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One World with Zain Asher
CNN International: World Leaders React To Sweeping New U.S. Tariffs; China Announces 34 Percent Reciprocal Tariff On U.S. Goods; Trump's Trade War Rattles Markets And Global Economy. Aired 11a-12p ET
Aired April 04, 2025 - 11:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
[11:00:00]
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BIANNA GOLODRYGA, HOST, "ONE WORLD": Stocks tumbling again, China retaliates, and President Trump says to Beijing, "wrong move". One World
starts right now.
Stock markets tumble across the globe after President Trump's tariff shock. I'll speak with former U.S. Ambassador to Japan, Rahm Emanuel, for his
reaction. Plus, we'll look at how U.S. auto dealers and consumers are trying to deal with the fears of higher prices linked to Trump's tariffs.
And it's a huge weekend for college basketball. The Women's Final Four tips off tonight with Texas and defending champs South Carolina.
Hello, everyone. Live from New York, I'm Bianna Golodryga. Zain is off today. You are watching One World.
U.S. stock markets are deep in the red for a second day, as China makes a stand against Donald Trump's tariffs. The world's second largest economy
will now impose a 34 percent reciprocal levy on all U.S. imports. Now, this follows President Trump's sweeping tariffs on China and more than 180 other
U.S. trading partners. Despite global stocks plunging for the second day in a row, the President posted on social media that he will never change his
policies. He adds, this is a great time to get rich. The one bright spot this week, the U.S. economy added more jobs than expected, and the
unemployment rate held steady.
So, let's take a look at the impact on stocks around the world. U.S. markets are seeing their worst performance since the pandemic, and European
markets are closing in about 30 minutes, also down, and Asia hopes there will be good news to counter its falling stocks.
So, let's get some perspective on the numbers. We have Anna Stewart in London. We begin with Alayna Treene in Washington. And Alayna, not usual to
talk markets with you. The President is in Florida. You're there in Washington. But, as the market continues to tank, as noted, the President
is telling investors that his policies will never change, and that this is actually a time to get richer than ever before. So, there doesn't seem to
be a real sense of concern right now.
ALAYNA TREENE, CNN WHITE HOUSE REPORTER: That's exactly right, Bianna, and we even heard the President yesterday, when asked about this downward
spiral in the stock market. He said he predicts that the economy will eventually boom. Really, we're seeing his response, particularly when you
look at the markets, the very different this term than it was back during his first administration when I remind you that he'd often adjust policy
based on how it was performing in the market. That is not the case with this.
And just to give you some insight into how the President has been viewing this. We have some reporting that a couple days ago, when he was huddled
with his top economic advisors working on the details of this tariff plan, I should note that they worked on it up until the 11th hour, really, the
President communicated that he wanted to make sure his tariff plan would not be viewed as soft or weak, and really, we've seen that message be
reaffirmed by top cabinet officials and other economic advisors who really did a tour on the airwaves yesterday, saying and trying to reiterate that
the President is firm in this policy.
The goal here, regardless of how we are seeing markets respond, different people or different countries respond with their own retaliatory tariffs,
really, the goal is to try and break the way that the global economy has been operating for the last 70 or so years, and reshape it in a way that
the President sees fit.
Now, we are already kind of seeing that global realignment. Not only are the stock markets being severely impacted by this, but we're also seeing
Americans across the United States, their 401(k)s are dwindling allies to the United States, but foes as well are all reconsidering their
relationships with the United States based on this move. So, we are seeing that global realignment kind of take shape now.
One thing that I think, of course, the big question is, where does this go from here? And we've heard mixed messaging from the President on this and
some of his advisors. On one hand, you have that Truth Social post that he had sent out this morning where he said, my policies will never change.
This is a great time to get rich, richer than ever before, kind of hinting at how he is firm in his commitment to this plan. But, then he also said
that he welcomes other countries who are affected by this, to call him and that he is open to negotiation. So, of course, that's creating added
uncertainty here.
But, I really do think the big picture is that this President and this administration are reiterating over and over again that they believe in
these tariffs, that he has no plans of backing off, and that really he does want to see the global economy operate in a different way.
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They recognize that is going to take time. I think people who think there could be some quick off-ramp here are wrong, and their hopes won't really
be fulfilled anytime soon. They are committed to sticking with this to see how this goes. Of course, the question is, will there be a breaking point
in the future? That's still to be seen. Bianna.
GOLODRYGA: Yeah. No plans to change his policy, but then, at the same time, saying he is willing to talk to other leaders in this, as the whole world
is scrambling before these reciprocal tariffs go into effect next week.
Alayna Treene, thank you so much for joining us.
Let's get more with Anna Stewart in London. We see markets around the world, there in Europe as well, continuing to take a beating following this
unexpectedly high tariff from the President of the United States, also confusing tariffs at that. And it's interesting to note the response we've
seen from some of our allies in the EU. Most notably, you have President Macron suggesting that European countries now pause their investments in
the United States in response. What else are we hearing?
