Syria, Arms Control Likely to Figure Prominently at Helsinki Summit

As the 2018 World Cup reached its climax Sunday, no one could draw more satisfaction from the tournament than Russian leader Vladimir Putin. The mega sporting event, which Putin personally lobbied to secure for Russia, has allowed the Kremlin to burnish the country’s image abroad, say analysts and even Putin’s domestic critics.

And Monday the Russian leader will once again be center stage with a meeting with U.S. President Donald Trump, ending in some ways the international ostracism the Russian leader has faced since his forcible annexation of Crimea in 2014.

Monday’s meeting in Helsinki for the first face-to-face summit between the leaders of the World’s two biggest nuclear-armed nations has been a hastily-pulled together encounter. European leaders are apprehensive about what may come out of it, fearing Trump may bank too much on personal chemistry and gloss over substance. Former U.S. government officials worry there’s been too little preparatory work by the White House ahead of the high-stakes sit-down.

Both U.S. and Russian diplomats have been playing down expectations for the four-hour summit in the Finnish capital, which will include a lengthy one-on-one discussion between the two leaders, saying they expect no breakthroughs on contentious issues — including on accusations of Russian meddling in the 2016 U.S. Presidential race.

No set agenda

With no set formal agenda, President Trump has suggested the encounter is more about breaking the ice between the two men, who have met briefly twice before on the sidelines of international summits, than anything else. He told reporters last week that he’s going into the meeting “not looking for so much.”

And that is what America’s European allies and some former U.S. officials, who have publicly expressed doubts about the wisdom of holding the summit, hope is the end result, too — namely, nothing much.

They have expressed fears that Trump, who last week berated NATO allies, and hinted unless they increased their defense spending rapidly, he’d consider pulling the U.S. out of the nearly 70-year-old security alliance, will be lured by the more experienced summiteer Vladimir Putin into offering concessions — possibly agreeing to lift sanctions imposed on Russia for the 2014 annexation of Ukraine’s Crimea.

Some media commentators have suggested Trump might even agree to recognize formally the annexation — predictions the freewheeling U.S. President prompted after telling reporters on Air Force One on June 29 that he might consider doing so. “We’re going to have to see,” Trump said.

Crimea

In June, too, at an ill-tempered G-7 summit in Quebec, Trump reportedly told other Western leaders — possibly to shake them up — that Crimea might as well belong to Russia because most people living there speak Russian.

The White House, though, has firmly denied that Crimea’s status is up for grabs.

White House spokeswoman Sarah Sanders told a July 3 press briefing in Washington: “We do not recognize Russia’s attempt to annex Crimea.” She added: “sanctions against Russia remain in place until Russia returns the peninsula to the Ukraine.”

And Ukraine’s President, Petro Poroshenko, who met with Trump for 20 minutes during last week’s NATO meeting, has discounted Trump offering any concessions on Crimea, saying he’s satisfied with the assurances he got from the U.S. President.

He told France 24 that he’s certain Trump won’t negotiate about Crimea during his meeting with Putin.

So what will the two men talk about in Helsinki? Trump has declared no issue off the table. And in the past few days he has reiterated his desire to establish warm relations with Putin, saying he doesn’t see him as an enemy but as a competitor, who might one day become a friend.

European concerns

But it is remarks like that which are prompting European apprehension and the alarm especially not only of the British, French and Germans but also Baltic and Polish leaders. They view Putin’s Kremlin as an implacable foe, one determined to sow divisions in the West, drive a wedge between America and Europe and to reassert Russian influence over Central Europe.

Trump’s position is that dialogue is important. The U.S. leader has said in the past that “getting along with Russia [and others] is a good thing, not a bad thing” to explain why he wants to improve relations with Moscow. And his ambassador to Russia, Jon Huntsman, has pressed the importance of channels of communication being open between Washington and Moscow, saying not to talk would be irresponsible.

Tense relations

Not since the Cold War have relations between the West and Moscow been so fraught with clashes over Russia’s 2014 annexation of Crimea and its pro-separatist operations in eastern Ukraine, as well as its military intervention in Syria. There are also ongoing disputes over nuclear arms treaties, NATO policy, and cybersecurity.

On Saturday, Russian foreign minister Sergei Lavrov seemed to echo Washington’s position — that the summit is about initiating U.S.-Russian dialogue. “The ideal outcome would be to agree to engage all the channels on all divisive issues…and also on those issues where we can already usefully cooperate,” he said.

Lavrov also said Putin is “ready to answer any questions” about the alleged involvement of Russian military intelligence officers in the hacking of Democratic Party computers in 2016. His comment came less than 24 hours after the U.S. Justice Department issued criminal indictments of a dozen Russians for interfering in U.S. politics.

Trump’s domestic foes fault him for shying away from criticizing Putin personally, arguing it gives credence to claims made by a former British spy that the Kremlin holds compromising information on the U.S. president. Trump has angrily dismissed the claims.

Russian officials say Putin has no intention of raising Ukraine and Crime. But it seems clear that NATO will come up. Lavrov pointedly criticized Saturday NATO expansion, saying it was “swallowing countries” near Russia’s borders. “Today we have common threats, common enemies. Terrorism, climate change, organized crime, drug trafficking. None of this is being effectively addressed by NATO expansion.”

European officials worry that Putin will seek to exploit disunity within NATO days after last week’s contentious summit in which President Trump clashed repeatedly with European leaders, shaking them up with demands for defense spending hikes beyond previously agreed targets.

European officials worry Trump may during his meeting with Putin offer to axe planned NATO war games in Baltic in a gesture of goodwill. On Thursday, the U.S. President said: “Well, perhaps we’ll talk about that.” In June, Trump shocked South Korea and Japan by telling North Korean leader Kim Jong-un during their meeting in Singapore that he would pause joint military exercises.

Mideast

U.S. and Russian officials say Syria will figure prominently in the discussions between Trump and Putin— including ways to wind down the multi-sided conflict in the Middle East.

Israeli Prime Minister Benjamin Netanyahu met with President Putin in Moscow last week for talks focusing on the Iranian presence in Syria, prompting speculation that he was laying the groundwork for the Russian leader and Trump to reach a deal that would see the withdrawal of Iranian forces and their proxy Hezbollah militia from areas bordering Israel.

Netanyahu told his Cabinet Sunday that he had spoken by phone with Trump on Saturday to discuss Syria and Iran. The prime minister said Trump reaffirmed his commitment to Israel.

But it is arms control that’s likely to prove the most fruitful issue for the two leaders. Despite the Cold War-style strains between the U.S. and Russia, the two countries met a February verification deadline required by the 2010 New Strategic Arms Reduction Treaty, which among other things requires both countries to limit their deployed strategic nuclear warheads and bombs to 1,550 apiece. U.S. ambassador Huntsman told VOA in April that he saw the meeting of the deadline as “a kind of opening,” adding he hoped it would lead to broader discussions on nuclear arms control, something he believes can be built on to help improve U.S.-Russia relations.

Largest US Port Complex Braces for Extended US-China Trade War

Liang Liang is feeling a lot of stress lately. He owns an import wholesale business in Los Angeles.

“I have been watching the news every day — when will the tariffs be put in place? When are my goods arriving; it’s a fight against time. I’m trying to order all my products for the rest of the year,” he said. His goods, such as toys and T-shirts, come from China through the largest port complex in the United States, the twin ports of Los Angeles and Long Beach.

He expects a 10 to 20 percent increase in shipping costs because of the trade war between the United States and China.

Shipping costs likely to rise

China is the largest trading partner for both ports. As tariffs from both countries increase the cost of goods, manufacturers and retailers may order fewer products, which will cause a decrease in trade volume between the two countries, according to Stephen Cheung, president of the World Trade Center Los Angeles.

“Once that happens, you’re going to see an increase in the rates for shipping because then you don’t have the volume to justify the goods going back and forth,” he said.

Cheung explained that shipping costs will affect all goods between the U.S. and China, not just the ones on the list to be taxed. He said the trade and logistics sector, which includes the ports and the supply chain of trucks and warehouses, will be the first to feel the effects of the trade war.

