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Iranian drone strike sets stategically key UAE oil trading hub on fire

Iran stepped up its targeting of Gulf neighbors, attacking and setting on fire a fuel tank close to Dubai International Airport, forcing flights to be suspended, and the key Fujairah oil export hub on the UAE’s east coast, on the supposed “safe” side of the Strait of Hormuz. Photo by Stringer/EPA

March 16 (UPI) — Emergency services in the United Arab Emirates were battling a major blaze at the country’s strategically key Fujairah oil export hub on Monday morning after the second drone strike on the facility in two days.

Emirate of Fujairah authorities said in a post on X that no one had been hurt in the attack on the Fujairah Industrial Petroleum Zone and that efforts were ongoing to bring the fire under control. They appealed to people to refrain from spreading misinformation.

“Civil defense teams in the Emirate immediately responded to the incident and are continuing their efforts to control it. The competent authorities call on the public not to circulate rumours and to obtain information only from official sources,” wrote the Fujairah Media Office.

The facility is strategically important because it is the only oil export terminal on the UAE’s eastern coast, located on the Gulf of Oman, the “good” end of the Strait of Hormuz.

Critically, it means oil tankers servicing the port do not need to run the gauntlet of the 21-mile-wide sea lane that Iran has effectively closed.

An approximately 250-mile-long cross-country oil pipeline from Habshan, a key onshore field 80 miles southwest of Abu Dhabi, feeds as much as 1.8 million barrels per day of crude into Fujairah.

However, Iran’s Islamic Revolutionary Guard Corps threatened ports, docks, military facilities and other “legitimate” U.S. targets in the UAE while the state media uged workers and residents in and around Fujairah, Jebel Ali and Khalifa ports to evacuate due to the presence of U.S. military forces.

Monday’s incident, following on from a separate strike and fire on Saturday, highlighted how exposed Fujairah — one of the world’s key crude oil and fuel storage hubs — was to Iranian threats.

The UAE has been repeatedly targeted by Iranian drones and missiles since the United States launched its airborne offensive against Iran on Feb. 28.

A drone attack earlier Monday that forced the temporary grounding of all flights at Dubai International Airport after a fire erupted in a fuel tank close by and an announcement by Israel that it was nowhere near done with hitting Iran indicated the war was likely headed into a third week.

Israel also announced plans for an expansion of its ground offensive in Lebanon against Hezbollah operatives and strongholds after the Iranian proxy group attacked Israel with rockets and missiles on March 2, two days into the war.

An Israeli bombing campaign and targeted actions by ground forces has already forced hundreds of thousands of civilians in the country to flee their homes and killed more than 850, more than 170 of them women and children, according to the Lebanon Health Ministry.

European Union foreign ministers were set to meet on Monday in Brussels to discuss the situation in the region as oil prices continued their upward trajectory with the benchmark Brent crude futures briefly hitting $106 per barrel during trade on Monday.

Shipping of oil, gas and all cargo through the Strait of Hormuz remains stalled despite calls by U.S. President Donald Trump at the weekend for countries that get their oil from Gulf producers to step up and help restart movement of ships in and out of the Persian Gulf.

Iranians attend a funeral for a person killed in recent U.S.-Israel airstrikes at Behesht-e Zahra cemetery on the southern outskirts of Tehran in Iran on March 9, 2026. Photo by Hossein Esmaeili/UPI | License Photo

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Carney Heads to India in Bid to Recast Canada as a ‘Middle Power’ Trade Hub

Canadian Prime Minister Mark Carney arrives in Mumbai on his first official visit to India seeking to reset strained relations and advance an ambitious trade agenda designed to reduce Canada’s dependence on the United States.

The visit marks a significant recalibration in Ottawa’s foreign policy. After years of diplomatic friction under Justin Trudeau, Carney is positioning Canada as a pragmatic middle power, intent on diversifying alliances and building new trade corridors with fast-growing economies.

From Mumbai, Carney will travel to New Delhi for talks with Indian Prime Minister Narendra Modi, with negotiations expected to accelerate toward a comprehensive trade agreement that Canadian officials hope to conclude by November.

Repairing a Fractured Relationship

Canada–India relations deteriorated sharply after Trudeau publicly alleged that Indian agents were linked to the assassination of a Canadian citizen associated with Sikh separatism. New Delhi strongly denied the accusation, and diplomatic ties cooled considerably.

Carney’s itinerary reflects a deliberate attempt to lower political temperatures. Unlike previous Canadian leaders, he will not visit Punjab, a state central to India’s Sikh population and a major source of immigration to Canada. Sikh separatist activism has long been a sensitive issue in bilateral relations, and avoiding the region signals Ottawa’s intent to keep the focus on trade and investment rather than diaspora politics.

This shift has drawn criticism from some Sikh organizations in Canada, which argue that Ottawa risks sidelining concerns about foreign interference. However, Carney’s government insists domestic security remains non-negotiable while economic engagement proceeds.

Trade as Strategic Rebalancing

The India trip forms part of a broader diplomatic tour that includes Australia and Japan — countries Carney views as fellow “middle powers” capable of shaping a more diversified global trading system.

The strategy is driven by two pressures.

First, Canada’s economic dependence on the United States leaves it exposed to protectionist policies, including tariffs and threats to trade access. Second, global supply chains are being reshaped by geopolitical rivalry, creating opportunities for countries that can act as connectors rather than competitors.

