tv Bloomberg Markets Asia Bloomberg November 7, 2017 8:00pm-10:00pm EST
choose by the gig or unlimited. xfinity mobile. a new kind of network designed to save you money. call, visit or go to xfinitymobile.com. >> singapore, 8:00 in new york city. this is bloomberg markets: asia. ♪ >> rolling back the rhetoric, president trump in direct talks with north korea. >> the president wants in operation. he will be addressing lawmakers.
nomination,'s jerome powell the next fed chair nomination. also, donald trump's first in -- for statement in beijing later today. wonder what he -- we areut as we seeing this kind of breather when it comes to asian markets. we had aussie shares breaching that 6000 level for the first time, still holding onto those levels, but so looking to see. we are having a little bit of a reality check when it comes to today's section. >> a reality check. we have stocks at a two-day
rise. given the recent uptick, that will count for the decline as well. the somber when -- the end could be yielding to that. is whether hong kong and chinese shares will joins as trump has to managing later today. >> the aussie dollar is still getting near october lows. ground by it losing about a 10th of a percent. bet's expected so that could a driver today. focus --ech stocks in and focus.
we're watching internet firms the stockeaking up was downgraded to neutral and had reported earnings miss last week. about it is sliding the most after its stock was downgraded and in seoul, korea and cosmetic socks are on the rise. -- that is according to hana financial. we have a duty free operators, as well as cosmetic socks have obtained a benefit.
>> just getting this breaking news coming through. we've had this election taking place. democrats the defeating the incumbent republican. winning the murphy race. that is all the breaking news. let's find more as a what is going on in the first word news. corruption crackdown in saudi arabia as geopolitical tensions heightened. at one lost more than 3% point. saudi arabia arrested prominent -- stors and members expects will production to grow considerably faster than
expected. says north american sales will talk more than 7 million barrels a day. that is 56% higher than a year ago. demand for oil will remain unchanged. >> it has been repeated and they have governed momentum by a focus.of important in the u.s., a number of groups -- the proposed -- the house ways and means committee has already tweeted to lessen the impact
rate they say would prevent companies. we will be speaking to treasury secretary steve mnuchin wednesday. you're watching from hong kong past midnight on thursday. global news powered by more than 2700 journalists. this is bloomberg. president trump has toned down his rhetoric. he is now calling for direct engagement. earlier, he scrapped plans for a ofprise visit on account some of these issues. tweet.e just getting one
>> behind me, donald trump should be arriving with an hour. go big wildcard is will he off script in really commending the strong partnership between the united states and south korea. to the left of me, we have hundreds of south korean right police. they were sitting down on the grass. over here, we have the anti-trump protesters. they have been shouting for the better part of the last few hours. over here on the other side, we have some video that i believe supporters.am
probably, a thousand. are elderly. i saw some metals hanging off. perhaps they are veterans of that conflict. many saying they support the u.s. and south korean partnership that is a deterrent the north. war with there is a palpable buzz here at waitational assembly as we donald trump speech to south korean lawmakers. >> thank you for that. clarify, i did cindy democrat, phil murphy -- murphy has won that race.
>> that said, that is always have right now. thank you for joining us today. let's start with what you would for donald trump to be doing and saying in beijing? isit will depend on what he saying to the national assembly and what type of agreements and understandings he's been able to achieve. situation willn be dominating. yes, they will make a lot of announcements of sales of u.s. products and services to china.
it would have raised the price of everyday consumer space on they buy things in american stores all the way from stores to close. -- that would hurt a lot of u.s. can -- companies because we would end up in a trade war and a lot of products would have an facing those same duties and tariffs and you would have lost a lot of jobs and sales. we are glad he did not follow through on those provinces. then, -- promises. and hashad a meeting since been in constant communication. the president said he would back off on a lot of of these trade issues because he was depending on china.
we are seeing those slowly take effect. china is are concerned about north korea. they do not want an unstable .orean peninsula they don't want japan to develop weapons or south korea so they are worried about what is happening on the korean peninsula, but it's unrealistic to expect china to solve it always so. >> stay with us. former u.s. ambassador to china coming through the bloomberg. in theocrats defeating virginia governor's race.
-- we have our technical gremlins sorted out. we have not sorted out. or have we? >> i think we have. >> thank you very much. >> i was asking before these technical issues, or could donald trump achieve when it comes to trade in china? do think there is some ground to the made? saleslions of dollars of and services.
this is kind of like windowdressing. the real key is whether we can get the chinese to agree to hasten the opening up of so many of the chinese sectors of the economy that are now off-limits to foreign investment whether it is in the banking sector, oil and gas and a variety of other areas because in america, there are virtually no limits to any other foreign investment, but huge barriers in china. we need to hold their feet to the fire and because president relationship now stronger, andh because he has such great stature throughout the world with all their initiatives, economic assistance.
and then really focusing on globalization. he's really showman ever and i think he wants to demonstrate a -- a generosity towards the united states so let's hope the president can capitalize on that heightened sense to get commitments to faster and wider opening up of china's economy to u.s. businesses. >> it is a big task. -- if we don't get that, we cash bengage in more of ready for now, trade war. how realistic is that and is it needed if china does not open up? >> i think you are seeing some of that.
