that trump is using the pretext of national security to implement these tariffs on aluminum and seal in particular and that's taking them off no end trudeau has been very outspoken about that but i think when push comes to shove they need us more than we need them they know that trump is a grand master at bargaining in negotiations and this is all part of it i believe ok we'll get close steve we'll go back to that but i. think it on the whole you're right but i think the u.s. in the trumpet ministration is underestimating the options others have in the world are limited exit or i wish to react to some of the things we have said here because there's a very real possibility there could be a real trade war but i don't think we're there yet it depends on how everybody reacts ok and not just two words donald trump is good with words but see about actions let's go to alistair go ahead yeah i mean i don't quite buy this story that . you know the trump is really having

a go at trying and all the rest of it i think it is part of a negotiating process and i think we have to bear in mind that there are two things going on in the background firstly we've got midterm elections coming up later this year you had two and secondly there seems to be an ongoing battle within the white house between the established intelligence services it seems to me and donald trump and maybe that the military on his side and so there is a sort of turf war going on which actually is all about geopolitics and i think we've got to look at all this sort of talk about you know trade wars and all the rest of it in that context as we saw over north korea i mean can get very very aggressive threatening to you know new rocket man and all the rest of it and then the next thing we know they're talking and they're going to meet in singapore and then it's off and then it's on again i think there's this story is going to run and run and run now i'm not actually. wildly pessimistic about what trump is is

doing i think that there are talks going on which we're not privy to between america trying to and also america and russia on trade now when it comes to the e.u. i think that's a slightly different thing because the e.u. is the one protectionist bloc yeah i think america has protections as well but i certainly don't see russia and china being protectionist and this idea that by putting up trade barriers or tariffs the queue can reduce your trade deficit that to me is a complete misnomer because the trade deficit is comprised of the excess production of money within the economy and this is why you get the twin deficits effect and this is why if you get one country turning to save more than the other country you want to turn to get a trade deficit so it's those are where the imbalances start from and i think

that's something that really needs to be addressed and i just hope that behind all this rhetoric but either donald trump or his advisors actually understand this point and know when to. draw and i'm glad you brought that up because you know i'm going to syria right now is just in the what steve said announcer just said here there are so many dimensions to all of this i'm worried about the law of unintended consequences because china isn't the european union there are very very different scenario you want to have you want a job and even after steve spoke go ahead i think there's a strong misunderstanding about what a trade deficit is the trade deficit is not necessarily a bad. it's not a win or lose type the situation is when you have a trade deficit that means that one country is purchasing more goods from the other country and they are from the first country and it's not. necessarily

a bad thing both sides have to have yet to engage in trade and there and the issue with them with china is that they purchase less from the u.s. because the g.d.p. per capita there on average is about ten thousand dollars whereas in the u.s. it's fifty two thousand dollars so as americans we purchase we have a lot more purchasing power and we purchase a lot more from china than they do from us and we when we get goods there's no losses there ok let me go back to steve in new york. how much abuse is this political because we already heard them mention the mid terms being mentioned here is this something the donald trump needs to serve up to his base because as we pointed out here is based in the process could be damaged i mean it's a delicate balance isn't it go ahead steve. it's a very delicate balance when you look at the state so that where the farmers are is and the hurt that they're feeling in many respects and could feel down the road but

in that case donald trump is a promise to use federal funding that's available to to to a bailout if you will the farmers he promised that they will not suffer i don't think he needs this politically for the midterms right now i think he's riding on the tax cuts he's looking to make the. individual cuts permanent he's looking to pass that legislation prior to the midterms he's also has the summit coming up june twelfth or eleventh time if you will you know if you want to get technical with north korea and he's talking about a summit with putin so i think he has enough accomplishments and he's doing enough things to to satisfy the base and motivate the base heading into the midterms but this is something i've known donald trump to interview him and to you know and to have a relationship in that respect with him since the early eighty's and then it was sports but when it matured from sports this is something that has always been on his mind the way we're treated unfairly whether it's

a nato whether it's through trade whether it's with bad deals and he what he was he ran on fixing these things he is fixing these things and he's going to fix these things it's one big negotiation and we have yet to see where it will end up we don't know where it will end up you know one day there's no tariffs there's no trade war next day he's going he's putting tariffs on it's all part of a grand scheme he keeps them guessing. ok guys how we go right steve let me get let me go back to the pro let me go back to sarah but you know it cuts both ways steve ok markets investors don't like unpredictable unstable situations and i think this is the environment we're in and on top of it the kind of rhetoric that's been used against china i don't think is a very good negotiating strategy with the chinese. the chinese this is not how they negotiate this is they see this type of maneuver as a slap in the face and the way china negotiates is five making conciliatory

