MNI POLITICAL RISK - Trump Initiates Tariff Negotiations

Executive summary:

• US President-elect Donald Trump fired the starting gun on tariff negotiations yesterday, declaring that he will slap a baseline 25% tariff on all goods imported from Mexico and Canada on day one of his presidency. By linking the tariffs to national security, Trump can likely tap sufficient power through the International Emergency Economic Powers Act to impose the tariffs without Congressional approval.   
• Senator Joni Ernst (R-IA) sent a letter to Elon Musk and Vivek Ramaswamy outlining proposals to cut government spending - one of the first major plays from a high-profile lawmaker supporting the pair’s Department of Government Efficiency.
• Trump is considering naming a White House Artificial Intelligence czar to coordinate federal policy and governmental use of the emerging technology.
• House Speaker Mike Johnson (R-LA) appears to be warming on a Continuing Resolution to punt government funding into mid-March.
• The Commerce Department announced the final terms of a grant of up to $7.865 billion in direct funding for Intel.
• Trump’s transition team is preparing to lift Biden's moratorium on natural gas export permits as part of his 'day one' executive order package.
• Japanese Prime Minister Shigeru Ishiba called on President Biden to approve Nippon Steel's acquisition of US steel.
• Israel appears set to approve a US- and France-broker ceasefire agreement with Hezbollah in Lebanon.
• Poll of the Day:Americans’ confidence in the economy has improved since the election. 

Please find the full article attached below: US Daily Brief