Category Archives: News

Worldwide news. News is information about current events. This may be provided through many different media: word of mouth, printing, postal systems, broadcasting, electronic communication, or through the testimony of observers and witnesses to events. News is sometimes called “hard news” to differentiate it from soft media

Tillerson Says N. Korea Talks Trump’s Idea, Downplays Exclusion of State Department

U.S. Secretary of State Rex Tillerson, who is on the other side of the world on a week-long Africa tour, says President Donald Trump’s decision to hold talks with North Korean leader Kim Jong Un came from Trump himself, but he downplayed any suggestion that the State Department was blindsided by the announcement.

Speaking in Djibouti on Friday, the top U.S. diplomat said he spoke with the U.S. president by phone very early in the day.

“We had a good conversation; this is something he’s had on his mind for quite some time, so it was not a surprise in any way because I think this has long been something he’s expressed it openly before, about his willingness to meet with Kim Jong Un,” Tillerson told reporters.

Tillerson made his remarks one day after South Korean officials, standing in front of the White House, announced the summit between Trump and Kim. Tillerson sought to temper expectations for a diplomatic breakthrough with North Korea just hours earlier on Thursday.

“In terms of direct talks with the United States — and you asked negotiations, and we’re a long ways from negotiations — I think … we just need to be very clear-eyed and realistic about it,” Tillerson said.

When asked about what had changed in 24 hours, Tillerson made a distinction between “talks” with North Korea, and structured “negotiations.” Tillerson said what stood out for him was what he termed the dramatic shift in Kim Jong Un’s position.

“Really what changed was his posture in a fairly dramatic way that, in all honesty, came as a little bit of a surprise to us as well that he was so forward-leaning in his conversations with the delegation from South Korea,” the secretary said, referring to meetings this past week between a delegation from South Korea and the North Koreans in the North’s capital, Pyongyang.

Some former national security officials say it’s likely Tillerson was unaware such an announcement could come from Trump.

“We can only assume this announcement took the secretary by surprise because, earlier in the day, he [Tillerson] told reporters the United States was “a long way” from negotiations,” said Jeff Prescott, a senior national security aide to former President Barack Obama, told VOA on Friday.

“The secretary being out of the loop would fit a pattern of an erratic foreign policy that lacks process and rigor,” he added.

A number of North Korea and arms control experts have also expressed surprise at the announcement, saying they welcome talks, but are also concerned about the stakes of such a high-profile meeting, set to happen by May.

 

Prescott says the Trump administration must do all it can to turn this potential opening into an opportunity to advance U.S. interests, not Kim’s.

“That objective has been made all the more difficult because this administration confronts today’s news with one hand tied behind its back,” the former Obama administration official said. “We have no ambassador in Seoul—not even a nominee—and no senior State Department official charged with overseeing the North Korean nuclear challenge.”

Robert Einhorn with the Brookings Institution welcomed news of the summit and that North Korea will suspend nuclear and missile tests while talks are underway. But the senior fellow for the Arms Control and Non-Proliferation Initiative said he has some reservations on the terms of such a summit.

“I am concerned by President Trump’s response to the invitation that he meet with Kim Jong Un — not that he agreed to meet but that he agreed to meet by May,” Einhorn said. “Such meetings have to be well prepared, and the president should have insisted on lower-level exploratory talks that could test North Korea’s seriousness before committing to a date.”

House Foreign Affairs Committee Chairman Ed Royce welcomed the summit announcement.

“Kim Jong Un’s desire to talk shows sanctions the administration has implemented are starting to work. We can pursue more diplomacy, as we keep applying pressure ounce by ounce,” the Republican lawmaker said Friday.

The ranking Democratic member of the House Intelligence Committee, Adam Schiff, noted the president should rely on experts in other parts of his administration to carefully prepare for such a meeting.

 

“In the weeks before the summit, clear-eyed diplomacy and preparation will be vital, given the risks involved in such a high-stakes leaders meeting this early in a negotiation,” Schiff said in a statement. “It will require the president to rely on the expertise within the State Department, the intelligence community, and throughout the government, and not simply on his own estimation of his skills as a deal maker.'”

Former advisor to both Republican and Democratic secretaries of state Aaron David Miller told VOA the Trump administration currently lacks the experts on North Korea to prepare for direct talks.

 

“Right now, it is hard to identify any single individual or team of individuals that has both the negotiating experience and knowledge of the history, the cultural and political sensitivity, and knowledge of how the North Koreans behave and how they see the world,” he said.

US Tariffs Spark Fears of Trade Conflict in Asia

Several Asian nations that are major trading partners with the U.S. reacted strongly Friday to a U.S. decision to impose tariffs on metal imports, raising concerns of global trade conflicts.

China, a key target of U.S. trade concerns, said it was “resolutely opposed” to the U.S. tariff decision, with Japan warning of the impact on bilateral ties.

South Korea said it may file a complaint to the international trade dispute body, the World Trade Organization (WTO). South Korea is the third-largest steel exporter to the U.S. after Canada and Brazil.

Several Southeast Asian nations say they fear a wave of import dumping of steel and aluminum products.

U.S. President Donald Trump, turning aside warnings from economists and members within the Republican Party, signed an order Thursday for new tariffs of 25 percent on steel and 10 percent on aluminum imports to the U.S., saying the measures were necessary to protect U.S. industry.

Trump has exempted key exporters of steel and aluminum, Canada and Mexico, while negotiating changes to the North American Free Trade Agreement (NAFTA), and other countries such as Australia also may be spared.

The U.S. is the world’s largest importer of steel, totaling 35 million tons of raw material in 2017, with South Korea, Japan, China and India accounting for 6.6 million tons.

Global reaction

Thai economist Wisarn Pupphavesa, a senior adviser to the Thai economic think tank, the Thailand Development Research Institute (TDRI), called the tariff aiming to protect U.S. industry a “very bad situation.”

“The U.S. has been a leader in the multilateral system, the leader in the trade liberalization, and the U.S. played a most important role in writing all the rules that are governing the global market now. But now President Trump decided to break those rules … so this is a very bad situation,” Wisarn told VOA.

Economists at London-based Capital Economics said in a release Friday the major concern over U.S. steps to increase tariffs is they mark a “turning point in U.S. policy to a much broader and deeper shift toward protectionism.”

Malaysia’s Second International Trade and Industry Minister, Datuk Seri Ong Ka Chuan, says the government is monitoring the impact of the tariff increase, although steel and aluminum contributed to less than one percent of Malaysia’s total exports.

But Thailand’s Federation of Thai Industries (FTI) said the threat lies in import dumping of steel and aluminum to the Southeast Asian market.

FTI secretary general, Korrakod Padungjit, told local media there were several leading exporters — Taiwan, Japan, South Korea, India, China, Vietnam and Turkey — that may now target Southeast Asia.

The vice president of the ASEAN [Association of South East Asian Nations] Iron and Steel Council, Roberto Cola, told media that excess steel supplies from China would head to Southeast Asia.

High demand

Southeast Asia’s fast-growing economies, such as the Philippines and Vietnam, face a high demand for steel to meet growing infrastructure and development needs.

Japan at 11 percent and China at 14 percent are reported to be the largest Asian exporters of aluminum to the U.S. A shift in exports to Asia would put producers in South Korea, Indonesia, Vietnam and Thailand under competitive pressure.

Thanomsri Fongarunrung, an economist at the Bangkok-based Phatra Securities, said Thailand already was facing steel import “dumping” by China. She said another fear lies in indirect impacts from any escalation into “tit-for-tat” trade protection measures from other regions, such as the European Union (EU).

The EU already has said it will seek to impose tariffs on selected U.S. imports ranging from alcohol to motorbikes.

But the TDRI’s Wisarn says the economic growth in Southeast Asia in the past decade, with its focus on China, will shield the region from major moves by the U.S. to boost trade protectionism.

“East Asia [has] become the new growth core of the global economy. So the impact of the U.S. action, in fact, would have very little impact as far as East Asia is concerned,” he told VOA.

As a result, the role of the economies of China, Japan and South Korea, as well as Australia and New Zealand, will be enhanced by the U.S. decision.

Trade war

But analysts say the greater concern for regional trade and potential conflict lies ahead with a battle over intellectual property theft, especially targeting China.

Economists say the region’s economic growth potential could be hit by a trade war. The World Bank in a January assessment said growth in East Asia and Pacific is forecast at 6.2 percent in 2018, down slightly from 6.4 percent in 2017.

