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Westlake Legal Group > Posts tagged "Trump, Donald J" (Page 35)

U.S. and Mexico Issue Joint Declaration on Migration and Tariffs

Westlake Legal Group merlin_156066924_fb235118-a315-4557-bacb-06c92dd1695a-facebookJumbo U.S. and Mexico Issue Joint Declaration on Migration and Tariffs United States Trump, Donald J Politics and Government Mexico Immigration and Emigration Illegal Immigration Customs (Tariff)

President Trump pulled back from his plan to impose tariffs on all Mexican imports, saying on Friday night on Twitter that the United States and Mexico had reached an agreement to reduce the number of migrants entering the United States over the southwestern border.

The tariffs, which could have been potentially crippling for Mexico, were to go into effect on Monday. Mr. Trump’s announcement came after several days of intense negotiations between the two countries in Washington.

“The Tariffs scheduled to be implemented by the U.S. on Monday, against Mexico, are hereby indefinitely suspended,” Mr. Trump wrote just before 8:30 p.m. “Mexico, in turn, has agreed to take strong measures to stem the tide of Migration through Mexico, and to our Southern Border.”

Here is a joint statement by the United States and Mexico released by the State Department on Friday night:

“The United States and Mexico met this week to address the shared challenges of irregular migration, to include the entry of migrants into the United States in violation of U.S. law. Given the dramatic increase in migrants moving from Central America through Mexico to the United States, both countries recognize the vital importance of rapidly resolving the humanitarian emergency and security situation. The Governments of the United States and Mexico will work together to immediately implement a durable solution.

“As a result of these discussions, the United States and Mexico commit to:

Mexican Enforcement Surge

“Mexico will take unprecedented steps to increase enforcement to curb irregular migration, to include the deployment of its National Guard throughout Mexico, giving priority to its southern border. Mexico is also taking decisive action to dismantle human smuggling and trafficking organizations as well as their illicit financial and transportation networks. Additionally, the United States and Mexico commit to strengthen bilateral cooperation, including information sharing and coordinated actions to better protect and secure our common border.

Migrant Protection Protocols

“The United States will immediately expand the implementation of the existing Migrant Protection Protocols across its entire Southern Border. This means that those crossing the U.S. Southern Border to seek asylum will be rapidly returned to Mexico where they may await the adjudication of their asylum claims.

“In response, Mexico will authorize the entrance of all of those individuals for humanitarian reasons, in compliance with its international obligations, while they await the adjudication of their asylum claims. Mexico will also offer jobs, health care and education according to its principles.

“The United States commits to work to accelerate the adjudication of asylum claims and to conclude removal proceedings as expeditiously as possible.

Further Actions

“Both parties also agree that, in the event the measures adopted do not have the expected results, they will take further actions. Therefore, the United States and Mexico will continue their discussions on the terms of additional understandings to address irregular migrant flows and asylum issues, to be completed and announced within 90 days, if necessary.

Ongoing Regional Strategy

“The United States and Mexico reiterate their previous statement of December 18, 2018, that both countries recognize the strong links between promoting development and economic growth in southern Mexico and the success of promoting prosperity, good governance and security in Central America. The United States and Mexico welcome the Comprehensive Development Plan launched by the Government of Mexico in concert with the Governments of El Salvador, Guatemala and Honduras to promote these goals. The United States and Mexico will lead in working with regional and international partners to build a more prosperous and secure Central America to address the underlying causes of migration, so that citizens of the region can build better lives for themselves and their families at home.”

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Trade Wars Stoke Economic Fear as G-20 Finance Ministers Gather in Japan

Westlake Legal Group 06DC-G20-facebookJumbo Trade Wars Stoke Economic Fear as G-20 Finance Ministers Gather in Japan United States Politics and Government United States Economy Trump, Donald J Treasury Department Protectionism (Trade) Politics and Government Mnuchin, Steven T International Trade and World Market Group of Twenty Economic Conditions and Trends Customs (Tariff)

FUKUOKA, Japan — An unending trade war between the United States and China. President Trump’s weeklong threat to impose tariffs on Mexico. A potential clash with Europe over cars and agriculture.

Trade disputes spurred by the president’s affinity for employing tariffs as his diplomatic weapon of choice have cast a pall over the global economy as finance ministers gather in Japan for an annual Group of 20 meeting. The weekend of talks, beginning Friday evening in Fukuoka, is expected to be rife with friction as protectionism threatens to slow growth.

“Tension is rising with tariff increases and nontariff measures materializing in many parts of the world,” Taro Aso, Japan’s finance minister, said at an Institute of International Finance conference in Tokyo on Thursday.

A central figure in the discussions will be Steven Mnuchin, the Treasury secretary, who will again seek to reassure ministers from other countries about Mr. Trump’s trade agenda. All eyes will be on Mr. Mnuchin’s scheduled meeting with Yi Gang, the governor of the People’s Bank of China.

It will be the first meeting between senior officials from the two countries since trade negotiations broke down a month ago. Since then, the United States has raised tariff rates on $200 billion of Chinese imports and is considering imposing duties on an additional $300 billion of goods.

The Treasury secretary also has bilateral meetings scheduled with finance ministers and central bank officials from 10 other countries. He is expected to be pressed on the impact Mr. Trump’s tariffs are having on markets and supply chains.

“During Mnuchin’s bilateral meetings, it’s going to be very pointed,” said Mark Sobel, a former senior Treasury official who is now affiliated with the Center for Strategic and International Studies. “Others will express concerns about the global trading system and what it means for the global economy.”

Mr. Mnuchin has accumulated a lot of experience defending Mr. Trump’s provocative policies at global events. Senior Treasury officials said in a briefing this week that agreeing upon a joint statement, or communiqué, could be difficult because countries might not share a common view on trade.

Ahead of the summit meeting, there was little optimism of a major breakthrough with China, because Mr. Trump has hardened his positions and the United States and China have exchanged accusations about who was at fault for the failed negotiations in May.

“As far as China is concerned, China wants to make a deal,” Mr. Trump said this week. “But right now, they’re paying many billions of dollars to the United States.”

American importers pay the cost of the tariffs.

Mr. Trump and President Xi Jinping of China are expected to meet this month at a G-20 leaders summit meeting in Japan. Senior Treasury officials said this week that Mr. Mnuchin had no plans for a trip to Beijing while he was in Asia.

With evidence mounting that the global economy is slowing, Mr. Mnuchin is expected to encourage other countries to cut taxes and roll back regulations to help spur their economies.

In Japan, Mr. Aso expressed concern about Mr. Trump’s tariffs and has called for a multilateral approach to addressing trade imbalances. Mr. Trump recently gave the Japanese government a reprieve from tariffs on automobiles and put off bilateral trade negotiations until after a parliamentary election in Japan.

Prime Minister Shinzo Abe has to make a difficult decision of his own. He has long said that he wants to raise Japan’s consumption tax this fall. But he might delay the increase because of sluggish growth.

This week the World Bank and the International Monetary Fund warned about the prospects of weaker economic growth, and both pointed to trade as a culprit.

“There’s been a tumble in business confidence, a deepening slowdown in global trade and sluggish investment in emerging and developing economies,” said David Malpass, the new World Bank president, who was selected by Mr. Trump.

