Return to Transcripts main page

Connect the World

Top Medical Expert Offers Bleak Outlook for U.S.; Trump Mostly Ignores Pandemic and Turns Press Conference into a Campaign Rally; Moderna Vaccine Promising but More Research Needed; Trump Defends Confederate Flag as Freedom of Speech; Oil Producers Ready for Next Phase of Cuts; Protests in Jerusalem Mount Pressure on Netanyahu; Hospital Data Now to Go Straight to White House, not CDC; Armed Guards Enforce Bogota's Partial Lockdown; Total Deaths in Latin America and Caribbean Surpass U.S. and Canada; China: We Are not Afraid of Sanctions over South China Sea; U.K. Bans Huawei from Its 5G Telecom Network. Aired 10-11a ET

Aired July 15, 2020 - 10:00   ET

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


[10:00:00]

BECKY ANDERSON, CNN HOST (voice-over): Well, tonight, as COVID surges, the American president peddles more and more delusions.

America's allies are standing up to China as all roads seem to lead to Beijing this hour. A leading British politician joins me to explain why.

Plus, COVID cases spike in Israel, piling pressure on the economy. Will the man dubbed King Bibi pay the political price?

(MUSIC PLAYING)

ANDERSON: Hello. This hour, it can be done. Today right here in the UAE, an announcement that it didn't record a single coronavirus death in the

last 24 hours. But not everywhere is proving so robust.

I'm Becky Anderson. Here we are in Abu Dhabi. You're watching CONNECT THE WORLD.

The coronavirus numbers in the United States are staggering, as the virus outpaces and outwits people's delayed efforts to contain it. There was yet

another record day of cases Tuesday, more than 67,000. That's as many people as you could cram into a decent sized sports stadium.

And it is happening across the country.

Fact: almost 3.5 million Americans have been infected.

Fact: two-thirds of U.S. states are showing week to week increases.

Fact: 136,000 Americans have died of COVID-19.

Fact: that number will go up.

A model used by the White House predicts nearly a quarter of a million deaths by November. The United States has seen nothing like this in

peacetime in more than a hundred years, since the Spanish flu of 1918.

Will history remember this pandemic in a similar fashion a hundred years from now?

Well, the top U.S. infectious disease expert has a very troubling answer to that question. Have a listen.

(BEGIN VIDEO CLIP)

DR. ANTHONY FAUCI, NATIONAL INSTITUTE OF ALLERGY AND INFECTIOUS DISEASES: That was the, you know, the mother of all pandemics and truly historic. I

hope we don't even approach that with this. But it does have the makings of the possibility of being, you know, approaching that in seriousness.

(END VIDEO CLIP)

ANDERSON: Well, he calls it the mother of all pandemics for a reason. At least 50 million people died worldwide and there is no light at the end of

the tunnel for now, other health experts warn.

White House officials have said the warmer summer months in the Northern Hemisphere would give his country a break from the virus. Clearly, that

hasn't happened.

So what will happen when coronavirus runs up against the flu season?

Well, the director of the Centers for Disease Control or the CDC is sounding alarms about what is ahead.

(BEGIN VIDEO CLIP)

DR. ROBERT REDFIELD, CENTERS FOR DISEASE CONTROL AND PREVENTION: I do think the fall and the winter of 2020 and 2021 are going to be one of the

most difficult times that we have experienced in American public health.

Keeping the health care system from being overstretched is really going to be important and the degree we can do that will define how well we get

through the fall and winter.

(END VIDEO CLIP)

ANDERSON: Well, the Trump administration officials like to point out the latest U.S. case surge isn't as serious as before, because it's more

focused on the younger people who they say don't get sick.

Well, that argument is ringing hollow, with 11 states now reporting record hospitalizations. But we may not see updates like this after today. CNN has

learned that the hospital data will be sent first to the Trump administration without first being shared with the CDC.

And that change could make the data less transparent to the U.S. public. As far as President Trump, well, he barely mentioned the pandemic sweeping

through the nation billed as news conference.

[10:05:00]

ANDERSON: But it was an out and out campaign rally to be honest, with constant attacks on the man he is now trailing in the polls.

(BEGIN VIDEO CLIP)

TRUMP: Joe Biden's entire career has been a gift to the Chinese Communist Party. Joe Biden is pushing a platform that would demolish the U.S.

economy. Totally demolish it. We have bridges that should have been fixed.

Why didn't he fix them?

He was there for eight years with President Obama.

Why didn't they fix them?

But Hunter, where is Hunter, by the way?

(END VIDEO CLIP)

ANDERSON: Well, in the midst of all of the sobering statistics, there is some hopeful news today. The Moderna vaccine is set to enter the final

phase 3 trial in the United States after phase 1 results showed all 45 subjects injected with the vaccine developed neutralizing antibodies with

mostly mild side effects, a small sample size to be sure but encouraging results.

