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Trump Says He Has No Intention of Firing Jerome Powell; Embattled Hegseth Remains Defiant Despite Security Leaks, Disarray; Gunmen Kill 26 in Attack on Tourists in Indian-Controlled Kashmir; Musk to Scale Back his Work at DOGE; Race for Champions League Spots in England. Aired 9-10a ET

Aired April 23, 2025 - 09:00   ET

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

[09:00:00]

(COMMERCIAL BREAK)

BECKY ANDERSON, CNN HOST, CONNECT THE WORLD: Well, this is the scene at the Vatican where the pope's coffin now lies in state at St. Peter's Basilica.

It's 03:00 p.m. there. It's 05:00 p.m. here in Abu Dhabi. I'm Becky Anderson. This is "Connect the World". Also coming up this hour, the U.S.

Treasury Secretary expected to speak soon as Donald Trump blinks on China tariffs.

And the EU hits American Big Tech with heavy fines. Meanwhile, a major meeting on the Ukraine war gets downgraded after the U.S. Secretary of

State cancels his appearance. And the stock markets in New York open about 30 minutes from now. It's 09:00 a.m. there currently. Those markets, of

course, open at 09:30.

And this is the story, and we will discuss why it is that the futures markets are indicating a higher open as we move through this show. Next

hour, U.S. Treasury Secretary Scott Bessent is expected to address the trade war with China in what is now a highly anticipated speech.

Yesterday, he and his boss signaled a U-turn on tariffs imposed by the U.S. on China. Donald Trump said those tariffs, which have been raised, of

course, 245 percent since he took office, could come down. And I quote Donald Trump here substantially.

(BEGIN VIDEO CLIP)

DONALD TRUMP, PRESIDENT OF THE UNITED STATES OF AMERICA: I'm not going to say, oh, I'm going to play hard ball with China. I'm going to play hard

ball with you, President Xi, no, no, we're going to be very nice.

(END VIDEO CLIP)

ANDERSON: Well CNN's Stephen Collinson, following developments in Washington, D.C., if it walks like a U-turn. Quacks like a U-turn. Stephen,

the markets certainly think this is a significant change in policy by Donald Trump. Is it?

STEPHEN COLLINSON, CNN POLITICS SENIOR REPORTER: So far, and the problem with Donald Trump is that he's liable to change policy at any moment in the

opposite direction. But clearly, in this speech by the treasury secretary that's coming up, we will be looking for any indications of the next steps.

It does seem that the administration has climbed down. The president's conciliatory remarks, Bessent said yesterday that a trade war with China

was unsustainable. That's what everybody knew and understood. But it does look like the administration's tactics in trying to force China to the

table have not been successful.

And I think to a large extent, that's got to do with the fact that the people around Donald Trump, the more extreme pro tariff members of his

inner circle, I don't think really have taken a long look and deeply understand the politics of China. It was obvious to many people that China

wouldn't climb down to Trump's bullying for their own political reasons.

And there are good reasons to think that China could bear more immediate pain from a tariff war than the United States, due to its more closed

political system. So, I think there is hope in Washington today that there could be a way forward on this. But again, it's up to China. If Trump has

already climbed down once, why would they not wait him out and see what concessions they can get from him.

ANDERSON: We've also seen Donald Trump appear to reverse course on Jerome Powell, who, of course, is the Fed Chairman, after repeatedly lashing out

at him, saying, if he wants him out, he'll get him out. I mean, this is an independent organization, of course, independent, certainly, of the

executive.

Jerome Powell, standing firm, very concerned, at least to date, about this sort of trade policy, if you want to call it that from Donald Trump, he

sees it as inflationary and worrying as far as growth is concerned. What's the latest? What do we understand to be Donald Trump's position at this

point when it comes to the Fed Chair?

COLLINSON: Well, our colleagues in the White House are reporting that these remarks were motivated by an understanding about the damage they were doing

to the markets, and here's why they were so damaging, perhaps, if not even more damaging than the trade war threats that Trump has been making.

If you had an independent central bank governor that was just doing what Donald Trump said, that would mark a huge corruption of the American

political system.

