. >>> the united states and china have agreed to enforce anti-nuclear sanctions against north korea. after two days of ministerial meetings. but the annual strategic and economic dialogue ended with no progress on territorial disputes in the south china sea. officials say they have reaffirmed that they will not accept north korea possessing nuclear weapons. they also reportedly agreed to deepen their cooperation on efforts to curb global warming. but the two sides remain apart on the most contentious issue -- china's increasing maritime activity in the south china sea. china claims almost the entire south china sea as its own. it's building manmade islands there and has deployed radar and other equipment. vietnam, the philippines and other southeast asian countries claim parts of the sea. >> i reiterated america's fundamental support for negotiations. and a peaceful resolution. based on the rule of law. as well as obviously our concern about any unilateral steps by any party, whichever claim it, to alter the status quo. >> translator: china has a right to defend its territorial sover

the united states and china have agreed to enforce anti nuclear sanctions against north korea after two days of ministerial meetings. the meeting is known as the strategic and economic dialogue. u.s. and chinese officials say the two sides have reaffirmed they will not accept north korea possessing nuclear weapons. they've also agreed to deepen their cooperation in efforts to curb global warming. but the officials said the two sides remain far apart on some of the most contentious issues such as china's growing assertiveness in the south china sea. secretary of state john kerry called for a peaceful solution to any territorial disputes. chinese councillor says all the islanders in the south china sea are chinese territory. beijing said it would ignore an arbitration decision in a dispute with the philippines over the territorial issue. >>> a survivor of the atomic bombing of hiroshima has called on the president to do more to rid the world of nuclear weapons. barack obama made an historic visit to hiroshima last month. >> mr. obama talked about maybe this won't happen in my lifetime. he

. >> the united states and china account for one-third -- >> on the other hand, lew has been downplaying what's become a standard complaint of washington, the value. being critical of beijing if it allows the yuan to fluctuate. the u.s. is urging china to cooperate with the white house's efforts to cult off north korea from the global financial system to pressure it on its nuclear program. 99 china's cooperation is seen as critical for these efforts. secretary of state john kerry, also in china for this visit, said that the two sides have made progress on this issue. the high-level discussions continue into tuesday. for "nightly business report," i'm eunice youn in shanghai. >>> vice president biden calls for a public database to help in the fight against cancer. biden said the database would help tailor new treatments for patients. >> shares of data behind breakthroughs so the field as a whole can move forward faster and avoid unnecessary redundancy. >> and at that meeting, the focus was on one type of cancer medicine in particular. meg terrell reports from the american society of clini

my question, you touched a little bit about the security relationship between the united states and chinaand the united states and india. my question is is that if these three states are defining the way forward in the 21st century and asia's pacific and beyond, where does that leave the current international security order defined by the u.s. relationships and in fact where does it leave u.s. allies like japan, australia, south korea or thailand, that are increasingly caught between the interest up hours that are considerably greater than them in terms of geopolitical weight. question mark. >> let me be clear, i'm not advocating that we change our alliance system and this is the 21st century where there is a, there are three superpowers and we world the world together, india, china, and the, and the u.s., that's highly unlikely to happen. i think our current alliant system will continue. largely the way it is. i do not think we will enter into a formal alliance with india even though the partnership has become so much closer over the past decade , i think a formal alliance is something i

and high standards of economic governance works. earlier this month i returned from the strategic economic dialogue in beijing where our discussions led to a number of important commitments by china. the united states economies in the world and have been the primary engines of global economic growth in recent years. this is why so important to maintain close engagement with china as we continue to press them to reform their economy. china pledged to implement important domestic reforms to coincide with its transition to a consumer consumption led economy. we challenge . >> china committed to undertake to outline the package of reform to enable the steel industry of the market forces we know that more remains to be donestment specifically with regard to discriminatory trade and we also received commitments bank with the eighth jet infrastructure investment bank of the financial restitution.g the redwood's has solved the -- serve the system by providing the foundation for greater international cooperation for grow in that spirit to ensure that the modern economic architecture carries challenges that we face in the years ahead.ing to e thanks for coming to these meetings and i look forward to taking y

with the department of defense you already talked up the security relationship between the united states and china but if these three states are defining the asia-pacific and beyond from the current security order with the u.s. allies and japan and thailand that are increasingly caught between the powers better greater with the with geopolitical wait. >> let me be clear i am advocating we change our alliance system is the 21st century where it's there are three superpowers we world -- will the world together that is unlikely but our current alliance system will continue largely the way it is i don't think we will enter into a formal alliance with india although the partnership is so much closer over the past decade including on the military cited think a formal alliance is not something india wants are what we would want so i don't foresee the enormous change with our asian alliance structure but i do think we need to think carefully especially in this election time if you have the trade war with china or god forbid a military confrontation do we want a new cold war or relationship that is more si

