
Chinese official reportedly seeking talks with Trump on fentanyl ingredients amid trade war
A top Chinese government official is asking what the Trump administration wants the communist nation to do about chemicals used to make fentanyl amid an ongoing trade war between the world's two largest economies.
Wang Xiaohong, China's minister of public security, has been making inquiries about what Trump wants China to do about the fentanyl issue over the last few days, The Wall Street Journal reported Friday.
Chinese companies produce precursors, large quantities of chemicals that eventually flow to Mexican drug cartels, which then make fentanyl and smuggle it into the United States.
Beijing could possibly have Wang meet with senior Trump administration officials in a neutral country, the newspaper reported.
Trump has tried to persuade China, Mexico and Canada to do more to combat the flow of fentanyl into the U.S.
"Fentanyl can be the icebreaker for the two countries to start with a more positive tone," Yun Sun, director of the China program at the Stimson Center, a Washington think tank, told the news outlet. "Both sides are eager to get some negotiations started."
Upon taking office, Trump imposed 20% tariffs on China over its role in the fentanyl epidemic in the U.S., which kills tens of thousands of Americans every year.
Since then, Trump has increased tariffs on China to 145%, while Beijing has retaliated with 125% tariffs on American goods.
Hashtags

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles

Miami Herald
6 minutes ago
- Miami Herald
Elon Musk's public dispute sparks interest in Tesla from short sellers
Last week, a social media post from Elon Musk caused many people to stop what they were doing and look down at their phones. Even for the Tesla (TSLA) CEO, known for his controversial and bold opinions, what they saw seemed surprising. Musk had previously announced plans to cease his political spending. But only a few days later, he accused Trump of having direct ties to notorious criminal Jeffrey Epstein and alleged that without his help, the Republican president would not have won last year's election. Don't miss the move: Subscribe to TheStreet's free daily newsletter Since then, Tesla has been in the spotlight, as the dispute between two of the world's most powerful men continues. While TSLA stock initially plunged on news of the argument, it has since regained some of its momentum. Even as shares slowly trend upward, though, experts speculate that short sellers may regard the Musk-Trump fallout as an opportunity to bet against the stock. Over the past few months, Musk's behavior has sparked a global backlash against Tesla's brand, causing sales to fall across the U.S. and Europe. This clear indication of consumer sentiment toward him has caused some financial experts, including Tesla shareholder and fund manager Ross Gerber, to call for him to step down. Related: Elon Musk company reveals major leap forward When Musk announced that he would be stepping back from his role with the Department of Government Efficiency (DOGE), TSLA stock surged, and some investors speculated that the company's troubles were over. But now his falling out with Trump has generated further uncertainty. When a prominent company starts showing signs of weakness or instability, short sellers are likely to start closing in. So far, Tesla's recent declines have been highly profitable for those willing to bet against it. The Wall Street Journal reports that as TSLA stock plunged last week, short sellers pocketed up to $4 billion, noting: Betting against an industry-leading company like Tesla will always carry some risk, regardless of how bleak its prospects may appear. But experts see a case for shorting TSLA stock, provided investors understand its volatile nature, which includes surging unexpectedly. "I think Musk dragged Tesla into a political spectacle," Galileo FX CEO David Materazzi tells TheStreet. "That creates perceived instability. Short sellers don't need real damage, just the illusion of it. Volatility invites them in. When the CEO becomes the story, the stock turns into a target." Financial education platform First Information's CEO Vince Stanzione holds a short position in TSLA. He says his reasons are "business not personal," however, citing the company's high valuation and questionable market share over the feud between Musk and Trump. More Tesla News: The 'anti-Tesla' gives American buyers more good newsAnalyst sets eye-popping Tesla stock price targetElon Musk's feud with Trump is hurting an unexpected investment "The P/E ratio is over 100 and growth the last few years has been near zero," he says of Tesla. "The bulls will say you're paying for the future and Elon Musk's brilliance, and I am not disputing that Tesla could have some future hits in the pipeline, but Elon Must is very good at promising "jam tomorrow" which never seems to materialize, or if and when it does, it's not the flavour he promised." Stanzione also raises a concern regarding Tesla's foray into robotics, something on which Musk has hinged a lot of the company's prospects. This part of Tesla's business just became more complicated due to the abrupt departure of one of its leaders. Related: Heavily shorted AI stock is rapidly climbing the Fortune 500 "Unless robotaxis start showing up en masse by the end of this year, then investors will keep selling," states Stanzione. "I am very bullish on robotics. It's something I have been investing in for over a decade, especially in medical and military uses, however, Tesla is not the only game in town." He names rivals such as Hyundai Motor Group and Boston Dynamics, both of which are making notable advances in the robotics field that could threaten Tesla's progress. Chief Analyst Dan Buckley also highlights the potential valuation problem, stating "Tesla short sellers may see their edge in the long-term mismatch between its ~$1 trillion valuation and the current reality of its business – i.e., nearly all auto-based revenue – and the uncertain viability of its highly speculative emerging tech bets." That said, Buckley advises investors considering a Tesla short to "treat political feuds as a volatility amplifier rather than a directional signal" and highlights the importance of caution when betting against such an unpredictable stock. Related: Billionaire fund manager, skeptical of AI, backs shocking stock The Arena Media Brands, LLC THESTREET is a registered trademark of TheStreet, Inc.

