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Tag: government bodies and offices

  • White House strategy on government funding meets serious test this week | CNN Politics

    White House strategy on government funding meets serious test this week | CNN Politics

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    CNN
     — 

    President Joe Biden and his top aides at the White House plan to hammer away at a blunt message as the US government inches closer to a shutdown this week: A handful of extremist Republicans are entirely to blame for the havoc that would be unleashed across the country.

    For Biden, there’s a lot riding on that message getting through to Americans.

    Biden’s advisers have been assessing for weeks how involved to get in lawmakers’ deliberations to fund the government ahead of the end-of-month deadline, and ultimately decided to take a hands-off approach. The expectation: Should the Republican-led House struggle to reach consensus, they would ultimately shoulder the blame for any disruption.

    “Watch the GOP struggle and force them to govern or be blamed for shutdown,” a Biden administration official said, summing up the strategy.

    The White House is planning to dispatch a number of Cabinet officials this week to help lay out the broad range of ramifications if the government were to shutdown – everything from flight delays to childcare centers shutting down.

    Agriculture Secretary Tom Vilsack will appear at Monday’s White House news briefing to discuss how a government shutdown could hit everything from food programs to loans for farmers, a White House official said.

    “This would stop us in our tracks,” Transportation Secretary Pete Buttigieg said on CNN on Sunday. “A shutdown that would mean service members wouldn’t get paid, coming back to transportation to air traffic controllers who would be working in the towers. They wouldn’t get paid.”

    Over the weekend, White House officials continued to monitor for any signs of movement on Capitol Hill to extend funding for the federal government ahead of the deadline. How to handle a possible shutdown was a key agenda item when White House chief of staff Jeff Zients huddled with senior advisers in the West Wing on Saturday, according to people familiar. But heading into a new work week, Republican members had not put anything realistic on the table, officials said, leaving the White House bracing for what is to come.

    In the days ahead, the president and his allies will repeatedly point to “who’s responsible” for the mess that could unfold, one senior administration official said simply.

    The White House took a similar approach this spring during the debt ceiling negotiations, but not without a seeming hit to Biden. In a CNN poll conducted mid-May, 59% of respondents said the president was not acting responsibly as talks stalled and the government careened toward default. The difference then: Republicans had coalesced around a specific position, passing a bill in the House that reflected their priorities and catching the White House off guard. Negotiations escalated in the weeks that followed, resulting in a deal that set broad guardrails around federal spending for the 2024 fiscal year.

    That deal was supposed to usher in months of in-depth appropriations work that would yield a full-year spending package and avert a government shutdown. Now, the White House says Republicans dropped the ball.

    Speaking over the weekend at the Congressional Black Caucus Foundation Phoenix Awards Dinner, Biden said it was “small group of extreme Republicans” that was refusing to “live up to the deal” that he had struck months ago with House Speaker Kevin McCarthy.

    “The president did his job,” White House press secretary Karine Jean-Pierre said when asked whether the White House would do anything to stave off a shutdown. “This is not something we can fix. The best plan is for House Republicans to stop their partisan political play and not do this to hurt Americans across the country. That’s the plan.”

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  • What happens if you don’t pay your student loans? | CNN Politics

    What happens if you don’t pay your student loans? | CNN Politics

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    Washington
    CNN
     — 

    Student loan payments are due in October for the first time in three-plus years – but for the next 12 months, borrowers will be able to skip payments without facing the harsh financial consequences of defaulting on their loans.

    The Biden administration is providing what it’s called an “on-ramp period” until September 30, 2024. During that time, a borrower won’t be reported as being in default to the national credit rating agencies, which can damage a person’s credit score.

    Think of it as a grace period for missed payments. But interest will still accrue, so borrowers aren’t off the hook entirely.

    Here’s what borrowers need to know:

    Any federal student loan borrower who was eligible for the pandemic-related payment pause, which took effect in March 2020, is eligible for the “on-ramp” period. That includes borrowers with federal Direct Loans, Federal Family Education Loans and Perkins Loans held by the Department of Education.

    Borrowers don’t need to apply for the benefit.

    Normally, a federal student loan becomes delinquent the first day after a payment is missed. Loan servicers will report the delinquency to the three national credit bureaus if a payment is not made within 90 days.

    A loan goes into default after a borrower fails to make a payment for at least 270 days, or about nine months, which can result in further financial consequences.

    A default can further damage your credit score, making it harder to buy a car or house. It could take years to establish good credit again. Borrowers could also see their federal tax refund or even a portion of their paycheck withheld.

    Once in default, the borrower can no longer receive deferment or forbearance and would lose eligibility for additional federal student aid. At that point, the loan holder can also take the borrower to court.

    Because the pandemic payment pause has ended, interest restarted accruing on September 1 after interest rates were effectively set to 0% for three-plus years.

    That means if a borrower misses a payment now, he or she could end up owing more debt over time due to interest.

    As interest builds up, a borrower’s loan servicer may also increase monthly payment amounts to ensure the debt is paid off on time. (This won’t happen to borrowers enrolled in income-driven plans, which calculate payments based on income and family size.)

    And unlike during the pause, a missed payment means that a borrower will miss out on a month’s worth of credit toward student loan forgiveness under certain repayment plans.

    For borrowers enrolled in the Public Service Loan Forgiveness program, for example, each month during the pause still counted toward the 120 monthly payments required to be eligible for debt forgiveness.

    Before missing a payment, it might be worth considering switching into an income-driven repayment plan that could lower monthly payments.

    A new income-driven repayment plan launched this summer, called SAVE (Saving on a Valuable Education), offers the most generous terms and will likely offer the smallest monthly payment for lower-income borrowers.

    Under SAVE, a single borrower earning $32,800 or less or a borrower with a family of four earning $67,500 or less will see their payments set at $0.

    Borrowers can apply for a new repayment plan whenever they want, for free, but should allow at least four weeks for the change to take effect.

    Borrowers who fell into default before the pandemic pause started in March 2020 can apply for the Department of Education’s “Fresh Start” program.

    If borrowers use Fresh Start to get out of default, their loans will automatically be transferred from the Department of Education’s Default Resolution Group to a loan servicer and returned to an “in repayment” status, and the default will be removed from their credit report.

    To claim these benefits, log in to myeddebt.ed.gov or call 800-621-3115. The process should take about 10 minutes, according to the Department of Education.

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  • Biden unveils a new White House Office of Gun Violence Prevention | CNN Politics

    Biden unveils a new White House Office of Gun Violence Prevention | CNN Politics

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    CNN
     — 

    President Joe Biden on Friday unveiled a new White House Office of Gun Violence Prevention, a step he said was part of an effort “to send a clear message about how important this issue is to me and the country.

    In a speech in the White House Rose Garden, the president detailed his experience traveling to the sites of mass shootings across the country, including after the Sandy Hook shooting in 2012 as vice president.

    “Anyone who doesn’t think that these kinds of engagements have a permanent effect on young children … these were hardened, tough cops, asking me, could I get them psychiatric help?” he asked, raising his voice.

    An official told reporters on a call Thursday previewing the announcement that the office’s mandate will be twofold – it will be tasked with implementing and expediting last year’s Bipartisan Safer Communities Act, the president’s signature gun legislation, and with finding additional actions within the president’s purview to stem the flow of gun violence.

    The announcement comes just days after a group of congressional Democrats in a letter called on Biden to leverage “the full power of the executive branch” to combat gun violence. In March, a day after a mass shooting left six dead in Nashville, Biden told reporters, “I have gone the full extent of my executive authority to do, on my own, anything about guns.”

    Biden on Friday took the opportunity to tout the steps his administration had taken to address the scourge of gun violence.

    “To date my administration has announced dozens of executive actions to reduce gun violence – more than any of my predecessors at this point in their presidencies, and they include everything from cracking down on ghost guns, breaking up gun trafficking, and so much more,” he said.

    “And last year with the help – with your help I signed into law the bipartisan Safer Communities Act, the most significant gun safety law in almost 30 years. It expanded background checks, expands the use of red flag laws, improves access to mental health services and so much more. This historic law will save lives. It’s a really important first step.”

    Vice President Kamala Harris will head the new office, Biden said.

    Biden said Harris “understands this more than any vice president ever – no, really. That’s not hyperbole, that’s a fact. She’s been on the front lines of this her entire career as a prosecutor, as an attorney general and as a United States senator. Her deep experience will be invaluable for this office.”

    And he thanked the gun safety advocates assembled in the Rose Garden for their work.

    “We’re never going to forget your loved ones, we’re never going to get there unless we remember. You know, I know we will do this because I know you – heroes, heroes proving that even with heavy hearts, you have unbreakable spirits,” he said.

    CORRECTION: This headline and story have been updated to reflect the correct name of the office.

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  • Dallas mayor switches parties to join GOP | CNN Politics

    Dallas mayor switches parties to join GOP | CNN Politics

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    Washington
    CNN
     — 

    Dallas Mayor Eric Johnson announced Friday that he is switching parties and will serve as a Republican-affiliated mayor of the blue-leaning city.

    While the Dallas mayoral office is nonpartisan, Johnson previously served as a Democrat in the Texas legislature. He slammed his former party in an op-ed for Wall Street Journal published Friday, blaming Democratic policies for “exacerbated crime and homelessness.”

    “The future of America’s great urban centers depends on the willingness of the nation’s mayors to champion law and order and practice fiscal conservatism,” Johnson wrote. “Our cities desperately need the genuine commitment to these principles (as opposed to the inconsistent, poll-driven commitment of many Democrats) that has long been a defining characteristic of the GOP.”

    He added: “In other words, American cities need Republicans—and Republicans need American cities.”

    Johnson’s announcement makes him the only Republican among the mayors of the 10 most populous cities in the US.

    Johnson was reelected for a four-year term in May with 93% of the vote after being first elected in 2019. President Joe Biden won Dallas County by more than 30 points in the 2020 election.

    The Texas Democratic Party issued a scathing statement Friday, accusing Johnson of being dishonest with Dallas voters.

    “[T]he voters of Dallas deserved to know where he stood before he ran for reelection as Mayor,” the chair and vice-chair of the party said. “He wasn’t honest with his constituents, and knew he would lose to a Democrat if he flipped before the election.”

