▶ 0:19:45-- important work to do. I want to open by saying, as usual, we welcome the attendants. This is a public meeting and we enjoy people coming here, but we have a zero-tolerance policy for either interruptions or, for that matter, attempting to somehow communicate with any members of the committee or witnesses.
▶ 0:20:13So, everyone knows what the penalty for that is. It is arrest and banned from the committee for a year. It has been happening infrequently this year. We hope it never happens again, but nonetheless we have zero-tolerance for that. We have important business to do and we cannot do it if we are interrupted.
▶ 0:20:34With that, I want to thank our nominees for being with us and most importantly to them and their families for being willing to serve in these important positions that help govern this country. We are proud to have moved 33 of president trump's nominees through this committee and look forward to moving your nominations through just the same.
▶ 0:20:55We are at a blistering speed compared to the previous administrations, and that is done with the cooperation, and just as importantly, the urging of the president of the united states. Mr. helberg is the under secretary of state working on an extensive list of issues that will be exceptionally important as we compete with our adversaries around the world, particularly china. The ccp, china communist party, threatens U.S.
▶ 0:21:24Leadership globally through emerging technologies, abusive trade practices, and economic coercion. Following the previous administration's failure to promote U.S. economic interests, you will be responsible for the state's role in renewing american prosperity, including a robust strategy to promote U.S. energy and technology abroad. I look over to hear your plans. Mr. puzder, over the past three years putin's aggression has created the largest security crisis in europe since the second world war.
▶ 0:21:55President trump is working diligently to help end this conflict, but we must keep pushing our european allies. Your role will require hard conversations to with america's closest allies to urge them to meet the threats that they face from russia. You must also work with your town to part at nato to ensure U.S. security interests are reflected in european policy.
▶ 0:22:19As you understand security investments from the eu must benefit members, all our alliances, not just here. I hope you will deliver a firm message to our european allies that america is a reliable partner but not an atm. As assistant for south asian affairs, you have an expensive and challenging region. Many countries in south and central asia want to work with us.
▶ 0:22:45We need to build on that desire to create deeper partnerships and advance american interests, but at the same time we need to have frank conversation about china's growing influence and threats to regional security, particularly in south asia. The recent conflict between india and pakistan is deeply concerning and has shown us we must continue our counterterrorism cooperation across the region. The U.S. shares national security interests with both countries and we need peace between them.
▶ 0:23:15Additionally, the biden administration's efforts to sweep failures in afghanistan under the rug, throwing a blind eye to oppression, and growing threat of terrorism in the country. It will be part of your job to turn around the trajectory and keep americans safe. Mr. black, as you know, one of our best tools to counter chinese economic aggression is harnessing american on genuity and spreading it to countries in need through the U.S. national development corporation.
▶ 0:23:42Congress created the dfc in partnership with president trump and it has proven to be critical in advancing U.S. economic and strategic interests. Since its creation the agency has struggled to fulfill its dual mandate to catalyze development and invest in moving our needle on security interests be a that is why we are working on legislation to make sure dfc deliver strategic and development value.
▶ 0:24:08We want the agency to attract talent, become more risk tolerant, and operate efficiently and effectively. If confirmed, you will be taking the helm of the dfc at a critical juncture. I look forward to working with you to improve it. Mr. brodie, as the investor to finland come you'll step into a roll near to nato's border with russia. Inland contributes a good amount of their gdp to defense spending and has a robust defense industrial base.
▶ 0:24:36We appreciate these contributions to our collective defense, but, like all of us, finland could do more. After all, a strategic location means that for its own security finland must play a role in protecting the baltic sea from russian-hybrid operations and risks from its shadow fleet, and securing arctic from chinese and russian expansion. Mr.
▶ 0:24:59Brodie, I look forward to hearing more about how you plan to work with finland to counter russian aggression and advance american security interests. I think you will find finland is a willing partner. A lot of us have pressed hard to get them into nato. They are in now. They have a long relationship with russia. You will find it quite interesting dealing with them. These are challenging and exciting times in foreign policy and without a doubt the work that you do will be mentioned in history books for decades.
▶ 0:25:28We look forward to looking at what you do to make america more secure and prosperous. Thank you to you and your families for being willing to serve and being with us. I will turn it to the distinguished ranking member.
▶ 0:25:39Sen. Shaheen: Thank you,. I would add to your comment about the speed with which we are trying to get our ambassadorial nominees on the ground that in addition to the president and your leadership, the democratic minority has been very important in helping move those nominees in a way that is important to the country.
▶ 0:26:02Sen. Shaheen: I hope that's a model that will continue regardless of who the next president is, because it is in america's interest to have our nominees on the ground. Welcome to each of you. Congratulations on your nomination. Welcome to your families and friends who are here to support you.
▶ 0:26:22Sen. Shaheen: From leading diplomatic missions in europe to guiding policy in south asia, to promoting economic growth at the state department or the development finance corporation, one of your most important responsibilities if you are confirmed will be protecting the united states from our adversaries. Mr. helberg, you have been nominated to be under secretary of state for economic growth, energy, and the environment. In the past, you have been outspoken in supporting tougher U.S.
▶ 0:26:48Sen. Shaheen: Action towards the chinese, towards their use of technology and foreign influence. Whether it is a space technology or renewable energy or artificial intelligence, beijing is working to outcompete the united states. But your ethics agreement, which is designed to safeguard taxpayer dollars and our national security, lists these sectors as potential conflicts of interest.
▶ 0:27:16Sen. Shaheen: I will be interested in how you will work to counter china's influence if you have to recuse yourself or avoid participating in meetings on these topics. Mr. black, you have been nominated to lead the development finance corporation. While we don't yet know the full scope of dfc's responsibilities, you've written about prioritizing private equity investments, something that we all agree needs to change with dfc. Until recently, the U.S.
▶ 0:27:43Sen. Shaheen: Agency for international development and millennium challenge corporation were laying the groundwork for private investment by building roads, installing electricity, delivering freshwater. Without these development projects, it will be harder for the dfc to attract the private investments necessary to counter china' is built and wrote initiative. If confirmed, how will you consider countering adversaries remains one of the dfc's priorities?
▶ 0:28:10Sen. Shaheen: Given the dfc leadership of the U.S.-ukraine reinvestment fund, how we look out for both the united states and ukrainian interests in the critical minerals deal. Mr. kapur, you have been nominated to be the assistant secretary for south asian affairs.
▶ 0:28:28Sen. Shaheen: Not only does this post encompass a worrying military exchange between india and pakistan, two states with nuclear weapons, but includes afghanistan, a country that I don't believe we should simply wash our hands of now that the taliban is in charge. That is true for the afghans who stood with our servicemembers and diplomats and answered the call to promote women's rights and minority rights and democracy in afghanistan.
▶ 0:29:00Sen. Shaheen: What will you do to make sure we don't abandon refugees, including those safely settled in the united states? Mr. brodie, Mr. puzder, you've been nominated to serve in posts representing the U.S. in finland and the eu. I would like to learn how you will bring an end to the senseless tariff brawl. I hope you will speak to how you will reassure our european allies facing the threat of russian aggression.
▶ 0:29:37Sen. Shaheen: It appears that president trump has caught on to putin's delaying tactics, which I believe is a step in the right direction, but we need to find ways to keep the pressure on vladimir putin and russia. Like the grand of blumenthal sanctions bill that has overwhelming support in the senate from over 80 senate sponsors. How will you use your post to give president trump and the united states more leverage against russia? Finally, Mr. puzder, in addition to the substantive questions, I want to address concerns about your fitness for this position.
▶ 0:30:05Sen. Shaheen: You were nominated to serve as secretary of labor in the first trump administration, but republican members of the senate refused to confirm you. The facts have not changed in the last eight years, but this committee needs to conduct its own due diligence on your suitability for this role and senate confirmation. Frankly, some of the past statements and allegations against you are deeply concerning. I look forward to hearing from you and all of our nominees today.
▶ 0:30:33Sen. Shaheen: Thank you all and thank you for being willing to continue to serve this country.
▶ 0:30:37Chair Risch: Thank you, senator shaheen. How this will work as we have a few introductions that senators want to make. Then we will hear each of you for five minutes. If it is longer than that you can put other statements in the record if you wish. Then we will open it to a round of five-minute questions back and forth.
▶ 0:31:00Chair Risch: Senator cotton is a very busy senator and has graced us with his presence this morning to make an introduction. The floor is yours.
▶ 0:31:10Sen. Cotton: Thank you chairman risch, senator shaheen, I want to congratulate all of our nominees, many of whom I know personally, and thank them for their willingness to serve the country. I am specifically here today to introduce a true american, first patriot, Mr. benjamin black, who is joined today by his wife charlotte. I understand the two of you are celebrating your wedding anniversary tomorrow. First, congratulations.
▶ 0:31:38Sen. Cotton: Second, I hope you have something better in mind than this hearing for your anniversary. I want to thank them for answering the call to serve our nation as the chief executive officer of the united states international development finance corporation. I'm here to offer my full support for Mr. black's nomination to serve in this position created during the first trump administration.
▶ 0:32:00Sen. Cotton: The corporation facilitates overseas and development projects to better compete with china' is global of the structure pursuits. The position requires a person with expertise in strategic investment opportunities, an understanding of america's foreign policy priorities, and tested leadership capabilities. For these reasons, I'm confident president trump made the right choice in selecting Mr. black for the job. Mr. black has spent more than 15 years working in credit and equity investing.
