New numbers show the U.S. economy got smaller in the first three months of 2025. It's the first time it's happened since the pandemic. Many economists blame President Trump's tariffs for the decline in GDP, but the president said it's not his fault.

Washington

Donald Trump has signed an order to impose tariffs imports into the U.S. from countries including China, Mexico and Canada.

Global Tariffs

A new report indicates that the U.S. economy has experienced a contraction in the first quarter of 2025, marking the first occurrence of economic shrinkage since the pandemic. While many economists attribute this GDP decline to President Trump's tariff policies, the President has deflected blame towards his predecessor, Joe Biden. This debate unfolded during a cabinet meeting where Trump argued that the quarterly economic figures are still affected by Biden's policies.

Despite the GDP decline, data also shows slowing inflation and increased consumer spending, partly driven by anticipation of price hikes and potential supply shortages related to the tariffs. President Trump remains firm on his belief that his tariff strategy is proving effective. In support of this claim, he highlighted new investments in the U.S. by companies such as Johnson & Johnson and IBM. However, the President's tariff policy has faced opposition from both political aisles, with figures like Republican Senator Rand Paul criticizing the tariff's impact on American consumers.

The economic debate extends to other political figures, with former Vice President Kamala Harris calling recent developments chaotic and suggesting that tariffs are pushing the economy toward recession. While a Democratic resolution to block Trump's tariffs was narrowly defeated in the Senate, attention turns next to the impending release of the April jobs report, which will provide further insight into the U.S. economic situation.



New report shows U.S. economy shrinking

At a two-hour cabinet meeting, President Trump insisted his predecessor is to blame for the falling GDP. And I have to start off by saying that's Biden, that's not Trump, because we came in on January, this is a quarterly number. Trump did not stop there. You can even say the next quarter is sort of Biden, because it doesn't just happen on a daily or an hourly basis. But the numbers also show inflation is slowing, while consumer spending sped up, with a rush to beat anticipated price hikes and supply shortages linked to tariffs. Trump had a solution for that. Maybe the children will have $2 instead of $30. On Capitol Hill, it was not only Democrats who criticized the president. This is not Joe Biden's economy, Donald. It is your economy. It is the Trump economy. So did Republican Senator Rand Paul. Tariffs are taxes, plain and simple. Tariffs don't punish foreign governments, they punish American families. But Trump argues his tariff policy is already working. Yesterday, he hosted the CEOs of several companies that have announced new investments in America, including Johnson & Johnson, Eli Lilly, IBM, and Nvidia. Without the president's leadership, frankly, manufacturing in the United States wouldn't have accelerated to this pace. Last night, former Vice President Kamala Harris, who has not ruled out another run for the White House, made her most extensive remarks since leaving office. Some people are describing what's been happening in recent months as absolute chaos. And it's certainly true of those tariffs. Tariffs that, as I predicted, are clearly inviting a recession. Senate Republicans narrowly voted down a Democratic resolution Wednesday aimed at blocking Trump's tariffs. Tomorrow, another key number will add to the overall economic picture. That's when the jobs report for April is released.

For the first time, Amnesty International has accused Hamas and its allies of committing crimes against humanity, following an investigation into the 7 October 2023 attacks on Israel. The organization found that 1,221 people were killed and said the mass killing of civilians amounted to extermination.

Jerusalem

Middle East Conflict

Amnesty accuses Hamas of 'crimes against humanity' for Oct. 7 attack

The “Architects of AI” were named Time's person of the year Thursday, with the magazine citing 2025 as when the potential of artificial intelligence “roared into view” with no turning back.

Rise of AI

Time magazine names 'Architects of AI' as person of the year for 2025

Message board website Reddit filed a lawsuit on Friday (December 12) asking Australia's High Court to overturn the country's social media ban for people under 16 as well as its inclusion in it, calling the law an infringement of free political expression.

Council of the City of Sydney

Reddit sues to overturn Australian social media ban

As tensions rise with Venezuela, U.S. President Donald Trump said land operations could start "pretty soon." Sources tell CBS News the administration is also planning more tanker seizures.

Trump says Venezuela land operations could begin 'pretty soon'

One day after capturing an oil tanker off Venezuela's coast, the U.S. has sanctioned three of Nicolas Maduro's nephews, along with six other oil tankers.

Trump ramps up pressure on Maduro with new sanctions

The EU has decided to keep the assets of the Russian Central Bank immobilised for the foreseeable future. The ban, which is based on a provision for economic emergencies, pushes back against external attempts to release the €210 billion in assets before Ukraine is compensated.

Moscow

Ukraine Invasion

EU triggers emergency clause to indefinitely immobilise Russian assets

Nobel Peace Prize laureate and Venezuelan opposition leader Maria Corina Machado said she planned to take her award back to Venezuela, but declined to say when she would return to her home country after leaving in great secrecy to receive the honor.

Caracas

Nobel peace laureate Machado vows to take award home to Venezuela

Japanese authorities are assessing damage after a 7.5 magnitude earthquake struck northern Japan, followed by multiple aftershocks. In response, officials have issued a warning about the possibility of a megaquake, defined as a magnitude 8.0 or higher event.