>> -- those will be isolated incidents. we have to make sure they don't go beyond that and we don't have those coming into the united states. i think during this trade this and they will announce major sales of u.s. soybeans to china. china is america's number one .xport for our farm products we export more to china than any other country what we growing process from our farms. china could say you are going to stop all these on chinese products? and theno the same suddenly we will have so many
workers out of jobs because their companies will not be able to sell into china and that will have a huge impact on employment and high tariffs and chinese goods going into the united states. in a trade war, everyone loses. awfully, the consumers and workers and -- in both countries. >> you can understand the contention. the is kind of the cross of populace approach that at least trump the candidate had been taking. -- we saw him take the strategy when it comes to japan when it comes to that strategy.
japan says we're not going to negotiate that. what is the contention to do this? that hereally something teed up. >> i think he will point out to the trade deals and sales of american products and services. they are helping to address the trade deficit. several months ago, they ,nnounced the big sale to china but that that was actually agreed to under president obama. all they did a few months ago was announced the regulations and procedures by which american beef would be sold to china. base byappeal to his saying i'm having american companies sell.
the real test is opening up , fighting offs violations of intellectual property, making sure there is a level playing field for american companies against chinese competition. that is the major thing. becauseve to be careful we cannot get into a trade war. it will hurt american consumers and workers who make stuff, whether it is medical equipment, locomotives, airplanes or soybeans. >> what sort of welcome can the president expect? written what has been about the character of donald trump, could he be blindsided by? >> the chinese are going to throw everything at him in terms
--the most lavish reception and tors for the president and his family. he will be hosted like no other foreign dignitary. that will effect his thinking, i hope not. i think that he is beginning to develop a close working relationship. perhaps he will facilitate more lines of communication. they talk frequently on the phone, especially with deals in north korea. developing the bond and friendship so they can discuss these issues whether it is on trade or north korea. >> thank you for your time.
under pressure like never before. and it's connected technology that's moving companies forward fast. e-commerce. real time inventory. virtual changing rooms. that's why retailers rely on comcast business to deliver consistent network speed across multiple locations. every corporate office, warehouse and store near or far covered. leaving every competitor, threat and challenge outmaneuvered. comcast business outmaneuver. whentertaining us,es getting us back on track,hing? and finding us dates. phones really have changed. so why hasn't the way we pay for them? introducing xfinity mobile. you only pay for data and can easily switch between pay per gig and unlimited. no one else lets you do that.
see how much you can save. choose by the gig or unlimited. xfinity mobile. a new kind of network designed to save you money. call, visit or go to xfinitymobile.com. ♪ a minute left before the ipl tencent unit. just giving a bit of a coin. donald trump is in korea on his way to beijing. >> taking a look at live feel thiss this i underway.
the fresh offering with some much interest. it has jumped 64% in its hong kong debut. nowre getting the town down as we get this debut. and there you have it. this was hugely popular. we had a placement of orders 600 that was also described several times as well. millions on it books. it is actually a profitable business. >> let's get straight to markets here.
>> very much here, we are seeing a sliding about a 10th of a percent. big focus on day one is trump heads to beijing. the daily fixing was we can today, but keep in mind the currency is set for its best year since 2013 and has become more volatile. offshore rates were able to that wef the forecast got overnight. a quick check on what is moving. ip shares are really hurting today. on the earnings on a, we have hong kong exchange both sliding ahead of those numbers and now let's take a look at china literature.
kongpo price at 55 hong dollars. ideas like this have been adding to the cash squeeze. we have china overseeing on the radar. the dow import is coming for a third day. . just say quick look at some movers there. news coming. >> president trump it's apparent .o address lawmakers in seoul he now says the regime should make a deal on its nuclear program and would not rule out direct talks.
says he wants to strike a deal -- matt would be down just over 8% in september as early indicators suggest. however, they say fundamentals have not changed. -- he told a group of visiting mayors that he would continue to fight for independence. he also challenge them to take a authoritiesbelgian expedite him.
it is the end of an era that united. mclean made its of the year 1968 to handle longer trips. plane dove the screen of the skies will likely retire to the so-called aircraft graveyard. >> we have the latest trade numbers. analysts we can numbers. malcolm scott is with us now. what do we look at and what sort of landscape will be drawn?
>> will see very robust imports. we are looking for about 17%. still pretty strong. thee numbers flattened by we conditions. we are looking at $39 billion. doing some of the math, that the ten-month surface to about 335 billion which is putting a on track for a balanced trade position this year compared to last year. is -- 1% toy, it
zero the maybe some of donald trump straight techniques are little bit out of date. up. just brought that who knows china run a trade deficit with? number one, south korea. >> the numbers we're expecting today, does it go to continue tainted his narrative recovery? it should, especially when you have china firing on all cylinders.
it is a good sign for the rest of the world and the rest of asia. the chinese import number for korea and taiwan. the trade numbers also going to .e very helpful of course, donald trump has been think he wants more balanced trade. he sees the deficits with china as a bad thing. and look at numbers suggest probably the u.s. deficit to china is probably going to be similar this year to what was last year.