[09:05:00]

If they just raised interest rates for political reasons, because it's good for Donald Trump, that would threaten the entire U.S. reputation as a

sterling and safe place for people to put their money and to invest, and the U.S. would no longer be a bulwark of the international financial

system.

So, it would be hugely disruptive if Trump did fire Powell. It's questionable about whether he does have the power to do so. And if you take

this together with the China issue here, I think the question you have to ask is, what has been gained so far by Donald Trump's off the cuff, tariff

wars, escalations and his talk about the fed.

Is it really worth what he might get at the end of it, this massive disruption of the financial markets, trillions of dollars of value being,

you know, taken off Americans pension savings that are in the market.

So, I think there is a sense that perhaps the president is, for the moment, listening to the more moderate forces in his administration, like Scott

Bessent, but this is who Donald Trump is, and I don't think there's any reason to think that going forward, his leadership will become any less

volatile.

ANDERSON: Yeah. I mean, one of the problems has been, is that nobody's really understood what Donald Trump's end game has been. And if he, you

know, if we understood anything, it seemed to be that he was intent on getting the world to understand that he wants them to buy America.

What's materialized is that the world has decided it will sell America at this point, unless there is some more sort of predictability in that. And

as I say, the irony, I'm sure, not lost on anybody watching this. Good to have you, Stephen. Thank you. Italy is now in five days of national

mourning that will last through the funeral of Pope Francis on Saturday.

The pontiff is lying in state at St. Peter's Basilica at the Vatican after two days after his death. Cardinals paid their last respects earlier today.

Now the public is filing past his coffin, saying their goodbyes. Basilica will allow people in each day through Friday, leading into the funeral.

Francis will be laid to rest in a papal Basilica in Rome, becoming the first pope to be buried outside the Vatican in more than a century. Ben

Wedeman is in Rome for us this hour, and just give us a sense there of the mood, if you will, and what's ahead, Ben.

BEN WEDEMAN, CNN SENIOR INTERNATIONAL CORRESPONDENT: Yeah, Becky, what we are seeing is thousands and thousands of people who, since about four hours

ago, have been waiting to get inside the pope the Basilica of St. Peter. There will be -- it will be open until midnight tonight.

Tomorrow, it reopens 07:00 a.m. open until midnight. And of course, on Saturday, at 10 o'clock in the morning, there will be the official funeral

for the pope. Now, we spoke to a variety of people, one person from a group from the U.S. Virgin Islands. He told us that they had come here pilgrims

to be here for Easter, that they were supposed to leave on Monday.

But when, of course, they heard the news of the passing of Pope Francis, they changed their plans. They decided to stay, to stay on for the funeral.

So many of the people who are here have -- were here for Easter Sunday and have decided to stay on because of this event. Many of them very moved by

the legacy of Pope Francis.

Clearly, when you speak to people, they all seem to say the same thing. He was simple, he was humble. He had compassion. He cared for those groups

that sometimes are neglected in the modern world, in the modern economy. So, this, I think we're going to continue to see this out pouring of

emotion for quite some time.

Now, I live not far from here, and normally I bike through here when I have the time. But today, there are so many people here, I just had to get off

of my bike and walk it in here because of the sheer number of people. I haven't seen this many people in St. Peter's Square since 2005 in the death

of John Paul, the second.

And what we're seeing is that there's an increased security presence as well as medical teams on hand in the event, people need assistance. It is

unseasonably warm here in Rome as well, so quite a scene outside the Basilica of St. Peter, Becky.

ANDERSON: Good to have you, and good to know you getting his steps up, sir. Thank you. Let's connect you to London, where a major summit on Ukraine

will now be scaled down after the U.S. Secretary of State said that he would skip the talks.

[09:10:00]

The State Department says that Marco Rubio is not taking part due to quote logistical issues. He had been a key component in the discussions which

also involve Ukrainian, British and European officials. Well U.K. says a meeting of lower-level officials will go ahead instead. Nic Robertson is in

London with reaction. What more do we know about the status of these talks?

NIC ROBERTSON, CNN INTERNATIONAL DIPLOMATIC EDITOR: Well, what we do know is that the Ukrainian Foreign and Defense Ministers both did come to

London. And get to London, they met with their British counter parts. Not clear if it's because the message that Marco Rubio wasn't coming and

everything was being downscaled came too late for them.