▶ 0:32:30Sen. Cotton: He is the founder and managing partner of fortin bross enterprises, a multi-strategy credit investment firm. He served as the senior portfolio manager and head of credit at michael milken's knowledge universe holdings as principal and cofounder of ocd partners, and as associate at apollo global management. Additionally Mr.
▶ 0:32:50Sen. Cotton: Black is on the board of -- and the naval war college purity as a member of the global advisory council of the woodrow wilson center and a member of the advisory board at harvard's center for public leadership. Along with his family, Mr. black provide support for veterans and active-duty members of our armed forces attending harvard's jfk school of government, a harvard business school, harvard law school, where Mr.
▶ 0:33:17Sen. Cotton: Black received not only an mba but a jd in addition to the ba that he received from the university of pennsylvania in history and masters of law that he has from new york university. He has as we say in arkansas, more degrees than a thermometer. I'm pleased to support his nomination and I urge all of my colleagues on the committee and senate to join me in doing the same.
▶ 0:33:48Sen. Cotton: Senator reed, senator shaheen, thank you for allowing me.
▶ 0:33:52Chair Risch: Thank you very much. For those remarks. I know that you have other stuff to do, so you are welcome to stay, but I understand you have other fish to fry, so to speak. Senator cruz -- actually, senator scott was here first.
▶ 0:34:08Sen. Scott: It is my honor to introduce my friend jacob helberg. President trump's nominee to service the under secretary of state for economic growth, energy, and the environment. I've had the privilege of knowing and collaborating with Mr. helberg for several years now. He is smart, hard-working, with a wide breadth of expertise. When I was worried about the threats of growing communist china he joined me for a roundtable discussion and we have continued to work together on this and several issues.
▶ 0:34:36Sen. Scott: It is unsurprising to me that when president trump was selecting someone to serve in this important role Mr. helberg stood out in the depth of his experience and his willingness to serve. Jacob is someone who deeply loves this country.
▶ 0:35:04Sen. Scott: As the grandchild of two holocaust survivors, he personally understands the reality of global threats and the unshakable value of the american dream. He is a patriot. He recognizes that america's strength begins at home with a strong economy, abundant energy, and freedom to innovate. He rings people together to solve hard problems. He has been the leading voice on the threat of communist china to the american and global economies and our national security. He has worked at the forefront of america's response to authoritarianism, supply chain insecurity, and energy dependency. He has worked in the private and public sectors as someone who ran businesses before embarking on government service. I can confirm Mr. helberg embodies the qualities of both.
▶ 0:35:31Sen. Scott: At a time when the line between economics and the national security are increasingly intertwined, jacob's knowledge from semiconductors to critical minerals and communist china is indispensable. What stands out more so the depth of his character. I have every confidence he will serve with honor and distinction and be a strong asset to the team. Assemble to produce strength through peace. He has my support and I urge my colleagues to advance his nomination quickly.
▶ 0:36:02Chair Risch: We appreciate that. Senator cruz.
▶ 0:36:06Sen. Cruz: Let me say to each of the nominees, I have multiple friends here today, welcome and congratulations. I'm confident you will all do a terrific job. Mr. black, you have too many degrees from harvard. You may have lost my vote based on that. It is my honor now to introduce today howard brodie. Howard is a yale law school graduate, which is not any better, with extensive experience in international business, major financial transactions and negotiations.
▶ 0:36:36Sen. Cruz: Prior to his time at yale he graduated from duke with a degree in political science where he contributed to the duke journal of politics. His academic pursuits led him to study at oxford university and a leader serve as a visiting scholar at st. Petersburg law school in russia. For over 30 years come howard has supported international corporations in navigating complex negotiations across europe, north america, and asia. As an attorney he provided legal counsel to companies.
▶ 0:37:08Sen. Cruz: Howard currently serves as the copresident and general counsel for brodie generational capital partners were he leads investment in legal strategy. Howard's deep commitment to education extends to his philanthropy where he has donated to yale law school, where he also founded the howard wexler brodie 93 school of jewish and israeli law and at oxford university and the university of pennsylvania.
▶ 0:37:36Sen. Cruz: His extensive experience in international negotiations, his time teaching and learning overseas, his ability to lead and manage cross-cultural environments make him a well-qualified candidate to represent the united states overseas. What makes howard particularly qualified to be the U.S. ambassador to finland is his love for his country and for finland, his devotion to putting the united states first, it is commitment to working with the president foster international relations.
▶ 0:38:04Sen. Cruz: He is the right candidate to serve as the investor to finland and I urge my colleagues to support his nomination.
▶ 0:38:09Chair Risch: Thank you, senator cruz. I know that senator hagerty has introductions. We'll give him the floor when he gets here. In the meantime, let's start with the nominees' statements. We will start with you, Mr. helberg. You have the floor for five minutes, give or take.
▶ 0:38:27Mr. Helberg: Chairman risch, ranking member shaheen, distinguished members of this committee, it is the honor of a lifetime to appear before U.S. president trump's nominee for under secretary of state for economic growth, energy, and the environment. I want to express my deep gratitude to president trump and my friend, secretary rubio, for their trust and confidence.
▶ 0:38:50Mr. Helberg: If confirmed, I will work every minute of every day to advance president trump's economic security agenda on behalf of the country we all love. I appreciate the time that the members and staff of this committee have spent with me. If confirmed, I look forward to working closely with you. On a personal note, I would like to thank my husband keith, our two beautiful children, my mother, my stepfather, and my late father for their unending years of support.
▶ 0:39:20Mr. Helberg: My grandfather was liberated by the U.S. military from auschwitz and given a second chance at life my grandparents were 32 years old when they moved here. They had no education and spoke no english but had an instinct for survival and a dream. I imagine my grandfather dispossessed of his family in the holocaust, coming home tired to the bone from his day job at a jeep factory and night shift as a hospital janitor.
▶ 0:39:47Mr. Helberg: I imagine telling him that his adoptive country would someday give his grandson the opportunity to appear before the united states senate as a nominee for under secretary of state. If that is not the american dream, I don't know what is. I share the top policy priority of winning our strategic competition with china, something that president trump, you will, Mr. chairman, and many on this committee have long championed.
▶ 0:40:13Mr. Helberg: As an author, I have thought deeply about this you and I believe the relationship between washington and silicon valley will directly shape the strength of america's military and the size of its economy. I launched the superhighway for bipartisan bicoastal partnership to solve our hardest national security challenges. It has been an honor to work with many of you on a bipartisan basis through the hill and valley forum and my work on the review commission.
▶ 0:40:42Mr. Helberg: My experiences in the tech industry have prepared me to deploy american industry as the diplomatic instrument to make america safer, stronger, and more prosperous. They instilled in me an indelible belief that economic security is national security. An idea that president trump introduced during his first term and one that will be the northstar if confirmed.
▶ 0:41:11Mr. Helberg: The world economy is on the foothills of a new, great divergence in the geography of global wealth. On a scale unseen since the first industrial revolution. Nations are harnessing the power of new technologies like artificial intelligence are economically leaping ahead of others. The implications for america's safety and strength are significant. History teaches us that periods of rapid technological change can lead to major shifts in the global balance of power.
▶ 0:41:40Mr. Helberg: The trump administration is committed to making america the birthplace and leader of the fourth industrial revolution. If confirmed, the state department's family will do its part to ensure that america's technological leadership is built on strong foundations. First and foremost, decades of globalization have left america's economy precariously reliant upon a technology supply chain exposed to geopolitical adversaries and vulnerable to disruptions.
▶ 0:42:10Mr. Helberg: These dependencies create unacceptable risk to U.S. economic security and long-term growth. If confirmed, I will work closely with the U.S. international development finance corporation and other departments to build the rails of a secure technology supply chain anchored around flagship projects.
▶ 0:42:30Mr. Helberg: This will be the state department's overarching framework to answer president trump's call and guide state department policy on economic state craft promoting america's economic security and growth in american technological dominance abroad. Second, if confirmed, I will work to position the united states as the industrial engine of the department's global supply chain strategy.
▶ 0:42:53Mr. Helberg: I will do this by working with other departments, including the departments of commerce and treasury, to guide and accelerate the deployment of foreign investment commitments in infrastructure that will jolt american productivity and competitiveness.
▶ 0:43:08Mr. Helberg: Examples include advanced manufacturing, mineral extraction processing -- like the lithium loop in nevada, and large energy infrastructure projects like the alaska lng project. Third, if confirmed, I will implement president trump's america first trade and investment policies and work with the U.S.
▶ 0:43:31Mr. Helberg: Trade representative and other departments to expand market access for american companies abroad and promote exports for american energy, particularly oil, liquefied natural gas, and nuclear energy. I will also advance a level playing field for U.S. companies and address unfair and predatory trade practices, particularly by china's state-backed global champions across third markets and the global south.
▶ 0:43:59Mr. Helberg: Thank you for the opportunity to appear before this distinguished committee. I welcome your questions. If confirmed, I look forward to working with you and your staff to deliver a foreign policy that protects the interests of our nation and its people.
