US

New Iranian leader vows revenge, keeps oil shipping route shut

BY AFP TEAMS IN TEHRAN, JERUSALEM, WASHINGTON, DUBAI AND BEIRUT

  • Under attack from Iran, shipping in and around Hormuz has been at a near-standstill for days, with another three vessels targeted in the Gulf off the coast of the United Arab Emirates and Iraq.
  • Iran's new supreme leader ordered his forces to keep the vital Strait of Hormuz shipping lane shut on Thursday, as Tehran launched more devastating attacks on Gulf energy targets that sent global oil prices soaring.
  • Under attack from Iran, shipping in and around Hormuz has been at a near-standstill for days, with another three vessels targeted in the Gulf off the coast of the United Arab Emirates and Iraq.
Iran's new supreme leader ordered his forces to keep the vital Strait of Hormuz shipping lane shut on Thursday, as Tehran launched more devastating attacks on Gulf energy targets that sent global oil prices soaring.
The International Energy Agency warned the Middle East war could lead to to "the largest supply disruption" in history but US President Donald Trump said stopping the Islamic republic's "evil empire" was more important than crude prices.
Ayatollah Mojtaba Khamenei, who was reportedly injured in an air strike, has yet to appear publicly since his nomination last Sunday as supreme leader, and his defiant first message was read by a newscaster on state television.
Khamenei, whose father and predecessor Ali Khamenei was killed in the first wave of US-Israeli attacks at the start of the war, called for Gulf countries to close their US military bases and vowed to avenge "the blood of our children and grandchildren".
"The lever of blocking the Strait of Hormuz must definitely be used," Khamenei said of the waterway through which a quarter of the world's seaborne oil trade usually transits.
The Revolutionary Guards reacted swiftly, with the force's navy commander Alireza Tangsiri saying: "In response to the order of the commander-in-chief, we will deliver the harshest blows to the aggressor enemy while maintaining the strategy of closing the Strait of Hormuz."
Under attack from Iran, shipping in and around Hormuz has been at a near-standstill for days, with another three vessels targeted in the Gulf off the coast of the United Arab Emirates and Iraq.
Trump has faced intense political pressure as the global economic fallout of the crisis has mounted, and he has given repeated mixed messages on when the US air campaign might end.
As oil prices spiked above $100 a barrel, Trump wrote on social media that "of far greater interest and importance to me, as President, is stoping an evil Empire, Iran, from having Nuclear Weapons, and destroying the Middle East and, indeed, the World."

Vessels attacked

Gulf states have borne the brunt of retaliatory attacks from Iran.
Images from Bahrain on Thursday showed thick smoke rising after a strike on fuel tanks in Muharraq, with residents told to stay inside and close their windows.
Drones caused damage again at Kuwait's international airport and in downtown Dubai, while Saudi Arabia said it had intercepted drones headed towards its Shaybah oil field and its embassy district.
The Paris-based IEA, a world authority on energy markets, warned Thursday the 13-day conflict "is creating the largest supply disruption in the history of the global oil market", which would surpass those of the 1970s.
With Gulf states slashing production and oil tankers stuck in the Gulf, benchmark oil prices have risen 40-50 percent since the US and Israel attacked Iran on February 28, threatening to crimp growth and stoke inflation.
- 'War of attrition' - 
The Strait of Hormuz, which also normally sees the transit of a fifth of the world's liquefied natural gas (LNG) passes, lies off Iran and is just 54 kilometres (34 miles) wide at its narrowest point.
Tehran has vowed that not one litre of oil will be exported from the Gulf while US-Israeli attacks continue, although industry figures suggest its own sanction-hit exports are continuing to get through.
Iran's deputy foreign minister told AFP that ships from "some countries" were being allowed to cross the strait, without giving details, and denied reports that Iran was laying mines in the waterway.
"We want to see that war is not going to be imposed again on Iran," Majid Takht-Ravanchi said in an interview in Tehran. 
"If the White House imagines the conflict will stop when Donald Trump decides it... they're making a mistake and ignoring the lessons of history," Pierre Razoux, director of studies at the Mediterranean Foundation for Strategic Studies, told AFP.
"The Iranian regime, which no longer has anything to lose, will wage a war of attrition against the United States and Israel to punish them for their aggression."
Iranian security forces have also warned government opponents against taking to the streets in protest, saying they would be considered as "enemies".
One Tehran resident hoping for the fall of the Islamic republic told AFP she was worried about the US and Israel calling off their air campaign despite her fears about the daily bombardment.
"I don't know what will happen to us mentally and emotionally if it doesn't work out this time," she told AFP on condition of anonymity. 

'Expanding' attacks on Lebanon

The conflict has spread across the region, with Lebanese authorities reporting 687 people killed by Israeli strikes, including at least eight more who died on Beirut's blood-stained seafront where displaced families were camping in tents.
After the Iran-backed Hezbollah group announced a new operation against Israel on Wednesday, Israeli Defence Minister Israel Katz said he was ordering troops to "prepare for expanding" attacks on Lebanon.
In Iran, over three million people have been displaced by the war, according to new figures issued Thursday by the UN's refugee agency.
Iran's health ministry said on March 8 that more than 1,200 people have been killed in the war, a figure AFP has not been able to independently verify.
In Israel, authorities said 14 people have been killed, while attacks in the Gulf have killed 24 people, including 11 civilians and seven US military personnel, according to local authorities and the US Central Command.
burs-dt/ser

US

Middle East war: global economic fallout

  • The conflict is hampering the global economy's supply of oil and weakening production capacity after Iran tightened its chokehold on the Strait of Hormuz, through which a fifth of global crude passes.
  • Here are the latest economic events in the Middle East war on Thursday: - 'Historic' fallout: IEA -  The Middle East war "is creating the largest supply disruption in the history of the global oil market", as Iran's chokehold on regional supplies forces Gulf producers to slash production, the International Energy Agency said, citing crude production currently down by at least 8.0 million bpd.
  • The conflict is hampering the global economy's supply of oil and weakening production capacity after Iran tightened its chokehold on the Strait of Hormuz, through which a fifth of global crude passes.
Here are the latest economic events in the Middle East war on Thursday:
- 'Historic' fallout: IEA - 
The Middle East war "is creating the largest supply disruption in the history of the global oil market", as Iran's chokehold on regional supplies forces Gulf producers to slash production, the International Energy Agency said, citing crude production currently down by at least 8.0 million bpd.
The conflict is hampering the global economy's supply of oil and weakening production capacity after Iran tightened its chokehold on the Strait of Hormuz, through which a fifth of global crude passes.