>> both parties here in the u.s. are expecting the chinese to continue to enact sanctions put in place, possibly also to put in natural steps. ministry,e commerce they will be flagging this november of next year to encourage more important to china. from the chinese perspective, they want to see a relaxation of imports and exports. they may also try to see if the any ignoringn on china's core interests.
we are expecting president trump to arrive here in beijing local time. they are dining in the propensity. the chinese ambassador did it so expect to roll out the red carpet. the chinese will be trying to play some's ego on this visit. >> we heard from former u.s. ambassador to china just a short while ago asking him about the deals might be made. >> there are about 40 executives that will be a company president trump on this visit.
we are expecting a flurry of multibillion-dollar deals. those are likely to be sign tomorrow afternoon. prior to that, the signing said my for a number of these deals. that geard for example maybe during a deal about funding for the road initiative likely to be signed for a five boeing dollar investment program. we may on the trade front as barriers as well, potentially the auto sector as well so those are key areas to but for. .ig deals are expected move. expecting a big what the chinese are likely to do is give president trump key takeaways that he can tweak back
u.s. is not part of that. >> on the positive side, i big-tickete will be purchases by china. and that will be welcome. i think underlying that announcement will be trade friction between the united states and china. >> it is time for us to bring in more recent look at this in not beinghe issue of exports good and imports being bad. look at the reality of how we can help grow our economy and create the jobs the president should be looking to create in the united states.
from big names on bloomberg today about present trumps trade virginia as he continues on his trip to asia. talks are ongoing, even without the u.s. deal. >> not bad because we are more growth than we've had for quite some time. prospects are pretty good like that. i don't think we have to see matches -- massive trade boom. absolutely.rade, >> can china provide -- we know that china's growth it's gaining momentum as well.
can china make that difference? >> of course because it is so big. some of china's trade moving in land. i can keep the commercial drivers going. trade will still be the driver. >> aipac is trying to even its regional cooperation. one of the prospects of that? what are you looking for and what does that mean? doing a lot of things. >> it is not a legally binding agreement and it could be more important as things like nafta come out because it is
voluntary. -- we try stuff out. think actually in a way, it comes even more important. binding. legally we all more trade. >> what message would you like president trump to deliver. >> would like to get ,larification on trade policies -- we'd also like him to see recognize multilateral trade. the whole region is a huge driver of growth. we know domestically there are still some issues. , but the big picture remains
the same. >> what risks would be for politics. >> there's geopolitical risks. relationships are always important and the usual -- ppp is not on the official agenda, but it is someone -- something everything -- everyone's keeping an eye on. it is half the mpeg members. it is important. an announcement would be quite a boost around the region. could it work? we have can the saying just two
days ago come up wanting to renegotiate. we have malaysia and vietnam also reviewing. through.pp 11 be push >> there has been a renegotiation going on. there were some common things put in late. there has been negotiation and they all have to work it out. it will be ratified. >> the fx secretary, dr. alan baller speaking. we get the read on
lulu chen who is within now, what else in this say? >> they talked about how they china'shemselves with amazon kindle. there are a few differences as well. for amazon, you usually have to buy the book. -- as that is happening, they are trying to converted into -- on top also there of what amazon is doing. >> a lawsuit. since -- different about this company and what it does.
>> the fx i already talked about . they are trying to use their we chat network. the network allows them to understand who there uses are an intern they can analyze that in recommend books that their friends are reading. >> they come in already profitable. where are the air is going forward #>> they talked about a few things. the movies for ip's. they talked about how investing and coproducing with other companies. they also talked about investing in original content. a lot of growth going to come not just from importing overseas, but trading in producing local content.
>> a lot of anticipation going -- let's go back to our top story as president trump continues his trip in asia. inare expecting him to drive the national somebody where he is to dress one of -- address a lawmakers.crowd of >> italy interesting to see what he addresses and what is also interesting is we have both pro-u.s. and against u.s. crowds -- >> a lot of people there.
threat. haidi: trade is also on trump's agenda. he has called the trade deficit horrible. they're witnessing choreographed demonstrations for and against the president. haidi: crowds out in full on the streets of seoul as they are with the arrival of the u.s. president, set to address the national assembly. could be the most complicated set of meetings and negotiations. on twitter, president trump sending out between he is looking forward to meeting president xi after his clinical victory. the question raised -- his medical victory that his political victory.
a newly invigorated president xi given what happened at that national people's congress where, according to the general consensus, he is now the most powerful chinese leader since mao. let's get a grip on what is going on market wise. a day characterized by what exactly? sophie: a few broad things, trump's asia tour. is going to be in china later. we are seeing chinese stocks swing to gains. the losses in tokyo are deepening. the nikkei 225 retreating further from that high. the stronger yen also perhaps dragging on japanese stocks. the yen getting a boost on a now that we have
news that we may have a delayed tax reform. despite the downturns, we are seeing some strategists believe the party is just beginning. nomura has raised its forecast for the benchmark to 22,000 to 24,000 on economics and earnings growth. they are warning there still may be a short-term correction. i want to draw your attention to korean stocks. that -- amongst the best performance so far, chip related companies and biotech firms. lit, the tencent spinoff trading at home was double its price. consent shares are falling nearly 1% -- tencent shares are falling nearly 1%.
