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Thursday, April 10, 2025

Hawley demands Zuckerberg testify on whistleblower China claims: ‘Sold out our country’s security’

 Sen. Josh Hawley asked Meta boss Mark Zuckerberg on Thursday to testify before Congress in response to whistleblower allegations that he “sold out our country’s security for China profits.”

The request from Hawley (R-Mo.) followed bombshell testimony from Sarah Wynn-Williams – a former Facebook policy executive who said Wednesday she witnessed Zuckerberg and other top brass lie to Congress and “repeatedly undermine US national security and betray American values” in a failed effort to appease Beijing and gain access to the Chinese market.

“The public deserves to hear your response to these serious allegations, particularly since they pertain to American national security,” Hawley said in a letter addressed to Zuckerberg.

Sen. Hawley wants Mark Zuckerberg to face Congress over the whistleblower’s claims.Getty Images

Hawley said his Senate Judiciary’s subcommittee wanted Zuckerberg to testify under oath at a second hearing about Wynn-Williams’ allegations and said his office would work with Meta to “find a suitable time and date” for the appearance.

Meta did not immediately respond to The Post’s request for comment on Hawley’s letter.

Meta’s attempts to enter China ultimately failed and Zuckerberg abandoned plans to offer Facebook and Instagram in 2019 – but the company still earns $18 billion per year through ad sales to Chinese firms.

Wynn-Williams’ testimony was peppered with explosive claims about Meta’s alleged efforts to gain access to China as part of a top-secret internal initiative called “Project Aldrin.” She also detailed her six-year stint at Meta from 2011 to 2017 in the scathing memoir “Careless People.”

The whistleblower alleged that Meta brass provided briefings to the Chinese Communist Party on sensitive technology, including artificial intelligence, with an “explicit goal being to help China outcompete American companies.”

Wynn-Williams said Meta saw the briefings as part of a “value proposition” to convince China to allow its products. She said her claims are backed up by documentary evidence that she has provided to Congressional investigators, including internal chat logs from top executives that were discussed at the hearing.

Hawley demanded that Zuckerberg respond to that allegation, as well as separate claims that Meta created censorship tools at the behest of the Chinese Communist Party – which exposed users in Hong Kong and Taiwan as well as putting the data of Americans at risk.

Meta whistleblower Sarah Wynn-Williams testified before a Senate panel on Wednesday.AP

The Senate also wants Meta’s response to allegations that Meta agreed to block accounts in 2017 operated by Guo Wengui, a self-exiled Chinese billionaire and dissident, after facing pressure from China.

“Her testimony was filled with explosive allegations about your company’s willingness to jeopardize American national interests, betray American users and Chinese dissidents alike, and lie about it to Congress,” Hawley wrote.

Hawley said that Meta had “lied directly to Congress” during a 2017 hearing in which a top executive said it took action against the account through regular processes and denied any interference by China.

Hawley recently told The Post in an exclusive interview that Wynn-Williams testimony would be a crucial litmus test to determine if and when Meta executives had lied to Congress during past hearings.

Meta has strenuously denied Wynn-Williams’ allegations.

Mark Zuckerberg abandoned efforts to enter China in 2019.Zuffa LLC

“Sarah Wynn-Williams’ testimony is divorced from reality and riddled with false claims,” a Meta spokesman said in a statement responding to her claims.

“While Mark Zuckerberg himself was public about our interest in offering our services in China and details were widely reported beginning over a decade ago, the fact is this: we do not operate our services in China today.”

A company spokesperson previously said that Meta took action against Guo’s account because it had improperly shared sensitive data, included passport numbers, social security numbers and home addresses, in violation of its policies.

Meta scrambled to block Wynn-Williams’ memoir from gaining the public’s attention – and obtained an arbitration order barring her from promoting or publicly discussing the book.

Sen. Josh Hawley has called the whistleblower’s evidence “explosive.”Getty Images
Sarah Wynn-Williams was a former top policy executive at Facebook.Getty Images

Multiple senators, including Hawley, blasted Meta for attempting to muzzle Wynn-Williams – who testified that she faces $50,000 in damages for every public mention.

