Economy

WASHINGTON — President Trump made historic gains with Latinos when he won reelection last year, boosting Republicans’ confidence that their economic message was helping them make inroads with a group of voters who had long leaned toward Democrats.

But in this week’s election, Democrats in key states were able to disrupt that rightward shift by gaining back Latino support, exit polls showed.

In New Jersey and Virginia, the Democrats running for governor made gains in counties with large Latino populations, and overall won two-thirds of the Latino vote in their states, according to an NBC News poll.

And in California, a CNN exit poll showed about 70% of Latinos voting in favor of Proposition 50, a Democratic redistricting initiative designed to counter Trump’s plans to reshape congressional maps in an effort to keep GOP control of the House.

The results mark the first concrete example at the ballot box of Latino voters turning away from the GOP — a shift foreshadowed by recent polling as their concerns about the economy and immigration raids have grown.

Democratic Rep. Mikie Sherrill celebrates with supporters after being elected New Jersey governor.

(Michael Nagle/Bloomberg via Getty Images)

If the trend continues, it could spell trouble for Republicans in next year’s midterm elections, said Gary Segura, a professor of public policy, political science and Chicana/o studies at UCLA. This could be especially true in California and Texas, where both parties are banking on Latino voters to help them pick up seats in the House, Segura said.

“A year is a long time in politics, but certainly the vote on Prop. 50 is a very, very good sign for the Democrats’ ability to pick up the newly drawn congressional districts,” Segura said. “I think Latino voters will be really instrumental in the outcome.”

Democrats, meanwhile, are feeling optimistic that their warnings about Trump’s immigration crackdown and a bad economy are resonating with Latinos.

Republicans are wondering to what degree the party can maintain support among Latinos without Trump on the ticket. In 2024, Trump won roughly 48% of the Latino vote nationally — a record for any Republican presidential candidate.

Some Republicans saw this week’s trends among Latino voters as a “wakeup call.”

“The Hispanic vote is not guaranteed. Hispanics married President Donald Trump but are only dating the GOP,” Republican Rep. Maria Elvira Salazar of Florida said in a social media video the day after the election. “I’ve been warning it: If the GOP does not deliver, we will lose the Hispanic vote all over the country.”

Economic issues a main driver

Last year Trump was able to leverage widespread frustration with the economy to win the support of Latinos. He promised to create jobs and lower the costs of living.

But polling shows that a majority of Latino voters now disapprove of how Trump and the Republicans in control of Congress are handling the economy. Half of Latinos said they expected Trump’s economic policies to leave them worse off a year from now in a Unidos poll released last week.

In New Jersey, that sentiment was exemplified by voters like Rumaldo Gomez. He told MSNBC he voted for Trump last year but this week went for for the Democratic candidate for governor, Rep. Mikie Sherrill.

“Now, I look at Trump different,” Gomez said. “The economy does not look good.”

Gomez added he is “very sad” about immigration raids led by the Trump administration that have split up hardworking families.

While Latino voters fear being affected by immigration enforcement actions, polling suggests they are more concerned about cost of living, jobs and housing. The Unidos poll showed immigration ranking fifth on the list of concerns.

In New Jersey and Virginia, Democrats’ double-digit victories were built on promises to reduce the cost of living, while blaming Trump for their economic pain.

Marcus Robinson, a spokesman for the Democratic National Committee, said Democrats “expanded margins and flipped key counties by earning back Latino voters who know Trump’s economy leaves them behind.”

“These results show that Latino communities want progress, not a return to chaos and broken promises,” he said.

Republicans see a different Trump issue

GOP strategist Matt Terrill, who was chief of staff for then-Sen. Marco Rubio’s 2016 presidential campaign, said the election results are not a referendum on Trump.

Latino voters swung left because Trump wasn’t on the ballot, he said.

Last year “it wasn’t Latino voters turning out for the Republican party, it was Latino voters turning out for President Trump,” he said. “Like him or not, he’s able to fire up voters that the Republican party traditionally does not get.”

With Trump barred by the Constitution from running for a third term, Republicans are left to wonder if they can get the Latino vote back when he is not on the ballot. Terrill believes Republicans need to hammer on the issue of affordability as a top priority.

Mike Madrid, a “never Trump” Republican and former political director of the California Republican Party, has a different theory.

“They’re abandoning both parties,” Madrid said of Latinos. “They abandoned the Republican party for the same reasons they abandoned the Democratic party in November: not addressing economic concerns.”

The economy has long been the top concern for Latinos, Madrid said, yet both parties continue to frame the Latino political agenda around immigration.

“Latinos aren’t voting for Democrats or Republicans — they’re voting against Democrats and against Republicans,” Madrid said. “It’s a very big difference. The partisans are all looking at us as if we’re this peculiar exotic little creature.”

The work ahead

Democrat Abigail Spanberger was elected governor in Virginia in part because of big gains in Latino-heavy communities. One of the biggest gains was in Manassas Park, where more than 40% of residents are Latino. She won the city by 42 points, doubling the Democrats’ performance there in last year’s election.

The shift toward Democrats happened because Latinos believed Trump when he promised to bring down high costs of living and that he would only go after violent criminals in immigration raids, said Democratic strategist Maria Cardona, who worked with Spanberger’s campaign on outreach to Spanish-language media.

Instead, she argued, Trump betrayed them.

Cardona said Medicaid cuts under Trump’s massive spending package this year, along with the reduction of supplemental nutrition assistance amid the government shutdown, have Latinos families panicking.

“What Republicans misguidedly and mistakenly thought was a realignment of Latino voters just turned out to be a blip,” she said. “Latinos should never be considered a base vote.”

Political scientists caution that the election outcomes this week are not necessarily indicative of how races will play out a year from now.

“It’s just one election, but certainly the seeds have been planted for strong Latino Democratic turnouts in 2026,” said Brad Jones, a political science professor at UC Davis.

Now, both parties need to explain how they expect to carry out their promises if elected.

