Business

Aug. 6 (UPI) — Brazil and China have launched a pilot program that will allow Chinese tourists and consumers to pay with the UnionPay app at Brazilian businesses that accept Pix.

The initiative expands financial cooperation between the two countries as Brazil’s payment system remains part of the backdrop of the trade dispute between Brazil and the United States.

UnionPay International and the Chinese Consulate General in Rio de Janeiro announced the project and said users of the UnionPay app and participating Chinese banks will be able to make payments by scanning QR codes at businesses connected to Pix.

According to the consulate, the initiative will facilitate travel, trade and bilateral exchanges through “safer, faster and more convenient” payments.

During this initial phase, announced Tuesday, Chinese users can use their regular app to pay directly in Brazil. In a later phase, the service will gradually expand to other digital wallets associated with UnionPay, the People’s Daily reported.

The measure also comes as Chinese tourism to Brazil continues to grow.

The country welcomed 94,400 Chinese tourists between January and November 2025, a 34% increase from a year earlier, according to the Brazilian Agency for International Tourism Promotion, or Embratur. That established China as one of Brazil’s tourism markets with the greatest growth potential.

Embratur expects that flow to reach a record in 2026, officially designated as the “Brazil-China Year of Culture.” The agency attributed the trend to its strategy of strengthening Brazil’s presence in Asia.

Its president, Marcelo Freixo, described China as “a key market with enormous expansion potential, as it is the world’s largest source of outbound tourists,” according to El Diario del Viaje.

The integration of UnionPay and Pix is part of broader financial cooperation between the two governments. According to Brasil 247, the People’s Bank of China and the Central Bank of Brazil signed a memorandum of understanding on strategic financial cooperation in May 2025.

In June this year, the two institutions held another meeting of their working group to examine mechanisms that facilitate payments and financial transactions linked to trade between the countries.

Experts cited by the People’s Daily said the connection between UnionPay and Pix could make it easier for Chinese tourists to shop in Brazil and serve as a model for expanding this type of payment to other Latin American countries.

Pix’s international expansion also comes as the system remains at the center of the commercial debate between Brazil and the United States.

An investigation conducted by Washington under Section 301 of the Trade Act of 1974 concluded that Pix’s regulatory framework gave preferential treatment to the system operated by the Central Bank of Brazil over other electronic payment companies.

The investigation contedned that the Central Bank acts as both the market regulator and the operator of Pix and questioned the requirement that financial institutions prominently display the system in their apps without charging users any fees.

The United States said those conditions affect U.S. payment companies, such as Visa and Mastercard.

The investigation was one of the factors later considered by Washington when it announced additional tariffs on Brazilian products, according to BBC News.

Brazil rejected those conclusions. The government said Pix is a public infrastructure designed to increase competition and expand financial inclusion, while the Brazilian Federation of Banks said the system reduces payment costs and encourages innovation.

Launched by the Central Bank of Brazil in 2020, Pix currently has 176 million users and processes more than 7 billion transactions each month, according to Central Bank data.

Meanwhile, Brasil 247 reported that transactions made in Brazil during the first half of 2026 using UnionPay cards issued in China increased by more than 30% compared with the same period a year earlier, reflecting growing economic exchanges between the two countries.

Dory Funk Jr., a pro wrestling icon and one of three members of the Funk family to be inducted into the WWE Hall of Fame, has died at age 85.

Marti Funk, Funk’s wife of 40 years, told Florida’s Ocala Gazette that her husband died Tuesday while in hospice care. No further details were given.

Born on Feb. 3, 1941, in Hammond, Ind., Funk was the oldest of Dory and Dorothy Funk’s two sons. Spending most of his childhood in Amarillo, Texas, Funk grew up admiring his father, a professional wrestler and promoter who once wrestled in Canada as a heel named the Outlaw who hailed from the fictitious location Double Cross Ranch. As wrestlers, Funk and his brother, Terry, often were billed as being from there as well.

“As a kid, I used to dream I could do all the things my father could do,” Funk said during a 2007 interview for World Wrestling Entertainment. “I wanted to be just like him.”

Funk played offensive and defensive line on the West Texas State University football team (now West Texas A&M) from 1959 to 1962 — he was inducted into the university’s athletics Hall of Fame in 1990 — and went straight into professional wrestling. His 50-plus years in the business included stints in a number of associations across the U.S. and Japan.

He was the National Wrestling Alliance heavyweight champion for more than four years uninterrupted (February 1969 to May 24, 1973). In 1986, Funk and his brother joined WWE (then known as WWF) as a team and defeated Tito Santana and Junkyard Dog at WrestleMania 2.

Funk’s involvement in wrestling also expanded into promotion. In addition, he and Marti owned and operated the Funking Conservatory, a wrestling school where he trained a number of future WWE superstars including Kurt Angle, Christian, Edge, the Hardy Boyz, Mark Henry and Mickie James.

“He was such a good guy,” Marti told the Ocala Gazette, “such a good guy!”

The Funk brothers were inducted into the WWE Hall of Fame in 2009. Dory Funk Sr., who died in 1973 at age 54, was inducted posthumously to the hall’s Legacy Wing in 2025. Terry Funk died in 2023 at age 79.

WWE chief content officer Triple H announced Funk’s death Tuesday afternoon on social media.

“From the Double Cross Ranch to the @WWE Hall of Fame, Dory’s style inspired countless performers in our industry” Triple H wrote. “Whether it was at WrestleMania 2, WCW, ECW, or the dozens of NWA-affiliated promotions, his travels across North America and Asia were a part of the early blueprint that helped build this business into a global phenomena.

“A hard-nosed and fierce competitor, his rugged in-ring style was only eclipsed by the decades he spent training athletes to perform in the squared circle he loved so much. My thoughts and those of the entire @WWE Universe are with his loved ones during this difficult time.”

Aug. 4 (UPI) — The U.S. labor market saw an increase in the number of hires in June despite a drop in the number of job openings, the Bureau of Labor Statistics said Tuesday.

Some of the highest decreases were seen in the number of jobs in education and health services, which lost some 133,000 jobs, or 8% since May.

But overall, hiring increased in June by 96,000, according to the most recently available data from the Job Openings and Labor Turnover Survey.

“Put together, the labor market is finding steadier footing,” Nicole Bachaud, a labor economist at ZipRecruiter, told CNN.

Experts had expected the number of available jobs to drop in June, CNN reported.

“Hires ticking up even as postings slow is the kind of detail that keeps this from reading as a market losing steam,” Bachaud added to the outlet. “Whether that holds through the summer will depend a lot on whether prices and consumer spending stabilize or keeps sliding.”

But Dan North, a senior economist with Allianz Trade, said the numbers are not strong enough to suggest a dramatic shift in the jobs market.

“The wheels are not coming off the bus — there’s certainly not negative job growth at the moment,” North told CNN.

“It’s stable, somewhat solid, but there are signs of decay and shakiness underneath,” he added.

Aug. 4 (UPI) — McDonald’s on Tuesday named a company veteran to lead the burger chain’s largest market.

Skye Anderson, who has been with the company for 26 years, will oversee nearly 14,000 restaurants as president of McDonald’s USA. She had previously been chief operating officer of the company’s U.S. business.

Chris Kempczinski, chairman and CEO of McDonald’s Corporation, said Anderson combines “deep operational discipline with strong financial judgement.”