ANNA STEWART, CNN CORRESPONDENT: And that's really just the beginning. We expect to get much more of a sort of retaliatory response potentially next
week, although I would say the EU is pretty slow when it comes to being able to respond, given it has to represent 27 member states. We're
expecting the response next week to be a retaliation against the, can you remember this, the steel and aluminum tariffs of 25 percent. That was in
mid-March. Since then, there have also been 25 percent tariffs on cars. So, they need to consider a retaliation to that. And now, 20 percent tariffs
across absolutely everything. So, there is a lot for Europe to look at.
You're looking at markets there, down four percent, five percent. FTSE, maybe in Italy, leading the losses. So many businesses really reliant on
the USA. The U.S. is the EU's biggest market by a really long way.
So, currently, we're seeing very strong words from some politicians, particularly in Germany and France. You mentioned President Macron. Next
week, I think we'll start to see some real numbers on some of the tariffs that potentially will be flying back to the EU and of course, then we'll
expect another response from President Trump.
GOLODRYGA: All right. Anna Stewart, thank you so much.
And as Anna mentioned there, the Trump administration's sweeping tariffs are sparking fury among many world leaders. Here are some of the latest
reactions.
(BEGIN VIDEO CLIP)
MARK CARNEY, CANADIAN PRIME MINISTER: They're all unjustified, unwarranted, and in our judgment, misguided.
OLAF SCHOLZ, GERMAN CHANCELLOR (Interpreted): I believe the latest decision on tariffs by the U.S. President are fundamentally wrong.
EMMANUEL MACRON, FRENCH PRESIDENT (Interpreted): It's a very bad idea, because we have a strength. It's a market of 450 million residents. That's
Europe.
SHIGERU ISHIBA, JAPANESE PRIME MINISTER (Interpreted): We are extremely disappointed and regret that such measures have been implemented.
LUIZ INACIO LULA DA SILVA, BRAZILIAN PRESIDENT (Interpreted): We will take all appropriate measures to defend our companies and our Brazilian workers.
(END VIDEO CLIP)
GOLODRYGA: One of Donald Trump's goals in all of this is to get other countries to reduce their tariffs on U.S. goods. And just moments ago, we
got word that Cambodia has agreed to cut tariffs on some U.S. products from 35 percent to just five percent. But, other nations are responding with
defiance. As we mentioned, China has slapped a 34 percent reciprocal tariff on all U.S. goods imported into China.
With more on that, here is CNN's Marc Stewart.
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MARC STEWART, CNN CORRESPONDENT: If this is what a trade war looks like, this is a very big hit from China. Two important points to make. Number
one, even though these tariffs are broad and across the board, this will hurt American farmers and the agriculture industry. China imports a lot of
soybeans from the U.S. It has often been a top consumer. These additional tariffs will raise the cost significantly. In addition, we're seeing
restrictions on American access to rare minerals, which are often used in household electronics.
And the other point to make in all of this is the timing. This is coming late on a Friday night in Beijing, the start of an important holiday
weekend. For Beijing to do it at this time, really says a lot. Will this latest move by China draw Xi Jinping and President Trump to the negotiating
table? It's not very clear. But, as one analyst brought out the point yesterday, the question is, who will fold first? We're just going to have
to see.
Marc Stewart, CNN, Beijing.
(END VIDEOTAPE)
GOLODRYGA: An extremely dangerous game to be playing right now.
Well, with some additional perspective on how the Trump tariffs are being seen overseas, we welcome CNN Senior Political and Global Affairs
Commentator, Rahm Emanuel. He is also a former U.S. Ambassador to Japan. Rahm, welcome to the program. So, as we know, despite the market --
RAHM EMANUEL, FMR. U.S. AMBASSADOR TO JAPAN, & CNN SENIOR POLITICAL AND GLOBAL AFFAIRS COMMENTATOR: Thank you.
GOLODRYGA: -- sell-off, despite an increased risk of a recession, now in response, President Trump apparently digging his heels in, and the
administration continuing to say, look, this is all temporary. These are growing pains for the restructuring of the U.S. economy as a whole.
Commerce Secretary Lutnick saying, just give it six months' time.
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Everything is going to get better. We're going to have more onshoring, better jobs, higher pay for Americans here. Your response to that is what?
EMANUEL: Well, nobody -- look, first of all, full stop. This is the largest tax increase ever on the American public. That is what it is, and the
American public understands it far greater than both President Trump and his Commerce Secretary. That is why they are reacting that way, not just
the markets, the American people.
And second, it's not only a big -- the largest tax increase in the American history. It is also going to lead to greater inflation, the exact opposite,
and it's a bait and switch on the American public, because Donald Trump said he was going to cut inflation.
And third, let's look at the facts. One other piece of evidence why this will not lead to a manufacturing renaissance, in Europe, Secretary of State
Rubio was saying, you have to buy U.S. defense equipment, and Europe saying, no. We're going to make our own. We're not going to rely on you.
And so, the manufacturing jobs in the defense industries in the United States that were premier in the world are already losing orders, and orders
are being put on hold or they're going to competitors, because nobody trusts us. You don't need to wait six months. We already have verdicts that
are issued in.
