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China Announces Retaliatory Tariffs Against U.S. Imports; U.S. Announces "Unprecedented" Deal With El Salvador; M23 Rebels Call For Humanitarian Ceasefire In Congo Starting Today; Rubio Announces State Department Takeover of USAID; U.S. Federal Agencies in Turmoil After Trump and Musk's Actions; Army Corps of Engineers Say the Exact Timeline of Recovery is Unknown, Wreckage Removal Will Pause if Remaining Victims Are Found From the Potomac River; Princess of Wales Marks World Cancer Day With New Photo; Super Bowl Week Kicks Off With Electric Opening Night. Aired 2-2:45a ET
Aired February 04, 2025 - 02:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
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[02:00:26]
ROSEMARY CHURCH, CNN ANCHOR: Hello and welcome to our viewers joining us from all around the world and everyone streaming us on CNN Max. I'm Rosemary Church.
Just ahead, China is fighting back, making the U.S. pay a price for the Trump administration tariffs.
An unprecedented deal, El Salvador agrees to take in violent U.S. criminals and deportees of any nationality, a move that has some people alarmed.
Plus, rebel groups call for a cease fire in the Democratic Republic of Congo after fighting leaves hundreds dead and thousands displaced.
ANNOUNCER: Live from Atlanta, this is CNN NEWSROOM with Rosemary Church.
CHURCH: Good to have you with us. Our top story, the growing trade war between China and the United States.
A short time ago, Beijing slapped retaliatory tariffs on some American imports, including fuels. Right after the U.S. president's broad based 10 percent tariff on Chinese goods took effect. China has also levied a 10 percent tariff affecting U.S. crude oil, liquefied natural gas, agricultural machinery, as well as large displacement cars and pickup trucks. Certain types of American coal will face a 15 percent tax. The new measures kick in next Tuesday.
China also imposed new export controls on several raw materials and confirmed it's filed a complaint with the World Trade Organization. President Trump said on Monday that he would be speaking with Beijing soon.
(BEGIN VIDEO CLIP)
DONALD TRUMP, PRESIDENT OF THE UNITED STATES: We'll have some good meetings with China. We have meetings planned, and we'll see what happens. But that was just an opening salvo. If we can't make a deal with China, then the tariffs will be very, very substantial.
(END VIDEO CLIP)
CHURCH: Just a few days after the U.S. president claimed there was nothing Canada and Mexico could do to fend off punishing new U.S. tariffs, it turns out they were indeed avoidable, at least for now.
Donald Trump spoke to his Canadian and Mexican counterparts on Monday and agreed to put those tariffs on hold for 30 days. In exchange, Mexico will deploy around 10,000 troops to the U.S. border to keep migrants and drugs from crossing.
Meanwhile, Canada will implement its previously announced border plan and install a so called fentanyl czar, even though small amounts of fentanyl are seized at the Canadian border, as well as list drug cartels as terrorist groups. Despite backing off the tariffs, President Trump defended the need for them.
(BEGIN VIDEO CLIP)
TRUMP: Tariffs are very powerful, both economically and in getting everything else you want. When you're the pot of gold, the tariffs are -- the tariffs are very good. They're very powerful, and they're going to make our country very rich again.
(END VIDEO CLIP)
CHURCH: All right. Want to take a look at how all this is affecting the Asia markets right now. We can see those numbers, the Hang Seng up more than two percent but let's turn to CNN's Marc Stewart to get a little bit more on what's going on. Mark, tell us what you're learning.
MARC STEWART, CNN CORRESPONDENT: Hi, Rosemary, good to see you. Look, we are following two big stories concerning this trade dispute in the early afternoon here in China. Let's first talk about these Trump tariffs.
On the surface, they appear to be significant, a 10 percent tariff on crude oil. But if you look at the numbers in a much more analytical form, the United States is not a top supplier of crude oil to China. In fact, about 10 times more oil actually comes from Russia to China.
So, as far as the impact on the American economy, this appears to be more symbolic than something substantial. You mentioned a long list of commodities earlier, also on the list, U.S. pickup trucks. Pickup trucks are not a very popular vehicle -- U.S. pickup trucks are not a popular vehicle in this part of the world. So, again, this may be more symbolic.
Yet, at the same time, does very much fall into place with China's foreign policy approach in these cases, that being tit for tat, you hurt us, we'll do something to hurt you back.
So, that is our early read on the tariffs. Just very symbolic in nature at this point.
