Trump says he will withdraw from NAFTA, pressuring Congress to approve new trade deal

President Donald Trump said he intends to formally notify Canada and Mexico of his intention to withdraw from the nearly 25-year-old NAFTA agreement in six months. The move would put pressure on Congress to approve his new trade deal with the two U.S. neighbors.

“I’ll be terminating it within a relatively short period of time. We get rid of NAFTA. It’s been a disaster for the United States,” Trump said on board Air Force One after departing Buenos Aires, where he signed the U.S.-Mexico-Canada Agreement with the leaders of those two countries.

“And so Congress will have a choice of the USMCA or pre-NAFTA, which worked very well,” Trump added.

Trump’s comments confirmed what many have long suspected — that he would use the act of withdrawing from NAFTA as a cudgel to force Congress into passing the new deal.

But it also could be seen as an admission that the new agreement is not popular enough to be approved on its own merits, so Trump has to use the threat of disrupting the entire North American economy to round up the votes in Congress to get the deal past the finish line.

While a number of business groups do support the new deal because it contains new provisions on digital trade and strengthens intellectual property rights protections, others are simply relieved that it would keep much of the original agreement in place.

House Democrats, who are likely to hold the key to whether the new agreement is approved, have complained that labor and environmental provisions are not strong enough and have signaled they would like those concerns addressed as part of the implementing legislation.

Trump’s untested move would send the administration and Congress into a legal wilderness. The NAFTA deal includes a provision that allows a withdrawal after providing a six-month notice, but opinions differ on whether the president can act on his own.

Lawmakers passed legislation to implement the original deal in 1993. It’s uncertain whether a withdrawal initiated by the president would repeal the law that put the deal into force.

The president needs to take a look at the Constitution — it gives Congress authority over trade,” Sen. Ron Wyden (D-Ore.) said in September. “The president cannot pull America out of NAFTA without Congress’s permission.”

A 2016 report from the Congressional Research Service seems to be back up that position.

“It could be argued that because international trade is an area of shared constitutional authority, Congress must have a role in any decision by the United States to terminate or withdraw from an FTA,” CRS said.

Others argue Congress ceded authority to the executive branch decades ago that would allow Trump to terminate trade deals. They say Section 125 of the Trade Act of 1974 provides the underlying legal basis for a president to terminate or withdraw from an agreement and revoke any tariff reductions.

[Politico]

Donald Trump cancels G-20 news conference “out of respect” for George H.W. Bush

President Trump canceled a planned press conference at the G-20 summit in Argentina on Saturday, citing respect for former President George H.W. Bush, who died on Friday at the age of 94. Mr. Trump’s planned unilateral news conference for Saturday afternoon was expected to cap an eventful trip, amid domestic legal concerns and troubled international relations.

“I was very much looking forward to having a press conference just prior to leaving Argentina because we have had such great success in our dealing with various countries and their leaders at the G20,” Mr. Trump said in the first of two tweets. “However, out of respect for the Bush Family and former President George H.W. Bush we will wait until after the funeral to have a press conference.”

Mr. Trump and the first lady will attend Bush’s funeral at the National Cathedral in Washington D.C. next week.

The press availability was supposed to occur after Mr. Trump’s meeting with German Chancellor Angela Merkel. He is meeting with Chinese President Xi Jinping later in the day.

Mr. Trump was expected to be asked about his relationship with Russian President Vladimir Putin, amid new developments in the special counsel investigation into Russian interference in the 2016 election.

Mr. Trump canceled his meeting with Putin, which was intended for Saturday morning, on Thursday via Twitter, citing Russian aggression against Ukraine. His announcement came shortly after Michael Cohen, Mr. Trump’s former private lawyer, pleaded guilty to lying to Congress as part of the special counsel investigation.

Press Secretary Sarah Huckabee Sanders said in a statement that Mr. Trump’s decision to cancel the news conference was in no way influenced by Cohen’s plea deal.

