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Uproar At The White House; President Trump and Japan's Prime Minister's Press Conference. Aired 1:00-1:30p ET

Aired February 10, 2017 - 13:00   ET

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

WILL RIPLEY, CNN INTERNATIONAL CORRESPONDENT: The relationship of the security alliance between the United States, it has been critical in keeping stability in this heavily militarized part of the world for 70 years, Wolf.

You have North Korea, at any moment, ready to launch an ICBM. You have China building up these artificial islands, essentially permanent aircraft carriers in the South China Sea. And the United States has more than 50,000 troops based here.

So, when the U.S. president said that if Japan didn't pay more for the U.S. alliance, that they might have to go on - go at it on their own, that was very concerning for people here which is why the prime minister brought his financial advisors and a whole packet of documents, saying that they believe the costs are shared about 50-50. Because if it comes down to price, they want to make the argument that both countries are benefitting in many ways.

WOLF BLITZER, CNN ANCHOR: It looks like aides are now walking into the east room of the White House, top aides, national security aides among others. We're going to go to there live, in a moment, once that news conference starts.

So, Will Ripley, thank you. Pamela Brown, Jeff Zeleny as well.

Let's discuss with my political panel. Joining us, Laura Coates, CNN Legal Analyst, former federal prosecutor; Elise Labott, our CNN Global Affairs Correspondent; David Gregory, CNN Political Analyst; and Gloria Borger, our Chief Political Analyst.

Gloria, the whole uproar now involves the president's very controversial national security advisor, Michael Flynn. You see him right there. He just sat down in the front row. He's got a - he's got a controversy that seems to be ratcheting up pretty dramatically today.

GLORIA BORGER, CNN CHIEF POLITICAL ANALYST: Well, it is because of a report in "The Washington Post" that says that he did discuss Russia sanctions, before he became national security advisor, with the ambassador here. And that is, of course, against the law, Wolf.

And I think the president is going to be asked this question today about whether he has faith in General Flynn and whether he condoned it or knew about it, in fact. And we don't - you know, we don't know the answers to those questions.

But "The Washington Post" is quoting nine officials with knowledge of these - of these phone calls.

The one question that I have is that this is somebody who has been involved in intelligence for a long time. Did he not think that, perhaps, those calls were tapped? I mean, it would seem to me that would be a logical assumption.

BLITZER: And just a little background, David, the phone calls -- the phone call with the Russian ambassador here in Washington took place in December. And at the time when the Obama administration had slapped a new round of sanctions on Russia because of interfering - the cyber-attacks in the U.S. presidential election. That was the conclusion of the Obama administration.

And the - and since then, Trump has repeatedly said the issue of Russian sanctions was not discussed. The vice president later went on television and said, I was told no discussion of Russian sanctions, easing of Russian sanctions.

But what raised a lot of alarm bells was that after the U.S. expelled 35 Russian diplomats and posted new sanction sanctions, Putin - Vladimir Putin said, well, we're not going to respond. We'll see what happens down the road.

And that was highly unusual because, usually, one country does something. The other country responds in kind.

DAVID GREGORY, CNN POLITICAL ANALYST: And did the Russians back off because Flynn signaled to the ambassador, hey, we'll take another look at this, stand down which is contrary to what he said. That they -- he denied talking about sanctions.

And the vice president went on national television and said that he was told he did not speak about sanctions at all. So, if he was misled and then he lied to the public, this is a big deal.

And you've seen today, Vice President Pence is troubled by this through a spokesman. "The Washington Post" quotes nine either former or current intelligence officials saying that they reviewed the transcript, that sanctions were discussed.

So, this could be a big question today. It's a political issue. It's a legal issue. And, ultimately, it's a question of just how the administration is going to handle Russia and how the president is going to handle his own employees who may have deliberately lied to the public.

BORGER: And a president -

GREGORY: Yes.

BORGER: -- who's really going to be upset about this.