Oil prices hit $100, again

Brent crude jumped more than nine percent to as high as $101.59 a barrel, while West Texas Intermediate was also up more nine percent to hit $95.97.
Traders focused on attacks on shipping in the Strait of Hormuz rather than the release of oil from strategic reserves.

Iran Guards vow to keep Strait of Hormuz closed

  
Iran's Revolutionary Guards vowed to keep the strategic Strait of Hormuz closed after a call to do so by the Islamic republic's new leader Ayatollah Mojtaba Khamenei. 

Deadly attacks on tankers off Iraq

An attack on two oil tankers off Iraq killed at least one crew member, an Indian national, as Iran pressed a campaign to disrupt global energy markets in retaliation for US and Israeli strikes.
The other crew members were rescued, Farhan Al-Fartousi, from Iraq's General Company for Ports, told AFP.

Cargo ship catches fire after hit with shrapnel

German shipowners Hapag-Lloyd said that one of their cargo vessels in the Gulf caught fire after being "hit with shrapnel" overnight, adding that no one was injured.
"We don't know where (the debris) came from, whether it was a rocket or a drone" or another munition," a company spokesman told AFP.

US 'not ready' to escort tankers through Hormuz

The US military is currently "not ready" to escort tankers through the critical Strait of Hormuz because all its assets are focused on striking Iran, Energy Secretary Chris Wright said.

Maritime body calls emergency talks

The International Maritime Organization (IMO) said it would convene an "extraordinary session" next week to discuss threats to shipping in the Middle East and particularly in the Strait of Hormuz.

Drone falls near Dubai finance hub

A drone fell near Dubai's financial district, an AFP journalist saw, a day after some companies evacuated the area following Iranian threats against economic targets linked to the US and Israel.
Kuwait's international airport saw damage from drone attacks, civil aviation said. 

China tightens refined oil export curbs

China has tightened export curbs on refined oil products, Bloomberg News reported, as Beijing seeks to shield its economy from the war.
The world's second-largest economy is the top importer of crude oil, with its refining operations mainly serving the country's massive domestic market.

South Korea price cap

South Korea said a fuel price cap would be imposed to mitigate pressure on the country's energy supply during the Iran war, the first such measure introduced there. 
With the country heavily reliant on energy imports, including shipments through the Strait of Hormuz, Seoul says it will try to find alternatives to secure supplies. 

Spain to curb impact of price hikes

Spain's leftist government said it would soon present a plan to contain the Middle East war's impact on electricity and fuel prices in one of the most dynamic developed economies.

Airlines react to higher fuel prices

New Zealand's national airline said it would cancel 1,100 flights over the next two months.
Hong Kong aviation giant Cathay Pacific announced new jet fuel surcharges for most routes and Air France-KLM said it was hiking ticket prices.
burs-rl/jj

US

US military 'not ready' to escort tankers through Hormuz Strait: energy secretary

BY ASAD HASHIM

  • We're simply not ready," Wright told CNBC. "All of our military assets right now are focused on destroying Iran's offensive capabilities and the manufacturing industry that supplies their offensive capabilities."
  • The US military is currently "not ready" to escort tankers through the critical Strait of Hormuz because all its assets are focused on striking Iran, Energy Secretary Chris Wright said Thursday.
  • We're simply not ready," Wright told CNBC. "All of our military assets right now are focused on destroying Iran's offensive capabilities and the manufacturing industry that supplies their offensive capabilities."
The US military is currently "not ready" to escort tankers through the critical Strait of Hormuz because all its assets are focused on striking Iran, Energy Secretary Chris Wright said Thursday.
Wright's comments came as an attack on two oil tankers off Iraq killed at least one person, and oil prices briefly soared past $100.
Since launching the war on Iran, US President Donald Trump has sought to calm the markets by offering US Navy escorts for oil tankers and reinsurance facilities for shipping companies -- but no escorts have so far taken place.
"It'll happen relatively soon, but it can't happen now. We're simply not ready," Wright told CNBC. "All of our military assets right now are focused on destroying Iran's offensive capabilities and the manufacturing industry that supplies their offensive capabilities."
He added that it was "quite likely" such escorts would be taking place by the end of the month. 
On Tuesday, Wright sent oil prices see-sawing when he said US ships had carried out an escort, before his social media post was swiftly deleted and the White House denied that such an operation had occurred.
As Iran launches a new wave of attacks against Gulf energy targets, the International Energy Agency said the war "is creating the largest supply disruption in the history of the global oil market".
US and Israeli strikes on Iranian targets -- including energy infrastructure -- have also disrupted supplies.
The conflict has sent energy prices spiking, including in the United States, creating a political headache for Trump.
On Thursday, the US president sought to address the issue, saying that stopping Iran from acquiring nuclear weapons was more important to him than gasoline prices.
"The United States is the largest Oil Producer in the World, by far, so when oil prices go up, we make a lot of money. BUT, of far greater interest and importance to me, as President, is stoping an evil Empire, Iran, from having Nuclear Weapons, and destroying the Middle East and, indeed, the World," said Trump in a post on his Truth Social platform.