And lastly, just over in Iowa, in Galesburg, Whirlpool let off 651 workers because spending for household appliances like refrigerators, dishwashers,
washers and dryers are all being put on hold by the household consumer. And so, we've lost and they're closed a factory. We don't have to wait six
months. Wealth is being destroyed across the United States, and that's why the United States feels stabbed in the back by the Trump administration,
because he promised one thing, and he is doing the exact opposite. And they know far more about the tariffs as a tax increase than Donald Trump or his
Secretary of Commerce.
GOLODRYGA: Yeah. You touched on a number of industries that are likely to be hit hard, and let's not forget agriculture as well, and so many U.S.
farmers to be hit.
We are seeing some pushback from a few Republicans, now at least publicly. Rand Paul pointed out that when Smoot-Hawley tariffs went into effect in
the 1930s, Republicans lost the House and the Senate for the next 60 years. Ted Cruz even spoke out about this last night on Fox News. Here is what he
said.
(BEGIN VIDEO CLIP)
SEN. TED CRUZ (R-TX): If the result is our trading partners jack up their tariffs, and we have high tariffs everywhere, I think that is a bad outcome
for America. Tariffs are a tax on consumers, and I'm not a fan of jacking up taxes on American consumers.
(END VIDEO CLIP)
GOLODRYGA: And Rahm, Senator Grassley now co-sponsored a bipartisan bill to grant Congress more power of instituting tariffs. If it's not the stock
market that the President listens to, do you think more Republicans will actually be able to have an impact here?
EMANUEL: Well, first of all, two things I would say is, one, I believe as Teddy Roosevelt used to describe, critics are on the periphery. These are
timid souls, and I'm sorry. You know there is that brand of clothing, sports clothing, called Outdoor. Start using your outdoor voice. Stop being
so quiet about it. This is damaging. It's the largest tax increase in American history. That is what's happening. And the Republicans, yes, there
is a few of them starting to speak up more out of their own electoral self- interest than they are out of the economic interest of the American people. They know how damaging it is. Just Tuesday, they took a shellacking, a
thumping. And so, that's what they're speaking about. It's not so much economics. It is political self-interest, and they realize how damaging
this is going to be to them.
Now, I'm happy that one or two voices are here, but I've never seen them actually, over both President Trump's first term and in the first few
months, ever have had the courage to speak up, and more than speak up, act. So --
GOLODRYGA: Yeah.
EMANUEL: -- I'm a little jaundiced in my view that you can give me a few voices here, but these are timid souls, and they've shown the timber souls.
And I would -- I don't mean to do it like this. But, I would -- if I were in the Republican caucus, I'll be -- I'll start to praise them when they
take their band hood out of the lock box and start acting like it, but they haven't done it to date.
GOLODRYGA: Yeah. The majority are still saying they're giving the President the benefit of the doubt. That's for sure. Yeah. Go ahead.
EMANUEL: Yeah. Here is one thing that I don't think people noted. President Trump just started a worldwide trade war, not against China, our
competitor, but against our allies. And this is a President who, just three months ago, told you, I'm going to be remembered as a President who makes
peace, ends wars. He just started the largest war since the Iraq war by President Bush. That is what he did. I mean, it may not involve weapons,
cruise missiles, patriots, F-18s.
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This is a war. And he said, I want -- just three months ago. So, the reason nobody believes the United States, or will put their faith and full faith
and credit in the United States, because he said one thing just three months ago, and he is doing something else. And one of the most ironic, and
this is not to be esoteric, but usually in moments of uncertainty for economic and financial, there is a flight to the U.S. dollar and there is a
flight to U.S. Treasuries. That is not happening this time. This is a full verdict, both in the finance -- stock market, the bond market, U.S. dollar
in our economy and worldwide. Nobody has confidence in the United States. He is destroying the U.S. brand, and he is raising taxes to the highest
level on the United States taxpayer in the history of the United States.
GOLODRYGA: And you're hearing that uniformly, both from allies and from adversaries. And to that point, The Wall Street Journal editorial board,
which has been sharply critical of this tariff plan, we should note --
EMANUEL: Correct.
GOLODRYGA: -- wrote in part, "Mr. Trump's new tariff onslaught is giving China another opening to use its large market to court American allies.
South Korea and Japan are the first targets, but Europe is on China's list as well." Given your former post as U.S. Ambassador to Japan, which we
should note, has also been slapped with a 24 percent tariff here, what are you hearing from some of your former colleagues there, and what response do
you anticipate?
EMANUEL: There is three or four things I would note. One, when we did export controls on China as related to semiconductors, South Korea, Japan
stood with the United States. Just yesterday, Samsung said they're going to do a deal with China. No confidence in the United States. Verdict in.
Second, China, South Korea and Japan announced a trade agreement, kind of a mini trade agreement among themselves, in the sense of access to markets.
Verdict in, anti-U.S.
Third, Europe put an anti-coercion piece in place, it's in the EU, because when Lithuania dealt with China and they were isolated and attacked by
China economic coercion. The only time they've employed it or talked about employing it is not against China. Now it's against the United States,
using their anti-coercion protections.
