Return to Transcripts main page

CNN News Central

Trump Announces "Massive" Trade Agreement With Japan; Woman Involved In Affair With Dentist Testifies; Jacksonville authorities Investigating Video Showing Officers Punching Driver. Aired 7:30-8a ET

Aired July 23, 2025 - 07:30   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.

[07:30:00]

MATT EGAN, CNN SENIOR REPORTER: Now just to remind you of where we are when it comes to U.S. tariffs on Japan, back in early April the president threatened and actually briefly imposed a 24 percent tariff on Japan, one of America's closest allies. And in just over a week, tariffs from the U.S. on Japan were set to go up to 25 percent. This deal, again, says 15 percent. So better than the worst-case that a lot of people have been worried about, but also higher than tariffs, of course, had been before the president took office.

Now, Japan is a major U.S. trading partner. It's the fifth-biggest source of imports into the United States. Last year alone the U.S. imported almost $150 billion of goods from Japan.

Now as far as the market reaction, we looked at U.S. stock futures moving higher -- not dramatically higher but I should note the Dow is just a few hundred points away from its first all-time high since December.

We're seeing a more emphatic reaction from Japanese markets. The NIKKEI spiking more than three percent, and auto stocks -- Japanese auto stocks that trade in the U.S. -- Toyota, Honda -- moving dramatically higher. More than 10 percent higher for Toyota and Honda apiece, and that's because again, there's possibly a competitive advantage here, right? Autos that are being imported from Japan face that 15 percent tariff. They avoid the 25 percent tariff.

But I should just note that once group that does not seem happy about his is the Detroit automakers.

BERMAN: Hmm.

EGAN: Reuters is quoting a trade group that represents GM, Ford, and Chrysler-owner Stellantis, and they're saying that any trade deal that charges a lower tariff for Japanese imports with very little U.S. content than what's being charged on North American imports would be a bad deal for U.S. industry and for U.S. autoworkers.

BERMAN: That's really interesting. So 15 percent is quite high but it's lower than the 25 percent that they were charging Japan, and it's lower than the 25 percent or so on parts and things coming from Canada and Mexico, and so-called American-made cars.

EGAN: Yes, absolutely. I mean, everything has become so kind of turned upside down in the last few months during this trade war that we've kind of become numb to some of these numbers. But now it's all about how tariffs relate versus other countries. And again, the thinking right now among investors is that Japan could get a bit of a competitive advantage here.

BERMAN: Wow, OK.

Matt Egan, thank you for explaining that so well.

EGAN: Thanks, John.

BERMAN: An angle I hadn't thought of yet. Appreciate it -- Kate.

KATE BOLDUAN, CNN ANCHOR: It is really interesting how interconnected and new and different ways this trade war is now becoming.

Let's discuss this. Joining us right now is Republican strategist Melik Abdul, and CNN political commentator Paul Begala. Gentlemen, it's good to see you.

Let's start on this and then you know exactly where we have to go. The saga that only Washington cannot give up for sure.

Paul, you've got this trade agreement with Japan. Trump calls it massive. Japan seems happy about it. Markets are floating near record highs despite all of this tariff uncertainty.

Yes, GM says it's taking a hit. Yes, U.S. automakers seem to not be happy. But is Trump's approach to trade becoming a political win that Democrats didn't expect?

PAUL BEGALA, CNN POLITICAL COMMENTATOR, DEMOCRATIC STRATEGIST (via Webex by Cisco): No way. It is not a political win to raise taxes on the middle class to hurt the American auto industry and to help the Japanese auto industry.

Fifteen percent tax on any Toyota Camry you want to buy -- 15 percent. That's not -- no middle-class American wants to do that. Meanwhile, Mr. Trump has just signed the biggest tax cut in history for the rich. So tax cuts for the rich, tax increases for the middle class. Democrats can run on that.

BOLDUAN: It is interesting.

I mean, Melik, how does -- how do Republicans respond to that because what Paul is saying in terms of the tariff rates and the fact that this trade war even began, it was only started by Donald Trump?

MELIK ABDUL, REPUBLICAN STRATEGIST: Well, thank you so much for having me.