    “This feeble excuse for democratic representation will fit right in with Republicans — and we are grateful that he can no longer tarnish the brand and values of the Texas Democratic Party,” they added.

    On the other hand, Texas Republican Gov. Greg Abbott welcomed Johnson’s new party affiliation.

    “Texas is getting more Red every day,” Abbott said in a post on X, the platform previously known as Twitter. “He’s pro law enforcement & won’t tolerate leftist agendas.”

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  • India’s parliament passes landmark bill to reserve a third of seats for women | CNN

    India’s parliament passes landmark bill to reserve a third of seats for women | CNN

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    CNN
     — 

    India’s parliament passed a landmark bill Thursday that will reserve a third of its seats in the lower house and state assemblies for women, in a major win for rights groups that have for decades campaigned for better gender representation in politics.

    A total of 215 lawmakers from the upper house voted in favor of the bill, which was introduced by prime minister Narendra Modi’s government in a special parliamentary session on Tuesday. It was approved by the lower house on Wednesday.

    “A historic moment in our country’s democratic journey!” Modi wrote on Twitter after its approval. “With the passing of this bill, the representation of women power will be strengthened and a new era of their empowerment will begin.”

    Six attempts to pass the bill, first introduced in 1996, have failed, at times due to strong disapproval from some lawmakers.

    In India, the world’s largest democracy of 1.4 billion people, women make up nearly half of the country’s 950 million registered voters but only 15% of lawmakers in parliament and 10% in state assemblies.

    Despite being voted through, the implementation of the quota could take years as it depends on the redrawing of electoral constituencies, which will happen after the completion of India’s once-in-a-decade census.

    That huge census project was meant to take place in 2021, but was delayed due to the coronavirus pandemic, and has been stalled ever since.

    Nonetheless, the bill’s passage in parliament will be seen as a further boost to Modi and his Bharatiya Janata Party (BJP) ahead of national elections next year.

    While India has made progress on women’s issues in recent years, it remains a deeply patriarchal country and has some of poorest participation numbers for women in politics.

    It has, since its independence in 1947, had one female prime minister. India Gandhi served as the country’s leader twice before her assassination in 1984.

    India’s current President, Droupadi Murmu, who was appointed to the position last year became only the second woman to take the seat.

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  • Five Americans back on US soil after release from Iranian detention | CNN Politics

    Five Americans back on US soil after release from Iranian detention | CNN Politics

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    CNN
     — 

    Five Americans freed from Iranian detention this week returned to US soil early Tuesday following an initial stop in Doha, Qatar, a US official tells CNN.

    Emad Shargi, Morad Tahbaz and Siamak Namazi, along with two Americans who have not been publicly named have arrived in the Washington, DC, area, after they were released Monday as part of a wider deal that includes the US unfreezing $6 billion in Iranian funds.

    The freed Americans will have the option to participate in a Department of Defense Program known as PISA (Post Isolation Support Activities) to help them acclimate back to normal life now that they are back in the United States.

    The return of the five Americans, all of whom had been designated as wrongfully detained, caps a significant diplomatic breakthrough after years of complicated indirect negotiations between the US and Iran, who do not have formal diplomatic ties.

    The group was flown out of Tehran on a Qatari government jet to Doha on Monday, before taking off for the Washington, DC, area to be reunited with their families, according to a senior administration official. Namazi’s mother, Effie Namazi, and Tahbaz’s wife, Vida Tahbaz, who had been previously unable to leave Iran, were also on the flight from Iran to Doha, the official said Monday.

    After a year of indirect negotiations, the deal began to broadly come together in Doha about seven months ago and the first tangible public steps took place about five weeks ago, when four of the Americans were transferred to house arrest. The fifth American was already under house arrest.

    President Joe Biden on Monday celebrated their release “after enduring years of agony, uncertainty, and suffering.” But while the release stood as the latest high-profile deal negotiated by his administration to secure the release of Americans deemed wrongly detained abroad, Biden drew criticism from some Republicans who likened the agreement to a “ransom payment.”

    A senior Biden administration official said Monday that the deal “has not changed our relationship with Iran in any way,” noting the US would still work to hold Iran accountable for its human rights abuses and to constrain its nuclear program.

    This story has been updated with additional information.

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  • Taliban welcomes China’s new ambassador to Afghanistan in lavish ceremony | CNN

    Taliban welcomes China’s new ambassador to Afghanistan in lavish ceremony | CNN

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    CNN
     — 

    The Taliban has welcomed Zhao Sheng as China’s new ambassador to Afghanistan during a lavish ceremony held at the presidential palace in Kabul on Wednesday.

    China is among a handful of countries, including Pakistan, Iran and Russia that have maintained a diplomatic presence in Afghanistan since the Taliban retook control of the country in 2021.

    In the palace ceremony, Taliban Prime Minister Mohammad Hasan Akhund shook hands with Zhao and “accepted the credentials of the new Chinese Ambassador,” the prime minister’s office said on X, formerly known as Twitter.

    “The Honorable Prime Minister of the Islamic Emirate thanked the leadership of China for the appointment of Mr Zhao Sheng as ambassador and expressed hope that this appointment would elevate the diplomatic relations between the two countries to a higher level and the beginning of a new chapter,” Taliban spokesman Zabiullah Mujahid said in the statement

    According to the prime minister’s office, Zhao said that China was “a good neighbor of Afghanistan” and “fully respects Afghanistan’s independence, territorial integrity and independence in decision-making.”

    Zhao added that China does not have a policy of interference in Afghanistan’s internal affairs, and it does not want Afghanistan “to become its area of influence.”

    The Taliban prime minister said relations between the two countries had “been on a good level” and “expressed his hope for taking more steps to further strengthen the bilateral relations,” according to Mujahid.

    China’s Ministry of Foreign Affairs said in a statement the appointment was the “normal rotation of China’s ambassador to Afghanistan” and was “intended to continue advancing dialogue and cooperation” between the two countries.

    The ministry said, “China’s policy toward Afghanistan is clear and consistent.”

    China, a neighbor of Afghanistan with substantial investment in the region, was cautious about the potential security challenges posed by the abrupt return of the Taliban following the US withdrawal in August 2021.

    Since then, Chinese officials have stressed increasing cooperation with Afghanistan, along with other regional neighbors, on issues such as anti-terrorism cooperation, “economic collaboration” and boosting “regional stability and development.”

    In May, China, Afghanistan and Pakistan vowed to strengthen trilateral ties on security and counterterrorism at a meeting of the three country’s foreign ministers in Islamabad.

    Speaking at that meeting, Chinese State Councilor and Foreign Minister Qin Gang said China attached “great importance to the friendship with Afghanistan and Pakistan.”

    Notably from the meeting, the three sides agreed to cooperate on China’s Belt and Road trade and infrastructure program, through which China has heavily invested in the region.

    They also agreed to forge closer economic ties by extending the China-Pakistan Economic Corridor (CPEC) to Afghanistan “so as to promote connectivity, improve cross-border trading, enhance the economic integration of the three countries and achieve sustainable development.”

    CPEC is a $60 billion Belt and Road flagship project that links China’s western Xinjiang region to Pakistan’s strategic Gwadar port on the Arabian Sea with a network of roads, railways, pipelines and power plants.

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  • White House to send letter to news execs urging outlets to ‘ramp up’ scrutiny of GOP’s Biden impeachment inquiry ‘based on lies’ | CNN Business

    White House to send letter to news execs urging outlets to ‘ramp up’ scrutiny of GOP’s Biden impeachment inquiry ‘based on lies’ | CNN Business

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    CNN
     — 

    The White House plans to send a letter to top US news executives on Wednesday, urging them to intensify their scrutiny of House Republicans after Speaker Kevin McCarthy launched an impeachment inquiry into President Joe Biden, despite having found no evidence of a crime.

    “It’s time for the media to ramp up its scrutiny of House Republicans for opening an impeachment inquiry based on lies,” Ian Sams, a spokesperson for the White House Counsel’s Office, wrote in the letter, according to a draft copy obtained by CNN.

    The letter, which said an impeachment inquiry with no supporting evidence should “set off alarm bells for news organizations,” will be sent to executives helming the nation’s largest news organizations, including CNN, The New York Times, Fox News, the Associated Press, CBS News, and others, a White House official familiar with the matter said.

    The correspondence comes one day after McCarthy announced that he had directed three House committees to begin an impeachment inquiry into Biden. House Republicans, most of whom have denied that disgraced former President Donald Trump committed any wrongdoing, have long sought to baselessly portray Biden as a corrupt, crime-ridden politician engaged in sinister activities.

    While news organizations have published innumerable fact checks on the matter, they have also often failed to robustly call out the mis- and disinformation peddled by Republicans in their coverage, frustrating officials in the Biden White House who believe that the news media should be doing more to dispel lies that saturate the public discourse.

    In its letter Wednesday, the White House will ask news organizations to be more clear-eyed in their coverage of the impeachment inquiry, and not to fall prey to the traps of false equivalency in reporting.

    “Covering impeachment as a process story – Republicans say X, but the White House says Y – is a disservice to the American public who relies on the independent press to hold those in power accountable,” Sams wrote.

    “And in the modern media environment, where every day liars and hucksters peddle disinformation and lies everywhere from Facebook to Fox, process stories that fail to unpack the illegitimacy of the claims on which House Republicans are basing all their actions only serve to generate confusion, put false premises in people’s feeds, and obscure the truth,” Sams added.

    McCarthy launched the impeachment inquiry Tuesday without a formal House vote in a bid to appease Republicans on his far-right, including those who have threatened to oust the California Republican from his speakership if he does not move swiftly enough on such an investigation.

    The Republican House-led investigations into Biden have yet to provide any direct evidence that the president financially benefited from Hunter Biden’s career overseas.

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  • Kim Jong Un to visit Russia at Vladimir Putin’s invitation | CNN

    Kim Jong Un to visit Russia at Vladimir Putin’s invitation | CNN

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    CNN
     — 

    Kim Jong Un will travel to Russia at the invitation of his Russian counterpart, Vladimir Putin, Pyongyang and Moscow said on Monday, amid warnings from the United States that the two leaders could strike an arms deal.

    The US government said last week that such a meeting could take place as part of Russia’s efforts to find new suppliers for weapons to use in its war against Ukraine.

