Trump Threatens Tariffs on EU and China, Sparking International Tensions

In a bold statement on January 30, 2025, U.S. President Donald Trump issued a warning to the BRICS nations—Brazil, Russia, India, China, and South Africa—threatening to impose a 100% tariff if they pursue the creation of a new currency or support alternatives to the US dollar. Trump emphasized the need for commitments from these countries to refrain from actions that could undermine the dollar's dominance in international trade. The remarks came amidst ongoing discussions about the BRICS alliance potentially moving away from reliance on the US dollar. According to Trump, the notion that these countries could attempt to replace the dollar without consequence is no longer viable. He posted on his Truth Social platform, asserting that the U.S. government would require a clear commitment from BRICS members against such initiatives. This escalation of rhetoric highlights the ongoing tensions surrounding global currency standards and the U.S. position in international economic affairs.

Walgreens Boots Alliance has announced the suspension of its quarterly dividend payment to shareholders, marking the first time in 92 years that the company has opted not to distribute cash dividends. The decision, reported on January 30, 2025, comes as the Deerfield-based retail pharmacy faces ongoing financial difficulties. In an effort to streamline operations, Walgreens plans to close approximately 1,200 stores over the next three years, including locations in Chicago. The company has been implementing cost-cutting measures, which include recent layoffs in Illinois and other regions. According to Walgreens, the suspension of dividends is designed to assess and refine its capital allocation policy as part of a broader turnaround strategy. A company release emphasized that cash needs associated with litigation and debt refinancing critically influenced the decision. Walgreens reported a substantial net loss of $265 million in the first quarter of this year, in stark contrast to a loss of $67 million in the same quarter the previous year.

Costco Wholesale has announced plans to increase hourly pay for most of its U.S. store workers to over $30, according to a memo distributed to employees this week. The wage hike will implement a $1 increase annually for the next three years, beginning with a rise to $30.20 in the first year. Additionally, workers at the bottom of the pay scale will see their wages increase by 50 cents to $20. This decision comes amid contract negotiations between Costco and the Teamsters union, which represents over 18,000 employees. The union recently revealed that 85% of its members voted in favor of a nationwide strike as talks approach a January 31 deadline. Costco emphasized in the memo, signed by CEO Ron Vachris, that the changes would ensure that their hourly wages and benefits continue to surpass those offered by competitors in the retail industry. As labor relations become increasingly contentious across various sectors, this move may help Costco maintain its workforce and improve employee morale.