March 11, 2017

THIS IS THE OTHER ONE THE dEEP sTATE HAS TO WIN:

White House civil war breaks out over trade : 'Fiery meeting' in Oval Office between economic nationalists and pro-trade moderates (Shawn Donnan and Demetri Sevastopulo, 3/10/17, Financial Times)

A civil war has broken out within the White House over trade, leading to what one official called "a fiery meeting" in the Oval Office pitting economic nationalists close to Donald Trump against pro-trade moderates from Wall Street. 

According to more than a half-dozen people inside the White House or dealing with it, the bitter fight has set a hardline group including senior adviser Steve Bannon and Trump trade adviser Peter Navarro against a faction led by Gary Cohn, the former Goldman Sachs executive who leads Mr Trump's National Economic Council.  [...]

According to people familiar with White House discussions, Mr Cohn and others have seized on Mr Navarro's public comments -- and widespread criticism by economists of his stand on trade deficits and other matters -- to try and sideline him. That has led to discussions over moving Mr Navarro and the new National Trade Council he leads out of the White House and to the Commerce Department, headed by another Wall Street veteran, Wilbur Ross. 

Mr Cohn has also been featuring more prominently in discussions over the renegotiation of the North American Free Trade Agreement with Canada and Mexico, one of Mr Trump's top trade priorities.

After a meeting with Mr Cohn and other White House officials on Thursday, Mexico's foreign minister, Luis Videgaray, said the goal was to wrap up talks quickly and by the end of this year. That contradicted Mr Ross, who has called for deeper and potentially longer talks that could drag well into next year. 

Mr Navarro's case has not been helped by his interactions with Republicans in Congress. He was criticised for being ill-prepared and vague at a closed-door briefing he held with Senators last month to discuss Mr Trump's trade agenda and angered some Republicans as a result. 

People familiar with the White House battle over trade said Mr Navarro, who did not respond to a request for comment, was cutting an increasingly isolated figure in the administration. He has been operating with a very small staff out of an office in the Old Executive Office Building adjacent to the White House while Mr Cohn, who has been adding staff to his NEC base inside the president's residence itself.

Among Mr Cohn's recent appointments has been Andrew Quinn, a respected former diplomat and trade official who served as a senior negotiator during the Obama administration's push for a Trans-Pacific Partnership with Japan and 10 other countries. Mr Trump has pulled the US out of the TPP but the White House last month announced Mr Quinn would serve on the NEC as a "special assistant to the president" for international trade.

The appointment of Mr Quinn drew a howl of protest from Breitbart, the rightwing web site Mr Bannon used to lead. It labelled the career official an "enemy within" the Trump administration earlier this month. 

Free trade and immigration are the fights we have to win.


Posted by at March 11, 2017 5:55 AM

  

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