For more on the global race for a vaccine in the moment, first, all of this week we have been talking about Florida, where even more hospital ICUs are

filled to capacity. Rosa Flores is in America's COVID epicenter.

The state just recorded the highest one-day death total Tuesday.

Is it any clearer why the numbers are so high?

ROSA FLORES, CNN CORRESPONDENT: You know, we just learned yesterday from a roundtable with the governor and also the mayors here of Miami-Dade County,

which is the epicenter of the epicenter here in the state of Florida, that while they are seeing a lot of young people being infected, they're

starting to see a turn, where not only are young people driving this surge but now they're seeing an increase in the number of individuals that are 65

and older that are also getting this virus and also ending up in the hospital.

Here's the reality on the ground here in Miami-Dade County. The county reporting yesterday a 31 percent positivity rate. Their goal is not to

exceed 10 percent; well, they have exceeded 22 percent for the past 14 days.

When it comes to hospitalizations, those are up by 56 percent in the past 13 days. ICUs, 65 percent. Ventilators, 92 percent. The mayors here from

Miami-Dade County expressed their frustration yesterday to the governor, saying that they need more resources. They need more contact tracing. They

need a unified message.

One of them calling for a mask mandate that is statewide. I checked; when you look at the hospitals across this state, there are 54 ICU hospitals

that are at capacity, meaning there are no more beds available. Now 10 of those are right here in Miami-Dade County in the epicenter of this crisis.

There's another 40, Becky, who have either 10 percent available or less. And again, the frustration here locally is they need more contact tracers,

they need more data so they can make the decisions necessary to save lives -- Becky.

ANDERSON: Thank you, Rosa. That's the story in Florida.

What then of a coronavirus vaccine?

Well, there are currently 23 human trials underway around the world. The Abu Dhabi ministry of health here in the United Arab Emirates announcing

two vaccine trials are set to begin phase 3 of testing. Those that make it to phase 3 are the closest to approval.

Now this is truly a worldwide humanitarian effort. On the American side of the vaccine race, one being developed by U.S. biotech company, Moderna, is

showing promise in trials. In phase 1, all of the subjects developed an immune response and there were no serious side effects. Phase 2 is now

under way with 600 participants.

And the final phase, including people from high risk groups, will begin on July the 27th. Well, health reporter Jacqueline Howard is joining us now

from Atlanta in Georgia with more on this global vaccine race.

Just how close are we realistically to getting a vaccine?

JACQUELINE HOWARD, CNN HEALTH CORRESPONDENT: Yes, well, like you said, there are many trials around the world that are approaching a phase 3

trial. Which shows that I mean things are moving forward very quickly but the data is still very early.

While there's a lot of data that appears promising, we are still a ways to go before we can get enough information to really say whether a vaccine is

or is not safe and effective. So yes, things are moving quickly but we still have a ways to go.

Now officials in the United States still say we're on track to having a vaccine by the end of the year. But with the U.S. vaccine candidates that

you mentioned, we still have to see really how safe it is.

[10:10:00]

HOWARD: Yes, it did elicit an immune response in all 45 participants in the phase 1 trial. Yes, there were no serious side effects to stop the

trial but still some side effects. Some had fatigue, chills, muscle pain, pain at the injection site.

And we have to see how effective these are. The one in the U.S., yes, it elicited the immune response but is that going to be enough to really curb

the spread of COVID?

We still have to answer those two questions, how safe is the vaccine and how effective is the vaccine.

ANDERSON: Yes. Very good point. Very well regarded projection, Jacqueline, now forecasting more than 220,000 Americans will be killed by COVID come

the start of November. That is, of course, just before the election -- well regarded.

How reliable is this forecast, though?

HOWARD: Yes. So this forecast has been used, you know, and referenced for a while throughout this pandemic. Now with any forecast, I mean, there are

limitations.

No one can predict the future, right?

But this forecast has, you know, increased its prediction for November. It originally predicted 208,000 deaths. Now, as you said, it's predicting the

higher number. The lead researcher behind this model did say the reason why it's because we have seen a rise in cases in Florida, for instance, where

Miami is the epicenter here in the U.S.

And there have been a rise in hospitalizations and deaths. Some of those states are Mississippi, South Carolina and Tennessee. So because we see

this rise in cases and a rise in hospitalizations and deaths in some states, that's why there is this prediction of a high number of deaths by

November.

But only time will tell but these models we rely on to really kind of predict and project where this pandemic is heading.

ANDERSON: Yes. Jacqueline, thank you. Important stuff and we'll be back to you again.

While the world anxiously awaits a vaccine, then the U.S. president seems to be looking for someone to blame or something to distract, anything,

really, to take attention from the 136,000 Americans who have died during this pandemic.

On Tuesday, Donald Trump gave a speech in the White House Rose Garden, spending most of his time attacking Democrat Joe Biden. He called him out

by name dozens of time.