The World Bank, while upbeat, says “rising geopolitical tension, increased global protectionism” a tightening of global financial conditions, or a “steeper-than-expected” slowdown in major economies, including China, pose a downside risk to the regional outlook.

China Gears Up to Retaliate Against US Tariffs

China is gearing up to retaliate in response to stiff U.S. tariffs on steel and aluminum as Chinese industry associations urge authorities to take “resolute measures.” Retaliation from Beijing could contribute to a possible trade war between the world’s two biggest economies, analysts said.

China’s Ministry of Commerce has pledged to “firmly defend its legitimate rights and interests” and called for an end to the measures as quickly as possible.

In a statement posted on the website of the China Iron and Steel Association, the group appealed to the government in Beijing “to take resolute measures against imports of some U.S. products, including stainless steel, galvanized sheet, seamless pipe, coal, agriculture products and electronic products.”

While the possibility of retaliating over steel and hitting agricultural imports and other sectors has been mentioned previously, it was the first time that coal has been drawn into the brewing spat.

China’s increased imports of coal over the past year have given the U.S. industry a needed boost.

The group also said U.S. President Donald Trump’s decision to impose 25 percent tariffs on steel would impact the global industry and be met with opposition from more countries. The U.S. has already taken other actions impacting Chinese exports of aluminum, solar panels and washing machines in recent months.

The Trump administration has asked China to reduce the trade deficit by $100 billion and threatened several actions to force Beijing to listen. In 2017, the trade gap between the two countries stood at $375 billion; but, there are early indications that the deficit might be much higher this year. In January, the monthly trade deficit with China surged 16.7 percent, to $36 billion, its highest level since September 2015.

Flashpoints

Chinese Foreign Minister Wang Yi acknowledged growing concerns about a trade war, while indicating that Beijing was working on possible retaliatory actions.

“I would like to say that history has taught us that trade wars are never the solution,” he said at a recent press conference on the sidelines of China’s annual political meetings. “It will only hurt both sides, and China will surely make a justified and necessary response.”

The minister advocated a “calm and constructive dialogue as equals” in order to find “a mutually beneficial and win-win solution.”

The stakes are high for both sides, but there are limits to the amount of damage they can inflict without hurting their own economies, analysts note.

China has already launched a probe into imports of U.S. sorghum, a grain used in animal feed and liquor.

There are two other flashpoints on the horizon — an upcoming report on whether China deserves blame for the large-scale theft of intellectual property rights, and a decision on the issue of dubbing Beijing as a currency manipulator.

“They will retaliate; they’ve already signaled following Trump’s steel tariffs [announcement] last week that they are going to take some measures. I think it is just a question of what they are going to decide to do,” Gareth Leather, a senior Asia economist with Capital Economics, told VOA while discussing the Chinese leadership’s plans going forward.

He said Beijing is clever and will likely target sectors of the economy in a manner that hurts the administration at a political level, he said.

Political acupuncture

“I think the key one [target] is going to be the U.S. agriculture sector. It’s obviously a politically key area for them,” Leather said. “So, they will look at certain sectors such as orange juice from Florida, for example. They will look at which senators are from there and see whether they are pro-free trade or not.”

Following the announcement, the communist party-backed Global Times said in an editorial that Beijing should show it will not be cowed.

“It [China] must retaliate against U.S. tariffs that forcibly interfere with Sino-U.S. trade and violate World Trade Organization rules. China must show it won’t be bullied,” the editorial said.

Beijing is expected to target soybeans, one of the most valuable U.S. exports to China. China has also used its purchase of Boeing aircraft as a bargaining chip in trade negotiations in the past and might now threaten to shift its preference to Airbus.

Leather said China is also closely studying the coming U.S. midterm elections to fine-tune its attack if that is necessary.

“I suspect what they’ll do is they’ll look at plants in certain swing states that may be suffering but have Republican congressmen up for elections and probably target those,” he said.

While the Trump administration’s measures go into effect in about two weeks, they alone will not have a major impact on the Chinese economy. For now, China’s response is likely to be quite symbolic, Leather said, and the Chinese are not likely to ratchet up the pressure too much.

“I think the risk is, however, that if the U.S. does press ahead on further protectionist measures, which do specifically target China, then, I think, China will have to respond in a much more aggressive way, and then obviously risks all end up getting a lot worse,” he said.

Trade is not the only area that could be a factor going forward.

In a daily newsletter, Trivium China, a research group in Beijing, said news that Trump is expected to meet with North Korean leader Kim Jong Un soon [to discuss ending the North’s nuclear program] could have an impact as well.

“If Xi Jinping helps to facilitate that meeting, it might buy China some time; but, it would only be a temporary reprieve from Trump’s trade ire,” the newsletter noted.

Students Learn Real Skills, Earn Simulated Profits

Young people around the United States are creating virtual businesses that produce simulated products, which are marketed and sold for virtual money. Thirteen hundred students recently showcased their ventures, ranging from telecom firms to gourmet food providers, in Pasadena, California.

At what looked like a corporate trade show, students from Miguel Contreras Business and Tourism School in Los Angeles solicited customers for their tour company. Teacher Darrell Iki helped the students launch Big City Tours, which exists only in the classroom and online. The company stages virtual tours to different parts of Los Angeles, highlighting the city’s ethnic heritage, fashion or high-end shopping. A related virtual company sells travel gear.

Students from Century High School in Santa Ana, California, sell a hypothetical translation device geared toward travelers. 

It all starts with a business plan, according to Iki, as students are named to executive positions and learn to “work together, having a common goal in a potentially successful business.”

The students quickly realized that business is complicated, according to the head of the nonprofit group that works with schools around the country to impart skills through simulations. Thirteen thousand students go through the program each year.

“They’re running meetings, they’re networking, they’re meeting with professionals, they’re working with mentors,” said Nick Chapman of Virtual Enterprises International. The students showcase their companies at competitions, like this one in California. Similar virtual business programs exist in schools in 40 countries.

One student entrepreneur said he now understands the pressure of running a company, in this case a food firm called Taste of the World. He has overseen human resources and digital media for the virtual firm at Century High School in California.

“You really need to be hands-on with your employees and make sure your guys have strong communication,” said Miguel Santin. “Otherwise, the company just won’t prosper.”

Taste of the World is a subscription service that, at least in theory, sends snacks to subscribers through the mail.

“You sign up for three months, six months, a year, and you receive a snack box with trinkets and information about that company every single month throughout your subscription time,” said teacher Alan Gersten.

No real money changes hands.

“You would pay within our virtual economy,” Gersten said, “using virtual money in a web-based simulated banking system. All the kids in the program have bank accounts, so when they buy something, we give them a receipt.”

There’s a lot to learn, noted teacher Stephen Jarvis of the Elizabeth Learning Center in Cudahy, California. “It isn’t just selling something. It’s all the things that go on behind the scenes — creating documents, figuring out if you’re making money or losing money,” he said.

The money isn’t real, but the skills are, said a student entrepreneur with the virtual company Big City Tours, who won a scholarship to college.

“I went to the interviews, and being in this company has helped me really prepare my presentation skills and be able to talk to other people,” said student Catalina Garcia, who will start college this fall and hopes to become a doctor. She says the skills she gained in a virtual company have helped her, whether or not she starts her own company or works in the corporate sector.

Watchdog: Western Tech Used for Hacking in Turkey, Syria

A Canadian company’s hardware is being used to hack internet users along Turkey’s border with Syria, researchers said Friday, adding that there were signs that Kurdish forces aligned with the United States might have been targeted.

The revelation comes as Turkey presses its offensive against the Kurds dug in along the country’s frontier with northwestern Syria, a conflict that threatens to disrupt the American-led effort to extinguish the Islamic State group. The apparent use of Canadian technology to target a U.S. ally was an irony underlined by Ron Deibert, the director of the internet watchdog group Citizen Lab, which published a report on the spying.

“These companies are not closely regulated, and that can lead to a lot of unintended consequences, including consequences that harm our foreign policy interests and human rights interest as well,” Deibert said. “It’s a strong argument for government control over this kind of technology.”

Canadian tech

 

Citizen Lab identified the hardware behind the hacking as PacketLogic devices produced by Procera, a Fremont, California-based company that was recently folded into Canada-based network management firm Sandvine, which is owned by American private equity group Francisco Partners. 

 

In a statement issued before the report’s release, Sandvine said it investigates all allegations of abuse but said it had been unable to complete its inquiry because Citizen Lab refused to provide the company with its findings in full. 

