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Trump Visit Turns from Pageantry to Protests; Trump Reaffirms Threat to Impose Tariffs on Mexico; Trump Says There Is Tremendous Potential for A Post Brexit Trade Deal; 30 Years After the Tiananmen Square Massacre. North Korea Punishes Envoys of Failed Summit. Aired 2-3p ET

Aired June 4, 2019 - 14:00   ET


[14:00:00] HALA GORANI, CNN HOST: Hello and welcome. I'm Hala Gorani outside Buckingham Palace in London. Tonight Donald Trump's state visit to

the UK began with all the glitz and glamour that Britain could afford, today, it turned to politics and protest. The Trump baby blimp was back in

London as demonstrators tried to cast a shadow over the proceedings. But I didn't stop the U.S. President from calling the alliance between the

countries the greatest the world has ever known.

Matthew Chance takes a look at the day so far.


MATTHEW CHANCE, CNN SENIOR INTERNATIONAL CORRESPONDENT: At 10 Downing Street, nothing was being left to chance ahead of Donald Trump's visit.

The red carpet in place, the President's motorcade arrived struggling to fit in the narrow street that houses the British Prime Minister. The

greeting warm, but businesslike under London's gray skies.

Inside, the President and first lady viewed a rare copy of the American Declaration of Independence. The leaders' spouses hosted a party in the

Prime Minister's back garden. From Downing Street, Donald Trump and Theresa May made the short walk to the British Foreign Office, the boos

from nearby protestors clearly audible.

THERESA MAY, PRIME MINISTER, UK: We gather here from across the world --

CHANCE: Standing side by side, both leaders restated their strong commitment to the enduring relationship to between the United States and

the United Kingdom. A relationship forged in peace and war.


CHANCE: The business and political focus of Tuesday's agenda was a far cry from the Royal grandeur of Monday night's state banquet.

Donald Trump treated to a night of pomp and circumstance. One of the world's most iconic buildings.

QUEEN ELIZABETH, UNITED KINGDOM: Mr. President, I'm delighted to welcome you and Mrs. Trump to Buckingham Palace this evening.

CHANCE: It was a night the President has long looked forward to.

TRUMP: And to the long-cherished and truly remarkable reign of her majesty, the Queen.

CHANCE: Matthew Chance, CNN, London.


GORANI: Bianca Nobilo is in Downing Street with more. Of course there was that news conference there where the U.S. President was very complimentary

toward his host the outgoing Prime Minister, Theresa May. What was the big headline emerging from the press conference the two leaders gave a few

hours ago?

BIANCA NOBILO, CNN CORRESPONDENT: In the past President Trump hasn't necessarily helped Prime Minister May when he was on his working visit here

last time and he intervened and made comments on Brexit. And, yes, we heard him in this press conference today interfere into the British Tory

leadership contest by passing remarks about Boris Johnson, the front runner saying he thought he would be a good option.

Jeremy Hunt, the Foreign Secretary, who President Trump has had a lot of face time with over the last two days and mentioning that he doesn't know

Michael Gove just yet. But it wouldn't be classic Trump interference. He was asked by journalists and it seems like he's been towing the line

slightly more on this trip than previous ones. Based on the President's rhetoric, based on the way he interacted with Prime Minister May, it does

seem like he wanted to leave things on a positive tone.

He said the Prime Minister deserved a lot of credit. He said that the Prime Minister might be a better negotiator than him when it came to

Brexit. When journalists asked him questions which were intended to expose the divisions between the two parties, Trump didn't rise to that and even

though he may have sued the EU to pursue his objectives in Brexit, he accepted the Prime Minister didn't want to do that.

When any other issues such as Iran or Huawei were raised, both leaders accepted that even if they had different approaches to those issues, that

their key objectives remain the same. The tone was a conciliatory one, Hala.

GORANI: Though, it doesn't solve the problems the two countries have. You mention that had the President brought up Huawei. I want our viewers to

listen to exactly how he worded the response to the Huawei question. Listen.


[14:05:00] TRUMP: We're going to have an agreement on Huawei and everything else. We have an incredible intelligence relationship and we

will able to work out any differences. I think we're not -- we did discuss it. I see absolutely no limitations. We've never had limitations. This

is a truly great ally and did discuss it. Did discuss it. I see absolutely no limitations. We've never had limitations. This is a truly

great ally and partner and we'll have no partner with that.


GORANI: We'll have no problem with that. Though, the U.K. could be considering the use of Huawei components in its 5G network. The U.S.

doesn't want it to. Where does that go?

NOBILO: Yes, that's a mysterious blanket statement we heard from the President there, that they'll have no problem with that and intelligence

sharing could continue. It's an issue where there's disagreement within the cabinet in the U.K. on whether or not there should be the involvement

of Huawei in Britain's 5G infrastructure. It was a matter that led to the resignation of the secretary here.

The Prime Minister who becomes Prime Minister in mid or late July, that seems like it's going to be a delayed decision. It seems the U.K. was

moving toward allowing Huawei to provide that 5G infrastructure but the U.S. has put it on the entity list, the U.K. might have to revisit that

when it wants to maintain that intelligence sharing with the U.S.

GORANI: All right. Thank you very much.

