President Donald Trump’s relentless push for more manufacturing jobs has forced the auto industry into a delicate dance of contradictions in order to keep him happy, tell the truth, and avoid alienating customers in both red and blue states.

Toyota did the waltz with Monday’s announcement that it would spend $1.33 billion to retool its gigantic factory in Georgetown, Kentucky, an investment in the heart of Trump country that has been planned for years.

Trump wasn’t included in a company statement sent on Friday in advance of the announcement, but Kentucky’s governor and both of the state’s U.S. senators were quoted. In a paragraph added Sunday evening, Trump claimed credit for the investment, saying it is “further evidence that manufacturers are now confident that the economic climate has greatly improved under my administration.”

The company said the Trump quote was added at the administration’s request, but the White House said Toyota requested it and pointed to a poll of manufacturers showing record optimism. Later Monday, Toyota said that it had asked the White House for a Trump quote.

Either way, an investment of that size takes years to plan, and Toyota confirmed that it’s been in the works four or five years, long before Trump was elected. The company is switching its midsize Camry sedan, long the top-selling car in America, to new underpinnings that make it more modern and fun to drive. Although the investment doesn’t add jobs, it sustains 8,200 workers at the plant, which also manufactures the Toyota Avalon and Lexus ES 350 cars.

The dealings with Toyota show how businesses — especially automakers whose brands cater to both ends of the political spectrum — must tread carefully when dealing with Trump or other politicians. Depending on their response, they run the risk of angering a president who has authority to regulate their industry or alienating customers who are on both sides of the political divide.

“That’s kind of the reality of the situation you’re operating in,” said Joseph Holt, a University of Notre Dame associate professor who specializes in business ethics and leadership. “I think it’s a shame that they have to do this dance, but I understand why they’re doing it.”

All politicians play the same game as Trump, taking credit for accomplishments they had nothing to do with, said Erik Gordon, a business professor at the University of Michigan. What makes Trump unique is the demand for jobs announcements was done publicly rather than in private conversations, Gordon said.

Many CEOs grudgingly supported President Barack Obama’s health care plan even though they disagreed with it, Gordon said.

“With President Trump, the difference is the volume is up to 11 or 12 instead of at 10,” he said. “I don’t find him to be that different in terms of what he wants credit for, and putting the arm on people to get on his program, other than he does it publicly.”

Detroit automakers are in the most precarious position, Gordon said, because they are perceived as more American. Take General Motors. Its Chevrolet brand, with the top-selling Silverado pickup truck, caters largely to America’s mid-section, which largely voted for Trump. But GM’s Cadillac luxury brand wanted so much to distance itself from the Midwest that it moved its offices to Manhattan, which supported Democrat Hillary Clinton.

If GM either confronts Trump or is continually in his Twitter sights, that could upset the automaker’s lucrative customer base in the Midwest. If the company is too supportive, it could hurt GM’s efforts to grow Cadillac sales on the mostly blue coasts.

That’s why with few exceptions, GM, Ford and Fiat Chrysler have made jobs announcements that largely were in the works long ago, Gordon said.

Because the country is so politically polarized, a social-media fueled PR mistake for or against an issue could touch off a boycott that can quickly hurt a company, Gordon said.

“Now the companies are really under the magnifying glass,” he said. “Many customers want to know who you are and what you stand for before they even think about your product.”

Holt and others say companies shouldn’t allow such deception and would be better off in the long run by not playing politics.

While the Trump administration was showing a commitment to manufacturing with the announcement, it may send a different message to government regulators such as the Environmental Protection Agency or the Occupational Safety and Health Administration should there be any problems with a factory, said Robert Weissman, president of the consumer advocacy group Public Citizen.

“Do those agencies feel constrained from enforcing the law because the president has just associated himself with that company or investment?” Weissman asked. “It’s just on its face inappropriate.”

 
…

When they are not tending to international affairs, diplomats based in Havana can be found these days stewing in interminable queues at gas stations and concocting ways to increase the octane in fuel as Cuba’s premium gasoline shortage takes its toll.

Cuba sent around an internal memo last week advising that it would restrict sales of high-octane, so-called “special fuel” in April. That is not an issue for most Cuban drivers, whose vintage American cars and Soviet-era Ladas use regular fuel.

But it is for the embassies that use modern cars whose engines could be damaged by the fuel at most Havana gas stations. So the diplomats are taking a leaf out of the book of Cubans, used to such shortages, and becoming resourceful.

Given the U.S. trade embargo, Cubans have for decades had to invent new ways to keep their cars on the road, replacing original engines with Russian ones and using homemade parts.

“I bought octane booster, and the embassy has bought lubricants, meant to help the motor deal with rubbish gasoline,” said one north European diplomat, who got a relative to bring the booster in his luggage given it is unavailable in Cuba.

“At the moment we are using the car that runs on diesel, so we can ‘survive’,” said an Eastern European diplomat.

Cuba has not announced the measure officially yet. According to the memo, “the special fuel remaining in stock at gas stations from April will only be sold in cash and to tourists until the inventory is depleted.”

“It’s very serious. I have already suspended a trip to Santiago de Cuba for fear of lack of gas,” said one Latin American diplomat, adding that it seemed like the problem would last. “Diplomats are very worried.”

Some embassies in Havana have people scouting out which stations still have some higher-octane fuel and are sending around regular updates to staff. One gas station worker said they were getting small deliveries of fuel each day still.

The embassies are also advising people to carpool or use the diplomatic shuttle.

Meanwhile the European Union has requested from the ministry of foreign affairs that one or more service centers be set aside for diplomats with special gas, according to a European diplomat.

Cuba has become increasingly reliant on its socialist ally Venezuela for refined oil products but the latter has faced its own fuel shortage in recent weeks.

Meanwhile, the Communist-ruled island cannot easily replace subsidized Venezuelan supplies as it is strapped for cash.

Although the memo referred to April, it is not clear how long the shortage will last. Cubans joke that once something disappears in Cuba, it is never to return, referring to products that have disappeared from their ration book like cigarettes, beef and condensed milk.

The Peugeot dealership in Havana has sent its clients lists of technical tips how to protect their motors while using lower-grade gasoline, including more frequent maintenance and ensuring vehicles at running at optimum temperature before driving.

The shortage is also impacting others using modern cars such as taxi drivers, tourists and workers at joint ventures.
…

The airlines are getting better at sticking to their schedules and are losing fewer bags. Their customers seem to be complaining less often.

Those are the findings of an annual report on airline quality being released Monday by researchers at Wichita State University and Embry-Riddle Aeronautical University.

The researchers use information compiled by the U.S. Department of Transportation to rate the airlines for on-time performance, baggage handling, bumping passengers off oversold flights, and complaints filed with the government.

They planned to release their list of the best airlines later Monday.

The report’s general observations:

On time performance: The percentage of flights that arrived on time or close enough rose to 81.4 percent in 2016 from 79.9 percent in 2015. Of 12 leading U.S. carriers, only American, JetBlue and Virgin America got worse.

Lost bags: The rate of bags being lost, stolen or delayed fell 17 percent.

Bumping passengers: Your chances of getting bumped by the airline dropped 18 percent, which doesn’t include people who voluntarily gave up their seat for money or a travel voucher.

Fewer complaints: The rate of complaints filed with the government dropped about one-fifth, with complaints rising only for Hawaiian and Virgin America.

The official complaint rates don’t include the larger number of complaints that passengers file directly with the airline. The airlines are not required to report those figures.

Clearly, however, airlines still have a perception problem. It’s not hard to find passengers who complain about a miserable flight, a missed connection, or shabby treatment by airline employees. Comments like that abound on Twitter.

“People don’t look at the numbers,” said Dean Headley, a marketing professor at Wichita State and co-author of Monday’s report. “They just know what happened to them, or they hear what happened to other people.”

The Wichita State and Embry-Riddle researchers have been doing their report for more than 25 years, making it useful for comparing airlines. But some observers of the airline industry dismiss their number-crunching approach, and there are many other surveys that purport to rank the airlines.

The Transportation Department counts a flight as being on time even if it arrives up to 14 minutes late. “Airlines are happy with that (grace period) because it makes them look better and misleads the passenger,” said aviation consultant Michael Baiada. He said airlines can do better, and besides, travelers pay to be on time — not 14 minutes late.

TripAdvisor releases rankings

More broadly, a statistical analysis of government data “really doesn’t take into consideration how the customer is treated,” said Bryan Saltzburg, an executive with travel site TripAdvisor LLC. “`How comfortable are they on the plane? How helpful is the staff? What’s the value for what the customer paid?”

TripAdvisor released its own airline rankings Monday, which it said were based on analysis of “hundreds of thousands” of reviews posted by users. It placed JetBlue and Alaska Airlines among the top 10 in the world, and it rated Delta ahead of American and United among the largest U.S. carriers.

Other outfits including J.D. Power and Skytrax also put out ratings. Airlines boast when they win. Recently, American Airlines started putting stickers on all 968 of its planes to note that a trade publication, Air Transport World, named it airline of the year.

 
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India and Bangladesh signaled deepening ties Saturday as New Delhi committed a $4.5-billion line of credit to Dhaka for development projects, and the two countries signed their first-ever pact on defense cooperation. 

Indian Prime Minister Narendra Modi announced an additional $500 million in credit for Bangladesh to buy military equipment from India during the visit to New Delhi by Bangladeshi Prime Minister Sheikh Hasina.

Calling India a “long standing and trusted development partner,” Modi said that the new credit lines “bring our resources allocation to Bangladesh to more than $8 billion over the past six years.” 

Both leaders reaffirmed their close ties during the Bangladeshi prime minister’s first visit to India in seven years, with Modi speaking of a “golden era” in their friendship and Hasina saying their friendly ties would benefit South Asia.

The two countries signed 22 agreements, including one on civil nuclear cooperation that aims to help Bangladesh develop its civilian nuclear program.

