US-China Trade Deal & Rioters Charged | 6.12.25

Summary

Morning Wire Podcast Summary
Episode: US-China Trade Deal & Rioters Charged | 06.12.25
Release Date: June 12, 2025

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Overview

In this episode of Morning Wire, hosts Georgia Howe and John Bickley, alongside Tim Rice and Cabot Phillips, delve into two major developments shaping the current American landscape: the significant US-China trade agreement and the escalating anti-Trump riots sweeping across the nation. The discussion intricately weaves economic implications with political turmoil, providing listeners with a comprehensive analysis of these pressing issues.

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US-China Trade Deal

Announcement and Terms

President Donald Trump announced a pivotal trade deal with China, signaling a potential end to the prolonged trade war. Georgia Howe introduces the topic, highlighting the swift progress of the negotiations.

• John Bickley emphasizes the deal's magnitude:

  "If it really is put into law. This is a blockbuster. This is huge."
  (00:10)

The agreement, as detailed by Cabot Phillips, entails a reduction of tariffs imposed on Chinese goods entering the United States from 145% to 55%, while American goods exported to China will see a significant decrease in tariffs to just 10%. Additionally, China has committed to resuming the shipment of rare earth minerals critical to various industries.

Importance of Rare Earth Minerals

The episode underscores the strategic importance of rare earth minerals to the U.S. economy and national security.

• John Bickley elucidates:

  "Rare earths for the audience that doesn't know power. US$7 trillion of consumer goods every year. So without Chinese rare earths, our iPhones aren't going to work, our cars aren't going to work, and importantly, our military defense weapons aren't going to work. So without Chinese rare earths, America's in a lot of trouble."
  (03:12)

Economic Impact

The trade deal aims to bolster American businesses operating in China, with John Bickley noting the substantial profits American companies reap from the Chinese market.

• John Bickley states:

  "American companies are making billions and billions of dollars in profit in mainland China."
  (03:35)

Future Trade Prospects

Howard Lutnick, Commerce Secretary, confirms the deal's finality and hints at more trade agreements on the horizon.

• Howard Lutnick remarks:

  "Oh, there are so many coming, you know now we're going to be focused. Starting today, we're going to be focused on other deals. We're going to get them done. We're in good shape with lots of countries, but good shape isn't good enough for the United States of America."
  (04:55)

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Political Unrest and Riots

Escalation of Anti-Trump Riots

The nation witnesses a surge in anti-Trump protests, with Los Angeles remaining the epicenter while other cities like Las Vegas, Minneapolis, Philadelphia, and Seattle experience similar unrest.

• Gavin Newsom, California Governor, provides an overview:

  "Once again, these anti Trump riots and protests continued to pick up steam in the last 24 hours, growing nationwide by Wednesday night."
  (06:39)

Impact on Law Enforcement and Public Safety

The riots have led to significant strain on local law enforcement, resulting in injuries and the deployment of the National Guard in states like Texas.

• Gavin Newsom reports:

  "Authorities there responded with tear gas and finally got the crowd under."
  (06:39)

Political Battle Between Trump and Newsom

The conflict intensifies as President Trump criticizes Governor Newsom's handling of the situation, accusing him of overstepping by deploying the National Guard without consultation.

• Donald Trump asserts:

  "Donald Trump, without consulting California law enforcement leaders, commandeered 2,000 of our state's National Guard members to deploy on our streets illegally and for no reason."
  (08:09)

Conversely, Gavin Newsom calls for unity against Trump, framing the unrest as a catalyst for American citizens to "stand up."

• Gavin Newsom urges:

  "It's time to, quote, stand up to Donald Trump, who he blamed for provoking supposedly peaceful demonstrators."
  (07:57)

Narrative Control and Public Perception

Shawn Rhine, a contributor, discusses the battle over narrative control, emphasizing that the riots are not organic but orchestrated by extremist groups like Antifa.

• Shawn Rhine explains:

  "These are not organic riots necessarily. These are not spontaneous to the extent that you have the more violent elements. These are, you know, actual terrorist groups like Antifa that are out there agitating and causing problems."
  (10:30)

He further contends that the American public perceives Trump's swift action as necessary and praises his proactive measures.

• Shawn Rhine states:

  "I just don't think the idea that this represents martial law is that scary or intimidating to the average voter after dealing with years of nationwide riots driven by professional leftist agitators."
  (12:08)

Upcoming Events and Government Response

Plans for the "No Kings" event are set to coincide with President Trump's 79th birthday and a celebratory parade in Washington D.C., with authorities preparing for potential disruptions.

