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Today's Playbook Power Briefing presented by Delta Air Lines

By ANNA PALMER (anna@politico.com; @apalmerdc), JAKE SHERMAN (sherman@politico.com; @JakeSherman), DANIEL LIPPMAN (daniel@politico.com; @dlippman) and AKELA LACY (alacy@politico.com; @akela_lacy)


THE PRESIDENT, after meeting with German Chancellor ANGELA MERKEL, whose country Trump bashed earlier in the day:

TRUMP to reporters: "We're discussing military expenditure. We're talking about trade. We have a very, very good relationship with the Chancellor. We have a tremendous relationship with Germany. They've made tremendous -- you've had tremendous success and I congratulate you. Tremendous success. And I believe that our trade will increase and lots of other things will increase. But we'll see what happens over the next period of a few months."

MERKEL, through a translator: "Well, let me say that I am very pleased, indeed, to have this opportunity here for this exchange of views. And, indeed, we had an opportunity to have an exchange about economic developments, on issues such as migration, and also the future of our trade relations.

"We also briefly touched upon the upcoming trips of the president. And let me say that I'm very much looking forward to further extending our exchanges in the future and enhancing them. I think they're very important to have those exchanges together. Because after all, we are partners, we are good partners, and we wish to continue to cooperate in the future."

TRUMP with French President EMMANUEL MACRON: Q: "President Macron, do you agree that Angela Merkel is beholden to the Russians?" TRUMP: "Oh, I believe they asked you that. (Laughter.) Thank you. Thank you very much." MACRON: "No, I think ... We just discussed the nature of that. We work together."

WAPO'S MICHAEL BIRNBAUM and SEUNG MIN KIM in BRUSSELS: "After a tirade against allies, Trump pushes for NATO countries to raise defense spending to 4 percent of GDP": "President Trump called here Wednesday for NATO leaders to increase their countries' defense spending commitments to 4 percent of gross domestic product, according to senior U.S. and European officials, hours after he delivered a blistering tirade against Germany and other allies.

"Although Trump joined fellow NATO leaders in approving a sweeping set of plans to bolster defenses against Russia and terrorism, the officials said the U.S. president urged his counterparts in a private session to substantially raise their defense spending goal.

"Asked at a news conference about Trump's demands on defense spending, NATO Secretary General Jens Stoltenberg did not deny that the president called for the increase and rather suggested that the focus should be on getting every member country to reach the current goal of 2 percent. Only eight of 29 NATO countries are on track to meet the 2 percent goal this year." http://go.politicoemail.com/?qs=92fb8b5fe08adfe18c1fa16fe768c57a90d98e04a9e51fbeb2b05c98816a478ac79c2bac85d29aad590a96d3f15484f6

LIVE FROM THE BRUSSELS BUBBLE -- THE PRESIDENT, at 8:40 a.m.: "I am in Brussels, but always thinking about our farmers. Soy beans fell 50% from 2012 to my election. Farmers have done poorly for 15 years. Other countries' trade barriers and tariffs have been destroying their businesses. I will open..." ...

... also at 8:40 a.m.: "...things up, better than ever before, but it can't go too quickly. I am fighting for a level playing field for our farmers, and will win!" ...

... at 12:41 p.m.: "Democrats in Congress must no longer Obstruct -- vote to fix our terrible Immigration Laws now. I am watching what is going on from Europe -- it would be soooo simple to fix. Judges run the system and illegals and traffickers know how it works. They are just using children!"

... 12:50 p.m.: "What good is NATO if Germany is paying Russia billions of dollars for gas and energy? Why are their only 5 out of 29 countries that have met their commitment? The U.S. is paying for Europe's protection, then loses billions on Trade. Must pay 2% of GDP IMMEDIATELY, not by 2025."

SOME CONTEXT ... LOUIS NELSON: "[Trump's tweet] appeared minutes after an appearance by Sen. Chuck Grassley (R-Iowa) on Fox News's 'Fox & Friends,' where he said both he and his constituents are 'very, very nervous' about the president's trade policies, particularly as they pertain to the agriculture industry, which would be particularly vulnerable in a trade war.