Now the purpose of the event was originally billed as the announcement of new actions on China, which he did briefly mention. He also took a moment

to inaccurately attribute the rise in the COVID-19 cases to the country's testing, something we have heard him say many, many times.

(BEGIN VIDEO CLIP)

TRUMP: If we didn't test you wouldn't have all of the headlines. If we did half of the testing we would have half of cases you cut that in a half,

we'd have yet again half of that.

(END VIDEO CLIP)

ANDERSON: CNN's John Harwood in Washington.

You're across what many described as a rambling speech by the president. Public health experts have knocked down that inaccurate theory over and

over again but it doesn't seem to stop the president from repeating it at every chance he gets.

Sorry, John, I don't think you heard me there.

Public health experts knocking back this idea of the more tests you do the more numbers you get and therefore we should do less tests that's me

paraphrasing the U.S. president. But that seems to be the point. It doesn't stop him repeating it every chance he gets.

No, I don't think we have got John. OK. Let's see if we can get back to him. Let's move on though.

Also from Donald Trump, some comments he made on race. Have a listen to this.

(BEGIN VIDEO CLIP)

CATHERINE HERRIDGE, CBS NEWS CORRESPONDENT: Would you be comfortable with your supporters displaying the Confederate battle flag at political events?

TRUMP: You know, it depends on what your definition is. But I am comfortable with freedom of speech. It's very simple.

HERRIDGE: But you understand why the flag is a painful symbol for many people because it's a reminder of slavery.

TRUMP: Well, people love it and I don't view, I know people that like the Confederate flag and they're not thinking about slavery. I look at NASCAR,

you go to NASCAR, you had those flags all over the place. They stopped it.

I just think it's freedom of speech, whether it's Confederate flags or Black Lives Matter or anything else you want to talk about. It's freedom of

speech.

[10:15:00]

HERRIDGE: Let's talk about George Floyd. You said George Floyd's death was a terrible thing.

TRUMP: Terrible.

HERRIDGE: Why are African Americans still dying at the hands of law enforcement in this country?

TRUMP: And so are white people. So are white people. What a terrible question to ask. So are white people. More white people, by the way. More

white people.

(END VIDEO CLIP)

ANDERSON: I think we have John with us.

John, how accurate are his comments with regard to race?

All right. You know what?

Unfortunately the gremlins --

JOHN HARWOOD, CNN WHITE HOUSE CORRESPONDENT: Becky, I don't sound --

(CROSSTALK)

ANDERSON: All right.

Later on in the show I'll bring in an expert on U.S. politics, a regular guest on this show. Not that John isn't. He's brilliant. He has been doing

it longer than I have been eating sliced bread. But we can't speak to him.

I'll bring in Stephen Collinson later, who says that Trump only offers denial and delusion as the pandemic takes over his presidency.

We heard the president, Trump, talking about the anti-racism protests on historic symbols in the U.S. And the movement is also having a ripple

effect in the U.K.

In Bristol an artist who secretly erected a new statue of a Black Lives Matter protester, a woman with her fist raised in a black power salute,

it's in the same place where the statue of a 17th century slave trader, Edward Colston, once stood. Black Lives Matter demonstrators toppled that

statue and dumped it in a river.

You're watching CONNECT THE WORLD. The oil market responds to news just announced from OPEC on future production levels. Details on that coming up

next.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: (voice-over): The crowd chanting, police, police. We're here to protect you.

ANDERSON (voice-over): Unrest in Israel, while protesters are demanding the resignation of the prime minister. That is up next.

And why a football star is becoming the youngest ever person to receive an honorary doctorate from the University of America. A great story. We'll

have that coming up.

(MUSIC PLAYING)

(COMMERCIAL BREAK)

(MUSIC PLAYING)

ANDERSON: The global economy is taking a massive and unforeseeable hit from coronavirus, leaving oil producing countries scrambling with what to

do with oil output levels. They have been meeting to discuss extending production cuts, which are due to expire this month.

[10:20:00]

ANDERSON: Well, you will remember that oil prices collapsed earlier this year after global demand fell by a third due to COVID-19 lockdowns around

the world. Now OPEC, the oil cartel, is expecting that demand will rebound in 2021. Let's bring in the man who eats and sleeps the oil markets, John

Defterios, my colleague, here with me in the card-carrying emirate of Abu Dhabi.

This is not a full ministerial meeting but you have been listening and they obviously need to manage expectations very carefully after seeing that

collapse in prices at the height of the pandemic.

What are they saying at this point?

JOHN DEFTERIOS, CNN EMERGING MARKETS EDITOR: Well, they're about two hours into the virtual meeting. But the big heavyweights, Saudi Arabia and

Russia, made it very clear they're ready to move into phase 2.

It's been a long road back, as you suggested, in the last four months. As we look at the Brent, we had a price war and then the depth of that

pandemic in April brought the prices down to around $16 a barrel during the trading day for Brent and below zero on WTI.

So they had to manage by taking 9.7 million barrels a day off the market and now down to 7.7. But that's still a very severe cut.