Relations with Britain aren't the U.S. President's only focus today. Mr. Trump talked about issue closer to home like for instance the tariffs that

he's threatening to impose on Mexico. Let's bring in CNN White House correspondent Abby Philip for more. I imagine in the United States, this

is the one line from that news conference that will have been the most interesting to Americans in the United States and Mexicans as well, south

of the border.

ABBY PHILLIP, CNN WHITE HOUSE CORRESPONDENT: That's right, Hala. Partly because the President is essentially saying that it is almost inevitable

that these tariffs, 5 percent on all products imported from Mexico, are going to go into place in just a few days. And he seemed pretty definitive

about that kind of dismissing the discussion that Mexico has been starting to do more on the issue of immigration. That might suffice for him.

The President also dismissed Republicans back on Capitol Hill who were threatening to try to stop him, to try to use some maneuvers on Capitol

Hill that could halt his use of emergency powers in order to halt these tariffs. And I think for the U.S. economy, that's a pretty big deal.

Mexico is one of the United States' biggest trade partners. The tariffs are going to increase 5 percent every month until it hits 25 percent or

he's satisfied with the progress Mexico has made on immigration.

But of course the problem remains that President Trump has not been specific about what he wants Mexico to do, what is it -- what bar do they

need to reach in order for him to be satisfied that they've done enough. And it's with that uncertainty that a lot of people are not sure where this

is going to end and it's left a lot of Republicans on Capitol Hill who typically are for free trade, really concerned that tariffs have become a

corner stone of U.S. economic policy.

GORANI: Right. Mexico, it's very unclear what it is that would satisfy the President at this stage. The U.S. President also talked about domestic

U.K. politics and seemed to express preference for some of those contenders vying for Theresa May's job including Boris Johnson and Jeremy Hunt. When

you speak to your sources within the administration, do they tell you that Donald Trump has a clear favorite here?

PHILLIP: Well, it's not clear that President Trump has made up his mind. He does speak -- he does speak favorably of Boris Johnson repeatedly, and I

think that he feels a certain stylistic kinship but political kinship to him. I thought it was notable today that even though he was asked about

this, he seemed to put all of these different individuals more or less on the same playing field. He did not endorse any of them.

[14:10:00] And that seemed to be a relief to people that he didn't go further than he has gone before. And as of this moment, we know that he's

spoken to Boris Johnson by phone, just a 20-minute conversation. They did not meet in person. Another relief to -- I'm sure people here in the UK.

And as President Trump continues to dabble in British domestic politics, it's not clear if he will at some point make it clear wo exactly his

favorite is, but it seems clear that he is interested in establishing some relationships with whoever is going to be the new British Prime Minister.

I think he wants to set the he is interested in establishing some he is interested in establishing some relationships with whoever is going to be

the new British Prime Minister. I think he wants to set the foundation for what he thinks will be the most productive relationship for him and he's

willing to do so even if it's something of a faux pas, doing it while Theresa May is still in the job, while he's on a state visit, and even this

afternoon meeting at length with Brexiteer Nigel Farage. The President is making it clear, if he wants to dabble in British politics, he's not that

concerned on how it looks from the outside.

GORANI: Thank you very much. Mr. Trump's very public feud with London's mayor got even more heated today. He called Sadiq Khan a negative force ho

hurts the people of Britain. Mayor Khan had some strong words of his own about Trump. He speaks with Clarissa Ward.


SADIQ KHAN, MAYOR OF LONDON: This is sort of what you would expect from an 11-year-old. It's for him to decide how he behaves, it is not for to

respond in -- I think it's beneath me to do childish tweets and name- calling.

CLARISSA WARD, CNN CHIEF INTERNATIONAL CORRESPONDENT: What made you decide to write what you wrote about him though, some people will so hold on you

were egging him on.

KHAN: I'm quite worried about what I'm seeing across Europe, across my country where you've got far-right parties that in previous years was on

the fringes, that's now been normalized and mainstreamed. And they see Donald Trump as the poster boy.

WARD: Some say the U.K. is in a moment where it needs to be pragmatic. It needs to look ahead to a bilateral trade deal. Do you worry at all that

your comments could jeopardize the UK's working relationship with the U.S. in the future particularly if Donald Trump is re-elected?

KHAN: For those people who say it's wonderful for us to leave the European Union even without a deal, because we will have a good deal with the U.S.A.

this demonstrates why putting all your eggs in the Donald Trump basket is unwise. His mood changes from hour to hour. He can be upset by an article

in a Sunday newspaper to the extent where he resorts to name-calling from Air Force One.


GORANI: Sadiq Khan, Clarissa joins me now. But this isn't the U.K. leader he's had a war of words with. Jeremy Corbyn also he called a negative

force and we learned today that Jeremy Corbyn requested an interview with Donald Trump and that request was denied.

WARD: That's right. I thought in that press conference where we heard President Trump talk about Jeremy Corbyn, the opposition leader here and

Mayor Sadiq Khan, within the context of his previous behavior he seemed to be quite constrained, not resort to childish remarks. He said I think he's

a negative force and he should concentrate on his job.

And I thought it was very interesting when we were talked to the mayor, Sadiq Khan, because he has come under some criticism, it's highly unusual

for a mayor to pen an op-ed like that in a sort of widespread publication that is so critical of a sitting U.S. President who is on his way to the

UK, invited as part of a state visit, comparing him to some of the most intolerable fascists of the 20th century. As you saw in that interview, he

really was sticking to his guns. He was not backing down at all.