Many in New Delhi see the deal for defense cooperation over the next five years as the key breakthrough that will help reduce Bangladesh’s reliance on China for its military needs.

Worried by the growing Chinese influence in its neighborhood, New Delhi has made a concerted push in recent years to grow strategic ties with neighboring countries. Bangladesh’s purchase of two submarines from China last year deepened those concerns in India.

Calling the defense pact a feather in India’s cap, Sukh Deo Muni, a South Asia expert at New Delhi’s Institute of Defense Studies and Analyses, said,“India does not want China to consolidate defense ties just next to its belly, that is true.”

Although the political opposition in Bangladesh has denounced the pact, independent analysts in Dhaka was optimistic that it will help achieve balance.

“Approximately 80 percent dependency at this moment you see on China, so it should be brought down. That actually reduces our vulnerability,” said Abdur Rashid, Executive Director of the Institute of Conflict, Law and Development Studies in Dhaka. “If one is interrupted we can depend on the other.”

 A new rail link between the Indian city of Kolkata and Khulna in Bangladesh, and a bus link between Kolkata and Dhaka also were inaugurated, while another old rail link was restored to coincide with Hasina’s visit. The Bangladeshi leader said the greater connectivity is vital for the region’s development.

A key water-sharing agreement that Dhaka has long pushed for, however, eluded Hasina.

Although New Delhi favors such an arrangement, opposition from West Bengal state in India, through which the Teesta River flows into Bangladesh, has prevented the two countries from clinching a deal.

As Modi assured her of his commitment to conclude a deal, the Bangladeshi leader sounded a note of optimism. “I believe we shall be able to get India’s support in resolving these issues expeditiously,” said Hasina.

The two countries have had a close relationship since 1971, when India helped Bangladesh gain independence from Pakistan following a bloody nine-month war.

 
…

India and Bangladesh signaled deepening ties Saturday as New Delhi committed a $4.5 billion line of credit to Dhaka for development projects, and the two countries signed their first-ever pact on defense cooperation. 

Indian Prime Minister Narendra Modi announced an additional $500 million in credit for Bangladesh to buy military equipment from India during the visit to New Delhi by Bangladeshi Prime Minister Sheikh Hasina.

Calling India a “long standing and trusted development partner,” Modi said that the new credit lines “bring our resources allocation to Bangladesh to more than $8 billion over the past six years.” 

Both leaders reaffirmed their close ties during the Bangladeshi prime minister’s first visit to India in seven years, with Modi speaking of a “golden era” in their friendship and Hasina saying their friendly ties would benefit South Asia.

The two countries signed 22 agreements, including one on civil nuclear cooperation that aims to help Bangladesh develop its civilian nuclear program.

Many in New Delhi see the deal for defense cooperation over the next five years as the key breakthrough that will help reduce Bangladesh’s reliance on China for its military needs.

Worried by the growing Chinese influence in its neighborhood, New Delhi has made a concerted push in recent years to grow strategic ties with neighboring countries. Bangladesh’s purchase of two submarines from China last year deepened those concerns in India.

Calling the defense pact a feather in India’s cap, Sukh Deo Muni, a South Asia expert at New Delhi’s Institute of Defense Studies and Analyses, said,“India does not want China to consolidate defense ties just next to its belly, that is true.”

Although the political opposition in Bangladesh has denounced the pact, independent analysts in Dhaka was optimistic that it will help achieve balance.

“Approximately 80 percent dependency at this moment you see on China, so it should be brought down. That actually reduces our vulnerability,” said Abdur Rashid, Executive Director of the Institute of Conflict, Law and Development Studies in Dhaka. “If one is interrupted we can depend on the other.”

 A new rail link between the Indian city of Kolkata and Khulna in Bangladesh, and a bus link between Kolkata and Dhaka also were inaugurated, while another old rail link was restored to coincide with Hasina’s visit. The Bangladeshi leader said the greater connectivity is vital for the region’s development.

A key water-sharing agreement that Dhaka has long pushed for, however, eluded Hasina.

Although New Delhi favors such an arrangement, opposition from West Bengal state in India, through which the Teesta River flows into Bangladesh, has prevented the two countries from clinching a deal.

As Modi assured her of his commitment to conclude a deal, the Bangladeshi leader sounded a note of optimism. “I believe we shall be able to get India’s support in resolving these issues expeditiously,” said Hasina.

The two countries have had a close relationship since 1971, when India helped Bangladesh gain independence from Pakistan following a bloody nine-month war.

 
…

March was a disappointing month for job seekers, with the U.S. Labor Department reporting that the private sector added only 98,000 jobs last month. But one industry is looking beyond the job numbers and toward distant shores as President Donald Trump meets for the first time with Chinese President Xi Jinping to talk about trade. Mil Arcega reports.
…

Kostas Argyros’s unpaid electricity bills are piling up, among a mountain of debt owed to Greece’s biggest power utility.

His family owe 850 euros to the Public Power Corporation (PPC), a tiny fraction of the state-controlled firm’s 2.6 billion euros ($2.8 billion) in unpaid bills.​

Argyros picks up only occasional work as an odd-job man.

“When you only work once a week, what will you pay first?” said the 35-year-old, who lives in a tiny apartment in an Athens suburb with his unemployed wife and four small children.

The Argyros family are emblematic of deepening poverty in Greece following seven years of austerity demanded by the country’s international creditors. They burn wood to heat their home in winter, food is cooked on a small gas stove, and hot water is scarce.

The only evening light is the blue glare of a TV screen, for fear of racking up more debt.

Five-watt lightbulbs provide a dim glow and Argyros worries about the effect on their eyesight. More than 40 percent of Greeks are behind on their utility bills, higher than anywhere else in Europe.

People in poor neighborhoods are also increasingly turning to energy fraud, meaning that the problem for PPC is much higher than the mountain of unpaid bills suggests.

Power theft is costing PPC around 500-600 million euros a year in lost income, an industry official said, requesting anonymity because he was not authorised to divulge the numbers.

PPC declined to comment on the figure. Public disclosures by the Hellenic Electricity Distribution Network Operator HEDNO, which checks meters, show that verified cases of theft climbed to 10,600 last year, up from 8,880 in 2013 and 4,470 in 2012.

Authorities believe theft is far higher than the cases verified by HEDNO, another official said, declining to be named.

Households in the country are equipped with analog meters, which are easy to hack. One of the most common tricks is using magnets, which slow down the rotating coils to show less consumption than the real amount, a HEDNO official said.

Some websites even offer consumers tips and tricks on power fraud.

Burden of Arrears

For households who have had their electricity cut off, a group of activists calling themselves the “I Won’t Pay” movement have taken it upon themselves to reconnect the supply. The group says it has done hundreds this year.

PPC, which has a 90 percent share of the retail market and 60 percent of the wholesale market, is supposed to reduce this dominance to less than 50 percent by 2020 under Greece’s third, 86 billion euro bailout deal.

The lenders also want PPC to sell some of its assets, but the company is toiling under the debt of unpaid bills, a problem opposition lawmakers say will force a fire-sale.

In little over a year from June 2015, overdue bills to the 51-percent state-owned firm grew by nearly a billion euros to 2.6 billion, Chief Executive Manolis Panagiotakis told lawmakers in March.

Analysts estimate PPC’s cash reserves have shrunk to about  00 million euros, forcing it to secure a 200 million euro bank loan to repay a bond due in May.

The tangle has left it with little leeway for new investments or to fund a switch to cleaner forms of energy from coal to improve environmental standards.

“It is often said that PPC is undergoing the most critical phase of its history,” Panagiotakis told lawmakers. “I will not argue with that.” He declined a Reuters request for an interview.

The burden of arrears for PPC is now “so big that some worry it will not be able to lift it for much longer”, said energy expert Constantinos Filis.

The apartment building where the Argyros family live is a testament to that. Many tenants struggle even to pay the 25 euro annual fee to light communal areas such as staircases.

Ground Zero

PPC has tried to recoup unpaid bills with phased repayment plan. A total of 625,000 customers owing a total of 1.3 billion euros had signed up to the plan by January.

The Argyros family have also entered the plan with the help of Theofilos, a local charity, which also contributes towards their monthly bills.

Meanwhile, PPC’s provisions for bad debt remain high. The plans drove the figure down to 453 million euros in the nine months to September last year from 690 million a year earlier.

Analysts expect PPC to swing back to a profit of between 63-109 million euros in 2016, with provisions of below 600 million euros.

Filis, the energy expert, said the more things stayed the same, the closer PPC was to “ground zero” and he drew comparisons with the Greek state’s brushes with near bankruptcy during the debt crisis.

“It’s reasonable to say that PPC is too big to allow it to collapse, particularly regarding energy security,” he said. “On the other hand, a few years ago some argued that no country could fail either.”
…

President Donald Trump on Friday chose Kevin Hassett, an economics adviser to past Republican presidential candidates, to be chair of the White House Council of Economic Advisers. Hassett will play a critical role in analyzing the performance of the economy and impact of policy changes.

Hassett is the research director for domestic policy at the American Enterprise Institute, a conservative think tank that he joined in 1997. He has provided economic advice to the presidential campaigns of John McCain, George W. Bush and Mitt Romney. With a doctorate in economics from the University of Pennsylvania, Hassett has worked as a senior economist at the Federal Reserve and taught at Columbia University’s business school.

Jason Furman, the CEA chair under former President Barack Obama, hailed Hassett as an “excellent pick” on Twitter.

“He is serious about substance, committed to dialogue, & knows how to navigate DC,” Furman wrote.

An expert on taxes and budget policy, Hassett also co-wrote a paper challenging the National Football League conclusions about the New England Patriots using underinflated footballs to gain an advantage against the Indianapolis Colts in a 2015 playoff game.

Not all of Hassett’s analysis has been prescient. He has faced criticism for co-writing the 1999 book “Dow 36,000,” which predicted a rising stock market shortly before the tech bubble burst and the Dow Jones industrial average tumbled.