measures going back and forth and this is something that is going to take actually stonewall our relationship with china and have a really negative impact it also hasn't helped the stock market every time there's an announcement out potential trade wars the stock market goes way down and also companies both in china multinationals in china that one way down what was a well. known well you don't have very many times have we seen the stock market go way down then it went back up ok but this is proving my point steve ok we have these really good extremes going on here the markets are to the stock market is doing very very well everybody knows that but when we made the announcement i think a drop two hundred fifty points again this predictability that's the issue i'm trying to highlight here and also hear what two hundred fifty points with all due respect and today's market of twenty five thousand two hundred fifty points is

nothing so are you staying home which is where you actually are the really the edge worried or worried action ok we're going to jump in here we'll continue our shouting not the guy saying what he did but after a short break we'll continue our discussion on trade war stay with our team. i've been saying the numbers mean something they matter to us is over one trillion dollars in debt. in ten dollars timestamping each day. eighty five percent of global will you long for the old bridge with six percent market thirty percent i

just want to secure some with four hundred to five hundred three per second per second and bitcoin rose to twenty thousand dollars. china is building two point one billion dollars a year but don't let the numbers overwhelm. the only numbers you need to remember one one showed you know four to miss the one and only. god can say anything he wants to say and you can't fire him you know it won't be another election until twenty twenty and he's gliding into twenty eight so you probably won't even list many representatives support and in this election and this year. welcome back across the uk were all things considered i'm peter bell to remind you

we're talking about potential trade wars. ok let's go back to alison i want to reach a few words a quote here from jeffrey sachs a very well known economist particularly in eastern europe and russia not for the best reasons i'd like to point out he described donald trump as isolating america and he declares him a psychopath's trade war how do you react to jeffrey sachs calling the president the united states a psychopath i think is a bit over the top i mean he is i know he didn't get elected on the basis that he was like the other politicians but he is a politician and you know he behaves like one just maybe a little bit differently he hasn't. i spent a lot of time studying the book on the art of diplomacy you know he's got his own way of doing things and i think that's fine with you know we will get used to it is

not there's not a problem i think the other thing is that what we see in the headlines of course you've got a press which you know having been accused of fake news and all the rest of it i mean they're not all that kind to the man they never were they're never on the same page as donald trump to begin with so an awful lot of what we hear i think we've got to take with a bit of a pinch of salt the feeling i get is that there is a lot of communication actually going on between donald trump and president xi and also to me a putin i don't know this for certain but it just this is the way things work you have back channels and so the idea that. this public slanging match if you like you know on the one hand it's going to be ten percent tariffs on twenty five percent tariffs on something else and then china responding i think this is really for the public if you like and as i said earlier you know we are in coming up to midterm elections that i think is very very important so you've got all this sort of stuff

going on but i think at the end of the day. things get sorted out in the background and i'm quite optimistic that this won't degenerate into something really serious i think there are other things that do worry me however. that's really over the isolationist stance of america it seems to me that the rest of the world is actually growing quite well without america america will grow well on her own because she's putting in massive budget stimulus and that budget stimulus i think which current which will coincide with china's purchases of raw materials with the way the european union is beginning to take off i think that's going to lead to big inflation problems down the road now that might if you like put an extra spin into this. if you like trade towers type thing because they did because this is bound to increase protectionism i think in europe and also possibly in america ok then what

is the role of the world trade organization i mean in a again this is western driven the rules were conceived by the west and china did join in a lot of people said took advantage of it that's a different topic and subject and program itself here but it seems to me when we have so many of these large economic blocks or powers squabbling among themselves then the whole point of having the world trade organization is really quite meaningless and what about nafta and why and what about. if if it breaks it happens what kind of relationship is the u.k. going to happen to have with the united states these are the the european union i mean what i'm saying is that it gets very very complicated there are so many different angles and different dots to connect here and then you have the largest largest economy in the world and yes it is china in the middle of it all going to. the world trade organization was created based on the presumption that the world was moving towards a system of free trade and the u.s.

was leading that if you logical effort and now the u.s. is moving away from it and so. it has become less relevant in a way particularly for american politics potentially for the u.k. and elsewhere and i don't know that it's necessarily going to be something that people are able to ignore entirely certainly the tariffs that our president is attempting to impose on china as well as other countries would be questions and possibly rejected by the world trade organization i don't think that it's necessarily going to become a thing of the past the world trade organization that is i think the sound how there might have to be some reorganization of it. either that or the u.s. will have to go through another eighty illogical change again to where it's treaty trade but that's not their direction that we're moving in currently you know

a steve you know the united states has a long lineage of protectionist. strategies that presidents have deployed in to grow and industrialized the american economy i mean it's been a big plus being very selective here but you know again there's the historical thing and i mentioned the beginning of the program is that after the second world war germany and japan later south korea were really given really sweetheart deals by the united states to grow their economies for geopolitical reasons of course during the cold war no one denies that but the cold war has been over for a long time and and it's time for the europeans to me that you know in every sense pay their own way ok nato trade and all that i mean i could i understand the logic of donald trump in doing this here in the united states is very benevolent to these this part of the world because of geopolitical reasons not because we're all by on like each other no it was