The other story that we are following is a potential phone call between U.S. President Donald Trump and Chinese leader Xi Jinping, as we heard yesterday, the president indicated yesterday afternoon that it would happen sometime in the 24 hour -- next 24 hours a. It's now Tuesday afternoon here in China. It's something that if we are going to hold to that timetable, would likely happen later this afternoon, very early in the morning in the United States. We are going to have to watch that as well.
[02:05:30]
The two leaders did speak about two weeks ago, and when we look at the readout of that phone call, at least from the China side, it appeared to be a very positive exchange, very diplomatic in approach. We will have to see one, if that phone call happens, and two, how Chinese officials describe the tone in all of that.
Rosemary, we've talked also a lot about a potential meeting between President Trump and Chinese leader Xi Jinping. It's something he said that he would like to have happen, that certainly may occur.
But according to one long time China observer who I talked to, he said it would only happen if the circumstances were good, not in this kind of tit for tat moment that we're seeing right now, if perhaps some kind of trade agreement which could potentially happen, if we were to see that agreed upon, perhaps some kind of signing would take place, either here in Beijing or in the United States.
So, very crucial in the hours ahead to see how this narrative is going to unfold, Rosemary.
CHURCH: All right, thanks to Marc Stewart for that live report from Beijing. Appreciate it.
And earlier, I spoke to Justin Wolfers, a professor of Economics and Public Policy at the University of Michigan, and I asked him for his reaction to the concern that U.S. adversaries might be emboldened by President Trump's actions towards Canada and Mexico. Take a listen.
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JUSTIN WOLFERS, PROFESSOR OF ECONOMICS AND PUBLIC POLICY, UNIVERSITY OF MICHIGAN: The United States is showing itself as an unreliable ally and showing itself as an unreliable trading partner.
And so, all of these shenanigans are going to lead everyone to, if you get a better offer and get a -- get a better dancing partner in the United States, maybe you'll take it.
So, the end result of all of this, even when the tariffs come on and they come back off again, is going to be the United States is somewhat more isolated. In some respects, that means that some of our adversaries are going to find themselves better integrated in the global trading system. But it also means that countries around the world are just going to be looking elsewhere for reliable trading partners.
(END VIDEO CLIP)
CHURCH: El Salvador has agreed to receive deportees from the U.S. of any nationality. U.S. Secretary of State Marco Rubio announced the unprecedented deal on Monday after meeting with the country's president.
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MARCO RUBIO, U.S. SECRETARY OF STATE: He has agreed to accept for deportation any illegal alien in the United States who is a criminal from any nationality, be they MS-13 or Tren de Aragua and house them in his jails.
And third, he has offered to house in his jails dangerous American criminals in custody in our country, including those of U.S. citizenship and legal residence. No country has ever made an offer of friendship such as this.
(END VIDEO CLIP)
CHURCH: With more than 80,000 people in its jails, El Salvador is believed to have the highest incarceration rate in the World.
Meanwhile, in the U.S., protesters across Southern California participated on Monday in a day without immigrants, a campaign aimed at underlining the importance of immigrants in the United States.
Raul Reyes is an attorney and immigration analyst, he's also a CNN opinion writer. Thank you so much for joining us.
RAUL REYES, CNN OPINION WRITER: Hello, hello, hello.
CHURCH: So, U.S. Secretary of State Marco Rubio says El Salvador has offered to accept deportees of any nationality from the United States, and they'll also take violent American criminals, apparently. What does this signal to you?
REYES: Well, it is -- there are two ways of looking at it. For people who supported President Trump's campaign, you can see it. We can see it as he is fulfilling his campaign promises to -- of mass deportations, that seems to be clearly ramping up for other people there, very rightfully, in my view, concerned about potential human rights abuses because El Salvador's president has cracked down on gang activity in his own country, some would say, successfully.
At the same time, he has thrown thousands of people into their prisons with little accountability, no due process. Many people are in there because someone accused them of having some type of gang affiliation.
So, we could also see this as a very dangerous precedent, where the United States is, in a sense, exporting our problem to another country with an authoritarian ruler who cares little for humanitarian concerns.
[02:10:07]
CHURCH: And U.S. Defense Secretary Pete Hegseth, that met with troops Monday at the southern U.S. border as part of the Trump administration's new crackdown on immigration, is this just about optics showing that the U.S. military will have a huge role in immigration enforcement going forward?
REYES: Right, exactly, a huge part of these border visits, no matter who is participating in them or from what party. It's just the optics of showing that they are tough on immigration and border security.
