Mexico’s president did not discuss border wall with Trump

FILE PHOTO: Mexico's new President Andres Manuel Lopez Obrador arrives for an event to unveil his plan for oil refining, in Paraiso, Tabasco state, Mexico, December 9, 2018. REUTERS/Alexandre Meneghini

By Anthony Esposito and Doina Chiacu

MEXICO CITY/WASHINGTON (Reuters) – Mexican President Andres Manuel Lopez Obrador said on Thursday he has not discussed a proposed border wall with President Donald Trump, as the U.S. leader seemingly backtracked on threats to make Mexico pay for the controversial project.

“We have not discussed that issue, in any conversation. … It was a respectful and friendly conversation,” Lopez Obrador told reporters following a tweet in which the U.S. president said a new trade deal with Mexico and Canada would cover the cost of a wall.

The two leaders spoke by telephone on Wednesday. Lopez Obrador said they discussed the possibility of creating a joint program for development and job creation in Central America and Mexico.

One of Trump’s key campaign promises was to build the border wall and he had long pledged that Mexico — not U.S. taxpayers — would fund it.

In a Twitter post early on Thursday, Trump again insisted that Mexico will foot the bill for the border wall.

He wrote that payment will begin with savings for the United States as a result of the renegotiated trade deal between the United States, Mexico and Canada. “Just by the money we save, MEXICO IS PAYING FOR THE WALL!”

Mexico has repeatedly rejected Trump’s demand that it pay for the project, and it is unlikely the country’s new president will reverse that course.

Funding for the border wall has been a sticking point in spending bills before the U.S. Congress, and Trump clashed with leading Democrats over the issue during an Oval Office meeting on Tuesday.

One of them, Senate Democratic leader Chuck Schumer, taunted Trump over his Mexico claim later on Thursday.

“Mr. President: If you say Mexico is going to pay for the wall (which I don’t believe), then I guess we don’t have to! Let’s fund the government,” Schumer retorted in his own Twitter post.

Lopez Obrador said he also discussed a possible meeting with Trump in Washington.

“He invited me. I’m also able to go to Washington, but I think that both for him and for us there must be a reason and I think the most important thing would be to sign this agreement or meet with that purpose,” said Lopez Obrador.

(Reporting by Anthony Esposito in Mexico City and Doina Chiacu in Washington; editing by Frank Jack Daniel and Jonathan Oatis)

Trump administration asks top court to restore asylum order

FILE PHOTO: U.S. President Donald Trump delivers remarks on immigration and border security in the Roosevelt Room of the White House in Washington, U.S., November 1, 2018. REUTERS/Kevin Lamarque/File Photo

By Andrew Chung

(Reuters) – President Donald Trump’s administration asked the U.S. Supreme Court on Tuesday to let his order barring asylum for immigrants who enter the United States illegally take effect even as litigation over the matter proceeds.

The U.S. Justice Department asked the court to lift a temporary restraining order against the asylum rules issued by San Francisco-based U.S. District Judge Jon Tigar. Trump has taken a hard line toward legal and illegal immigration since taking office last year.

Citing what he called an overwhelmed immigration system, Trump issued a proclamation on Nov. 9 that authorities process asylum claims only for migrants crossing the southern U.S. border at an official port of entry. Tigar blocked the rules on Nov. 19, drawing Trump’s ire.

The San Francisco-based 9th U.S. Circuit Court of Appeals refused on Friday to lift Tigar’s injunction pending an appeal by the administration, saying the government “has not established that it is likely to prevail.”

The Justice Department said in its request to the Supreme Court that the injunction frustrated the government’s effort to re-establish control over the southern border and reduce illegal crossings.

Trump issued his proclamation alongside a new administration rule that effectively prohibited asylum for migrants crossing from Mexico outside a port of entry. The policy came as the government sought ways to block thousands of Central Americans traveling in caravans to escape violence and poverty at home from entering the United States.

Immigrant rights groups immediately sued, arguing the policy violated federal immigration and administrative law.

In his ruling, Tigar said Congress clearly mandated that immigrants were eligible for asylum regardless of where they enter the country.

The ruling prompted Trump to blast the 9th Circuit as a “disgrace” and dismiss Tigar as an “Obama judge.” Tigar was appointed to the bench by former President Barack Obama, a Democrat.

That criticism led to an extraordinary rebuke by U.S. Chief Justice John Roberts, who issued a public response to Trump.

“We do not have Obama judges or Trump judges, Bush judges or Clinton judges,” said Roberts, a conservative who was appointed by Republican former President George W. Bush.

(Reporting by Andrew Chung in New York; Editing by Will Dunham and Peter Cooney)

Reluctant U.S. Supreme Court on collision course with Trump

FILE PHOTO: The Supreme Court is seen ahead of the start of it's new term in Washington, U.S., October 1, 2018. REUTERS/Aaron P. Bernstein/File Photo

By Lawrence Hurley

WASHINGTON (Reuters) – The U.S. Supreme Court’s reluctance to take up new cases on volatile social issues is putting it on a collision course with President Donald Trump, whose Justice Department is trying to rush such disputes through the appeals system to get them before the nine justices as quickly as possible.