. >> and as you know, the attorney general of the united states, loretta lynch, the secretary of homeland security, jeh johnson, they have canceled visits to chinasecurity discussions between the united states and china. they are staying here in washington right now. it's sort of everyone is at full strength right now to deal with this. the great fear is that there could be copy cats. this could just be the start, we hope not, of more. >> absolutely. and i think they were wise to cancel this trip just as the president and mrs. clinton were wise to cancel their political campaigning together. this is a moment when you aren't quite sure, when assassinations take place, when these kind of tragedies take place with a lone gunman, is he the only person involved? is he really a lone wolf? are there others? if we don't know the answers in the white house to begin with, frequently the information that comes in for the first 24 hours, a lot of the information is wrong about a tragedy. and you have to sift through the evidence and think seriously about the question, one other question i'm sure they are asking themselves is, the fbi -- we interviewed this

>> more tension between the united states and china. we learn that a chinese fighter jet gets close to a u.s. plane in the east china sea. kristin? >> reporter: greg, this is the second time in less than a month that a chinese fighter jet came too close to an american spy plane. the most recent incident happened the day secretary kerry was in/beijing. >> our position is very clear with maratine law, we want traditional, historic, freedom of navigation and overflight to be respected china said it will be respected. >> reporter: if asked if this incident was timed to be when secretary kerry. they said ask the americans. the spy plane was on routine patrol. and the chinese fighter jet came too close, too fast. it seems to be a case of improper airmanship as no other provocative maneuvers occurred. this happened over on the china sea. the part that is in dispute of china and japan. it is where/beijing is militariarizing the islands. they are harming china's maratime security. carter said the u.s. military will fly, sail or operate wherever

. >> rose: we conclude with anja manuel, her new book "this brave new world, india, china and the united states." >> china and india will have as dramatic an impact on the united states as any two other countries on earth, just to give you some examples. by 2030 they will be the world's largest markets for our companies. with three billion people between them and the world's fastest growing and largest middle classes. we used to think that we could solve some of the world's biggest problems such as climate change if just the u.s. and europe got along. but unfortunately, that's no longer the case. china is you no the world's largest carbon emitter and india is its fastest growing. so we need them to tackle some of the world's biggest problems. and what i argue for this the book is that we need to be clear where the lines are. we're going to have interests that are separate from theirs, especially with china where we have all the issues that you pointed out. so we need to be clear and consistent. and keep the burn low. >> rose: tim murphy, john heilemann and anja manuel when we continue. funding

there's a little bit of tension between the united states and china. joe biden is over there to try to smooth it out economically and politically. >> in fact, biden attends the first game the hoyas play, which goes on without incident. but he isn't there the next night when they take on china's rockets. a team with players from the people's liberation army. >> their team has a little bit more of an edge because of the military affiliation and from the beginning of that game, a lot of fouls, a really physical type of game. >> although dubbed the china/u.s. friendship basketball match, this game is anything but friendly. >> the chinese officials did not do a very good job of handling, controlling the situation. foul after foul after foul being called on georgetown. by halftime, this wases one alarming stat for me. georgetown was called for 30 fouls whereas the chinese team was called for 10. it was an indication something bad could happen in the second half. >> hoya's coach john thomas iii says tensions were running high on both teams. >> it was an emoti

a shock that will consume britain as we and destabilize the united states and china. s my main concern. >> yeah. obviously, no one knows the counter factual. and people always argue about the counter factual. there's a lot of reasons that maybe the continent is growing as quickly as it could. obviously, greece's problems are highlighted and, you know, there's a lot of different -- a lot of different causes for the ma lays you're facing. some people think to put the multi-speed economies together without a single fiscal authority. i mean, how do you know that ripping off the band-aid now, if it is a flawed experiment in the first place, maybe the sooner the better to let it die? >> well, there's no doubt that we made a huge error in yeurope by putting the cart before the horse. there's no doubt about that. the question is, what do we do now? we are in a situation where we created this monster of the eurozone economy, which is not just growing fast enough, which is in a state of very serious integration. forget greece. greece is the canadian mind that died on the rest of

