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Ford CEO says Trump policy uncertainty creating chaos

The Trump administration’s tariff threats and animosity towards electronic vehicles are producing a “lot of cost and a lot of chaos” for Ford, the automaker’s chief executive said Tuesday.While Trump has spoken about the priority of strengthening manufacturing in the United States, the administration thus far has been the source of tremendous “policy uncertainty” with constantly evolving tariff plans and a lack of clarity whether tax credits favoring EVs will be rolled back, he said.Appearing at a financial conference, Jim Farley described Trump’s initial plan to enact 25 percent tariffs on Mexico and Canada as a disaster for US companies that operate across the region, while providing an unfair advantage to European and Asian automakers that also import to the United States.Trump last week suspended the tariffs for 30 days following concessions from Mexico and Canada. But they have not been removed as a possibility by the Trump administration, which yesterday announced plans to enact 25 percent tariffs on steel and aluminum.Farley said Ford buys most of those two metals from US firms, but that the company’s suppliers have international sources.”So that price will come through, and there may be a speculative part of the market where prices come up because tariffs are even rumored,” Farley said.”President Trump has talked a lot about making our US auto industry stronger, bringing more production here, more innovation,” Farley said, adding that these would be “signature accomplishments.”But “so far what we’re seeing is a lot of cost and a lot of chaos,” he said.Farley pointed to lingering questions about the Trump administration’s intentions on the Biden administration’s Inflation Reduction Act, which included tax incentives for consumer EV purchases and for the building of EV factories.An executive order on Trump’s first day signaled the potential elimination of tax credits favoring EVs.Farley said Ford had already “sunk capital” in major investments in Ohio, Michigan, Kentucky and Tennessee.”Many of those jobs will be at risk if the IRA is repealed or if big parts of it is repealed,” Farley said.

Jordan to take sick Gaza kids as Trump pushes takeover plan

Jordan’s King Abdullah II on Tuesday told Donald Trump that his country would take in some 2,000 sick children from war-torn Gaza, as the US president pushed his plan to take over the territory and push out Palestinians.Speaking at the White House, Abdullah added that Egypt would present a proposal on how countries in the region could “work” with Trump on the plan, despite Arab nations and the Palestinians having rejected it outright. “I think one of the things that we can do right away is take 2,000 children, cancer children who are in a very ill state, that is possible,” Abdullah said as Trump welcomed him and Crown Prince Hussein in the Oval Office.Trump called it a “beautiful gesture” and said he didn’t know about it before the Jordanian monarch’s arrival at the White House.The US president meanwhile backed down on a suggestion that he could withhold aid for Jordan and Egypt if they refused to take in more than two million Palestinians from Gaza.”I think we’ll do something. I don’t have to threaten that, I do believe we’re above that,” Trump said.Trump stunned the world when he announced a proposal last week for the United States to “take over” Gaza, envisioning rebuilding the devastated territory into the “Riviera of the Middle East” — but only after resettling Palestinians elsewhere, with no plan for them ever to return.Jordan’s Abdullah was repeatedly pressed by reporters on whether he supported the plan, but said only that Egypt was coming up with a response and that Arab nations would then discuss it at talks in Riyadh.”The president is looking at Egypt coming to present that plan… (then) we will be in Saudi Arabia to discuss how we should work with the president and with the United States,” Abdullah said.”The point is, how do we make this work in a way that is good for everybody.”- ‘Tough guy’ -The meeting came as the Gaza ceasefire appears increasingly fragile, after Trump warned on Monday that “all hell” would break out if Hamas fails to release all hostages by Saturday.Israeli Prime Minister Benjamin Netanyahu on Tuesday said Israel would resume “intense fighting” in Gaza if Hamas did not meet the deadline.Trump said he doubted that the Palestinian militant group would abide by the ultimatum.”I don’t think they’re going to make the deadline personally. I think they want to play a tough guy, but we’ll see how tough they are,” Trump said.But he played down the risk of a longer threat to efforts to create a lasting peace between Israel and Hamas.”It’s not going to take a long time when you know bullies,” he added, referring to Hamas.The Jordanian king and crown prince earlier met Trump’s National Security Advisor Mike Waltz.King Abdullah is a key US ally but last week rejected “any attempts” to take control of the Palestinian territories and displace its people after Trump stunned the world with his proposal for Gaza.Egyptian President Abdel Fattah al-Sisi, who is expected to visit the White House later this week, urged on Tuesday the reconstruction of Gaza “without displacing Palestinians.”Analysts say the issue is an existential one for Jordan in particular.Half of Jordan’s population of 11 million is of Palestinian origin, and since the establishment of Israel in 1948, many Palestinians have sought refuge there.In 1970 in what became known as “Black September,” clashes erupted between the Jordanian army and Palestinian groups led by the Palestinian Liberation Organization (PLO).It resulted in the expulsion of those groups.But Jordan is also keenly aware of the economic pressure Trump could exercise. Every year, Jordan receives around $750 million in economic assistance from Washington and another $350 million in military aid.

