All posts by MBusiness

Ex-Ford Employee Awarded Nearly $17 Million in Discrimination Lawsuit

A jury has awarded nearly $17 million to a former Ford engineer who sued the automaker for discrimination because he says two supervisors repeatedly berated and criticized him for his Arab background and accent.

The Detroit Free Press reports that a federal jury in Michigan ruled March 28 that Faisal Khalaf was subjected to workplace discrimination and retaliation after he reported the abuse. Khalaf was born in Lebanon.

The jury awarded Khalaf $15 million in punitive damages, $1.7 million in retirement and pension losses, and $100,000 for emotional distress for the actions of Ford supervisors Bennie Fowler and Jay Zhou.

A Ford representative says the company disagrees with the verdict and is pursuing options to get it “corrected.”

Ford has been criticized for workplace discrimination before, including in a December New York Times investigation into sexual harassment at two Chicago plants.

Ex-Ford Employee Awarded Nearly $17 Million in Discrimination Lawsuit

A jury has awarded nearly $17 million to a former Ford engineer who sued the automaker for discrimination because he says two supervisors repeatedly berated and criticized him for his Arab background and accent.

The Detroit Free Press reports that a federal jury in Michigan ruled March 28 that Faisal Khalaf was subjected to workplace discrimination and retaliation after he reported the abuse. Khalaf was born in Lebanon.

The jury awarded Khalaf $15 million in punitive damages, $1.7 million in retirement and pension losses, and $100,000 for emotional distress for the actions of Ford supervisors Bennie Fowler and Jay Zhou.

A Ford representative says the company disagrees with the verdict and is pursuing options to get it “corrected.”

Ford has been criticized for workplace discrimination before, including in a December New York Times investigation into sexual harassment at two Chicago plants.

Closure of Top Philippine Resort Island Would Shake up Business to Cut Pollution

The possible closure of a major coastal tourism magnet in the Philippines for environmental cleanup will hurt business, but for a cause that helps everyone longer term, experts say.

President Rodrigo Duterte said via the presidential website in March he would place Boracay Island under a “state of calamity.” The island may be shut down for two to 12 months, Philippine media reports say, citing other statements from Duterte and cabinet members.

The government is “addressing wastewater issues through an improved sewerage system,” the country’s environment minister Roy Cimatu said in a March 27 statement.

Boracay, a 10.3-square-kilometer feature in the central Philippines, has been compared to Bali and other Asian beach resort hot spots. Its main white sand beach runs four kilometers, paralleled by a strip of at least 100 hotels.

“The Philippines has been very aggressive in its campaign to attract tourists… and Boracay is actually the No. 1 selling point of the tourism business in the Philippines,” said Maria Ela Atienza, political science professor at University of the Philippines Diliman.

“So it will really be a big blow to the tourism industry and we don’t know what will happen to these industries depending on Boracay, if they will continue if they can return to operation,” Atienza said.

Fear of closure

Government agencies have not finalized any closure of Boracay Island but dropped enough hints to prompt flight and hotel cancellations, analysts and operators report. Domestic media say arrivals in March were normal but expected a fall for this month.

Tourists who read “negative news” about Boracay are cancelling mid-year reservations, said a manager with Boracay Pito Huts, a 10-year-old group of villas for tourist groups on the island. Villa staff people may be asked to “take a vacation” if bookings don’t pick up, she said.

“As a preparation, of course we have to tighten our belts,” said the manager, who did not want to be named. “We are in the toilet. For June bookings or June tourists it’s nothing. That’s how we got affected.”

The Boracay Foundation, a business association with an environmental focus, declined comment for this report. A Department of Tourism representative said her office could make no statements on the possible closure.

Suspension of business would hurt a network of common Filipinos who sell souvenirs, prepare meals or drive tourists around the island, Atienza added.

Boracay generated $1.076 billion in tourism receipts last year, the local provincial tourism office said, as cited by the Philippine Information Agency, an increase of about 15 percent over 2016. Tourism was 8.6 percent of the Philippine GDP in 2016.

People and waste

Boracay has an ideal capacity of about half a million tourists per year, compared to its 2017 total of 2 million, the Department of Environment and Natural Resources said in an online video. More than 300,000 tourists reached the island in January and February this year, it said.

Travelers often visit Boracay during the northern hemisphere winter to escape the cold in spots such as China, Russia and South Korea.

The island should review its “carrying capacity,” said Alicia Lustica, a coastal ecosystems cluster head with a department research Center. “We need also to assist also the volume of waste that has been generated and likewise how people are doing their activities on Boracay Island,” Lustica said in the video.

Sewage became an issue because some resorts treat their own inadequately or dump it into the sea, the domestic news website BusinessMirror.com said in January. It cites overbuilding and inadequate infrastructure as additional problems for Boracay.

The nongovernmental organization Global Coral Reef Alliance said more than 10 years ago sewage “from uncontrolled development” was hurting Boracay’s coral and fisheries.

The environment ministry also plans to do a “massive replanting” of trees on Boracay, the minister said in the March 27 statement.

Boracay renewal

A temporary closure would let Boracay clean itself up to become better for tourists, said Jonathan Ravelas, chief market strategist with Banco de Oro UniBank in Metro Manila.

“It’s going to hurt us, but I think moving forward we will probably see a lot of pent-up demand for Boracay — just like in any business a temporary renovation — and I think that’s how you should probably see what’s happening in Boracay,” he said.

Travelers would rather see a cleaner island, he added. Today Boracay-bound tourists must pay an environmental impact fee at a boat pier before stepping onto the island.

A cleaner Boracay would motivate other Philippine beach resort areas to protect their environments before they too face shutdown, Ravelas said. “You need the one example, and everybody will follow,” he said.

Duterte called Boracay a “cesspool” and ordered his government to fix problems in six months, the presidential office website says. The state of calamity, Duterte said, would let the government offer aid to people facing business losses.

Closure of Top Philippine Resort Island Would Shake up Business to Cut Pollution

The possible closure of a major coastal tourism magnet in the Philippines for environmental cleanup will hurt business, but for a cause that helps everyone longer term, experts say.

President Rodrigo Duterte said via the presidential website in March he would place Boracay Island under a “state of calamity.” The island may be shut down for two to 12 months, Philippine media reports say, citing other statements from Duterte and cabinet members.

The government is “addressing wastewater issues through an improved sewerage system,” the country’s environment minister Roy Cimatu said in a March 27 statement.

Boracay, a 10.3-square-kilometer feature in the central Philippines, has been compared to Bali and other Asian beach resort hot spots. Its main white sand beach runs four kilometers, paralleled by a strip of at least 100 hotels.

“The Philippines has been very aggressive in its campaign to attract tourists… and Boracay is actually the No. 1 selling point of the tourism business in the Philippines,” said Maria Ela Atienza, political science professor at University of the Philippines Diliman.

“So it will really be a big blow to the tourism industry and we don’t know what will happen to these industries depending on Boracay, if they will continue if they can return to operation,” Atienza said.

Fear of closure

Government agencies have not finalized any closure of Boracay Island but dropped enough hints to prompt flight and hotel cancellations, analysts and operators report. Domestic media say arrivals in March were normal but expected a fall for this month.

Tourists who read “negative news” about Boracay are cancelling mid-year reservations, said a manager with Boracay Pito Huts, a 10-year-old group of villas for tourist groups on the island. Villa staff people may be asked to “take a vacation” if bookings don’t pick up, she said.

“As a preparation, of course we have to tighten our belts,” said the manager, who did not want to be named. “We are in the toilet. For June bookings or June tourists it’s nothing. That’s how we got affected.”

The Boracay Foundation, a business association with an environmental focus, declined comment for this report. A Department of Tourism representative said her office could make no statements on the possible closure.

Suspension of business would hurt a network of common Filipinos who sell souvenirs, prepare meals or drive tourists around the island, Atienza added.

Boracay generated $1.076 billion in tourism receipts last year, the local provincial tourism office said, as cited by the Philippine Information Agency, an increase of about 15 percent over 2016. Tourism was 8.6 percent of the Philippine GDP in 2016.

People and waste

Boracay has an ideal capacity of about half a million tourists per year, compared to its 2017 total of 2 million, the Department of Environment and Natural Resources said in an online video. More than 300,000 tourists reached the island in January and February this year, it said.

Travelers often visit Boracay during the northern hemisphere winter to escape the cold in spots such as China, Russia and South Korea.

The island should review its “carrying capacity,” said Alicia Lustica, a coastal ecosystems cluster head with a department research Center. “We need also to assist also the volume of waste that has been generated and likewise how people are doing their activities on Boracay Island,” Lustica said in the video.

