Bloomberg Audio Studios, podcasts, radio news. You're listening to the Bloomberg Balance of Power podcast. Catch us live weekdays at noon and five pm Eastern on Apple Coarclay and Android Auto with the Bloomberg Business App. Listen on demand wherever you get your podcasts, or watch us live on YouTube.

Bloomberg Audio Studios, podcasts, radio news. You're listening to the Bloomberg Balance of Power podcast. Catch us live weekdays at noon and five pm Eastern on Apple Coarclay and Android Auto with the Bloomberg Business App. Listen on demand wherever you get your podcasts, or watch us live on YouTube.

Investors are not waiting around for an official announcement on this auto tariff delay. Just watch GM. This is a pretty remarkable moment here following the big speech last night, So welcome yes to the day after the Wednesday edition of Balance of Power here on Bloomberg Radio, the satellite radio channel one twenty one, and on YouTube, where you can find us right now by searching Bloomberg Business News Live. No travel schedule for Donald Trump. I guess he's sleeping this offul little bit. But he is also meeting with members of Congress here to talk about the way forward on a budget resolution, reconciliation and maybe even and funding the government ten days from now. But we've got a lot to unpack from last night, as Wall Street shakes it off here on this fifth of March with news on tariffs following tariff Tuesday and a speech to a joint Session of Congress that embraced what Donald Trump considers the most beautiful word in the dictionary. Let's listen.

Investors are not waiting around for an official announcement on this auto tariff delay. Just watch GM. This is a pretty remarkable moment here following the big speech last night, So welcome yes to the day after the Wednesday edition of Balance of Power here on Bloomberg Radio, the satellite radio channel one twenty one, and on YouTube, where you can find us right now by searching Bloomberg Business News Live. No travel schedule for Donald Trump. I guess he's sleeping this offul little bit. But he is also meeting with members of Congress here to talk about the way forward on a budget resolution, reconciliation and maybe even and funding the government ten days from now. But we've got a lot to unpack from last night, as Wall Street shakes it off here on this fifth of March with news on tariffs following tariff Tuesday and a speech to a joint Session of Congress that embraced what Donald Trump considers the most beautiful word in the dictionary. Let's listen.

If you don't make your product in America, however, under the Trump administration, you will pay a tariff, and in some cases a rather large one. Countless other nations charge us tremendously higher tariffs than we charge them. April second, reciprocal tariffs kick in.

If you don't make your product in America, however, under the Trump administration, you will pay a tariff, and in some cases a rather large one. Countless other nations charge us tremendously higher tariffs than we charge them. April second, reciprocal tariffs kick in.

The tariffs will.

The tariffs will.

Go on agricultural product coming into America and our farmers starting on April second. It may be a little bit of an adjustment period. I've also imposed a twenty five percent tariff on foreign aluminum, copper, lumber, and steel. Tariffs are about making America richie again and making America great again. And it's happening, and it will happen rather quickly. There'll be a little disturbance, but we're okay with that.

Go on agricultural product coming into America and our farmers starting on April second. It may be a little bit of an adjustment period. I've also imposed a twenty five percent tariff on foreign aluminum, copper, lumber, and steel. Tariffs are about making America richie again and making America great again. And it's happening, and it will happen rather quickly. There'll be a little disturbance, but we're okay with that.

A little disturbance in the force. We were watching, so you didn't have to one hundred minutes long. Everybody crawled out of here around midnight last night. Nine thousand, eight hundred eighty eight words. According to the transcript, Donald Trump went for broke, and indeed broke President Bill Clinton's eighty eight minute record. Remember in conclusion, that's where we start our conversation with Ashley Davis, who was also watching along last evening, Republican strategist partner S three Group, former senior Stafford the Apartment of Homeland Security. Ashley, it's great to see you. Welcome back. I don't know if you've recovered from a record setter last night, But was it time well spent because the market's still pretty confused about tariff Tuesday among a lot of other things.

A little disturbance in the force. We were watching, so you didn't have to one hundred minutes long. Everybody crawled out of here around midnight last night. Nine thousand, eight hundred eighty eight words. According to the transcript, Donald Trump went for broke, and indeed broke President Bill Clinton's eighty eight minute record. Remember in conclusion, that's where we start our conversation with Ashley Davis, who was also watching along last evening, Republican strategist partner S three Group, former senior Stafford the Apartment of Homeland Security. Ashley, it's great to see you. Welcome back. I don't know if you've recovered from a record setter last night, But was it time well spent because the market's still pretty confused about tariff Tuesday among a lot of other things.

Well, I don't think anything's will spent for one hundred minutes, So no, I don't think so. But I do miss the Bush days when everyone criticized him for not talking long enough, and we all miss that. But listen, it was these the last few years have turned into political speeches. I mean, I feel that last night in some ways we've all hit a new low in regards to how the Democrats were reacting, how the Republicans have reacted under when Democrats spoke, And you know, I just I don't like it when you have different positive messages that are coming out, whether it's about a death of somebody or whatever it is, that you can't be you're so angry at each other that you can't support some of that stuff. So that's what I would say, just from a high level. But obviously we've been talking about this Joe for the last year, about his favorite word being tariffs. Yesterday, I think he knew exactly what he was doing. The team knew exactly what they were doing in regards to putting these tariffs, at least in place for a short period of time. I think that they knew it was going to impact the markets. It obviously did impact the markets. You see them taking a step back today. I thought Lutinx, that secretary of Lutinik on Bloomberg earlier today, gave a lot of information in regards to any type of exemptions and saying that if there are going to be exemptions that the President puts in place over the next month, that we should look at USMCA and the exemptions that are there. So I think they are starting to show the te leues. I think it was very pointed today that he just put out the announcement on the automobiles, because what, look what the market's doing.

Well, I don't think anything's will spent for one hundred minutes, So no, I don't think so. But I do miss the Bush days when everyone criticized him for not talking long enough, and we all miss that. But listen, it was these the last few years have turned into political speeches. I mean, I feel that last night in some ways we've all hit a new low in regards to how the Democrats were reacting, how the Republicans have reacted under when Democrats spoke, And you know, I just I don't like it when you have different positive messages that are coming out, whether it's about a death of somebody or whatever it is, that you can't be you're so angry at each other that you can't support some of that stuff. So that's what I would say, just from a high level. But obviously we've been talking about this Joe for the last year, about his favorite word being tariffs. Yesterday, I think he knew exactly what he was doing. The team knew exactly what they were doing in regards to putting these tariffs, at least in place for a short period of time. I think that they knew it was going to impact the markets. It obviously did impact the markets. You see them taking a step back today. I thought Lutinx, that secretary of Lutinik on Bloomberg earlier today, gave a lot of information in regards to any type of exemptions and saying that if there are going to be exemptions that the President puts in place over the next month, that we should look at USMCA and the exemptions that are there. So I think they are starting to show the te leues. I think it was very pointed today that he just put out the announcement on the automobiles, because what, look what the market's doing.

So I.

So I.

People say crazy like a fox, and you know, I don't back off that. Sometimes I'm not saying it's right or wrong, but I don't think that they are. You know, when he was in the first time, everyone was like, no, he doesn't know how to run the country. Dah da da dah. But they've been preparing for this for years, and I do think that he's going to continue to use these tariffs, not just on the financial parts, but also in regards to foreign policy.

People say crazy like a fox, and you know, I don't back off that. Sometimes I'm not saying it's right or wrong, but I don't think that they are. You know, when he was in the first time, everyone was like, no, he doesn't know how to run the country. Dah da da dah. But they've been preparing for this for years, and I do think that he's going to continue to use these tariffs, not just on the financial parts, but also in regards to foreign policy.

