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The Journal.

Trump 2.0: Less Foreign Aid, More Tariffs

Feb 7, 2025
Joel Schectman, a WSJ reporter focused on the dismantling of USAID, joins Ryan Knutson and Molly Ball to delve into the implications of reducing foreign aid in the U.S. A key topic is the gutting of USAID and how it impacts global leadership. They also discuss Trump's tariff strategies as negotiation tools and the shifts in CIA tactics towards China and Mexico. There's even a controversial proposal regarding U.S. involvement in Gaza, highlighting the complexities of current political dynamics.
23:39

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Podcast summary created with Snipd AI

Quick takeaways

  • The dismantling of USAID under Trump signifies a fundamental shift in U.S. foreign aid strategy towards direct leverage rather than soft power.
  • The new CIA director's push for aggressive international operations suggests a hardline approach intended to balance the reduction of USAID's influence.

Deep dives

Dismantling of USAID and Its Implications

The dismantling of the U.S. Agency for International Development (USAID), a $40 billion agency, signifies a major shift in how the Trump administration approaches foreign aid. Critics view this move as an effort to consolidate power, aligning with the administration's belief in a zero-sum approach where the U.S. should leverage its strength directly rather than through soft power initiatives. While some suggest USAID may be folded into the State Department, it remains uncertain whether this closure is permanent, as legal challenges and congressional approval are required for such significant changes. The disruption of USAID not only affects future funding but also threatens the operational capacity of the NGOs relying on this aid, potentially leading to dire consequences for overseas assistance programs.

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