“They can’t sit on their laurels and say, ‘well surely the Latinos are coming back because the economy is bad and immigration enforcement is bad,’” Jones said. “The job of the Democratic party is now to reach out to Latino voters in ways that are more than just symbolic.”

Forty-two million face food aid delays after the nation’s top Court lets US president pause full SNAP payments.

The United States Supreme Court has allowed President Donald Trump’s administration to temporarily withhold about $4bn in federal food aid for November, leaving 42 million low-income Americans in need uncertain about their benefits amid the nation’s longest-ever government shutdown.

Justice Ketanji Brown Jackson issued the administrative stay on Friday, giving a lower court more time to assess the administration’s request to only partially fund the Supplemental Nutrition Assistance Program (SNAP), better known as food stamps.

The SNAP programme supports Americans whose income falls below 130 percent of the federal poverty line. For the 2026 fiscal year, the maximum monthly benefit is $298 for an individual and $546 for a two-person household.

The Supreme Court order pauses a ruling by a federal judge in Rhode Island that had required the government to immediately release the full amount of funding.

The stay will remain in place until two days after the 1st US Circuit Court of Appeals in Boston rules on whether to block the lower court’s decision. SNAP typically costs between $8.5bn and $9bn each month.

Earlier this week, District Judge John McConnell, appointed by former President Barack Obama, accused the Trump administration of withholding SNAP funds for “political reasons”. His ruling ordered the US Department of Agriculture (USDA) to use money from a separate child nutrition fund, worth more than $23bn and financed through tariffs, to cover the shortfall in food assistance.

‘Judicial activism at its worst’

The administration had planned to provide $4.65bn in emergency funding, half the amount needed for full benefits. It argued that McConnell’s ruling would “sow further shutdown chaos” and prompt “a run on the bank by way of judicial fiat”, according to filings by the Department of Justice.

US Attorney General Pam Bondi praised the Supreme Court’s intervention, calling McConnell’s order “judicial activism at its worst”.

The 1st Circuit Court of Appeals on Friday refused to immediately halt McConnell’s ruling before the Supreme Court’s stay was announced. The USDA had already informed state governments that it was preparing to distribute full SNAP payments, triggering confusion among officials and recipients as the administration appealed.

SNAP benefits lapsed at the start of November, for the first time in the programme’s six-decade history. Many recipients have since turned to food pantries or cut back on essentials like medication to stretch their limited budgets.

The next hearing in the 1st Circuit is expected soon, while millions of families wait to see whether full benefits will resume.

The race for access to Central Asia’s natural resources is intensifying.

United States President Donald Trump has set his sights on the C5 nations, comprised of Kazakhstan, Uzbekistan, Kyrgyzstan, Turkmenistan and Tajikistan.

He hosted a summit with their leaders at the White House, as Washington aims to get access to the mineral-rich region and reduce its reliance on China for imports of critical minerals.

But the leaders of the C5 face a delicate balancing act to make deals with the US without annoying Moscow or Beijing.

The meeting in Washington came just a month after Russia’s Vladimir Putin attended a summit with the C5.

And earlier in the year, the Chinese president also met C5 leaders, hoping to maintain China’s role in the region.

So, can Washington succeed in a region long dominated by Russia, and where China is making inroads?

Presenter: Nick Clark

Guests:

Zhumabek Sarabekov – Acting Director at the Institute of World Economics and Politics in Kazakhstan

William Courtney – Senior Fellow at the RAND Corporation

Dakota Irvin – a Senior Analyst at PRISM Strategic Intelligence

United States Senate Majority Leader John Thune has promptly swatted down a Democratic offer to reopen the US government and extend expiring healthcare subsidies for a year, calling it a “nonstarter” as the partisan impasse over the shutdown continued into its 38th day.

Senate Democratic Leader Chuck Schumer made the offer to reopen the government on Friday as Republicans have refused to negotiate on their demands to extend healthcare subsidies. It was a much narrower version of a broad proposal Democrats laid out a month ago to make the health tax credits permanent and reverse Medicaid cuts that Republicans enacted earlier this year.

Schumer offered Republicans simultaneous votes to end the government shutdown and extend the expiring healthcare subsidies, along with a bipartisan committee to address Republican demands for changes to the Affordable Care Act.

“All Republicans have to do is say yes,” Schumer said.

But Republicans quickly said no, and Thune reiterated that they would not trade offers on healthcare until the government is reopened. “That’s what we’re going to negotiate once the government opens up,” Thune said after Schumer made his proposal on the floor.

Thune said he thinks the offer is an indication that Democrats are “feeling the heat”.

“I guess you could characterise that as progress,” he said. “But I just don’t think it gets anywhere close to what we need to do here.”

It was unclear what might happen next. Thune has suggested a weekend Senate session was possible. US President Donald Trump called on the Senate to stay in town “until they have a Deal to end the Democrat Shutdown”.

Despite the impasse, lawmakers in both parties were feeling increased urgency to alleviate the growing crisis at airports, pay government workers and restore delayed food aid to millions of people. Thune pleaded with Democrats as he opened the Senate on Friday to “end these weeks of misery”.

Moderates continue to negotiate

As leaders of the two parties disagreed, a small group of Democrats led by New Hampshire Senator Jeanne Shaheen continued to negotiate among themselves and with rank-and-file Republicans on a deal that would end the shutdown.

The group has been discussing for weeks a vote for a group of bills that would pay for parts of government – food aid, veterans programmes and the legislative branch, among other things – and extend funding for everything else until December or January. The three annual spending bills that would likely be included are the product of bipartisan negotiations that have continued through the shutdown.

But the contours of that agreement would only come with the promise of a future healthcare vote, rather than a guarantee that Affordable Care Act subsidies are extended by the end of the year. Many Democrats have said that this is unacceptable.

Still, Republican leaders only need five additional votes to fund the government, and the group involved in the talks has ranged from 10 to 12 Democratic senators.