So we saw this change coming with the secretary-general saying that the market is almost balanced right now. They expect the demand to come back up

by 7 million barrels next year. They're saying they're ready to take some action, take some of the oil off the market to go forward.

And the market is responding well. We are stable in terms of prices, around $40 for WTI and the international benchmark around $43 a barrel. Not a

great price but a stable price and that's not bad after the last four months.

ANDERSON: Yes. And a price that looks respectable, given what has happened over the past couple of months -- to the oil producers, of course. Saudi

Arabia, the de facto head of OPEC, of course, is making a point to single out Iraq and Nigeria to ensure that they hit their production targets.

That's difficult for those two countries, so reliant, of course, on oil for their government coffers, John.

DEFTERIOS: Yes. Indeed. Remember when Abdul Aziz bin Salman took over in September 2019 and he said I support the idea of OPEC plus, collaborating

with Russia. But Saudi Arabia is not going to carry the wagon on its own. Everyone has been pulling into the same direction, if you will.

Iraq and Nigeria, when OPEC went for the historic cut of 9.8 million barrels, did not deliver on the cuts in May and June and so the Saudi

minister asked, are you going to stick to your word and deliver the cuts in August and beyond through the rest of the year?

That's the pledge by Iraq and Nigeria. And to your point politically, it's difficult for countries that depend on oil for 90 percent of the foreign

exchange earnings to say I see prices are stable above $40 a barrel and now I need to cut deeper. This is strong arming by Saudi Arabia, backed by

Russia, by the way. But that's the name of the game. They're saying a deal is a deal, Becky.

ANDERSON: These oil producers will be keeping one very concentrated eye on predictions for the global economy going forward. Executives on Wall Street

are urging caution.

How much caution, John?

DEFTERIOS: You know, this is interesting because you see Moderna coming out with a vaccine that may hold some hope. But CEOs on Wall Street are

suggesting, look, you don't get too far ahead of the game.

And one very respected one, JPMorgan Chase's chief executive officer, Jamie Dimon, when he put out results for the second quarter, by the way, better

than expected but our calculations show -- this is an important number, that double digit unemployment in the United States will not last until the

end of 2020 but through the first half of 2021.

You have heard politicians saying the snapback is coming, the worst of the cuts are over and the banks are saying we took a loss in the second

quarter, in the case of JPMorgan Chase, of $10 billion because there's a lot of bankruptcies and a lot of the companies are still trimming back for

what is the new normal.

To have a well known name on Wall Street to say 10 percent or above through the first half of next year is saying something quite serious.

ANDERSON: Yes. John Defterios in the house, John, always a pleasure. Thank you.

Israel's deteriorating economic woes and the worsening coronavirus crisis is causing a shaky ground for a prime minister already under pressure.

Protests over the weekend against Benjamin Netanyahu and echoes the cries of Tel Aviv over the weekend.

Protesters say they have simply lost trust in the government, calling for the resignation of the prime minister.

[10:25:00]

ANDERSON: Oren Liebermann is standing by in Jerusalem.

I mean, clearly, these protesters are piling the pressure on the man known as King Bibi.

How much pressure is he under at this point?

OREN LIEBERMANN, CNN CORRESPONDENT: Well, the pressure is certainly growing. It's not exactly the prime minister voter base. Perhaps he doesn't

have to be concerned about the people outside his residence overnight.

But there's a sign that people here don't trust the government and, second, fear for their financial future.

(BEGIN VIDEOTAPE)

LIEBERMANN (voice-over): They said it was the biggest protest outside the prime minister's residence in a decade. Maybe they were right. Police said

3,000 people took part in the protests against corruption and against prime minister Benjamin Netanyahu.

This woman said, "I came to demonstrate and to protest because they stole our country and our democracy and they're passing laws here of a

dictatorship."

Protesters tried to break through the police barriers, friction turned into pushing and shoving. The crowd chanted, "Police, police, who are you

protecting?"

They held signs that read, "No way a criminal defendant will be prime minister" and, "Bibi, go to prison."

Netanyahu has maintained the innocence on bribery, fraud and breach of trust. There's a growing sense of anger and frustration as the economy

deteriorates.

UNIDENTIFIED MALE: Everything is falling apart. We're talking about every sector of the country. It's falling apart because this guy is a very bad

manager.

LIEBERMANN (voice-over): On Saturday organizers say more than 10,000 people turned out in Tel Aviv. This week unemployment hit 21 percent. And

while the Tel Aviv protest was mostly economics, the Jerusalem protest was mostly politics. It was Bastille Day and for some demonstrators, this was

storming the Bibi-stille.

Late at night, protesters marched to the city center and in some spots a demonstration became a riot. Protesters threw chairs and tables on the

light rail line, blocking the train and destroying some of the outdoors areas along the boulevard. And someone torched a dumpster.