And I think fourth and finally on the United States as it relates to China, two things are happening in the world simultaneously. China is trying to
market themselves as kind of the steady certain place, and I would get that. If I was in China, that's what I would do. But, the United States is
pulling up the drawbridge with these taxes on the United States consumer and stopping using the strength of its market. China, at the same time, is
exporting their own domestic economic problems -- manufacturing and countries that are not totally go allied with the United States, from South
Africa, Chile, Brazil, Mexico, are fighting e-cases (ph) against China and the World Trade Organization, 500 of them in the last two years alone.
So, you have the two biggest economies of the world attacking the rest of the world in different ways. And I don't think this will end well, not only
for the United States, the United States taxpayer and consumer, but for the world economy, that will then impact, as we've seen in history, when you
have these type of actions, they lead in many, many different ways. You don't know where this ball will bounce and where it will end.
GOLODRYGA: Yeah. And this could end up being an unintended gift to China, which is facing, as you noted, its own economic challenges, both in the
housing sector and with deflation as well. So, this may be coming at an opportune time for them to explore other alliances and probably one of them
--
EMANUEL: But, you say -- remember, can I -- I apologize for interrupting.
GOLODRYGA: OK.
EMANUEL: Four months ago, people were talking about how China both because of its own housing problems, its own demographic problems, its own deficit,
etcetera, they were on their back heel economically, most importantly self- imposed hits like attacking the entrepreneurs and the private sector in China. What kind of script just since President Trump has gotten flipped?
China is now seen as a safe harbor, a place you want to go invest in, and the United States is seen as a place you want to abandon.
You too asked me about Japan. Japan is the number one foreign direct investor in the United States. A million Americans work for Japanese
companies. The idea that they're going to continue to plow billions and billions and billions in dollars and invest in American capacity, just got
put on hold. And I can tell you that directly from CEOs in Japan, their plans, their desires, put on hold. Over a million Americans work for
Japanese companies. Nearly half of that is in the manufacturing industrial space. They're now going to see China as a better alternative, because the
United States has become an uncertain, unpredictable and hostile ally.
GOLODRYGA: Yeah. And it's probably no surprise that this comes just days after we saw China conducting military exercises in the South China Sea as
well, just a few days ago.
Rahm, we talked about where the Republican voices are, how there are quite few now speaking out publicly.
[11:20:00]
Where are the Democrats on this? What advice would you give them? I mean, I'd just give you another headline they can respond to, probably one of the
least surprising, given his past interaction with the Federal Reserve, an independent entity. We should note at that. But, Fed Chair Jay Powell is
set to speak any moment now, and we're hearing President Trump saying this would be a perfect time for Fed Chairman Jerome Powell to cut interest
rates. So, have at it, whichever issue you want to tackle. But, what's the smart way you would advise Democrats to respond here?
EMANUEL: Well, largest tax increase in American history. The President just stabbed you in the back. It's straightforward. Yes, he is making room for
another tax cut for the wealthy. But, I -- and I'd go straight forward on that from a political standpoint, because it has the benefit of the truth
in the American people actually. It confirms what they already have suspicion of. This, the tariff, and I'm actually impressed with the
sophistication the American people and their common sense in this process, this is a tax increase, and they're going to hold this on the Republicans,
both in the mid-2025 elections in Virginia and New Jersey, and in the midterm. If you're a Republican in Congress right now, in a district that
Donald Trump may have won by 58 percent, 56 percent, 55 percent of the vote, you have a flashing red target on your back.
And so, to me, very simple, you keep going down the road that Donald Trump and his Commerce Secretary have paid for you, you're going to be collateral
damage, and your career is over, because this is a tax increase. Full stop. It doesn't need another explanation. The other thing, American people get
it, and they also understand, based on their affairs, it's going to lead to inflation rather than cutting it. It's going to jack it up. And there is no
way the Treasury Secretary, with inflation on its way, not having gone down steadily over the years, now is starting to reverse course. No way he can
cut interest rates responsibly. You'll have --
GOLODRYGA: Yeah.
EMANUEL: That's the challenge here. There was a pattern here the President consciously disrupted, and as he basically cavalierly said, so what if
prices go up on cars? So what if we have a recession? I don't think American people are going to be treating -- be well received the idea that
he will be cavalier with a recession, prices going up, and that your 401(k) will be going down.
GOLODRYGA: Final question. My producer is --
EMANUEL: They are going to be hitting that hard --
GOLODRYGA: -- my producer is going to be killing me, but it's so rare that we get you on our show. So, I just have to ask you, Rahm, did it surprise
you to see so many union heads there supporting the President as he was announcing these tariffs at the White House a few days ago?