“I’ve had the opportunity to work closely with Skye throughout much of her career, and I’ve repeatedly turned to her to lead some of our most important businesses and transformation efforts because she’s a proven change agent who can act with urgency to mobilize our System,” Kempczinski said in a statement.

Anderson succeeds Joe Erlinger, a 20-year McDonald’s veteran who had been president for the past seven years before deciding to leave the company.

Kempczinski said Erlinger will work closely with Anderson during the transition period.

Anderson’s appointment comes at a tricky time for McDonald’s, as the company on Tuesday reported quarterly results falling short of its expectations.

Executives described the performance as “disappointing,” CNBC reported.

“We don’t have a strategy problem,” Kempczinski said, the outlet reported. “We simply didn’t execute at the level we needed to in the second quarter.”

Aug. 4 (UPI) — British oil giant BP posted second-quarter profit on Tuesday of $5.7 billion, more than double the $2.35 billion it made in the April to June period in 2025, amid sharply higher oil and gas prices caused by the U.S.-Iran conflict.

Profit was $2.5 billion more than what the company made in the first quarter, the first two months of which were before the United States and Israel attacked Iran on Feb. 28, and easily beat the $5 billion expected by analysts.

BP’s results, the latest of the oil giants to report bumper profits in recent days following on from Shell, Exxon Mobil and Chevron, came a day after U.S. President Donald Trump accused energy firms of exploiting the current shortage of supply.

“Based on a shortage, they’re making too much money,” he said Monday after Exxon Mobil and Chevron last week reported a combined $26.5 billion profit for the second quarter.

Trump demanded the companies return some of their windfall to the public by cutting their retail prices, saying profits that had jumped as much as 12-fold were not acceptable and that he was not happy about it.

On Friday, Shell, the other British supermajor, also posted results showing it more than doubled its earnings, reporting a $9.84 billion profit for the April to June period, up from $4.26 billion in the same period last year.

Environmental groups criticized the profit made by BP as unseemly.

“Clearly not everyone is feeling the pain of the energy crisis. While BP banks another round of enormous profits, millions of households are paying the price through sky-high energy bills and a climate crisis accelerating rapidly out of control with increasingly severe heatwaves, wildfires and droughts,” said Friends of the Earth campaigns head Rosie Downes.

BP CEO Meg O’Neill told CNBC on Tuesday that while she understood the pressure ordinary consumers felt when they were confronted by the prices at the pump, the company had little control over the cost.

“The reality is we produce a global commodity and the prices for the product we sell hangs off that global commodity price, said O’Neill, who stressed that the sterling financial results were due to strong performances across all its businesses,” she said.

She added that the company had tweaked the firm’s refining runs to ensure the products consumers needed most at any given point in time were available in sufficient quantities but insisted BP was “there was more to do.”

“We are not making the most of our potential. Our performance over the past few years has not met our own expectations, let alone those of our shareholders. We have not delivered consistently; we have written off too much value; and our costs and liabilities are not resilient enough in a low price environment,” said O’Neill.

BP’s results came four days after it put its North Sea oil business on the market amid uncertainty over whether the British government will forge ahead with phasing out North Sea oil and gas, in line with its Net Zero by 2050 target, or issue some new drilling licences to meet U.K. demand in the interim.

O’Neill said Tuesday that in a conversation with Prime Minister Andy Burnham he had assured her that he would take a “pragmatic” approach to the issue.

“The U.K. is still using a huge amount of oil and natural gas every single day, and we ought to be using our domestic resources first instead of buying those resources from a third party,” O’Neill added.

Analysts estimate BP’s 24 fields, about half of which are still producing, should fetch around $2.6 billion.

There are estimated to be at least 12 billion barrels of oil left under the North Sea, although developed reserves awaiting to be pumped are much lower.

The states claim the new levies are a pretext to re-impose tariffs that were ruled illegal by the US Supreme Court.

A group of 25 Democratic-led states has sued Donald Trump’s administration over its latest tariffs, claiming that the US president has exceeded his legal authority to implement the levies.

The lawsuit, filed in the US Court of International Trade on Monday, targets new double-digit tariffs imposed on 60 trading partners last month over allegations they were not doing enough to stop the importation of goods produced with forced labour.

These latest tariffs took effect just as the clock ran out on temporary tariffs that Trump had turned to after the Supreme Court struck down his flagship “liberation day” levies in a February ruling.

“After losing at the Supreme Court, the administration is once again trying to illegally raise taxes on families and businesses with a new round of tariffs,” said New York Attorney General Letitia James.

The states that sued over the new tariffs, including Oregon and New York, all have Democratic attorneys general or governors.

In response, White House spokesman Kush Desai said the levies were an appropriate and legal response to unfair trade practices in other nations.

“A foreign country’s failure to impose and effectively enforce a prohibition on the importation of goods produced with forced labor is unreasonable and burdens US commerce, including American workers, and must be addressed,” Desai said.

Revive US manufacturing

Trump, who argues that high tariffs will revive US manufacturing, last year overturned decades of Washington policy that favoured lower tariffs and ever-freer trade.

Invoking the 1977 International Emergency Economic Powers Act (IEEPA), he imposed double-digit tariffs on imports from almost every country, saying the US’s longstanding trade deficit amounted to a national emergency.

But the Supreme Court ruled that IEEPA did not authorise tariffs. The decision forced the administration to establish a refund process for importers who had paid the tariffs.

Eager to make up the lost revenue, Trump turned to temporary 10 percent worldwide tariffs, but they expired at midnight on July 24.

The latest round of global tariffs was imposed under Section 301 of the Trade Act of 1974, meant to combat unfair or discriminatory economic practices by other nations. The tariffs imposed in July affect more than 99 percent of US imports.

The states’ complaint, like two previous lawsuits filed by small businesses over the tariffs, argued that the new tariffs used “forced labor” as a pretext to re-impose the tariffs that had already been ruled illegal in court. They said that a sweeping tax on imports would do nothing to address the real problems of forced labour around the world.

Hungary’s corporate landscape is undergoing its most significant transformation in decades as businesses that flourished under former Prime Minister Viktor Orban adjust to a new political order led by Prime Minister Péter Magyar. Companies that once benefited from close ties to the previous government are now restructuring their operations, while investors and foreign firms are watching for signs of a more competitive business environment.

The shift follows Magyar’s decisive election victory in April, ending Orban’s 16 year rule and ushering in an administration that has pledged to curb political favoritism, increase transparency in public procurement, and align Hungary more closely with European Union governance standards.

Construction Giants Shift Strategy

One of the clearest signs of the changing business climate comes from Market Építő, one of Hungary’s largest construction firms, which has historically secured major government backed infrastructure projects, including football stadiums.

Chief Executive Sandor Scheer said the company is preparing for a future less dependent on large public contracts.

“We are preparing for a shift where, instead of large scale projects, we will have a higher volume of smaller scale projects, and housing and infrastructure construction will become dominant,” Scheer told Reuters.

The company, which has been linked to Orban ally Istvan Garancsi, generated roughly one quarter of its revenue from public contracts during the previous administration.

End of the Crony Capitalism Model?

For years, Orban’s political allies built powerful business empires through access to state spending, public tenders, and favorable regulations across sectors including construction, banking, telecommunications, and real estate.

Analysts believe companies that relied heavily on government infrastructure spending now face the greatest risks.