He feels very strongly as indeed many Londoners do and we saw some of that during protests on the streets today that President Donald Trump does not

embody the values that have traditionally made up the foundation of the so- called special relationship between the U.S. and the U.K. and he's also concerned, as you heard, that this great trade deal, which has been

promised by the President and he alluded to it again today on several occasions, that it may be more difficult and more susceptible to the whims

of the President than perhaps we have been led to believe.

Interesting to see a slightly more mollified tone for the President but no sense that the mayor, Sadiq Khan, is backing down in any way for his part,


[14:15:00] GORANI: All right. Thank you very much for that. Joining me now, Annabelle Dickson of "Politico." You were nice enough to bring your

own copy of the "Evening Standard." And you were saying the headline for Brits is about a future trade deal. If you look at this, let's do this

deal, is the big headline of the "evening standard." This is the evening London newspaper. This is what they chose to focus on.

ANNABELLE DICKSON, POLITICAL CORRESPONDENT, "POLITICO": I think that's what's going to be brought to May's attention. The comments about the NHS,

that is a hot political top in the UK. That question from a journalist about whether the NHS would be included in a trade deal, which is one

that's goings to get the pulses racing. We've already seen this leadership race that you talked about. Those contenders in that race have already

come out and said, you know, not on my watch. I

'm not going to let the U.S. get their hands on the NHS, on the U.K. health care system. Of course we don't know what the detail is. What Donald

Trump was talking about today was very vague. It was a very general question. So we're not yet quite sure exactly what could be on the table

and what's going to be off.

GORANI: If you open to page 2, my folks want it and so do you, let's talk trade says Trump but you do have critics and you always do when it comes to

Donald Trump. What's the trade deal negotiated with Donald Trump worth? You see how he treats his closest allies on them overnight, slapping

tariffs on them. Should we trust Donald Trump?

DICKSON: That's the big debate we're having in the U.K. at the moment. There's people in -- who would have voted remain, who were saying,

actually, we've got a big trade deal with the European Union already. And the Brexiteers would say we can still have a trade deal. But this allows

us to have more trade deals with the rest of the world. This gives us a chance to negotiate with the U.S.

GORANI: As you know and as many of our viewers know, if you want to open up this U.K. market to American agricultural products, pharmaceuticals,

you're opening your market to products and also tinkering with the NHS, but opening your markets to products like genetically modified food,

chlorinated chickens, we talk a lot about that. And brits have made it clear they don't want that regardless of where they are on the political


DICKSON: And the House of Commons which ultimately is going to have a say on this has also made it clear that they are not going to be comfortable

with that. All this big sort of political talk that we've heard, these headlines, we're going to hear the leadership contenders who were pro-

Brexit talking about the opportunities for trade. But it's when we got down to the nitty-gritty. And I think there's also an awareness that U.S.

trade negotiators, they're seen as the best in the world, the best in the business, and there are voices who are starting to say, actually, we do

need to be cautious, what is the reality of this trade deal that we talk about in such broad terms.

GORANI: Corbyn refused to attend this banquet at Buckingham Palace, but he requested a one on one with the President and the U.S. President said, no,

I like people who get things don't. I don't like critics. I wonder if Jeremy Corbyn missed a trick here because he could've have attended the

banquet and, you know, basically communicated whatever message he wanted to communicate to the message at that point.

DICKSON: And certainly his critics will point to that. Theresa May has alluded to that during the press conference. Sadly for his base, you know,

his supporters, he wants to shore up that liberal base and the London mayor is the same. It doesn't do him any harm to do a bit of Trump bashing with

lots of their supporters in the recent elections have gone to the liberals.

GORANI: He's become a household name, even outside the U.K. now, Sadiq Khan. Thank you so much for joining us. We appreciate it.

Still to come, 30 years after the Tiananmen Square massacre, people around the world are gathering to remember the victims. Our CNN reporter goes to

the only vigil allowed in Chinese territory.

[14:20:00] Plus there were reports that North Korea had executed a high- ranking diplomat, but there's a new twist to the story. CNN has an exclusive investigation after a short break.


GORANI: Today the world is marking 30 years since hundreds of protestors were killed in China's Tiananmen Square. The events of that day are still

rippling into the present and the images have remained iconic examples of Democratic protests. Tank man is the most identified photo of the event.

He was eventually pulled to safety by onlookers. It's estimated Chinese authorities killed hundreds if not thousands of prodemocracy protestors

over the course of one day. An official death toll has never been released, unsurprisingly.

The government controls any mention of even the name Tiananmen Square in relation to what happened. Not only does Beijing block all of our TV

reporting about the massacre, but Chinese censors have gone further today. China's fire wall has shut off access to and many other news

outlets. Matt Rivers was reporting live from Beijing. He was talking about Tiananmen Square when all of a sudden undercover security forces

showed up to interfere with his report. His team kept filming. Take a look.


MATT RIVERS, CNN CORRESPONDENT: If you stick your neck out and you start talking about --

We're not sure who this gentleman is here -- plain clothes police officer, more than likely. What we are going to do now, Rosemary. I'm going to

toss it back to you in the studio. We don't want to antagonize the situation. But this is what happens when you talk about Tiananmen Square.

