Washington seeks improved access to strategic chip industry of island nation, over which China claims sovereignty.
Published On 16 Jan 202616 Jan 2026
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Taiwan and the United States have struck a trade deal that will see the island nation boost tech and energy investments in the US in exchange for lower tariffs.
In a statement announcing the deal late on Thursday, the US Commerce Department said Taiwan’s semiconductor and technology businesses will invest at least $250bn in the US. In exchange, it said Washington will reduce its general tariff on imports of Taiwanese goods from 20 percent to 15 percent.
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The deal illustrates an ongoing push by the US to improve access to Taiwan’s semiconductor industry. The island nation holds a dominant position in the supply of the chips used in advanced digital technology across the world and, therefore, a critical component in the global economy, but it faces Chinese claims over its sovereignty.
President Donald Trump announced a 32 percent tariff on Taiwanese goods as part of his sweeping “Liberation Day” tariffs last spring, a rate he later lowered to 20 percent.
The Commerce Department said the “historic” deal “will strengthen US economic resilience, create high-paying jobs, and bolster national security”.
In addition to investing $250bn in building and expanding advanced semiconductor, energy, and artificial intelligence production and innovation capacity in the US, Taiwan will provide at least the same amount in credit guarantees for additional investment by its businesses in the US semiconductor supply chain.
Silicon shield
Taiwan stressed that it would remain the world’s main semiconductor supplier.
The island’s chip industry has long been seen as a “silicon shield” protecting it from an invasion or blockade by China – which claims the island is part of its sovereign territory – and an incentive for the US to defend it.
“Based on current planning, Taiwan will still remain the world’s most important producer of AI semiconductors, not only for Taiwanese companies, but globally,” Economic Affairs Minister Kung Ming-hsin told reporters on Friday, the AFP news agency reported.
Production capacity for the advanced chips that power artificial intelligence systems will be split about 85-15 between Taiwan and the United States by 2030 and 80-20 by 2036, he projected.
Reacting to the accord, Beijing expressed its stern opposition.
“China consistently and resolutely opposes any agreement … signed between countries with which it has diplomatic relations and the Taiwan region of China,” China’s Ministry of Foreign Affairs spokesperson said, urging Washington to abide by Beijing’s one-China principle.
A photo released by the official North Korean Central News Agency (KCNA) shows North Korean leader Kim Jong Un (C) visiting a major munitions industry enterprise to review the production of weapons and combat equipment at an undisclosed location in North Korea, 28 December 2025 (issued 30 December 2025). File. Photo by KCNA / EPA
Jan. 4 (Asia Today) — North Korean leader Kim Jong Un visited what state media called a key military factory on Friday, inspecting upgraded production lines and ordering a roughly 2.5-fold expansion in output as he signaled a push for mass production and deployment of tactical guided weapons.
The Korean Central News Agency said Kim toured a “technologically upgraded” production area and a “flexible automated production system,” then directed the plant to increase its current capacity.
KCNA said Kim reviewed a “multi-purpose precision-guided weapon” produced at the factory and said it would be systematically fielded to major units starting in the first half of the year. The report said he told the Defense Ministry and the General Staff to expand production to meet unit-level demand.
State media portrayed the visit as a move to shift tactical guided weapons from years of testing and demonstrations toward operational deployment. KCNA said Kim pointed to shortcomings in production line design, mass-production facilities and modernization of the assembly process.
Kim also called for advancing modernization work while keeping current production running, a directive KCNA described as aimed at minimizing production gaps during new equipment investments. The report said he ordered a comprehensive review of construction and modernization plans for 2026 and demanded revised proposals.
KCNA separately released photos and footage of Kim inspecting guided-weapon production, including what the report described as anti-tank systems, while emphasizing improvements in the quality of parts supplied by cooperating factories.
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Denmark could become the latest customer of the P-8A Poseidon maritime patrol aircraft, after the U.S. government approved the sale to the Scandinavian country and NATO member. The potential acquisition is of particular relevance when it comes to Denmark’s increasing focus on the defense of Greenland. However, it also underscores how an ‘alliance’ of P-8 operators is fast developing in the northern hemisphere, with growing possibilities for collaboration to maximize these aircraft’s effectiveness in a region of huge strategic importance.
The U.S. Defense Security Cooperation Agency (DSCA) announced U.S. Department of State approval for the potential deal on December 29. The estimated $1.8-billion Foreign Military Sales (FMS) acquisition covers three aircraft, as well as related equipment, training, support, and other items. Notably, it does not include weapons or sonobuoys.
