'100 days of Trump admin show positive trend for Indo-US ties'

April 29, 2017

Washington, Apr 29: The first hundred days of the Trump administration have shown a positive trend for the Indo-US relationship and the upward trajectory of ties was expected to continue with bipartisan support for it, a former top Indian diplomat has said. On the eve of US President Donald Trump completing 100 days in office, former Indian Ambassador to the US Arun Singh said the Indo–US relationship during this period has broadly proceeded along expected lines.

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"As the engagement of the past hundred days has shown, India is clearly seen as an important interlocutor, with some convergence of interest, and potential for an even stronger mutually beneficial partnership," he told PTI. Beginning in the last phase of the Bush administration and almost all but two years of the Obama administration, Singh was a key player in driving the Indo-US relationship in the last one decade.

During the campaign, President Trump had spoken positively about India and expressed support for consolidating the Indo-US relationship further. Trump has spoken several times on phone with Prime Minister Modi, Singh said. India's National Security Adviser Ajit Doval and Foreign Secretary S Jaishankar have had consultations with senior US officials during their visits this year, he noted. US National Security Adviser Lt Gen H R McMaster recently visited India and also called on the Prime Minister.

Finance Minister Arun Jaitley met with US Treasury and Commerce Secretaries earlier this month in Washington, Singh said, referring to the high-level bilateral visits. "We can expect the positive trajectory to continue since there is now bipartisan support in the US for the relationship," Singh said. At the same time, he said acknowledged that there will "no doubt" be some areas of concern. "The eventual US decision on H-1B visas will have consequences for our technology workers and companies. Reduction in US tax rates, if realised, could draw capital into the US and away from other countries," he warned.

"Large US deficit, on account of tax reduction and infrastructure spending, could raise interest rates globally, which would also have consequences for India," the former Indian diplomat said. Responding to a question on Trump's foreign policy in the first 100 days of his administration, Singh, who retired from the foreign service late last year, said 100 days is perhaps too short, and certainly an artificial, 24/7 news cycle driven timeline, to assess the enduring and defining parameters of the foreign policy of any new administration.

"This initial phase is also usually marked by tension between the compulsions ofproposals made during the campaign aimed at rousing the base and getting out the vote, and the constraints subsequently imposed by limits of power and realisation of larger consequences," he said. These hundred days have thus seen the fulfilment of some campaign promises, reversals on others, and several critical issues still being evaluated, Singh noted. Trump was sworn in as the 45th President of the United States on January 20 and completes hundred days in office today.

"As promised in the campaign, President Trump has taken the US out of TPP (Trans Pacific Partnership), convinced Canada and Mexico to agree to a renegotiation of NAFTA (North America Free Trade Agreement), and initiated the process of potential action against steel and aluminium imports into the US. There has also been some focus on dealing with ISIS," Singh said.

On the other hand, unlike the pre-election threats, China has not been declared a currency manipulator, no additional tariffs have been imposed on imports from China, and Chinese President Xi Jinping was lavishly welcomed in April at what is now being described as the 'southern White House' at Mar-a- Lago in Florida, he noted.

"The two agreed to come up with a 100-day plan to address the major trade imbalance. China is also being described as an important interlocutor for addressing the North Korean nuclear and missile challenge," he said. On April 6, Trump authorised missile strikes on a Syrian airbase, using Presidential prerogative under the US Constitution.

"Earlier he had repeatedly called upon his predecessor not to do so, and to consult US Congress before any such action," Singh said. Relations with Russia have not been improved, he observed, adding that attempts to do so immediately have become controversial in view of the raging controversy about alleged Russian intervention in the US elections to benefit Trump.

"This will now be further complicated by the missile strikes in an area where Russian forces were also present, although Russia had been given some prior notice," he said. "President Trump has, similarly, now spoken of strongly supporting NATO, which he had earlier described as obsolete. He has now referred to sharing vital security interests with allies, while continuing to complain about alliance commitments, and asking allies to contribute more," the former Indian Ambassador said. During his illustrious foreign service career, Singh also served as India's ambassador to Israel and France apart from the US.

He said, on Afghanistan, policy options were being studied by the Trump administration. US National Security Adviser had recently visited Afghanistan, Pakistan and India for discussions, Singh said, noting that the outcome of the current more strident approach to North Korea remains to be seen.

"The Administration is also constrained at the moment because a large number of posts in the Departments of State and Defence, as well as in the National Security Council, still remain to be filled," he said.

The decision making process has so far been White House centric, and the attempt has been to project a robust, muscular approach based on America's strengths, including military, and less on projection of 'American values' or 'soft power', he opined.

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News Network
May 28,2020

Geneva, May 28: The global death toll from the novel coronavirus has risen over the past 24 hours by 5,581 to 349,095, the World Health Organization (WHO) said in its daily situation report.