Liang said he will absorb the cost and live with smaller profits, up to a point.

“If the tariffs increase by another 20 percent, we’ll have to raise our prices,” he said.

“The consumers are going to feel it in their wallets very quickly,” Cheung said.

​Supply chain may be less reliable

The U.S. as a manufacturing center depends on parts from China, but that supply may become less reliable as the trade war continues. Cheung said there may be uncertainty about whether the products will be produced or “whether they will be in the same price, so this potentially can have a huge aspect in terms of our exporting capability not only to China but to the rest of the world, Cheung said. “And there are a lot of jobs that are tied to this,” he added.

Officials at the ports of Long Beach and Los Angeles said it is too early to tell the impact of the trade tariffs.

“We’ll have to wait and see how various businesses restructure their supply networks and adjust to the tariff environment,” said Duane Kenagy, the Port of Long Beach’s interim deputy executive director.

He said so far, the port has seen record container volumes this year, but there is concern.

“The impacts of a sustained long-term trade war could be devastating to both economies,” Kenagy said.

Political theater?

Liang said he has hope, saying he thinks the trade war is actually political theater for the U.S. and China.

“China also has its position on trade. The Chinese government also has to be accountable to the 1.4 billion people of China. I think China and the U.S. will disagree over trade on the surface. (For Trump), it’s a show for the November midterm elections, so he can be accountable to the electorate,” Liang said.

Washington has been critical of China’s unfair trade practices and concerned with a trade imbalance. The U.S. imported more than $500 billion of Chinese goods last year compared to $130 billion of U.S. products exported to China.

These concerns and issues of American intellectual property are reasons the Trump administration announced tariffs on an additional $200 billion in Chinese imports.

“If you’re utilizing this as a tactic, that’s fine. What are the steps that you’re going to use to mitigate some of these damages that will be happening to the local community? These are huge issues that have not been addressed yet,” Cheung said.

With Trump-Putin Summit, Russia Eyes Return to Global Power Status

As Russian President Vladimir Putin prepares for his first one-on-one summit with President Donald Trump in Helsinki this week, Russian political observers said Kremlin expectations are low but for one key issue: Russia’s symbolic return from international isolation to global powerbroker.

Ahead of the summit, President Trump — after a contentious week of meetings with traditional U.S. allies in Brussels and London — has suggested his talks with the Russian leader “may be the easiest of them all.”

Yet, Russian analysts warn that Trump will be faced with a shrewd negotiator whose arguments have been well-honed during his 18-year reign of power.

“For Putin, there’s always a way to repeat what he’s always said: ‘Russia has never done anything wrong. Russia does not have to improve or change anything,’” said Maria Lipman, Moscow-based editor of Counterpoint, a journal published by the Institute for European, Russian and Eurasian Studies at George Washington University. 

“If America wants to change its policy, we welcome that. We have nothing to regret, nothing to correct,” she added, describing the Kremlin’s view in recent years.

Relations turnaround

The Helsinki summit comes amid a political fallout in often-contentious relations that nosedived over Russia’s annexation of Crimea in 2014 and further eroded over allegations of Russian interference in the 2016 U.S. presidential elections.

Russia’s actions in east Ukraine, Syria, and allegations the Kremlin may be responsible for the poisoning of a former Russian spy — and the related death of a British national just last week from a Russian-made nerve agent on British soil — has only exacerbated the distrust.

In the face of Kremlin denials, the Trump White House has nonetheless expelled dozens of Russian diplomats and ratcheted up sanctions, moves that have led Trump to claim “no one has been tougher on Russia than I have.” 

Yet those penalties have often clashed with Trump’s oft-stated desire to improve relations with Moscow.  It was Trump, observers note, who sent emissaries to Moscow to negotiate the summit with Putin on short notice. 

Adding further intrigue, a federal investigation revealing the Trump campaign’s ties to Russian government surrogates amid his election to the White House in 2016.    

Both Trump loyalists and the Kremlin have adamantly denied wrongdoing.

Optics, for now

Given that backdrop, Kremlin officials have joined the White House in setting the bar low for the upcoming summit.

“Putin does not expect too much from the summit from a practical point of view,” said Nadezhda Arbatova, a foreign policy specialist with the Institute for World Economy and International Relations in Moscow. “But the summit is important for Moscow, since it will be viewed as a recognition of Russia’s great power status.”

Less clear is what the two sides have to offer one another beyond platitudes aimed at better relations. 

“There can be a compromise on Syria, if Russia agrees to American requirements in exchange for preserving (Syrian leader Bashar) al-Assad at his current position,” Arbatova said. 

“As for Ukraine, no compromise is visible for the time being, since President Trump cannot lift sanctions while bypassing Congress,” she noted. 

Officials on both sides have hinted at a possible deal on arms control, a goal both Trump and Putin have endorsed without mentioning specifics. 

One thing that Kremlin officials don’t put much stock in: Trump’s tweet diplomacy, which has shown passing support for pro-Russian positions on everything from sanctions relief to recognizing Crimea as Russian territory. 

“By now, there was quite enough evidence for Russia to realize that what Trump says should be taken with a grain of salt, to say the least,” Lipman said. 

“I think everyone realizes that it cannot be taken as his intentions or U.S. policies, or even a declaration of intentions,” she said.

What Russians want

Key to Putin’s negotiating tactics: an insistence that Russia is no longer subject to American demands or pressure. 

Yet some analysts argue that it is Russian public opinion that presents its own restraints on Putin. 

“With Putin, there is no direct accountability, but policies are settled on what public opinion allows the government and Putin to do,” said Denis Volkov, a researcher at Levada Center, a leading independent polling research agency in Moscow. 

A recent study co-authored by Volkov and the Moscow Carnegie Center showed Russians support their president’s combative stance with the West, while simultaneously are eager to lessen hostilities.

“People are getting tired of foreign policy, Putin’s foreign agenda. They want the state to spend more resources at home,” Volkov said. “The view of the majority is that we help other countries too much, spend on other countries too much, and it is time to spend more money at home.”   

In other words, a Russian mirror of Trump’s own “American First” platform, where threats and largesse are doled out in pursuit of deals in the national interest. 

“It’s not the case that Putin’s only legitimacy comes from confrontation,” Volkov said. “Legitimacy also comes from cooperation, if it’s done in the proper way.” 

Norway Recommits to Boost in NATO Spending

Norway renewed its financial commitment to NATO after U.S. Defense Secretary James Mattis met Saturday with Norwegian officials in Oslo.

Norwegian Defense Minister Frank Bakke-Jensen said “Norway is committed to the two percent goal in NATO,” and added without offering specifics, “We will continue to increase defense spending substantially in the coming years.” Currently the oil-rich country spends about 1.6-percent of its GDP on defense.

NATO agreed in 2014 that each member nation would raise military spending to 2-percent of their gross domestic product by 2024. But diplomats say only two-thirds of the 29-nation alliance, excluding the U.S., have a realistic plan to reach the 2-percent level in 2024. The U.S. spent 3.57-percent of its GDP on defense in 2017.

Norway’s recommitment comes after U.S. President Donald Trump again demanded at a two-day NATO summit this week in Brussels that member nations increase their defense spending. Trump claimed to have won assurances from NATO leaders during intense talks.

Norway, which Trump has described as NATO’s “eyes and ears” in northern Europe, is considered one of America’s most valuable allies. In addition to partnering with U.S. forces in Afghanistan and the Middle East, Norway helps gather intelligence on Russia’s Maritime military activities.

 

While Trump has criticized Norway, which shares a border with Russia, for not having a plan to boost defense spending, Mattis has praised the Scandinavian country.

After talks Saturday with Bakke-Jensen and Foreign Minister Ine Eriksen Soereide, Mattis said Norway’s commitment to the 2-percent goal was encouraging.

“Norway’s leadership in the Nordic region and especially up in the Arctic where you serve as NATO’s sentinel … you are definitely contributing beyond your weight class,” he said.

