Senator Manchin, Senator Warren, Secretary Raimondo discussed on Squawk Pod

Squawk Pod


Divided government. One of the things I was sort of alluding to in the memoirs, I kind of like to hear about what really went on with getting senator Manchin's vote and your credited with bringing him into the. Crowd on that. And then the permitting that he insisted on the rug got pulled out from under him. But you did salvage what looked like it wasn't even going to happen with, you know, it would have been much larger following the chips act and the infrastructure Bill didn't look like there was going to be a another really big Bill and by getting Manchin that did happen. Is it unfortunate you think that permitting then go through? That was his biggest, I guess that was the biggest gift that he got to go ahead with it. It is unfortunate. It's unfortunate that Congress didn't move forward and certainly the president and I for myself, I would say it needs to continue to be a priority just because the Congress wasn't able to get this done at the end of last year. We are going to need more comprehensive permitting reform if we're going to move at the scale and speed that we need to build out the clean energy economy and to maintain energy security as we do so. And so I think and I hope that that will continue to be a priority. I'm confident it will be continue to be a priority for the president. And there is still opportunity to work on that front. And I think what you'll see is this administration as part of that effort to implement effectively using the existing tools that we have anywhere we can to try to rationalize the process, cut out time, make sure that we are doing things as effectively and efficiently as we can from the federal government side. A lot of this is about unlocking new investment in things like transmission lines all across the country that we need to facilitate more zero carbon electrons moving from point a to point B so I hope it will continue to be a priority. I expect it certainly will be for the president tonight. I think that there is a pathway to keep moving this on the hill. In the chips act, there wasn't a provision about buybacks when it was done. But now we are hearing senator Warren talk about not even being allowed to do buybacks if you accept some of the chips act largess. And one of her former advisers is getting is getting elevated, but I'm a Murthy. Is it does that mean it's likely that a lot of these chip makers will be at least at a temp will be made where they're not allowed to buy back stock? Well, the chips legislation itself had a provision that said that none of the money that the government provides can be used for stock buybacks. In the implementation of that secretary raimondo and the commerce team are going to flesh out what that means in practical terms. I think if you step back, the policy goal of using federal taxpayer dollars to try to encourage the build out of semiconductor fabs leading edge as well as legacy fabs and also to build the IP infrastructure around that in research and innovation, the whole goal of using federal taxpayer dollars is to encourage capital investment in the United States. And so that's not consistent with a company taking those funds and then doing significant buybacks. And so from a policy perspective, there's a logic to saying, if you need federal funding to move forward, your priority should be investing in America, investing in building out fast, investing in research here in the United States. So we're going to keep that policy goal in mind with every part of the implementation. Obviously, secretary mono and her team will speak to the specifics of that. Sorry to interrupt you. I just wanted to ask you one more thing. Governor desantis is going to prohibit ESG, I guess, funds in terms of muni bond sales, things of state can control. There has been a little bit of a backlash. Do you think that the pendulum swings both ways? It went way over this way. Now it's back. I don't know somewhere here. Do you think it's going to continue to fall out of favor or do you think that it's going to have a renaissance? Look, I think there's a lot of politics on this issue. I think underlying it is the core fiduciary obligation that a company has to act in the long-term interest of its shareholders needs to incorporate things that are material to those long-term outcomes. And so companies themselves are going to make decisions about what's material, but if you talk to operating companies, CEOs across sectors of the economy, things like how the physical impacts of a changing climate are going to affect their capital investments in certain parts of the country or the world. Are clearly material to their investments going forward. And so there is a lot of there's a lot of noise around this. I think that the core issue will be the increasing salience of these issues from pure investment perspective. I don't know what to say now, Brian. A lot of people, when they've had a great career like in government, they can, at that point, become a CNBC contributor. I mean, and not before, but we talked to you yet on that. I can't offer you that right now, but I know where to reach you. I appreciate that. I'm just focused on running through the tape here, but I will say it's been, it's been a privilege, it's been a lot of fun to spend some mornings with you guys over the last couple of years, so I appreciate you for doing it, Brian. We've shown he's just saying some of the morning. Some of the things I remember some of the more I remember some of the other mornings, but some of the mornings. It was completely pleasant, but you know, we've had some ups and downs here. I remember, well, I would hope every great relationship. I would hope so. It's not like, you know, everybody's just nodding when you're talking about it. There is some disagreement in the world right now. Absolutely. As you probably know. But seriously, thank you for taking me. We appreciate it. Great to see you, Brian. Thank you. Coming up on squawk pod a new gig for Pharrell. The musician is swapping the recording studio for the runway, and our own Robert Frank has the high fashion story. This is going to be his life and job and a very demanding one. So I think it radically changes his life. CNBC invites you to get Jim Cramer's guide to investing for free. 25 actionable rules to help you invest smarter and build long-term wealth. Get it now at CNBC dot com slash Kramer. That's CNBC dot com slash Kramer. Welcome back to squawk pod. Here's Becky quick. Louis Vuitton Tapping musical artist and producer Pharrell Williams as its new men's creative director. Robert Frank joins us right now with more on this strategic move from the luxury brand giant LVMH, Robert, what's behind the move? Well, Becky, as you say, investors happy about this LVMH cheers up 21% this year up again today. Now a market cap of over $440 billion, it is the most valuable company in Europe, CEO Bernard Arnault, closing in on a net worth of close to $200 billion. He is the richest person in the world right now. LVMH announcing yesterday, it's hiring Pharrell Williams, and this is part of a strategy, not just for being a luxury goods company, but what are now calls a culture company, they're Tapping into music, art, movies, even sports, to create hype and attention, LVMH is

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