EMANUEL: Yes or no, to be honest, I don't -- it did surprise me, and I think -- but I -- actually, you look at that at the Rose Garden, but if you
look at the American people, and you even look at union hustling, and you look at people that voted for him, not kind of, quote, unquote "MAGA
voters", but voted for Donald Trump over Kamala Harris, they've already gone sour on this. And you just have the verdict. I mean, one of the things
I noted, take just a Florida seat in Pensacola, Escambia County hasn't voted for a Democrat in decades. Donald Trump won it by 19 percent. 14
percent of that county is active duty and veterans, double the national average. Democrat won it by plus three. That's a 22-point swing.
So, the verdict is in.
GOLODRYGA: Yeah.
EMANUEL: If you don't heed that warning, nothing I can do to help you politically or economically.
GOLODRYGA: Rahm Emanuel, great to have you on. Please come back to the program.
EMANUEL: Thanks.
GOLODRYGA: Appreciate the time.
EMANUEL: Thank you. Thank you for the time.
GOLODRYGA: Well, Donald Trump's tariffs are having global implications, and the man going face-to-face with that, with world leaders is in Brussels
now. We'll hear his take on the tariff fallout after the break. Plus, how U.S. auto dealers and consumers are trying to deal with the fears of higher
prices linked to Trump's tariffs.
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GOLODRYGA: The markets are crashing, but they'll adjust. U.S. Secretary of State Marco Rubio acknowledging the global impact from President Trump's
sweeping tariffs on all U.S. trade partners. He made those comments while in Brussels, meeting with anxious NATO allies. Now, Rubio is defending the
President's aggressive move, adding that the U.S. has, quote, "to reset the global order of trade, and that Trump has every right to do so."
Our Alex Marquardt joins me now live in Brussels. So, Alex, the Secretary of State weighing in on the market sell-off following these massive scale
tariffs, but also on the war in Ukraine. What did he say?
ALEX MARQUARDT, CNN CHIEF NATIONAL SECURITY CORRESPONDENT: Well, Bianna, tariffs were not on the agenda here, but it was impossible to avoid the
subject, given that these two days of meetings started just the day after President Trump made that announcement. We heard from a number of foreign
ministers who echoed what your previous guest, Ambassador Emanuel, was saying, that these tariffs will hurt the regular person. That was something
that the Canadian foreign minister told me, and she said that it was impossible to have normal conversations about the NATO issues that they
were focused on while in the middle of a trade war.
So, somewhat predictably, Secretary Rubio did defend what his boss has now imposed on the rest of the world, and he said that there has to be a new
global trade order. He pushed back against the idea that economies are in free fall and that economies are being damaged, but he did acknowledge that
the markets are indeed crashing, and he said that that's because markets are based on businesses that have production lines and production methods
that run counter to what the U.S. is -- counter to U.S. interests. So, he said, once those foreign markets and foreign businesses understand the new
rules, then they will readjust, which is rather a sunny way of looking at the effects that we're seeing right now in markets all around the world.
Now, he also talked about the negotiations in Russia, and I asked him specifically about the conversations that he had with top Kremlin aide and
Putin ally, Kirill Dmitriev, who just visited Washington earlier this week. Rubio revealed that he met with him as well, and Rubio said essentially
that the clock is ticking, that he wants to hear concrete responses from the Russians that we can't just keep having talks. He wants to hear whether
or not the Russians are genuinely interested in peace.
Here is a little bit more of what he said in response to one of my questions.
(BEGIN VIDEO CLIP)
MARCO RUBIO, U.S. SECRETARY OF STATE: What we're not interested in, and I'm not accusing them of this, I'm just telling you, what we're not interested
in is negotiations about negotiations, that we're not going to continue this forever. So, none of it was threatening. I think it was more an
explanation of, this is our timeline, and at some point it'll be clear whether you want peace or you don't want peace, and that time is coming.
It's pretty short.
(END VIDEO CLIP)
MARQUARDT: That time is coming. It's pretty short. He said that it's weeks, not months, and that he wanted Dmitriev to take that framing from Rubio,
and those questions back to President Putin. Of course, there are many people here at NATO who would tell Rubio that Putin can't be trusted and
that he doesn't want peace.
[11:30:00]
At least he doesn't want peace on anyone else's terms, except his own. Bianna.
GOLODRYGA: Yeah. Perhaps a bit of wishful thinking on that front, getting a prompt response and the war to come to an end from Vladimir Putin any time
soon.
Alex Marquardt, thank you so much.
Well, the Trump tariffs are expected to push car prices significantly higher, and that has some American consumers looking to buy now instead of
later.
CNN's Omar Jimenez caught up with some of them in Michigan.
(BEGIN VIDEOTAPE)
GEORGE GLASSMAN, PRESIDENT, GLASSMAN AUTOMOTIVE GROUP: I've had my share of turmoil over the years. And so, that's why I'm comfortable that this too
will be something that we'll be able to deal with and overcome.
OMAR JIMENEZ, CNN CORRESPONDENT (voice-over): But, George Glassman knows it won't be easy. He runs Glassman Automotive Group in Southfield, Michigan,
outside Detroit, the self-described auto capital of the world.
GLASSMAN: So, my father served the business in 1969. We haven't seen anything, in my opinion, this disruptive, as long as I've been in the
business.