Clashes erupted and police tried to break up the crowd with water cannons. Mounted officers chased protesters off the streets. Police say 50 people

were arrested throughout the evening as scuffles continued well past midnight. A district commander said anarchists used the otherwise peaceful

protests as cover.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE (through translator): In the end we're talking about an event that was quite violent. And there is no doubt that this group

disrupted the demonstration that was opposite many legitimate demonstrators that came for a peaceful demonstration.

(END VIDEO CLIP)

LIEBERMANN (voice-over): Netanyahu said on Twitter that the violence that raged at the police is a disgrace that should be condemned on all sides.

Another anti-Netanyahu protest is already scheduled for this Friday in Jerusalem as the pressure on the prime minister has grown on his doorstep.

(END VIDEOTAPE)

LIEBERMANN: And, of course, on top of all this is the surging number of coronavirus cases here, with more than a thousand new cases a day becoming

normal over the course of the past seven days. In fact, Israel hit a new record two days ago of 1,718.

The days where Israel seemed like it had it under control in mid-May with 25 new cases a day, those seem like a distant memory that Israel is very

far away from getting back to in terms of control of coronavirus and that adds to the pressure on the prime minister. Becky.

ANDERSON: All right, Oren Liebermann, thank you for that.

Well, we started this hour in the United States, the most badly affected country on Earth by the coronavirus. Up next, major Latin American cities

shut down. I'll get you to the capital of Colombia that's living under so- called rolling lockdowns and I'll speak with an expert about how poverty is contributing to the case count in Latin America and the Caribbean. That's

after this.

(MUSIC PLAYING)

(COMMERCIAL BREAK)

[10:30:00]

(MUSIC PLAYING)

ANDERSON: Welcome back. It is just half past 6:00 in the UAE. This is CONNECT THE WORLD with Becky Anderson from the Middle East broadcasting hub

in Abu Dhabi.

The U.S. woke up to another 67,000 cases of coronavirus. That is the highest one day jump so far. In all, the U.S. has seen 136,000 deaths. The

state of Florida reporting the most deaths from COVID-19 in a single day, 132. Another troubling development, the daily reports from hospitals on

patient loads and ventilator capacity will no longer be sent directly to the Centers for Disease Control or the CDC.

The Trump administration wants it sent to a White House database first. They say it'll be a faster system but it's raising concerns in the U.S.

about transparency to the public.

Well, there is some promising news out there on the U.S. side, a vaccine made by the company, Moderna, has produced an immune response in phase 1

testing. The drug will now advance to the next crucial testing stage.

Well, total deaths from coronavirus in Latin America and the Caribbean have surged past the United States and Canada. As you can see here, that's based

on the data from the Johns Hopkins University and the World Bank.

Although the death rate per capita is still twice as high in the U.S. and in Canada, Brazil reporting more than 74,000 lives lost with nearly 2

million confirmed cases. That's the second highest case count in the world.

Mexico, meanwhile, saw its second highest daily new cases count Tuesday, over 7,000 in a 24-hour period. More than 36,000 people there have died and

it is also extending border restrictions with the United States for a third time until at least August.

The two largest cities in Colombia are back in partial lockdown. The health ministry in said a fifth of the new cases were reported during the last

seven days. Health workers fear they're losing control. Stefano Pozzebon reports.

S(BEGIN VIDEOTAPE)

STEFANO POZZEBON, CNN CORRESPONDENT (voice-over): Streets cordoned off and armed guards on street corners. This is life in parts of the Colombian

capital, Bogota, where several neighborhoods are now under strict lockdown as of Monday.

Neighborhoods will see rolling 2 week quarantines. This follows a surge in positive coronavirus cases since the government began easing restrictions,

first imposed back in March. Colombia is currently the 5th most affected country in Latin America, with more than 150,000 cases.

A whopping 20 percent of those cases came in the last week, averaging more than 4,000 a day. Bogota has been hit hard. The city of 8 million accounts

for more than 30 percent of the total number of cases in the country. The new restrictions are in neighborhoods that have seen a spike in recent

days.

[10:35:00]

UNIDENTIFIED MALE (through translator): The health ministry and the national government, together with the participation of 80 government

entities and ministries, indoors, under the supervision of the president, the decision by Bogota city and its plan to lock down and close areas.

POZZEBON (voice-over): Security forces are out to enforce the restrictions. Police have set up checkpoints. Only essential shops are

allowed to open. And just one person per family can leave home to buy supplies.

UNIDENTIFIED FEMALE (through translator): At the checkpoints, we ask people why they are coming to the area. We take their temperature and give

them preventive measures against COVID-19.

POZZEBON (voice-over): Hospitals are filling up. On Friday, intensive care units in Bogota reached 85 percent capacity. Doctors and nurses here say

they are stressed, worried about the possible collapse of the system while officials and police take action to change the curve -- Stefano Pozzebon,

CNN, Bogota, Colombia.