rishaad: first word news here with yvonne man. yvonne: markets across the gulf fell after the corruption crackdown in saudi arabia. geopolitical titans -- geopolitical tensions heighten there. saudi arabia arrested prominent investors and members of the royal family over the weekend and blamed a ron for political -- blamed a ro -- blame iran for political upheaval. listed prices,s saying north american shale more than 7cost billion barrels per day by 2021, 66% higher than the forecast a year ago. been thisemma has problem that curbing its own supply can help rivals meet demand --, rivals while demand
remains little changed. >> we need to make significant and fundamental changes. the global oil market has from a numbertum of important factors. yvonne: democrats have claimed the keys to governors mansions in two u.s. states. a virginia, route northam won vote seen as a key barometer for swing states in next year's midterm. tweeted thatmp has provoking candidate gillespie did not embrace him already stands for dashcam or what he stands for -- him or what he stands for. global news 24 hours a day, powered by more than 2700 journalists and analysts in more than 120 countries. i'm yvonne man. this is bloomberg. rishaad: president trump preparing for a landmark speech in seoul.
down hisned rhetoric towards north korea and hinted at the possibility of them coming to the table, calling for direct engagement. arlier he was forced to scrap surprise visit to the demilitarized zone. stephen engle is in seoul. it is more a case of time to talk than before, which was "fire and fury." reporter: that's right. he has toned down the rhetoric a bit at least last night at the joint press conference with moon jae-in, the south korean president. did it wild card is in this speech to the national sm lee behind me, the parliament of south korea, will he stick to , the strong partnership with south korea, as well as japan, in the face of threats
from north korea, or will he go off script like he did at the u.n. general secretary, making those comments like "fire and theory? test fire and fury -- fire and fury?" it is yet to be seen whether donald trump is going to stick to script. he didn't stick to script earlier this morning when he was not scheduled to go to the dmz but made a last-minute choice to head up there. we even saw the helicopters that were flying towards the the enzi earlier this month -- the dmz earlier this morning. they had to turn around and come back only about five minutes away from the landing spot because of poor weather. some things are going off script. some things have gone to script. we are to wait for the president to begin speaking momentarily here. it arrived at the national
assembly about 10 minutes ago in his motorcade. what are we expecting in terms of any assurances with alliance between south korea and the u.s.? some people saying that saul needshat -- that seoul to make it on arrangement because they cannot rely on the president. reporter: he is making assurances, i'm not sure how concrete they are, that south .orea will spend billions he has been encouraging the japanese and south korean's to increase purchases of u.s. military hardware to act as a deterrent against the rhetoric and missile tests from north korea. that is something he perhaps to be lobbying today to lawmakers
who have to approve those budgets for military purposes here at the national parliament. what is the atmosphere like there on the streets? it does seem fairly well choreographed. we have some very pro-trump supporters and we have anti-trump demonstrators there. right.r: that's we could maybe pan over to see more of a carnivallike atmosphere. is the riot police over here -- here's the riot police over here. that is all choreographed. this side is very much like a carnival. over here you have the pro-trump rally years, and over there the anti-trump protesters, saying repeatedly "no trump, no war, trump not welcome."
you have both sides voicing their opinions. this is quite something. haidi: we talked about the security obviously being the key focus was north korea and how to deal with pyongyang. what about the trade because trump, as a candidate and president, has been fairly critical of the deal with south korea. he actually convinced the south korean government to enter into renegotiations to obama signed,h sealed, delivered, and when into effect in went into 2012. donald trump has said that the south koreans have been "winning" at this deal.
the trade deficit is now $28.7 billion u.s. it is the automobiles where there is a complete discrepancy and an balance. of that deficit the united states suffers to the south korean is in the automobile sector. donald trump once south koreans to buy more u.s. automobiles. i have been doing an informal count on the few days i have been here. i have seen three u.s. cars. two chevys, one cadillac. rishaad: do they belong to the acting u.s. ambassador, i wonder? what does he actually say -- reporter: a cadillac escalade came in. he didn't make it to
the dmz. is getting ready at the national assemblages start talking. no doubt he will be talking about trade to some extent, but north korea will be the dominant factor. when you mention those cars, trade and manufactured goods represent a huge deficit for the united states. when you look at the overall picture, it is not that bad. it is not a huge deficit as some like trump argue. reporter: you are absolutely right. i mentioned the services industry has been doing much going this direction into south korea rather than south korean services into the united states. again, the agricultural scenario is a mixed bag. beef has been doing better, but the korean rice farmers, talk about very volatile industrial lobby that the south koreans have here.