That tension could come to head in 2019 if the court continues to avoid cases that the Republican president’s lawyers are aggressively trying to bring to the justices. The court’s 5-4 conservative majority includes Trump appointees Brett Kavanaugh and Neil Gorsuch.

While Trump has suffered a series of setbacks in lower federal courts since taking office last year, he has collected major victories at the Supreme Court. Most notably, the court in June upheld in a 5-4 ruling Trump’s travel ban targeting people from several Muslim-majority countries, with Gorsuch casting a pivotal vote after lower courts had blocked the policy.

But since Kavanaugh joined the bench in October after a bitter Senate confirmation fight, the court has declined to take up appeals by conservative-leaning states seeking to deny public funds to women’s healthcare and abortion provider Planned Parenthood, while postponing action on a dispute over federal employment protections opposed by Trump’s administration for gay and transgender people.

At the same time, the administration has been seeking to leap-frog more liberal-leaning lower courts to get cases on divisive questions over immigration, transgender rights and the U.S. census before the justices more rapidly.

“The court seems to be in go-slow mode at the moment when it comes to big cases. The court appears content to focus on meat-and-potatoes cases rather than blockbuster ones,” said Kannon Shanmugam, a lawyer who regularly argues cases before the justices.

Trump has frequently railed against the lower courts, especially the liberal-leaning San Francisco-based 9th U.S. Circuit Court of Appeals, that have ruled against him in some major cases including the travel ban.

In a setback to social and religious conservatives who strongly support Trump, the high court on Monday declined to take up appeals by Kansas and Louisiana to deny Planned Parenthood public funds under the Medicaid health insurance program for the poor.

Three of the court’s five conservatives voted to hear the matter, but with conservatives Kavanaugh and Chief Justice John Roberts declining to join them they fell a vote short of the required four needed to take up a case.

Conservative Justice Clarence Thomas accused his colleagues of ducking the case because of its controversial nature.

Last week, the court put off action in another divisive case involving whether federal employment law outlaws discrimination against gay and transgender people. There are three appeals on the issue begging attention from the court, but the justices have not yet acted.

The court also has delayed action in a case concerning Republican-drawn U.S. congressional districts in North Carolina that were struck down by a lower court that found the boundaries were drawn to ensure lopsided electoral victories for their party against rival Democrats.

FILE PHOTO: Justices of the U.S. Supreme Court including (L-R) Associate Justices Stephen Breyer, Neil Gorsuch, Elena Kagan, Brett Kavanaugh, Clarence Thomas, Chief Justice John Roberts and Associate Justice Samuel Alito await the arrival of the casket of former U.S. President George H.W. Bush inside the U.S. Capitol Rotunda in Washington, U.S., December 3, 2018. REUTERS/Jonathan Ernst/Pool/File Photo

FILE PHOTO: Justices of the U.S. Supreme Court including (L-R) Associate Justices Stephen Breyer, Neil Gorsuch, Elena Kagan, Brett Kavanaugh, Clarence Thomas, Chief Justice John Roberts and Associate Justice Samuel Alito await the arrival of the casket of former U.S. President George H.W. Bush inside the U.S. Capitol Rotunda in Washington, U.S., December 3, 2018. REUTERS/Jonathan Ernst/Pool/File Photo

‘BEING VERY CAREFUL’

“It does appear they are being very careful based on their actions so far. They don’t seem eager to take on avoidable, potentially controversial cases. It may be that they have a heightened sensitivity right now,” Shannon Minter, legal director of the National Center for Lesbian Rights advocacy group, said of the justices.

The court early next year must decide whether to hear two high-profile appeals by Trump’s administration. One involves the president’s bid to end deportation protections for hundreds of thousands of illegal immigrants known as “Dreamers” who were brought into the United States as children. The other involves his proposed limits on transgender people serving in the military.

Both policies were blocked by lower courts.

In an unusually aggressive strategy, Solicitor General Noel Francisco, a conservative lawyer who is Trump’s top Supreme Court advocate, sought to bypass lower appeals courts by asking the justices to take up both cases early in the appellate process.

Of the two cases, the court may be more likely to hear the immigration dispute, according to Nicole Saharsky, a former Justice Department lawyer now in private practice. The transgender case “seems like more of a reach,” Saharsky added.

Jonathan Adler, a professor at Case Western Reserve University School of Law, said Trump’s lawyers are in a delicate position.

“On the one hand, if they overplay their hand on a regular basis, they risk alienating the justices. On the other hand, there are some cases … in which they have legitimate complaints. In a sense, they don’t want to cry wolf, but there are wolves out there,” Adler said.

The justices have agreed to hear an administration appeal in a case in which a group of states has challenged the Commerce Department’s decision to add a contentious citizenship question to the census to be conducted in 2020.