“The Russian Witch Hunt Hoax, which is hopefully now nearing an end, is doing very well. Unfortunately, it probably does undermine our relationship with Russia. However, the reason for our canceled meeting is Ukraine. Hopefully, that will be resolved soon so that productive conversations can begin,” Sanders said.

[CBS News]

President Trump Plugs Hannity’s Show on Twitter: ‘Enjoy!’

After a big day at the G20, President Donald Trump went back to tweeting about domestic concerns tonight.

As Sean Hannity kicked off his show, Trump tweeted out to people to tune in and watch:

Hannity’s show opened tonight with another lengthy monologue on the Mueller “witch hunt.” At one point he called it “political persecution.”

[Mediaite]

Trump calls Russia deal ‘legal and cool’ as Mueller inquiry gathers momentum

Donald Trump, drawn deeper into an investigation into Russian meddling in US elections, has defended his pursuit of a business deal in Moscow at the same time he was running for president as “very legal & very cool”.

Trump appeared rattled this week after Michael Cohen, his former personal lawyer, confessed that he lied to Congress about a Russian property contract he pursued on his boss’s behalf during the Republican primary campaign in 2016.

In a series of tweets from Buenos Aires, where he is attending the G20 summit, Trump recalled “happily living my life” as a property developer before running for president after seeing the “Country going in the wrong direction (to put it mildly)”.

“Against all odds,” he continued, “I decide to run for President & continue to run my business-very legal & very cool, talked about it on the campaign trail. Lightly looked at doing a building somewhere in Russia. Put up zero money, zero guarantees and didn’t do the project. Witch Hunt!”

The president frequently uses the phrase “witch hunt” to belittle Mueller’s investigation, which began in May last year and seems to have gathered momentum in recent days.

Trump repeatedly said during the election campaign that he had no ties to Russia. In July 2016 he tweeted: “For the record, I have ZERO investments in Russia.”

But Cohen, who had already pleaded guilty to campaign finance violations and other financial crimes in a separate case brought by federal prosecutors in New York, on Thursday said he had lied to Congress about a proposed Trump Tower skyscraper in Moscow.

Cohen told two congressional committees last year that the talks about the tower project ended in January 2016, a lie he said was an act of loyalty to Trump. In fact, the negotiations continued until June that year, after Trump had secured the Republican nomination, Cohen admitted.

Cohen told Mueller’s prosecutors that he briefed Trump on the project more than three times. He also briefed members of Trump’s family, had direct contact with Kremlin representatives and considered traveling to Moscow to discuss it.

Trump condemned Cohen after the plea deal was announced, calling him “a weak person” and a liar. As he departed for Buenos Aires, he acknowledged his business dealings with Russia, telling reporters: “It doesn’t matter because I was allowed to do whatever I wanted during the campaign.”

Mueller’s team has brought charges or secured convictions against more than two dozen Russian nationals and entities, as well as several of Trump’s associates, but now the president himself is front and centre. Experts suggested that the walls are closing in.

Jeffrey Toobin, a legal analyst, told CNN: “Today is the first day I actually thought Donald Trump might not finish his term in office. I think this thing is enormous.” An opinion column in the Washington Post was headlined: “Trump should be freaked out right about now.”

Democrats have joined the criticism. Senator Chris Murphy tweeted: “This whole thing has likely been a scam from the start. It’s not some wild coincidence that the Administration’s foreign policy is most inexplicable toward the two countries – Russia and Saudi Arabia – where the Trump family pursues the most business.”

But the White House remains defiant. Trump’s lawyer, Rudy Giuliani, issued a statement that said: “BREAKING NEWS ALERT: Michael Cohen is a liar. It’s no surprise that Cohen lied to Congress. He’s a proven liar who is doing everything he can to get out of a long-term prison sentence for serious crimes of bank and tax fraud that had nothing to do with the Trump Organization.”

He added: “With regard to the hotel proposal in Moscow, the President has been completely open and transparent.”

Trump still owns his private company but had said he would hand over day-to-day dealings to his sons Donald Trump Jr and Eric Trump when he took office in January 2017. He has repeatedly blurred the distinction between business and public office that has been observed by past presidents.

