
Trump scraps US office on climate diplomacy
The State Department confirmed Friday that its Office of Global Change, which was in charge of representing the United States in UN climate diplomacy, was being closed.
'We will not participate in international agreements and initiatives that do not reflect our country's values,' a State Department spokesperson said.
'Consequently, this office -- which supported the efforts of previous administrations to hobble the United States through participation in the UN Framework Convention on Climate Change (UNFCCC) and other agreements purporting to limit or prevent climate change -- is unnecessary.'
The move was not a surprise as Trump is a climate skeptic and moved to pull the United States for the second time out of the landmark Paris climate accord immediately on returning to office on January 20.
The climate office was among notable absences when Secretary of State Marco Rubio on Tuesday laid out a reorganization of the State Department that is expected to include job cuts.
But a complete US absence at the November summit in the Amazonian city of Belem would be a major shift in global climate diplomacy.
The United States participated in climate talks under the skeptic George W. Bush -- often with a goal of watering down agreements -- and fossil fuel producers such as Saudi Arabia remain part of the process despite frequent disagreements.
Even if the United States ultimately sends some representative to the climate talks, it will mark a sharp shift in the profile of the position in just four years.
Former president Joe Biden elevated the climate envoy position to cabinet status and tapped for the role John Kerry, the former secretary of state, senator and presidential candidate.
Kerry worked closely with China, the world's largest emitter, during the 2023 COP28 conference in Dubai to reach a first-ever call for the world to move away from fossil fuels responsible for much of the world's warming.
The planet has already heated up at least 1.36 degrees Celsius above pre-industrial times, according to the EU's climate monitor Copernicus.
Scientists warn that 1.5C warming is enough for major damage to the planet, including rising disasters and the disappearance of most of coral reefs.
Hashtags

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


New Straits Times
an hour ago
- New Straits Times
Markets, Trump in delicate policy dance
UNITED States President Donald Trump has faced little opposition in his drive to rip up the global economic rule book, whether from his fellow Republicans, political opponents or institutional guard rails. The only exception has been "the market". But now even investors are holding their fire, enabling more risk to build up in the financial system. Wall Street's reaction to Trump's "Liberation Day" tariffs on April 2 was so ferocious that the president did something he had rarely done: he backed down. Trillions of dollars were wiped off the value of US stocks amid a 10 per cent nosedive from April 3-4. The only two-day selloffs since the 1930s that were bigger occurred during World War 2, "Black Monday" in 1987, the Global Financial Crisis in 2008, and the Covid-19 pandemic in 2020. The stock market bottomed out on April 7 after Trump paused most of his country-specific tariffs. Wall Street has not looked back since, with the S&P 500 rebounding 35 per cent to a new all-time high. This episode suggests that "the market" is one of the few true checks on Trump's apparent pursuit to re-shape the US — and indeed the world — economy. The only problem is that the president has continued to pursue unorthodox policies in recent months — including challenging the independence of the Federal Reserve (Fed), firing statisticians and slapping tariffs on countries for non-economic reasons — and investors have failed to tap the brakes. The so-called "Trump put" — the idea that the president won't let the markets fall too far — is essentially a funhouse mirror version of the famous "Fed put", the long-held belief that, in the event of a crisis, the central bank will step in to restore stability. Trump seemingly did just that in April, but it was to clean up a mess of his own making. And one could argue that it was actually investors who came to the economy's rescue by putting pressure on the president to reconsider policies considered ill-advised by most economists. Trump and markets are, therefore, now in a curious dance. Investors appear to believe that markets can ultimately stop Trump from pushing the envelope too far on tariffs or other policies. But as a result, investors are not over-reacting — or reacting at all — to the latest controversies around the Bureau of Labour Statistics firing, his attacks on Fed chair Jerome Powell, his pressure on Intel's chief executive officer to resign, or the outsized tariffs slapped on Brazil and India. This, in turn, has powered the markets to new record highs, emboldening Trump to push the envelope even further. So even though the market has the power to rein in the president's economic policy excesses, it's not using it. Why hasn't the market pushed back? As the cliche goes, equity investors are paid to be optimistic. It's in their interest to keep the train hurtling along provided there aren't any immediate obstacles to derail it. There are, of course, a few pretty large hurdles on the horizon for the US economy, including the highest tariffs since the 1930s and some of the biggest budget deficits since World War 2 outside of crisis periods. But until these or other issues present an immediate economic threat, markets can choose to ignore them. By under-reacting to Trump's unorthodox policies, markets may be not only delaying the day of reckoning but amplifying the potential impact. Why? Genuine economic and geopolitical paradigm shifts are underway, and investors are not pricing in the attendant risk. Nobody knows what the ultimate impact of these shifts will be, but we do know that with greater uncertainty comes greater downside risk. Yet equity volatility is currently the lowest it has been this year, and even in the bond market — not known for its optimism — volatility is the lowest in 3½ years, while US corporate bond spreads are the tightest since 1998. Ultimately, the market is unlikely to call Trump's bluff until something truly unexpected or extreme hits. In the meantime, investors can justify this nonchalance by saying that corporate earnings growth is solid, artificial intelligence enthusiasm is high, economic growth remains decent, unemployment is low and consumers are still spending.