JIMENEZ (voice-over): His current inventory of cars is pre-tariff, unaffected, but that won't last.
JIMENEZ (on camera): Do you anticipate having to raise prices on your vehicles when we get to that point?
GLASSMAN: Well, we're not going to have a choice. Ultimately, a decision has to be made by the manufacturers. How much are they willing to absorb of
the tariff?
JIMENEZ (voice-over): Which would affect prices for people like Laura Downing.
LAURA DOWNING, RECENTLY PURCHASED A CAR: I have huge concerns about the tariffs and all the different ways that prices are going to go up, not just
as related to automobiles and auto parts, etc.
JIMENEZ (voice-over): As she spoke with us, she had just leased a new car.
DOWNING: With auto parts going up, I just figured it might as well be in something that's newer that I'm not going to need a lot of maintenance.
JIMENEZ (voice-over): The Trump administration also plans to put tariffs on car parts by May.
DOWNING: I don't know how much I can say, but I mean --
JIMENEZ (on camera): Do you say on whatever you buy?
DOWNING: I think the entire thing is it is bad politics. It is not good for anybody. Even much further outside of just auto parts, it's going to hurt a
lot of people.
JIMENEZ (voice-over): And she wasn't the only one thinking tariffs.
JIMENEZ (on camera): So, that was on your mind when you came in to the shop.
ROBERT HOLIDAY, SOUTHFIELD, MICHIGAN RESIDENT: That was the main reason on our mind.
DENISE HOLIDAY, SOUTHFIELD, MICHIGAN RESIDENT: That was the main reason.
JIMENEZ (on camera): Really?
R. HOLIDAY: The tariffs.
D. HOLIDAY: Yes.
R. HOLIDAY: Everybody is saying that the prices on automobiles are going to go up. We're can't on fixed income.
D. HOLIDAY: Yeah. We're retired.
R. HOLIDAY: We're retired.
D. HOLIDAY: We thought we better come now --
JIMENEZ (on camera): Yeah.
R. HOLIDAY: Yeah.
D. HOLIDAY: -- while we still can and we still have our Social Security.
JIMENEZ (voice-over): Both the holidays and downing are part of what Glassman described as somewhat of a dash of customers in recent weeks,
trying to find something to drive before prices drive up.
GLASSMAN: You've got high interest rates. You've got food costs that are high, and now their second largest purchase next to a home is also in play.
R. HOLIDAY: At least two of our friends that we know of are out as we speak.
D. HOLIDAY: Another one, she called. She was on her way to the dealership. She called us.
JIMENEZ (voice-over): But, after this window of opportunity for customers, comes reality.
GLASSMAN: Regardless of the make, the model, every single manufacturer will be affected by the tariffs.
JIMENEZ (voice-over): Even with the roadblocks, Glassman sees a way through.
GLASSMAN: Detroit has been through so much over the years. There have been ups and downs, and the automobile business and its dealers have been
resilient. The thought of building plants and having more manufacturing jobs here in the states is admirable, but it doesn't happen overnight.
JIMENEZ (on camera): And that last point is part of why the United Auto Workers union actually endorsed these tariffs, hoping it would bring more
auto production back to U.S. plants. But, even then, it would take some time. And then for buyers, you can still see people are coming in, trying
to take advantage of the prices and the moment we're in now before these tariffs really take deep root. But, there is also another market to keep an
eye on. That's the used car markets. Because as prices go up on new cars, people might start considering used cars more. Well, as more people start
considering used cars, prices could then go up because of demand. So, people like those in charge of these dealers keeping an eye on a number of
variables in the opening hours of these tariffs.
Omar Jimenez, CNN, Southfield, Michigan.
(END VIDEOTAPE)
GOLODRYGA: Our thanks to Omar for that report.
Still to come for us, China hits back at President Trump's tariffs, and Wall Street bears the brunt of it. We'll hear from a former U.S. Trade
Representative on the global fallout. That's next.
(COMMERCIAL BREAK)
[11:35:00]
(COMMERCIAL BREAK)
GOLODRYGA: Welcome back to One World. I'm Bianna Golodryga in New York. Here are some international headlines we're watching today.
Benjamin Netanyahu is expected to visit the U.S. as early as next week. President Trump says he spoke with the Israeli Prime Minister on Thursday.
Now, this comes just days after Israel announced it is ramping up its military campaign, including a major expansion in Gaza.
Well, South Korea's highest court has officially removed President Yoon Suk Yeol from office. This comes just months after the President declared
martial law briefly in December, which the court found to be a violation of the Constitution. The country now has 60 days to hold a general election
and choose a new President.
Thousands are still without power, as violent storms ripped through the central U.S., killing at least seven people. Tennessee, Missouri and
Indiana bore the brunt of the tornados. Forecasters warn to prepare for another threat, torrential rains and flooding in the days ahead.
Well, more financial pain on Wall Street from President Trump's global tariffs. U.S. stocks opened sharply lower into Friday's trading sessions,
the sell-off propelled by earlier news that China is slapping retaliatory 34 percent tariffs on all U.S. goods.