You're a strategist, Ashley, though you're a communicator by profession. You know how to tell an elected official, how to crystallize a message, and how not to get in trouble, how not to break into jail. That cut we just heard from Donald Trump. There'll be a little disturbance talking about tariffs, but we're okay with that. It won't be much that's begging to be put in a campaign at if this thing turns south, isn't it. Oh?

You're a strategist, Ashley, though you're a communicator by profession. You know how to tell an elected official, how to crystallize a message, and how not to get in trouble, how not to break into jail. That cut we just heard from Donald Trump. There'll be a little disturbance talking about tariffs, but we're okay with that. It won't be much that's begging to be put in a campaign at if this thing turns south, isn't it. Oh?

Yeah?

Yeah?

But I regret saying that.

But I regret saying that.

I don't know if he will because is it going to really impact him. He can't run again, so it's going to be more that the House and Senate members that are going to be up for reelection, the governors, you know, doesn't have a triple down effect. But I think one thing that he definitely has to deal with, which was not addressed last night, were the pocketbook issues in regards to egg prices. I mean, we can go on and on. I don't need to name them. So tariffs from.

I don't know if he will because is it going to really impact him. He can't run again, so it's going to be more that the House and Senate members that are going to be up for reelection, the governors, you know, doesn't have a triple down effect. But I think one thing that he definitely has to deal with, which was not addressed last night, were the pocketbook issues in regards to egg prices. I mean, we can go on and on. I don't need to name them. So tariffs from.

Said those are Joe Biden's zagg.

Said those are Joe Biden's zagg.

Prices exactly exactly. Well, that's not going to last for you can't Does you get to do that?

Prices exactly exactly. Well, that's not going to last for you can't Does you get to do that?

Yeah?

Yeah?

I mean I remember saying this when Biden came in with Trump, like, you can't continue to blame Trump for how you know, six months a year after that they left. So there has to be a grasp because I don't know if the everyday Americans really paying attention to the tariffs like you and I are, but I think that they're definitely paying attention to their grocery bills.

I mean I remember saying this when Biden came in with Trump, like, you can't continue to blame Trump for how you know, six months a year after that they left. So there has to be a grasp because I don't know if the everyday Americans really paying attention to the tariffs like you and I are, but I think that they're definitely paying attention to their grocery bills.

Yeah, he told Congress to scrap the Chips Act and send spend the money on reducing debt. I realized the spirit of kind of rescinding or overturning the Biden agenda is part of Donald Trump's approach here. But doesn't that argue with the idea of bringing businesses like this back to the US.

Yeah, he told Congress to scrap the Chips Act and send spend the money on reducing debt. I realized the spirit of kind of rescinding or overturning the Biden agenda is part of Donald Trump's approach here. But doesn't that argue with the idea of bringing businesses like this back to the US.

Yes, and I that was actually something I was pretty surprised about, right, before he went on that they were going to concentrate on that. I you know, just seeing come some of the talking points. I and especially because that was a pretty bipartisan bill, I would think he's talking about some of the money that wasn't spent at Commerce yet that maybe reappropriating that or moving that to different parts of the agency for different priorities. But I don't think that that can happen in regards to legislation that's already earmarked for certain things. I mean, we'll see. I mean, we have this, we're having this discussion all the time of how money is being spent with those cuts. But that was a surprise. So I don't know where that's going at this point, but I will see.

Yes, and I that was actually something I was pretty surprised about, right, before he went on that they were going to concentrate on that. I you know, just seeing come some of the talking points. I and especially because that was a pretty bipartisan bill, I would think he's talking about some of the money that wasn't spent at Commerce yet that maybe reappropriating that or moving that to different parts of the agency for different priorities. But I don't think that that can happen in regards to legislation that's already earmarked for certain things. I mean, we'll see. I mean, we have this, we're having this discussion all the time of how money is being spent with those cuts. But that was a surprise. So I don't know where that's going at this point, but I will see.

Would you think of the Democrats in the room the Algreen demonstration. We're three minutes into this thing. Actually I thought it was going off the rails. Donald Trump did seem to get things under control again, or at least Democrats gave up on the initial effort to protest. There were a few who walked out, like Bernie Sanders, a few who boycotted. Does any of this.

Would you think of the Democrats in the room the Algreen demonstration. We're three minutes into this thing. Actually I thought it was going off the rails. Donald Trump did seem to get things under control again, or at least Democrats gave up on the initial effort to protest. There were a few who walked out, like Bernie Sanders, a few who boycotted. Does any of this.

Matter No, I mean, I think this is kind of the polarization of the country and you saw it once again. Just what I said at the beginning of the show though that concerns me is you do have issues that we can't agree on, or tragedies that we should all be agreeing on. That just we can't even be doing that from both sides of the aisles. So I mean, does it make people look I'm just saying this from a Democrat perspective because they're in the minority right now, but they don't look classy when they're reacting that way in regards to you know what, yelling and during the speech. Obviously, I'd say the same thing for Arjorie Taylor Green when Biden was doing it. So both sides do it, and it's just I think it's not a good way to act.

Matter No, I mean, I think this is kind of the polarization of the country and you saw it once again. Just what I said at the beginning of the show though that concerns me is you do have issues that we can't agree on, or tragedies that we should all be agreeing on. That just we can't even be doing that from both sides of the aisles. So I mean, does it make people look I'm just saying this from a Democrat perspective because they're in the minority right now, but they don't look classy when they're reacting that way in regards to you know what, yelling and during the speech. Obviously, I'd say the same thing for Arjorie Taylor Green when Biden was doing it. So both sides do it, and it's just I think it's not a good way to act.

Joe, Well, that's right, and that's that's why we like you. Actually, you were brought up the right way. It was kind of weird watching that they're holding up the signs. I thought I was looking at an auction holding.

Joe, Well, that's right, and that's that's why we like you. Actually, you were brought up the right way. It was kind of weird watching that they're holding up the signs. I thought I was looking at an auction holding.

Up it's trashy.

Up it's trashy.

I forget it was congressomme to leave had a whiteboard. I'm going to start doing that with some guests when they don't answer my questions. I'm going to hold up the whiteboard. You can just watch the YouTube feed and figure out how I feel about it. Just a minute left, Ashley Davis, it's great to have you here. Is Donald Trump going to be defined in this second term by the tariffs or is there more to it?

I forget it was congressomme to leave had a whiteboard. I'm going to start doing that with some guests when they don't answer my questions. I'm going to hold up the whiteboard. You can just watch the YouTube feed and figure out how I feel about it. Just a minute left, Ashley Davis, it's great to have you here. Is Donald Trump going to be defined in this second term by the tariffs or is there more to it?

I don't know. I mean, we thought this. We had the same conversation in twenty eighteen twenty, you know, end of twenty seventeen, beginning twenty eighteen, and then look what happened after the tough terroriffs were put on in China and everyone said the world's going to come to an end, and then Biden never overturned those tariffs. So I think that there will be exemptions just like there were before. I think obviously China and Mexico, and as Sectuary of Utnik said today, that's a war on drugs, not on tariffs. We'll see. We'll see what happens on April second. With reciprocal tariffs. I think that's obviously a big negotiating tactic for the president as well. I think these can be defined on a lot. We'll see. Remember last week we were talking about Ukraine in the fight in the Oval. So this is just a topic of the day.

I don't know. I mean, we thought this. We had the same conversation in twenty eighteen twenty, you know, end of twenty seventeen, beginning twenty eighteen, and then look what happened after the tough terroriffs were put on in China and everyone said the world's going to come to an end, and then Biden never overturned those tariffs. So I think that there will be exemptions just like there were before. I think obviously China and Mexico, and as Sectuary of Utnik said today, that's a war on drugs, not on tariffs. We'll see. We'll see what happens on April second. With reciprocal tariffs. I think that's obviously a big negotiating tactic for the president as well. I think these can be defined on a lot. We'll see. Remember last week we were talking about Ukraine in the fight in the Oval. So this is just a topic of the day.