• Howard Lutnick warns:

  "We're going to have a lot of and if there's any protester wants to come out, they will be met with very big force."
  (09:06)

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Economic Developments

Inflation Rates Decline

Amidst the political unrest, economic indicators show positive trends. Inflation rates have decreased, alleviating some economic pressures previously attributed to Trump's tariffs.

• Gavin Newsom shares:

  "Inflation last month rose just 0.1% compared to April. It's now sitting at 2.4%. That is just off of a record four year low."
  (09:19)

Impact of Tariffs

Contrary to economists' predictions that tariffs would exacerbate inflation, the latest data indicates a cooling economy, with significant declines in essential products such as milk, eggs, smartphones, and gas.

• Gavin Newsom notes:

  "Economists had been projecting for months now that inflation would get worse as President Trump's tariffs took effect. But once again, those predictions have yet to come to fruition."
  (09:19)

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Conclusion

The Morning Wire episode offers a thorough analysis of the US-China trade deal's implications and the burgeoning anti-Trump riots' socio-political dynamics. By intertwining economic data with on-the-ground reports, the hosts provide listeners with a nuanced understanding of how these events shape the nation's trajectory. Notable quotes throughout the episode underscore the gravity and complexity of the issues at hand, painting a vivid picture of a nation navigating through significant economic and political challenges.

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Notable Quotes:

• John Bickley on the trade deal's significance:

  "If it really is put into law. This is a blockbuster. This is huge."
  (00:10)

• John Bickley on the importance of rare earth minerals:

  "So without Chinese rare earths, America's in a lot of trouble."
  (03:12)

• Shawn Rhine on the nature of the riots:

  "These are not organic riots necessarily... actual terrorist groups like Antifa that are out there agitating and causing problems."
  (10:30)

• Gavin Newsom on inflation trends:

  "Inflation last month rose just 0.1% compared to April. It's now sitting at 2.4%."
  (09:19)

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Transcript

[Georgia Howe]

The US And China agreed to a trade framework slashing tariffs and unlocking rare earth minerals.

[John Bickley]

If it really is put into law. This is a blockbuster. This is huge.

[Tim Rice]

Is the trade war over or is this the opening move in a bigger game?

[Georgia Howe]

I'm Georgia Howe with Daily Wire Executive editor John Bickley. It's Thursday, June 12th, and this is Morning Wire.

[Tim Rice]

Inflation finally cools, but LA remains hot. We break down the latest on the economy and the political unrest.

[Cabot Phillips]

There's no way to look at these.

[Mark Hemingway]

Numbers and say they're not welcome news.

[Georgia Howe]

And as chaos erupts on the LA streets, the real battle is for the narrative who's winning the PR war.

[Shawn Rhine]

I think now Americans have a very good and clear sense that these are not organic riots necessarily. These are not spontaneous.

[Tim Rice]

Thanks for waking up with Morning Wire. Stay tuned. We have the news you need to know.

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[Tim Rice]

President Trump broke some major news this week, announcing the US has reached a trade deal with China. The announcement comes amid an uneasy truce after a series of retaliatory tariffs.

[Georgia Howe]

Here with a look at this developing story is Daily Wire Deputy Managing Editor Tim Rice. So, Tim, this announcement is coming more quickly than a lot of people expected. What do we know so far?

[Cabot Phillips]

Yeah, good morning, guys. So we don't know exactly what the deal entails yet, but we have a pretty good sense of where it's going to. Early yesterday morning, Trump shared on Truth Social that our deal with China is Done. Subject to final approval with President Xi and me. This followed two days of negotiations between top economic officials from both countries. In London, Trump said that the deal as it stands would impose 55% tariffs on Chinese goods entering the United states, but just 10% on American goods in China. China has also agreed to resume shipping magnets and rare earth minerals to the United States right away. A pretty big win for the White House. We recently talked about the importance of rare earth minerals in the tariff standoff with Shawn Rhine. He's the founder of the China Market Research Group and the author of the Finding the Opportunities in China's Economy. He underscored just how crucial these minerals are to the US Economy.

[John Bickley]

Rare earths for the audience that doesn't know power. US$7 trillion of consumer goods every year. So without Chinese rare earths, our iPhones aren't going to work, our cars aren't going to work, and importantly, our military defense weapons aren't going to work. So without Chinese rare earths, America's in a lot of trouble.

[Cabot Phillips]

Ryan also highlighted how much money American companies make in China.

[John Bickley]

American companies are making billions and billions of dollars in profit in mainland China. You know, China is the largest market in the world for kfc. It's the second largest market in the world for Starbucks and Apple. So you hear a lot of politicians demonize China. And I think, frankly, some of their criticisms are true, like the demand for a more open market for some of our technology companies, like a Google, like a Facebook and reciprocity. But I think they exaggerate some of the difficulties.