A U.S. Navy P-8A Poseidon, center, and two U.K. Royal Air Force Eurofighter Typhoons participate in Exercise Baltic Operations 2025 (BALTOPS 25) in the Baltic Sea, June 12, 2025. U.S. Marine Corps photo by Lance Cpl. John Allen
In September 2025, Danish Minister of Defense Troels Lund Poulsen said that the government could invest “tens of billions of [Danish] kroner” in buying the P-8, highlighting official backing for the deal at the highest levels.
“I would prefer that we cooperate with other NATO countries to get the most for the money and to have a greater degree of flexibility. But if that is not possible, I am also willing for us to acquire the P-8 aircraft capacity ourselves, which can basically hunt submarines,” Poulsen added.
“The proposed sale will enhance Denmark’s capability to meet current and future threats by providing a credible force that is capable of deterring adversaries and participating in NATO operations,” the DSCA said in its announcement. “The proposed sale will support its goal of improving national and territorial defense as well as interoperability with U.S. and NATO forces.” While the deal still needs to be cleared by Congress before a contract can be signed, this would appear to be just a formality.
The proposed package also includes four examples each of the Multifunctional Distribution System Joint Tactical Radio System (MIDS JTRS) and the AN/AAQ-24(V)N Guardian anti-missile laser countermeasures system, plus eight LN-251 Embedded Global Positioning Systems/Inertial Navigation Systems. Denmark is additionally cleared to receive an undisclosed number of MX-20HD electro-optical and infrared systems, AN/AAQ-2(V) acoustic systems, AN/APY-10 maritime surveillance radars, and AN/ALQ-213 early warning management systems.
The ALQ-213 is notable in that it is a product of the Danish Terma company; it brings together the various items of aircraft survivability equipment on a given platform, coordinating between the various threat-warning and dispensing systems to automatically dispense the appropriate sequencing pattern and expendables to protect the aircraft, as outlined in the video below.
Electronic Warfare Management System for C-130J
In 2025, Boeing — the manufacturer of the P-8 — and Terma signed a memorandum of understanding (MoU) in 2025 to explore closer cooperation on the Poseidon program, including maintenance, repair, and overhaul (MRO) support in Denmark. Potentially, Denmark could become home to an MRO hub that could service its own P-8s, as well as those of other customers.
The timelines for the construction and delivery of the aircraft were not announced.
For the Royal Danish Air Force (RDAF), the P-8 would provide an enormous leap in capability. Currently, it has no dedicated fixed-wing maritime patrol aircraft. Instead, it relies on three multirole Bombardier CL-604 Challenger bizjets that can be equipped with various sensors for maritime work. However, their lack of weapons and anti-submarine warfare kit means they are best suited to tasks such as fisheries protection, pollution control, and search and rescue.
A CL-604 Challenger aircraft on patrol over Danish waters. RDAF
The RDAF also has MH-60R Seahawk helicopters, which primarily operate from naval vessels.
For the RDAF, the main areas of maritime operation are in the North Atlantic Ocean around Greenland and the Faroe Islands, as well as in the Baltic Sea.
Denmark’s lack of true long-range maritime patrol capabilities is especially surprising considering the vast maritime areas involved. Not only are these part of the Danish Armed Forces’ key responsibilities in terms of homeland defense, but they are also regions of growing strategic importance, with heightened Russian naval activity in the North Atlantic and Arctic.
Greenland’s importance lies in its strategic location between North America and Russia. Though the island has a significant degree of autonomy, it remains part of the kingdom of Denmark. In recent years, there has been increased interest in the natural resources of this island, which is normally classified as the world’s biggest. The potential for mining for rare earth minerals, including uranium and iron, makes it a particular prize.
The view from the flight deck of a Royal Danish Air Force C-130J transport during a mission over Greenland. RDAF
In terms of trade, Greenland lies on the shortest route from North America to Europe, further underlining its strategic importance to the United States.
Greenland has long been militarized, with the United States at the forefront of this throughout the Cold War, under an agreement with Denmark. Today, it still supports a U.S. radar base, which was transferred to the command of the U.S. Space Force in 2020.