India, now the world’s most populous nation and one of its fastest-growing major economies, represents both a vast consumer market and a strategic counterweight in global trade realignments.

Reports suggest negotiations may include a long-term uranium supply agreement worth billions of Canadian dollars, alongside cooperation in oil and gas, artificial intelligence, quantum computing, education and environmental technology. Such sectoral diversification would deepen economic interdependence beyond traditional commodities.

The momentum is reinforced by the European Union’s recent trade deal with India, which has raised expectations that New Delhi is increasingly open to structured economic partnerships with Western economies.

A Style Contrast With the Trudeau Era

Carney’s approach also signals stylistic change. Trudeau’s 2018 India visit drew criticism for perceived overemphasis on symbolic gestures and cultural theatrics, which some observers argued distracted from substantive negotiations.

Carney, a former central banker, projects a more restrained and technocratic image. Business leaders describe the trip as tightly focused on capital flows, market access and long-term economic sovereignty rather than domestic political optics.

This repositioning aligns with Carney’s broader message that Canada must adapt to what he calls a reordered global economy one less dominated by a single superpower and more defined by regional blocs and mid-sized powers coordinating strategically.

The “Middle Powers” Doctrine

Carney’s Davos speech earlier this year laid out the intellectual framework for this pivot: a coalition of middle powers pursuing “principled and pragmatic” cooperation to hedge against great-power volatility.

India fits squarely into that concept. It maintains strategic autonomy, balancing relations with the United States, Europe, Russia and the Global South. Canada hopes to mirror that flexibility while leveraging its strengths in energy, natural resources, finance and advanced technology.

After India, Carney’s stops in Australia and Japan underscore the Indo-Pacific tilt of Canada’s strategy. Together, these engagements suggest Ottawa is prioritizing economic resilience over ideological alignment.

Can Trade Override Political Tensions?

The key question is whether economic pragmatism can overcome lingering distrust.

India remains sensitive about Sikh separatist activism in Canada. Canadian authorities remain concerned about allegations of foreign interference. These issues are unlikely to disappear entirely.

However, both governments appear motivated by economic incentives. Canada seeks market diversification and foreign investment. India seeks reliable energy supplies, advanced technology partnerships and expanded global trade networks.

If negotiations proceed smoothly, Carney’s visit could mark a turning point not a full reconciliation, but a reset grounded in mutual economic interest rather than political grievance.

In an era of fragmented globalization, Ottawa is betting that strategic trade partnerships with rising powers like India can secure both growth and autonomy. Whether that bet pays off will depend on how effectively Canada balances principle with pragmatism in one of its most complex bilateral relationships.

With information from Reuters.

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Germany’s Merz eyes business opportunities at Chinese tech hub in Hangzhou | International Trade News

German Chancellor visits eastern city, home to AI firm DeepSeek and e-commerce giant Alibaba, with business leaders.

German Chancellor Friedrich Merz has arrived in the tech hub of Hangzhou on the second day of his first official trip to China, flanked by a delegation of business leaders seeking contracts in the eastern city.

Merz travelled from Beijing to the city of some 12 million people on Thursday, where he was due to tour some leading companies, including Germany’s Siemens Energy and Unitree, a Chinese firm producing humanoid robots.

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Hangzhou is a major hub in China’s tech sector, home to giants, including artificial intelligence company DeepSeek and e-commerce platform Alibaba.

Before leaving Beijing, Merz, who is being accompanied by a delegation, including executives of German car giants Volkswagen, BMW and Mercedes, visited a Mercedes plant in the Chinese capital where he tested a self-driving vehicle.

‘Improved’ trade relationship sought

Merz’s trip to China, which became Germany’s largest trading partner last year, seeks to deepen decades-old economic ties with the world’s second-largest economy in the wake of tariffs imposed by the United States last year.

But he has also sought to address “challenges” in the relationship, most notably tackling the massive imbalance which saw Germany’s trade deficit with China hit a record 89 billion euros ($105bn) last year, fuelling complaints from German businesses that Chinese competitors are flooding the market with cheaper goods.

In a meeting with Chinese Premier Li Qiang in Beijing on Wednesday, before he met Chinese President Xi Jinping, Merz said he wanted “to improve and make fair” the cooperation between the countries.

Following the talks with Xi and top Chinese leaders, Merz said China had agreed to buy up to 120 Airbus aircraft, and said other contracts were in the pipeline.

The two leaders stressed their commitment to developing closer strategic relations, with Xi telling Merz he was willing to take relations to “new levels”.

Ukraine, Taiwan discussed

The talks between Xi and Merz also touched on geopolitical issues, with the German leader saying any “reunification” with Taiwan, the self-ruled island China claims as its territory, must be done peacefully.

Merz also told reporters that he asked the Chinese government to use its influence with Russia to help end the war in Ukraine, amid frustrations among European leaders that Beijing was not doing enough to bring the war to an end.

“We know that signals from Beijing are taken very seriously in Moscow,” Merz said.

Following the meeting, the two countries released a joint statement saying they supported efforts to achieve a ceasefire and lasting peace in Ukraine, emphasising the importance of fair competition and mutual market access, and committing to resolving any concerns through dialogue, Chinese state media reported.

Merz is the latest in a string of Western leaders to visit Beijing in recent months, including the United Kingdom Prime Minister Keir Starmer, French President Emmanuel Macron and Canadian PM Mark Carney, amid the fallout from the Trump administration’s tariffs on long-established trade partners.

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