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Trump Pauses Tariffs On Mexico And Canada; USAID Agency Workers Sent Home; Netanyahu Set To Meet With Trump On Tuesday; Israeli Operation In Jenin; Beyonce Wins Big At The Grammys. Aired 6-7p ET
Aired February 03, 2025 - 18:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
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LYNDA KINKADE, CNN ANCHOR, FIRST MOVE: -- joining us from all around the world and everyone streaming us in the U.S. on CNN Max, I'm Lynda Kinkade.
Just ahead, trade war turnaround. U.S. President Trump pauses tariffs on Mexico and Canada for a month after striking deals with both nations on a day that sent the U.S. markets into a spiral.
USAID agency workers sent home. Democrats and government employees demonstrate in defense of USAID, as Elon Musk and Donald Trump move to dismantle it.
And singing her praises, Beyonce celebrates winning Album of the Year at the Grammys and all the awards. More awards than anyone else in history.
We begin with the latest on the tariff talks between the U.S. and its neighbors. U.S. President Donald Trump announcing just an hour ago that he is pausing tariffs on Canada for 30 days. He reached a similar deal with Mexico earlier. Prime Minister Justin Trudeau says Canada has agreed to spend $1.3 billion to beef up its border. Trump saying, quote, "Canada has agreed to ensure we have a secure northern border, and to finally end the deadly scout on drugs like fentanyl that have been pouring into the country."
Our Jeff Zeleny reports.
(BEGIN VIDEOTAPE)
JEFF ZELENY, CNN CHIEF NATIONAL AFFAIRS CORRESPONDENT (voice-over): Tonight, President Trump backing off a trade war with Mexico and Canada, for now, at least, even as tariffs on China are still looming.
DONALD TRUMP, U.S. PRESIDENT: When you're the pot of gold, the tariffs are are very good. They're very powerful. ZELENY (voice-over): Trump reached a last-minute deal with Mexican President Claudia Sheinbaum and Canadian Prime Minister Justin Trudeau, agreeing to a monthlong delay on 25 percent tariffs on all goods imported to the U.S. Both Mexico and Canada agreed to bolster security at the U.S. border and increase resources to crack down on fentanyl.
As he signed executive orders in the Oval Office today, we asked Trump if he blinked in striking a deal with Mexico.
UNIDENTIFIED MALE: Did you blink this morning?
TRUMP: There was no blinking. She's a wonderful woman, but she did agree to 10,000 soldiers on the border. I would say that's a lot.
ZELENY (voice-over): Talks between Trump and Trudeau continued throughout the day. Following an afternoon phone call, the prime minister announced a deal, saying, Canada is making new commitments to appoint a fentanyl czar. We will list cartels as terrorists, ensure 24/7 eyes on the border. But Mexico accounts for the vast majority of fentanyl, with more than 21,000 pounds crossing the southern U.S. border last year, and only 43 pounds coming in from Canada.
While Trump vowed to press ahead with a long-term plan for tariffs in these countries and beyond, he said there could be short-term economic pain through higher prices or inflation.
TRUMP: Tariffs don't cause inflation, they cause success, it cause big success. So, we're going to have great success. There could be some temporary short-term disruption, and people will understand that.
ZELENY (voice-over): Among Americans, that remains an open question. Among Canadians, their resentment was clear as "The Star-Spangled Banner" was met with jeers at a weekend hockey game.
(MUSIC PLAYING)
ZELENY (voice-over): Trump remained steadfast in his long-standing belief in tariffs, which the conservative Wall Street Journal editorial page blasted as the dumbest trade war in history.
Rupert Murdoch, whose media empire includes the newspaper, visited the Oval Office today. And was on hand as Trump spoke with reporters.
TRUMP: I'm going to have to talk to him. Not only is it not done, you're going to see, you're going to see, every single one of those countries is dying to make a deal.
(END VIDEOTAPE)
KINKADE: Dying to make a deal. Well, for more on this, Richard Quest joins us now. Certainly, a head spinning day, Richard. We heard earlier from Donald Trump saying that he doesn't like to use tariffs as a negotiating tool, but it certainly seems like that's exactly what's happening. RICHARD QUEST, CNN BUSINESS EDITOR-AT-LARGE AND CNN ANCHOR, QUEST MEANS BUSINESS: Yes, it was exact -- I mean, totally. It was exactly a negotiating tool. I'm not sure what he got. But you see the problem is, did the other leaders know it was a negotiating tool and act accordingly?
So, in the terms of the president of Mexico, actually already intended to send 10,000 troops, was this just waiting for the moment to offer it up, if you will, as a SOP to get tariffs off her back, which she knew were coming anyway?
And as for Trudeau, the 10 -- the $1.3 billion, that was already on the table. That's not new money. He -- at the weekend, he referred to the $1.3 billion dollars. So, what is new is a border czar and a bit of this and a bit of that and a bit of the other. And that begs the question, did you need to damage relations to such an extent?