What is notable here is it's not uncommon for congressional candidates, congressman or even the president, to visit the border. It is more unusual to see Secretary of Defense there. But this reflects the administration's and the Pentagon's commitment to securing the border.
And just for context, you know, we see President Trump constantly talking about this invasion to justify more border security and his mass deportations.
And yet the fact is, border -- unauthorized crossings at the border have steadily declined in the last six months of the Biden presidency, and even now, we are close to the unauthorized crossings, the levels are close to that we saw during the pandemic, when the border was largely sealed because of Title 42.
So, the invasion rhetoric and these militarized sense that we're seeing around the border doesn't quite match up with the reality on the ground there.
CHURCH: Meantime, Marines are heading to Guantanamo Bay to help prepare the U.S. Naval base for the arrival of up to 30,000 migrants. What are the optics of this and how will this work do you think?
REYES: Well, to speak to how will this work, the question -- the answer right now is we don't know, because the administration hasn't been forthcoming at this early stage about what we're going to see in Guantanamo Bay.
But one thing for sure, this is the most drastic change we've seen at Guantanamo Bay since the prison that was opened in 2001 as part of the war on terror. I do believe many in the global community are observing this, and Americans as well are concerned, because Guantanamo, the prisons there are infamous. They are associated with torture, with abuse of prisoners, with all kinds of very secretive activities there, you know.
And the idea that the U.S. is now going to scale this up, potentially put 30,000 migrants there is really a staggering proposition in terms of the resources. Trump wants to put 30,000 migrants there, just for comparison, in the entire United States, we have about 40,000 migrants in detention and private jails and facilities nationwide, and now Trump wants to put in almost that number, three quarters of that number on this remote island where there's going to be a lack of transparency, no press availability, little opportunities for it to be monitored.
So, I think it's very troubling when you look at it from in terms of resources, in terms of humanitarian concerns, and especially in terms of just basic human rights, these people who will be sent to Guantanamo Bay, unlike other prisoners who have been there in the past, they're coming from the United States, so they have been on the American soil, so that means they have certain due process rights that other prisoners who are held at Guantanamo Bay did not have, so the circumstances will be very different.
CHURCH: Raul Reyes, many thanks for joining us. Appreciate it.
REYES: Thank you.
CHURCH: Still to come, calls for a cease fire in the Democratic Republic of Congo. Why rebel fighters want a pause in fighting after violent clashes with government forces, back in just a moment.
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CHURCH: In the Democratic Republic of Congo, rebel soldiers are calling for a cease fire starting today amid a growing humanitarian crisis. It comes after rebels captured the eastern city of Goma last week, clashing with foreign peacekeepers and the region's military.
The U.N.'s Humanitarian Affairs Office warns local health care facilities are overcrowded with a growing need for medicine and equipment. The agency says at least 900 bodies have been recovered from the streets of Goma, and is reporting nearly 2,900 injuries since the end of January.
CNN's Larry Madowo joins me now from Rwanda with the latest. So, Larry, tell us more about the situation. You spoke to Rwanda's president.
LARRY MADOWO, CNN INTERNATIONAL CORRESPONDENT: I did, Rosemary, and this comment from President Kagame will make for an awkward start to the joint meeting of East and Southern African leaders in Tanzania this Saturday, they've agreed to come together. President Paul Kagame of Rwanda and President Felix Tshisekedi of the Democratic Republic of Congo to try and figure out a way out of the crisis in eastern DRC.
The rebels, M23 took over Goma, as you mentioned, and the DRC has always accused Rwanda of supporting and arming that rebel group, and the DR -- and Rwanda has always denied it, and there's always been this back and forth.
As in the middle of all that you see this dire humanitarian situation, 900 people dead, almost 3000 injured, and that's why the M23 and the river -- Congo River Alliance have declared a humanitarian ceasefire.
[02:20:11]
But I asked President Kagame directly if he has troops in the eastern DRC right now, this was how his response.
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PAUL KAGAME, RWANDAN PRESIDENT: I don't know.
MADOWO: You're the Commander in Chief.
KAGAME: Yes, there are many things I don't know. But if you want to ask me, is there a problem in Congo that concerns Rwanda, and that Rwanda would do anything to protect itself, I'd say 100 percent.
MADOWO: Does this risk a war in the region?
KAGAME: I don't know. I don't think anybody is interested in war. I even don't think Tshisekedi is interested in war himself, but he has been encouraged in that direction by people showing up to fight for him his wars.