“The greatest trick Mark Zuckerberg ever pulled was wrapping the American flag around himself and calling himself a patriot and saying he didn’t offer services in China while he spent the last decade building an $18 billion business there,” Wynn-Williams said.

Meta has said that figure is from the separation agreement that Wynn-Williams signed when she left the company in 2017 and applies to any breach of contract, not just non-disparagement.

https://nypost.com/2025/04/10/business/josh-hawley-demands-mark-zuckerberg-testify-over-meta-whistleblowers-china-claims/

Trump tariffs on China will actually be 145% — not 125% for some imports, White House clarifies

 President Trump may have hit the brakes on reciprocal tariffs levied against many of America’s top trading partners, but the duties imposed on China will reach a staggering 145% on certain imports, a White House official confirmed to The Post

Trump announced Wednesday that his tariff scheme would be put on pause for 90 days after a dozens of countries came forward looking to make a deal — lowering the baseline rate on most foreign imports to just 10% in the meantime.

But the reprieve does not apply to China, which Trump slapped with an eye-popping 125% duty over what he called “a lack of respect” from Beijing. That combined with a 20% “fentanyl tariff” already in place means some imports will be subject to a total tariff of 145%, CNBC first reported.

President Trump in the Oval Office.
President Trump hit China with a massive 125% tariff on exported goods Wednesday — which when added to the fentanyl-specific tariffs already in place amount to a total tariff of 145% on certain goods.AFP via Getty Images

America buys more from China than any other country in the world, except Mexico — to the tune of nearly $440 billion in 2024. All kinds of consumer goods come from China — including electronics like iPhone, toys, clothes and shoes.

China retaliated by imposing its own 84% tariff rate on US goods, which took effect Thursday.

The US exported more than $143 billion worth of goods to China in 2024, including products like soybeans, aircraft and aircraft parts, pharmaceuticals, semiconductors and vehicles.

Chinese exports rose a whopping 13% in 2023 and 17% in 2024. Exports make up about 20% of the country’s GDP.

Meanwhile, American exports — which were higher than ever 10 years ago — are slumping.

Exports only account for 11% of the US GDP — down from 13.6% in 2012.

Massive cargo ship loaded with shipping containers.
China retaliated by imposing its own 84% tariff rate on US goods, which took effect Thursday.AFP via Getty Images

US exports to China fell almost 3% last year, to a total of $144 billion, according to the US Trade Representative’s Office.

The trade deficit between the two countries has also widened, reaching $295 billion.

Trump initiated the 90-day pause with trading partners besides China in part due to a selloff in the bond market, and a decline in US stock indicies.

“I thought people were jumping a little bit out of line, they were getting yippy, you know, they were getting a little bit yippy, a little bit afraid, unlike these champions,” he told reporters Wednesday from the White House South Lawn at an event featuring NASCAR Cup Series champions Joey Logano and Ryan Blaney.

Markets had their best day since 2001 following the announcement, but ceded significant ground when trading resumed Thursday.

https://nypost.com/2025/04/10/us-news/trump-tariffs-on-china-will-actually-be-145-for-some-imports-white-house-clarifies/

China to ‘Moderately Reduce’ U.S. Film Imports After Latest Round of Trump Tariffs

 UPDATED: The China Film Administration has confirmed that it will cut back on the import of U.S. films to the Middle Kingdom.

The move comes in the wake of the latest round in the tariff wars initiated by U.S. President Donald Trump, where he announced a 90-day pause for several countries but increased tariffs on Chinese goods to 125%. China’s retaliatory tariffs are at 84%.

“The wrong action of the U.S. government to abuse tariffs on China will inevitably further reduce the domestic audience’s favorability towards American films,” the China Film Administration said on Thursday. “We will follow the market rules, respect the audience’s choice, and moderately reduce the number of American films imported.”

An Imax spokesperson told Variety: “We are pleased that China Film Administration has clarified its position on U.S. film imports and highly confident – given our decades of business and strong relationships in the country — that Imax’s robust slate in China, which includes Hollywood, Chinese and international films, will not be materially impacted. We continue to expect a strong year for Imax in China, coming off our highest grossing first quarter ever in the country.”