Oh my god, Ashley, the world shifts again under our feet. Come see us when you're back in the Capitol. It's always our pleasure to spend time with the great Ashley Davis, Republican Strategist, S three Group, Joe Matthew in Washington. We're going to talk about the tariffs in our second hour with former Treasury Secretary Larry Summers. Much more ahead, Keller at Large is coming in hot from Boston. Next.

Oh my god, Ashley, the world shifts again under our feet. Come see us when you're back in the Capitol. It's always our pleasure to spend time with the great Ashley Davis, Republican Strategist, S three Group, Joe Matthew in Washington. We're going to talk about the tariffs in our second hour with former Treasury Secretary Larry Summers. Much more ahead, Keller at Large is coming in hot from Boston. Next.

Right here on Bloomberg, you're listening to the Bloomberg Balance of Power podcast. Catch us live weekdays at noon and five pm. E's durn on Apple Cockley and Android Auto with the Bloomberg Business App. You can also listen live on Amazon Alexa from our flagship New York station. Just say Alexa, play Bloomberg eleven thirty as.

Right here on Bloomberg, you're listening to the Bloomberg Balance of Power podcast. Catch us live weekdays at noon and five pm. E's durn on Apple Cockley and Android Auto with the Bloomberg Business App. You can also listen live on Amazon Alexa from our flagship New York station. Just say Alexa, play Bloomberg eleven thirty as.

We peek out of one eye today in the nation's capital. Everybody's a little bit bleary after the longest speech in recorded history, at least before a joint session of Congress. Yeah, one hundred minutes. Truly, you were with us live for the duration on Bloomberg Radio and on Bloomberg Television, eight hundred eighty eight words, much of it having to do with tariffs, but also funding the government. What are we nine days out now, nine days out from a shutdown? As we seek the truth here on Bloomberg, straddling both ends of Pennsylvania Avenue, we can tell you that Donald Trump is meeting with House Republicans today at the White House on crafting a plan to avoid a shutdown. Elon Musk on the other end on Capitol Hill, meeting with lawmakers following his fetting last night in the House Chamber. Meanwhile, today the House Oversight Committee is busy. Jim Colmer had an early start after a late night drawing Democratic mayors from sanctuary cities around the country to testify before the committee. Interesting, none of the mayors of these cities ever call them sanctuary cities. But as you consider the idea here of the Oversight trying to get some buzz and a very busy news cycle, there's only one strategy left, and that is video production. They actually made a trailer for this hearing that unfolded this morning with the likes of Mayor Eric Adams of New York, Michelle wou of Boston. Here's a taste.

We peek out of one eye today in the nation's capital. Everybody's a little bit bleary after the longest speech in recorded history, at least before a joint session of Congress. Yeah, one hundred minutes. Truly, you were with us live for the duration on Bloomberg Radio and on Bloomberg Television, eight hundred eighty eight words, much of it having to do with tariffs, but also funding the government. What are we nine days out now, nine days out from a shutdown? As we seek the truth here on Bloomberg, straddling both ends of Pennsylvania Avenue, we can tell you that Donald Trump is meeting with House Republicans today at the White House on crafting a plan to avoid a shutdown. Elon Musk on the other end on Capitol Hill, meeting with lawmakers following his fetting last night in the House Chamber. Meanwhile, today the House Oversight Committee is busy. Jim Colmer had an early start after a late night drawing Democratic mayors from sanctuary cities around the country to testify before the committee. Interesting, none of the mayors of these cities ever call them sanctuary cities. But as you consider the idea here of the Oversight trying to get some buzz and a very busy news cycle, there's only one strategy left, and that is video production. They actually made a trailer for this hearing that unfolded this morning with the likes of Mayor Eric Adams of New York, Michelle wou of Boston. Here's a taste.

But provide sanctuary and protection for dangerous criminals push back in.

But provide sanctuary and protection for dangerous criminals push back in.

The sanctuary City of Boston, Mayor Michelle wou So the city will not cooperate with his plan for mass deportation.

The sanctuary City of Boston, Mayor Michelle wou So the city will not cooperate with his plan for mass deportation.

These agents in Massachusetts arresting two illegal immigrants facing it sex crimes against children and two separate instances.

These agents in Massachusetts arresting two illegal immigrants facing it sex crimes against children and two separate instances.

Yeah, that's just a taste. This thing's a couple of minutes long, a lot of grainy images. I think I saw a couple of my old colleagues from the Boston News business in there. The Herald looming large. And if you're with us on ninety two nine, we see you because we wanted to get into this testimony today from the view of one of these cities. This is big local news. You don't need me to tell you that. If you're in Boston, if you're in New York, if you're in Chicago or Denver. And we have the voice of Boston politics with us, the Dean of Boston Politics, the great John Keller keleret Large, political analyst at the CBS affiliate my alma man Ter wdbz's with us now live from the Lawless City of Boston. The dystopian landscape, John, I'm picturing burning garbage cans and cars, as you join us from the middle of Blade Runner. You know, I checked to see if I could get a trailer for us here, John, and it's not in the budget. And I'm wondering what is the point of this whole exercise.

Yeah, that's just a taste. This thing's a couple of minutes long, a lot of grainy images. I think I saw a couple of my old colleagues from the Boston News business in there. The Herald looming large. And if you're with us on ninety two nine, we see you because we wanted to get into this testimony today from the view of one of these cities. This is big local news. You don't need me to tell you that. If you're in Boston, if you're in New York, if you're in Chicago or Denver. And we have the voice of Boston politics with us, the Dean of Boston Politics, the great John Keller keleret Large, political analyst at the CBS affiliate my alma man Ter wdbz's with us now live from the Lawless City of Boston. The dystopian landscape, John, I'm picturing burning garbage cans and cars, as you join us from the middle of Blade Runner. You know, I checked to see if I could get a trailer for us here, John, and it's not in the budget. And I'm wondering what is the point of this whole exercise.

Yeah, the only car is being overturned here in Boston are after one of our pro sports teams wins another championship. Maybe some college students get a little liquored up and go overboard.

Yeah, the only car is being overturned here in Boston are after one of our pro sports teams wins another championship. Maybe some college students get a little liquored up and go overboard.

But yeah, in in there for that.

But yeah, in in there for that.

I've been watching this. Go ahead, Joe.

I've been watching this. Go ahead, Joe.

Sorry, no, I've been there for that. You tell me what did you see today? You're watching so our viewers and listeners didn't have to.

Sorry, no, I've been there for that. You tell me what did you see today? You're watching so our viewers and listeners didn't have to.

Yeah, well, I understand why the Republicans wanted to stage this hearing. Gives them a chance to crank up the video machine, as you just pointed out, which feeds the fervor and the fear in their base. And there's no question about it. Immigration and lack of controls over immigration, lack of a comprehensive plan, has been a winning political issue for the Republicans. Donald Trump has refined it to an art form, so I get it. But so far, the hearing is a huge dud for the Republicans. You know the problem is they've all been salivating ever since in December of twenty three when they hauled the three college presidents before this oversight committee hearing. Remember Claudine Gay from Harvard, the presidents of PAAA MIT and they were just turned into mincemeat by the panelists. Well, that's not what's going on today, because big city mayors are not college presidents. With all due respect to the I'm sure many college presidents in your audience, Joe, these mayors know how to how to engage in a fight, and they came ready. But they really haven't been challenged. In particular. Mayor Wu, supposedly presiding over this paradise for rapists, has yet to be confronted with any specific evidence of any kind of malfeasance attributable to Boston's status as a sanctuary city. Time and again, the mayors have been patiently explaining to frustrated Republicans that if there's an illegal undocumented immigrant who's wanted on a violent crime charge and there's a warrant over to ice, they go, no problem, no questions asked, and they haven't been able to refute it so so far. It's democratic mayors, ten Republicans on the Oversight Committee zero and we're only in the third thing.