In addition to hosting one of NATO’s largest exercises in decades this fall, Norway will host up to 700 U.S. marines beginning next year, more than double the number who are presently stationed there.

Russia’s embassy in Oslo said the additional marines “makes Norway less predictable and could cause growing tensions, trigger an arms race and destabilizing the situation in northern Europe.” The embassy also said,” “We see it as clearly unfriendly, and it will not remain free of consequence.”

Trump is scheduled to meet with Russian President Vladimir Putin Monday in Helsinki.

US Intel Chief Warns of Devastating Cyber Threat to US Infrastructure

The U.S. intelligence chief warned on Friday that the threat was growing for a devastating cyber assault on critical U.S. infrastructure, saying the “warning lights are blinking red again” nearly two decades after the Sept. 11, 2001, attacks.

Russia, China, Iran and North Korea are launching daily cyber strikes on the computer networks of federal, state and local government agencies, U.S. corporations, and academic institutions, said Director of National Intelligence Dan Coats.

Of the four, “Russia has been the most aggressive foreign actor, no question,” he said.

Coats spoke at the Hudson Institute think tank shortly after the Department of Justice announced the indictment of 12 Russian military intelligence officers on charges of hacking into the computers of the 2016 U.S. presidential campaign of Hillary Clinton and Democratic Party organizations.

The indictment and Coats’ comments came three days before U.S. President Donald Trump was to meet Russian President Vladimir Putin for talks in Helsinki, Trump’s first formal summit with Putin.

The summit will begin with one-on-one talks between the two leaders in which Trump has said he will raise the U.S. intelligence assessment that Russia used cyber attacks and other means to meddle in the 2016 election, a charge Moscow denies.

Coats warned that the possibility of a “crippling cyber attack on our critical infrastructure” by a foreign actor is growing.

He likened daily cyber attacks to the “alarming activities” that U.S. intelligence agencies detected before al Qaeda staged the most devastating extremist attack on the U.S. homeland on Sept. 11, 2001.

“The system was blinking red. Here we are nearly two decades later and I’m here to say the warning lights are blinking red again,” he said.

Coats said the U.S. government has not yet detected the kinds of cyber attacks and intrusions that officials say Russia launched against state election boards and voter data bases before the 2016 election.

“However, we fully realize that we are just one click away of the keyboard from a similar situation repeating itself,” Coats continued.

At the same time, he said, some of the same Russian actors who meddled in the 2016 campaign again are using fake social media accounts and other means to spread false information and propaganda to fuel political divisions in the United States, he said.

Coats cited unnamed “individuals” affiliated with the Internet Research Agency, the St. Petersburg-based “troll factory” indicted by a federal grand jury in February as part of Special Counsel Robert Mueller’s investigation into alleged Russian election meddling.

These individuals have been “creating new social media accounts, masquerading as Americans and then using these accounts to draw attention to divisive issues,” he said.

China, Coats said, is primarily intent on stealing military and industrial secrets and had “capabilities, resources that perhaps Russia doesn’t have.” But he said Moscow aims to undermine U.S. values and democratic institutions.

Finland Is Natural Choice for Trump-Putin Meeting

Finland is a natural choice for the upcoming summit between Donald Trump and Vladimir Putin. The Nordic country, which shares a long border with Russia, has a history of neutrality between Moscow and Washington. Finland has also hosted several sensitive U.S.-Soviet summits, as VOA’s Bill Gallo reports from Helsinki.

Lost Luggage Finds New — at Bargain Prices

Suspiciously cheap diamonds, jeans for $1 and a pair of skis for next to nothing. It’s not a dream, these are actual bargains at a store in a small town in Alabama. What it sells are the contents of lost airline baggage. Every year airline companies lose about 20 million suitcases, and while most of them find their way back to their owners, thousands of bags are never picked up. As Daria Dieguts found out, some of these lost items end up here at the lost baggage store in Alabama.

US Formally Lifts Ban on China’s ZTE

The United States has formally lifted a crippling ban on exports to the Chinese telecommunications giant ZTE. 

The Commerce Department said Friday that it had removed the ban after ZTE deposited $400 million in a U.S. bank escrow account as part of a settlement reached last month.

ZTE has already paid a $1 billion fine that is also part of its settlement with the U.S. government. 

“While we lifted the ban on ZTE, the department will remain vigilant as we closely monitor ZTE’s actions to ensure compliance with all U.S. laws and regulations,” Commerce Secretary Wilbur Ross said in a statement. He described the terms of the deal as the strictest ever imposed in such a case.

The Chinese company is accused of selling sensitive technologies to Iran and North Korea, despite a U.S. trade embargo. 

In April, the Commerce Department barred ZTE from importing American components for its telecommunications products for the next seven years, practically putting the company out of business. However, Trump later announced a deal with ZTE in which the Chinese company would pay a $1 billion fine for its trade violations, as well as replace its entire management and board by the middle of July.

Lawmakers from both parties have criticized Trump’s efforts and have taken steps to block the White House’s efforts to revive ZTE. The Senate passed legislation last month included in a military spending bill that would block ZTE from buying component parts from the United States. That legislation now moves to a joint committee of House and Senate members who will decide the fate of the ZTE measure in a compromise defense bill. 

Most of the world first heard of the dispute over ZTE in May after one of Trump’s tweets. “President Xi of China and I are working together to give massive Chinese phone company, ZTE, a way to get back into business, fast. Too many jobs in China lost. Commerce Department has been instructed to get it done!” Trump said.

UK Police Say Bottle Was Source of Pair’s Novichok Poisoning

British detectives investigating the poisoning of two people with a military grade nerve agent said Friday that a small bottle found in the home of one of the victims tested positive for Novichok, a lethal substance produced in the Soviet Union during the Cold War.

Dawn Sturgess, 44, and Charlie Rowley, 45, were sickened on June 30 in a southwestern England town not far from Salisbury, where British authorities say a Russian ex-spy and his daughter were poisoned with Novichok in March. 

Sturgess died in a hospital on Sunday. Rowley was in critical condition for more than a week, but has regained consciousness.

The Metropolitan Police said the bottle was found during searches of Rowley’s house Wednesday and scientists confirmed the substance in the bottle was Novichok. Police have interviewed Rowley since he became conscious. 

Police are still looking into where the bottle came from and how it got into Rowley’s house. They said further tests would be done to try to establish if the nerve agent was from the same batch that was used to poison Russian ex-spy Sergei Skripal and his daughter, Yulia. 

More than 100 police officers had been searching for the source of Rowley and Sturgess’ exposure in the town of Amesbury, where they lived, and Salisbury, where the Skripals were poisoned.

The Skripals survived and were released from the Salisbury hospital before Rowley and Sturgess were poisoned and taken there. British authorities took the father and daughter to a secret protected location.

British police said earlier they suspected the new victims had handled a container contaminated with Novichok and had no reason to think Rowley and Sturgess were targeted deliberately. 

Assistant Police Commissioner Neil Basu, Britain’s top counterterrorism officer, told local residents this week that Novichok could remain active for 50 years if it kept in a sealed container. He said he could not guarantee there were no more traces of the lethal poison in the area.

Basu said Friday that cordons would remain in place in some locations to protect the public despite the apparent breakthrough in the case. He would not provide more information about the bottle found in Rowley’s home. 

“This is clearly a significant and positive development. However, we cannot guarantee that there isn’t any more of the substance left,” Basu said. The continued blocking off of areas would “allow thorough searches to continue as a precautionary measure for public safety and to assist the investigation team.”

Britain’s Foreign Office said Friday that the U.K. has asked the Organization for the Prohibition of Chemical Weapons to collect samples for analysis at its labs. The organization has the power to assign blame for chemical weapons use.

The Novichok saga began in March when the Skripals mysteriously fell ill on a park bench in Salisbury. They were found to have been poisoned with Novichok. 

Prime Minister Theresa May blamed the Russian government for the attack, which the Kremlin has vehemently denied. The case led the United States and other countries to expel a large number of Russian diplomats.

Public health officials said the risk of exposure to the public is low, but advised people not to pick up any strange items.