BLITZER: And the - and Michael Flynn, the National Security Advisor, story has changed a bit, Elise. There you see Mike Pence walking into the east room of the White House, shaking hands with Mike Flynn over there right now.

You know, what the concern is that Flynn originally denied there was any discussion of sanctions. Now, he's saying, well, I don't remember.

ELISE LABOTT, CNN GLOBAL AFFAIRS CORRESPONDENT: I don't remember. I might have but I don't remember it coming up. But maybe it did.

I mean, look, he spoke to the ambassador on the same day of the sanctions. Admitted the transition, the President Trump's transition team was briefed that morning by the administration about these sanctions that were coming out.

Look, they weren't a surprise. Everybody knew that this was coming down. But it does raise the question, as David said, of whether there was some, you know, coordinated strategy with the Russians.

[13:05:00] BLITZER: You can see the vice president sitting down. Stephen Miller, one of the top policy advisors to the president, next to him. Steve Bannon is over there. Kellyanne Conway. Names and people all of us, Gloria, have become pretty familiar with over these past many weeks.

BORGER: For better or for worse. I mean, Kellyanne Conway had her own controversy yesterday about whether she was doing an advertisement for Ivanka Trump from White House property which is, of course, another violation of ethics rules.

And so, yes. But the person I'm interested in sitting there, and I saw that the vice president shook General Flynn's hand, is the vice president, as David was pointing out. Because he went out on a limb saying -- and he must have been assured of that, saying that there were no discussions about sanctions.

And when you put your own vice president out there on national television to say that, and his staff is trying to get to the bottom of it, is what we are told, I bet they are.

GREGORY: (INAUDIBLE) some real turmoil.

BLITZER: Yes. Well, another question that almost certainly will come up, Laura, is the decision by the Ninth Circuit Court of Appeals last night to go ahead and tell the Trump administration, at least for now, that proposed travel ban you want, barring certain people from seven Muslim-majority countries from coming into the United States, you know what, that's not happening right now.

They have to make a major decision, the Justice Department, the White House, what to do next legally.

LAURA COATES, CNN LEGAL ANALYST: They do and this was a huge setback. It was a blow because they've now had a very, very strong defeat in the Ninth Circuit. And while there's been much ado, whether it's a liberal-leaning circuit court or not, you did have bipartisan, essentially, support on the justices' behalf to say, this is not an appropriate action to take perhaps at this time.

But, most importantly, they had checked executive power. And they had made their gavel particularly strong in saying democracy requires that we do question executive order, if it seems like it may violate the Constitution.

This is - this is pretty much unknown to somebody like Donald Trump who is not expecting that level of checks and balances. But I think it was successful to show that democracy actually has a part and works.

BLITZER: It's a major setback as far -

COATES: Major.

BLITZER: -- but he could come back. And I assume one of those reporters, American reporters -- I'm not sure about the Japanese reporters but an American reporter might ask him, what are you going to do next? He could come back and simply say, well, we're going to throw out what we originally put forward and come up with a new plan.

COATES: Or they may read him his own tweet where he says, I'll see you in court. And ask him, which court did you mean? Because that's the big question on the table. He could go to a larger portion of the Ninth Circuit or the Supreme Court.

But guess what? As of a year ago, we're down to eight justices. And I think you're probably going to need five to secure a victory in this case.

BORGER: Well, I'm sure he is being counselled to pull it back.

COATES: Right. Kellyanne Conway counselling him?

BORGER: And to review -- no, to review the executive order and to make it clearer and less -- and less broad. But the question is, he may be being advised to do that by some of his counsel.

GREGORY: But will he listen?

BORGER: But will he listen? Because he never admits he made a mistake ever, ever, ever.

GREGORY: But also -

BORGER: And maybe he will blame it on the judges or he'll blame it on his attorneys at the Justice Department.