and production in-house. both china and the united states and you have a good defensive and need for support, but both china and the united states are great powers by that definition. japan is not. australia is not. europe is not. none of these countries have to struggle with the yet that i can build a good military or i can support jobs at home and build a not great substitute weapon rather than buying something off the shelf. i will bankrupt and shill these around the world to create jobs at home. in this case, india is not a great power. it cannot seem to get its act together although there is a strategic region. india should have a big enough budget that it should be able to build its own weapons at home. the financial and strategic is alive, but it's not there. it's a total failure. for india it has very, very painful decisions to make about where it buys weapons. from russia or does it buy it from the united states or against each other? how on earth can it develop the production system? for some reason it has not solved it and by the logic i was laying out in my presentation, they make india a program an

and high standards of economic governance works. earlier this month i returned from the strategic economic dialogue in beijing where our discussions led to a number of important commitments by china. the united statesthe world and have been the primary engines of global economic growth in recent years. this is why so important to maintain close engagement with china as we continue to press them to reform their economy. china pledged to implement important domestic reforms to coincide with its transition to a consumer consumption led economy. we challenge china's policies and to savannah sharper than workers including currency practices, trade traders, and access capacity and industrial sectors. china committed to undertake further steps to resolve its domestic excess deal capacity not mind the package of her structural reform policies that would enable the steel industry to be more responsive to market forces. while the signs are promising we know that more remains to be done to further open china's market and encourage greater foreign business investment specifically with regard to removing discriminatory trade and investment barriers. and partly, we also received commitments from china that new o

and both china and the united states and, you know, you have a good defense industry that needs support and it creates jobs, blah, blah, blah. and both china and the united states are in that position. japan is not. australia is not. europe is not. they have to struggle with the idea, well, i can build a really good military or i can support jobs at home and build a not great substitute weapon rather than buying something off the shelf and then i'm going to bankrupt my foreign ministry schilling these around the world in order to create jobs at home, okay? in this case india is not a great power, okay? it just cannot seem to get its act together, although there's a strategic reason, right, india should be -- have a big enough economy, a big enough budget that it should be able to build its own weapons at home and the financial and strategic senses are aligned. but it's just not there. it's been a total failure. and india has very, very painful decisions to make where it buys its weapons from. does it buy it from russia. does it buy it from the united states. does it balance the two agai

and enter the united states in one of three ways. one, chinese chemist produce and ship it to the united states via international mail. two, mexican drug traffickers produce it with precursor chemicals from china and smuggled across the southwest border. or three chinese comments produce it and ship it to canada where it is smuggled across the northern border. the point of this is, regardless of the type, synthetic drugs pose a deadly and quickly you following threat. mr. chairman, you and i have held to drug caucus hearings dating back to 2011. since then congress has only scheduled 26 substances substances another another 35 have been administratively controlled through temporary scheduling. only 11 of which have been permanently controlled. simply put our current legislative and a ministry of framework prevent the swift action that's needed to address this constantly evolving problem that's why, with others in 2015i reintroduced the the protecting our youth from dangerous synthetic drug act. this is a bipartisan bill cosponsored by many members of this committee. this bill would prevent manufacturers from skirting federal law by establishing an interagency committee that would convene on an

it's new tension between the united states and china.ry commanders in the pacific say that a chinese fighter jets conducted a quote, unsafe intercept of a us spy plane over the east china sea. so more tensions as we see this continuing to be an issue. kristin fisher by the white house. explain what happened here p6 us military says this biplane was just on a routine patrol in international airspace when a chinese fighter jet came too close, too fast, right above the east china sea. that location is very important because it is the center of a bitter territorial dispute between china and japan. it's also just north of the south china sea which is where beijing has been building and militarizing those artificial islands and china had already been demanding that the us .surveillance but then this happened. the official word from us pacific command is the innocent initial assessment is this seems to be a case of improper ship and no other provocative or unsafe maneuvers occurred but keep in mind this is the second report in less than a month