Obviously, traveling from Kyiv is much more of an ordeal than traveling from Paris or Berlin, which is where the French and German Foreign

Ministers were coming from. But you know, the context of the meeting appears to remain the same. Just a few days ago, Friday, last week, after a

meeting of the same parties in Paris.

Marco Rubio said, now was the time they had to decide the U.S. needed an answer in pretty short fashion, yes or no, otherwise, U.S. is moving along.

JD Vance, a Vice President in India today, has said exactly the same thing, that broad terms were given to all the parties and it's up to them, but it

seems that it's the U.S. that's actually step back from having a presence here, opted to go with Keith Kellogg, President Trump's Special Envoy for

Ukraine.

It's interesting, though, when you listen to the mood music and the difference of positions here, you have, on the one hand, Rubio and Vance

pushing for this quick decision. Vance today saying he felt that all sides were negotiating in good faith. Well, that's not the British view.

You have the defense secretary here yesterday speaking in Parliament saying this 30-hour truce that President Putin called for his troops. President

Zelenskyy respected broadly in Ukraine that the British Defense Intelligence establishment don't believe that Putin actually held with that

truce.

In fact, Healey went on to say, when it comes to playing for time and slowing things down, that's what President Putin is doing. Here's what he

said.

(BEGIN VIDEO CLIP)

JOHN HEALEY, BRITISH DEFENSE SECRETARY: So, while Putin has said he declared an Easter truce, he broke it. Well, Putin says he wants peace,

he's rejected a full ceasefire, and while Putin says he wants to put an end to the fighting, he continues to play for time in the negotiations.

(END VIDEO CLIP)

ROBERTSON: So, you know, times the issue, that's what U.S. officials say, but it seems that time slipping because they're not engaging at a high

level, least with -- at least here, with their counter parts in Europe, France, Germany and the U.K. We do know whoever President Trump's Special

Envoy Steve Witkoff, is going to Russia later this week for meetings.

He has met three times with Vladimir Putin already. This will be his fourth trip working on the ceasefire.

ANDERSON: All right. Well, we'll keep our viewers up to date as and when we get more. Nic, for the time being, thank you. Well, still to come amid a

second signal scandal. Well U.S. Defense Secretary takes the Fox News to defend himself, but some say did him more harm than good.

The very latest on what is this burgeoning controversy is after this. And a big fine for Big Tech, why the EU is targeting the lives of Apple over the

issue of competition.

(COMMERCIAL BREAK)

[09:15:00]

ANDERSON: Well, they define U.S. Defense Secretary took to Fox News on Tuesday, using his former place of work, Fox News as a platform to defend

himself amid fallout from a revived texting scandal. Reports say that Pete Hegseth shared detailed military plans in a second Signal group chat that

included his wife and his brother.

He acknowledges that the chat existed, but insists he did not share classified information. Have a listen.

(BEGIN VIDEO CLIP)

PETE HEGSETH, U.S. DEFENSE SECRETARY: What was shared over Signal, then and now, however you characterize it, was informal unclassified coordination,

for media coordination other things. That's what I've said from the beginning.

(END VIDEO CLIP)

ANDERSON: Well, CNN's National Security Correspondent Natasha Bertrand has been following the Signal scandal since the very beginning. She joins us

now live. And as I understand it, CNN hearing that officials are troubled by disarray in the Pentagon Chief's inner circle. What are we learning at

this point?

NATASHA BERTRAND, CNN NATIONAL SECURITY CORRESPONDENT: Well, the White House has certainly taken note of all of the turmoil in the press, in the

Pentagon, in the defense secretary's inner circle, and they are concerned, of course, that more shoes could be dropping here in relatively short

order.

They noticed, of course, last week when Secretary Hegseth decided to fire three senior officials. And for now, President Trump is standing behind

Secretary Hegseth though, he has been soliciting feedback from his advisers on what they think about Hegseth and whether or not he's up for the job.

