US President Joe Biden has called for a three-month suspension of America’s national gasoline tax in response to the country’s soaring energy prices.
The average cost of a gallon of gas, or petrol, is hovering near $5 (£4), up from roughly $3 a year ago.
With national elections for Congress coming in November, Mr Biden is under pressure to respond.
Analysts say that removing the levy would have limited impact on household petrol and diesel costs.
Political support for the gas tax holiday, which would require an act of Congress, is also uncertain, with members of Mr Biden’s own party concerned that the move would primarily benefit oil and gas firms.
The White House acknowledged the criticism, but said policymakers should do what is in their power to try to ease the strain on families.
“A gas tax holiday alone will not, on its own, relieve the run-up in costs that we’ve seen,” the administration said in a statement.
“This unique moment when the war in Ukraine is imposing costs on American families, Congress should do what it can to provide working families breathing room.”
What is the US gas tax?
Currently, the US imposes a tax of roughly 18 cents per gallon on gasoline and 24 cents on diesel, using the money collected to help pay for highway infrastructure.
Eliminating the levy through September, as Mr Biden has proposed, would cost the government an estimated $10bn.
The move is the latest effort from countries around the world to address the soaring energy costs.
Oil prices have surged since last year, as demand outstrips supplies constrained by cuts that many firms made after the pandemic hit in 2020 and prompted demand to crater.
As the war in Ukraine pushes Western countries to shun oil from Russia – a major energy producer – that has also contributed to the crunch.
“Pausing the federal gas tax will certainly provide near-term relief for US drivers, but it won’t solve the root of the issue – the imbalance in supply and demand for petroleum products,” a spokesperson for the American Fuel and Petrochemical Manufacturers industry group said.
Image source, Getty Images
It said longer-term policies are needed to boost US energy production.
Mr Biden has already taken steps like releasing unprecedented amounts of oil from national reserves and lifting taxes on imports of solar panels.
As well as suspending the national gasoline tax, Mr Biden is urging similar steps by state governments, which typically impose their own taxes, often higher than the federal government’s.
Some states, including New York, have already suspended those charges.
The president has also called for oil and gas firms to increase their output, intensifying his criticism of the sector in recent weeks.
However, there is little political momentum in the US for funding relief for households through something like the UK’s recently announced windfall tax on energy company profits.
Nato Summit: Turkey Pushes Finland and Sweden on Extradition After Deal
Turkey says it will now be pushing for the extradition of 33 “terror” suspects from Finland and Sweden, under a deal that lifted Ankara’s objections to the two Nordic states’ bids to join Nato.
Turkey would ask them to “fulfil their promises”, the justice minister said.
Ankara has accused both Finland and Sweden of hosting Kurdish militants.
The Nordic states agreed late on Tuesday to “address Turkey’s pending deportation or extradition requests of terror suspects expeditiously”.
Finland and Sweden declared their intention to join the 30-member Western defensive alliance in May, in response to Russia’s invasion of Ukraine.
Turkey initially threatened to veto their application but after four hours of talks at the Nato summit in Madrid the three countries reached a compromise. Nato leaders are expected to officially invite Finland and Sweden to become members before the end of the meeting.
Russia condemned the expansion of Nato as a “strictly destabilising factor”. “The Madrid summit affirms the bloc’s course at aggressive containment of Russia,” Deputy Foreign Minister Sergei Ryabkov was quoted as saying by Interfax news agency.
“We will seek the extradition of terrorists,” said Justice Minister Bekir Bozdag.
He called on Finland to hand over six members of the Kurdistan Workers Party (PKK) and another six from the movement of exiled Turkish cleric Fethullah Gulen.
Turkey also wants 11 PKK members and 10 Gulenists to be extradited from Sweden.
The PKK, formed in the late 1970s, launched an armed struggle against the Turkish government in 1984, calling for an independent Kurdish state within Turkey. Meanwhile, the Gulenists are blamed by Turkey for a failed coup against President Recep Tayyip Erdogan in 2016.
While the PKK is considered a terrorist group by the EU, US and UK, they do not view the Gulen movement in the same light. Finland and Sweden have so far made no public comments on the Turkish request.
Under Tuesday’s trilateral memorandum, Helsinki and Stockholm agreed to “prevent activities of the PKK” and not support Gulenists. They also promised not to support the Syrian Kurdish Democratic Union Party (PYD) and its military wing, the People’s Protection Units (YPG) – which Ankara insists is an extension of the PKK.
The two countries also pledged to lift their restrictions on selling weapons to Turkey.
