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Trump lauds US economy in Davos, says little on climate woes – Lethbridge News Now

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Trump reminded the audience that when he spoke here in 2018 “I told you that we had launched the great American comeback.”

“Today I’m proud to declare the United States is in the midst of an economic boom, the likes of which the world has never seen before,” the president said.

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American economist Kenneth Rogoff took issue with Trump’s comments, saying some of Trump’s claims about the strength of the U.S. economy are true. But Rogoff noted that the economy wasn’t doing badly when Trump took office. “It’s been a good 10 years and his three years probably better than expected,” Rogoff said, adding that he thought Trump was careful to keep his comments about climate change to a minimum to avoid getting booed.

Climate issues are a main theme at the forum and the phrase “Act on Climate” was written in the snow at the landing zone where Trump’s Marine One helicopter set down in Davos.

Late last year, the Trump administration began pulling the U.S. out of the landmark 2015 Paris climate agreement under which nearly 200 nations set goals to curb emissions of heat-trapping gasses that lead to climate change. Trump has called the Paris accord an unfair economic burden to the U.S. economy.

Trump’s speech was met with virtual silence by the audience, apart from a brief flurry of applause when Trump said the U.S. would join a World Economic Forum initiative to plant 1 trillion trees worldwide.

Climate activist Greta Thunberg, who has been criticized by Trump, said world and business leaders aren’t taking the threat of global warming seriously.

“Planting trees is good of course but it’s nowhere near enough,” Thunberg said.

Trump’s participation at the forum provided another conspicuous split-screen moment in his presidency. Before entering the hall to deliver his speech, Trump called the trial “disgraceful” and part of “the witch hunt that’s been going on for years.”

Asked whether Trump would tune in to the impeachment trial, White House press secretary Stephanie Grisham said in an email that Trump has a “full day” in Davos “but will be briefed by staff periodically.”

Trump spent nearly all of his approximately 30-minute speech describing U.S. economic gains under his leadership.

“America is thriving. America is flourishing and yes, America is winning again like never before,” Trump said before talking about a newly signed trade deal with China and a pending U.S. trade agreement with Mexico and Canada. He also spoke of record low unemployment, stock market gains and millions of people removed from the welfare rolls.

Nobel prize-winning economist Joseph Stiglitz criticized Trump for failing to address the climate emergency beyond a commitment that the U.S. will join the trillion trees initiative.

“He managed to say absolutely zero on climate change,” Stiglitz said. “Meanwhile we’re going to roast.”

Trump’s appearance at the forum ends Wednesday when he travels back to a Washington that’s consumed by the impeachment trial.

The Democratic-controlled House impeached the Republican president last month for abuse of power and obstruction of Congress after it was revealed that he had pressed Ukraine’s president to announce investigations into former Vice-President Joe Biden, a Democrat and a Trump political rival. Trump withheld foreign aid that Congress had approved for the Eastern European nation and dangled the prospect of an Oval Office meeting as leverage.

Trump denies any wrongdoing and argues that Democrats want to remove him from office because they know they can’t deny him reelection in November. Trump would be forced to leave office if convicted, but the Republican-controlled Senate is expected to acquit him.

Trump met Tuesday with the forum’s founder and the new European Commission president, Ursula von der Leyen, the first woman to hold the position. Trump zeroed in their first meeting on her reputation as a tough negotiator, saying that was “bad news for us.”

“Trade right now and a deal between ourselves and essentially Europe is something that we all want to be able to make,” Trump said.

Trump also was meeting Tuesday with the leaders of Switzerland and Pakistan.

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Associated press writers Jamey Keaten and Pans Pylas in Davos contributed to this report.

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Follow Darlene Superville on Twitter: http://www.twitter.com/dsupervilleap

Darlene Superville, The Associated Press

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Economy

China Wants Everyone to Trade In Their Old Cars, Fridges to Help Save Its Economy

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China’s world-beating electric vehicle industry, at the heart of growing trade tensions with the US and Europe, is set to receive a big boost from the government’s latest effort to accelerate growth.

