as Political Pressure Builds

President Trump is reportedly preparing to distance himself from Elon Musk, despite giving him unprecedented access to the West Wing. Musk’s growing role in the administration has become a liability, with insiders citing his impulsive behavior, interference in policy, and friction with Cabinet members. While Trump still praises Musk publicly, advisers say the relationship is starting to crack.

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PREPPER PERSPECTIVE

This shift looks like a strategic move to limit risk. Musk’s deep ties to Tesla, SpaceX, and other ventures make every public misstep more than just a PR issue as it creates ripple effects across markets and national security discussions. Tesla stock has already taken hits following Musk’s political entanglements and his decisions inside the government have started to affect real policy outcomes. Removing him from the spotlight may be an attempt to protect the administration from further blowback, restore order inside the executive branch, and calm investors worried about blurred lines between private power and public leadership. This is about protecting stability before things spiral.

HEALTH

Kennedy Walks Back HHS Cuts After Public Outcry

Following backlash over sweeping layoffs at federal health agencies, Health and Human Services Secretary Robert F. Kennedy Jr. said Thursday that some programs and personnel will be reinstated. Amongst them is the CDC’s lead monitoring program, which was helping Milwaukee respond to a contamination crisis in local schools. Kennedy said the cuts were intended to remove redundant administrative roles but admitted that some essential programs were mistakenly impacted.

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PREPPER PERSPECTIVE

This shows how untested reforms can create unintended consequences. Cutting 80 percent of a workforce without a clear transition plan was always going to create fallout. Lead contamination remains a serious public health threat, especially in low-income communities. Pulling experts in the middle of an active crisis erodes trust and puts lives at risk. Kennedy’s quick reversal suggests mounting pressure from local officials and the public. However, the lack of clarity about who is being reinstated, and under what structure, raises deeper questions about leadership and long-term planning at HHS. In times of major restructuring, public health often ends up as collateral damage.

THE DEBRIEF

The Stellantis plant in Windsor, Ontario is pausing operations due to U.S. tariffs on foreign-made vehicles, putting 4,500 jobs at risk and stoking fear across Canada’s auto industry. Canada has responded with its own 25 percent tariff on American cars. With North America’s auto supply chain deeply intertwined, experts warn prices will rise and layoffs may spread across all three countries.

French President Emmanuel Macron is calling on European companies to suspend new investments in the U.S. following Trump’s latest round of global tariffs. Macron labeled the 20 percent tariffs as “brutal and unfounded,” and warned that Europe’s response will be stronger than past trade disputes. Key French firms, including CMA CGM and Schneider Electric, may now delay or reconsider billion-dollar projects in the U.S.

The remains of six Mexican nationals killed in a January medical jet crash in Northeast Philadelphia were returned home for burial. Victims included an 11-year-old patient, her mother, and four medical crew members. A Philadelphia father on the ground also died in the crash. The tragic incident left a massive crater and continues to be investigated by the NTSB.

A federal judge has ordered the Trump administration to return Kilmar Abrego Garcia to the U.S. after he was mistakenly deported and placed in El Salvador’s notorious megaprison. Garcia, a legal resident with no criminal record, was removed due to what officials called an “administrative error.” The ruling exposes serious gaps in deportation oversight and raises concerns about due process under current immigration policy.

Nearly half of National Weather Service offices are now operating with 20 percent or higher vacancy rates, following job cuts tied to Elon Musk’s federal efficiency overhaul. Some offices, including those in storm-hit Arkansas, are missing more than a third of their staff. Experts warn this critical understaffing threatens timely forecasting and emergency response during a surge in tornadoes, flooding, and wildfire risk.

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