Finnish President Sauli Niinisto said the three countries signed the deal “to extend their full support against threats to each other’s security”, while Swedish PM Magdalena Andersson said it was “a very important step for Nato”.
President Erdogan’s office said it “got what it wanted”. But the deal was condemned by Kurdish activists.
Amineh Kakabaveh, a Swedish lawmaker of Iranian Kurdish descent, said it was a “black day” for Sweden. She argued that Stockholm was simply sacrificing the Kurds.
By joining Nato, Sweden will end over 200 years of non-alignment. Finland adopted neutrality following a bitter defeat by the Soviet Union during World War Two.
Magdalena Andersson looked visibly happy in the Madrid sunshine as she told Swedish Television’s morning show that she’d slept well after the “big day” that saw Turkey finally sanctioning a Nato spot for Sweden and Finland.
It was a marked contrast to the reaction from Amineh Kakabaveh, an independent MP and one of Sweden’s 100,000-strong Kurdish diaspora. She’s become something of a global political celebrity in recent weeks, appearing on international TV channels to argue Sweden shouldn’t make concessions to Turkey, which she’s described as an Islamist dictatorship.
She described Tuesday as “a black day in Swedish political history” and said Kurds were being sacrificed for the sake of Nato membership.
Sweden had previously indicated it would continue to support the Kurdish group YPG, which fights the terrorist group IS in Syria. But the Nato agreement indicates this won’t be the case, since Turkey considers the group’s political arm to be a cover for the militant PKK.
While plenty of Kurds in Sweden back the MP, she has little power. Around 80% of MPs backed Sweden’s Nato application, and with parliament now broken up and an election in September, the prime minister’s Social Democrats no longer need her support.
Original Source: bbc.co.uk
Jan 6 Hearings: Ex-aide Paints Devastating Picture of Trump
This video can not be played
Up until now, the congressional committee investigating the 6 January attack on the Capitol was missing a key piece of the puzzle – the testimony of someone who could offer a first-hand account of the situation in the White House in the hours before and during the attack.
Cassidy Hutchinson, a former top aide to White House Chief of Staff Mark Meadows, filled in the blanks. And she has painted a devastating picture, including an allegation, which Trump denies, that he tried to grab the steering wheel of the car he was travelling in and wrestled with a Secret Service officer in an attempt to divert his motorcade to the Capitol, where his supporters were gathering.
A threat of violence ignored
Very early in the proceedings, the committee went to lengths to establish how the White House, and the president himself, knew that there was a very real threat of violence on 6 January – and did nothing to stop it.
Ms Hutchinson testified that Mr Meadows told her he thought, days before the attack, that things “might get real, real bad”.
She spoke of how White House officials were warned of the potential for violence. And, in perhaps the most damning testimony so far, she said Donald Trump personally knew that members of the crowd at his morning rally near the White House were armed because they were being turned away by Secret Service officers – and directed them to the Capitol anyway.
“I don’t [expletive] care that they have weapons. They’re not here to hurt me,” Ms Hutchinson said she heard the president say. “Let my people in. They can march to the Capitol from here.”
A president enraged
Some of Ms Hutchinson’s most damning testimony came second-hand, however. She recounted how a White House official told her that the president had insisted on travelling to the Capitol after his White House rally – something he said he would do during his speech. When he learned the motorcade was going back to the White House, he attempted to grab the steering wheel and wrestled with a Secret Service officer.
“I’m the [expletive] president,” Trump said, according to Hutchinson. “Take me up to the Capitol now.”
Since Ms Hutchinson’s testimony, a source close to the Secret Service has told CBS News that both the agent and driver travelling in the car with Mr Trump were willing to testify under oath that the former president did not physically attack either of them and never attempted to grab the steering wheel.
Later in the day, Ms Hutchinson recounted hearing Mr Meadows say that, upon learning that rioters were calling for Vice-President Mike Pence to be hanged, Mr Trump expressed approval.
Image source, Getty Images
“He thinks Mike deserves it,” Ms Hutchinson said she overheard her boss say. “He doesn’t think they’re doing anything wrong.”
In a trial court, such evidence would be considered hearsay and treated with scepticism. In the hearing room, however, it was explosive – and will be used by the committee to pressure senior Trump officials who have so far refused to testify, like White House top lawyer Pat Cipollone, to come forward and either corroborate or refute her accounts.
“If you heard this testimony today and suddenly you remember things you couldn’t previously recall, or you discover some courage you had hidden away somewhere, our doors remain open,” committee chair Bennie Thompson said at the conclusion of the day’s hearing.