Daniel Hegedus, Deputy Director of Berlin’s Institute for European Politics, said construction and road building companies closely tied to Orban’s political network could struggle to survive as contracts become more competitive.

Some firms, analysts warn, may disappear entirely if they fail to adapt to a marketplace where political connections carry less influence.

Government Pushes Transparency Reforms

Prime Minister Magyar has moved quickly to introduce anti corruption legislation designed to satisfy long standing European Union concerns over Hungary’s procurement system.

A 2024 OECD survey found Hungary had an unusually high number of single bidder public procurement contracts, while research by Hungarian anti corruption think tank CRCB concluded there was clear evidence of political favoritism in state tenders during the Orban era.

The reforms are also intended to unlock billions of euros in suspended European Union funding that has been tied to improvements in governance and transparency.

Markets React to Political Transition

Investors have already responded to the changing political landscape.

Several companies widely viewed as benefiting from their proximity to the previous government have experienced significant share price declines since Magyar’s election.

Among those affected are construction and energy group Opus Global, real estate developer Appeninn, telecommunications company 4iG, and MBH Bank.

The declines contrast with a broader rally in Hungary’s stock market, reflecting optimism that a more transparent business environment could attract greater international investment.

Companies Defend Their Business Models

Despite the uncertainty, businesses linked to the previous administration reject suggestions that their success depended solely on political connections.

Market Építő says its financial strength and diversified operations provide long term stability regardless of political change.

Road construction giant Duna Aszfalt, whose owner became one of Hungary’s wealthiest businessmen during Orban’s tenure, also expressed confidence in its future.

The company stated that it had successfully competed against international firms even before Hungary’s democratic transition in 1990 and remained prepared for a more competitive marketplace.

Meanwhile, telecommunications firm 4iG denied benefiting from political favoritism, while MBH Bank said its procurement practices fully complied with both Hungarian and European Union regulations.

Review of Previous Government Contracts

The Magyar administration has also begun reviewing spending commitments approved under the previous government.

One early decision was to suspend an extension of a southern Hungarian highway and request that Duna Aszfalt repay funds received before the election for the project.

The move signals a broader willingness to scrutinize public contracts awarded during Orban’s administration and reassess government spending priorities.

Foreign Investors Could Benefit

Political analysts believe the reforms could reshape Hungary’s investment climate by creating more opportunities for international firms that previously struggled to compete with politically connected domestic companies.

Greater transparency in public procurement, combined with stronger oversight, may improve investor confidence and encourage new foreign investment into sectors previously dominated by companies with close government ties.

However, the transition is also expected to produce significant disruption as businesses adapt to a competitive environment driven more by market forces than political relationships.

What Comes Next

Hungary is entering a new phase in which political change is reshaping corporate power as much as government itself. Companies built around privileged access to state contracts now face growing pressure to compete in a more transparent marketplace, while new reforms seek to restore confidence among investors and European partners.

Whether these changes produce lasting economic modernization or simply redistribute political influence will depend on the implementation of Magyar’s reform agenda. For Hungary’s business elite, however, the era of relying on political proximity for commercial success appears to be drawing to a close.

With information from Reuters.

Japan and the United States have confirmed a rare, coordinated yen-buying intervention to halt the Japanese currency’s slide to 40-year lows, with Tokyo signalling it is willing to take further action if needed.

The Japanese Ministry of Finance confirmed the joint intervention after a statement by US President Donald Trump on Sunday announced that Washington was helping to prop up the yen as a sign of friendship and to support the global economy.

“They have a weakening yen, and they wanted a little bit of help. And we’re always there for Japan,” Trump said in response to a reporter’s query about why the US is helping to support the currency.

The yen leapt after the announcement, leaving traders on high alert for further intervention from authorities. The Japanese currency gained as much as 1.4 percent to hit a nearly three-month high of 155.20 per US dollar, compounding a 3.8 percent surge over the previous two sessions. The yen also advanced broadly against other major currencies, including the euro and sterling.

The latest bout of aggressive yen-buying heavily pressured the US dollar. In early Asian trading on Monday, the euro climbed to a 1.5-month high of $1.1559, while sterling hovered near a two-week top at $1.3476.

However, the rapid appreciation of the currency immediately weighed on the equity market. The Nikkei share average tumbled, reversing course from the one-week high it had achieved in the previous session.

Analysts say the intervention underscores both countries’ resolve to prevent global spillovers from a sell-off in the yen and Japanese government bonds, including by adding pressure on already rising US Treasury yields.

Japan has been struggling to curb a relentless drop in its currency that has pushed up import prices and stoked broader inflation, hitting household wallets and Prime Minister Sanae Takaichi’s approval ratings.

In its statement, Japan’s Finance Ministry said Friday’s yen-buying intervention with the US Treasury Department “countered excessive volatility and disorderly movements in the Japanese yen in recent months”.

“The Japanese Ministry of Finance remains attentive and in close communication with our counterparts at the U.S. Treasury,” it added. “We will not hesitate to conduct further joint intervention.”

The joint intervention is the first since a 2011 coordinated action to weaken the yen after the devastating earthquake in eastern Japan.

Tokyo may have sold as much as $58.97bn to buy yen when it intervened in New York markets on Thursday, Bank of Japan data indicated, before Friday’s confirmed joint intervention with Washington.

US Treasury Secretary Scott Bessent also confirmed Friday’s effort, noting on Sunday that Washington “will not hesitate to participate in further joint intervention”.

“We strongly support Japan’s decisive market and monetary steps to correct the substantial undervaluation of the yen,” Bessent said in a separate statement on X, repeating his calls for further interest rate hikes by the Bank of Japan.

In line with Bessent’s repeated calls for higher Japanese interest rates, the Bank of Japan on Friday offered its most explicit signal to date of an early rate hike, even as it kept monetary policy steady.

In a sign of broader policy coordination, South Korea also stepped in to buy its won currency on Thursday.

Japan intervened in April and May, buying yen, but the move triggered only a brief rebound. The Bank of Japan’s June rate hike to a 31-year high of 1 percent also gave the struggling currency little lasting boost.

A Pacific island has become one of the biggest economic success stories of the year so far.

Taiwan has witnessed a dramatic boom in recent months driven by the mania for artificial intelligence (AI). Earlier this year, its stock exchange soared to become the fifth largest in the world based on market capitalisation, the value of its publicly traded shares, overtaking the United Kingdom, Canada and India.

Much of that upward momentum has been driven by AI and other technology exports highly sought after by the United States.

Last year, the US imported $201bn worth of goods from Taiwan, nearly double its rate from 2024, when it acquired $116bn in imports. In May, Taiwan eclipsed China to become the third-largest source of US imports, after Mexico and Canada.

Experts have described Taiwan’s market acceleration as a return to its status as a “tiger economy” — a term used to capture surging growth in East Asia. Much of the credit, they say, falls to its flourishing technology sector.

“Artificial intelligence helps explain the rising importance of Taiwan,” said Chad Bown, a senior fellow at the Peterson Institute for International Economics.

But critics warn that, while Taiwan’s market remains strong, factors like tumultuous international relations, as well as demographic concerns, could complicate the island’s long-term outlook.

“It seems to be a win-win for now,” said Reza Hasmath, an academic faculty adviser at The China Institute at the University of Alberta. “But Taiwan is just postponing a reality that’s not sustainable.”

An economic boom

Taiwan’s thriving export market helped boost its gross domestic product (GDP) to 8.63 percent in 2025.