Releasing reserves

IEA member countries on Wednesday agreed to unlock 400 million barrels of oil from their reserves -- their largest release ever.
The United States will be releasing 172 million barrels, Wright said, under a swap arrangement that would see 200 million barrels flow back to its Strategic Petroleum Reserve (SPR) "within a year."  
The move was unable, however, to overcome fears about the choking of energy supplies, with the Strait of Hormuz -- through which a fifth of global crude passes -- effectively shut down.
Wright said he had meetings at the Pentagon on Thursday to discuss possible US Navy escorts for tankers.
The US energy secretary told CNN on Thursday that he believed markets were "very well supplied with oil right now" and that short-term pricing was "based on psychology more than flows of oil."
The United States has also moved to ease sanctions on some Russian at-sea oil, notably allowing India a temporary waiver to buy that oil in order to address supply issues caused by the war.
Wright told CNN that waiver did not amount to "sanctions relief" for Russia, arguing the oil was already bound for China.
"Russia is not getting sanctions relief. All of that oil is oil on the water that's waiting in line to unload into China," he said, terming the waiver a "pragmatic solution" in the current crisis.
Wright's comment came a day after an envoy for Russian President Vladimir Putin met with US negotiators in Florida, in the first talks between Moscow and Washington since the start of the Iran war.
Kirill Dmitriev called the meeting "productive" and said Washington was "beginning to better understand" the importance of Russian oil.
aha/acb

strike

Lufthansa flights axed as pilots walk out

  • The union Cockpit said the first day of the strike was "going better than expected" with more flights cancelled than they had expected.
  • Lufthansa said about half its flights were cancelled Thursday as pilots from the German airline kicked off a two-day strike over pensions.
  • The union Cockpit said the first day of the strike was "going better than expected" with more flights cancelled than they had expected.
Lufthansa said about half its flights were cancelled Thursday as pilots from the German airline kicked off a two-day strike over pensions.
The pilots' union called the second walkout in the space of a month after talks with management broke down.
The airline says around 50 percent of its originally planned flight schedule is running on Thursday and Friday, with about 60 percent of long-haul services operating.
Some pilots had decided to work despite the walkout, while other airlines in the broader Lufthansa Group took over some of flagship carrier's flights.
The union Cockpit said the first day of the strike was "going better than expected" with more flights cancelled than they had expected.
Cockpit and Lufthansa have held numerous rounds of talks but the union says management is yet to submit an improved pension offer. 
The union accuses management of introducing a new pension model that risks leaving staff worse off in retirement, and of not wanting to engage in constructive talks.
Lufthansa human resources chief Michale Niggemann earlier criticised the walkout as "completely incomprehensible," particularly at a time of "geopolitical uncertainty with the war in Iran" that had thrown global air traffic into chaos. 
Several flights to Middle East destinations were excluded from the industrial action. 
Pilots from Lufthansa's cargo operation were also called on to strike but most of the division's flights were still running, according to the group.
Announcing its 2025 annual results last week, the Lufthansa group reported a forecast-beating operating profit of 1.96 billion euros ($2.27 billion), around 20 percent higher than the previous year.
However, the airline warned it faced an uncertain outlook because of the Middle East conflict.
sr/fz/cw

Global Edition

Oil tops $100 as fresh Iran attacks offset stockpiles release

  • "Energy markets have been rattled by news of Iranian attacks on shipping in the Persian Gulf, along with missiles aimed at countries across the region," said Trade Nation analyst David Morrison. 
  • Oil prices soared Thursday, briefly trading above $100, and stock markets extended losses as fresh attacks against Gulf energy targets offset the release of crude reserves by major economies.
  • "Energy markets have been rattled by news of Iranian attacks on shipping in the Persian Gulf, along with missiles aimed at countries across the region," said Trade Nation analyst David Morrison. 
Oil prices soared Thursday, briefly trading above $100, and stock markets extended losses as fresh attacks against Gulf energy targets offset the release of crude reserves by major economies.
Meanwhile the International Energy Agency said the Mideast war "is creating the largest supply disruption in the history of the global oil market", a day after its member countries agreed to unlock 400 million barrels of oil from their reserves -- their largest release ever.
The move was unable to overcome fears about the choking of energy supplies, however, with the Strait of Hormuz -- through which a fifth of global crude passes -- effectively shut down by Iranian retaliatory attacks against ships and its Gulf neighbours.
An attack on two oil tankers off Iraq killed at least one crew member, while a cargo ship caught fire after being hit by shrapnel.
In its latest market report, the IEA said daily global crude production was down at least 8.0 million barrels, with an additional 2.0 million in petroleum products impacted, or about 7.5 percent of total daily production.
The price of Brent North Sea crude, the international benchmark, peaked at $101.59 per barrel on Thursday. 
Prices pulled back only to rise again as US President Donald Trump said Thursday that stopping Iran from getting nuclear weapons was more important to him than controlling oil prices.
At $100 per barrel, Brent is up around 38 percent from the eve of the conflict which began 13 days ago when the United States and Israel launched airstrikes against Iran.
"Energy markets have been rattled by news of Iranian attacks on shipping in the Persian Gulf, along with missiles aimed at countries across the region," said Trade Nation analyst David Morrison. 
"The US’s inability to reopen the Strait of Hormuz and provide security for the shipping passing through, suggests that there are limits to their dominance," he added.
The IEA release of strategic reserves is equivalent to about 20 days of supplies that transit through the Strait of Hormuz, which has been effectively shut down owing to Iranian attacks on ships.
Morrison said that if the announcements of the release of oil from strategic reserves "were supposed to cap prices, then they failed dismally".
The rise in oil prices is forcing airlines to adjust.
New Zealand's national airline said it would cancel 1,100 flights over the next two months, while Hong Kong aviation giant Cathay Pacific meanwhile announced new jet fuel surcharges for most routes and Air France-KLM said it was hiking ticket prices.
"The longer the oil price remains elevated, the more damaging and long lasting the inflation shock will be for the global economy," noted Kathleen Brooks, research director at trading group XTB.
Wall Street's main stock indices moved lower at the opening bell, with the Dow dropping more than one percent.
Most European equity markets were lower in afternoon trading, with most Asian markets finishing in the red.
The dollar mostly rose against rival currencies.
"The dollar has strengthened, driven by safe-haven demand, fears of inflation, and higher-for-longer interest rate expectations," said Victoria Scholar, head of investment at Interactive Investor.