the automobiles, that is a very difficult road for the americans because the south koreans have the market here pretty much sewn up. you see a few german cars, but definitely not american cars. maybe we can start panning back to the national assembly because momentarily, this is where donald trump is going to give perhaps to date is most important speech to the asian allies, to the national parliament of south korea. just about 30 miles away from the heart of the issue at hand, and that is north korea. absolutely. steve there for us in seoul. we are taking a look at today's live pictures of the national assembly. we are being told president to reallyxpected
focus on this issue of north korea, of the threat posed by pyongyang and its nuclear missile program. is expected to say in his address that america will not allow american cities to be threatened by north korea. we have heard over the past 24 hours kind of a softening of the rhetoric, saying that pyongyang should come to the table for negotiations, saying that a deal should be struck when it comes to this missile nuclear program. reporter: yeah. last night donald trump said the north koreans should do the right thing, and that is come to the table and make a deal. you are right, it is a softening of his approach. he didn't use the rhetoric he used when he went off script at the un's general assembly, talking about north korea facing the "fire and fury" of the united states. toning down that rhetoric is probably something that the
moon, urgedre, mr. president trump directed down a little bit. people in south korea, for at least the three decades i have lived here in asia, they have kind of gotten used to the rhetoric and threats coming from north korea. they are not used to this kind of comment coming from the u.s. president, which they look for some stability. , at maybe thedent urging of president moon, ratcheting down a little bit and us waiting some of the fears -- thea suede -- and assuading fears of some of the south koreans. seen rexwe've just
tillerson, sector you state, in there in the national assembly -- secretary of state, in there in the national assembly. they say they were not allow american cities to be threatened , saying "responsible nations must all get together, must join it to isolate the north korea regime." and north korea must be denied support, supply, and acceptance. that is currently the few excerpts of the speech which are being released. he will be going on and talking to korean lawmakers about a broad strategy in essence to increase pressure on pyongyang over its nuclear weapons program well.bm program as he asserted they are making a lot of progress on north korea, urging kim to make a deal at the
negotiating table. just a few excerpts coming through, upping the ante a little bit. as you have been discussing, it is all down to leaving that diplomatic door ajar. reporter: yes. he is leaving that diplomatic door ajar. he is not ruling out negotiations even though he has said the era of strategic patience is over. however, he is leaving the door open. there are still some tools left in the toolbox to use against north korea. those would be economic ones. japan, shinzo abe earlier this week already announced they are going to take additional unilateral sanctions against north korean entities, 35 individuals and businesses, and freezing their assets. now they have a unified front between donald trump, president moon, and shinzo abe come time to go to beijing and get xi jinping on board with real
conversations, including perhaps an oil embargo. beijing already has cut off coal andrts from north korea some other tightening sanctions and agreed with the latest round of u.n. sanctions against north korea, but it has yet to cripple the north korean economy. they do not want to kill the north korean economy. haidi: absolutely. we are getting some more details when it comes to the speech we are expecting the u.s. president to deliver to the south korean national assembly. that should be happening eminently. we just heard from the house speaker, as it were. what we are expected to your is a call for support of responsible nations to deal with the threat of north korea. thatthis speech, we see the alliance between the nations of south korea and the u.s. forged in the crucible of war and strengthened by the trials
of history, so clearly we are getting some more of this allegiance that was called into question in the first few months of the trump administration. can we rely on washington in terms of security? he is expected to talk about the fact that the more successful south korea becomes, the more decisively it can discredit the dark fantasy at the heart of the kim regime. will we talk about this softer rhetoric from president trump, it is certainly some darker sentiment coming through from this speech he is expected to deliver. he says in south korea, the people have done what no dictator ever could, which is, with the help of the united states, taken responsibly for the nation and ownership of the south korean future. he talks about the korean dream, building that dream into a reality. these are just some of the notes that i know you're looking at as well in terms of what we are expecting from president trump when he gets his address to the south korean national assembly. rishaad: out of the excerpts we
have had so far that only concentrated on north korea, there has been nothing on trade, and one of the centerpieces of his trip to asia, but he did talk here about the korean miracle. armies as the of three nations advanced and the more successful south korea , the more decisively you dark fantasy at the heart of the kim regime." there we have it at the moment, looking for donald trump to appear at the korean national assembly. it seems as though we would just wait for him to go up there and start making that speech. haidi: absolutely.
as you say, something of a break fury"his "fire and rhetoric we have had. it felt at times we were on the cost of military action. in many circumstances we had the president saying that military action remains very much an option on the table. he has now taken a step back, saying north korea should try to make a deal when it comes to its missile and nuclear ambitions. steve, just going through what we are expecting from trump when he finally does come out and address the national assembly, saying it is our responsibility and duty to confront this danger of north korea together, the weight of this crisis is on your conscience, the world cannot tolerate the menace of a rogue regime. pictureseing now live of the national assembly in seoul, a committee by the first lady melania trump -- accompanied by the first lady melania trump.