Yeah, well, I understand why the Republicans wanted to stage this hearing. Gives them a chance to crank up the video machine, as you just pointed out, which feeds the fervor and the fear in their base. And there's no question about it. Immigration and lack of controls over immigration, lack of a comprehensive plan, has been a winning political issue for the Republicans. Donald Trump has refined it to an art form, so I get it. But so far, the hearing is a huge dud for the Republicans. You know the problem is they've all been salivating ever since in December of twenty three when they hauled the three college presidents before this oversight committee hearing. Remember Claudine Gay from Harvard, the presidents of PAAA MIT and they were just turned into mincemeat by the panelists. Well, that's not what's going on today, because big city mayors are not college presidents. With all due respect to the I'm sure many college presidents in your audience, Joe, these mayors know how to how to engage in a fight, and they came ready. But they really haven't been challenged. In particular. Mayor Wu, supposedly presiding over this paradise for rapists, has yet to be confronted with any specific evidence of any kind of malfeasance attributable to Boston's status as a sanctuary city. Time and again, the mayors have been patiently explaining to frustrated Republicans that if there's an illegal undocumented immigrant who's wanted on a violent crime charge and there's a warrant over to ice, they go, no problem, no questions asked, and they haven't been able to refute it so so far. It's democratic mayors, ten Republicans on the Oversight Committee zero and we're only in the third thing.

All right, Well, let's get a taste of this because to your point, John, Michelle wou did come armed with actual data when it came to crime rates in the city.

All right, Well, let's get a taste of this because to your point, John, Michelle wou did come armed with actual data when it came to crime rates in the city.

Let's listen, this federal administration is making hard working, tax paying, god fearing residents afraid to live their lives. A city that's scared is not a city that's safe. A land ruled by fear is not the land of the free. Next month, Boston will celebrate two hundred and fifty years of our nation's freedom. And in every one of those years, Boston has welcomed the world to our shores.

Let's listen, this federal administration is making hard working, tax paying, god fearing residents afraid to live their lives. A city that's scared is not a city that's safe. A land ruled by fear is not the land of the free. Next month, Boston will celebrate two hundred and fifty years of our nation's freedom. And in every one of those years, Boston has welcomed the world to our shores.

John. She went on to say that each year she's been in office, the murder rate has declined in the city of Boston. She came packed with data that argued with what some of the Republican committee members were saying. I'm curious how this is playing at home, because all of these Democratic mayors have one thing in common. They held news conferences before they left, and they got a lot of local coverage, and most of it was positive. Is that the case in Boston?

John. She went on to say that each year she's been in office, the murder rate has declined in the city of Boston. She came packed with data that argued with what some of the Republican committee members were saying. I'm curious how this is playing at home, because all of these Democratic mayors have one thing in common. They held news conferences before they left, and they got a lot of local coverage, and most of it was positive. Is that the case in Boston?

Well, I mean as far as today's hearing goes, remains to be seen. But I'm going to be commenting on this later on our local news, and I guarantee you I'm going to give her a good review. And you know, I've had my dust ups with Mayor Woo in the past. I'm sure we'll have others in the future. But she's handling this very well. I mean a tip of the cap to the Boston Police Department. They've been doing a great job and it shows up in the crime stats, which is some of the best for a major American city. So there's really no they're there for the Republicans on this panel to get a grip on. And I also think Jonah this has been kind of interesting. She's the only woman on a panel for mayors. They seem reluctant to go after her. You know, it's Ash Wednesday. She's got the Ash cross on her forehead. And while she's generally a sort of a soft spoken person, she has come prepared. Her Her body language is good, her voice quality is calm, or demeanor is calm and composed. But as you heard in that bite, she's got a little aggressive with her criticism of the Republican policies. One of the quick things Joe. In the run up to this, Mayor Wu and local advocates been making a big issue of the impact of the deportations and the ice, the increased ice activity on local businesses. Businesses that cater to the immigrant community's restaurants, pizza joints, you name it. These places are struggling. They're deserted because many immigrants are afraid to go out. So I know you've interviewed the US Chamber of Commerceville so many times about their concerns about mass deportation. I thought I heard James Comer, the chairman of this committee, at one point say, oh, well, there is no mass deportation. Maybe I misheard that, but if he did say it, maybe that indicates a rising level of concern in Republican circles about how all this is playing, at least within the business community.

Well, I mean as far as today's hearing goes, remains to be seen. But I'm going to be commenting on this later on our local news, and I guarantee you I'm going to give her a good review. And you know, I've had my dust ups with Mayor Woo in the past. I'm sure we'll have others in the future. But she's handling this very well. I mean a tip of the cap to the Boston Police Department. They've been doing a great job and it shows up in the crime stats, which is some of the best for a major American city. So there's really no they're there for the Republicans on this panel to get a grip on. And I also think Jonah this has been kind of interesting. She's the only woman on a panel for mayors. They seem reluctant to go after her. You know, it's Ash Wednesday. She's got the Ash cross on her forehead. And while she's generally a sort of a soft spoken person, she has come prepared. Her Her body language is good, her voice quality is calm, or demeanor is calm and composed. But as you heard in that bite, she's got a little aggressive with her criticism of the Republican policies. One of the quick things Joe. In the run up to this, Mayor Wu and local advocates been making a big issue of the impact of the deportations and the ice, the increased ice activity on local businesses. Businesses that cater to the immigrant community's restaurants, pizza joints, you name it. These places are struggling. They're deserted because many immigrants are afraid to go out. So I know you've interviewed the US Chamber of Commerceville so many times about their concerns about mass deportation. I thought I heard James Comer, the chairman of this committee, at one point say, oh, well, there is no mass deportation. Maybe I misheard that, but if he did say it, maybe that indicates a rising level of concern in Republican circles about how all this is playing, at least within the business community.

Spending time with John Keller on Balance of Powerful only got a couple of minutes left. John, I want to ask you about what appears to be that the dust up locally. You can tell me. Josh Kraft, who's of course challenging Michelle Wou was tweeting on X do we need to spend six hundred and fifty thousand dollars a taxpayer funds on a show trial hearing. There's a story that she spent as much money on an outside law firm to prepare for this. Is that true and what do you know about it?

Spending time with John Keller on Balance of Powerful only got a couple of minutes left. John, I want to ask you about what appears to be that the dust up locally. You can tell me. Josh Kraft, who's of course challenging Michelle Wou was tweeting on X do we need to spend six hundred and fifty thousand dollars a taxpayer funds on a show trial hearing. There's a story that she spent as much money on an outside law firm to prepare for this. Is that true and what do you know about it?

Apparently it's true. Nine hundred dollars an hour this law firm charges, And of course my immediate reaction, Joe, was what am I doing in this?

Apparently it's true. Nine hundred dollars an hour this law firm charges, And of course my immediate reaction, Joe, was what am I doing in this?

No kidding?

No kidding?

Why didn't I get into that racket? But while the six hundred and fifty thousand dollars figure, which was confirmed by the city that they've spent in six weeks of prep for today's hearing is an eye popping figure, it sort of looks so far like money well spent. As I say, Mayor Wu is knocking it out of the park. We put in a call for comment to Josh Kraft to who's her most significant challenger so far, it'd be interesting to see if he even wants to talk about it. That's how well it's going for Michelle Wu.