White House Declares War on Poverty ‘Largely Over’

The White House released a report Thursday contending that the United States’ war on poverty — a drive that started over 50 years ago to improve the social safety net for the poorest citizens of the world’s largest economy — is “largely over and a success,” contrasting with other reports on the nation’s poor.

The report, authored by President Donald Trump’s Council of Economic Advisers, called for federal aid recipients to be pushed toward work requirements.

The report says poverty, when measured by consumption, has fallen by 90 percent since 1961. It also says that only 3 percent of Americans currently live under the poverty line.

“The timing is ideal for expanding work requirements among non-disabled working-age adults in social welfare programs,” according to the report. “Ultimately, expanded work requirements can improve the lives of current welfare recipients and at the same time respect the importance and dignity of work.”

U.N. report

The council’s report contrasts with a U.N. report on poverty in the U.S. that was released last month. That report said about 12 percent of the U.S. population lives in poverty, and that the U.S. “leads the developed world in income and wealth inequality.”

Phillip Alston, a U.N. adviser on extreme poverty and the author of the report, wrote in December 2017 that he believed Trump and his administration, along with U.S. House Speaker Paul Ryan, a Wisconsin Republican, “will essentially shred crucial dimensions of a safety net that is already full of holes.”

In April, Trump signed an executive order outlining work mandates for low-income citizens on federal aid programs. These programs included Medicaid, which provides federal health insurance for low-income individuals, and the Supplemental Nutrition Assistance Program, which provides these low-income individuals with assistance in food purchasing.

Both programs were among those introduced in the 1960s, during the administration of then-President Lyndon Johnson, a Democrat who coined the term “war on poverty” during his first State of the Union address.

Four state mandates

The Trump administration has already permitted four states — Kentucky, Indiana, Arkansas, and New Hampshire — to implement work requirement programs for Medicaid recipients, the first such restrictions enforced on the program. In June, however, a federal judge struck down Kentucky’s mandate, writing that the administration’s waiver “never adequately considered whether [the program] would in fact help the state furnish medical assistance to its citizens, a central objective of Medicaid.”

Anne Marie Regan, a senior staff attorney for the Kentucky Equal Justice Center, one of the organizations that successfully challenged the Kentucky waiver, told VOA that while she didn’t know the specifics of other states’ Medicare waivers, she thought similar challenges could be successful because of the administration’s insistence on work requirements.

Regan said her state’s proposal would have removed 95,000 people from health care coverage.

“The war on poverty is certainly not over,” Regan said. “There’s certainly still a great need for a safety net.”

In June, the U.S. House of Representatives narrowly passed a farm bill that includes work requirements for some adults who receive food assistance benefits. Every Democrat, along with 20 Republicans, voted against the bill, which is not expected to pass the Senate.

Summit Spotlights Finland’s Complex History With Russia

As Finnish citizens await the arrival of U.S. President Donald Trump and Russian President Vladimir Putin for their historic summit in Helsinki on Monday, they have reason to contemplate their own nation’s complex relationship with their powerful eastern neighbor.

Sandwiched between Sweden and Russia, Finland is often referred to as a nation “between East and West,” both for its geographic situation and the balancing act it performed during the Cold War, when it maintained a careful neutrality.

That stance was designed to “resolve the latent conflict between ideological ties and strategic realities,” wrote Max Jakobson, one-time Finnish ambassador to the United Nations, in his book Finland: Myth and Reality.

Finland, he says, is “a Western country ideologically and culturally, as well as part of the Western economic system.” But that leaning is overlaid with layers of complexity due to its location and history with Russia.

For roughly a century before it declared independence in 1917, Finland was an autonomous Grand Duchy in the Russian empire, subject to the differing approaches of various Russian monarchs. Emperor Alexander II (1818-81) ruled as a moderate who encouraged liberal institutions in Finland; today, he is remembered with a well-regarded statue in Helsinki’s Senate Square.

Later leaders, in contrast, tried to Russify Finland and insisted that its internal administration must not “conflict with the interests and honor of Russia.”

EU member, not NATO

A Finnish-Soviet Friendship Treaty dissolved with the collapse of the Soviet Union and Helsinki became a member of the European Union in 1995, an act that puts Finland squarely in the Western camp. But the majority of Finns still are uninterested in joining the North Atlantic Treaty Organization (NATO), at least in part for fear of antagonizing their neighbor to the east.

In an apparent nod to cordial relations, Russia’s Putin visited Helsinki for Finland’s centennial celebration last year; the event was marked by pictures of him and Finnish President Sauli Niinisto sightseeing aboard a steamboat en route to dinner and a ballet performance.

On the other hand, Finland has lodged, on average, more than one land mine per meter along the nations’ 1,300-kilometer border. In the words of Pekka Toveri, brigadier general and defense attache at the Finnish Embassy in Washington, if you come to Finland you had better be invited.

“Finland doesn’t have a defense force,” Toveri told an audience at The Institute of World Politics earlier this year. “Finland is a defense force.”

“We are the most capable defense force in Northern Europe,” supported by a conscription policy and a readily deployable 280,000-strong wartime army, he added. “We have a capable neighbor, sometimes not so aggressive, sometimes a little bit more aggressive, but it’s always there, and you have to be prepared for that.”

Winter War and beyond

The world witnessed Finland’s vigilance and will to independence in the Winter War that started with a Soviet invasion in November 1939. Directed by Finland’s legendary Marshall Carl Gustaf Mannerheim, world skiing champion Pekka Niemi and others of his countrymen led squads on skis that penetrated the Soviet front lines and inflicted severe casualties. In the end, Finland lost more territory than the Stalin-led Soviet government had initially demanded, but it taught its “capable neighbor” the cost of fighting the Finns.

In recent surveys, Toveri said, 78 percent of Finns still say the country should resist any attack, “even if the end result is uncertain.”

Analysts say Finland’s history with Russia may offer lessons for the United States heading into the Trump-Putin summit.

“Finland has always been very clear-eyed about Russia,” said Erik Brattberg, a native of Sweden who heads the Europe Program at the Carnegie Endowment for International Peace, a Washington-based global think tank. “At the same time, Finland has kept a ‘businesslike’ relationship toward Russia.”

Brattberg warned that continuing to view Finland as a neutral country could lead to a “false narrative.” Even though Helsinki has been chosen to host the summit, Finland “is firmly part of the West and a deep partner of U.S. and NATO” and a strong proponent of a rules-based order among states.

“That’s why Finland is supportive of maintaining sanctions against Russia over the issue of Crimea. They would not like to have Crimea be recognized as part of Russia, as that would undermine the type of rules-based order — things like national sovereignty, territorial integrity — that a small country with a long border facing Russia, like Finland, ultimately depends on,” he said.

Great powers, smaller states

Kirsti Kauppi, Finland’s ambassador to the United States since 2015, said in an interview it is not “sustainable” for the large countries to think they can set the rules of international relations.

“We think that we need broad-based cooperation, that small and medium-sized countries also have a lot to contribute and a lot at stake,” Kauppi said.

Kauppi called for closer cooperation not only between the United States and Finland, but also between Washington and the European Union and the Nordic region generally: “The world is broader than the transatlantic community, certainly, but the basic link between the U.S. and the EU is extremely important in terms of how the international community takes shape.”

Urho Kekkonen, Finland’s president from 1956 to 1982, once acknowledged that small states have little power to influence the course of international events. But, he said, “Great Powers possessing the means of destroying the world bear the responsibility for the maintenance of peace,” while “smaller states can and must constantly remind them of this responsibility.”

Authoritarian Governments Try to Control Social Media Use

Filipinos tapped out text messages on their cellphones to mobilize protests against President Joseph Estrada. The effort mushroomed within hours into a “people power” revolution that forced Estrada to step down.

That was 2001. Since then, technology has created increasingly powerful smartphones that can link to the internet, provide instant access to news and connect people through social media.

In response, authorities in some countries are waging a battle to control what their people see and hear, with the goal of limiting dissent and heading off more “people power” takeovers.