Tokyo

Japan alerts citizens about possible megaquake

A Maryland judge has ordered the Trump administration to immediately release Kilmar Abrego Garcia from ICE custody. Abrego Garcia was wrongfully deported to El Salvador and was later detained for potential deportation to another country.

Judge orders Kilmar Abrego Garcia's immediate release from ICE custody

About 500,000 people are fleeing renewed clashes on the Thailand-Cambodia border. Over a dozen were killed as fighting shatters a US-Malaysia-brokered peace deal amid a decades-old temple land dispute.

Samraong

Half a million flee as Thailand-Cambodia border clashes escalate

The U.S. has seized an oil tanker off the coast of Venezuela, President Donald Trump said on Wednesday, ratcheting up tensions with Caracas.

Trump confirms seizing of Venezuelan oil tanker

The U.S. House has approved a bill to end all Caesar Act sanctions on Syria, sparking cautious optimism in Damascus as the measure moves closer to becoming law.

U.S. House votes to lift Caesar Act sanctions on Syria

Myanmar's military bombs a hospital in western Rakhine state, at least 31 people are killed and dozens injured.

Rakhine

Air strike in Myanmar killed at least 31 people, dozens injured

The U.S. military seized a large oil tanker off the coast of Venezuela. Attorney General Pam Bondi said the ship had been used to violate sanctions on oil from Venezuela and Iran.

U.S. seizes oil tanker off Venezuela coast

The daughter of Venezuelan opposition leader Maria Corina Machado has accepted the Nobel Peace Prize on her mother's behalf in Oslo, Norway. Machado, who lives in hiding in Venezuela, is set to make an address on Thursday.

Oslo

Venezuela's Machado awarded Nobel Peace Prize in absentia

President Volodymyr Zelenskyy is commenting on potential elections in Ukraine under certain conditions. Former U.S. ambassador to Ukraine John Herbst joins CBS News with more on the war against Russia.

Kyiv

Zelenskyy prepared to hold elections after Trump questions motive

A renewed outbreak of fighting between Thailand and Cambodia has derailed a US-brokered peace agreement, with cross-border shelling and air raids forcing more than half a million civilians to flee their homes.

Bangkok

Border dispute between Thailand and Cambodia flares up again

U.S. immigration agents used pepper spray against protesters in Minneapolis on Tuesday as residents blocked the officers’ vehicles and forced them to leave the area.

Minneapolis

Minneapolis protests erupt over ICE operation targeting Somalis

In Australia, millions of kids' social media profiles are going dark, as the country's new social media ban takes effect for anyone under 16. Jo Ling Kent reports.

Canberra

Australia's social media ban takes effect for kids under 16

President Trump, in recent months, has dismissed concerns about affordability, but this evening, in the battleground state of Pennsylvania, he is focusing on the crisis and touting his administration's efforts to lower the cost of living. Nancy Cordes has more.

Pennsylvania

Trump tries to flip the script on affordability

Dozens of protesters blocked a highway near Tel Aviv to demonstrate against moves by the Israeli government to force some ultra-Orthodox Jews into mandatory military service, something they are currently exempt from so they can study the Torah full time.

Tel Aviv-Yafo

Bill over ultra-Orthodox military conscription sparks protests in Israel

President Trump has told Politico that Nicolas Maduro's "days are numbered" in Venezuela. Political strategists Kevin Sheridan and Hyma Moore join with analysis.

Trump says Maduro’s “days are numbered”

The FBI has released a new photo of former Olympian Ryan Wedding, whom the bureau’s director has described as a “modern day iteration of Pablo Escobar.” The ex-skier and snowboarder remains at large as agents continue their search.

FBI releases new photo of alleged drug kingpin Ryan Wedding

Ukraine President Volodymyr Zelenskyy met Pope Leo XIV and Italian Premier Giorgia Meloni in Rome on Tuesday (December 9), meanwhile voicing his refusal to surrender territory to Moscow despite pressure from Washington for territorial concessions.

Rome

Zelenskyy seeks backing from Pope Leo XIV, Italian PM Meloni

A federal judge said Tuesday (December 9) that the Department of Justice can unseal the Ghislaine Maxwell sex trafficking case records. CBS News' Scott MacFarlane has more details.

Judge says DOJ can unseal Ghislaine Maxwell trafficking case records

Prosecutors on Monday (December 8) released new evidence seized from Luigi Mangione on the day of his arrest. He is accused of killing UnitedHealthcare CEO Brian Thompson a year ago and has pleaded not guilty.

Manhattan

New evidence introduced in Luigi Mangione case

The EU antitrust enforcer has opened an investigation into the U.S. tech giant over its use of online content to power its AI services, a move that threatens to ratchet up transatlantic relations.

Brussels

EU Commission opens probe into Google over AI

The U.S. government said the approval, which comes in exchange for a 25% surcharge, would also be available to other chipmakers like Intel and AMD.

Trump gives Nvidia green light to sell H200 chips to China

Ukraine is set to present a revised peace plan to the United States on Tuesday following President Volodymyr Zelenskiy’s talks in London with the leaders of France, Germany, and Britain.

London

Ukraine to share revised peace plan with U.S., Zelenskiy says

The International Criminal Court Tuesday handed down a sentence of 20 years to a Sudanese militia leader for war crimes and crimes against humanity committed during the country's civil war two decades ago.

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