." >>> meanwhile economic tensions between the united states and china.only make things worse, or maybe make things better, gary kaltbaum will tell us. will join us with brian wesbury. to my earlier point, welcome to you gentlemen. important meeting taking place next week, state department officials, beijing officials over there with a couple days of talks. how should we handle where we are. >> i like trump is doing, we're putting on notice we'll be strong. keep in mind obama and commerce department slapped punitive duties on china and japan because of steel imports because of playing around the currencies but there has to be a point in time where you show strength. i think trump is kind of positioning himself if he wins the presidency we're not taking you know what from you what. i don't think it's a bad move. connell: we can follow along, gary. even brian can fill this the blanks. i don't know if he agree with you, do you? >> i don't. every bmx x series car is produced in south carolina. if you live in china you have to buy the bmwx series car, 3, 5, wh

the treaty has still not been ratified by eight countries including the united states, china and north korea. japan's state minister for foreign affairs touched on u.s. president barack obama's visit last month to the atomic bomb city. >> we would like to build upon the moment that has been pivotal to strive toward the world through of nuclear weapons. the cbtb is anfective step. >> a global on on explosive testing is good for the country. >> rose gottemoeller said the u.s. government is responsible for convincing u.s. members of the public who doubt the treaty is in the best interest. not taking part were some out countries that have not ratified the treaty including north korea and india. >>> an image that has come to symbolize the horrors of atomic weapons has taken on a new meaning taken 71 years ago and shows the remains of a burned boy. until now, his identity has been a mystery. a warning for our viewers, some pay find the following pictures disturbing. the atomic bombing took place on august 9th, 1945. it killed more than 70,000 people in that year alone. a japanese army camera

with these talks between the united states and china have any impact? >> they could.f the administration going to china. meeting with the top officials there. one of the things they told us on that trip is we like to do more business with your small businesses. we are still waiting. hopefully this will lead to more opportunities to sell to china instead of just buying from china. charles: i suppose what paul ryan is going to unveil is enhanced trade, in this country right now we are getting a major pushback. particularly small businesses, by the way. we seriously need to think these relationships. >> 97% of all businesses in the united states are involved in international trade. about 200,000. they only represent the trade dollars. there is a big imbalance there. we need more about for the small businesses of america. charles: you do think that we should not make major changes in respect to trade. >> i think that we need to do more trade, not less trade here it in the best interest of american businesses. we need to look at the details of all of these trade agreements

north korea is a little more amateurish at the top three are russia, the united states and china.n again, right? >> it's happening all the time. bill: david kennedy, great stuff. ceo which is trust stack which is security out of cleveland ohio. thank you. heather: very interesting. democratic life rivals face-to-face, hillary clinton sitting down with bernie sanders after the final primary the season. wilburn now step aside? bill: president obama says it doesn't matter if he uses the term islamic terror but the front runner disagrees. donald trump with the answer, ralph peters will weigh in also. >> the killer's afghan father supported the taliban and which believes in violently oppressing women and gays. once again, we've seen that political correctness is deadly. >> this is lulu, our newest dog. mom didn't want another dog. she said it's too much work. lulu's hair just floats. uhh help me! (doorbell) mom, check this out. wow. swiffer sweeper, and dusters. this is what i'm talking about. look at that. sticks to this better than it sticks to lulu. that's your hair lulu! mom, can w

they have preferred to sort of cajole china along, to let their currency float against the united states dollar, and to increase the value of the renminbi and the yuan. for him to say he would label china a currency manipulator is going a distance other presidents have not gone up until this point. he also said he would take cases to the wto where he believes china has behaved in such a way that it has violated the agreement that it signed to get

a concern that the war in vietnam would escalate into a war between the united states and soviet union and/or china. at no point did anybody in the white house think that vietnam was worth a war with the soviet union or china. the other thing, johnson and nixon understood that the american people were going to devote only so much in the way of resources and energy and time to vietnam. the basic problem was that was very difficult to make the case that vietnam was intrinsically important to american security. it had some importance but the importance lay in its relation to american credibility. if the united states had said we're going to defend south vietnam, then one of the germans germans going to think? what will the allies think? allies that are more important to the united states. johnson wasn't the one that made those promises. those promises were made by harry truman and dwight eisenhower and john kennedy. johnson was the inheritor of those promises. but because those promises have been made to think he could simply ignore them. it would've been politically impossible for johnson to say, thi