GREGORY: But one of the things that was absent, and maybe this will come up again today, is what is the evidence behind why the executive order was needed? What is the specific threat that means that the United States has to move with such a --

BLITZER: All right, they're being introduced right now. People are standing up. The prime minister of Japan, the president of the United States, they'll have opening statements, beginning with the president. [13:06:44]

DONALD TRUMP, PRESIDENT OF THE UNITED STATES: Thank you very much. Prime Minister Abe, on behalf of the American people, I welcome you to the very famous White House. You honor us with your presence. This is one of our earliest visits from a foreign leader, and I am truly glad that it could be from such an important and steadfast ally. The bond between our two nations and the friendship between our two peoples runs very, very deep.

This administration is committed to bringing those ties even closer. We are committed to the security of Japan and all areas under its administrative control and to further strengthening our very crucial alliance. The U.S.-Japan alliance is the cornerstone of peace and stability in the Pacific region.

TRUMP: It is important that both Japan and the United States continue to invest very heavily in the alliance to build up our defense and our defensive capabilities which, under our mutual leadership, will become stronger and stronger, and as time goes by, ultimately they will be impenetrable.

We face numerous challenges and bilateral cooperation is essential. Our country is committed to being an active and fully engaged partner. We will work together to promote our shared interests, of which we have many, in the region, including freedom from navigation and of navigation and defending against the North Korean missile and nuclear threat, both of which I consider a very, very high priority. On the economy, we will seek a trading relationship that is free, fair and reciprocal, benefiting both of our countries. The vibrant exchange between us is a true blessing. Japan is a proud nation with a rich history and culture and the American people have profound respect for your country and its traditions.

I also want to take this opportunity, Mr. Prime Minister, to thank you and the people of Japan for hosting our armed forces. Working together, our two countries have the ability to bring greater harmony, stability and prosperity to the Pacific region and beyond, improving countless lives in the process. We are committed to that goal, highly committed. Prime Minister Abe, on behalf of the United States of America, I thank you for ybeing with us today. We will soon be traveling to the great state of Florida. Where I know we will have a long and very successful talk, negotiations and a very, very productive weekend. Mr. Prime Minister.

ABE (THROUGH TRANSLATOR): This is the fourth time in six months for me to visit the United States. The last time was in Pearl Harbor, Hawaii at the end of last year. I am, indeed, sincerely grateful for the always heart warming welcome afforded to me by the American people. I would also like to express my sincere gratitude to President Trump. Donald, you must have been very busy in this very important period of 100 days after your inauguration, and thank you very much for inviting me over to the White House. My name is Abe, but in the United States, some people mistakenly pronounce my name as Abe, but that is not bad. Because, even in Japan, everybody knows the name of that great president, that a farmer, carpenter's son can become a president. And that fact, 150 years ago, surprised the Japanese who were still under the Shagunet (ph), a rule. The Japanese opened their eyes to democracy, the United States is the champion of democracy. Donald, President, you are excellent businessman, but you have never been in the Congress or been a governor.

ABE (through translator): You have not sir, experienced of being in a public office but, you have fought the up hill struggle and fight for more than a year in the election campaign to become a new president, and this is the dynamism of democracy. I would like to celebrate and congratulate Donald being sworn in as the President. The United States is a country having the largest number of chances, opportunities in the world.

That has always been the case right now, as well as going forward. This will never change. And that is the reason why automotive industries and other Japanese businesses have built factories all over the United States to engage in local production here. Last year, from Japan to the United States, there have been more than $150 billion of new investment being made into the United States, and those Japanese businesses have created large number of jobs be neutrally beneficial economic relations have been built by Japan and United States. With President Trump taking on the leadership, I'm sure there will be major scale infrastructure investment will be made, including the fast speed train. Those of you who have road on the (INAUDIBLE), I'm sure you would appreciate the speed, the comfort and safety with the latest magless (ph) technology from the Washington, D.C., up to New York, where Trump Tower exists, only one hour would it take if you ride the magless (ph) train from Washington, D.C., to New York.

Japan, with our high level of technical capability, we will be able to contribute to President Trump's growth strategy. There will be even more new jobs being born in the United States. But to further deepen these bilateral economic relations between Deputy Prime Minister Aso and Vice President Pence, there will be a (inaudible) dialogue to be held, and we have agreed on this.