So what's happening here is that uniformed police officers don't want to be captured on camera pushing us away. Then they bring in people like this

who are working for security forces in some way, shape, or form, but they don't want us to be here.


GORANI: Around the world today human rights groups have been holding candlelight vigils in memory of the victims. Hong Kong is the only place

in China that is allowed to remember the massacre. The memorial was a somber moment to reflect, but it's also a form of political protest. Ivan

Watson was there and sent us this report.


[14:25:00] IVAN WATSON, CNN SENIOR INTERNATIONAL CORRESPONDENT: A sea of candles here in Victoria Park in downtown Hong Kong. This is part of an

annual commemoration that takes place here. But it has particular importance today some 30 years after the massacre of prodemocracy

protestors in downtown Beijing in Tiananmen Square. This former British colony is the only place in modern China that is allowed to hold these

types of commemorations because it inherited certain Democratic freedoms when it was handed over from British control back to China. One of the

organizers here says he witnessed the violence firsthand 30 years ago.

LEE CHEUK YAN, WITNESSED TIANANMEN SQUARE VIOLENCE: That morning I saw all of the bodies being transported. I went in the hospital and saw the bodies

stacked up, the injured people, and so since that day, I would say, you know, we felt that, I felt that that I would give my lifetime to struggle

for a democratic China.

WATSON: There's an insecurity in this island city right now, as many Hong Kongers here would argue that the central government in Beijing is chipping

away at freedoms that this former British colony has enjoyed with a law that's proposed that would allow the government to carry out extraditions

from Hong Kong in the future meaning if the central government viewed these people as breaking some kind of law, they could be shipped up to the

mainland, something that wasn't the case in the past.

LEE CHEUK YAN: Apart from commemorating what happened 30 years ago, we are also trying to fight for our own survival, our one country, two system in

Hong Kong. I hope we can still hold this candlelight vigil and our freedom.

WATSON: Perhaps most importantly here, people say they have a sense of duty to remember the lives that were lost 30 years ago in Beijing, lives

that the central government in mainland China simply refuses to recognize. Ivan Watson, CNN, Hong Kong.


GORANI: There is a new twist to a puzzling story from North Korea. Sources tell CNN that a high-ranking diplomat that was reportedly executed

by the regime is in fact alive and in state custody. These two men were part of the team negotiating with the U.S. when the talks collapsed earlier

this year at the Hanoi summit, diplomats vanished from the public eye. Now it appears they're being punished by the government. Our Will Ripley has

this exclusive CNN investigation.


WILL RIPLEY, CNN INTERNATIONAL CORRESPONDENT: North Korean leader Kim Jong-un and his team were so confident going into Hanoi, state media took

the step of touting February's failed summit as a success before it even happened.

TRUMP: Thank you, thank you.

RIPLEY: When President Trump walked away without a deal, he left Kim and his team without a backup plan sources said at the time. In a nation where

the supreme leader's dignity trumps everything else, somebody had to pay the price. Now we're learning what that price may be. Several sources

familiar with the situation tell CNN lead negotiator, Kim Yong-chol, who met President Trump at the White House earlier this year, has been stripped

of nearly all of his power.

His punishment, being kept silently in his office writing statements of self-criticism. The ex-spy chief vanished from public view for two months,

unusual for a high-ranking official. Reappearing in this photo over the weekend. Hands covering his face. If this state media photo is authentic,

it challenges a South Korean newspaper report that Kim Yong-chol was doing forced labor, that same report claimed special envoy to the U.S. Kim Yong-

chol was executed.

They say the news is wrong. They say Kim Yong-chol is still alive and under investigation for his role in the failed summit. CNN reached out to

the paper for comment. Sources say a negotiator and translator are under investigation. South Korean media has a spotty track record of reporting

North Korean purges. In 2013, a singer was executed by firing squad. But she was very much alive in 2018 leading a performing arts delegation to the

Winter Olympics. This photo may prove he is alive and well. As for the rest of their team, their fate is unknown. Will Ripley, CNN.


GORANI: And in Sudan military leaders are calling for new national elections one day after their own forces killed at least 35 people on the

streets of Khartoum. It happened during a crackdown on prodemocracy protestors who have been asking for weeks and months to transition to

civilian rule. There are reports that internet access in Sudan is being restricted. The head of the transitional military council says the only

way to rule Sudan is through the battle box.

But leaders are rejecting the calls for elections and they're going top continue protesting and after what happened on the streets there and people

getting killed over the last 48 hours. There is certainly a lot of anger directed at the military leaders.

Still to come tonight, the U.S. President called it fake news. But protesters did gather on the streets of London today and a certain infamous

blimp made a special appearance.

Plus, President Trump says the United States and U.K. can forge a phenomenal post-Brexit trade deal. We'll bring you all the details as

trade took center stage on the second day of his U.K. visit.


GORANI: Well, let's return to our top story now on Donald Trump's state visit to the U.K. After all of the fanfare yesterday, in the building

behind me, Buckingham Palace, it was down to business for the president today.

And the day kicked off with a breakfast meeting with Prime Minister Theresa May and some key British and American business leaders as well.

And then there was that news conference we carried live on CNN where President Trump and Mrs. May were keen to make clear that the special

relationship between their two countries is strong and secure. The president also took the opportunity to wade into British political debate

praising Brexit hardliner, Boris Johnson, as the potential next prime minister.