US Fed chair says in no rush to tweak interest rate policy

Federal Reserve Chair Jerome Powell said Tuesday that the US central bank was in no hurry to adjust its interest rate-cut policy, as the country’s economy maintains resilient growth and a relatively strong labor market.With economic indices in a steady position, and only a slight uptick in inflation, the Fed recently voted to pause rate cuts, holding its key short-term lending rate at between 4.25 and 4.50 percent — still above its long-term target of two percent.”With our policy stance now significantly less restrictive than it had been and the economy remaining strong, we do not need to be in a hurry to adjust our policy stance,” Powell told senators at a congressional hearing.”We know that reducing policy restraint too fast or too much could hinder progress on inflation,” he said. “At the same time, reducing policy restraint too slowly or too little could unduly weaken economic activity and employment.”The Fed’s short-term federal funds rate influences borrowing costs for consumers and businesses, affecting the cost of everything from mortgages to car loans. At the end of last year, Fed policymakers pared back the number of rate cuts they expect this year, with some citing concerns about trade uncertainty following President Donald Trump’s election victory. In light of that, some analysts now expect only one or two rate cuts this year. Futures traders currently place a probability of just over 55 percent that the Fed will make no more than one quarter-point cut this year, according to data from CME Group.Financial markets overwhelmingly expect no change to interest rates at the Fed’s next rate decision in March. – Consumer protection void -Meanwhile, Powell also warned that no federal regulator has stepped in to protect consumers from financial misconduct following the White House’s recent decision to pause all non-essential work at the Consumer Financial Protection Bureau.He told the Senate Banking Committee that there was currently “no other federal agency” doing the CFPB’s regulatory job following the recent decision by Trump’s administration to pause operations at the agency.The CFPB was created in the wake of the 2008 global financial crisis, and serves as a watchdog over a variety of US consumer issues ranging from mortgages to credit cards and debt collection. On Monday, Russell Vought, director of the White House Office of Management and Budget, told staff the CFPB was temporarily shuttering its headquarters and pausing all work, adding that employees should not show up.”Please do not perform any work tasks,” Vought wrote in an email to staff, adding that employees would need to seek written permission from him before doing any urgent work going forward, and should otherwise “stand down from performing any work task.”