"Grassley warned that the president's tactics have the potential to be 'catastrophic' not just for farmers or Iowans, but for the entire U.S. economy. The 'uncertainty' wrought by Trump's threats, Grassley said, has already had a devastating impact." http://go.politicoemail.com/?qs=92fb8b5fe08adfe1fb6e201f10b1e4a97bbe48dbc1a216f14693a52c02a13ee9bc724071cc6b78a42a570bc33d17785f

-- REBECCA MORIN: "Pelosi, Schumer blast Trump's criticism of Germany": "The top two Democratic leaders Wednesday denounced Trump's criticism of Germany during the NATO Summit in Brussels, saying his comments show that the president is more closely allied with Russian President Vladimir Putin than NATO allies.

"'President Trump's brazen insults and denigration of one of America's most steadfast allies, Germany, is an embarrassment,' House Minority Leader Nancy Pelosi and Senate Minority Leader Chuck Schumer said in a statement.

"'His behavior this morning is another profoundly disturbing signal that the President is more loyal to President Putin than to our NATO allies.' ... Republican Utah Senator Orrin Hatch also broke with the president over his comments, saying he 'doesn't agree' that Germany is controlled by Russia." http://go.politicoemail.com/?qs=92fb8b5fe08adfe104000c5fe2aaff7bf64805dfc7a1ebb731dce335255ca4b503a511b5698b8864d19ed97d25c6858c

TRADE WARS ... DOUG PALMER: "New Trump tariffs raise fear of 'multiyear' trade war with China": "Business leaders and some Republicans pressed President Donald Trump on Wednesday to meet with Chinese President Xi Jinping to resolve a growing trade dispute after Trump's administration took steps to slap new tariffs on $200 billion worth of Chinese goods. ...

"U.S. business groups also urged the administration to begin talks before the effects of the tariffs can damage U.S. economic growth and undo the positive benefits of tax reform and moves by the administration to reduce red tape. 'The last thing America's manufacturing workers need is an escalating trade war,' said Jay Timmons, president and CEO of the National Association of Manufacturers, in a statement ...

"Other business groups that called for de-escalation of tensions include the American Chemistry Council, whose members include Dow, DuPont, 3M, Honeywell, Exxon Mobil and Chevron. They noted Trump has also alienated many key allies by imposing tariffs on their steel and aluminum exports to protect U.S. national security." http://go.politicoemail.com/?qs=92fb8b5fe08adfe1dff146857a47ff28fdd0847a83524e277f39f153c1e62988a8363228afd04e4d1da3183b4516925c ... Washington Examiner op-ed by the heads of API, AAR and ACC, "A trade war threatens the U.S. economy" http://go.politicoemail.com/?qs=92fb8b5fe08adfe1cb7a7cd18f9fd44d97ff5e370df7f5aed986e79585b1abe018a60fb973153cfa9f37b346a79bba2c

-- WSJ'S LINGLING WEI in BEIJING: "'Shocked' by Latest U.S. Tariffs, Beijing Seeks Retaliatory Action": "The U.S.'s plan to wallop China with new tariffs is putting Beijing in a bind, forcing it to retaliate in ways likely to cast doubt on its commitment to rules-based global trade. ... [The announcement] stoked anger and hand-wringing among Chinese officials on Wednesday. China doesn't import enough from the U.S. to match Washington dollar for dollar as it has in previous rounds, so Beijing is reviewing plans to hit back in other ways, said Chinese officials familiar with the plans." http://go.politicoemail.com/?qs=92fb8b5fe08adfe130e3057b7aa4d6653bf910b5f80a3c9f3c99d6afa85dc8bc0672417f437a5e92ad6d2a5539bf32f6

** A message from Delta Air Lines: At Delta, we're committed to donating 1% of our net profits to charitable organizations around the world. Delta contributed over $40 million to charities and nonprofits in 2017, and we look forward to continuing our support for years to come. For more information about Delta, visit www.delta.com. **