And furthermore, in Asia-Pacific where we see dramatic growth to expand free trade and investment, this will be a big chance for both Japan and the United States. But of course, it must be done in a fair manner. Never should a state-owned company backed by state capital should not make any economic intervention. Free ride (ph) on intellectual property should not be condoned. In Asia-Pacific region, with (ph) Japan and U.S. taking on the leadership to create free and fair markets based upon rules should be built.

I and President Trump have confirmed on that strong will (ph) to do so. The cornerstone of peace and prosperity in Asia-Pacific, that is the strong Japan-U.S. alliance, and this is an unwavering tie between our two countries. I and President Trump will work together to further strengthen our alliance. We have shared this strong resolve.

As we see increasingly difficult security environment, we have confirmed that U.S.-Japan security pact article five will be applied to (inaudible) islands. The United States will strengthen its presence in the region. And under the banner of the proactive contribution to peace, Japan will play a greater role. At the same time, we will maintain the deterrence and also to proceed on reducing the impact. We will follow (ph) through on the realignment of the U.S. forces in Japan.

And (inaudible) relocation to (inaudible) of the (inaudible) Futenma is the only solution and Japan and U.S. will continue to work closely on this.

On North Korea, we strongly demand North Korea to abandon nuclear and ballistic missile program and not to make any more propagations and we have completely agreed on the importance of the early solution for the abduction (ph) issue in the East China Sea, South China Sea and Indian Ocean, everywhere. We need to maintain the freedom of navigation and rule of law and such international order that must be maintained.

Japan and the United States have confirmed that they will strongly protect any use of force as well as declaration to change the status quo. I and the president will address not only bilateral but regional issues and we have had very frank and (inaudible) on peace and prosperity of the world that we should contribute.

ABE (through translator): For any form of terrorism, should be strongly condemned and we will cooperate in our fight against terrorism. Japan has the will of course exercise a commensurate (ph) role in this regard. And furthermore, the region conflict, the refugees (inaudible) and infectious diseases, there are many challenges faced by the world which will be a serious issue to threaten the instability to Japan and the United States.

But Japan and the United States and the international community must work hand-in-hand to in to solve these questions. Of course, there are disagreements, but we should not close down the (inaudible) dialogue just by pointing to the differences and ignoring the common interests and common goals.

We need to have a dialogue because there are disagreements, what we most desire -- what is most desired by those who are challenging the existing international order is to just focus on differences. We should not close (inaudible) dialogue. Japan (inaudible) for four years, but I have consistently fought through on our foreign policy.

ABE (through translator): Now, whatever the challenge and difficulty ahead of us, I and President Trump will continue our dialogue to seek shared solutions and after lunch, I am looking forward for our weekend in Florida with Donald. We will play golf together. My scores in golf is not up to the level of Donald at all, but my policy is never up, never in, always aiming for the cup. Never cut just to the goal with shortcuts and short chops.

Those are the words never found in my dictionary, but in a relaxed atmosphere, I hope to take time to discuss with Donald on the future of the world, future of the region, and future of Japan and the United States.

Thank you.

TRUMP: Thank you very much. We'll take a few questions, unless you don't want to ask any

questions, if that's possible. Maybe we will start -- where is Daniel Halper, New York Post? Daniel?

QUESTION: I'm curious about yesterday's ruling in the Ninth Circuit Court. Has it caused you to rethink your use of executive power? And how will you respond? And will you sign new executive orders, perhaps a new travel ban?

And Mr. Prime Minister, I'm curious about your reaction to America's withdrawal from the Trans-Pacific Partnership, the TPP. Do you think that's weakened America's position in Asia? And how do you think -- have you envisioned any sort of trade deal with the president working out?

TRUMP: Well, your question was unrelated to what we are here for today, but I will answer it. We are going to keep our country safe. We are going to do whatever is necessary to keep our country safe. We have had decision which we think will be very successful with, it shouldn't have taken this much time because safety is a primary reason.