Christine Lagarde, the managing director of the I.M.F., warned on Wednesday that the recently announced tariffs that the United States and China had put on each other’s imports could reduce global gross domestic product by about 0.3 percent in 2020. When including the tariffs that were already in place, global G.D.P. could be reduced by 0.5 percent, or $455 billion, next year.

“These are self-inflicted wounds that must be avoided,” Ms. Lagarde wrote in a blog post. “The fact is that protectionist measures are not only hurting growth and jobs, but they are also making tradable consumer goods less affordable — and disproportionately harming low-income households.”

The trade wars are also unnerving financial markets. Investors are worried that business investment could stall and that central banks will have to cut interest rates.

At the Institute of International Finance conference, banking executives expressed unease about the trade tensions.

“If you’re a C.E.O., it’s pretty hard to be particularly aggressive and ambitious in making M&A strategic decisions or capital decisions,” said John Waldron, president and chief operating officer of Goldman Sachs. “You have to be much more cautious and a little bit worried right now.”

Mr. Waldron said that the swoon in sentiment started in early May when Mr. Trump tweeted that more China tariffs were coming. He predicted that the best-case scenario was that Mr. Trump and Mr. Xi would restart negotiations.

But Mr. Trump appears to be unfazed by the economic fallout from his confrontational approach with China and others.

“Ultimately this is going to be about Washington making a decision about how it’s going to proceed,” Timothy D. Adams, the president of the institute and a former senior Treasury official, said in an interview. “I think the business community’s voice has become somewhat diluted on these issues and I’m not sure the president cares what the business community thinks.”

Real Estate, and Personal Injury Lawyers. Contact us at: https://westlakelegal.com 

U.S.-Mexico Deal Leads Trump to Cancel Tariffs

Westlake Legal Group 07dc-trump-facebookJumbo U.S.-Mexico Deal Leads Trump to Cancel Tariffs United States Politics and Government Trump, Donald J State Department Mexico International Trade and World Market Customs (Tariff)

WASHINGTON — President Trump called off his plan to impose tariffs on all Mexican goods on Friday night and announced on Twitter that the United States had reached an agreement with Mexico to reduce the flow of migrants to the southwestern border.

Mr. Trump made the announcement only hours after returning from Europe and following several days of intense and sometimes difficult negotiations between officials from the two countries in Washington.

The president’s threat that he would levy the potentially crippling tariffs on Mexico grew out of his deepening frustration with the surge of migrants that have been arriving at the border, many of them families with children from Central America who are fleeing violence and economic distress in their home countries.

Mr. Trump views the increase in immigration as a direct assault on his political brand and the promises that he made while running for president. He vowed to build a wall across the border and eliminate illegal immigration — two promises that he has largely failed to deliver.

“The Tariffs scheduled to be implemented by the U.S. on Monday, against Mexico, are hereby indefinitely suspended,” Mr. Trump wrote just before 8:30 p.m. “Mexico, in turn, has agreed to take strong measures to stem the tide of Migration through Mexico, and to our Southern Border.”

The details of the agreement were not immediately clear, and Mr. Trump said that specifics would be provided by the State Department later in the evening. But the outcome prevents a trade war that experts from both countries had warned could have been an economic catastrophe on both sides of the border.

The new levies would have raised the cost of a wide array of products imported into the United States, including cars, cucumbers, bluejeans, packaged food and chemicals. Mr. Trump had warned that he was prepared to ramp them up each month until they hit 25 percent in October.

That would have been a drastic cost increase for the United States’ current largest trading partner, one that could have significantly increased prices for American consumers and ruptured long-established supply chains. Such a move could have prompted retaliation from Mexico in the form of new barriers to trade that could hurt the fortunes of many industries, including American farmers, who send their goods there — spurring job losses and potentially even throwing North America into a recession.

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Trump Says U.S. Has Reached Deal With Mexico and Calls Off Tariffs

Westlake Legal Group 07dc-trump-facebookJumbo Trump Says U.S. Has Reached Deal With Mexico and Calls Off Tariffs United States Politics and Government Trump, Donald J State Department Mexico International Trade and World Market Customs (Tariff)

WASHINGTON — President Trump called off his plan to impose tariffs on all Mexican goods on Friday night and announced on Twitter that the United States had reached an agreement with Mexico to reduce the flow of migrants to the southwestern border.

Mr. Trump made the announcement only hours after returning from Europe and following several days of intense and sometimes difficult negotiations between officials from the two countries in Washington.

The president’s threat that he would levy the potentially crippling tariffs on Mexico grew out of his deepening frustration with the surge of migrants that have been arriving at the border, many of them families with children from Central America who are fleeing violence and economic distress in their home countries.

Mr. Trump views the increase in immigration as a direct assault on his political brand and the promises that he made while running for president. He vowed to build a wall across the border and eliminate illegal immigration — two promises that he has largely failed to deliver.

“The Tariffs scheduled to be implemented by the U.S. on Monday, against Mexico, are hereby indefinitely suspended,” Mr. Trump wrote just before 8:30 p.m. “Mexico, in turn, has agreed to take strong measures to stem the tide of Migration through Mexico, and to our Southern Border.”

The details of the agreement were not immediately clear, and Mr. Trump said that specifics would be provided by the State Department later in the evening. But the outcome prevents a trade war that experts from both countries had warned could have been an economic catastrophe on both sides of the border.

The new levies would have raised the cost of a wide array of products imported into the United States, including cars, cucumbers, bluejeans, packaged food and chemicals. Mr. Trump had warned that he was prepared to ramp them up each month until they hit 25 percent in October.

That would have been a drastic cost increase for the United States’ current largest trading partner, one that could have significantly increased prices for American consumers and ruptured long-established supply chains. Such a move could have prompted retaliation from Mexico in the form of new barriers to trade that could hurt the fortunes of many industries, including American farmers, who send their goods there — spurring job losses and potentially even throwing North America into a recession.

Real Estate, and Personal Injury Lawyers. Contact us at: https://westlakelegal.com 

A Weak Jobs Report Poses a New Challenge to Trump: A Slowing Economy

Lawmakers, business executives and economists have all tried to warn President Trump that his trade policies could hurt growth. On Friday, the government reported that employers added just 75,000 jobs in May, a fact that will be hard for him to ignore.

The increase was a far cry from what economists had expected and a fraction of the number of jobs created in April. The weakness was most evident in sectors that depend on exports, and analysts were quick to blame Mr. Trump’s tariffs on China and other countries.

The new data from the Labor Department also increases the likelihood that the Federal Reserve will cut interest rates, and is the latest sign that the economy is slowing.

“This should be a clear warning to the administration and the Federal Reserve to tread very carefully on the policy front,” said Scott Anderson, chief economist at Bank of the West in San Francisco. “The May jobs report gives us a taste of what’s ahead if these trade threats continue.”

The economy started the year strong, expanding by 3.1 percent in the first quarter, and the payroll figures don’t suggest that a downturn is imminent. The current recovery has defied recession predictions several times, and this month it tied a record for longevity with the boom of the 1990s.

Nor was the news all bad. Unemployment was unchanged at 3.6 percent, the lowest that number has been in about 50 years. And average hourly earnings increased by 0.2 percent, which was less than expected but better than earlier in the recovery.