Good Wednesday afternoon. SPEAKER PAUL RYAN responded to a question from Rachael Bade, and said he is willing to hold Lisa Page in contempt of Congress. KYLE CHENEY http://go.politicoemail.com/?qs=282da73b4811a25cfd33f062e6e5eaee7eb02af77011d8c2a57c450696c2b0fe3a52e3ee92a08adcfcc4544e8d4fbf03

SPOTTED: Bill Clinton and Terry McAuliffe playing golf at Congressional today. Pic http://go.politicoemail.com/?qs=282da73b4811a25cb7b885851540dac2387bffa9c984b7cb51631c2745aaacde7bb6fe860ccbf966588033226e401bbf

CASH DASH ... SEN. JOHN CORNYN (R-TEXAS) raised a cool $1 million into his victory fund. Donors included: John Kaneb, the CEO of HP Hood, the parent company of Hood milk ($150,000), Steven A. Cohen ($45,400) and Leon Black ($10,000).

GREAT STORY ... WAPO'S PAUL SCHWARTZMAN and MICHELLE BOORSTEIN: "The elite world of Brett Kavanaugh" http://go.politicoemail.com/?qs=282da73b4811a25c38af934a159f278573a21cbde25c913051634ce3a2066beca1ea1e48ec4f55b41a4375905b297751

-- NAVIGATOR -- a Democratic research and messaging consortium -- has a new poll on what people care about in a Supreme Court justice. http://go.politicoemail.com/?qs=282da73b4811a25cb4ea241d45f22fef3c961ea696bb11497a83759648a8a94a347e5972462f2bd84a59cb4ebcda44e9

NYT'S JONATHAN MARTIN and ALEX BURNS, with a Boonville, Indiana, dateline: "For Midterms, Supreme Court Political Drama Plays to Its Audience": "Joe Donnelly (D-Ind.) knew his audience: Addressing a group of camouflage-clad union mine workers and retirees here last weekend, the Democratic senator trumpeted his efforts to protect their pensions and health care, asked attendees to raise their hands if they knew someone with a pre-existing health condition, and made not a single mention of the upcoming Supreme Court vote that could determine his political fate in November.

"'It's a big deal to those who know it's a big deal, but it doesn't translate to folks that go to work every day - they're focused on things that make their life better,' said Russ Stillwell, a former Democratic state lawmaker from this southern Indiana community ...

"The monthslong Supreme Court clash that lies ahead will draw hundreds of thousands of activists to the fray, produce tens of millions of dollars in advertising and consume untold hours of television coverage.But the long-awaited debate over replacing Justice Anthony M. Kennedy's swing vote is more likely to intensify the existing forces of the 2018 midterm elections rather than turn the campaign on its head." http://go.politicoemail.com/?qs=282da73b4811a25c60e451d2b99cdb3028ed8c451a615dc5cd368215d427b1471cb8b76805bed6cfbaa717cd8ed02528

LAST NIGHT AT THE TRUMP HOTEL -- SPOTTED: Corey Lewandowski meeting with Chase Kroll, along with Brian Darling and Beau Rothschild. Matt Schlapp meeting with Tony Sabato Jr., who is running for Congress in California.

ATTN. TRUMP ... DE BLASIO BROKE IMMIGRATION LAW, FEDS SAY! -- "Border Protection says NYC mayor crossed border illegally," by AP's Coleen Long: "New York City Mayor Bill de Blasio and his security detail violated both Mexican and U.S. immigration laws by crossing the border on foot during a visit near El Paso, Texas, U.S. Customs and Border Protection alleges in a letter obtained by The Associated Press. The mayor's office flatly denied the allegation.