Why didn't I get into that racket? But while the six hundred and fifty thousand dollars figure, which was confirmed by the city that they've spent in six weeks of prep for today's hearing is an eye popping figure, it sort of looks so far like money well spent. As I say, Mayor Wu is knocking it out of the park. We put in a call for comment to Josh Kraft to who's her most significant challenger so far, it'd be interesting to see if he even wants to talk about it. That's how well it's going for Michelle Wu.

Amazing, I've only got a minute left, John, you're going to be talking about I know you're already writing about it on the website. The big speech last night. Was that a win for Donald Trump? We saw a number of folks recoil from the Democratic delegation in Massachusetts. I believe it was Jim McGovern said he would rather have needles in his eyeballs than sit through that.

Amazing, I've only got a minute left, John, you're going to be talking about I know you're already writing about it on the website. The big speech last night. Was that a win for Donald Trump? We saw a number of folks recoil from the Democratic delegation in Massachusetts. I believe it was Jim McGovern said he would rather have needles in his eyeballs than sit through that.

I'm sure that could be arranged if he wants to talk to Tom Holman's the ice guy. But you know it was it was a win in the sense of, you're basically speaking uncontested. You know, the cutaways of Democrats holding up lame little signs. That's not going to move the needle for them. So the Trump basse, I'm sure loved it. Catnet for them.

I'm sure that could be arranged if he wants to talk to Tom Holman's the ice guy. But you know it was it was a win in the sense of, you're basically speaking uncontested. You know, the cutaways of Democrats holding up lame little signs. That's not going to move the needle for them. So the Trump basse, I'm sure loved it. Catnet for them.

I don't think it hurts the.

I don't think it hurts the.

Democratic bait to get a full.

Democratic bait to get a full.

Of the Trump is now a political rally apparently. Hey John, thank you as always the great John Keller, a great friend of the program. Keller at Large Busy in Boston will keep tabs on the hearing for you and assimilar panel. Next, This is Bloomberg.

Of the Trump is now a political rally apparently. Hey John, thank you as always the great John Keller, a great friend of the program. Keller at Large Busy in Boston will keep tabs on the hearing for you and assimilar panel. Next, This is Bloomberg.

You're listening to the Bloomberg Balance of Power podcast. Catch us live weekdays at noon and five pm Eastern on Half o'cock and Android Otto with the Bloomberg Business Up. Listen on demand wherever you get your podcasts or watch us live on YouTube.

You're listening to the Bloomberg Balance of Power podcast. Catch us live weekdays at noon and five pm Eastern on Half o'cock and Android Otto with the Bloomberg Business Up. Listen on demand wherever you get your podcasts or watch us live on YouTube.

Looks like we have breaking news on this matter, Kayley, and look no further than truth social Donald Trump so frequently making the announcement on social media, why hold an event? Justin Trudeau of Canada called me to ask what could be done about tariffs. I told him many people have died from fentanyl came through the borders of Canada and Mexico, and nothing has convinced me that it has stopped. Is this good news, Kayley? He said it's gotten better, but I said that's not good enough, calling it in a somewhat friendly manner, unable to tell them when the Canadian election is taking place, which made me curious, like what's going on here the president of the United States rights I then realized he is trying to use this issue to stay in power. Good luck justin exclamation point. Tariff's still on?

Looks like we have breaking news on this matter, Kayley, and look no further than truth social Donald Trump so frequently making the announcement on social media, why hold an event? Justin Trudeau of Canada called me to ask what could be done about tariffs. I told him many people have died from fentanyl came through the borders of Canada and Mexico, and nothing has convinced me that it has stopped. Is this good news, Kayley? He said it's gotten better, but I said that's not good enough, calling it in a somewhat friendly manner, unable to tell them when the Canadian election is taking place, which made me curious, like what's going on here the president of the United States rights I then realized he is trying to use this issue to stay in power. Good luck justin exclamation point. Tariff's still on?

Well, it would seem so. At least there's very little suggestion in this post that tariffs are off. As he said, what he has seen from Canada to this point on fentanyl is not good enough. Leaving the domestic Canadian politics aside, we should point out that Prime Minister Trudeau has said he is stepping down. There is no indication for him that he actually is changing his mind about that, trying to remain in his position. But on the fentanyl issue specifically is and this is fitting with the framing this administration has put out there that this is about a drug war, not a trade war. This is what the Commerce Secretary was alluding to. What they're trying to do right now, they say is actually just dem the flow of fentanyl. The real trade war starts what less than four weeks from now on April second, when reciprocal tariffs go it.

Well, it would seem so. At least there's very little suggestion in this post that tariffs are off. As he said, what he has seen from Canada to this point on fentanyl is not good enough. Leaving the domestic Canadian politics aside, we should point out that Prime Minister Trudeau has said he is stepping down. There is no indication for him that he actually is changing his mind about that, trying to remain in his position. But on the fentanyl issue specifically is and this is fitting with the framing this administration has put out there that this is about a drug war, not a trade war. This is what the Commerce Secretary was alluding to. What they're trying to do right now, they say is actually just dem the flow of fentanyl. The real trade war starts what less than four weeks from now on April second, when reciprocal tariffs go it.

If they go into place, If yes? What are the panel thinks about this? Rick Davis and Genie Shanzino are whether this Bloomberg Politics contributors our signature panel. They were up all night with us as well listening to and watching this address. He of course partner at Stoneport Capital, at Republican Strategists, genius political science professor at Iona University or democratic analyst, Rick, What do you think about this update here? Can we assume based on this anecdotal a post by Donald Trump at the tariffs will stick?

If they go into place, If yes? What are the panel thinks about this? Rick Davis and Genie Shanzino are whether this Bloomberg Politics contributors our signature panel. They were up all night with us as well listening to and watching this address. He of course partner at Stoneport Capital, at Republican Strategists, genius political science professor at Iona University or democratic analyst, Rick, What do you think about this update here? Can we assume based on this anecdotal a post by Donald Trump at the tariffs will stick?

Yeah?

Yeah?

I think so until they don't stick. Look, I mean we need to understand Donald Trump sees tariffs as a tactic strategy is to you know, make America rich again, and tariffs are a component of that and probably the component he loves to talk about most.

I think so until they don't stick. Look, I mean we need to understand Donald Trump sees tariffs as a tactic strategy is to you know, make America rich again, and tariffs are a component of that and probably the component he loves to talk about most.

But he's he's like a day trader.

But he's he's like a day trader.

You know, let's put the tariffs on today, We'll take him off tomorrow and put him back on a day later. Frankly, much like his handling of the Ukrainian War. Well, we're going to find a deal we can do, and then once we do that deal, we'll have some talks about peace treaties.

You know, let's put the tariffs on today, We'll take him off tomorrow and put him back on a day later. Frankly, much like his handling of the Ukrainian War. Well, we're going to find a deal we can do, and then once we do that deal, we'll have some talks about peace treaties.

You know.

You know.

It's it's very transactional. It's that you know, sort of mercantile government that we've been talking about since day one of his administration. So it shouldn't surprise anybody that he's going to adjust these things. But remember he put these tariffs against China and other trading partners together in the beginning of his administration and many of those are still in place today. So I we have no doubt his long term plan is to use tariffs to bring in revenue to the treasury of the United States, and that's not going to change anything. Just who they're applied to will be somewhat subjective and how high and how long they last is completely at his whim.

It's it's very transactional. It's that you know, sort of mercantile government that we've been talking about since day one of his administration. So it shouldn't surprise anybody that he's going to adjust these things. But remember he put these tariffs against China and other trading partners together in the beginning of his administration and many of those are still in place today. So I we have no doubt his long term plan is to use tariffs to bring in revenue to the treasury of the United States, and that's not going to change anything. Just who they're applied to will be somewhat subjective and how high and how long they last is completely at his whim.