His meeting with the Russian president, Vladimir Putin, in Helsinki earlier this year drew fierce criticism after Trump appeared to side with Moscow’s denials over the findings of his own intelligence agencies. After Cohen’s plea, Trump cancelled his planned meeting with Putin at the G20, citing the Ukraine crisis. Russia’s foreign ministry on Friday said it believed the meeting was canceled over “the US domestic political situation”.

The Cohen confession comes as Mueller’s investigation gathers pace. Trump has provided responses to written questions while the special counsel has accused his former campaign chairman, Paul Manafort, of lying after his own guilty plea.

On Friday, Judge Amy Berman Jackson of the US District Court for the District of Columbia asked Mueller’s team to submit a report next week outlining how they believe Manafort breached a plea agreement struck shortly before he was to have gone on trial on charges including money laundering, failing to register as a lobbyist for the Ukraine government and conspiracy to defraud the US.

The judge set 5 March as a tentative date for sentencing of Manafort, a veteran Washington consultant convicted of financial crimes. Prosecutors also left open the possibility that new charges could be filed against Manafort for lying. “That determination has not been made,” prosecutor Andrew Weissmann said.

In August, a jury in Virginia had convicted Manafort of bank and tax fraud in a separate case. He is scheduled to be sentenced on 8 February for that conviction.

Mueller continues to investigate whether campaign associates had advance knowledge of hacked emails becoming public. Another potential target, Jerome Corsi, has rejected a plea offer and faces a possible indictment.

[The Guardian]

A new warning to federal employees: No talk of ‘Resistance’ or opinions about impeachment at work

The federal government has issued a new guidance for the political activity of federal government workers, warning that weighing in on impeachment or talking about “the Resistance” may constitute prohibited activity, in what some ethics advocates say could be an opening to limit dissent.

The Office of Special Counsel is charged with enforcing the Hatch Act, which prohibits federal employees from engaging in political activity in the course of their work. The office, not to be confused with special counsel Robert Mueller III’s investigation, is run by Henry Kerner, whom President Donald Trump nominated to the post.

The unsigned “Guidance Regarding Political Activity,” which was issued on Tuesday, takes the form of a question and answer and seeks to clarify the types of actions and rhetoric considered political activity and therefore prohibited at work.

In a nod to the current climate, it stipulated that advocating for or against impeachment of a candidate for federal office would be considered political because of its implications for future elections and that any use of terms like “resistance” and “#resist” would be construed as political activity.

But some government watchdogs said they feared the guidelines could have wide-ranging effects on the nearly 3 million federal government employees in the United States, as well as other state and local employees who work with federally funded programs. The ethics nonprofit American Oversight said the guidance raised “significant concerns” in a letter it sent to the office on Thursday, urging it to withdraw the memo.

“OSC’s position on impeachment advocacy or opinions goes too far,” the group’s executive director, Austin Evers, wrote in the letter, adding that “certainly there is a difference between advocating that an official should (or should not) be elected and advocating that an official did (or did not) commit treason or high crimes and misdemeanors under the Constitution.”

In particular, Evers expressed concern that the guidelines could constrain whistleblowers.

“As OSC knows well, it is critically important to ensure public employees are comfortable raising concerns about waste, fraud, or abuse in the government,” he wrote. “Impeachment is primarily a remedy for severe misconduct. If public employees are aware of conduct that could be impeachable but fear civil or criminal liability under the Hatch Act for saying so, they may be reluctant to approach OSA, inspectors general, or Congress.”

Nick Schwellenbach, the director of investigations at the Project on Government Oversight and an employee of the OSC from 2014 to 2017, said he felt the guidance likely crossed a legal line, saying the Hatch Act was meant to be narrowly focused on political activities around parties and candidates.

“The way OSC has traditionally balanced its enforcement of that statute with the First Amendment is [focused on] supporting a candidate or political party for election. I think once you start talking about more general political views, you’re starting to infringe upon people’s rights,” he said. “This one, I think, goes too far for them. It runs the risk of turning the OSC into an Orwellian enforcer inside the federal workforce.”