▶ 0:44:15Mr. Puzder: Thank you for the opportunity to appear before U.S. president trump's nominee to be the united states ambassador to the european union. I'm immensely honored by the confidence president trump and secretary rubio have placed in me. I'm also grateful for the support of my wife of nearly 38 years, deanna. She is here with me today and I wouldn't be here without her support.
▶ 0:44:41Mr. Puzder: I'm grateful for the love and support of my six children, three of whom are here today, vanessa, christian, and john. And my six grandchildren, the youngest of which is serving on the aircraft carrier nimitz. Today, I remember my parents who encouraged me to dream big and that I could be whatever I wanted to be if I put in the work. I grew up in a working-class home in cleveland, ohio and became the first member of my family to graduate from college.
▶ 0:45:10Mr. Puzder: My parents didn't have the money to help with my education but I thankfully grew up in a country that provided a path to work my way through college and law school while supporting my young family. My country has given me tremendous opportunities, and if confirmed I will give america my best. I would employ the principles that made me successful as an attorney and business to make our nation safer, stronger, more prosperous for the good of the american people. I consider it a special honor that president trump nomine -- nominated me.
▶ 0:45:45Mr. Puzder: As a secretary rubio said, america first does not mean america only. Our U.S. relationship is consequential for american security and prosperity. In this respect their three lines I would like to touch on critical to making the united states safer, stronger, and more prosperous. First, president trump has said that trade with the eu must be fair and free to promote american prosperity.
▶ 0:46:10Mr. Puzder: If confirmed, I will work to ensure transatlantic commerce serves the economic interest of the american people. The united states should be the eu's economic partner of choice in every sector. The U.S.-eu trade sector holds potential but as trump has made clear this potential can only be unleashed if the eu market is more open to buying american goods and services. If confirmed I will work to expand U.S.
▶ 0:46:36Mr. Puzder: Exports from agricultural products to energy, automobiles, and in defense equipment come with the latter being essential for expanded defense capacity. America first agenda strengthening america's global leadership, and if confirmed I will commit to protecting america's economic leadership in europe. Second, I will advocate for an eu market where american companies are free to thrive without excessive regulation, redtape, and taxes.
▶ 0:47:01Mr. Puzder: For too long american companies have been unfairly targeted by eu regulators and penalize for their success. Particularly american tech companies, which are the envy of the world, leading the way on innovation. When american companies are allowed to grow and innovate, they thrive and people around the globe prosper. Third, global peace is essential for american prosperity. Commerce prospers where peace abounds.
▶ 0:47:28Mr. Puzder: This is why president trump and secretary rubio are urging the eu to invest more in defensive europe must be up to the task of defending itself. If confirmed, I will advocate for a europe that assumes a greater role in its defense, fostering peace and international security. I'm proof that the american dream is alive and well. My path to success was made possible only by the support of my family and free-market capitalism that our great country offers.
▶ 0:47:54Mr. Puzder: Free markets are the proven path to prosperity have lifted millions out of extreme poverty over the past 200 years, including my family which has deep roots across the european continent.during my time as the ceo of cke restaurants, a position that my slovakian grandparents would never have imagined I could achieve, I saw firsthand the great potential of the american workforce and health functioning free markets create jobs and opportunities while increasing wages for working-class americans.
▶ 0:48:24Mr. Puzder: American further growth as opportunities if our transatlantic relationships advance america's interests. Thanks to president trump's america first foreign policy come the united states is positioned to enjoy an economic resurgence. Fair and robust transatlantic trade bolstered by peace in europe will advance, preserve, and strengthen american prosperity and security. If confirmed, I will bring the same determination that I brought to my business career to ensuring that our transatlantic relationship works for the american people.
▶ 0:48:52Mr. Puzder: I have heard very positive things about the staff in brussels, and if confirmed I look forward to working with every one of them. Thank you for the opportunity to share my american story with this esteemed committee. I look forward to taking your questions.
▶ 0:49:07Chair Risch: Mr. puzder, you will find that position very interesting. Senator hagerty, you wanted to say a couple of things?
▶ 0:49:17Sen. Hagerty: Thank you for the opportunity to do that. I wanted to mention specifically two of the candidates. I might make a remark or two about another. Andrew puzder and jacob helberg are longtime friends of mine and people who I think are eminently qualified for the positions that they are being nominated or by president trump. Mr. posner of course has been nominated by president trump to be our investor to the european union.
▶ 0:49:46Sen. Hagerty: I would first like to speak to his qualifications. Andy is a patriot who is highly accomplished career in business, law, and public policy make him an excellent candidate for this ambassadorial role. He is widely recognized for his leadership as the former ceo of cke restaurants, the parent company of hardee's. He led the company through a turnaround growing their role as a major player in the global fast food industry.
▶ 0:50:16Sen. Hagerty: Under his leadership expanded across 48 states and 40 foreign countries. He had more than 115,000 employees worldwide. His experience navigating international markets gives him practical hands-on understanding of commerce that will be an asset of particular relevance to a diplomatic post in brussels that is so focused on transatlantic economic relations.
▶ 0:50:45Sen. Hagerty: His qualifications extend beyond the boardroom. Andy is a seasoned attorney, published author, deeply respected voice in national debates over public policy. It has been a vocal advocate for progrowth economic policies, regulatory reform, and efforts to strengthen american competitiveness in global markets, is central to the ongoing relationship between the united states and european union. As the nominee to be the U.S.
▶ 0:51:09Sen. Hagerty: Ambassador to the eu, and he brings not only decades of executive leadership, but a clear understanding of how economic policy affects real people, businesses, and international relationships. At a time when transatlantic cooperation faces opportunities and challenges, from trade and technology to security, and he's experience and know-how will be critical to furthering ties between the united states and europe and president trump's agenda.
▶ 0:51:37Sen. Hagerty: Jacob helberg is a nominee whose vision, intellect, and tenacity make him uniquely qualified for the role of undersecretary for economic growth, energy, and environment. His nomination comes at a pivotal moment. From economic coercion to critical mineral chokepoints to the weaponization of advanced technologies, the challenges posed by adversaries to our nation are urgent and complex. To meet these challenges, we need fierce advocates for american competitiveness. Advocates like jacob in the state department.
▶ 0:52:11Sen. Hagerty: Over the years I have known jacob and found that he is a true visionary with a rare ability to take big, strategic ideas and turn them into meaningful action. I remember when jacob came to my office shortly after being nominated. I commented that his nomination was likely unwelcome news in beijing for good reason. Jakob's ideas and publications have helped reframe how policymakers view china's predatory trade practices and the strategic dimensions of emerging technologies in ai, space, and robotics.
▶ 0:52:40Sen. Hagerty: He is a public servant who has worked as commissioner on the U.S., china, economic security review commission driven U.S. policy towards a safer and more prosperous future. His hill and valley forum have become a primitive venue in bringing policymakers and innovators together to discuss important issues.
▶ 0:53:02Sen. Hagerty: The same issues that jacob will tackle if he is confirmed as undersecretary. At a time when author terry in regimes like china exploit economic tools and emerging technologies to undermine our national interests, jacob's nomination reflects the need for strategic, tech-savvy leadership of U.S.
▶ 0:53:20Sen. Hagerty: Foreign policy here jacob will bring to the role of undersecretary not only a profound understanding of the global economy, but a powerful grasp of the digital battlegrounds where this century's great power competition is playing out before our eyes. I've no doubt that jacob will serve with integrity, focus, and a determination to strengthen america's hand on the world stage. Mr.
▶ 0:53:48Sen. Hagerty: Chairman, thank you for the opportunity to introduce my friends andy and jacob, and I would like to extend my regards to ben black who has been nominated to lead the U.S. development and finance corporation which will be instrumental in advancing our nation's global economic interests. We need these qualified leaders on the frontlines of american diplomacy, and I want to urge my colleagues to support their nominations. If it would be ok with you, Mr. chairman, I would like to enter my remarks for the record.
▶ 0:54:16Chair Risch: It will be entered. Thank you, senator hagerty. Mr. kapur.
▶ 0:54:24Dr. Kapur: Thank you. Distinguish members of the committee, I am honored to join U.S. president trumps nominee for the position of assistant secretary for south and central asian affairs. I appreciate the trust and confidence that president trump has placed in me by nominating me for this role. I am grateful for the unwavering support of my family and friends, a number of them sit behind me today, including my wife and three of my five children.others I know join us in spirit, and I thank them all.
▶ 0:54:54Dr. Kapur: I can't help but feel I have come full circle. I was born in new delhi to an indian father and american mother. Although I visited india often during my childhood, I grew up in the united states as a thoroughly american kid, never imagining that my career would one day return me to the place where I was born. I became interested in studying the region in graduate school and was soon working on it as a scholar and government official.
▶ 0:55:20Dr. Kapur: In my scholarly capacity I wrote books and articles about the region and its security environment and U.S. policy. In my official capacity, I taught military officers about the region, led U.S.-india strategic engagement projects, and covered south and central asia in the state department's policy planning staff. If confirmed, I will lead the state department bureau responsible for this critical part of the world.
▶ 0:55:49Dr. Kapur: So come appearing before you today makes me feel like I've have come back to my beginning. United states relationships with the countries in south and central asia hold great promise. With effective policy it can flourish and enable us to achieve secretary rubio's goal of making the united states safer, stronger, and more prosperous. Let me briefly speak about each of these relationships and opportunities.
