US Senate closing in on deal to reopen government

October 15, 2013

Washington, Oct 15: Senate leaders were nearing a deal on Tuesday in talks to reopen the US government and prevent a default on American debt that economists say could tip the global economy back into recession.us

But an agreement in the Senate would only move the country halfway toward solving a bitter fight between Republicans and President Barack Obama's Democrats over government spending. Many conservatives in the House of Representatives were standing fast against the plan that would fund the government through January 15 and allow the treasury to borrow money to pay US bills until February.

With just two days left before the treasury department says it will run out of borrowing capacity, congressional aides predicted Senate majority leader Harry Reid and Republican leader Mitch McConnell could seal an agreement by midday, easing dual crises that have sapped confidence in the world's dominant economy and badly shaken support for Republicans. Both House and Senate Republican leaders scheduled private meetings with their rank-and-file Tuesday.

Obama telephoned McConnell on Monday to talk about the emerging deal, a McConnell aide said. Congressional leaders had been scheduled to meet with Obama at the White House on Monday, but the meeting was postponed to allow more time for negotiations.

With Republican poll numbers plummeting and Americans growing weary of a shutdown entering its third week, Senate Republicans in particular were eager to end the partial government shutdown, and avoid an even greater crisis if the government were to default later this month.

The US stock market turned positive on Monday on the bullish predictions about the outcome of the Senate negotiations. Stocks in Asia and Europe were tracking upward Tuesday.

The partial government shutdown, which has furloughed 350,000 federal workers, began on October 1 after Congress failed to pass a bill to temporarily funding the government. Separately, if Congress doesn't approve a measure increasing the amount of money the government is allowed to borrow, the Obama administration says it will not be able to pay America's bills on time, risking a default that analysts say could prove catastrophic for the economy. Both legislative measures are normally routine.

The plan under consideration by Reid and McConnell is far from the assault on Obama's signature health care reform law that conservative tea-party Republicans originally demanded as a condition for a short-term funding bill to keep the government fully operational. It also lacks the budget cuts demanded by Republicans in exchange for increasing the government's $16.7 trillion borrowing limit.

Instead, it appeared likely to tighten income verification requirements for individuals who qualify for federal subsidies under the health care law and may repeal a $63 fee that companies must pay for each person they cover beginning in 2014.

Any legislation backed by both Reid and McConnell can be expected to sail through the Senate, though any individual senator could delay it.

It's a different story in the Republican-controlled House of Representatives, where conservative backing is proving hard to find. That means House Speaker John Boehner could be forced into the awkward and risky position of allowing a vote that would rely heavily on minority Democrats for passage.

Republican Rep. Joe Barton signaled that conservative members of the House were deeply skeptical. He said plan to end the crisis must have deep spending cuts to win his vote and that he thought Obama and Treasury Secretary Jacob Lew had more flexibility than they had said publicly.

"No deal is better than a bad deal,'' Barton said.

Asked whether the emerging package contained any victories for Republicans, Rep. James Lankford, a member of the House Republican leadership, said, "Not that I've seen so far, no.''

As the Senate opened for business Monday, Reid said he was "very optimistic we will reach an agreement this week that's reasonable in nature.''

Moments later, McConnell seconded Reid's assessment.

"We have had an opportunity over the last couple of days to have some very constructive exchanges of views about how to move forward,'' McConnell said. ``Those discussions continue, and I share (the) optimism that we're going to get a result that will be acceptable to both sides.''

In addition to approving legislation to fund the government until late this year and avert a possible debt crisis later this week or month, the potential pact would set up broader budget negotiations between the Republican-controlled House and Democratic-led Senate with one goal being to ease automatic spending cuts that began in March and could deepen in January, when about $20 billion in further cuts are set to slam the defense department.

Democrats were standing against a Republican-backed proposal to suspend a medical device tax that was enacted to help fund the health care law.

Democrats also want to preserve the treasury department's ability to use extraordinary accounting measures to buy additional time after the government reaches any extended debt ceiling. Such measures have permitted treasury to avert a default for almost five months since the government officially hit the debt limit in mid-May, but wouldn't provide that much time next year, experts said.

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News Network
February 9,2020

Wuhan, Feb 9: President Xi Jinping strode onstage before an adoring audience in the Great Hall of the People in Beijing less than three weeks ago, trumpeting his successes in steering China through a tumultuous year and promising "landmark" progress in 2020.

"Every single Chinese person, every member of the Chinese nation, should feel proud to live in this great era," he declared to applause on the day before the Lunar New Year holiday. "Our progress will not be halted by any storms and tempests."

Xi made no mention of a dangerous new coronavirus that had already taken tenacious hold in the country. As he spoke, the government was locking down Wuhan, a city of 11 million people, in a frantic attempt to stop the virus spreading from its epicenter.

The coronavirus epidemic, which has killed more than 800 people in China as of Sunday and sickened tens of thousands, comes as Xi has struggled with a host of other challenges: a slowing economy, huge protests in Hong Kong, an election in Taiwan that rebuffed Beijing and a protracted trade war with the United States.