But in doing so, the justices sent mixed messages by refusing to block a trial on the issue in New York, as the administration requested. The case will be argued before the justices on Feb. 19.

(Reporting by Lawrence Hurley; Editing by Kevin Drawbaugh and Will Dunham)

Senators see votes next week to send message to Saudi over Khashoggi death

FILE PHOTO: Saudi dissident Jamal Khashoggi speaks at an event hosted by Middle East Monitor in London, Britain, Sept. 29, 2018. Middle East Monitor/Handout via REUTERS

By Patricia Zengerle

WASHINGTON (Reuters) – U.S. senators said on Thursday they expect to vote next week on efforts to make clear to Saudi Arabia there is strong concern in Washington about the killing of journalist Jamal Khashoggi at a Saudi consulate in Turkey, despite President Donald Trump’s calls for continued close ties to Riyadh.

Some of Trump’s fellow Republicans have joined Democrats in blaming Saudi Crown Prince Mohammed bin Salman for Khashoggi’s death and backing legislation that could respond by, among other things, ending U.S. support for Saudi-led war effort in Yemen and suspending weapons sales to the kingdom.

A group of Republican and Democratic senators met on Thursday morning to discuss how to move ahead, saying afterward they were working to come up with a compromise that could eventually become law.

Republican Senator Bob Corker, chairman of the Senate Foreign Relations Committee, said he hoped to hold a hearing early next week on legislation that included a broad range of efforts to clamp down on Riyadh, including new sanctions and an end to military sales.

He also said he expected a vote in the Senate next week on a war powers resolution to stop U.S. support for the war in Yemen, which has produced one of the world’s worst humanitarian disasters.

Last week, 14 Republicans, who hold a slim majority in the Senate and rarely break from the president, defied Trump’s wishes and voted with Democrats in favor of moving ahead with the war powers resolution.

“We had a very good meeting,” Corker told reporters after the session, which was also attended by Republican Senators Lindsey Graham and Todd Young and Democrats Bob Menendez and Chris Murphy.

Menendez, the top Democrat on the Foreign Relations Committee, told reporters after the meeting that the senators were working on a compromise.

Graham, a vocal critic of Saudi Arabia who is close to Trump, introduced a bipartisan Senate resolution on Thursday intended to hold the Saudi crown prince “accountable” for contributing to the humanitarian crisis in Yemen, a blockade of Qatar, the jailing of dissidents and Khashoggi’s death.

Khashoggi was a U.S. resident and Washington Post columnist.

(Reporting by Patricia Zengerle; editing by Jonathan Oatis)

Growing split in Seoul over North Korea threatens Korea detente, nuclear talks

South Korean President Moon Jae-in and North Korean leader Kim Jong Un shake hands at the truce village of Panmunjom inside the demilitarized zone separating the two Koreas, South Korea, April 27, 2018. Korea Summit Press Pool/Pool via Reuters/File Photo

By Hyonhee Shin

SEOUL (Reuters) – When Seoul was preparing to open a liaison office in the North Korean city of Kaesong this summer after a decade of virtually no contact with its longtime enemy, South Korean officials had heated debates over whether they should seek approval from Washington.

Some top aides to President Moon Jae-in stressed it was an issue for the two Koreas alone and there was no need to involve their U.S. ally, two people with knowledge of the situation told Reuters.

But to the surprise of several officials at the meeting, Unification Minister Cho Myoung-gyon argued Washington must be consulted because Seoul’s plans might run afoul of sanctions imposed on North Korea over its nuclear weapons program.

Two dozen countries including the Britain, Germany and Sweden already have embassies in Pyongyang, and other officials saw the proposed liaison office as a far lower-level of contact with the North.

And they certainly did not expect Cho to be a leading advocate of strict enforcement of sanctions. Cho was Moon’s personal choice to head the ministry, whose prime mission is to foster reconciliation, cooperation and eventual reunification with the North.

Cho, whose 30-year public service history has been inextricably linked to reunification, was even sacked from the ministry in 2008 over his “dovish” stance toward Pyongyang.

At the suggestion of Cho and senior diplomats, Seoul ultimately sought U.S. consent before opening the office in September, one of the sources said.

All the sources spoke to condition of anonymity due to sensitivity of the matter.

Cho declined to comment for this article, but a senior official at the Unification Ministry said it was aware of criticisms of Cho.

“Inter-Korean ties are unique in their nature, but it’s been difficult, and there’s North Korea’s duplicity. It’s a dilemma we face or our fate,” the official said, asking not to be named because of the sensitivity of the issue.

 

CHIEF NEGOTIATOR, OR ROADBLOCK?

The previously unreported debate among Moon’s top officials illustrates a growing divide within South Korea over how to progress relations with the North while keeping Washington on the side.

Some corners of the administration argue Seoul can’t afford to be seen veering from the U.S.-led sanctions and pressure campaign until Pyongyang gives up its nuclear weapons program, while others feel closer inter-Korean ties can help expedite the stalled diplomatic process, several officials close to the situation say.