▶ 0:56:12Dr. Kapur: India, the united states and india share a host of common interests, insuring a free and open indo pacific region -- not dominated by china. Expanding bilateral trade, building economic relationships so it is more symmetrical and profitable, facilitating technology sharing and innovation and ensuring access to the energy necessary to fuel our economies, and if confirmed I will work to further advance U.S.-india relations and put our partnership on course to realize
▶ 0:56:42Dr. Kapur: Its tremendous promise. On pakistan, if confirmed, I will pursue security cooperation where it is beneficial to U.S. interests while seeking opportunities for bilateral collaboration in trade and investment. South asia recently avoid eighted a -- avoided a costly conflict. If confirmed, I will continue to promote long-standing U.S. security interests with U.S. and pakistan through the pursuit of peace and stability and the fight against terrorism.
▶ 0:57:14Dr. Kapur: Sri lanka, bungalow --, nepal, the maldives are important for stability in the region. Sri lanka and the maldives are along the major oceanic trade routes and bangladesh posts the largest economy in the region after india. If confirmed I'll advocate for enhanced U.S. corporation to bolster security, counterbalance china's influence, and expand trade.
▶ 0:57:44Dr. Kapur: In afghanistan, I will support president trump and secretary rubio in bringing home wrongly detained americans. I will work to make sure that the country never again becomes a springboard for terrorism threatening the homeland. Finally, in central asia come the united states seeks to advance the sovereignty and -- turkmenistan, and uzbekistan.
▶ 0:58:04Dr. Kapur: If confirmed, I will leverage the c5 plus one process as well as bilateral formats and pursue cooperation in areas including energy, critical minerals, counterterrorism, the fight against transnational crime, and the development of physical and digital infrastructure. The opportunities in south and central asia that I have outlined whole tremendous promise and if confirmed I will pursue them energetically to realize their potential, to enhance the safety, strength, and prosperity of the american people.
▶ 0:58:32Dr. Kapur: I think the chairman, ranking member, and committee for your time at the opportunity to appear before you and I look forward to your questions.
▶ 0:58:39Chair Risch: Mr. brodie.
▶ 0:58:43Mr. Brodie: Chairman risch, ranking member shaheen, distinguished members of the committee, thank you for the opportunity to appear before you today. I am honored and humbled by president trumps nomination to serve as united states ambassador to the republic of finland. I would like to thank the president and secretary of state for their confidence and for entrusting me with advancing the three fundamental pillars of american foreign policy. Strength, security, and prosperity.
▶ 0:59:12Mr. Brodie: I also want to specify my gratitude to this committee for its vital role in shaping and overseeing our foreign policy. I would like to thank senator cruz for his generous introduction and support. It is often said that serving overseas is a family endeavor.
▶ 0:59:32Mr. Brodie: In that spirit, I want to thank my wife, a recent immigrant from mexico and soon to be proud american, for her love and excitement about moving our family to finland if I'm confirmed. I am also joined today by my parents, whose guidance and unwavering support have shaped my values. My father is a true example of the american dream.
▶ 0:59:56Mr. Brodie: After losing his own father at a young age, he helped care for his family alongside his brother , founded a small business in his basement, they grew into a successful, multinational specialty chemical and life sciences company. My mother, the keeper of our family memories, recently reminded me that I once dreamed of a career in diplomacy. While my path first let me into international business law, this moment rings those early aspirations full circle.
▶ 1:00:24Mr. Brodie: I was born and raised in pennsylvania and attended yale law school. Over the past three decades I worked at the intersection of law, global investment, and business. Most recently as the copresident and general counsel of my family office. I negotiated deals worldwide, studied at oxford, and I've lived and studied in russia from 1990-1992.
▶ 1:00:47Mr. Brodie: During my time in russia, I witnessed pivotal event spirit the soviet crackdown in the baltics, the august 1990 one to attempt, and ultimately the collapse of the soviet union. These experiences shaped my understanding of the region and the resiliency of nations on rush's periphery. Few understand those challenges better than finland, sharing an 830 mile land border with russia.
▶ 1:01:11Mr. Brodie: It's recent entry to nato reinforces defense and finland's role as a capable and reliable partner. Our bilateral defense cooperation agreement enhances readiness and ensures strategic access in the region. Finland's support for ukraine and investments in defense demonstrate a strong commitment to transatlantic security.
▶ 1:01:35Mr. Brodie: As the united states advances its arctic strategy and maintains the freedom of navigation in the arctic, finland's geographic position and deep cold-weather expertise make it an indispensable partner. As part of the icebreaker collaboration effort our nations are engaged in workforce development and maritime innovation to revitalize U.S. shipbuilding and support american jobs.
▶ 1:02:02Mr. Brodie: Finland's leadership in quantum computing and 5 g and 6 g are equally vital to countering strategic threats from china. Finland plays a critical role in our economic relationship.it is one of the fastest-growing sources of foreign-direct investment in the united states. Firms to support tens of thousands of american jobs and finland is a key partner in securing the critical minerals needed for defense and high-tech manufacturing, bolstering the resilience of U.S. supply chains.
▶ 1:02:33Mr. Brodie: All of this ties back to my four priorities if confirmed. Protecting U.S. citizens in finland as my highest priority, keeping our bilateral security ties and nato cooperation, strengthening arctic and maritime collaboration, and expanding technological and economic ties with finland with the goal of reducing our trade debt.
▶ 1:02:54Mr. Brodie: The finished national epic tells the forging of a medical object of prosperity created through energy, effort, and resolve. In one passage it reads, the smith forged it with skill. On one size there is a corn mill, a salt mill, a money mill on the third, and then one to eat, one to sell, one to store at home.
▶ 1:03:22Mr. Brodie: It is mythical but an apt metaphor for the values that we hold in common. The grain is self-sufficiency, the belief that a nation should sustain itself through its own labor. Salt trade and being fair and beneficial. Money is national strength, prosperity that enables us to invest in our future. I'm eager to join the deeply experienced and capable team in helsinki.
▶ 1:03:51Mr. Brodie: I will work to support their mission, morale, and safety every day. Thank you for your consideration. I look forward to your questions.if confirmed , to serving our country with honor and integrity in helsinki.
▶ 1:04:05Chair Risch: Thank you very much. Mr. black.
▶ 1:04:10Mr. Black: Chairman risch, ranking member shaheen, members of the committee, thank you for having me here today and for the time that you and your staffs spent with me in anticipation of the hearing. Congratulations to my fellow panelists. Senator cotton, thank you for your incredibly gracious introduction and friendship over many years. Senator hagerty, thank you very much for your kind words and endorsement.
▶ 1:04:38Mr. Black: This committee's insights and judgments are critical to serving all americans' interest by executing foreign policy objectives through strategic and economic development investing. I am honored to be nominated by president trump to be the chief executive officer of the united states international development finance corporation, and am forever grateful for his truck and faith in me. My wife -- for his trust and faith in me. My wife charlotte is here today.
▶ 1:05:08Mr. Black: I want to thank her for her love, support, and encouragement . I am to make her and -- I am I am to make her and -- I aim to make current our young son proud every day. Charlotte has incredible patience with civic duty and political process. My parents, leon and deborah, are here today amongst other family members, and I want to thank them from the bottom of my heart.
▶ 1:05:37Mr. Black: They are wonderful parents who have always instilled in my siblings and I the importance of family. Finally, I would be remiss as an uncle if I did not wish a very happy birthday to my twin nephews, nate and charlie. Throughout this confirmation process I have relied on the input, guidance, and support of the current acting and former leadership of the dfc and its predecessor.
▶ 1:06:02Mr. Black: I am deeply grateful to scott nathan, adam, ray, and I appreciate their support for my nomination and the agency. I also want to thank the fantastic group of hard-working professionals at the dfc, its interagency partners, and the leadership at the departments of state, commerce, and treasury, with whom I've met with in preparation of this confirmation process.
▶ 1:06:33Mr. Black: This is an exciting and important time for the dfc. I believe that the agency is positioned to achieve great things on behalf of the american people. The dfc was created with bipartisan support and a consensus that it could be an effective tool of U.S. foreign policy. The dfc can be a catalyst for bringing private capital to worthy projects that serve the united states' strategic foreign-policy objectives.
▶ 1:07:01Mr. Black: It can promote economic development in allied and potential ally nations. The creation of the dfc through the build act 2018 codified the dfc's dual mandate of both economic development and strategic foreign-policy priorities, providing enhanced investing toolkit, and expanded the scope of investment targets.
▶ 1:07:26Mr. Black: Implicitly and explicitly, congress has challenged the dfc to make a greater impact and serve as a substantive economic counterweight to china and its belt and road initiative and other strategic competitors. From the revolutionary war to the cold war, the united states and the american people always rise to a challenge. If confirmed, I aim to help the dfc rise to this challenge of china and the belt and road initiative.
▶ 1:07:59Mr. Black: My consultations with members of this committee and staff have been very valuable and informative. If confirmed I look over to working with congress to shape and continue to grow dfc's capabilities and capacity to properly fulfill the responsibilities it has been given or the challenges facing our nation and world can seem overwhelming, but the opportunity for the dfc to be part of meaningful solutions that move the needle is enormous .
▶ 1:08:28Mr. Black: If confirmed I will draw on my nearly two decades of investment, managerial, legal experience to help the dfc pursue this mission. I will dedicate myself to making sure that the agency has the right strategy, resources, structure, and processes to efficiently and effectively source, analyze, and underwrite investment opportunities here just as importantly, after deployment, to properly and continually measure portfolio investments.