The Star
an hour ago
- The Star
U.S. Senator Sanders favors Trump plan to take stake in Intel, others
FILE PHOTO: U.S. Senator Bernie Sanders (I-VT) listens as U.S. Trade Representative Jamieson Greer testifies before a Senate Finance Committee hearing on U.S. President Donald Trump's trade policy, on Capitol Hill in Washington, D.C., U.S., April 8, 2025. REUTERS/Kevin Mohatt/File Photo WASHINGTON (Reuters) -Liberal U.S. Senator Bernie Sanders on Wednesday threw his support behind President Donald Trump's plan to convert U.S. grants to chipmakers, including $10.9 billion for Intel, into government stakes in the companies. "If microchip companies make a profit from the generous grants they receive from the federal government, the taxpayers of America have a right to a reasonable return on that investment," Sanders, an Independent who caucuses with Democrats, said in a statement to Reuters. The awards were part of the 2022 Chips and Science Act, which sought to lure chip production away from Asia and boost American domestic semiconductor output with $39 billion in subsidies. Commerce Secretary Howard Lutnick is looking into the government taking equity stakes in Intel and other chipmakers in exchange for the grants, sources told Reuters on Tuesday. Much of the funding for companies such as Micron , Taiwan Semiconductor Manufacturing Co and Samsung has not been dispersed. (Reporting by Alexandra Alper)


The Sun
3 hours ago
- The Sun
EU-US trade deal reduces but does not eliminate global uncertainty
GENEVA: The United States-European Union trade agreement has reduced global economic uncertainty without eliminating it entirely according to European Central Bank President Christine Lagarde. She stated that the deal maintains effective US tariff rates on EU goods within a 12% to 16% range during her World Economic Forum panel discussion in Geneva. Lagarde noted these rates exceed previous ECB forecasts while expressing concern about unclear sector-specific tariff plans from the Trump administration. The ECB president highlighted particular uncertainty surrounding potential levies on pharmaceutical products and semiconductor imports. She projected eurozone economic activity would decelerate in the third quarter following a robust start to 2025. Lagarde observed that global growth has maintained relative stability thus far primarily due to tariff-induced economic distortions rather than organic market forces. Importers significantly increased their inventory levels during the first quarter anticipating impending tariff increases according to Lagarde's analysis. President Trump implemented substantial import tariffs worldwide aiming to strengthen US manufacturing capabilities and reduce the nation's massive trade deficit. Initial threats of 30% tariffs on EU imports were reduced to 15% through last month's Brussels-Washington negotiation. The agreement included EU efforts to secure exemptions for specific industrial sectors from the tariff framework. Recent weeks have seen President Trump suggesting additional targeted tariffs particularly affecting pharmaceutical exports which represent 20% of EU shipments to the United States. The trade deal emerged shortly after the ECB governing council maintained interest rates following consecutive reductions. This decision reflected cautious policymaking while assessing potential impacts from US tariff measures. The ECB's June macroeconomic projections revised 2025 inflation forecasts downward to 2% citing lower energy costs and euro appreciation. Simultaneously the institution slightly reduced its 2026 GDP growth forecast to 1.1% acknowledging evolving economic conditions. Lagarde confirmed that upcoming mid-September forecasts will incorporate comprehensive analysis of the trade deal's implications for euro area economic performance. – AFP