Sewage became an issue because some resorts treat their own inadequately or dump it into the sea, the domestic news website BusinessMirror.com said in January. It cites overbuilding and inadequate infrastructure as additional problems for Boracay.

The nongovernmental organization Global Coral Reef Alliance said more than 10 years ago sewage “from uncontrolled development” was hurting Boracay’s coral and fisheries.

The environment ministry also plans to do a “massive replanting” of trees on Boracay, the minister said in the March 27 statement.

Boracay renewal

A temporary closure would let Boracay clean itself up to become better for tourists, said Jonathan Ravelas, chief market strategist with Banco de Oro UniBank in Metro Manila.

“It’s going to hurt us, but I think moving forward we will probably see a lot of pent-up demand for Boracay — just like in any business a temporary renovation — and I think that’s how you should probably see what’s happening in Boracay,” he said.

Travelers would rather see a cleaner island, he added. Today Boracay-bound tourists must pay an environmental impact fee at a boat pier before stepping onto the island.

A cleaner Boracay would motivate other Philippine beach resort areas to protect their environments before they too face shutdown, Ravelas said. “You need the one example, and everybody will follow,” he said.

Duterte called Boracay a “cesspool” and ordered his government to fix problems in six months, the presidential office website says. The state of calamity, Duterte said, would let the government offer aid to people facing business losses.

China Announces $50 Billion in Retaliatory Tariffs on US Goods

China announced Wednesday it plans to impose tariffs on $50 billion worth of U.S. goods in response to a similar package announced by the United States.

The Chinese measures would boost tariffs by 25 percent on 106 U.S. products, including soybeans, aircraft and cars.

China’s commerce ministry responded with its own measures less than 11 hours after the U.S. issued a proposed list of Chinese goods. The ministry said the question of when the measures will go into effect will depend on when the U.S. tariffs become active.

U.S. President Donald Trump announced his intention to impose $50 billion in increased tariffs on Chinese products last month, and on Tuesday the U.S. Trade Representative released a proposed list of 1,300 goods including aerospace, medical and information technology products.

Subject to public review

That list will be subject to a public review process scheduled to run until late May.

“The total value of imports subject to the tariff increases is commensurate with an economic analysis of the harm caused by China’s unreasonable technology policies to the U.S. economy,” the USTR said.

The United States has accused China of pressuring foreign companies to hand over technology.

China’s Vice Minister of Commerce Wang Shouwen said Wednesday that accusation is groundless, and that while China wants to resolve the trade dispute through dialogue, if the United States continues the fight then China will too.

Unlike the U.S. list, which includes many obscure industrial goods, China’s list targets cotton, frozen beef, soybeans and other agricultural products that are produced in states from Iowa to Texas that favored Trump in the 2016 presidential election.

The U.S.-China dispute has fueled concern it could stymie a global economic recovery if other countries raise their own import barriers.

The prospect of a trade war between the world’s two largest economies also has worried stock market investors. U.S. markets opened sharply lower Wednesday. Shortly after the markets opened, the S&P 500 Index fell 1.4 percent, the Dow Jones Industrial Average dropped 1.8 percent and the NASDAQ Composite Index was 1.6 percent lower.

Trump, however, dismissed the notion of a U.S.-China trade war on Wednesday, tweeting that previous U.S. administrations weakened the country’s ability to defend itself on trade matters.   

“We are not in a trade war with China, that war was lost many years ago by the foolish, or incompetent, people who represented the U.S. Now we have a Trade Deficit of $500 Billion a year, with Intellectual Property Theft of another $300 Billion. We cannot let this continue!”

In a subsequent tweet Trump seemed to imply the U.S.-China trade imbalance is so wide that there is only room for improvement.

“When you’re already $500 Billion DOWN, you can’t lose!”

Despite Trump’s claims, U.S. government figures show the U.S. had a $375 billion trade deficit with China at the end of 2017.

U.S. Commerce Secretary Wilbur Ross also dismissed concerns Wednesday about a burgeoning trade war with China and said recent trade actions between the two countries would probably lead to a negotiated agreement.

“It wouldn’t be surprising at all if the net outcome of all this is some sort of negotiation,” Ross said in an interview with CNBC.

Ross brushed off worries of a trade dispute, saying U.S. tariffs imposed on China amount to only 0.3 percent of America’s gross domestic product.

China’s Vice Minister of Commerce Wang Shouwen said Wednesday that accusation is groundless, and that while China wants to resolve the trade dispute through dialogue, if the United States continues the fight then China will too.

 

China Announces $50 Billion in Retaliatory Tariffs on US Goods

China announced Wednesday it plans to impose tariffs on $50 billion worth of U.S. goods in response to a similar package announced by the United States.

The Chinese measures would boost tariffs by 25 percent on 106 U.S. products, including soybeans, aircraft and cars.

China’s commerce ministry responded with its own measures less than 11 hours after the U.S. issued a proposed list of Chinese goods. The ministry said the question of when the measures will go into effect will depend on when the U.S. tariffs become active.

U.S. President Donald Trump announced his intention to impose $50 billion in increased tariffs on Chinese products last month, and on Tuesday the U.S. Trade Representative released a proposed list of 1,300 goods including aerospace, medical and information technology products.

Subject to public review

That list will be subject to a public review process scheduled to run until late May.

“The total value of imports subject to the tariff increases is commensurate with an economic analysis of the harm caused by China’s unreasonable technology policies to the U.S. economy,” the USTR said.

The United States has accused China of pressuring foreign companies to hand over technology.

China’s Vice Minister of Commerce Wang Shouwen said Wednesday that accusation is groundless, and that while China wants to resolve the trade dispute through dialogue, if the United States continues the fight then China will too.

Unlike the U.S. list, which includes many obscure industrial goods, China’s list targets cotton, frozen beef, soybeans and other agricultural products that are produced in states from Iowa to Texas that favored Trump in the 2016 presidential election.

The U.S.-China dispute has fueled concern it could stymie a global economic recovery if other countries raise their own import barriers.

The prospect of a trade war between the world’s two largest economies also has worried stock market investors. U.S. markets opened sharply lower Wednesday. Shortly after the markets opened, the S&P 500 Index fell 1.4 percent, the Dow Jones Industrial Average dropped 1.8 percent and the NASDAQ Composite Index was 1.6 percent lower.

Trump, however, dismissed the notion of a U.S.-China trade war on Wednesday, tweeting that previous U.S. administrations weakened the country’s ability to defend itself on trade matters.   

“We are not in a trade war with China, that war was lost many years ago by the foolish, or incompetent, people who represented the U.S. Now we have a Trade Deficit of $500 Billion a year, with Intellectual Property Theft of another $300 Billion. We cannot let this continue!”

In a subsequent tweet Trump seemed to imply the U.S.-China trade imbalance is so wide that there is only room for improvement.

“When you’re already $500 Billion DOWN, you can’t lose!”

Despite Trump’s claims, U.S. government figures show the U.S. had a $375 billion trade deficit with China at the end of 2017.

U.S. Commerce Secretary Wilbur Ross also dismissed concerns Wednesday about a burgeoning trade war with China and said recent trade actions between the two countries would probably lead to a negotiated agreement.

“It wouldn’t be surprising at all if the net outcome of all this is some sort of negotiation,” Ross said in an interview with CNBC.

Ross brushed off worries of a trade dispute, saying U.S. tariffs imposed on China amount to only 0.3 percent of America’s gross domestic product.

China’s Vice Minister of Commerce Wang Shouwen said Wednesday that accusation is groundless, and that while China wants to resolve the trade dispute through dialogue, if the United States continues the fight then China will too.

 

Asian Markets Move Lower After US Stock Plunge

Stock markets in Asia fell Tuesday, but did not suffer losses as steep as those Monday in U.S. markets where continued fears about a U.S.-China trade war and a verbal attack on an online retailer by President Donald Trump sent stocks lower.

Markets in Japan and Hong Kong fell by more than one percent in early trading, but by midday had rebounded to make back half the losses.

The U.S. Down Jones Industrial Average closed down 1.9 percent Monday, while the Standard & Poor’s 500 dropped 2.3 percent and the NASDAQ fell nearly three percent.

Trump has strongly criticized online giant Amazon three times in the last few days. Amazon founder Jeff Bezos also owns The Washington Post, whose revelatory stories on Trump and his administration frequently draw the president’s ire.

The U.S. leader says Amazon’s large-scale operations are detrimental to the business success of small retailers that cannot compete with its high-volume sales. Trump has also complained that the fees Amazon pays to the U.S. Postal Service to deliver merchandise the retailer sells are too low, costing the quasi-governmental agency hundreds of millions of dollars in annual revenue, although the Postal Service says its contract with Amazon is profitable.

