Trump picks Tillerson
- Tillerson, 64, has no formal foreign policy experience
- But he has built close relationships with many world leaders
CNNMoney
Sources: Trump to pick ExxonMobil CEO Tillerson as secretary of state
Story highlights
(CNN)President-elect Donald Trump will select ExxonMobil CEO Rex Tillerson to serve as secretary of state,
multiple sources told CNN Monday night, setting up a heated Senate
confirmation battle and signaling a desire to ease Washington's
estrangement with Russia.
Like
Trump, Tillerson, 64, has no formal foreign policy experience, but has
built close relationships with many world leaders by closing massive
deals across Eurasia and the Middle East on behalf of the world's
largest energy company.
Tillerson
was originally a dark horse for the secretary of state nomination, but
emerged from a lengthy public interview and vetting process that
included better-known quantities like former New York Mayor Rudy
Giuliani, 2012 GOP nominee Mitt Romney and Sen. Bob Corker, chairman of
the Senate Foreign Relations committee.
Romney confirmed he was not the pick in a Facebook post Monday night, and Trump tweeted that he will announce his pick Tuesday morning.
Trump
has called Tillerson a "world-class player" and the transition team is
likely to stress that his mastery of complex negotiations and knowledge
of geopolitical factors shaping the oil industry are directly relevant
to heading US diplomacy and managing the State Department.
Trump's
decision to press ahead with the Tillerson nomination could ignite the
first big showdown between the new White House and Capitol Hill and set a
benchmark for Republicans worried about the direction of the
President-elect's own foreign policy. It will also embolden Democrats
who see Tillerson as perhaps the most vulnerable Trump Cabinet appointee
to a bruising Senate confirmation battle.
Republican
hawks such as Sens. John McCain and Marco Rubio are deeply perturbed by
the close relationship Tillerson forged with Russian President Vladimir
Putin. They fear Trump and Tillerson would bring US policy far more in
line with Russia, which is locked in the worst confrontation with
Washington since the Cold War and is seeking to again become a great
power rival to the United States.
Tillerson,
a multi-millionaire, he will be an easy fit in the roughly one-third of
Trump's emerging Cabinet which is made up of corporate titans and
wealthy Wall Street players. He is also another down-payment by the
President-elect to tear down the political establishment in Washington
and to replace the inhabitants of what he has called a "swamp" with new
blood and potential cabinet secretaries with real world experience.
But
in order to be confirmed, Tillerson must satisfy senators that there is
more to him than a businessman eyeing a new challenge in statesmanship.
Not
much is known, for instance, about his personal views on international
relations as distinct from the positions of his company.
His
views on the alliances like NATO and in Asia that have sustained
American power and global security since World War II — on which Trump
cast doubt during the presidential campaign -- are largely unknown.
He
will have to explain why his own lack of formal foreign policy
experience is not a disqualifying feature of his resume. After all,
negotiating is just one aspect of the job of secretary of state. The top
US diplomat must also frame a coherent foreign policy doctrine for the
United States, exemplify its values, have a deep grounding in history
and understand the complicated motivations of its international partners
and adversaries.
The confirmation
hearing would also force Tillerson to develop positions on issues
ranging from global warming to North Korea's nuclear program and US
humanitarian aid in the developing world.
Order of friendship from Putin
Tillerson
developed his close ties with Putin as he negotiated a deal with
Russian oil giant Rosneft to provide access to lucrative oil resources
in the Arctic. The agreement will be at the center of his confirmation
hearing.
For
his efforts, Putin awarded Tillerson Russia's prestigious Order of
Friendship in 2013. The deal has so far not yielded its promise.
Exxon
was hit hard by a round of US and European Union sanctions that
targeted Russia in 2014 for its intervention in Ukraine. Exxon said it
could have lost up to $1 billion due to the sanctions, according to
regulatory filings.
The sanctions
issue will provide ammunition for Democratic senators keen to probe
apparent glaring conflicts of interests across the nascent Trump
administration.
Even if Tillerson
were to sever all links and investments related to ExxonMobil, action he
took as secretary of state -- for instance, advocating the lifting of
sanctions against Russia over its annexation of Ukraine -- could clearly
benefit the firm and his former industry.