That rocket-ship trajectory continued into the first quarter of this year, when the GDP saw an exhilarating 13.69 percent rise.

Government data released on Friday showed that the island is continuing that momentum, with its economy growing an impressive 12.92 percent in the second quarter of the year, which ended in June.

“The GDP growth is going like gangbusters,” said Dexter Tiff Roberts, nonresident senior fellow at the Atlantic Council’s Global China Hub.

Roberts expects the trend to be “long term”, as Taiwan produces about 90 percent of the advanced chips used to power leading AI models.

“That’s not going to go away. We know the world, and the US, needs this,” he added.

While the AI boom is a global phenomenon, the US has become a major market for such chips, with billions of dollars flowing into the industry each year.

US President Donald Trump, meanwhile, has pledged to bolster his country’s status as “the world leader in artificial intelligence”. His administration has claimed to attract more than $2.7 trillion in tech and AI investments since the start of his second term.

To secure US access to Taiwan’s cutting-edge semiconductor technology, the Trump administration signed an agreement under which Taiwan will invest $500bn in the US.

Half of that amount is expected to come in the form of direct investments by Taiwanese semiconductor and tech firms, including through the development of onshore tech manufacturing.

The rest is largely comprised of credit guarantees for additional investments from Taiwan in the US.

Under the agreement, Taiwanese firms would be allowed to import 2.5 times the capacity of their US factories, without fear of steep tariffs.

In a subsequent trade agreement, Taiwan agreed to reduce its tariffs on 99 percent of US exports.

Taiwan has also boosted its tech exports to the US through investments in nearby Mexico, with cross-border plants manufacturing inputs for data centres in Texas.

‘Unbalanced relationship’

But Hasmath, the faculty adviser at the University of Alberta, warns that there are troubling signs on the horizon for Taiwan-US relations.

Trump has long sought to eliminate trade deficits with US economic allies, and he has lashed out at countries that export more to the US than they import.

Hasmath pointed out that Taiwan is building a robust trade surplus with the US, close to $200bn and counting. That could spark a backlash.

“This is an unbalanced relationship and not conducive to Taiwan in the long term,” Hasmath warned.

Trump will not tolerate a hefty trade surplus for long, he added. Hasmath believes the US president will soon look to renegotiate his country’s deals with Taipei.

Roberts at the Atlantic Council, meanwhile, warned that Trump is “mercurial” — and with such a temperament comes “uncertainty”.

Then there’s the question of political upheaval in the US. Trump’s approval ratings are low, and he is ineligible under US law to run for a third term as president.

Demographic problems

While Taiwan’s economic boom is “very real” and “very obvious”, Roberts said there are clear vulnerabilities even on the domestic front.

Taiwan’s traditional export sectors like plastics and textiles are underperforming. Plus, Roberts pointed out that only a small fraction of the Taiwanese population is involved in the AI sector.

“A majority of the younger population is not in hi tech, so that’s a real problem,” he said.

While the booming stock market has sparked a “wealth effect” — those with rising portfolios feel richer and are more inclined to spend — that helps the wider population only to an extent.

With most of Taiwan’s employment concentrated outside of the AI sector, economists have warned that the island could develop what’s called a K-shaped economy, where the wealthy see growth, while the poorer segments of society stagnate or decline.

The chip industry employs up to 350,000 people at most, experts say.

Meanwhile, TSMC, Taiwan’s biggest chip company, makes up to 40 percent of the stock market and provides four percent of the island’s GDP growth. That lopsided proportion is “unsustainable”, according to Hasmath.

Plus, Taiwan has a rapidly ageing population, with roughly a fifth of its population over the age of 65.

The island also has other vulnerabilities. For example, it relies heavily on foreign imports of energy products, particularly oil, and has struggled with water scarcity.

Then, there’s the superpower next door: China. The government in Beijing considers Taiwan, a self-governing island, as its own territory, and it has taken aggressive measures to limit the island’s ability to establish diplomatic relations of its own.

That conflict has added fuel to the debate around Taiwan’s growth, with a spokesperson for the Chinese government reportedly saying the island’s growing proximity to the US tech sector will “drain Taiwan’s economic interests” and “hollow out” the country’s major industry.

Hasmath said that, if the AI boom backfires on Taiwan, all of that ultimately adds up to a “recipe for electoral change, a shift in government” in Taipei.

July 31 (UPI) — Anthropic said some of its artificial intelligence models mistakenly accessed the Internet and hacked into the databases of three other companies during cybersecurity testing.

Anthropic said Thursday it reviewed 141,006 recent operations by its Claude models after rival OpenAI recently revealed a similar incident with its own systems.

OpenAI said one of its agents had been in a sandbox test on July 22, without Internet access, when the AI model exploited a vulnerability in the system, gained access to the web and hacked into Hugging Face, a platform for open-source machine learning.

Following OpenAI’s admission, Anthropic conducted an internal review focusing on the possibility that its systems could also have unexpectedly accessed the Internet.

Anthropic said it identified three such incidents.

“Each incident involved a different fictional capture-the-flag scenario — for example, in one, Claude played an employee of a made-up company, attacking that company’s internal systems inside a private test environment,” the company said in a statement. “In all cases, our evaluation prompt stated explicitly that Claude had no internet access, but didn’t give Claude any limits on where to look for the flag.

“However, a misconfiguration left the machines that Claude accessed as part of the evaluation with live internet access,” the statement continued. “Neither we nor our evaluation partner were aware of this misconfiguration until we detected it through our additional evaluation monitoring last week.”

Anthropic said it considered the incident to have been an “operational failure,” but it maintained “cautious optimism” that “this type of risk can be overcome.”

“Our models were told they had no internet access and to capture the flag, while in fact being misconfigured to have internet access,” the company statement said. “This led them to believe — arguably reasonably — that the real environments they encountered were simulations.

“Notably, our most recent model, on realizing that it was working in a real environment, stopped its pursuit of the evaluation goal.”

University of Cambridge professor Gina Neff told the BBC the incident “shows why independent testing and government oversight is crucial.”

“The moral of this story is not to fear robots that will take over, but the companies behind powerful AI agents who are making the decisions about what is safe for the rest of us,” she told the outlet.

July 31 (UPI) — British oil giant BP announced plans Friday to sell off its North Sea business, ending six decades of exploration and extraction in the U.K. Continental Shelf since the company first struck gas there in 1964.

The firm said that nothing would change for the time being while a buyer was found, vowing in a news release that it was fully committed to continuing to run its operations, prioritizing safety and dependability, while delivering for its customers, partners and investors.

The outcome of a review of its portfolio, BP said the goal was to enhance the value of the company by making it simpler and stronger through adhering to its approach of allocating capital in a rigorous fashion.

“The North Sea remains integral to the U.K.’s energy system. However, as we focus our portfolio and direct capital to our highest-value opportunities, we believe our North Sea business will be better positioned as part of another company. It has world-class people, resilient assets and a proud heritage, and it is precisely these qualities that can attract an owner ready to back its next chapter,” said BP.

“We are seeking an outcome that recognizes that value.”

CEO Meg O’Neill stressed that Britain would remain of key importance to the company going forward, saying BP was proud of the employment it generated, its input to the economy and its role in keeping energy flowing every day.

As recently as May, O’Neill described the North Sea basin as one of “untapped potential.”

The share price gained slightly on the news, rising a little more than 1% to $7.36 in mid afternoon trade on the London Stock Exchange on Friday.