“Only fools, or worse, are saying that our money losing Post Office makes money with Amazon,” Trump said in his latest broadside against Amazon. “THEY LOSE A FORTUNE, and this will be changed. Also, our fully tax paying retailers are closing stores all over the country…not a level playing field!” 

Since Trump started verbally attacking Amazon, the company has lost more than $37 billion in market value.

China’s announcement that it is increasing duties on 128 categories of U.S. imports worth $3 billion in annual trade also worried investors. They fear Beijing’s response to the Trump tariffs on $50 billion worth of Chinese imports could spark an all-out trade war between the world’s two biggest economies.

“The importance of tariff announcements by both the U.S. and China lies in what they may portend for overall bilateral trade and investment relations between the two countries,” said Atsi Sheth, an analyst for Moody’s Investors Service.

Late Monday, White House deputy press secretary Lindsay Walters issued a statement saying, in part, that China needs to stop “its unfair trading practices which are harming U.S. national security and distorting global markets.”

US vs. China: a ‘Slap-Fight,’ Not a Trade War — So Far

First, the United States imposed a tax on Chinese steel and aluminum. Then, China counterpunched Monday with tariffs on a host of U.S. products, including apples, pork and ginseng. 

On Wall Street, the stock market buckled on the prospect of an all-out trade war between the world’s two biggest economies. But it hasn’t come to that – not yet, anyway.

“We’re in a trade slap-fight right now,” not a trade war, said Derek Scissors, resident scholar and China specialist at the conservative American Enterprise Institute.

China is a relatively insignificant supplier of steel and aluminum to the United States. And the $3 billion in U.S. products that Beijing targeted Monday amount to barely 2 percent of American goods exported to China.

But the dispute could escalate, and quickly. Already, in a separate move, the United States is drawing up a list of about $50 billion in Chinese imports to tax in an effort to punish Beijing for stealing American technology or forcing U.S. companies to hand over trade secrets. 

China could respond by targeting American commercial interests uniquely dependent on the Chinese market: the aircraft giant Boeing, for example, and soybean farmers.

The possibility that the U.S. and China will descend into a full-blown trade war knocked the Dow Jones industrial average down as much as 758 points in afternoon trading. The Dow recovered some ground and finished down 458.92 points, or 1.9 percent, at 23,644.19.

For weeks, in fact, President Donald Trump’s aggressive trade actions have depressed the stock market.

But many trade analysts suggested that the Wall Street sell-off may be an overreaction. 

China’s swift but measured retaliation to the U.S. steel and aluminum tariffs is meant to show “that it will not be pushed around but that it does not want a trade war,” said Amanda DeBusk, chair of the international trade department at the law firm Hughes Hubbard & Reed. “It is possible for the countries to pull back from the brink.”

“It seems to be pretty measured and proportional,” agreed Wendy Cutler, a former U.S. trade official who is now vice president at the Asia Society Policy Institute. “They didn’t seem to overreach, and they didn’t hit our big-ticket items like planes and soybeans.”

Even if China’s tariffs don’t have a huge impact on America’s $20 trillion economy, they will bring pain to specific communities. 

Take Marathon County in Wisconsin, where 140 local families grow ginseng, a root that is used in herbal remedies and is popular in Asia. Around $30 million – or 85 percent – of the area’s ginseng production went to China as exports or gifts. The county, which gave Trump nearly 57 percent of its vote in 2016, holds an international ginseng festival in September, crowning a Ginseng Queen and drawing visitors from China and Taiwan.

China’s new 15 percent tariff on ginseng is “definitely going to hit the growers hard if this happens,” said Jackie Fett, executive director of the Ginseng Board of Wisconsin. “It is the livelihood of many people. … We’re still holding on to a little bit of hope” that the tariffs can be reversed.

Jim Schumacher, co-owner of Schumacher Ginseng in Marathon, Wisconsin, said the 15 percent tax will hurt: “You’ve got to be price-competitive, even if you have the top-quality product. We’re definitely concerned. We hope something can be resolved.”

Trump campaigned on a promise to overhaul American trade policy. In his view, what he calls flawed trade agreements and sharp-elbowed practices by China and other trading partners are in part responsible for America’s gaping trade deficit – $566 billion last year. The deficit in the trade of goods with China last year hit a record $375 billion.

In his first year in office, Trump’s talk was tougher than his actions on trade. But he has gradually grown more aggressive. In January, he slapped tariffs on imported solar panels and washing machines. Last month, he imposed duties on steel and aluminum imports – but spared most major economies except China and Japan.

Now he is moving toward steep tariffs to pressure Beijing into treating U.S. technology companies more fairly. In the meantime, his administration has lost two voices that cautioned against protectionist trade policies: Secretary of State Rex Tillerson and White House economic adviser Gary Cohn. 

“Given the increasingly hostile rhetoric backed up by tangible trade sanctions already announced by both the U.S. and China, it will take a determined effort on both sides to come up with a mediated compromise that tamps down trade tensions and allows both sides to save face,” said Eswar Prasad, professor of trade policy at Cornell University.

If the dispute escalates, China can pick more vulnerable targets. In the year that ended last Aug. 31, America’s soybean farmers, for instance, sent $12.4 billion worth of soybeans to China. That was 57 percent of total U.S. soybean exports.

Brent Bible, a soybean and corn farmer in Lafayette, Indiana, has appeared in TV ads by the advocacy group Farmers for Free Trade, calling on the Trump administration to avoid a trade war. 

“We’re kind of caught in the crossfire,” he said.

US vs. China: a ‘Slap-Fight,’ Not a Trade War — So Far

First, the United States imposed a tax on Chinese steel and aluminum. Then, China counterpunched Monday with tariffs on a host of U.S. products, including apples, pork and ginseng. 

On Wall Street, the stock market buckled on the prospect of an all-out trade war between the world’s two biggest economies. But it hasn’t come to that – not yet, anyway.

“We’re in a trade slap-fight right now,” not a trade war, said Derek Scissors, resident scholar and China specialist at the conservative American Enterprise Institute.

China is a relatively insignificant supplier of steel and aluminum to the United States. And the $3 billion in U.S. products that Beijing targeted Monday amount to barely 2 percent of American goods exported to China.

But the dispute could escalate, and quickly. Already, in a separate move, the United States is drawing up a list of about $50 billion in Chinese imports to tax in an effort to punish Beijing for stealing American technology or forcing U.S. companies to hand over trade secrets. 

China could respond by targeting American commercial interests uniquely dependent on the Chinese market: the aircraft giant Boeing, for example, and soybean farmers.

The possibility that the U.S. and China will descend into a full-blown trade war knocked the Dow Jones industrial average down as much as 758 points in afternoon trading. The Dow recovered some ground and finished down 458.92 points, or 1.9 percent, at 23,644.19.

For weeks, in fact, President Donald Trump’s aggressive trade actions have depressed the stock market.

But many trade analysts suggested that the Wall Street sell-off may be an overreaction. 

China’s swift but measured retaliation to the U.S. steel and aluminum tariffs is meant to show “that it will not be pushed around but that it does not want a trade war,” said Amanda DeBusk, chair of the international trade department at the law firm Hughes Hubbard & Reed. “It is possible for the countries to pull back from the brink.”

“It seems to be pretty measured and proportional,” agreed Wendy Cutler, a former U.S. trade official who is now vice president at the Asia Society Policy Institute. “They didn’t seem to overreach, and they didn’t hit our big-ticket items like planes and soybeans.”

Even if China’s tariffs don’t have a huge impact on America’s $20 trillion economy, they will bring pain to specific communities. 

Take Marathon County in Wisconsin, where 140 local families grow ginseng, a root that is used in herbal remedies and is popular in Asia. Around $30 million – or 85 percent – of the area’s ginseng production went to China as exports or gifts. The county, which gave Trump nearly 57 percent of its vote in 2016, holds an international ginseng festival in September, crowning a Ginseng Queen and drawing visitors from China and Taiwan.

China’s new 15 percent tariff on ginseng is “definitely going to hit the growers hard if this happens,” said Jackie Fett, executive director of the Ginseng Board of Wisconsin. “It is the livelihood of many people. … We’re still holding on to a little bit of hope” that the tariffs can be reversed.

Jim Schumacher, co-owner of Schumacher Ginseng in Marathon, Wisconsin, said the 15 percent tax will hurt: “You’ve got to be price-competitive, even if you have the top-quality product. We’re definitely concerned. We hope something can be resolved.”

Trump campaigned on a promise to overhaul American trade policy. In his view, what he calls flawed trade agreements and sharp-elbowed practices by China and other trading partners are in part responsible for America’s gaping trade deficit – $566 billion last year. The deficit in the trade of goods with China last year hit a record $375 billion.