The CEA has routinely been filled by leading academic economists and was among the most prominent vacant posts during the early months of the Trump presidency.

Formed in 1946, the CEA is responsible for giving the president economic guidance on domestic and international policy. The post has also been a launching pad for leading monetary policy at the Fed. Previous CEA chairs — Janet Yellen, Ben Bernanke and Alan Greenspan — have served as the past three Fed chairs.
…

The U.S. economy had a net gain of 98,000 jobs in March, which is much weaker job growth than most economists expected.

Payroll growth was slowed by stormy weather in March after unusually good weather helped growth in January and February, according to economist Jed Kolko, of the job web site “Indeed.”

Friday’s report from the Labor Department also said the unemployment rate fell two-tenths of a percent, to 4.5 percent. Government data show that is the lowest level since April, 2007.  The unemployment rate has been five percent or lower for well over a year.

The slight decline in the jobless rate is due to 145,000 people entering the workforce and nearly half a million Americans finding jobs, according to S&P Global Rating’s economist Beth Ann Bovino. She says this is the latest in a series of mostly positive reports on the job market.   

PNC Bank economist Gus Faucher says the job market “is getting tighter and business are finding it more difficult to hire.”  That may force employers to raise wages to attract and keep workers.  

Job gains were found in professional and business services and mining, while retail continued to lose positions.  Faucher also said problems in retail may reflect a shift from traditional stores to on-line commerce.  That shift is evident in the announcement that several major retail chains are closing a large number of stories, according to economist Dean Baker of the Center for Economic and Policy Research.

While the report shows that the total number of unemployed Americans fell by over 300,000, there are still 7.2 million people out of work across the country.  

 
…

U.S. Commerce Secretary Wilbur Ross held out hope Thursday that the Trump administration will revive the U.S. Export-Import bank’s full lending powers, saying the institution is part of its “trade toolbox” to boost exports.

The U.S. government trade lender has been hobbled for the better part of two years by conservative Republicans in Congress who tried to shut it down in 2015 by revoking its charter, and then limited its lending powers last year by blocking nominations to its board of directors.

Big loans impossible

With only two active members on its five-seat board, the bank cannot make or guarantee loans of more than $10 million, preventing it from financing large exports such as U.S.-built commercial aircraft, nuclear reactors or petrochemical plants.

Thus far, Trump administration officials have not said publicly whether they support reviving EXIM’s full lending powers, but some members of Congress say that Trump has told them privately that he supports the institution.

“The bank is part of a domestically focused trade toolbox that this administration will continue to focus on in the coming months,” Ross said in brief video remarks to EXIM’s annual conference in Washington. “We will use that toolbox to rebalance our trade policy in order to put American workers first.”

Ross did not provide details of how EXIM will be used in his trade strategy or whether the administration has specific plans to nominate new board members.

Trump appears to be an ally

He urged hundreds of U.S. manufacturers, lenders and foreign government and company officials attending the meeting to work toward increasing U.S. exports to create jobs.

U.S. Representative Chris Collins of New York, a Republican Trump ally who headed a small manufacturer that used EXIM working capital loan guarantees in the past, told the conference that Trump told him February 16 at a White House meeting that he was “all in” on supporting EXIM.

“We asked him very directly about the five board seats,” Collins said. “The president looked to his right and to his left and said ‘Can you get me some names? I’m all in.’ There was no hesitation whatsoever.”

Reviving EXIM, however, would anger conservative groups backed by the Koch brothers, the influential billionaire Republican donors. The groups have waged a campaign that has painted EXIM as unnecessary corporate welfare even though it is self-funding through the interest and fees it charges borrowers.
…

When the U.S. president hosts a foreign leader at his home, it can be seen as a sign of hospitality, an indicator of warm relations, and a chance to put American culture on display.

President Franklin Delano Roosevelt famously hosted the king and queen of England at his Hyde Park estate, where he served hot dogs for dinner. President Ronald Reagan hosted Britain’s Prime Minister Margaret Thatcher and Soviet leader Mikhail Gorbachev at his California ranch. President George H.W. Bush hosted a string of international leaders at the family compound in Kennebunkport, Maine, and his son President George W. Bush did the same at his family home in Crawford, Texas.

With so many precedents, why would anyone point fingers at President Donald Trump for hosting foreign dignitaries at Mar-a-Lago, his Palm Beach, Florida, estate?

The answer is money. Mar-a-Lago functions as a vacation home for the Trumps, but it also serves as a resort for paying members — which has not been true of any of the aforementioned properties that played host to presidential guests. It is not clear how much access paying guests have to the visiting diplomats, but during a visit by Japanese Prime Minister Shinzo Abe to Mar-a-Lago earlier this year, Abe and Trump carried on some of their discussions over dinner in a restaurant on the property, in full view of other guests.

Having presidential guests stay at Mar-a-Lago — a commercial property owned by the president — raises questions about whether other guests at the property have extraordinary access to the president and his guests by virtue of their club membership — a membership whose price doubled after Trump was elected to the presidency. Critics refer to the situation as “pay to play” — where money buys access to power.

On the other hand, Mar-a-Lago — with its proximity to the beach, a spa, tennis courts and golf courses — seems an ideal place to host foreign dignitaries, as it can be a more relaxed atmosphere than Washington, D.C. The setting also implies a close, personal relationship between the president and his visitor.

Abe visit ‘well received’ in Japan

“The Mar-a-Lago meeting between Trump and Chinese President Xi Jinping offers a great opportunity for the two leaders to get to know each other in a more relaxed atmosphere,” said Zhiqun Zhu, professor of political science and international relations, and director of The China Institute at Bucknell University in Pennsylvania.

He said Abe’s visit to the Florida estate “was well received in Japan because many Japanese liked the fact that Abe was the first Asian leader to be invited by the Trump administration to the U.S., and Trump and Abe spent several intimate hours playing golf together, highlighting the close alliance between the U.S. and Japan and the strong personal ties between Trump and Abe.”

The Xi meeting, however, lacks one important component of that visit: Xi does not play golf. His government frowns on the sport.

Ely Ratner, a senior fellow in China studies at the Council on Foreign Relations, told The Boston Globe that the Xi visit to Mar-a-Lago provides a “controlled media environment,” a situation prized by the Trump administration and difficult to arrange in Washington. But it also implies a favorable relationship that, in Ratner’s mind, has yet to be achieved.

“They should have had the opening meeting in Washington and said ‘we can do the Mar-a-Lago meeting, but you have to earn it,'” he said.

Property once government-owned

Mar-a-Lago — built in the 1920s by heiress and socialite Marjorie Merriweather Post — was actually planned as a presidential retreat. Post bequeathed the estate to the federal government upon her death in 1973. But then-President Richard Nixon preferred using his own Florida vacation home in Key Biscayne, and successive presidents Gerald Ford and Jimmy Carter were not interested in the estate, either.

Carter preferred the official presidential retreat, Camp David, not far from the nation’s capital and owned by the U.S. military, where he arranged the historic Camp David Accords between the leaders of Israel and Egypt.

In 1980, the government returned Mar-a-Lago to the Post family.

Trump bought the resort five years later, after threatening to buy the land between the home and the beach, spoiling the view and driving down the sales price. When Trump began struggling financially, he converted part of the property into a private club. The initiation fee for Mar-a-Lago membership is $200,000. Yearly dues are $14,000. Overnight guests pay up to $2,000 per night.

Critics say it’s not only the “pay-to-play” problem that worries them. It’s also the cost of the Trump visits and the impact on the community, where roads must be closed when the president is in town, and local law enforcement works overtime to help with security.

Democratic lawmakers are pushing legislation that would mandate that Mar-a-Lago keep a public log of its visitors.

As for the high-security Camp David, hidden in the Maryland mountains, Trump has called the property “very rustic.” He recently told a German reporter, “It’s nice, you’d like it. You know how long you’d like it? For about 30 minutes.”
…

Conservative activist groups that generally support Republicans but oppose a pro-export, anti-import Republican tax proposal released a study on Thursday estimating its impact on individual U.S. states, underscoring the party’s division over taxes.

The two activist groups, backed by billionaire industrialists Charles and David Koch, reported that seven states won by President Donald Trump in November’s election would be among the 10 hardest hit by the proposal.

Freedom Partners and Americans for Prosperity, both based in the Washington area, said the “border adjustment tax,” or BAT, would harm all 50 states, but that those heavily dependent on imports could suffer most.

The report predicted economic harm to Georgia, Kentucky, Louisiana, Michigan, South Carolina, Tennessee and Texas — all states Trump won in the 2016 presidential election. The list of hard-hit states also includes California, New Jersey and Illinois, which Democrat Hillary Clinton carried.

House Ways and Means Committee Chairman Kevin Brady, a Texas Republican who intends to include the BAT in tax reform legislation this spring, sharply criticized the study.

‘Fantasy figures’

“That so-called study will be easily discredited and probably fits the definition of fake news,” Brady told reporters. “It takes one provision, pretends the economy freezes … applies it in our current tax code and comes up with fantasy figures.”

BAT, billed as a way to boost U.S. manufacturing, would exempt export revenues from federal tax, while ending the deductibility of import costs by corporations, making imports for production or resale costlier.

The plan is part of a tax reform blueprint supported by House Speaker Paul Ryan. Trump is also working on a tax plan.

The proposal is also opposed by a number of Senate Republicans who could prevent its passage, should the House approve a tax reform bill that contains it.

Koch organizations, including the brothers’ privately held conglomerate, Koch Industries, have warned that BAT could devastate the U.S. economy by raising prices on consumer goods, including gasoline. Refineries owned by Koch Industries rely on oil imports from Canada.

The Koch groups say they support tax reform but oppose BAT.
…

Strong trade ties between the United States and nations in Southeast Asia are under a cloud as a U.S. investigation into trade imbalances gets underway. Regional governments say the apparent policy shift has spurred concern and anxiety.