DONALD TRUMP, PRESIDENT OF THE UNITED STATES: So I know, Boris, I like him, I've liked him for a long time. He's -- I think he'd do a very good

job. I know Jeremy, I think he'd do a very good job. I don't know Michael. But would he do a good job, chairman, tell me.


GORANI: Interestingly, Michael Gove interviewed the president in 2017. He didn't seem to remember that there. Well, he may have received a warm

reception from the royal family and the prime minister. But President Trump is not exactly being greeted with open arms by everyone in London far

from it.

Protestors have been out in force today. Thousands of people came together to rail against the president's policies on everything from immigration to

abortion to climate change. Their numbers were smaller than last summer, but they were still out there in the rain.

Erin McLaughlin filed this report a short time ago.


ERIN MCLAUGHLIN, CNN INTERNATIONAL CORRESPONDENT (voice-over): This is the closest the U.S. president has been to London's anti-Trump protesters. The

so-called carnival of resistance. British humor unfold display.

UNIDENTIFIED MALE: You never to be -- I may find myself answering for convictions.

MCLAUGHLIN: Complete with a Boris Johnson impersonator.

UNIDENTIFIED MALE: A smear campaign you can get behind.

MCLAUGHLIN: The Trump toilet roll stand.

UNIDENTIFIED MALE: If you buy enough, you can build a wall.

MCLAUGHLIN: Making a little money while poking fun.

On Tuesday, the giant Trump baby blimp took to London skies for a second time.

UNIDENTIFIED MALE: We're using this very powerful, humorous visual symbol for the general public to get behind to voice their opposition to Trump.

MCLAUGHLIN: And thousands took to the streets bussed in from all over the U.K. While the rain and wind dampen things a bit, the protest was very


[14:35:03] MCLAUGHLIN (on-camera): President Trump is currently meeting with Prime Minister May at 10 Downing Street. You see the gates of the

prime minister's residence just over that way. Protests happening at Trafalgar Square right over there. He's definitely within earshot.

MCLAUGHLIN (voice-over): But Trump then says this all amounts to fake news.

TRUMP: You saw the people waving the American flag, waving your flag, it was tremendous spirit and love. There was great love, there was an

alliance. And I didn't see the protestors until just a little while ago and it was a very, very small group of people put in for political reasons.

So it was fake news.

MCLAUGHLIN: There was some love in the crowd for the U.S. president.

UNIDENTIFIED FEMALE: We know that CNN is fake news media as with most of MSN. No offense on you. We're here because Trump is the truth. He's for


MCLAUGHLIN: It was a minority view. Most here were hostile to the president and his policies.

UNIDENTIFIED FEMALE: Still love Americans but it's about time you had a revolution in your country.

UNIDENTIFIED FEMALE: Yes. I wish people would march more in America, right? I mean, I feel like they don't. They just go on Facebook and don't

really hit the streets.

MCLAUGHLIN: But this year, not too many hit the streets of London either.

A year ago, the showing was stronger. And the Sun was out and President Trump stuck to the outskirts of London. This time, he went to the heart of

the capital and saw the protests for himself.

Perhaps not quite the turnout organizers had promised. But the scene was far from President Trump's vision of tremendous spirit and love.

Erin McLaughlin, CNN, London.


GORANI: Well, transatlantic trade was front and center, President Trump's second day here in Britain. In fact, I want to show you the front page of

the Evening Standard, there you have it. This is what the British press is focusing on, at least in its evening newspapers on this Tuesday. "Let's do

this deal." He repeated his calls for a trade agreement and said a post- Brexit deal would have phenomenal potential.

Let's get more on this with Hadas Gold. And he's promising, by the way, that trade will increase two to threefold if they're able to strike a good

trade deal.

HADAS GOLD, CNN INTERNATIONAL CORRESPONDENT: That's a very ambitious number. Though the U.S. is the top country for exports from the United

Kingdom. It pales in comparison compared to the European Union which has a bloc of nations, represents often half of the U.K. export market and

because of its close proximity and its deep relationship with U.K. is also a very important place.

But as Donald Trump said today at that press conference, they're looking forward to doing a big bilateral free-trade agreement after Brexit. Now,

of course, these trade agreements take several years and we have to wait for Brexit to actually occur before that can be done.

But there are some other concessions that the United States has already said they will be seeking from the United Kingdom in order to strike that

trade deal and these includes things on agriculture tariffs and food standards.

Now, that could cause the U.K. to be in an interesting situation as they try to balance what the E.U. expects from them and what the U.S. would

want. Because the E.U. has some higher standards on things like genetically-modified crops than the U.S. does. And so the U.K. will have

to figure out where they go in between those two and how to balance these two trade possibilities.

Another thing that came up today at that press conference was the National Health Care System here in the United Kingdom where Donald Trump said

everything would be on the table in a trade deal including opening up the NHS to U.S. companies. This could be anything from having the NHS buy

pharmaceuticals from the United States to companies from U.S. bidding on contracts in the NHS.

This caused quite an uproar in the United Kingdom. We already heard from at least one of the leadership candidates, Matt Hancock, came out and said

that he is against this and it does seem as though it is not a very popular idea.

But this is where the U.S. seems to want to be going. Try to get the best possible trade deal for them out of the United Kingdom, because honestly,

the U.K. will be in a weakened negotiating position after Brexit when it's negotiating as just one country versus the E.U., a much bigger bloc of more

than 20 nations. And the United States, a much bigger country and a much bigger economy.