"De Blasio ... went to the Texas border with about 20 other mayors from around the country on June 21, the day after President Donald Trump signed an order stopping family separations at the border. De Blasio went to a holding facility for immigrant children but was denied entry. He then went to Mexico and crossed into the U.S. to get a view of the facility. The New York Police Department runs de Blasio's security detail." http://go.politicoemail.com/?qs=282da73b4811a25c5edba49e7913b5bfa1a53d142f35cb07ba0987c207b26e2c2e1b64690dd70fe2162bc59e7738ede9

FOR YOUR RADAR -- "FCC Proposes Rebuilding Comment System After Millions Were Found Fake," by WSJ's James Grimaldi: "The chairman of the [FCC] proposed an overhaul of the agency's online comment system after millions of fake comments were posted about a recent FCC rule change.

"[Ajit Pai] said in a letter to two senators that he was proposing 'to rebuild and re-engineer' the commission's electronic comment system 'to institute appropriate safeguards against abusive conduct.' In the July 6 letter to Sens. Pat Toomey, a Pennsylvania Republican, and Jeff Merkley, an Oregon Democrat, Mr. Pai said he has asked Congress for permission to shift funds to pay for the comment system overhaul.

"Messrs. Toomey and Merkley wrote to Mr. Pai in May to complain that their names had improperly been used to post comments on Mr. Pai's repeal of Obama-era rules on the internet known as net neutrality." http://go.politicoemail.com/?qs=282da73b4811a25c86e4822b23476b1838e13dbd26e0dbaf133cad396340fcaca37e4d649240b9988f0124262e67d582

WEDNESDAY LISTEN -- ANNA sat down with Scandal's BELLAMY YOUNG: "On the latest episode of the Women Rule podcast, Young - who played Mellie Grant, the Republican president of the United States in the show's final season - said the surprise outcome of the 2016 election had a major effect on the popular ABC drama. Had Hillary Clinton been sitting in the Oval Office, 'we would have ended a year sooner,' the actress said of the show, which topped off its final season in the spring of this year. With Trump in the White House currently, 'we definitely got an extra year.'" Listen to the full podcast episode http://go.politicoemail.com/?qs=282da73b4811a25c06c67b0a4ce832576e296c6f87248374e0b9db1303b1b84e74a4f1ac92e0bb9f58ca93363e3a3f46

HMM -- "A Hacker Sold U.S. Military Drone Documents On The Dark Web For Just $200," by Forbes' Thomas Fox-Brewster: "On Wednesday, researchers at cybercrime tracker Recorded Future reported that a hacker was trying to flog documents about the Reaper drone used across federal government agencies for between $150 and $200. It appeared they'd successfully hacked into at least two computers belonging to U.S. military personnel and the theft could have a significant impact on American campaigns abroad, Recorded Future warned.

"On Wednesday, researchers at cybercrime tracker Recorded Future reported that a hacker was trying to flog documents about the Reaper drone used across federal government agencies for between $150 and $200. It appeared they'd successfully hacked into at least two computers belonging to U.S. military personnel and the theft could have a significant impact on American campaigns abroad, Recorded Future warned." http://go.politicoemail.com/?qs=282da73b4811a25c1735d6a91099c92ef0d7d0038bfd6cd526eb94a6cdec1ce84c7f0c2c9a94d951c2d5863e24d13e59

MEDIAWATCH -- "As Comcast Weighs Higher Fox Bid, Sky Offer Now in Jeopardy Too," by Bloomberg's Joe Mayes: "Rupert Murdoch's 21st Century Fox Inc. boosted its bid for Sky Plc, adding pressure on Comcast Corp. to retaliate in global game of M&A chess that's being waged by the world's biggest media companies. Fox offered 14 pounds per share, valuing Britain's top pay-TV company at 24.5 billion pounds ($32 billion). That's 12 percent more than Comcast's rival 22 billion-pound offer.