I think Republicans should respond to it based on the facts. And if you look at the facts of what's happening here and what happened earlier on there was a lot of consternation, a lot of noise being created around tariffs because it's something that Presidents of the United States haven't had as far as their economic agenda. Donald Trump has.

And all of the gloom and doom that was predicted as far as the tariffs are concerned, they have not been realized. So I think that you've seen what the markets are saying. You have the great numbers that you just were talking about here. Until people actually feel the impact of whatever this gloom and doom scenario is, that's when it will probably hurt Donald Trump. But at this point Donald Trump's tariffs -- tariff policy seems to be working, and I think it's very difficult for Democrats to actually give him credit for that.

Talk about --

BOLDUAN: Yeah.

ABDUL: -- what the facts are, and the facts are it's working.

BOLDUAN: The pain hasn't been -- you said the pain hasn't been realized yet and the timing of when that's really going to start hitting consumers could be a real problem depending on what it is and how close you get to a midterm election.

[07:35:00]

Paul, the president's take now on the ongoing Epstein saga is it's sort of a witch hunt is what he said yesterday. And then the president is -- the way I kind of talked about it this morning is like took it -- distract and deflect to a new level.

And then he turned to accusing President Obama of treason. I want to play this.

(BEGIN VIDEO CLIP)

DONALD TRUMP, (R) PRESIDENT OF THE UNITED STATES: One chart that you should be talking about is they caught President Obama absolutely called (Pete Hegseth). After what they did to me, and whether it's right or wrong, it's time to go after people.

(END VIDEO CLIP)

BOLDUAN: So this prompted a rare statement coming from Obama's office actually, saying "These bizarre allegations are ridiculous and a weak attempt at distraction."

You see this and you see what, Paul?

BEGALA: Yeah. It's a pathetic attempt at distracting.

Donald Trump took over after Barack Obama. If he walked in the door and thought Barack Obama had committed treason, he had four years to investigate and prosecute.

By the way, this was investigated by the Republican-controlled, at the time, Senate Intelligence Committee. They reported this and I'm quoting their report. "Putin and the Russian government demonstrated a preference for candidate Trump. Putin approved and directed interference in the 2016 election." That's the Republican-controlled Senate Intelligence Committee. The number-two Republican on that committee, Marco Rubio.

So, you know, Mr. Trump --

BOLDUAN: Paul, you're almost giving -- you're almost giving --

BEGALA: Kate, when you -- when --

BOLDUAN: -- the accusation too much time because it's truly --

BEGALA: That's a good point.

BOLDUAN: -- just a description (PH).

BEGALA: No, that's a very good point. It is because here's the thing.

When you go to Austin, the greatest university in the world -- UT Austin -- over the main building -- the main door of the main building and the tower, it's etched in stone these words: "Ye shall know the truth and the truth shall set you free." That's from John, chapter eight, verse 32.

It seems to me Mr. Trump is going to etch over his presidential library one day "Ye shall know the truth and the truth shall scare the poop out of you."

This guy is -- he is panic-stricken about this Epstein stuff. He can't handle the truth.

BOLDUAN: I can't handle you. That is definitely confirmed.

And the fact that Melik kept a straight face is truly impressive -- truly impressive, Melik.

On this though, the president wants to turn the page, Melik. The Republicans in Congress -- they are not letting him. They refuse -- they -- I mean, there are moves -- there is a development every day to show another example of how Republicans are not ready to move on. They want more information.

And the problem is, at its core, the administration's handling of questions and calls for more transparency to this point.

Mike Johnson sent the House home a day early for August recess because essentially, he told Republicans behind closed doors he needed to give the White House time to deal with the Epstein issue. But you've lawmakers like Marjorie Taylor Greene and Eric Burleson who are saying that their offices are being flooded with calls.

Would you put money on this is going to go away by September, Melik?

ABDUL: I don't -- I'm not sure if it will actually go away by September.

But I think that Mike Johnson is doing exactly what he needs to do and he's following a lot of what the president wants here. The president does want to move on and part of the problem that the president has is that yes, he's calling people treasonists and all of these things. This is something that the president has done I think probably going back to 2018.