Monthly jobs data can be volatile, with big swings already in January, February and March of this year. But the slow pace of hiring in May followed other disappointing indicators. Oil prices and yields on Treasury bonds have both plunged, which suggests traders expect slower growth.

The huge corporate tax cut enacted in late 2017 served as a tailwind for the economy in 2018 and early 2019, but the impact is beginning to fade. In the first five months of 2019, the economy added an average of 164,000 jobs, down from an average gain of 223,000 for all of 2018.

What’s more, retail sales and factory orders declined in April, an indication that consumers and businesses are becoming more cautious. The jobs report on Friday also revised down hiring data in March and April by 75,000.

“Over all, the economy is on a fragile footing,” said Lindsey Piegza, chief economist at the investment bank Stifel. “We’re still talking about solid growth at the start of the year, but that’s in the rearview mirror. The name of the game is uncertainty.”

At big companies, tariffs are the leading cause of those jitters. The Trump administration has been putting pressure on China for months, but tensions increased last month when negotiators failed to reach a deal and the administration raised tariffs on $200 billion worth of Chinese imports.

The threat of tariffs against Mexico is new. On May 30, the Trump administration said it would place duties on imports from that country to compel it to halt the flow of Central American immigrants to the United States.

That announcement came after the Labor Department conducted its employment surveys for May. But those tariffs, which are scheduled to go into effect on Monday, are certain to hurt many businesses.

“The shift to Mexico was totally unexpected, and it caught people by surprise,” said Neil Bradley, chief policy officer at the U.S. Chamber of Commerce. That effect, he said, was heightened because it came in a statement from the White House, “rather than as an aside to the press or a social media post.”

Senate Republicans are already in revolt over the prospect of tariffs on Mexican imports, and the May hiring figures could make it more difficult politically for Mr. Trump to further escalate trade disputes.

“People aren’t buying the idea that tariffs are good for the economy,” said Aparna Mathur, a resident scholar at the American Enterprise Institute, a right-leaning group. “I hope these numbers would make the Trump administration more cautious and have some impact on their decision to impose tariffs, whether it’s China or Mexico.”

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June 7, 2019

Westlake Legal Group merlin_154619148_3560c715-92cb-4057-ad45-e5bbb600c977-threeByTwoSmallAt2X A Weak Jobs Report Poses a New Challenge to Trump: A Slowing Economy Wages and Salaries United States Economy Unemployment Trump, Donald J Recession and Depression Labor and Jobs International Trade and World Market Interest Rates Federal Reserve System Customs (Tariff)

On Friday, Mr. Trump did not comment on Twitter about the jobs report after it was released, breaking from his usual practice. But he said that a 5 percent duty on Mexican imports would go into effect on Monday unless the country agreed to a deal under which it would buy American agricultural products “at very high levels, starting immediately.”

The duties on China and other countries have already forced large manufacturers, home contractors and other businesses to pay higher prices for components and basic materials. Analysts believe that businesses will eventually have to pass these higher costs on to consumers by raising prices.

“It may not lead to firing but it may cause businesses to postpone hiring,” said Michelle Meyer, chief United States economist at Bank of America Merrill Lynch.

Ms. Meyer’s economic forecast calls for growth to slow to less than 1.5 percent in the second half of the year. In the current quarter, she estimates the economy will grow by 1.9 percent; other analysts think growth will be closer to 1 percent.

She has been keeping a close eye on job creation in the goods sector, relative to hiring in service industries. “If global weakness or the trade war filters in, it’s going to have a bigger impact on the goods side of the economy,” she said.

Manufacturers are among the most sensitive to the rhythms of international trade, depending on foreign companies as suppliers and customers. China and Mexico have been important parts of their supply chains for years, and it won’t be easy for these companies to find alternatives.

Retaliatory tariffs imposed by other countries have also made American exports less competitive on world markets. It’s perhaps not surprising, then, that factory employment is up just 30,000 this year, compared with a gain of 110,000 in the first five months of last year.

Hiring in sectors like manufacturing and mining and logging slowed to a crawl in May, while the services sector showed vigor. The professional and business services category added 33,000 jobs, and health care added 24,000

The retail sector, battered by the rise of e-commerce, lost jobs for the fourth month in a row. Employment in the sector has dropped by 50,000 since January.

On Friday, the latest numbers prompted economists on Wall Street to predict the Fed would cut interest rates as soon as next month. Jerome H. Powell, the central bank’s chairman, hinted on Tuesday that policymakers were prepared to cut rates if the trade war hurt the economy.

Until relatively recently, the expectation was that the Fed would continue raising its benchmark interest rate, something it started doing in December 2015. The Fed changed course in January, when Mr. Powell suggested that very modest inflation and weakness in Europe and China warranted a neutral stance.

Michael Gapen, chief United States economist at Barclays, predicted the Fed’s next move would be anything but neutral. On Friday, he estimated that the central bank would cut rates by half a percentage point in July, followed by a quarter-point reduction in September.

Investors, too, are increasingly convinced that the central bank will slash rates. The futures market, where traders can bet on the direction of Fed policy, indicated on Friday that investors believe there is a more than 80 percent chance of the Fed easing monetary policy in July, compared with a 17 percent probability just a month ago.

Expecting a rate cut, the financial markets bid up the price of stocks and bonds on Friday, with the S&P 500 closing up about 1 percent.

While large companies seem more hesitant, small businesses are showing more optimism, said Andrew Chamberlain, chief economist at Glassdoor, the jobs site. Hiring at businesses with 50 or fewer employees is up 22 percent from a year ago, while job postings are down 3 percent at companies with more than 5,000 employees, according to his company’s data.

“If you are looking for sectors that would slow hiring because of uncertainty today, it would be large employers,” Mr. Chamberlain said. “Small companies are doing business locally.”

Matt Phillips, Peter Eavis and Ben Casselman contributed reporting.

Real Estate, and Personal Injury Lawyers. Contact us at: https://westlakelegal.com 

New Election Security Bills Face a One-Man Roadblock: Mitch McConnell

Westlake Legal Group 06dc-electionsecurity-facebookJumbo New Election Security Bills Face a One-Man Roadblock: Mitch McConnell Voting Machines United States Politics and Government Trump, Donald J Russian Interference in 2016 US Elections and Ties to Trump Associates Political Advertising McConnell, Mitch Law and Legislation elections

WASHINGTON — A raft of legislation intended to better secure United States election systems after what the special counsel, Robert S. Mueller III, called a “sweeping and systematic” Russian attack in 2016 is running into a one-man roadblock in the form of the Senate majority leader, Mitch McConnell of Kentucky.

The bills include a Democratic measure that would send more than $1 billion to state and local governments to tighten election security, but would also demand a national strategy to protect American democratic institutions against cyberattacks and require that states spend federal funds only on federally certified “election infrastructure vendors.” A bipartisan measure in both chambers would require internet companies like Facebook to disclose the purchasers of political ads.

Another bipartisan Senate proposal would codify cyberinformation-sharing initiatives between federal intelligence services and state election officials, speed up the granting of security clearances to state officials and provide federal incentives for states to adopt paper ballots.