Well, speaking of his whims, he has decided to post for a second time on truth Social in just as many minutes. The President now saying, for anyone who is interested, I also told Governor Justin Trudeau of Canada that he largely caused the problems we have with them because of his weak border policies. He goes on to say that allowed tremendous amounts of fentanyl and illegal aliens to pour into the United States. These policies are responsible for the deaths of many people. Genie, A few things here won last night and his address to a joint session, he actually was talking about Joe Biden, his predecessor's border policies, as being really what is that issue here? Also, when we're considering fentanyl specifically from Canada, as we've repeatedly reminded our audience, forty three pounds a fentanyl across the northern border last year according to US data, is it actually possible for Canada to get that down to zero? Is that what it's actually going to take here?

Well, speaking of his whims, he has decided to post for a second time on truth Social in just as many minutes. The President now saying, for anyone who is interested, I also told Governor Justin Trudeau of Canada that he largely caused the problems we have with them because of his weak border policies. He goes on to say that allowed tremendous amounts of fentanyl and illegal aliens to pour into the United States. These policies are responsible for the deaths of many people. Genie, A few things here won last night and his address to a joint session, he actually was talking about Joe Biden, his predecessor's border policies, as being really what is that issue here? Also, when we're considering fentanyl specifically from Canada, as we've repeatedly reminded our audience, forty three pounds a fentanyl across the northern border last year according to US data, is it actually possible for Canada to get that down to zero? Is that what it's actually going to take here?

It is a made up issue, as we know when we look at the numbers of fentanyl coming from Canada, and you know, Rick was just saying he's using it as a negotiating tactic. We've heard that he's using it to get money for the treasury. We've heard that he's using it because of drugs. We've heard that the problem is there is no clear reason he is given why Americans should go through the pain that they will feel if he keeps this up. As he was talking about last night, there's going to be a disturbance. How much of a disturbance, how much pain for how long? He also noted after that that we can take it? Who is we the wealthy? Can people on the ground take it when they go to the grocery store. The truth is he is acting like a bully. He has been doing it to Ukraine, He's now doing it to Canada, to our closest down Mexico. When we were in kindergarten, we learned that bullies bully because they are weak. He is making himself look weak, He is making the US look weak, and he's hurting the market and potentially the economy long term if he keeps this up. And when we talk about what he did in the first term on China, those were targeted tariffs and guess what, they hurt farmers so much we had to bail them out. This is a bad policy. We've known that for decades. We don't know why he is so committed to it, but he seems to be despite everything. Howard Luttink keeps going on the air and saying.

It is a made up issue, as we know when we look at the numbers of fentanyl coming from Canada, and you know, Rick was just saying he's using it as a negotiating tactic. We've heard that he's using it to get money for the treasury. We've heard that he's using it because of drugs. We've heard that the problem is there is no clear reason he is given why Americans should go through the pain that they will feel if he keeps this up. As he was talking about last night, there's going to be a disturbance. How much of a disturbance, how much pain for how long? He also noted after that that we can take it? Who is we the wealthy? Can people on the ground take it when they go to the grocery store. The truth is he is acting like a bully. He has been doing it to Ukraine, He's now doing it to Canada, to our closest down Mexico. When we were in kindergarten, we learned that bullies bully because they are weak. He is making himself look weak, He is making the US look weak, and he's hurting the market and potentially the economy long term if he keeps this up. And when we talk about what he did in the first term on China, those were targeted tariffs and guess what, they hurt farmers so much we had to bail them out. This is a bad policy. We've known that for decades. We don't know why he is so committed to it, but he seems to be despite everything. Howard Luttink keeps going on the air and saying.

Yeah, Donald Trump said last night, Rick, there'll be a little disturbance, but we're okay with that. It won't be much. Well, he regrets saying those words. They've got to be saving that for a campaign at already.

Yeah, Donald Trump said last night, Rick, there'll be a little disturbance, but we're okay with that. It won't be much. Well, he regrets saying those words. They've got to be saving that for a campaign at already.

Yeah.

Yeah.

First of all, he's not running again, so they can run all the campaign as they want, maybe against Jade Vans, but you know, he's he's not on a ballot again, and so I think that gives him a little bit more flexibility. Secondarily, I'm a little surprised he's actually hedging a little bit because typically he would just say how great this was going to be and how richet was going to make America, and he wouldn't even consider the negative impact on certain communities, farmers and manufacturers and others.

First of all, he's not running again, so they can run all the campaign as they want, maybe against Jade Vans, but you know, he's he's not on a ballot again, and so I think that gives him a little bit more flexibility. Secondarily, I'm a little surprised he's actually hedging a little bit because typically he would just say how great this was going to be and how richet was going to make America, and he wouldn't even consider the negative impact on certain communities, farmers and manufacturers and others.

Who would be hit by these surpluses.

Who would be hit by these surpluses.

But remember, too, he looks at the big picture and he says, look, we've got one hundred billion dollar trade imbalance with Canada. That's what he's trying to get at. He wants to have parody, and we'll see when we get to April. April second, because April first, according to Donald Trump, he's worried. You might be thinking he's kidding. And when the reciprocity's hit on top of whatever he's got outstanding by then on these trade issues, it's going to be even more significant. So I think we're only digging into the very first skirmish of this trade war with Canada and Mexico and other nations around the world.

But remember, too, he looks at the big picture and he says, look, we've got one hundred billion dollar trade imbalance with Canada. That's what he's trying to get at. He wants to have parody, and we'll see when we get to April. April second, because April first, according to Donald Trump, he's worried. You might be thinking he's kidding. And when the reciprocity's hit on top of whatever he's got outstanding by then on these trade issues, it's going to be even more significant. So I think we're only digging into the very first skirmish of this trade war with Canada and Mexico and other nations around the world.

Well, certainly that is the signal, at least at this point. He is not suggesting he's taking his foot off the gas, but perhaps pressing it down harder as we barrel toward April. In the laundry List Genie of tariffs, he says he will be implementing next month. To Rick's point, though, on the idea that Donald Trump the president may be hedging here around the idea that yes, we could actually see some economic impact from this, do you think that's reflective of what he's seeing in the stock market. What economic data is suggesting is that a hint that he is paying attention to that.

Well, certainly that is the signal, at least at this point. He is not suggesting he's taking his foot off the gas, but perhaps pressing it down harder as we barrel toward April. In the laundry List Genie of tariffs, he says he will be implementing next month. To Rick's point, though, on the idea that Donald Trump the president may be hedging here around the idea that yes, we could actually see some economic impact from this, do you think that's reflective of what he's seeing in the stock market. What economic data is suggesting is that a hint that he is paying attention to that.

Yeah, I think there's no doubt he's seen, just as we all have, what's happened in the markets the last two days. There was just a study out gen z Men of fourteen points down in terms of support for what the president is doing in the last forty three days on inflation and the cost of living. So he is seeing all of these signs. The reality is, if he keeps this up, this is a self inflicted wound. He may find himself as the first president to deliberately engineer a severe depression or recession in the United States. Normally we see these things and they are not self inflicted. And that is the question. Why is he so committed to this? What does he want to get out of it? And again he's not telling American people if we're going to feel pain, which we will if he keeps this up to what end?

Yeah, I think there's no doubt he's seen, just as we all have, what's happened in the markets the last two days. There was just a study out gen z Men of fourteen points down in terms of support for what the president is doing in the last forty three days on inflation and the cost of living. So he is seeing all of these signs. The reality is, if he keeps this up, this is a self inflicted wound. He may find himself as the first president to deliberately engineer a severe depression or recession in the United States. Normally we see these things and they are not self inflicted. And that is the question. Why is he so committed to this? What does he want to get out of it? And again he's not telling American people if we're going to feel pain, which we will if he keeps this up to what end?

What is the end of this?

What is the end of this?

What does he want?

What does he want?