US farmers say Trump let them down with spending freeze

US farmers caught up in President Donald Trump’s short-lived attempt to freeze all federal funding descended on Congress Tuesday to demand answers after grants to their politically influential sector were paused.Rural America came out strongly for Trump in last year’s presidential election, and farmers say they did not expect to be affected by the Republican’s unprecedented attempt to cut back US government programs.The farmers say they have not been reimbursed from two United States Department of Agriculture (USDA) programs designed to help them invest in conservation and clean energy generation. These programs were funded through the Inflation Reduction Act (IRA), one of former president Joe Biden’s signature pieces of legislation which pumped billions of dollars into clean energy projects across the country. Trump opposes some US efforts to fight climate change and has called the IRA the “green new scam.””I’m very concerned about the security of our farms,” 44-year-old Elisa Lane, who owns and runs a farm producing fruit and cut flowers in the US state of Maryland, told AFP on Monday.Lane was awarded $30,000 by USDA last summer to subsidize a roughly $70,000 solar panel installation on her 15-acre farm.But shortly after taking office on January 20, Trump signed an executive order instructing all agencies to “immediately pause the disbursement of funds” appropriated through the IRA.Eight days later, the White House Office of Management and Budget (OMB) published a memo — since rescinded — pausing all federal grant funding. That left Lane and farmers across the country without the funding they’d counted on to complete costly projects.Since the OMB memo was published last month, Lane said she has not received the grant funding, despite an OMB clarification claiming that funds for farmers and small businesses would “not be paused” by the funding freeze.”We are American farmers, and so we are the people that when we hear ‘America first’…, that message is supposed to be for us,” Lane said, referring to Trump’s nationalist, right-wing slogan.”We’re the ones that are supposed to be elevated and cared for,” she added. “And this is in direct conflict with that ideology.”Lane planned to join several other farmers at a hearing held by the House Agriculture Committee on Tuesday, after receiving an invitation from Democrats on the committee.The USDA did not respond to a request for comment. – ‘Provide immediate clarity’ -Skylar Holden, a 27-year-old cattle farmer from the Midwestern state of Missouri told AFP that he has also had his USDA funding frozen in the wake of the OMB’s short-lived funding freeze. Holden had signed up for support from another IRA-funded USDA program designed to help farmer carry out conservation work. The USDA funding to help support the $240,000 conservation project he is planning for his 260-acre farm is now also on pause. “The worry is if I complete these projects, I’m still not going to have the funds that I need in order to make the farm payment, in order to purchase the hay we need for the following winter,” he said. Cases like those of Lane and Holden have been making headlines in the United States since the OMB memorandum was published last month, sparking calls for the Trump administration to take action.”USDA and other agencies must honor their commitments to farmers and rural communities,” National Farmers Union President Rob Larew said in a statement shared with AFP. “We strongly urge the administration to provide immediate clarity on funding and ensure that farmers and rural communities aren’t left behind,” he said.Alongside the USDA funding freeze, US farmers have also been affected by the Trump administration’s attempts to shut down the United States Agency for International Development (USAID), with the US government previously spending billions of dollars on food aid from American farmers.

Trump says US disaster relief agency should be ‘terminated’

President Donald Trump launched a fresh attack Tuesday on the US federal disaster agency FEMA, calling for it to be shut down and its duties instead handed to individual states.Trump, who has moved to slash government spending since taking office in January, wrote in all caps on his Truth Social platform that “The Biden run FEMA has been a disaster. FEMA should be terminated.””It has been slow and totally ineffective. Individual states should handle storms, etc., as they come. Big savings, far more efficient!!!” the Republican added.Trump echoed claims from his 2024 election campaign that the Federal Emergency Management Agency unfairly spent “tens of millions of dollars” on Democratic areas during its response to last September’s deadly storm in North Carolina, where it killed more than 100 people.FEMA, which coordinates the federal response to disasters when states request help, denied the allegations at the time. It further condemned “misinformation” after Trump alleged that FEMA funds for victims of Hurricane Helene were being diverted to migrants, flood-hit property was being confiscated, and that storm victims were only getting $750 in total compensation.Trump’s latest attack on FEMA comes as California recovers from devastating wildfires that ravaged parts of Los Angeles in January.He threatened during a visit last month to shut down the agency, saying it was “incompetently run,” while also promising victims of the fires that the “federal government (is) standing behind you. 100 percent.”Following Trump’s social media post Tuesday, the Department of Homeland Security said FEMA’s chief financial officer and three other officials had been fired for apparently making “egregious payments for luxury NYC (New York City) hotels for migrants.” Details of the allegations were not immediately available.Trump has led a bombardment on federally-funded agencies in his second term as president.His targets have included the US Agency for International Development and the Department of Education, which provide assistance to millions of people, though Trump alleges they are a waste of money.The legality of his cost-cutting drive — led by billionaire Trump donor Elon Musk — has been challenged in courts, with several judges issuing injunctions and cautioning against overreach by the White House.