A 90-day investigation by the U.S. Commerce Department of countries with large trade surpluses with the United States follows President Donald Trump’s call for a crackdown on “foreign importers that cheat.” Trump said the shift will result in a “historic reversal” in U.S. trade policy.

“While we’ve seen an improvement in the trade figures between January and February, we continue to be very focused on eliminating our nation’s trade imbalance,” said Commerce Secretary Wilbur Ross. “This administration is determined to achieve free and fair trade, to protect hard working Americans, and to grow our economy.”

Among the Asian economies singled out by Trump were those of China, Japan, Thailand, South Korea, Malaysia, India, Taiwan, Indonesia and Vietnam.

Analysts say the review may mark a major change in Asia’s trading relationship with the United States.

Campaign rhetoric

After World War II, Southeast Asia’s emerging economies, beginning with Japan, looked to the U.S. economy to spur export led growth — key to the region’s progress in lifting millions out of poverty.

But charges that some trade policies, particularly China’s, had damaged the U.S. economy were a prominent feature of Trump campaign rallies.

Krystal Tan, an economist with the Singapore-based Capital Economics, said the trade investigation has led to concerns and uncertainties across the region.

“At this stage it’s still quite difficult to see what kind of measures the U.S. might want to take. It does look like countries that are probably most nervous about potentially being named currency manipulators are [South] Korea and Taiwan,” Tan told VOA.

The United States argues that currency manipulators deliberately keep their currency low in value against the U.S. dollar in order to boost their exports.

Taiwan trade officials say the trading relationship with the U.S. is not a hostile one, as over 80 percent of Taiwan’s exports to the U.S. are intermediate goods — those sent to the U.S. for final assembly.

David Hsu, deputy director general of Taiwan’s Bureau of Foreign Trade (BOFT) told local media the trading relationship with the U.S. was “mutually beneficial.”

Taiwan’s main concern is the potential imposition of sanctions following the review.

Tan says South Korea and Taiwan, to avoid sanctions, will need to open their markets to more U.S. products.

Malaysia’s International Trade and Industry Minister, Ong Ka Chuan, told local media Malaysia was neither responsible for, nor taking advantage of, the U.S. trade deficit.

Ong said any sanctions could impact American manufacturers in Malaysia, such as Intel and Western Digital.

“If Trump were to punish us for this [trade surplus] the American firms will be ones dealt a severe blow,” he said.

Kuala Lumpur-based RHB Research chief economist Peck Boon Soon said the U.S. policy revision left Malaysian business cautious on the outlook.

“Yes, certainly it remains very uncertain until [Trump] really implements those policies and whether those policies would be able to be implemented. We are watching these things quite closely and we would be waiting for more developments before we decide what to do with our forecasts on exports,” Peck told VOA.

In late 2016, export growth boosted Malaysia’s economic growth rate to 4.5 percent — “the strongest in the four quarters.”

The United States is Thailand’s third largest trading partner after China and Japan. Two-way trade reached $36.5 billion in 2016, with $24.49 billion from Thai exports. The trade surplus with the U.S was $12.4 billion.

Major exports to the United States include machinery, electrical appliances, electronics and parts, rubber products and gems and jewelry.

Both Malaysia and Vietnam were key participants to the 12 nation Trans Pacific Partnership (TPP), a key component of President Barack Obama’s “pivot to Asia” policy intended to counter China’s growing political and economic influence.

TPP withdrawal

Trump withdrew the United States from the TPP soon after taking office.

This week, Vietnam’s Prime Minister, Nguyen Xuan Phuc, criticized the U.S. policy shift, saying the trade policies would have a “huge impact” on Vietnam’s export driven economy.

Carl Thayer, a political scientist with the University of New South Wales, says Phuc’s comments were “guarded”, but with Hanoi looking to build trading ties under China’s Regional Comprehensive Economic Partnership (RCEP).

“Vietnam had its heart and soul on the TPP. They have a massive surplus with the U.S. It almost equals their massive deficit with China. But there’s not very much they can do, they’re being pragmatic and looking at the RCEP – the Regional Comprehensive Economic Partnership,” Thayer said.

Thayer said Vietnam has banked on a strong U.S. presence in Asia as a counterweight to China’s regional influence, especially in the South China Sea.

“The more Trump goes his own way Vietnam has got to do a five power balance with India, Russia, Japan, as well as China and the U.S. weakness; the U.S. side. So Vietnam has a harder time preventing being sucked into China’s orbit — in all of this — it needs a strong U.S. action,” he said.

He says bilateral relations with Vietnam, built up over the past two decades, are a casualty of the trade policy shift.

“Yes, it gets worse for Vietnam because they can’t rely on the U.S. They have no idea what [the U.S.] is going to do,” he said.
…

Struggling U.S. farmers are pressing their luck with soybeans this spring, sowing record acreage even though the world is awash with the oilseed, as demand from China offers a potential lifeline.

Soybean plantings could surpass corn for the first time this year, with rising exports holding up prices and providing a narrow path to profitability for U.S. farmers facing their fourth straight year of declining incomes.

But fierce competition to supply China threatens the bottom line for U.S. growers, and 2017 prices, while seen as up slightly from 2016, are still projected to be 50 cents per bushel lower than three years ago.

Diplomatic concerns also weigh heavily as the market eyes tense relations between the two countries. U.S. President Donald Trump and China’s leader Xi Jinping meet this week in Florida.

Trump has said he wants U.S. companies to stop investing in China and instead create jobs at home. He has also  accused China of manipulating its currency to boost exports.

Mike Jordan, a farmer from Beloit in north-central Kansas, plans to boost soy acreage by 10 percent after success both on the yield and price fronts for his crop in 2016.

“The general sentiment is … even though Kansas is a wheat state, beans look pretty good,” Jordan said. “If you told me five years ago beans were going to produce more than half the total income on my farm, I would have wondered where you were coming from.”

Planting records

The U.S. Department of Agriculture (USDA) forecasts farmers will sow 89.482 million acres of soybeans this year, up 7.2 percent from the record 83.433 million acres in 2016. Corn acreage was seen falling to 89.996 million acres, just 514,000 greater than soybean intentions.

During the past decade, final soybean acreage has topped the March forecast by more than 500,000 acres five times, with the biggest gain in 2012, when plantings beat initial projections by 3.296 million acres. A year ago, final soybean plantings came in 1.197 million acres above March intentions.

Soybeans also are taking acreage from wheat, which has struggled on the export market. U.S. wheat plantings were seen falling to 46.059 million acres — the lowest since the government started tracking them in 1919.

The soybean crop is planted to be exported, part of its allure to farmers who see demand for wheat and corn declining on both the export and domestic fronts.

On average, 45 percent of the soybean crop has been exported during the past 10 years and the USDA projects that will rise above 50 percent in 2017/18. Corn is typically used for domestic feed or ethanol, with only about 14 percent exported.

The rising soy acreage is seeded with China in mind.

“With China, if we can keep them as a good customer … I am hoping that they can soak up the extra supplies and keep the price from collapsing,” said Dave Newby, a farmer in Bondurant, Iowa, who plans to boost his soybean acreage by 50 percent this year.

China’s soybean imports have grown for 13 years in a row and the USDA expects them to hit 87 million tonnes in the year ending Sept. 1. That would soak up one-fourth of the world crop and represent a 130 percent surge in demand in the last decade.

The next-biggest importer is the European Union — set to bring in just 13.80 million tonnes in the 2016/17 crop year.

The United States sold 62 percent of its exports to China in 2016, worth more than $14 billion, according to the American Soybean Association. Soybean exports helped spur the U.S. economy to its biggest gains in two years during the third quarter of 2016.

South America steps up

But growing Chinese demand does not guarantee a profit as stocks should be huge even after China satisfies its needs.

Chicago Board of Trade November soybean futures, which track the crop to be harvested this autumn, have fallen 1.0 percent since the USDA issued its acreage outlook on March 31. CBOT December corn has risen 2.1 percent.

Additionally, massive crops in Brazil and Argentina provide China with purchasing options, and the competition is likely to persist as South American farmers also have the export market at the forefront of planting decisions.

“We plant soy in Brazil because there is global demand for the grain,” said Elso Pozzobon, a farmer in Mato Grosso, Brazil’s largest soy producing state. “This crop gives producers a sense of security.”

In Argentina, soybean acreage looks set to rise as an export tax that held back seedings is expected to decrease.

“Considering that world demand is still strong and prices are better than the alternatives,” said David Hughes, who farms thousands of hectares in Argentina’s bread basket Buenos Aires province. “I would guess we are probably at a low level of acreage limit.”
…

Many companies aim for “Best in Class” status, but some are seeking another “B” — B corporation certification.

Certified B corporations, or “B corps,” address the growing consumer interest in supporting socially and environmentally responsible companies.

B corps are essentially for-profit companies that behave more like nonprofits, tackling global issues such as pollution and income disparity through everyday business practices.

‘Business as a force for good’

“B corporations are companies that are using their business as a force for good,” said Andrew Kassoy, co-founder of B Lab, the nonprofit organization that issues B corp certification. “By having that B corp certification, it makes good easy for the consumer … to know that the company is having a positive impact on society,” he added.

For many companies, doing good may take a back seat to making money. But not for certified B corps.

Multimillion-dollar brands like fashion company Eileen Fisher and ice cream maker Ben & Jerry’s are among businesses certified as B corps.

“In some cases, it’s about the company trying to create more value for its workers, to create opportunity for workers to grow in the economy and have a job with dignity,” Kassoy said.

“In other cases, it might be about creating a product that’s more environmentally sustainable or socially responsible,” he said.

Growing around the globe

B corps are a growing global movement. Brands large and small make up the more than 2,000 certified B corporations, representing 130 different industries in 55 countries.