(END VIDEO CLIP)
MADOWO: The Congolese government dismissed those comments by President Kagame. This is a response from the spokesperson of President Felix Tshisekedi of DRC. The evidence is clear, Rwanda's military presence is documented. It walked away from peace talks, and its role in illegal mineral exploitation is well established. The international community must act accordingly.
President Kagame told me that the only solution out of this crisis in the eastern DRC is a political solution. And he says President Tshisekedi of DRC has to agree to talk to the M23 rebels. Now, that will be complicated, because the DRC has designated M23 as a terrorist organization. So by talking to them would be an implicit admission, and therefore a recognition of people they consider terrorists, Rosemary.
CHURCH: All right, our thanks to Larry Madowo with that live report, appreciate it.
Israeli Prime Minister Benjamin Netanyahu is visiting Washington to meet U.S. President Donald Trump. White House and Israeli officials say the two leaders will hold a joint news conference this afternoon.
Prime Minister Netanyahu will be the first world leader to have a formal meeting with President Trump since his inauguration. This comes against the backdrop of the Gaza cease fire and hostage release agreement. Israel says it will send a working level delegation to Doha this weekend to, "Discuss technical details related to the second phase of the deal."
But on Monday, Mr. Trump said there are, "No guarantees that the peace is going to hold." Well, the family of an Israeli hostage released last week says his health deteriorated in captivity. Yarden Bibas's family says he was held in harsh conditions and food was scarce, resulting in significant weight loss.
Speaking to reporters, the family also demanded more answers about his wife and children also kidnapped on October 7th. Hamas claims they were killed in an Israeli air strike in 2023. According to a spokesperson for the hostages and missing families' forum, Israel's military says they may not be alive, but the Bibas family is still pushing for answers.
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DANA SILBERMAN SITTON, SISTER OF SHIRI BIBAS (through translator): Where are Shiri and the children? Three quarters of our heart is still in captivity, and until they bring them back, we'll remain incomplete. I'll use this platform given to me to say, we will no longer accept uncertainty. We demand answers. We demand them back.
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CHURCH: Many U.S. lawmakers are outraged after the Trump administration takes over an agency that was a hallmark of the United States soft power around the world, and they're angry because he did it illegally too.
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CHURCH: Welcome back, everyone.
The Trump administration says it's now in full control of USAID. Secretary of State Marco Rubio announced he is now the acting director of the U.S. Agency for International Development, and is looking to align its foreign aid activities with a, "America first agenda."
Up until Monday, USAID was an independent federal agency. It dispensed billions of dollars in famine aid, poverty and disaster relief and funded democracy building programs around the world.
Donald Trump claims he has the power to scrap it, but the U.S. Congress is the only entity that can form and abolish federal agencies and offices. And lawmakers and legal experts alike say Mr. Trump's unilateral takeover is unconstitutional.
They also take issue with billionaire Elon Musk's role in dismantling federal agencies and accessing critical government information systems.
Democratic lawmakers say all of this is leading to a uniquely dangerous moment for the United States.
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SEN. CHRIS MURPHY (D-CT): This is a constitutional crisis that we are in.
REP. ILHAN OMAR (D-MN): That is how dictators are made.
[02:30:00]
SEN. BRIAN SCHATZ (D-HI): In the last ten days, Donald Trump has done more to destabilize things across the planet than perhaps any other president in recent memory.
REP. JAMIE RASKIN, (D-MD): You don't control the money of the American people, the United States Congress does that. We don't have a fourth branch of government called Elon Musk.
(END VIDEO CLIP)
ROSEMARY CHURCH, CNN ANCHOR OF "CNN NEWSROOM": CNN's State Department Reporter, Jennifer Hansler, takes us through what happened to USAID on Monday.
JENNIFER HANSLER, CNN STATE DEPARTMENT REPORTER: Secretary of State, Marco Rubio on Monday said he was the Acting Administrator of the U.S. Agency for International Development, confirming the de facto takeover of the government's humanitarian agency by the State Department. Rubio said in remarks to the press that he was not trying to stop all of U.S.' activities per se, but that he -- there are things that it does that are good and things that it does that are bad, and that they have strong questions about.
Rubio said in a letter to lawmakers later in the day that he had delegated the authorities of Acting Administrator to Pete Marocco, a Trump appointee who is working at the State Department. Aid officials have accused Marocco of intentionally trying to dismantle the U.S. Agency for International Development. Democrats have argued that the move to fold USAID under the State Department's authority is not legal, and they said they will be fighting.