Photos: In transition: President-elect Trump
Trump
waves to a crowd at The New York Times building after meeting with some
of the newspaper's reporters, editors and columnists on Tuesday,
November 22. Six takeaways from the meeting
Hide Caption
8 of 15
Photos: In transition: President-elect Trump
Trump is flanked by Pence, left, and Romney after a meeting in Bedminster Township, New Jersey, on Saturday, November 19.
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Photos: In transition: President-elect Trump
"60 Minutes" correspondent Lesley Stahl interviews Trump and his family at his New York home on Friday, November 11. It was Trump's first television interview since the election.
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Photos: In transition: President-elect Trump
House Speaker Paul Ryan shows Trump and his wife, Melania, the Speaker's Balcony at the US Capitol on Thursday, November 10.
Hide Caption
11 of 15
Photos: In transition: President-elect Trump
Ryan listens as Trump speaks to the press at the US Capitol on November 10. Trump talked about his eagerness to join forces with Ryan to begin implementing new policies.
Hide Caption
12 of 15
Photos: In transition: President-elect Trump
Trump walks with his wife and Senate Majority Leader Mitch McConnell after a meeting at the US Capitol on November 10.
Hide Caption
13 of 15
Photos: In transition: President-elect Trump
Trump shakes hands with President Barack Obama following a meeting in the Oval Office
on November 10. Obama told his successor that he wanted him to succeed
and would do everything he could to ensure a smooth transition.
Hide Caption
14 of 15
Photos: In transition: President-elect Trump
Trump
delivers his acceptance speech during his election night event at the
New York Hilton Midtown hotel on Wednesday, November 9.
Hide Caption
15 of 15
Photos: In transition: President-elect Trump
President-elect Donald Trump waves during the Army-Navy football game, which was played in Baltimore on Saturday, December 10.
Hide Caption
1 of 15
Photos: In transition: President-elect Trump
Betsy
DeVos, Trump's pick for education secretary, speaks during an event in
Grand Rapids, Michigan, on Friday, December 9. Trump and his transition team are in the process of filling high-level positions for the new administration.
Hide Caption
2 of 15
Photos: In transition: President-elect Trump
Trump shakes hands with Iowa Gov. Terry Branstad at an event in Des Moines, Iowa, on Thursday, December 8. Trump re-introduced Branstad as his pick for US ambassador to China.
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3 of 15
Photos: In transition: President-elect Trump
Trump
greets retired Marine Gen. James Mattis at a rally in Fayetteville,
North Carolina, on Tuesday, December 6. Trump said he will nominate
Mattis as his defense secretary.
Hide Caption
4 of 15
Photos: In transition: President-elect Trump
Trump speaks to members of the media at Trump Tower in New York on December 6.
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5 of 15
Photos: In transition: President-elect Trump
Trump visits the Carrier air-conditioning company in Indianapolis on Thursday, December 1. Carrier announced
that it had reached a deal with Trump and Vice President-elect Mike
Pence, who is currently governor of Indiana, to keep about 1,000 of
1,400 jobs at its Indianapolis plant rather than move them to Mexico.
The Carrier plant had been a theme of Trump's campaign promise to
prevent more jobs from being outsourced to other countries.
Hide Caption
6 of 15
Photos: In transition: President-elect Trump
Trump, left, and former Massachusetts Gov. Mitt Romney share a meal in New York on Tuesday, November 29. Romney was reportedly in the running for secretary of state.
Hide Caption
7 of 15
Photos: In transition: President-elect Trump
Trump
waves to a crowd at The New York Times building after meeting with some
of the newspaper's reporters, editors and columnists on Tuesday,
November 22. Six takeaways from the meeting
Hide Caption
8 of 15
Photos: In transition: President-elect Trump
Trump is flanked by Pence, left, and Romney after a meeting in Bedminster Township, New Jersey, on Saturday, November 19.
Hide Caption
9 of 15
Photos: In transition: President-elect Trump
"60 Minutes" correspondent Lesley Stahl interviews Trump and his family at his New York home on Friday, November 11. It was Trump's first television interview since the election.
Hide Caption
10 of 15
Photos: In transition: President-elect Trump
House Speaker Paul Ryan shows Trump and his wife, Melania, the Speaker's Balcony at the US Capitol on Thursday, November 10.