Republicans eye new package of bills

Trump urged Republicans at a White House breakfast on Wednesday to end the shutdown quickly and scrap the legislative filibuster, which requires 60 Senate votes for most legislation, so that they bypass Democrats altogether and fund the government.

“I am totally in favour of terminating the filibuster, and we would be back to work within 10 minutes after that vote took place,” Trump said on Friday.

Republicans have emphatically rejected Trump’s call, and Thune has instead been eyeing a bipartisan package that mirrors the proposal the moderate Democrats have been sketching out. But it is unclear what Thune, who has refused to negotiate, would promise on healthcare.

The package would replace the House-passed legislation that the Democrats have now rejected 14 times. That bill would only extend government funding until November 21, a date that is rapidly approaching after six weeks of inaction.

A choice for Democrats

A test vote on new legislation could come in the next few days if Thune decides to move forward.

Then Democrats would have a crucial choice to make: Do they keep fighting for a meaningful deal on extending the subsidies that expire in January, while prolonging the pain of the shutdown? Or do they vote to reopen the government and hope for the best as Republicans promise an eventual healthcare vote, but not a guaranteed outcome?

After a caucus meeting on Thursday, most Democrats suggested they would continue to hold out for Trump and Republican leaders to agree to negotiations.

“That’s what leaders do,” said Senator Ben Ray Lujan, Democrat from New Mexico. “You have the gavel, you have the majority, you have to bring people together.”

Hawaii Democrat Senator Brian Schatz said Democrats are “obviously not unanimous”, but “without something on healthcare, the vote is very unlikely to succeed”.

Johnson delivers setback to bipartisan talks

Democrats are facing pressure from unions eager for the shutdown to end and from allied groups that want them to hold firm. Many Democrats have argued that the wins for Democrats on Election Day show voters want them to continue the fight until Republicans yield and agree to extend the health tax credits.

A vote on the healthcare subsidies “has got to mean something”, said Vermont Senator Bernie Sanders, an independent who caucuses with the Democrats. “That means a commitment by the speaker of the House, that he will support the legislation, that the president will sign.”

But Speaker Mike Johnson, a Republican from Louisiana, made clear he will not make any commitments. “I’m not promising anybody anything,” Johnson said on Thursday when asked if he could promise a vote on a healthcare bill.

Nov. 7 (UPI) — A new survey by the University of Michigan suggested that Americans may be frightened over the economy as the ongoing U.S. government shutdown reverberates with no end in sight.

The survey released Friday showed consumer sentiment at its lowest in three years and near its worst at UM’s second-lowest reading since at least 1978 as the shutdown sent confidence to near-record lows as economic concerns deepen.

“With the federal government shutdown dragging on for over a month, consumers are now expressing worries about potential negative consequences for the economy,” according to survey Director Joanne Hsu.

The University of Michigan’s monthly Index of Consumer Sentiment posted a more than 6% decline to a little over 50% for the month. It was a 30% decline from about a year ago.

“This month’s decline in sentiment was widespread throughout the population, seen across age, income and political affiliation,” Hsu added.

UM’s well-documented survey showed a gradual decline in consumer confidence over the year starting in February in the wake of tax-like tariffs imposed by U.S. President Donald Trump.

“Across the economy, segments of the population are increasingly dealing with tighter financial conditions,” Elizabeth Renter, senior economist at NerdWallet, told CNBC.

Renter said that is “certainly true for federal workers and people dependent on food assistance from the federal government. But it’s also likely increasingly true for middle income Americans.”

SEOUL, Nov. 7 (UPI) — After the inauguration of the Donald Trump in January, the South Korean government and its corporations were pressed to invest hundreds of billions of dollars in the United States to avoid high tariffs.

Observers expressed concern Friday that such large-scale overseas investments could end up harming Asia’s fourth-largest economy, which heavily depends on the manufacturing industry.

Late last month, Seoul agreed to invest $200 billion in cash and $150 billion in shipbuilding and other industrial projects in the United States over the coming years, with an annual ceiling of $20 billion.

In return, Washington would reduce tariffs on Korean exports to 15% from 25%, honoring the terms agreed upon in late July. Trump also vowed to provide propulsion technology to help the key U.S. ally in East Asia build a nuclear-powered submarine.

The deal coincided with Trump’s visit to Korea to meet his counterpart, President Lee Jae Myung, on the sidelines of the Asia-Pacific Economic Cooperation Summit.

“Beginning next year, our annual investments in the United States are expected to double compared to 2025. When corporate funds move abroad, companies will have less capacity to invest at home,” Sogang University economics Professor Hur Jung told UPI.

“The problem is that it appears to become a long-term trend, which is feared to lead to the hollowing out of Korea’s manufacturing sector. The government is required to put forth great efforts to address this,” he said.

Hur recommended the country to prioritize traditional industries, such as semiconductors and automobiles, rather than concentrate on artificial intelligence-based innovations, which have been the main focus of the incumbent Seoul administration.

Other analysts note that the worries go beyond the $350 billion investment plan, as many Korean corporations have announced major spending initiatives in the United States to avoid high tariffs.

For example, Korea’s state-backed companies and private enterprises promised up to $150 billion in investments in the United States in August, when Lee had his first summit with Trump.

Back then, Hyundai Motor Group unveiled a plan to funnel $26 billion in the United States until 2028, while Hanwha Group committed $5 billion to expand its shipyard in Philadelphia, which the Korean conglomerate acquired late last year.

Korean Air also plans to purchase 103 aircraft from Boeing by the end of the 2030s, which is expected to total $36.2 billion in value.

“Korea Inc. invested $106 billion in domestic facilities last year. And its companies are now ready to spend $150 billion in the United States alone after a single meeting between the two countries’ political leaders in August. Does it make sense?” economic commentator Kim Kyeong-joon, formerly vice chairman at Deloitte Consulting Korea, asked rhetorically in a phone interview.

“Our foreign exchange reserves stand at just over $400 billion, and we are preparing to pour more than that amount into a single foreign market. Such an approach could weaken our ability to invest domestically, weighing heavily on the manufacturing-based economy,” he said.