But the real problem here is that for Republicans and many people like me, we watch what the media did when it came to the Russian collusion narrative, and then it wasn't just Russia was interfering in the election. There were accusations that Donald Trump colluded with Russia to actually steal the 2016 election, and that simply was not true.

So for all of the interest that Democrats now have with the Epstein files, they didn't do in when Donald Trump's first term. They didn't do it in Joe Biden's term. And so now everyone is concerned about the Epstein files based on what seems to be a note -- a birthday note to Donald Trump that was supposedly written two months before Vanity Fair ran a profile of Jeffrey Epstein titled "The Talented Mr. Epstein."

Why is it that no one is interested in talking about who was connected to Epstein during that time? And it was Bill Clinton Kevin Spacey mentioned in that article as the people who were flying around on Epstein's plane. There is not such interest from the media on that. So that's why Donald Trump is pushing back.

And many Republicans or maybe --

BOLDUAN: Melik, this is --

ABDUL: -- or maybe 11.

BOLDUAN: There is 100 percent media attention on all of it I think you must agree at this point considering how much attention official Washington is putting into this.

You have the justice department now reaching out to Ghislaine Maxwell, asking her to come up with a deal. You have people -- you have members of Congress saying there need to be congressional hearings -- some even saying the attorney general of the United States needs to come testify. This isn't --definitely not a media fabrication for sure, and it -- I would probably offer, at least for today, it's definitely not going away.

Melik Abdul, Paul Begala -- gentlemen, thank you.

[07:40:00]

BERMAN: All right. This morning tributes are pouring in for legendary rocker and reality star Ozzy Osbourne who died at the age of 76. Very popular here on CNN NEWS CENTRAL. Known fondly as the "Prince of Darkness" Osbourne was the frontman of Black Sabbath and had a hit solo career.

I spoke with Henry Rollins, a fellow rocker and friend, about the first time he met Ozzy.

(BEGIN VIDEO CLIP)

HENRY ROLLINS, FRIEND OF OZZY OSBOURNE: And Ozzy comes barreling into the dressing room area and says, "Which one of you guys is Henry?" I am. And he's like my name is Ozzy Osbourne, man. Welcome to the tour. Play the lousy woman (PH). Blow it up if you want to. Have a great time. And he just kind of leaves in a trail of cigar smoke.

I was like wow, that was cool. I'll remember that for the rest of my life.

(END VIDEO CLIP)

BERMAN: And, of course, Harry Rollins did remember it for the rest of his life.

Osbourne gained a whole new generation of fans in the early 2000s with his Emmy Award-winning MTV reality show "THE OSBOURNES."

His final concert was less than three weeks ago, reuniting with Black Sabbath for the first time in two decades in his hometown of Birmingham, England.

His bandmate and bassist Geezer Butler posted on Instagram, "Goodbye, dear friend. We had some great fun."

So, "Just for the record, I will never drug you." A stunning text revealed during testimony from a woman who had an affair with the dentist accused of killing his wife.

And then Jacksonville authorities investigating after a video shows officers punching a driver. The sheriff says the use of force was ugly but not unlawful.

(COMMERCIAL)

[07:45:55]

BERMAN: All right. New this morning a Russian delegation is on the way to Turkey for a new round of peace talks with Ukraine. The Kremlin says it does not expect the discussions will be easy. Russia has been pounding Ukraine night after night with missiles and drones.

With us now CNN military analyst and retired Air Force Colonel Cedric Leighton. And CNN political and global affairs commentator Sabrina Singh.

Colonel, so these negotiations set to begin anew, yet Russia basically goes into this saying don't expect anything from this.

So what's the point? What can Ukraine do? What should the expectations be?

COL. CEDRIC LEIGHTON, CNN MILITARY ANALYST, U.S. AIR FORCE (RET.) (via Webex by Cisco): Well, one of the things, John -- good morning -- is that it's really going to be part of Ukraine's playbook to say hey, we're willing to talk peace. We're willing to do the kinds of things that are necessary in order to achieve some kind of a ceasefire and then eventually a peace that will last for awhile in Ukraine.

