President Trump, Deal Maker? Not So Fast

His 17 months in office have in fact been an exercise in futility for the art-of-the-deal president.

  1. No deal on immigration.
  2. No deal on health care.
  3. No deal on gun control.
  4. No deal on spending cuts.
  5. No deal on Nafta.
  6. No deal on China trade.
  7. No deal on steel and aluminum imports.
  8. No deal on Middle East peace.
  9. No deal on the Qatar blockade.
  10. No deal on Syria.
  11. No deal on Russia.
  12. No deal on Iran.
  13. No deal on climate change.
  14. No deal on Pacific trade.

.. Even routine deals sometimes elude Mr. Trump, or he chooses to blow them up.

.. “Trump is an anarchist,” said Jack O’Donnell, a former president of the Trump Plaza Hotel and Casino, who became a sharp critic. “It was his approach in business, it is his approach as president. It does not take good negotiating skills to cause chaos. Will this ever lead to concessions? Maybe, but concessions to what? Not anything that resembles a deal. I just do not see him getting much done.”

.. I don’t think it’s that counterintuitive to say that playing hardball will lead to better trade deals eventually,” said Andy Surabian, a Republican strategist and former aide to Mr. Trump.

.. We’ll see what the final outcome is, but it’s already a success just to get them to the table.”

.. the major tax-cutting package that passed late last year. But even that was negotiated mainly by Republican lawmakers, who said Mr. Trump did not seem engaged in the details.

.. And as legislative challenges go, handing out tax cuts without paying for them is not exactly the hardest thing that politicians do.

.. In effect, the agreement with Mr. Kim is like a deal to sell parts of Trump Tower without settling on a price, date, inspection or financing. It is not nearly as advanced as agreements that President Bill Clinton and Mr. Bush made with North Korea, both of which ultimately collapsed.

.. But no modern president has sold himself on the promise of negotiating skills more than Mr. Trump has. He regularly boasts that deals will be “easy” and “quick” and the best ever.

.. He has pulled out of Mr. Obama’s Iran nuclear deal, Paris climate accord and Trans-Pacific Partnership, but promises to negotiate better versions of those deal have gone nowhere.

.. Mr. Trump set his sights on what he called “the ultimate deal,” meaning peace between the Israelis and Palestinians. He said it was “frankly maybe not as difficult as people have thought.” A year later, his team is only now preparing to release a plan.

.. “What the president seemingly fails to understand is that in foreign policy and in trade policy — unlike in real estate transactions — the parties are all repeat players,” 

.. “The country you insult or seek undue advantage over today you will have to work with again tomorrow.”

.. Mr. Trump’s approach so far has been to make expansive demands and apply as much pressure as he can. He argues that crushing sanctions he imposed on North Korea forced Mr. Kim to meet. He now hopes to extract concessions from China, Canada and Europe after slapping punishing tariffs on them.

.. “Trump is a bilateral player, in part because that’s what he is used to from his building days, but also because he keeps himself the king, the decider, the strongman,” said Wendy Sherman, who was Mr. Obama’s lead negotiator on the Iran nuclear deal. “In the case of North Korea, however, he wouldn’t have gotten this far — which isn’t all that far — without the South Koreans or the Chinese.”

..  When he gave up on immigration on Friday, he blamed it on Senate Democrats, even though the immediate impasse was among House Republicans who do not need the other party to pass a bill.

.. “Republicans should stop wasting their time on Immigration until after we elect more Senators and Congressmen/women in November,”

.. It was in effect an acknowledgment by Mr. Trump that he cannot reach across the aisle and can only govern with Republicans.

.. the challenge on immigration is that the president has to grapple not just with Democrats but also with Republicans who do not share his philosophy on the issue.

.. Mr. O’Donnell, the former casino president, said Mr. Trump has always oversold his deal-making skills. The casino he managed, Mr. O’Donnell noted, brought in $100 million a year yet still went bankrupt.

.. “The fact is, Trump casinos should have been one of the greatest success stories in the history of casino gambling, but bad deal making caused him to lose all three properties,” he said.

Why Hackers Aren’t Afraid of Us

a group of finance ministers to simulate a similar attack that shut down financial markets and froze global transactions. By several accounts, it quickly spun into farce: No one wanted to admit how much damage could be done or how helpless they would be to deter it.

.. something has changed since 2008, when the United States and Israel mounted the most sophisticated cyberattack in history on Iran’s nuclear program, temporarily crippling it in hopes of forcing Iran to the bargaining table.

.. the sophistication of cyberweapons has so improved that many of the attacks that once shocked us — like the denial-of-service attacks Iran mounted against Bank of America, JPMorgan Chase and other banks in 2012, or North Korea’s hacking of Sony in 2014 — look like tiny skirmishes compared with the daily cybercombat of today.

.. Yet in this arms race, the United States has often been its own worst enemy. Because our government has been so incompetent at protecting its highly sophisticated cyberweapons, those weapons have been stolen out of the electronic vaults of the National Security Agency and the C.I.A. and shot right back at us.

.. the WannaCry ransomware attack by North Korea last year, which used some of the sophisticated tools the N.S.A. had developed.