Key figures at around 1330 GMT

Brent North Sea Crude: UP 8.7 percent at $99.94 per barrel
West Texas Intermediate: UP 8.6 percent at $94.77 per barrel
New York - Dow: DOWN 1.1 percent at 46,879.88 points
New York - S&P 500: DOWN 0.8 percent at 6,720.28
New York - Nasdaq Composite: DOWN 0.9 percent at 22,522.95
London - FTSE 100: DOWN 0.5 percent at 10,305.77 
Paris - CAC 40: DOWN 0.5 percent at 7,998.74
Frankfurt - DAX: DOWN 0.4 percent at 23,540.30
Tokyo - Nikkei 225: DOWN 1.0 percent at 54,452.96 (close)
Hong Kong - Hang Seng Index: DOWN 0.7 percent at 25,716.76 (close)
Shanghai - Composite: DOWN 0.1 percent at 4,129.10 (close)
Euro/dollar: DOWN at $1.1537 from $1.1574 on Wednesday
Pound/dollar: DOWN at $1.3381 from $1.3419
Dollar/yen: UP at 158.98 yen from 158.92 yen
Euro/pound: DOWN at 86.23 pence from 86.25 pence
burs-rl/cw

automobile

BMW profit holds up despite Trump tariffs, China woes

BY LOUIS VAN BOXEL-WOOLF

  • While Volkswagen saw profit plunge over 40 percent and said it would cut thousands of jobs in coming years, BMW reported a net profit of 7.45 billion euros ($8.6 billion) for 2025, a fall of just three percent on the prior year.
  • German carmaker BMW reported solid profit Thursday despite US tariffs and tough competition in China -- delivering a far better result than the heavy falls reported by rivals Volkswagen Group and Mercedes-Benz.
  • While Volkswagen saw profit plunge over 40 percent and said it would cut thousands of jobs in coming years, BMW reported a net profit of 7.45 billion euros ($8.6 billion) for 2025, a fall of just three percent on the prior year.
German carmaker BMW reported solid profit Thursday despite US tariffs and tough competition in China -- delivering a far better result than the heavy falls reported by rivals Volkswagen Group and Mercedes-Benz.
While Volkswagen saw profit plunge over 40 percent and said it would cut thousands of jobs in coming years, BMW reported a net profit of 7.45 billion euros ($8.6 billion) for 2025, a fall of just three percent on the prior year.
Looking ahead, BMW finance chief Walter Mertl said he expected transatlantic tariff wars to ease off and help the firm's result.
Mertl said he expected that this year "an agreement between the USA and Europe will be finalised, allowing us to import at zero percent".
Munich-based BMW has its largest plant in South Carolina and is the United States' largest car exporter. 
This means it would stand to profit from the implementation of an EU-US deal unveiled last July that would see the EU rate on US cars reduced to zero.
Mertl also said he expects "positive agreements between the US, Mexico, Canada and other countries" on trade.
All tariffs had in total cost the company roughly 1.75 billion euros in the past year, BMW said, hitting the margin at its automotive business by 1.5 percentage points on sales of 117.6 billion euros.
The firm pays duties on some imports to the US, including on some car parts, and the European Union levies tariffs on Chinese-made electric cars, hitting BMW's electric Mini.
BMW sees duties hitting its automotive margin by 1.25 percentage points for 2026, down from 1.5 in 2025.
But the company still forecasts an overall moderate drop in earnings before tax, hit by currency effects, raw material costs and the burden of reshaping its business in China amid fierce competition.
BMW shares were down almost 2 percent at market open but later made up the fall to edge into the green.

China turnaround?

In common with its German rivals, BMW has come under intense pressure from local competitors in China, the world's largest car market.
BMW's sales by volume in the country are now at their lowest level since 2017 and the carmaker last October lowered its profit outlook, warning of Chinese sales below expectations.
But there was perhaps light at the end of the tunnel, BMW said, forecasting stable sales in the country for the coming year rather than another fall.
"We're aiming for growth in all regions," BMW sales chief Jochen Goller said. "We want to grow in Europe and we want to grow in China in the coming years."
BMW has taken a more flexible approach to electric vehicles (EVs) than some of its competitors, deciding early on to maintain petrol and diesel options for its customers.
Whereas firms from Porsche to Ford and Jeep- and Fiat-owner Stellantis have booked very costly hits measured in the billions following partial pivots away from EVs, BMW has so far avoided this at the same time as seeing its electric sales rise.
The European Union has recently eased a planned 2035 ban on the sale of new combustion engine cars, and emissions now need to fall by 90 rather than 100 percent by 2035. 
BMW CEO Oliver Zipse told an analyst call that the rules were still too rigid and complex.
"In the small print, it actually works against technology openness," he said, warning it was "dangerous" to force firms into making cars that simply might not sell.
"If that regulation is implemented and that is happening in the market, you will shrink this industry. I think that is a dangerous path to go down."
vbw/fz/cw

currency

WWII leader Churchill to be removed from UK banknotes

BY HELEN ROWE

  • "Let's celebrate our wonderful British wildlife, sure, but Winston Churchill helped save our country and the whole of Europe from fascism," he wrote on X. "He deserves better than being replaced by a badger," he said.
  • World War II leader Winston Churchill is to be dropped from the UK £5 banknote in favour of a nature scene, sparking outrage from some lawmakers who said he should not be replaced by an otter or badger.  
  • "Let's celebrate our wonderful British wildlife, sure, but Winston Churchill helped save our country and the whole of Europe from fascism," he wrote on X. "He deserves better than being replaced by a badger," he said.
World War II leader Winston Churchill is to be dropped from the UK £5 banknote in favour of a nature scene, sparking outrage from some lawmakers who said he should not be replaced by an otter or badger.  
Novelist Jane Austen, artist J. M. W. Turner and mathematician and codebreaker Alan Turing, are also due to be phased out on the £10, £20 and £50 banknotes respectively as part of a redesign.
The next series of banknotes due to be issued by the Bank of England will feature animals native to the UK, in a shift away from images of prominent Britons.
Possibilities, subject to a public consultation, include badgers and otters as well as frogs, hedgehogs, barn owls and newts. Plants and landscapes will complete the scenes depicted.
"For more than 50 years, the bank has proudly showcased many inspirational historical figures who have helped shape national thought, innovation, leadership and values on its banknotes," the bank said.
"The change to wildlife imagery ...  provides an opportunity to celebrate another important aspect of the UK," it added.
The bank will gather views later this year about the specific wildlife the public would like to feature on the next set of banknotes.
Bank of England chief cashier Victoria Cleland said the key driver for a new series of banknotes was how to stay ahead of counterfeiters.
"Nature is a great choice from a banknote authentication perspective and means we can showcase the UK's rich and varied wildlife on the next series of banknotes," she added.

