In this news, we discuss the Factbox: A second Trump term could mean fewer regulations, more trade wars and high TV ratings.
(Reuters) – If US President Donald Trump gets a second White House term, look for an auto emissions battle with California, an attempt to downsize Big Tech and higher ratings for cable news.
Here’s how a re-election of President Trump could impact six key industries. For a FACTBOX on how these sectors might change if former Vice President Joe Biden wins the election, click.
A re-election of Trump would leave American automakers caught in the crossfire of a war over climate policy between Washington and the state of California.
California has sued Trump for rescinding national vehicle emissions standards and seeking to overturn the state’s power to enforce the sale of electric vehicles.
Automakers are expected to save billions of dollars in compliance costs as part of Trump’s approach to emissions. But the shock with California over emissions and electric vehicles has divided automakers. It also left the industry with two sets of regulations for the increasingly divergent markets of the Blue Coast States and the Heart of the Red States. Automakers have long advocated resolving the differences between California and federal climate policy to create a single set of national standards to guide their technology investments.
During his first term, Trump pressured Detroit automakers to step up investment in the United States, attacking General Motors Co GM.N and Ford Motor CoF.N for deciding to close factories or to invest in China and Mexico. Trump periodically threatened German automakers with tariffs. Its tariffs on steel and aluminum have increased costs for American automakers.
Trump has been fiercely critical of the high drug prices, but experts say the pharmaceutical industry will likely fare better under Trump’s second term than it would if Joe Biden won the White House.
Trump passed a number of executive orders aimed at reducing drug prices during his first term, but experts say they have had little practical impact.
His efforts to get Congress to pass new laws to reduce drug costs have been far less successful, in part because his own party blocked a bill that would have allowed Medicare, a government health insurance program, to negotiate lower prices with pharmaceutical companies.
Trump, if re-elected, is expected to continue slashing mining industry regulations and shortening the licensing process, as part of a broader effort to boost domestic production of minerals used to make electronics. , weapons and a host of other products. .
Trump signed several executive orders during his first term that labeled rare earths and other minerals essential to national defense, ordering the Pentagon to financially support junior projects. The United States has only one rare earth mine, although it depends on China for processing. A second term for Trump could see several new national rare earth mines as well as new processing equipment from Rare Element Resources Ltd REEMF.PK and others.
However, at least one mining project could be put at risk in Trump’s new term. Alaska’s Pebble Mine, a massive deposit of copper and gold in the Bristol Bay watershed, has been criticized by Trump’s son, Donald Trump Jr., and Fox News host, Tucker Carlson, who said the mine would destroy areas where they like to fish and hunt. The U.S. Army Corps of Engineers at the end of August extended its post-election permit review schedule, a step that came after the two privately lobbied the president.
Mine developer Northern Dynasty Minerals Ltd. NDM.TO of Vancouver said the mine could be developed safely. But the two US senators from Alaska, both Republicans, have publicly spoken out against the mine, adding further pressure on Trump to deny him permission.
Media companies are poised to profit if Trump gets four more years, based on demand for TV, print and digital media coverage since his election in 2016.
As news consumers first tuned in to coverage of the Frankish president and his administration, the triple threat of the coronavirus pandemic, an economic crisis and racial strife kept them engaged.
The New York Times, for example, saw its digital-only subscriptions quadruple between the end of the second quarter in 2016 and the same period this year. Shares of New York Times Co NYT.N have risen more than 250% since Election Day 2016.
Evening TV news shows also saw a resurgence, with CMCSA.O NBC, owned by Comcast, VIACA.O CBS, owned by ViacomCBS Inc, and DIS.N ABC by Walt Disney Co, enjoying their largest audiences. information for years.
According to Nielsen, ratings of cable news networks TN CNN, owned by AT&T, FOXA.O Fox News, owned by Fox Corp and Comcast’s MSNBC – with their loyal politically divided supporters – are up 72% from compared to last year. Fox News was the top-rated network in all of television for prime-time viewers in July, August and September, according to Nielsen.
But despite the increase in audiences, news agencies continue to suffer from declining ad revenue, spurred by Alphabet Inc.’s GOOGL.O Google and Facebook Inc FB.O, and exacerbated by the pandemic. Many marketers have slashed their advertising budgets, leading news agencies to lay off tens of thousands of employees.
If the cycle of negative news continues into a second Trump term, advertising dollars may not follow. For years, ad technology companies have provided brands with tools to prevent ads from showing on web pages or URLs that contain keywords like “shot” or “murder.” These advertising “blacklists” exploded after the 2016 US election, when brands sought to avoid polarizing the news. Many brands are reluctant to buy ads against the coronavirus and Black Lives Matter coverage.
A second term for Trump could help maintain interest in journalism, with an audience engaged and committed to the news and a president who has recognized his role in keeping it there.
“Another reason I’m going to earn four more years is that newspapers, television, all forms of media are going to fall if I’m not there because without me their ratings go down,” Trump said in 2017, according to the New York Times.
US President Trump has imposed $ 370 billion in tariffs on goods imported from China as part of his “America First” program. These tariffs on products ranging from handbags to small electronics are estimated to have cost U.S. importers some $ 61.6 billion through early September, according to U.S. Customs and Border Protection, and have been accused of eroding US manufacturing competitiveness. Retailers say the tariffs will lead to higher prices for consumers and loss of jobs.
“If Trump wins, he will see the election as validation of his trade policy strategy, including his use of tariffs, and will certainly continue to follow that strategy with China,” said Jonathan Gold, vice president of the National Retail Federation for the supply chain. and customs policy.
The trade organization hopes that any new deal can be reached without the threat of tariffs.
If Trump holds the White House, big tech companies will face continued pressure from regulators on antitrust issues. The Trump administration has already sued Alphabet’s Google and a lawsuit against Facebook is supposed to arrive soon. If Democrats win the Senate, it could increase the risks to the technology, as Democrats call for even closer scrutiny of practices that they say have stifled innovation and reduced competition. Trump could also step up his rhetorical war over what he claims is the censorship of conservative views on major social platforms.
The most immediate technical question for Trump will be what to do with TikTok, the Chinese-owned app that his administration says poses a security risk that should be transferred to US ownership or banned.
With the election receding, tech companies that depend on China as a supplier or buyer will be watching to see if Trump’s approach to trade is rising or cooling.
Reporting by Helen Coster, Lisa Baertlein, Carl O’Donnell, Paresh Dave, Tina Bellon and David Shepardson; Edited by Edward Tobin
Original © Thomson Reuters
Originally posted 2020-11-03 12:06:15.