The US Senate approved Trump’s “great, wonderful” bill by a one-vote margin.
Vice President J.D. Vance's vote was decisive in favor of the bill after a 50-50 vote count. Democratic senators unanimously opposed it, as did three Republican senators. The rest of the Republican Party representatives voted in favor. The bill will now be sent to the House of Representatives for final approval. There it may face difficulties, as the Senate version of the bill proposes to increase the budget deficit by $1 trillion. Overall, the document includes federal tax cuts, new spending for the Pentagon and the Border Security Service, and cuts to social welfare programs, including Medicaid. House Speaker Mike Johnson announced that the bill would be considered “immediately” to ensure it reaches Trump for signature by July 4.
Trump proposes to examine Musk's companies.
President Trump proposed that the Department of Government Efficiency (DOGE) - a commission once headed by Elon Musk - “carefully and attentively look” at the billionaire's companies and the benefits they received from tax incentives. Musk, an ally who became an enemy, criticized on social media the tax and spending bill that gradually phases out many tax incentives for renewable energy. “Elon Musk knew long before he so decisively supported me for president that I am firmly against electric vehicle incentives,” Trump wrote on Truth Social. “Electric vehicles are good, but we shouldn’t force everyone to buy them.” “Without subsidies, Elon would likely have to shut down and return home to South Africa,” he continued. The close relationship between Tesla's CEO and Trump turned into a public clash last month after Musk called Trump’s “great, wonderful bill” “absolutely insane” and “political suicide” for the Republican Party. On Monday, Musk again called for the creation of a new political party.
Shares of clean energy companies rise after the tax on solar and wind projects was removed from Trump's major bill.
Shares of NextEra Energy, the largest developer of renewable energy in the US, rose by about 5% after the Senate approved President Trump's bill on Tuesday. The clean energy industry was outraged that the bill included a tax on wind and solar energy projects. The tax would have applied to projects using components from foreign problematic organizations above a certain threshold. Problematic foreign organizations are broadly understood to essentially mean China. Ultimately, the tax was excluded from the Senate bill, reported the American Clean Power Association (ACP) and the Solar Energy Industries Association (SEIA). This measure would have increased the tax burden on solar and wind energy by $7 billion, said John Gensler, senior vice president of market analysis at ACP. Meanwhile, the law gradually phases out investments in clean electricity and production tax credits for wind and solar energy, although the timelines are not as strict as in previous versions of the law.
The US has officially closed USAID programs.
The US Agency for International Development (USAID) officially ceased providing financial assistance as of Tuesday, July 1. Secretary of State Marco Rubio explained this White House decision by citing the “ineffectiveness” of the agency's work, as well as the current administration's priorities in implementing US national interests. According to Rubio, the Trump administration analyzed USAID expenditures on thousands of programs and found that over the decades of its existence, it had spent - adjusted for inflation - more than $715 billion. At the same time, the US Secretary of State stated that it was evident that the set development goals had not been achieved. A new model of support for third countries will be based on the principle of “trade instead of aid,” the Secretary stated further.
The US halts the supply of some promised munitions to Ukraine.
The Pentagon halts the supply of certain munitions to Ukraine, including missiles for the Patriot air defense systems, precision artillery shells, Hellfire missiles, and others that Ukraine launches from F-16 fighter jets and drones.
Politico reports this citing sources. After the publication of the material, it was also confirmed by White House Deputy Press Secretary Anna Kelly.
Aid was decided to be suspended at the beginning of June, but the decision only takes effect now. It was made by the head of the Pentagon's political department, Elbridge Colby, after examining the Pentagon's munitions stockpiles — raising concerns that US weapon arsenals have become too small. White House Deputy Press Secretary Anna Kelly stated that the decision was made “to put America's interests first.”
This concerns munitions that the US supplied under two different aid programs initiated by the Biden administration.
The UK and Germany are preparing to sign a mutual defense agreement.
The agreement provides for mutual assistance in case of a threat to either of the countries, Politico reports. "The agreement is expected to be signed on July 17 before the start of the summer parliamentary recess," the report stated. The nearly finalized document includes a key section on defense, which relies on the Trinity House Agreement, recognizing a threat to one country as a threat to another. This will provide Germany with guarantees of mutual support from the two European nuclear powers, aligning with Chancellor Friedrich Merz's ambition to strengthen the continental deterrent factor independent of the US. In addition to defense provisions, the agreement will cover the fight against illegal migration, transportation development, research and innovation, as well as cross-border exchanges.
Private education is one of Britain's top export products, but the Labour Party is destroying it.
This year, 35 British schools were featured in the Spear's Schools Index 2025, which includes the 100 best educational institutions in the world. The list, predominantly dominated by Britain, significantly outpaces competitors such as the United States and Switzerland. British private schools are so highly valued abroad that they currently have 115 branches, educating a total of 86,865 students worldwide. There are 44 such schools in China alone. However, the desire of the Labour Party to eliminate this extraordinarily successful sector with a global reputation has already begun to yield results. There are now five fewer British schools on Spear’s list than last year due to the “introduction of VAT on independent schools by the UK government and several other policy changes,” making them less attractive to foreign parents. Independent schools are forced to lower admission requirements to attract students merely to survive, which significantly harms their reputation. Just a year ago, parents of a gifted middle-class child could save and provide their offspring with a world-class education. But now, the merits of the child or the sacrifices of the parents have become much less important in the selection criteria. C.S. Lewis has the perfect epithet for this government: “Of all tyrannies, — he warned, — the tyranny exercised for the good of its victims may be the most oppressive.”
News in brief.
The Supreme Court of Poland ruled after analyzing all complaints that the presidential elections held on May 18 and June 1, 2025, are valid.
Trump stated that Israel has agreed to the terms of a 60-day ceasefire in Gaza.
On July 2, a peak of heat is expected in Germany - in some southern areas, temperatures are forecasted to be around 40°C, while the rest of the country expects temperatures of 34°C and above.