Gary Cohn, Trump's top economic adviser, will leave White House in tariff tiff

Show Caption Hide Caption Gary Cohn to resign as economic advisor for President Trump Top Trump economic adviser Gary Cohn is leaving the White House after breaking with President Donald Trump on trade policy.

WASHINGTON — White House economic adviser Gary Cohn will resign amid a fierce internal debate over proposed tariffs on foreign-made steel and aluminum.

Cohn headed a globalist, free-market wing of the White House often at odds with Trump's own nationalist policies on immigration and trade. His departure comes at President Trump prepares to impose tariffs of 25% on foreign-made steel and 10% on aluminum, sparking fears of a trade war.

The move was first reported by The New York Times just after markets closed Tuesday. Cohn did not attend a press conference Trump held with the Swedish prime minister Tuesday, where Trump proclaimed that "trade wars aren't so bad."

At that press conference, Trump downplayed the impact of departures from his staff.

"Yes, they'll be people — I'm not going to be specific — but there will be people that change. They always change," he said. "I could take any position in the White House and I'll have a choice of the 10 top people having to do with that position."

Cohn is the latest top aide to depart the White House in recent weeks: Staff Secretary Rob Porter was fired last month amid domestic violence allegations, and Communications Director Hope Hicks announced her departure last week.

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In a now-familiar template, the White House acknowledged the departure in a series of written statements from Trump, the chief of staff, and Cohn himself.

President Trump said Cohn "did a superb job in driving our agenda," leading the administration's effort to enact tax cuts last year. "He is a rare talent, and I thank him for his dedicated service to the American people," Trump said.

Chief of staff John Kelly said Cohn served with great distinction. "I will miss having him as a partner in the White House, but he departs having made a real impact in the lives of the American people.”

And Cohn said it was an honor to help "enact pro-growth economic policies to benefit the American people" and expressed gratitude for the opportunity. "I am grateful to the President for giving me this opportunity and wish him and the Administration great success in the future," he said.

Cohn, whose formal title was director of the National Economic Council, was a former president of Goldman Sachs and a registered Democrat before joining Trump's White House.

His influence transcended that of an economic adviser: At various times, his name had been floated as a possible candidate to chair the Federal Reserve Board, or to succeed Kelly as chief of staff.

But relations between Trump and Cohn soured after violence in Charlottesville, Va.

Cohn took exception to Trump's comments that "all sides" were responsible for clashes at a rally organized by white supremacists and neo-Nazis to protest the city's plans to remove a Robert E. Lee statue. One alleged white supremacist has been charged with second-degree murder after a hit-and-run that left one woman dead and injured 19 people.

In an interview with The Financial Times, Cohn said the administration "can and must do better" to condemn hate groups, and "do everything we can to heal the deep divisions that exist in our communities.”

At the time, Cohn said he would remain at the White House to see through a tax cut bill that has become the signature legislative accomplishment of the Trump presidency. Trump signed that bill into law in December.

Cohn's portfolio also included infrastructure, an initiative that remains stalled in Congress, health care, trade and cybersecurity.