.. Nuclear weapons are still the ultimate currency of national power, as the meeting between President Trump and Kim Jong-un in Singapore last week showed. But they cannot be used without causing the end of human civilization — or at least of a regime. So it’s no surprise that hackers working for North Korea, Iran’s mullahs, Vladimir V. Putin in Russia and the People’s Liberation Army of China have all learned that the great advantage of cyberweapons is that they are the opposite of a nuke: hard to detect, easy to deny and increasingly finely targeted. And therefore, extraordinarily hard to deter.

.. Cyberattacks have long been hard to stop because determining where they come from takes time — and sometimes the mystery is never solved.

.. Today cyberattackers believe there is almost no risk that the United States or any other power would retaliate with significant sanctions, much less bombs, troops or even a counter cyberattack.

.. “They don’t fear us,”

.. At the State Department, the eviction took weeks, shutting down systems during negotiations on the Iran nuclear deal. The hackers were even bolder at the White House. Instead of disappearing when they were exposed, they fought back, looking to install new malware as soon as the old versions were neutralized.

.. It appears the attackers just wanted to prove they could go, and stay, anywhere in the American government’s network.

.. the United States never called out the Russians for what they were doing.

.. If Mr. Putin thought there was no price to be paid for invading White House systems, why wouldn’t he attack the Democratic National Committee?

.. By the summer of 2016, some Obama administration officials, waking to the threat, proposed counterstrikes that included exposing Mr. Putin’s hidden bank accounts and his ties to the oligarchs and cutting off Russia’s banking system. But the potential for escalation caused Mr. Obama and his top aides to reject the plan.

“It was an enormously satisfying response,” a senior American official told me later, “until we began to think about what it would do to the Europeans.”

Mr. Obama also understandably feared that anything the United States did might provoke Mr. Putin to tinker with election systems just enough to give credence to Donald Trump’s warning that the system was “rigged.”

.. Since the election, the American retaliation has included closing some Russian consulates and recreation centers and expelling spies — actions one Obama national security official called “the perfect 19th-century solution to a 21st-century problem.”

.. The wide-open vulnerabilities in America’s networks have essentially deterred the United States from credibly threatening retaliation against the Russians, the Chinese, the North Koreans and the Iranians.

.. One way to start is to make sure no new equipment goes on the market unless it meets basic security requirements. We won’t let cars on the road without airbags, so why do we do less with the systems that connect them to the internet?

.. Second, we must decide what networks we care most about defending — and make those priorities clear. Mr. Mattis’s threat to turn to nuclear weapons hardly seems credible — unless the cyberattack would create an existential threat to America. That requires an intensive public review of what is critical to our nation’s survival.

..President Trump forfeited the perfect opportunity when he decided against a commission to learn the larger lessons from the 2016 election.

.. the United States needs to end the reflexive secrecy surrounding its cyberoperations. We need to explain to the world why we have cyberweapons, what they are capable of and, most important, what we will not use them for.

..  it is in the nation’s interests to develop global norms clarifying that some targets are off limits: election systems, hospitals and emergency communications systems, and maybe even electric power grids and other civilian targets.

.. Microsoft’s president, Brad Smith, has proposed digital Geneva Conventions that begin to establish those norms, outside the structure of governments and treaties.

.. Intelligence agencies hate this idea: They want the most latitude possible for future operations in an uncertain world. But in any arms control negotiation, to create limits on others, you need to give up something.

 

 

Just the Fear of a Trade War Is Straining the Global Economy

The Trump administration portrays its confrontational stance as a means of forcing multinational companies to bring factory production back to American shores. Mr. Trump has described trade wars as “easy to win” while vowing to rebalance the United States’ trade deficits with major economies like China and Germany.

Mr. Trump’s offensive may yet prove to be a negotiating tactic that threatens economic pain to force deals, rather than a move to a full-blown trade war. Americans appear to be better insulated than most from the consequences of trade hostilities. As a large economy in relatively strong shape, the United States can find domestic buyers for its goods and services when export opportunities shrink.

.. Before most trade measures fully take effect, businesses are already grappling with the consequences — threats to their supplies, uncertainty over the terms of trade and gnawing fear about what comes next.

..  Christine Lagarde, warned this past week about trade conflicts. “It would be serious, not only if the United States took action, but especially if other countries were to retaliate, notably those who would be most affected, such as Canada, Europe and Germany.”
.. The Trump administration’s decision to reinstate sanctions on Iran has lifted oil prices, adding pressure to importers worldwide.
..  Europe’s economy is weakening, with Germany — the continent’s largest economy — especially vulnerable.
.. Across Europe, steel makers fret about an indirect consequence of Mr. Trump’s tariffs — cheap Chinese steel previously destined for the United States, now redirected to their continent.
.. Mr. Trump portrays trade hostilities as a necessary corrective to the United States’ trade deficits with other nations. But economists and business leaders note that many imports are components that are used to manufacture goods at American factories.
.. Electrolux, the Swedish manufacturer of household appliances, recently postponed plans to upgrade a stove factory in Tennessee, citing uncertainties created by the tariffs.
.. Under Nafta, Mexico has grown into the world’s largest importer of American apples. But sales are down because the price has gone up by nearly one-fifth in the past week alone.
.. Chinese pork producers have turned their sights to Brazil and Argentina, the only countries that now produce enough soybeans to offer a potential alternative to the American supply.