    Neither country specified when or where the visit would take place, nor what would be on the agenda of any potential face-to-face. The Kremlin said in a statement Monday that Kim would pay an official visit to Russia “in the coming days,” while North Korean state media said they would “meet and have a talk.”

    However, it appears likely that the two leaders will see each other in the far eastern city of Vladivostok, where they met for the first time in April 2019. Putin reportedly arrived in Vladivostok on Monday, Kremlin spokesman Dmitry Peskov said, according to state TV Russia 24. Kim, meanwhile, appears to be on a train heading to Russia, a South Korean government official told CNN.

    The visit will be Kim’s first foreign trip since the Covid-19 pandemic. With its borders sealed because of that for much of the past three years, North Korea has only recently begun to relax travel restrictions.

    It will also be only Kim’s 10th trip since assuming power in 2011. All of those came in 2018 and 2019, as the North Korean leader engaged in negotiations over his nuclear weapons and missile programs in three meetings with then-US President Donald Trump – one in Singapore, one in Hanoi and one in the demilitarized zone (DMZ) separating North and South Korea.

    Kim also made four trips to China over those two years to meet with Chinese leader Xi Jinping. The remaining trip was to the DMZ in 2018 to meet with then-South Korean President Moon Jae-in.

    Vladivostok lies 130 km (80 miles) from the border with North Korea.

    The North Korea leader is said to prefer traveling in an upscale armored train – as did his father before him – but rail travel accounts for less than half of his foreign trips. Three of this nine trips have been made in planes and two, both to the DMZ, by car.

    Russian Defense Minister Sergei Shoigu also visited Pyongyang in July in an attempt to convince it to sell artillery ammunition.

    Last Tuesday, White House national security adviser Jake Sullivan warned that North Korea it will “pay a price” if it strikes an arms deal with Russia, though he did not elaborate on these potential repercussions.

    North Korea is already under United Nations and US sanctions imposed over Pyongyang’s weapons of mass destruction program.

    The potential Putin-Kim meeting could lead to Pyongyang getting its hands on the sort of weapons those sanctions have barred it from accessing for two decades, especially for its nuclear-capable ballistic missile program.

    It also comes after more than a year and a half of war in Ukraine has left the Russian military battered, depleted and in need of supplies.

    Following Monday’s announcement from both countries, the White House urged North Korea to “not provide or sell arms to Russia.

    “As we have warned publicly, arms discussions between Russia and the DPRK are expected to continue during Kim Jong-Un’s trip to Russia,” said National Security Council spokesperson Adrienne Watson in response to Russia and North Korea’s announcement.

    The statement also urged the country to “abide by the public commitments that Pyongyang has made to not provide or sell arms to Russia.”

    After reports emerged of North Korean arms sales to Russia in September 2022, a North Korean Defense Ministry official said at the time that Pyongyang had “never exported weapons or ammunition to Russia before and we will not plan to export them.”

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  • How booming Vietnam offers the US an alternative to China | CNN Business

    How booming Vietnam offers the US an alternative to China | CNN Business

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    Hong Kong
    CNN
     — 

    President Joe Biden is in Vietnam for a visit intended to deepen economic ties between Washington and Hanoi as part of efforts to reduce America’s reliance on China.

    The former foes have formally upgraded diplomatic ties to a “comprehensive strategic partnership,” a symbolic yet highly important move that experts say will solidify trust between the nations as America seeks an ally in Asia to counteract political tensions with China and advance its ambitions for key technologies, such as chipmaking.

    Companies from Apple (AAPL) to Intel (INTC) have already pushed deeper into the country to diversify their supply chains, maxing out many Vietnamese factories and helping fuel an economic expansion that continues to defy a global slowdown.

    On Monday, the White House announced a “landmark deal” between Boeing and Vietnam Airlines worth $7.8 billion, which is expected to support more than 30,000 jobs in the United States. Reuters has reported that the carrier will buy 50 Boeing 737 Max jets.

    Biden’s visit, which followed the G20 summit in India, is the first by a US president to Vietnam since Donald Trump’s 2019 trip. He has met with Vietnamese General Secretary Nguyen Phu Trong and other leaders to “promote the growth of a technology-focused” Vietnamese economy, as well as discuss ways to improve stability in the region, according to the White House.

    In recent years, their trade has already soared under an existing partnership agreed in 2013, so the elevation in relations is “just catching up with the reality that already exists,” Ted Osius, president of the US-ASEAN Business Council and a former US ambassador to Vietnam, told CNN.

    The United States imported nearly $127.5 billion in goods from Vietnam in 2022, compared with $101.9 billion in 2021 and $79.6 billion in 2020, according to US government data.

    Last year, Vietnam became America’s eighth largest trading partner, rising from 10th place two years earlier.

    The two sides have been moving closer as US officials, particularly Treasury Secretary Janet Yellen, have repeatedly pointed to the importance of “friend-shoring.”

    The practice refers to the movement of supply chains toward allies in part to shield businesses from political friction.

    “Rather than being highly reliant on countries where we have geopolitical tensions and can’t count on ongoing, reliable supplies, we need to really diversify our group of suppliers,” she said in a speech last year at the Atlantic Council think tank.

    Those tensions add to a litany of pressures, including rising labor costs and an uncertain operating environment that have already made corporations think twice about how much business they do in China, which is still considered the factory of the world.

    But increasingly, it has competition. During the US-China trade war, which started in 2018, businesses of all sizes began moving manufacturing to emerging markets such as Vietnam and India over tariffs.

    After the pandemic broke out, corporations were increasingly forced to consider strategies known as “China plus one,” which meant spreading out production hubs as a way to reduce reliance on a sole manufacturing base.

    The latest exodus could cost China dearly: In a 2022 report, Rabobank estimated that as many as 28 million Chinese jobs directly relied on exports to the West and could leave the country as a result of “friend-shoring.”

    Some 300,000 of those jobs, focused on low-tech manufacturing, are expected to move to Vietnam from China, analysts wrote.

    From an industrial perspective, the country has been booming for years, said Michael Every, a Rabobank global strategist who authored the report. Relatively lower wages and a youthful population have provided Vietnam with a solid workforce and consumer base, bolstering the case to invest in the nation of 97 million people.

    A fruit vendor walking past an Apple store in Hanoi

    But companies hoping to make the switch may already be too late, as some factories are so stretched, customers must wait, he said.

    Alicia García-Herrero, chief economist at Natixis, pointed to what she called “overheating,” saying demand for manufacturing in Vietnam has outstripped supply in some cases.

    “Too many companies [are] going to Vietnam,” she told CNN.

    Vietnam enjoyed an advantage, as it was first in the region to build up supply chain capabilities “for many, many sectors” years ago, she explained.

    Shortly after Biden landed in Vietnam on Sunday, the White House announced a new semiconductor partnership.

    “The United States recognizes Vietnam’s potential to play a critical role in building resilient semiconductor supply chains, particularly to expand capacity in reliable partners where it cannot be re-shored to the United State,” it said in a statement.

    The semiconductor industry has emerged as a key source of tension in US-China relations. Beijing and Washington are both racing to boost their prowess in the sector, and each side has recently enacted export controls aimed at limiting the other’s capacity.

    The United States needs a trusted partner for its supply of chips, and Vietnam can do just that, Osius said.

    Intel sees it that way. The California-based chipmaker has committed $1.5 billion to a sprawling campus located just outside Ho Chi Minh City, which it says will be its largest single assembly and test facility in the world.

    Osius expects more investments in the field to follow as Washington shores up ties with Hanoi.

    “The significance of Vietnam in that supply chain will increase,” he predicted. “We’re going to see an acceleration when it comes to collaboration in tech.”

    The International Monetary Fund projects Vietnam’s growth will slow to 5.8% from 8% last year as it copes with less overseas demand for its exports.

    But that compares favorably with a global growth forecast of 3%, and is noticeably faster many of the world’s major economies, such as the United States, China and the eurozone.

    “As the rest of Asia underwhelms, Vietnam will still be one of the fastest growing economies,” Natixis said in a recent research note.

    That’s compelling for corporations looking for bright spots in an otherwise gloomy environment.

    Such interest was noted in March, when the US-ASEAN Business Council led its biggest-ever business mission to Vietnam. The delegation consisted of 52 American firms, including corporate heavyweights such as Netflix (NFLX) and Boeing (BA).

    Of course, companies still have reservations over factors such as Vietnamese tech regulations, which they fear could include limits on the “transfer of data across borders, or too many rules requiring data localization,” according to Osius.

    In some cases, businesses are also concerned by how the country’s infrastructure still pales in comparison to a longtime trade powerhouse like China’s.

    For example, “there isn’t a sufficient port capacity for some of the goods to be exported as quickly as companies want them to be moved,” Osius said.

    Politically, Vietnam shares many similarities to China in that it is an authoritarian one-party state that tolerates little dissent.

    But overall, businesses simply want an easy way to hedge their bets.

    Vietnam is an obvious choice, because it’s a cheap alternative to manufacturing in China, said García-Herrero.

    For various sectors, transitioning isn’t difficult, because many Chinese suppliers also moved there because of US tariffs, she explained. “It’s the most similar because you have the same providers as in China.”

    The Biden administration, too, will likely be keen to secure that alternative.

    “It’s quite clear that they’re trying to set up a series of foreign policy victories ahead of 2024 [by] signing a strategic comprehensive partnership with Vietnam,” said Every, the Rabobank analyst.

    — CNN’s Kyle Feldscher, Jeremy Diamond and Kevin Liptak contributed to this report.

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  • British PM raised ‘strong concerns’ over Chinese interference after parliament employee arrested | CNN

    British PM raised ‘strong concerns’ over Chinese interference after parliament employee arrested | CNN

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    CNN
     — 

    UK Prime Minister Rishi Sunak said he raised his “very strong concerns” to China’s premier regarding potential Chinese interference in British democracy after a parliament employee was arrested on suspicion of spying for China.

    Speaking to journalists at the G20 summit in New Delhi on Sunday, Sunak said he used a meeting with Chinese Premier Li Qiang to raise several concerns including over “any interference in our parliamentary democracy.”