Now Xi faces an accelerating health crisis that is also a political one: a profound test of the authoritarian system he has built around himself over the past seven years. As the Chinese government struggles to contain the virus amid rising public discontent with its performance, the changes that Xi has ushered in could make it difficult for him to escape blame.

"It’s a big shock to the legitimacy of the ruling party. I think it could be only second to the June 4 incident of 1989. It’s that big," said Rong Jian, a writer about politics in Beijing, referring to the armed crackdown on Tiananmen Square protesters that year.

"There’s no doubt about his control over power," he added, "but the manner of control and its consequences have hurt his legitimacy and reputation."

Xi himself has recognized what is at stake, calling the outbreak "a major test of China’s system and capacity for governance."

Yet as China’s battle with the coronavirus intensified, Xi put the country’s No. 2 leader, Li Keqiang, in charge of a leadership group handling the emergency, effectively turning him into the public face of the government’s response. It was Li Keqiang who traveled to Wuhan to visit doctors.

Xi, by contrast, receded from public view for several days. That was not without precedent, though it stood out in this crisis, after previous Chinese leaders had used times of disaster to try to show a more common touch. State television and newspapers almost always lead with fawning coverage of Xi’s every move.

That retreat from the spotlight, some analysts said, signaled an effort by Xi to insulate himself from a campaign that may falter and draw public ire. Yet Xi has consolidated power, sidelining or eliminating rivals, so there are few people left to blame when something goes wrong.

"Politically, I think he is discovering that having total dictatorial power has a downside, which is that when things go wrong or have a high risk of going wrong, then you also have to bear all the responsibility," said Victor Shih, an associate professor at the University of California San Diego who studies Chinese politics.

Much of the country’s population has been told to stay at home, factories remain closed, and airlines have cut service. Experts warn that the coronavirus could slam the economy if not swiftly contained.

The government is also having trouble controlling the narrative. Xi now faces unusually sharp public discontent that even China’s rigorous censorship apparatus has been unable to stifle entirely.

The death of an ophthalmologist in Wuhan, Dr. Li Wenliang, who was censured for warning his medical school classmates of the spread of a dangerous new disease in December, has unleashed a torrent of pent-up public grief and rage over the government’s handling of the crisis. Chinese academics have launched at least two petitions in the wake of Li’s death, each calling for freedom of speech.

State media still portray Xi as ultimately in control, and there’s no sign that he faces a serious challenge from within the party leadership. The crisis, though, has already tainted China’s image as an emerging superpower — efficient, stable and strong — that could eventually rival the United States.

How much the crisis might erode Xi’s political standing remains to be seen, but it could weaken his position in the long run as he prepares to take a likely third term as Communist Party general secretary in 2022.

In 2018, Xi won approval to remove the constitutional limits on his term as the country’s president, making his plan for another five-year term seem all but certain.

If Xi comes out of this crisis politically insecure, the consequences are unpredictable. He may become more open to compromise within the party elite. Or he may double down on the imperious ways that have made him China’s most powerful leader in generations.

"Xi’s grip on power is not light," said Jude Blanchette, the Freeman Chair in China Studies at the Center for Strategic and International Studies.

"While the ham-fisted response to this crisis undoubtedly adds a further blemish to Xi’s tenure in office," Blanchette added, "the logistics of organizing a leadership challenge against him remain formidable."

In recent days, despite a dearth of public appearances, state media have portrayed Xi as a tireless commander-in-chief. This week they began calling the government’s fight against the virus the "people’s war," a phrase used in the official readout of Xi’s telephone call with President Donald Trump on Friday.

There are increasing signs that the propaganda this time is proving less than persuasive.

The Lunar New Year reception in Beijing where Xi spoke became a source of popular anger, a symbol of a government slow to respond to the suffering in Wuhan. Xi and other leaders appear to have been caught off guard by the ferocity of the epidemic.

Senior officials would almost certainly have been informed of the emerging crisis by the time national health authorities told the World Health Organization on Dec. 31, but neither Xi nor other officials in Beijing informed the public.

Xi’s first acknowledgment of the epidemic came Jan. 20, when brief instructions were issued under his name. His first public appearance after the lockdown of Wuhan on Jan. 23 came two days later, when he presided over a meeting of the Communist Party’s top body, the Politburo Standing Committee, which was shown at length on Chinese television. "We’re sure to be able to win in this battle," he proclaimed.

Back then, the death toll was 106. As it rose, Xi allowed other officials to take on more visible roles. Xi’s only appearances have been meeting foreign visitors in the Great Hall of the People or presiding over Communist Party meetings.

On Jan. 28, Xi met with the executive director of the World Health Organization, Dr. Tedros Adhanom Ghebreyesus, and told Tedros that he "personally directed" the government’s response. Later reports in state media omitted the phrase, saying instead that Xi’s government was "collectively directing" the response.

Since nothing about how Xi is portrayed in state media happens by accident, the tweak suggested a deliberate effort to emphasize shared responsibility.

Xi did not appear on official broadcasts again for a week — until a highly scripted meeting Wednesday with the authoritarian leader of Cambodia, Hun Sen.