Schwellenbach said he believed the guidance could be successfully challenged in court on its constitutionality.

Evers also worried that the restrictions could be used to hem in employees abilities to weigh in on policy discussions.

“If resistance terminology can become inherently ‘political activity,’ so too could statements like ‘Build the Wall’ or ‘Protect our Care,’ which reflect policy positions that nonetheless are tied to the president’s campaign positions,” he wrote. “In addition, conflating resistance terminology with electoral advocacy opens the door to public employees being retaliated against for their policy positions or opinions. … If using resistance terminology is categorically barred under OSC’s Hatch Act interpretation, it could create new, insidious tools for appointees to target public employees.”

The Office of Special Counsel did not return an immediate request for comment.

[Chicago Tribune]

Trump’s new Russia deal defense: Just business as usual

President Donald Trump’s story about his business pursuits in Russia has shifted again.

As a candidate and afterward, Trump said repeatedly that he didn’t have any business dealings with Russia.

“I have no dealings with Russia,” he said shortly before his inauguration in 2017. “I have no deals that could happen in Russia, because we’ve stayed away.”

The truth was more complicated than Trump suggested: He had long relied on Russian investors for projects in other parts of the world, and long sought to develop real estate in Russia.

And now, with former Trump fixer Michael Cohen having pleaded guilty to lying to Congress about efforts to develop a Trump Tower project in Moscow, the president has added a new layer to his take, arguing that it would be perfectly fine for him to have pursued the Oval Office and a high-end business opportunity in Russia at the same time.

“We were thinking about building a building,” he told reporters at the White House on Thursday. “I decided ultimately not to do it. There would have been nothing wrong if I did do it.”

Prosecutors say Cohen admitted that he lied to Congress by saying that the Moscow Trump Tower project was nixed in January 2016 — before the Iowa caucuses — even though he continued to pursue it on Trump’s behalf as late as June 2016. That’s the same month that top Trump advisers took a meeting at Trump Tower in Manhattan with Russian emissaries who had promised to provide political dirt on then-presumed Democratic nominee Hillary Clinton.

There’s no law barring a candidate who doesn’t already hold office from continuing to do business during a campaign — and no requirement to disclose such activity — but veteran lawyers say Trump could have a problem if discussions over the Trump Tower project were tied to potential actions once he won the presidency.

“If additional facts show that the negotiations were part of a broader quid pro quo with Russians/oligarchs (Trump gets tower in exchange for some goodies once he is POTUS), then we are potentially into federal criminal conspiracy and campaign-law violations,” said Kim Wehle, a law professor at the University of Baltimore and former member of independent counsel Kenneth Starr’s Whitewater investigation team, in an email to NBC News.

And Trump’s evasiveness on the question of whether he was seeking business in Moscow during the election raises the question of whether he was worried about political or legal exposure, according to Joyce White Vance, a former federal prosecutor and MSNBC contributor.

“Lying about it certainly raises the implication that Trump himself believed that it was somehow untoward for a candidate to have business ventures with Russia,” she said. “And there could be a variety of legal problems here — tax, emoluments, what have you — that could come back to haunt the president.”

[News]

Trump suggests, without evidence, that Mueller is encouraging witnesses to lie in Russia probe

Donald Trump suggested without evidence on Wednesday that special counsel Robert Mueller and his team are bullying witnesses into lying about collusion in order to be spared punishment, marking the president’s latest attempt to discredit the Russia probe.

The president on Wednesday complained in a tweet that “While the disgusting Fake News is doing everything within their power not to report it that way, at least 3 major players are intimating that the Angry Mueller Gang of Dems is viciously telling witnesses to lie about facts & they will get relief.”

Though Trump did not specify to whom he was referring, Jerome Corsi, an associate of longtime Trump adviser Roger Stone, has been in the news in recent days for his refusal to agree to a plea deal with Mueller’s investigators.