“Once we have the necessary data, we will conduct a full investigation and take appropriate action,” Sandvine said.

The statement also said Citizen Lab’s allegations were “technically inaccurate and intentionally misleading,” but a representative for the company has yet to supply an example of a misleading or inaccurate claim.

Government spying

Citizen Lab said it discovered the hacking after a European cybersecurity company reported that network service providers in two unidentified countries were trying to compromise their users using a powerful hacking technique known as network injection. Citizen Lab scoured the internet for signs of the spying and eventually traced the activity to the Turkish provinces of Adana, Hatay, Gaziantep, Diyarbakir and to the Turkish capital, Ankara, as well as parts of northern Syria and Egypt. 

 

Network injection — so-called because malicious software is injected into everyday internet traffic by whoever controls the network — has long been feared as a particularly powerful form of government spying.

“This can potentially be used to target anyone in the country with the click of the button,” said Bill Marczak, the lead author of the report.

 

Although the identities of those being spied on in Turkey and Egypt aren’t clear, Marczak said that the devices appeared to be installed on the network belonging to Turk Telekom, a leading phone and internet provider in Turkey as well as parts of northern Syria. He said there were hints suggesting some of the targets are affiliated with the YPG, the Kurdish Marxist rebel group which is fighting Turkish forces for control of the northwestern Syrian province of Afrin. Although Turkey considers the YPG a terrorist organization, the group provides the backbone of the U.S.-backed operations against the Islamic State in eastern Syria.

 

American officials acknowledged Monday that ground operations against the jihadist group’s remnants in eastern Syria were on hold because Kurdish fighters were being diverted to the battle against Turkey. 

Turk Telekom statement

 

Turk Telekom said in a statement that it complies with Turkish law and doesn’t interfere with internet users’ access. It added that the company “does not redirect any internet user to receive malicious downloads of popular software applications.” A representative for the company did not immediately respond to follow-up questions.

 

Sandvine’s ties to the Turkey government have been the subject of previous reporting. In 2016, Forbes reported that engineers at Procera were so troubled at the prospect of supplying surveillance hardware for use by Turk Telekom that six of them quit in protest. 

 

“I do not wish to spend the rest of my life with the regret of having been a part of (Turkish President Recep Tayyip) Erdogan’s insanity, so I’m out,” one the engineers said in a letter of resignation quoted by Forbes.

 

LinkedIn shows at least 16 Procera-Sandvine employees listed as working in Egypt or Turkey. One Sandvine engineer based in Cairo listed “lawful interception” — a commonly used euphemism for state-sanctioned surveillance — as one of his interests.

Students Learn Real Skills By Creating Virtual Businesses

Students around the United States are creating virtual businesses that produce simulated products, which are marketed and sold for virtual money. Mike O’Sullivan reports that hundreds of student entrepreneurs came to Pasadena, California, to promote the virtual companies they have created.

AP Analysis: NRA Donated $7.3 Million to Hundreds of Schools

The National Rifle Association has given more than $7 million in grants to hundreds of U.S. schools in recent years, according to an Associated Press analysis, and few have shown any indication that they’ll follow the lead of businesses that are cutting ties with the group following last month’s massacre at a Florida high school.

Florida’s Broward County school district is believed to be the first to stop accepting NRA money after a gunman killed 17 people at one of its schools Feb. 14. The teen charged in the shooting had been on a school rifle team that received NRA funding.

Denver Public Schools followed Thursday, saying it will turn down several NRA grants that were to be awarded this year. But officials in many other districts say they have no plans to back away.

Shooting sports

The AP analysis of the NRA Foundation’s public tax records finds that about 500 schools received more than $7.3 million from 2010 through 2016, mostly through competitive grants meant to promote shooting sports. The grants have gone to a wide array of school programs, including the Junior Reserve Officer Training Corps, rifle teams, hunting safety courses and agriculture clubs.

“Whatever I think of the NRA, they’re providing legitimate educational services,” said Billy Townsend, a school board member in Florida’s Polk County district, whose JROTC programs received $33,000, primarily to buy air rifles. “If the NRA wanted to provide air rifles for our ROTC folks in the future, I wouldn’t have a problem with that.”

The grants awarded to schools are just a small share of the $61 million the NRA Foundation has given to a variety of local groups since 2010. But it has grown rapidly, increasing nearly fourfold from 2010 to 2014 in what some opponents say is a thinly veiled attempt to recruit the next generation of NRA members.

The NRA Foundation did not return calls seeking comment.

Broward announced Tuesday that it would no longer accept NRA grants, following more than a dozen major businesses that have split with the group in recent weeks. Companies including Delta Air Lines, MetLife insurance and the Hertz car agency have said they will no longer offer discounts to NRA members.

​Grants directed at youths

Annual reports from the pro-gun group say its grant program was started in 1992 and raises money through local Friends of NRA chapters. It says half the proceeds from local fundraisers go to local grants and half goes to the national organization. Tax records show roughly $19 million in grants going to the group’s Virginia headquarters in 2015 and in 2016.

Besides schools, other typical recipients include 4-H groups, which have received $12.2 million since 2010, Boy Scout troops and councils, which received $4 million, and private gun clubs. Overall, about half the grants go to programs directed at youths.

Nearly half of the 773 grants awarded to schools have gone to JROTC programs, which put students through a basic military curriculum and offer an array of small competitive clubs, like the rifle team at Broward’s Marjory Stoneman Douglas High School. But JROTC leaders say few students ultimately enlist in the military, and the primary goal is to teach students skills like discipline and leadership.

“The safety that we’re teaching, the good citizenship that we’re teaching here, those are the things you don’t hear about,” said Gunnery Sgt. Jim Flores, a JROTC instructor at Cibola High School in Albuquerque, New Mexico. “The majority of people walk out of here awesome young men and women, respectful of authority, things of that nature. Not so much little tin soldiers.”

In some parts of the country, shooting clubs draw the same sort of following as any school sport. Bill Nolte, superintendent of the Haywood County district in North Carolina, says he still shows up at school sportsman’s club tourneys even though his son graduated. Starting in sixth grade, students can join the clubs to compete in shooting events, archery and orienteering. For many families, Nolte said, it’s just like any other weekend sports event.

“You take your lawn chair and your coffee in a thermos, and do much like you would do if you were going to a youth soccer or travel basketball or baseball event,” Nolte said, adding that NRA grants have helped buy firearms and ammunition and cover other costs that otherwise would fall to the parents. “We are constantly seeking revenue for sportsman’s club just like we do for cheerleading and track.”

Top grant recipients

Districts that tallied the largest sums of NRA money typically used it for JROTC programs, including $126,000 given to Albuquerque schools, $126,000 to Broward County and $125,000 to Anchorage, Alaska. The most awarded to a single district was $230,000, given to Roseville schools near Sacramento, California, which say much of the funding went toward ammunition and gear for trap-shooting teams.

Grants are often provided as equipment rather than cash, with schools given rifles, ammunition, safety gear and updates to shooting ranges. Nationally, about $1.3 million was provided as cash, while $6 million was provided through equipment, training and other costs.

Ron Severson, superintendent of the Roseville Joint Union High School District, says no parents have raised concerns over the funding, but administrators may reconsider it in the wake of the Florida shooting.

“After we get through this spring, we will probably take some time to assess how to move forward,” he said.

Like the program, not the NRA

School board members in some districts said they didn’t know about the grants. Donna Corbett, a Democrat on the school board in southern Indiana’s New Albany-Floyd County School Corporation, said she never heard about $65,000 that went to a JROTC program at one of the high schools. Corbett said she plans to raise the issue with her board but feels conflicted about it.

“I am not a big NRA fan, but I also realize that ROTC is a good program,” she said. “I’m not sure I would be willing to pull it to the detriment of the kids and their programs.”

In some ways, the issue reflects the nation’s deep political divide over guns. Nearly three-quarters of the schools that received grants are in counties that voted for President Donald Trump in the 2016 election, while a quarter are in counties that voted for Democrat Hillary Clinton, according to the AP analysis. Most are in medium-sized counties or rural areas, with few near major cities.

In Massachusetts, for example, known for its strict gun laws, no schools have received NRA grants since 2010, tax records show. Terry Ryan, a school board member in the Westford district northwest of Boston, says a local teacher considered applying for a grant in 2014, but the district ultimately didn’t pursue it.