[18:05:00]
Now, Donald Trump would say he would not have got these concessions but for the tariffs. We will never know. But the long-standing damage that's been done to U.S.-Canadian relations will take a lot longer to repair.
KINKADE: Yes, damage to relations and also so much uncertainty. What have you been seeing in terms of market reaction and what can we expect tomorrow?
QUEST: I think if you look at the way the market reacted, first of all, the Dow, it went heavily down and then as soon as Mexico decided to offer up and that was off, the Dow comes back up again. So, the Dow 30 was an absolute reflection of the day overall.
And then, if you look at the stocks of those individual companies, things like, for example -- there you see, that's absolutely -- straight down and then back up again. And then, if you look at stocks like the automakers, some of those, like Ford and GM, they had a very difficult day because they are going to bear the brunt of it overall. And we are only talking about a 30-day respite before we're back to square one.
And finally, Lynda, not to be too boring and technical about this, with Canada and Mexico, there were three issues, drugs and fentanyl, immigration, and the long-standing trade imbalance. Well, take those two off the table, and you're still left with the long-standing trade imbalance. And that's the same for China, not so much the U.K., but the E.U. So, all this is going to be revisited by other countries.
KINKADE: Yes, exactly. So, this pause for Mexico and Canada is just a month, they were meant to take effect tonight. But of course, we know that he's also threatened tariffs on China. What do we know about those?
QUEST: We assume they are going to come into force at some point, because he said he's going to talk to China. Remember, there's already tariffs on China, 27 or something percent. So, there's already tariffs in place. These are additional tariffs. And he said he's going to talk to President Xi, but they look like they will come into force. They were going to come slightly later.
I would concentrate greatly now on the difficult part. In some way, dealing with the fentanyl and the immigration, you just had to make certain promises. To deal with the long-standing trade imbalances, you're going to have to change trade policy. That might mean buying more American stuff. It might be getting people to invest more in the United States. We don't know.
But if you're going to reverse very long-standing, deep seated trade imbalances, that's not going to be so easy.
KINKADE: All right. Richard Quest, good to have you with us, as always. We are staying on this story.
I want to welcome Paula Newton now who joins us from Oakville in Ontario, Canada. So, Paula, these tariffs for Canada were meant to go into effect at midnight eastern tonight. They're now paused for some 30 days. Just exactly what happened in terms of the concessions from Canada because they did announce there's $1.3 billion for the border. But didn't Trudeau announce that in December last year?
PAULA NEWTON, CNN CORRESPONDENT: He did. He did beef up though what was going to be happening at the border, I'd say not necessarily significantly, but definitely hearing what the president wanted to hear. And that includes having a person who is dedicated to the border itself, making sure that there are, he says, 10,000 personnel that are looking at this issue specifically of the fentanyl smuggling.
But has been -- has already been said, look, the amount of whether it is immigrants going into the United States or fentanyl, the numbers are quite small compared to Mexico. Donald Trump in his post on Truth Social made it very clear, when he was speaking about Canada, he wants an economic deal, and Canadian officials are already looking forward to the next 30 days in terms of what they can do to get to a deal.
Remember, they already have a deal, a free trade deal on the table. This is Donald Trump wanting to negotiate that more than a year before it actually needs to be negotiated. And they're wondering what kind of concessions the president will want.
I mean, look, in terms of strengthening the border, Lynda, Canadians, in some ways, agree with the president, they also want a strong border. What is unnerving for so many here are really the economic consequences of what's to come. Especially when you look at the crucial supply chains, the manufacturing center.
Certainly, business people that I've spoken to here have said that the uncertainty is already hurting companies, not just in Canada, but also in Mexico and the United States. So, they are hoping that a lot can get done in the next 30 days.
But as we've seen, it really is up to President Donald Trump, and he can be capricious, and what exactly he is going to accept over the next 30 days. [18:10:00]
KINKADE: Yes, exactly. All right. We will be talking about this much more in the weeks ahead. Paula Newton, good to have you with us. Thank you.
I want to bring in Valeria Leon now, who joins us from Mexico City. Good to have you with us. So, the Mexican president agreed to send 10,000 additional troops in the border in order to stop these tariffs coming from Donald Trump. Just explain what this means for Mexico. What is the feeling there? Does Mexico see this as a win?
VALERIA LEON, CNN EN ESPANOL CORRESPONDENT: Yes, Lynda. So, it's unclear when is the Mexican government going to deploy this National Guard units to the border. But Former President Andres Manuel Lopez Obrador sent 30,000 National Guard troops to the U.S. border three years ago. So, for now, having 10,000 National Guard units deployed to the U.S. border is something that the Mexican government had -- can easily achieve.