BP has 24 fields across five main nodes in the North Sea, including its key Clair Ridge and Schielhallion fields of the Shetland Islands, with 1,100 workers pumping a little under 100,000 barrels of gas and oil daily.

Energy consultant Rystad, which estimates the North Sea business was worth $2.6 billion, told the Financial Times that it believed that the TotalEnergies-HitecVision-Repsol joint venture Neo Next +, Delek Group of Israel or Eni of Italy were in the running to buy it.

Tuli Tuipulotu wants to get paid.

Although Chargers coach Jim Harbaugh expected everyone to be full-go for training camp, the fourth-year edge rusher is holding in amid contract negotiations.

Tuipulotu, who was a full participant in minicamp, did individual work off to the side during Wednesday’s practice and was in general workout attire rather than in a helmet, jersey and football pants like his teammates. On Thursday, Tuipulotu suited up normally and participated in drills alongside fellow defensive linemen but didn’t participate in team sessions.

A hold in is one way players can exercise leverage during contract negotiations. Hold-in players fulfill basic requirements outlined in the collective bargaining agreement — such as attending meetings and doing individual work — to avoid mandatory fines from teams for not reporting to training camp.

“We keep it rolling in practice,” Chargers defensive coordinator Chris O’Leary said. “You know, you get into a game, and you spend a little bit more time game planning and figuring out how to fill that void. … So we haven’t felt it as much. Obviously, we miss [Tuipulotu] out there. We miss how vocal he is and plays that he makes. But for us, we’re just keeping it rolling with the guys we got out there.”

The No. 54 overall pick in the 2023 NFL draft, Tuipulotu has steadily climbed into a key role in the Chargers’ defense and is coming off a career year.

He collected 13 sacks in 2025 as a pivotal part of former defensive coordinator Jesse Minter’s system, which helped the Chargers finish the season fifth in yards allowed per game (285.2) and ninth in points per game (20.0).

“I just let my agent — let the guys — handle that,” Tuipulotu said during minicamp in June. “I’m just trying to be here with the team, you know what I’m saying? Be close with the guys.”

Tuipulotu, a Hawthorne native, has earned 26 sacks and 144 tackles over 36 starts with the Chargers. He made 16 starts last season.

“It’s just the process of it, man,” said Chargers safety Derwin James, who has earned a pair of hefty paydays after a training camp hold in of his own four years ago. “We love Tuli. Like, I knew the team loved me too when I had [a] similar situation.

“Sometimes, that stuff takes longer to iron out. But man, everyone knows we love Tuli here. … And he loves the team. So it’ll get worked out. … I can’t wait to have him out there. It’s just part of the business, man.”

James, a five-time Pro Bowl selection set to earn more than $24 million this season, is someone Tuipulotu can lean on during his hold in. Another is fellow edge rusher and future Hall of Famer Khalil Mack, who has mentored Tuipulotu.

The two said they discussed Tuipulotu’s situation privately. Like James, Mack is seasoned in contract negotiations, having famously signed a record six-year, $141-million extension with the Bears in 2018 after a holdout with the Raiders had him shipped to Chicago.

“I would be doing [Tuipulotu] an injustice not to talk to him about business or just life in general, of how to handle your business off the field and on the field,” Mack said, referencing Raiders teammates such as Charles Woodson and Justin Tuck who helped him navigate his early NFL years. “He kind of bounces questions off of me, and I say what I did or what I saw other people do — just give the best example or the best advice I can. But every situation is different.”

“I just hope you know everything works out in his favor,” Mack added. “And whatever works in his favor works in the organization’s favor as well.”

Tuipulotu said he didn’t have a timeline for his contract negotiations, but reiterated he’d show up.

But as a key cog in the Chargers’ defense who loves practice and training camp, the Chargers won’t feel quite complete on the field until Tuipulotu is practicing with his teammates again.

“There’s always something to get better at,” Tuipulotu said. “There’s always something you miss. Man, I love practice, you know what I’m saying? I bring the juice during practice.”

July 30 (UPI) — The ABC network has accused the Federal Communications Commission of attempting to censor what it broadcasts by pressuring its local stations to apply for early renewal of their licenses.

In its regulatory filing, which is a response to the FCC’s request that ABC-owned broadcast stations reapply for their licenses, ABC alleged that FCC chair Brendan Carr’s criticism and actions at the agency have amounted to “attempted censorship,” Politico reported.

The network said in the filing that actions by the agency and Carr have been aimed at shaping news reports across the media in ways that violate U.S. Constitutional freedom of the press.

The FCC, in a statement on Thursday to The Hill, contended that it is operating in the public interest, based on what it said are “equal opportunity regulations” as it accused the network of operating “in the narrow or partisan interests of a political party.”

The Trump administration, and President Donald Trump, have long alleged that members of the media — print, online or television — who are critical or engage in satire of him during his two terms as president are violating federal law.

“The retaliation against ABC is a signal to every media company in the country: accommodate the administration’s view of what news coverage should look like or pay the price,” the network said in the filing.

“Across the government, regulatory and contracting carrots and sticks have been trained on other disfavored speakers,” ABC said. “The tools vary; the objective does not: a media industry too fearful of official reprisal to report the news freely.”

GDP grew by 1.5 percent in the second quarter following a 2.1 percent increase in first quarter.

Economic growth in the United States slowed in the second quarter amid a growing trade deficit and tensions between the US and Iran which weighed on global fuel prices.

The US Gross Domestic Product (GDP), a measure of goods and services, grew by 1.5 percent between April and June, marking a slowdown from 2.1 percent growth in the first quarter of 2026, according to the Commerce Department’s Bureau of Economic Analysis report released on Thursday.

Consumer spending saw a bump of 3.2 percent for the quarter, both on the back of generous tax refunds from US President Donald Trump’s ‘One Big Beautiful Bill Act’ as well as heightened petrol prices that cost consumers.

Fuel prices are on the upswing after a brief reprieve. The average price for a gallon of petrol (3.78 litres) is $4.09, up from $3.84 this time last month, according to the American Automobile Association (AAA), which tracks daily petrol prices. By comparison, the average price was $2.98 when the US and Israel first struck Iran on February 28 .

Analysts also point to the artificial intelligence spending boom as a reason for the surge, even as those are heavily import reliant and contributing to trade deficits.

“Overall, the economy continues to rely on technology investment,” Rachel Ziemba, adjunct senior fellow at the Center for a New American Security, told Al Jazeera.

That will likely continue into third-quarter reports, which will take into account the month of July. On Monday, it was reported that Nvidia is in talks to make a $250m investment in OpenAI.

However, there are concerns about how long such investments will last amid questions over circular financing propping up the sector.

“Data centres continue to drive investment and economic growth, increasing the sector’s role in the economy while raising questions about its sustainability,” Ziemba said.

Meanwhile, the Personal Consumption Expenditure Price (PCE) Index report, one of the US Federal Reserve’s key metrics for gauging the rate of inflation, increased 3.7 percent on an annual basis for the month of June after a 4.1 percent surge in May.

The slowdown was marked by a brief retreat in petrol prices last month before they climbed higher again over the past month.

“Today’s report is a snapshot of an economy under a ceasefire that no longer exists. Even with last month’s temporary inflation relief, prices are still elevated and families are saving less as they try to keep up,” Alex Jacquez, a member of the National Economic Council under former US President Joe Biden, said in a note provided to Al Jazeera.