Lowering a fentanyl coming across the border from Canada when it's already pretty much as low as it can go. That doesn't add up and it doesn't make any sense. So if he's just being a bully, that is not enough. So you know, there's so many questions here, and this is detrimental to the economy, to the market, and quite frankly, to the GOP if he keeps it up long term. Even as Rick says, he's right, he's not running again, but gosh, I hope he's not just going to destroy the economy because he doesn't care that he's not running again.

Lowering a fentanyl coming across the border from Canada when it's already pretty much as low as it can go. That doesn't add up and it doesn't make any sense. So if he's just being a bully, that is not enough. So you know, there's so many questions here, and this is detrimental to the economy, to the market, and quite frankly, to the GOP if he keeps it up long term. Even as Rick says, he's right, he's not running again, but gosh, I hope he's not just going to destroy the economy because he doesn't care that he's not running again.

Well, what do you make of the mixed message between the President in the Commerce Secretary of the last twenty four hours, Rick Howard Lutnik has done, I believe, four broadcast interviews essentially contradicting what Donald Trump is saying about tariffs. Is this a good cop bad cop thing? In our remaining minute? Could be.

Well, what do you make of the mixed message between the President in the Commerce Secretary of the last twenty four hours, Rick Howard Lutnik has done, I believe, four broadcast interviews essentially contradicting what Donald Trump is saying about tariffs. Is this a good cop bad cop thing? In our remaining minute? Could be.

They're very close. They talk all the time from what I hear, and I think that Donald Trump probably is getting him to lay down a message that either he can use in his negotiations with the heads of state that he's dealing with, or even try to keep the markets tame for the period of time that he's trying to figure out what he wants to do with these adjustments. So yeah, I think it's a good tactic. I mean, everyone's talking about him today and everyone's scratching her head last night. He's sort of keeping that going today with these changes. So stand by.

They're very close. They talk all the time from what I hear, and I think that Donald Trump probably is getting him to lay down a message that either he can use in his negotiations with the heads of state that he's dealing with, or even try to keep the markets tame for the period of time that he's trying to figure out what he wants to do with these adjustments. So yeah, I think it's a good tactic. I mean, everyone's talking about him today and everyone's scratching her head last night. He's sort of keeping that going today with these changes. So stand by.

We always are, Rick Davis and Jeanie Shanzy and our signature political panel. Thank you so much. And on that note, we are standing by for the beginning of the White House News conference with the Press Secretary Caroline Levitz lated to begin this hour. We'll see if we get some clarity from her, and we'll have more ahead here on Bloomberg TV and radio.

We always are, Rick Davis and Jeanie Shanzy and our signature political panel. Thank you so much. And on that note, we are standing by for the beginning of the White House News conference with the Press Secretary Caroline Levitz lated to begin this hour. We'll see if we get some clarity from her, and we'll have more ahead here on Bloomberg TV and radio.

You're listening to the Bloomberg Balance of Power podcasts. Catch us live weekdays at noon and five pm Eastern on Apple Cocklay and Android Auto with the Bloomberg Business App. You can also listen live on Amazon Alexa from our flagship New York station, Just say Alexa, play Bloomberg eleven thirty.

You're listening to the Bloomberg Balance of Power podcasts. Catch us live weekdays at noon and five pm Eastern on Apple Cocklay and Android Auto with the Bloomberg Business App. You can also listen live on Amazon Alexa from our flagship New York station, Just say Alexa, play Bloomberg eleven thirty.

As we cover politics here in the nation's capital. Thanks for being with us on the Wednesday edition of Ballots of Power, Unpacking Donald Trump's speech from last night, Waiting potentially for news on tariffs today, and with regard to that, Kaylie, we've been talking so much about Canada and Mexico, China also has tariffs that are not getting that much debate. Actually retaliatory tariffs have been announced from Beijing, and these appear to be here to stay. It's a completely separate conversation from the so called drug war that we're hearing the administration described with our two neighbors, although.

As we cover politics here in the nation's capital. Thanks for being with us on the Wednesday edition of Ballots of Power, Unpacking Donald Trump's speech from last night, Waiting potentially for news on tariffs today, and with regard to that, Kaylie, we've been talking so much about Canada and Mexico, China also has tariffs that are not getting that much debate. Actually retaliatory tariffs have been announced from Beijing, and these appear to be here to stay. It's a completely separate conversation from the so called drug war that we're hearing the administration described with our two neighbors, although.

They do blame fentanyl for this as well, saying right, they're not seeing enough progress from China and stemming the flow of the ingredients to places like Canada and Mexico where it then crosses the border into the United States. And yes, twenty percent levies are intact, and there is no conversation at least at this time from the administration suggesting there may be a pullback or rethinking of that as we're hearing today about Mexico.

They do blame fentanyl for this as well, saying right, they're not seeing enough progress from China and stemming the flow of the ingredients to places like Canada and Mexico where it then crosses the border into the United States. And yes, twenty percent levies are intact, and there is no conversation at least at this time from the administration suggesting there may be a pullback or rethinking of that as we're hearing today about Mexico.

And Canada, or rethink when it comes to fentanyl, or rethink when it comes to Taiwan, or maybe a rethink when it comes to cyber Kaylee. There was a really important hearing that took place earlier today on Capitol Hill, the China Select Committee, and a hearing that would otherwise potentially be drowned out by so many of the other headlines that are happening here today and the typhoons. The name of the hearing, how to deter aging cyber actions and enhance America's lackluster cyber defenses. Salt typhoon, of course, what they're referring to here, and what is a concerted threat against America?

And Canada, or rethink when it comes to fentanyl, or rethink when it comes to Taiwan, or maybe a rethink when it comes to cyber Kaylee. There was a really important hearing that took place earlier today on Capitol Hill, the China Select Committee, and a hearing that would otherwise potentially be drowned out by so many of the other headlines that are happening here today and the typhoons. The name of the hearing, how to deter aging cyber actions and enhance America's lackluster cyber defenses. Salt typhoon, of course, what they're referring to here, and what is a concerted threat against America?

And we're lucky to be joined now by someone who is fresh off of testifying before the committee in that hearing. Laura Glante is with us. She is former director of the Cyber Threat Intelligence Integration Center and is here with us in our Washington, d C. Studio. Welcome to Balance of Power, Laura. It's nice to have you. Obviously you already have answered a lot of questions today, but we have a few more for you, specifically when it comes to countering China specifically, what is the most effective way to do that and does it actually involve having to play the game and hacking them right back? What would that look like?

And we're lucky to be joined now by someone who is fresh off of testifying before the committee in that hearing. Laura Glante is with us. She is former director of the Cyber Threat Intelligence Integration Center and is here with us in our Washington, d C. Studio. Welcome to Balance of Power, Laura. It's nice to have you. Obviously you already have answered a lot of questions today, but we have a few more for you, specifically when it comes to countering China specifically, what is the most effective way to do that and does it actually involve having to play the game and hacking them right back? What would that look like?

You have to use the different lovers of state power, diplomatic, military sanctions, economic punitive measures in order to get across China that we are not an acceptable target for hacking. Our critical infrastructure has been hacked, energy networks, transportation networks, this is offline. We should not be able to have American networks at risk. Howd to risk constantly by the Chinese military.

You have to use the different lovers of state power, diplomatic, military sanctions, economic punitive measures in order to get across China that we are not an acceptable target for hacking. Our critical infrastructure has been hacked, energy networks, transportation networks, this is offline. We should not be able to have American networks at risk. Howd to risk constantly by the Chinese military.

I want to hear more about our offensive capabilities, the extent to which you can talk about them. We hear about hacking back, We hear about, well, we could go turn the lights out if we wanted to. What is the United States actually capable of doing? Having seen the offensive nature of China's posture against.