But this pause of the tariffs on Mexican products has been seen as an important breakthrough for Mexico's government after the Mexican president announced a whirlwind of last-minute negotiations with the Trump administration to freeze the tariffs on goods. Many Mexicans showed their support for Mexico's president after reaching this deal.
From the Mexican side, the president won what her government hoped to achieve, which was setting up negotiation talks now led by Mexico's economic minister, Marcelo Ebrard. with U.S. Secretary of State Marco Rubio. And from the U.S. side, trump team claimed that they scored a victory in Mexico's concession to field 10,000 National Guard units along the U.S.-Mexico border.
So, economic analysts have said that this deal, although for now not a permanent one, would help avoid recession for both economies, as many have warned, and the financial markets rebounded after Trump's Mexico tariffs pause. Global markets recovered most losses after a roller coaster day caused by the tariff announcements.
So, for now, Lynda, Mexico has gained time to extend the grace period of even -- or even cancel the tariffs outright. Talking to the press, Ebrard has described this agreement as unusual and proudly thanked President Sheinbaum. But it is still unclear if Mexico's actions to extend the flow of migrants and drug trafficking through the U.S border would be enough to put an end to the threats of terrorists from the U.S. administration. Lynda.
KINKADE: All right. Valeria Leon, it certainly has been a roller coaster of a day. Thanks so much. Appreciate it.
Well, leaders in Europe are bracing for their own possible Trump tariff. Senior International Correspondent Frederik Pleitgen spoke with Germany's opposition leader, who's also the head of the Christian Democratic Union and a frontrunner to become the country's next chancellor. Here's what he said about the changes Germany is facing and how he would deal with President Trump. (BEGIN VIDEO CLIP)
FRIEDRICH MERZ, LEADER, GERMANY'S CHRISTIAN DEMOCRATIC UNION: Immediately after the formation of a new government, we have to take some decisions on migration. My personal decision would be to control our orders and to return those who are coming without documents.
And the second thing is we have to do something on the economy. The economy in Germany is running pretty bad, and so we have to take decisions.
FREDERIK PLEITGEN, CNN SENIOR INTERNATIONAL CORRESPONDENT: If you become chancellor, you will be dealing with U.S. President Donald Trump, who's already done a lot of wide-ranging decisions, but also threatened tariffs against European nations, of course Mexico and Canada as well. How would you deal with Donald Trump as president?
MERZ: I remind you what happened when he was in his first term. He put in place tariffs against steel and aluminum in America. And the European answer was tariffs against motorcycles, against jeans, and against American whiskey. And the former president of the E.U. Commission went to Washington, had a deal with him, and after six weeks, they gave up all the tariffs. So, the answer has to come from the European level.
PLEITGEN: Defense is obviously another big key issue for Donald Trump and the 5 percent goal that he's put forward now. How would you deal with that? I was also very interested in your speech. You also spoke very strongly on the subject of Ukraine as well, I saw.
MERZ: Absolutely, yes. I'm very strong in this position. We are on the Ukrainian side because the attack is against all of us. We have to achieve the NATO goals. This is 2 percent of our GDP minimum. This is the lowest level. We are behind that. We have to do that.
[18:15:00]
But my second answer is, don't let us talk about money only. Standardization, simplification, and economies of scale have to be put in place as well. So, we have to get more for the money and the best would be cooperating with the U.S. and with the U.S. government. We do not yet know what they are really planning to do. I would like to see what they are planning to do.
(END VIDEO CLIP)
KINKADE: Well, still to come, Democrats blast the Trump administration for moving to dismantle USAID, an agency that is a lifeline for many of the world's poorest.
Plus, the Israeli Prime Minister is set to meet with President Trump Tuesday with the fate of the fragile Israeli-Hamas ceasefire hanging in the balance.
(COMMERCIAL BREAK) KINKADE: The U.S. secretary of state says he welcomes Panama's decision to distance itself from China's Belt and Road Initiative. Marco Rubio visited the country as part of a tour of five Latin American nations. It's his first overseas trip since becoming President Trump's top diplomat. And while in Panama, Rubio demanded the country make immediate changes to what he called the influence and control of China over the Panama Canal.
President Trump has vowed to take back control of the canal, saying there would be, quote, "powerful consequences otherwise."
And, in a surprise move, Rubio also announced earlier that he would take over as the acting head of the U.S. Agency for International Development, also known as USAID. Rubio has since said he will delegate authority to Pete Marocco, who served at USAID for the first Trump term.
Well, President Trump has said he has the power to scrap the agency telling CNN, quote, "Those people are lunatics." He added that he doesn't need Congress to sign off on any plan to reduce the agency's role. USAID closed its main office in Washington earlier Monday with multiple sources telling us that employees were told to stay home.
Well, let's unpack what all of this means, particularly for countries and organizations that rely on USAID. Jeremy Konyndyk is the president of Refugees International and the former director of USAID's Office of U.S. Foreign Disaster Assistance. He joins us now from Washington. Good to have you with us.