    This comes after two men were arrested under the UK’s Official Secrets Act amid reports that a parliamentary researcher with alleged links to senior Conservative Party politicians including security minister Tom Tugendhat was arrested on suspicion of spying for Beijing.

    UK newspaper, The Sunday Times broke the story on Sunday, reporting that the researcher was arrested alongside another man on March 13.

    According to a statement from London’s Metropolitan Police, police arrested a man in his 30s in Oxfordshire, southern England, and a man in his 20s in Edinburgh, Scotland.

    “The investigation is being carried out by officers from the Met’s Counter Terrorism Command, which has responsibility for investigations relating to allegations of Official Secrets Act and espionage-related offences,” the statement said.

    After being brought to a police station in south London, the two men were released on police bail until a date in early October, according to the statement.

    China’s embassy in London denied the spying accusations.

    “The claim that China is suspected of ‘stealing British intelligence’ is completely fabricated and nothing but malicious slander,” a spokesperson said in a statement.

    “We firmly oppose it and urge relevant parties in the UK to stop their anti-China political manipulation and stop putting on such self-staged political farce,” the statement added.

    According to the Sunday Times reporting, the arrested parliamentary researcher was also linked to the chairperson of the British government’s foreign affairs committee, Alicia Kearns.

    Posting on Saturday on X, formerly known as Twitter, Kearns declined to comment on the alleged ties, remarking: “While I recognise the public interest, we all have a duty to ensure any work of the authorities is not jeopardised.”

    A cross party group focused on relations with China, the Inter-Parliamentary Alliance on China (IPAC) said in a statement on Saturday on X that it was “appalled at reports of the infiltration of the UK Parliament by someone allegedly acting on behalf of the People’s Republic of China.”

    “It is for authorities to reveal the name of the person accused, and IPAC is united in hoping that justice is done expeditiously,” the alliance continued.

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  • Biden heads to Vietnam in latest attempt to draw one of China’s neighbors closer to the US | CNN Politics

    Biden heads to Vietnam in latest attempt to draw one of China’s neighbors closer to the US | CNN Politics

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    Hanoi, Vietnam
    CNN
     — 

    President Joe Biden will arrive at Chinese leader Xi Jinping’s doorstep on Sunday with a deal in hand to draw yet another one of China’s neighbors closer to the United States.

    In just the last five months, Biden has hosted the Philippines’ president at the White House for the first time in over a decade; he has fêted the Indian prime minister with a lavish state dinner; and he has hosted his Japanese and South Korean counterparts for a summit ripe with symbolism at the storied Camp David presidential retreat.

    At each turn, Biden’s courtship and his team’s steadfast diplomacy have secured stronger diplomatic, military and economic ties with a network of allies and partners joined if not by an outright sense of alarm at China’s increasingly aggressive military and economic posture, then at least by a growing sense of caution and concern.

    The latest page in the US’s Indo-Pacific playbook will come via the establishment of a “comprehensive strategic partnership” that will put the US on par with Vietnam’s highest tier of partners, including China, according to US officials familiar with the matter.

    “It marks a new period of fundamental reorientation between the United States and Vietnam,” a senior administration official said ahead of Biden’s arrival in Hanoi, saying it would expand a range of issues between the two countries.

    “It’s not going to be easy for Vietnam, because they’re under enormous pressure from China,” the official went on. “We realize the stakes and the President is going to be very careful how he engages with Vietnamese friends.”

    The US’ increasingly tight-knit web of partnerships in the region is just one side of the US’s diplomatic strategy vis-à-vis China. On a separate track, the Biden administration has also pursued more stable ties and improved communication with Beijing over the last year, with a series of top Cabinet secretaries making the trip to the Chinese capital in just the last few months.

    The latter part of that playbook has delivered fewer results thus far than Biden’s entreaties to China’s wary neighbors, a dichotomy that was on stark display as Biden attended the G20 in New Delhi, while Chinese leader Xi Jinping did not.

    The president did not appear overly concerned when questioned Saturday about his Chinese counterpart’s absence at the summit.

    “It would be nice to have him here,” Biden said, with Modi and a handful of other world leaders by his side. “But, no, the summit is going well.”

    As Biden and Xi jockey for influence in Asia and beyond, merely showing up can be seen as a power play and Biden sought to make the most of Xi’s absence, seizing the opening to pitch the United States’ sustained commitment both to the region and to developing nations around the world.

    In Vietnam, it’s not only China whose influence Biden is competing with. As he arrived, reports suggested Hanoi was preparing a secret purchase of weapons from Russia, its longtime arms supplier.

    On Monday, Biden plans to announce steps to help Vietnam diversify away from an over-reliance on Russian arms, a senior administration official said.

    As China’s economy slows down and its leader ratchets up military aggressions, Biden hopes to make the United States appear a more attractive and reliable partner. In New Delhi, he did so by wielding proposals to boost global infrastructure and development programs as a counterweight to China.

    Beijing and Moscow have both condemned a so-called “Cold War mentality” that divides the world into blocks. The White House insists it is seeking only competition, not conflict.

    Still, the desire to pull nations into the fold has been evident.

    Traffic whizzes through Hanoi's old quarter

    On Saturday, Biden held a photo op with the leaders of India, Brazil and South Africa – three members of the BRICS grouping that Xi has sought to elevate as a rival to US-dominated summits like the G20.

    If there is a risk in that approach, it is leaving nations feeling squeezed by rival giants. For Biden, however, there is an imperative in at least offering poorer nations an alternative to China when it comes to investments and development.

    But increasingly, China’s neighbors – like Vietnam – are seeking a counterweight to Beijing’s muscular and often unforgiving presence in the region, even if they are not prepared to entirely abandon China’s sphere of influence in favor of the US’.

    “We’re not asking or expecting the Vietnamese to make a choice,” the senior administration official said. “We understand and know clearly that they need and want a strategic partnership with China. That’s just the nature of the beast.”

    Days before Biden’s visit and the expected strategic partnership announcement, China sent a senior Communist Party official to Vietnam to enhance “political mutual trust” between the two communist neighbors, the official Chinese Xinhua news agency reported.

    Asked about Biden’s upcoming visit to Vietnam, China’s Foreign Ministry on Monday warned the US against using its relations with individual Asian countries to target a “third party.”

    “The United States should abandon Cold War zero-sum game mentality, abide by the basic norms of international relations, not target a third party, and not undermine regional peace, stability, development and prosperity,” ministry spokesperson Mao Ning told a daily briefing.

    Vietnam has also sought to maintain good ties with China. Its Communist Party chief was the first foreign leader to call on Xi in Beijing after the Chinese leader secured an unprecedented third term last October. In June, Vietnam’s prime minister met Xi during a state visit to China.

    Secretary of State Antony J. Blinken meets with Chairman of the Communist Party of Vietnam's Commission for External Relations Le Hoai Trung at the Department of State.

    But even as it seeks to avoid China’s wrath, Vietnam is increasingly pulled toward the US out of economic self-interest – its trade with the US has ballooned in recent years and it is eager to benefit from American efforts to diversify supply chains outside of China – as well as concern over China’s military build-up in the South China Sea.

    Experts say those tightened partnerships are as much a credit to the Biden administration’s comprehensive China strategy as it is a consequence of the way China has increasingly aggressively wielded its military and economic might in the region.

    “China has long complained about the US alliance network in its backyard. It has said that these are vestiges of the Cold War, that the US needs to stop encircling China, but it’s really China’s own behavior and its choices that have driven these countries together,” said Patricia Kim, a China expert at the Brookings Institution.

    “So in many ways, China’s foreign policy has backfired.”

    The upgrading of the US-Vietnam relationship carries huge significance given Washington’s complicated history with Hanoi.

    The two countries have gone from mortal enemies that fought a devastating war to increasingly close partners, even with Vietnam still run by the same Communist forces that ultimately prevailed and sent the US military packing.

    While the upgrading of that relationship has been a decade in the making, US officials say a concerted drive to take the relationship to new heights carried that years-long momentum over the line.

    A late June visit to Washington by Vietnam’s top diplomat, Chairman Le Hoai Trung, crystallized that possibility. During a meeting with national security adviser Jake Sullivan, the two first discussed the possibility of upgrading the relationship, according to a Biden administration official.

    As he walked back to his office, Sullivan wondered whether the US could be more ambitious than a one-step upgrade in the relationship – to “strategic partner” – and directed his team to travel to the region and deliver a letter to Trung proposing a two-step upgrade that would take the relations to their highest-possible level, putting the US on par with Vietnam’s other “comprehensive strategic partners”: China, Russia, India and South Korea.

    Sullivan would speak again with Trung on July 13 while traveling with Biden to a NATO summit in Helsinki.

    The conversation pushed the possibility of a two-step upgrade in a positive direction, but it wasn’t until a mid-August visit to the White House by Vietnam’s ambassador to Washington that an agreement was in hand. Inside Sullivan’s West Wing office, the two finalized plans to take the US-Vietnam relationship to new heights and for Biden and Vietnam’s leader, General Secreatary Nguyen Phu Trong, to shake hands in Hanoi.

    The trip was still being finalized when Biden revealed during an off-camera fundraiser that he was planning to visit. The remark sent the planning into overdrive.

    Still, US officials are careful not to characterize the rapprochement with Vietnam – or with the Philippines, India, Japan and Korea, or its AUKUS security partnership with Australia and the United Kingdom – as part of a comprehensive strategy to counter China’s military and economic heft in the Indo-Pacific.

    “I think that’s a deliberate design by the Biden administration,” said Yun Sun, the China program director at the Stimson Center. “You don’t want countries in the region or African countries to feel that the US cares about them only because of China because that shows a lack of commitment. That shows that, ‘Well, we care about you only because we don’t want you to go to the Chinese.’”

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  • Rhode Island and Utah hold special election primaries for House seats | CNN Politics

    Rhode Island and Utah hold special election primaries for House seats | CNN Politics

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    CNN
     — 

    Rhode Island and Utah voters are choosing party nominees for US House seats on Tuesday with the two states each holding a special primary election.

    In Rhode Island, a crowded Democratic field will be narrowed down to one in the race to succeed Democrat David Cicilline in the state’s 1st Congressional District. Cicilline resigned in May to lead the Rhode Island Foundation.

