US President Donald Trump said he would impose a 25% tariff on countries that do business with Iran, escalating pressure on the Islamic Republic as protests rage across the country. The White House is still considering talks with Tehran, although Trump is leaning toward authorizing military strikes, the Wall Street Journal reported. The move comes as an Iranian official said that 2,000 people have been killed since the protests began two weeks ago – far higher than other estimates. Meanwhile, the secondary tariffs could threaten a temporary trade truce between the world’s two largest economies, since China is a major trading partner of Iran. If imposed, the extra duty would raise tariffs on most Chinese imports from 45% to 70%. How will China respond?
Trump on Monday threatened to cut Venezuelan oil exports to Cuba. For years, the communist-run island has gotten cheap Venezuelan crude in exchange for sending doctors and spies to Caracas. But Cubahasn’t received a shipment since mid-December, as Washington’s naval blockade choked out Venezuela’s exports even before the US abducted Nicolás Maduro earlier this month. Venezuela is Cuba’s largest source of oil, accounting for a third of the island’s imports. A crippling economic crisis brought on by mismanagement, corruption, and longstanding US sanctions has already caused 10% of Cuba’s people to flee in recent years. Things may be about to get drastically worse.
Canada’s Prime Minister Mark Carney is traveling to China today for talks on trade and security, marking the first visit by a Canadian leader to Beijing in nearly a decade. The trip comes as relations with Canada tries to mend relations with China and to diversify trade beyond its historically dominant partner, the United States. Carney is expected to pursue a more pragmatic and conciliatory approach toward Beijing than his predecessor, Justin Trudeau, whose relationship with China was at times fraught. Carney is expected to push for greater exports of crude and canola oil, and signal that Canada is open for business. China remains Canada’s second-largest trading partner after the US, and reducing Canada’s reliance on Washington has become a priority as ties come under strain.
In this “ask ian,” Ian Bremmer responds to the US investigation into Federal Reserve Chair Jerome Powell and why it matters far beyond interest rates.
If you spend a week in Ukraine, you’ll get a long list of advice. Download the air raid app. Download the power outage app. Don’t use elevators – you’ll be trapped if the power goes out. Download the map of bomb shelters. Bring batteries and portable chargers, more than you think. Take a course on how to tie a tourniquet.
30%: A pair of surveys showed that Thailand’s progressive opposition party is leading the polls ahead of the Feb. 8 general election.