On Wednesday, the US Federal Reserve opted to maintain interest rates at 3.5-3.75 percent.

US markets are on the upswing in midday trading, largely driven by an increase in Microsoft stock amid better-than-expected sales and growth in cloud services. Markets have also risen following the PCE and GDP reports.

The tech-heavy Nasdaq is up 2.6 percent, with the S&P 500 following at 1.2 percent and the Dow Jones Industrial Average up 0.5 percent.

Gold prices, which are typically considered a safe investment during economic uncertainty, extended their gains by 1.9 percent to $4,108.30 per ounce after rising 2 percent on Wednesday.

SEOUL, July 30 (UPI) — South Korea’s SK hynix posted record earnings in the second quarter of this year amid the AI boom. However, shares of the world’s No. 2 memory chipmaker have continued to plunge on the Seoul bourse.

The company noted Wednesday that it logged sales of $55.1 billion and operating profit of $42.1 billion during the April-June period. Revenue more than tripled from a year ago, while profit increased more than sixfold.

“Driven by sustained demand growth from expanding AI infrastructure investments, high-performance products for AI servers led price increases, enabling the company to surpass its previous record set in the prior quarter,” SK hynix said in a statement.

“With major tech companies increasing their AI infrastructure investments, additional supply requests continue to mount. As these investments are supported by revenue generated from AI services, the momentum in memory demand is expected to persist,” it added.

Despite the stellar performance and solid outlook, its shares have struggled to find their footing on the Korea Exchange. They fell 14.65% on Monday before dropping another 9.61% on Wednesday and 5.64% on Thursday.

Since reaching a record high in late June, SK hynix’s market capitalization has fallen by more than half in just over a month. This came after its shares had surged more than tenfold in the year through late June.

Observers attribute the bearish run to a combination of factors, including lower-than-expected earnings, concerns over the sustainability of the AI boom and the emergence of Chinese competitors such as recently listed CXMT.

Although SK hynix chalked up a record bottom line in the previous three months, the figure came in about 5% lower than the market consensus. There are also questions over whether SK hynix has secured sufficient long-term agreements, or LTAs, with customers to reduce uncertainty about future earnings.

“The market remains skeptical about LTAs, so we believe it will take time for confidence to build,” NH Investment & Securities analyst Ryu Young-ho said in a report, reducing his target price for SK hynix by 17.1%.

Other brokerage houses, including Shinhan Securities, Hanwha Investment & Securities, and Samsung Securities, also followed suit.

“We revised down our operating profit estimates for SK hynix for 2026 and 2027 by 7% and 9%, respectively, to reflect a more conservative price outlook,” Shinhan Securities analyst Kim Hyung-tae said in a report, cutting his target price by 35.7%.

However, some experts remained optimistic, raising their target prices on expectations that SK hynix shares will eventually rebound.

“The main reason second-quarter operating profit fell short of the market consensus was that DRAM price growth was weaker than expected,” Korea Investment & Securities analyst Chae Min-sook said.

“However, this was caused not by slowing demand, but by the postponement of some shipments, which should instead contribute to improved earnings in the third quarter,” Chae added, raising the target price by 24%.

DB Securities came up with a similar view.

Leveraged ETFs tied to memory chipmakers

Also at the center of controversy are leveraged exchange-traded funds, or ETFs, linked to individual stocks. They debuted in late May and are tied to the shares of the country’s two blue-chip companies, Samsung Electronics and SK hynix.

Investors have complained of heavy losses. Samsung, the world’s top memory chipmaker, has also seen its share price plummet in recent weeks.

Against this backdrop, critics argue that the new products have amplified market volatility by encouraging short-term speculative trading. Over the past two months, KOSPI circuit breakers have been triggered repeatedly by sharp market swings.

Because these products magnify both gains and losses, they tend to attract retail investors seeking quick profits, potentially leading to larger price swings during periods of market uncertainty, according to experts.

During a parliamentary session on Wednesday, lawmakers summoned top financial officials to criticized the leveraged products and the market slump.

“The government has encouraged people to sell their real estate and invest in stocks. But after the stock market crashed, retail investors ended up suffering heavy losses,” Rep. Park Jun-tae from the main opposition People Power Party said.

In response, Financial Services Commission Chairman Lee Eog-weon promised to do everything possible to minimize market-related volatility but failed to present specific measures.

“South Korean equities have been buoyed by the strong performances of memory chipmakers. But the rally overshot because of a few factors, including the debut of the single-stock 2x leveraged ETFs,” economic commentator Kim Kyeong-joon, formerly vice chairman at Deloitte Consulting Korea, told UPI.

“Once market sentiment turned bearish, the leveraged ETFs accelerated the market’s decline. The problem is that the products cannot simply be abolished because doing so would create even greater market disruption,” he added.

OpenAI CEO Sam Altman has met with US senators to discuss his company’s upcoming models, as President Donald Trump said he is considering AI “controls” following OpenAI’s disclosure that one of its AI systems escaped containment during a security test.

“We’re looking at controls,” Trump told reporters in the Oval Office in response to a question about OpenAI’s rogue agent, adding that he did not want to “restrict” AI developers from building new products.

A rogue agent escaped the handling of ChatGPT maker OpenAI and hacked the AI firm Hugging Face last week. Then, on Tuesday, it was revealed that a second company had been a target, too – Modal Labs, a New York City-based AI infrastructure firm.

The company itself was not hacked but an account of a customer hosted on Modal’s infrastructure. Modal’s chief technology officer, Akshat Bubna, did not confirm which customer was the target. The hack escaped a contained environment during a security test.

“We’re aware a Modal customer published an unauthenticated endpoint that allowed anyone on the internet to use their sandboxes for code execution,” Bubna said in a statement. “This was used by the rogue agent. Modal’s platform or isolation were not compromised in any way.”

Altman has long been accused of dismissing concerns that his products and the AI industry impact society at large, including in a recent lawsuit brought by the State of Florida that alleged the company put profits ahead of user safety.

Now, he appears to be walking back some of his past enthusiasm around AI’s pace of growth.

In a podcast called Invest Like the Best, Altman called the Hugging Face hack an “extremely sci-fi cyber incident” and later said that it was the “first security incident that I have felt very viscerally”.

“We may have to pace the rate of AI development to give ourselves enough time for society to harden around some of these new capability levels,” he said on the podcast.

On Saturday, Altman said that AI has reached “the singularity”, when AI surpasses human intelligence and becomes harder to control. He had previously said this would not be reached by 2030.

Washington meetings

Altman was in Washington, DC, this week, meeting with US Senators Raphael Warnock, a Democrat from Georgia, and Bernie Moreno, a Republican from Ohio on Wednesday. Altman told reporters that the hacking was discussed but was not the focus of the meeting.

Altman is also set to meet with Democratic Senator Mark Warner of Virginia, the top Democrat on the chamber’s Intelligence Committee.

CNBC reported that Altman is also to make a trip to the White House to meet with Trump’s chief of staff, Susie Wiles. Last month, the president signed an executive order requesting that AI companies assess their models before full release.

Financing concerns

The hacking and meetings come alongside pressure from Wall Street amid renewed concerns about potential circular financing, following reports that semiconductor chip giant Nvidia is undergoing talks with OpenAI to provide funding guarantees for a data centre in Ohio.