So the Ukrainians are looking at this as an opportunity perhaps to get the Russians to negotiate more seriously to avoid their maximalist position.

On the other hand they're also saying to President Trump, here in the United States, take a look and see what we're doing. We are the ones that are looking for a peaceful solution to this, not the Russians. And that, I think is the main point for the Ukrainians to do this.

BERMAN: And, of course, the administration and President Trump did issue this 50-day deadline, what, about eight or nine days ago where he said if Russia doesn't show real action here then he would push for these secondary tariffs.

Sabrina, you know, it's interesting. Overnight we saw something that we really haven't seen inside Ukraine since this conflict began, which is protests against the Ukrainian government by Ukrainians. People took to the streets there. What they were upset about is the Zelenskyy-backed Parliament basically doing away with anti-corruption measures. And you see people on the streets upset about this.

And, you know -- and this is what the Ukrainian government is carrying into these negotiations with Russia.

How solid do you think Zelenskyy is at this point?

SABRINA SINGH, CNN POLITICAL AND GLOBAL AFFAIRS COMMENTATOR, FORMER DEPUTY PENTAGON PRESS SECRETARY: Well, John, as you absolutely mentioned, there's a political discourse taking place within Ukraine. And as you said, we haven't seen protests like this happening within Ukraine due to what's happening within the Parliament. Ultimately this is going to have to be conversations and legislation that is being worked out domestically.

I think Ukraine, of course, going into these talks while this is a backdrop, has shown very seriously and in good faith that they are willing to negotiate with the Russians. That they are willing to come to a ceasefire. Even when the United States has turned off sending military equipment or sharing intelligence, the Ukrainians -- time and time again at every ceasefire proposal that this administration has put forward -- has shown good faith in accepting those terms.

And so even though there are protests happening in Ukraine, the reality is that President Zelenskyy and the Ukrainian people are in the fight of their lives and every single day matters. And they have shown that they are willing to negotiate with Russia to bring a close to this war.

Ultimately, what we're seeing here is Putin is not serious about that and is willing to continue to send his soldiers and North Korean troops into meat-grinder that is leading to kind of an everlasting war. BERMAN: Sabrina, on the subject of negotiations, the U.S. negotiator for the Middle East --

SINGH: Yeah.

BERMAN: -- Steve Witkoff is headed to talks about Gaza right now as there is really worldwide condemnation of the situation inside Gaza when it comes to food and starvation.

The U.N. Secretary General Antonio Guterres said starvation is knocking on every door around the world. We see an utter disregard for and an outright violation of international law.

As Witkoff heads there one wonders how much motivation the U.S. has to try to alleviate some of this hardship inside Gaza and how much influence it has on Israel this morning, Sabrina.

[07:50:00]

SINGH: In terms of influence and what this administration is pushing for -- I mean, as you'll remember on the campaign trail, Donald Trump promised that he would bring an end to this war on day one. So there's a lot of political chit here on this administration's shoulders that they want to see an end to this war.

But what is happening in Gaza is absolutely devastating. I mean, you're seeing the images on your screen right now. And we're seeing some of the deadliest violence that's also happening in Gaza since the beginning of this war.

I think what Steve Witkoff really needs to do as he heads to the region is push for Israel to open up its crossings and allow more humanitarian aid and provide safe passage for that humanitarian aid to get to the people that need it most, particularly in the north. Because in the south --

BERMAN: Yeah.

SINGH: -- you have distribution sites, but not in the north.

BERMAN: You know, Cedric, as we look at those pictures right now Israel says it still wants its remaining hostages out of Gaza. But is there a way militarily that Israel could improve the situation for the Palestinians in Gaza?

LEIGHTON: Well, in many respects, yes. One of the things, John, that they've done is they've moved tanks into Deir al-Balah for the very first time. So they're moving into areas that they hadn't really controlled militarily during this phase of the conflict.