Miami Herald
6 minutes ago
- Miami Herald
Fed official revamps interest-rate cut forecast for rest of this year
America, we need to chill out. Raphael W. Bostic, president and chief executive officer of the Federal Reserve Bank of Atlanta, wants us all to be patient when it comes to possible interest rate cuts in 2025. There's just a tad too many unknowns in the U.S. economy right now, including inflation numbers plus trade wars and tariffs, he said in a June 3 essay. The Federal Reserve's dual mandate targets low inflation and unemployment. These goals are often at odds because higher interest rates lower inflation but increase job losses, while lower interest rates lower unemployment but increase inflation. Post-pandemic, many express the same concern: interest rates on small business loans, consumer credit cards, and home mortgages are too high. Bloomberg/Getty Images Unfortunately, market participants remain downbeat about interest rate cut chances despite President Trump's multiple escalating demands directed at Federal Reserve Chairman Jerome Powell. The May jobs data from the Labor Department were slightly higher than expected but down from April. Unemployment is 4.2%, historically low, but up from 3.4% in 2023. Related: Billionaire fund manager sends strong message on Fed Chair Powell's future Absent a big uptick in unemployment, Fed watchers' attention is firmly on inflation. The Fed's unofficial goal is core inflation (inflation minus volatile energy and food prices) of 2%. PCE inflation is the Fed's favored measure. In April, core PCE was 2.5%. Inflation remains somewhat above the Federal Open Market Committee's (FOMC) target, and the labor market shows signs of slowing but is still broadly stable, Bostic said in his essay. "As of April, we had not yet seen clear signs of tariffs boosting inflation, though research by economists, including ours here at the Atlanta Fed, suggests we might see upward pressure on prices over the coming weeks," he wrote. Related: Looming inflation data may rock interest rate cut forecasts In a conference call with reporters, Bostic said it's "a tough call" whether the Fed would be cutting rates right now if all the trade uncertainty were out of the picture. He added that he's "very cautious about jumping to cuts at this point." In May, Bostic told reporters he was modeling for just one single interest rate cut this year. Bostic pointed to unsettled trade policy and Trump's tariffs as adding to economic gloom in April and May. And the congressional action on the Trump's "One Big, Beautiful Bill" has an unknown impact on future regulatory and fiscal policy. "There is a great deal of uncertainty out there, making it quite difficult to forecast the economy with confidence. Given that, I continue to believe the best approach for monetary policy is patience,'' Bostic wrote. "As the economy remains broadly healthy, we have space to wait and see how the heightened uncertainty affects employment and prices. So, I am in no hurry to adjust our policy stance,'' he concluded. The May CPI numbers will be released at 8:30 a.m. on June 11. TheStreet Pro's Chris Versace says the rate may be higher than expected despite lower gas prices. "We also have to wonder if Bostic's comment helps lay the groundwork for the Fed's upcoming set of economic projections that it will publish alongside its next policy decision on June 18,'' Versace said. Related: Veteran fund manager revamps stock market forecast The Arena Media Brands, LLC THESTREET is a registered trademark of TheStreet, Inc.