In his first year in office, Trump’s talk was tougher than his actions on trade. But he has gradually grown more aggressive. In January, he slapped tariffs on imported solar panels and washing machines. Last month, he imposed duties on steel and aluminum imports – but spared most major economies except China and Japan.

Now he is moving toward steep tariffs to pressure Beijing into treating U.S. technology companies more fairly. In the meantime, his administration has lost two voices that cautioned against protectionist trade policies: Secretary of State Rex Tillerson and White House economic adviser Gary Cohn. 

“Given the increasingly hostile rhetoric backed up by tangible trade sanctions already announced by both the U.S. and China, it will take a determined effort on both sides to come up with a mediated compromise that tamps down trade tensions and allows both sides to save face,” said Eswar Prasad, professor of trade policy at Cornell University.

If the dispute escalates, China can pick more vulnerable targets. In the year that ended last Aug. 31, America’s soybean farmers, for instance, sent $12.4 billion worth of soybeans to China. That was 57 percent of total U.S. soybean exports.

Brent Bible, a soybean and corn farmer in Lafayette, Indiana, has appeared in TV ads by the advocacy group Farmers for Free Trade, calling on the Trump administration to avoid a trade war. 

“We’re kind of caught in the crossfire,” he said.

Library Helps ‘Left-behind’ Nepali Women Gain Cash, Confidence

For farmers trying to figure out how to heal a sick cow or grow tomatoes commercially in this Himalayan community, help is at hand in the form of a crumbling, earthquake-scarred library.

In a rural area where searching for information online or paying for expert advice is rarely an option, the library is a first stop for female farmers daunted by their new role: running the family farm while their husbands are away looking for work.

“Most of the men have migrated for money now in Nepal. It’s a very huge problem,” said Meera Marahattha, the “human Google” who runs the library.

But there’s an upside. “Because of this male migration, females have the opportunity to lead,” she added – sometimes for the first time.

Migration is growing around the world among families hit by disasters, conflict or shifting weather patterns. In Nepal – and many other places – women are often left behind in rural areas as men seek work in cities or overseas.

Taking on all the work can be exhausting, and being alone is dangerous for some women. But for others, the absence of men can open up opportunities to try out their own ideas, learn new skills and gain confidence.

In Nepal, the Tribeni community library in Bhimdhunga is one of 22 that are part of a “Practical Answers” program jointly run by READ Nepal, a literacy and anti-poverty organization, and Practical Action, a British charity.

Besides providing resource books, the hubs collect queries from across the community, log them and set about providing tailored answers to farming and other technical challenges.

In Bhimdhunga, the library offers a computer suite, a children’s nursery and a women’s health section, attracting about 200 active members from the mountainous neighborhood.

Marahattha, the library head who is a community member herself, often travels house-to-house visiting remote mountain-top farms to field questions and train female farmers.

“We have a lot of inquiries,” she told the Thomson Reuters Foundation, proudly flicking through log books filled with neat rows of curling Nepali scrawl.

During the planting season, she might receive as many as 1,000 questions a month – but on average it is closer to 500, she said. They range from how to treat crop diseases to how to use a computer or market goods in town.

While the library is open to all, Marahattha has found more interest from women – in particular those suddenly put in charge of their households as their husbands or sons migrate abroad in search of work.

That change has offered some women a chance to try out their own farming ideas, becoming more confident and boosting their family’s finances in the process.

But there are “some negatives too”, Marahattha admitted.

Women often complain to her of feeling overwhelmed, as if “all the responsibilities are on their head”, looking after both land and children.

And the shift in family dynamics, together with the disruption to family life that accompanies migration, has led to a rise in the number of divorces, Marahattha said.

Self-Sufficient

Wearing a red shawl draped across her shoulder to match her bright red bindi and lipstick, Urumila Lama, 33, still has a youthful face – though her back bent from toil makes her seem older.

She lives with her 11-year-old son on a remote farm on a steep hillside overlooking the lush Kathmandu Valley. But their living quarters are a tin shack, hastily built after a powerful earthquake in 2015 reduced their home, and many others in the area, to rubble.

The disaster killed nearly 9,000 people and disrupted the lives of more than 8 million.

“After the earthquake, our whole house collapsed. Everything went bad and my husband went to a foreign country to earn,” she told the Thomson Reuters Foundation.

But then she heard about the agricultural training being offered by Marahattha at the library and went along.

“I immediately took up the practices in my own house and have since been vegetable farming seriously,” said Lama, who has constructed a number of large plastic-covered tunnels and makeshift greenhouses to boost her vegetable production.

“I realized we can have a good income from this,” she said.

Initially, she earned about $60 a month from growing vegetables such as sweet peppers and tomatoes.

Today she makes triple that amount, and can pay for her son’s school fees and the family’s daily expenses without having to ask her husband for money.

“I was here alone. It was not my husband’s decision but my own to construct the greenhouses and start doing vegetable farming,” she said proudly.

“When my husband came back to visit he was surprised at what I was doing and how I’d gained knowledge,” she said. He urged her to “build a bigger greenhouse and grow more!”, she recalled.

The community library – although a simple idea – has proved hugely popular with the community, said Rakesh Khadka, a project officer with the Practical Answers program in Nepal.

Established in 2011, the facility was at first little used, but by 2013 “we were inundated”, he said.

Sometimes the library refers tough questions to Kathmandu, where experts can better advise on technical issues. But answers are often found locally, with women sharing solutions among themselves, Khadka said.

Little by little, women are becoming more self-sufficient and using the library less often or coming mainly to socialize, he added.

‘Cash Cows’

Crossing her sandy yard in bare feet, Chini Khadka, 55, pushes back a loose door to reveal a baby calf, closely guarded by its mother.

Khadka, who is illiterate and was married at just 9 years old, was happy to show off the cattle that have made her a respected businesswoman in her remote Himalayan village.

“After my husband left me, I lived with my mother-in-law, who took pity on me. But she died a few years ago. We had many expenses for my children’s studies, so I had to make an income,” she said.

She heard about the library and started training with the other women. “Then I got interested in dairy farming because I have very limited land,” she said.

Khadka learned to rear cows, build sheds and calculate the correct nutrient requirements for her animals. She now has eight cows, some of which are pregnant, with each fully grown animal worth about $1,000 at market, she said.

She also sells milk in town and manure as fertilizer to other farmers.

“As I grew in confidence, I leased land from a neighbor and have been planting some food crops too,” she said. “I’m very, very happy doing this. It fulfills me.”

Khadka earns about 30,000 Nepalese rupees ($288) a month.

That’s more than her son, who works as a teacher, she boasts – and is even enough for her to hire another female farmhand to help tend the vegetables.

“Before I used to have very low self-esteem,” she said, smiling. “Now I feel like society respects me and treats me better.”

($1 = 104.2200 Nepalese rupees)

Library Helps ‘Left-behind’ Nepali Women Gain Cash, Confidence

For farmers trying to figure out how to heal a sick cow or grow tomatoes commercially in this Himalayan community, help is at hand in the form of a crumbling, earthquake-scarred library.

In a rural area where searching for information online or paying for expert advice is rarely an option, the library is a first stop for female farmers daunted by their new role: running the family farm while their husbands are away looking for work.

“Most of the men have migrated for money now in Nepal. It’s a very huge problem,” said Meera Marahattha, the “human Google” who runs the library.

But there’s an upside. “Because of this male migration, females have the opportunity to lead,” she added – sometimes for the first time.

Migration is growing around the world among families hit by disasters, conflict or shifting weather patterns. In Nepal – and many other places – women are often left behind in rural areas as men seek work in cities or overseas.

Taking on all the work can be exhausting, and being alone is dangerous for some women. But for others, the absence of men can open up opportunities to try out their own ideas, learn new skills and gain confidence.

In Nepal, the Tribeni community library in Bhimdhunga is one of 22 that are part of a “Practical Answers” program jointly run by READ Nepal, a literacy and anti-poverty organization, and Practical Action, a British charity.

Besides providing resource books, the hubs collect queries from across the community, log them and set about providing tailored answers to farming and other technical challenges.

In Bhimdhunga, the library offers a computer suite, a children’s nursery and a women’s health section, attracting about 200 active members from the mountainous neighborhood.

Marahattha, the library head who is a community member herself, often travels house-to-house visiting remote mountain-top farms to field questions and train female farmers.

“We have a lot of inquiries,” she told the Thomson Reuters Foundation, proudly flicking through log books filled with neat rows of curling Nepali scrawl.

During the planting season, she might receive as many as 1,000 questions a month – but on average it is closer to 500, she said. They range from how to treat crop diseases to how to use a computer or market goods in town.