“At first, it was journalists who were being threatened, it was media being suspended,” said Arnaud Froger, head of the Africa desk at Reporters Without Borders. “But now the authorities are preventing information from being spread on the internet.”

“It’s a clear attempt to silence critical voices and critical information,” Froger told VOA’s English to Africa service.

From China to Africa to Russia to the Middle East, countries have used national security as justification for passing vague laws against “inciting against public order” or even just spreading gossip. They have persuaded sites like Facebook and Google to take down content that they consider offensive.

Many countries have created their own strong web presences, both to ensure their messages get out and to monitor for anything remotely resembling criticism.

In Pakistan, bloggers have been kidnapped, allegedly by security forces, and tortured, with the purpose of intimidating them and others against criticizing the government. Vietnam has established a 10,000-strong military cyberwarfare unit to counter “wrong” views on the internet and collect data on government critics.

Saudi Arabia has arrested dozens for spreading dissent. Activists abroad have had their Facebook accounts deactivated for reporting on alleged Saudi war crimes against Yemen.

China allows only local internet companies operating under strict rules. And in North Korea, internet access essentially doesn’t exist for the general populace.

Bypassing restrictions

The restrictions have sparked a cat-and-mouse game for those seeking to get around restrictions. VPNs (Virtual Private Networks) have provided one avenue by masking the user’s identity and location. In response, several countries have banned them.

Encrypted applications like Telegram have been banned in Iran and elsewhere. Several African countries, including Uganda, Rwanda and Tanzania, have imposed taxes on internet and social media use — even remittances from overseas relatives — or ordered websites to purchase expensive operating licenses.

“We are actually very much concerned,” Froger said. “It’s as if countries in central, eastern and southern Africa were involved in a race to restrict access to the internet in general and social media in particular.

“Journalists and citizen journalists are actually very much affected by this as they very often use Facebook to post articles and use Whatsapp to communicate with their sources.”

More protests

But in a sign of how much people have become dependent on the internet and social media, anger has started to bloom into legal action and the very protests that their governments have been trying to prevent.

Ugandan officials say they’ll rethink the country’s social media tax after a massive protest this week that police dispersed by firing tear gas and warning shots.

“Sometimes things can work out,” Froger said. “Legal actions can be taken, and protests can be held in the streets. Cameroon is now the first state ever in Africa to be brought before its own constitutional court for an internet blackout. Sometimes just by denouncing, alerting, raising public awareness is sufficient to encourage the government to back down.”

US Farmers Brace for Long-Term Impact of Escalating Trade War

As farmer Brian Duncan gently brushes his hands over the rolling amber waves of grain in the fields behind his rural Illinois home, this picturesque and idyllic American scene belies the dramatic hardship he currently faces.

“We’re in trouble,” he told VOA.

Wheat is just one product that grows on Duncan’s diverse farm, also home to about 70,000 hogs annually, which Duncan said “were projected to be profitable this year.”

Were, but not anymore.

Pork is now subject to a 62 percent Chinese tariff, and demand is drying up in one of the world’s largest pork markets.

“Once that tariff went on, the pork stopped going into China. Not going to Taiwan, either. Not finding other routes. That market just disappeared,” said Duncan, who expected to see a $4 to $5 profit on each pig, then watched it become a $7 to $8 loss per head.

“The difference between making and losing money in the hog industry is exports,” said Duncan, acknowledging that for most hog farmers, exports are key to profits. A lack of competitive access to international markets could spell long-term financial hardship, particularly for independent pork producers like Duncan.

“The reality is 95 percent of the world population is outside these borders. We need them … as markets and trading partners,” Duncan said.

Tariffs begin to bite

U.S. farmers like Duncan are beginning to feel the effects of such tariffs imposed by China in retaliation for U.S. tariffs on Chinese steel and aluminum.

As the trade dispute continues, Duncan, who also serves as vice president of the Illinois Farm Bureau, is losing money on virtually everything growing on his farm because of imposed or impending tariffs.

“Soybeans were a buck and a half higher than they are now,” he told VOA. “Corn was 50 to 70 cents higher than it is now. So, certainly the attitude has changed here in the last two to three weeks.”

So has Duncan’s mood.

“Frustrated. This was preventable. This was predictable — the outcome. There was a better way to go about this,” he said.

​Long-term loss of market

“Tariffs are kind of a last resort for a really specific instance or really serious breach of a contract and not something that you would lob out there to try to make progress in a trade agreement, and I think that’s what surprised farmers a bit,” said Tamara Nelsen, senior director of commodities with the Illinois Farm Bureau.

Nelsen said history shows the long-term impact of tariffs and trade embargoes is a loss of market access and competitiveness for U.S. products.

“In every event, we lost market share, or we encouraged production somewhere else of that same product. And it took U.S. agriculture 20, 30 years to get some of those markets back. And in some cases, we haven’t gotten those markets back.”

For Duncan, the long-term impact on the reputation of U.S. agricultural products is his biggest concern.

“How are we going to be seen? Is a country going to look at us and say, ‘Why would I sign an agreement with them, anyhow? If they don’t like something we do, are they just going to put a bunch of tariffs up and blow things up?’ How are we seen going forward in the next five, 10, 15, 20 years? For me, that is the biggest issue more than the here and now.”

Farm income at risk

But in the here and now is the difficult reality that farmers are also experiencing their fifth year of declining income.

“We’ve seen farm income cut in half in the last four years for various reasons. We could easily see it cut in half again if we lost all our export markets,” which Duncan said could increase dependence on government aid at a time when lawmakers in Washington debate new Farm Bill legislation that the agriculture industry needs to provide security.

All of the uncertainty has him evaluating his options the next time he heads to the ballot box.

“It’s the economy, stupid. My vote will depend an awful lot on the farm economy,” he said. That’s just the world I live in.”

A world that is now more connected — and dependent on international trade — than ever before.

US Farmers Brace for Long Term Impact of Escalating Trade War

U.S. farmers are beginning to feel the effects of tariffs imposed by China in retaliation for U.S. tariffs on Chinese steel and aluminum. As VOA’s Kane Farabaugh reports, while the short-term concern for farmers is the impact on profits this year, the bigger worry is the longer term consequences of the escalating trade dispute.

China’s US Trade Surplus Hits Record in June

China’s trade surplus with the United States swelled to a record in June as its overall exports grew at a solid pace, a result that could further inflame a bitter trade dispute with Washington.

But signs exporters were rushing shipments before tariffs went into effect in the first week of July suggest the spike in the surplus was a one-off, with analysts expecting a less favorable trade balance for China in coming months as duties on exports start to bite.

The data came after the administration of U.S. President Donald Trump raised the stakes in its trade row with China on Tuesday, saying it would slap 10 percent tariffs on an extra $200 billion worth of Chinese imports, including numerous consumer items.

US-China trade surplus

China’s trade surplus with the United States, which is at the center of the tariff tussle, widened to a record monthly high of $28.97 billion, up from $24.58 billion in May, according to Reuters calculations based on official data going back to 2008.

For January-June China’s trade surplus with the United States rose to $133.76 billion, compared with about $117.51 billion in the same period last year. China’s exports to the United States rose 13.6 percent in the first half of 2018 from a year earlier, while its imports from the U.S. rose 11.8 percent in the same period.

Trump, who has demanded Beijing cut the trade surplus, could use the latest result to further ratchet up pressure on China after both sides last week imposed tit-for-tat tariffs on $34 billion of each other’s goods. Washington has warned it may ultimately impose tariffs on more than $500 billion worth of Chinese goods, nearly the total amount of U.S. imports from China last year.

Markets jolted

The dispute has jolted global financial markets, raising worries a full-scale trade war could derail the world economy.

Chinese stocks fell into bear market territory and the yuan currency has skidded, though there have been signs in recent days its central bank is moving to slow the currency’s declines.

China’s June exports rose 11.3 percent from a year earlier, China General Administration of Customs reported, beating forecasts for a 10 percent increase according to the latest Reuters poll of 39 analysts, and down from a 12.6 percent gain in May.