'Shaped this nation'

The new banknotes will not appear for several years.
They will continue to feature a portrait of the monarch King Charles III on the other side. Banknotes with the late Queen Elizabeth II also remain in circulation.
Previous banknotes have pictured other national figures including novelist Charles Dickens, physicist and chemist Michael Faraday, composer Edward Elgar, nurse Florence Nightingale and architect Christopher Wren.
The most recent series -- rolled out between 2016 and 2021 -- was printed for the first time on polymer rather than paper.
Ed Davey, leader of the Liberal Democrats, was among lawmakers who criticised the new nature theme.
"Let's celebrate our wonderful British wildlife, sure, but Winston Churchill helped save our country and the whole of Europe from fascism," he wrote on X.
"He deserves better than being replaced by a badger," he said.
Main opposition Conservative lawmaker Alex Burghart called the decision "outrageous". 
"He (Churchill) earned his place on our five pound note. He must not be replaced with an otter," he said on X, adding the "great people who shaped this nation" should not be forgotten.
har/jkb

economy

EU vows to 'respond firmly' to any trade pact breach by US

  • EU lawmakers in the European Parliament's trade committee could give their green light next week to removing tariffs on US industrial goods -- a key step toward implementing Europe's side of the deal. raz/ec/rl
  • The EU executive on Thursday vowed to "respond firmly" to any violation of a key tariff deal by the United States after President Donald Trump's administration announced new trade probes.
  • EU lawmakers in the European Parliament's trade committee could give their green light next week to removing tariffs on US industrial goods -- a key step toward implementing Europe's side of the deal. raz/ec/rl
The EU executive on Thursday vowed to "respond firmly" to any violation of a key tariff deal by the United States after President Donald Trump's administration announced new trade probes.
The probes centered on overproduction and importing goods made with forced labour, US Trade Representative Jamieson Greer said on Wednesday.
"We will be seeking further clarity from the US on how the opening of this section 301 investigation would interact with" the EU-US agreement struck last year, European Commission spokesman Olof Gill said.
"The commission would respond firmly and proportionately to any breach of the joint statement commitments," he added.
Gill said the European Union shared the United States' concern about structural overcapacity in the global economy.
"However, the sources of such overcapacity are well identified, and they do not lie in Europe," the spokesman added.
The future of the EU-US tariff pact has been thrown into question after the US Supreme Court ruled in February that Trump lacks the authority to impose levies under a 1977 law.
Trump responded with fresh tariffs of 10 percent on imported goods, but the EU has said it received US reassurances it will stand by the deal.
The commission said the EU is still abiding by the accord and expected the United States to show the same commitment.
"We have not received any indication that the US administration intends to deviate from those commitments," Gill said.
EU lawmakers in the European Parliament's trade committee could give their green light next week to removing tariffs on US industrial goods -- a key step toward implementing Europe's side of the deal.
raz/ec/rl

war

Mideast war to brake German recovery: institute

  • The recovery, while likely to continue, "will be dampened by the sharp rise in crude oil and natural gas prices", said the Ifo Institute.
  • The surge in energy prices triggered by the Middle East war will slow the struggling German economy's recovery, an economic institute warned Thursday.
  • The recovery, while likely to continue, "will be dampened by the sharp rise in crude oil and natural gas prices", said the Ifo Institute.
The surge in energy prices triggered by the Middle East war will slow the struggling German economy's recovery, an economic institute warned Thursday.
Energy costs have jumped since the conflict erupted on  February 28, a massive burden for Europe's top economy as it seeks to get back on its feet after a long decline.
The recovery, while likely to continue, "will be dampened by the sharp rise in crude oil and natural gas prices", said the Ifo Institute.
If the war escalates, output in Germany will be reduced by 0.4 percentage points in 2026 and by the same amount again in 2027, compared to a scenario without conflict, it forecast.
GDP growth would come in at just 0.6 percent this year and 0.8 percent next, it said. 
Even if there is a quick end to the war, output will still be lower, although the impact would be less severe, Ifo said. 
The hit to the economy will be a blow to Chancellor Friedrich Merz, who had hoped to spur a strong turnaround this year with vast outlays on defence and infrastructure.
Germany is heavily reliant on imports for its energy, including for the crucial manufacturing sector, leaving it vulnerable to international price fluctuations. 
Still, Ifo indicated the energy shock would likely be less severe than the one triggered by Russia's 2022 invasion of Ukraine, when Moscow cut crucial supplies of gas to Germany.
"Immediate supply shortages" were not expected as Germany only obtains a small proportion of its energy supplies from the Middle East, it said.
Germany was among countries that announced Wednesday it would tap into strategic oil reserves in a bid to bring down prices, part of the biggest ever release by International Energy Agency members.
sr/fz/tw

economy

China's leaders project stability despite Middle East war

BY MARY YANG

  • Experts say the image projected by the gathering is one of "continuity".
  • China's leaders wrapped up nine days of annual legislative meetings in Beijing on Thursday, projecting an image of domestic stability seemingly unaffected by the war in key trading partner Iran.
  • Experts say the image projected by the gathering is one of "continuity".
China's leaders wrapped up nine days of annual legislative meetings in Beijing on Thursday, projecting an image of domestic stability seemingly unaffected by the war in key trading partner Iran.
Officials under President Xi Jinping vowed to boost domestic consumption and invest in new technologies including artificial intelligence to drive growth, while making few changes to China's policy roadmap for the next five years.
There was also little signalling whether the United States and Israel's ongoing strikes against Iran -- a major supplier of oil to China -- would disrupt US President Donald Trump's expected visit to Beijing this month.
Experts say the execution of business as usual is by design.

Image of security

This year's "Two Sessions" political gathering -- parallel meetings of the parliament and a consultative body -- saw Beijing announce a steady seven-percent boost to China's annual defence budget, and approve laws on development planning, ethnic unity and a new environmental code.
Experts say the image projected by the gathering is one of "continuity".
"The message from the Two Sessions this year is all about security, continuity... and instilling confidence in both the government itself and the rest of the stakeholders in China," said Drew Thompson, a senior fellow at the S. Rajaratnam School of International Studies.
Changhao Wei, founder of analysis site NPC Observer, said the laws "all seek to entrench and legitimise the Party's policies and practices".
However, rights advocates warn the new "ethnic unity" law, which aims to "strengthen cohesion" within China, could further marginalise minority groups such as the Uyghurs and Tibetans.