The $250bn deal would help the ChatGPT owner lease a 10-gigawatt project that SB Energy, a subsidiary of SoftBank, is building in Piketon, Ohio, 109km (68 miles) south of Columbus, Ohio. It is part of a public-private partnership that allowed SoftBank to build the world’s largest AI data centre on government land owned by the US Department of Energy.

“The demand is not as big as it appears to be because, again, the companies are buying from each other using their own money to some degree, as opposed to, say, OpenAI having such tremendous demand from customers, monetising it properly, and then using customers’ money to buy Nvidia chips. They’re essentially using Nvidia’s money to buy Nvidia chips,” said Aleksandar Tomic, associate dean at Boston College.

The development comes as the Altman-led company is leaning towards an initial public offering, which, according to reporting from The New York Times last month, could be in 2027.

July 29 (UPI) — The United States announced a ban on imports of humanoid robots from China and other countries, citing “unacceptable risks” to national security and the safety of Americans.

The advanced robots ban, including humanoid, four-legged robots and bipeds, was part of a Federal Communications Commission update on Tuesday to a list of equipment and services “deemed to pose an unacceptable risk to the national security of the United States or the security and safety of U.S. persons” under the 2020 Secure Networks Act.

Power inverters that convert DC electricity to the AC electricity that flows across the country’s power grid were also banned.

The bans come after government agencies with “appropriate national security expertise” convened by President Donald Trump to look at the issue designated both technologies as national security threats.

“The networked capabilities of advanced robotic systems create extensive vulnerabilities and vectors for attacks that can manipulate the data and physical operation of the advanced robotic system. Relying on foreign-produced advanced robotic devices presents unacceptable supply chain and cybersecurity vulnerabilities,” the group said in its National Security Determination.

“Advanced robotic devices collect data that could be leveraged by malign actors to surveil Americans, enhance the capabilities of foreign intelligence services, or to remotely commandeer the robots,” it added.

China is the world’s largest producer of humanoid robots, with the United States its largest market.

Power-inverters, a critical kit which converts DC electricity from solar panels, batteries and other alternate energy sources into AC electricity enabling it to be fed into the U.S. energy grid, were also banned over fears overseas supplies could be manipulated or disrupted, compromising the United States’ electricity supply.

Any threat to electricity supply constituted a threat to the economy and national security, the FCC said, adding that in addition to supply chain vulnerabilities it was concerned increasingly networked inverters posed cybersecurity risks, including the possibility they could be switched off or used to harvest data as well as “facilitating remote access and surveillance by foreign government actors.”

Both bans only apply to new models and exempt overseas manufacturers with existing conditional waivers from the Public Safety and Homeland Security Bureau or, in the case of robots, the Defense Department, with the FCC saying it encouraged suppliers to apply for “conditional approval.”

FCC Chairman Brendan Carr said he welcomed the measures from the White House.

“I am pleased that the FCC has now added foreign produced advanced robotics and power inverters to the FCC’s Covered List. Following President Trump’s leadership, the FCC will continue to do our part to secure America’s critical supply chains and, with today’s action, the FCC is acting in lock step with our national security agencies to do just that,” said Carr.

China criticized the move, accusing the United States of overreach and erecting trade barriers.

“China firmly opposes the U.S. overstretching the concept of national security and going after Chinese companies. Protectionism does not make the U.S. more competitive and will only hurt the interests of U.S. companies and consumers,” Foreign Ministry spokeswoman Mao Ning told a news conference in Beijing on Wednesday.

“China will continue to do what is necessary to firmly defend the legitimate and lawful rights and interests of Chinese companies,” she added.

China’s Commerce Ministry called for the global community to combine forces to develop technologies “for the positive and for good,” saying Beijing resolutely stood against the “politicizing” of trade issues and the use of “groundless pretexts” to justify sanctions.

“China urges the United States to heed the objective and rational voices of the business communities in both countries, abandon its hegemonic mindset, and stop smearing Chinese companies and threatening them with sanctions,” a spokesperson for the ministry said.

Iraqi Prime Minister Ali al-Zaidi is leading a high-level delegation to Turkiye, in his first visit to the neighbouring country since taking office in May.

Accompanied by ministers and senior officials, al-Zaidi’s visit on Tuesday will focus on “strategic cooperation” between the two countries, as well as issues related to security, water and the economy, according to government spokesman Haider al-Aboudi.

Relations between Iraq and Turkiye have fluctuated over the past decade but remained a priority for both sides, particularly for Iraq in relation to oil and water resources.

And the launch of the US-Israel war on Iran in February and the subsequent closure of the Strait of Hormuz have elevated Ankara’s importance for Baghdad, prompting it to press Turkish authorities to resume and increase the exporting of oil through the Iraqi-Turkiye pipeline after years of suspension.

New oil agreement

The two countries are seeking to sign an oil pipeline agreement that governs the export of Iraqi oil after the expiration of the previous deal on Monday.

A source from Iraq’s Ministry of Oil told Al Jazeera that a technical delegation arrived in Ankara late last week to finalise a one-year extension of the old oil-exporting agreement until a new deal is concluded.

“The new Turkish terms regarding a new agreement are very difficult to be accepted by Iraq. For this reason, no one other than the Iraqi council of ministers is to take such a decision regarding this issue,” said the official on condition of anonymity.

”Turkiye wants to increase the interest from $1.35 for each barrel to $7, and the export capacity must not be less than 1.5 million bpd [barrels per day], whether Iraq can reach this level or not,” the source added.

Part of al-Zaidi’s plan is to find new energy deals and secure alternate routes to export Iraqi crude via Turkiye and Syria and to the Mediterranean Sea.

Iraq signed energy deals estimated at $200bn with US companies during al-Zaidi’s visit to the United States earlier this month, and the government aims to increase its oil and gas production, as well as to diversify exporting options.

“There is an urgent need to find new export outlets away from the Strait of Hormuz, which no longer meets Iraq’s requirements. We must expedite and shorten the timeframe for negotiations and contracting in order to establish new export routes,” said Iraqi Oil Minister Basim Khudair.

Development Route 

During his visit, al-Zaidi is also expected to pursue the establishment of strong trade, development and economic ties while seeking to draw from Turkiye’s experience across different industries.

A government source told Al Jazeera that the prime minister will highlight the importance of utilising Turkish expertise in the energy, infrastructure and transport sectors to boost Iraq’s development initiatives.

Among the main projects is the so-called Development Route – a vital transport project that connects Iraq’s al-Fao port in the south all the way north to the Iraq-Turkiye-Syria border triangle through a 1,200km (746-mile) rail and a highway network that passes through 10 Iraqi provinces.

Abd al-Jabar Ahmad, a professor of political science, said continued attacks by armed groups “have effectively derailed” the project.

He also cast doubt al-Zaidi visit’s will yield major results in relation to it, pointing to Ankara’s involvement in a transport corridor seeking to link Turkiye to Jordan through Syria and then Saudi Arabia.

“In my view, the Saudi project stripped Iraq’s Development Road Project of much of its economic and investment appeal,” he added.

Water and security   

Water management is also expected to be prioritised during al-Zaidi’s discussions in Turkiye.

Iraq blames Turkiye for building dams that have affected the flow of water from its two main rivers – the Tigris and the Euphrates – which originate in Turkish territory.

“Iraq views it as an issue that impacts the future of millions of Iraqis,” said the government source.