But even bipartisan coalitions have begun to crumble in the face of the majority leader’s blockade. Mr. McConnell, long the Senate’s leading ideological opponent to federal regulation of elections, has told colleagues in recent months that he has no plans to consider stand-alone legislation on the matter this term, despite clamoring from members of his own conference and the growing pressure from Democrats who also sense a political advantage in trying to make the Republican response to Russia’s election attack look anemic.

Mr. McConnell has long been an implacable foe of legislation that mandates disclosure or limits on political donors. Critics charge that he may have another reason to stay on the sidelines: not wanting to enrage President Trump, who views almost any talk of Russia’s success as questioning the legitimacy of his 2016 victory.

“No, I don’t think there is any likelihood that we are going to move a bill that federalizes more of the election process,” Senator Roy Blunt, a member of Republican leadership and a former top elections official in his home state, Missouri, said on Wednesday. “Our focus will be on being sure that we are supporting the state and local governments that have run and will be the best people to run elections.”

As Mr. McConnell and his allies see it, the federal government is already doing enough — through executive branch initiatives, a 2017 package of Russia sanctions, $380 million in grants Congress allocated to states last year — to satisfy that obligation. A spokesman for Mr. McConnell, Doug Andres, declined to comment.

But in his speech last month declaring the “case closed” on the 2016 election investigation, Mr. McConnell noted, “We just had the 2018 midterm elections. Thanks to this administration’s leadership, all 50 states and more than 1,400 local election jurisdictions focused on election security like never before,” adding, “Thanks to efforts across the federal government, in 2018, we were ready.”

“These threats and challenges are real,” he concluded. “Our responsibility to strengthen America is serious.”

Advocates for congressional action in both parties are not giving up.

“Leader McConnell would just like the issue to go away,” Senator Chuck Schumer of New York, the Democratic leader, said this week in an interview. “We’re not going to let that happen.”

Mr. Schumer and others point to continued warnings from the American law enforcement and intelligence officials monitoring Russia and other foreign adversaries — including Mr. Mueller — who say the threat against the American political process may only be growing. Adding to concerns are reports that Mr. Trump’s sensitivity around Russia might be hindering the executive branch’s response and surveys that show more than a dozen states still do not have auditable paper-ballot backup systems. Dozens more say they lack the funds to replace aging and potentially vulnerable election technology.

“We have 8,000 different election jurisdictions, and the idea that all of them are going to have the resources, the knowledge, the skills and the ability to independently safeguard our system against foreign powers is just not realistic,” said Lawrence Norden, who has surveyed state election officials for the Brennan Center for Justice. “We need somebody to be leading on this. In some cases, individual states are. But given the threat, the idea that Congress is not going to have a role here for ideological purity, to me is insane.”

Democrats in the House majority are readying hearings and votes on election-related measures to try to force Mr. McConnell’s hand, party aides said. The House Intelligence Committee, one of the panels involved, announced Friday that it would hold a series of hearings on the Russian counterintelligence threat detailed by Mr. Mueller, including the need for additional legislation.

The votes will include one on the Election Security Act, a sweeping but partisan bill that proposes spending $1 billion in grants to state and local officials for replacing voting machines, hiring information technology staff and funding other security measures. But the bill also mandates the president develop a national strategy to fend off influence operations and disinformation campaigns like the ones Russia executed and promulgates new standards for vendors of election technology.

The House may also consider narrower, bipartisan bills Democrats hope could attract more Republican support, like the Honest Ads Act, which would force Facebook, Google and other internet companies to disclose who is purchasing political advertising, and a bill focused solely on getting states to adopt the use of backup paper ballots.

Daniel Savickas, who lobbies Congress on election-related issues for the conservative FreedomWorks, blasted the Senate majority leader for letting legislation languish: “Unfortunately, all Senator McConnell wants to do is judges these days,” he said.

FreedomWorks has advocated a more limited federal footprint, but Mr. Savickas said that “there is a role for Congress” to provide money for states to transition to paper ballot backups and to conduct “risk-limiting audits” after elections.

Senator Marco Rubio, Republican of Florida, continues to push his Defending Elections From Threats by Establishing Redlines Act, written with Chris Van Hollen, Democrat of Maryland, that would impose mandatory sanctions on anyone who attacks an American election. Senators Lindsey Graham of South Carolina and Cory Gardner of Colorado, both Republicans, together with a handful of Democrats, are pressing for crippling new sanctions on Russia to increase the penalty for its past aggression.

None of that appears to be moving.

Nor does the Secure Elections Act, written by Senators James Lankford, Republican of Oklahoma, and Amy Klobuchar, Democrat of Minnesota, which codifies cyberinformation-sharing initiatives between federal intelligence services and state election officials, speeds up the process of granting state officials security clearances and provides incentives for states to adopt the use of paper ballots. The coalition behind it is fraying in the face of a reluctant White House and a balking Mr. McConnell.

“Many of the things we have in the Secure Elections Act, D.H.S. is already doing,” Mr. Lankford said in an interview, referring to the Department of Homeland Security. “We are trying to codify it, to say we can’t forget. We get to 2022, 2024, 2026 — no one can become complacent and think the Russians or the North Koreans or the Chinese are not going to try to engage in these kind of activities.”

The bill was abruptly pulled before a committee vote last year, and now Republicans and Democrats are struggling to agree to changes that Mr. Lankford has advanced to try to win White House support. Ms. Klobuchar is insistent that it take steps to either mandate or incentivize postelection audits and include additional money for states to buy new software and hardware.

“We are negotiating, but I am not going to agree to a significantly weakened bill,” Ms. Klobuchar said in an interview.

Lawmakers in both parties increasingly believe the best, albeit more limited, hope to get around Mr. McConnell could come through Congress’s annual appropriations process, where Democrats have more leverage and deals are more easily cut to satisfy both parties.

A spending bill passed last week by the relevant House subcommittee could serve as an opening position in negotiations. It contained $600 million for election security, with a stipulation that if states want access to the money, they must adopt “direct-recording electronic voting machines with a voting system which uses an individual, durable, voter-verified paper ballot which is marked by the voter by hand or through the use of a nontabulating ballot-marking device or system.”

The Republican-controlled Senate Appropriations Committee is unlikely to be so generous or prescriptive, but the top Democrat on the panel, Senator Patrick J. Leahy of Vermont, said he intended to offer an amendment to provide for funding.

The two chambers would be forced to meet somewhere in the middle, but a deal would depend on House and Senate leaders being able to reach agreement on top-line spending numbers for the year.

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Jobs Report Is Weak, With Gain of 75,000; Unemployment Rate Still 3.6%

  • 75,000 jobs were created last month. Analysts had expected a gain of about 175,000 jobs, according to Bloomberg.

  • The unemployment rate was 3.6 percent, the same as in April.

  • Average hourly earnings rose by 0.2 percent, the same rate as in April. Over the last 12 months, earnings have risen by a solid 3.1 percent.

The latest report was a disappointing showing that will stoke fears the economy is softening as the Trump administration’s trade war with China and potentially Mexico escalates.

The Federal Reserve has signaled that it would consider a rate cut in the event of economic weakness, and May’s data is likely to be an important factor in their decisions.