“We were not interested in any way, shape or form endorsing the NRA or its philosophy,” Ryan said in an interview.

By contrast, parent Jana Cox in Louisiana’s Caddo Parish says few in the area would have a problem with the $24,000 in NRA grants that have gone to school JROTC programs.

“Everybody here has guns,” Cox said. “This is north Louisiana. You’ve got a lot of hunters and you’ve got a lot of guns.”

Grants keep programs afloat

Without NRA grants, some programs would struggle to stay afloat, officials say. For JROTC groups, which receive most of their money from their respective military branches, the grants have become more important as federal budgets have been cut. Programs at some high schools in Virginia, Missouri and other states have folded in recent years amid the pinch.

Lt. Colonel Ralph Ingles, head of the JROTC program at Albuquerque schools, says the Florida shooting has sparked a conversation about NRA grants, but he doesn’t anticipate cutting ties anytime soon.

“I don’t see anybody really backing down,” he said. “I think it’s just ingrained that we’re going to continue to move forward in a positive direction.”

Trump’s Tariffs Elicit Strong Response at Home, Abroad

U.S. President Donald Trump’s announcement of new tariffs on steel and aluminum is eliciting strong reactions at home and around the world.

America’s neighbors breathed a sigh of relief at being granted an exemption from the tariffs. Foreign Affairs Minister Chrystia Freeland said despite the concession, Canada would continue to push back.

“In recent days, we have worked energetically with our American counterparts to secure an exemption for Canada from these tariffs,” she said. “This work continues and it will continue until the prospect of these duties is fully and permanently lifted.”

Canada is the largest supplier of steel and aluminum to the United States. Freeland ridiculed Trump’s national security justification for the measure, saying: “That Canada could pose any kind of security threat to the United States is inconceivable.”

​Allies combative

Other allies took an equally combative stance. 

“Protectionism, tariffs never really work,” British trade minister Liam Fox said Thursday. “We can deal multilaterally with the overproduction of steel, but this is the wrong way to go about it,” he said.

As did Canada, Fox said it was “doubly absurd” to target Britain with steel tariffs on national security grounds when it only provided the U.S. with 1 percent of its imports and made steel for the American military.

France said it “regrets” Trump’s decision. 

“There are only losers in a trade war. With our EU partners, we will assess consequences on our industries and agree (to an) appropriate response,” Economy Minister Bruno Le Maire tweeted Thursday.

Last week, Le Maire had warned that any such measures by the U.S. would be “unacceptable” and called for a “strong, coordinated, united response from the EU.”

​Negotiate exemptions

During the announcement of the tariffs, the White House said that countries concerned by the tariffs could try to negotiate possible exemptions.

“The EU is a close ally of the U.S. and we continue to think that the EU must be exempted from these measures,” said EU Commissioner for Trade, Cecilia Malmstrom.

“I will demand more clarity on this issue in the days to come,” she said.

 

WATCH: Economists Warn of Escalating Trade War Following US Steel Tariffs

Invitation to a trade war

Others also panned the tariffs as an invitation to a trade war. 

“If you put tariffs against your allies, one wonders who the enemies are,” said the president of the European Central Bank, Mario Draghi.

Chinese Foreign Minister Wang Yi warned, “Choosing a trade war is a mistaken prescription. The outcome will only be harmful. China would have to make a justified and necessary response.”

Brazil also said it planned such negotiations. 

“We will work to exclude Brazil from this measure,” acting Trade Minister Marcos Jorge told Reuters. Brazil is the United States’ No. 2 steel supplier.

​Mixed reactions on Capitol Hill

Many of the reactions around Washington were mixed.

“There are unquestionably bad trade practices by nations like China, but the better approach is targeted enforcement of those bad practices. Our economy and our national security are strengthened by fostering free trade with our allies,” House Speaker Paul Ryan said.

Senator Jeff Flake, R-Arizona, who is not planning to seek re-election, said he will “immediately” draft legislation that attempts to block the tariffs.

“These so-called ‘flexible tariffs’ are a marriage of two lethal poisons to economic growth: protectionism and uncertainty,” Flake said in a statement. “Trade wars are not won, they are only lost.”

But Democratic Senator Joe Manchin of West Virgina said he was “excited” by the idea of tariffs.

“I’m encouraged, I really am, and I think it gives us a chance to basically reboot, get jobs back to West Virginia, back to America,” he said.

Trump, Porn Star Scandal Hits Mainstream Media

The story of President Donald Trump’s alleged extramarital relationship with porn star Stormy Daniels has been an open secret in Washington’s media circles for weeks. 

Longtime Trump lawyer Michael Cohen has admitted paying Daniels, whose legal name is Stephanie Clifford, $130,000 to keep quiet about the alleged affair just before the 2016 presidential election. 

Celebrity magazine InTouch in February published an in-depth interview detailing Clifford’s story. But with denials and evasive silence, the story had remained on the sidelines of mainstream news until Wednesday when the White House appeared to acknowledge for the first time that Trump was involved in some way with the porn actress.

White House press secretary Sarah Huckabee Sanders, during a Wednesday press briefing, tried to dismiss a question asked about the scandal by saying the president had already won a legal battle relating to the case. 

“This case has already been won in arbitration,” Sanders said, referring to a temporary restraining order issued last week by a private dispute-resolution firm that bars Clifford from talking publicly about her alleged affair with Trump and from suing the president.

Ruling ignored

Sanders added she was not aware that the president knew of the payment made to the actress.

Clifford ignored the order, filing a lawsuit Tuesday asserting that the nondisclosure agreement that accompanied the $130,000 payment was void because Trump never signed it. She contends in the lawsuit that she began “an intimate relationship” with Trump in the summer of 2006, and continued the relationship “well into the year 2007.”

According to the lawsuit, Trump’s lawyer filed the arbitration proceeding against Clifford last week to seek a restraining order to “shut her up” and “protect Mr. Trump.”

Trump ‘absolutely knew’

Clifford’s attorney, Michael Avenatti, told ABC News that Trump “absolutely knew” about the payment to his client. “Any suggestion that he didn’t know about it is, quite honestly, absurd,” he said.

Avenatti said the nondisclosure agreement was “sloppy” and referred to it as “amateur hour.”  

“He purposely did not sign it so that later he could have deniability as to its existence,” Avenatti told ABC News.

The nondisclosure agreement directed that $130,000 be paid into the trust account of Clifford’s then-attorney. In return, Clifford was not to disclose any confidential information about Trump or his sexual partners to anyone beyond the few individuals she had already talked to, or share any texts or photos from Trump. It also mandates “binding confidential arbitration of all disputes which may arise between them.”

The nondisclosure agreement also stipulates that any dispute be settled by a “solo, neutral arbitrator” at one of two private firms. One of those firms, Action Dispute Resolution Services, issued the restraining order against Clifford. 

David Dennison?

The agreement refers to Trump throughout as David Dennison, and Clifford as Peggy Peterson. In the side letter agreement, the true identity of “DD” is blacked out, but Avenatti says the individual is Trump. Each document includes a blank where “DD” is supposed to sign, but neither blank is signed.

The absence of the signatures is the basis for Clifford’s lawsuit filed Tuesday. Clifford claims that she is not bound by the nondisclosure agreement to stay quiet or go through arbitration because Trump never signed the agreement, rendering it unenforceable.

If the court agrees with Clifford and invalidates the agreement, Clifford will be free to bring her story involving the American president to the front pages of international news. 

Judge to Weigh Whether Trump’s Twitter Blocks Violate Free Speech

A federal judge is expected to hear arguments on Thursday about whether President Donald Trump violated Twitter users’ free speech rights under the U.S. Constitution by blocking them from his account.

The arguments before U.S. District Judge Naomi Reice Buchwald in Manhattan are part of a lawsuit brought last July by the Knight First Amendment Institute at Columbia University and several individual Twitter users.

Trump and the plaintiffs are seeking summary judgment, asking Buchwald to decide the case in their favor without a trial.

Twitter lets users post short snippets of text, called tweets. Other users may respond to those tweets. When one user blocks another, the blocked user cannot respond to the blocker’s tweets.

The plaintiffs have accused Trump of blocking a number of accounts whose owners criticized, mocked or disagreed with him in replies to his tweets.

They argued that Trump’s Twitter account, @realDonaldTrump, is a public forum, and that denying them access based on their views violates the First Amendment.

Trump in court papers countered that his use of Twitter is personal, not a “state action.”

Even if it were a state action, he said, his use of Twitter was a form of “government speech,” not a public forum.