a good solid geo political reasons but those reasons are evolving and changing and everybody has to pay their way we all know what's happened to the middle class the working middle class in the united states it's it's if it's not suffering it's gone ok that's why trump was elected go ahead steve well i don't know that it's gone i think it was suffering and i think that that's that's one of the reasons our trump was elected but but you're absolutely right and americana end is are fed up with this scenario that you just portrayed there they realize what we had and why we had it but there's no reason to really have it anymore and what i'm talking about basically and donald trump's terms is that america keeps getting screwed and gets the short end of the stick whether it is funding in nato whether. it is in trade deals whether it is in funding the united nations no matter what it is or the paris accords that we draft out of it's always the united states that bears the brunt of

the burden of the cost when there are other countries that can well afford it and don't pony up with what is their fair share and this is all part of the thinking all part of the mindset of donald trump and it extends to these trade deals and trade in general and that's why you're seeing what you're seeing and his base loves it and sort of the american people they love it they don't they don't want confrontation but they don't want to get stepped on any more those days are over ok ok i was limited ouster i agree with a lot with steve there sad to say but it wasn't you know if this is not just state to state these sort of corporations and what we saw over the last thirty thirty five years is western companies moving their production outside of the country making huge profits not being repatriated i mean the reason why we have these policies is not just you know the president has fast track ability who wrote all those bills i may have a pretty good idea who did it work it wasn't politicians i can't remember the last time any politician actually wrote legislation was always

a lobbyist go ahead alister an exit or. do you know absolutely right about lobbyists and i think lobbying is appalling and i'm looking forward to brics it so there's no more lobbying in brussels as far as we're concerned but i just want to sort of go back a little bit and you know i think this sort of concept that germany and japan got sweetheart deals after the war they got financing yes but i don't think we should rubbish the effort the two countries of those two concrete or at least their recovery. i mean it was fair that's a very good and not only that but the big difference the big difference between between germany and japan and america was germany and japan when they borrowed they borrow too in. and production in more efficient production in production which people actually wanted to buy in the case of america they expanded credit really

not for production but for excess spending rather like italy today if you like a worse think that not quite as a bad example. so you know in a sense i think you know i think i think to sort of you know blame the the germans and the japanese for being successful in the post-war years i think actually misses the whole point on and why but i might die not dismissing hardworking germans and hard working japanese really hard working south koreans or i'm not dismissing that ok please so what is right so you know the. point again we're rapidly running out of i'm sorry you want to jump in that's the point of the program go ahead i know that the u.s. is necessarily getting the short end of the stick i mean as you mentioned. multinationals american multinationals have gone overseas and they've produced in china and other countries for that at a really low cost at that meet a huge amount of profit in export back to the u.s.

and other nations so i don't know that our free trade policies have necessarily been you know against our own interests ok. ok let me let me go to steve you know you're as you know it worked well where. is all of you disagree and that's van tacet i let me go to our sister real quick and then i'll go to steve go ahead ouster. ok now i think the point actually that sarah was making is is right i mean where apple friends made in america no i designed them maybe but basically they're made in eastern asia so you know trade is global and if you start throwing spanners in the works then basically consumers will pay and the rate of inflation in america will only increase if don't trump introduce his trade tariffs it's really as simple as that ok steve i'll give you the last word of the program go ahead how is this making america great i was just making america great forty seven

because kevin mccarthy the majority leader of the of the house is backing down on trump on his tactics in the terrace he points to canada for instance and says look at they treat our dairy products look at our winds which can't go in their supermarket shelves so it becomes a matter of pride it becomes a matter of of of being treated fairly the optics of being treated fairly as well a very important here don't overlook that ok well i'm going to end on the note here and probably controversial for our all of you you know i don't tend to see the united states as a victim in the world very often ok so let's keep that in mind and we'll see where this is going to go we've seen the past trade wars are bad for everyone that's it many thanks and i guess in new york and an exit and thanks to our viewers for watching us here at r.t. see you next time and remember rostock rules.

