Trump throws G-7 into disarray with tweets after he leaves

Agencies
June 10, 2018

La Malbaiel, Jun 10: ashing out at the longtime U.S. ally and northern neighbor, President Donald Trump tweeted that Canadian Prime Minister Justin Trudeau is “dishonest & weak” and that the U.S. was pulling back its endorsement of the G-7 summit’s communique in part because of what he called Mr. Trudeau’s “false statements” at a news conference.

In an extraordinary set of tweets aboard Air Force One, on its way to Singapore for Tuesday’s summit with North Korea’s Kim Jong Un, Mr. Trump threw the G-7 summit into disarray on Saturday and threatened to escalate his trade war just as Canada released the G-7’s official communique. Its statement took a generally positive view of the leaders’ positions on trade matters while acknowledging tensions with the U.S.

A few hours earlier, Mr. Trudeau had told reporters that all seven leaders had come together to sign the joint declaration.

Mr. Trump tweeted- “Based on Justin’s false statements at his news conference, and the fact that Canada is charging massive Tariffs to our U.S. farmers, workers and companies, I have instructed our U.S. Reps not to endorse the Communique as we look at Tariffs on automobiles flooding the U.S. Market!”

In a statement, a spokesman for Mr. Trudeau did not address Mr. Trump’s insults. “We are focused on everything we accomplished here at the “G7 summit,” spokesman Cameron Ahmad said. “The Prime Minister said nothing he hasn’t said before both in public, and in private conversations with the President.”

Mr. Trump’s personal attack on Mr. Trudeau is unprecedented in the countries’ longstanding relationship.

As he exited the world summit, Mr. Trump had delivered a stark warning to America’s trading partners not to counter his decision to impose tariffs on steel and aluminum imports. But the summit host, Mr. Trudeau, whose nation was among those singled out by Mr. Trump, pushed back and said he would not hesitate to retaliate against his neighbor to the south.

“If they retaliate, they’re making a mistake,” Mr. Trump declared before departing the annual Group of Seven summit, which includes Britain, Italy, France, Germany and Japan.

Mr. Trudeau later said he reiterated to Mr. Trump that tariffs will harm industries and workers on both sides of the U.S.-Canada border. He said unleashing retaliatory measures “is not something I relish doing” but that he wouldn’t hesitate to do so because “I will always protect Canadian workers and Canadian interests.”

“As Canadians, we are polite, we’re reasonable, but also we will not be pushed around,” Mr. Trudeau said.

Despite the sharp differences, Mr. Trudeau said all seven leaders had come together to sign a joint declaration despite having “some strong, firm conversations on trade, and specifically on American tariffs.”

Mr. Trump himself insisted relationships with allies were a “ten” just before he left the summit. But Mr. Trump’s abbreviated stay at this Quebec resort saw him continuing the same type of tough talk on trade as when he departed the White House, when he accused Mr. Trudeau of being “indignant.”

The summit came during an ongoing trade dispute with China and served as a precursor to the unprecedented meeting with Mr. Kim, in which Mr. Trump has sought to extend a hand to the Asian autocrat who has long bedeviled the international order.

“His message from Quebec to Singapore is that he is going to meld the industrial democracies to his will and bring back Russia,” said Steve Bannon, Mr. Trump’s former campaign and White House adviser. Mr. Bannon said China is “now on notice that Trump will not back down from even allies’ complaints in his goal of ‘America First.’”

Speaking on Saturday during a rare solo news conference, Mr. Trump said he pressed for the G-7 countries to eliminate all tariffs, trade barriers and subsidies in their trading practices. He reiterated his longstanding view that the U.S. has been taken advantage of in global trade, adding, “We’re like the piggy bank that everybody’s robbing, and that ends.”

Mr. Trump cited progress on reaching an agreement on the North American Free Trade Agreement with Canada and Mexico, saying the final outcome would lead either to an improved trade deal or separate pacts with the two U.S. neighbors. Mr. Trump said he was discussing two types of sunset provisions in which any of the countries could leave the deal. A Canadian official said the leaders discussed accelerating the pace of the talks.

But Mr. Trudeau objected strenuously to a sunset clause of any length. “If you put an expiry date on any trade deal, that’s not a trade deal. That’s our unequivocal position,” he said.

Prior to his arrival on Friday, the president injected additional controversy by suggesting that the G-7 offer a seat at the table to Russia, which was ousted from the group in 2014. Mr. Trump said on Saturday that re-admitting Russia to the elite club would be “an asset,” telling reporters, “We’re looking for peace in the world.” Mr. Trump said he had not spoken with Russian President Vladimir Putin in a while.

Discussing Russia’s absence, Mr. Trump made the vague comment that “something happened a while ago where Russia is no longer in. I think it would be an asset to have Russia back in.” In fact, Russia was expelled from what was then the G-8 after it invaded and annexed Crimea and for its support for pro-Russia separatists in Ukraine.