[Cabot Phillips]

So clearly the US has reasons to want to keep the tariffs low on the export side to China. And again, it's looking like that'll be just 10%.

[Georgia Howe]

So this seems like a pretty great deal for the United States. What does China get out of it?

[Cabot Phillips]

Well, for one thing, it's a far cry from the 145% tariffs China was facing before the two countries came to this agreement. But Trump also said that the deal will allow Chinese students to resume attending American colleges and universities.

[Georgia Howe]

Now, before we let you go, I want to address the elephant in the room when it comes to these negotiations. Some people have suggested that Trump has been moving the goalposts on these deals. Is this really going to be the final agreement with China?

[Cabot Phillips]

To hear Commerce Secretary Howard Lutnick tell it, yes. He insisted this was the final China trade deal in an interview with CNBC yesterday, during which he also said Americans should expect more trade deals to follow.

[Howard Lutnick]

Oh, there are so many coming, you know now we're going to be focused. Starting today, we're going to be focused on other deals. We're going to get them done. We're in good shape with lots of countries, but good shape isn't good enough for the United States of America.

[Georgia Howe]

Well, hopefully it'll be a summer of more good deals for the U.S. tim, thanks for reporting.

[Cabot Phillips]

You bet.

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[Tim Rice]

The clash between Donald Trump and Gavin Newsom escalated Wednesday as anti ice riots continued to spread across the country.

[Georgia Howe]

Daily Wire senior editor Cabot Phillips is here to break it down. So Cabot, the rioting is approaching its seventh night in Los Angeles and we're also seeing some unrest pop up in a few other cities across the country with what's the latest?

[Gavin Newsom]

Yeah, once again, these anti Trump riots and protests continued to pick up steam in the last 24 hours, growing nationwide by Wednesday night. Las Vegas, Minneapolis, Philadelphia and Seattle all joined the growing list of cities hit by these demonstrations. In Texas, Governor Greg Abbott mobilized the National Guard after protests there turned violent, with officers in a number of cities left hospitalized. In Atlanta, hundreds of rioters lobbed fireworks at police and attempted to shut down a highway. Authorities there responded with tear gas and finally got the crowd under.

[Georgia Howe]

So protests are spreading to other cities, but California still remains ground zero.

[Gavin Newsom]

Yes, it does. Demonstrations continued across the state Wednesday night as rioters defied curfews and clashed with the police. Now at least one rioter Emiliano Galvez has been charged with attempted murder. Galvez, a previously deported Mexican national, allegedly threw a Molotov cocktail of police in LA County. And more broadly, according to White House Press Secretary Caroline Levitt on Wednesday, a large chunk of the 330 illegal immigrants who've been arrested during these riots already have passed criminal records.

[Cabot Phillips]

Since June 6, there have been 330 illegal aliens that have been arrested as part of these riots in Los Angeles. 113 of those illegal aliens had prior criminal convictions.

[Gavin Newsom]

Now, for his part, California Governor Gavin Newsom essentially cheered on the demonstrations, telling Americans it was time to, quote, stand up to Donald Trump, who he blamed for provoking supposedly peaceful demonstrators.

[Donald Trump]

Donald Trump, without consulting California law enforcement leaders, commandeered 2,000 of our state's National Guard members to deploy on our streets illegally and for no reason.

[Gavin Newsom]

And then Newsom went on to offer a call to action for all Americans, not just those in California.

[Donald Trump]

The founding fathers, they didn't live and die to see this kind of moment. It's time for all of us to stand up now.

[Gavin Newsom]

Critics say that he's planning his run for President in 2028 and views this as an opportunity to paint himself once and for as the leader of the anti Trump movement at the state level. It's worth noting, though, these riots are not likely to die out anytime soon. Organizers are planning a quote, no Kings event in cities across the country on Saturday. That event will coincide with President Trump's 79th birthday and that massive parade in D.C. to celebrate the Army's 250th birthday. For his part, though, Trump had a message to anyone planning on shutting down that event.

[Howard Lutnick]

We're going to be celebrating big on Saturday. We're going to have a lot of and if there's any protester wants to come out, they will be met with very big force.

[Georgia Howe]

Now, these riots have been getting a lot of attention, but there's also been some pretty big economic news. What's new there?

[Gavin Newsom]

Yeah, big news and good news at that on the economy. On Wednesday, we learned that inflation last month rose just 0.1% compared to April. It's now sitting at 2.4%. That is just off of a record four year low. Among the products that saw the steepest declines in May were milk, eggs, smartphones and gas. Economists had been projecting for months now that inflation would get worse as President Trump's tariffs took effect. The but once again, those predictions have yet to come to fruition.