So far, that feedback, we're told, has been largely positive. Trump's inner circle is standing behind Hegseth they believe that he's helping surge

recruitment in the military. They believe he's doing a good job in the military operation against the Houthis in Yemen. And importantly, they

don't want to give the media a scalp.

They don't want to anyone to be able to say that because of these press reports, Trump fired Hegseth. Additionally, they don't want to go through

another confirmation process. So, for now, Hegseth does seem safe, but obviously these questions, these recent media reports, including from us

here at CNN, about his use of Signal, is raising a lot of questions about his judgment.

Particularly because we're told that this Signal chat, it was set up during his confirmation hearing as a way for him to strategize with his advisors

about media talking points. But it's kind of escalated when he decided last month to begin sharing very sensitive details about this military operation

against the Houthis.

And that really took a lot of people in that chat off guard, because his wife, his personal lawyer, his brother, they were all in that Signal chat,

and it was not an expected use of that conversation. And so, lot of questions about whether there are going to be more firings, because there

is a big leak investigation going on here at the Pentagon now.

And Secretary Hegseth is, of course, increasingly paranoid and isolated, particularly when it comes to those leaks that he seeing in the press.

ANDERSON: Let's be quite clear about this at this point, obviously, Donald Trump has said he's going to stick by his man briefly before I leave you.

Pete Hegseth's wife, his Former Fox Producer, as I understand it, is playing a significant and prominent role at this point, how and why?

BERTRAND: Well, as I said, she was in that Signal Chat, and that was not a one off. She has been a very close adviser to Secretary Hegseth dating back

to his confirmation hearings. She was sitting in every meeting that he had with Republican Senators. She also has sat in on at least one high level

meeting that Secretary Hegseth had here at the Pentagon with his British counterpart.

And so, she has featured very prominently in Secretary of Defense Hegseth tenure here. And she actually has submitted paperwork we're told to get a

security clearance, though it's not clear at this point if she's actually gotten one, but former officials that we spoke to, including under

Republican Administration, say her role here has been very unusual, to say the least.

ANDERSON: Fascinating. Good to have you. Thank you. Well, the EU whacking a fine of almost $800 million on Tech Giants, Apple and Meta.

[09:20:00]

Now this is the first time that the bloc's landmark digital competition law is being enforced, and it follows a yearlong investigation that found Meta

didn't offer users versions of its platforms that process less of their personal data without them having to pay a fee. The EU also found that

Apple didn't alert customers to offers outside of its own app store.

Clare Sebastian is on the story for us. And just break this down, if you will, the penalties being imposed by the EU and why?

CLARE SEBASTIAN, CNN CORRESPONDENT: Yeah, Becky, I think looking into the detail here, you can really see the delicate balancing act for the European

Union that this was given, of course, the political climate with President Trump's trade war and the fact that while U.S. reciprocal tariffs are on

pause, the EU would like to see them not come into force at all, negotiations are something they are still placing some hope in.

So, the size of the fines themselves, look, they were relatively modest for Apple, some 500 million euro. That's about 570 million U.S. dollars. We've

seen fines on anti-trust issues go into the billions in the past, including Apple itself fined some 1.8 billion Euros by the EU last year and in a

different anti-trust case.

So, this was a modest fine the EU says, as you said, for breaching their digital markets act in the sense that Apple did not do enough to allow app

developers to direct customers to sort of offers and services outside of the App Store platform, which is something that they feel increases

competition in the digital economy.

So, look, it's very little, of course, for a company like Apple that made, you know, almost 400 billion in global revenue last year. And similarly,

for Meta, the fine, relatively modes, some 230 odd million dollars, just under that in fact, again, as you say, for that, what's called a consent to

pay system where users were offered the choice of either consenting to have their personal data used or having to pay for an ad free experience on

Instagram or Facebook.

The commission felt that that didn't offer an enough of an equivalent service for people not consenting to have their personal data used, which

is something, again, that's enshrined in that digital markets act. So, look, I think you can see there, with those size of the fines that the EU

is trying to tread that that delicate balancing act.

I think also the fact that this ruling came about a month after the deadline that the EU had imposed, a 12-month deadline after the start of

the investigation, to rule, and this shows that they were perhaps also picking their moment here. But there is also a sting in the tail. If you

read into the detail, these companies have 60 days now to pay these fines and to change this behavior.