Rushdie tells trial of ‘lake of blood’ after stabbing

Novelist Salman Rushdie described Tuesday the moment a knife-wielding attacker stormed on stage and attempted to kill him in a frenzied attack that left him blind in one eye.”The Satanic Verses” author told jurors at the trial of his alleged attacker, 23-year-old American-Lebanese Hadi Matar, that Matar “was stabbing and slashing” at him.”I was aware of this person rushing at me on my right hand side,” he said, recounting how he was about to speak at an arts event in New York state in August 2022.”I only saw him at the last minute.””It was a stab wound in my eye, intensely painful, after that I was screaming because of the pain,” Rushdie said, adding that he was left in a “lake of blood.”He said it “occurred to me I was dying” before he was stretchered out of the cultural center and helicoptered to a trauma hospital.On Tuesday, Rushdie nodded and waved at his wife Rachel Eliza Griffiths, who was in court for her husband’s testimony on the second day of the trial.Matar’s legal team have sought to prevent witnesses from characterizing Rushdie as a victim of persecution following Iran’s 1989 fatwa calling for his murder over supposed blasphemy in “The Satanic Verses.”Matar is accused of stabbing Rushdie about 10 times with a six-inch blade.As on trial’s opening day, Matar said “Palestine will be free” as he was led into court Tuesday. He did not react as Rushdie began his evidence, biting his nails during the testimony.Rushdie, who wore distinctive glasses polarized in one lens to mask his damaged eye, described his treatment and current health.”The injuries were very serious and it took a long time to recover… the gash (in my neck) was so deep it had to be held together with metal staples,” he said.- Staff, guests fight attacker -Matar previously told media he had only read two pages of “The Satanic Verses” but believed the author had “attacked Islam.”New York-based British-American Rushdie, now 77, was rescued by bystanders.Venue employee Jordan Steves told the court Monday how he launched himself “with my right shoulder with as much force as I could manage” to help others subdue the attacker.He pointed to Matar, sitting just feet away in the ornate courtroom, when asked to identify the attacker.Steves’s colleague Deborah Moore Kushmaul said she picked up the discarded knife and gave it to police.The optical nerve of Rushdie’s right eye was severed, and he told the court that “it was decided the eye would be stitched shut to allow it to moisturize. It was quite a painful operation — which I don’t recommend.”Asked to describe the intensity of the pain over the attack, he said it was “a 10″ out of 10.His Adam’s apple was also partially lacerated, and his liver and small bowel penetrated.”The first thing I said on regaining the ability of speech was ‘I can speak’,” he said to stifled laughter from jurors.”How do you squeeze toothpaste onto a toothbrush with only one hand?” he explained when asked about injuries to his hand received as he tried to defend himself.- Freedom of expression case -Rushdie lived in seclusion in London for a decade after the 1989 fatwa, but for the past 20 years — until the attack — he lived relatively normally in New York.He became the center of a fierce tug-of-war between free speech advocates and those who insisted that insulting religion, particularly Islam, was unacceptable in any circumstances.Last year, he published a memoir called “Knife” in which he recounted the near-death experience.One of Matar’s lawyers, Lynn Schaffer, said Monday that prosecutors would seek to present the case as “open and shut” — but warned that police had made assumptions about Matar.The accused reportedly became more withdrawn and militant in his outlook following a 2018 trip to the Middle East.Iran-backed Lebanese Shiite militant organization Hezbollah endorsed the fatwa, the FBI has said, and Matar faces a separate prosecution in federal court on terrorism charges.Iran has denied any link to the attacker and said only Rushdie was to blame for the incident.

US foreign aid halt to have major hit on poorest countries: report

A suspension of US foreign aid and possible dismantling of the US Agency for International Development (USAID) will have a major impact on some of the world’s poorest countries, the Washington-based Center for Global Development (CGD) warned Tuesday.For more than 20 economies, a year-long pause on US aid could mean a loss of over one percent of their gross national income, the CGD said in a blog post.And eight economies including South Sudan, Somalia and Afghanistan could face a hit of three percent or more, the group added.The impact is especially severe for those eight economies as more than a fifth of their foreign assistance comes from USAID.The value comes up to 35 percent for Afghanistan, 36 percent for South Sudan and 40 percent for Somalia, the post added.While “US support is too large to be fully replaced,” the CGD noted that other providers’ official development assistance could be refocused and this could alleviate some of the worst effects.The poorest countries are among the main beneficiaries of aid from the International Development Association under the World Bank, which provides loans and grants to low-income countries.Other countries such as Germany, Canada, Japan and Sweden could also step up, the CGD added.”While there’s still time to change course and mitigate some of the worst effects, countries around the world would be wise to act now in response to a less globally engaged United States,” said the CGD blog post’s authors Ian Mitchell and Sam Hughes.US President Donald Trump has ordered a 90-day review of USAID, which runs health and emergency programs in around 120 countries, including the world’s poorest.Less than a week after Trump returned to the White House, USAID told non-governmental groups they would have to cease operations immediately because the new administration had frozen its budgets.