Trump’s Twitter use draws intense interest for his unvarnished commentary, including attacks on critics. His tweets often shape news and are retweeted tens of thousands of times.

European Central Bank: Trump Tariff Move ‘Dangerous’

Europe’s top monetary official criticized U.S. President Donald Trump’s proposal to put tariffs on steel and aluminum imports as a “dangerous” unilateral move.

Mario Draghi, the president of the European Central Bank, said that the “immediate spillover of the trade measures … is not going to be big.” But he said such disputes should be worked out among trade partners, not decided by measures initiated from one side.

“Whatever convictions one has about trade … we are convinced that disputes should be discussed and resolved in a multilateral framework, and that unilateral decisions are dangerous.”

Trump is expected to announce by the end of this week tariffs of 25 percent on steel and 10 percent on aluminum. Trump has long singled out China for being unfair in trade practices, but experts say the tariffs would hurt U.S. allies Canada and the European Union far more.

Draghi warned that unilateral moves like these tariffs could trigger retaliation — which the EU and China, among other, have already threatened.

The most important fallout, Draghi said, would be if tariffs raised fears about the economy. They could depress confidence among consumers and businesses, he said, which could weaken both growth and inflation.

Draghi also alluded to the kind of financial deregulation the U.S. is pursuing as a risk to the global economy. The U.S. Senate is considering a bill that would remove some of the banking safeguards imposed in the wake of the 2008 financial crisis and the collapse of investment bank Lehman Brothers. The bill is sponsored by Republican Sen. Mike Crapo of Idaho but has attracted several Democratic sponsors as well.

Draghi didn’t mention the bill specifically but said that the global financial crisis had been preceded by “systematic disruption of financial regulation in the major jurisdictions.” He said that while European regulators are not looking to ease back checks on the financial sector “massive deregulation in one market is going to affect the whole world.”

These uncertainties overshadowed a monetary policy announcement by the ECB, in which it hinted it is closer to withdrawing a key economic stimulus program.

The bank left unchanged its key interest rates as well as the size of its bond-buying stimulus program after its latest policy meeting. But in its statement it omitted an earlier promise that it could increase its bond-purchase stimulus in size or duration if the economic outlook worsens.

Draghi downplayed the step, saying it was a “backward-looking measure” that no longer fit today’s circumstances. Economic growth in the eurozone hit a strong annual rate of 2.7 percent in the fourth quarter, making the prospect of added stimulus remote.

The bank has said it will continue buying 30 billion euros ($37 million) in bonds per month through September and longer if needed — but has given no precise end date.

The eventual end of the stimulus will have wide-ranging effects. It could cause the euro to rise in value against other currencies, potentially hurting exporters, and it could bring higher returns on savings as well as stiffer borrowing costs for indebted governments in the 19-country eurozone. It should make it easier for people and companies to fund pension savings. But it could make richly valued stock markets less attractive relative to more conservative holdings.

The euro was volatile after the ECB’s statement, first jumping and then falling back to $1.2333 by end of day.

The stimulus program pushes newly printed money into the economy. That in theory should lower borrowing rates and raise inflation and growth. But while growth has bounced back, inflation has been slow to respond. It remains at 1.2 percent, stubbornly below the bank’s goal of just under 2 percent, the level considered best for the economy.

The bond purchases were started March 2015 to help the eurozone bounce back from troubles over government and bank debt in several member countries including Greece, Ireland, Portugal, Cyprus, Spain and Italy. The economy is now doing better, but the bank has moved cautiously in ending its crisis measures for fear of roiling recently volatile financial markets.

Trump Has ‘Feeling’ Departing Aide Cohn Will Be Back

President Donald Trump is joking about Gary Cohn as he bids farewell to his departing economic adviser.

 

Trump says at a Cabinet meeting that will be Cohn’s last that the former Goldman Sachs executive “may be a globalist but I still like him.”

 

The president says Cohn may one day return to the White House after leaving to make what Trump’s calling another couple hundred million dollars.

 

Cohn announced this week that he’d be leaving the administration in the coming weeks. That announcement came amid a wave of staff departures and after Cohn failed to convince Trump that he should reconsider imposing tariffs on steel and aluminum imports.

At Thursday’s Cabinet meeting, Trump told Cohn: “I have a feeling you’ll be back.”

11 Nations to Sign Pacific Trade Pact as US Plans Tariffs

Trade ministers from 11 Pacific Rim countries are set to sign a sweeping agreement to streamline trade and slash tariffs just as U.S. President Donald Trump is preparing to formalize new tariffs on aluminum and steel to protect U.S. producers.

The deal to be signed Thursday in the Chilean capital is an outgrowth of the Trans-Pacific Partnership that Trump pulled the U.S. out of last year.

Many feared the agreement would not prosper without its most influential country. But the remaining 11 members pressed ahead, saying it shows resolve against protectionism.

The pact includes Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore and Vietnam.

What Swamp? Lobbyists Get Ethics Waivers to Work for Trump

President Donald Trump and his appointees have stocked federal agencies with ex-lobbyists and corporate lawyers who now help regulate the very industries from which they previously collected paychecks, despite promising as a candidate to drain the swamp in Washington.

A week after his January 2017 inauguration, Trump signed an executive order that bars former lobbyists, lawyers and others from participating in any matter they lobbied or otherwise worked on for private clients within two years before going to work for the government.

 

But records reviewed by The Associated Press show Trump’s top lawyer, White House counsel Don McGahn, has issued at least 24 ethics waivers to key administration officials at the White House and executive branch agencies.

 

Though the waivers were typically signed by McGahn months ago, the Office of Government Ethics disclosed several more on Wednesday.

 

One allows FBI Director Chris Wray “to participate in matters involving a confidential former client.” The three-sentence waiver gives no indication about what Wray’s conflict of interest might be or how it may violate Trump’s ethics order.

 

Before returning to the Justice Department last year, Wray represented clients that included big banks and other corporations as a partner at a white-glove law firm that paid him $9.2 million a year, according to his financial disclosure statement.

 

Asked about the waivers, Lindsay Walters, a White House spokeswoman, said, “In the interests of full transparency and good governance, the posted waivers set forth the policy reasons for granting an exception to the pledge.”

 

Trump’s executive order on ethics supplanted a more stringent set of rules put in place by president Barack Obama in 2009 to avoid conflicts of interests. Nearly 70 waivers were issued to executive branch officials during Obama’s eight years, though those were generally more narrowly focused and offered a fuller legal explanation for why the waiver was granted.

 

Craig Holman, who lobbies in Washington for stricter government ethics and lobbying rules on behalf of the advocacy group Public Citizen, said just five of the waivers under Obama went to former lobbyists, most whom had worked for nonprofit groups.

 

He was initially optimistic when Trump issued his executive order.

“I was very surprised and at the same time very hopeful that he was going to take his pledge to ‘drain the swamp’ seriously,” Holman said Wednesday. “It is now quite evident that the pledge was little more than campaign rhetoric. Not only are key provisions simply ignored and not enforced, when in cases where obvious conflicts of interest are brought into the limelight, the administration readily issues waivers from the ethics rules.”

 

Conflicts of interests

An analysis by the AP shows that nearly half of the political appointees hired at the Environmental Protection Agency under Trump have strong industry ties. Of 59 EPA hires tracked by the AP over the last year, about a third worked as registered lobbyists or lawyers for chemical manufacturers, fossil fuel producers and other corporate clients that raise the very type of revolving-door conflicts of interests that Trump promised voters he would eliminate.

 

Most of those officials have signed ethics agreements saying they would not participate in actions involving their former clients while working at the EPA. At least three have gotten waivers allowing them to do just that.

 

Erik Baptist, a top EPA lawyer, worked until 2016, as senior lawyer and registered federal lobbyist for the American Petroleum Institute, the national trade group for the oil and gas industry. According to disclosure reports, he lobbied Congress to pass legislation repealing the Renewable Fuel Standard, a program created more than a decade ago to set minimum production quotas for biofuels to be blended into gasoline, heating oil and jet fuel.

 

Baptist signed an ethics agreement pledging to recuse himself from any issues involving his former employer, including several lawsuits filed against the agency where he now works. But in August, McGahn granted him approval to advise EPA Administrator Scott Pruitt on issues surrounding the renewable fuel law.

McGahn wrote that he was exempting Baptist from the ethics pledge because “his deep understanding of the RFS program and the regulated industry, make him the ideal person to assist the administrator and his senior leadership team to make EPA and its renewable fuel programs more efficient and effective.”