That’s one takeaway from what Beijing has revealed about its plan for incentives that will encourage Chinese businesses and households to adopt cleaner technologies. It’s widely expected to be one of this year’s main stimulus programs, though question-marks remain — including how much the government will spend.

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Economy

German Business Outlook Hits One-Year High as Economy Heals

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German business sentiment improved to its highest level in a year — reinforcing recent signs that Europe’s largest economy is exiting two years of struggles.

An expectations gauge by the Ifo institute rose to 89.9. in April from a revised 87.7 the previous month. That exceeds the 88.9 median forecast in a Bloomberg survey. A measure of current conditions also advanced.

“Sentiment has improved at companies in Germany,” Ifo President Clemens Fuest said. “Companies were more satisfied with their current business. Their expectations also brightened. The economy is stabilizing, especially thanks to service providers.”

A stronger global economy and the prospect of looser monetary policy in the euro zone are helping drag Germany out of the malaise that set in following Russia’s attack on Ukraine. European Central Bank President Christine Lagarde said last week that the country may have “turned the corner,” while Chancellor Olaf Scholz has also expressed optimism, citing record employment and retreating inflation.

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There’s been a particular shift in the data in recent weeks, with the Bundesbank now estimating that output rose in the first quarter, having only a month ago foreseen a contraction that would have ushered in a first recession since the pandemic.

Even so, the start of the year “didn’t go great,” according to Fuest.

“What we’re seeing at the moment confirms the forecasts, which are saying that growth will be weak in Germany, but at least it won’t be negative,” he told Bloomberg Television. “So this is the stabilization we expected. It’s not a complete recovery. But at least it’s a start.”

Monthly purchasing managers’ surveys for April brought more cheer this week as Germany returned to expansion for the first time since June 2023. Weak spots remain, however — notably in industry, which is still mired in a slump that’s being offset by a surge in services activity.

“We see an improving worldwide economy,” Fuest said. “But this doesn’t seem to reach German manufacturing, which is puzzling in a way.”

Germany, which was the only Group of Seven economy to shrink last year and has been weighing on the wider region, helped private-sector output in the 20-nation euro area strengthen this month, S&P Global said.

–With assistance from Joel Rinneby, Kristian Siedenburg and Francine Lacqua.

(Updates with more comments from Fuest starting in sixth paragraph.)

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Parallel economy: How Russia is defying the West’s boycott

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When Moscow resident Zoya, 62, was planning a trip to Italy to visit her daughter last August, she saw the perfect opportunity to buy the Apple Watch she had long dreamed of owning.

Officially, Apple does not sell its products in Russia.

The California-based tech giant was one of the first companies to announce it would exit the country in response to Russian President Vladimir Putin’s full-scale invasion of Ukraine on February 24, 2022.

But the week before her trip, Zoya made a surprise discovery while browsing Yandex.Market, one of several Russian answers to Amazon, where she regularly shops.

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Not only was the Apple Watch available for sale on the website, it was cheaper than in Italy.

Zoya bought the watch without a moment’s delay.

The serial code on the watch that was delivered to her home confirmed that it was manufactured by Apple in 2022 and intended for sale in the United States.

“In the store, they explained to me that these are genuine Apple products entering Russia through parallel imports,” Zoya, who asked to be only referred to by her first name, told Al Jazeera.

“I thought it was much easier to buy online than searching for a store in an unfamiliar country.”

Nearly 1,400 companies, including many of the most internationally recognisable brands, have since February 2022 announced that they would cease or dial back their operations in Russia in protest of Moscow’s military aggression against Ukraine.

But two years after the invasion, many of these companies’ products are still widely sold in Russia, in many cases in violation of Western-led sanctions, a months-long investigation by Al Jazeera has found.

Aided by the Russian government’s legalisation of parallel imports, Russian businesses have established a network of alternative supply chains to import restricted goods through third countries.

The companies that make the products have been either unwilling or unable to clamp down on these unofficial distribution networks.

 

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