USA Today
10 minutes ago
- USA Today
'Do YOUR job': Newsom clashes with JD Vance, other GOP officials over LA protests
'Do YOUR job': Newsom clashes with JD Vance, other GOP officials over LA protests Show Caption Hide Caption Demonstrations critical of ICE near Twentynine Palms Marine base The protesters gathered along Highway 64 along the route between the Marine Corps Air Ground Combat Center Twentynine Palms and Los Angeles. California Gov. Gavin Newsom is not holding back as top Republican officials criticize his handling of the increasingly hostile protests over President Donald Trump's immigration policies. In addition to his ongoing feud with Trump, who suggested the Democrat be arrested, Newsom has responded to sweeping criticism by Vice President JD Vance, U.S. Senator Tom Cotton of Arkansas and other GOP officials. The tension between the Golden State and federal regulators comes after the Trump Administration deployed National Guard troops to crack down on violent protests against immigration raids in LA. Around 700 U.S. Marines and 2,000 National Guardsmen have been ordered to mobilize protestors in the area after the president already authorized the deployment of 2,000 guardsmen. The San Francisco native criticized the president's comment Monday, June 9 that "it would be a great thing" for border czar Tom Homan to arrest him. "The President of the United States just called for the arrest of a sitting Governor. This is a day I hoped I would never see in America," he wrote on X. "I don't care if you're a Democrat or a Republican this is a line we cannot cross as a nation — this is an unmistakable step toward authoritarianism." Newsom for most of the day fired back with all tools in his arsenal, including 800 additional police officers, a lawsuit and invectives warning Trump is acting like a 'dictator.' 'Los Angeles: don't take Trump's bait. Trump wants chaos and he's instigated violence,' Newsom said in a post on X. 'Stay peaceful. Stay focused. Don't give him the excuse he's looking for.' White House Communications director Stephen Cheung took to social media to accuse Newsom of being "the biggest cuck in American politics," a centuries-old insult that the Merriam-Webster dictionary defines in a few different ways, none of them flattering. Cheung accused Newsom of allowing "domestic terrorists to desecrate and defile communities across CA." Secretary of Defense Pete Hegseth said the Marines are being sent "due to increased threats to federal law enforcement officers and federal buildings, approximately 700 active-duty... are being deployed to Los Angeles to restore order." "We have an obligation to defend federal law enforcement officers - even if Gavin Newsom will not," Hegseth said. The post was viewed more than 3 million times within four hours. Trump and Newsom have often clashed but the showdown over Los Angeles marks a new low in their heated relationship. In a lawsuit, Newsom says the Trump administration is violating California's sovereignty. 'One of the cornerstones of our Nation and our democracy is that our people are governed by civil, not military, rule,' the lawsuit says. Trump 'used a protest that local authorities had under control to make another unprecedented power grab." Newsom used the official governor of California website to skewer the president over sending federal troops to the state without the governor's consent, saying he would send 800 state and police officers "to clean up President Trump's mess." Here's a breakdown of who Newsom has clashed with on social media. Vice President Vance urged the California governor control the chaos that escalated in the state himself before blaming Trump or the White House's action. "Do your job. That's all we're asking," Vance wrote. Less than two hours later Newsom replied "Do YOUR job. We didn't have a problem until Trump got involved. Rescind the order. Return control to California." Vance later responded to a video shared by Homeland Security's official X account of a masked demonstrator holding a Mexico flag while standing on top of a graffitied vehicle as burning cars line the street. "This administration will not be intimidated by lawlessness," he wrote. "We will stand by the FBI agents tracking down violent criminals, by the guardsmen, local police, and Marines restoring order, and by the ICE agents enforcing our immigration laws. President Trump will not back down." Tom Cotton Senator Cotton blamed the Democratic party for violence that escalated in LA Sunday. "They demand open borders, or they will riot. And Dem politicians like Newsom will back them," the U.S. Senator from Arkansas wrote on X. "It won't work. We must never tolerate this lawlessness." Newsom replied on X writing: "The only one supporting lawlessness is you and every one of Trump's minions who are allowing him to illegally militarize our city and incite violence." Cotton replied with a photo of the demonstrator holding the Mexico flag writing "What kind of governor blames police officers and the National Guard for 'inciting' this violence? Your policies created this mess. And California deserves a lot better." Jim Jordan Rep. Jim Jordan, R-Ohio indirectly addressed LA protestors waving flags for Mexico or other countries writing: "We fly the American flag in America. Newsom later quoted the X post with pictures rioters from the Jan. 6 insurrection storming the US Capitol in 2021 holding American flags. "Like this?" Newsom quipped. While Jordan did not reply to the governor's comment, he continued to address the situation in LA writing "President Trump is deporting CRIMINAL illegal aliens. And the Left is burning down Los Angeles." "Republicans back law enforcement. Leftist rioters throw rocks at them," he later wrote. Tommy Tuberville Newsom later responded to a Florida's Voice report of U.S. Senator Tommy Tuberville from Alabama echoing Trump's call to arrest the California governor. "Lock him up," Tuberville told Florida's Voice. "LA looks like a third world country — anarchists are in charge, law enforcement is being attacked, and the rule of law is nonexistent." Newsom replied to the retired college football coach citing that Alabama has three times the higher homicide rate of California. According to most recent CDC data, in 2022 Alabama had a homicide rate of 14.9 with over 700 deaths while California had a rate of 5.9% with over 2,300 deaths. "Its murder rate is ranked third in the entire country," Newsom wrote. "Stick to football, bro." Contributing: Dinah Voyles Pulver