After a strong start to the year, growth in China’s exports has moderated recently, and is expected to face more pressure from the initial round of U.S. tariffs. Both official and private business surveys reported softer export orders last month.

Imports grew 14.1 percent in June, customs said, missing analysts’ forecast of a 20.8 percent growth, and compared with a 26 percent rise in May.

Trump-Putin Summit a Chance for Expanded Cooperation

U.S. President Donald Trump has long said he would like to improve relations with Russia. He’ll get a chance to do that Monday, when he meets Russian President Vladimir Putin in Finland. VOA’s Bill Gallo reports on what’s at stake as the two leaders hold a highly anticipated summit.

Judge Refuses to Stop Extradition of Former Lithuanian Judge 

A U.S. federal judge Thursday refused to block the extradition of a former Lithuanian judge who fears for her life after uncovering what she said was a high-level child sex ring.

Neringa Venckiene, 47, fled to Chicago in 2013 and has been working as a florist. She turned herself in to federal agents in February.

At one point during Thursday’s hearing, Venckiene appeared to be on the verge of fainting and had to be helped to her chair. The judge recessed the proceedings for about 10 minutes.

Judge Virginia Kendall ruled that her authority to stop the extradition was limited because of the bilateral treaty the United States has with Lithuania. She said it was important to stick to the treaty in case the U.S. requests cooperation from the Vilnius government.

“The judge pretty much signed my mom’s death sentence,” Venckiene’s son Karolis said through tears Thursday. He said there is no way his mother will get a fair trial in Lithuania.

Venckiene told The Associated Press earlier this year that so-called shadowy figures upset over her allegations of a pedophilia ring and corruption could kill her if she were sent back. In Lithuania, some see her as a heroine for exposing a criminal network, but others see her as a manipulator who fabricated the pedophilia claims.

Venckiene is a former judge and member of parliament. She exposed high-level corruption and alleged child molestation in Lithuania.

Authorities there have charged her with reporting a false crime and failing to surrender her young niece to authorities, alleging the little girl was among those sexually abused. She is also charged with hitting policemen who tried to take the girl out of her arms.

Venckiene’s attorneys have appealed Kendall’s ruling and she will remain in Chicago for now. The attorneys said they will immediately appeal the ruling to the 7th U.S. Circuit Court of Appeals.

Trump: May’s Strategy Will ‘Kill’ Trade Deal With US

President Donald Trump said the U.S. would “probably not” strike a trade deal with Britain if Prime Minister Theresa May’s Brexit plan went ahead as planned. 

“If they do a deal like that, we would be dealing with the European Union instead of dealing with the U.K., so it will probably kill the deal,” Trump told The Sun, a conservative British newspaper.

Trump said May had ignored his advice on how to negotiate Britain’s exit from the European Union.  “I would have done it much differently,” Trump said of May’s Brexit plan. “I actually told Theresa May how to do it, but she didn’t listen to me.”

Trump said May’s so-called soft-Brexit approach went “the opposite way” to what he had recommended and that it was “very unfortunate.”

May’s proposal was finalized Friday. It was quickly followed by the resignation of two members of her Cabinet, Foreign Secretary Boris Johnson and Brexit Secretary David Davis, who did not approve of her approach.

In the exclusive interview with The Sun, Trump also said that Johnson would make a “great prime minister,” adding, “I think he’s got what it takes.”

The Sun is owned by Rupert Murdoch, a close ally of the president’s, who also owns Fox News Network, Trump’s favorite U.S. TV channel.

US to Appeal Approval of AT&T Acquisition of Time Warner

The U.S. Justice Department said Thursday that it would appeal a federal judge’s approval of AT&T Inc.’s $85.4 billion acquisition of Time Warner.

The Justice Department opted in June not to seek an immediate stay of the court’s approval of the merger, allowing the merger to close on June 14. The department still had 60 days to appeal the decision.

The government’s court filing did not disclose on what ground it intended to challenge the approval.

AT&T and the Justice Department did not immediately comment.

AT&T shares fell 1 percent after the bell.

The merger, announced in October 2016, was opposed by President Donald Trump. AT&T was sued by the Justice Department but won approval from a judge to move forward with the deal in June following a six-week trial.

Judge Richard Leon of U.S. District Court for the District of Columbia ruled that the tie-up between AT&T’s wireless and satellite businesses and Time Warner’s movies and television shows was legal under antitrust law.

The Justice Department had argued the deal would harm consumers.

Trump’s Claim That NATO Will Boost Defense Spending Disputed

President Donald Trump closed out his chaotic two-day visit to NATO Thursday by declaring victory, claiming that member nations caved to his demands to significantly increase defense spending and reaffirming his commitment to the alliance.

But there were no immediate specifics on what Trump said he had achieved, and French President Emmanuel Macron quickly disputed Trump’s claim that NATO allies have agreed to boost defense spending beyond 2 percent of gross domestic product.

“The United States’ commitment to NATO remains very strong,” Trump told reporters at a surprise news conference following an emergency session of NATO members held to address his threats.

Trump had spent his time in Brussels berating members of the military alliance for failing to spend enough of their money on defense, accusing Europe of freeloading off the U.S. and raising doubts about whether he would come to members’ defense if they were attacked.

Trump said he made his anger clear to allies on Wednesday.

“Yesterday I let them know that I was extremely unhappy with what was happening,” Trump said, adding that, in response, European countries agreed to up their spending.

“They have substantially upped their commitment and now we’re very happy and have a very, very powerful, very, very strong NATO,” he said.

President Trump says the US commitment to NATO is very strong and that other nations are increasing their financial contributions. (July 12)

Trump did not specify which countries had committed to what, and it remained unclear whether any had changed their plans. He seemed to suggest a speeded-up timeline, saying nations would be “spending at a much faster clip,” which if it panned out would mark a significant milestone for the alliance.

“Some are at 2 percent, others have agreed definitely to go to 2 percent, and some are going back to get the approval, and which they will get to go to 2 percent,” he said.

U.S. leaders for decades have pushed NATO allies to spend more on defense in an effort to more equitably share the burden in the mutual-defense organization.

NATO countries in 2014 committed to move toward spending 2 percent of their gross domestic products on defense within 10 years. NATO has estimated that only 15 members, or just over half, will meet the benchmark by 2024 based on current trends.

Macron, in his own press conference, seemed to reject Trump’s claim that NATO powers had agreed to increases beyond previous targets. He said the allies had confirmed their intention to meet the goal of 2 percent by 2024 and no more.

The emergency session came amid reports that Trump had threatened to leave the pact if allies didn’t immediately up their spending, but officials said no explicit threat was made.

“President Trump never at any moment, either in public or in private, threatened to withdraw from NATO,” Macron said.

Trump has taken an aggressive tone during the NATO summit, questioning the value of an alliance that has defined decades of American foreign policy, torching an ally and proposing a massive increase in European defense spending.

Earlier Thursday, Trump called out U.S. allies on Twitter, saying, “Presidents have been trying unsuccessfully for years to get Germany and other rich NATO Nations to pay more toward their protection from Russia.”

He complained the United States “pays tens of Billions of Dollars too much to subsidize Europe” and demanded that member nations meet their pledge to spend 2 percent of GDP on defense, which “must ultimately go to 4%!”

Under fire for his warm embrace of Russia’s Vladimir Putin, Trump on Wednesday also turned a harsh spotlight on Germany’s own ties to Russia, alleging that a natural gas pipeline venture with Moscow has left Angela Merkel’s government “totally controlled” and “captive” to Russia.

He continued the attack Thursday, complaining that “Germany just started paying Russia, the country they want protection from, Billions of Dollars for their Energy needs coming out of a new pipeline from Russia.”

“Not acceptable!” he railed before arriving late at NATO headquarters for morning meetings with the leaders of Azerbaijan, Romania, Ukraine and Georgia.

During the trip, Trump questioned the necessity of the alliance that formed a bulwark against Soviet aggression, tweeting after a day of contentious meetings: “What good is NATO if Germany is paying Russia billions of dollars for gas and energy?”