According to the Organization for Economic Cooperation and Development, manufacturing accounts for 27% of South Korea’s gross domestic product, which is almost double the average among other member countries.

Against this backdrop, the Ministry of Trade, Industry and Resources is set to establish a forum involving related researchers and businesses to deal with the expected crisis. The Bank of Korea also warned of the gravity of the situation in an August report.

“As in past crises, our corporations, the government and households need to share a sense of urgency and work together to overhaul the country’s aging economic structure,” the central bank said at the time.

However, critics take issue with the complacency of top policymakers like Kim Yong-beom, chief presidential secretary for policy in the current administration, who downplayed fears about the hollowing out of the domestic manufacturing sector.

“Such assessments may be premature because many partner firms and key operations, including research and development centers, still remain based in Korea,” Kim told a conference in early September.

Shareholders approved the pay package with as much as 75 percent support on Thursday.

Tesla CEO Elon Musk has scored a resounding victory as shareholders have approved a pay package of as much as $878bn over the next decade, endorsing his vision of morphing the electric vehicle (EV) maker into an AI and robotics juggernaut.

Shares of Tesla rose more than 3 percent in after-hours trading after the shareholders voted on Thursday. The proposal was approved with more than 75 percent support.

Musk took to the stage in Austin, Texas, along with dancing robots. “What we are about to embark upon is not merely a new chapter of the future of Tesla, but a whole new book,” he said. “This really is going to be quite the story.”

He added: “Other shareholder meetings are like snooze fests, but ours are bangers. I mean, look at this. This is sick.”

Shareholders also re-elected three directors on Tesla’s board and voted in favour of a replacement pay plan for Musk’s services because a legal challenge has held up a previous package.

The vote, analysts have said, is a positive for Tesla’s stock, whose valuation hangs on Musk’s vision of making vehicles drive themselves, expanding robotaxis across the United States and selling humanoid robots, even though his far-right political rhetoric has hurt the Tesla brand this year.

A win for Musk was widely expected as the billionaire was allowed to exercise the full voting rights of his roughly 15 percent stake after the carmaker moved to Texas from Delaware, where a legal challenge has held up a previous pay rise.

The approval comes even after opposition from some major investors, including Norway’s sovereign wealth fund.

Tesla’s board had said Musk could quit if the pay package was not approved.

The vote will also allay investor concerns that Musk’s focus has been diluted with his work in politics as well as in running his other companies, including rocket maker SpaceX and artificial intelligence startup xAI.

The board and many investors who lent their endorsement have said the nearly $1 trillion package benefits shareholders in the longer run, as Musk must ensure Tesla achieves a series of milestones to get paid.

Goals for Musk over the next decade include the company delivering 20 million vehicles, having one million robotaxis in operation, selling one million robots and earning as much as $400bn in core profit. But in order for him to get paid, Tesla’s stock value has to rise in tandem, first to $2 trillion from the current $1.5 trillion, and all the way to $8.5 trillion.

Under the new plan, Musk could earn as much as $878bn in Tesla stock over 10 years. Musk would be given as much as $1 trillion in stock but would have to make some payments back to Tesla.

The DOJ argued that the federal judge did not have the authority to make the decision.

A United States judge in Texas has approved the Department of Justice’s request to dismiss a criminal case against Boeing despite his objections to the decision.

On Thursday, Judge Reed O’Connor of the US District Court in Fort Worth dismissed the case, which will allow the plane maker to avoid prosecution over charges related to two deadly 737 MAX crashes: the 2018 Lion Air crash in Indonesia and the 2019 Ethiopian Airlines crash.

O’Connor said he disagreed with the Justice Department’s argument that ending the case served the public interest, noting that he lacked the authority to overrule it.

The government argued Boeing has improved, and the Federal Aviation Administration (FAA) is providing enhanced oversight. Boeing and the government argued O’Connor had no choice but to dismiss the case.

He said the deal with the aerospace giant “fails to secure the necessary accountability to ensure the safety of the flying public”.

In September, O’Connor held a three-hour hearing to consider objections to the deal, questioning the government’s decision to drop a requirement that Boeing face oversight from an independent monitor for three years and instead hire a compliance consultant.

O’Connor said the government’s position is “Boeing committed crimes sufficient to justify prosecution, failed to remedy its fraudulent behaviour on its own during the [deferred prosecution agreement], which justified a guilty plea and the imposition of an independent monitor, but now Boeing will remedy that dangerous culture by retaining a consultant of its own choosing”.

The DOJ first criminally charged Boeing for the crashes in January 2021, but also agreed to deferred prosecution in the case.

The plane maker was charged with one count of conspiracy to defraud the US. Courts found that Boeing deceived the FAA about what is called the manoeuvring characteristics augmentation system, which affects flight control systems on the aircraft.

“Boeing’s employees chose the path of profit over candor by concealing material information from the FAA concerning the operation of its 737 Max airplane and engaging in an effort to cover up their deception,” acting Assistant Attorney General David P Burns of the DOJ’s criminal division said in a statement at the time.

O’Connor said in 2023 that “Boeing’s crime may properly be considered the deadliest corporate crime in US history”.

Under the non-prosecution deal, Boeing agreed to pay an additional $444.5m into a crash victims’ fund to be divided evenly per victim of the two fatal 737 MAX crashes, on top of a new $243.6m fine and more than $455m to strengthen the company’s compliance, safety, and quality programmes.

On Wall Street, Boeing’s stock was up by 0.2 percent as of 11am in New York (16:00 GMT).

A months-long siege on the Malian capital, Bamako, by the armed al-Qaeda affiliate group, Jama’at Nusrat al-Islam wal-Muslimin (JNIM), has brought the city to breaking point, causing desperation among residents and, according to analysts, placing increasing pressure on the military government to negotiate with the group – something it has refused to do before now.