While the library is open to all, Marahattha has found more interest from women – in particular those suddenly put in charge of their households as their husbands or sons migrate abroad in search of work.

That change has offered some women a chance to try out their own farming ideas, becoming more confident and boosting their family’s finances in the process.

But there are “some negatives too”, Marahattha admitted.

Women often complain to her of feeling overwhelmed, as if “all the responsibilities are on their head”, looking after both land and children.

And the shift in family dynamics, together with the disruption to family life that accompanies migration, has led to a rise in the number of divorces, Marahattha said.

Self-Sufficient

Wearing a red shawl draped across her shoulder to match her bright red bindi and lipstick, Urumila Lama, 33, still has a youthful face – though her back bent from toil makes her seem older.

She lives with her 11-year-old son on a remote farm on a steep hillside overlooking the lush Kathmandu Valley. But their living quarters are a tin shack, hastily built after a powerful earthquake in 2015 reduced their home, and many others in the area, to rubble.

The disaster killed nearly 9,000 people and disrupted the lives of more than 8 million.

“After the earthquake, our whole house collapsed. Everything went bad and my husband went to a foreign country to earn,” she told the Thomson Reuters Foundation.

But then she heard about the agricultural training being offered by Marahattha at the library and went along.

“I immediately took up the practices in my own house and have since been vegetable farming seriously,” said Lama, who has constructed a number of large plastic-covered tunnels and makeshift greenhouses to boost her vegetable production.

“I realized we can have a good income from this,” she said.

Initially, she earned about $60 a month from growing vegetables such as sweet peppers and tomatoes.

Today she makes triple that amount, and can pay for her son’s school fees and the family’s daily expenses without having to ask her husband for money.

“I was here alone. It was not my husband’s decision but my own to construct the greenhouses and start doing vegetable farming,” she said proudly.

“When my husband came back to visit he was surprised at what I was doing and how I’d gained knowledge,” she said. He urged her to “build a bigger greenhouse and grow more!”, she recalled.

The community library – although a simple idea – has proved hugely popular with the community, said Rakesh Khadka, a project officer with the Practical Answers program in Nepal.

Established in 2011, the facility was at first little used, but by 2013 “we were inundated”, he said.

Sometimes the library refers tough questions to Kathmandu, where experts can better advise on technical issues. But answers are often found locally, with women sharing solutions among themselves, Khadka said.

Little by little, women are becoming more self-sufficient and using the library less often or coming mainly to socialize, he added.

‘Cash Cows’

Crossing her sandy yard in bare feet, Chini Khadka, 55, pushes back a loose door to reveal a baby calf, closely guarded by its mother.

Khadka, who is illiterate and was married at just 9 years old, was happy to show off the cattle that have made her a respected businesswoman in her remote Himalayan village.

“After my husband left me, I lived with my mother-in-law, who took pity on me. But she died a few years ago. We had many expenses for my children’s studies, so I had to make an income,” she said.

She heard about the library and started training with the other women. “Then I got interested in dairy farming because I have very limited land,” she said.

Khadka learned to rear cows, build sheds and calculate the correct nutrient requirements for her animals. She now has eight cows, some of which are pregnant, with each fully grown animal worth about $1,000 at market, she said.

She also sells milk in town and manure as fertilizer to other farmers.

“As I grew in confidence, I leased land from a neighbor and have been planting some food crops too,” she said. “I’m very, very happy doing this. It fulfills me.”

Khadka earns about 30,000 Nepalese rupees ($288) a month.

That’s more than her son, who works as a teacher, she boasts – and is even enough for her to hire another female farmhand to help tend the vegetables.

“Before I used to have very low self-esteem,” she said, smiling. “Now I feel like society respects me and treats me better.”

($1 = 104.2200 Nepalese rupees)

China Raises Tariffs on US Pork, Fruit in Trade Dispute

China raised import duties on a $3 billion list of U.S. pork, fruit and other products Monday in an escalating tariff dispute with President Donald Trump that companies worry might depress global commerce.

The Finance Ministry said it was responding to a U.S. tariff hike on steel and aluminum that took effect March 23. But a bigger clash looms over Trump’s approval of possible higher duties on nearly $50 billion of Chinese goods in a separate argument over technology policy.

The tariff spat is one aspect of wide-ranging tensions between Washington and Beijing over China’s multibillion-dollar trade surplus with the United States and its policies on technology, industry development and access to its state-dominated economy.

Forecasters say the immediate impact should be limited, but investors worry the global recovery might be set back if it prompts other governments to raise import barriers. Those fears temporarily depressed financial markets, though stocks have recovered some of their losses.

On Monday, stock market indexes in Tokyo and Shanghai were up 0.5 percent at midmorning.

Beijing faces complaints by Washington, the European Union and other trading partners that it hampers market access despite its free-trading pledges and is flooding global markets with improperly low-priced steel and aluminum. But the EU, Japan and other governments criticized Trump’s unilateral move as disruptive.

The United States buys little Chinese steel and aluminum following earlier tariff hikes to offset what Washington says is improper subsidies. Still, economists expected Beijing to respond to avoid looking weak in a high-profile dispute.

Effective Monday, Beijing raised tariffs on pork, aluminum scrap and some other products by 25 percent, the Finance Ministry said. A 15 percent tariff was imposed on apples, almonds and some other goods.

The tariff hike has “has seriously damaged our interests,” said a Finance Ministry statement. 

“Our country advocates and supports the multilateral trading system,” said the statement. China’s tariff increase “is a proper measure adopted by our country using World Trade Organization rules to protect our interests.”

The White House didn’t respond to a message from The Associated Press on Sunday seeking comment.

China’s government said earlier its imports of those goods last year totaled $3 billion.

The latest Chinese move targets farm areas, many of which voted for Trump in the 2016 presidential election.

U.S. farmers sent nearly $20 billion of goods to China in 2017. The American pork industry sent $1.1 billion in products, making China the No. 3 market for U.S. pork.

“American politicians better realize sooner rather than later that China would never submit if the U.S. launched a trade war,” said the Global Times, a newspaper published by the ruling Communist Party.

Washington granted EU, South Korea and some other exporters, but not ally Japan, exemptions to the steel and aluminum tariffs on March 22. European governments had threatened to retaliate by raising duties on American bourbon, peanut butter and other goods.

Beijing has yet to say how it might respond to Trump’s March 22 order approving possible tariff hikes in response to complaints China steals or pressures foreign companies to hand over technology.

Trump ordered U.S. trade officials to bring a WTO case challenging Chinese technology licensing. It proposed 25 percent tariffs on Chinese products including aerospace, communications technology and machinery and said Washington will step up restrictions on Chinese investment in key U.S. technology sectors.

Trump administration officials have identified as potential targets 1,300 product lines worth about $48 billion. That list will then be open to a 30-day comment period for businesses.

Beijing reported a trade surplus of $275.8 billion with the United States last year, or two-thirds of its global total. Washington reports different figures that put the gap at a record $375.2 billion.

AP Analysis: Blacks Largely Missing From High-Salary Positions

Jonathan Garland’s fascination with architecture started early: He spent much of his childhood designing Lego houses and gazing at Boston buildings on rides with his father away from their largely minority neighborhood. 

But when Garland looked around at his architectural college, he didn’t see many who looked like him. There were few black faces among students, and fewer teaching skills or giving lectures. 

 

“If you do something simple like Google ‘architects’ and you go to the images tab, you’re primarily going to see white males,” said Garland, 35, who’s worked at Boston and New York architectural firms. “That’s the image, that’s the brand, that’s the look of an architect.”

And that’s not uncommon in other lucrative fields, 50 years after the Reverend Martin Luther King, a leader in the fight for equal employment opportunities, was assassinated.

An Associated Press analysis of government data has found that black workers are chronically underrepresented compared with whites in high-salary jobs in technology, business, life sciences and engineering, among other areas. Instead, many black workers find jobs in low-wage, less prestigious fields where they’re overrepresented, such as food service or preparation, building maintenance and office work, the AP analysis found.

‘Other America’

In one of his final speeches, King described the “Other America,” where unemployment and underemployment created a “fatigue of despair” for African-Americans. Despite economic progress for blacks in areas such as incomes and graduation rates, some experts say many African-Americans remain part of this “Other America,” with little hope of attaining top professional jobs, thanks to systemic yet subtle racism.

The AP analysis found that a white worker had a far better chance than a black one of holding a job in the 11 categories with the highest median annual salaries, as listed by the Bureau of Labor Statistics. The ratio of white-to-black workers is about 10-to-1 in management, 8-to-1 in computers and mathematics, 12-to-1 in law and 7-to-1 in education — compared with a ratio of 5.5 white workers for every black one in all jobs nationally. The top five high-salary fields have a median income range of $65,000 to $100,000, compared with $36,000 for all occupations nationwide.