Merkel, who grew up in communist East Germany, shot back that she had “experienced myself a part of Germany controlled by the Soviet Union, and I’m very happy today that we are united in freedom as the Federal Republic of Germany and can thus say that we can determine our own policies and make our own decisions and that’s very good.”

Trump tweeted that NATO countries “Must pay 2% of GDP IMMEDIATELY, not by 2025” and then rattled them further by privately suggesting member nations should spend 4 percent of their gross domestic product on defense — a bigger share than even the United States currently pays, according to NATO statistics.

Still, Trump has been more conciliatory behind the scenes, including at a leaders’ dinner Wednesday.

“I have to tell you that the atmosphere last night at dinner was very open, was very constructive and it was very positive,” Kolinda Grabar-Kitarovic, the president of Croatia, told reporters.

Amid the tumult, British Prime Minister Theresa May, whose government is in turmoil over her plans for exiting the European Union, sounded a call for solidarity among allies.

“As we engage Russia we must do so from a position of unity and strength – holding out hope for a better future, but also clear and unwavering on where Russia needs to change its behavior for this to become a reality,” she said.

Trump heads next to the United Kingdom. Although Trump administration officials point to the longstanding alliance between the United States and the United Kingdom, Trump’s itinerary in England will largely keep him out of central London, where significant protests are expected.

Instead, a series of events — a black-tie dinner with business leaders, a meeting with May and an audience with Queen Elizabeth II — will happen outside the bustling city, where Mayor Sadiq Khan has been in a verbal battle with Trump.

Woody Johnson, the U.S. ambassador to the United Kingdom, dismissed the significance of the protests, telling Fox News that one of the reasons the two countries are so close “is because we have the freedoms that we’ve all fought for. And one of the freedoms we have is freedom of speech and the freedom to express your views. And I know that’s valued very highly over here and people can disagree strongly and still go out to dinner.”

He also said meeting the queen would be an experience Trump “will really cherish.”

Pompeo Presses Europe to Get Tough on Iran

U.S. Secretary of State Mike Pompeo is pressing European nations to get tough on Iran by cutting off all funding the country may use to foment instability in the Middle East and beyond.

 

Pompeo was meeting on Thursday with European officials in Brussels following a summit of NATO leaders to make the case for clamping down on Iranian “terrorism and proxy wars.”

He called on America’s partners and allies to join a U.S.-led economic pressure campaign against Tehran that began in earnest after President Donald Trump withdrew from the landmark Iran nuclear deal in May.

 

Pompeo said in a tweet that “there’s no telling” when Iran could act “in one of our countries next” and posted a map that accused Iran of sponsoring 11 terrorist attacks in Europe since 1978.

US Soon to Leapfrog Saudis, Russia as Top Oil Producer

The U.S. is on pace to leapfrog both Saudi Arabia and Russia to become the world’s biggest oil producer.

The latest data released by the Energy Information Administration shows U.S. output growing again next year to 11.8 million barrels a day.

 

Linda Capuano, who heads the agency, says that would make the U.S. the world’s No. 1 producer.

 

The director of the International Energy Agency, a group of oil-consuming countries, made a similar prediction in February.

 

Russia and Saudi Arabia pumped more crude than the U.S. last year.

 

Production is booming in U.S. shale fields because of newer techniques such as fracking and horizontal drilling.

Nigeria’s Buhari Says He Will Soon Sign Up to African Free Trade Pact

Nigeria’s President Muhammadu Buhari said on Wednesday the country will soon sign up to a $3 trillion African free trade zone.

Nigeria is one of Africa’s two largest economies, the other being South Africa. Buhari’s government had refused to join a continental free-trade zone established in March, on the grounds that it wishes to defend its own businesses and industry.

The administration later said it wanted more time to consult business leaders.

“In trying to guarantee employment, goods and services in our country, we have to be careful with agreements that will compete, maybe successfully, against our upcoming industries,” Buhari told a news conference during a visit by South African President Cyril Ramaphosa.

“I am a slow reader, maybe because I was an ex-soldier. I didn’t read it fast enough before my officials saw that it was all right for signature. I kept it on my table. I will soon sign it.”

The continental free-trade zone, which encompasses 1.2 billion people, was initially joined by 44 countries in March. South Africa signed up earlier this month.

Economists point to the continent’s low level of intra-regional trade as one of the reasons for Africa’s enduring poverty and lack of a strong manufacturing base.

NATO Members Agree to Boost Contributions for Defense

NATO leaders said Wednesday they have agreed to contribute more money to their defense budget.

“We are committed to improving the balance of sharing the costs and responsibilities of alliance membership,” the military alliance said.

The announcement was made just hours after U.S. President Donald Trump renewed criticism of NATO for not contributing more to defend the nearly 70-year-old, 29-nation alliance.

The allied nations also urged world leaders to maintain “decisive pressure” on North Korea, including the full implementation of United Nations sanctions, to get Pyongyang to scrap its nuclear, chemical and biological weapons.The alliance also reiterated it support for the denuclearization of the Korean Peninsula.

North Korean leader Kim Jong Un vowed at the June 12 summit with Trump in Singapore to move toward denuclearization, but has yet provide details of how and when his pledge would be achieved.

NATO members also expressed concern about an increase in Iran’s missile tests and said they were committed to “permanently ensuring that Iran’s nuclear program remains peaceful.”

The member nations also voiced concern over Russia’s recent actions, including the poisoning of a former British spy in Britain, saying they had reduced stability and security.

NATO, which is meeting in Brussels, also agreed to invite Macedonia to begin talks to join the alliance.

Alliance chief Jens Stoltenberg said Macedonia would be eligible to join provided the new name for the country that Macedonia and Greece agreed to is unanimously approved by existing members later this year.

Macedonia and Greece reached an agreement last month to rename Macedonia the Republic of North Macedonia, following a dispute over the name since 1991 that has damaged relations. 

Greece has insisted on the name change because its northern province, which was the cradle of Alexander the Great’s empire, has the same name.

NATO Summit Overshadowed by Defense Spending Spat

Sharp divisions over who should pay for Europe’s defense have overshadowed the opening of the NATO summit in Brussels, after U.S. President Donald Trump accused European allies of taking advantage of American taxpayers.

The U.S. spends about 3.5 percent of GDP on defense, far higher than other member states. It is predicted that eight of the 29 members, including the United States, will meet the NATO target of two percent of GDP this year. The U.S. provides 70 percent of NATO’s budget.

But Trump suggested Wednesday that NATO allies commit to spending 4 percent of their GDP on defense by 2024. White House Press Secretary Sarah Huckabee Sanders confirmed that Trump raised the idea at a closed-door meeting with fellow NATO leaders.

“President Trump wants to see our allies share more of the burden and at a very minimum meet their already stated obligations,”said Sanders.

NATO Secretary-General Jens Stoltenberg opened proceedings in Brussels with a clear message: This year’s summit would focus on who’s paying the bill, or in NATO terms, burden-sharing.

“Fair burden-sharing underpins everything that we do. Just a few years ago we were cutting our defense budgets. Now we are adding billions,” Stoltenberg said.

Credit for those added billions is being claimed fully by the U.S. president.

“Because of me they’ve raised about $40 billion over the last year. So I think the secretary-general likes Trump. He may be the only one, but that’s okay with me,” he told reporters as the summit began.

Alliances and friendships are being sorely tested at the meeting of world leaders. Trump accused Berlin of being under the control of Moscow, citing a new pipeline project that will supply Russian gas directly to Germany.

After a seemingly tense bilateral meeting with her U.S. counterpart, German Chancellor Angela Merkel underlined her country’s commitment to NATO.

“It’s very important that we have these exchanges together because we are partners, we are good partners and we wish to continue to cooperate in the future,” she told reporters.

Singling out Germany isn’t necessarily fair, said defense analyst Sophia Besch of the Center for European Reform.

“Germany’s contributions to NATO go well beyond what it spends on its own defense. Germany is contributing troops as a lead nation in Lithuania and NATO’s forward presence to the east,” she said.