▶ 1:08:58Mr. Black: If confirmed, I will do my utmost to integrate and partner with private sector capital providers and investors to effectively scale deployment, increase opportunities for american companies and workers, and help the dfc become a best in class financial institution and resource for the united states. There is one final person I would like to thank, my grandfather.
▶ 1:09:21Mr. Black: He served as a technical sergeant and rear gunner in world war ii, and afterwards attended college and law school on the g.I. Bill. His service and patriotism inspired my lifelong dream to serve my country and pursue public service. He was and always will be my hero.
▶ 1:09:42Mr. Black: Although he passed away 25 years ago, his lessons, moral character, and ethics remain deeply ingrained on my consciousness. I am deeply proud to be an american, and it would be the honor of a lifetime to serve my fellow citizens and further the interests of the united states of america. Thank you for considering my nomination. I look forward to your questions.
▶ 1:10:04Chair Risch: We are going to do a round of five-minute questions from members who are here. I will start with myself. Mr. brodie, finland is a great example of what can happen on this planet.
▶ 1:10:20Chair Risch: About three weeks before the invasion of ukraine by russia, my wife and I had the honor of having dinner with the finnish ambassador at his home and I had been a longtime advocate of becoming members of nato. We had robust discussions and he underscored to me that 70% of finnish people really wanting to stay neutral.
▶ 1:10:47Chair Risch: They had a national policy of neutrality, which they said worked out well for them. Interestingly even though they are neutral there are very few countries I think that are as prepared as they are to take an invasion. Because it is an all-in. We had a nice discussion.
▶ 1:11:12Chair Risch: About three weeks later, which was about a week later, it was after the invasion, I said, how is that neutrality thing working? He said, we are all in. Within a short time they changed dramatically. I had the good fortune of being able to visit them last year. They're a great partner.
▶ 1:11:38Chair Risch: As quickly as they came on, we struggled with one of our so-called allies in nato, two of them to get them in, but we got the job done and I think you will find them iall-n, not particularly a heavy lift to convince them to look west. Mr.
▶ 1:12:04Chair Risch: Pozner, at the eu, what you will find our europeans are very nervous, which I'm sure you already know. We spent a lot of time trying to convince them that we are a reliable partner and are all in. We have had an argument over defense spending. As you know all of us agreed, a unanimous agreement.
▶ 1:12:36Chair Risch: Until president trump took office only three countries paid that 3%. President trump has a way of speaking directly. He spoke directly, the europeans heard him, and they were offended a bit because his sensibilities are not at the same level that they are czar, but they started to write checks and now we are into the 20's of the 32 members of nato.
▶ 1:12:59Chair Risch: I hope that you will be able to talk with them about defense spending and convince them that it has nothing to do with our relationship as much as it does then meeting their obligations. Your thoughts on that?
▶ 1:13:11Mr. Puzder: I think it is essential. Thank you for that question. I agree with you 100%. I think that it is essential that the europeans be able to defend the european continent. I was reading the secretary general of nato's comments about the need for nato to step up and be able to defend itself with american help. They talked about america not withdrawing troops.
▶ 1:13:40Mr. Puzder: Nato members needing to step up to a 5% commitment, which many have, including finland. Even canada agreed that it was going to meet its commitment to do 2% five years sooner than it previously committed to do.
▶ 1:13:58Mr. Puzder: As a citizen I am not read into the intricacies of the european union with respect to defense spending, but I think that there is a realization in nato that they need to step it up here that the united states has commitments in the pacific that will be drawing out our resources.
▶ 1:14:19Mr. Puzder: I was reading that one member of parliament stated that -- a country with 450 million people should not be depending on a country with three hundred 40 million people to defend it against a country with 140 million people that can't defeat a country with 38 million people. I think that there is a realization that they need to step it up.
▶ 1:14:39Mr. Puzder: What I've heard in speaking with people is that there is a hope that someone who actually knows the president and can speak with him comes over and gives them a direct line. I think that that is one of the advantages I will have being in the european union, and I think that will give me some credibility.
▶ 1:14:58Chair Risch: Although you say that you're not read in on the spending, you will be read in pretty quickly. It is a matter that is discussed regularly every time that we meet with them. It can be a robust discussion, but they are coming around. The momentum is the way that you just described. At first they were quite reluctant.
▶ 1:15:25Chair Risch: We did get a little help from putin, I will admit, but now they understand how this has to go.
▶ 1:15:31Sen. Shaheen: Thank you, Mr. I want to start with you, Mr. helberg, because I noticed in your opening comments you talked about the importance of supporting fossil fuels and lng, but you didn't mention clean energy jobs, which I found interesting, because in my state of new hampshire the clean energy jobs are growing faster than the fossil fuel jobs, since we don't have any fossil fuel in the state.
▶ 1:16:02Sen. Shaheen: While I don't think we can move immediately to alternative sources of I do think it is an important part of our energy mix and continued over reliance on fossil fuels is not in the long-term interest of the country and certainly china has recognized that as they are looking at the energy mix in the future.
▶ 1:16:27Sen. Shaheen: I want to ask you about the reorganization at the state department because under the the organization plan, at least three offices including global health security and diplomacy, cyberspace and digital policy will report to you. Can you talk about how you can ensure that the reorganization is effective and maintains the state department expertise in each of those areas as part of the bureau?
▶ 1:16:55Mr. Helberg: Thank you, senator. As a private citizen I'm not read into the four programmatic details of where budgets have been cut and personnel. With that being said, the secretary made clear in his senate testimony recently that the goal of the current reorganization that is in the works is to bring the state department's mission closer to its original roots, to bring the state department back to the
▶ 1:17:27Mr. Helberg: Center of american foreign policy making. Very circulations of bureaucrat -- various accumulations of bureaucratic processes has caused the state department to become marginalized in the foreign policy-making process over the years --
▶ 1:17:42Sen. Shaheen: I'm not asking you to comment on specific staffing issues. I'm asking you to tell me how you think about the bureau and how you would see absorbing those other areas that are not directly related to what has been the long-term mission of the bureau.
▶ 1:17:59Mr. Helberg: So my understanding is that the northstar over the e-bureau moving forward will be economic security and economic statecraft and energy and technology will be part of that. It is hard for me to, exactly on the different moving parts of the bureau simply because I have not seen definitive org charts for what the new shape of the reorg looks like.
▶ 1:18:31Mr. Helberg: Ultimately my job is a job that will be focused on implementing the president's agenda and based on where they land with a current state of the org chart, we will execute the president' policy to pursue economic statecrafts and use economics as a tool to enhance security interest for the country.
▶ 1:18:48Sen. Shaheen: Thank you. Mr. kapur, you have taught at the naval postgraduate school, so you appreciate how our men and women in uniform view the allies on the ground who fight with them.
▶ 1:19:10Sen. Shaheen: Again, I was interested in your opening, that when you talked about afghanistan, you talked about wrongfully detained, which I think we would agree we need to bring home anybody wrongfully detained, but you didn't address the afghans in the united states, siv alters, people who risk -- siv holders, people who risk their lives and are still risking their lives and their families' lives in afghanistan because of the taliban rule.
▶ 1:19:40Sen. Shaheen: Can you talk about how you address that if you are confirmed and whether you will advocate to keep those afghans who supported our men and women in the military during that fight in united states so they will not be sent back to the taliban?
▶ 1:19:56Mr. Kapur: Thank you, senator, for the question. I have not been privy to the logic in the balancing of equities behind the review of the afghan relocation program --
▶ 1:20:09Sen. Shaheen: Well, let me just ask, do you think afghanistan is a safe country to return to for those who fight for the united states?
▶ 1:20:21Mr. Kapur: Senator, I don't know how safe it is.
▶ 1:20:25Sen. Shaheen: Dr. kapur, you have taught at stanford. You have taught in college. You have taught at the naval postgraduate school. It is hard for me to believe that you think afghanistan is a safe country for us to send afghans web help to the united states back to given all the public reporting about the taliban and the people who have been killed who fought with united states.
▶ 1:20:53Mr. Kapur: Senator, again, I don't know what the logic was behind the review and the change in some of the subcomponents of the afghan relocation program. I know some of those subcomponents remain in effect. Some of them have been changed, some of them have been canceled. When and if I am confirmed that is something I will become familiar with, but at this point I don't know what the thinking was behind the change in policy.
▶ 1:21:21Sen. Shaheen: Well, I certainly hope you will continue to advocate for those people who helped us during the war in afghanistan. Thank you.
▶ 1:21:31Chair Risch: Thank you, senator shaheen. Senator ricketts.
▶ 1:21:36Sen. Ricketts: Thank you offer interest in serving our country and your families reserve along with as you work on their behalf. Mr. black, tell charlotte's data being a small town mayor is probably the toughest job in politics. I think senator shaheen would agree, having been a governor kemp that it is tougher being -- having been a governor, that it is tougher because your neighbor is not shy with sharing with you how you are damaging their quality of life.
▶ 1:22:05Sen. Ricketts: It is a tough job come appreciate your service there. Last month I hosted a bipartisan tabletop exercise with senator coons simulating a chinese communist energy quenching of taiwan. The exercise confirmed one of taiwan's biggest vulnerabilities, which is energy and security. But it's not just about taiwan.