“Our foreign certifications are outpacing our U.S.-based certifications for the last year,” said Jennifer Warden, B Lab’s global partner manager. “We’ve got partners in 13 different regions — a lot in Latin America, Europe, a lot of momentum now in the Asia Pacific regions and Africa.”

To qualify as a B corp, companies must score at least 80 out of 200 points on an assessment that covers four key areas: corporate governance, employee rights, community outreach and environmental impact. Everything from waste reduction efforts to leadership roles for women and minorities are considered.

“You’re able to measure how you rank in terms of taking care of the community, how you rank in taking care of the environment, how you take care of your customer,” said Sean Cullen, project coordinator at Uncommon Goods, a Brooklyn-based online retailer that is a certified B corp.

Assessments are made every two years. In addition to maintaining a minimum score, certified B corps are also required to revise company bylaws to reflect accountability to workers and customers.

Depending on a company’s size, B corp certification costs $500 to $25,000 annually. For many, the payoff is in being among the best in the business.

Look for the logo

“When you see that certified B Corp logo on different products, you know that you’re getting a good product,” Cullen said.

B Lab maintains a website with a B corporation directory so consumers can look up a company and verify its certification.

“The goal is that one day, all companies will be able to manage and measure their impact with the same rigor as their profits,” Kassoy told VOA.

“And by doing that … all companies will compete to be best for the world, not just best in the world,” he said.
…

America’s infrastructure is crumbling. A report card from the American Society of Civil Engineers gives the country’s roads, bridges and public works a D+, with a large portion of the structures showing significant deterioration. Tuesday, President Donald Trump reiterated his promise to spend one trillion dollars to overhaul the infrastructure. For local communities, that money can’t come fast enough. VOA’s Arash Arabasadi reports from Pittsburgh.
…

The future of public transportation in New York City is taking shape on the bayous of Louisiana and Alabama.

Shipyard workers in the two states are scrambling to finish the city’s new ferry fleet in time for a launch this summer, just a little more than a year after it was first proposed.

The city is making a $335 million bet that the service will attract millions of passengers traveling between Manhattan and waterfront neighborhoods in Brooklyn, Queens and the Bronx that are now a distant walk from overcrowded subways.

Transportation infrastructure in the city has a tendency to take many years, if not decades, to get built, but in this case workers are under pressure to get the new ferries and docks built in a New York minute.

Horizon Shipbuilding, in Bayou La Batre, Alabama, has 100 employees – including 80 hired last summer – working to fill its order of 10 ferries for the 20-boat fleet. The rest are being built at the Metal Shark shipyard in Franklin, Louisiana, about 50 miles (80 kilometers) southwest of Baton Rouge.

Inside Metal Shark’s huge boat-building shed last week, several of the $4 million catamaran vessels were in various stages of completion. Sparks and smoke flew around workers’ protected heads as they welded one lightweight aluminum ferry frame. Other workers stood between the catamarans’ two pontoons, sanding the rough metal. Electricians were busy wiring the navigation system. Cranes carried pieces of tubing to the ferry-to-be.

“A project like this is unique,” said Junior Volpe, director of special projects for Hornblower Inc., the San Francisco-based company that will operate the ferry system in partnership with New York City.

More than a year ago, when they were still negotiating the construction of the ferries in such a short time period, “a lot of people were, like, ‘Wow, I don’t think this is ever going to happen.’ And to prove that things are possible, here we are. We’re sitting on the first ferry that’s going to be delivered here at Metal Shark – and it’s amazing,” Volpe said.

City transportation officials say the new ferry fleet will speed up travel time in this city of islands by as much as two-thirds and come at a competitive price – $2.75 – the same as a subway fare. That compares to the limited ferry service that currently takes commuters and tourists across the Hudson and East Rivers at $4 to $6 per ride. New York’s fifth borough, Staten Island, is served by its famed free ferry service that offers about 23 million rides a year.

In an interview with The Associated Press this week, New York City Mayor Bill de Blasio said he hoped the new ferry service, along with a new streetcar line he also has proposed, would help lighten the transportation load for a city of 8.5 million that is expected to grow by another half a million people in the coming years.

While de Blasio acknowledged the new ferry service’s initial goal of 4.6 million annual rides per year is modest (the subway system handles 5.7 million rides on weekdays), he was hopeful the growth in ridership would be greater.

“If you build it,” he said, “they will come.”

Travel by water in New York harks back to the city’s maritime glory days in the late 1800s, when there were no subways and the East River, the harbor and the Hudson River were abuzz with industrial production and business activities relying on water-borne modes of transportation.

“But ferries don’t solve New York’s overall transportation problem,” said Nicole Gelinas, a transportation analyst at the Manhattan Institute for Policy Research.

She noted that with commercial activity no longer concentrated on the waterfront and most people living elsewhere, ferries handle only a fraction of the ridership of subways. “That doesn’t mean ferries are not a good idea, because they get at least some people off the trains that are crowded beyond capacity.”

In addition, she said, the financial structure of the new ferry service, in which the city plans to spend $180 million over six years subsidizing fares, could be difficult to sustain.

“The mayor hasn’t addressed these issues at all,” Gelinas said. “But the new ferries are good for him in that he’ll be inaugurating them a few months before the election.”

All that doesn’t ruin the anticipation for longtime Astoria resident Claudia Coger.

After years of spending three, even four, hours a day commuting to work as a train inspector, with long walks to subways and buses, she vows to be among the first on the ferry, boarding at a dock just steps from her apartment.

“Yes, for sure, because I fish over here anyway!”
…

Three years ago, 14-year-old Julius left his family near the lakeside city of Mwanza, Tanzania, to try his luck mining gold.

Today, Julius is in no hurry to leave, despite having one of the riskiest jobs on a chaotic mine site — handling mercury each day with his bare hands.

“It’s good work. I’m paid well,” Julius, who wanted to use only his first name, told the Thomson Reuters Foundation, wearing an orange T-shirt and skinny jeans coated with red dirt.

Julius, now 17, said he has been working with mercury for three years, but no one had ever told him it was dangerous.

There are more than 4 million child laborers in Tanzania aged between 5 and 17, according to a government survey released last year in conjunction with the International Labor Organization. That’s roughly a third of the country’s children.

More than 3 million are doing hazardous jobs, including at illegal mines like the one near Nyaligongo in northern Tanzania, where they are exposed to mercury, heavy dust and work long shifts without safety gear.

Many unaware of laws

The Tanzanian government is aware of the problem but has struggled to keep children out of small, unlicensed mines. Its laws do not allow children under 14 to work, and hazardous work is not permitted for children over 14. Tanzania has signed all major international conventions on child labor and introduced its own laws to prevent the worst child labor.

But not everyone knows of the child labor laws, including families and local officials.

Government workers tasked with enforcing the laws lack the staff and funds for inspections, let alone prosecutions.

“In Tanzania we have a good law and strategy to eliminate all kinds of child labor, but the problem here is who is going to implement this at the local level,” said Gerald Ng’ong’a, executive director of Rafiki Social Development Organization (SDO), an NGO that works on child labor in northern Tanzania.

“Local officials don’t have enough information about the law and how to protect children.”

Lure of gold

The problem is especially hard to tackle in the informal sector, said Emma Gordon, senior Africa analyst at global risk consultancy Verisk Maplecroft, which ranks Tanzania as the 55th-most “at risk” country in its 2017 Child Labor Index, due to be published Wednesday.

“The government’s focus is very much centered around large industrial projects, particularly foreign-owned businesses that would be able to pay fines if violations were discovered,” Gordon wrote in an email to the Thomson Reuters Foundation.

In Lake Victoria’s gold belt, where gold has been extracted since the 1890s, licensed and unlicensed small mines operate with major mining firms close by. The scrappy “artisanal” mines provide a crucial source of income to people outside Tanzania’s cities, but like the mining site at Nyaligongo, many operate without government licences.

The majority of children working in gold mines are employed by individuals running these unlicensed mines, observers say. They are among the worst exploited of the mines’ workers, typically earning the equivalent of about 1 euro ($1) a day.

“Pit owners employ children because they’re cheap labor,” said Ng’ong’a.

Legal or not, the lure of the mines — and the harsh poverty of the farming communities around them — keep children coming.

Brothers Petromos and Mayalamos, 12 and 16, left their village outside Mwanza because they heard there was good money to be made at this mine.

“The work is difficult,” said Mayalamos. “But I can only leave this place once I’ve earned enough.”

Nyaligongo village relies on gold to survive.

On the village’s main street, cramped shops sell vegetables, SIM cards and lunch to off-duty miners. Middlemen purchase gold from miners to sell in the closest town, Kahama, where it is resold in bigger cities like Mwanza and Dar es Salaam.

Students leave to work

More than 8,000 people live in Nyaligongo, says Faustine Masasila, the village’s secretary and a mine site owner, and more are still arriving.

“There are people here who used to have very miserable lives,” Masasila said, walking through the buzzing market. “If you work hard, you are guaranteed prosperity.”

At the primary school down the road, teachers are less impressed with mining’s promise of a good future.

A poster on the school office wall is a testament to the number of children who leave to work when they are old enough.

This year, in Class 1, there are 236 students aged 6 and 7, while in Class 7 there are only 40 students aged 13 and 14.

“I feel very frustrated when children leave and go to the mines instead of going on to secondary school,” said Mabula Kafuku, the education officer for the ward. “They don’t even have enough knowledge to mine safely.”

Children dropping out of school is a nationwide problem in Tanzania and a major impediment to the government’s aspiration to become a middle-income nation by 2025. A recent Human Rights Watch report found that in 2016, more than 5 million children aged between 7 and 17 were out of school across the country.

For government workers tasked with inspecting mines for health, safety and labor violations, enforcing the law at the far-flung informal mines sprinkled around the Lake Victoria region is an onerous task.

Masasila, the village secretary, cannot recall ever seeing inspectors at the mining site near Nyaligongo.