JNIM’s members have created an effective economic and fuel blockade by sealing off major highways used by tankers to transport fuel from neighbouring Senegal and the Ivory Coast to the landlocked Sahel country since September.

While JNIM has long laid siege to towns in other parts of the country, this is the first time it has used the tactic on the capital city.

The scale of the blockade, and the immense effect it has had on the city, is a sign of JNIM’s growing hold over Mali and a step towards the group’s stated aim of government change in Mali, Beverly Ochieng, Sahel analyst with intelligence firm Control Risks, told Al Jazeera.

For weeks, most of Bamako’s residents have been unable to buy any fuel for cars or motorcycles as supplies have dried up, bringing the normally bustling capital to a standstill. Many have had to wait in long fuel queues. Last week, the United States and the United Kingdom both advised their citizens to leave Mali and evacuated non-essential diplomatic staff.

Other Western nations have also advised their citizens to leave the country. Schools across Mali have closed and will remain shut until November 9 as staff struggle to commute. Power cuts have intensified.

Here’s what we know about the armed group responsible and why it appears to have Mali in a chokehold:

What is JNIM?

JNIM is the Sahel affiliate of al-Qaeda and the most active armed group in the region, according to conflict monitor ACLED. The group was formed in 2017 as a merger between groups that were formerly active against French and Malian forces that were first deployed during an armed rebellion in northern Mali in 2012. They include Algeria-based al-Qaeda in the Maghreb (AQIM) and three Malian armed groups – Ansar Dine, Al-Murabitun and Katiba Macina.

JNIM’s main aim is to capture and control territory and to expel Western influences in its region of control. Some analysts suggest that JNIM may be seeking to control major capitals and, ultimately, to govern the country as a whole.

It is unclear how many fighters the group has. The Washington Post has reported estimates of about 6,000, citing regional and western officials.

However, Ulf Laessing, Sahel analyst at the German think tank, Konrad Adenauer Stiftung (KAS), said JNIM most likely does not yet have the military capacity to capture large, urban territories that are well protected by soldiers. He also said the group would struggle to appeal to urban populations who may not hold the same grievances against the government as some rural communities.

While JNIM’s primary base is Mali, KAS revealed in a report that the group has Algerian roots via its members of the Algeria-based al-Qaeda in the Maghreb (AQIM).

The group is led by Iyad Ag-Ghali, a Malian and ethnic Tuareg from Mali’s northern Kidal region who founded Ansar Dine in 2012. That group’s stated aim was to impose its interpretation of Islamic law across Mali.

Ghali had previously led Tuareg uprisings against the Malian government, which is traditionally dominated by the majority Bambara ethnic group, in the early 1990s, demanding the creation of a sovereign country called Azawad.

However, he reformed his image by acting as a negotiator between the government and the rebels. In 2008, he was posted as a Malian diplomat to Saudi Arabia under the government of Malian President Amadou Toumani Toure. When another rebellion began in 2012, however, Ghali sought a leadership role with the rebels but was rebuffed, leading him to create Ansar Dine.

According to the US Department of National Intelligence (DNI), Ghali has stated that JNIM’s strategy is to expand its presence across West Africa and to put down government forces and rival armed groups, such as the Mali-based Islamic State Sahel, through guerrilla-style attacks and the use of improvised explosive devices (IEDs).

Simultaneously, it attempts to engage with local communities by providing them with material resources. Strict dress codes and bans on music are common in JNIM-controlled areas.

JNIM also destroys infrastructure, such as schools, communication towers and bridges, to weaken the government off the battlefield.

An overall death toll is unclear, but the group has killed thousands of people since 2017. Human rights groups accuse it of attacking civilians, especially people perceived to be assisting government forces. JNIM activity in Mali caused 207 deaths between January and April this year, according to ACLED data.

How has JNIM laid siege to Bamako?

JNIM began blocking oil tankers carrying fuel to Bamako in September.

That came after the military government in Bamako banned small-scale fuel sales in all rural areas – except at official service stations – from July 1. Usually, in these areas, traders can buy fuel in jerry cans, which they often resell later.

The move to ban this was aimed at crippling JNIM’s operations in its areas of control by limiting its supply lines and, thus, its ability to move around.

At the few places where fuel is still available in Bamako, prices soared last week by more than 400 percent, from $25 to $130 per litre ($6.25-$32.50 per gallon). Prices of transportation, food and other commodities have risen due to the crisis, and power cuts have been frequent.

Some car owners have simply abandoned their vehicles in front of petrol stations, with the military government threatening on Wednesday to impound them to ease traffic and reduce security risks.

A convoy of 300 fuel tankers reached Bamako on October 7, and another one with “dozens” of vehicles arrived on October 30, according to a government statement. Other attempts to truck in more fuel have met obstacles, however, as JNIM members ambush military-escorted convoys on highways and shoot at or kidnap soldiers and civilians.

Even as supplies in Bamako dry up, there are reports of JNIM setting fire to about 200 fuel tankers in southern and western Mali. Videos circulating on Malian social media channels show rows of oil tankers burning on a highway.

What is JNIM trying to achieve with this blockade?

Laessing of KAS said the group is probably hoping to leverage discontent with the government in the already troubled West African nation to put pressure on the military government to negotiate a power-sharing deal of sorts.

“They want to basically make people as angry as possible,” he said. “They could [be trying] to provoke protests which could bring down the current government and bring in a new one that’s more favourable towards them.”

Ochieng of Control Risks noted that, in its recent statements, JNIM has explicitly called for government change. While the previous civilian government of President Ibrahim Boubacar Keita (2013-2020) had negotiated with JNIM, the present government of Colonel Assimi Goita will likely keep up its military response, Ochieng said.

Frustration at the situation is growing in Bamako, with residents calling for the government to act.

Speaking to Al Jazeera, driver Omar Sidibe said the military leaders ought to find out the reasons for the shortage and act on them. “It’s up to the government to play a full role and take action [and] uncover the real reason for this shortage.”

Which parts of Mali is the JNIM active in?