“This gives us a real sense of deceleration in the U.S. economy,” said Diane Swonk, chief economist at accounting firm Grant Thornton. “We knew this was occurring, but this could be a summer of discontent. It also gives the Fed a green light to cut rates.”

Most analysts expect the economy to slow in the current quarter, after a growth rate of 3.1 percent in the first three months of the year. Both retail sales and factory orders declined in April, a sign that consumers and businesses are growing more cautious.

However dramatic the fall off in hiring was in May, it’s part of a larger trend suggesting that the labor market has cooled from last year, when tax cuts provided a short-term lift. In the first five months of 2019, the economy added an average of 164,000 jobs, down from an average gain of 223,000 for all of 2018.

The retail sector, battered by the rise of e-commerce, lost jobs for the fourth month in a row. The sector has given up 50,000 jobs since January.

The share of Americans working or looking for a job was unchanged at 62.8 percent. Some economists had thought that number would rise as people were lured back into the labor market by signs of growth earlier this year.

Friday’s report also revised employment data for April and March downward by a total of 75,000 jobs.

“Over all, the economy is on a fragile footing,” said Lindsey Piegza, chief economist at the investment bank Stifel. “We’re still talking about solid growth at the start of the year but that’s in the rearview mirror. The name of the game is uncertainty.”

MORE ON JOBS AND THE ECONOMY
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June 7, 2019

Westlake Legal Group merlin_154619148_3560c715-92cb-4057-ad45-e5bbb600c977-threeByTwoSmallAt2X Jobs Report Is Weak, With Gain of 75,000; Unemployment Rate Still 3.6% Wages and Salaries United States Economy Unemployment Trump, Donald J Recession and Depression Labor and Jobs International Trade and World Market census bureau

President Trump’s escalating trade war with China and the possibility of new tariffs on Mexican imports have unsettled the financial markets. Analysts are parsing the data for any sign that his policies are hurting the economy or are making employers more cautious about adding workers.

“The May jobs report gives us a taste of what’s ahead if these trade threats continue to escalate,” said Scott Anderson, chief economist at Bank of the West. “Hiring faded across the board in May. This doesn’t appear to be a one-month pattern.”

Michelle Meyer, chief United States economist at Bank of America Merrill Lynch, said she was evaluating job creation in the goods sector, relative to hiring in service industries. “If global weakness or the trade war filters in, it’s going to have a bigger impact on the goods side of the economy,” she said.

Indeed, hiring in goods-producing industries like manufacturing, mining and logging, and construction slowed to a crawl in May, while the services sector showed vigor. The professional and business services category registered a 33,000 increase in payrolls while health care added 24,000 jobs.

Ms. Meyer’s economic forecast calls for growth to slow to less than 1.5 percent in the second half of the year.

Not all tariffs are created equal, said Neil Bradley, chief policy officer at the U.S. Chamber of Commerce. The threat of new duties on Mexican imports poses different risks than the tariffs imposed on China.

The China tariffs have been building for months, but many business leaders believe Mr. Trump could reach a deal with President Xi Jinping.

“The shift to Mexico was totally unexpected and it caught people by surprise,” Mr. Bradley said. That effect, he said, was heightened because it came in a statement from the White House, “rather than as an aside to the press or a social media post.”

For policymakers at the Fed, who are meeting later this month, the May numbers could be significant. On Tuesday, Jerome H. Powell, the central bank’s chairman, hinted that policymakers were prepared to cut rates if the trade war hurt the economy.

Until relatively recently, the expectation was that the Fed would continue raising its benchmark interest rate, something it started doing in December 2015. The Fed changed course in January, with Mr. Powell suggesting that very modest inflation and weakness in Europe and China warranted a neutral stance.

The stock markets took Mr. Powell’s remarks on Tuesday as a sign that the next Fed move might be a rate cut, prompting a rally. The weak showing for May will only fuel speculation that a rate cut could be imminent, perhaps as early as the central bank’s next policy meeting on June 18 and 19.

[From The Upshot: The jobs report and the market suggest that the Fed went too far in tightening rates last year and offer new grounds for the central bank to pivot.]

In the financial markets, investors saw the bright side of the disappointing report, with bond markets pricing in a growing likelihood that the Fed would act to cut interest rates. Yields on short- and long-term Treasury securities fell sharply after the report. The yield on the 10-year note dropped to 2.07 percent shortly before 10 a.m. Stocks rose, with the S&P 500 up 0.7 percent.

After government reports showed substantial employment gains in March and April and a growth rate of more than 3 percent in the first quarter, it appeared that fears of a recession were overdone. Now those concerns are back.

Bond yields recently dropped to their lowest level since 2017. This isn’t what is supposed to happen when the economy is strong. During good times, the interest rate on government bonds usually rises, as investors plow their money into riskier assets. Plunging bond yields are a sign that investors are worried that growth is about to falter.

Crude oil prices, which typically rise when traders expect the economy to charge ahead, are down about 20 percent since late April.

The current economic recovery has defied recession predictions several times. This month, the current expansion tied a record for longevity with the recovery of the 1990s.

Nevertheless, Carl Tannenbaum, chief economist at Northern Trust, puts the risk of a recession higher than at any times since the financial crisis of 2008. “They say that policy errors, not old age, end expansions, and the steps taken on the trade front in the last five weeks fall under that,” he said.

At Glassdoor, the jobs site, new listings for positions at small employers are outpacing activity at the biggest companies. Hiring at businesses with 50 or fewer employees is up 22 percent from a year ago, while job postings are down 3 percent at companies with more than 5,000 employees.

“If you are looking for sectors that would slow hiring because of uncertainty today, it would be large employers,” said Andrew Chamberlain, chief economist at Glassdoor. “Small companies are doing business locally.”

The Chicago-based technology and logistics company ShipBob isn’t tiny — it has about 500 employees — but it has been hiring at a furious pace. The company helps online retailers offer two-day shipping — vital if they want to keep up with Amazon and other large retailers. It also offers systems that let clients track inventories and route orders to the nearest warehouses.

Not that it’s easy to find new workers. “It’s a very competitive market,” said Lauren Alford, director of recruiting and onboarding at ShipBob. To attract white-collar employees, ShipBob offers an unusual perk — unlimited time off.

“People don’t abuse it,” said Kristina Lopienski, content marketing manager at ShipBob. “We are offering that flexibility if something comes up personally. We’re not watching you clock in and clock out.”

In addition to hiring salaried employees at its Chicago headquarters, ShipBob has been recruiting hourly workers at five fulfillment centers. In May, the company hired more than two dozen at headquarters and over 50 at those warehouses.

That’s good news as new college graduates enter the job market, said Tom Gimbel, chief executive of LaSalle Network, a Chicago recruiting and staffing company.

Jobs that used to offer starting salaries of $30,000 to $40,000 are paying $40,000 to $50,000, Mr. Gimbel said. “I’m talking about liberal arts graduates, not engineering or accounting majors,” he said. Many entry-level positions in fields like sales, marketing and human resources routinely pay $40,000 to $45,000.

“My clients are investing,” Mr. Gimbel said. “They’re not afraid to pull the trigger.”

Nor are clients jittery about the recent volatility on Wall Street. “It mirrors the political landscape,” he added. “Just the way Trump creates chaos, people don’t see the chaotic market as an indicator.”