“If the internal rift leads to moving too quickly with the North without sufficient U.S. consultations, it could pose a setback to not only the nuclear talks but also the alliance and inter-Korean relations,” said Shin Beom-chul, a senior fellow at the Asan Institute for Policy Studies in Seoul.

After the inter-Korean thaw gave way to reconciliation efforts between North Korean leader Kim Jong Un and U.S. President Donald Trump earlier this year, Trump asked Moon to be “chief negotiator” between the two.

That task has become increasingly difficult as Washington and Pyongyang blame each other for the faltering nuclear talks.

U.S. officials insist punishing sanctions must remain until North Korea completely denuclearises. North Korea says it has already made concessions by dismantling key facilities and Washington must reciprocate by easing sanctions and declaring an end to the 1950-53 Korean War.

“Unlike other advisers, Minister Cho has balanced his staunch desire for peace with an understanding of the importance of retaining a strong South Korea-U.S. alignment,” said Patrick Cronin of the Centre for a New American Security, an Asia expert in close touch with both U.S. and South Korean officials.

“Some alliance discord is inevitable and not worrisome. What would be worrisome would be a clear rupture in South Korea-U.S. approaches for managing North Korea.”

The presidential Blue House declined to comment, but Moon told reporters on Monday the view that there was discord between South Korea and the United States was “groundless” because there is no difference in the two countries’ positions on the North’s denuclearization.

SLOW PROGRESS, MOUNTING FRUSTRATION

A third source familiar with the presidential office’s thinking said there was mounting frustration with Cho within the Blue House and even inside the Unification Ministry amid concerns he worried too much about U.S. views.

“What the president would want from him as the unification minister is to come up with bold ideas to make his pet initiatives happen,” the source said.

During three summits this year, Moon and Kim agreed to re-link railways and roads, and when conditions are met, restart the joint factory park in Kaesong and tours to the North’s Mount Kumgang resort that have been suspended for years.

None of those plans have made much headway, either because sanctions ban them outright, or as in the case of Kaesong, Seoul took time to convince skeptical U.S. officials that cross-border projects wouldn’t undermine sanctions.

North Korea itself has been an unpredictable partner. Discussions through the Kaesong office have been few and far between, with Pyongyang’s negotiators often failing to show up for scheduled weekly meetings without notice, Unification Ministry officials say.

Even so, the Kaesong move has caused tensions with Washington.

U.S. officials told Seoul that South Korea’s explanations on the Kaesong office were not “satisfactory,” the South’s Foreign Minister Kang Kyung-wha told a parliamentary hearing in August.

Washington was also caught off guard when a group of businessmen who used to operate factories in the now-closed Kaesong industrial park were invited for the opening ceremony of the office, a diplomatic source in Seoul said.

The allies launched a working group last month led by their nuclear envoys to coordinate North Korean policy. It was borne out of U.S. desire to “keep inter-Korean relations in check,” the source said.

Asked about the Kaesong office, a U.S. State Department official said: “We expect all member states to fully implement U.N. sanctions, including sectoral goods banned under UN Security Council resolution, and expect all nations to take their responsibilities seriously to help end (North Korea’s) illegal nuclear and missile programs.”

Another State official said the United States endorsed April’s inter-Korean summit agreement during its own summit with North Korea “because progress on inter-Korean relations must happen in lockstep with progress on denuclearization.”

Last month, Secretary of State Mike Pompeo met Cho in Washington, bluntly warning him that inter-Korean cooperation and progress on nuclear negotiations should “remain aligned.”

FILE PHOTO: South Korean Unification Minister Cho Myoung-gyon walks to board a plane to leave for Pyongyang, North Korea, to participate in the inter-Korean basketball matches, at Seoul Airport in Seongnam, South Korea, July 3, 2018. Ahn Young-joon/Pool via REUTERS/File Photo

FILE PHOTO: South Korean Unification Minister Cho Myoung-gyon walks to board a plane to leave for Pyongyang, North Korea, to participate in the inter-Korean basketball matches, at Seoul Airport in Seongnam, South Korea, July 3, 2018. Ahn Young-joon/Pool via REUTERS/File Photo

ROCK AND A HARD PLACE

Even as he faced pressure from Washington to hold a tough line, Cho was being criticized for dragging his feet on reconciliation.

In May, the North called off planned talks with the South led by Cho in protest against U.S.-South Korean air combat exercises. When the meeting eventually took place, Cho’s counterpart, Ri Son Gwon, openly blamed Cho for having caused a “grave situation” that resulted in the cancellation of the talks.

At the Kaesong office opening, factory owners pressed Cho to reopen the complex and said they were dismayed at the Unification Ministry for repeatedly rejecting requests to visit the border city to check on equipment and facilities idled since the 2016 shutdown.

“We’ve expressed, directly and indirectly, our complaint that the minister may be too lukewarm about our requests, even though allowing the trip has nothing to do with sanctions,” said Shin Han-yong, who chairs a group of businessmen with plants in Kaesong.

Cho recently told the parliament the delays are due to scheduling issues with the North, adding the ministry “needs more time to explain the overall circumstances” to the international community.

