Graham Fraser
Technology reporter

Image source, Reuters

President Trump's tariff barrage has got the US embroiled in a war of words with a number of countries around the world.

Now it seems the fiery rhetoric has spread to his own team.

In a television interview, Trump’s top trade advisor Peter Navarro described Elon Musk as a “car assembler”, saying his Tesla vehicles - while made in the US - were comprised of components sourced from around the world.

Navarro said he wanted those parts to be manufactured in the US instead.

Musk, who is advising Trump on cutting government spending, hit back on his social media platform, X.

He posted: “Navarro is truly a moron. What he says here is demonstrably false. Tesla has the most American-made cars. Navarro is dumber than a sack of bricks."

Of course, online spats are nothing new for Musk. But this one highlights an uncomfortable truth: that some of Trump's biggest supporters are among those who may lose out as a result of his policies.

We're hearing some more now from US Trade Representative Jamieson Greer, who says Trump's so-called reciprocal tariffs will go into effect from tomorrow.

The US are negotiating with around 50 countries, but they can't wait on the outcome of these talks, he adds.

The tariffs will go into effect coupled with "immediate negotiations", Greer says.

The tariffs going ahead tomorrow apply to almost all countries, but there are some exempt, that are instead already under a 10% tariff on all imports which took effect on 5 April.

The UK, Argentina, Australia, Brazil and Saudi Arabia won't face the higher tariffs being enforced tomorrow.

Image source, Reuters

The Senate’s Finance Committee annual hearing on Trump’s trade policy has begun, as Chair Mike Crapo defends Trump's tariffs, arguing that they will “expand opportunities for Americans”.

Member Rob Wyden asks to focus on one simple question: "What is the plan?"

He says the White House has provided “no clear message” of how the tariffs were determined, what they’re supposed to accomplish, and how long they will be in place.

He says in the last few weeks Trump’s advisers have “repeatedly changed” their answers to these questions.

US Trade Representative Jamieson Greer says tariffs are aimed at addressing the "national emergency" that Trump declared last week.

The US faces “unfair, unbalanced, non-reciprocal trade”, which has driven them to this so-called national emergency, Greer tells the hearing.

He says almost 50 countries have approached him to negotiate on the tariffs, which Greer calls a “welcome” move.

Image source, Getty Images

South Korea's acting president, Han Duck-soo, has said in an exclusive interview with CNN that there are no plans to push back on newly-imposed US tariffs.

Speaking on Tuesday, Han rejected a suggestion his country might band with neighbouring China to fight back against the new levies, saying “we will not take that route".

“I don’t think that kind of fighting back will improve the situation dramatically,” he says, adding that the move would not be "profitable".

Han told CNN that South Korea “clearly would like to negotiate” with the US and that the two countries have a “very strong alliance".

Earlier we reported that US President Donald Trump said things are "looking good" in terms of a deal with South Korea.

Image source, Getty Images

US Trade Representative Jamieson Greer will be testifying to the Senate's Finance Committee this morning in Washington DC at 10:00 local time (15:00 BST).

Firstly we will hear from the chairman, Mike Crapo, and then from member Rob Wyden, before Greer faces questions from the hot seat.

With tariffs dominating global news, Greer will likely face a grilling on Trump's "Liberation Day" announcement and the impact it's had since.

He's described the "reciprocal" tariffs as "the golden rule for the golden age".

It's the first of two grilling's he faces - tomorrow Greer will sit in front of the Ways and Means Committee.

We'll be bringing you key lines over the next few hours as the hearing progresses.

The New York Stock Exchange has opened following the ringing of the bell, with stocks on the rise after days of losses following Trump's tariffs announcement last week.

Bernd Debusmann Jr
Reporting from the White House

Image source, Bernd Debusmann Jr/BBC News

It's a very sunny but unseasonably cold day at the White House, where officials have dug in to defend President Trump's tariff plans despite mounting criticism.

Publicly, most officials from within Trump's cabinet have insisted the tariffs are working.

This morning, for example, Treasury Secretary Scott Bessent said "we're up to 70 countries" that have contacted the White House "for how to come and negotiate".

Others, including Trump himself, have downplayed market reaction to the tariffs, calling any downturn a temporary adjustment that will eventually correct itself.

There are, however, cracks appearing inside Trump's orbit.

These cracks were starkly highlighted by Elon Musk, who has publicly criticised one of the chief proponents of the tariffs, trade advisor Pete Navarro.

