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Trump Says, Countries are Kissing My A-- to Make Tariff Deals; China on New Tariffs, We Won't Accept Bullying from U.S.; At Least 98 Dead in Nightclub Roof Collapse in Dominican Republic. Aired 7-7:30a ET

Aired April 09, 2025 - 07:00   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.

[07:00:00]

JOHN BERMAN, CNN ANCHOR: All right. Breaking news, we are waking up to a new world order. President Trump's huge sweeping tariffs went into effect at midnight, including a 104 percent tariff on Chinese imports. We are standing by this morning to see how the markets react.

KATE BOLDUAN, CNN ANCHOR: An absolute tragedy in the Dominican Republic. At least 113 people have now been confirmed killed after an iconic nightclub's roof just collapses.

There's also new detail. This morning, we're following about another close call near Reagan National Airport in the same airspace where that army helicopter collided with the American Airlines jet in January.

Sara Sidner is out today. I am Kate Bolduan with John Berman. This is CNN New Central.

BERMAN: All right. And this morning, Americans really are waking up to a whole new world. As Politico just wrote, he really did it, the highest trade barriers in more than 100 years. Overnight, President Trump's sweeping new tariffs on dozens of trading partners went into effect. And soon the price you pay for just about everything may never be the same.

I've been looking at the stock futures right now. Just over the last, actually about 90 seconds, they've dropped about a percent from where they were. They were right around at zero opening. Even now, they're down more than a percent. Not sure what is causing that. Obviously, we will keep our eye on it until the opening bell after four straight days of losses.

China is among the country's hardest hit by the new measures. The president hit that country with a combined 104 percent rate on its imports. Now, Beijing is vowing to take, quote, resolute and effective measures that could escalate this trade war even further. So, even as the market shake and confidence crumbles, the president claims his plan is working, working to get concessions from other countries.

(BEGIN VIDEO CLIP)

DONALD TRUMP, U.S. PRESIDENT: I'm telling you, these countries are calling this up kissing my ass. They are dying to make a deal. Please, sir, make a deal. I'll do anything. I'll do anything sir.

(END VIDEO CLIP)

BERMAN: All right. With me now is the anchor of Early Start and Business Correspondent Rahel Solomon, Rahel watching the market futures. Obviously, the tariffs went into effect, which is momentous in its own way, going to be another day.

RAHEL SOLOMON, CNN BUSINESS ANCHOR AND CORRESPONDENT: Yes. So, this was the day that investors feared would not happen, but at midnight, these tariffs went into effect, these reciprocal tariffs. What I can tell you is that Southeast Asia, as you pointed out, among the hardest hit nations, so, Cambodia for its part being hit with 49 percent, Vietnam being hit with 46 percent. But China, as you pointed out among the hardest hit. And so taking a look at sort of some of who are feeling sort of the worst of it this morning, some of these nations.

Now, I've been looking at the markets since about midnight. So, it's been a fun morning, John Berman. And I can tell you that sort of the losses accelerated into that midnight deadline as perhaps optimism that some sort of last minute breakthrough would be reached was dashed, right? The midnight deadline came and the tariffs went into effect, and so we saw those losses accelerate.

When you're taking a look at the Asian markets, for example, that was actually mixed. So, you saw Japan closed lower thinking about the automakers. You saw South Korea closed lower thinking about the automakers. But then Hang Seng, for example, actually closed higher. Europe, a different picture, it is pretty consistent across the board in Europe with losses around 3 percent last I checked. So, FTSE 100, exactly 3.5 percent, taking a look at France at 4 percent, German DAX off about 4 percent as well.

U.S. futures have sort of been in this interesting sort of range this morning. It's actually been flat at times to lower. But as you pointed out, these losses, as we get closer and closer to the opening bell, are accelerating. Now, I did talk to Neil Shearing, who's the chief economist at Capital Economics, and I asked him, at this point, we sort of know what the tariffs are, absent any trade deals, who appears to be the biggest win winners and losers from this? And here's what he told me. Take a listen.

BERMAN: Right. We don't appear to have that sound.

SOLOMON: What he told me, in essence, is that no one wins when we're talking about a trade war.

[07:05:02]

But he said the worst -- those who will be hit the worst are people like us, American consumers, who will be hit hardest with higher prices, certainly, at least in the near term.

So, now the question this morning, of course, is what happens now. White House says that they've gotten dozens of requests to have these trade talks. I will say that the idea or the hope that this sort of settles or sorts out really quickly diminishing, right, following similar to the markets. Because the idea is that even if trade deals are worked out, it will take weeks, if not months before we see the effects of that.

BERMAN: Yes. The markets have been waiting for any sign that deals will be struck. It may be late on that at this point.

Rahel Solomon, great to see you, great work on Early Start, the flagship show, one of the best shows here that has ever put on, Early Start power.

SOLOMON: You know.

BERMAN: All right. Kate?

BOLDUAN: We have some breaking news coming in right now. China has just announced what its retaliation will be against the tariffs slapped on by the Trump administration.