(END VIDEOTAPE)

ANDERSON: Well, my next guest argues that the way that the coronavirus has played out in Latin America is due to inequality and poverty. Ivan Briscoe

is the director for Latin American and the Caribbean at the International Crisis Group and he is joining me live. This is important, of course, given

that 30 percent of the region lives below the poverty line, Ivan.

IVAN BRISCOE, INTERNATIONAL CRISIS GROUP: That's right. There are a vast number of people in the big cities, of Latin America and in rural areas,

suffering great poverty. Obviously it will probably get worse as a result of the coronavirus.

ANDERSON: There are exceptions, of course; Paraguay has managed largely to keep COVID-19 at bay. But it seems -- there does seem to be, you know, an

argument that is well founded here, that says inequality perpetuating this coronavirus and things are going to get worse.

The IMF's warning on a sharp contraction in a regional economy must then concern you, that measures to support those on lower incomes will quite

frankly not take a priority going forward.

BRISCOE: I mean, (INAUDIBLE) in Paraguay, this is a very complex story. It's not all entirely about poverty and inequality. Obviously the disease

came to Latin America from Europe and the United States. That's clearly established.

The very first major outbreak we saw in the town of Guayaquil in Ecuador was clearly related to people coming over from Spain and Madrid, in

particular, people who travel internationally, wealthier people.

But since then, since March, this disease has clearly made the biggest inroads into the poor and more vulnerable parts of Latin America and also

has the highest mortality rate in those areas.

Let's look at Brazil, of course the worse affected country in the whole region. The worst affected part of Brazil in terms of the mortality rate is

Manaus, in the Amazon region, 2 million people. Many of them very poor. Many can't obey lockdown restrictions for economic reasons. Many live in

very overcrowded situations where they maybe don't have access to running water for all of the basic hygiene to keep the disease at bay.

So for all of those reasons they're suffering greatly. When people do suffer in large numbers with this disease, then they turn to a public

health system and this is based in Brazil and in Colombia, throughout the region, a public health system that's not really equipped to deal with an

outbreak in these dimensions.

And this is where we see the tragic heightening of the death rate (INAUDIBLE).

ANDERSON: You talked about the mortality rates. Let's run through some of the other numbers; 30 percent of Latin America as a whole lives below the

poverty line. One in five living in slums and 60 percent employed in the informal sector, most with access to employment benefits.

I guess the question now is, you know, how do governments best support lower economic communities with the backdrop of these, you know, awful

economic forecasts when this virus continues?

BRISCOE: I mean, this is (INAUDIBLE). Some governments, you know, they'll largely -- Nicaragua to an extent.

[10:40:00]

BRISCOE: Mexico as well have tried to push this issue to one side and not take it seriously. But almost all of the governments, the debate is exactly

what you describe, do you aim to protect the health of the population?

Or do you aim to protect the economic conditions?

And the economic conditions is not just a matter of income and prosperity, it's about keeping people alive. It's about ensuring that they have the

resources to buy food and keep a roof over their head.

So it's almost impossible to resolve, of course because, even if you impose lockdowns, very strict lockdowns, like we have seen in Latin America and

then reimpose them, like we have see in Bogota (INAUDIBLE), it's almost impossible for large numbers of people to inform with those (INAUDIBLE).

And that's what we saw very clearly in Peru, with another (INAUDIBLE) huge caseload. When you actually look at the statistic, you know, of the people

who are most affected by the lockdown in Peru, it's the poorest people. They lost their jobs. They lost their incomes. They've had to start.

And so I mean, the risk is the poorest. But we're entering a phase now where the economic damage done so far by the coronavirus is so great, that

there's no capacity anymore amongst the poorest parts of society to obey the restrictions any more. So lockdowns could be imposed but only on paper.

ANDERSON: Ivan Briscoe on the story for you. To then sum up -- thank you, Ivan -- to sum up that conversation, have a look at the developing

countries like Mexico and Ecuador reporting very high mortality rates for the coronavirus

This is a global virus. It does hit some areas harder. We must all be vigilant to do our part for those around us and those very far away. This

virus can travel far and wide.

Well, U.S. president Trump takes a hardline against China. Up next, we'll look at the fallout from his executive orders on Hong Kong.

And in the U.K., a major reversal heats up tensions between China and the West. We'll speak to one lawmaker who says it is time to end dependence on

China.

(MUSIC PLAYING)

(COMMERCIAL BREAK)

(MUSIC PLAYING)

ANDERSON: China has one word for the threat of more U.S. sanctions: pathetic. A spokeswoman for China's foreign ministry said her country is

not afraid of American sanctions over the South China Sea. The U.S. made that threat over what it calls China's illegal claim to resources in the

sea.

U.S. warships are in the waterway through which $3 trillion worth of goods.

[10:45:00]

ANDERSON: That's trillion with a T -- pass each year. This follows new U.S. sanctions on businesses and individuals who help Beijing restrict Hong

Kong's autonomy and President Trump ending Hong Kong's special trade status with the U.S.

