Trump Broke the Law in Canceling NIH Grants, Watchdog Says

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Reuters
By Yuval Rosenberg and Michael Rainey

Happy Wednesday! The self-described "Tariff Man" was at it again today, announcing that he'll impose a tariff of about 100% on imported semiconductor chips - but the duty would not apply to companies that have "made a commitment" to manufacture in the United States or are in the process of building in the country. The president also slapped a steep tariff on goods from India. Here's what we're watching.

Trump Hikes Tariff on Indian Imports to 50%

President Donald Trump signed an executive order Wednesday raising the tariff on goods imported to the U.S. from India to 50% as punishment for India's continued purchase of Russian oil.

India and the U.S. have been trying to negotiate a trade deal for months, but have been unable to agree on terms, and India faces a 25% tariff starting tomorrow. The additional, punitive 25% tariff on Indian imports is scheduled to go into effect in 21 days.

"I find that the Government of India is currently directly or indirectly importing Russian Federation oil," Trump said in the executive order. "Accordingly, and as consistent with applicable law, articles of India imported into the customs territory of the United States shall be subject to an additional ad valorem rate of duty of 25 percent."

Earlier this week, Trump accused India of buying "massive amounts" of Russian oil and reselling it, helping to prop up the Russian economy and war effort. "They don't care how many people in Ukraine are being killed by the Russian War Machine," Trump wrote on his social media platform.

Russia produced roughly 12% of the world's crude oil supply last year, and oil and gas sales account for nearly a third of the country's government revenues.

A spokesperson for India's Ministry of External Affairs called Trump's tariffs "unfair, unjustified and unreasonable," and noted that other countries are also purchasing Russian energy "in their own national interest."

Trump may punish some of those other nations, as well. In his executive order, he directed various members of his administration to determine if other countries are importing Russian oil and to advise "whether and to what extent I should take action as to that country, including whether I should impose an additional ad valorem rate of duty of 25 percent on imports of articles of that country."

The largest importer of oil from Russia is currently China, followed by India and then Turkey. Ajay Srivastava, a former trade official in India, told The New York Times that Trump's new punitive tariff would likely "push India to reconsider its strategic alignment, deepening ties with Russia, China, and many other countries."

RFK Jr. Cancels $500 Million for mRNA Vaccine Research, Dismaying Public Health Experts

Health and Human Services Secretary Robert F. Kennedy Jr. announced Tuesday that the U.S. government is terminating development of mRNA vaccines and pulling nearly $500 million in funding for such projects. Kennedy, who has a long history of anti-vaccine activism, said the move is meant to refocus efforts on "safer, broader vaccine platforms," but public health experts greeted the shift with horror, warning that it would leave Americans more vulnerable to the next pandemic.

The Department of Health and Human Services said the decision to wind down mRNA vaccine development activities under the Biomedical Advanced Research and Development Authority (BARDA) followed a comprehensive review of mRNA investments started during the Covid-19 pandemic.

"We reviewed the science, listened to the experts, and acted," Kennedy said in a statement. "BARDA is terminating 22 mRNA vaccine development investments because the data show these vaccines fail to protect effectively against upper respiratory infections like COVID and flu. We're shifting that funding toward safer, broader vaccine platforms that remain effective even as viruses mutate."

HHS said that some existing contracts would be allowed to run their course "to preserve prior taxpayer investment," but no new mRNA projects would be launched.

Experts disputed Kennedy's claim about the effectiveness of mRNA vaccines.

"The vaccines were particularly useful during the Covid-19 pandemic because they can be developed and manufactured quickly," CNN notes. "Multiple peer-reviewed studies have shown that mRNA vaccines developed under Operation Warp Speed during the first Trump administration were highly effective at preventing severe disease and were repeatedly demonstrated to be extremely safe."

Experts also warned that the move means abandoning the single best technology for rapidly producing vaccines for widespread use and would leave the United States more vulnerable when the next pandemic arrives.

"This decision will have severe consequences, measured in lost lives, when a rapid vaccine response is needed," Rick Bright, a former director of BARDA who was forced out of the agency during the first Trump administration, told STAT.

Michael Osterholm, director of the University of Minnesota's Center for Infectious Disease Research and Policy, said this decision stands out as particularly risky. "I don't think I've seen a more dangerous decision in public health in my 50 years in the business," he told the Associated Press.

Some analysts suggested that the move to eliminate mRNA vaccine research also creates a national security vulnerability. "These tools serve as a deterrent to prevent other nations from using certain biological agents," Chris Meekins, a Raymond James healthcare policy analyst who previously worked on emergency preparedness at HHS, said in a post on X. "The speed of the technology to create new biodefense capabilities is a national security asset."

Tuesday's announcement is the latest in a series of HHS moves in which Kennedy's vaccine skepticism has affected public health policy, drawing scorn and concern from experts.

  • In May, HHS also terminated a nearly $600 million contract signed by the Biden administration with Moderna for the development of vaccines against influenza viruses that could potentially trigger pandemics, including the bird flu. Kennedy also said Covid-19 vaccines were no longer recommended for healthy children and pregnant women.

  • In June, Kennedy ousted all 17 members of a Centers for Disease Control and Prevention vaccine advisory committee and replaced them with a new group that included some people with a history of criticizing vaccines.

  • Last week, eight leading medical organizations said they had been notified they would no longer be included in the process of establishing new vaccine recommendations. "To remove our deep medical expertise from this vital and once transparent process is irresponsible, dangerous to our nation's health, and will further undermine public and clinician trust in vaccines," the groups, including the American Medical Association, American College of Physicians and American Academy of Pediatrics, said in a statement.

Trump Violated the Law in Canceling NIH Grants: Watchdog

The Trump administration has canceled more than 1,800 grants from the National Institutes of Health, and according to a new report from the Government Accountability Office, those cancellations violate the Impoundment Control Act, a 1974 federal law that denies the executive branch the right to withhold funds approved by Congress.

The GAO also found that the NIH improperly delayed more than $8 billion in new and continuing grants in the first half of the year. The Trump administration effectively shut down the grantmaking process at the NIH in its first few months as it sought to crack down on studies that administration officials disagreed with for political reasons, including any studies involving diversity, equity and inclusion.

In June, a federal court found that some of the administration's grant cancellations were "void and illegal." The administration has appealed the ruling.

GAO reports are not legally binding, but they can help shape lawmakers' views. Sen. Patty Murray, the ranking Democrat on the Appropriations Committee, said the report confirms that the Trump administration is illegally blocking essential funds for medical research.

"It is critical President Trump reverse course, stop decimating the NIH, and get every last bit of this funding out," Murray said in a statement. "Republicans must join Democrats in pressing on this urgent matter until this money gets out the door - light up the phones at the White House and insist that the president himself answer for this."

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