Mueller’s team has investigated Corsi, who is known for his right-wing birther conspiracies, for possibly acting as a conduit between Stone and WikiLeaks founder Julian Assange. In a late-in-the-campaign bombshell, Assange published the emails of Clinton campaign chairman John Podesta that were determined to be stolen by Russian hackers.

Corsi said the special counsel’s team sought to strike a deal on one count of perjury, but Corsi has insisted that he hasn’t lied to investigators and suggested that Mueller’s prosecutors were attempting to coerce him into a plea deal.

Another major player in the Russia investigation, former Trump campaign chairman Paul Manafort, saw his plea deal put in danger this week after Mueller’s team accused him of lying to investigators. Manafort had entered into the deal and agreed to become a government witness following his first trial, but his subsequent lack of cooperation with investigators has renewed murmurs of a possible pardon from Trump.

There is no hard evidence that Trump’s claims are accurate and he neglected to provide proof of his accusations. But he invoked in his tweet the time period when Americans were falsely accused and investigated without evidence of being communists, calling this moment “our Joseph McCarthy Era!”

[Politico]

Trump Shares Image Calling For Mueller and Attorney General Rosenstein to Be Tried For ‘Treason’

President Donald Trump went on an extensive tweetstorm on Wednesday, which included retweeting a meme calling for his political opponents — and current attorney general — to be thrown in jail.

 

As you can see, the image shows former president Barack Obama, former FBI Director James Comey, the Clinton family, and several other Trump enemies behind bars after supposedly being tried for “treason.” Interestingly enough, the image also shows special counsel Robert Mueller and Deputy Attorney General Rod Rosenstein in prison as well.

Trump has ripped into Mueller several times this week, and today, he compared the Russia special counsel investigation to the Joe McCarthy-era Red Scare.

[Mediaite]

Trump floats new auto tariffs in response to GM layoffs

President Trump on Wednesday hinted he may support new tariffs on auto imports as his latest response to General Motors’ decision to shutter U.S. factories and lay off workers.

In a series of tweets, Trump argued that a longstanding 25 percent tariff on light trucks has boosted U.S. auto manufacturers and that the same approach could work for cars.

”If we did that with cars coming in, many more cars would be built here and G.M. would not be closing their plants in Ohio, Michigan & Maryland. Get smart Congress,” Trump wrote.

The president said major auto exporting countries “have taken advantage of the U.S. for decades” and warned “that the president has great power on this issue.”

”Because of the G.M. event, it is being studied now!” he wrote.

The comments follow a report in the German media that Trump is considering slapping a 25 percent tariff on car imports from all countries aside from Mexico and Canada. Trump previously decided to put off auto tariffs on Europe in exchange for the European Union agreeing to purchase more American soybeans.

General Motors’ announcement this week angered Trump, who views the U.S. economy as a reflection of his presidency. The plant closures and layoffs, combined with a sputtering stock market and rising interests rates, appear to have sparked fears of an economic downturn and prompted Trump to lash out.

Trump blamed Federal Reserve Chairman Jerome Powell for the stock-market slide and the GM layoffs, citing his decision to raise interest rates. The president said he also spoke to GM CEO Mary Barra to relay his unhappiness with the decision and threatened to end GM’s federal tax credit for electric vehicles.

GM has said slow demand for cars in the U.S. market, combined with tariffs on Chinese steel and aluminum, have hurt sales and forced the company to shutter plants in Lordstown, Ohio; Detroit-Hamtramck, Mich.; and White Marsh, Md.

The U.S. imposed a 25 percent tariff on imported light trucks in 1964 after France and West Germany imposed tariffs on U.S. chicken, hence the name ”chicken tax.”

[The Hill]

Trump Says Pardon for Paul Manafort is ‘Not Off the Table’

President Donald Trump declined in a new interview to rule out the possibility that he could pardon Paul Manafort, his former campaign chairman.

“It was never discussed, but I wouldn’t take it off the table. Why would I take it off the table?” Trump told the New York Post.

The President’s comments come following special counsel Robert Mueller’s accusation that Manafort violated his plea agreement and lied to Mueller’s team after being found guilty on eight counts of financial crimes in August.

[CNN]

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