But again, Hala, all of this, of course, depends on Brexit and what happens with Brexit after October 31st that now the deadline. And keep in mind,

come this Friday, Theresa May will be officially stepping down until a new prime minister comes into play and that could completely change the Brexit

situation, especially if something like Boris Johnson comes in.

GORANI: It sure -- it sure will and can.

Thanks very much, Hadas Gold, for that angle, the trade angle with the U.S. president promising a lot and the U.K. hoping for potentially even more

after Brexit.

President Trump took a moment in his news conference in London to talk about U.S. relations with another ally. He said his threatened tariffs on

Mexico are probably going to happen. That is causing real headaches for Republicans back in Washington while American companies that rely on

Mexican imports are bracing for their world to change. Vanessa Yurkevich has that story.


[14:40:10] VANESSA YURKEVICH, CNN BUSINESS AND POLITICS REPORTER (voice- over): This month, Jaime Chamberlain is expecting truckloads full of grapes from Mexico. But he wasn't expecting to pay tariffs.

JAIME CHAMBERLAIN, PRESIDENT, CHAMBERLAIN DISTRIBUTING: So five percent for now is absolutely horrible. Going to 10, 15 percent, 20 percent, I

can't even -- I can't even imagine.

YURKEVICH: Chamberlain imports 100 percent of his fruits and vegetables from Mexico to his warehouse in Nogales, Arizona. If the president's

tariffs take effect next week --

CHAMBERLAIN: We have red peppers coming out of Sinaloa.

YURKEVICH: Chamberlain, who voted for Trump, will pay more to bring his produce across the border.

CHAMBERLAIN: These are not good ideas and this is not the way I would do things. But this is the way the president is choosing to do things because

of the Congress that we have. You know, I'm not always going to be on the side of the president.

YURKEVICH: The U.S. imports $26 billion of agricultural products from Mexico each year, and manufacturing dwarfs that.

RICHARD RUBIN, PRESIDENT, JAVID LLC: We're shipping $450 million annually across the border. For my customers to pay an extra $100 million, I'm not

sure that they're going to stick around.

YURKEVICH: Richard Rubin owns 26 factories in Mexico, importing materials for American companies which he says provides millions of U.S. jobs.

RUBIN: Mexico is our friend, right? Mexico deserves the respect and the dignity. It's not a business, it's a country. And this should be solved

through diplomacy.

YURKEVICH: Guillermo Valencia brokers trade deals between U.S. and Mexican companies.

GUILLERMO VALENCIA, PRESIDENT, VALENCIA INTERNATIONAL: We're throwing punches in the dark because we don't know what to expect. We know that we

have to take this president serious. Some people are saying he's just threatening. But we can't just assume he's just threatening.

YURKEVICH: As the broker, Valencia ensures tariffs are paid. His company imports and exports products to Mexico.

VALENCIA: This is a component for a major U.S. manufacture that's producing electric cars.

YURKEVICH (on camera): So this could be in someone's back seat one day?

VALENCIA: It will be in someone's back seat one day. So if you haven't bought this car yet, there's going to be an increased cost to this car.

YURKEVICH: Because of the tariffs?

VALENCIA: Because of the tariffs, right. And it could be up to 25 percent. And it could be more because if this product went back and

through a couple of times, depending on the amount of times, it could be 50, 70 percent. Tariff, upon tariff, upon tariff, upon tariff.


GORANI: Still to come tonight, Winston Churchill was the face of British resolve during World War II. Three quarters of a century later, he still

looms large over U.S.-U.K. relationships. We'll tell you why.


GORANI: U.S. President Donald Trump's second night here in Britain will also end with a dinner. But this time, it's the president and first lady's

turn to host. Guests will soon be are arriving to the U.S. ambassador's residence for the event.

[14:45:06] Prince Charles and his wife, the Duchess of Cornwall will be in attendance among other VIP guests. First lady Melania Trump is playing an

active role in the planning.

Kate Bennett joins me now from Winfield House with more on what to expect this evening. First of all, the guest list, Kate?

KATE BENNET, CNN WHITE HOUSE REPORTER: They have not released the guest list yet. But I imagine we'll see a lot of diplomats and VIPs, people

associated with the embassy here. Technically, this is a guest list that the first lady is overseeing.

Pardon. Lots of people speeding by here today. So she's definitely -- I think we're going to see a lot of Americans, a lot of British people, a lot

of -- you know, not quite the level of royalty and VIPs that we saw last night at Buckingham Palace, but certainly there should be many people here

tonight who are important to the American-British relationship as part of this trip.

And, you know, like you said, Melania Trump was a very active in planning this dinner tonight. It's technically, of course, at the ambassador's

residence which the president and first lady are acting as hosts tonight for the party, even though it's not technically their house, they're acting

as such this evening.

So she's overseen everything from the flowers to the menu, to the china, the color scheme. She's extremely active in planning events back at the

White House. So it's not that different that she's focused so much on this event here tonight. She finds it very important to give this reciprocal

dinner as thanks for the state banquet that the queen had last night at Buckingham Palace. And I'm sure it'll be a wonderful black tie affair.

We're watching some of the guests arrive now. There are a few protestors. I don't know if you can hear out here. But certainly, it's going to be an

evening that will send off the Trumps from London in style, I would imagine.