Mr. Trump placed the blame on his predecessor, President Barack Obama. “He was the one who let Crimea get away that was during his administration,” he said, adding- “Obama can say all he wants, but he allowed Russia to take Crimea. I may have had a much different attitude.”

It was not clear what Mr. Trump thought Mr. Obama should have done to prevent Mr. Putin from sending in Russian troops to seize the Black Sea peninsula from neighboring Ukraine.

Mr. Trudeau said he told Mr. Trump that readmitting Russia “is not something that we are even remotely looking at at this time.”

Mr. Trump departed the annual G-7 gathering after arriving late to a breakfast on gender equity and skipping later sessions on climate change, clean energy and ocean protection.

Mr. Trump’s recent moves, building on 18 months of nationalist policy-making, left him out of step with the globally minded organization and prompted speculation that the group could fracture into something more like the “G-6 plus one.”

A key question was whether the seven countries could agree on a joint statement of priorities at the conclusion of the meeting. Mr. Macron said Thursday on Twitter, “The American President may not mind being isolated, but neither do we mind signing a 6 country agreement if need be.” Mr. Trump said on Friday he thinks the group will produce a joint statement.

In public, Mr. Trump bantered easily with his fellow leaders, but the meeting came at a tense moment in the relationships, with allies steaming over Mr. Trump’s new tariffs on imported steel and aluminum from Canada, Mexico and the European Union.

French President Emmanuel Macron said he and Mr. Trump had “open and direct” discussions, adding that he thought there was a way to get a “win-win” outcome on trade. Details remained unclear.

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Agencies
June 7,2020

Moscow, Jun 7: OPEC, Russia and allies agreed on Saturday to extend record oil production cuts until the end of July, prolonging a deal that has helped crude prices double in the past two months by withdrawing almost 10% of global supplies from the market.

The group, known as OPEC+, also demanded countries such as Nigeria and Iraq, which exceeded production quotas in May and June, compensate with extra cuts in July to September.

OPEC+ had initially agreed in April that it would cut supply by 9.7 million barrels per day (bpd) during May-June to prop up prices that collapsed due to the coronavirus crisis. Those cuts were due to taper to 7.7 million bpd from July to December.

“Demand is returning as big oil-consuming economies emerge from pandemic lockdown. But we are not out of the woods yet and challenges ahead remain,” Saudi Energy Minister Prince Abdulaziz bin Salman told the video conference of OPEC+ ministers.

Benchmark Brent crude climbed to a three-month high on Friday above $42 a barrel, after diving below $20 in April. Prices still remain a third lower than at the end of 2019.

“Prices can be expected to be strong from Monday, keeping their $40 plus levels,” said Bjornar Tonhaugen from Rystad Energy.

Saudi Arabia, OPEC’s de facto leader, and Russia have to perform a balancing act of pushing up oil prices to meet their budget needs while not driving them much above $50 a barrel to avoid encouraging a resurgence of rival U.S. shale production.

It was not immediately clear whether Saudi Arabia, the United Arab Emirates and Kuwait would extend beyond June their additional, voluntary cuts of 1.18 million bpd, which are not part of the deal.

BULGING INVENTORIES

The April deal was agreed under pressure from U.S. President Donald Trump, who wants to avoid U.S. oil industry bankruptcies.

Trump, who previously threatened to pull U.S. troops out of Saudi Arabia if Riyadh did not act, spoke to the Russian and Saudi leaders before Saturday’s talks, saying he was happy with the price recovery.

While oil prices have partially recovered, they are still well below the costs of most U.S. shale producers. Shutdowns, layoffs and cost cutting continue across the United States.

“I applaud OPEC-plus for reaching an important agreement today which comes at a pivotal time as oil demand continues to recover and economies reopen around the world,” U.S. Energy Secretary Dan Brouillette wrote on Twitter after the extension.

As global lockdowns ease, oil demand is expected to exceed supply sometime in July but OPEC has yet to clear 1 billion barrels of excess oil inventories accumulated since March.

Rystad’s Tonhaugen said Saturday’s decisions would help OPEC reduce inventories at a rate of 3 million to 4 million bpd in July-August. “The quicker stocks fall, the higher prices will get,” he said.

Nigeria’s petroleum ministry said Abuja backed the idea of compensating for its excessive output in May and June.

Iraq, with one of the worst compliance rates in May, agreed to extra cuts although it was not clear how Baghdad would reach agreement with oil majors on curbing Iraqi output.

Iraq produced 520,000 bpd above its quota in May, while overproduction by Nigeria was 120,000 bpd, Angola’s was 130,000 bpd, Kazakhstan’s was 180,000 bpd and Russia’s was 100,000 bpd, OPEC+ data showed.