In Boston, a hub for technology and innovation and home to prestigious universities, white workers outnumber black ones by about 27-to-1 in computer- and mathematics-related professions, compared with the overall ratio of 9.5-to-1 for workers in the city. Overall, Boston’s ratio of white-to-black workers is wider than that of the nation in six of the top 10 high-income fields.

Boston, where King had deep ties, earning his doctorate and meeting his wife, has a history of racial discord. Eight years after King’s assassination, at the height of turbulent school desegregation, a Pulitzer Prize-winning photograph from an anti-busing rally at City Hall showed a white man attacking a black bystander with an American flag.

The young victim was Theodore Landsmark. He’s now 71, a lawyer, an architect and director of Northeastern University’s Dukakis Center for Urban and Regional Policy.

Why progress lags

He said “structural discrimination” is the overarching cause of disproportionate race representation in high-salary fields. Landsmark and others say gains are elusive for myriad reasons: Substandard schools in low-income neighborhoods. White-dominated office cliques. Boardrooms that prefer familiarity to diversity. Discriminatory hiring practices. Companies that claim a lack of qualified candidates but have no programs to train minority talent.

Some also say investors are more likely to support white startups. When Rica Elysee, a lifelong Boston resident who grew up in predominantly black neighborhoods, brought her idea of an online platform linking beauty professionals with customers for in-home appointments to investors, she was shunned, she said.

“They said I didn’t belong in the program, that they couldn’t identify with it because they weren’t black,” said Elysee, 32, who initially marketed BeautyLynk to black women like herself. “I remember crying pretty harshly. They couldn’t relate to what I was doing.”

Some even advised her to move out of Boston, which had a booming innovation economy but was “not encouraging minorities in the tech space,” she said. Three years later, Elysee said BeautyLynk is slowly growing but still needs capital.

Most American metro areas are like Boston, with AP’s analysis showing that racial disparities in employment are indifferent to geography and politics. California’s Silicon Valley struggles to achieve diversity in computer fields. In Seattle, home to Amazon, whites outnumber blacks nearly 28-to-1 in computer- and math-related fields. Financial powerhouse New York has a 3-to-1 ratio of white-to-black workers in all occupations, but nearly 6-to-1 in business and finance. Hollywood shows inequality in entertainment, with almost nine whites for every black worker.

In Atlanta, King’s hometown, the proportional representation of black-to-white workers is close to even in many fields. Many reasons are cited. Atlanta has historically black colleges and universities such as King’s alma mater, Morehouse; the first black mayor, Maynard Jackson, pressed for policies helping black professionals after his 1973 election; and events like the 1996 Olympics opened doors for entrepreneurs of all races.

Nationally, it’s much different

Atlanta is an exception. For nearly all of the past half-century, black unemployment nationally has hovered at about twice that of whites.

President Donald Trump touted on Twitter that December’s 6.8 percent unemployment rate for blacks was the lowest in 45 years — a number critics say ignores a greater reality. For example, in an economy that increasingly demands advanced degrees, Department of Education data show that black representation among graduates in science, tech, engineering and mathematics peaked at 9.9 percent in 2010 and has been slowly declining.

In Boston, Democratic Mayor Marty Walsh said in a recent speech that the city is addressing the issue and is committed to placing 20,000 low-income residents in “good-paying jobs” by 2022.

Landsmark said stronger role models may be a solution. As Boston Architectural College’s president, he mentored Garland. They discussed race issues in the professional world — as when Garland, trying to land jobs in his neighborhood, realized many people who looked like him were unfamiliar with the very concept of architecture. He once had to explain to a homeowner who wanted his roof reframed: “I’m not a builder, I’m an architect.”

Today, Garland speaks at high schools and works at the DREAM Collaborative, which focuses on projects in low-income neighborhoods.

“I know the barriers exist in other folks’ minds, and I have to disprove that,” he said. “I keep myself focused on the issues.”

These Burgers Are Better for the Planet, but You’d Never Know It

As the world’s population heads toward 10 billion by midcentury, experts are wrestling with how to feed the world without wrecking the planet. It’s not easy to find foods with lower environmental impact that still taste as good as the ones they are intended to replace. But chefs and environmentalists are both cheering one new menu item: the mushroom-blended burger. VOA’s Steve Baragona has more.

These Burgers Are Better for the Planet, but You’d Never Know It

As the world’s population heads toward 10 billion by midcentury, experts are wrestling with how to feed the world without wrecking the planet. It’s not easy to find foods with lower environmental impact that still taste as good as the ones they are intended to replace. But chefs and environmentalists are both cheering one new menu item: the mushroom-blended burger. VOA’s Steve Baragona has more.

Traditional Pakistani Bamboo Curtains Gaining Popularity

Traditional handicrafts from Pakistan are exported to many countries around the world. One item that appears to be gaining in popularity are the country’s hand-made bamboo curtains. VOA’s Saman Khan has more in this report from Lahore, Pakistan, narrated by Sarah Zaman.

Traditional Pakistani Bamboo Curtains Gaining Popularity

Traditional handicrafts from Pakistan are exported to many countries around the world. One item that appears to be gaining in popularity are the country’s hand-made bamboo curtains. VOA’s Saman Khan has more in this report from Lahore, Pakistan, narrated by Sarah Zaman.

NY’s Immigrant Taxi Drivers Despair as Taxi Industry Slumps

A financially distraught yellow cab driver from Romania recently hanged himself in his New York garage, marking the fourth suicide among city taxi drivers in as many months. In the tragedy’s aftermath, members of New York’s taxicab drivers union are renewing their calls for a cap on the number of app-based for-hire vehicles, such as Uber and Lyft, which they say are driving workers of a once-thriving industry into the ground. VOA’s Ramon Taylor reports.

NY’s Immigrant Taxi Drivers Despair as Taxi Industry Slumps

A financially distraught yellow cab driver from Romania recently hanged himself in his New York garage, marking the fourth suicide among city taxi drivers in as many months. In the tragedy’s aftermath, members of New York’s taxicab drivers union are renewing their calls for a cap on the number of app-based for-hire vehicles, such as Uber and Lyft, which they say are driving workers of a once-thriving industry into the ground. VOA’s Ramon Taylor reports.

Trump EPA Expected to Roll Back Auto Gas Mileage Standards 

The Trump administration is expected to announce that it will roll back automobile gas mileage and pollution standards that were a pillar in the Obama administration’s plans to combat climate change. 

It’s not clear whether the announcement will include a specific number, but current regulations from the Environmental Protection Agency require the fleet of new vehicles to get 36 miles per gallon in real-world driving by 2025. That’s about 10 mpg over the existing standard. 

Environmental groups, who predict increased greenhouse gas emissions and more gasoline consumption if the standards are relaxed, say the announcement could come Tuesday at a Virginia car dealership. EPA spokeswoman Liz Bowman said in an email Friday that the standards are still being reviewed.

Legal showdown

Any change is likely to set up a lengthy legal showdown with California, which currently has the power to set its own pollution and gas mileage standards and doesn’t want them to change. About a dozen other states follow California’s rules, and together they account for more than one-third of the vehicles sold in the US. Currently the federal and California standards are the same. 

Automakers have lobbied to revisit the requirements, saying they’ll have trouble reaching them because people are buying bigger vehicles due to low gas prices. They say the standards will cost the industry billions of dollars and raise vehicle prices due to the cost of developing technology needed to raise mileage. 

When the standards were first proposed, the government predicted that two-thirds of new vehicles sold would be cars, with the rest trucks and SUVs, said Gloria Bergquist, spokeswoman for the Alliance of Automobile Manufacturers. Now the reverse is true, she said.

Still, environmental groups say the standards save money at the pump, and the technology is available for the industry to comply. 

Health risk

They also say burning more gasoline will put people’s health at risk. 

“The American public overwhelmingly supports strong vehicle standards because they cut the cost of driving, reduce air pollution, and combat climate change,” said Luke Tonachel, director of the Natural Resources Defense Council’s Clean Vehicles and Fuels Project. 

The EPA and the National Highway Traffic Safety Administration are involved in setting the standards, which would cover the years 2022 through 2025. 

Some conservative groups are pressing EPA Administrator Scott Pruitt to revoke a waiver that allows California to set its own rules. They say California shouldn’t be allowed to set policy for the rest of the nation. Pruitt has publicly questioned the veracity of evidence complied by climate scientists, including those in his own agency, that global warming is overwhelmingly caused by man-made carbon emissions from burning fossil fuels.

