White House Muzzles Peter Navarro After Larry Kudlow Smackdown

The White House has taken measures to minimize trade adviser Peter Navarro's public profile after a Tuesday clashj with top economic adviser Larry Kudlow, according to CNBCciting a person with knowledge of the matter. 

Kudlow disavowed comments from Navarro, a known China hawk, who last week lambasted Wall Street influence in US-China trade negotiations. 

Last week, Navarro said a potential deal with China "will be on President Donald J. Trump's terms. Not Wall Street's terms." Navarro, who has taken an aggressive stance toward changes in the U.S. trade relationship with China, contended that "there will be a stench around any deal that's consummated" because of Wall Street's involvement. The comments helped to sink the stock market. -CNBC

"He was not speaking for the president, nor was he speaking for the administration," Kudlow told CNBC on Tuesday. "His remarks were way off base. They were not authorized by anybody. I actually think he did the president a great disservice."

Despite the barbs thrown by Kudlow, neither official is expected to leave the Trump administration anytime soon according to CNBC's source, however it was acknowledged that Trump "could also change his mind at any time about Navarro's role." 

Trump and Chinese President Xi Jinping are scheduled to meet later this month at the G-20 meeting in Argentina where the two leaders are expected to discuss trade. 

Trump - threatening to put tariffs on an additional $257 billion in Chinese imports, on top of $250 billion already in place - has pushed for Beijing to address rampant Chinese theft of American intellectual property, and to reduce the US trade deficit with China. 

According to journalist Bob Woodward's book, "Fear," this isn't the first time Navarro has been muzzled by the White House - as other officials such as chief of staff John Kelly has limited Navarro's access to Trump. 

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