    In Utah, Republicans will decide their nominee in the state’s 2nd Congressional District, which GOP Rep. Chris Stewart is expected to vacate on September 15. Stewart announced in June that he would be departing Congress, citing his wife’s health concerns.

    Both seats are not expected to change party hands in November, given the partisan leans of each district, so the outcome of Tuesday’s primaries will be critical to determining who their next members of Congress will be.

    Rhode Island’s general election is set for November 7, while the general election in Utah will take place on November 21.

    Rhode Island

    Rhode Island’s 1st District covers the eastern part of the state, including East and North Providence, Pawtucket and Portsmouth. Eleven Democrats are vying for the chance to succeed Cicilline.

    The district is a Democratic stronghold – Cicilline won a seventh term by 28 points last fall, and President Joe Biden would have carried the district by a similar margin in 2020 under its present lines. A Republican hasn’t held the seat since 1995.

    Former state Rep. Aaron Regunberg has raised the most funds of the Democrats currently in the race, bringing in $630,000 through August 16. Former White House official Gabe Amo and Lt. Gov. Sabina Matos trailed with $604,000 and $579,000, respectively.

    Regunberg is running on a progressive platform, focused on issues such as fighting climate change and housing insecurity. He has the backing of multiple prominent progressives, including Vermont Sen. Bernie Sanders, New York Rep. Alexandria Ocasio-Cortez and Maryland Rep. Jamie Raskin, and the endorsement of the campaign arm of the Congressional Progressive Caucus. He has faced criticism over support he’s received from a super PAC primarily funded by his father-in-law. After an unsuccessful bid for Rhode Island lieutenant governor in 2018, he earned a law degree from Harvard and worked as a judicial law clerk.

    Amo, the son of Ghanaian and Liberian immigrants, has worked in both the Obama and Biden administrations. He has received endorsements from high-profile Democrats such as former Rep. Patrick Kennedy, who represented the 1st District for eight terms before Cicilline, and former White House chief of staff Ron Klain. He also has the backing of the campaign arm of the Congressional Black Caucus and Democrats Serve, which supports candidates with public service backgrounds.

    Amo, a former deputy director of the Office of Intergovernmental Affairs, has made preventing gun violence a top priority, noting that during his White House tenure, he “was often the first call to a mayor following a mass shooting.”

    Matos, who emigrated to the US from the Dominican Republic at the age of 20, could make history as the first Afro-Latina in Congress. She has the backing of the campaign arm of the Congressional Hispanic Caucus and EMILY’s List, which backs Democratic women who support abortion rights.

    Matos’ campaign endured controversy this summer following allegations her campaign had submitted falsified nominating signatures. Hundreds of signatures were thrown out, but her campaign submitted enough valid signatures to make the ballot. The incident is being investigated by the state attorney general. Matos has blamed an outside vendor for submitting the alleged false signatures.

    In another controversy leading up to the primary, businessman Don Carlson, who had loaned his campaign $600,000, ended his bid a little over a week ago following allegations of an inappropriate interaction he had with a college student in 2019. While his name remains on the ballot, the state Board of Elections ordered local boards to post a notice that he’d withdrawn, Chris Hunter, a spokesman for the state board told CNN. Carlson has endorsed state Sen. Sandra Cano, a Colombian immigrant who has made education a top priority in her campaign and has labor support.

    Marine veteran Gerry Leonard Jr., who had the endorsement of the state GOP, will win the party nomination, CNN projected Tuesday evening.

    Utah’s 2nd District covers the western portion of the state, stretching from the Salt Lake City area to St. George. Republicans are heavily favored to hold the seat – Stewart won a sixth term last fall by 26 points, while former President Donald Trump would have carried it under its current lines by 17 points in 2020.

    Three Republicans are looking to succeed Stewart: Former Utah GOP Chairman Bruce Hough, former Stewart aide Celeste Maloy and former state Rep. Becky Edwards.

    Maloy, who has Stewart’s backing, earned her spot on the ballot by winning a nominating convention in July, while Hough and Edwards qualified by collecting sufficient signatures.

    Edwards and Hough, boosted by significant self-funding, both outraised Maloy through August 16.

    Edwards raised $679,000 – $300,000 of which she loaned to her campaign – while Hough raised nearly $539,000, including $334,000 of his own money. Maloy had brought in $307,000 through August 16.

    Maloy, who worked as a counsel in Stewart’s Washington office, has faced questions over her eligibility for the special election primary ballot over voter registration issues. She was marked inactive in the state’s voter database because she did not cast a ballot in 2020 and 2022, according to The Salt Lake Tribune, after she relocated to Virginia to work for Stewart. But the state GOP submitted her name for the ballot, noting that no objections to her candidacy were filed before the convention.

    On the campaign trail, Maloy said she’s been focusing on government overreach. She has proposed defunding federal agencies to eliminate “anything they’re doing that Congress hasn’t authorized.”

    Voters are “worried that these executive branch agencies have too much power, they’re not checked and they’re too involved in our lives,” Maloy told CNN affiliate KUTV in an interview. “And I happen to agree.”

    Maloy’s campaign has received financial support from VIEW PAC, which is dedicated to recruiting and electing Republican women to Congress.

    Hough – the father of professional dancers Julianne and Derek Hough, who rose to fame on “Dancing with the Stars” – is focusing on debt reduction and deficit control, citing his family as one of the reasons why he’s running.

    “With 22 grandkids, 10 kids and a $32 trillion (US) debt, I’m very anxious about their future and about the future of all Americans and all Utahns,” Hough told ABC4 in a video posted in June. “It’s time that we actually do something about it.”

    Hough, who until recently had been Utah’s Republican national committeeman, has positioned himself as the candidate most supportive of Trump.

    Edwards, meanwhile, challenged GOP Sen. Mike Lee in a primary last year as a moderate opposed to Trump and took 30% of the vote. On the trail, she has touted her experience as a state lawmaker, focusing on priorities such as health care, education and fiscal responsibility.

    Edwards, who backed Biden in 2020, expressed “regret” for that support at a debate in June, saying she had been “extremely disappointed” with his administration, The Salt Lake Tribune reported.

    The winner of Tuesday’s GOP primary will face Democratic state Sen. Kathleen Riebe in November. Riebe won her party’s nomination at a June convention.

    This story has been updated with a CNN projection.

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  • Biden heads to Florida to tour Idalia damage as presidential politics swirl | CNN Politics

    Biden heads to Florida to tour Idalia damage as presidential politics swirl | CNN Politics

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    CNN
     — 

    President Joe Biden is set to travel to storm-ravaged Florida on Saturday, where he will meet with Floridians impacted by Hurricane Idalia, tour damage and thank emergency responders.

    But in a stark departure from his previous visits to the Sunshine State in the wake of major disasters, Biden apparently won’t be joined by the state’s firebrand governor and GOP presidential candidate, Ron DeSantis. The moment represents one of the first times the two men have showed signs of their political rivalry while responding to a disaster. Biden and DeSantis have previously met under challenging circumstances – the two convened in response to the 2021 Surfside building collapse and again in 2022 following Hurricane Ian’s damage in southwestern Florida.

    On the visit, the president and first lady Dr. Jill Biden will receive an aerial tour of impacted areas, participate in a response and recovery briefing with federal personnel, local officials, and first responders, then tour an impacted community before delivering remarks in Live Oak, Florida, a White House official said. Sen. Rick Scott, a Republican, and other local officials will participate in parts of the visit, the official added.

    On Saturday, FEMA administrator Deanna Criswell said that Biden had contacted DeSantis to inform him of the visit.

    “When the president contacted the governor to let him know he was going to be visiting … the governor’s team and my team, mutually agreed on a place that would have minimal impact into operations,” Criswell said on CNN This Morning. “Live Oak, you know, the power is being restored. The roads aren’t blocked, but there’s families that are hurting there,” she said.

    It’s the latest in a back and forth between DeSantis and the administration, after the governor’s spokesperson Friday night said he had no plans to meet with Biden Saturday, contradicting Biden telling CNN that he would meet with his political rival.

    “I would have to defer you to the governor on what his schedule is going to be,” Criswell said to CNN’s Amara Walker.

    On Friday afternoon, Biden told CNN that “yes,” he’d be meeting with DeSantis. But by the evening, a spokesperson for DeSantis said there are no plans for two to meet, eschewing an opportunity to once again put their differences aside to navigate a response to a disaster as the governor appeared to pull the rug out on the plans.

    “We don’t have any plans for the governor to meet with the president tomorrow,” DeSantis spokesperson Jeremy Redfern told CNN Friday evening. “In these rural communities, and so soon after impact, the security preparations alone that would go into setting up such a meeting would shut down ongoing recovery efforts.”

    White House spokesperson Emilie Simons said that Biden’s visit was being planned to minimize disruption to storm recovery efforts.

    “President Biden and the first lady look forward to meeting members of the community impacted by Hurricane Idalia and surveying impacts of the storm,” Simons said. “They will be joined by Administrator Criswell who is overseeing the federal response. Their visit to Florida has been planned in close coordination with FEMA as well as state and local leaders to ensure there is no impact on response operations.”

    A presidential visit anywhere requires a significant security footprint, and DeSantis suggested to reporters earlier Friday that he had raised concerns about that level of disruption as response efforts continue.

    But a White House official said that DeSantis did not raise those concerns about the visit with Biden when the two spoke by phone ahead of Biden’s visit to Federal Emergency Management Agency headquarters Thursday, during which Biden announced the trip. Biden’s upcoming travel schedule also presented logistical challenges to setting a date – he celebrates Labor Day with workers in Philadelphia Monday, awards the Medal of Honor at the White House on Tuesday and is headed to the G20 Summit in India next Thursday.

    For DeSantis, who catapulted to GOP mega-stardom in recent years in part by taking aim at the Biden White House, staying away from Saturday’s visit will eliminate the possibility of any collegiality between the two being caught on camera during a tense Republican primary.

    The White House had earlier attempted to downplay any rivalry between the two when it comes to responding to a natural disaster.

    “They are very collegial when we have the work to do together of helping Americans in need, citizens of Florida in need,” deputy national security adviser Dr. Elizabeth Sherwood-Randall told reporters Thursday when pressed on the dynamic.