In Mali, the group operates in rural areas of northern, central and western Mali, where there is a reduced government presence and high discontent with the authorities among local communities.

In the areas it controls, JNIM presents itself as an alternative to the government, which it calls “puppets of the West”, in order to recruit fighters from several ethnic minorities which have long held grievances over their perceived marginalisation by the government, including the Tuareg, Arab, Fulani, and Songhai groups. Researchers note the group also has some members from the majority Bambara group.

In central Mali, the group seized Lere town last November and captured the town of Farabougou in August this year. Both are small towns, but Farabougou is close to Wagadou Forest, a known hiding place of JNIM.

JNIM’s hold on major towns is weaker because of the stronger government presence in larger areas. It therefore more commonly blockades major towns or cities by destroying roads and bridges leading to them. Currently, the western cities of Nioro and gold-rich Kayes are cut off. The group is also besieging the major cities of Timbuktu and Gao, as well as Menaka and Boni towns, located in the north and northeast.

How is JNIM funded?

For revenue, the group oversees artisanal gold mines, forcefully taxes community members, smuggles weapons and kidnaps foreigners for ransom, according to the US DNI. Kayes region, whose capital, Kayes, is under siege, is a major gold hub, accounting for 80 percent of Mali’s gold production, according to conflict monitoring group Critical Threats.

The Global Initiative Against Transnational Organised Crime (Gi-Toc) also reports cattle rustling schemes, estimating that JNIM made 91,400 euros ($104,000) in livestock sales of cattle between 2017 and 2019. Cattle looted in Mali are sold cheaply in communities on the border with Ghana and the Ivory Coast, through a complex chain of intermediaries.

In which other countries is JNIM active?

JNIM expanded into Burkina Faso in 2017 by linking up with Burkina-Faso-based armed group Ansarul-Islam, which pledged allegiance to the Malian group. Ansarul-Islam was formed in 2016 by Ibrahim Dicko, who had close ties with Amadou Koufa, JNIM’s deputy head since 2017.

In Burkina Faso, JNIM uses similar tactics of recruiting from marginalised ethnic groups. The country has rapidly become a JNIM hotspot, with the group operating – or holding territory – in 11 of 13 Burkina Faso regions outside of capital Ouagadougou. There were 512 reported casualties as a result of JNIM violence in the country between January and April this year. It is not known how many have died as a result of violence by the armed group in total.

Since 2022, JNIM has laid siege to the major northern Burkinabe city of Djibo, with authorities forced to airlift in supplies. In a notable attack in May 2025, JNIM fighters overran a military base in the town, killing approximately 200 soldiers. It killed a further 60 in Solle, about 48km (30 miles) west of Djibo.

In October 2025, the group temporarily took control of Sabce town, also located in the north of Burkina Faso, killing 11 police officers in the process, according to the International Crisis Group.

In a September report, Human Rights Watch said JNIM and a second armed group – Islamic State Sahel, which is linked to ISIL (ISIS) – massacred civilians in Burkina Faso between May and September, including a civilian convoy trying to transport humanitarian aid into the besieged northern town of Gorom Gorom.

Meanwhile, JNIM is also moving southwards, towards other West African nations with access to the sea. It launched an offensive on Kafolo town, in northern Ivory Coast, in 2020.

JNIM members embedded in national parks on the border regions with Burkina Faso have been launching sporadic attacks in northern Togo and the Benin Republic since 2022.

In October this year, it recorded its first attack on the Benin-Nigeria border, where one Nigerian policeman was killed. The area is not well-policed because the two countries have no established military cooperation, analyst Ochieng said.

“This area is also quite a commercially viable region; there are mining and other developments taking place there … it is likely to be one that [JNIM] will try to establish a foothold,” she added.

Why are countries struggling to fend off JNIM?

When Mali leader General Assimi Goita led soldiers to seize power in a 2020 coup, military leaders promised to defeat the armed group, as well as a host of others that had been on the rise in the country. Military leaders subsequently seizing power from civilian governments in Burkina Faso (2022) and in Niger (2023) have made the same promises.

However, Mali and its neighbours have struggled to hold JNIM at bay, with ACLED data noting the number of JNIM attacks increasing notably since 2020.

In 2022, Mali’s military government ended cooperation with 4,000-strong French forces deployed in 2013 to battle armed groups which had emerged at the time, as well as separatist Tuaregs in the north. The last group of French forces exited the country in August 2022.

Mali also terminated contracts with a 10,000-man UN peacekeeping force stationed in the country in 2023.

Bamako is now working with Russian fighters – initially 1,500 from the Wagner Mercenary Group, but since June, from the Kremlin-controlled Africa Corps – estimated to be about 1,000 in number.

Russian officials are, to a lesser extent, also present in Burkina Faso and Niger, which have formed the Alliance of Sahel States (AES) with Mali.

Results in Mali have been mixed. Wagner supported the Malian military in seizing swaths of land in the northern Kidal region from Tuareg rebels.

But the Russians also suffered ambushes. In July 2024, a contingent of Wagner and Malian troops was ambushed by rebels in Tinzaouaten, close to the Algerian border. Between 20 and 80 Russians and 25 to 40 Malians were killed, according to varying reports. Researchers noted it was Wagner’s worst defeat since it had deployed to West Africa.

In all, Wagner did not record much success in targeting armed groups like JNIM, analyst Laessing told Al Jazeera.

Alongside Malian forces, the Russians have also been accused by rights groups of committing gross human rights violations against rural communities in northern Mali perceived to be supportive of armed groups.

Could the Russian Africa Corps fighters end the siege on Bamako?

Laessing said the fuel crisis is pressuring Mali to divert military resources and personnel to protect fuel tankers, keeping them from consolidating territory won back from armed groups and further endangering the country.

He added that the crisis will be a test for Russian Africa Corp fighters, who have not proven as ready as Wagner fighters to take battle risks. A video circulating on Russian social media purports to show Africa Corps members providing air support to fuel tanker convoys. It has not been verified by Al Jazeera.