of these comments that we have received ahead of his speech really focus on one issue and one alone, and that is how to deal with the issue of north korea. we are expecting these remarks eminently from president trump. i believe we are hearing from the national assembly speaker now ahead of that. >> -- as a speaker of the national assembly and on behalf of the korean people, i extend to welcome u.s. president donald trump melania trump to the national assembly. mr. president and mrs. trump, you are the first u.s. president a statementto make to korea representing the united states is a great country and south korea's long-standing ally. this marks the first
speech to the korean parliament by a u.s. president in 24 years. it is an incredibly great honor and privilege to look at you to the national assembly on your first asian tour in the first year of your administration. i believe the presence of mr. trump and mrs. trump here at this gathering reaffirms the steadfastness and great significance of our great alliance. mr. president and mrs. trump, the thing was guests, members of the national assembly -- distinguished guests, members of thenational assembly, bloodshed by our two peoples who fought side-by-side during the korean war and the korean-u.s. alliance. starting from security alliance, our alliance has been evolving into a conference of alliance that has global -- a comprehensive alliance that has
global implications. we now confront grave nuclear and missile threats from north korea. our two countries have worked closely together to deter the growing nuclear threat from north korea and to achieve the peaceful denuclearization of the korean peninsula. as articulated in your inaugural address, where you said "now youe the hour of action," are making the north korean issue a top priority like no other president in u.s. history. allow me to take this opportunity to extend our deepest appreciation and respect to mr. president for your role is great and peaceful mediator under your excellent leadership
and great negotiating ability. i sincerely hope your visit to korea conserve as a new fulcrum for our deep friendship and shared prosperity going forward and set a historic milestone in bringing peace to the korean peninsula and north east asia. before we invite president trump to deliver a speech to let me introduce you to first lady mrs. melania trump, who is beautiful and wise. to. trump, may i ask you briefly rise from the seat to accept our warm welcome? thank you. [applause] >> now let me introduce you to the leader of the world, the president of the united states of america, donald trump. [applause]
[no audio] pres. trump: -- of the united states of america. in our short time in your country, melania and i have been and modern ancient wonders, and we are deeply moved by the warmth of your welcome. last night, president and mrs. moon showed us incredible hospitality in a beautiful reception at the blue house. we had a productive discussions on increasing military cooperation and improving the
trade relationship between our nations on the principle of fairness and reciprocity. through this entire visit, it has been both our pleasure and our honor to create and celebrate a long friendship between the united states and the republic of korea. this alliance between our nations was forged in the crucible of war and strengthened by the trials of history. american and south korean soldiers have fought together, sacrificed together, and triumphed together. almost 67 years ago in the spring of 1951, they recaptured what remained of this city where we are gathered so proudly today. it was the second time in a year
that our combined forces took on steep casualties to retake this capital from the communists. over the next weeks and months, the men, soldier -- the men a soldier through -- the men soldiered through bloody battles. their way north to form that today divides the oppressed linehe free -- to form the that today divide the oppressed and the free, and have been holding that line for nearly seven decades. [applause] by the time the armistice was 36,000in 1953, more than americans had died in the korean war, with more than 100,000
others very badly wounded. they are heroes, and we honor them. we also honor and room number -- and remember the terrible price the people of your country paid for their freedom. you lost hundreds of thousands of brave soldiers and countless innocent civilians in that gruesome war. much of this great city of seoul was reduced to rubble. countryrtions of the were scarred severely, hurt by this horrible war. the economy of this nation was demolished. but as the entire world knows, over the next two generations, something miraculous happened on the southern half of this peninsula.
family by family, city by city, the people of south korea built this country into what is today one of the great nations of the world, and i congratulate you. [applause] in less than one lifetime, south korea climbed from total devastation to among the wealthiest nations on earth. today your economy is more than 350 times larger than what it was in 1960. 1900 times.creased life expectancy has risen from to more than 82 years today. korea, and since my
election exactly one year ago today, i celebrate with you. [applause] states is going through something of a miracle itself. our stockmarket is at an all-time high. unemployment is at a 17 year low. we are defeating isis. we are strengthening our judiciary, including a brilliant supreme court justice, and on and on and on. currently stationed in the vicinity of this peninsula are the three largest aircraft carriers in the world, loaded to the maximum with magnificent f-35 and f-18 fighter jets.
in addition, we have nuclear submarines appropriately positioned. , under my states administration, is completely rebuilding its military and is spending hundreds of billions of dollars to the newest and finest military equipment anywhere in the world being built right now. i want peace through strength. [applause] we are helping the republic of korea far beyond what any other country has ever done. in the end, we will work things out far better than anybody understands or can even appreciate. i know that the republic of korea, which has become a tremendously successful nation,
will be a faithful ally of the united states very long into the future. [applause] what you have built is truly an inspiration. your economic transformation was linked to a political one. the proud sovereign and independent people of your nation demanded the right to govern themselves. free parliamentary elections in 1988, the same year you hosted your first olympics. soon after, you elected your first civilian president in more than three decades. you won the republic face financial crisis, you lined up by the millions to give your most prized possessions -- your
wedding rings, heirlooms, and keys to restore a better future for your children. [applause] wealth is measured and more than money. it is measured in achievements of the mind and achievements of spirit. over the last several decades, your scientists have engineered so many magnificent things. you have pushed the boundaries of technology, pioneered miraculous medical treatments, and emerged as leaders in unlocking the mysteries of our universe. roughlyuthors penned 40,000 books this year. korean musicians phil concert fill concertcians
halls all around the world. graduate at the highest rate of any country, and korean golfers are some of the best honors -- best on earth. [applause] fact -- and you know what i am going to say -- the women's at. open was held this year trump national golf club in bedminster, new jersey -- [applause] -- and it just happened to be ,on by a great korean golfer and eight of the top 10 players were from korea. werehe top four golfers
from korea. congratulations. congratulations. [applause] that is something. that is really something. here in seoul, architectural what the world tower grace the sky and house the workers of many growing industries. are citizens now help to feed the country, fight terrorism, and solve problems all over the world come and in a few months your citizens-- now help to feed the country, fight terrorism, and solve problems all over the world, and in a few months you will host the world at the olympic games. good luck. [applause] extendsan miracle
exactly as far as the armies of free nations advanced in 1953, 25 miles to the north. there it stops. it all comes to an end. dead stop. ends in theing present state of north -- the prison state of north korea sadly begins. workers in north korea labor in the grueling hours under unbearable conditions for almost no pay. recently the entire working population was ordered to work for 70 days straight or else pay for a day of rest. families live in homes without plumbing, and fewer than half have electricity. in hopesribe teachers of saving their sons and daughters from forced labor. more than one million north koreans died of famine in the 1990's, and more continue to die
of hunger today. among children under the age of afflictedly 30% of and are afflicted by stunted growth due to malnutrition. 2012 and 2013, the regime spent an estimated $200 million, almost half the money that it allocated to improve living standards for its people, to instead build even more monuments, towers, and statues to glorify its dictators. what remains of the meager harvest of the north korean economy is distributed according to perceived loyalty to a twisted regime. far from valuing its people as equal citizens, this cruel dictatorship measures them,
scores them, and ranks them based on the most arbitrary indications of their allegiance to the state. those who score the highest in loyalty may live in the capital city. those who score the lowest starve. a small infraction by one citizen, such as accidentally of the tyrantture printed in a discarded newspaper, can wreck the social credit rank of his entire family for many decades. an estimated 100,000 north koreans suffer in gulags, toiling in forced labor and enduring torture, starvation, rape, and murder on a constant basis.