I want to hear more about our offensive capabilities, the extent to which you can talk about them. We hear about hacking back, We hear about, well, we could go turn the lights out if we wanted to. What is the United States actually capable of doing? Having seen the offensive nature of China's posture against.

US, the US has long been postured aggressively to go after China's networks right where there are hacks against the US. We need to be able to hold people to account. Right Cyber Command is one of those key agencies that's able to do that.

US, the US has long been postured aggressively to go after China's networks right where there are hacks against the US. We need to be able to hold people to account. Right Cyber Command is one of those key agencies that's able to do that.

Now.

Now.

The question really happens when the question that we continue to grapple with here is now, how do we show China that it's unaccept unacceptable to go after critical infrastructure? And at the same time, we really need to be able to partner with other countries in the region who will help hold China to account as well.

The question really happens when the question that we continue to grapple with here is now, how do we show China that it's unaccept unacceptable to go after critical infrastructure? And at the same time, we really need to be able to partner with other countries in the region who will help hold China to account as well.

Well.

Well.

When we're considering partnerships, to what extent is this a public driven effort versus having to partner with the private sector, Especially Laura, considering what we're seeing in the federal government right now with the calling of the workforce in many areas. I know you have some concerns about the impact that is going to have on our cyber capabilities in particular. Can you just speak to that.

When we're considering partnerships, to what extent is this a public driven effort versus having to partner with the private sector, Especially Laura, considering what we're seeing in the federal government right now with the calling of the workforce in many areas. I know you have some concerns about the impact that is going to have on our cyber capabilities in particular. Can you just speak to that.

Yeah, we're really.

Yeah, we're really.

Worried that the level of talent that you have in the federal government, particularly technical talent that's been recruited from the outside, if those folks leave or if those folks are pushed out, that's a real hit on America's cybersecurity actions. And here's why. Our networks in the US are overwhelmingly private networks, right our water systems, our energy systems, these are run by private companies or utilities. We need people who can take that information about what adversaries are doing and push it out to the frontlines of the folks who are able to protect those networks.

Worried that the level of talent that you have in the federal government, particularly technical talent that's been recruited from the outside, if those folks leave or if those folks are pushed out, that's a real hit on America's cybersecurity actions. And here's why. Our networks in the US are overwhelmingly private networks, right our water systems, our energy systems, these are run by private companies or utilities. We need people who can take that information about what adversaries are doing and push it out to the frontlines of the folks who are able to protect those networks.

China left a lot of breadcrumbs in Salt Typhoon. Do we have a handle on the bugs, if you will, that are in our system? If they infiltrated utilities, water treatment systems, and so forth. What are they doing in there and how do we get them out?

China left a lot of breadcrumbs in Salt Typhoon. Do we have a handle on the bugs, if you will, that are in our system? If they infiltrated utilities, water treatment systems, and so forth. What are they doing in there and how do we get them out?

Look Salt Typhoon, which back in January a Treasury action showed that this was the Ministry of State Security, the Intel guys in China who went and hacked over nine US telecommunications providers. Right that gives core access to Americans, user data to Americans information. That's a huge espionage operation in a big win for China. The other big problem on this digital breadcrumbs is where the Chinese military has put prepositioned access sort of open doors sleeper cells into US infrastructure that could cause chaos and really sew a level of doubt in people's basic ability to go bend their.

Look Salt Typhoon, which back in January a Treasury action showed that this was the Ministry of State Security, the Intel guys in China who went and hacked over nine US telecommunications providers. Right that gives core access to Americans, user data to Americans information. That's a huge espionage operation in a big win for China. The other big problem on this digital breadcrumbs is where the Chinese military has put prepositioned access sort of open doors sleeper cells into US infrastructure that could cause chaos and really sew a level of doubt in people's basic ability to go bend their.

Vulnerable or can we get these open doors closed?

Vulnerable or can we get these open doors closed?

We're still vulnerable.

We're still vulnerable.

I mean, this is one of the really hard challenges that we have here in the asymmetry of the US is a really digitally connected place, right, and in some sense here we've got to really push better cyber defense and cybersecurity on the water plants, on the energy plants that are sitting there as the front line between nation state adversaries and the American people.

I mean, this is one of the really hard challenges that we have here in the asymmetry of the US is a really digitally connected place, right, and in some sense here we've got to really push better cyber defense and cybersecurity on the water plants, on the energy plants that are sitting there as the front line between nation state adversaries and the American people.

Well, and when we're thinking about nation state adversaries, obviously concerns around that go beyond China, thinking specifically of Russia here, especially in light of the mixed reporting we have gotten about the Pentagon and Cybercom potentially ceasing operations when it comes to Russian cyber activity specifically, how concerned are you about that? What would that actually do to our ability to counter threats like this, gather intelligence?

Well, and when we're thinking about nation state adversaries, obviously concerns around that go beyond China, thinking specifically of Russia here, especially in light of the mixed reporting we have gotten about the Pentagon and Cybercom potentially ceasing operations when it comes to Russian cyber activity specifically, how concerned are you about that? What would that actually do to our ability to counter threats like this, gather intelligence?

Even Russia is a core adversary in cyberspace for the US. If we stop planning operations, if we stop any of the muscle memory that goes into building packages that are able to target and counter aggressive Russian activity against the US, that'll really put us behind. And it's that constant ability to understand how Russian activity goes at US networks that we've got to keep our eyes on and really keep people focused on in the government.

Even Russia is a core adversary in cyberspace for the US. If we stop planning operations, if we stop any of the muscle memory that goes into building packages that are able to target and counter aggressive Russian activity against the US, that'll really put us behind. And it's that constant ability to understand how Russian activity goes at US networks that we've got to keep our eyes on and really keep people focused on in the government.

If we're going to win this domain.

If we're going to win this domain.

Could we wage a cyber war? Do we have the tools that would be required to do this? In a real sense?

Could we wage a cyber war? Do we have the tools that would be required to do this? In a real sense?

The US has the preeminent capability, yes, space.

The US has the preeminent capability, yes, space.

But Russia we're.

But Russia we're.

Careful about using it. We follow the rule of law like that is what sets us apart from authoritarian regimes in Russia and China, and that's a core difference on how we're operating in this space, well, at.

Careful about using it. We follow the rule of law like that is what sets us apart from authoritarian regimes in Russia and China, and that's a core difference on how we're operating in this space, well, at.

Least how we've been operating in the space. Do you sense that there's going to be a shift in this kind of cyber policy from this administration, Have they actually articulated the way in which they're approaching threats like these? We certainly didn't hear anything about cyber or even artificial intelligence for that matter, in President Trump's address last night.

Least how we've been operating in the space. Do you sense that there's going to be a shift in this kind of cyber policy from this administration, Have they actually articulated the way in which they're approaching threats like these? We certainly didn't hear anything about cyber or even artificial intelligence for that matter, in President Trump's address last night.

I think that's the right question.

I think that's the right question.

One of the huge issues that we've collectively been grappling with for years now that I'm curious to see how this administration takes on. Are ransomware actors? These are criminal groups almost always based in Russia, and they're holding American hospitals hostage through their network security practices. We've had ambulances diverted from ransomware attacks. Are these folks going to have consequences pushed against them in Russia? That's a big question and really critical for Americans.

One of the huge issues that we've collectively been grappling with for years now that I'm curious to see how this administration takes on. Are ransomware actors? These are criminal groups almost always based in Russia, and they're holding American hospitals hostage through their network security practices. We've had ambulances diverted from ransomware attacks. Are these folks going to have consequences pushed against them in Russia? That's a big question and really critical for Americans.

I don't know about your experience today. You were called to testify on Capitol Hill in front of a very important committee that is taking the time to get into this. I think we've already established very important story. Do these lawmakers know what questions to ask? Are they read in? Do they understand the threat?