And we've just heard from Fed Chair Jerome Powell. He says the tariffs will likely cause inflation and slow economic growth. President Trump also has a
message for Jerome Powell. He posted to social media a few moments ago, saying it's a perfect time to cut interest rates.
Wendy Cutler is a former Acting Deputy U.S. Trade Representative and the current Vice President of the Asia Society Policy Institute, and she joins
me now. Wendy, thank you for taking the time to join us. First, your response to the President once again stepping into what has always been an
independent body, and that is the Federal Reserve, suggesting, not so subtly, that Fed Chair Powell should begin cutting rates now.
WENDY CUTLER, FORMER ACTING DEPUTY U.S. TRADE REPRESENTATIVE, & VICE PRESIDENT, ASIA SOCIETY POLICY INSTITUTE: Well, I think the President is
closely watching, not only the markets, the interest rates, the economy, inflation, and when he is looking at all of this and he is telling
Americans that we should basically sacrifice short-term pain for long-term gain, I'm not sure he actually believes that. And so, he is looking for
ways to kind of cushion the blow to American consumers and the American public with these tariffs.
[11:40:00]
GOLODRYGA: What is this long-term gain that we're hearing, not just from the President, but from his top advisers and cabinet officials that will
ultimately come? I mean, they're forecasting, within just a couple of quarters' time, we're going to have a completely restructured, reorganized
economic Utopia here in the United States, with reshoring and more jobs and higher paying jobs coming back to the United States. Just give us your
sense of the likelihood and how realistic that possibility is.
CUTLER: Well, my sense is that the President and his advisors see in America where we could make everything at home and become more of a
manufacturing powerhouse and not be dependent on foreign countries who cheat us. But, in reality, we're in a world of complex global supply
chains. Our consumers have gotten used to lower prices and have secured benefits from this international trading system. Look, clearly, adjustments
need to be made, and I'm all in favor of making more at home, but I don't think this is -- has to be an all or nothing proposition. We need to find
that proper balance of working with other countries, trading, investing with other countries, while still focusing on America as well in our own
manufacturing and services R&D capabilities.
GOLODRYGA: And this going toe to toe, specifically as it relates to China, as we got word that China is now responding with its own blanket 34 percent
tariffs on all U.S. goods, which had surprised many in the past. They had responded with more tailored, measured tariffs against the United States,
but President Xi clearly sending a message to President Trump here. Trump responding just within the last few hours that China played it wrong and
that they panicked. Does this concern you that we're already now in a global trade war with the two U.S. largest economies going back and forth
here?
CUTLER: Well, China left no doubt today that it is going to respond quickly and forcefully to any actions taken against Beijing. And what I find so
interesting today, it not only matched the U.S. with respect to the tariff rate of 34 percentage points, but it also did not provide any product
exclusions, and then supplemented its tariff retaliation with other measures, including reducing the exports of critical minerals to the U.S.
and putting a number of U.S. companies on different lists which are going to make it very difficult for them to do business in China.
I am worried, because when I look at the President's reaction in Trump 1.0 when China counter-retaliated, the President then chose to further counter-
retaliate, and that's how he got into a trade war with China. This time, we're not only taking China on, we're taking on the rest of the world, and
I think we're going to expect -- we should expect retaliation from Europe to unfold in the coming days as well, if not, from other countries.
GOLODRYGA: Explain what that means to the average American in terms of when they go to the grocery store, buy a new car, go buy new sneakers. I mean,
the ripple effects here are far and wide.
CUTLER: Exactly. It's not only the tariffs themselves which will lead to increased prices in the United States, but once foreign companies start
curtailing our exports, then our companies are even under more stress, and our farmers are under more stress looking for markets. And so, we should
get our seat belts fastened, because things are moving very quickly on this front as a result of the very strong actions the President took earlier
this week.
GOLODRYGA: Yeah, and actions, we should say, almost universally, really panned, especially the way that they were introduced and calculated from
economists, both left and right here, and they have history on their side in terms of where tariffs like this can take the U.S. and global economy as
well.
Wendy Cutler, thank you so much for your time.
CUTLER: My pleasure.
GOLODRYGA: Still to come for us, details of the charges against British comedian Russell Brand and what happens next.
(COMMERCIAL BREAK)
[11:45:00]
(COMMERCIAL BREAK)
GOLODRYGA: British comedian Russell Brand is facing multiple charges, including rape and sexual assault. London's Metropolitan Police say the
charges are related to four separate women. The 50-year-old was the subject of a documentary program about sexual assaults in 2023. Brand has
previously maintained his innocence.
Salma Abdelaziz has more.
(BEGIN VIDEOTAPE)
SALMA ABDELAZIZ, CNN CORRESPONDENT: Actor and comedian Russell Brand has been charged with rape and multiple counts of assault by British police
over a number of allegations between 1999 and 2005. Now, to remind our viewers, Russell Brand was, at one point, one of Britain's most high-
profile comedians and actors, of course, former husband to pop singer Katy Perry. But, in recent years, he has repositioned himself as a social
commentator, at times being accused of spreading conspiracy theories on his platforms.