“If you have children working in remote areas, you need a budget to visit. We don’t have such things,” said Hadija Hersi, a regional labor officer in Mwanza. “That’s why you have NGOs stepping in to intervene.”

Some success

Several nongovernmental organizations, including Terre des Hommes Netherlands, have been trying to get child workers back in school and help families develop alternate income sources to wean them off their wages.

Since 2014, Terre des Hommes Netherlands, working with Rafiki SDO, has managed to help more than 725 children leave the mines. In Geita, another nearby gold-mining area, U.K.-based Plan International has helped 12,000 children withdraw from small-scale mining work and is trying to reach another 11,600.

But as long as people are struggling to find work outside Tanzania’s cities, there is only so much NGOs can do.

At the mine, Nyanjige Mwendesha looks on as her three children, ages 10, 12, and 15, sit on the red, dusty ground, smashing up rocks with small metal hammers in the midday sun.

Mwendesha brought her family to work here after there wasn’t enough rain on her farm this year. The family needed the money.

“When it starts to rain, I’ll go back to the farm,” she said.
…

The first phase of what is expected to be a lengthy and costly process to build additional segments of wall along the southwestern U.S. border ended as the deadline expired Tuesday afternoon for companies to pitch their ideas to the government.

The bidding process was to build 3-by-3-meter (10-by-10-foot) prototypes — some made of concrete, some of any other type of material — in San Diego, that the government will now evaluate for potential use along parts of the border, which stretches from southeast Texas to southwest California.

The government said it will spend two weeks selecting up to 20 competitors for a second round of competition for each type of wall. More than 400 companies showed interest in bidding, and several may win the chance to build the prototypes.

Phase two

If the schedule outlined by U.S. Customs and Border Protection is not delayed, the second phase will begin in mid-April, with companies submitting cost analyses and more specific design plans.

Construction on the prototypes could begin in June, according to bid documents.

The specifications for the wall indicate new portions could be as low as 5 meters or as high as 9 meters (18 feet and 30 feet) — “physically imposing in height,” and resistant to people chipping away at it, CBP described in a notice to interested contractors.

The process began in mid-March, pushed by President Donald Trump, who campaigned regularly on the idea of building a wall along the border. Fencing, walls, surveillance towers and other barriers — including natural, rugged terrain — already exist.

The overall length of the wall segments to be added to the border remain unclear. But they must be resistant to climbing and take more than 30 minutes to bore through, according to bid documents — enough time for border agents to locate the attempted breach.

They should also be “aesthetically pleasing in color” on the north, U.S.-facing side, the document specifies.

Other solutions

In a Congressional hearing Tuesday, two former CBP officials and a Texas professor testified before the Senate Homeland Security Committee about border fencing in the Southwest; they agreed with several senators that a wall is not the only solution to illegal migration across the border.

“There is not a one-size-fits-all for the border,” said David Aguilar, former acting commissioner of the U.S. Customs and Border Protection.

He advocated for increased resources for CBP in the area, while Terence Garrett, a professor from the University of Texas Rio Grande Valley, advocated for improving conditions in the so-called northern “triangle countries” — Honduras, El Salvador and Guatemala — to curb the number of aspiring migrants traveling north.

The ongoing bid process focuses exclusively on the wall, but Ron Colburn, former deputy chief of the U.S. Border Patrol who also worked on the Arizona-Mexico border, told senators Tuesday that border security combines multiple techniques that change depending on what area is in question.

“Without tactical infrastructure, it’s too weak. Without the right amount of manpower, it’s too weak. And without the right mix of technology, it’s too weak,” Colburn said. “The links in the chain have to be equally strong. And it has to be the right mix.”

“It’s not going to be the same in San Diego as in Rio Grande Valley, South Texas,” he added.

Paying for the wall

Trump promised to make Mexico pay for the wall, a proposal that country rebutted. Instead, the administration has requested that Congress approve $1.5 billion this year to start building a wall.

Estimates for the overall cost of adding miles of wall to the border are as high as $21.6 billion, according to a Reuters estimate, and that funding will require congressional approval.

Additionally, the government faces continued legal wrangling along the border to secure the land, often from private owners, to build additional barriers.
…

The Chilean government’s plans to reform the country’s pension system will be in doubt if governing coalition members are unable to reach agreement among themselves on the design of any new legislation, the finance minister said on Tuesday.

Chile’s privatized pension system was started in the 1980s during the dictatorship of Augusto Pinochet. The so-called ‘Chilean model’ has been much copied and adopted worldwide.

But opposition to it is rising in Chile, with regular noisy street protests demanding changes. Opponents claim it forces workers to give their earnings to for-profit funds, called AFPs, and that the payouts are meager.

Center-left President Michelle Bachelet, now entering the last year of her four-year term, has pledged reform and set up a commission to look into the current system.

But differences of opinion among her increasingly divided coalition may make a new law impossible, Finance Minister Rodrigo Valdes said.

“[Bachelet] has not yet decided on the contents, or even if the bill will go ahead, because that will depend on what kind of consensus we can get,” he said in an interview with Radio Cooperativa.

Possible changes could include raising the contribution minimum to 15 percent from the current 10 percent. But there has been disagreement on whether that extra should go direct to workers who pay it or to a shared “solidarity fund.”

Lawmakers are also in disagreement on whether the extra cash should be administrated by the AFPs or a new state-run fund.

As Bachelet’s popularity has slid and differences emerged over other reforms such as abortion and labor, she has increasingly struggled to keep her coalition, ranging from centrist Christian Democrats to Communists, on the same page.

“If in doing something we are going to fight between ourselves, there is not much point,” Valdes said.
…

Large numbers of job seekers from around the world are filing applications at U.S. federal offices as the season opened Monday for H1-B visas for foreign workers.

H1-Bs allow employers – mostly high-tech firms – to hire skilled foreign workers for jobs in the United States for three years. Eighty-five thousand slots are available – 65,000 for applicants with bachelor’s degrees and 20,000 for those with master’s or more advanced degrees.

In recent years, there have been so many applications that the U.S. government stopped accepting them within a week. Visa winners are chosen by a computer-generated lottery.

This year, there is additional pressure because the program’s future is not clear.

President Donald Trump has vowed that he will not allow American workers to be displaced by foreigners holding H1-B visas.

On Monday, as the application process opened, the Department of Justice warned U.S. companies not to discriminate against American workers.

“U.S. workers should not be placed in a disfavored status, and the department is wholeheartedly committed to investigating and vigorously prosecuting these claims,” said Acting Assistant Attorney General Tom Wheeler of the Civil Rights Division.

At the same time, U.S. Citizenship and Immigration Services (USCIS) warned it will take a “more targeted approach” as it makes site inspections across the country.  What it will be targeting includes an inability to find an employer’s basic business information through commercially available data, employers who have a high ratio of H1-B employees to U.S. workers, and employers who petition for H1-B workers to work off-site.

Outsourcing

Overwhelmingly, India has been the biggest recipient of H1-B visas. The Department of Homeland Security (DHS) reports that 71 percent of H1-Bs went to Indians in 2015. China was a distant second with 10 percent of the visas.

India’s success is attributed to its huge outsourcing firms that submit thousands of applications every year, increasing their chances of winning the lottery. Outsourcing firms, which supply services to other companies, are controversial because they are not subject to a federal requirement that they not displace American workers if they pay the H1-Bs at least $60,000 a year.

The H1-B visa program has proponents who argue that there are not enough Americans to fill all the slots for which skilled workers are needed. A research brief filed Monday by the bipartisan group New American Economy said that there are “persistent and dramatic” worker shortages in science, technology, engineering and math.

The group of mayors and business leaders who support immigration reform said that in 2016, there were more than a dozen jobs posted in those fields for every one unemployed eligible U.S. worker.

Competing bills in the U.S. Congress both expand and curtail the H1-B visa program.

H1-B spouses

In the meantime, spouses of H1-B holders, who are allowed to work under a 2015 rule, are still in limbo regarding their eventual employment status.  

The Department of Justice, acting on behalf of the Department of Homeland Security, has asked for additional time to review the rule that allows spouses of H1-B visa holders to work.

Implemented under the administration of U.S. President Barack Obama, the rule has been challenged in court by Save Jobs USA, an organization of information technology workers who claim to have lost their jobs to H1-B visa holders. The group maintains that the rule threatens American jobs.

Before the rule, spouses, who hold H-4 visas, were not allowed to work.

In February, the DHS had asked for 60 days to review the rule. On Monday, that 60-day period closed and the Department of Justice requested a 180-day extension, promising to update the federal appeals court at 60 days.

Save Jobs USA filed a cross motion Monday asking that the additional time be denied.
…

The U.S. Department of Homeland Security announced steps on Monday to prevent the fraudulent use of H1B visas, used by employers to bring in specialized foreign workers temporarily, which appeared to fall short of President Donald Trump’s campaign promises to overhaul the program.

Trump had promised to end the lottery system for H1B visas, which gives each applicant an equal chance at 65,000 positions each year.

Lobbyists for businesses who rely on H1B visas, commonly used by the tech sector, had expected Trump to upend the lottery in favor of a system that prioritized workers who are highly skilled and would be highly paid in the United States.

The lottery for fiscal year 2018 opened on Monday without changes.

The start of the lottery was seen by those watching the issue as the unofficial deadline for the Trump administration to enact H1B visa reform, and the failure to meet that deadline signals that Trump’s promised overhaul of the system may be off the table or long delayed.

“More oversight is a good start, but employers can still use the program legally to depress wages and replace American workers. That falls short of the promises President Trump made to protect American workers,” said Peter Robbio, a spokesman for Numbers USA, a Washington-based group that advocates for limiting immigration into the United States.

The White House could not immediately be reached for comment.

In keeping with the practice of former President Barack Obama’s administration, employers and foreign workers will enter a lottery system where 65,000 workers are permitted to enter the United States to work. An extra 20,000 H1B visas are reserved for workers with advanced degrees.