"Now it's up to Comcast to respond. Sky is a pawn in a wider contest between Comcast and Walt Disney Co. for the bulk of Murdoch's media empire, as the U.S. media giants try to take on powerful digital rivals like Netflix Inc. Murdoch has a deal to sell Fox's entertainment assets to Disney, including its Sky stake. Meanwhile, time is running out for Comcast Chief Executive Officer Brian Roberts to come in with a counter bid in both the battle for the Fox portfolio and for Sky." http://go.politicoemail.com/?qs=5c40e5faa5032ab67111744b54eaf651f8df5f8e535b7991ff1ecf49b28c22f2946f32e0cfefdbb8b66bc6371a129573

-- NBC NEWS' CLAIRE ATKINSON launched THE QUERY, a news media blog and forthcoming weekly newsletter. The blog http://go.politicoemail.com/?qs=5c40e5faa5032ab62fcb0fc4f1b7a8b7cec7f1897bea95c2846477fb5deb31ad549e83103c870a4cbbc625097694706d

TOP ED -- JAMES STAVRIDIS, former NATO supreme allied commander, in Bloomberg: "Memo to Trump: Don't Give Away the Farm to Putin" http://go.politicoemail.com/?qs=5c40e5faa5032ab64a7d6893fe5233b65b4fb5b0d22f2a974ca52bd0feebdaeacfcaa018cbfac703f1eeed2d3c7957bf

SPOTTED -- Eric Holder in the Admirals Club this morning at DCA ... Susan Rice on AA 4278 from DCA to Westchester County.

SPOTTED at Morgan Ortagus' and Katie Pavlich's joint birthday party last night at DBGB: Sen. Lindsey Graham (R-S.C.), former Sen. Norm Coleman (R-Minn.), Reps. Will Hurd (R-Texas) and Scott Taylor (R-Va.), John Rood, David Trulio, Michael Crowley, Evelyn Farkas, Michelle Kosinski, Marty Obst, Tony Sayegh, Samantha Menh, Stephen Cox, Kevin Cirilli, Reg Brown, Lisa Spies, Michael Greenwald, Robert O'Brien and Jon Harrison.

TRANSITIONS -- Amaya Smith, most recently AFL-CIO's comms director and senior adviser to the president, is heading to the National Partnership for Women and Families to be VP for marketing and communications. Josh Goldstein is succeeding her. ... Lilia Dashevsky is joining AIPAC as direct marketing specialist. She most recently was senior coordinator of social digital content at The Washington Center.

WELCOME TO THE WORLD - ROMNEY ALUMNI: Kaitlyn McClure, a policy adviser at Covington and Burling and a Romney 2012, John Hoeven and Judd Gregg alum, and Matthew Raymond, a program analyst at the National Institute of Neurological Disorders and Stroke at the NIH, recently welcomed Alice Riley Raymond. Pics http://go.politicoemail.com/?qs=5c40e5faa5032ab6a2955bdc2d1bdb4152995529d6a14521768165ab69c23a61315bb409a7476e49842963b4b8a90fdd ... http://go.politicoemail.com/?qs=5c40e5faa5032ab6e588bd63c13a13b8036fbb7db964939d7e79eadf511b9529f492c770031bbb20a5dfdbb073cffe1a

HAPPY BIRTHDAY to SEC chairman Jay Clayton (h/t Natalie Strom)

BONUS BIRTHDAY OF THE DAY: KayAnn Schoeneman, marketplace leader for Washington, D.C. and director of public affairs at Ketchum. A trend she thinks deserves more attention: "CEO turnover is the highest it has been in over a decade. I don't think there is enough coverage about the root cause and the pressure for CEOs to deliver consistently to multiple stakeholders." Q&A: http://go.politicoemail.com/?qs=5c40e5faa5032ab6e4857bb94be0e09a28ff2024727baa45c9c2666ff0f3468c0be5e25e8a9d489f298daa7e2d0b2095

** A message from Delta Air Lines: At Delta Air Lines, we're proud to support the causes that shape our world by giving back to the communities where we live, work, and serve. We're committed to donating 1% of our net profits to key charities and nonprofit organizations as we strive to truly make a difference in D.C. and throughout our global communities.

Our goal is to positively impact the world through continued investments in our current partners as well as contributions to our new partners. Our donations support education, promote health and wellness, and salute our armed service members and veterans.

We contributed over $40 million in 2017 to charities and nonprofits around the world, and we look forward to continuing our support for many years to come.

For more information about Delta, visit www.delta.com. **

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