Pope told to ‘stick to Church’ after Trump migrant critique

Pope Francis described Donald Trump’s migrant deportations as a “major crisis” Tuesday, prompting a rebuke from the US president’s border czar, who told the pontiff to “stick to the Catholic Church”.In a letter to US bishops, Francis, 88, said deporting people who had fled their own countries in distress “damages the dignity” of the migrants and could leave many vulnerable and defenceless.”I exhort all the faithful of the Catholic Church, and all men and women of goodwill, not to give in to narratives that discriminate against and cause unnecessary suffering to our migrant and refugee brothers and sisters,” he wrote.The letter, published by the Vatican, sparked a swift retort from the Trump White House.”I wish he’d stick to the Catholic Church and fix that and leave border enforcement to us,” the president’s border czar, Tom Homan, told reporters.”He wants to attack us for securing our border? He’s got a wall around the Vatican, does he not?… We can’t have a wall around the United States.”Homan also noted that he is a “lifelong Catholic” himself.The tiny Vatican City state is located in the middle of Rome, surrounded by a high wall punctuated by gates manned by the pontiff’s Swiss Guard.- ‘End badly’ -Francis has repeatedly defended the rights of migrants during his 10 years leading the Catholic Church, urging world leaders to be more welcoming to those fleeing poverty or violence.And he warned as Trump returned to the White House last month that the Republican’s pledge to carry out the largest deportation campaign in US history, by expelling millions of undocumented immigrants, would be a “calamity”.”I have followed closely the major crisis that is taking place in the United States with the initiation of a programme of mass deportations,” the Argentine pontiff wrote Tuesday.He acknowledged “the right of a nation to defend itself and keep communities safe from those who have committed violent or serious crimes while in the country or prior to arrival”.But he wrote that “the act of deporting people who in many cases have left their own land for reasons of extreme poverty, insecurity, exploitation, persecution or serious deterioration of the environment, damages the dignity of many men and women, and of entire families”.Deportation “places them in a state of particular vulnerability and defencelessness”, he wrote.”This is not a minor issue — an authentic rule of law is verified precisely in the dignified treatment that all people deserve, especially the poorest and most marginalised,” he continued.He added: “This does not impede the development of a policy that regulates orderly and legal migration. However, this development cannot come about through the privilege of some and the sacrifice of others.”What is built on the basis of force, and not on the truth about the equal dignity of every human being, begins badly and will end badly.”Francis has criticised Trump for his anti-migrant policies in the past.In February 2016, when asked about the then-US presidential hopeful’s stance, the pope said: “Anyone, whoever he is, who only wants to build walls and not bridges is not a Christian”.And last year Francis made a rare foray into the US election season to call harsh anti-migrant attitudes “madness” and criticise right-wing US Catholic figures for overly conservative stances.In May 2017, when Trump was in his first term, he was received at the Vatican for a half-hour meeting.burs-ar/ide/jhb

Trump blasts ‘political judges’ as court clash mounts

President Donald Trump slammed “highly political judges” Tuesday as his new administration veered closer to a constitutional clash over his plans to radically overhaul the US government.Trump’s remarks on his Truth Social network came after federal judges questioned the legality of some of the cost-cutting measures led by SpaceX and Tesla CEO Elon Musk.The Republican president asserted in an early-morning post that “billions of Dollars of FRAUD, WASTE, AND ABUSE, has already been found in the investigation of our incompetently run Government.””Now certain activists and highly political judges want us to slow down, or stop,” added Trump.”Losing this momentum will be very detrimental to finding the TRUTH, which is turning out to be a disaster for those involved in running our Government. Much left to find. No Excuses!!!”In his first three weeks in office, Trump has issued a flurry of executive orders aimed at slashing federal spending, appointing Musk — the world’s richest person — to lead efforts that critics widely denounce as unconstitutional.But his plans, which have effectively shuttered some federal agencies and sent staff home, have sparked legal battles across the country. Multiple lawsuits seek to halt what opponents characterize as an illegal power grab.In the most recent case a federal judge in Rhode Island on Monday said the Trump administration had violated a previous order lifting a sweeping federal funding freeze.Trump’s team has angrily stepped up its attacks on the judiciary in recent days as they seek to assert unprecedented levels of executive power for the Republican.”If a district court judge wants control over the entire executive branch… he should run for president,” Stephen Miller, Trump’s hardline deputy chief of staff for policy and homeland security advisor, said Tuesday on X.Vice President JD Vance — who has previously called for presidents to ignore court rulings that curb the White House’s power — had warned judges Sunday to back off.”Judges aren’t allowed to control the executive’s legitimate power,” he said on X, which is owned by Musk, comparing judicial intervention to a judge dictating military strategy to a general.”Judicial tyranny is grossly improper!” Musk said, echoing the White House pushback.