in one known instance, a nine-year-old boy was imprisoned for 10 years because his grandfather was accused of treason. in another, a student was beaten in school for forgetting a single detail about the life of kim jong-un. soldiers have kidnapped foreigners and forced them to tutors forguage north korean spies. that was a of korea stronghold for christianity before the war, christians and other people of faith who were found praying or holding a religious book of any kind are now detained, tortured, and in many cases even executed. north korean women are forced to abort babies that are considered ethnically in.
-- ethnically inferior. and if these babies are born, the newborns are murdered. one of born in a china -- born into a chinese father was taken away in a bucket because it was into your -- because it was impure. so why would china feel an obligation to help north korea? the horror of life in north korea is so complete that citizens pay bribes to government officials to have themselves exported aboard as slaves. they would rather be slaves then live in north korea. to attempt to flee is a crime punishable by death. remarked, who escaped "when i think about it now, i was not a human being. i was more like an animal.
only after leaving north korea did i realize what life was supposed to be." and so on this peninsula, we have watched the results of a tragic experiment in a laboratory of history. it is a tale of one people, but two koreas. one in which the people took control of their lives and their country and chose a future of freedom and justice, of civilization and incredible achievement, and another korea in which leaders imprison their people under the banner of tyranny, fascism, and oppression. the results of this experiment are in, and they are totally conclusive. when the korean war began in
were ahe two koreas proximally equal in gdp per capita. but by the 19 90's, south korea's wealth had to best north korea by more than 10 times. in today -- had surpassed north korea by more than 10 times, and today is more than 40 times larger. you started the same a short while ago, and now you are 40 times larger. you are doing something right. wroughting the misery by the north korean dictatorship , it is no surprise that it has been forced to take increasingly desperate measures to prevent its people from understanding this brutal contrast. because the regime fears the truth above all else, it forbids virtually all contact with the outside world. not just my speech today, but
even the most commonplace facts of south korean life are for big knowledge to the north korean -- are forbidden knowledge to the north korean people. western and south korean music is banned. possession of foreign media is a crime punishable by death. citizens spy on fellow citizens. their homes are subject to search at any time. their every action is subject to surveillance. in place of a vibrant society, the people of north korea are bombarded by state propaganda, practically every waking hour of the day. north korea is a country ruled as a cult. at the center of this military cult is a deranged belief in the leader's destiny to rule as
parent protector over a concord korean peninsula -- a conquered korean peninsula and an enslaved korean people. the more successful south korea becomes, the more decisively you discredit the dark fantasy at the heart of the kim regime. , the very existence of a thriving south korean republic threatens the very survival of the north korean dictatorship. assembly are this living proof that a free and independent korea not only can, but does stand a strong, sovereign, and proud among the nations of the world. [applause]
here the strength of the nation does not come from the false glory of a tyrant. it comes from the true and powerful glory of a strong and great people, the people of the republic of korea. a korean people who are free to , to worship,rish to love, to build, and to grow their own destiny. in this republic, the people have done what no dictator ever could. you took come with the help of the united states, responsibility for yourselves and ownership of your future. ,ou had a dream, a korean dream and you build that dream into a great reality. in so doing, you performed the that we seehe han
all around us from the stunning eoul to thes planes and peaks -- to the plains and peaks of this beautiful country. done it in your own beautiful way. your success is the greatest cause of anxiety, alarm, and even panic to the north korean regime. regime seekshe kim conflict abroad to distract from total failure that they suffer at home. ,ince the so-called armistice there have been hundreds of north korean attacks on americans and south koreans. these attacks have included the capture and torture of the brave american soldiers of the uss
onblo, repeated assaults american helicopters, and the 1969 drowning of a u.s. surveillance plane that killed 31 american serviceman. the regime has made numerous lethal incursions in south korea , i tended to assassinate senior leaders, -- attempted to assassinate senior leaders, attacked south korean ships, and tortured auto warm bee -- rmbier,d otto wa ultimately leading to that fine man's death. all the while the regime has pursued nuclear weapons with the deluded hope that it could blackmail its way to the ultimate objective, and that objective we are not going to let it have. we are not going to let it have. all of korea is under that spell
, divided in half. south korea will never allow what is going on in north korea to continue to happen. the north korean regime has pursued its nuclear and ballistic missile programs in defiance of every assurance, agreement, and commitment it has made to the united states and its allies. it has broken all of those commitments. after promising to freeze its plutonium program in 1994, it repeated the benefits of the immediatelyn, continued its illicit nuclear activities. 2005 after years of diplomacy, the dictatorship agreed to ultimately abandon its nuclear programs and return to the treaty on nonproliferation.