when we have to compete for resources and for markets with china, the united states, and other big, enormous, bulky bodies, probably we are better in the european union, but trying to make that case to the man in the street is not easy when the man in the street is responding to a much more emotive argument. the britain that we knew has been lost. we have to re-find ourselves. we have to reclaim our sovereignty. all those claims sound very appealing. when you reduce them to their core, they don't represent very much. that, byher point is leaving, the problems are not going to go away. the migrant problem is not going to go away. the problem of the euro -- the eurozone is not going to go away. britain cannot attach itself from these. it is structurally connected. it's a complete myth to think you can close the door and switch off. we cannot. globalization is simply the big framework in which the european union is a major after, along with china, the united states. the world is being structured by an ever smaller number of ever larger units. the nationstate is no longer a player. laura: althou

and economic development. the korean workers' party congress approved the policy in may. negotiators fo the six party talks last met in december 2008. the parties are japan, the united states, china, russia, and north and south korea. officials from u.s., japan, and south korea are calling on p ii pyongyang to take steps toward denuclearzation. gene otani has more. >> for the second straight month they blamed the slow down on the stronger yen. the japan department stores association said duty-free sales totaled nearly $130 million. that's down more than 16% in yen terms from a year ago. each foreign visitor spent about $540. 26% less. the growing number of visitors have been japan before and want a wider range of experiences. >> translator: many foreign tourists are shifting from shopping to sightseeing. the overall trend suggests they're interested in lowered price merchandise. >> the industry expects sales to decline for some time. >>> japan's latest trade figures are out. they show the country is buying less and selling less. the trade balance in may fell into the red for the first time in four months. lower oil prices have been cutting the imports and seeing fewer exports of

and the united states navy is involved in the south china sea, we have got to makeure we keep a long term in mind, that we embrace this complexity and think broadly as we address these situations. i think to date our position is that we want to establish the conditions on which everybody in that region, and certainly globally, because so much traffic passes through that part of the world, can continue to participate and prosper on a level playing field, using a rule set that allows everybody to participate and prosper to the extent they want to contribute. the role of the navy is to advocate for that set of rules that for the past 70 years have allowed anybody who wants to participate a chance to prosper. mr. lubold: from where you sit, what is the risk of provocation? admiral richardson: we do an awful lot to make sure that that is at a minimum. we do an awful lot with the chinese navy. we have established and agreed upon rule set on which we conduct business at sea, and by and large, the conflict of both the u.s. navy and the chinese navy has adhered to that rule

china sea? that, tomoves to do put a runway on the scarborough al, that would create a big security problem for the other nations and the united statesct china's claims to 80% of the south china sea. >> the philippines has asked the hague to rule on the land features in the south china sea. are these rocks and reese, -- reefs, do they actually constitute islands. if the hague rules they are not cannot, then china legitimately claim to have any legitimate ownership of those land features. it seems as though the hague will rule in the philippines favor, and that does put china in a difficult position. they have said they will ignore the arbitration, ignore the ruling, but at the same time, they are signatories to the u.n. treaty that they signed. if they decide they will ignore this ruling because it does not go their way, they may come to regret that in the future if they are seeking passage through other waterways that chinese ships want to go through. and there is a lot at stake economically in the south china sea. it carries $5 trillion worth of trade each year. if they tried to take complete ownership of that waterway, it may pres

been the signal, what has been in the last 20 years is the rise of china, india, vietnam and other places. we also note the united statestly visited by the prime minister of india, mr. modi, and we also know there is an ongoing battle with china, which has problems, having to do with the south china sea, which has to do with cyberspace, and which has to do with other issues. how come we bring the three of them together? question inhe core the book. it is not going to be easy. china and india will have as dramatic and impact on the united states as any to other countries on earth, just to give you an example. by 2030, they will be the worlds largest market for our companies, like 3 billion people between them, and the world's fastest growing middle class. we thought we could solve the biggest problems like climate change with just the u.s. and europe getting along. unfortunately, that is no longer the case. china is the largest carbon indiaor -- emitter, and is the fastest-growing, so we need them to tackle the world's biggest problems. what i argue for in the book is that we need to be clear where the lines are if we ar