US funding freeze is ‘bombshell’ for world aid sector

US President Donald Trump’s order to suspend most foreign aid has sent shock waves through the humanitarian sector, threatening to trigger mass layoffs at many NGOs and possibly destroy others altogether. Less than a week after Trump returned to power, the US Agency for International Development told NGOs they would have to cease operations immediately because the new administration had frozen USAID’s budgets. The US president has ordered a 90-day review of USAID — which runs health and emergency programmes in around 120 countries, including the world’s poorest. The campaign is being spearheaded by his billionaire ally Elon Musk, who has boasted of feeding USAID “through the wood-chipper”.Trump’s administration has since issued waivers for some “life-saving” aid, while the freeze included exceptions to funding for Israel and Egypt.But confusion reigns over how those waivers will be implemented and the uncertainty has already taken its toll.The order to stop work immediately hit “like a bombshell”, said a source at an NGO in Kenya. He asked to remain anonymous out of fear his charity could be punished by the Trump administration.”It threw people into panic mode,” the aid worker said of the freeze, pointing out that the lack of notice meant staff had no time to adapt. They were instantly put on compulsory unpaid leave and the organisation was no longer able to pay their rents or salaries, he said. “What’s that going to mean for people who have children?” he asked, aghast. – Impossible to compensate –  According to aid network ALNAP, more than 630,000 people were employed in the aid sector in 2020, more than 90 percent of them local staff. For many locals, the US freeze spells unemployment in countries with fragile economies where finding another job is almost impossible. Expatriates working for aid agencies also face disruption. “We notified everyone on US budgets that they had been suspended temporarily,” said a source at the European headquarters of an NGO mostly financed by US funds. The consequence for expatriates, she said on condition of anonymity, is that “they put you on a plane and you go back home”. Except, she added, “you don’t necessarily have a home” because many expat aid workers go from mission to mission, with no home base in their country of origin. USAID manages a budget of $42.8 billion — representing 42 percent of humanitarian aid disbursed worldwide. NGOs will have to “lay off employees in proportion to their dependence on US funds”, she said. “If an NGO depends 60 percent on USAID, it will have to lay off 60 percent of its employees. If it depends 40 percent, it will lay off 40 percent.” It would be “impossible to compensate for the loss of US funds”, she said. – ‘Brutal’ -The Norwegian Refugee Council, one of the world’s largest aid agencies, said on Monday it was forced to abruptly suspend US-funded “urgent humanitarian work for hundreds of thousands of people in nearly 20 countries affected by wars, disasters and displacement”. Just under 20 percent — $150 million — of its funding came from the United States last year, providing vital support for 1.6 million people.While the initial US funding freeze was set to last 90 days, the administration has already begun slashing USAID’s workforce, and many in the aid sector fear a drastic long-term drop in US support.Trump and Musk have publicly vowed to shutter USAID for good. “We’re not so vulnerable that we’ll just fold in 90 days. The problem is, will this last 90 days or go on much longer?” said Kevin Goldberg, head of Solidarites International, which is 36 percent US-funded. Local partners of international NGOs, “who depend on our ability to transfer part of the US aid allocated to us”, would also suffer, he added.Goldberg said he “feared for the entire humanitarian chain”. “There are a lot of players in the aid sector that will disappear” because European state funding is also decreasing, warned Jean-Francois Corty, head of Medecins du Monde. He told AFP the US decision was an “apocalyptic revolution” for a humanitarian ecosystem that was “being… strangled to death”. An executive from another international NGO said she feared the “brutal” Trump method would have repercussions in Europe, where far-right parties drawing from the US president’s playbook are gaining ground.”This earthquake… forces us to rethink everything,” she told AFP.dl-fv-al-jf/mr/gil