Shin, the expert at Asan, warned any move to undermine sanctions may expose South Korean companies to risks of punishment.

After Moon and Kim’s summit in Pyongyang in September, a senior U.S. Treasury official called compliance officers at seven South Korean banks to warn them that resuming financial cooperation with North Korea “does not align with U.S. policies” and the banks must comply with U.N. and U.S. financial sanctions, according to a South Korean regulatory document.

“Realistically we have no option but to consider U.S. positions, as the top priority is the North’s denuclearization and the United States has the biggest leverage on that,” said Kim Hyung-suk, who served as vice unification minister until last year.

“Without progress on the nuclear issues, there would be constraints at some point in sustaining inter-Korean ties. And Minister Cho knows that.”

(Editing by Soyoung Kim and Lincoln Feast.)

China confident on U.S. trade pact, Trump cites Xi’s ‘strong signals’

FILE PHOTO: U.S. President Donald Trump takes part in a welcoming ceremony with China's President Xi Jinping in Beijing, China, November 9, 2017. REUTERS/Damir Sagolj

By John Ruwitch

SHANGHAI (Reuters) – China expressed confidence on Wednesday that it can reach a trade deal with the United States, a sentiment echoed by U.S. President Donald Trump a day after he warned of more tariffs if the two sides could not resolve their differences.

The remarks, by the Chinese Commerce Ministry, follow a period of relative quiet from Beijing after Trump and Chinese leader Xi Jinping reached a temporary truce in their trade war at a meeting over dinner in Argentina on Saturday.

In a brief statement, the ministry said China would try to work quickly to implement specific items already agreed upon, as both sides “actively promote the work of negotiations within 90 days in accordance with a clear timetable and roadmap”.

“We are confident in implementation,” it said, calling the latest bilateral talks “very successful”.

Trump, in a post on Twitter, linked Beijing’s silence to officials’ travels and said he thought Xi had been sincere during their weekend meeting to hammer out progress over trade.

“Very strong signals being sent by China once they returned home from their long trip, including stops, from Argentina. Not to sound naive or anything, but I believe President Xi meant every word of what he said at our long and hopefully historic meeting. ALL subjects discussed!” Trump wrote on Wednesday.

The U.S. president a day earlier had said the ceasefire could be extended but warned tariffs would be back on the table if the talks failed and that he would only accept a “real deal” with China.

China’s Foreign Ministry referred specific questions to the Commerce Ministry, which is due to hold its weekly news briefing on Thursday in Beijing.

“We hope the two working teams from both sides can, based on the consensus reached between the two countries’ leaders, strengthen consultations, and reach a mutually beneficial agreement soon,” Foreign Ministry spokesman Geng Shuang told reporters.

The threat of further escalation in the trade war between the world’s two largest economies has loomed large over financial markets and the global economy for much of the year, and investors initially greeted the ceasefire with relief.

The mood has quickly soured, however, on skepticism that the two sides can reach a substantive deal on a host of highly divisive issues within the 90-day negotiating period, and markets continued to slide on Wednesday in part from confusion over the ceasefire’s lack of detail.

Failure would raise the specter of a major escalation in the trade battle, with fresh U.S. tariff action and Chinese retaliation possibly as early as March.

The White House has said China had committed to start buying more American products and lifting tariff and non-tariff barriers immediately while beginning talks on structural changes with respect to forced technology transfers and intellectual property protection.

Sources told Reuters that Chinese oil trader Unipec plans to resume buying U.S. crude by March after the Xi-Trump deal reduced the risk of tariffs on those imports. China’s crude oil imports from the U.S. had ground to a halt.

MARKETS DOWN

Global financial markets sank to one-week lows on Wednesday amid the renewed trade concerns, extending Tuesday’s slide.

U.S. markets were closed on Wednesday to observe former President George H.W. Bush’s death, but the effect of Wall Street’s turmoil the previous day was felt in Europe and Asia with the benchmark Shanghai stock index closing down 0.6 percent.

“Narrow agreements and modest concessions in the ongoing trade dispute will not bridge the wide gulf in their respective economic, political and strategic interests,” Moody’s Investors Service said in a report that predicted U.S.-China relations “will remain contentious”.

Officials from the United States and a number of other major economies have often criticized China for its slow approach to negotiations and not following through on commitments.

China has said comparatively little about the Trump-Xi agreement after senior Chinese officials briefed the media following the meeting, and U.S. and Chinese accounts of what the deal entails have sometimes differed.

“Officials now face the difficult task of fleshing out a deal that is acceptable to the Chinese but also involves significant enough concessions not to be torpedoed by the China hawks in the Trump administration,” Capital Economics said in a note this week, adding that higher tariffs could simply be delayed.

A Chinese official told Reuters that officials were “waiting for the leaders to return” before publicizing details.

President Xi and his most senior officials are due back in China on Thursday, having visited Panama and Portugal since leaving Argentina.