The number of confirmed cases has increased by 84,314 to 5,488,825, the WHO said.

Most cases of infection are recorded in the Americas (North and South America) - 2,495,924, with 145,810 deaths. While Europe has reported 2,061,828 cases and 1,76,226 deaths so far.

As per WHO tally, the US has the highest number of cases in the world with 1,63,4010 infections.

The global health body declared the outbreak of the new coronavirus a pandemic on March 11.

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News Network
May 1,2020

Washington, May 1: The United States on Thursday recorded 29,625 new coronavirus cases, and 2,035 deaths in the last 24 hours, according to Johns Hopkins University.

The total number of coronavirus cases has reached 1,069,534 and the death toll stands at 63,001, CNN reported.

The novel coronavirus has infected more than 3.2 million people and killed at least 233,000 globally, according to Johns Hopkins University.

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May 6,2020

Washington, May 6: At a time when the coronavirus pandemic has squeezed them, multi-national companies in America are laying off workers while paying cash dividends to their shareholders. Thus making the workers bear the brunt of the sacrifices while the shareholders continue to collect.

The Washington Post said in one of its reports that five big American companies have paid a combined USD 700 million to shareholders while cutting jobs, closing plants and leaving thousands of their workers filing for unemployment benefits.

Since the pandemic was declared an emergency, Caterpillar has suspended operations at two plants and a foundry, Levi Strauss has closed stores, and toolmaker Stanley Black & Decker has been planning layoffs and furloughs.

Steelcase, an office furniture manufacturer, and World Wrestling Entertainment have also shed employees.

Executives of those companies told the Post that the layoffs support the long-term health of their companies, and often the executives are giving up a piece of their salaries. Furloughed workers can apply for unemployment benefits.

But distributing millions of dollars to shareholders while leaving many workers without a paycheck is unfair, critics argue, and belies the repeated statements from executives about their concern for employees' welfare during the coronavirus crisis.

Caterpillar, for example, announced a USD 500 million distribution to shareholders April 8, about two weeks after indicating that operations at some plants would stop. The company however declined to divulge how many workers are affected.

"We are taking a variety of actions globally, but we aren't going to discuss the number of impacted people," spokeswoman of the company, Kate Kenny, said in a reply to an email by the Post.

This spate of dividends is also likely to revive long-standing debates about economic rewards.

"There are no hard-and-fast rules about this," said Amy Borrus, deputy director of the Council of Institutional Investors, a group that argues for shareholder rights and represents pension funds and other long-term investors.

Many large US companies choose to issue a regular, quarterly dividend to shareholders, often increasing it, and they boast about these payments because they help keep the share price higher than it might otherwise be. Those companies might be reluctant to announce that they are cutting or suspending their dividend during a crisis, Borrus was further quoted as saying.

But "companies have to be mindful of the optics of paying dividends if they're laying off thousands of workers," she added.

On March 26, Caterpillar had announced that because of the pandemic, it was "temporarily suspending operations at certain facilities." Two plants, in East Peoria, Ill., and Lafayette, Ind., were coming to a halt, as well as a foundry in Mapleton, Ill., according to news reports.

"We are taking a variety of actions at our global facilities to reduce production due to weaker customer demand, potential supply constraints and the spread of the covid-19 pandemic and related government actions," Kenny said via email.

"These actions include temporary facility shutdowns, indefinite or temporary layoffs," she added.

Similarly, Levi Strauss announced April 7 that the company would stop paying store workers, and about 4,000 are now on furlough. On the same day, the company announced that it was returning USD 32 million to shareholders.

"As this human and economic tragedy unfolds globally over the coming months, we are taking swift and decisive action that will ensure we remain a winner in our industry," Chip Bergh, president and chief executive of the company, also told the Post.

Stanley Black & Decker announced on April 2 that it was planning furloughs and layoffs because of the pandemic. Two weeks later, it issued a dividend to shareholders of about USD 106 million.

The notion that a company's primary purpose is to serve shareholders gained prominence in the 1980s but has come under attack in recent years, even from business executives, the newspaper reported.

Corporate decisions to suspend dividends and buybacks are complex, however, and it is difficult to know whether these suspensions of dividend and buyback programs were motivated by a desire to conserve cash in anticipation of bad times, and how much they are prompted by a sense of obligation to employees.

Over recent decades, the mandate to "maximize shareholder value" has become orthodoxy, for many, and it is often unclear what motivates companies to pare dividends or buybacks for shareholders, said William Lazonick, an emeritus economics professor at the University of Massachusetts at Lowell, who has been one of the leading critics of companies that distribute cash to shareholders through stock buybacks and dividends rather than reinvesting the profits into employees, innovation and production.

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