But the most complicated and sensitive issue concerns security – particularly, the presence of Turkish forces on Iraqi soil to fight the Kurdistan Workers’ Party, or PKK, which Turkiye, the US and European Union have designated as a “terrorist” group.

Military estimates suggest that Turkiye has about 50 small and big bases in three Iraqi provinces – Erbil, Duhok and Nineveh – hosting some 5,000 soldiers and weaponry, including artillery and armoured vehicles, as well as heavy and medium arms.

In mid-2025, the PKK announced it had taken its first steps towards disarmament as part of a wider peace deal with Ankara to end 40 years of war against the Turkish state in a conflict that has killed more than 40,000 people. Still, Turkiye continues to view the armed group’s presence in different mountainous areas in northern Iraq as a national security threat.

But despite the challenges, there is wide support in Iraq to strengthen relations with Turkiye, driven by the belief that ties with the neighbouring country remain important and serve Iraq’s national interests.

“There is a strong Iraqi desire to deepen relations with Turkiye in many aspects, especially in oil as Turkiye becomes one of the most important countries in the region in terms of transit routes for exporting oil to Europe and the rest of the world,” said Issam al-Faily, a political science professor.

“The problem lies in the nature of the Iraqi political climate, which is affected by the ongoing power struggles. The covert Turkish–Iranian rivalry may be one of the reasons that could prevent al-Zaidi from achieving his aspirations in relations with Turkiye. He should balance these very critical issues, if he wants this visit to be successful,” added al-Faily.

July 27 (UPI) — Brazil and China agreed Monday to speed up negotiations on a trade agreement between Mercosur and China as both countries seek to strengthen economic ties after new U.S. tariffs hit Brazilian exports.

Brazilian President Luiz Inácio Lula da Silva and Chinese President Xi Jinping spoke by telephone for more than an hour just days after the United States confirmed a 25% tariff on Brazilian exports.

Lula said on X that the two leaders reaffirmed their commitment to expanding cooperation in strategic and high-technology sectors, including artificial intelligence, satellites, critical minerals processing and fertilizer trade.

In the post, Lula highlighted the “positive results” of bilateral trade and the recent short-term visa waiver, saying the measures “will increase tourist flows and business opportunities.”

He also emphasized the need to expand cooperation in other sectors and advance negotiations on a trade agreement between Mercosur, the South American trade bloc, and China.

“I stressed that our government remains committed to diversifying markets,” Lula wrote.

The two leaders also discussed global conflicts and their impact on people’s lives, as well as global food and energy security, identifying them as key international challenges.

“While discussing the crisis in the Middle East, we agreed that restrictions on freedom of navigation through the Strait of Hormuz and the Bab el-Mandeb Strait have harmful effects on the global economy,” Lula said.

According to China’s state-run Xinhua News Agency, Xi rejected what he described as external interference in Brazil’s electoral process and expressed China’s willingness to support Lula’s government.

Xi said that under new global circumstances and challenges, China and Brazil, as leading members of the Global South, should uphold historical justice and the progress of civilization while playing a greater role in reforming and improving the global governance system and defending international fairness and justice.

According to Xi, China “highly values Brazil’s international standing and significant influence, supports the country in safeguarding its sovereignty and independence, opposes foreign interference and will contribute to maintaining regional and global peace and stability.”

Lula also said both leaders criticized the inability of the United Nations Security Council to respond effectively to current international crises and reaffirmed Brazil’s and China’s commitment to multilateralism. They agreed to maintain close coordination on international issues through forums, including the United Nations and the BRICS group.

The conversation comes as Lula has intensified his efforts to diversify Brazil’s trade relationships. In an article published Sunday in The Washington Post, he described the new U.S. tariffs on Brazilian goods as a “strategic mistake” and said Brazil would pursue alternative markets to expand investment and economic partnerships.

SEOUL, July 27 (UPI) — South Korea’s Hana Financial Group said Friday it posted record earnings for the first half of this year, driven by its banking and brokerage businesses.

The Seoul-based financial conglomerate noted its net profit amounted to $1.6 billion during the first six months of 2026, up 4.4% from a year earlier. Its flagship subsidiary, Hana Bank, made the largest contribution, with a bottom line of $1.45 billion.

Non-banking affiliates also delivered robust results. Hana Securities, one of the country’s major brokerages, more than doubled its net income to $186 million year-on-year during the January-June period.

During the third quarter, Hana Financial said it would spend $171 million on share buybacks and cancellations, bringing the annual total to $478 million. It also plans to increase 2026 dividends payments by 26.5% from a year ago.

The company expects overall cash dividends for this year to reach $820 million, up more than 10% from 2025.

Hana Financial CFO Park Jong-moo said that the group would raise its target for return on equity, or ROE, to 12% from the previous goal of 10%. The group’s ROE stood at 10.62% in the first half.

ROE measures how efficiently a company generates profit from the shareholders’ equity. In other words, Hana Financial aims to earn 12 cents of yearly net profit for every dollar of shareholders’ equity.

“We will create a virtuous cycle in which higher ROE leads to greater shareholder returns and enhanced corporate value,” Park told an earnings call. “We have raised our ROE target to 12% and set our shareholder payout ratio at 50% or higher.”

Hana Financial shares rose 1.46% on the Seoul bourse Friday before falling 1.36% Monday.

The island has weathered a US oil embargo since January and is enduring one of its worst economic crises ever.

Cuba’s president has accused the United States of carrying out “genocide” against his people and seeking to seize the Caribbean island nation.

President Miguel Diaz-Canel lashed out during a rally on Sunday commemorating the start of the Cuban Revolution in 1953. His anger was a reaction to Washington’s continued pressure, which has included a crippling oil embargo that has produced regular blackouts and economic hardship.

“I denounce that Cuba is the victim of a cold-bloodedly calculated genocide,” Diaz-Canel said in Pinar del Rio at the event marking the 73rd anniversary of the uprising against former dictator Fulgencio Batista.

US relations with the communist-led island have long been tense, but have deteriorated further under US President Donald Trump.

Washington imposed an oil embargo on Cuba on January 29, causing daily blackouts of more than 20 hours.

The US, Diaz-Canel said on Sunday, was engaged in “economic strangulation” through its actions.

Employers have been forced to reduce workdays, industrial production has stopped, and water and medicine shortages are hitting a country already suffering from previous US sanctions and financial reforms that caused inflation.

Payment companies Visa and Mastercard, Spain’s Melia hotel chain, and Air Canada and Air France have all exited the country amid the crisis.

“Cuba is today waging a historic battle … against the walls of a genocidal policy whose objective is to suffocate an entire people in order to appropriate the country,” Diaz-Canel said.

Trump said he would “take over” Cuba, following the US abduction of former Venezuelan president and Cuban ally Nicolas Maduro in January.

Last week, a US State Department report accused Cuba’s government of running an espionage and influence network against Washington and Latin American neighbours.

In May, the US indicted former president and revolution leader Raul Castro – brother of Fidel – of murder and other crimes for his alleged part in the downing of two civilian airplanes operated by Miami-based exiles off the Cuban coast in 1996.

Cuba’s government has rejected the accusations and denounced Trump’s rhetoric. Talks between the two countries have largely stalled, Cuban officials said in June.

The Cuban Revolution, led by brothers and later leaders Fidel and Raul Castro, culminated in the Batista government’s fall in 1959. Former President Raul, 95, was unusually absent at Sunday’s rally.