▶ 1:22:28Sen. Ricketts: This is something that applies to all of our allies in the region who are nearly just as vulnerable to relying heavily on seaborne energy imports in such a crisis. Beijing could leverage that dependence to be able to drive a wedge between uss wedge between us and our allies if that were to come to pass. Communist china is rapidly growing its own energy independence.
▶ 1:22:54Sen. Ricketts: 2024 it had the largest expansion of coal power in its history. It is adding on solar, wind, and nuclear come all the while building a naval capacity to be able to interdict and threaten critical energy supply lines. The most immediate answer is for us to promise to increase exports of lng. We are the world's top exporter with clean, reliable gas that is helping our allies replace coal and harden energy resilience.
▶ 1:23:23Sen. Ricketts: We have seen firsthand washington's regulatory paralysis, especially with the biden administration and what that can do to your confidence in the united states is a dependable partner. Mr. helberg, as undersecretary for energy and the environment, what will you do to ensure that the U.S. is a reliable partner when it comes to energy for our indo pacific allies?
▶ 1:23:46Mr. Helberg: Senator, thank you for the question, thank you for taking the time to meet with me. Energy will be a critical part of the strategy does of the strategy just to clear our supply chains. The united states is fortunate to be a net exporter of energy. The united states currently is the largest exporter of crude oil. It is the largest exporter of natural gas in the world. In number of our allies and partners in the indo pacific barnett importers.
▶ 1:24:18Mr. Helberg: -- our net importers. India has immense energy needs and is a net importer of energy. Japan is a net importer of energy and has a substantial energy needs. The energy needs of these countries is projected to go up substantially as a lot of these countries look to ramp up their activities in cutting-edge technologies such as artificial intelligence, which requires large computing clusters which is energy intensive.
▶ 1:24:45Mr. Helberg: There is a substantial opportunity for the united states to increase energy exports to a lot of these partners. I think doing this would make the world substantially safer because it would help these countries, particularly india, move away from its energy imports from russia, which has been the main engine of financing for its war in eastern europe.
▶ 1:25:09Mr. Helberg: Ultimately I believe the president's executive order on nuclear energy will allow substantially increasing our domestic electricity generation from nuclear energy, which currently stands at 20%, bringing that number up while allowing free excess capacity for natural gas which we can use to export allies around the world.
▶ 1:25:32Sen. Ricketts: Given the threat of communist china's position of a blockade or energy embargo, what steps will your bureau take to make sure that taiwan's energy lifeline remains open during a crisis?
▶ 1:25:46Mr. Helberg: Senator, the issues surrounding the physical security and integrity of freedom of navigation I believe will be primarily a military issue. Obviously -- which is outside of my purview -- obviously from an economic standpoint, china has a very extensive illicit maritime fishing flotilla that it
▶ 1:26:17Mr. Helberg: Operates across the pacific, which is obviously believed to be convertible for military means and a time of war. The united states is based on what I understand tracking that issue very closely.
▶ 1:26:36Mr. Helberg: Ultimately the economic integration between taiwan and the united states will be a substantial factor in security-related decisions on whether and how to support taiwan in the event of a conflict. Taiwan is the 10th largest trading partner of the united states. Tsmc has committed to investing $100 billion in arizona in advance semiconductor manufacturing.
▶ 1:27:01Mr. Helberg: I believe bringing the two countries closer together will be key in driving a lot of security considerations around freedom of navigation around the taiwan straight.
▶ 1:27:16Sen. Ricketts: I think one of the opportunities you will have his looking at taiwan's current energy situation, they have an nuclear power plant and are thinking of shutting down, there will be an opportunity to keep that open. As you talk about nuclear, being able to have more energy stored on-site will be another thing that will help mitigate energy quarantine. Those are some of the things you can take a look at that are not military-related.
▶ 1:27:43Chair Risch: Thank you. Senator coons.
▶ 1:27:46Sen. Coons: Thank you, chairman and ranking member, and I share many of the senator ricketts's concerns. We jointly went to taiwan's ago and the energy concerns are broadly shared. If I could come up with Mr. black and Mr. helberg, congratulations on your nominations. My thanks to your wife, charlotte, who I hope will enjoy the anniversary once this confirmation is over, and to keep and your family. If I could speak to you, Mr.
▶ 1:28:17Sen. Coons: Black, about the reauthorization of the dmc, as a co-author of the build act and the someone who has supported the dfc, I welcomed our constructive conversation and I look forward to working with chairman risch and ranking member shaheen on prompt reauthorization. We have to pass this before october or it will hold up significant deal flow impacting the reputation of the dfc and have a chilling effect on private sector partners.
▶ 1:28:47Sen. Coons: Mr. black, if confirmed to do you commit to timely and consistent consultation with congress in the run-up to dfc reauthorization to ensure it meets its objectives?
▶ 1:28:58Mr. Black: Senator, thank you. If confirmed I look forward to working with ■congress.
▶ 1:29:06Sen. Coons: Do you commit to the dfc's dual strategic development mandate by supporting development objectives including, for example, health care and agribusiness?
▶ 1:29:15Mr. Black: Senator, thank. As we discussed, I have said consistently that I feel the dual mandate is not in conflict. Development is very much strategic. And has been from the earliest development projects inside the united states.
▶ 1:29:32Sen. Coons: I appreciate that I look forward to working with you wanted. What is your view on the equity fix and whether or not it could be a critical part of expanding the scope of the dfc's reach?
▶ 1:29:43Mr. Black: Senator, as we have discussed, as currently authorized under the build act, dfc has a $60 billion statutory budget. Close conservative estimate likely larger, china's belden road is $1.5 trillion, and most likely more.
▶ 1:30:07Mr. Black: No matter what the reauthorization it, the number for the dfc will be smaller than that and it should be, because the beauty of the dfc and the united states system is not going into countries --
▶ 1:30:22Sen. Coons: Mr. black, would you agree that an equity fix might expand the scope of the dfc's work?
▶ 1:30:30Mr. Black: Being able to take an equity fix would be instrumental working with the private sector --
▶ 1:30:35Sen. Coons: The new york office provides greater access to the markets and private sector partners. We are committed to maintaining a ratio that includes career folks in a significant percentage as opposed to political folks in the new york office?
▶ 1:30:51Mr. Black: Senator, thank you. As you know from our conversation, I'm not in the building at my chief of staff husband speaking with that. -- has been speaking with that. If confirmed, I think it is crucial that careers get exposure to new york finance firms and be able to work consistently with them so that careers in the dfc going forward are constantly on the radar and in conversation with the financial --
▶ 1:31:19Sen. Coons: I think it is important to keep that balance. Mr. black, you spoke about her grandfather as her hero and a key part of why you admire him is his integrity. As someone who work in global business for an american manufacturing firm, I think our reputation as a nation committed to integrity in business dealings and our refusal to engage in practices comparable to key adversaries, in particular the p.r.c., where they use bribery as a tool of economic advantage and we refuse
▶ 1:31:50Sen. Coons: To, it makes things like the foreign career practices act having clear guardrails really important. You currently work in industries with significant overlap with response abilities of the positions to which you have been nominated. If confirmed, will you both commit to sustaining robust due diligence practices to ensure economic engagement remains honest, to recusing yourselves from any deals or matters or agreements with potential for conflict of interest, and to upholding the fcpa?
▶ 1:32:21Mr. Black: Senator, thank you. If confirmed I fully commit to leading the dfc following all strictures of the law as well as my ethics agreement and processes and oversight by the dfc ethics lawyers for the Sen.
▶ 1:32:34Coons: Mr. black, currently there is no inspector general of the dfc. Do you recognize the central that independent inspectors general play in every federal agency?
▶ 1:32:45Mr. Black: Senator, I am not as familiar with the workings of inspectors general and how the processes work from agency to agency. If confirmed I will look into and look forward to working with congress.
▶ 1:33:01Sen. Coons: Inspectors general in every agency played a critical in maintaining an independent review of the processes and conduct. They help identify inefficiency and often help improve operations. Mr. helberg, your comment about sustaining due diligence guardrails and making sure there is neither an actual or appeared conflict of interest and your important work running the e family state.
▶ 1:33:29Mr. Helberg: Senator, thank you, and I appreciated him eating with you and your staff, and I share your sentiment on the importance of maintaining high ethics standards. If confirmed, I will work -- my ethics agreement lays out a process by which I will work with the state ethics attorneys to ensure in close consultation to ensure that all clauses of my ethics agreement and statutes passed by congress are complied with.
▶ 1:33:58Sen. Coons: Mr. helberg, two quick last questions. You will be responsible for overseeing the state department's in the limitation of sanctions. One of our primary sections targets is russia and it is critical to pushing anything to the table.--pushing putin to the table. Frankly we have not seen the ongoing work to see sanctions avoidance, shell companies and allspice. There's an otherwise there's an othe -- shell companies and otherwise.
▶ 1:34:30Mr. Helberg: Senator, my knowledge of the internal workings is limited as a private citizen. My current understanding of U.S. policy is the mentioning of sanctions on russia while the president is pursuing active negotiations in the pursuit of a lasting peace in eastern europe.
▶ 1:34:48Mr. Helberg: If confirmed, I will absolutely ensure that the sanctions that are currently in place have the highest levels of enforceability and will use the sanctions office to coordinate with allies to make sure that sections are enforceable--are enforced.