David Culver is joining us from Beijing.

David, what is happening in the South China Sea?

Do explain, if you will.

DAVID CULVER, CNN CORRESPONDENT: This is just one of many fronts that the U.S. and China are now clashing, at least in rhetoric. But the rhetoric can

transpire into action. I say that having spoken to experts on both sides of this, particularly Chinese experts.

When I was on Hainan Island within recent weeks, who stress to me, look, this could easily turn into unintentional collision or accidental warfare,

as they put it. And what's happening is essentially this South China Sea territory is claimed not only by China but also several other Southeast

Asian countries.

So what the U.S. is doing is acting as the patrol of that, if you will. That's what they're claiming, that they're safeguarding the waters and that

they're protecting the freedom of navigation for several different vessels to go through, including fishing and oil exploration vessels for multiple

countries.

What we're seeing now and it's happened in the midst of COVID and as the outbreak of -- other countries are dealing with the pandemic breaking out

within their own countries and China has started to assert more and more activity within that region.

You are starting to see more vessels heading out there. China said they're doing it within their jurisdiction. So they say they're safeguarding and

the U.S. sees it as a threat.

ANDERSON: David is in Beijing for us. Thank you for that.

The U.K. facing pressure both at home and abroad for its relationship with China. Lawmakers now calling on the government to block China's involvement

in nuclear power plants across the U.K.

On Tuesday, the U.K. government announced Huawei equipment would be banned from its 5G network. Now U.S. president Donald Trump took credit for that

reversal. But the British health secretary denying that claim earlier today.

(BEGIN VIDEO CLIP)

MATT HANCOCK, BRITISH HEALTH SECRETARY: Well, we all know Donald Trump, don't we?

But I think this is a very -- it's a sensible decision and I'm sure that the Culture Secretary -- well, I know he set out all of the details

yesterday in the House of Commons.

UNIDENTIFIED FEMALE: You say we all know Donald Trump, what does that actually mean?

HANCOCK: Well, I have said what I'm going to say. The Culture Secretary set out the reasons for the decision in the House of Commons yesterday. And

all sorts of people can try to claim credit for the decision.

But this was based on a technical assessment by the National Cyber Security Center and about how we can have the highest quality 5G systems in the

future.

(END VIDEO CLIP)

ANDERSON: Well, in a recent op-ed, British MP Iain Duncan Smith wrote this.

"From Huawei to hydrogen and Hong Kong, we need to recognize the strategic threat China poses and, together with our allies, decide what we will do to

reduce it. Otherwise, we risk repeating the failed lessons of the past."

We have the author of that op-ed joining us now from London.

Sir, thank you. I being with a simple q.

What evidence can you offer that banning Huawei makes the U.K. safer and richer?

IAIN DUNCAN SMITH, BRITISH MP: Well, actually it's not just about banning Huawei but about a complete review of our dependency. I formed an

organization called the Interparliamentary Alliance on China, which has 18 countries, including the United States. They're made up of legislators on

the Left and the Right and the whole of the are from countries in the free world; in other words, they acknowledge democracy and the rule of law and

human rights.

And all of these legislators are of one opinion, which is we have, in the free world, been asleep at the world. What's actually happened is China has

a strategic position to dominate a series of markets and has done so in ways that break the codes and rules of the WTO and also at the same time

been engaged in espionage.

And as we understand, constantly under cyber attack from China as well. All of this leads to one conclusion -- our relationship with China has to

change because China is reaping the dividends of the free market and engagement but not acknowledging any of the rules that go with that, that

police a free market and a free --

(CROSSTALK)

ANDERSON: I did ask you whether you thought the threat was --

[10:50:00]

ANDERSON: -- whether this decision specifically on Huawei would make the country safer and richer. I know the threat of the 5G network equipment had

been downplayed by security and intelligence experts in the U.K. They claimed that any risk to national security could --

(CROSSTALK)

ANDERSON: -- hang on, let me finish. The claim was --

SMITH: -- well, I thought your question --

ANDERSON: -- and this is why it's being called a reversal -- sorry, sir -- that the risk could be mitigated any risk to national security.

Could it be mitigated?

(CROSSTALK)

ANDERSON: Every expert who applauds this decision, you'll find another who says this is less about cyber security and more about politics and, in this

case, that is the argument. The U.S. and the U.K. -- is it?

SMITH: Let me answer that question. First of all, by eliminating Huawei from our systems, of course, we make the security stronger and thus the

U.K. is a little bit safer. It's not only Huawei, you have a number of other Chinese companies, Z-Tech (ph), and others who themselves are

untrusted vendors.

The security forces here, the cyber security people here, the GCHQ, amongst the best in the world, were not clear, did not say that there wasn't a

risk. What they said was if we're asked to do it, we can manage that risk.

And the problem is that risk and management does not eliminate it so they've changed their views on this and believe that the balance is we

should eliminate that risk.