Now, let's look at what exactly he is charged with by British police, and that is one count of rape, one count of indecent assault, one count of oral
rape, and two counts of sexual assault. Now, these charges relate to four separate women, and the Met says that its investigation remains open, and
detectives ask anyone who has been affected by this case or has any information to come forward and speak with the police.
Now, this investigation was launched in 2023 after Channel Four aired a documentary where four women had accused Brand of sexual assault, including
rape. Now, Russell Brand has previously denied these allegations against him and accused the British government of trying to censor him.
Salma Abdelaziz, CNN, London.
(END VIDEOTAPE)
GOLODRYGA: We'll be right back with more.
(COMMERCIAL BREAK)
[11:50:00]
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GOLODRYGA: Well, the journey that began in November ends this weekend. College basketball's men's and women's Final Four matchups and championship
games will be played over the next few days. Tonight is the women's Final Four, featuring some of the biggest names in the sport. The most compelling
match may be UCLA, which has been dominant this season, against one of the sport's traditional powerhouses, UConn.
CNN World Sports Andy Scholes is here with more. Listen, I'm a Longhorn. I graduated from UT. So, I'm all for the Longhorns. But, tell me --
ANDY SCHOLES, CNN SPORTS CORRESPONDENT: Yeah.
GOLODRYGA: -- what are you going to be watching?
SCHOLES: Yeah. I know you're going to be paying attention to that Longhorns game, Bianna. They're looking to win their first national title since 1986.
So, it's been a long time since they've been able to celebrate there in Austin, a women's basketball championship.
But, if they hope to be champs, when it's all said and done at the end of the weekend, they're going to have to knock off the defending champ South
Carolina, and it's going to be the fourth time these two SEC foes face off against one another this season. The Gamecocks, they've won two of the
three matchups, but -- I mean, these two teams. They're as even as they get. They were both 15 and one in conference play. Texas, 35 and three on
the season. South Carolina, 34 and three. Gamecocks, five and a half point favorites for tonight, but Texas says they're ready for the challenge.
(BEGIN VIDEO CLIP)
RORI HARMON, TEXAS GUARD: I feel like we do know them inside out as much as they probably know us inside out. So, there is a saying that we've kind of
been living by since the tournament started. But, once talent meets talent and all that, it's basically -- it doesn't really matter anymore. It's
about preparation and who is going to step up on the biggest stage that we are in right now, and who is going to be the tougher team.
RAVEN JOHNSON, SOUTH CAROLINA GUARD: I think we're just going to come and bring our A game. I mean, all of us wants to win. Everybody here wants to
win. We know they're going to come and bring whatever they have against us. So, I think we just need to listen to our coaches, because the game plan
and execute what they have for us.
(END VIDEO CLIP)
SCHOLES: Yeah. And the other matchup, UConn taking on UCLA, the Huskies, the most storied program in women's college basketball history. Head Geno
Auriemma, he has won 11 national titles, but he hasn't claimed a championship since 2016, and this is going to be star senior Paige
Bueckers' last chance at a title. She scored at least 30 points in three straight games. And Bueckers, well, well aware of the expectations for the
Huskies in this Final Four.
(BEGIN VIDEO CLIP)
PAIGE BUECKERS, UCONN GUARD: I think before you even get here, you kind of know the pressures that exist by committing to UConn. So, by making that
decision to want to come here and try to live up to that and be a part of the -- a legendary program, it's a decision you have to make before you
even step on a campus. And then once you walk inside the practice facility, you see all the history, all the names, all the banners. It's just
motivation. And obviously there is expectations here, and anything less than a national championship is really a disappointment. And as players,
that's what you play for and what you want to live up to, and the expectations and the pressure, it's a privilege.
(END VIDEO CLIP)
SCHOLES: All right. Finally, last night, we had the men's NIT final. UC Irvine was down one to Chattanooga with 2.4 seconds left. They get a
perfect full court pass, then find a wide open Jurian Dixon down low, but he misses the two footer that would have won it for them. Just heartbreak
for the Anteaters. Chattanooga claims their first NIT title 85 to 84. And you know what, Bianna? You really just got a feel for that young man right
there, because missing that close of a game winner is going to be tough to get over.
GOLODRYGA: I know, but he got the support from his teammates. So, they were good sports about rallying around him.
[11:55:00]
A lot of fun things to watch this weekend, Andy Scholes. Hook them, is all I have to say.
SCHOLES: Hey, Go Cougs for me.
GOLODRYGA: That's right.
(CROSSTALK)
GOLODRYGA: Listen, you and I are the same boat. I'm --
SCHOLES: Yeah.
GOLODRYGA: -- from Houston, went to UT. We've got our eyes on the two winning teams, I think, I hope.
SCHOLES: Here is hoping we're smiling, come the end of the weekend.
GOLODRYGA: Exactly. May the best team win.
SCHOLES: All right.
GOLODRYGA: Andy Scholes, have a great weekend.
And stay with CNN. I'll have more One World after the break.
(COMMERCIAL BREAK)
END