On Wednesday, the Global Times tabloid, which is run by the Chinese Communist Party’s main newspaper, said the Trump administration’s statements about the deal – including the agreement that China would buy $1.2 trillion in additional U.S. goods – were designed to highlight or even exaggerate facets of the deal that benefited the United States.

“It will be a win-win situation if a deal is realized. But if not, more fights and talks will continue alternately for a long while. Chinese society should maintain a calm attitude,” it said.

(Reporting by John Ruwitch and Wang Jing in Shanghai, Philip Wen in Beijing and Makini Brice in Washington; Writing by Ben Blanchard; Editing by Kim Coghill and Steve Orlofsky)

Bush funeral to hark back to ‘kinder, gentler’ era in U.S. politics

The flag-draped casket of former President George H.W. Bush is carried by a joint services military honor guard from the U.S. Capitol, Wednesday, Dec. 5, 2018, in Washington. Alex Brandon/Pool via REUTERS

By Steve Holland

WASHINGTON (Reuters) – Former President George H.W. Bush’s full life and decades of public service will be celebrated on Wednesday at a funeral expected to be a remembrance of an era that many Americans recall as a time of less contentious politics.

An unusual bipartisan spirit will be on display at the service at the Washington National Cathedral, starting at 11 a.m. (1600 GMT), with both Republican and Democratic politicians gathering to hail the life of a president who called for a “kinder, gentler” nation.

Bush, the 41st U.S. president, died last week aged 94.

Visitors gather before a State Funeral for former President George H.W. Bush at the National Cathedral in Washington, U.S., December 5, 2018. Andrew Harnik/Pool via REUTERS

Visitors gather before a State Funeral for former President George H.W. Bush at the National Cathedral in Washington, U.S., December 5, 2018. Andrew Harnik/Pool via REUTERS

“You’ll see a lot of joy,” said Ron Kaufman, who was George H.W. Bush’s White House political director in his unsuccessful re-election campaign in 1992. “It’ll show the way of life that people took for granted in many ways and now kind of long for.”

Political feuds will be set aside in honor of the late president, a World War Two naval aviator who was shot down over the Pacific Ocean, a former head of the CIA and a commander-in-chief who defeated Iraqi forces in the 1991 Gulf War.

President Donald Trump will attend the service, along with his wife Melania Trump, but will not be a speaker.

Trump infuriated the late Bush in the past by attacking his sons, former President George W. Bush and Jeb Bush, one of Trump’s rivals in the 2016 Republican campaign.

“Looking forward to being with the Bush family. This is not a funeral, this is a day of celebration for a great man who has led a long and distinguished life. He will be missed!” Trump tweeted on Wednesday.

The Trumps spent about 20 minutes visiting with the Bush family on Tuesday. A senior White House official said Trump has privately called the late president “a good man and a nice guy” and that he has been pleased with the coordination with the Bush family this week.

Jeb Bush, a former governor of Florida, told the Wall Street Journal’s CEO Council on Tuesday: “The president and first lady have been really gracious.”

Bush has been remembered as a patrician figure who represented a bygone era of civility in American politics, although he came across as out of touch with ordinary Americans as economic troubles bit hard in the early 1990s.

Former President George W. Bush, former first lady Laura Bush, Neil Bush, Sharon Bush, Bobby Koch, Doro Koch, Jeb Bush and Columba Bush, stand just prior to the flag-draped casket of former President George H.W. Bush being carried by a joint services military honor guard from the U.S. Capitol, Wednesday, Dec. 5, 2018, in Washington. Alex Brandon/Pool via REUTERS

Former President George W. Bush, former first lady Laura Bush, Neil Bush, Sharon Bush, Bobby Koch, Doro Koch, Jeb Bush and Columba Bush, stand just prior to the flag-draped casket of former President George H.W. Bush being carried by a joint services military honor guard from the U.S. Capitol, Wednesday, Dec. 5, 2018, in Washington. Alex Brandon/Pool via REUTERS

EX-PRESIDENTS

All surviving former U.S. presidents will be at the cathedral along with their wives: Barack and Michelle Obama, Bill and Hillary Clinton, and Jimmy and Rosalynn Carter. Bill Clinton defeated George H.W. Bush in 1992, but in the years after leaving office developed a strong friendship with him.

George W. Bush will deliver a eulogy, along with former Canadian Prime Minister Brian Mulroney, retired Wyoming Republican Senator Alan Simpson and presidential biographer and former journalist Jon Meacham.

Attendees will include Britain’s Prince Charles and leaders of Germany, Jordan, Australia and Poland, along with a host of former world leaders, such as former British Prime Minister John Major, who was in office during Bush’s term.

Marlin Fitzwater, who was the late president’s White House press secretary, said the ceremony “will show a quality of gentility and kindness that he was noted for.”

Of Trump’s presence, Fitzwater said: “It’s important for our presidents to pay respect to each other and I’m glad President Trump will be there.”

Bush navigated the United States through the end of the Cold War and was president when the Berlin Wall fell in 1989.