OPEC+’s joint ministerial monitoring committee, known as the JMMC, will meet monthly until December to review the market, compliance and recommend levels of cuts. JMMC’s next meeting is scheduled for June 18.

OPEC and OPEC+ will hold their next scheduled meetings on Nov. 30-Dec. 1.

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News Network
March 21,2020

United Nations, Mar 21: The UN has called on all nations to stop the use of capital punishment or put a moratorium on it, a day after four men convicted of gang-raping and murdering a 23-year-old woman were hanged in India.

Seven years after the rape and murder of the young medical student, who came to be known as 'Nirbhaya', sent shock waves across the country, the four convicts - Mukesh Singh (32), Pawan Gupta (25), Vinay Sharma (26) and Akshay Kumar Singh (31) - were hanged to death on Friday at 5.30 am in New Delhi's Tihar Jail.

Responding to the hanging, UN Secretary-General Antonio Guterres' spokesperson Stephane Dujarric said the world organisation calls on all nations to stop the use of capital punishment or put a moratorium on it.

"Our position has been clear, is that we call on all States to halt the use of capital punishment or at least put a moratorium on this," Dujarric said at the daily press briefing on Friday.

The horrific gang-rape and murder of the physiotherapy intern on December 16, 2012, who came to be known as Nirbhaya, the fearless, had seared the nation's soul and triggered countrywide outrage.

This was the first time that four men have been hanged together in Tihar Jail, South Asia's largest prison complex that houses more than 16,000 inmates.

The executions were carried out after the men exhausted every possible legal avenue to escape the gallows. Their desperate attempts only postponed the inevitable by less than two months after the first date of execution was set for January 22.

The execution of the four convicts brings the curtains down on the case that shook not just India but also the world with the details of its brutality The widespread protests subsequently paved the way for a change in India's rape laws.

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Agencies
January 9,2020

The World Bank says that a lack of credit and drop in private consumption have led to a gloomy growth outlook for India with a steep cut in growth rate for the current fiscal year and only a modest gain projected for the next year.

India's growth rate is forecast to be only 5 per cent for the current fiscal year, weighed down by a growth of only 4.5 per cent in the July-September quarter, according to the 2020 Global Economic Prospects report released on Wednesday.

"In India, [economic] activity was constrained by insufficient credit availability, as well as by subdued private consumption," the Bank said.

The growth rate is forecast by the Bank to pick up to 5.8 per cent in the next fiscal year and to 6.1 per cent in 2021-22.

India's growth rate was 6.8 per cent in 2018-19.

The 5 per cent growth rate projection for the current financial year is a sharp cut of 2.5 per cent from the 7.5 per cent forecast made by the Bank in January last year, toppling it from the rank of the world's fastest growing economy.

India's performance follows a global trend of lowered growth weighed down by developed economies.

The report estimated world economic growth rate to be only 2.4 per cent last year and forecast it to edge up 0.1 per cent to 2.5 per cent in the current year.

Even with the lower growth rate of 5 per cent in the current fiscal year and 5.8 per cent forecast for the next, India holds the second rank among large economies, behind only China with an estimated growth rate of 6.1 per cent for 2019 and 5.9 per cent this year.

The report blamed "weak confidence, liquidity issues in the financial sector" and "weakness in credit from non-bank financial companies" for India's slowdown.

The Bank predicated India's recovery to 5.8 per cent in the coming financial year for India but "on the monetary policy stance remaining accommodative" and the assumption that "the stimulative fiscal and structural measures already taken will begin to pay off."

It also warned that sharper-than-expected slowdown in major external markets such as United States and Europe, would affect South Asia through trade, financial, and confidence channels, especially for countries with strong trade links to these economies."

The Bank said that the growth of advanced economies was 1.6 per cent last year and "is anticipated to slip to 1.4 per cent in 2020 in part due to continued softness in manufacturing."

In contrast the growth of emerging market and developing countries is expected to accelerate from 3.5 per cent last year to 4.1 per cent this year, the report said.

In South Asia, Bangladesh is estimated to have the highest growth rate of 7.2 per cent in the current fiscal year, although down from 8.1 per cent last fiscal year.

But its higher regional growth rates are coming off a lower base with a per capital gross domestic product of $1,698 compared to $2,010 for India.

Bangladesh is expected to grow by 7.3 per cent in the next financial year.

Pakistan's growth rate is estimated at only 2.4 per cent in the current fiscal year and is projected to rise to 3 per cent in the next, according to the Bank.

The Bank blamed monetary tightening in Pakistan for a sharp deceleration in fixed investment and a considerable softening in private consumption for the fall in growth rate from 3.3 per cent in the 2018-19 fiscal year.

Sri Lanka's growth rate was estimated to be 2.7 per cent last year and forecast to grow to 3.3 per cent this year.

Nepal grew by an estimated 6.4 per cent in the current fiscal year and will rise to 6.5 per cent in the next.

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