GORANI: All right. Thank you very much. Kate Bennett there with -- I can hear a few loud protestors behind you. We'll let you get back to reporting

and we'll get back you, Kate, once we see some of those arrivals. Thanks so much.

We're going to have a lot more after a quick break. Stay with us. More on the president's visit, what was the big headline from day two?

And, overall, we saw a kind of a more relaxed Donald Trump that seemed to be having quite a good time at Buckingham Palace. And then was unusually

generous toward his host, the outgoing Prime Minister Theresa May. What does it all mean? We'll analyze after this.


GORANI: As part of his state visit to Britain, U.S. President Donald Trump toured the Churchill war rooms today. The underground bunker where Winston

Churchill worked during World War II. Mr. Trump's interest in Britain's war time prime minister hasn't gone unnoticed by the U.K. present day

leaders, so it's probably not a coincidence they chose that particular tour today.

Queen Elizabeth gave the president, in fact, a first edition of Churchill's history of the war. And Prime Minister Theresa May announced that Mr.

Trump would receive a framed copy of the Atlantic Charter, the historic joint declaration signed by Churchill and U.S. President, Franklin


Churchill is credited with coining the phrase "special relationship," to describe the bon between Britain and the United States. It's a

relationship that has been tested in recent years, raising questions about where it stands today.

Let's sort all of this out. We're joined now by John Purdue. He's the U.S. editor at The Economist. Lots of pollen around here, I apologize,

popping here.


GORANI: So, let's talk a little bit about -- as far as your concern, what was the big headline from day two? The British press are leading quite a

bit on these trade deals promises.

PRIDEAUX: That's because the British press is obsessed with Brexit. And I think from an American standpoint what's the most interesting about the

visit really has been how normal it's been. And people were expecting, perhaps a bit more interference in domestic politics, perhaps President

Trump to go a little more off message like he did the last time.

He was very warm about Theresa May. He said that she was an even negotiator than he is, which I think the most self-evading thing I've ever

heard President Trump. It probably helps at his transparent nonsense. Most people here think that Theresa May has done a terrible job of

negotiating Brexit. But no, surprisingly normal quite small protests, everyone enjoying the pageantry.

GORANI: Maybe he's feeling charitable toward an outgoing prime minister who's taking quite a beating in recent weeks.

PRIDEAUX: I think you're exactly right about that. And you have political relevance now in the U.K. is fairly low. So even that level, the political

level, this was quite a ceremonial visit. Obviously, you have all the pageantry around Buckingham Palace. But even the staff of the prime

minister is fairly content free.

GORANI: So he was very complimentary about Boris Johnson, even though maybe he wasn't reminded of this. Boris Johnson in 2016 said he was unfit

to be president. He also said he didn't know Michael Gove who happened to have interviewed him in 2017 for the Times newspaper.

And then also said Jeremy Hunt is capable, but possibly because he's had a lot of face time with the foreign secretary. What did you make of his

comments about internal U.K.?

PRIDEAUX: Well, as for the first thing is if you rewind to kind of pre- 2016 world, it would be a big break with diplomatic protocol, right? Typically, you don't seek to intervene kind of interfere in the politics of

the countries that you're visiting. That's gone out the window with President Trump.

We're kind of used to that by now, right? But I supposed his comments by his standards were pretty emollient. He praised a few people. Clearly, he

prefers Johnson. He sees something of himself in Johnson, I think.

GORANI: But it's interesting that now we have become so used to the outbursts by the president and these tweets that a -- an unremarkable trip

still involves insulting the leader of the opposition, refusing a meeting that was requested by Jeremy Corbyn and then calling the mayor of London a

stone-cold loser. And at the end of all that, we say it was pretty tame.

PRIDEAUX: That's exactly right. The world has changed a lot in the past couple of years, Hala. And also on the other side, you know, for those at

British opposition politicians, it's great politics for them to have a go at Donald Trump.

Sadiq Khan, the mayor of London, knew exactly what he was doing when he fired off a few tweets to welcome the president, so yes.

GORANI: So let's talk a little bit about these promises of an amazing trade deal and how the trade volume could increase two to three times.

That is not realistic. Do people in Britain buy it when he promises these things?

PRIDEAUX: I think there's a lot of hope going on here. If the country leaves the European Union, its biggest trading partner in October, as it

looks possible, then people really, really want to find some way to kind of rescue the situation economically. And so people pin a lot of hope on an

instant free-trade deal with America. But trade deals take a long time to negotiate. And even when this political will on both sides.

And also trade deal with America is not necessarily something that British consumers, I think, are going to absolutely love in practice. You know,

they've had several decades to get used to buying European agriculture products and the U.S. does stuff a little different. And so it won't be --

it won't be straight forward.

And also, just to finish up, you know, when it comes to goods, the lure of trade seems to be that country just trade most in goods with countries that

are nearby them.

GORANI: Sure, yes. And that would be the big E.U. bloc, which is by far, a much bigger trading partner if you take the bloc, then the U.S. is.

Let's talk a little bit about that term special relationship. The leaders of both countries went on and on about it, about how -- in fact Donald

Trump said it is the -- I'm going to paraphrase him, but the best alliance in the history of humanity, basically.

Is it still as special as it once was?