There is little evidence that Xi has given up power behind the scenes. Li Keqiang, the premier in formal charge of the leadership group for the crisis, and other officials have said that they take their orders from Xi. The group is filled with officials who work closely under Xi, and its directives emphasize his authority.

"The way the epidemic is being handled now from the top just doesn’t fit with the argument that there’s been a clear shift toward more collective, consultative leadership," said Holly Snape, a British Academy Fellow at the University of Glasgow who studies Chinese politics.

The scale of discontent and the potential challenges for Xi could be measured by repeated references online to the nuclear accident at Chernobyl. Many of them came under the guise of viewer reviews of the popular television miniseries of the same name, which is still available for streaming inside China.

"In any era, any country, it’s the same. Cover everything up," one reviewer wrote.

The Soviet Union of 1986, however, was a different country than China in 2020.

The Soviet state was foundering when Chernobyl happened, said Sergey Radchenko, a professor of international relations at Cardiff University in Wales who has written extensively on Soviet and Chinese politics.

"The Chinese authorities, by contrast, are demonstrating an ability to cope, a willingness to take unprecedented measures — logistical feats that may actually increase the regime’s legitimacy," he added.

Radchenko compared Xi’s actions to those of previous leaders in moments of crisis: Mao Zedong after the Cultural Revolution or Deng Xiaoping after the Tiananmen Square crackdown.

"He’s doing what Mao and Deng would have done in similar circumstances: stepping back into the shadows while remaining firmly in charge."

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News Network
June 3,2020

Washington, Jun 3: US President Donald Trump's administration on Tuesday announced investigations into foreign digital services taxes it says are aimed squarely at American tech firms.

Following a similar trade investigation against France last year, the US Trade Representative office now is looking into taxes in Britain and the European Union, as well as Indonesia, Turkey and India.

"President Trump is concerned that many of our trading partners are adopting tax schemes designed to unfairly target our companies," USTR Robert Lighthizer said in a statement.

"We are prepared to take all appropriate action to defend our businesses and workers against any such discrimination."

Washington opposes the efforts to tax revenues from online sales and advertising, saying they single out US tech giants like Google, Apple, Facebook, Amazon and Netflix.

The US and France have agreed to negotiate till the end of the year over a digital services tax Paris approved in 2019, after USTR found them to be discriminating and threatened retaliatory duties of up to 100 percent on French imports such as champagne and camembert cheese.

Trump has embroiled the US in numerous trade disputes since taking office in 2017, including a months-long trade war with China that cooled with the signing of a partial deal in January.

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News Network
May 29,2020

Washington, May 29: US President Donald Trump while speaking with reporters at the White House on Thursday said that he is more liked in India than the media in his own country --the United States.

"I know. And they like me in India. I think they like me in India certainly more than the media likes me in this country, " Trump told reporters at his Oval office.

"And I like Modi (Prime Minister Narendra Modi). I like your prime minister a lot. He's a great gentleman. A great gentleman," he added further while briefing the reporters.

But when asked over ties between India and China, the US President said, "They have a big conflict going with India and China. Two countries with 1.4 billion people. Two countries with very powerful militaries. And India is not happy, and probably China is not happy."

Reiterating his offer to mediate between India and China on the border issue, Trump said that he spoke to Prime Minister Narendra Modi, who is not in "good mood" about the ongoing situation with Beijing.

However, informed sources from the Ministry of External Affairs told ANI on Friday that there has been no recent contact between Prime Minister Modi and the US President. The last conversation between them took place on April 4, 2020, on the subject of hydroxychloroquine.

Asked about his Wednesday's tweet regarding his offer to mediate between India and China, Trump said, "I would do that. If they (China and India) thought it would help." However, Trump did not clarify when did he speak to Modi.

Trump on Wednesday tweeted that he is "ready, willing and able to mediate" between India and China."We have informed both India and China that the United States is ready, willing and able to mediate or arbitrate their now raging border dispute," the US President said.

In response to Trump's mediation offer, India said on Thursday that it is engaged with the Chinese side to resolve the border issue peacefully.

India's Ministry of External Affairs spokesperson Anurag Srivastava said that the two sides have established mechanisms both at military and diplomatic levels to resolve situations that may arise in border areas peacefully through dialogue and "continue to remain engaged through these channels."

Indian and Chinese field commanders have been holding talks on de-escalating the tensions.

China has also struck a conciliatory tone on the border issue with India, saying the two countries pose no threat to each other and should resolve their differences through communication, while not allowing them to overshadow bilateral relations.

"We should never let differences overshadow our relations. We should resolve differences through communication. China and India should be good neighbours of harmonious coexistence and good partners to move forward hand in hand," said Chinese Ambassador to India, Sun Weidong, on Wednesday.

The tensions escalated between India and China following a number of confrontations between soldiers of both armies.

Troops of India and China were engaged in two face-offs in Eastern Ladakh and North Sikkim along the disputed Line of Actual Control (LAC), where troops from both sides suffered injuries early this month.

Studies over the anti-malarial drug, which is believed to cure the highly contagious coronavirus, have shown side-effects, according to the Centers for Disease Control and Prevention and the World Health Organisation. But Trump continues to defend his decision to take hydroxychloroquine saying he believes that it gives an additional level of safety.

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