JEREMY KONYNDYK, FORMER DIRECTOR, USAID OFFICE OF U.S. FOREIGN DISASTER ASSISTANCE AND PRESIDENT, REFUGEES INTERNATIONAL: Thank you.
KINKADE: So, Jeremy, one of the richest men on the planet, Elon Musk, is working with Donald Trump to shut down this agency that help some of the world's poorest. Right now, we're being told that USAID workers are being told don't come into work. We've heard about the blanket freeze on most programs. What are those within the agency telling you?
[18:20:00]
KONYNDYK: Well, people are, of course, traumatized by what they have been put through over the past few weeks. You know, Elon Musk, over the weekend, described what he was doing to USAID as putting the agency in the wood chipper. And I think a lot of the staff very much feel that way. They -- you know, these are people who have dedicated their lives and careers to advancing -- you know, advancing development and humanitarian relief on behalf of their country around the world.
I have worked with many of these people. I served with them and alongside them when I worked at USAID in the Obama and Biden administrations. And, you know, these are people who went into the Ebola hot zone in West Africa in 2014. These are people who get on a plane as soon as there is an earthquake somewhere in the world to go support the rescue effort and help to pull people out of the rubble. These are people who have helped to contain and turn around the HIV epidemic in Africa. These are people who served in Afghanistan and Iraq to help rebuild those countries after the war.
They have. sacrificed enormous amounts on behalf of their country because they believe in the mission of USAID. And that is now being not just disrespected, but frankly, stomped upon and spat upon by their own government.
KINKADE: Yes, exactly. And of course, you know, no one would be against improving efficiencies at any agency or organization. But to stop all the work while this efficiency assessment runs seems risky for all those who rely on it. I just want to play some sound from the President Donald Trump and his description about the leadership at USAID.
(BEGIN VIDEO CLIP)
TRUMP: It's been run by a bunch of radical lunatics, and we're getting them out. USAID. Run by radical lunatics, and we're getting them out, and then we'll make a decision.
(END VIDEO CLIP)
KINKADE: Do you know if Donald Trump has met any of the leadership at USAID? Can you describe the senior leadership there for us?
KONYNDYK: I am sure that he has not. You know, the senior leadership there are career staff, the people who were there, until he bounced or his team bounced many of them out involuntarily just a week ago, you know, they were people who served at AID with distinction and with honor during the first Trump administration. And they worked under the leadership that he put in place at the agency.
To call them radicals is, you know, disrespectful, of course, but it's also just -- it's wrong and it's ridiculous. The way the U.S. government works is when a new administration comes in, they bring in their own leadership to a new agency and the career staff of that agency then follow that leadership. That's what happens each time there is a change of power.
This is not about efficiency. This is not about improving the mission and effectiveness of USAID, this is about destroying it. And I think if you look at what Elon Musk has been saying, that's very, very clear. They are making up stories. They are making up disinformation and spreading disinformation about both the staff and the work of USAID. And it is as an excuse to destroy the agency.
KINKADE: And, Jeremy, you mentioned some of the disasters, pandemics, epidemics where USAID comes in to assist and help. Talk to us about the sort of programs that are impacted. I understand it includes vaccination programs, education programs. Take us through it.
KONYNDYK: Yes. USAID does good around the world in many, many ways. So, global health is really important one. Helping to eradicate polio, that has been a core mission for USAID for many years and has helped to bring polio almost to elimination around the world.
Right now, there is an Ebola outbreak in Uganda. Now, that is a situation where normally you would have USAID and CDC deploying out alongside the World Health Organization in order to get that pretty frightening outbreak under control. Instead, USAID is being gutted. CDC is not allowed to even talk to the World Health Organization, and WHO is kind of left on its own to fight this without those critical allies.
You know, that's not how we defeated Ebola in West Africa in 2014, a response that I helped to lead at that time. And it's really frightening to think of a world where we don't have those kind of capabilities available on the frontlines of crises around the world.
KINKADE: We heard from Marco Rubio earlier saying that he's the acting director of this agency under the State Department. He's since said he's going to delegate the authority. But before saying that, he said that this agency runs counter to what we're trying to achieve, what the U.S. government under Trump is trying to achieve. Would you agree? What do you make of those sort of comments?
[18:25:00]
KONYNDYK: Well, it's very strange because, again, they've already run USAID once for four years. And you heard nothing like that kind of rhetoric. The agency, frankly, was not very different from what it is today. And I would really challenge the Trump administration and challenge Secretary Rubio to talk specifically, what are the policies that he believes were countermanded by the senior leadership at USAID? What specifically were the offenses that he's referring to?
Because, you know, the only things that they've pointed to are things like the ridiculous story about $50 million worth of condoms for Gaza, which has been like debunked and debunked and debunked. And I think when you peel back this insinuation and kind of disinformation rhetoric that they're throwing out there, there's really not much underneath it of substance.