Though, in the case of Meta, there's already a fix in place, which the EU says it's assessing, and I think that is something that potentially will be

more costly to these companies, and the reasons why they're both pretty upset about it today.

ANDERSON: Yeah, good to have you. Thank you. Clare Sebastian on the story for you. Well, Indian authorities are searching for the gunman who carried

out a deadly attack on tourists in the disputed region of Jammu and Kashmir. At least 26 people were killed and a dozen wounded on Tuesday.

It is not clear how many foreign nationals are amongst those victims. A little-known militant group called the Resistance Front claimed

responsibility for the attack on social media. Bulletins have battled Indian security forces in Kashmir for decades, but attacks on tourists

there are rare.

(BEGIN VIDEO CLIP)

RAFI AHMAD MIR, GENERAL SECRETARY OF JAMMU AND KASHMIR APNI PARTY: We request to the tourists who are coming to Jammu and Kashmir that they

should not panic. There is peace in the region, and the government is also with us. The incident will be thoroughly investigated, and we need to stay

strong and united.

(END VIDEO CLIP)

ANDERSON: Well, following the attack, India's Prime Minister Narendra Modi cut short his two-day visit to Saudi Arabia and vowed to bring the gunman

to justice. More details now from CNN's Will Ripley.

WILL RIPLEY, CNN SENIOR INTERNATIONAL CORRESPONDENT: This is not the first time that violence has rocked the Himalayan, Jammu and Kashmir region, but

attacks on this scale targeting civilians in a popular tourist destination that is rare, Pahalgam, set against the Himalayas, draws visitors from

across India, but now it's become the site of a suspected terror attack with gunmen opening fire on a group of tourists.

More than two dozen are dead or injured. For decades, this region has been contested, claimed by both India and Pakistan. Armed groups have fought

there, some pushing for independence, others for union with Pakistan. In recent years, attacks have been rare, but Tuesday's violence is a grim

reminder that this remains a deeply volatile area.

India's Prime Minister Narendra Modi has condemned the attack, calling the perpetrators agenda evil and vowing justice. U.S. President Donald Trump

has also weighed in, saying that the U.S. stands in solidarity with India. He later called Prime Minister Modi to offer condolences.

[09:25:00]

Protests erupted in the aftermath, with locals turning out expressing grief and outrage.

(BEGIN VIDEO CLIP)

SHIVSHANKAR RATHORE, PROTESTER: Innocent people have been killed. A newlywed couple has been killed. Bullets were fired at tourists who came

here for a tour.

(END VIDEO CLIP)

RIPLEY: Now we should point out Pakistan is denying involvement in this, but they are likely watching very closely as tensions between the two

nuclear armed neighbors ratchet up yet again. Will Ripley, CNN.

ANDERSON: Well up next, as Tesla's profits plunge, Elon Musk tells investors that he is scaling back his work with the Trump Administration.

More on that after this.

(COMMERCIAL BREAK)

ANDERSON: Becky Anderson in Abu Dhabi. You are watching "Connect the World". These are your headlines. Pope Francis is lying in state at St.

Peter's Basilica, the Vatican. Two days after his death, at the age of 88. The pontiff will be buried at a Basilica in Rome after a funeral attended

by world leaders.

Italy declared five days of national mourning today, ahead of that funeral. Well U.S. President Donald Trump will travel to the Middle East next month.

The White House says he will make stops in Qatar, here in the United Arab Emirates and in Saudi Arabia, from May the 13th through the 16th that will

mark the second foreign trip of Mr. Trump's second term, following his planned visit to Rome this weekend for the -- pope's funeral.

Apple and Meta have been fined a total of nearly $800 million for breaking the EU's digital competition law. The EU found that neither company had

given users the opportunity to access alternative versions of platforms for free. This is the first time the EU's landmark competition law has been

enforced.

And authorities say at least 26 people were killed after gunmen opened the fire on a group of tourists in the disputed Himalayan region of Jammu and

Kashmir on Tuesday. A little-known militant group called the Resistance Front claim responsibility for the attack. CNN cannot independently verify

its claims.

