What a Day Podcast Summary: "Trump's Tariff Crisis Averted"

Release Date: February 4, 2025
Host: Jane Coaston
Producer: Crooked Media

Economic Standstill: Trump's Tariff Pause

The episode opens with host Jane Coaston addressing the latest development in President Donald Trump's long-discussed tariff strategy. As of the recording on Monday evening, Trump's anticipated tariffs on Canadian and Mexican goods have been paused for at least 30 days.

Key Highlights:

• Mexico's Concessions: Mexican President Claudia Sheinbaum detailed her conversation with Trump, stating, “Let’s put them on hold permanently. He then asked, well, for how long? I responded, let’s pause them for a month. And I’m confident that in a month we will deliver results for both his people and Mexico” (00:54).

• Canadian Settlement: Canadian Prime Minister Justin Trudeau confirmed, “We had a good call with President Trump and that Trump agreed to pause the tariffs on Canadian goods for 30 days” (01:10). However, much of what Trump sought had already been addressed by Canada in December, rendering the pause somewhat symbolic.

• Military Deployment Misconception: Mexico agreed to send 10,000 troops to the US-Mexico border as part of the tariff pause deal. Jane points out the redundancy, noting Mexico already deployed 15,000 troops in 2019 (01:10).

Analysis: Jane critiques the situation as a "classic Trump moment," where perceived victories are more about rhetoric than substantial policy changes. She questions the effectiveness and sincerity of the tariff pause, highlighting the minimal actual concessions made by Canada and Mexico.

In-Depth Economic Insights with Scott Lincecum

Seeking clarity on the complex issue of tariffs and their implications, Jane interviews Scott Lincecum, Vice President of General Economics and Trade Policy at the Cato Institute.

Understanding Tariff Wars:

• Definition: Scott explains, “It is apparently when the president of the United States announces he’s going to apply taxes on about a trillion dollars worth of goods” (02:29).

• Impact on Economy: He emphasizes that tariffs lead to retaliatory measures, resulting in a broad increase in prices rather than a targeted economic shift (08:17).

Trump's Justifications vs. Reality:

• National Emergency Claims: Jane questions Trump's assertion that tariffs are necessary to combat illegal aliens and fentanyl. Scott counters, “There is absolutely nothing that a tariff on avocados from Mexico and crude oil from Canada is going to do to stop Americans from consuming illicit drugs” (03:26).

• Trade Deficit Misconceptions: Scott clarifies that the US trade deficit is a reflection of larger macroeconomic factors and not an issue that tariffs can effectively resolve. “Trade deficits are driven by big macroeconomic factors, savings and investment patterns… There’s absolutely no reason to even care about bilateral trade balances” (04:28).

Future Tariff Targets:

• Potential Targets: China remains a primary target, with expectations of additional tariffs, followed by possible measures against Europe, particularly in the automotive supply chain and steel and aluminum industries (08:39).

• Economic Uncertainty: The uncertainty surrounding tariff implementations is already negatively impacting investments, as noted by Scott: “These things have real costs even if we’re not getting new tariffs tomorrow” (10:30).

Democratic Countermeasures: Hakeem Jeffries' 10-Point Plan

Transitioning to the political landscape, Jane covers House Minority Leader Hakeem Jeffries' recent actions aimed at countering the Trump administration's policies.

Key Initiatives:

• 10-Part Plan: Jeffries outlined a comprehensive strategy to “push back against the far right extremism,” including introducing legislation to secure the Treasury Department's payment systems and prevent unlawful access, referencing Elon Musk's DOGE initiative (15:14).

• Funding and Executive Actions: He vehemently opposed the White House's Office of Management and Budget order to freeze federal funding, declaring it “illegal” and demanding its removal from the upcoming government funding bill (14:12).

Legislative Pushback:

• Combating Executive Orders: Jeffries emphasized the need to combat executive actions that threaten foundational policies, including ending birthright citizenship and firing inspectors general (14:26).

USAID Overhaul: Marco Rubio's Controversial Appointment

Jane delves into Secretary of State Marco Rubio's recent announcement altering the structure of USAID, raising significant concerns among Democrats.