Tech self-reliance

Along with its economic goals, Beijing published a draft of its 15th Five-Year Plan last week, mapping out national development goals until 2030.
The plan focuses on boosting consumption, as well as on technological development across fields including AI, high-end manufacturing and energy and resource security.
"It's pretty clear... Beijing very much wants to master chips, it is at the heart of the self-reliance drive on technology," said Damien Ma, director of Carnegie China.
The head of China's top economic planning body told a press conference that leaders had "the boldness and confidence to cope with various risks and market fluctuations", thanks to the scale of the Chinese economy.
Zheng Shanjie vowed that China's "AI related industries" would be valued at more than 10 trillion yuan ($1.45 trillion) -- seven percent of the country's total GDP last year -- by the end of 2030.
However, the focus on specific industries comes as overall expansion targets has steadily fallen.
This year China announced its lowest annual growth target in decades, at 4.5-5 percent.

Internal management

Nevertheless, Beijing is "keen to show that external turbulence will not easily disrupt its governing rhythm or its longer-term strategic agenda", said Yu Tao, a Chinese studies professor at the University of Western Australia.
S. Rajaratnam School's Thompson told AFP that "the purpose of these meetings is to organise the work of the (Chinese) government and the Communist Party that oversees it, not deal with current events".
"The international community is really a passive observer... not an intended audience," he said.
That the Iran war would derail Trump's expected visit to Beijing "was never really going to be the case", added Carnegie China's Ma.
"Xi and Trump want to stabilise the relationship, and there's a lot on the plate to deal with," he said. 
"On Iran, both sides have been deliberate in striking moderate and conciliatory tones and withholding explicit criticisms."

China-US relationship

China's top diplomat on Sunday described 2026 as "a big year for Sino-US relations".
Trump has announced he will visit China from March 31 to April 2, although Beijing has yet to confirm those dates.
Trump and Xi last met in October in South Korea where they extended a trade truce.
While China and the United States "cannot change each other", foreign minister Wang Yi told a press conference "we can change the way we interact with each other".
Both sides should "manage existing differences and eliminate unnecessary interference", Wang said.
Next year's political gatherings are expected to be more dynamic, with the Communist Party's 21st Congress -- a stage for cabinet and military leadership changes -- scheduled for late 2027.
That will have "major political ramifications for China's future direction", Thompson said.
"This year is a wait-and-see meeting for the possible fireworks next year."
mya/dhw/abs

corruption

Businessman or politician? Billionaire Czech PM under fire again

BY JAN FLEMR

  • "The RSVP Trust statutes confirm that Prime Minister Babis has not resolved his conflict of interest," said David Kotora, heading Transparency International's Czech branch.
  • Since entering politics in 2011, Czech Prime Minister Andrej Babis has been grappling with a conflict of interest as a billionaire businessman and politician, and his latest stint in power is no exception.
  • "The RSVP Trust statutes confirm that Prime Minister Babis has not resolved his conflict of interest," said David Kotora, heading Transparency International's Czech branch.
Since entering politics in 2011, Czech Prime Minister Andrej Babis has been grappling with a conflict of interest as a billionaire businessman and politician, and his latest stint in power is no exception.
Babis, a Donald Trump fan who has been back in office since December, insists he obeyed Czech law when he transferred his Agrofert food and chemicals group to the RSVP Trust fund run by an independent administrator last month.
But the European Commission, the anti-corruption watchdog Transparency International and media at home and abroad are scratching their heads.
"The RSVP Trust statutes confirm that Prime Minister Babis has not resolved his conflict of interest," said David Kotora, heading Transparency International's Czech branch.
"The Czech law is so vague that he may pass... but we are convinced that he will fail to comply at the European level," he told AFP.
A European Commission notice from 2021 defines a conflict of interest as a situation wherein a "financial actor's" impartiality is compromised "for reasons involving... economic interest or any other direct or indirect personal interest".
Besides having a say on the Czech budget, Babis attends European Council talks on the EU budget as premier.
Agrofert said it received the equivalent of $80 million in Czech and EU subsidies in 2024, and $103.5 million in 2023.
Before taking office, Babis vowed to "irreversibly" transfer Agrofert to RSVP Trust, saying his children will inherit the holding after his death.
"I have no influence on Agrofert and I have and will not have any profits from it," said Babis, the seventh wealthiest Czech worth $4.6 billion according to Forbes magazine.
But the RSVP Trust statutes recently published by the Seznam Zpravy news site say the independent administrator will only run the fund while Babis is a government member.
When he quits, the management will be passed onto three of Babis's four children, who could theoretically put Babis back in charge.

'Complicated'

Under the statutes, the fund will manage Agrofert and then pass it on to Babis's offspring "in order to ensure the long-term fulfilment of their material needs".
Bohumil Havel, a business law expert from Prague's Charles University, said the statutes were "complicated" and enabled "multiple interpretations".
He told AFP Babis most probably complied with the Czech conflict of interest law, dubbed "lex Babis".
"However, there is the general rule... that each government member must avoid a conflicting behaviour benefiting for instance their relatives," Havel added.
Kotora also said Babis would be interested in "passing the assets on to his children".
"He said it was irreversible and that he will never get Agrofert back. Which is not true because the fund enables that," he added.
Transparency International has also slammed Babis for keeping other businesses including the chemicals and investment group SynBiol.
Babis, who calls Transparency International "a corrupt NGO", blames local political opponents for stoking the problem.
"They have made up this conflict of interest. And they are only trying to harm me, to get me out of politics," he told AFP recently.