 

Pruitt, a Republican who was closely aligned with the oil and gas industry as an elected official in his home state of Oklahoma, proposed modest cuts last summer to production quotas for biofuels that include ethanol, despite promises from Trump to leave the Renewable Fuel Standard alone.

 

That triggered bipartisan outrage among members of Congress from major corn-growing states, who threatened last fall to block Senate votes on the administration’s environmental nominees unless Pruitt backed down.

 

“Scott Pruitt has called on yet another fossil-fuel industry lobbyist … to help him tear down important protections for the American people,” said Sen. Sheldon Whitehouse, a Rhode Island Democrat on the Senate Environment Committee. “And the White House plays along, granting the lobbyist an ethics waiver.”

 

Jeffrey M. Sands previously worked as a top lobbyist for Syngenta, a major pesticide manufacturer. Following a request from the EPA, McGahn determined it was “in the public interest” to allow Sands to work as Pruitt’s senior adviser for agriculture.

 

Dennis “Lee” Forsgren, the deputy assistant administrator helping oversee the EPA’s enforcement of clean water regulations, was allowed to work on the EPA’s hurricane response efforts involving the Miccosukee, a Native American tribe in Florida for whom he was a registered lobbyist up until 2016.

 

“All EPA employees get ethics briefings when they start and continually work with our ethics office regarding any potential conflicts they may encounter while employed here,” EPA spokesman Jahan Wilcox said when asked whether the ethics waivers violate the spirt of Trump’s executive order.

 

The Treasury Department asked McGahn for three waivers. Anthony Sayegh, appointed as the assistant secretary for public affairs, previously worked as a Fox News contributor. His waiver allows him to “participate in matters involving his former client.”

 

Brian Callahan, the department’s top lawyer at Treasury, was granted a waiver concerning issues involving his former position as general counsel at Cooper and Kirk PLLC. The law firm represents Fairholme Funds, which recently filed a lawsuit against the Treasury Department and the Fair Housing Finance Agency.

 

McGahn’s waiver allows Callahan to participate in discussions about policy decisions pertaining to housing finance reform, even though “some of these discussions could at some point touch upon issues that might impact the litigation.”

 

The State Department got five waivers. The former law firm of Edward T. McMullen, the U.S. ambassador to Switzerland, represented Boeing. The Swiss government recently announced its intent to purchase military equipment and accept bids from American companies.

 

Another waiver allows communications director Heather Nauert to work with employees of Fox News even though she used to work as a broadcast journalist for the network. Nauert is identified in the waiver, which was heavily redacted before release, by her legal name, Heather Norby.

 

At the Pentagon, Assistant Secretary of Defense for Asian and Pacific Security Affairs Randall G. Schriver got a waiver allowing him to “participate in any particular matter involving specific parties,” including his former client: the Japanese government.

 

Health and Human Services asked for waivers for senior counselor to the secretary Keagan Lenihan, a registered lobbyist who recently worked for a pharmaceutical and health services company and for chief of staff Lance Leggitt, who recently lobbied on behalf of his law firm’s health law practice group.

Agriculture Department policy adviser Kailee Tkacz is allowed to “participate personally and substantially in matters regarding the Dietary Guidelines for Americans,” a guide that offers nutritional information and recommendations.

 

McGahn’s waiver didn’t offer much detail into the potential conflict Tkacz’s appointment would pose. But other records show she most recently served as food policy director for the Corn Refiners Association, a trade organization representing producers of corn starch, corn oil and high fructose corn syrup.

 

Before that, she lobbied on behalf of SNAC International, a trade association for snack food manufacturers.

 

Ex-Trump Campaign Manager Lewandowski Faces Russia Interview

One of Donald Trump’s former campaign managers has arrived on Capitol Hill for a closed-door interview with the House Intelligence Committee as part of its Russia investigation.

 

Corey Lewandowski led Trump’s presidential campaign for nearly a year. He was fired before the November 2016 election and held no official positions after he was let go. But he’s remained close to Trump and some White House officials, and has been a prominent defender of Trump on television.

 

Lewandowski first appeared before the committee in January. He refused to answer questions about things that happened after his time on the campaign, according to the committee’s top Democrat, Adam Schiff of California.

 

 

Europe Split on Nord Stream 2 Pipeline as US Warns Against Dependence on Russian Gas

A number of eastern European states have ramped up their opposition to a new gas pipeline linking Russia with Germany.

The Nord Stream 2 project will bring Russian gas directly to Western Europe, but critics say it will increase dependence on Russia and enrich its state-owned energy firms, at a time when Moscow stands accused of undermining European security.

The $11 billion, 1,225-kilometer pipeline is on schedule for completion next year. It is a private project backed by Russian state-owned Gazprom and five energy companies from Germany, France, Britain and the Netherlands. It also has the strong backing of the German and Russian governments.

“We support the implementation of this project which is undoubtedly, absolutely free from politics. This is a purely economic and moreover purely commercial project,” Russian President Vladimir Putin told reporters after meeting the Austrian chancellor, Sebastian Kurz, last week in Moscow. Kurz also offered his support for the project.

Doing business with Putin

Many eastern states, however, say Europe should not be engaged in big business with President Putin. Some of the most vocal critics have been the Baltic states of Estonia, Latvia and Lithuania, whose foreign ministers traveled to Washington last week to meet Secretary of State Rex Tillerson.

“Security these days is increasingly indivisible. There’s no clear division between internal and external security and also geographically,” Estonian Foreign Minister Sven Mikser told reporters in Washington ahead of the meeting.

The United States is opposed to Nord Stream 2, having sanctioned Russian companies over Moscow’s annexation of Crimea, along with foreign companies involved in Russian energy exploration. So far, those sanctions don’t affect the new pipeline.

The European Commission also opposes the project but says there are no legal grounds to prevent the private investment from going ahead.

 

WATCH: Europe Split on Nord Stream 2 Pipeline as US Warns Against Dependence on Russian Gas

Softening sanctions

Opponents fear any additional revenues for Russia from Nord Stream 2 would soften the impact of sanctions. Many Eastern European states also question whether the new pipeline will benefit them economically, says Noah Gordon, analyst at the Center for European Reform, a London-based research group.

“There could be bottlenecks through central Europe and Eastern Europe, and those places could see prices rise and they might be more exposed to a Russian political gas cutoff. Ukraine would lose about $2 billion a year in transit fees.”

Currently, more than half of Russian gas exports to Europe are routed through Ukraine. Supporters of Nord Stream 2 say it would increase security of supply, citing recent price disputes between Moscow and Kyiv.

The EU hopes to mitigate the risk of increased dependence on Russia by investing in connecting pipelines across European borders.

“The goal is a resilient gas market where gas flows freely across borders,” Gordon said. “For two years, Ukraine hasn’t bought any gas from Russia. Instead they buy gas, Russian gas usually, indirectly from European traders like Germany, like the Dutch. So if the European gas market was in a strong enough state and if Europe was more energy efficient and used less gas, Russian or otherwise, Russia wouldn’t be able to meddle or use gas as a weapon ever again.”

Poland and Lithuania, which vehemently oppose Nord Stream 2, have built terminals for liquefied natural gas, or LNG. The United States wants to boost its LNG exports to Europe.

Both Europe and the U.S. hope that a diversified supply will help reduce Russia’s ability to use gas as a political weapon.

Ocean Discovery XPRIZE Competition Finalists Announced

Nine teams with members from 25 countries entered the final phase of the $7 million Ocean Discovery XPRIZE competition for technologies that could cheaply and efficiently map the floors of the world’s oceans.  Using current technology this feat would take up to 600 years. VOA’s George Putic reports.

Canada, Mexico, Others Could Be Spared From US Tariffs on Metals

Some countries are now likely to be spared from planned tariffs on metals advocated by U.S. President Donald Trump. 

“We expect that the president will sign something by the end of the week, and there are potential carve-outs for Mexico and Canada, based on national security, and possibly other countries as well, based on that process,” White House press secretary Sarah Huckabee Sanders told reporters Tuesday. 

Sources at the White House also said Trump’s controversial tariff plan could be put into action at a signing ceremony at 3:30 p.m. EDT (2030 UTC) Thursday.

Reuters quoted a senior U.S. official as saying the measures would take effect about two weeks after Trump signed the proclamation. 