Let's get over to CNN's Marc Stewart in Beijing with the details. Marc, what are you learning? What is this going to look like?

MARC STEWART, CNN CORRESPONDENT: Kate, let me set the scene for you. It is 7:00 in the evening here in Beijing. Just about four minutes ago, the government on an official website announced that it's going to increase the tariffs to the United States on American imports by 50 percent, very much in line with what the United States did to China.

So, now we have tariffs on American imports soaring now from 34 percent to 84 percent, not nearly as high as what the United States is doing, but very significant. Again, another 50 percent increase in tariffs toward the United States that will go into effect midnight in the United States.

This is something that we had anticipated all day long. Chinese officials had said that China would fight to the end, and that it has the economic strength to endure this trade war. I think it's also important that we talk about the timing of all of this. We're about 2.5 hours before the U.S. market opens.

Last time we saw retaliation, it was very much in the same time window. You could conclude that China is doing this at this particular moment to try to rattle the markets. It's something that has been talked about on Chinese social media. Again, this very strong message of defiance from China, saying that it will be able to move forward, it will be able to endure this.

Let's listen to what a government official said just a few hours ago from our spot here in Beijing.

(BEGIN VIDEO CLIP)

LIN JIAN, SPOKESPERSON, CHINESE FOREIGN MINISTRY: External shocks cannot alter the fundamental strengths of China's economy, its stability, abundant advantages, resilience, and great potential.

(END VIDEO CLIP)

STEWART: So, there is this lingering question that people at home are asking when they look at their 401(k)s and what world leaders are asking what will happen next? Well, as far as this U.S.-China relationship goes, it's very murky right now. China yesterday made it very clear that it didn't think that the United States was being sincere, genuine, in its approach to this very serious matter, and for that reason, would not necessarily sit down for negotiation talks at this point, despite what the White House would want.

Kate, I go back to the whole TikTok debate. For China, it does not want the United States to tell it what it can and cannot do. This whole trade issue is yet another reflection of this ongoing theme.

BOLDUAN: Well, yes, I mean, look, we have in the wall right next to you, Marc, just this is where things stand right now, and, I mean, I'll put it in Kate terms, but like this is bananas what we're looking at, 104 percent tariff on Chinese goods coming into the United States and China's response, 84 percent tariffs on American goods heading over to China. Just what that is going to look like and what that's going to do to the market, it's impossible, the markets, it's impossible to say right now.

But, quickly, catch us up on how we got to this math to 104 percent on China to 84 percent now in the United States. This tip -- I mean, tit- for-tat sounds almost kind and novel with what is happening here.

STEWART: That's exactly what it is. I mean, if we look over history, China's foreign affairs approach to the United States, especially in these trade issues, has been tit-for-tat. It's something we saw to a similar liking back in 2018 during the first Trump administration, certainly nothing to this extreme.

But I think you brought up a very important point about how are the markets going to handle this, how is the world going to handle this, because this is involving the two largest economies in the world. We have the United States, the world's largest economy, and China's economy, the world's second largest economy.

[07:10:01]

For these two economies to be fighting like this, it is a disruptor not only to their individual economies, but around the world. That is why we are seeing perhaps China talking to places, such as the European Union, forming new economic alliances in Latin America and Africa as a way to fight back. This is monumental, Kate.

BOLDUAN: Monumental is a great word for it. Much more eloquent than my bananas, I'll say that.

Marc, it's great to have you. Thank you so much. Just -- I mean, this is now going to change the game yet again for today, because just at midnight, the re reciprocal, if you will, tariffs we're setting in. And now you have China's response, John.

BERMAN: Yes. And, look, and we saw the market futures reaction in real time. We were wondering what caused that about 1 percent drop as were on the air.

BOLDUAN: We're asking that. That's exactly right.

BERMAN: That's what was going on right there. Quite a morning already.

All right, an urgent search for survivors who may be trapped under rubble after a roof collapsed at a nightclub, authorities say at least 300 people were inside.

And a change in tune from Robert Kennedy Jr., he is now publicly urging people to get the measles vaccine as a multi-state measles outbreak increases.

And CNN gets a new look inside a notorious mega prison that is at the center of world controversy,

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[07:15:00]

BOLDUAN: So, rescue workers are racing this morning to find more survivors who may still be trapped in the rubble after a nightclub's roof collapsed Tuesday. Now, this happened at an iconic club in the Dominican Republic. The death toll has continued to rise, even rising yet this morning, over a hundred people confirmed to be killed, including two former Major League Baseball players. Authorities say at least 300 people were inside Jet Set, as it's called, during meringue concert, when the roof suddenly fell in.

Now, let's go to Santo Domingo right now. CNN Contributor Stefano Pozzebon is there. Stefano, what are you hearing about this investigation and the, the urgent search still for people possibly alive in the rubble?

STEFANO POZZEBON, CNN CONTRIBUTOR: Yes, Kate. Unfortunately, what we are hearing is not good news. Just like you said about an hour ago at a press conference here, the emergency services has confirmed that the death toll has rose to 113 people. At least 113 people have been killed in this iconic nightclub.