A satellite view of Pituffik Space Force Base in Greenland. Google Earth
U.S. President Donald Trump has highlighted the importance of the island to military efforts to track Chinese and Russian ships, which he said are “all over the place.” Trump has also repeatedly expressed his desire to acquire Greenland, describing the island as “critical” for national and economic security. In response, Greenland’s prime minister has said the territory is not for sale, adding that “Greenland belongs to the people of Greenland.”
Not surprisingly, Greenland has been central in Denmark’s Arctic Capability Package, first unveiled in 2021.
In October 2025, Denmark announced $4.2 billion of additional defense spending to cover the Arctic and North Atlantic regions, including Greenland. At the same time, it also said it would increase its F-35A fleet to 43, buying another 16 of the stealth jets at a cost of $4.5 billion.
Danish Minister of Defense Troels Lund Poulsen (right) greets the F-35 pilot nicknamed PLA, who flew the first F-35A to Skrydstrup Air Base in Denmark, on September 14, 2023. Photo by Bo Amstrup / Ritzau Scanpix / AFP
The plan also includes buying two new Arctic ships, early warning radar, and maritime patrol planes. Denmark will also establish a new Arctic command headquarters in Nuuk, the capital of Greenland, alongside a new military unit under Joint Arctic Command in Greenland.
It would seem likely that the RDAF will station at least one P-8 in Greenland, if only on a rotational basis. This would parallel what it has done with one of its CL-604s since 2021, when it was announced that one of the jets would be based at Kangerlussuaq year-round to perform maritime surveillance.
Providing the deal is signed off, with the P-8, Denmark will be getting the heaviest and most powerful in-production maritime patrol aircraft on the market, rather than a smaller or cheaper solution.
A U.S. Navy P-8A launching a trio of AGM-84 Harpoon anti-ship missiles during a test. U.S. Navy A P-8A launching a trio of AGM-84 Harpoon anti-ship missiles during a test. U.S. Navy
As well as its performance advantage, the P-8 is also a true multi-mission platform. As well as weapons, it carries a range of sensors for use during anti-submarine warfare, anti-surface warfare, intelligence, surveillance, and reconnaissance (ISR), and search and rescue missions. Furthermore, even with its standard electronic support measures (ESM) suite, the P-8 can act in an electronic intelligence collection role, specifically on enemy air defenses and electronic order of battles. This is of relevance overland, as well as during maritime missions.
Its price tag is the main reason for the relatively small number of aircraft in the initial Danish package, although more could be added later.
The RDAF will also be able to expand the capabilities of its small P-8 fleet by using them in conjunction with its four MQ-9B SkyGuardian unmanned aerial systems, which were ordered in July 2025 and are due to be delivered between 2028 and 2029.
At the same time, Denmark will be joining a growing P-8 operators’ group that will be active in the region.
The United Kingdom has nine examples of the Poseidon MRA1 (equivalent to the P-8A) operational, while Norway has five P-8As.
A U.K. Royal Air Force Poseidon MRA1, seen here flying over the coast of Scotland. Crown Copyright
Germany ordered eight P-8As, with the first of these being delivered in November 2025. Berlin has said these P-8s will be deployed periodically to RAF Lossiemouth in Scotland, where they will support the resident U.K. Royal Air Force Poseidon fleet of nine aircraft.
A P-8A destined for the German Navy. Boeing
The United Kingdom and Norway have also discussed plans to cooperate on P-8 operations, and adding Denmark (and Germany) to this initiative would provide a major boost for NATO’s ability to effectively patrol the North Atlantic. This includes the strategically vital Greenland, Iceland, United Kingdom Gap, better known as the GIUK Gap, a critical bottleneck that is closely monitored. If Russian submarines can sneak through undetected, they have a much better chance of disappearing into the Atlantic without being traced. During a full-blown conflict, this would likely include wreaking havoc on NATO shipping and naval flotillas and executing pinpoint attacks on key land targets. While it is very much a multi-mission platform, this kind of mission remains central to the P-8’s existence.
Dating from the Cold War but still relevant today, a map of the GIUK Gap. CIA.gov
Finally, Canada has 14 P-8As on order with an option for two more, with deliveries scheduled between 2026 and 2027. Canada is another country that has responded to the demands of a steadily more contested Arctic region by investing in maritime patrol and surveillance.
An artist’s concept of a P-8A Poseidon in Canadian service. Boeing
With this in mind, should Denmark’s P-8 deal be signed off, the Royal Danish Air Force will enjoy commonality with several regional partners, making it more straightforward to conduct joint operations, collaborate on training, and maximize interoperability and data exchange during operational missions. Aside from that, Denmark getting its hands on the Poseidon would be a huge deal for them, providing it with an aircraft capable of launching sizeable weapons, including anti-ship cruise missiles.