Behind the scenes, Musk has reportedly directly appealed to Trump to reverse course.

Nearby, on Capitol Hill, a number of prominent Republicans - and Trump backers - have warned against tariffs, Kentucky Senator Rand Paul tells reporters he is concerned that the tariffs could have a significant impact on the party's political success in the future.

At 13:00 EST (18:00 BST), Press Secretary Karoline Leavitt will hold a news briefing, which is almost certain to focus heavily on the tariffs. I've already heard reporters here in the White House basement preparing questions on the tariffs, and the Republican criticisms of them.

The bell has sounded and trading has restarted on the New York Stock Exchange.

• The S&P 500 index has opened up 3.4%
• The Dow Jones Industrial Average has risen 3.5%
• And the tech-dominated Nasdaq index is 3.7% higher

Image source, EPA

Yesterday, US stock markets saw some of the sharpest swings since the Covid-19 pandemic. Here's how the US markets looked at their close on Monday:

The S&P 500 index, which tracks the share prices of 500 US companies, ended the day down about 0.2%. During the early trading on Monday, it briefly dropping more than 20% since its most recent peak in February, but surged more than 7% in a matter of minutes following rumours tariffs could be put on hold.

The Dow Jones Industrial Average, which looks at blue-chip stocks, ended down 0.9%, in its third consecutive day of losses.

The Nasdaq index for tech companies however, was roughly flat and ended the day up 0.1%.

Wall Street's opening bell will ring within the next few minutes, stay with us.

Image source, Reuters

In a post a few moments ago on his Truth Social platform, US President Donald Trump says he believes China will strike a deal on the possible 104% tariffs the US has threatened to impose.

He writes: "China also wants to make a deal, badly, but they don’t know how to get it started. We are waiting for their call. It will happen!"

Trump adds that he has just spoken to the acting president of South Korea about tariffs.

"We talked about their tremendous and unsustainable surplus, tariffs, shipbuilding, large scale purchase of U.S. LNG, their joint venture in an Alaska Pipeline, and payment for the big time Military Protection we provide to South Korea," the US president writes.

He adds that a team from South Korea is headed to Washington to negotiate on a deal "and things are looking good".

The trade war between the world's two biggest economies shows no signs of slowing down - Beijing has vowed to "fight to the end" hours after US President Donald Trump threatened to nearly double the tariffs on China.

That could leave most Chinese imports facing a staggering 104% tax - a sharp escalation between the two sides.

Smartphones, computers, lithium-ion batteries, toys and video game consoles make up the bulk of Chinese exports to the US. But there are so many other things, from screws to boilers.

With a deadline looming in Washington as Trump threatens to introduce the additional tariffs from Wednesday, who will blink first?

"It would be a mistake to think that China will back off and remove tariffs unilaterally," says Alfredo Montufar-Helu, a senior advisor to the China Center at The Conference Board think tank.

• Read more: China is not backing down from Trump's tariff war. What next?

Stephen McDonell
China correspondent

China is certainly not backing down in the face of the latest statements from Donald Trump - who has threatened to impose an extra 50% tariff on Chinese goods, on top of the 54% already implemented.

Beijing is instead labelling the Trump administration as a bunch of "bullies" and says it has its own counter-measures ready to go if the US president makes good on his threat to increase the tariff level to a minimum of 104%.

Today is the day that Trump gave as the deadline for the Chinese government to remove tariffs on US goods, which were put in place following Trump's last round of tariffs on Chinese goods.

Beijing has said it's not going to do that.

It's not exactly clear what Beijing has in store for the US in the coming days, but state media reports say the US agricultural sector is likely to take another hit, with measures that could include a complete ban on US poultry.

In addition, there could be a possible end to the cooperation between the US and China on trying to crack down on the fentanyl trade, and also even a ban on all US movies being shown in Chinese cinemas.

Image source, Reuters

The stock market as a whole is made up of the prices of many thousands of companies, all around the world.

As companies grow, they issue shares. For example, the largest companies in the UK have shares which are bought and sold on the London Stock Exchange.

Their collective performance is often quoted in a blizzard of numbers.

Many people's initial reaction to "the markets" is that they are not directly affected, because they do not invest money.

Yet there are millions of people with a pension - either private or through work - who will see their savings (in what is known as a defined contribution pension) invested by pension schemes. The value of their savings pot is influenced by the performance of these investments.