If the waiver is revoked, California Attorney General Xavier Becerra says the state will resist. “What we’re doing to protect California’s environment isn’t just good for our communities — it’s good for the country,” he said in a statement. “We’re not looking to pick a fight with the Trump administration, but when they threaten our values, we’re ready.” 

Huge dilemma

Getting rid of the waiver or having two gas mileage and pollution requirements presents a huge dilemma for automakers: while they would like to avoid fines for failing to meet the standards, they also want the expense of building two versions of cars and trucks, one for the California-led states and another for the rest of the country.

Mark Reuss, a General Motors’ product development chief, said in a recent interview that he would rather have a single nationwide standard, even if it stays the same. He called two standards “just waste,” because they would require different vehicle equipment and costly additional engineering. “I want one good one,” he said. “I could focus all my engineers on one.”

Automakers agreed to the standards in 2012, but lobbied for and received a midterm review in 2018 to account for changes in market conditions. In the waning days of the Obama presidency, the EPA did the review and proclaimed that the standards have enough flexibility and the technology is available to meet them.

Changes would be years away

Janet McCabe, who was acting assistant EPA administrator under Obama when the review was done, said Friday it will take a couple years for the EPA to propose new rules, gather public comment and finalize any changes. Any rollback would likely bring legal challenges, forcing Pruitt’s EPA to defend the science behind the changes. 

“This would all take a long time,” said McCabe, now a senior fellow at the Environmental Law and Policy Center.

In the meantime, automakers have to proceed with plans for new cars and trucks under the current gas mileage requirements because it takes years to develop vehicles.

Trump EPA Expected to Roll Back Auto Gas Mileage Standards 

The Trump administration is expected to announce that it will roll back automobile gas mileage and pollution standards that were a pillar in the Obama administration’s plans to combat climate change. 

It’s not clear whether the announcement will include a specific number, but current regulations from the Environmental Protection Agency require the fleet of new vehicles to get 36 miles per gallon in real-world driving by 2025. That’s about 10 mpg over the existing standard. 

Environmental groups, who predict increased greenhouse gas emissions and more gasoline consumption if the standards are relaxed, say the announcement could come Tuesday at a Virginia car dealership. EPA spokeswoman Liz Bowman said in an email Friday that the standards are still being reviewed.

Legal showdown

Any change is likely to set up a lengthy legal showdown with California, which currently has the power to set its own pollution and gas mileage standards and doesn’t want them to change. About a dozen other states follow California’s rules, and together they account for more than one-third of the vehicles sold in the US. Currently the federal and California standards are the same. 

Automakers have lobbied to revisit the requirements, saying they’ll have trouble reaching them because people are buying bigger vehicles due to low gas prices. They say the standards will cost the industry billions of dollars and raise vehicle prices due to the cost of developing technology needed to raise mileage. 

When the standards were first proposed, the government predicted that two-thirds of new vehicles sold would be cars, with the rest trucks and SUVs, said Gloria Bergquist, spokeswoman for the Alliance of Automobile Manufacturers. Now the reverse is true, she said.

Still, environmental groups say the standards save money at the pump, and the technology is available for the industry to comply. 

Health risk

They also say burning more gasoline will put people’s health at risk. 

“The American public overwhelmingly supports strong vehicle standards because they cut the cost of driving, reduce air pollution, and combat climate change,” said Luke Tonachel, director of the Natural Resources Defense Council’s Clean Vehicles and Fuels Project. 

The EPA and the National Highway Traffic Safety Administration are involved in setting the standards, which would cover the years 2022 through 2025. 

Some conservative groups are pressing EPA Administrator Scott Pruitt to revoke a waiver that allows California to set its own rules. They say California shouldn’t be allowed to set policy for the rest of the nation. Pruitt has publicly questioned the veracity of evidence complied by climate scientists, including those in his own agency, that global warming is overwhelmingly caused by man-made carbon emissions from burning fossil fuels.

If the waiver is revoked, California Attorney General Xavier Becerra says the state will resist. “What we’re doing to protect California’s environment isn’t just good for our communities — it’s good for the country,” he said in a statement. “We’re not looking to pick a fight with the Trump administration, but when they threaten our values, we’re ready.” 

Huge dilemma

Getting rid of the waiver or having two gas mileage and pollution requirements presents a huge dilemma for automakers: while they would like to avoid fines for failing to meet the standards, they also want the expense of building two versions of cars and trucks, one for the California-led states and another for the rest of the country.

Mark Reuss, a General Motors’ product development chief, said in a recent interview that he would rather have a single nationwide standard, even if it stays the same. He called two standards “just waste,” because they would require different vehicle equipment and costly additional engineering. “I want one good one,” he said. “I could focus all my engineers on one.”

Automakers agreed to the standards in 2012, but lobbied for and received a midterm review in 2018 to account for changes in market conditions. In the waning days of the Obama presidency, the EPA did the review and proclaimed that the standards have enough flexibility and the technology is available to meet them.

Changes would be years away

Janet McCabe, who was acting assistant EPA administrator under Obama when the review was done, said Friday it will take a couple years for the EPA to propose new rules, gather public comment and finalize any changes. Any rollback would likely bring legal challenges, forcing Pruitt’s EPA to defend the science behind the changes. 

“This would all take a long time,” said McCabe, now a senior fellow at the Environmental Law and Policy Center.

In the meantime, automakers have to proceed with plans for new cars and trucks under the current gas mileage requirements because it takes years to develop vehicles.

Amid Flood of Chinese Products, India Wants Fairness

Sampad Yadav, who sells electrical goods in a shop in the business hub of Gurugram on the outskirts of New Delhi, says Chinese goods such as LED lamps are popular with customers. “When people make a price comparison, and want to move towards the cheapest goods, those are usually Chinese products.”

 

As in many other countries, Chinese products such as lamps, electronics, smartphones and engineering goods from the manufacturing giant have flooded Indian markets.

 

However India has long fretted that areas in which it is strong such as generic drugs and Information Technology services, which make up some of its main exports to Western markets, remain shut out of China. That has made it difficult to bridge a ballooning trade deficit of about $50 billion between the two countries.

 

But there is optimism this could change following a meeting this week between the commerce ministers of the two countries in New Delhi.

 

“The Chinese side have agreed to work on the issue, prepare a road map to bring the trade to balanced level over a period of time,” Indian Commerce Minister Suresh Prabhu said after discussions with his Chinese counterpart, Zhong Shan.

 

Trade experts hope the growing tensions on trade issues between the United States and China will prompt Beijing to open up its markets more to Indian exports. “I think China is definitely under pressure now, looking into the kind of initiation which has happened against China,” says Ajay Sahai, who heads the Federation of Indian Exports Organization.

 

The meeting between the Indian and Chinese commerce ministers this week came amid efforts to deescalate tensions between the Asian neighbors following a period of rocky ties and a tense 70-day face-off between their troops in the Himalayas last year.

Despite a long-lingering boundary dispute and an often-fraught diplomatic relationship, trade ties between the Asian giants have gained significant momentum and China is now India’s largest trading partner. Bilateral trade in 2017 topped $80 billion rising by more than 20 percent over the previous yea.

 

But worryingly for New Delhi, the trade deficit remains high despite a marginal growth in Indian exports – they add up to about $16 billion versus Chinese imports into India of about $68 billion.

 

Market access a key issue

India exports mainly raw materials like iron ore, copper and cotton yarn to China. “In whatever value added exports where we are competitive, unfortunately the market is not open for us,” says Sahai.

 

However China has promised to give greater market access to Indian goods, particularly pharmaceuticals and agricultural goods such as rice, as well as service exports, according to the Indian commerce minister. “They have decided to work in a way that will address security issues from their side as well as introduce Indian companies to those who can buy these products in China,” says Prabhu.

 

New Delhi, which is trying to ramp up domestic manufacturing, is also urging China to manufacture more goods exported to India within the country.

Whether the promised actions translate into concrete outcomes remains to be seen. But exporters are hopeful. Sahai points out that China has invited Indian traders to what is being billed as the country’s first importers fair to be held in Shanghai later this year – it is being showcased as a measure to further open up China’s market.

 

The positive tenor of talks between the two countries comes days after U.S. President Donald Trump announced plans to impose tariffs on Chinese imports valued at $60 billion.

 

New Delhi could also face U.S. ire on trade issues – although its exports to the United States are comparatively small, it has a high trade deficit in its favor and Washington has often complained of protectionist barriers in India. In February, Trump called out India for imposing higher duties on Harley-Davidson motorcycles than the U.S. does on Indian motorbikes.

 

Amid growing fears that global trade faces uncertain times, analysts have called on countries like India to focus on increasing trade within the region.   