Matt Phillips and Ben Casselman contributed reporting.

Real Estate, and Personal Injury Lawyers. Contact us at: https://westlakelegal.com 

Employers Added 75,000 Jobs in May; Unemployment Rate Steady at 3.6%

The Labor Department released its latest estimate of hiring and unemployment on Friday morning. The monthly report provides one of the most reliable pictures of the American economy.

  • 75,000 jobs were created last month. Analysts had expected a gain of about 175,000 jobs, according to Bloomberg.

  • The unemployment rate was 3.6 percent, the same as in April.

  • Average hourly earnings rose by 0.2 percent, the same rate as in April. Over the last 12 months, earnings have risen by a solid 3.1 percent.

Employers added 75,000 jobs last month, a disappointing showing that will stoke fears the economy is softening as the Trump administration’s trade war with China and potentially Mexico escalates.

Before this report, analysts had expected a gain of 175,000 jobs.

The Federal Reserve has signaled that it would consider a rate cut in the event of economic weakness, and May’s data is likely to be an important factor in their decisions.

“This gives us a real sense of deceleration in the U.S. economy,” said Diane Swonk, chief economist at accounting firm Grant Thornton. “We knew this was occurring, but this could be a summer of discontent. It also gives the Fed a green light to cut rates.”

Most analysts expect the economy to slow in the current quarter, after a growth rate of 3.1 percent in the first three months of the year. Both retail sales and factory orders declined in April, a sign that consumers and businesses are growing more cautious.

However dramatic the fall off in hiring was in May, it’s part of a larger trend suggesting that the labor market has cooled from last year, when tax cuts provided a short-term lift. In the first five months of 2019, the economy added an average of 164,000 jobs, down from an average gain of 223,000 for all of 2018.

Friday’s report also revised employment data for April and March downward by a total of 75,000 jobs.

“Over all, the economy is on a fragile footing,” said Lindsey Piegza, chief economist at the investment bank Stifel. “We’re still talking about solid growth at the start of the year but that’s in the rearview mirror. The name of the game is uncertainty.”

MORE ON JOBS AND THE ECONOMY
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June 7, 2019

Westlake Legal Group merlin_154619148_3560c715-92cb-4057-ad45-e5bbb600c977-threeByTwoSmallAt2X Employers Added 75,000 Jobs in May; Unemployment Rate Steady at 3.6% Wages and Salaries United States Economy Unemployment Trump, Donald J Recession and Depression Labor and Jobs International Trade and World Market census bureau

President Trump’s escalating trade war with China and the possibility of new tariffs on Mexican imports have unsettled the financial markets. Analysts are parsing the data for any sign that his policies are hurting the economy or are making employers more cautious about adding workers.

“It may not lead to firing but it may cause businesses to postpone hiring because of the uncertainty,” said Michelle Meyer, chief United States economist at Bank of America Merrill Lynch.

Ms. Meyer said she was evaluating job creation in the goods sector, which includes manufacturing, relative to hiring in the service sector. “If global weakness or the trade war filters in, it’s going to have a bigger impact on the goods side of the economy,” she said.

Her economic forecast calls for growth to slow to less than 1.5 percent in the second half of the year.

Not all tariffs are created equal, said Neil Bradley, chief policy officer at the U.S. Chamber of Commerce. The threat of new duties on Mexican imports poses different risks than the tariffs imposed on China.

The China tariffs have been building for months, but many business leaders believe Mr. Trump could reach a deal with President Xi Jinping.

“The shift to Mexico was totally unexpected and it caught people by surprise,” Mr. Bradley said. That effect, he said, was heightened because it came in a statement from the White House, “rather than as an aside to the press or a social media post.”

For policymakers at the Fed, who are meeting later this month, the May numbers could be significant. On Tuesday, Jerome H. Powell, the central bank’s chairman, hinted that policymakers were prepared to cut rates if the trade war hurt the economy.

Until relatively recently, the expectation was that the Fed would continue raising its benchmark interest rate, something it started doing in December 2015. The Fed changed course in January, with Mr. Powell suggesting that very modest inflation and weakness in Europe and China warranted a neutral stance.

The stock markets took Mr. Powell’s remarks on Tuesday as a sign that the next Fed move might be a rate cut, prompting a rally. The weak showing for May will only fuel speculation that a rate cut could be imminent, perhaps as early as the central bank’s next policy meeting on June 18 and 19.

After government reports showed substantial employment gains in March and April and a growth rate of more than 3 percent in the first quarter, it appeared that fears of a recession were overdone. Now those concerns are back.

Bond yields recently dropped to their lowest level since 2017. This isn’t what is supposed to happen when the economy is strong. During good times, the interest rate on government bonds usually rises, as investors plough their money into riskier assets. Plunging bond yields are a sign that investors are worried that growth is about to falter.

Crude oil prices, which typically rise when traders expect the economy to charge ahead, are down about 20 percent since late April.

The current economic recovery has defied recession predictions several times. This month, the current expansion tied a record for longevity with the recovery of the 1990s.

Nevertheless, Carl Tannenbaum, chief economist at Northern Trust, puts the risk of a recession higher than at any times since the financial crisis of 2008. “They say that policy errors, not old age, end expansions, and the steps taken on the trade front in the last five weeks fall under that,” he said.

At Glassdoor, the jobs site, new listings for positions at small employers are outpacing activity at the biggest companies. Hiring at businesses with 50 or fewer employees is up 22 percent from a year ago, while job postings are down 3 percent at companies with more than 5,000 employees.

“If you are looking for sectors that would slow hiring because of uncertainty today, it would be large employers,” said Andrew Chamberlain, chief economist at Glassdoor. “Small companies are doing business locally.”

The Chicago-based technology and logistics company ShipBob isn’t tiny — it has about 500 employees — but it has been hiring at a furious pace. The company helps online retailers offer two-day shipping — vital if they want to keep up with Amazon and other large retailers. It also offers systems that let clients track inventories and route orders to the nearest warehouses.

Not that it’s easy to find new workers. “It’s a very competitive market,” said Lauren Alford, director of recruiting and onboarding at ShipBob. To attract white-collar employees, ShipBob offers an unusual perk — unlimited time off.

“People don’t abuse it,” said Kristina Lopienski, content marketing manager at ShipBob. “We are offering that flexibility if something comes up personally. We’re not watching you clock in and clock out.”

In addition to hiring salaried employees at its Chicago headquarters, ShipBob has been recruiting hourly workers at five fulfillment centers. In May, the company hired more than two dozen at headquarters and over 50 at those warehouses.

That’s good news as new college graduates enter the job market, said Tom Gimbel, chief executive of LaSalle Network, a Chicago recruiting and staffing company.

Jobs that used to offer starting salaries of $30,000 to $40,000 are paying $40,000 to $50,000, Mr. Gimbel said. “I’m talking about liberal arts graduates, not engineering or accounting majors,” he said. Many entry-level positions in fields like sales, marketing and human resources routinely pay $40,000 to $45,000.

“My clients are investing,” Mr. Gimbel said. “They’re not afraid to pull the trigger.”