Hide Caption
11 of 15
Photos: In transition: President-elect Trump
Ryan listens as Trump speaks to the press at the US Capitol on November 10. Trump talked about his eagerness to join forces with Ryan to begin implementing new policies.
Hide Caption
12 of 15
Photos: In transition: President-elect Trump
Trump walks with his wife and Senate Majority Leader Mitch McConnell after a meeting at the US Capitol on November 10.
Hide Caption
13 of 15
Photos: In transition: President-elect Trump
Trump shakes hands with President Barack Obama following a meeting in the Oval Office
on November 10. Obama told his successor that he wanted him to succeed
and would do everything he could to ensure a smooth transition.
Hide Caption
14 of 15
Photos: In transition: President-elect Trump
Trump
delivers his acceptance speech during his election night event at the
New York Hilton Midtown hotel on Wednesday, November 9.
Hide Caption
15 of 15
Photos: In transition: President-elect Trump
President-elect Donald Trump waves during the Army-Navy football game, which was played in Baltimore on Saturday, December 10.
Hide Caption
1 of 15
Photos: In transition: President-elect Trump
Betsy
DeVos, Trump's pick for education secretary, speaks during an event in
Grand Rapids, Michigan, on Friday, December 9. Trump and his transition team are in the process of filling high-level positions for the new administration.
Hide Caption
2 of 15
Photos: In transition: President-elect Trump
Trump shakes hands with Iowa Gov. Terry Branstad at an event in Des Moines, Iowa, on Thursday, December 8. Trump re-introduced Branstad as his pick for US ambassador to China.
Hide Caption
3 of 15
Photos: In transition: President-elect Trump
Trump
greets retired Marine Gen. James Mattis at a rally in Fayetteville,
North Carolina, on Tuesday, December 6. Trump said he will nominate
Mattis as his defense secretary.
Hide Caption
4 of 15
Photos: In transition: President-elect Trump
Trump speaks to members of the media at Trump Tower in New York on December 6.
Hide Caption
5 of 15
Photos: In transition: President-elect Trump
Trump visits the Carrier air-conditioning company in Indianapolis on Thursday, December 1. Carrier announced
that it had reached a deal with Trump and Vice President-elect Mike
Pence, who is currently governor of Indiana, to keep about 1,000 of
1,400 jobs at its Indianapolis plant rather than move them to Mexico.
The Carrier plant had been a theme of Trump's campaign promise to
prevent more jobs from being outsourced to other countries.
Hide Caption
6 of 15
Photos: In transition: President-elect Trump
Trump, left, and former Massachusetts Gov. Mitt Romney share a meal in New York on Tuesday, November 29. Romney was reportedly in the running for secretary of state.
Hide Caption
7 of 15
Photos: In transition: President-elect Trump
Trump
waves to a crowd at The New York Times building after meeting with some
of the newspaper's reporters, editors and columnists on Tuesday,
November 22. Six takeaways from the meeting
Hide Caption
8 of 15
Experience at ExxonMobil
Tillerson,
a native of Wichita Falls, Texas, has worked for ExxonMobil for 40
years after joining the firm as a production engineer and has steered
the giant global firm since 2006.
Through
the end of 2015, he had made more than $240 million as CEO, according
to an analysis from board and executive data provider Equilar.
That total includes his base salary, bonuses, stock awards and other compensation over 10 years.
His
nomination will be greeted with dismay by climate activists and
environmentalists who will see it as tantamount to a takeover of US
foreign policy by Big Oil.
But he
worked to somewhat soften ExxonMobil's stance on climate change since.
When he took over in 2006, the company was struggling with how to
balance its corporate interests with a growing public consensus on
global warming, according to Steven Coll's book "Private Empire:
ExxonMobil and American Power."
Under
the previous CEO Lee Raymond, ExxonMobil promoted skepticism about the
science of climate change. But Tillerson quietly adjusted the company's
position on the issue, according to Coll.
"Greenhouse
gas emissions could prove to be significant," Tillerson said in a
speech to the Council on Foreign Relations in 2007. "So it has been
ExxonMobil's view for some time that it is prudent to take action while
accommodating the uncertainties that remain."
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