    The Democratic president and the Republican governor have been in close touch leading up to, during and after the hurricane, which made landfall Wednesday in the coastal Big Bend region as a powerful Category 3 storm. Biden joked that he had DeSantis “on direct dial” given their frequent communication this week. But while the president has offered direct praise to DeSantis’ handling of the response, the Florida Republican largely stuck to assuring the public the two can work together.

    Asked whether he sensed any politics in their conversations, Biden told reporters during the visit to FEMA headquarters that he didn’t – and acknowledged that it was “strange” given the polarized political climate.

    “No. Believe it or not. I know that sounds strange, especially how – looking at the nature of politics today,” he said.

    Biden continued, “I think he trusts my judgment and my desire to help, and I trust him to be able to suggest that this is not about politics, it’s about taking care of the people of the state. This is about taking care of the people of his state.”

    Still, DeSantis hasn’t shied away from his criticism of the president and his handling of disasters outside his state. During a GOP presidential debate last week, days before the storm made landfall, DeSantis took aim at Biden’s response to the wildfires in Maui.

    “Biden was on the beach while those people were suffering. He was asked about it and he said, ‘No comment.’ Are you kidding me? As somebody that’s handled disasters in Florida, you’ve got to be activated. You’ve got to be there. You’ve got to be present. You’ve got to be helping people who are doing this,” he said.

    There was a similar dynamic surrounding their work together on Hurricane Ian last year. Weeks before the storm touched down, DeSantis had flown migrants to Martha’s Vineyard, and made a national tour spotlightling the move. Biden accused DeSantis at the time for “playing politics with human beings” and called the stunt “unAmerican.”

    There have also been back-and-forth tensions between the White House and the governor on support for LGBTQ kids and book bans in public schools.

    Still, they set their differences aside as DeSantis welcomed Biden to the Sunshine State to tour damage from the hurricane.

    “I’m just thankful everyone has banded together,” DeSantis said, before adding: “Mr. President, welcome to Florida. We appreciate working together across various levels of government.”

    That appearance together was rather deflating for Democrats who had hoped to raise concerns about DeSantis’ handling of the storm, particularly the seeming lack of urgency in local evacuation orders. But when Biden called DeSantis’ response to Ian “pretty remarkable,” it closed the door on that.

    Both leaders also poured on the niceties in the wake of the deadly condo collapse in Surfside, Florida, a year earlier.

    “You recognized the severity of this tragedy from day one and you’ve been very supportive,” DeSantis said during a briefing in Miami Beach.

    Biden added, “You know what’s good about this? We live in a nation where we can cooperate. And it’s really important.”

    That dynamic will not be on display Saturday.

    Biden formally approved a major disaster declaration for Florida on Thursday, making federal funding available to those in affected counties. As of Friday evening, power restoration remained the top response priority as over 70,000 Floridians remain without power amid high temperatures.

    Approximately 1,500 federal responders are on the ground in Florida, including search and rescue personnel and members of the Army Corps of Engineers.

    As the state seeks to recover from the storm’s devastation, the Biden administration asked Congress on Friday for an additional $4 billion for FEMA’s Disaster Relief Fund, pointing to Hurricane Idalia and a brutal stretch of natural disasters across the country in recent weeks. That is in addition to a request for $12 billion last month.

    As the White House pushes Congress to pass a short-term spending bill to avoid a shutdown and ensure continuity of government services, the president has signaled that he’s ready to blame Republicans if there isn’t enough funding to respond to disasters.

    For his part, DeSantis has lobbied unapologetically for the kind of disaster aid that as a congressman he voted against as wasteful spending.

    Asked about the $4 billion request Friday, DeSantis told reporters, “How Washington handles all this stuff, I don’t quite understand. … They just did a big budget deal and did not include that. They included a lot of money for a lot of other stuff.”

    He continued, “I trust our senators and congressmen hopefully to be able to be able to work it out in a good way. You know, as governor, I’m gonna be pulling whatever levers I can to be able to help folks. And so, if that’s the state, we’re mobilizing all of our state assets. Private sector, we’re leveraging that. And we will apply for whatever federal money is available.”

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  • Gabon’s military coup has overthrown a powerful political dynasty. Here’s what to know | CNN

    Gabon’s military coup has overthrown a powerful political dynasty. Here’s what to know | CNN

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    CNN
     — 

    A military coup thrust the Central African nation of Gabon into turmoil Wednesday, unseating the president – whose family had held power for more than half a century – just minutes after he was named the winner of a contested election.

    Ousted President Ali Bongo Ondimba, also known as Ali Bongo, has faced accusations of election fraud and corruption since he began ruling the oil-rich but poverty-stricken nation nearly 14 years ago. Following the coup, residents in the country’s capital were seen celebrating and embracing soldiers on the street.

    But much remains uncertain, with Bongo reportedly under house arrest, his son arrested, all borders closed and the government ostensibly shut down. International leaders have expressed concern and condemnation of the coup, some warning their citizens in Gabon to shelter in place.

    Here’s what you need to know.

    The military’s power grab began Wednesday, shortly after Gabon’s election authority said Bongo had been re-elected president following last weekend’s election.

    Men in army uniforms announced on national television that they had seized power. They said the election results were voided, all borders shut, and numerous government bodies dissolved, including both houses of parliament.

    The coup leaders said Bongo had been placed under house arrest, surrounded by “family and doctors.” The ousted president’s son, Noureddin Bongo Valentin, was arrested alongside six others for “high treason.”

    A video aired by the Agence France-Presse news agency shows Bongo seated in what looks like a library, saying he was “at the residence” and didn’t know what was happening. “My son is somewhere, my wife is another place,” he said.

    It was not immediately clear under what circumstances the clip was filmed.x

    Meanwhile, the junta named Gen. Brice Oligui Nguema – who was once the bodyguard of Bongo’s late father, the previous ruler of Gabon – as a transitional leader.

    Speaking to French newspaper Le Monde on Wednesday, Oligui claimed Bongo was enjoying “all his rights” as a “normal Gabonese” citizen.

    Videos of celebration in Gabon circulated online Wednesday, including footage of soldiers carrying Oligui on their shoulders and shouting “president.”

    Residents in the capital Libreville were seen dancing on the streets, according to videos shared with CNN and posted on social media. In one video obtained by CNN, people can be seen shouting “liberated!” and waving the Gabon flag in the Nzeng Ayong district of the capital, alongside military vehicles.

    Similar scenes played out in other parts of Gabon, including the second-largest city Port-Gentil.

    Some members of the Gabonese diaspora also celebrated Wednesday, with students from Gabon gathering outside the country’s embassy in Dakar, Senegal.

    “I assure you that what the Gabonese people wanted was just for the Bongo PDG system to leave power,” one student said, referring to Bongo’s political party, according to Reuters. “Because as we said, 60 years is too much.”

    Gabonese soldiers hoist up Gen. Brice Oligui Nguema in Libreville on August 30, 2023.

    It’s hard to say – and there’s still a lot we don’t know.

    The junta will temporarily restore the country’s constitutional court, resume domestic flights and establish the “institutions of the transition,” a spokesperson said Thursday. The military is expected to swear in Oligui as transitional president before the constitutional court on Monday.

    It also pledged to continue public services in the country, and to follow the country’s commitments domestically and internationally.

    The military imposed a curfew from 6 p.m. to 6 a.m. and national borders will remain closed “until further notice,” a junta spokesperson said. However, Oligui has ordered signal to be restored to international radio and television channels.

    But questions remain over what will happen to the country’s leadership; what awaits Bongo and his family; and what the coup means for Gabon’s international standing and diplomatic relationships.

    On Thursday, Gabon’s main opposition members expressed gratitude to the military – but called on it to resume the election process, complete the vote count and grant victory to Bongo’s main challenger in the election.

    The opposition representative invited military leaders to talks, and to “limit the consequences in the lives of our compatriots.”

    Ali Bongo, 64, took over from his father, Omar Bongo, who died of cardiac arrest while receiving treatment for intestinal cancer in Span in 2009, following nearly 42 years in office.

    The elder Bongo came to power in 1967, seven years after Gabon gained independence from France.

    He ruled over the small nation with an iron fist, imposing a one-party system for years and only allowing multi-party rule in 1991, though his party retained its grip on government.

    Ali Bongo began his political career in 1981, serving as foreign minister, congressman and defense minister before becoming president in 2009, according to the Gabonese embassy website in the United States.

    Gabon's then-President Omar Bongo Ondimba with bodyguard Brice Oligui Nguema and French President Nicolas Sarkozy in Paris on July 2, 2008.

    But the Bongos have their fair share of critics, especially given the country’s enormous wealth gap. A French financial police investigation in 2007 found the Bongo family owned 39 properties in France, 70 bank accounts, and nine luxury cars worth a total of 1.5 million euros, according to Reuters.

    Each of Ali Bongo’s three election victories has been deeply disputed, sometimes sparking violent nationwide protests. This week’s election has been decried by the opposition as fraudulent; Bongo’s team has rejected allegations of electoral irregularities.

    Similarly in 2016, after Bongo was named the election victor, his main challenger said the decision by the country’s constitutional court to validate the contested result was “biased.” Another failed coup attempt against Bongo took place in 2019.

    Gabon's ousted president Ali Bongo Ondimba appears in a video aired after the coup on August 30.

    There have been multiple coups over the past three years in Africa’s former French colonies – Mali, Guinea, Burkina Faso, Chad, Niger, Tunisia and now Gabon – that threaten a reversal of the democratization process the continent has undergone in the past two decades.

    Coups in Africa were rampant in the early postcolonial decades, with coup leaders offering similar reasons for toppling governments: corruption, mismanagement and poverty, according to political analyst Remi Adekoya.

    These justifications still resonate with many Africans today, he wrote for CNN in 2021 – and in many countries, people feel these problems are worsening. All the while, the population is growing in the world’s youngest continent, intensifying already fierce competition for resources.

    These conditions have helped drive more recent coups – with many young Africans disillusioned with allegedly corrupt leaders and ready for radical change, as seen by the celebrations in Gabon Wednesday, and similar celebrations after the Guinea coup two years ago.

    The Gabon coup has been widely criticized by other African nations and in the West. The African Union, representing 55 member states, condemned the coup and has suspended Gabon from participating in all of the group’s activities “until the restoration of constitutional order.”