Meanwhile Wednesday, U.S. Representative Kevin Brady, a Texas Republican, and other House members wrote a letter to Trump urging him to minimize negative consequences if he goes through with the tariff plan.

Brady, chair of the Ways and Means Committee, joined with Representative Dave Reichert, a Washington state Republican who chairs the Ways and Means subcommittee on trade, led the lawmakers who warned the president about the drawbacks to his tariff plan.

The letter said “tariffs are taxes that make U.S. businesses less competitive and U.S. consumers poorer,” and “any tariffs that are imposed should be designed to address specific distortions caused by unfair trade practices in a targeted way while minimizing negative consequences in American businesses and consumers.”

The lawmakers recommended that Trump exclude fairly traded products and products that do not pose a national security threat; announce a process for U.S. companies to petition for duty-free access to imports unavailable from U.S. sources; and allow exemptions for existing contracts for steel and aluminum purchases. They also recommended doing a short-term review of the effects of the tariffs on the economy to decide whether the approach is working.

The tariffs are expected to impose a duty of 25 percent on steel imports and 10 percent on aluminum imports that Trump says undermine U.S. industry with their low prices.

The comment that some Canada and Mexico may be spared in the tariffs plan resulted in key stock indexes and the U.S. dollar paring losses in afternoon trading.

The Dow Jones industrial average, after falling more than 300 points during the session, closed off 83 points, a drop of one-third of a percent. 

Market players said the sell-off was sparked by the previous day’s announcement that the president’s chief economic adviser, Gary Cohn, was resigning. The former Goldman Sachs investment bank president had opposed the sweeping tariffs for foreign steel and aluminum.

‘Easy to win’

Trump boasted last week that trade wars “are good and easy to win” after his surprise announcement he planned to impose the tariffs on imports of the two metals. That prompted widespread criticism from his normal Republican colleagues in Congress and America’s allies. 

The president, according to staffers, acted on recommendations made by Commerce Secretary Wilbur Ross, formerly a billionaire investor, and Peter Navarro, an economist who is director of the White House National Trade Council. 

​’Easy to win’

Trump boasted last week that trade wars “are good and easy to win” after his surprise announcement he planned to impose a 25 percent U.S. tariff on steel imports and a 10 percent levy on aluminum imports. That prompted widespread criticism from his normal Republican colleagues in Congress and America’s allies. 

The president, according to staffers, acted on recommendations made by Commerce Secretary Wilbur Ross, formerly a billionaire investor, and Peter Navarro, an economist who is director of the White House National Trade Council. 

Ross said the planned steel and aluminum tariffs were “thought through. We’re not looking for a trade war.”

The tariffs proposal also won support from economic nationalists in the United States and some Democratic lawmakers in manufacturing states whose fortunes could be boosted by the tariffs protecting their metal industries.

The chief of the International Monetary Fund, Christine Lagarde, on Wednesday in a European radio interview, warned of a global trade war, predicting the U.S. tariffs could lead to “a drop in growth, a drop in trade, and it will be fearsome.”

Warning that there would be no victors in such a trade war, Lagarde urged “the sides to reach agreements, hold negotiations, consultations.”

‘Easy to lose’

European Council President Donald Tusk echoed Lagarde’s stance, saying, “The truth is quite the opposite: Trade wars are bad and easy to lose. For this reason, I strongly believe that now is the time for politicians on both sides of the Atlantic to act responsibly.”

The European Commission, the executive arm of the 28-nation European Union, detailed retaliatory tariffs it plans to impose on prominent U.S. products if Trump carries out his plan to impose the metal tariffs, taxing Harley-Davidson motorcycles, bourbon, blue jeans, cranberries, orange juice and peanut butter.

Moody’s Investors Service said the planned tariffs “raise the risk of a deterioration in global trade relations.”

Trump said on Twitter that since former President George H.W. Bush was in the White House 30 years ago, “our Country has lost more than 55,000 factories, 6,000,000 manufacturing jobs and accumulated Trade Deficits of more than 12 Trillion Dollars.”

“Bad Policies & Leadership. Must WIN again!” Trump also said on Twitter. 

Trump claimed the United States last year had a trade deficit of “almost 800 Billion Dollars,” significantly overstating the actual figure of $566 billion, which still was the biggest U.S. trade deficit in nine years. 

A new report Wednesday said the U.S. trade deficit in January — the amount its imports exceeded its exports — reached $56.6 billion, the highest monthly total since October 2008.

DACA Stalemate Continues on Capitol Hill

One day after hundreds of thousands of young undocumented immigrants formally lost temporary protection from deportation, Republican Jeff Flake of Arizona attempted to revive U.S. Senate debate on Deferred Action for Childhood Arrivals (DACA), which had provided temporary work and study permits to beneficiaries.

“There are teachers, students and members of the military who are DACA recipients. They are friends and colleagues who represent the very best ideas of America,” Flake said Tuesday on the Senate floor. “That’s why I’ve introduced legislation to extend DACA protections for three years and provide for three years of increased border funding.”

Another Republican, James Lankford of Oklahoma, objected to Flake’s motion, shelving the issue once again.

“If Congress does a temporary patch once, it’ll do it 20 times again,” Lankford said.

Last year, President Donald Trump set a March 5 expiration date for DACA, an Obama administration program protecting immigrants brought illegally into the country as children. Trump challenged Congress to enact a permanent fix granting the immigrants legal status. Lawmakers of both political parties back the goal, but Congress has yet to act.

In the meantime, federal court battles over Trump’s DACA order have prevented deportations from going forward — a reprieve for so-called “Dreamers” that could end at any time.

“It’s a politically tricky issue for Republicans,” said political analyst Molly Reynolds of the Washington-based Brookings Institution. Senate Majority Leader Mitch McConnell and House Speaker Paul Ryan “are really hesitant to expose those divides within the party. I also think they are hesitant to be seen as giving a win to Democrats,” she added.

On Twitter and in recent public speeches, Trump has blamed Democrats for Washington’s inaction.

“We’re trying to have a DACA victory for everybody, by the way, and the Democrats are nowhere to be found,” the president said Wednesday in an address to Hispanic business leaders.

Democrats insist they remain ready to make a deal with Republicans on immigration and border security, noting it was Trump who, in January, appeared to endorse a bipartisan proposal with a DACA fix, then rejected it days later.

“This humanitarian crisis in this country, and I call it that, was created by President Trump on September 5,” Democratic Senator Dick Durbin of Illinois said. “He has failed to agree to six different bipartisan proposals to solve the problem he created. And now these lives hang in the balance.”

Observers note that, while Democrats are in the minority in Congress, they are not without clout, especially in the Senate, where a three-fifths majority is required for most legislation to advance.

“It’s a matter of, do Democrats want to keep pushing the issue?” Reynolds said.

Democrats could apply pressure for action on immigration by withholding votes later this month on a yearlong government funding bill. They already used that tactic earlier this year, causing a brief federal shutdown, and Democratic leaders have shown little appetite for a repeat.

“We’re going to keep fighting hard for DACA, but we need to hear something from Republicans, because they’re the ones who have thwarted it time and time again,” said Senate Minority Leader Chuck Schumer of New York.

Court challenges to Trump’s DACA decision have, in effect, extended the deadline for Congress to act. Political analysts believe that makes it more likely that Dreamers will remain in legal limbo through the November midterm elections.

Despite Widespread Pushback, Trump Finds Some Support for Tariff Plan

U.S. President Donald Trump’s plan to impose tariffs of 25 percent on steel and 10 percent on aluminum has met criticism from his Republican allies in Congress, many of whom worry the measures could trigger a trade war that damages U.S. businesses. But the president does have supporters among some Senate Democrats from states where voters are concerned about the long-term loss of American manufacturing jobs.

“This welcome action is long overdue for shuttered steel plants across Ohio and steelworkers who live in fear that their jobs will be the next victims of Chinese cheating,” Senator Sherrod Brown, a Democrat from Ohio, said in a statement released after the plan was announced. “If we fail to stand up for steel jobs today, China will come after other jobs up and down the supply chain tomorrow.”

American labor unions have also broadly favored Trump’s proposed tariffs, saying they have been complaining for years that foreign countries frequently subsidize their own steel industries, putting American competitors at a disadvantage. 

Economists have been mostly critical of the plan, saying that overall it will hurt American manufacturers, some of whom may be targeted by trading partners for retaliatory sanction. They argue that the benefits to steel and aluminum workers are outweighed by job losses among Americans in other industries. 