So big rises or falls can affect your pension, but the advice is to remember that pension savings, like any investments, are usually a long-term bet.

• Read more: How does it affect me if share prices fall?

Tommy Lumby
BBC business data journalist

It’s clear to see the full extent of how Trump’s tariffs have buffeted the FTSE 100, which tracks share prices for the UK’s 100 largest companies.

The market opened lower on 3 April after news of the tariffs emerged overnight. That was followed by the largest one-day fall in the share index since March 2020.

Share prices have recovered slightly on average since the FTSE opened even lower on Monday morning, although a spike caused by a rumoured pause in tariffs fell back again after being denied by the White House.

Ben Hatton
Live reporter

It's early morning in the US and lunchtime in the UK, here's a recap of what you need to know.

Stock markets

In Europe and Asia stock markets have made gains - a break from the downturn in share prices over the last few days.

As of around 12:30 UK time, the FTSE 100 was up more than 2% - albeit that is still about 9% lower than when it opened last Wednesday. And in Japan, the Nikkei 225 index has risen about 6% in today's trading.

Early indications suggest the US stock market could open higher when it begins at 09:30 US Eastern Time (14:30 BST).

China's threat of retaliatory tariffs

Yesterday, the US President issued an ultimatum to China: remove the 34% tariff it has threatened in response to Trump's earlier tariffs, or face a further 50% tariff.

If Trump carries out his threat, it would see a large swathe of Chinese imports into the US facing a 104% tariff.

China has said today that it does not want a trade war but it will "fight to the end" if the US persists. US Treasury Secretary Scott Bessent, speaking to CNBC this morning, says China has made a "big mistake".

'Nothing is off the table'

In the UK, Chancellor Rachel Reeves says global tariffs will have "huge implications" but the head of the Bank of England reassures her that "markets are functioning effectively and that our banking system is resilient".

Speaking in the Commons Reeves says pursuing a deal with the US remains the priority, but "nothing is off the table". She announced she will meet the US trade secretary "shortly".

We'll continue to provide updates and analysis throughout the day - stick with us.

More now from US Trade Secretary Scott Bessent who tells CNBC the White House has a "substantial" call list of countries to speak to about tariffs, and last night it decided who was a priority to get in touch with to possibly strike a deal.

Chancellor Rachel Reeves has just told the Commons that she'll be talking to Bessent "shortly".

Bessent reckons that Trump has "maximum negotiating leverage right here, right now".

"I think it would be a mistake for anyone to think otherwise," he added.

Image source, Getty Images

US Treasury Secretary Scott Bessent is doing the rounds on American morning shows and tells CNBC that China has made a "big mistake" and is playing "a losing hand" after Beijing announced retaliatory 34% tariffs against Washington.

Last night, Donald Trump threatened to impose a further 50% levy on China - taking total US tariffs on some goods to 104% if it didn't back down.

China's response? It warned the US that it intended to "fight to the end".

Image source, Getty Images

Trading on the US stock market opens at 09:30 US eastern time, which is 14:30 BST.

An early indication as to how trading will begin can be seen on what is known as the "futures market". As things stand, these suggest the tentative recovery in stocks will continue.

According to the futures market, both the S&P 500 index and the Dow Jones Industrial Average are set to open up by between 1% and 2%.

However, it's worth noting these estimates can be volatile, so we could see quite a change before the markets open officially later today.

As we've just reported, Chancellor Rachel Reeves will be meeting with the US Treasury Secretary Scott Bessent "shortly".

She also confirmed she is speaking with EU counterparts and will hold talks with the Indian government tomorrow in efforts to secure a trade deal with India.

While the UK tries to secure a better deal with the US, government officials are pressing ahead with deals to secure better mutual access to countries even harder hit by the new tariffs, who may be more incentivised to strike a deal.

The BBC understands that India - which was hit by a 26% tariff - is a particular target of these discussions.

Image source, UK Parliament

Speaking in the Commons, Reeves says "nothing is off the table" in terms of discussions with the US over tariff measures.

Addressing MPs, she says: "This government is clear-eyed that our response to global change cannot be to watch and wait, but instead to act decisively, to take the right decisions that are in our national interest."

She adds that "a trade war is in nobody's interests, it is why we must remain pragmatic, cool-headed and pursue the best deal with the United States that is in our national interest. This remains our priority."

"This remains our priority, and that was part of the discussion that I had with US Treasury Secretary Scott Bessent last week, but we have been clear, nothing is off the table."