and when you look at a country like china, which steals hundreds of billions of dollars of intellectual property from the united states we have got to stop china from doing that, and again, we're all free traders, all for fair trade, but you do not want to be trading with somebody that steals your intellectual property from you, as well. ms. mitchell: before questions from our members, i want to talk and the wayir putin you for see in the future dealing with mr. putin. trump has phrased him as a strong leader. going forward with ukraine and his increasing role in the middle east in the past year with the air strikes that took place in september right after his meeting with the president, just wondering if we could go down the row and talk about how we deal with russia. rep. thornberry: on a tactical level, i think there is huge bipartisan support in both houses of congress to provide ukraine to bee to able to defend itself. and it is a prime example of what i was mentioning earlier. it is not just the weapons, but even the training we are providing. ukraine is restricted for fear of aggravating him? laterow, i think t

and china actually wants united states friendship as a bulwark against the japanese and a lot of european countries are going into china, not to colonize it force trade on them. so china is looking for united states friendship to keep this open door policy. so they do not like it but they are sort of forced accepted. there are a couple of chinese ministers to the united states that fight against it but they have virtually no power or authority to change. >> [indiscernible] when it passed in congress in 1882, it passes overwhelmingly. the vote in the house of representatives is something like 250-37. there is a lively debate and several congressmen, several senators speak eloquently against it. from is one senator massachusetts who is all but forgotten today, and he meets the fight against it. for his whole life, he's in the senate for the next 20 years. every time it comes up for a vote, it has fewer and fewer defenders and it becomes national policy. yes? >> i am struck a the dichotomy of the cultural which is kinder to the chinese and the politics. can you talk about how that was so dif

chaos that is happening is a consequence of the united kingdom is probably being overdone around the world. there are stocks in japan and china and united stateshat are getting hit dramatically on this u.k. chaos that certainly provide some great opportunities. these are stocks that are going to be resilient and going to be able to grow a respectable what is happening in the u k and greater europe. mark: can you give us an idea of the sort of stocks we should be looking at? george: absolutely. for example, in japan, sony corporation, which has been hit dramatically as a consequence of the strengthening of the yen, as a tremendous opportunity. first of all, sony is a beneficiary of a stronger yen because most of its operations are outside of japan and it generates non-yen earnings. it is actually a beneficiary and it's also in areas such as gaming that are growing tremendously and it will have very little impact from a decline in european and united kingdom activity. another one would be the chinese internet space like all the ball alibaba. they will be growing dramatically a of what happens in the u k and greater europe. they have sold off pre

not just impacting the united states but china and japan, other parts of europe. the middle east. everyone is connected today. that's actually the perfect segue to bring in economic adviser to republican presidential nominee donald trump. we had you on earlier. as the markets continue to just spiral, spike out of control, make sense of this. what is going on? how should we think of this? and how do you see it plays out in the next few days and weeks and the next few years to come? this is such big news. >> this is the financial equivalent of an economic sonic boom. when you were asking when is the like this, and i was thinking the last time i remember this is when we -- stock market many september and october of 2008 with the real estate crisis and we saw days where the stock market would fall by 700, 600 points. i want to tell me people, i think this is an overreaction. this is an immediate impulsive sell impulse in the wake of the news. i don't think it's something that will last. i think it will be a return to normalcy. i want to walk people off the ledges right now that may th

and italy must now fight for a second open seat. the security council includes five per in a members with veto power, the united states, russia, china, britain, and france, and 10 nonpermanent members elected for two-year terms. texts reveal that one of the exits at pulse nightclub was inoperable. the records released today also suggest the nightclub had twice the number of exits needed to accommodate its maximum occupancy of 300 patrons. news 24 hours a day powered by more than 2600 journalists and analysts in more than 120 company -- countries. u.s. stocks are recovering. one of the factors boosting optimism are reports -- is a report showing the economy expanding more than expected. you first ofsk all, in light of that, in light of the consumer confidence news we got today that it has increased for the first time in three month, i am curious how you think the brexit vote will weigh on the u.s. going forward? >> i don't think it will have to much of an effect. we saw an immediate reaction. we saw the selloff. but when you look at the reality of it, the u.s. is just not that exposed to europe. it's not that exposed to great britain