One of the reasons I am standing here today, the security of our country, the voters felt I would give it the best security. So we'll be doing something very rapidly having to do with the additional security for our country. You'll be seeing that sometime next week.

In addition, we will continue to go through the court process and ultimately, I have no doubt we will win that particular case. ABE (THROUGH TRANSLATOR): No, in the world, we are also facing these issues of the refugees and terrorism. We need to work closely together on these global issues. Japan has always played our own role, but going forward, we will continue to work with international community to execute our responsibility in a commensurate manner.

And each of our countries has immigration control as well as policy on immigration for refugees. This is to do with domestic affairs of that country, so I would refrain from making any comment.

TRUMP: OK. Blake Burman, Fox. Blake Burman.

QUESTION: Thank you, Mr. President.

I'd like to pick up where Daniel left off if you don't mind. You said earlier this week, and I'm quoting for you, you said, "I've learned a lot the last two weeks and terrorism is a far greater threat than the people of our country understand, but we're going to take care of it."

Based off of what you have learned and now knowing that your executive order it is at least temporarily on hold, do you still feel as confident now as you have been at any point that you and the administration will be able to protect the homeland?

And Mr. Prime Minister, thank you. I would just like to pick up again on what Daniel had asked about TPP. Do you feel it's a mistake that the United States has at least signaled its intention to withdraw from the deal?

Thank you both.

TRUMP: I feel totally confident that we will have tremendous security for the people of the United States. We will be extreme vetting, which is a term that I developed early in my campaign because I saw what was happening. And while I've been president, which is just for a very short period of time, I've learned tremendous things that you could only learn, frankly, if you were in a certain position, namely president.

And there are tremendous threats to our country. We will not allow that to happen, I can tell you that right now. We will not allow that to happen. So we'll be going forward and we'll be doing things to continue to make our country safe. It will happen rapidly and we will not allow people into our country who are looking to do harm to our people. We will allow lots of people into our country that will love our people and do good for our country. It's always gonna be that way, at least during my administration, I can tell you that.

ABE (THROUGH TRANSLATOR): On TPP, of course we are fully aware of President Trump's decision. On economic issues, we will be discussing at the working lunch to follow.

As for Japan and the United States trade and investment as well as economic relations, how can (ph) we develop and grow our relationship. As I have already mentioned, the Deputy Prime Minister Aso and Vice President Pence will create a new framework for dialogue, and I am quite optimistic that the good results will be seen from the dialogue.

Now, (inaudible) free and fair common set of rules should be created for the free trade regime (ph) in the region, and that was the purpose of TPP and that importance has not changed. I, myself believe that.

QUESTION (THROUGH TRANSLATOR): I have a question for Prime Minister Abe. Now, for the automotive market in Japan as well as foreign exchange of Japan, in the prior remarks, there have been discrepancies in your positions. So at the summit meeting, what were the discussions? And were you able to narrow down the gap?

And President Trump has said that he will make United States a great country. What is meant by a great country?

And Prime Minister, what do you mean when you say United States is a great ally for you?

ABE (THROUGH TRANSLATOR): Now, with the birth of the Trump administration, a new genesis will be built between Japan and U.S. in economic relations. In order to put forward such a strong message, I have proposed to launch a new framework for economic dialogue, and we were able to agree on this.

As for sectoral (ph) discussions, we will be having a discussion at our working lunch in any case between President Trump and I myself on Japan and U.S. economic relations. We will -- we have already agreed that we will have Vice President Pence and Deputy Prime Minister Aso to discuss fully on the economic relations between the two countries and we are looking forward for the good results to ensue from the debate between the experts.

[13:29:39] ABE (through translator): As for with (ph) the foreign exchange, we will have secretary of treasury and minister of finance will continue those close communication for the United States to become a great nation. The various roles played by the United States and the responsibility to go with it the world over is faced with increasing uncertainly. That the United States will become a great America and become a great and strong ally would be good for Japan --