▶ 1:35:05Sen. Coons: Senator graham and I worked hard to create public-private foundations to address food insecurity and the use by terrorist organizations of ungoverned spaces. I look forward to working with you on both of these initiatives. Is that something you commit we will be able to do together?
▶ 1:35:23Mr. Helberg: Senator, I very much enjoyed over the years working with various members of the senate. Members of your staff have briefed me on the U.S. foundation for international conservation, which it seems like a very important bill. If the congress passes the statute --
▶ 1:35:44Sen. Coons: It has been signed into law.
▶ 1:35:47Mr. Helberg: I will fully commit to working with you to make sure that it is applied.
▶ 1:35:52Sen. Coons: I have questions for the other members and I apologize for not getting to them and I apologize to my calling for going overtime.
▶ 1:35:59Chair Risch: Senator rosen.
▶ 1:36:02Sen. Rosen: Thank you, chair risch. We only have a few minutes so let's get added. I want to talk about women and girls. One of the biggest differences between U.S. former assistan -- U.S. foreign assistance and that of the people's republic of china's commitment to entire societies including women, the backbones of stability and many of these nations. Mr.
▶ 1:36:30Sen. Rosen: Black, will you commit that if confirmed he will direct dfc to continue its support to women and girls including economic empowerment and stabilizing role in maintaining peace and security?
▶ 1:36:44Mr. Black: Senator, thank you for your question. Under the build act there are number of different preferences that the dfc is to keep in mind for investments. One of them is for women. If confirmed I commit to following all the strictures of the build act and the reauthorization..
▶ 1:37:12Sen. Rosen: Thank you. I want to talk about the abraham accords. It creates people the people ties and making peace achievable and lasting between israel and arab partners. While hamas's brutal october 7 attack plot to this progress, I'm hopeful we will see new countries joined the abraham accords in the future including those outside the middle east and north africa. Mr.
▶ 1:37:37Sen. Rosen: Kapur, what do you think of the possibility of central asian countries joining the abraham accords, and will you commit that if confirmed he will work with me to explore this idea further? Excuse me, Dr. kapur.
▶ 1:37:51Mr. Kapur: Thank, senator kim for the question. It is certainly something I would consider. I look forward to discussing it with you if I am confirmed. I don't know what the various countries would think about that or what they would have to say about it. It is something I would be interested in discussing further with you.
▶ 1:38:11Sen. Rosen: I can tell you they would welcome strengthening the abraham accords' economic opportunities and peer-to-peer exchange. I want to move to the european union and tariffs because in recent years nevada has imported over $2 billion in goods per year from the eu. It has exported close to $2.5 billion in goods per year.
▶ 1:38:42Sen. Rosen: President trump has promised a tariff on all imported goods from the eu and the use prepared to impose -- eu is prepared to impose metallic tory tariffs on the U.S. this will place heavy burdens on families and family-owned businesses, we are talking over $2 billion. Mr. puzder, if confirmed, how will you navigate this issue and ensure that my nevada families and businesses do not face financial hardship as a result of a potential trade war between the U.S.
▶ 1:39:10Sen. Rosen: And eu countries, not to mention every state, I'm sure?
▶ 1:39:20Mr. Puzder: [inaudible] commitment to reset our international trade relationships so they know longer -- no longer were america last and over generous to competitors and threatened our national security. Tariffs are part of that, but we are in negotiations now -- again, I only know --
▶ 1:39:43Sen. Rosen: Over $2.5 billion hit to nevada and we are a state of 3 million people. That is a pretty big hit, sir, so we need to discuss this.
▶ 1:39:53Mr. Puzder: I'm not ready to what it is going on in the negotiations but the trade representative came out with a statement on the progress they're making. The eu once an agreement, I know the united states an agreement. There was an article in "the wall street journal" --
▶ 1:40:11Sen. Rosen: My nevada businesses can't wait and they are going to suffer now. I see senator barrasso is here, and I want to ask about critical and emerging technology. The prc is vying to replace the united states' technological edge in critical spheres -- ai, quantum computing. This cannot happen. As U.S. leadership on emerging tech I believe is key to maintaining economic security and deterrence and bulging stability in the pacific.
▶ 1:40:42Sen. Rosen: -- bolstering stability in the pacific. Mr. helberg, if confirmed, how will you work to make sure that U.S. maintenance qualitative edge on critical and emerging technologies? I have a lot of questions for you, but my time is up.
▶ 1:40:58Mr. Helberg: Thank you, senator, thank you for taking the time to meet. We have one of the best innovation ecosystems in the world. The foundations of that ecosystem are currently sitting on top of a very brittle supply chain. It is one of our biggest weaknesses. China's export controls on rare earth minerals is constraining the global automobile industry along with various other industries. I believe that efforts that the U.S.
▶ 1:41:22Mr. Helberg: Government undertakes to secure our supply chains will not only help create job opportunities in the united states including in nevada with the lithium loop, but will help ensure america's technological leadership because it will ensure our technological champions have the resources they need to innovate and expand capacity in the U.S., expanding data center compute capacity as well as access to cutting-edge chips.
▶ 1:41:49Sen. Rosen: Thank you. We are proud of our nevada lithium loop and hope to expand that further. Thank you, Mr. chairman.
▶ 1:41:56Chair Risch: Senator barrasso.
▶ 1:41:59Sen. Barrasso: Mr. black, graduation congratulations to all of you. -- congratulations to all of you. I want to talk about the core mission. The scope of the finance has evolved -- it was the designed as a tool for developing and to support U.S.
▶ 1:42:24Sen. Barrasso: Strategic interests around the world and it was evolved to focus on china's hamas ha belt and road initiative. There has been a shift towards domestic investments for domestic investments f new talk about the core mission and the impact -- can you talk about the commission and the impact?
▶ 1:42:48Mr. Black: Senator, thank you for the question. I spoke about the build act's dual mandate for the dfc and that is for developing finance as well as strategic foreign-policy interests. In the preamble and authorizing -- focused by congress on the belt and road and challenge. I know some of your previous skepticism here.
▶ 1:43:16Mr. Black: Part of this is effectively to engage private markets to invest strategically. Not dissimilar going back to the more effective foreign policy economic statecraft initiative in the united states going as far back as the marshall plan. The key thing to think about is the dfc should never be crowding out private capital.
▶ 1:43:43Mr. Black: I spoke earlier with senator coons about the concept of risk in equity, and if confirmed that would be a highly important thing to engage with the private sector. An example I would give you is the dfc is supposed to be return-focused, not necessarily risk-adjusted return-focus. If one believes in efficient markets, the private sector will build these ports, terminals, and so forth.
▶ 1:44:14Mr. Black: However, there can be deals where a lot of the capitol stack pencils come but equity risk for a port overseas in the philippines or the cook islands may be only pencil to a 10% equity return.
▶ 1:44:34Mr. Black: It doesn't change the top of the capital structure where private capital would want to play, and in so doing if the dfc engaged at the bottom of the capitol stack, you could induce by the private capital and achieve strategic interests.
▶ 1:44:48Sen. Barrasso: Mr. helberg, following up on china and global issues, it is estimated that in 2025 global investments in energy are going to hit a record, over $3 trillion. Reports are that china is on track to spend almost as much on energy as the european union and the united states combined. With rising competition from china, talking about ai, data centers, all those sorts of things, I think we need to stay ahead as a global energy leader.
▶ 1:45:18Sen. Barrasso: What paul does the state department have in supporting american oil, natural gas, and coal producers in the face of growing international competitors?
▶ 1:45:27Mr. Helberg: Thank you for the question, senator. You hit the nail on the head with respect to the importance of energy for some when can draw a straight line between energy supply and economic growth for most of human history. Our total electricity supply has stagnated since roughly the year 2008. That will dimly not be sustainable if as a country we set goals of expanding manufacturing capacity and extending computing capacity in the united states.
▶ 1:45:56Mr. Helberg: We will need substantially more energy. I believe we have the opportunity to do that through president trump's all of the above approach to energy. His executive order on expanding nuclear energy capacity in the united states opens opportunities to substantially increase electricity production. The expansion of natural gas exploitations also further added to that effort.
▶ 1:46:23Mr. Helberg: Ultimately I believe the state department has an opportunity to both stimulate domestic demand for american-made energy by finding foreign markets and expanding market access for american energy overseas on the one hand, and on the other hand I also believe the state department has an opportunity to help facilitate and accelerate the deployment of foreign investment into the united states and to large infrastructure projects like the
▶ 1:46:55Mr. Helberg: Lng alaska project, which as you know currently includes a large number of foreign investors including japan, which is obviously eyeing to potentially be a major consumer of the project.
▶ 1:47:08Sen. Barrasso: Final question. Mr. puzder, if I could visit with you about you and try to put -- eu an chinad. It's clear watching the news that the eu's stance tends to vary. Some member states have allied with the united states and share concerns about china's growing influences and record on human rights others seem to be more cautious and prefer to cooperate with china. Can I just ask your assessment of the relationship right now between the eu and china?