He was dogged by domestic problems, including a sluggish

economy, and faced criticism for not doing enough to stem the tens of thousands of deaths from the AIDS virus ravaging America.

When he ran for re-election in 1992, he was pilloried by Democrats and many Republicans for violating his famous 1988 campaign promise: “Read my lips, no new taxes.” Democrat Bill Clinton coasted to victory.

Bush’s casket will be transported to the cathedral from the Capitol Rotunda, where the late president has lain in state since Monday night. Thousands of people have filed past to pay their respects, some getting a chance to see Sully, a service dog that was Bush’s friendly companion.

(Reporting by Steve Holland; Additional reporting by Richard Cowan; Writing by Steve Holland and Alistair Bell; Editing by Lisa Shumaker and Frances Kerry)

If Iran can’t export oil from Gulf, no other country can, Iran’s president says

Iranian President Hassan Rouhani gives a public speech during a trip to the northern Iranian city of Shahroud, Iran, December 4, 2018. Official President website/Handout via REUTERS

GENEVA (Reuters) – Iranian President Hassan Rouhani made an apparent threat on Tuesday to disrupt other countries’ oil shipments through the Gulf if Washington presses ahead with efforts to halt Iranian oil exports.

The United States has imposed sanctions on Iran and U.S. officials say they aim to reduce Iran’s oil exports to zero in a bid to curb the Islamic Republic’s missile program and regional influence.

“America should know that we are selling our oil and will continue to sell our oil and they are not able to stop our oil exports,” Rouhani said in a televised speech during a trip to the northern Iranian city of Shahroud.

“If one day they want to prevent the export of Iran’s oil, then no oil will be exported from the Persian Gulf,” he said.

Rouhani made similar comments in July.

Also in July, an Iranian Revolutionary Guards commander, Ismail Kowsari, was quoted as saying that Tehran would block oil shipments through the Strait of Hormuz if the United States banned Iranian oil sales.

Tensions have risen between Iran and the United States after U.S. President Donald Trump withdrew from a multilateral nuclear deal in May and reimposed sanctions on the Islamic Republic.

Rouhani said the United States would not succeed in cutting Iran’s economic ties with the region and the world.

“The most hostile group in America, with relation to Iran, has taken power,” Rouhani said, according to the state-run Islamic Republic News Agency (IRNA). “Of course they never had a friendship with the people of Iran and we never trusted America or others 100 percent.”

Earlier, Foreign Minister Mohammad Javad Zarif denied a Reuters report that said a European mechanism to set up an account to trade with Iran and beat the newly reimposed U.S. sanctions may not cover oil sales, the Iranian foreign ministry website reported.

“Based on the information we have, it’s not so. Because if Iran’s oil money is not deposited into the account, it’s not clear that there would be any funds for trade, because oil is a major part of Iran’s exports,” Zarif said, according to the website.

“This appears to be propaganda aimed at discouraging people,” Zarif added.

France and Germany are to take joint responsibility for the EU-Iran trade mechanism, Reuters reported.

But the agency quoted diplomats as saying that, with U.S. threats of retribution for sanctions-busting unrelenting, the goals of the nascent trade mechanism could be scaled back to encompass only less sensitive items such as humanitarian and food products.

Iranian Vice President Eshaq Jahangiri said on Tuesday that U.S. sanctions were hitting vulnerable people in Iran.

“When (Americans) say their target is the Iranian government and there won’t be pressure on the sick, the elderly and the weak in society, it’s a lie,” Jahangiri said, according to IRNA.

(Reporting by Babak Dehghanpisheh, additional reporting by Dubai newsroom; Editing by Adrian Croft and David Evans)

Trump-Xi meet, a turning point in global trade war?

FILE PHOTOS: Republican presidential nominee Donald Trump (L) holds a rally with supporters in Council Bluffs, Iowa, September 28, 2016 and Chinese President Xi Jinping waits for leaders to arrive at a summit in Shanghai May 21, 2014. REUTERS/Jonathan Ernst/Aly Song/File Photos

By Philip Blenkinsop

BRUSSELS (Reuters) – Will U.S. President Donald Trump’s much-heralded meeting with Chinese counterpart Xi Jinping in Argentina on Saturday lead to an easing of the Sino-U.S. trade conflict?

That has been the main question of financial and commodity markets leading up to the G20 summit in Buenos Aires. The answer is likely to steer investors at the start of the coming week.

Signals leading up to the meeting were at best mixed.

“I think we’re very close to doing something with China, but I don’t know that I want to do it,” Trump said as he set out on his journey from the White House.

The state-run China Daily newspaper said any deal was unlikely to be a comprehensive solution to the impasse due to “diverging demands and agendas”.

Economists at UBS expressed hope that a positive message could at least emerge, with a path towards resolution sometime next year, but that recent U.S. actions and statements had tempered their optimism.

ING was downbeat on a breakthrough coming soon, adding that two sides remained far apart on the extent to which China’s trade surplus with the United States could be reduced.