radially reinforced rammed earth bricks was what they really are. this more than seventy houses about one hundred forty people with families living here but. it's really a way of forming same at. least their sons coming

in and heating their house and being stored in massive walls. sagebrush is the natural environment here but as we're containing the sewage and and using to plant stuff to process the sewage we create our own little way system here. this is boom bust broadcasting around the world from washington d.c. thanks for hanging out with us i'm bart chilton coming up today it's been a year since the united states with grew from the earth's climate of course has us leaving little perk or hampered efforts to save the planet from global warming well

as tyson slocum the director of public citizens energy program and artist caleb mopping joins us from moscow where he's attending an international forum will ask him about tariffs and sanctions and more plus in the wake of the u.s. supreme court decision supporting a colorado bakers decision not to bake a cake for a same sex couple to marry we ask america's lawyer might happen tony old one. this may mean for other businesses all that straight ahead but first let's hit some headlines the hunt is on for sky broadcasting the british culture secretary has allowed twenty first century fox and comcast to pursue bid for the british broadcaster officially kicking off a bidding war fox's bit affectively offers roughly eighteen and a half billion pounds while comcast bid is close to twenty two billion secretary met hancock officially found that the two bids create no concerns with regard to public interest or broadcasting standards sky and it suitors will have to meet with

officials from the department of culture to finalize details on how the process will proceed mr hancock told parliament that he will insist that any deal preserve sky as a u.k. based news source fox is bid for sky has become a minor political lightning rod in the u.k. the shadow culture secretary tom watson of the labor party responded to secretary hancock in parliament saying quote where the fox does the deal to fail it could leave sky news isolated from sky and owned by a foreign company with few news interests in the u.k. it's hard to see how that would be in the public interest. and mexico has imposed a twenty five percent tariff on imported u.s. steel a direct and equal response to u.s. president donald trump's action mexico went further hitting a list of products including bourbon cheese pork cranberries an apples with tariffs or twenty to twenty five percent of twenty to twenty five percent the mexican

interior minister acknowledged that the responses were calculated to create quote unquote political pain saying that is sending a clear message that this sort of thing benefits no one these trade wars and affects us all meanwhile top trump economic advisor larry kudlow said today that on the north american free trade agreement president trump is has a preference to actually negotiate with canada. mexico separately mr cupples comments appear to firm up president trump suggested on friday in response to a question about nafta renegotiation that he would pursue separate bilateral agreements with canada and mexico but mr kudlow also said the president's not going to leave the sort of hard to figure these guys out right negotiators have reportedly reached agreement only nine of thirty chapters of a revamped nafta in mexico fierce nafta critic leftist andres manuel lopez obrador led in a recent poll for the july presidential election by a two to one margin. and turning to the financial crime blotter there are two big

stories out of australia one involving commonwealth that's the country's largest bank on monday the nation's finance intelligence agency recommended a fight against commonwealth equal to seven hundred million dollars the penalty is meant to punish and in theory deter lax enforcement of money laundering laws the fine if approved in bure in a bureaucratic review would be the largest corporate civil penalty in australian history and on tuesday australia's competition and consumer commission accused the former heads of the australian branches of deutsche bank and citigroup and a number of their colleagues of a of cartel conduct with regard to a twenty fifteen capital raise for a n.z. bank australia's financial sector has been in the spotlight for a year related to a public misconduct inquiry which is uncovered many instances of unlawful behavior .

a year ago june first president trump said he would exit the paris climate agreement at that time many of the largest u.s. companies said that they would stick with that and do their part to reduce global warming and help save the planet there is that and here a year later what's the status gladys we turn to the energy expert tyson slow. oakum the director of public citizens energy program tyson thank you as always for being with us we really do appreciate it yet great to be here ok so have they kept their deal some of the we talk about a lot of times on this program apple wal-mart g.m. and others that are doing things with regard to renewables but in large part are the corporations u.s. corporations doing their part to continue with the agreement the paris climate agreement yes some of them are i mean half of the fortune five hundred companies have some sort of either sustainability or renewable energy pledge that they are

adhering to and so what we're seeing across the country is a big driver of renewable deployment in the united states is corporate procurement and so whether it's i.t. related companies like apple and amazon and microsoft that have big power intensive server farms whether it's big box retailers like wal-mart and others that are doing some of these installations on their own properties or if it's consumer facing companies that are. concerned about consumer preferences for clean energy and sustainability so they're making pledges so we're definitely seeing more and more corporations go into the marketplace and and produce or procure electricity to not only meet some of their social obligations but also because it's the least cost option as well when you talk about you know when you say the word procurement that really means that they are looking at it from a business perspective and you talked about the drivers what are the other drivers

that businesses are looking at when they're making these procurement decisions in favor of renewables right so it's the availability of some of the products like power purchase agreements or being able to do on site generation but also a big driver here is the fact that twenty nine us states and the district of columbia have mandates that. utilities and other entities produce or procure a certain amount of their electricity and so what that does is it drives a whole secondary market of what's known as renewable electricity credits and that is a big financial tool that a lot of companies are getting to make renewable deployment even more economical and we've talked about this before and i don't want to get into it now but about the whole carbon credits and trading and i blubbed that stuff i think it's the way that way to go when europe's done it but not doing it enough they're doing it but not enough in the u.s. now we talk about.