A composed witness
The January 6th committee, with its surprise announcement of a mystery witness and new evidence unearthed, set a glaring spotlight on Ms Hutchinson during her in-person testimony on Tuesday.
Image source, Getty Images
For a 25-year-old who four years ago was a White House college intern, she held up to the pressure remarkably well.
She answered the committee’s questions in a calm, methodical voice, noting how and under what circumstances she gained the information she was recounting. The committee made a point of showing how Ms Hutchinson’s office was just a few doors down from the president’s Oval Office and how she controlled access to Mr Meadows’ office, giving her a prime position with which to witness – and, at times, overhear – conversations between key figures in the run-up to the Capitol attacks.
Her meticulous recollection of events and account suggest she may have kept a record of the events during her time at the White House or, at the very least, has an electronic record of texts and emails that supports her claims.
Donald Trump’s rebuttal
As Ms Hutchinson was giving her at times damning account of the president’s actions before and during the 6 January attack, Mr Trump took to his social media platform and began trying to undercut her claims.
Much of it was typical of the way he has responded to past critics, saying that he hardly knows Ms Hutchinson but hears “very negative” things about her. He called her a phoney and a “leaker” and suggested she was bitter because he didn’t give her a job after leaving the White House.
He went on to deny many of the episodes Ms Hutchinson described and, once again, noted that he said in his rally speech that the crowd should march on the Capitol “peacefully”.
It’s always an open question whether any negative stories of Mr Trump’s behaviour will dent his popularity among his supporters. Tuesday’s testimony, and the five hearings before it, however, may remind some Republicans of the kind of chaos that frequently swirled around the Trump presidency and that, while he had some conservative accomplishments while in office, he also presided over his party losing both chambers of Congress and the White House.
Given that a potential 2024 opponent, Florida Governor Ron DeSantis, is rising in head-to-head-polls against Mr Trump, these hearings may have caused real damage to the former president’s political power.
Original Source: bbc.co.uk
Ukraine-Russia War: ‘Sanctions Have Brought My Factory to a Standstill’
Igor Pleshkov gives me a tour of his concrete business in Kaliningrad.
Not that he’s doing much business right now.
Igor’s factory has pretty much come to a standstill.
“We produce commercial concrete, iron concrete and paving stones. We first experienced a shortage of cement back in March, after Europe imposed sanctions on Russian banks.
“Trains with cement were being turned back at the Lithuanian border, because the rolling stock was owned by leasing companies who were under sanctions.
“As of June, we haven’t produced a single cubic metre.”
Kaliningrad is a unique part of Russia. This region is cut off from the rest of the country – the Russian mainland is 300 miles (480km) to the east.
It was the Red Army that seized Kaliningrad (or Königsberg as it was known) from Germany at the end of World War Two. When the Soviet Union collapsed in 1991, Kaliningrad suddenly found itself a Russian exclave in the heart of Europe. It’s sandwiched between Lithuania and Poland, both members of the European Union and Nato.
For supplies Kaliningrad has been heavily reliant on transit routes through Lithuania. But this month Lithuania began implementing EU sanctions on certain Russian goods – including construction materials. It won’t allow them to transit through Lithuanian territory to Kaliningrad.
This makes Igor’s challenge to turn the business around as tough as concrete.
“These sanctions aren’t only affecting our business, they affect everyone,” Igor explains. “We aren’t making anything, so builders can’t build anything. There’s a chain reaction. We have nothing to pay contractors, taxes or wages.”
Image source, Reuters
The authorities in Kaliningrad say there’s nothing to panic about and they plan to bring in more goods by sea. But expect logistical difficulties and higher costs.
Back in Moscow, Russian officials are furious. They’ve been taking aim at Lithuania, the EU, Nato and the West in general.
This week Nikolai Patrushev, head of Russia’s powerful Security Council and one of President Vladimir Putin’s closest allies, flew to Kaliningrad for meetings. There he warned Russia’s response – whatever form it takes – would have “a serious negative impact” on the Lithuanian people.
Russia accuses Lithuania of imposing a blockade on Kaliningrad. That’s something Lithuanian officials fiercely deny. After all, there is no ban on Russian passengers transiting through Lithuanian territory, or on Russian goods that are not on the EU sanctions list.
On Kaliningrad’s Victory Square, most of the people I speak to have only positive things to say about Europe.
“I hope we can reach an agreement with the Lithuanians on transit, because they’re not bad people,” Svetlana tells me.
“They’re not evil! The Poles aren’t bad, either. We don’t share a border with Russia, but with Poland and Lithuania. They’re like family to us. We need to restore relations.”
War in Ukraine: More coverage
Original Source: bbc.co.uk
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