Nor are clients jittery about the recent volatility on Wall Street. “It mirrors the political landscape,” he added. “Just the way Trump creates chaos, people don’t see the chaotic market as an indicator.”

Real Estate, and Personal Injury Lawyers. Contact us at: https://westlakelegal.com 

Employers Added 75,000 Jobs in May; Unemployment Steady at 3.6%

Westlake Legal Group 07jobs01-facebookJumbo Employers Added 75,000 Jobs in May; Unemployment Steady at 3.6% Wages and Salaries United States Economy Unemployment Trump, Donald J Recession and Depression Labor and Jobs International Trade and World Market census bureau

The Labor Department released its latest estimate of hiring and unemployment on Friday morning. The monthly report provides one of the most reliable pictures of the American economy.

  • 75,000 jobs were created last month. Analysts had expected a gain of about 175,000 jobs, according to Bloomberg.

  • The unemployment rate was 3.6 percent, the same as in April.

  • Average hourly earnings rose by 0.2 percent, the same rate as in April. Over the last 12 months, earnings have risen by a solid 3.1 percent.

Employers added 75,000 jobs last month, a disappointing showing that will stoke fears the economy is softening as the Trump administration’s trade war with China and potentially Mexico escalates.

Before this report, analysts had expected a gain of 175,000 jobs.

The Federal Reserve has signaled that it would consider a rate cut in the event of economic weakness, and May’s data is likely to be an important factor in their decisions.

“This gives us a real sense of deceleration in the U.S. economy,” said Diane Swonk, chief economist at accounting firm Grant Thornton. “We knew this was occurring, but this could be a summer of discontent. It also gives the Fed a green light to cut rates.”

Most analysts expect the economy to slow in the current quarter, after a growth rate of 3.1 percent in the first three months of the year. Both retail sales and factory orders declined in April, a sign that consumers and businesses are growing more cautious.

“Over all, the economy is on a fragile footing,” said Lindsey Piegza, chief economist at the investment bank Stifel. “We’re still talking about solid growth at the start of the year but that’s in the rearview mirror. The name of the game is uncertainty.”

Friday’s report also revised employment data for April and March downward by a total of 75,000 jobs. Job growth averaged 151,000 a month for the last three months.

President Trump’s escalating trade war with China and the possibility of new tariffs on Mexican imports have unsettled the financial markets. Analysts are parsing the data for any sign that his policies are hurting the economy or are making employers more cautious about adding workers.

“It may not lead to firing but it may cause businesses to postpone hiring because of the uncertainty,” said Michelle Meyer, chief United States economist at Bank of America Merrill Lynch.

Ms. Meyer said she was evaluating job creation in the goods sector, which includes manufacturing, relative to hiring in the service sector. “If global weakness or the trade war filters in, it’s going to have a bigger impact on the goods side of the economy,” she said.

Her economic forecast calls for growth to slow to less than 1.5 percent in the second half of the year.

Not all tariffs are created equal, said Neil Bradley, chief policy officer at the U.S. Chamber of Commerce. The threat of new duties on Mexican imports poses different risks than the tariffs imposed on China.

The China tariffs have been building for months, but many business leaders believe Mr. Trump could reach a deal with President Xi Jinping.

“The shift to Mexico was totally unexpected and it caught people by surprise,” Mr. Bradley said. That effect, he said, was heightened because it came in a statement from the White House, “rather than as an aside to the press or a social media post.”

For policymakers at the Fed, who are meeting later this month, the May numbers could be significant. On Tuesday, Jerome H. Powell, the central bank’s chairman, hinted that policymakers were prepared to cut rates if the trade war hurt the economy.

Until relatively recently, the expectation was that the Fed would continue raising its benchmark interest rate, something it started doing in December 2015. The Fed changed course in January, with Mr. Powell suggesting that very modest inflation and weakness in Europe and China warranted a neutral stance.

The stock markets took Mr. Powell’s remarks on Tuesday as a sign that the next Fed move might be a rate cut, prompting a rally. The weak showing for May will only fuel speculation that a rate cut could be imminent, perhaps as early as the central bank’s next policy meeting on June 18 and 19.

After government reports showed substantial employment gains in March and April and a growth rate of more than 3 percent in the first quarter, it appeared that fears of a recession were overdone. Now those concerns are back.

Bond yields recently dropped to their lowest level since 2017. This isn’t what is supposed to happen when the economy is strong. During good times, the interest rate on government bonds usually rises, as investors plough their money into riskier assets. Plunging bond yields are a sign that investors are worried that growth is about to falter.

Crude oil prices, which typically rise when traders expect the economy to charge ahead, are down about 20 percent since late April.

The current economic recovery has defied recession predictions several times. This month, the current expansion tied a record for longevity with the recovery of the 1990s.

Nevertheless, Carl Tannenbaum, chief economist at Northern Trust, puts the risk of a recession higher than at any times since the financial crisis of 2008. “They say that policy errors, not old age, end expansions, and the steps taken on the trade front in the last five weeks fall under that,” he said.

At Glassdoor, the jobs site, new listings for positions at small employers are outpacing activity at the biggest companies. Hiring at businesses with 50 or fewer employees is up 22 percent from a year ago, while job postings are down 3 percent at companies with more than 5,000 employees.

“If you are looking for sectors that would slow hiring because of uncertainty today, it would be large employers,” said Andrew Chamberlain, chief economist at Glassdoor. “Small companies are doing business locally.”

The Chicago-based technology and logistics company ShipBob isn’t tiny — it has about 500 employees — but it has been hiring at a furious pace. The company helps online retailers offer two-day shipping — vital if they want to keep up with Amazon and other large retailers. It also offers systems that let clients track inventories and route orders to the nearest warehouses.

Not that it’s easy to find new workers. “It’s a very competitive market,” said Lauren Alford, director of recruiting and onboarding at ShipBob. To attract white-collar employees, ShipBob offers an unusual perk — unlimited time off.

“People don’t abuse it,” said Kristina Lopienski, content marketing manager at ShipBob. “We are offering that flexibility if something comes up personally. We’re not watching you clock in and clock out.”

In addition to hiring salaried employees at its Chicago headquarters, ShipBob has been recruiting hourly workers at five fulfillment centers. In May, the company hired more than two dozen at headquarters and over 50 at those warehouses.

That’s good news as new college graduates enter the job market, said Tom Gimbel, chief executive of LaSalle Network, a Chicago recruiting and staffing company.

Jobs that used to offer starting salaries of $30,000 to $40,000 are paying $40,000 to $50,000, Mr. Gimbel said. “I’m talking about liberal arts graduates, not engineering or accounting majors,” he said. Many entry-level positions in fields like sales, marketing and human resources routinely pay $40,000 to $45,000.

“My clients are investing,” Mr. Gimbel said. “They’re not afraid to pull the trigger.”

Nor are clients jittery about the recent volatility on Wall Street. “It mirrors the political landscape,” he added. “Just the way Trump creates chaos, people don’t see the chaotic market as an indicator.”

Real Estate, and Personal Injury Lawyers. Contact us at: https://westlakelegal.com 

Trump Allows High-Tech U.S. Bomb Parts to Be Built in Saudi Arabia

WASHINGTON — When the Trump administration declared an emergency last month and fast-tracked the sale of more American arms to Saudi Arabia, it did more than anger members of Congress who opposed the sale on humanitarian grounds.