“If they can come in and allow the fuel to flow into Bamako, then the Russians will be seen as heroes,” Laessing said – at least by locals.

Laessing added that the governments of Mali and Burkina Faso, in the medium to long term, might eventually have to negotiate with JNIM to find a way to end the crisis.

While Goita’s government has not attempted to hold talks with the group in the past, in early October, it greenlit talks led by local leaders, according to conflict monitoring group Critical Threats – although it is unclear exactly how the government gave its approval.

Agreements between the group and local leaders have reportedly already been signed in several towns across Segou, Mopti and Timbuktu regions, in which the group agrees to end its siege in return for the communities agreeing to JNIM rules, taxes, and noncooperation with the military.

The agency made the announcement as it confronts staffing shortages caused by air traffic controllers who are working unpaid.

The United States Federal Aviation Administration (FAA) will reduce air traffic by 10 percent across 40 “high-volume” markets beginning Friday morning to maintain safety during the ongoing government shutdown, it has said.

The agency made the announcement on Wednesday as it confronts staffing shortages caused by air traffic controllers, who are working unpaid, with some calling out of work during the shutdown, resulting in delays across the country.

FAA Administrator Bryan Bedford said the agency is not going to wait for a problem to act, saying the shutdown is causing staffing pressures and “we can’t ignore it”.

Bedford and Transportation Secretary Sean Duffy said they will meet later Wednesday with airline leaders to figure out how to safely implement the reduction.

Widespread delays

The shutdown, now in its 36th day, has forced 13,000 air traffic controllers and 50,000 Transportation Security Administration officers to work without pay. This has worsened staff shortages, caused widespread flight delays and extended lines at airport security screening.

The move is aimed at taking pressure off air traffic controllers. The FAA also warned that it could add more flight restrictions after Friday if further air traffic issues emerge.

Duffy had warned on Tuesday that if the federal government shutdown continued another week, it could lead to “mass chaos” and force him to close some of the national airspace to air traffic, a drastic move that could upend American aviation.

Airlines have repeatedly urged an end to the shutdown, citing aviation safety risks.

Shares of major airlines, including United Airlines and American Airlines, were down about 1 percent in extended trading.

An airline industry group estimated that more than 3.2 million passengers have been affected by flight delays or cancellations due to rising air traffic controller absences since the shutdown began on October 1. Airlines have been raising concerns with lawmakers about the impact on operations.

Airlines said the shutdown has not significantly affected their business, but have warned bookings could drop if it drags on. More than 2,100 flights were delayed on Wednesday.

On Tuesday, FAA’s Bedford said that 20 percent to 40 percent of controllers at the agency’s 30 largest airports were failing to show up for work.

The federal government has mostly closed as Republicans and Democrats are locked in a standoff in Congress over a funding bill. Democrats have insisted they would not approve a plan that does not extend health insurance subsidies, while Republicans have rejected that.

There have already been numerous flight delays as the FAA slows down or stops traffic when it is short of controllers.

United States Transportation Secretary Sean Duffy has said that there could be chaos in the skies next week if the government shutdown drags on and air traffic controllers miss a second paycheck.

Duffy made his comments on Tuesday as the US government shutdown dragged into its 35th day, matching the shutdown in US President Donald Trump’s first term as president and which was the longest at the time.

There have already been numerous delays at airports across the country — sometimes hours long — because the Federal Aviation Administration slows down or stops traffic temporarily anytime it is short on controllers. Last weekend saw some of the worst staff shortages, and on Sunday, flights at Newark Liberty International Airport in New Jersey were delayed for several hours.

Duffy and the head of the air traffic controllers union have both warned that the situation will only get worse the longer the shutdown continues and the financial pressure continues to grow on people who are forced to work without pay. FAA employees already missed one paycheck on October 28. Their next payday is scheduled for next Tuesday.

“Many of the controllers said, ‘A lot of us can navigate missing one paycheck. Not everybody, but a lot of us can. None of us can manage missing two paychecks,’” Duffy said. “So if you bring us to a week from today, Democrats, you will see mass chaos. You will see mass flight delays. You’ll see mass cancellations, and you may see us close certain parts of the airspace, because we just cannot manage it, because we don’t have air traffic controllers.”

Most of the flight disruptions so far during the shutdown have been isolated and temporary. But if delays become more widespread and start to ripple throughout the system, the pressure will mount on US Congress to reach an agreement to end the shutdown.

Normally, airlines strive to have at least 80 percent of their flights depart and arrive within 15 minutes of when they are scheduled. Aviation analytics firm Cirium said that since the shutdown began on October 1, the total number of delays overall has not fallen significantly below that goal because most of the disruptions so far have been no worse than what happens when a major thunderstorm moves across an airport.

But on Sunday, only about 56 percent of Newark’s departures were on time, and the Orlando airport reported that only about 70 percent of its flights were on time, according to Cirium.

As of midday Tuesday, there have been 1,932 flight delays reported across the US, according to www.FlightAware.com. That is lower than what is typical, although the FAA did say that flights in Phoenix were being delayed on Tuesday morning because of staffing shortages. Strong winds are also causing delays at the Newark and LaGuardia airports on Tuesday.

Starbucks has announced it will sell the majority stake in its Chinese business for $4bn to a Hong Kong-based private equity firm after years of losing market share to local competitors in China.

Starbucks announced the sale on Monday, which will see the firm Boyu Capital take a 60 percent stake in its Chinese retail operations through a joint venture.

Boyu Capital has offices in Shanghai, Beijing and Singapore, and its cofounders include Alvin Jiang, the grandson of former Chinese President Jiang Zemin, according to the Reuters news agency.

The US coffee giant will retain a 40 percent interest in its China operations while maintaining its ownership of the company’s brand and intellectual property, the company said.

The deal marks a “new chapter” in Starbucks’s 26-year-long history in China, the company said in a statement.