ING Bank forecasts that global trade growth will slow from 2.6 percent this year to 1.3 percent in 2019, the weakest rate since 2009, when the global financial crisis was at its height.

The estimate is based on an intensified U.S.-China trade war in which Washington increases tariffs on $200 billion of products to 25 percent in January from 10 percent now and then targets the $267 billion of Chinese exports not already subject to measures.

Without that, global trade growth could be unchanged at 2.6 percent. However, if Trump also decides to hike import duties on cars, that growth would slump to 0.5 percent next year, ING says.

Trump has threatened for months to impose auto tariffs, notably those made in Europe, although he has pledged to refrain from doing so for the European Union and Japan as long as it makes constructive progress in trade talks with the pair.

However, Trump reignited speculation on Wednesday by saying new auto tariffs were “being studied” and asserting they could prevent jobs cuts such as the layoffs and plant closures announced by General Motors Co.

Economists at Citi believe any tariffs would apply to finished vehicles but not to auto parts and the principal question is not if, but when, they will be unveiled.

As speculation has intensified, top executives from German carmakers Volkswagen, BMW and Daimler, previous targets of Trump’s criticism, are set to visit the White House next week.

OPEC CUTS, U.S. JOBS SPIKE?

Once markets have absorbed the fruits of the Trump-Xi exchange, investors may shift focus to at least two events at the end of the week.

The Organization of the Petroleum Exporting Countries (OPEC) and its allies meet on Dec. 6-7 and are expected to discuss a possible production cut. Oil prices have fallen by more than 20 percent in November, to make it the biggest monthly drop in a decade.

The United States will also report its widely watched monthly jobs report on Friday.

Economists polled by Reuters forecast that the unemployment rate will hold at a 49-year low of 3.7 percent and that year-on-year wage growth will also match the 3.1 percent of October, itself a nine-and-a-half-year high.

The figures, if confirmed, should make it a near-certainty that the Federal Reserve will raise interest rates for a fourth time this year at its Dec. 18-19 meeting, even as its chairman Jerome Powell signals a more cautious approach on future rate hikes next year.

“While sentiment may be a bit gloomy after the fallout from G20 meeting the more positive tone to the U.S. macro story could improve spirits as we move through the week,” said James Knightley, chief international economist at ING.

(Reporting by Philip Blenkinsop; Editing by Richard Balmforth)

Exclusive: Trump weighs authorizing U.S. troops to medically screen migrants

United States Marines fortify concertina wire along the San Ysidro Port of Entry border crossing as seen from Tijuana, Mexico November 20, 2018. REUTERS/Adrees Latif

By Idrees Ali and Phil Stewart

WASHINGTON (Reuters) – President Donald Trump’s administration is considering giving U.S. troops on the border with Mexico the authority to carry out medical screening of migrants, U.S. officials told Reuters on Tuesday.

The proposal, which is still in draft form and circulating within the administration, would involve the military in screenings for things like illness and injury only if U.S. Customs and Border Protection (CBP) agency personnel were overwhelmed and unable to do so on their own, the officials said.

The proposal would expand the mission for the Pentagon, which said previously it did not expect its forces to directly interact with migrants.

The Pentagon declined to comment on internal deliberations. In a statement, it said the operation would cost about $72 million through Dec. 15, based on current plans.

U.S. military duties on the border, including stringing up concertina wire and building temporary housing, have been aimed at supporting CBP personnel.

The U.S. officials who spoke to Reuters about the proposal did so on condition of anonymity because Trump has not yet signed off on the idea.

It was unclear if the proposal, if confirmed in the coming days, might prolong the deployment of at least some troops at the border.

The commander of the mission told Reuters last week that the number of troops may have peaked at around 5,800, and he would soon look at whether to begin sending forces home or shifting some to new border positions.

LAST RESORT

Trump, who won the presidency in 2016 after a campaign promising to crack down on illegal immigration, has seized upon migrant caravans headed toward the U.S. border, comparing it to an “invasion.”

Critics have derided his position as a stunt that politicizes the military.

About 6,000 Central Americans have reached the Mexican border cities of Tijuana and Mexicali, according to local officials. More bands of migrants are making their way toward Tijuana, with around 10,000 expected.

In Tijuana and other ports of entry, CBP officers are trained to check migrants and travelers for obvious signs of infectious conditions, like fever, bleeding from the eyes or other symptoms of “quarantinable and communicable diseases,” according to a 2015 report by the Congressional Research Service.

One U.S. official said that under the latest proposal, U.S. troops would carry out medical screenings only if other officials, such as from state and local governments or the National Guard, were not available or overwhelmed.

“The intent of the authorities is not to bring the troops in closer contact with the migrants but to provide medical assistance if needed,” the official said.

On Monday, Reuters reported that Trump was likely to give U.S. troops authority to protect immigration agents stationed along the U.S. border with Mexico if they come under threat from migrants seeking to cross into the United States.

(Reporting by Idrees Ali and Phil Stewart; Editing by Peter Cooney, Bill Berkrot and Lisa Shumaker)