PREVIOUSLY: This past weekend in China, Warner Bros. and Legendary’s “A Minecraft Movie” conquered the box office and broke the hegemony of local blockbuster “Ne Zha 2” which grossed $2.11 billion after a 10-week reign. But it might be a short-lived triumph thanks to U.S. President Donald Trump’s tariffs.

U.S. tariffs on China, currently at 54%, may go up to 104% as Trump’s response to the Middle Kingdom’s counter tariffs.

Now, China is reportedly considering a slate of retaliatory measures against the U.S. that could potentially devastate Hollywood’s access to the world’s second-largest box office, according to posts by two influential Chinese social media figures, per Bloomberg.

The potential measures, which include a possible reduction or outright ban on American film imports, were shared Tuesday on Chinese social media by Liu Hong, a senior editor at state-run Xinhuanet, and separately by “Chairman Rabbit,” the online persona of Harvard-educated Ren Yi, grandson of former Guangdong party chief Ren Zhongyi.

Liu, who serves as deputy editor-in-chief of the official Xinhua News Agency’s website, posted the information just hours after China vowed to “fight to the end” in response to President Donald Trump’s latest tariff threats.

The identical posts from both influential accounts cited unnamed sources familiar with the situation and outlined several potential retaliatory actions being considered by Chinese authorities, including: “Reducing or completely banning the import of American films.”

Chinese authorities hold absolute control over film distribution in the territory. Foreign films can formally only be distributed in China through one of two centralized state-owned enterprises, and are imported as either one of a limited quota of 34 “revenue-share” films, for which the studio gets a cut of the box office, or on “flat fee” (aka “buy-out”) terms. The China rights are licensed for a lump sum by a local firm.

China’s box office had a dull 2024 collecting just $5.8 billion but this is projected to soar 30% to $7.6 billion in 2025. With a slate of anticipated Hollywood blockbusters this year, including Tom Cruise’s “Mission: Impossible – The Final Reckoning” and “Superman,” the absence of marquee titles could dent this number.

A move against Hollywood would mark a dramatic escalation in the ongoing trade tensions between the two economic superpowers. China has become an increasingly crucial market for major studio releases, with films like “Avengers: Endgame,” “Furious 7” and “Avatar: The Way of Water” generating hundreds of millions of dollars from Chinese theaters.

However, insiders suggest the threat may be more bark than bite. Variety has learned that Marvel’s “Thunderbolts*” just yesterday secured a coveted China release date of April 30, an unusual move if a ban were truly imminent. Sources close to the situation note that the China Film Bureau has received no change in guidance or directives, so far, regarding Hollywood imports.

With the Chinese government’s close ties to both exhibitors and property developers, implementing policies that could damage theater attendance seems counterproductive to Beijing’s economic interests.

The entertainment industry continues to monitor developments closely as tensions simmer between Washington and Beijing.

https://variety.com/2025/film/news/trump-tarrifs-china-bans-hollywood-1236362660/

Brookfield used Cayman Islands to register 3rd fund managed by Carney

 A $5-billion investment fund created under Mark Carney's leadership at Brookfield Asset Management was registered in the Cayman Islands tax haven, according to records obtained by Radio-Canada.

That's in addition to two other funds totalling $25 billion that were registered in Bermuda, another offshore tax haven, when the Liberal leader was on the firm's board of directors from 2020 to 2025.

In all three cases, the structures are legal, respect international tax standards and are commonly used by investment firms. They also ensure Canadian investors pay taxes on the profits from their investments in Canada, and not in foreign countries.

Brookfield declined to comment on its use of tax havens as part of the structuring of its funds. In past public statements, the firm has insisted it does not engage in tax avoidance, and that all its entities pay all required taxes in the jurisdictions in which they operate.

The Liberal Party directed questions to Brookfield.

"Mr. Carney worked for Brookfield from August 2020 to January 2025 and no longer has any involvement in the firm," said Liberal spokesperson Mohammad Hussain. 

Other political parties have said the firm's use of tax havens raises questions about Carney's activities in the private sector, and his possible management of tax issues if the Liberal Party wins the April 28 election.

The Conservatives also criticize the fact that Carney did not make public which assets he placed in a blind trust when he became Liberal leader and prime minister last month, including those he would have acquired during his time at Brookfield.