. >> translator: japan and the united states kept saying that china's maritime policy is wrong in the recent three international conferences. namely the g7 summit, the shangri-la dialogue and the u.s. strategic and economic dialogue. the incident could be china's reaction to that. it could be a strong message against japan and the u.s. >> reporter: for russia's part, its embassy in tokyo says the navy was conducting a regular exercise which had nothing to do with china. japanese officials see it the same way. >> translator: china has been unilaterally claiming territorial rights of the senkaku islands but that hasn't been the case with russia. we've been dealing with these types of actions by china separately from russian ones. >> reporter: japan's government is on alert. prime minister shinzo abe convened the national security council meeting with his ministers. they reaffirmed they will work closely with the u.s. and others to be prepared for any situation. rui shinozaki, nhk world. >>> police in okinawa has served a second arrest warrant for an american base worker. he's suspected

if we see what markets outside of the european union, united states, china and son. and despite all that they only attracted half compared with what europe attracted. that has to be a priority. there will be new agreements, new treaties, negotiated with the european union. and priority should be given to trades so that businesses can go back to knowing where they stand, knowing where the new business model is going to be so they can start investment again. because i suspect investment will be put on hold for the time being. >> yeah. >> and therefore job creation will be put on hold and this phenomena, employment performance that the united kingdom had over the last few years will not continue unabated we need to sew what's coming next. >> i spoke to the chief economist from within the oecd a couple of weeks back. and she was making the point that we could be looking at the big dent to gdp growth in the near term up to something like 5% here over the next couple of years. but then the point was made, show me the countries that are lining up to do trade deals with the

ok progress, but still -- ramy: there are so many issues between china and the united states. omic.tegic and the strategic side, they talked about north korea up and they talked about a lot of geopolitical issues. they talked about the south china sea, but nothing in the committee k. on the economy, -- the communique. on the economy, they talked about what the fed might or might not do. but the backdrop of all these issues is mutual trust, how they need to gain more mutual trust through better communication. on the yuan, you mentioned about this quote that china is giving to the united states. basically, hong kong is the rq fee are q3 center -- center. the u.s. is going to get a to beof 50 billion yuan invested in securities, bonds and other instruments. of will also allow undisclosed banks to be the clearinghouse to clear you on transactions outside of china. basically, jack lew, the u.s. secretary of says this opens an important door. so they agree on that. they don't yet agree on the value of the renminbi. china says there is no basis for sustained depreciation of the yuan.

and primarily enter the united states in one of three ways. one, chinese chemists reduce and ship it to the united states via international mail. two, mexican drug traffickers produce it with precursor chemicals from china and smuggle it across the southwest border. three, chinese chemists reduce it and ship it to canada, where it is smuggled across the northern border. the point is, regardless of the type, synthetic drugs pose a deadly and quickly evolving public health threat. mr. chairman, you and i have held 2 drug caucus hearings on this topic dating back to 2011. since then, congress has only scheduled 26 substances, and another 35 have been administratively controlled through temporary scheduling -- only 11 of which have been permanently controlled. simply put, our current legislative and administrative framework prevents the swift action that is needed to address this constantly evolving problem. that is why, with others, in 2015 i reintroduced the protecting our youth from dangerous synthetic drugs act. this is a bipartisan bill cosponsored by many members of this committee. this bill would prevent manufacturers from skirting federal law by establishing an interagency committee that would conve

angie: president she jinping says china and united states should talk more often to build trust. he also said the pacific should not be a battlefield for competing views. we have our china correspondent standing by live. a mainly positive message from the president? >> not too much detail, you do not expect too much detail at events like this and opening addresses. the tone, the words about cooperation, greater can medication between the two sides when it comes -- communication between the two sides when it comes to the issues in the south china sea. a dialing down of some of the bellicose rhetoric you hear in some of the state media. it comes after some close calls jetsy between two chinese that intercepted a u.s. spy plane. building a great wall of isolation. president xi thanked peace and --said peace >> the vast pacific should be a stage for inclusive cooperation, not an arena for competition. >> john kerry also addressed some of the key political issues. both sides pointing to some of the successes. successes, john kerry pointed to the very tough sanctions on north korea. he

let me tell you that is a good point because in japan and in china, they really want to products made in japan and in china. whereas the united states, we buy anything. and our people should have more pride in buying made in the usa. remember the old days, made in america or made in the usa. and we should put that on, i think i'm going to do that. we should put that on the product, made in the usa. [applause] so, thank you very much. so, you know, there are countries that don't want to buy -- when we do business, as an example with japan, many friend in japan. they know it is true. they know. they send the cars. we send the beef. a lot of time they send it back. we send things to them, send it back. can't pass certain tests okay. it is better product than when they have. china sends things back. and i said before, they tax us but they send it back. they would rather send it back than tax us. if we ever get it if, look what they did with boeing. build a plant. we get all of your information, we get everything you ever worked for, building airplanes, we'll take this and take that. south carolina which is amazing state i love so much,