    The Economic Community of Central African States (ECCAS) also condemned the takeover and called for dialogue to return the country to civilian rule. It is expected to hold a meeting with the heads of state of member nations to discuss “the path to follow” regarding Gabon.

    United Nations Secretary General Antonio Guterres also condemned the coup Wednesday, according to his spokesperson. Guterres expressed concern over “reports of serious infringements of fundamental freedoms” during the contested election, but urged all parties to respect the rule of law and human rights.

    US State Department spokesperson Matthew Miller said Wednesday the United States is “strongly opposed to military seizures or unconstitutional transfers of power,” and urged coup leaders to “preserve civilian rule.” He added: “The United States stands with the people of Gabon.”

    The US embassy in Gabon advised its citizens in the country to shelter in place and limit “unnecessary movements around town.” Americans in Gabon should “keep a low profile … avoid demonstrations … make contingency plans to leave … (and) have evacuation plans that do not rely on US government assistance,” it said on its website.

    The European Union’s top diplomat said the bloc “rejects” the coup, though he said the EU shared “deep concerns” about how the electoral process was held. He said the EU currently has no plans to evacuate its staff based in Gabon.

    Similar statements were made by other European nations including the United Kingdom, Germany, and Spain.

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  • US intel: Ukraine war caused ‘one of the most disruptive periods’ for global food security | CNN Politics

    US intel: Ukraine war caused ‘one of the most disruptive periods’ for global food security | CNN Politics

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    CNN
     — 

    Russia’s invasion of Ukraine caused deep disruptions in the global food supply, raising prices and increasing the risk of food insecurity in poorer nations in the Middle East and North Africa, America’s top spy agency said in an unclassified report released by Congress on Wednesday.

    The direct and indirect effects of the war “were major drivers of one of the most disruptive periods in decades for global food security,” the eight-page report found – in large part because Ukraine and Russia were among the world’s largest pre-war exporters of grain and other agricultural products.

    Although food security concerns have abated since the start of this year, according to the report, the future trajectory of global food prices likely will depend in part on what happens with the Black Sea Grain Initiative, which Russia ended in July. The deal, facilitated by the United Nations, had allowed Ukrainian agricultural shipments to safely exit Black Sea ports and reach the international market.

    How much acreage Ukraine is able to cultivate as the war continues to rage and the cost and availability of fertilizers will also have an impact on global food prices, the report found. Global fertilizer prices reached near-record levels in mid-2022 as global oil and natural gas prices rose.

    “The combination of high domestic food prices and historic levels of sovereign debt in many countries – largely caused by spending and recessionary effects of the COVID-19 pandemic – has weakened countries’ capacity to respond to heightened food insecurity risks,” the report said. “These factors probably will undermine the capacity of many poor countries to provide sufficient and affordable food to their population through the end of the year.”

    Droughts last year in Canada, the Middle East, South America and the United States also compounded the war-related stress on global food supplies, according to the report.

    Intelligence officials have accused Russia in the past of weaponizing food supplies by blocking Ukrainian exports, destroying infrastructure and occupying Ukrainian agricultural land.

    Citing satellite imagery and open-source reporting, the report said that Russia stole nearly 6 million tons of Ukrainian wheat harvested from occupied territories in 2022. Cargo ships used to transport the stolen grain out of Russian-occupied territories in 2022 would steer along the coast of Turkey to deliver shipments to ports in Syria, Israel, Iran, Georgia and Lebanon, the report said.

    “We cannot confirm if the buyers of the Russian cargoes were aware of the grains’ Ukrainian origin,” the report said.

    The report was mandated by the annual intelligence authorization bill and released by the House Intelligence Committee.

    “This report casts light on the war’s broader disruption to global food security and reveals how (Russian President Vladimir) Putin has intentionally used food security and the threat of starvation as a negotiating chip,” committee leaders Reps. Mike Turner and Jim Himes said in a statement. “Russia’s recent refusal to renew the Black Sea Grain Initiative will worsen this crisis, driving vulnerable nations into food shortages that could leave millions struggling to eat.”

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  • DeSantis said he would send Special Forces after the cartels in Mexico as president. Can he do that? | CNN Politics

    DeSantis said he would send Special Forces after the cartels in Mexico as president. Can he do that? | CNN Politics

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    CNN
     — 

    Florida Gov. Ron DeSantis on Saturday reiterated his pledge to send US Special Forces into Mexico to confront drug cartels if he is elected president, saying, “We are going to act.”

    Speaking to reporters at Saturday’s first stop of the “Never Back Down” bus tour through Iowa, the Republican presidential hopeful said, “It’s humiliating to see the cartels have that type of control. They are effectively invading our country and killing our people.”

    The Florida governor first addressed the issue Wednesday night at the GOP presidential debate. When asked whether he would support sending Special Forces into Mexico, DeSantis answered clearly: “Yes, and I will do it on day one.”

    “The president of the United States has got to use all available powers as commander in chief to protect our country and to protect the people. So when they’re coming across, yes we’re going to use lethal force, yes we reserve the right to operate,” he said Wednesday. He later repeated that pledge in a tweet.

    DeSantis spokesperson Bryan Griffin told CNN, “Ron DeSantis will declare a national emergency on day one, mobilize all military resources, declare the cartels to be narco-terrorists, and change the rules of engagement on the border. The full force of the federal government will be utilized to ensure that illegal drug flow is stopped, and he will bring to bear every tool he has to this end.”

    DeSantis is not the only Republican to call for military action against drug cartels. But while experts said frustration over the cartels in Mexico and their impact on Americans is valid, they warned that taking military action on the soil of the US’ southern neighbor could trigger a diplomatic crisis.

    Pressed about taking such action on another country’s soil, DeSantis on Saturday defended the idea, arguing that the cartels are bringing “death and destruction” to America.

    Vanda Felbab-Brown, director of the Brookings Institution’s Initiative on Nonstate Armed Actors, explained that designating the cartels as a foreign terrorist organization would allow “for lethal action,” though that “doesn’t eliminate the diplomatic controversy and outrage in Mexico that any Mexican government would have.”

    Such a designation could have “major implications for trade,” Felbab-Brown said.

    “We can say what we want on our side – from the perspective of the Mexican government and Mexican military, that would be very much seen as a massive violation of sovereignty,” she said.

    Earl Anthony Wayne, a career diplomat who was the US ambassador to Mexico from 2011 to 2015, echoed that sentiment, saying US military action in Mexico has been “an extremely sensitive issue” for years.

    “Doing this in the way that he sounded like he was going to do it would create a massive crisis with Mexico,” Wayne said of DeSantis’ comments. “Whoever’s in charge” of Mexico, even if it were someone with a good relationship with the US, “would be forced to take drastic action and close the borders or do other things.”

    As for the authority to deploy US forces in that way, Wayne said it would fall “under the same rubric of launching a military operation in any other country around the world.” And while presidents don’t always get approval from Congress before taking military action, they do have to contend with Congress afterward.

    “There would have to be a justification,” he said. “And Congress would raise questions – why didn’t you seek authority for this, what’s the emergency that set this off? I mean, if you wanted to do it without telling anybody and without working anything out with the government of Mexico, it would create a lot of uproar in the United States, as well as with Mexico.”

    Ezra Cohen, a fellow with the Hudson Institute who was an acting assistant secretary of defense for special operations and low-intensity conflict in the Trump administration, said a president would “almost certainly” need to notify Congress after taking such an action.

    “Congress could pass a law prohibiting funding for such operations, but it would be hard for Congress to prevent this sort of activity,” he said.

    Cohen added, however, that the US is “out of options” in how to deal with the cartels because the Mexican government has proven to be “too corrupt and not strong enough to deal with this.”

    Both Wayne and Felbab-Brown agreed that the situation is dire but said the best path forward would be to find a way to work with the Mexican government. They acknowledged, however, that it has become increasingly difficult to do so.

    Felbab-Brown said that right now, “there is no cooperation” with the government, but there “are still officers, law enforcement officials, government officials who understand the narcos are taking over Mexico.” Taking military action, she said, would narrow options for future cooperation “tremendously.”

    “It’s not just that they are not cooperating with us; they are letting Mexico be eaten alive by the cartels,” Felbab-Brown said. “But, you know, lethal military action, certainly involving US soldiers … would be enormously challenging in terms of the optics and the bilateral relationship, and it would just sour even people who want to cooperate with the US. It would make it very difficult for them.”

    And military action, Wayne said, is not a serious idea to deal with what has become a “massive problem.”

    “These groups have grown and become powerful; they’re all mixed with the civilian population,” he said. “Give me a serious solution here. Don’t just make us all feel happy because you say you’re going to send the Special Forces in. … The point is to cut the flows off, it’s not just to kill a couple of cartel members in a small place where they put fentanyl together in a warehouse.”

    This story has been updated with new reporting.

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  • ‘Unprecedented’ wildfires across Louisiana force multiple evacuations amid extreme drought | CNN

    ‘Unprecedented’ wildfires across Louisiana force multiple evacuations amid extreme drought | CNN

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    CNN
     — 

    Louisiana has recorded an unprecedented 441 wildfires in August, forcing multiple southwestern towns to evacuate Thursday and the state to implement a burn ban.

    The state is experiencing severe heat and drought conditions. In an email to CNN, Louisiana Department of Agriculture and Forestry spokesperson Jennifer Finely said 441 fires have burned from August 1 to August 24.

    Finley said 8,385.73 acres have burned from August 1 to August 25, adding the number of acreage does not include the still-burning fire on Tiger Island, estimated to be more than 20,000 acres. “Tiger Island will not be known until it is out,” she said.

    As of Friday evening, there were at least six fires burning in Livingston, Sabine, Vernon and Beauregard Parishes.

    Gov. John Bel Edwards met with state and local officials Friday to assess the numerous wildfires burning throughout the state. At a Friday news conference in Beauregard Parish, where numerous communities are under mandatory evacuation, Edwards said officials are not dealing with one fire but fires all over the state “in a way that is very alarming.”

    According to CNN Weather, drought conditions have erupted quickly in southwest Louisiana, leaving 6% of the state in exceptional drought conditions. Nearly 50% of the state is in extreme conditions or worse. Around 77% of the state is in a severe drought or worse. In mid-July, there was no extreme drought in Louisiana.