It will also give Starbucks a much-needed injection of funding and logistical support as it tries to expand its business deeper into China, according to Jason Yu, the Shanghai-based managing director of CTR Market Research.

Starbucks has 8,000 locations across China, but it aspires to open as many as 20,000 through its joint venture, the company said in a statement.

“Starbucks used to be a pioneer in coffee in China, where it was probably the first coffee chain in many cities, but this is no longer the case as the local competition already outpaced Starbucks in their expansion,” Yu told Al Jazeera.

Top competitors include homegrown Luckin Coffee, which has more than 26,000 locations worldwide, mostly in China.

Starbucks has historically been concentrated in first- and second-tier cities like Shanghai, Beijing and Shenzhen while Luckin has expanded into much smaller cities.

Luckin has also built a reputation around offering customers much cheaper drinks than Starbucks through its loyalty programme and in-app discounts.

A small Americano coffee at Starbucks costs 30 yuan ($4.21), but at Luckin, the same drink retails on average for about 10 yuan ($1.40), according to Yu.

Olivia Plotnick, founder of the Shanghai-based social marketing company Wai Social, told Al Jazeera that Starbucks has been unable to keep up with competitive pricing and consumer preferences.

“Between domestic players such as Luckin and later Cotti Coffee undercutting Starbucks on price, footprint and flavour fuelled by tech, wider beverage competition from the rise of milk tea brands and delivery platform wars, Starbucks have lost their once very competitive edge,” Plotnick said. By “delivery platform wars”, Plotnick referred to the cutthroat competition between apps for delivery services that drives down prices of goods like coffee.

Starbucks’s joint venture with Boyu Capital will offer the company more capital for investment but also help with logistics, infrastructure and managing commercial property as it opens more storefronts in regional cities, Yu said.

The company is following a familiar playbook used by other international brands in China, he said.

In 2016, after a major food safety scandal, KFC and Pizza Hut owner Yum Brands sold a stake in their China business to the China-based Primavera Capital and an affiliate of the e-commerce giant Alibaba Group, according to Reuters. The China business was later spun off into an independent entity.

In 2017, McDonald’s sold off a majority stake in its China, Hong Kong and Macau businesses to the Chinese state-backed conglomerate CITIC and the private equity group Carlyle Capital although it later bought back some of its business, according to CNBC.

After the deal with CITIC, McDonald’s doubled its outlets in China to 5,500 as of late 2023, CNBC said, and aims to open 10,000 restaurants by 2028.

The announcement comes less than week after Amazon laid off 14,000 people.

OpenAI has signed a new deal valued at $38bn with Amazon that will allow the artificial intelligence giant to run AI workloads across Amazon Web Services (AWS) cloud infrastructure.

The seven-year deal announced on Monday is the first big AI push for the e-commerce giant after a restructuring last week.

The new deal will give the ChatGPT maker access to thousands of Nvidia graphics processors to train and run its artificial intelligence models.

Experts say this does not mean that it will allow OpenAI to train its model on websites hosted by AWS – which includes the websites of The New York Times, Reddit and United Airlines.

“Running OpenAI training inside AWS doesn’t change their ability to scrape content from AWS-hosted websites [which they could already do for anything publicly readable]. This is strictly speaking about the economics of rent vs buy for GPU [graphics processing unit] capacity,” Joshua McKenty, CEO of the AI detection company PolyguardAI, told Al Jazeera.

The deal is also a major vote of confidence for the e-commerce giant’s cloud unit, AWS, which some investors feared had fallen behind rivals Microsoft and Google in the artificial intelligence (AI) race. Those fears were somewhat eased by the strong growth the business reported in the September quarter.

OpenAI will begin using AWS immediately, with all planned capacity set to come online by the end of 2026 and room to expand further in 2027 and beyond.

Amazon plans to roll out hundreds of thousands of chips, including Nvidia’s GB200 and GB300 AI accelerators, in data clusters built to power ChatGPT’s responses and train OpenAI’s next wave of models, the companies said.

Amazon already offers OpenAI models on Amazon Bedrock, which offers multiple AI models for businesses using AWS.

OpenAI’s sweeping restructuring last week moved it further away from its non-profit roots and also removed Microsoft’s first right to refusal to supply services in the new arrangement.

Image hurdles

Amazon’s announcement about an investment in AI comes only days after the company laid off 14,000 people despite CEO Andy Jassy’s comment in an earnings call on Thursday saying the layoffs were not driven by AI.

“The announcement that we made a few days ago was not really financially driven, and it’s not even really AI-driven, not right now at least,” Jassy said.

OpenAI CEO Sam Altman has said the startup is committed to spending $1.4 trillion to develop 30 gigawatts of computing resources – enough to roughly power 25 million United States homes.

“Scaling frontier AI requires massive, reliable compute,” said Altman. “Our partnership with AWS strengthens the broad compute ecosystem that will power this next era and bring advanced AI to everyone.”

This comes amid growing concerns about the sheer amount of energy demand that AI data centres need to operate. The Lawrence Berkeley National Laboratory estimates that AI data centres will use up to 12 percent of US electricity by 2028.

An AP/NORC poll from October found that 41 percent of Americans are extremely concerned about AI’s impact on the environment, while another 30 percent say they are somewhat concerned as the industry increases its data centre footprint around the US.

Signs of a bubble

Surging valuations of AI companies and their massive spending commitments, which total more than $1 trillion for OpenAI, have raised fears that the AI boom may be turning into a bubble.

OpenAI has already tapped Alphabet’s Google to supply it with cloud services, as Reuters reported in June. It also reportedly struck a deal to buy $300bn in computing power for about five years.

While OpenAI’s relationship with Microsoft, which the two forged in 2019, has helped push Microsoft to the top spot among its Big Tech peers in the AI race, both companies have been making moves recently to reduce reliance on each other.

Neither OpenAI nor Amazon were immediately available for comment.

On Wall Street, Amazon’s stock is surging on the news of the new deal. As of 11:15am in New York (16:15 GMT), it is up by 4.7 percent.