KINKADE: Yes, it's hard to push back when this disinformation keeps getting pushed out, but we appreciate you and your efforts. Jeremy Konyndyk, thanks so much for your time.
KONYNDYK: Thank you.
KINKADE: Well, still to come, destruction in the west bank as an Israeli military operation turns deadly. CNN spoke to one family who is now demanding justice. We'll have that report in just a moment.
(COMMERCIAL BREAK)
KINKADE: Welcome back to CNN Newsroom. I'm Lynda Kinkade. Let's check more of today's top stories. Crews are beginning to remove large sections of the wreckage from the commercial airliner that collided with a military helicopter last week. Reaching the remains of the victims has been difficult. 55 of the 67 victims have been recovered so far. A preliminary report from the NTSB is likely to be a month away.
There are fears of a major earthquake hitting the Greek Island of Santorini where hundreds of tremors have been recorded over the past four days. Some of those tremors have been above magnitude four. Schools have been closed and airlines have announced additional flights to help people leave. Greeks -- the Greek Prime Minister is urging people to remain calm.
[18:30:00]
Lawyers for actors Blake Lively and Justin Baldoni met in court for the first time in a case involving their film, "It Ends With Us." Lively has accused Baldoni, who's also the director of the film, of sexually harassing her during the production. He denies the allegations and has filed a separate lawsuit against Lively and her husband Ryan Reynolds for extortion, defamation, and invasion of privacy. Lively's attorneys reject those claims.
Israeli Prime Minister Benjamin Netanyahu is expected to meet with President Donald Trump Tuesday. He'll become the first world leader to hold a formal meeting at the White House under the second Trump administration. Talks with Hamas about extending a ceasefire in Gaza were set to restart by Monday, but the Israeli government still hasn't sent in a negotiating team. Prime Minister Netanyahu has made it clear that he sees the path forward, not in Doha or Cairo, but in Washington.
The U.N. agency for Palestinian Refugees says shocking scenes in the West Bank are putting the Gaza ceasefire at risk, threatening a new escalation of violence.
Israel's military set off these massive explosions in the Jenin Refugee Camp. A Palestinian news agency says nearly 20 buildings were destroyed. Israel launched a major offensive there just after the Gaza ceasefire, saying that it was targeting terrorist infrastructure. Jenin's mayor says some 15,000 people have been displaced.
Israel has routinely blown-up entire buildings in Gaza, but rarely uses this tactic in the West Bank. It says troops will remain in Jenin once their operation is over, a significant change in policy.
Well, dozens of Palestinians have been killed in Jenin since the major offensive began, including a two-year-old girl who was shot inside her home. As our Jeremy Diamond reports, her family is now demanding justice.
(BEGIN VIDEOTAPE)
JEREMY DIAMOND, CNN JERUSALEM CORRESPONDENT (through translator): Tayma al-Khatib's world has been shattered, but she is trying to stay strong. After all, that's what Layla would want.
TAYMA AL-KHATIB, LAYLA'S MOTHER (through translator): Layla was always the source of my strength.
DIAMOND (voice-over): Layla was just two years old when she was killed by Israeli troops. One of at least 24 Palestinians killed by Israeli military operations in and around the West Bank city of Jenin the last two weeks. The little girl whose laughter once delighted her family now gone. The family were having dinner when Layla's grandfather heard a faint voice on a loudspeaker that sounded like the Israeli military.
BASSAM HAZA, LAYLA'S GRANDFATHER (through translator): The voice was distant. So, we didn't pay attention to it. After a few moments, we heard gunfire very close by, closer than the usual. So, I asked the girls to hide in their bedroom, and my wife and I head in our bedroom that faces the street so we could try to see what was happening.
DIAMOND: And you laid down?
DIAMOND (voice-over): Inside that bedroom, Layla's mother, Tayma, grabbed her daughter and cradled her on the ground.
HAZA (through translator): In that moment, shots were fired toward us. So, my wife and I ducked and fell to the ground, and then I heard my girls screaming from inside the bedroom.
DIAMOND (voice-over): The screams were Tayma's, Layla had been shot in the head.
AL-KHATIB (through translator): My blouse, this whole area, was filled with blood. So, I started screaming, saying, Layla, something hit her and she's bleeding. They came quickly and grabbed her from me so they could take her outside to call the ambulance.
DIAMOND (voice-over): Bassam rushed outside with Layla in his arms, where he found dozens of soldiers. They had surrounded his house. Some had taken up positions on a neighboring roof.
HAZA (through translator): I looked at one of the soldiers and asked him, why are you killing my daughter? He was a bit stunned and saw the girl bleeding, and then said, I am sorry. He's saying he said, I'm sorry.
DIAMOND: He said, I am sorry.
HAZA (through translator): I am sorry. I told him my child is bleeding. She needs help. What do you mean? I'm sorry.