It also raised concerns that the Saudis could gain access to technology that would let them produce their own versions of American precision-guided bombs — weapons they have used in strikes on civilians since they began fighting a war in Yemen four years ago.

The emergency authorization allows Raytheon Company, a top American defense firm, to team with the Saudis to build high-tech bomb parts in Saudi Arabia. That provision, which has not been previously reported, is part of a broad package of information the administration released this week to Congress.

The move grants Raytheon and the Saudis sweeping permission to begin assembling the control systems, guidance electronics and circuit cards that are essential to the company’s Paveway smart bombs. The United States has closely guarded such technology for national security reasons.

Multiple reports by human rights groups over the past four years have singled out the weapons as being used in airstrikes on civilians. One attack, on a Sana funeral home in October 2016, led the Obama administration to suspend bomb sales to the Saudi-led coalition in Yemen.

The new arrangement is part of a larger arms package, previously blocked by Congress, that includes 120,000 precision-guided bombs that Raytheon is prepared to ship to the coalition. These will add to the tens of thousands of bombs that Saudi Arabia and the United Arab Emirates have already stockpiled, and some in Congress fear the surplus would let the countries continue fighting in Yemen long into the future. The move also includes support for Saudi F-15 warplanes, mortars, anti-tank missiles and .50-caliber rifles.

The emergency declaration, invoked in part because of tensions with Iran, prompted a broad bipartisan pushback from lawmakers who were concerned not only about the war, but also about whether the Trump administration was usurping congressional authority to approve arms sales.

A group of senators that includes Lindsey Graham, the South Carolina Republican, Rand Paul, the Kentucky Republican, and Robert Menendez, the New Jersey Democrat, announced on Wednesday that they would introduce 22 separate measures expressing disapproval of the deals.

ImageWestlake Legal Group merlin_156049044_88a2ef43-a9a7-4da7-a5c0-2e50f158064c-articleLarge Trump Allows High-Tech U.S. Bomb Parts to Be Built in Saudi Arabia Yemen United States Politics and Government United Arab Emirates Trump, Donald J Saudi Arabia Raytheon Company International Relations Defense and Military Forces Bombs and Explosives Arms Trade

Raytheon, the American defense firm, will work with the Saudis to build key components of precision-guided bombs in Saudi Arabia.CreditRichard Baker/in Pictures, via Getty Images

“Few nations should be trusted less than Saudi Arabia,” Mr. Paul said in a statement on Thursday. “In recent years, they have fomented human atrocities, repeatedly lied to the United States and have proved to be a reckless regional pariah. It is concerning and irresponsible for the United States to continue providing them arms.”

In the House, the Foreign Affairs Committee has scheduled a hearing for next week in which members plan to question R. Clarke Cooper, the State Department official whose bureau licenses arms exports.

“The Saudis and Emiratis have become so intertwined with the Trump administration that I don’t think the president is capable of distinguishing America’s national interests from theirs,” said Representative Tom Malinowski, a New Jersey Democrat who sits on the committee. “The administration has presented us no evidence that Saudi Arabia and the U.A.E. face any substantially new or intensified threat from Iran that would justify declaring an emergency.”

Mr. Malinowski, a top human rights official under President Obama, said the bombs were for use in Yemen, not for defending the Saudi or Emirati homeland from Iran, as some Trump administration officials have suggested.

The White House did not respond to a request for comment.

A Raytheon spokesman said there was nothing unusual about the production arrangement.

“Industrial participation by local partners has been an element of international sales of military equipment for decades,” said the spokesman, Mike Doble. “These activities and related technologies are governed by the Arms Export Control Act, controlled by the International Traffic in Arms Regulations, and conform to all licensing rules and restrictions of the United States government.”

Defense contractors have established close ties with the Trump administration, and key executives from several companies, including Raytheon, have made their way into high-ranking positions. Raytheon’s former vice president for government relations, Mark T. Esper, was confirmed as Army secretary in 2017.

The defense firm has also cultivated ties to the Saudi government. During President Trump’s visit to the kingdom in May 2017, Raytheon signed an agreement to work more closely with the Saudi Arabian Military Industries Company, a holding company owned by the country’s sovereign wealth fund. It was unclear whether the new production deal fell under that plan.

The production agreement took some lawmakers by surprise. Representative Ted Lieu, a California Democrat and an outspoken critic of the Yemen war, said it seemed “to serve no purpose other than to forfeit our technology and prevent future congressional oversight.”

The site of an airstrike by the Saudi-led coalition in Sana, Yemen, last month.CreditHani Mohammed/Associated Press

The arrangement, which would effectively outsource jobs, appears to be at odds with Mr. Trump’s position that arms sales are important because of the American jobs they create.

Rob Berschinski, a senior vice president at Human Rights First, an advocacy group, said the administration’s decision was “about siding unreservedly with favored Middle Eastern authoritarians, no matter who they kill or how they repress their citizens.” Mr. Berschinski, a former deputy assistant secretary of state, added, “It has nothing to do with American jobs.”

Congress had been informally blocking the sale of the smart bombs at least since May last year, when Mr. Menendez and Representative Eliot L. Engel, the New York Democrat, expressed concerns over how the Saudis were using the weapons in Yemen. Opposition intensified after American intelligence officials concluded that the Saudi government played a role in the murder of Jamal Khashoggi, the Saudi dissident and columnist for The Washington Post.

But then, last month, on the Friday before Memorial Day weekend, Mr. Trump took the rare step of declaring an emergency to push these weapons out the door.

In a May 24 letter, Secretary of State Mike Pompeo notified congressional leaders of the emergency declaration, waiving congressional review of the weapon sales. Mr. Pompeo said he took into account “political, military, economic, human rights and arms control considerations.” The State Department on Monday disclosed more details to Congress, including the nature of the arms sales.

“If Saudi Arabia is able to develop an indigenous bomb-making capability as a result of this deal, it will undermine U.S. leverage to prevent them from engaging in indiscriminate strikes of the kind it has carried out in Yemen,” said William D. Hartung, director of the Arms and Security Project at the Center for International Policy, a think tank.

The authorization paperwork signed by Mr. Pompeo offers no timeline for the shared operations to get underway, and Raytheon representatives have said they are still negotiating over details with the Saudi government, according to a congressional aide.

Aside from potentially providing the Saudis with more bombs to use in Yemen airstrikes, the arrangement raised security concerns among lawmakers, who were seeking assurances that the Saudis could prevent the American technology from falling into the wrong hands.

Both Republicans and Democrats also noted that it called for creating manufacturing jobs in Saudi Arabia that might otherwise have been located in the United States. And they expressed worry that the Saudis might eventually copy the technology and use it to produce their own weapons, which they would be free to use in Yemen or sell to whomever they chose.

The Saudis have been carrying out regular airstrikes in Yemen since March 2015, when Houthi rebels overthrew the Saudi-backed government. The war has created what the United Nations has called the world’s worst humanitarian crisis, pushing millions to the edge of starvation and leading to the spread of cholera and the deaths of thousands of civilians.

Real Estate, and Personal Injury Lawyers. Contact us at: https://westlakelegal.com