[Georgia Howe]

Well, low inflation is something everyone can be happy about. Cabot, thanks for Reporting.

[Gavin Newsom]

Absolutely.

[Georgia Howe]

As L. A and other cities struggle to contain the anti ice riots, Democrats, Republicans, and the media battle over containing the narrative. In the end, who will the public side with?

[Tim Rice]

More Joining us now to discuss is Mark Hemingway, senior writer at Real Clear Investigations. Hey, Mark. So we've seen the LA riots continue for several days now. The, the left is trying to frame this as Trump being dictatorial, as they've always portrayed him to be. But Trump has also been really leaning into this as well. Very proactive in terms of sending out the National Guard, very strong on his messaging. So both sides see this as an opportunity, clearly. Who is right?

[Shawn Rhine]

Well, they're really trying very hard to establish narrative control over what's going on, because what's going on looks really bad to the average American. But this is a very different time than 2020, and we went through months of riots in 2020, and I think now Americans have a very good and clear sense that these are not organic riots necessarily. These are not spontaneous to the extent that you have the more violent elements. These are, you know, actual terrorist groups like Antifa that are out there agitating and causing problems. So, you know, as much as they try and drive this message that Trump is overreacting by driving in the Marines. Well, actually, no, he's not. I mean, he's trying to prevent, you know, even further violence by, you know, getting on it before it gets out of hand, particularly since we have a situation here where the local Los Angeles authorities were pretty clearly sympathetic to what was going on initially. And that has been a real problem for sort of the narrative issue for Democrats right now, because there's a big difference between what's happening on the ground and the local politicians who seem broadly sympathetic to it, and national Democrats who realize, oh, wow, gosh, you know, this looks really bad. And they're not condemning the violence in moral terms. The message that Gavin Newsom, national Democrats are actually driving is don't do this because it helps Trump. There's like no moral core to it whatsoever. And I think that's a really, that's a big time losing argument right now.

[Tim Rice]

Right now for the Democrats escalation argument. Is the American public going to agree that Trump has escalated the situation by sending in troops too early, or are they going to see this as Trump being correct and prescient and being quick act?

[Shawn Rhine]

I mean, so far, I think the American people are broadly sympathetic to Trump. Trump campaigned on mass deportations. His immigration policy is still broadly popular. And the idea that Democrats are attaching support of violent riots to that or trying to make Trump look like the extremist. It's just we're. This is not five years ago. And even then, people were more supportive of law and order than they were of continuing violence. So, you know, at this point in time, I think the average American would, you know, trust the first 700 Marines in the phone book at 29 palms over the elected leadership of Los Angeles to do what's right for the people of that city. I just don't think the idea that this represents martial law is that scary or intimidating to the average voter after dealing with years of nationwide riots driven by professional leftist agitators.

[Tim Rice]

Yeah, like you've said, things have really changed since 2020. Final question. You mentioned astutely at the beginning that the American people are now aware that these are not organic protests. For the most part, we see high levels of organization. Organizers handing out face shields, protective gear, signs, flags. Do we have specific evidence of entities that are involved in funding these protests?

[Shawn Rhine]

Hmm. Anna Paulina Luna announced that the House Oversight Committee was going to hold some hearings on the funding of this. And they're specifically focusing on this American billionaire named Neville Singham. He's well known for funding far left causes, and he's a literal Maoist who's done a lot of work with the Chinese, you know, communist government. So, like, there's a million legal aid groups out there that will basically, if you're arrested in a riot or whatever, will, you know, spring. You know, there's bail funds. They will spring you from jail, something, you know, someone else will have paid for it. Oftentimes it might even come. The funding might even come from state grants or even federal grants. And then there's all these pro bono lawyers that will go out there and defend you. There are websites where antifa, you know, and similarly aligned groups, they actually share tactics like they write papers on. When we overran the police station in Minneapolis, this was the tactic that worked. So the infrastructure is out there. And I do think, though, that we didn't do a lot better job of exposing it and getting at who's funding it and doing things to, you know, prevent these people from, you know, using, you know, whatever resources they have to do illegal things, which is clearly what's happening.

[Tim Rice]

As you've laid out, it sounds like that effort is well underway. Mark, thanks so much for coming on.

[Shawn Rhine]

Thank you.

[Georgia Howe]

Before we go, a quick programming note. A lot of you asked for it, so we brought it back. Morning Wire's afternoon update show is now back with a few slight tweaks so look for Evening Wire in your podcast feeds on weekdays at 5pm Eastern Time.

[Tim Rice]

Thanks for waking up with us. And if you're watching on YouTube, don't forget to like and subscribe. We'll be back this evening with more news you need to know.

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