[09:30:00]

That is the opening bell on Wall Street. The U.S. markets out of the gate open and if futures are any indication, they are out of the gate with some

gusto this morning. Let's have a look at how these markets are settling in. Looks at the S&P, just taking a little time to settle down, that market was

up about 3 percent indicated on the futures.

This is the story for European markets. And let's have a look and see what those live U.S. markets are now doing. And you can see they are up. Well,

they are up because there is a much better sense of well-being, as it were, from investors after Donald Trump made what many are calling a U-turn on

Chinese tariffs. I'm going to talk about that.

Elon Musk has told Tesla investors that he plans to scale back his work at the Department of Government Efficiency to one or two days a week from next

month. Now, the billionaire's role in the Trump Administration is being largely blamed for analysts -- by analysts for Tesla's plunging profits and

slumping sales now.

Yesterday, the auto maker announced that net income had sunk 71 percent compared to a year earlier. That says the company recorded its lowest sales

in nearly three years, while Tesla's outlook for the rest of 2025 is, excuse me, being muddied by the escalating global trade war.

There is real concern about what's going on here. Business Reporter at "The New York Times", Jack Ewing joins me now live. What was your first

impression of those Tesla earnings, sir?

JACK EWING, BUSINESS REPORTER AT THE NEW YORK TIMES: Well, that they were bad. I mean, I think everybody expected a decline, but it was more than I

think most Wall Street analysts had expected. And I think just underlined how many problems that Tesla has right now and how urgent it is that Elon

Musk start to address them.

ANDERSON: You'll have seen this Deck. I want our viewers to get a sense of what the shareholder Deck looked like, Tesla cautioning investors, writing

and I quote here, uncertainty in the automotive and energy markets continues to increase as rapidly evolving trade policy, adversely impacts

the global supply chain and cost structure of Tesla and our peers.

This is a company acknowledging the impact that Trump's tariffs are having on its business. Elon Musk himself acknowledging that. What do you make of

that acknowledgement?

EWING: Well, first of all, I mean, a Tesla is actually in somewhat better position than a lot of its competitors, because it is one of the Tesla's

made in Texas and California are getting most of their parts from the United States more than most of their competitors. So, there are going to

be somewhat less vulnerable to tariffs then GM, some of the other car companies that are coming out with competing products, but tariffs will

hurt Tesla just like everybody else.

And if there's a recession, economic problems that will hurt Tesla just like everybody else. And Elon said that he is concerned about that, and

he's talked to the president about it, but sort of indicated that he has not had much influence.

ANDERSON: We are yet to see where Donald Trump's mind is when it comes to tariffs, and we'll have to wait and see, because it seems, you know, very

people, apart from Donald Trump, has a real idea about, you know what the end game is here. Meantime, it's not just tariffs and the potential impact

that they might have on the company, which is clearly worrying the company and Elon Musk.

There is another big factor here, of course, isn't there? And that is Musk role in the administration and how his reputation, it seems, is damaging

the image of the company. How big an impact, do you see that?

EWING: I think it's pretty substantial. I mean, there's many surveys showing that the people who are most likely to buy electric cars tend to be

Democrats, liberals, people who lean left and they're very offended by his behavior, by the things he says on X, by his support for right wing causes,

not only in the United States, but also abroad.

I mean, whenever we open up an article for comments, there's just hundreds and hundreds of people writing in expressing their displeasure with that.

[09:35:00]

ANDERSON: So, I mean, in the past, you know, it's -- as you say, this has been a company which has been much loved by those who are significantly,

you know, disgusted, I think, is one of the words that you might one of the terms you might use when it comes to Elon Musk. How would his, you know,

announcement that he's stepping back from DOGE, impact the price of Tesla shares?

EWING: Well, you saw the shares go up yesterday. So, I think investors are welcoming the fact that he's going back, that's definitely positive. But, I

mean, you have to keep in mind he still spread very thin. He still is spending a lot of time at X. He has SpaceX, you know, he has a lot of

different jobs.

And I think that Tesla's problems are pretty deep. I mean, it's not only the reputation. They need more new models. They need a lower cost model.