Changes Implemented:

• Reorganization Plans: Rubio declared himself the acting director of USAID and announced potential moves to integrate or abolish certain missions and bureaus, a move met with intense criticism (14:26).

• Democratic Backlash: Democrats, including Senator Brian Schatz, responded by placing a hold on Trump's State Department nominees, arguing that Rubio's actions undermine the agency's mission to provide international aid (15:38).

Scott Lincecum's Perspective: Scott emphasizes the importance of legislative processes in changing agencies, stating, “You cannot wave away an agency that you don’t like or that you disagree with by executive order” (15:14).

Trump's Sovereign Wealth Fund and TikTok Ventures

A significant portion of the episode focuses on Trump's executive order to establish a sovereign wealth fund, with potential investments in TikTok.

Details and Implications:

• Executive Order: Trump signed an order directing the Treasury and Commerce Departments to create a sovereign wealth fund, mentioning TikTok as a possible investment target (16:07).

• Lack of Clarity: Jane notes the absence of specifics regarding the fund's funding sources and operational mechanisms, drawing parallels to existing large institutional funds like those of Saudi Arabia and Norway (16:19).

• Strategic Objectives: The move aligns with Trump’s strategy to counter Chinese tech influence, although the exact nature of partnerships remains vague (16:38).

Protecting Abortion Providers: New York's Legislative Actions

Shifting focus to healthcare and state rights, New York Governor Kathy Hochul introduced measures to safeguard doctors who prescribe abortion pills to out-of-state patients.

Legislative Measures:

• Shielding Doctor Identities: Hochul announced that prescription labels for abortion medications like mifepristone and misopristone will display the healthcare practice's name instead of individual providers (17:55).

• Preventing Extradition: She firmly rejected extradition orders aimed at a New York-based doctor accused of prescribing abortion pills to a minor in Louisiana, asserting, “Never, under any circumstances will I sign an extradition agreement that sends our doctor into harm's way” (17:16).

Claudia Sheinbaum’s Input: Sheinbaum criticized states targeting and intimidating doctors and patients, contrasting them with New York's values (18:19).

Controversial Appointments: Darren Beatty's Role in Diplomacy

A particularly heated segment covers Marco Rubio's appointment of Darren Beatty as the Undersecretary of State for Public Diplomacy, despite Beatty's troubling history.

Darren Beatty's Background:

• Controversial Statements: Beatty has a history of making racially charged and offensive remarks, including statements like, “Competent white men must be in charge if you want things to work” and dismissing the plight of marginalized groups (18:39).

• Previous Actions: He praised the Capitol insurrection on January 6, 2021, and expressed controversial views on America's role in global affairs, advocating for policies aligned with authoritarian regimes (18:39).

Public and Political Reaction: Jane criticizes the appointment, highlighting the disconnect between Beatty's ideology and America's diplomatic values, labeling it as setting a problematic precedent for American diplomacy (18:39).

Closing Remarks and Additional Content

Towards the end, Jane briefly mentions Senator Cory Booker's collaboration with Stacey Abrams on effective communication with elected representatives and supporting democratic initiatives, promoting their podcast Assembly Required as a positive counter-narrative in the current political climate.

Notable Quotes:

• Claudia Sheinbaum on Tariffs: “I’m confident that in a month we will deliver results for both his people and Mexico” (00:54).

• Scott Lincecum on Trade Deficit: “There’s absolutely no reason to even care about bilateral trade balances” (04:28).

• Hakeem Jeffries on Executive Actions: “We are ready to work with our Republican colleagues, but they have to stop doing the bidding of their billionaire buddies” (15:54).

• Darren Beatty Critique: “America would be so much better if we were more like China or Russia” (18:39).

Conclusion:

In this episode of What a Day, Jane Coaston navigates through the tangled web of Trump's tariff policies, intergovernmental negotiations with Canada and Mexico, and the broader economic implications discussed by Scott Lincecum. The podcast also delves into the Democratic response led by Hakeem Jeffries, controversial political appointments by Marco Rubio, and pivotal state-level legislative actions in New York protecting abortion providers. Throughout, the episode underscores the ongoing political tensions and economic uncertainties shaping the United States in early 2025.

Produced by Crooked Media. For more insightful analyses and updates, subscribe to "What a Day" on your preferred podcast platform or watch on YouTube.