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REP. GERRY CONNOLLY, (D-VA): We are going to fight in every way we can, in the courts, in public opinion with the bully pulpit, in the halls of Congress and here at AID itself. We are not going to let this injustice happen.
(END VIDEO CLIP)
HANSLER: In remarks at the White House later in the day, President Trump said he does believe that he has the authority to dismantle USAID. Elon Musk has also played a role in demonizing the organization, and his DOGE effort has played an outsized role in the administration's decisions about federal agencies.
Over the weekend, there was a confrontation between DOGE officials and security officials at the U.S. Agency for International Development that led to two senior officials being put on leave. A number of other USAID officials have also been put on leave over the past week. In Washington, there was confusion around the rapidly changing developments around USAID as officials were told not to report to work at the headquarters on Monday. Some have been locked out of their emails and others say they have gotten no answers from their leadership about what is to come.
Humanitarian aid organizations have also expressed concerns about the impact that USAID shuttering would have on the broader national security and foreign policy interests of the United States.
Jennifer Hansler, CNN, Washington.
CHURCH: The U.S. Army Corps of Engineers says it's unclear how long the removal of wreckage will take after the deadly mid-air collision over Washington last week. Large pieces of the American Airlines jet were removed from the Potomac River on Monday, but officials say they will pause the process if additional passenger remains are found. 55 of the 67 victims have been identified so far. There were no survivors from the collision of the American Airlines flight and an Army Black Hawk helicopter.
Well, Super Bowl 59 is just around the corner. Coming up, we will have the latest on a wild opening night in New Orleans as the NFL kicks off the week with a spectacle. Back in just a moment.
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CHURCH: Kensington Palace has released a new photo of the Princess of Wales in honor of World Cancer Day. The image taken by her six-year- old son, Prince Louis, features Catherine in a woodland setting, smiling with her arms stretched out wide. The caption reads, "Don't forget to nurture all that lies beyond the disease." Catherine revealed last month that she is now in remission after completing chemotherapy treatment in September, and she's been returning to her royal duties and some public events.
Well, there's a lot of anticipation brewing as we look ahead to Super Bowl 59 on Sunday. Fans are already packing into the Caesars Superdome as the NFL hosted its opening night media event on Monday.
CNN's Coy Wire has the latest on the high-octane atmosphere.
COY WIRE, CNN WORLD SPORT: Welcome to opening night for Super Bowl 59 here in New Orleans, a rematch from the Super Bowl two seasons ago between the Philadelphia Eagles and the Kansas City Chiefs. Can the Eagles be the team to finally take down the two-time defending champs?
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JALEN HURTS, PHILADELPHIA EAGLES QUARTERBACK: You know, you sacrifice a lot, you put a lot in work. Work really hard to have this opportunity and so to do it and be back, two times out of four years starting is very special. It's something -- the goal is to finish. SAQUON BARKLEY, PHILADELPHIA EAGLES RUNNING BACK: You just got to take it all in. This is part of it. You got to enjoy it. So I'm happy to be here, happy to have conversations with you guys. At the same time, it's a business and you stay locked in. But today, you enjoy.
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WIRE: Or will Kansas City become the first team ever to win three Super Bowl titles in a row?
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CHRIS JONES, KANSAS CITY CHIEFS DEFENSIVE TACKLE: Kansas City, we're back in the Super Bowl, baby.
TRAVIS KELCE, KANSAS CITY CHIEFS TIGHT END: The biggest lesson I've learned is don't let the hype get you. Don't let the magnitude of the game around you get you. At the end of the day, this is a -- you know, you got here for a reason, that your team got here for a reason. So lean on them and don't let the moment be too big for you.
PATRICK MAHOMES, KANSAS CITY CHIEFS QUARTERBACK: It kind of brings you closer together, when people are rooting against you, you just kind of -- if become a tighter brotherhood in the locker room and you know that we're doing it the right way and we can bring it -- bring ourselves together, have tee's (ph) Kingdom with us, and go out there and try to win the game against everybody.
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[02:40:00]
WIRE: Super Bowl week has officially kicked off. We'll be here all week long, bringing you the best sights and sound.
Coy Wire, CNN, New Orleans.
CHURCH: And ticket prices for the Super Bowl have fallen in recent days. The host city of New Orleans is still reeling from the New Year's terror attack on Bourbon Street. The largest seating capacity inside the Caesars Superdome has also given way to more affordable admission prices when compared to last year's Las Vegas Super Bowl.
I want to thank you so much for joining us. I'm Rosemary Church. "World Sport" is coming up next.
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