Whether Denmark gets the P-8 or opts for an alternative platform, the approval of the sale is another indicator of NATO’s growing focus on Arctic surveillance, via robust maritime patrol capabilities. For Denmark, buying the P-8 would also be a firm statement of its intent to protect the strategic waters surrounding Greenland.
A feasibility study has concluded that a railway tunnel beneath the Strait of Gibraltar is technically viable, with Spain now commissioning blueprints for the ambitious project
The tunnel would be bored beneath the nine-mile stretch of water separating southern Spain from Morocco(Image: Getty)
A colossal underwater tunnel linking Europe and Africa could finally be on the cards after the project received a major boost.
The ambitious project, which would see the tunnel burrow beneath the Strait of Gibraltar, has been reignited by Spain after being mooted by various governments for decades. Now scientists have declared that such an engineering feat is possible.
In October, a study commissioned by the Spanish Government and carried out by German tunnel experts Herrenknecht concluded that drilling a railway tunnel below the Strait would be technically achievable with current technology. Since then, Spanish consultancy firm Ineco has been tasked with drawing up a blueprint for the project by the end of next year, with hopes that Government approval could be granted as early as 2027.
The concept of creating a man-made link between Europe and Africa first surfaced in the 1970s, popping up intermittently in election campaigns and Government agendas since then, but no tangible steps have been taken until now. Previous proposals included the establishment of a joint Spain-Morocco committee in 1979 to assess the feasibility of the plan.
The proposed tunnel, to be drilled beneath the nine-mile stretch of water separating southern Spain from Morocco, would take inspiration from the Eurotunnel, which opened in 1994 and links Britain to northern France under the English Channel.
The Herrenknecht report, formally commissioned by the Spanish Society for Studies on Fixed Communication across the Strait of Gibraltar (Secegsa), under the Ministry of Transport, has assessed the feasibility of constructing the railway tunnel in its most complex sections, especially under the Camarinal Threshold – an area with extremely difficult geological conditions.
The most recent cost estimate for the project is €8.5 billion (£7.4 billion), according to Voz Populi.
The project, featuring two separate railway tunnels each carrying trains in one direction, is set to connect Punta Paloma in Cadiz with Morocco’s Cape Malabata, near Tangier. The tunnel would span roughly 26 miles, with nearly 17 miles of the route submerged underwater, reports the Express.
It’s also projected to reach a depth of 1,540 feet – significantly deeper than the Channel Tunnel, which only dips to 246 feet below sea level. Upon completion, the journey is estimated to take about 30 minutes by train, with the capacity to carry both passengers on high-speed AVE trains and freight.
The project faces significant technical challenges, particularly due to its location at the boundary between the Eurasian and African tectonic plates along the Azores-Gibraltar fault line, Morocco World News reports.
If given the green light, fieldwork is anticipated to commence in 2030, with the main construction phase scheduled for between 2035 and 2040. However, these dates could be subject to change.
While initial plans aimed to complete the tunnel by 2030, coinciding with the FIFA World Cup co-hosted by Spain, Portugal, and Morocco, experts have since stated that this timeline is unrealistic, given the project’s complexity and its current preliminary stage of studies.
The current proposed route, from Punta Paloma to Cape Malabata, comes after decades of discarded proposals, including an early concept for a suspension bridge. This type of connection was eventually ruled out due to the Strait’s depth, seismic activity and extreme wind conditions.
The project is being jointly managed by SECEGSA and its Moroccan counterpart, SNED (National Society for Strait Studies). Both organizations are working to establish a reliable rail connection for passengers and freight between Europe and North Africa.
The House Armed Services Committee approved a bill authorizing $601.4 billion in defense spending for next year, including a 3.9% pay raise for troops.
The pay increase and other service benefits — such as a prohibition on increased healthcare fees — is more than President Bush wants. But it is in sync with a broader election-year effort by lawmakers to boost benefits for service members and veterans.
The Senate Armed Services Committee has proposed a similar defense bill that includes the 3.9% pay increase — all but guaranteeing the provision will be included in the final bill and sent to Bush for his signature this summer.
The legislation covers the 2009 fiscal year, which begins Oct. 1.