They just have a lot of problems that they need to deal with. And I think Elon Musk coming back for three days a week or four days a week is not by

itself, going to solve everything.

ANDERSON: Yeah, short term, it may be providing a floor underneath the shares, and they're up about 4 percent today, but this is not a significant

increase, and certainly they are under much water from the point at which they were back in November. Tesla has in the past been a pioneer in this

space.

It is facing incredible competition from Chinese companies and from Alphabet's Waymo. Well, do you think Tesla can keep up with its competitors

at this point?

EWING: Well, I think in terms of cars, they've been losing a lot of competitiveness. And Elon Musk just doesn't seem to be very focused on the

car business. You know, they're still very dependent on two models, the Model 3 and the Model Y, they've updated them. But really, in the car

business, you need to be coming out with new models all the time, which is what the Chinese car makers are doing.

And that's a big reason that Tesla is losing market share. I mean, Elon talks about how the future of the company is autonomous driving, autonomous

cab, autonomous taxis, robots, which you know may prove to be the case, but at the moment, those are all very unproven technologies, difficult things

to perfect.

So, it's kind of a leap of faith if you believe that Tesla is really going to deliver on all of that, and that the shares are worth as much as they

still are.

ANDERSON: It's good to have you, sir. Thank you very much indeed. Your insight and analysis important on this story. Thank you. Chinese electric

vehicle giant BYD has already beaten out Tesla, of course, in EV sales. Now it's coming for luxury sports cars, unveiling its brand-new Denza Z at the

country's largest auto shows this week.

CNN's Marc Stewart shows us how both technology and the trade war with the United States are taking center stage at that event in Shanghai,

MARC STEWART, CNN CORRESPONDENT: When we look at this U.S.-China, trade war, technology is a big part of it. We're on the ground here in Shanghai

at the largest auto show in China. It's a chance for Chinese companies, of course, to show off their innovations, but it's also a chance for China to

show that it's a force and it doesn't need the U.S. to thrive.

The unveiling of this blue car here is one of the most anticipated events of the entire show. It's from Chinese auto giant BYD and its Denza brand

its first concept sports car. As you can see, it's very aerodynamic. It's got a spoiler on the back. This is a big deal, because BYD is really a

fierce competitor to Tesla.

This isn't just about style. These cars have a potential for speed. This is the 7GT from the brand Zeekr. It can go from 0 to around 60 in just about

three seconds. This car is attention getting not just for its bright color, but for its connectivity. It's from a company called Xiaomi.

It's a phone company. A lot of people have their phones. One feature is that you can control some of the different appliances from your car from

this very panel in front. Because of tariffs, Chinese car makers are locked out of the American market, but they're firmly planted in China, which is

the world's largest automobile market.

They've also been expanding to places like Europe and to Africa, showing that they don't have to have American buyers to be successful. Marc

Stewart, CNN, Shanghai.

ANDERSON: It's Marc Stewart, reporting for us from Shanghai. Well ahead in sports, the race for Champions League spots in England, and a late goal

gives one side a big boost.

[09:40:00]

More on that after this.

(COMMERCIAL BREAK)

ANDERSON: Well, there was high drama in Manchester on Tuesday night, with Man City getting a big boost in their quest to secure a Champions League

spot with a dramatic win over Aston Villa. Patrick Snell here with the details quite the game, Patrick, explain.

PATRICK SNELL, CNN WORLD SPORT: Yeah. Hi, Becky, yeah, it's really significant. This is why it counts, because there are now five places

available in the Premier League in terms of qualification for next season's Champions League, normally four, but it's now five due to coefficients and

all that.

But Man City, scoring the winner against Aston Villa, Becky, in the fourth minute of stoppage time thanks to their Portuguese international Matheus

Nunes. And that is a priceless goal, not just terms of three points, but also you got the financial ramifications of well, of qualifying in the

Champions League. So really important win for Manchester City. All the goals in "World Sport" back to you.

ANDERSON: Prince William will have been disappointed. He's a huge Villa fan, isn't he?

SNELL: Yeah.

ANDERSON: Anyway, never mind. We're going to take a short break. Patrick back after that, and we will be back with the second hour of this show in

15 minutes.

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