have seen large corporations like general electric shut down manufacturing plants in the united states and move to china and where we're coming from is we're looking at it and general electric, other companies are moving jobs abroad where they can pay people pennies an hour and move to the race to the bottom. how can we change our policies where we're no longer going to a race to the bottom, but we're lifting living standards up not only in the united states, but throughout the world. >> the last ten pages of my written testimony lay out in detail the different elements in a trade policy because there are many different ways you'd have to achieve that goal that would promote that end. make iing sure our trade agreems have the currency disciplines. making sure that our trade agreements labor in environmental standards actually continue ongoing benefits under the trade agreement on actual on the ground compliance with the standards. so the tpp includes the same labor chapter model that the democrats in congress forced bush to put into his last agreements. it's good paper. but you get certified as complyin

are very, very, you know, strong competitors in china and i think china has unique challenges, broadband speeds are not as high as here in the united states. and i think the market is a little bit more, you know, fragmented. having said that, you know, i do believe that they're moving in the right direction and if netflix is very smart about how they'll large or partner with, i think there's really tremendous upside here. >> what do you make of the stories saying that nielsen has got some numbers on streaming now measure them and that, for example, the premier of "orange is the new black" watched by 6.7 million people in the united states? according to "wall street journal." good enough number? second 5.9 million viewers. where does that fall in to what you hoped, expected and does that bolster the valuation it has or hurt it? >> well, you know, i think the data that nielsen released, you know, is a very significant step in terms of what, you know, investment community and studios clamoring for and when you talk about "orange is the new black" getting 6.7 million viewers in the premier, it's remarkable. the viewership on netflix rivals so

united states to engage that. f we don't get engaged in international trade do you think the world will stop just because of the united states. not.'s russia will fill in the void and chinawill fill in the void. want to see the united states as a leader but especially when it comes to trade. are a powerhouse and we need startacking like a powerhouse. caller: my thoughts on trade are have a trade neutral. we can't buy more than we sell been at's what we have doing and we're running a big eficit and a deficit for a country is not g our national deficit is out of control. to buy made if the u.s. to restore jobs. you.k >> i agree with the gentleman. there is a company in montana, a that does mpany business here in laredo, texas. i know because i used to company, so again it's one of those things that rade touches every part of the country and again i agree with the gentleman. to see trade. part of the reason we have the deficit is because we're oil.rting so much and this is why another sector energy is unity is oil and gas and we export more of that then we'll be able to down. that deficit i agree with the gentlemen. products see u.s. made by companies go out there and produ

and over again of just exactly what china is doing. remember the other territorial claimants to these islands are vietnam, the philippines, taiwan -- >> they're upset. >> and extraordinarily weak. the united states is the only one who can stand up for freedom of navigation, and stand up against a be lij rant government that is seizing territory. china is doing it in the south china sea and will do it in the east china sea, soon. these interests are directly and adversely effected here. >> yesterday was the anniversary of the tienamin square. do you believe that china has changed since that day? >> we heard about it for about 30 years from now preponderate dominant political force nap is who we're dealing with, and we're dealing with it through a barack obama, john kerry, hillary clinton style diplomacy. we're losing the momentum is against us in the south china sea, and i'm very afraid the new president in jan may have a bigger deal. >> how would you change it? >> i think you have to do several things, politically demonstrate that we will not tolerate this. number two, step up military operations in the south china sea. longer term, rebuild the american navy. so we have a stronger capability. we

the fact that this tension in the south china sea between the united states and chinese forces. e fact that pentagon chief ash carter was just in new dehli as part of this uncirclement of china strategy, at the same time as john kerry, secretary of state, was in japan. you know, i'm sure, that the u.s. bases in the philippines are being revived. u.s. bases in northern australia targeting china. that president obama himself will be headed to vietnam been rather shortly, and you may recall that despite the fact that these are two, quote, communist regimes, unquote, they fought a rather bitter war shortly after the vietnam war, and by the way, if you're trying to understand the rise of china in recent decades to the point where now it's jumped by many -- judges be many to have an economy larger than the united states. you have to understand the fixation and obsession with moscow that not only led to an eye lines with a religious zealot which exploded all over the world and this alliance with china in return for china waging war against vietnam, it was able to attract foreign instres