    “Nobody alive in Louisiana has ever seen these conditions,” Edwards said. “It’s never been this hot, this dry, for this long.”

    “To have these fires burning the way they are and jumping fire lines, and when the wind picks up to have the fires burning in the crowns of trees rather than on the ground and low where they can be more easily contained, makes for a very difficult and dangerous situation,” the governor said.

    Edwards urged citizens to adhere to the statewide burn ban.

    “You should not be lighting a barbecue grill anywhere in the state of Louisiana today,” Edwards said.

    He added the National Guard is assisting in the efforts and the state has requested federal assistance and has looked to other states to help combat the flames.

    Speaking in Beauregard Parish, he governor said, “Louisiana National Guard has right at 100 soldiers active in this area in the firefight. They’re authorized to go up to 300 as they need to do that.”

    According to Edwards, as of Friday morning, helicopters have moved 348 loads of water, and close to 161,000 gallons have been dropped on the affected areas. No fatalities have been reported, the governor said.

    The Beauregard Parish Sheriff’s Office issued an evacuation order for the town of Merryville Thursday evening, saying the fire could reach the town limits within hours, according to Louisiana State Police. On Friday, the sheriff’s office issued further evacuation orders for Bancroft, the Ragle Road area, and the Junction community.

    “It is of the utmost importance to get out now,” the Beauregard Sheriff’s office urged in an order sent to Bancroft residents.

    Earlier Friday, the sheriff’s office said utilities had turned off services to the residents of Merryville. “All water should be conserved at all cost we need water to fight fires,” the agency said in a Facebook post.

    During a time of year when Louisiana is typically preparing for hurricanes and tropical storms, the state is instead dealing with a growing wildfire threat.

    Earlier this week there were almost 350 wildfires burning in the state, according to Mike Steele, communications director at the Louisiana Governor’s Office of Homeland Security and Emergency Preparedness. Every parish in the state is under a red flag warning, according to the National Weather Service.

    State emergency operations centers were activated Wednesday morning to help battle the blazes.

    “This time, this year obviously we’re dealing with a different type of weather situation that requires everybody to be aware of the burn ban and to do their part to reduce the likelihood that we would have anything that could potentially start a fire,” the office’s director, Casey Tingle, said in a news conference Wednesday.

    Tingle says they’re stretching their resources thin as Louisiana has been under a burn ban since August 7.

    “When it comes to this time of year, typically, we’re talking about hurricanes, tropical storms, rain, flooding that sort of thing,” Tingle said, “Our public is very attuned to those type of messages and always does a great job of helping us as a state respond and recover from those events when they happen.”

    “We desperately need everyone’s help in adhering to this (burn ban) order,” he said.

    And there’s no relief in sight: The upcoming forecast for the area and the state is expected to be dry and hot, Tingle added.

    State Fire Marshal Deputy Chief Felicia Cooper also said: “This situation is dangerous for every single one of us.”

    The area of Beauregard Parish experiencing the wildfires is in severe to extreme drought. Around 77% of the state is experiencing some level of drought, which is up from 7% of the state just three months ago, according to CNN Weather.

    Lake Charles, around 40 miles southeast of Merryville, has seen temperatures over 100 degrees every day since August 18 and temperatures over 95 degrees since June 29.

    “Our state has never been this hot and dry and we have never had this many fires,” Edwards posted on social media Thursday. “We need you and your neighbors to help keep our communities and first responders safe. Adhere to the statewide burn ban. Don’t burn anything.”

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  • Federal Reserve Chair Jerome Powell hints at more bad news for borrowers | CNN Business

    Federal Reserve Chair Jerome Powell hints at more bad news for borrowers | CNN Business

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    Washington, DC
    CNN
     — 

    Additional interest rate hikes are still on the table and rates could remain elevated for longer than expected, Federal Reserve Chair Jerome Powell said Friday.

    Delivering a highly anticipated speech at the Kansas City Fed’s annual economic symposium in Jackson Hole, Wyoming, Powell again stressed that the Fed will pay close attention to economic growth and the state of the labor market when making policy decisions.

    “Although inflation has moved down from its peak — a welcome development — it remains too high,” Powell said. “We are prepared to raise rates further if appropriate, and intend to hold policy at a restrictive level until we are confident that inflation is moving sustainably down toward our objective.”

    The Fed chief’s annual presentation at the symposium, which has become a major event in the world of central banking, typically hints at what to expect from monetary policy in the coming months.

    Powell’s speech wasn’t a full-throated call for more rate hikes, but rather a balanced assessment of inflation’s evolution over the past year and the possible risks to the progress the Fed wants to see. He made it clear the central bank is retaining the option of more hikes, if necessary, and that what Fed officials ultimately decide will depend on data.

    US stocks opened higher before Powell’s speech, tumbled in late morning trading and then rose again.

    The Fed raised its benchmark lending rate by a quarter point in July to a range of 5.25-5.5%, the highest level in 22 years, following a pause in June. Minutes from the Fed’s July meeting showed that officials were concerned about the economy’s surprising strength keeping upward pressure on prices, suggesting more rate hikes if necessary. Some officials have said in recent speeches that the Fed can afford to keep rates steady, underscoring the intense debate among officials on what the Fed should do next.

    Financial markets still see an overwhelming chance the the Fed will decide to hold rates steady at its September meeting, according to the CME FedWatch tool, given that inflationary pressures have continued to wane.

    Here are some key takeaways from Powell’s speech.

    Chair Powell said there is still a risk that inflation won’t come down to the Fed’s 2% target as the central bank faces the proverbial last mile in its battle with higher prices.

    “Additional evidence of persistently above-trend growth could put further progress on inflation at risk and could warrant further tightening of monetary policy,” Powell said.

    Concerns over the economy running too hot for the Fed’s comfort only recently emerged.

    Economic growth in the second quarter picked up from the prior three-month period and the Atlanta Fed is currently estimating growth will accelerate even more in the third quarter.

    That could be a problem for the Fed, since the central bank’s primary mechanism for fighting inflation is by cooling the economy through tweaking the benchmark lending rate.

    Generally, if demand is red hot, employers will want to hire to meet that demand. But many firms continue to have difficulty hiring, according to business surveys from groups such as the National Federation of Independent Business. In theory, that could prompt wage increases in order to secure talent — and those higher costs could then be passed on to consumers.

    “if you’re a policymaker, you’re looking at the level of output relative to your estimate of what’s sustainable for maximum employment and 2% inflation,” William English, finance professor at Yale University who worked at the Fed’s Board of Governors from 2010 to 2015, told CNN. “So what does that mean for monetary policy? That may mean that they need rates to be higher for longer than they thought to get the economy on to that desirable trajectory, but there are a lot of questions around that force, and a lot of uncertainty.”

    Cleveland Fed President Loretta Mester is one of the Fed officials backing a more aggressive stance on fighting inflation.

    “We’ve come come a long way, but we don’t want to be satisfied, because inflation remains too high — and we need to see more evidence to be assured that it’s coming down in a sustainable way and in a timely way,” Mester said in an interview with CNBC after Powell’s remarks.

    Meanwhile, some other officials think there will eventually be enough restraint on the economy and that more hikes could cause unnecessary economic damage. The lagged effects of rate hikes on the broader economy are a key uncertainty for officials, since it’s not clear when exactly those effects will fully take hold. Research suggests it takes at least a year.

    “We are in a restrictive stance in my view, and we’re putting pressure on the economy to slow inflation,” Philadelphia Fed President Patrick Harker told Bloomberg in an interview Friday after Powell’s speech. “What I’m hearing — and I’ve been around my district all summer talking to people — is ‘you’ve done a lot very quickly.’”

    Powell pointed to the steady progress on inflation in the past year: The Fed’s preferred inflation gauge — the Personal Consumption Expenditures price index — rose 3% in June from a year earlier, down from the 3.8% rise in May. The Commerce Department officially releases July PCE figures next week, though Powell already previewed that report in his speech. He said the Fed’s favorite inflation measure rose 3.3% in the 12 months ended in July.

    The Consumer Price Index, another closely watched inflation measure, rose 3.2% in July, a faster pace than the 3% in June, though underlying price pressures continued to decelerate that month.

    In his speech Friday, Powell stood firmly by the Fed’s current 2% inflation target, which was formalized in 2012 — at least for now. The Fed is set to review its policy framework around 2025, which could be an opportunity to establish a new inflation target.

    Harvard economist Jason Furman said in an op-ed published in The Wall Street Journal this week that the central bank should aim for a different inflation goal, which could be something slightly higher than 2% or even a range of between 2% and 3%.

    For now, Powell has made it clear he is sticking with the stated inflation target.

    Still, inflation’s progress has hyped up not only American consumers and businesses, but also some Fed officials.

    Chicago Fed President Austan Goolsbee reiterated to CNBC Friday that he still sees “a path to a soft landing,” a scenario in which inflation falls down to target without a spike in unemployment or a recession.

    Powell also weighed in on an ongoing debate among economists about whether the “neutral rate of interest,” also known as r*, is higher since the economy is still on strong footing despite the Fed’s aggressive pace of rate hikes.

    In theory, the neutral rate is when real interest rates neither restrict nor stimulate growth. The Fed chair said higher interest rates are likely pulling on the economy’s reins, implying that r* might not be structurally higher, though he said it’s an unobservable concept.

    “We see the current stance of policy as restrictive, putting downward pressure on economic activity, hiring, and inflation. But we cannot identify with certainty the neutral rate of interest, and thus there is always uncertainty about the precise level of monetary policy restraint,” Powell said.

    Either way, while the Fed chief hinted that more rate hikes might be coming down the pike, there’s no guarantee either way.

    The Fed paused its historic inflation fight for the first time in June, mostly based on uncertainty over how the spring’s bank stresses would affect lending. The central bank could decide to pause again in September over uncertainty as it waits for more data.

    “We think that the Fed is more likely to take a wait-and-see approach with the data and try to understand a little bit more about why the labor market is remaining so strong, even despite the inflationary experience that we’ve had and the higher interest rates in the economy,” Sinead Colton Grant, head of investor solutions at BNY Mellon Wealth Management, told CNN in an interview.

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