▶ 1:47:39Mr. Puzder: [inaudible] -- very timely and good question. The trade representative from the european commission made some comments to the chinese about the trade relationship that they had that sounded similar to comments americans have made, that we need fair and reciprocal trade, that we needed regulatory transparency, that we
▶ 1:48:10Mr. Puzder: Need intellectual property protection. The kinds of things that the united states is looking for. I berliev -- I believe that we are the preferred trade partner for europe. I don't believe they want to make china their preferred partner. They are seeing the regional market diminish as china's economy has declined. While they are speaking with the chinese, I think we are in a superior position with respect to the potential for a radio.
▶ 1:48:37Sen. Barrasso: Thank you, Mr. chairman.
▶ 1:48:42Chair Risch: Senator van hollen.
▶ 1:48:45Sen. Van Hollen: Congratulations to all of you on your nominations. Dr. kapur, I had good conversations with the india and pakistani elementary delegations in washington last week in the aftermath of the india-pakistan crisis. As you know, president trump and secretary rubio have taken credit for bringing about the cease-fire.
▶ 1:49:09Sen. Van Hollen: As you probably already know, the indian government has denied that cease-fire resulted from american mediation. Regardless, there is a federal cease-fire in place. Secretary rubio said this on may 10, "I am pleased to announce the governments of india and pakistan have agreed to an immediate cease-fire and to start talks on a broad set of issues at a neutral site." Dr.
▶ 1:49:38Sen. Van Hollen: Kapur, if you are confirmed, what broad set of issues will you push india and pakistan to discuss?
▶ 1:49:48Mr. Kapur: Thank you, senator, for the question. I'm not familiar with exactly what issues the secretary had in mind when he talked about that. I think that as somebody from the outside looking in, it looked to me as if the administration and senior leadership, the secretary, the vice president were actively involved in using their good offices to encourage de-escalation of the crisis was that probably had a salutary
▶ 1:50:18Mr. Kapur: Effect. In the end india and pakistan have to decide for themselves, and did in this case, to de-escalate.
▶ 1:50:27Sen. Van Hollen: If I could, because you will be the assistant secretary of confirmed, I'm just quoting what the secretary of state, your boss, said, they agreed to start talks on a broad set of issues. You're saying you don't have any idea what the secretaries talking about with respect to broad sets of issues.
▶ 1:50:46Mr. Kapur: I don't know what issues he had in mind, I wasn't part of the government at that time.
▶ 1:50:52Sen. Van Hollen: Brought does imply-- broad does imply, does it not, a comprehensive set of issues between the countries?
▶ 1:51:02Mr. Kapur: It could.
▶ 1:51:03Sen. Van Hollen: It seems it would. I'm just curious where that is going. I raised in the last couple years concerns about pakistan's backsliding on democracy, also concerns about issues that have cracked down on freedom of speech in india and pakistan. I will summit questions for you on those points. Mr. puzder, I want to pick up on senator barrasso's questions.
▶ 1:51:36Sen. Van Hollen: During the first administration many of us worked with the administration to urge our european partners to de-risk the relationship with china their economic relationship. We spent a lot of time urging them not to adopt wally technology and other issues -- huawei technology and other shoes.
▶ 1:52:01Sen. Van Hollen: There was continued during the biden administration for biden administration f during this cap administration, the president called for " liberation day" tariffs, we have seen european partners express great concerns. President von der leyen, one of those advocating for de-risking china, has talked of expanding trade and investment ties to china.
▶ 1:52:31Sen. Van Hollen: She said not that long ago to her european colleagues, "I know many of you feel let down by our oldest ally. If you take on one of us, you take on all of us." so my question to you is pretty straightforward, how do we convince our european partners to de-risk their economies from china when we are putting their economies at risk through our trade, tariff, and other policies?
▶ 1:53:00Sen. Van Hollen: How do we tell them don't do with china but we are going to whack with all the tariffs?
▶ 1:53:08Mr. Puzder: Thank you, senator. As a follow-up to senator barrasso's question, that is very timely for very timely f the most important thing we need to do is reach a trade agreement with european union. We are aggressively pursuing reaching that agreement. While we are pursuing those negotiations, both sides are going to say things. We will see what comes out in the final wash.
▶ 1:53:29Mr. Puzder: But I know from comments, and really only from things I have read, because I'm citizen, I'm not ready and on any of this, but reading what trade representative greer as had a say in what president von der leyen has had to say, there is concerns bribery allegations with respect to china and europe, concerns with their trade practices, concerns with dumping of products -- I believe we can work on an agreement with
▶ 1:54:04Mr. Puzder: European union. I believe it is in our interest in their interest and their pursuing it aggressively.
▶ 1:54:08Sen. Van Hollen: In closing, and I'm quoting from the president of the eu, she also said, "our message is clear -- europe is reliable, predictable, and open for fair business," meaning they will happily do business with anyone in the world, including very much china. And clearly when she said they are reliable and predictable to the rest of the world, the message was the united states is not reliable and predictable.
▶ 1:54:38Sen. Van Hollen: You got a lot of work to do if you are confirmed, I think that you -- I think unfortunately the trump administration to date has made your job much harder.
▶ 1:54:47Chair Risch: Senator scott.
▶ 1:54:49Sen. Scott: First off, congratulations, each of you. This is an exciting time. You were going to work for a president that is going to put america first, he is going to succeed peace through strength. We are going to be respected again. I think you are going to be serving at any start time. Mr. helberg, you are often at the forefront of cutting edge technology and understanding its implications for national security at all.
▶ 1:55:17Sen. Scott: Given your background, I think you will make a great addition to the state department. What would you say is the biggest that united states and allies face? Specifically which countries, and what risks to these countries pose?
▶ 1:55:30Mr. Helberg: Thank you very much, senator, thank you for taking the time to meet in the lead up to this hearing. The biggest security threats were countries without any hesitation our industrial overreliance on communist china. There restraining export controls of rare earth magnets in europe and the united states, which is taking a toll on the global automobile industry, as well as other industries.
▶ 1:55:59Mr. Helberg: As someone who worked in the private sector, I know that private companies are very reluctant to comment publicly saying when they are negatively impacted by these types of policy decisions because they are afraid of bad pr. These types of policy decisions really do sting.
▶ 1:56:17Mr. Helberg: We are 90% reliant on taiwan for semiconductors, 90% reliant on china for rare earth minerals, 70% on china for cell phones, tablets, and drone production. That is not sustainable. The e family will be entirely committed to developing a whole of government approach to securing our supply chains, and that will ultimately be the overarching policy framework through which we will engage with partners and allies overseas.
▶ 1:56:46Sen. Scott: Thank you. Mr. puzder, while I wish the european union well, is increasingly apparent that it is a broken system with the distribution and overregulations. The united states managed a much better relationship with individual countries over european union headquarters. Given your expertise in the private sector, what do you think of the eu's strategy and how should this shape our relationship going forward?
▶ 1:57:19Mr. Puzder: Thank you, senator, great question. As president from has made clear, the european union needs to walk back it's over regular, red tape -- its overregulation, redtape. There is a lot of work to be done, but the europeans know that. There is a draghi report that overregulation is killing competitiveness, killing the economy in the european union.
▶ 1:57:45Mr. Puzder: Their gdp was slightly larger than that of the united states back in 2008, and that was including the u.k., a member of the you back -- member of the eu back then. Take the eu out, they are 50% lower than we are today. They need to make changes and they know they need to make changes.
▶ 1:58:07Mr. Puzder: There are advantages to dealing with european union as opposed to individual states because many of those individual states have conceded part of their sovereignty to the union, including, for example, on trade, on tariffs, on sections. American businesses need to deal with european union and the individual states. There is some comfort in dealing with the union because american companies know how to deal with european union.
▶ 1:58:31Mr. Puzder: If you look at the states -- for example, in the balkans, we have a number of states trying to get into the eru but the are nou -- but they are -- but they a -- that are trying to get into the eu but they are not there yet. They need to reduce corruption. If you look at croatia, which entered the eu in 2013, since they entered our exports to croatia have increased -- they've tripled since they entered. There are advantages.
▶ 1:59:02Mr. Puzder: Clearly there are problems with the eu. They know it, they need to address them. But there are reasons to do with them nonetheless.
▶ 1:59:10Sen. Scott: Thank you. Mr. kapur, tell us -- what would you like to accomplish with pakistan?
▶ 1:59:18Mr. Kapur: Senator, thank you for the question. As I mentioned in my opening statement, I think there are a number of areas we could cooperate with pakistan in the security realm. There are instances where counterterrorism cooperation would be useful. We can also build out our relationship away from a myopic focus on security in the direction of trade investment.
▶ 1:59:45Mr. Kapur: I know there are some opportunities in critical minerals as well. Those are areas I would be interested in exploring.
▶ 1:59:53Sen. Scott: Congratulations can each of you, on your nomination.
▶ 1:59:58Sen. Ricketts: Unless somebody comes in while I'm talking, we will go ahead and close this out. I want to thank you gentlemen for your willingness to serve our country. Very much appreciate it. For the records, we are going to add senator mccormick's introduction of howard brodie, now many to investor of finland, support for jacob helberg thank for the benefit of your testimony and responses today.
▶ 2:00:26Sen. Ricketts: Before closing, I will order any letters of support the committee has received to be added to the record. I will also note for the information of numbers that the record will remain open until the close of business tomorrow, june 11, including for members to submit questions for the record. With thanks of the committee, his hearing is now adjourned. [captioning performed by the national captioning institute, which is responsible for its caption content and accuracy. Visit ncicap.org]