Tariffs in focus in special election 

A test of how much the issue is resonating with American voters comes next week, when voters in Pennsylvania’s 18th congressional district, vote in a special election to fill a vacated seat. 

Many voters are looking to the president to fulfill his campaign promise of protecting manufacturing jobs in America’s heartland.

The race for the seat left vacant by Rep. Tim Murphy’s sex scandal is coming down to the wire between Republican candidate Rick Saccone and Democrat Conor Lamb.

Saccone’s campaign endorsed Trump’s tariff plan in a statement, saying “If other countries aren’t playing by the rules and tariffs are needed to protect steel and aluminum jobs in Southwestern Pennsylvania, Rick would support those measures.”Pennsylvania’s Democratic Senator Bob Casey also voiced his support for the president’s plan in a Facebook statement Thursday.

“I commend the President for announcing his intent to take action to protect our steelworkers from countries, like China, that cheat on trade. I have repeatedly called on this and previous Administrations to aggressively enforce our trade laws. For years, foreign countries have been dumping steel into our markets and costing our workers their jobs and suppressing their wages,” he wrote.

But Trump’s plan to impose the new tariffs prompted White House Chief Economic Advisor Gary Cohn to resign Tuesday.

McConnell, Ryan concerned

Senate Majority Leader Mitch McConnell and House Speaker Paul Ryan also expressed their concerns to the president, urging him to target the tariffs against specific countries to avoid a potential trade war.

U.S. Commerce Secretary Wilbur Ross told cable news network CNBC Wednesday the administration is not seeking a trade war. 

“We’re going to have very sensible relations with our allies,” said Ross. “We hope and we believe that at the end of the day, there will be a process of working with the other countries that are our friends.”

Trump dismissed concerns about a trade war during a joint press conference with the Swedish prime minister Tuesday.

“When we’re behind on every single country, trade wars aren’t so bad,” he told reporters. “In some cases we lose on trade plus we give them military where we’re subsidizing them tremendously. So, not only do we lose on trade, we lose on military.”

The administration is considering the new tariffs under a so-called “232 report.” It allows the president to impose trade quotes or tariffs if a probe finds imports threaten national security.

‘National security’

“It’s about our economy,” Vice President Mike Pence said of the need to enact tariffs, during a February meeting with lawmakers. “It’s about our national security.”

A March 7 Politico/Morning Consult poll of 2,000 registered voters, found that 65 percent of Republicans support the president’s plan.

White House Press Secretary Sarah Huckabee Sanders told reporters Wednesday the administration was still on pace to fully roll-out the tariffs at the end of this week.

Texas Voting Shows Energized Democrats, Determined Republicans

Democrats flexed their muscles in the first primary voting of the 2018 midterm congressional election cycle in Texas on Tuesday.  More than one million Democrats cast ballots in the Senate primary for U.S. Senate, the highest number since 1994, the last time Democrats were able to win a statewide race in a state that has remained firmly in the Republican column ever since.

Republicans also delivered a strong turnout showing on Tuesday.  More than 1.5 voters cast ballots in the Republican primaries, setting a new record for a non-presidential election.

The Texas primary voting marked the official beginning of the 2018 congressional election campaign when all 435 seats in the House of Representatives and about one-third of the 100 Senate seats will be on the ballot.  This year’s midterm election is fraught with huge political consequences for President Donald Trump, his Republican allies in Congress and opposition Democrats.

One trend already apparent from Texas is a huge jump in the number of women candidates, especially Democrats, who are running for Congress and state offices around the country this year.  “We feel like it is time for our voices to be heard and for us to have a seat at the table,” said Democratic congressional candidate Lizzie Pannill Fletcher, who will now face a runoff election in May for her party’s nomination.

Trump is focus

Democrats have made opposition to Trump a central theme in their bid to win back control of the House of Representatives and the Senate.

But Republican voters also turned out in force in the Texas primaries this week and many are standing by the president.  “He is doing a lot of good for this country and I hope they see that we have people of all ethnicities here supporting our president,” said Trump supporter Jennifer Drabbant.  She helped organize a pro-Trump rally this past weekend in Austin.

Trump is also warning his supporters not to be complacent this year.

“You know, you are sitting back, you’re watching television and saying, ‘Ah, maybe I don’t have to vote today.  We just won the presidency.’  And then we get clobbered and we can’t let that happen,” Trump told attendees at the recent Conservative Political Action Conference outside Washington.

Despite a politically rocky first year in office, Trump seems to have solidified Republicans behind him.  “The more strongly a voter identifies with the Republican Party, the more strongly he or she tends to approve of Donald Trump,” said Brookings Institution analyst Bill Galston.  “And so in a very real sense, I think the Republican Party is now the party of Trump.”

But Trump’s success with his base may have come at the expense of his overall approval rating, which remains historically low.  And that is a worry for many Republican candidates.  “As the president goes down, the trust and desire to vote for Republicans goes down, and that is a trend that is just quietly building against the Republicans,” said Quinnipiac pollster Tim Malloy in a Skype interview.  “They have a very rough midterm ahead.”

Bucking history

Even veteran Republicans like Republican National Committeeman Morton Blackwell of Virginia has noticed the energy among Democrats.  “There are signs that the Democrats as a movement rather than as a party are doing, I think, more than Republicans are doing to generate grass roots support.”

In another sign of what could be a Democratic surge this year, several Republicans have already decided to retire from Congress.  “There are many members who are retiring because of what the political landscape looks like,” said John Hudak of Brookings.  “There are many more targets among Republican-held seats than Democratic-held seats.”

Democratic victories in November could stall Trump’s agenda in Congress, setting the stage for a difficult two years for the president leading up to the next presidential election in 2020.

Republicans are hoping to confound history in this year’s elections.  The president’s party loses an average of 30 seats in a midterm election, and that number can go higher if the president’s approval rating is below 50 percent.  Of late, Trump’s approval has averaged about 40 percent.

Democrats need a gain of 24 seats to retake control of the House, and a pickup of two Senate seats to reclaim a majority in that body.

 

FBI Chief: Corporate Hack Victims Can Trust We Won’t Share Info

The FBI views companies hit by cyberattacks as victims and will not rush to share their information with other agencies investigating whether they failed to protect customer data, its chief said Wednesday. Christopher Wray, director of the Federal Bureau of Investigation, encouraged companies to promptly report when they are hacked to help the FBI investigate and prevent future data breaches.

He contrasted the FBI’s approach to that of other regulators and state authorities. Without naming other agencies, Wray referred to “less-enlightened enforcement agencies,” some of which he said take a more adversarial approach.

“We don’t view it as our responsibility when companies share information with us to turn around and share that information with some of those other agencies,” Wray said in response to an audience question at a cybersecurity conference at Boston College.

Amid a wave of high-profile data breaches at major corporations, the Federal Trade Commission (FTC) and state attorneys general are investigating how many of them secured consumer data before they were hacked.

Equifax Inc, which suffered a breach in 2017 that compromised the data of more than 147 million consumers, is fighting a lawsuit by Massachusetts Attorney General Maura Healey and faces probes by over 40 other states and the FTC.

Ride-sharing company Uber Technologies Inc is also facing investigations by state attorneys general after a data breach of 57 million accounts. Uber has been sued by the states of Washington and Pennsylvania, and like Equifax faces private class action lawsuits over the breach.

Speaking at the conference, Wray said the FBI needed to partner with the private sector to combat an evolving threat that has “turned into full-blown economic espionage and extremely lucrative cybercrime.”

Wray, who took over as director in August, said in order to prevent cyber threats, companies should approach the FBI as soon as they see signs of unauthorized access to their computer systems or malware infesting them.

“At the FBI, we treat victim companies as victims,” he said.

 

FOMO at SXSW: How to Conquer Fear of Missing Out in Austin

The South by Southwest festival in Austin, Texas, starts Friday. It’s grown from a grassroots event to a phenomenon that attracts 400,000 people.

For attendees, it can feel overwhelming. What’s worth your time? Where’s the buzz?

 

The latest AP Travel “Get Outta Here” podcast offers strategies for conquering FOMO (fear of missing out) at SXSW.

 

One approach is to let the nostalgia acts go – the former big-name bands promoting comebacks. Instead, pack your schedule with artists that have their best years ahead of them.

 

And you need a plan. You can’t just wing it. Be ready for long lines. But have some backups. Consider less-crowded venues outside downtown. Film screenings take place at theaters all over, and up-and-coming bands play a lot of shows.