But when it comes to actually alleviating the problems of the Palestinians, absolutely, and they have an obligation under international law. The Israelis have an obligation to make sure that the Palestinians get the food that they need in order to survive. So this is a critical thing. And the television images coming from Gaza should be an impetus for everyone to actually get to the peace table and to actually achieve some kind of a ceasefire at this point.

BERMAN: Colonel Cedric Leighton, Sabrina Singh, thanks so much for being with us this morning -- Kate.

BOLDUAN: There are new details on the death of actor Malcolm-Jamal Warner. An official autopsy has determined that his drowning death was accidental. Warner drowned while vacationing in Costa Rica in an area known for some strong rip currents.

A volunteer lifeguard and two doctors tried to save his life.

(BEGIN VIDEO CLIP)

MIKE GEIST, VICE PRESIDENT, CARIBBEAN GUARD LIFEGUARD GROUP: And he was able to quickly remove him from the water and he and -- there were two doctors that were also here just on vacation. And between the three of them they were able to provide -- perform CPR for more than 30 minutes --probably more like 45 minutes, and unfortunately it was not successful.

(END VIDEO CLIP)

BOLDUAN: Warner, of course, best known for his role as Theo Huxtable on "THE COSBY SHOW." He was just 54 years old.

And there is a -- was a midair scare on board a Delta flight. The flight was going from Atlanta to Arizona. And jumping into action a grandmother who is also an Army veteran helping to stop a passenger who was trying to storm the cockpit of the plane.

(BEGIN VIDEO CLIP)

UNIDENTIFIED FEMALE: She didn't want to be on the plane no more. She said God told her to do it. She had a calling. And I'm just like wait a minute. I don't know nothing about this conversation you got going on but not today. I just -- nobody else was doing nothing so I just literally knew I had to do something. I got to make it home to my kids -- my children, my grandchildren.

(END VIDEO CLIP)

BOLDUAN: I think I may be in love with that woman. Not today, not today.

Delta said the flight then turned back around to Atlanta. Unclear what happened with the unruly passenger after that, but the airline released a statement thanking customers and crew for getting things under control -- John.

BERMAN: Right. I'm going to start saying that to you -- not today.

BOLDUAN: There's also that great line, like, not today, Satan. Not today. BERMAN: Not today. All right.

This morning testimony resumes in the murder trial against a dentist accused of killing his wife by poisoning her protein shake.

We heard from the woman that prosecutors say was having an affair with James Craig while his wife was in and out of the hospital. Dr. Karin Cain told jurors she met Craig while attending a dental convention in Las Vegas and the pair began an affair that would go on until his arrest.

CNN's Whitney Wild is following the case for us. Whitney, bring us to speed. Where are we as they open testimony again this morning?

WHITNEY WILD, CNN LAW ENFORCEMENT CORRESPONDENT: John, she was one of the most crucial witnesses here because she's really describing essential motivation that the prosecutors believe contributed to James Craig's murder of his wife, Angela Craig.

As you know and as we have reported extensively, prosecutors say that James Craig poisoned his wife Angela Craig over the course of 10 days. She was hospitalized. And they say that he did it because he wanted to carry out this affair with a woman named Karin Cain. She testified yesterday in explicit detail, John.

Let me tell you a little bit about Karin Cain. She is an orthodontist from a place called Marble Falls, Texas. That is a small town about an hour outside of Austin. She is divorced. She had been separated from her husband for a few years at the point where she had met James Craig. She has two adult children.

And she said at the time she met him she wasn't looking for anything but she -- he struck up conversation with her at this dental convention at the end of February in 2023. And she said immediately he made her feel warm. He made her feel seen. He drew her in quickly.

[07:55:08]

And in a matter of a few days at this dental conference they spent quite a bit of time together. A few days after they met, he declared his love for her. And this emotional affair that had some physical element really ramped up quickly. And again, prosecutors are saying that was the central motivation here.

So let me just walk you through the timeline again. They met in February of 2023. A few days later that's when prosecutors say James Craig began this plot to murder his wife.

Over this time, John, James Craig and Karin Cain sent thousands of text messages to each other and James Craig had told her that he was getting divorced. He had created this very elaborate lie that he was getting divorced. He was living in another apartment. It was really tough, but he was a good dad.