AL-KHATIB (through translator): I wanted to hold the soldier and scream out to the world and say that he killed a young child and he burnt the heart of a mother. Any mother like me who had to endure this and then have a soldier say, I'm sorry, it's as if nothing happened.
The man who fired at Layla for no reason has to be prosecuted and punished, and not just him, anyone who was involved, from the commanders, from the army who encircled the house.
[18:35:00]
DIAMOND (voice-over): The Israeli military said it opened fire on the house after receiving intelligence about, quote, "barricaded armed terrorists" and claim they called on people to leave the building multiple times. Immediately after they opened fire, the soldiers identified injuries among uninvolved civilians who were present in the structure and coordinated the rapid arrival of the Red Crescent to evacuate them. The IDF regrets any harm caused to uninvolved civilians and takes various measures to prevent such incidents. The incident will be examined and lessons will be learned accordingly.
Gunfire didn't just strike Layla Khatib's home.
DIAMOND: These are bullet holes.
DIAMOND (voice-over): Bullets also tore through neighboring apartments, where Layla's extended family lives.
HAZA: All kids here. Not just in this house. And up there and in my brother's house. Their kids, like this.
DIAMOND: They must have been really afraid.
HAZA: Of course.
DIAMOND (voice-over): After the gunfire ended, multiple residents accuse Israeli forces of trying to cover up what happened, destroying several security cameras in the area. This video obtained by CNN shows a soldier trying to knock down a security camera on the same street with the butt of his rifle. The military did not respond to CNN's questions about the destruction of security cameras.
In a home riddled with bullets, all that is left now are the memories.
HAZA (through translator): She would hop on my shoulders and she would say, grandpa, I want to kiss your head, and she would hug me. I used to love this.
DIAMOND (voice-over): And a mother's duty to speak out for her daughter.
AL-KHATIB (through translator): I want everybody to know Layla and her story and how they killed a young child who was so ambitious, so smart. This is my duty to her.
DIAMOND (voice-over): Jeremy Diamond, CNN, Jenin, the West Bank.
(END VIDEOTAPE)
(COMMERCIAL BREAK)
KINKADE: Returning to our top story now, and President Trump has paused tariffs on Canada for at least 30 days. He reached the decision after speaking with Canadian Prime Minister Justin Trudeau just a few hours ago. The U.S. president said on Truth Social that Canada has agreed to ensure that we have a secure northern border, and to finally end the deadly scourge like fentanyl that have been pouring into our country.
Earlier Monday, he agreed to pause tariffs on Mexico for a month after speaking with that country's president, Claudia Sheinbaum. Mexico says it's sending 10,000 troops to the border to stop the flow of fentanyl and illegal immigrants.
[18:40:00]
The Mexican president says the U.S. agreed to work together to prevent high powered weapons from entering her country. Our Patrick Oppmann has more on Mexico's reaction.
(BEGIN VIDEOTAPE)
PATRICK OPPMANN, CNN CORRESPONDENT (voice-over): Mexican President Claudio Sheinbaum says Mexico needs to keep a, quote, "cool head" when dealing with U.S. President Donald Trump and his threats of punishing tariffs on goods manufactured in her country. Sheinbaum's dealing this under pressure during a phone conversation with Trump Monday paid off, averting a tariff war at the last minute, at least for now.
CLAUDIA SHEINBAUM, MEXICAN PRESIDENT (through translator): I responded. Let's pause them for a month. And I'm confident that in a month we will deliver results for both his people and Mexico.
OPPMANN (voice-over): Trump had threatened 25 percent tariffs on Mexican goods starting Tuesday as he accused Mexico of not doing enough to impede the flow of illegal drugs, including fentanyl and undocumented immigrants across the border into the U.S.
Tariffs he agreed to postpone after Sheinbaum offered to send 10,000 Mexican National Guard troops to the border to crack down on the drugs flowing north.
TRUMP: We had a great talk with Mexico.
OPPMANN (voice-over): However, Trump stressed the negotiations are not over.
TRUMP: We haven't agreed on tariffs yet, and maybe we will, maybe we won't. But we have a very good relationship.
OPPMANN (voice-over): A trade war, though, likely would have had devastating impacts on both countries and ultimately lead to an increase in the price of a wide range of items from beer to automobiles that are produced jointly by an increasingly interwoven economy. Mexican citizens living on the border say.
UNIDENTIFIED MALE (through translator): I consider it as mutual aggression to both the United States and Mexico because it will be the consumer who ultimately pays for these decisions that are being made.
UNIDENTIFIED MALE (through translator): I think that Mexico doesn't have to yield. It has to do something, something different to not receive this kind of blackmail from the United States.