The feud over defense spending looks set to overshadow other business at the two-day summit. Britain announced it would double its number of troops in Afghanistan, while Canada offered to lead a NATO training mission in Iraq.

“Now we have to rebuild that democracy and strengthen it. NATO is going to take a significant role in that, and Canada is going to commit 250 troops, a number of helicopters, and we are actually offering to command that mission for the first year,” Canadian Prime Minister Justin Trudeau announced at the summit.

A joint summit declaration issued Wednesday underlined NATO’s support for Ukraine and its aspirations for membership of the alliance, pending domestic reforms. Ukraine is attending the Brussels summit and further discussions are due to take place Thursday.

The declaration also formally extended an invitation to the former Yugoslav Republic of Macedonia to join, as soon as it reaches an acceptable solution to its naming dispute with Greece.

Georgia’s future membership also will be discussed Thursday as the summit continues.

Facebook Faces First Fine in Data Scandal Involving Cambridge Analytica

Facebook will be facing its first fine in the wake of the Cambridge Analytica scandal, in which the social media platform allowed the data mining firm to access the private information of millions of users without their consent or knowledge.

A British government investigative office, the Information Commissioner’s Office (ICO), fined Facebook 500,000 pounds, or $663,000 – the maximum amount that can be levied for the violation of British data privacy laws. In a report, the ICO found Facebook had broken the law in failing to protect the data of the estimated 87 million users affected by the security breach.

The ICO’s investigation concluded that Facebook “contravened the law by failing to safeguard people’s information,” the report read. It also found that the company failed to be transparent about how people’s data was harvested by others on its platform.

Cambridge Analytica, a London firm that shuttered its doors in May following a report by The New York Times and The Observer chronicling its dealings, offered “tools that could identify the personalities of American voters and influence their behavior,” according to a March Times report.

“New technologies that use data analytics to micro-target people give campaign groups the ability to connect with individual voters,” Information Commissioner Elizabeth Denham said in a statement. “But this cannot be at the expense of transparency, fairness and compliance with the law.”

The firm, which U.S. President Donald Trump employed during his successful 2016 election campaign, was heavily funded by American businessman Robert Mercer, who is also a major donor to the U.S. Republican Party. Former Trump White House adviser Steve Bannon was also employed by the firm and has said he coined the company’s name.

Christopher Wylie, a whistleblower within the firm, told the Times in March that the firm aimed to create psychological profiles of  American voters and use those profiles to target them via advertising.

“[Cambridge Analytica’s leaders] want to fight a culture war in America,” Wylie told the Times. “Cambridge Analytica was supposed to be the arsenal of weapons to fight that culture war.”

While this is the first financial penalty Facebook will be facing in the scandal, the fine will not make a dent in the company’s profits. The social media giant generated $11.97 billion in revenue in the first quarter, and generates the revenue needed to pay the fine about every 10 minutes.

Denham said the company will have an opportunity to respond to the fine before a final decision is made. Facebook has said it will respond to the ICO report soon.

“As we have said before, we should have done more to investigate claims about Cambridge Analytica and taken action in 2015,” said Erin Egan, Facebook’s chief privacy officer, in a statement. “We have been working closely with the Information Commissioner’s Office in their investigation of Cambridge Analytica, just as we have with authorities in the U.S. and other countries.”

The statement from the ICO also announced that the office would seek to criminally prosecute SCL Elections Ltd., Cambridge Analytica’s parent company, for failing to comply with a legal request from a U.S. professor to disclose what data the company had on him. SCL Elections also shut down in May.

“Your data is yours and you have a right to control its use,” wrote David Carroll, the professor.

The ICO said it would also be asking 11 political parties to conduct audits of their data protection processes, and compel SCL Elections to comply with Carroll’s request.

Further investigations by agencies such as the U.S. Federal Bureau of Investigation, or FBI, and Securities and Exchange Commission, the SEC, are under way. In April, Facebook founder and CEO Mark Zuckerberg appeared before a U.S. Senate committee to testify on the company’s actions in the scandal.

“We didn’t take a broad enough view of our responsibility, and that was a big mistake,” Zuckerberg told U.S. lawmakers in prepared remarks in April. He also said, “It was my mistake, and I’m sorry.”

China Jolted by US Tariffs on Chinese Imports

China expressed shock Wednesday at the Trump administration’s decision to prepare 10-percent tariffs on another $200 billion of Chinese imports covering thousands of products, the latest move in an escalating trade war between the world’s two largest economies.

China’s commerce ministry called the decision totally unacceptable and vowed to respond.

The proposed new U.S. tariffs follow the decision to impose duties in two stages on $50 billion in Chinese goods. U.S. Trade Representative Robert Lighthizer said the Trump administration has patiently urged China to stop its unfair practices, open its market and engage in true market competition. 

“Rather than address our legitimate concerns, China has begun to retaliate against U.S. products,” Lighthizer said in a statement announcing the tariffs.”There is no justification for such action.”

The proposed tariffs come just days after the Trump administration imposed 25 percent tariffs on more than 800 Chinese products worth about $34 billion, citing what it calls China’s unfair trade practices and intellectual property theft.Beijing followed suit with an equal amount of levies on U.S. goods.

Christine McDaniel, a senior research fellow at George Mason University in Virginia, told VOA that while the Trump administration’s actions have bipartisan congressional support, its strategy to date of tariffs and investment restrictions could be costly to U.S. manufacturers and consumers.

“A tariff is a tax and in today’s global economy.American manufacturers are simply tied to suppliers from outside the U.S. for their competitiveness.So when we tax those imports, we’re taxing American manufacturers, not to mention consumers, and that heavily handicaps our own manufacturers.”

McDaniel said the longer the tariff battle goes on, the greater the impact will be felt in both economies.She added trade actions against China would be more effective if they were done in concert with America’s allies.McDaniel also expects China to eventually change its policies away from state-owned enterprises and implement more market-oriented rules and regulations, but predicts that will take time.

Despite bipartisan support, the Trump administration’s latest move drew criticism from House Speaker Paul Ryan, who is retiring at the end of his term in January. Ryan reiterated his opposition to the president’s tariffs Wednesday, saying they “are not the right way to go.” Ryan singled out China as one of a number of countries that engage in unfair trade practices, but added, “I just don’t think tariffs are the right mechanism” to resolve the problem.

The Trump administration’s decision was received with dismay by key lawmaker Senator Orrin Hatch, the chairman of the powerful Senate Finance Committee.Hatch said in a statement the decision “appears reckless and is not a targeted approach.”

A high-ranking administration official said the U.S. Trade Representative’s office will accept public comments on the plan and hold hearings in late August, before reaching a final decision.

Greece Reportedly Expels Two Russian Diplomats

Greece has reportedly expelled two Russian diplomats over allegations that Moscow has interfered in its negotiations with neighboring Macedonia.

Greek news outlets reported the expulsions Wednesday, adding that two other Russian envoys were banned from entering Greece.

Greek government spokesman Dimitris Tzanakopoulos would not comment on the reports during a television interview, but said Athens would take appropriate “measures” against those who violated international law.

Authorities in Russia say two Greek diplomats will be expelled from Moscow in response.

Greece and Macedonia reached an agreement last month to end a decades-old dispute over the name of Macedonia, which is also the name of Greece’s northern province. The disagreement has become so fierce that Athens has blocked the former Yugoslav republic from joining NATO.

The deal calls for Macedonia to formally change its name to the Republic of North Macedonia, which still must be approved by a referendum.

German Nazi Sympathizer Gets Life Sentence for Immigrant Murders

The last surviving member of a German neo-Nazi gang connected to the murders of 10 immigrants has been sentenced to life in prison.

Beate Zschaepe was sentenced Wednesday in a Munich court for the killings of nine Turkish and one Greek national, as well as a German policewoman, in a crime spree that lasted between 2000 and 2007. 

The sentencing was the climax to a trial that began in 2013. 

The 43-year-old Zschaepe co-founded the National Socialist Underground with two men, Uwe Mundlos and Uwe Boehnhardt. She was arrested in 2011 after Mundlos and Boehnhardt killed themselves.