PRIDEAUX: I think this is something the Brits care about a great deal. And I think you have to rewind, you know, the best part of half a century

to understand why it goes back to the loss of empire and the feeling that Britain is no longer a great power, looking to America to be the kind of

strong ally that magnifies Britain's kind of power on the global stage.

So Brits have always been rather obsessed with the special relationship. I think last time Donald Trump was over, he said the relationship was the

highest level of special, which made Brits feel, you know, very fuzzy again. We love American presidents here, generally. There's a statue of

George Washington outside The National Gallery around the corner from here.

And perhaps they don't like President Trump so much, but generally the feeling towards America is pretty warm. Whether it -- whether the Britain

matters much for the U.S., you know, frankly, I was skeptical.

GORANI: The last poll indicated that his popularity rating here is quite low, in the 20s. So he's not a popular person. The relationship is

valued, though, as you say. But I do wonder how history will remember this. I mean, how history and historians and people in future generations

will look back on this trip after the things the president has said that have caused so much outrage about Muslims, about immigrants, about women,

and to have the red carpet rolled for him to this degree.

[14:55:12] And I know his critics are upset not about the visit itself, but about the fact that it's a state visit.

PRIDEAUX: That's right. There's been this whole question since President Trump was inaugurated, the debate, the journalists have had a lot about

normalizing the presidency, normalizing President Trump's behavior. But that sort of what happens when you become president of the U.S. You know,

things like the state visit happen. And it does become -- it does become normalized.

And as we were saying earlier, things that previously would have seemed completely mad, the president arriving in his helicopter tweeting at the

mayor of London, calling him a stone-cold loser, is a sort of shrug your shoulders moment now.

GORANI: Yes. And certainly what's happening at the border and the United States, all of these things have caused dismay and outrage among his

critics. And that is part of the reason that some of them, including here in the U.K. until may, they wished that it hadn't been a state visit.

And I just want to tell our viewers what they're seeing now as well, John, this is the front door of Winfield House. So this is where we expect the

arrivals to this VIP reciprocal dinner to take place and we'll catch a glimpse of some of them.

He came with his adult children, even though who don't work for the administration.

PRIDEAUX: That has been a curious thing compared with other visits by presidents and other elected politicians. The way that the family travels

as a family is more like a monarchy than it is like a typical presidency. So that's unusual as well.

Winfield House is an interesting place, a far as the special relationship goes, because I believe the story there is that it was basically sold to

the Americans for one pound after the end of the Second World War as a kind of gesture of friendship and solidarity. It's one of the -- it's probably

the finest house in London. So that place has a bit of history.

GORANI: All right. Well, we'll be keeping our eye on that. John Prideaux, the U.S. editor at The Economist. Thanks so much for joining us.

Really appreciate it.

I see a glimpse there of the first lady and, of course, next to her, the president.

Let's take a look at some of these images. They're walking out -- walking out there of the front door of Winfield House. They're going to be

welcoming their guests. This is a reciprocal dinner. This is, of course, a return dinner, a thanks after the banquet, this really lavish sumptuous

banquet that was -- that of course was the welcome dinner for the state visit hosted by her majesty, the queen.

The president is wearing a tuxedo. It was a white tie dinner at Buckingham Palace yesterday. It is now a black tie dinner. So slightly less formal,

not exactly sure what's in the menu.

And John Prideaux is still here with me. You were talking to me about Winfield House, and you're saying it's probably the most beautiful

structure, it's on Regent's Park in Central London.

PRIDEAUX: It's certainly impressive. I mean, its garden is, you know, the size of several football fields which is an unusual thing to have a slap in

the middle of a capital city of a European country. It's a very substantial house.

I believe it belonged to the Woolworths family which is a big like department store here. And as I said, I think it was sold to the U.S.

government for one pound after 1945 as a kind of gesture of sort of friendship and solidarity.

GORANI: What is the expectation in terms of who will be invited tonight on the British side? You're going to have, obviously, politicians. And you

also have key business and industry leaders because the president is very attached, as we've been saying, to the idea of striking the best possible

trade deal with the United Kingdom after Brexit.

What is the expectation in terms of who will be there this evening?

PRIDEAUX: There'll be, as you said, a mixture of business people, politicians. It'll be a lot of smooshing. And whether anything, you know,

it's usually substantial comes out of this, I'm not sure. But I think in a way that's one of the interesting things about these sorts of visits that

involve the monarchy.

If your visit is a purely political work, then it becomes much more transactional. What can your government do for my government? What can I

do for your -- if you -- well, as soon as you get the monarchy involved, which is why, you know, the monarchy is sort of a great thing for Britain

in a diplomatic sense. You can have a totally fact free visit like this and everyone leaves delighted, because it's really all about the photo

opportunities. So that's been interesting.

The one, you know, really substantial issue that people were talking about in the run-up to this was the question about Huawei and the extent to

which, you know, Britain is going to involve Huawei in its 5G networks, which is something that the U.S. government, the Trump administration,

specifically asked the Brits not to do and goes to the core of this special relationship idea because it touches intelligence sharing.

That doesn't seem to have been a big deal on a visit, because people have been busy having dinners and wearing tuxedos or white tie.

GORANI: You mentioned it very briefly and we'll continue to cover this. Thank you very much, John Prideaux, and thanks for sticking with us there

through this -- the initial moments of this dinner.