Last year, the lottery remained open less than a week before the program reached its cap.

Tech companies rely on the program to bring in workers with special skills and have lobbied for an expansion of the number of H1B visas awarded.

Proponents of limiting legal immigration, including Trump’s senior adviser Stephen Miller, have argued the program gives jobs that Americans could fill to foreign workers at a less expensive cost.

The measures announced by DHS on Monday focus on site visits by U.S. authorities to employers who use H1B visas.

In future site visits, U.S. Citizenship and Immigration Services agents will investigate incidents where an employer’s basic business information cannot be validated; businesses that have a high ratio of H1B employees compared with U.S. workers; and employers petitioning for H1B workers who work off-site.
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The effects of the 2008 financial crisis are still being felt, says the International Monetary Fund’s Managing Director Christine Lagarde. 

She cites a new IMF study showing global productivity has slowed to 0.3 percent over the last decade, lower than the pre-crisis average of about 1 percent growth per year. Had productivity growth followed pre-crisis trends, Lagarde says the overall GDP in advanced economies would be about 5 percent higher.

Lagarde attributes the slowdown in labor productivity — the amount of goods and services produced by an average worker per hour — to three major headwinds: an aging global population, the slowdown in international trade, and the lasting impact of the 2008 financial meltdown.

The slowdown has been particularly abrupt in continental Europe, where five Eurozone member countries — Greece, Portugal, Ireland, Spain and Cyprus — required various emergency bailouts after being unable to refinance their sovereign debt. 

Lagarde says strong policy actions, such as government-backed innovation, may be required to reverse the slowdown. For example, she says ramping up research and development by 40 percent could increase the gross domestic output (GDP) in advanced economies by as much as 5 percent, significantly improving demand at the same time in developing economies. 

But to be effective, Lagarde says governments must provide clear signals about future economic policy and boost investment in education, worker training and infrastructure.

Lagarde made her comments Monday at the conservative-leaning American Enterprise Institute in Washington, just two weeks before the World Bank and IMF annual spring meeting, at which member countries discuss challenges facing the global economy and ways to ensure financial stability around the world.
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Japanese big manufacturers’ business confidence improved for a second straight quarter to hit a one-and-a-half year high in March, a closely watched central bank survey showed, a sign the benefits of an export-driven economic recovery were broadening.

Service-sector sentiment improved for the first time in six quarters and companies remained upbeat on their capital expenditure plans, the Bank of Japan’s “tankan” survey showed, offering hope the economic recovery will gather momentum in coming months.

The data, which will be among factors the BOJ will scrutinize at its next rate review on April 26-27, reinforces a dominant market view the central bank’s next policy move would be to reduce rather than expand monetary stimulus.

“The tankan showed a balanced improvement in corporate sentiment at manufacturers and service-sector firms,” said Yuichiro Nagai, an economist at Barclays Securities. “Overall, the results support the BOJ’s rosy view on the economy.”

The headline index measuring big manufacturers’ business sentiment rose to plus 12 in March from plus 10 three months ago, the tankan showed on Monday, falling slightly short of market forecasts but marking the highest reading since December 2015.

The index gauging big non-manufacturers’ sentiment improved 2 points from plus 20, rising for the first time in six quarters and hitting the highest level since March 2016, the survey showed.

Brexit, Trump cloud outlook

Big manufacturers and non-manufacturers expect business conditions to deteriorate slightly in the coming three months, as risks to global trade such as Britain’s decision to leave the European Union and U.S. President Donald Trump’s protectionist statements cloud the outlook.

Still, the survey found big firms plan to increase capital spending by 0.6 percent in the fiscal year ending in March 2018, compared with a median market forecast for a 0.1 percent drop.

“There has been talk about the risks of protectionism, but so far Japanese companies are not taking any specific steps related to this,” said Norio Miyagawa, senior economist at Mizuho Securities.

“This tankan will reinforce expectations that the BOJ is on hold for the time being. We certainly don’t see the need to ease or tighten policy,” he said.

Signs of life

Japan’s economy has shown signs of life in recent months, with exports and factory output benefiting from a recovery in global demand.

With inflation expected to accelerate later this year, a growing number of analysts now predict the BOJ’s next move would be to start scaling back its massive monetary stimulus.

The tankan’s sentiment indexes are derived by subtracting the number of respondents who say conditions are poor from those who say they are good. A positive reading means optimists outnumber pessimists.

 
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Training for the Boston Marathon has left Tommy Race feeling spent. His bank account, too: Race’s Boston adventure will cost about $2,000.

“It’s a lot of money, but it’s also a vacation,” said Race, a high school math teacher from Bellingham, Washington. “For a runner like myself, I’d much rather throw down money to run Boston than go to Cancun or Europe or some other travel destination.”

Race (yes, that’s his real name) has plenty of company. Thirty-thousand athletes from 94 countries will participate in this month’s 121st running of America’s most venerable footrace, and organizers say they’ll pump $192 million into the local economy.

That’s the equivalent of $311 for every man, woman and child living in the city of Boston.

Sports industry experts say Boston’s payout is part of a lucrative global trend that’s been playing out in Chicago, New York, London and other cities that stage major marathons drawing competitors and spectators from around the world.

“People want to be a part of something that Olympians run in,” said Rich Harshbarger, CEO of Running USA, a nonprofit group that promotes the sport.

“You’re not going to be able to run the bases at Fenway. But at a big marathon, you get to line up and have the same experience that the pros do,” he said.

It’s an affluent bunch: Running USA’s latest national survey, done in 2015, found that more than seven in 10 marathon runners earn more than $75,000 a year, and most are college graduates.

Many in the field for the Boston Marathon on April 17 will bring their families along. Another 10,000 runners will descend on Boston for a sister 5K race, swelling not only the size of the crowds but the amount spent on hotels, restaurants, transportation and a weekend running expo hawking expensive gear and swag.

“Nearly everyone involved … will patronize local businesses,” said Tom Grilk, CEO of the Boston Athletic Association, which manages the marathon.

Included in the $192.2 million projection is $30 million that runners will raise to benefit dozens of charities.

And the Boston Marathon’s economic impact is steadily growing. Last year’s race generated $188.8 million, and the 2015 race brought in $182 million, the Association said.

Patrick Moscaritolo, president and CEO of the Greater Boston Convention & Visitors Bureau, calls race weekend “an extraordinary kick start” for the tourist season.

Other races that are part of the World Marathon Majors – a series that includes Berlin, Boston, Chicago, London, New York City and Tokyo – have an even bigger haul.

The TCS New York City Marathon says its economic impact in 2014, the most recent year for which figures were available, was $415 million. The Bank of America Chicago Marathon had an estimated $277 million impact in 2015, organizers say.

Getting to the start line is expensive, “but it’s worth every penny,” said Malinda Ann Hill, bereavement coordinator for Children’s Hospital of Philadelphia, who’s running her first Boston together with her twin sister.

After 12 attempts to qualify, Hill doesn’t care what it costs.

“My twin won’t total it up, though,” she said. “She doesn’t want to know.”
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 Iraq’s oil minister said on Sunday that his country plans to increase daily crude oil production to 5 million barrels by the end of this year, up from the current rate of about 4.4 million barrels per day, to secure sorely needed cash for its ailing economy.

Iraq, where oil revenues make up nearly 95 percent of the budget, has been reeling under an economic crisis since 2014, when oil prices began their descent from a high of above $100 a barrel. The Islamic State group’s onslaught, starting in 2014, has exacerbated the situation — forcing Iraq to divert much of its resources to a long and costly war.

Addressing an energy conference in Baghdad, Oil Minister Jabar Ali al-Luaibi didn’t give details on which of the country’s oil fields would supply the increased output.

Late last year, Iraq joined a deal by OPEC and non-OPEC members to lower production for six months by 1.8 million barrels a day in order to prop up global oil prices. The mutual production decrease began on Jan. 1. Iraq’s share in the deal is to reduce output by 210,000 barrels a day to 4.351 million barrels.

“There are positive elements in that deal and we achieved a lot of its targets,” al-Luaibi told reporters on the sideline of the conference. “Work and cooperation are underway … to reach the 1.8 [million barrels a day] reduction,” he added, without divulging whether Iraq is going to support an extension to that deal.

OPEC Secretary-General, Mohammed Barkindo, said the compliance among the participants was 86 percent in January and 94 percent in February. Barkindo told reporters that OPEC members would consider whether to extend the production decrease agreement at a meeting next month.

The deal propped up the crude price to around $50 per barrel.

Iraq holds the world’s fourth-largest oil reserves. This year, it added 10 billion barrels, bringing its total reserves up to 153.1 billion barrels.

Al-Luaibi also said that more 15 billion barrels are planned to be added by 2018.

Iraq’s 2017 budget stands at about 100.67 trillion Iraqi dinars, or nearly $85.17 billion, running with a deficit of 21.65 trillion dinars, or about $18.32 billion. That’s based on an estimated oil price of $42 per barrel and daily export capacity of 3.75 million barrels.

Iraq is also grappling with a major humanitarian crisis. The U.N. estimates that more than 3 million people have been forced from their homes since 2014. It also faces growing dissatisfaction among residents of areas recaptured from IS who have had their properties demolished and suffer from scarce public services.

 
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Investors are plowing ever more into ethical funds to back their views on issues such as global warming and gender equality, but such investments can be confusingly similar to standard funds, except for higher fees and “green halo” marketing.

The $23 trillion “sustainable, responsible and impact” (SRI) investment sector has received a rush of money since the Paris climate agreement and, more recently, in protest against U.S. President Donald Trump’s plans to slash environmental regulations.

Europe is the dominant region for such investments, with $12.04 trillion, followed by the United States, with $8.72 trillion, while Asia lags some way behind.

U.S. investors have poured $1.8 billion into actively managed U.S. equity funds in the socially responsible category from November to January, according to Lipper data, while other funds saw a net outflow of $133 billion.