OPPMANN (voice-over): In return for deploying troops, the Mexican president called on Trump to help reduce the flood of guns originating from the U.S. that help arm Mexican drug cartels. SHEINBAUM (through translator): These high-powered weapons empower criminal groups and give them firepower. We also asked the U.S. to help prevent arms trafficking from their country into ours, he agreed.
OPPMANN (voice-over): Sheinbaum said she is confident Mexico can deliver results over the next month while hammering out a new trade, migration, and security deal with the Trump administration. In order for that to happen, though, and avoid a widening cross border trade war, cooler heads will have to continue to prevail.
Patrick Oppmann, CNN.
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KINKADE: Senior Global Economics Analyst Rana Foroohar joins us now. Busy day for you and all of us in what has been some head spinning circumstances. So, these tariffs for two of America's biggest trading partners, on pause for now. I want to start with Canada, which of course is due to go into effect about five -- a bit over five hours from now.
Canada says it's going to appoint a fentanyl Czar, and the prime minister said it's going to spend $1.3 billion at the border, even though he said he'd do that back in December. So, did President Trump cave in to the pressure? What's your assessment of how this played out?
RANA FOROOHAR, SENIOR GLOBAL ECONOMICS ANALYST AND GLOBAL BUSINESS COLUMNIST AND ASSOCIATE EDITOR, FINANCIAL TIMES: You know, I think Trump was looking for some kind of announcement that he could make, some kind of movement that he could show, and I think that that's essentially what's happened.
Is this substantive? Does this really change the fact that, A, fentanyl coming over the border from Canada was really a very fractional problem. I mean, is there somewhat of a problem for Mexico? Yes. You know, but, again, in the scheme of things Canada -- just the fentanyl issue from Canada, even though it had been increasing was really quite minor.
So, I guess it begs the question, what was all this for? You know, and we are just weeks into this administration. So, I think that there's a sense on all sides, Canada, Mexico, allies, adversaries alike, just not understanding what this president is trying to accomplish. You know, the goals seem nebulous at best. And it almost appears to be, you know, a kind of an ego flex, to be perfectly honest.
I mean, I really have a hard time making any kind of true economic or even strategic argument for what's happened in the last, you know, 24 to 48 hours.
KINKADE: I mean, it is head scratching, as you point out, rightly so, that the fentanyl coming over from the northern border is less than 1 percent of all fentanyl that comes into the U.S. And, you know, we did hear Trump make other claims for this tariff policy, saying that U.S. banks can't operate in Canada, even though they can. Canada, of course, is the largest consumer of U.S. products. So, why? Why would Trump do this? And is he listening to people telling him to back down?
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FOROOHAR: You know, I got to say, if I could answer why Trump was doing any number of things I -- a lot of people would be coming to me for advice. You know, it's -- it doesn't appear to be something strategic. It appears to be about exerting power.
I mean, in some ways, this is what you expect from, you know, an emerging market leader. This is about showing I've got the power, I can make you do something, even if it's just a surface announcement to make me happy. I really don't know what to make of it and I don't think our allies and adversaries do either, nor does the market.
And it's worth saying just on that score, yes, we saw a lot of market jitters. We didn't see the big correction that many people feel is going to be coming at some point. But my question is this, you know, how many times will this happen before we do see that correction? I think that that has got to be weighing on the minds of CEOs. I mean, everybody I talked to that has a stake economically, in any of this, is very worried, very, very worried.
KINKADE: Yes. I mean, we were going to see this tariffs on Mexico of 25 percent as well, that is now on paused for 30 days as a result of, you know, the Mexican president saying that she'll send some additional troops to the southern border.
Donald Trump has said he doesn't believe tariffs are a negotiating tool, but it certainly seems like they are.
FOROOHAR: Oh, 100 percent. I mean, look. Unlike many people in economic circles, I'm not 100 percent against tariffs. I see them as one tool in an economic toolbox, but I think that they have to be used strategically, almost surgically.
You know, I think that some of the tariffs on China, for example, that you saw on the first Trump administration or even under Biden, there were some legitimate reasons for those things. There were a lot of mercantilist practices that China wasn't addressing. You know, you can make a case for some of these things, but tariffs on two allies with which you share a border, with which you have highly integrated supply chains in some of the most strategic industries, like automotives, for example, it's just very, very difficult to see the rhyme or reason, aside from a power play.
KINKADE: And of course, the cost to consumers is what a lot of people were worried about. We saw some data coming out today from the Peterson Institute for International Economics that said, you know, if these tariffs proceed with Mexico and Canada, it'll cost the average household in the U.S. $600 a year. If Mexico is included, that's $1,200 a year. Trump says America should be OK with short-term pain for long-term game. What is the long-term game? FOROOHAR: Great question. Let me start with the point about short-term pain. I'm not so sure that it's going to be short-term, and I think it might be more than the numbers that, you know, you've just quite rightly tallied. You know, in the last couple of days, we saw the dollar spike that has a knock-on effect in global markets. It increases the cost of debt in emerging markets, that's the kind of scenario that you can imagine with just one or two more triggers turning into a full-blown financial crisis.