I mean, this was so detailed, John, that at one point she describes actually being on the phone with him while he was doing the bedtime routine and prayers with his kids. She said that he was a loving father.

But what she learned when she went to Denver to visit him on March 16 while Angela was in the hospital -- they went on two dates while she was in the hospital. She learned at the end of that trip that it was all a lie because she went on two dates with him in Denver.

Prosecutors began investigating this case. Police knocked on her hotel door March 19 at 2:00 in the morning, and that's when her entire perception of James Craig shattered. The investigators told her that he was being arrested for the murder of his wife, and that's when she learned everything that he had told her was a lie. She testified to that yesterday. It was quite compelling witness testimony and really central to the case, John.

BERMAN: A tangled web, to be sure.

All right, Whitney Wild. Thanks so much -- Kate.

BOLDUAN: The sheriff's office in Jacksonville, Florida is speaking out after a now-viral video emerged showing a driver being punched multiple times by police during a traffic stop. This happened in February.

Twenty-two-year-old William McNeil Jr. was pulled over by police. In officer bodycam footage you can see him there. He's questioning the officer for the reason of the stop. He was pulled over for not having his headlights on even though it -- yes, it was daylight. Officers citing a law that requires drivers in Florida to have headlights on in rain, fog or smoke.

McNeil then asked to speak to a supervisor, refusing to get out of his car, and then it escalated. The video you are about to see was recorded by Mr. McNeil himself from inside the car -- and a warning it is disturbing.

(BEGIN VIDEO CLIP)

WILLIAM MCNEIL JR., PULLED OVER BY JACKSONVILLE SHERIFF'S OFFICERS: Can you call your supervisor?

OFFICER: All right, go for it. (Officer punches in driver's window).

OFFICER: Exit the vehicle now! Exit the vehicle! Show me your hands!

MCNEIL: Here (holds up hands).

(END VIDEO CLIP)

BOLDUAN: The video -- we will watch this continue. The video -- this was released by McNeil's attorneys. He was eventually pulled out of the car, taken to the ground, and punched. Again, you can see the takedown down.

The arresting officer has been relieved of duty while an internal review is being conducted by the sheriff's department.

The Jacksonville sheriff says he cannot defend the officer's action, but he also is saying this.

(BEGIN VIDEO CLIP)

SHERIFF T.K. WATERS, JACKSONVILLE, FLORIDA SHERIFF'S OFFICE: Yes, there absolutely was force used by the arresting officers. And yes, that force is ugly. But as I've said many times before the reality is that all force, all violence is ugly. And just because force is ugly does not mean it's unlawful or contrary to policy.

As the leader of this agency I will not remain silent on important facts and information that are buried to advance an anti-police agenda.

(END VIDEO CLIP)

BOLDUAN: All right. Joining us now is civil rights attorney Benjamin Crump. He is one of the attorneys representing William McNeil Jr. Mr. Crump, thank you for being here.

The sheriff, right there -- you heard him say just because force is ugly doesn't mean that it is unlawful.

Do you think they broke the law -- that officer?

BENJAMIN CRUMP, CIVIL RIGHTS ATTORNEY, ATTORNEY FOR WILLIAM MCNEIL JR. (via Webex by Cisco): Kate Bolduan, people can believe their eyes. Do not listen to justification. Believe your eyes. Believe your ears with this. Ocular proof -- there's audio proof.

And the sheriff cannot justify this. He cannot condone this. You must condemn this. I mean, there is no way you can say this reflects your policies, your training, your values. This is very disturbing on every level.

BOLDUAN: The sheriff said, as I played there, he needed to speak out because facts were being buried to advance an anti-police agenda.

How do you respond to that?

CRUMP: Kate, what is being anti-police when an American citizen asks for their constitutional rights to be bestowed upon them during a police detainment? All William McNeil did was say, "What did you stop me for?" And then he asked for a supervisor.

He literally was having a 21st century Rosa Parks moment where an African American asked that they be respected as citizens with all the constitutional guarantees that are promised to all American citizens. That's what this was.

[08:00:00]