Does it make you safer, yes. Does it make you richer, ultimately, what we have to look for and there are others that can replace Huawei and we do

that on the basis that these are more trustworthy vendors. That's key.

Secondly, of course, it's worth bearing in mind that Huawei and other Chinese companies massively subsidized by a Chinese bank have been

undercutting the market for years now, driving other companies that do not have the support in the same way from their governments because that's

illegal by WTO rules.

They have been driving them out of business. We had 10 or 12 companies in systems provision about 12 years ago. We now have three in the free world.

None of them in America, by the way. Two in Europe and one in the Far East. And so, you know, this --

(CROSSTALK)

ANDERSON: Let me put this to you.

SMITH: -- well, one second, let me finish. This is very important. You want to isolate to one issue about one company. It's not just about Huawei.

It's about the role that China is playing across the board, which is creating the major problem in their abuse and literally dismissal of the

normal rules and obligations that are made in this process. And that is the key problem that --

ANDERSON: Let me ask you this. Because you did say that you'd answer this. You know, Donald Trump has very happily taking responsibility for this

decision.

No, I understand.

Donald Trump is taking responsibility for this decision.

Is this the U.S. leaning on the U.K. at a time when we career (sic) toward the new sort of post Brexit world and new relationships being forged by the

United Kingdom?

SMITH: No. Because, of course, I was busy talking to the government at the beginning of the year, actually the end of last year, but really at the

beginning after the election about their relationship both with China and the decision on Huawei with regard to 5G and subsequently other issues.

So we were the ones that essentially sent the very strong signal to the government that they wouldn't get their legislation when they brought it

through if they didn't change their view.

Since then, of course, things were distracted by COVID and after COVID-19 and during the latter stages of it, the U.S. government decided that they

want to eliminate that risk and therefore blocked off China to their -- to their chips.

And that has made a big difference, yes, in terms of the quality of their work.

Can we say that Donald Trump can take credit for this, no, because the U.S. government, I have to say over the same period, has in some statements been

very pro dealing with China and not pro. So they're in much the same position as the government U.K. has been in and through this organization,

most of those countries in Europe, in the Far East, you know, in the Five Eyes have had to come to this progressively as they realize the damage and

the threat that is posed.

So America is amongst them, reaching this decision generally at about at the same time. No, I don't think anyone can take credit for it, except for

us internally here making the arguments.

ANDERSON: Sir, I have run out of time. It's just before the top of the hour but we'll have you back. It's a good conversation and one to pursue.

Thank you.

Speaking after a virtual news conference, China's ambassador to Britain had this to say.

(BEGIN VIDEO CLIP)

LUI (through translator): Huawei will be followed closely by other Chinese businesses.

[10:55:00]

LUI: When the mutual trust (ph) was undermined, it would be difficult for -- you know, the businesses to have the confidence to have a more --

(END VIDEO CLIP)

ANDERSON: We are talking FDI in the billions here.

We'll be right back.

(MUSIC PLAYING)

(COMMERCIAL BREAK)

(MUSIC PLAYING)

ANDERSON: Right. Welcome back.

The next FIFA World Cup wouldn't played until 2022 in Qatar but there's some major news announced regarding the competition. Patrick Snell, ever

full of energy, joins us to zip through the details.

Qatar 2022 already making history as the first World Cup to be played in November-December. Now FIFA with another first, what?

PATRICK SNELL, CNN CORRESPONDENT: Yes. This is really interesting. Thanks, Becky. I have a feeling I know where you'll be in 2022. FIFA football

awaiting fans during the group stages, unprecedented number of matches per day will be taking place for the first ever World Cup to be held in the

Middle East.

The tournament organizers FIFA said with the aim of providing all teams with optimal rest between matches, the group stage will last 12 days with

four matches per day. The tournament's compact nature with no air travel needed to move between venues will allow organizers for the first time to

optimize specific match demands for the benefit and comfort of fans, teams and media.

The final itself taking place on the 18th of December in 2022 in the 80,000 seat stadium just outside of Doha.

Talk about making an impact, something that Manchester United and England striker Marcus Rashford continues doing on and off the football pitch. The

22 year-old striker hitting the headlines with his recent campaign against child poverty in his homeland.

And now Rashford is the youngest ever recipient of an honorary doctorate from the University of Manchester. Last month he successfully pressured the

U.K. government to reverse the decision not to extend free school meal vouchers throughout the summer for children from low income families.

Rashford called it a proud day for him and his family, adding, "We still have a long way to go in the fight to combat child poverty in this country

but receiving recognition from your city means we are heading in the right direction and that means a lot."

Tiger Woods with some powerful words, we'll be getting to those in the next hour. For now, back to you for now.

ANDERSON: Thank you very much indeed, sir.

Patrick Snell in the house for you. Up ahead, how the coronavirus is impacting NATO's ability to fight its battles. Its secretary-general joins

me in the next hour. We are taking a short break. See you on the other side.

[11:00:00]

END