Like you said, you can see that we are right in front of what used to be the entrance of this Jet Set nightclub here at the heart of Santo Domingo. But over the last few hours and throughout the night, the operations, the search and rescue operations, have gone through, because, like you said, there are still believed to be tens of people under the rubble. They are just behind my back and you can see that the emergency workers are combining through the debris to try locate as many people as possible, as quickly as possible.

And for the loved ones with whom we've been speaking over the last few hours, this waiting is excruciating. Take a listen.

(BEGIN VIDEO CLIP)

GEUDY GARVA, AWAITING UPDATE ON RELATIVE: We have to wait to identify the bodies. The waiting, the waiting has been the most difficult thing really, because we don't know if he's in the hospital or if he's dead. If he's still in there, that's the thing that most -- I mean, because if he's in there and died, okay, then we can start to mourn. But the waiting to see if he is or isn't there, it's so awful.

(END VIDEO CLIP)

POZZEBON: And we were speaking with that gentleman just a few hours ago. It was still Tuesday night, but even this morning we've seen, Kate, dozens of people still here in the R reserve for the families, for the relatives waiting for answers.

Of course, the Dominican Republic has declared the national mourning for three days. And this is, like you said, it's a wound that is hitting hard at the heart of this community because of what this place used to be. It was one of the most iconic nightclubs here in the Caribbean, but especially here in Santo Domingo. And, unfortunately, it's just a tragic flurry that this nation is waking up to this morning. Kate?

BOLDUAN: Absolutely. And becoming more tragic by the hour now that we know that the death toll has risen, as you have reported from emergency services, hearing now a hundred and at least 113, and the search continues.

Stefano, thank you very much.

Coming up still for us, an investigation is now underway to find out how an air traffic control communicate -- an investigation underway into air traffic control, what was happening around DCA to find out how military jets came within seconds of colliding with another passenger jet just months after that deadly collision in the same airspace near the same airport.

And the FBI is now leading investigation after Tesla -- after another Tesla charging station was damaged.

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[07:20:00]

BERMAN: All right. And the major breaking news, you're looking at stock futures after China just announced new counter-tariffs on the United States, raising their tariffs on U.S. goods to 84 percent. Overnight, the 104 percent tariffs from the US on China went into effect. Look at that screen right there. That is what a trade war looks like, an escalating trade war. The markets didn't like it. Futures dipped immediately upon that announcement. We'll get back to that in just a second.

And new this morning, The Washington Post reports the FAA is replacing three senior air traffic control managers at Reagan National Airport after they got into a fight in the tower and the FAA's head of air traffic just announced he will retire months earlier than planned. The FAA is looking to have a Delta flight and four military jets came within seconds of colliding last month. This happened in the same airspace as the deadly midair collision between a regional jet and an Army helicopter in January.

CNN Aviation Correspondent Pete Montin has the story.

PETE MUNTEAN, CNN AVIATION CORRESPONDENT: The details of this incident have not been reported with such clarity until now. This involves the March 28th near collision of a Delta Airlines flight and four United States Air Force jets doing a flyover of Arlington National Cemetery that is a stone's throw from Reagan National Airport, and a stone's throw from the site of the January 29th midair collision that killed 67 people.

Now, sources are telling me this new incident should have never happened, and the investigation is now focusing on an apparent miscommunication by air traffic control or a bit of a communications breakdown. The flights leaving Reagan National Airport, were supposed to stop at 3:12 P.M. on Friday, March 28th for this 3:17 P.M. flyover.

[07:25:04]

But for some reason, that pause of departures did not happen. The end result here, that Delta flight coming within 3,800 feet of those four Air Force T-38 jet trainers, meaning they were within about five seconds of collision.

I want you to listen now to Republican Senator Ted Cruz. He's the chair of the Senate committee that oversees the FAA, and he says that this incident was way too close.

(BEGIN VIDEO CLIP)

SEN. TED CRUZ (R-TX): The air traffic center that controls airspace around D.C. notified DCA about the flyover. That should have led to halted traffic. This serious communication breakdown is just the latest in a string of missteps that signal that the air traffic organization is under extreme stress.

(END VIDEO CLIP)

MUNTEAN: My new reporting also details, alarms going off in front of air traffic controllers as they frantically tried to turn this flight of Air Force jets away from flights still departing at Reagan National Airport also raises major new questions about the proximity of military and commercial flights in some of the most crammed airspace in the country, also raises a major new question about whether or not air traffic controllers are too stressed following the worst air disaster in the United States in decades. Remember, the night before this incident, a fight broke out in the Reagan National Airport control tower leading to one controller being arrested.

BERMAN: All right. Thanks to Pete Muntean for that.

The breaking news this morning, trade war, it is on. China just announced huge new tariffs on U.S. imports. What happens next, we're all over it.

And, quote, boys will be boys, the official word from the White House as two of the president's top advisors hurl really harsh insults at each other on social media.

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[07:30:00]