Even in fossil-fuel-rich Australia and New Zealand, SRI investment rose from $148 billion to $516 billion between 2014 and 2016, and from $729 billion to $1.09 trillion in oil-rich Canada, according to the Global Sustainable Investment Review released Monday.

Gavin Goodhand, a portfolio manager at Sydney-based Altius Asset Management, said the company’s sustainable bond fund tripled shortly after the 2015 climate accord, where nearly 200 countries signed up to measures designed to curb greenhouse gas emissions.

“The Paris conference was the line in the sand for many of our retail customers, particularly the millennial generation, who want to do the right thing for the environment,” Goodhand said.

Green funds may be not so green

Governments are also tapping the trend, selling green bonds to fund projects such as wind farms or low-carbon transport, with Poland, France and Nigeria making their debut this year.

Some managers, however, are skeptical.

“While environmental, social and governance factors should always factor into investment decisions, this is largely a marketing exercise,” said Steve Goldman, a global portfolio manager at Sydney-based Kapstream Capital, which has A$10 billion ($7.6 billion) of fixed-income assets.

Goldman said Kapstream did not have a responsible investment fund because its clients had not asked for it.

The bond market does not have commonly agreed standards or criteria for what constitutes a green bond, and there is no guarantee the proceeds go to the low-carbon project as claimed.

There are similar concerns over equity products.

Stuart Palmer, head of ethics research at Australian Ethical Investment, said there was a danger that some marketing departments would “greenwash” their products to lure investors into funds that were little different to standard products.

Higher fees

There are no agreed definitions on what is considered ethical, sustainable and socially responsible, but ethical investors are typically expected to cough up higher fees.

For example, retail investors pay more than a third higher fees for the sustainability and ethical funds at Sydney-based BT Investment Management (BTIM) than for its standard share fund equivalent.

The three funds hold six or seven of their top-weighted stocks in common, including major banks Australia and New Zealand Banking Group, Westpac Banking Corp, National Australia Bank and miner BHP Billiton , according to December filings.

A BT spokeswoman did not return requests for comment.

Due diligence difficult

For investors, it can be a minefield.

“I find it difficult as a consumer to do the due diligence I would like to do because even the ethical funds are not always totally transparent about what they define as ethical,” said retail investor Meraiah Foley, a Sydney academic.

“One of the ethical funds I have invests very heavily in retail banks in Australia, and those banks themselves may be underwriting projects that the fund itself would not invest in.”

There is also no standard practice on what to do when an existing fund stock breaches a manager’s policies. Some investment managers will sell, but others argue they can influence behavior by retaining their shareholding.

“We believe in engagement rather than divestment,” said Sam Sicilia, chief financial officer at the A$22 billion pension fund Hostplus. “When you sell a share in a ‘bad’ company, it’s a transfer of ownership and does nothing to the company that’s causing the issue, so divestment does not really work.”
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President Donald Trump doubled down on his tough talk on trade with a pair of executive orders Friday, which he says are designed to level the playing field and reduce the $500 billion US trade deficit, more than half of which is with China. As Mil Arcega reports, the issue of unfair trade is likely to come up when the U.S. president meets with Chinese leader Xi Jinping next week.
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Hotels offer congee and other Chinese staples for room service. Casinos train staff members on Chinese etiquette. Restaurants, tourist sights and shopping malls translate signs, menus and information booklets into Mandarin.

The American hospitality industry is stepping up efforts to make Chinese visitors feel more welcome, since they are projected to soon surpass travelers from the United Kingdom and Japan as the single largest overseas demographic.

And it’s not just the typical tourist hubs of New York and Los Angeles, where such efforts have long been commonplace. Smaller cities like Boston, Las Vegas, Seattle and Washington, D.C., are increasingly getting into the act, industry officials say.

“Americans traditionally lag behind what other international designations do for different cultures,” said Elliott Ferguson, CEO of Destination DC, the city’s convention and tourism organization, which last year launched “Welcome China,” a certification program for local businesses. “We just kind of assume that one size fits all. Quite frankly, that’s just not welcoming.”

Local tourism associations in those and other cities have recently launched campaigns aimed at getting their member hotels, restaurants and tourism companies to better incorporate Chinese language and customs into their offerings. They’re also embarking on tourism-focused sales missions to China and opening satellite offices in Chinese cities to strengthen ties and sell their city to trendsetters.

Sheraton Boston offers creature comforts

Some companies have already embraced the message.

The Sheraton Boston in the Back Bay neighborhood started offering in 2013 simple creature comforts many Chinese travelers expect, including slippers, robes, instant noodles, an electric kettle and green tea, and have since taken other steps to cater to Chinese guests, said Angela Vento, the hotel’s general manager.

The Four Seasons in D.C.’s Georgetown neighborhood makes similar gestures, as well as offering Chinese-language television and newspapers. It’s also working on offering more traditional Chinese dishes on its room service and restaurant menus, said Liliana Baldassari, a hotel spokeswoman.

In Las Vegas, Caesars Entertainment last year started offering guests at some of its affiliated resorts the option to book and pay for hotel rooms using WeChat, China’s most popular social media app.

“It’s made a really strong statement to the Chinese that these people really welcome us and understand us,” said Bruce Bommarito, the company’s vice president for international marketing, noting the Roman-themed casino has rolled out other China-focused initiatives in recent years, including training programs for staff on basic cultural etiquette for serving Chinese guests.

Those and other small touches are a step in the right direction, but more companies need to make an effort to recognize the growing importance of the Chinese market, said Justin Minggan Wei, a 27-year-old from Beijing who came to Boston in 2008 for college, an experience that inspired him to launch a consulting company helping local restaurants and businesses better serve Chinese customers.

Chicago Hilton reaches out

Zeng Wen, a 24-year-old who works part-time as a tour guide for Chinese-speakers in Chicago, said she has noticed recent efforts to reach out to Chinese tourists, like the Hilton hotel chain’s “Hilton Huanying” program, which derives its name from the Chinese words for “welcome.”

But Zhe Zhang, a 36-year-old from Guangzhou who visited Los Angeles this year, said he didn’t see any obvious outreach to Chinese visitors, outside of Chinese-run establishments. The most intimidating part, he said, was ordering food with his basic grasp of English.

“If possible, restaurants could provide a simple Chinese menu or pictured menu,” Zhang suggested.

Cities can’t afford to be caught flat-footed as China’s growing middle class — almost nonexistent two decades ago — flexes its spending power, industry experts say.

Chinese visitors already spend more in the U.S. than other international visitors, at roughly $7,200 per person, according to the U.S. Travel Association, an industry trade group. Travelers from the country are expected to more than double from about 2.6 million visitors in 2015 to nearly 6 million by 2021, the association said.

More direct flights from China to a wider range of U.S. cities in recent years is partly fueling the boom.

10-year visa a plus

Creation of a 10-year visa between the U.S. and China in 2014 has also made it easier for Chinese to travel more frequently to the U.S. That has allowed them to venture beyond must-see destinations like New York and Los Angeles to smaller and mid-size destinations and even the national parks, said Scott Johnson, a New York consultant working with Boston and other cities to grow their international presence.

The growing ranks of affluent Chinese are also staying longer and visiting more locations in the U.S. as they plan for their children’s college education or seek real estate and other investment opportunities.

U.S. tourism officials are working to assure partners in China that they remain welcoming even as the administration of Republican President Donald Trump tightens international travel policies and promises fundamental changes in the U.S.-China trade relationship, said Tom Norwalk, CEO of Visit Seattle, the city’s tourism organization.

“Security and travel don’t have to be mutually exclusive,” he said. “We’d hate to see us roll back the clock. We’ve been pretty loud and clear about that.”              
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Friday marked the end of the week, the month and the first fiscal quarter of 2017.

The first-quarter statistics were pretty impressive with the NASDAQ Composite delivering the best return of the three main indices of nearly 10 percent as the index broke through another record high on Friday, led by heavyweights like Apple (AAPL) and Amazon.com (AMZN).

“The trends that are driving earnings growth in that sector —- cloud computing, internet of things, mobile and tablet adoption, increasing consumption of video, et cetera —- are all intact, and an improving global economy should allow that to continue,” said Chris Zaccarelli, chief investment officer for Cornerstone Financial Partners.

The S&P 500 closed the quarter higher by its best gain since the fourth quarter of 2015. The Dow Jones industrial average added nearly 5.5 percent, which was its sixth straight positive quarter and the longest winning streak since the fourth quarter of 2006, although March showed the first monthly loss since October.

Trading week ahead

The all-important Employment Situation Report for March will be released at 8:30 a.m. ET, April 7. The federal government’s employment data give the most comprehensive report of how many people are looking for jobs, how many have them, what they’re getting paid and how many hours they are working. These numbers provide the best way to gauge the current state, as well as the future direction, of the economy.

Other key macro events include release of the Federal Open Market Committee (FOMC) minutes from March 14-15 on Wednesday and retail same-store sales throughout the morning on Thursday. While investors do not expect a change in the minutes from the last FOMC meeting, the release could move the markets as traders pick apart each word, looking for clues to monetary policy, when the next rate hike may occur and the amount of hikes anticipated for 2017.

Second-quarter outlook

Brad McMillan, chief investment officer at Commonwealth Financial Network, believes the second quarter will get off to a good start.

“Both consumer and business confidence continue to rise, which should provide a tailwind for faster growth,” McMillan said in a research note. “Job creation remains very strong, and wage growth also continues to rise. Around the world, both Europe and Asia are seeing faster growth, marking the first synchronized global expansion since the crisis.”

McMillan believes that the second quarter isn’t likely to repeat the first, but strong economic fundamentals, along with rising corporate earnings, could continue to push markets higher. Rising confidence will support valuation levels and also offers a real possibility of upside surprises in the hard economic data, which could translate into even better than expected earnings growth.
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