UK plans to boost ranks of armed forces by offering young people paid military experience amid growing Russian threats.
Published On 27 Dec 202527 Dec 2025
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Teenagers in the United Kingdom will be offered paid “gap years” with the armed forces under a new “whole of society” approach to national defence that aims to increase recruitment among young people, according to reports.
The London-based i Paper reported on Friday that the UK’s Ministry of Defence hopes the scheme will broaden the appeal of military careers for British youth as tensions with Russia rise across Europe.
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The scheme will initially be open to about 150 applicants aged 18 to 25 in early 2026, with ministers aiming to eventually expand the programme to more than 1,000 young people annually, depending on demand, according to British radio LBC.
With fears of threats from Russia growing amid Moscow’s war on Ukraine, European countries have looked to national service for young people as a means to boost their ranks, with France, Germany and Belgium announcing schemes this year.
Recruits to the UK scheme will not be deployed on active military operations and while pay has not been confirmed, the UK’s LBC news organisation reported that it is expected to match basic recruit salaries, typically about 26,000 pounds, or $35,000.
Under the programme, army recruits would complete 13 weeks of basic training as part of a two-year placement. The navy scheme would last one year while the Royal Air Force (RAF) is still considering options, according to reports.
UK Defence Secretary John Healey told the i Paper: “This is a new era for Defence, and that means opening up new opportunities for young people.”
News of the programme follows remarks earlier this month from the UK’s Chief of the Defence Staff, Air Chief Marshal Richard Knighton, who said Britain’s “sons and daughters” should be “ready to fight” and defend the country amid Russian aggression, the Press Association reports.
Knighton said that while a direct Russian attack on the UK is unlikely, hybrid threats are intensifying.
He referenced a recent incident involving a Russian spy ship suspected of mapping undersea cables near UK waters.
“Every day the UK is subject to an onslaught of cyber-attacks from Russia and we know that Russian agents are seeking to conduct sabotage and have killed on our shores”, Knighton said, warning that Russia’s military had become a “hard power [which] is growing quickly”.
The UK government announced earlier this year that defence and security spending will rise to 5 percent of gross domestic product (GDP) by 2035.
The Ministry of Defence (MoD) is to launch a “gap year” scheme to give school and college leavers a taste of the Army, Royal Navy and RAF, but without making a long-term commitment.
The paid 12-month course is aimed at under-25s and is part of efforts to help solve long-term recruitment and retention problems in the armed forces.
Applications open in spring 2026 to be part of the first cohort of 150 recruits, with ministers planning for the scheme to eventually grow to 1,000 young people a year.
The programme is paid but officials have yet to announce a salary.
The MoD says those who join the “gap year” programme will learn skills of leadership, teamwork and problem solving to set them up “for life” whether they pursue a career in the armed forces or not.
Officials hope the scheme will bring a broader range of people into the forces, and that some decide to stay to pursue a career in the military.
Defence Secretary John Healey MP said: “This is a new era for Defence, and that means opening up new opportunities for young people to experience and learn from our Armed Forces.
“This gap year scheme will give Britain’s young people a taste of the incredible skills and training on offer across the Army, Royal Navy and RAF. It’s part of our determination to reconnect society with our forces, and drive a whole of society approach to our nation’s defence.
“As families come together at this time of year, and young people think about their futures, I want the outstanding opportunities on offer in our Armed Forces to be part of that conversation in homes across the UK.”
Shadow defence secretary James Cartlidge said: “As ever with Labour, the reality does not match the spin. A scheme involving just 150 participants is barely a pilot, let alone the ‘whole of society’ response they claim to be delivering.
“Of course, the Australian scheme has its strengths but these tiny numbers do nothing for our war readiness, and expose the harsh reality that Labour is prioritising higher welfare spending over a proper increase in the defence budget. Meanwhile, their Defence Investment Plan is months behind schedule, and we still have no idea when, or how, they intend to reach 3% of GDP on defence.
“In contrast, the Conservatives are serious about defending our country, which is why we announced the Sovereign Defence Fund, to raise an additional £50bn for defence and strengthen our deterrence by giving our Armed Forces the modern capabilities they need.”
The “gap year” scheme was recommended by the UK Strategic Defence Review in June after being inspired by the Australian Defence Force (ADF).
The ADF gap year programme has been in operation for more than a decade, with applicants offered the chance “get a feel for military life while enjoying unique experiences you can’t find anywhere else”.