So, this isn't just about the cost of your fruit juice becoming more expensive or even the idea that your car might get a little more expensive, it's about the way the global economy works and it's about the trust in -- and faith in the U.S. Its ability to hold its promises, its ability to be a good steward in the global economy, all that is up for grabs now. And I do think there's going to be a long- term impact on the dollar, on trust on the U.S. markets eventually.
KINKADE: All right. Rana Foroohar, as always, good to get your analysis. Thanks so much.
FOROOHAR: Thank you.
KINKADE: Well, still to come, it was an historic night at the Grammys as Beyonce, Kendrick Lamar, and others won quite a few awards. We'll have more on that and all the moments in just a moment.
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KINKADE: Welcome back. I'm Lynda Kinkade. The Grammy Awards were handed out Sunday night in Los Angeles, and after 15 years and four previous nominations, Beyonce finally won Album of the Year.
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UNIDENTIFIED FEMALE: The Grammy goes to "Cowboy Carter." Beyonce. Beyonce.
(END VIDEO CLIP)
KINKADE: Well, early in the night, Beyonce became the first black woman to win the Grammy for Best Country Album. And Chappell Roan was crowned best new artist. In her acceptance speech, she called on the music industry to reform its healthcare coverage for emerging artists.
Emergency workers with center stage following last month's devastating fires in Los Angeles. The ceremony helped to raise $7 million for charities involved in the wild fire relief effort.
Well, Anthony DeCurtis is a contributing editor for Rolling Stone and joins us now. Good to have you with us.
ANTHONY DECURTIS, CONTRIBUTING EDITOR, ROLLING STONE: Thank you. It's my pleasure. KINKADE: So, let's start with Beyonce, winning Album of the Year after losing the category four times. And it was pretty fitting that the members of the L.A. Fire Department came out to present that award. And of course, she also won the Country Album Award for "Cowboy Carter." What was -- was this Beyonce's night?
DECURTIS: In many ways it was, and at least it has brought to an end this kind of endless speculation about would she win, what does it mean that she didn't win in this category? I mean, Beyonce, you know, has 99 Grammy nominations and something like 35 Grammy victories. You know, it's a little hard to think of her as an underdog, but she wanted this category very badly, and she finally got it. So, I think, you know, this discussion will at least, you know, come to rest for a while.
KINKADE: Yes, exactly. Good on her. Well, we also saw some political statements. We saw Alicia Keys speaking about diversity, saying DEI is not a threat, it's a gift. And I want to play some sound from Shakira and what she had to say when she won best Latin pop Album of the Year. Take a listen.
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SHAKIRA, MUSICIAN: I want to dedicate this award to all my immigrant brothers and sisters in this country. You're loved, you're worth it, and I will always fight with you.
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KINKADE: I mean, often at these award ceremonies we do hear political statements. Do these messages resonate?
DECURTIS: I think they do in this case. It's interesting, you know, they were somewhat subdued. You know, I think there was a sense in which -- you know, people -- I mean, the Grammys were in a funny situation, you know, you have this glamorous show at the same time as you have it happening in a city that's been devastated by fires.
And so, then, kind of piling on, you know, political commentary on top of that, you know, that would have been a difficult thing to pull off. But I think those statements, and there were one or two others in the course of the evening, you know, President Trump was never mentioned by name. So, I think that there was a desire to show where they stood, but to also keep things moving and keep the focus where it belonged on the music and also on the kind of charity aspect of what the evening is.
KINKADE: Yes, exactly. I do wonder what was the statement Kanye West's wife was trying to make? She's an architect. She was wearing this sheer see through dress. There were reports that they were escorted off the red carpet, and never ever made it into the awards.
[18:55:00]
But we've since heard that they just left and had no intention of going to the actual awards after the red carpet. What are you hearing about all of this?
DECURTIS: Well, you know, I think that this is, you know, almost like a little game that they like to play. I mean, there's an element of performance to it, you know, regardless of where it takes place. And last night, you know, Bianca Censori, I mean, essentially was naked. I mean, there was, you know, a very sheer kind of skirt, I guess, or mini dress that she was wearing, but that was completely sheer. She had no underwear of any kind on. But, you know, that was that. Then they went to, you know, some after parties and had their fun.
It's -- well, you know, I'm trying to figure out Kanye is a difficult --
KINKADE: Let's just call it what it is.
DECURTIS: But I think --
KINKADE: it was strange.
DECURTIS: Yes.
KINKADE: Anthony DeCurtis, we've got to leave it there for now, but good to have you on the program.
DECURTIS: OK. Thank you. Bye-bye.
KINKADE: Bye. And thanks so much for everyone joining us today. I'm Lynda Kinkade. Do stay with CNN. Much more news ahead.
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