Deja-vu

It is a deja-vu for Babis who transferred Agrofert to two trust funds when he first served as premier from 2017 to 2021, but publicly available documents showed he was still its beneficial owner.
The Czech finance ministry stopped asking the EU for subsidy payments for Agrofert following an EU audit.
The group only had to return some domestic subsidies, including $5 million for Babis's bakery equipment. 
The European Commission inquired about the current allegations in a letter on February 19.
"The answer is being drafted and we cannot anticipate... We will respond to all questions asked by the European Commission," regional development ministry spokeswoman Veronika Lukasova told AFP.
For Kotora, the letter from Brussels is a good sign.
"The premier said nobody in the EU administration was interested. So this has been refuted," he said.
Earlier this month, the Czech parliament declined to strip Babis of immunity to face trial over EU subsidy fraud worth $2.5 million from 2007.
Babis is charged with taking a farm out of Agrofert to make it eligible for a subsidy for small companies -- a case he calls "clearly politically motivated".
frj/fg

US

Mideast war lands India restaurants in soup

BY AISHWARYA KUMAR WITH ANUJ SRIVAS IN MUMBAI

  • India's top restaurant industry association, meanwhile, has offered a string of tips to save cooking gas.
  • Indian restaurant MadCo took the tough call this week to remove some menu favourites, including bone marrow -- a beef bone cut in half and slowly roasted, in an attempt to save cooking gas as the Iran war disrupts supply chains.
  • India's top restaurant industry association, meanwhile, has offered a string of tips to save cooking gas.
Indian restaurant MadCo took the tough call this week to remove some menu favourites, including bone marrow -- a beef bone cut in half and slowly roasted, in an attempt to save cooking gas as the Iran war disrupts supply chains.
Far from the Middle East, restaurants in the world's fastest-growing major economy are feeling the heat of the conflict with cooking gas shortages.
"We saw it coming, but didn't expect it to hit us this quickly," said MadCo's director Santosh Abraham, adding that the restaurant in the southern tech city of Bengaluru has also halted its lunch service.
India is the world's second-largest buyer of liquefied petroleum gas (LPG), 90 percent of which passes through the Strait of Hormuz, a key transit chokepoint where traffic has effectively come to a standstill.
Cooking gas cylinders are a staple in millions of restaurants across India, as authorities have pushed them away from polluting coal or wood-fired ovens.
As imports are disrupted, India has moved to ensure households and essential sectors remain adequately supplied, leaving restaurants, manufacturers and power plants in the lurch.
Guerilla Diner, a burger joint in Bengaluru, is usually fully booked within minutes when it opens reservations each Tuesday.
But now the restaurant is "scrambling to do something to stay afloat" and figure out "what can be done without a gas connection", sous chef Dhruv Thapliyal told AFP. 
"I have 2.5 cylinders left. If I run the grill, I only have enough for a day and a half. If I just run the fryer, maybe four days," he said, adding it feels "a little scary."

Black market

Prime Minister Narendra Modi on Wednesday night said there was "no need to panic", and the government has set up a committee to review industry pleas to boost cooking gas supplies.
But Ananth Narayan, head of the local chapter of the National Restaurant Association of India (NRAI) in Bengaluru, warned that black market prices of gas cylinders were nearly double the usual rate and called on the government to do "something radical".
India's top restaurant industry association, meanwhile, has offered a string of tips to save cooking gas.
It recommends pre-soaking ingredients like grains to reduce cooking times and cutting dishes that require long simmering, deep frying or slow cooking.
Chinese restaurant Gypsy in Mumbai has cut its steamed dim sum dishes from the menu.
"That takes about eight to 10 minutes per portion, the time that the gas has to be on continuously," said Aditi Limaye Kamat, whose family owns Gypsy and several other eateries.
Other restaurants are turning to older sources of fuel.
Gurudath, at The Pizza Bakery in Bengaluru, said its purchase of wood had soared.
"We were using 300 kilos of wood a week, now it's about 450-600 kilos," he said, explaining that they had turned off the gas burners that help the ovens retain heat.
- Additional costs - 
Daniel Rodrigues, owner of Mon Petit Frere cafe in tourist hub Goa, said "the government really needs to step in".
"There's a lot of uncertainty right now, and we're not sure where this is headed", he said.
"Our breakfast service is very busy, and even basic items like omelettes and pancakes could become difficult to make, which will definitely hurt business."
In neighbouring Sri Lanka, authorities raised LPG prices by eight percent on Wednesday, a day after increasing fuel prices by a similar percentage. 
The Canteen Owners' Association of Sri Lanka said fears of shortages have sparked panic buying of electric stoves and rice cookers.
"It is not easy to buy gas," spokesman Asela Sampath told AFP. 
"We have to absorb the additional costs for the time being, because otherwise we risk losing diners."
aj-asv-ash/pjm/lkd/abs

aviation

Cathay Pacific roughly doubles fuel surcharge on most routes

  • Hong Kong Airlines also raised the fuel surcharge for most of its flights from Thursday. twa/reb/fox
  • Hong Kong aviation giant Cathay Pacific announced new fuel surcharges for most routes Thursday that are roughly double the existing ones. 
  • Hong Kong Airlines also raised the fuel surcharge for most of its flights from Thursday. twa/reb/fox
Hong Kong aviation giant Cathay Pacific announced new fuel surcharges for most routes Thursday that are roughly double the existing ones. 
The company revealed a detailed list of affected routes in a statement titled "Fuel surcharge updates", a day after warning that fuel prices had soared in March with the outbreak of war in the Middle East.
Cathay Group's CEO Ronald Lam told a Wednesday media session the cost of fuel so far this month is double the average of the previous two months.
The hike in fees will apply to tickets from March 18, the statement said.
For example, for flights between Hong Kong and Europe that were purchased in Hong Kong, the surcharge will rise from HK$569 (around US$73) to HK$1164.
On Thursday, Cathay also announced additional flights to London to meet increased market demand for travel to Europe.
The day before, the carrier had said it had observed a "general increase" in flight demand from other regions, particularly for long-haul flights, with travellers looking for alternatives to routes that rely heavily on Middle Eastern hubs.
This week, Cathay axed all flights to Dubai and Riyadh in March, extending earlier suspensions.
Analysts say that while carriers all hedge a portion of their fuel costs, their margins could still be affected.
Hong Kong Airlines also raised the fuel surcharge for most of its flights from Thursday.
twa/reb/fox