Earlier this week, Conservative Leader Pierre Poilievre minimized the value of Carney's time in the corporate world, alleging his Liberal counterpart benefited from his political connections to increase his personal net worth.

"He needs to immediately release his personal financial holdings so Canadians can judge for themselves," Conservative MP Michael Barrett said in a statement.

A question of 'efficiency'

In response to multiple questions from the media during the campaign, the Liberal leader has said the decision to register two Brookfield funds in Bermuda was a question of "efficiency," not tax avoidance.

"The flow-through of the funds goes to Canadian entities who then pay the taxes appropriately, as opposed to taxes being paid multiple times before they get there. So that's how we have this structure. That's the structure that all of our pension funds follow," Carney said on March 26.

Downtown buildings
Brookfield Place in Toronto's financial district in 2023. Carney's time with Brookfield Asset Management is coming under scrutiny during 2025 federal election campaign. (Andrew Lahodynskyj/The Canadian Press)

Brookfield's two funds registered in Bermuda are the Brookfield Global Transition Fund ($15 billion) and the Brookfield Global Transition Fund II ($10 billion), launched in 2021 and 2024 respectively.

The third fund registered in the Cayman Islands is called the Catalytic Transition Fund. Launched in 2024, it aims to invest $5 billion in the field of "clean energy and transition assets." Unlike two other funds, the Catalytic Transition Fund specifically aims to invest in projects located in emerging markets.

The fund's initial investor was Altérra, financed by the United Arab Emirates and billed as the largest private climate investment fund. The Caisse de dépôt et placement du Québec also eventually invested in the fund, among others.

'It means you're making money'

Tax expert Jean-Pierre Vidal, a professor of accounting sciences at HEC Montréal, says the use of tax havens remains poorly understood by many citizens, especially because their use has been severely restricted in recent years.

"As far as Canada is concerned, tax havens are used to reduce taxes paid in foreign countries," Vidal said, explaining they help companies pay more taxes in their home country when their investments are repatriated.

Still, he said jurisdictions with low or minimal levels of corporate taxes help reduce costs for companies like Brookfield.

"Canada was not a loser — in fact, it was a winner — but it's certain that these companies made more money because they were in these places. This is what we mean by efficiency…. It means you're making money."

The European Union publishes a list of "non-co-operative" jurisdictions for tax purposes, but neither Bermuda nor the Cayman Islands has been on it since 2019.

According to accounting firm PwC, there is no corporate tax in the Cayman Islands, while Bermuda introduced a 15 per cent corporate tax rate this year, with a series of exemptions for some corporate entities. Brookfield's funds registered in Bermuda are private and their exact taxation status is unknown.

A man wearing a suit speaks in front of a Canadian flag.
Conservative Leader Pierre Poilievre has alleged Carney benefited from his political connections to increase his personal net worth. (Darryl Dyck/The Canadian Press)

Political opponents take aim

The Conservative Party has kept on raising potential conflicts of interest stemming from Carney's time at Brookfield, which is particularly active in the field of renewable energy and green technologies.

The Conservatives also criticize the fact that Carney did not disclose the assets that he placed in a blind trust when he became Liberal leader and prime minister last month, including those he would have acquired during his time at Brookfield from 2020 to 2025.

Earlier this week, Conservative Leader Pierre Poilievre minimized the value of Carney's time in the private sector, alleging his Liberal counterpart benefited from his political connections to increase his personal net worth.

Carney has said he created his blind trust in collaboration with the ethics commissioner, and that anti-conflict screens are in place to avoid any discussion affecting Brookfield.

Last week, the leader of the NDP promised to put an end to tax agreements between Canada and jurisdictions like Bermuda. 

"We lose tens of billions of dollars every year because of tax havens, because of big companies avoiding countries their fair share," said Jagmeet Singh. 

Bloc Québécois leader Yves-François Blanchet called on the Liberal leader to "reveal his foreign assets."

"Mr. Carney thinks that taxes are simply for normal people, and not for millionaires or billionaires like him," the Bloc leader said.

https://www.cbc.ca/news/politics/brookfield-used-cayman-islands-to-register-3rd-fund-managed-by-carney-1.7506817