but it never did. it tested the very weapons it said it was going to give up. gave09, the united states negotiations yet another chance and offered north korea the open hand of engagement. thinkinge responded by a south korean -- by sinking a south korean ship, killing 49 soldiers. today it continues to launch missiles over the sovereign territory of japan and other neighbors, test nuclear devices, and develop icbms to threaten the united states itself. has interpreted america's past restraint as weakness. this would be a fatal miscalculation.
this is a very different administration in the united states -- then the united states has had in the past. today i speak not only for our countries, but for all civilized nations, when i say to the north, do not underestimate us, and do not petraeus -- do not try us. we will defend our common security, our shared prosperity, and our sacred liberty. to draw hereoose on this peninsula -- [applause] -- this magnificent peninsula the thin line of civilization
that runs around the world and down through time. but here it was drawn, and here it remains to this day. it is the line between peace and war, between decency and depravity, between law and tyranny, between hope and total despair. it is a line that has been drawn many times in many places throughout history. to hold that line is a choice free nations have always had to make. we have learned together the high cost of weakness and the high-stakes of its defense. america's men and women in uniform have given their lives nazism,ight against tyranny.sm, and we will never run from it. history is filled with discarded
regimes that have foolishly tested america's resolve. anyone who doubts the strength or determination of the united ,tates should look to our past and you will doubt it no longer. we will not permit america or our allies to be blackmailed or attacked. we will not allow american cities to be threatened with destruction. we will not be intimidated, and we will not let the worst atrocities in history be repeated here on this ground we fought and died so hard to secure. [applause] that is why i come here to the heart of a free and flourishing
korea with a message for the peaceloving nations of the world . the time for excuses is over. now is the time for strength. if you want peace, you must stand strong at all times. [applause] the world cannot tolerate the menace of a rogue regime that threatens with nuclear devastation. all responsible nations must join forces to isolate the brutal regime of north korea, do in any form.ny it you cannot support, you cannot supply, you cannot accept. we call on every nation, including china and russia, to fully implement un security council resolutions, downgrade
diplomatic relations with the regime, and sever all ties of trade and technology. it is our responsibility and our duty to confront this danger together because the longer we wait, the greater the danger grows, and the fewer the options become. [applause] and to those nations that choose to ignore the threat, or worse this crisisble it, is on your conscience. i have also come here to this peninsula to deliver a message directly to the leader of the north korean dictatorship. the weapons you are acquiring are not making you safer. they are putting your regime in grave danger.
every step you take down this dark path increases the peril you face. paradiseea is not the your grandfather envisioned. it is a hell that no person deserves. yet despite every crime you have committed against god and man, we are ready to offer -- and we will do that -- a path to a much better future. it begins with an end to the aggression of your regime, a stop to your development of ballistic missiles, and complete verifiable and total denuclearization. [applause]
the sky top of you best the sky light,eek a future of prosperity, and peace, but we are only prepared to discuss this brighter path for north korea if its leaders cease their threats and dismantle their nuclear program. the sinister regime of north korea is right about only one thing, the korean people do have a glorious destiny. but they could not be more wrong about what that destiny looks like. the destiny of the korean people is not to suffer in the bondage of oppression, but to thrive in the glory of freedom. [applause] what south koreans have achieved
on this peninsula is more than a victory for your nation. it is a victory for every nation that believes in the human spirit, and it is our hope that someday soon, all of your brothers and sisters in the north will be able to enjoy the fullest of life intended by god. republicic -- your shows us all of what is possible in just a few decades, was only the hard work, courage, and talents of your people. you turned this war-torn land into a nation blessed with wealth, rich in culture, and deep in spirit. you built a home where all families can flourish and where all children can shine and be happy. this korea stands strong and tall among the great community of independent confident, and
peaceloving nations. we are nations that respect our citizens, cherish our sovereignty, and control our own destiny. we affirm the dignity of every person and embrace the full potential of every soul, and we are always prepared to defend the vital interests of our people against the cruel ambition of tyrants. together we dream of a korea that is free, a peninsula that is safe, and families that are reunited once again. we treat of highways connecting north and south, of cousins embracing cousins, and this nuclear nightmare replaced with a beautiful promise of peace. until that day comes, we stand strong and alert.
our eyes are fixed to the north and our hearts praying for the day when all koreans can live in freedom. thank you. god bless you. god bless the korean people. thank you very much. [applause] thank you. thank you very much. rishaad: president donald trump there adjusting the south korean national assembly, getting a standing ovation. the message really to the north there dominating this whole speech, essentially that he wants peace through strength, and saying that in the past things have been misconstrued as weakness when they shouldn't have been. eyes being fixed to the north, calling on russia and china to implement united nations resolutions on north korea, which he described as a "hell that no person deserves,"
saying it is our duty to confront the danger from "we must together, and stand strong. anyone who doubts the strength of the u.s. should look to the past." many south korean lawmakers already knew much of this. that wase, one thing clear so, that is really the scene at the moment. heidi: that's right. president donald trump wrapping up a very emotional speech before the national assembly, the south korean parliament. speech chunk of that dedicated to detailing the history of the south korean-american alliance.