 

India and China also said they will strengthen cooperation in the World Trade Organization and other multilateral and regional frameworks to maintain their common interests.

Vietnam Stands to See Modest Wins if China, U.S. Start Trade War

A wider Sino-U.S. trade dispute would help export-reliant Vietnam compete against Chinese companies but put the country at risk of any global fallout, analysts say.

The numerous exporters in Vietnam that ship manufactured goods to the United States would save money compared with Chinese peers if not subject to American tariffs, said Dustin Daugherty, senior associate with business consultancy Dezan Shira & Associates in Ho Chi Minh City.

The U.S. government said this month it would develop a list of tariffs on up to $60 billion in Chinese imports. China has threatened to impose its own in response.

“Let’s say (the United States) went the more traditional route, tensions kept escalating and more tariffs are slapped on Chinese products,” Daugherty said. “In that case Vietnam’s export sector definitely benefits. We’re already seeing the U.S. being very warm to Vietnam and U.S. businesses keen on doing business with Vietnam.”

But Chinese firms hit by tariffs might flood Vietnam with raw materials for local manufacturing, while overall world market volatility caused by a Sino-U.S. trade dispute could hamper the country’s trade, said Carl Thayer, emeritus professor at the University of New South Wales in Australia.

​A tariff-free Vietnam scenario

Vietnamese exporters would save money compared to their Chinese peers if the U.S. government placed tariffs on Chinese firms alone without touching their cross-border supply chains, Daugherty said.

The government of U.S. President Donald Trump calls China unfair in its trade practices, the Office of the U.S. Trade Representative says on its website. China enjoys a $375 billion trade surplus with the United States.

Vietnam counts the United States as its top single-country export destination and it shipped $46.484 billion worth of goods to that market last year.

Vietnamese officials have carved out an investment environment since the 1980s that hinges on low costs for manufacturers. American-invested factories such as a Ford Motor plant and an Intel chip factory are among those active in Vietnam today.

Foreign investment contributed to exports worth $155.24 billion in 2017, financial services firm SSI Research in Hanoi says. Vietnam’s economy grew about 7 percent in the first quarter this year, it says.

Attractive investment

Vietnam would be a more attractive investment compared with China under higher U.S. tariffs, analysts say.

Some new investors might be formerly China-based firms hoping to flee the tariffs, said Song Seng Wun, an economist in the private banking unit of CIMB in Singapore.

China itself might offer Vietnam, along with other countries, preferential trade policies or infrastructure help to shore up trade ties, some believe. Stronger trade relations outside the United States would help China offset any tariff damage, Daugherty said.

This week China’s commerce minister pledged to relax trade rules affecting India.

​Specter of a broader trade war

U.S. import tariffs that hit China’s extensive cross-border supply chain would hurt Vietnam as a place that finishes Chinese goods for final export, Thayer said. It’s unclear whether Washington would tax Chinese firms alone or their wider supply networks.

Chinese firms already co-invest with Vietnamese partners, Song said, and supply chains for goods such as consumer electronics can net multiple countries, not just China.

More co-investment might follow if Vietnam can offer shelter from tariffs. But Sino-Vietnamese political tension over a maritime dispute risks giving Vietnamese firms a bad name at home if they work too extensively with Chinese partners.

“I would say there will be all kinds of repercussions and implications just because of the very integrated supply chain in the world these days,” Song said. “Take an Apple phone as an example. Parts from here and there are assembled in China.”

Steel, aluminum tariffs

U.S. steel and aluminum tariffs that took effect last week cover much of the world including China and Vietnam. Vietnam exported 380,000 tons of steel, worth $303 million, to the United States in 2017, domestic news website VnExpress International says.

Chinese firms hit by the range of tariffs being mulled now in Washington might boost sales to Vietnam, Thayer said. Chinese sellers of raw materials for Vietnamese exports could dump goods into Vietnam to keep up their own balance sheets as U.S. tariffs hurt them, he added.

Chinese sellers often have an economy of scale that lets them sell for less in Vietnam than local vendors do. Vietnam counts China as its top trading partner.

An escalation of Sino-U.S. trade tensions could also chill global markets or trade as a whole, some analysts fear. That fallout could slow global growth, he said.

“Disruption to trade shouldn’t affect Vietnam overall, but it’s the way the entire globe is reacting to this that I think could affect Vietnam,” he said. “Vietnam is overall heavily committed to global integration with a number of partners, so disruption along that way would have an effect.”

Vietnam Stands to See Modest Wins if China, U.S. Start Trade War

A wider Sino-U.S. trade dispute would help export-reliant Vietnam compete against Chinese companies but put the country at risk of any global fallout, analysts say.

The numerous exporters in Vietnam that ship manufactured goods to the United States would save money compared with Chinese peers if not subject to American tariffs, said Dustin Daugherty, senior associate with business consultancy Dezan Shira & Associates in Ho Chi Minh City.

The U.S. government said this month it would develop a list of tariffs on up to $60 billion in Chinese imports. China has threatened to impose its own in response.

“Let’s say (the United States) went the more traditional route, tensions kept escalating and more tariffs are slapped on Chinese products,” Daugherty said. “In that case Vietnam’s export sector definitely benefits. We’re already seeing the U.S. being very warm to Vietnam and U.S. businesses keen on doing business with Vietnam.”

But Chinese firms hit by tariffs might flood Vietnam with raw materials for local manufacturing, while overall world market volatility caused by a Sino-U.S. trade dispute could hamper the country’s trade, said Carl Thayer, emeritus professor at the University of New South Wales in Australia.

​A tariff-free Vietnam scenario

Vietnamese exporters would save money compared to their Chinese peers if the U.S. government placed tariffs on Chinese firms alone without touching their cross-border supply chains, Daugherty said.

The government of U.S. President Donald Trump calls China unfair in its trade practices, the Office of the U.S. Trade Representative says on its website. China enjoys a $375 billion trade surplus with the United States.

Vietnam counts the United States as its top single-country export destination and it shipped $46.484 billion worth of goods to that market last year.

Vietnamese officials have carved out an investment environment since the 1980s that hinges on low costs for manufacturers. American-invested factories such as a Ford Motor plant and an Intel chip factory are among those active in Vietnam today.

Foreign investment contributed to exports worth $155.24 billion in 2017, financial services firm SSI Research in Hanoi says. Vietnam’s economy grew about 7 percent in the first quarter this year, it says.

Attractive investment

Vietnam would be a more attractive investment compared with China under higher U.S. tariffs, analysts say.

Some new investors might be formerly China-based firms hoping to flee the tariffs, said Song Seng Wun, an economist in the private banking unit of CIMB in Singapore.

China itself might offer Vietnam, along with other countries, preferential trade policies or infrastructure help to shore up trade ties, some believe. Stronger trade relations outside the United States would help China offset any tariff damage, Daugherty said.

This week China’s commerce minister pledged to relax trade rules affecting India.

​Specter of a broader trade war

U.S. import tariffs that hit China’s extensive cross-border supply chain would hurt Vietnam as a place that finishes Chinese goods for final export, Thayer said. It’s unclear whether Washington would tax Chinese firms alone or their wider supply networks.

Chinese firms already co-invest with Vietnamese partners, Song said, and supply chains for goods such as consumer electronics can net multiple countries, not just China.

More co-investment might follow if Vietnam can offer shelter from tariffs. But Sino-Vietnamese political tension over a maritime dispute risks giving Vietnamese firms a bad name at home if they work too extensively with Chinese partners.

“I would say there will be all kinds of repercussions and implications just because of the very integrated supply chain in the world these days,” Song said. “Take an Apple phone as an example. Parts from here and there are assembled in China.”

Steel, aluminum tariffs

U.S. steel and aluminum tariffs that took effect last week cover much of the world including China and Vietnam. Vietnam exported 380,000 tons of steel, worth $303 million, to the United States in 2017, domestic news website VnExpress International says.

Chinese firms hit by the range of tariffs being mulled now in Washington might boost sales to Vietnam, Thayer said. Chinese sellers of raw materials for Vietnamese exports could dump goods into Vietnam to keep up their own balance sheets as U.S. tariffs hurt them, he added.

Chinese sellers often have an economy of scale that lets them sell for less in Vietnam than local vendors do. Vietnam counts China as its top trading partner.

An escalation of Sino-U.S. trade tensions could also chill global markets or trade as a whole, some analysts fear. That fallout could slow global growth, he said.

“Disruption to trade shouldn’t affect Vietnam overall, but it’s the way the entire globe is reacting to this that I think could affect Vietnam,” he said. “Vietnam is overall heavily committed to global integration with a number of partners, so disruption along that way would have an effect.”