earnings

Electric vehicle rethink to cost Honda almost $16 billion

  • Resulting expenses and losses related to the reassessment of its EV strategy, including expected losses for the current fiscal year, would be up to 2.5 trillion yen ($15.7 billion), Honda said.
  • Japan's Honda said Thursday it expected to book nearly $16 billion in expenses and losses related to a major reorientation of its electric vehicle (EV) strategy, blaming US policy changes and tariffs.
  • Resulting expenses and losses related to the reassessment of its EV strategy, including expected losses for the current fiscal year, would be up to 2.5 trillion yen ($15.7 billion), Honda said.
Japan's Honda said Thursday it expected to book nearly $16 billion in expenses and losses related to a major reorientation of its electric vehicle (EV) strategy, blaming US policy changes and tariffs.
"Honda believed EVs would be the optimal solution from a long-term perspective. Based on this belief, Honda shifted its strategic direction toward the popularisation of EVs," the firm said.
But it added that the profitability of its auto business was declining because of "the United States government policy shift including the imposition of import tariffs".
It also pointed to the abolition of US tax incentives for EV purchases and the easing of fossil fuel regulations, as well as a decline in the competitiveness of its products in Asia.
It said that in response to the slowdown of the EV market in North America, it had decided to cancel the launch and development of certain electric models there.
Resulting expenses and losses related to the reassessment of its EV strategy, including expected losses for the current fiscal year, would be up to 2.5 trillion yen ($15.7 billion), Honda said.
These come from impairment and write-off losses on assets that were intended to be used for the production of these vehicles, the firm added.
It also said it could write down investments in China prompted by intensified competition there.
It forecast a net loss of between 420 billion and 690 billion yen for the year to end-March, compared with an earlier profit projection of 300 billion yen.
hih-stu/dan

conflict

From Kyiv to UK, Ukrainian drone production spans Europe

BY MARIE HEUCLIN

  • Ukrspecsystems, which specialises in reconnaissance drones, chose Mildenhall in Suffolk, eastern England, next to a British military base.
  • In an inconspicuous building near the UK's Mildenhall air base, drone manufacturer Ukrspecsystems is opening a new production line, like other Ukrainian arms companies looking to secure supply chain and boost capacity.
  • Ukrspecsystems, which specialises in reconnaissance drones, chose Mildenhall in Suffolk, eastern England, next to a British military base.
In an inconspicuous building near the UK's Mildenhall air base, drone manufacturer Ukrspecsystems is opening a new production line, like other Ukrainian arms companies looking to secure supply chain and boost capacity.
Ukrainian drone manufacturers have in recent months announced a slew of plans to open sites in Europe, including in Germany, Denmark and now Britain.
Ukrspecsystems, which specialises in reconnaissance drones, chose Mildenhall in Suffolk, eastern England, next to a British military base.
In the warehouse area where the company has set up shop, there is little indicating the presence of the weapons plant inaugurated on February 25 by Britain's armed forces minister Luke Pollard and Ukrainian ambassador in London Valery Zaluzhny -- Kyiv's former military commander-in-chief.
In a few weeks, the site will be able to manufacture up to 200 surveillance drones (ISRs) every month, and up to 1,000 in the long-term, director Rory Chamberlain told AFP.
These include Ukrspecsystems' "Shark" model, identifiable by the shark-head design on its nose, which cost tens of thousands of pounds (dollars) to make.
"The battlefield is large, so you've got to be able to get cheap but capable ISR at quantity on the front line," said Chamberlain.
While Ukraine has ramped up drone production since Russia's 2022 invasion -- with more than four million units produced in 2025, according to President Volodymyr Zelensky -- the demand remains huge.
But manufacturing conditions are difficult in Ukraine, with the constant threat of Russian strikes as well as a heavy reliance on parts imported from China, according to the Snake Island Institute, a Kyiv-based defence think tank.
Last year, Kyiv eased an embargo on arms exports, allowing technology transfers to allied countries, which can then host assembly lines and finished products are reimported to Ukraine.
"Manufacturing these systems outside Ukraine creates extra production capacity to support Kyiv's war effort," noted the International Institute for Strategic Studies (IISS) in its Military Balance 2026 report.
According to the report, the partnerships support "the longer-term economic viability of (Ukraine's) defence-industrial base," which has the manufacturing know-how, but needs more contracts.
The "controlled exports" of certain weapon types will allow Kyiv to "increase the production of drones for the front line" and boost funding, Zelensky said in September.

'Battle-tested'

In mid-February, the Danish government announced it was in talks to host facilities for Ukrainian drone manufacturer Skyfall.
Ukrainian firm Fire Point, which develops military drones and missiles, was the first to set up in Denmark, where it began construction in Vojens of a plant to produce propellants in December.
Production is scheduled to start later this year.
"Bringing strong Ukrainian defence companies to Denmark to work together with Danish industry will strengthen the security of both Denmark and Ukraine," said Denmark's Defence Minister Troels Lund Poulsen.
The expansion is "bringing that understanding" of drone manufacturing into the UK and other European countries which are less experienced in the field, said Chamberlain -- particularly when it comes to adaptability and advances in embedded technologies like AI and jamming.
"How quickly you can bring updates, and... get those in the frontline is how successful you are... In 24 hours, we can do that," he added.
"We have the know how, and I think that's what we can bring" to the UK.
"For European firms, partnering with Ukrainian companies and their battle-tested designs now may prove more advantageous than competing against them in the future," noted the IISS report.
The partnerships have multiplied in a short span of time.
Since the end of 2024, Finnish group Summa Defence has set up several joint ventures with Ukrainian firms to produce drones in Finland.
Similarly, British firm Prevail Partners and Ukraine's Skyeton joined forces in July 2025 aiming to produce the Raybird surveillance drone in the UK.
Zelensky and German Defence Minister Boris Pistorius last month received the first drone manufactured by QFI, a joint venture between German company Quantum Systems and Ukrainian firm Frontline Robotics.
It is set to produce an initial 10,000 drones per year, QFI said.
mhc/aks/jkb/pdw

US

Three crew 'believed trapped' aboard Thai ship attacked in Gulf: firm

BY MONTIRA RUNGJIRAJITTRANON

  • "Three crew members are reported missing and believed to be trapped in the engine room," it said, adding that authorities were working to rescue them.
  • Three crew members believed to be trapped aboard a Thai bulk carrier hit by projectiles while travelling through the crucial Strait of Hormuz were yet to be rescued on Thursday, the vessel's owner said.
  • "Three crew members are reported missing and believed to be trapped in the engine room," it said, adding that authorities were working to rescue them.
Three crew members believed to be trapped aboard a Thai bulk carrier hit by projectiles while travelling through the crucial Strait of Hormuz were yet to be rescued on Thursday, the vessel's owner said.
Iran's Revolutionary Guards said Wednesday they had struck the Thai-registered Mayuree Naree, as well as a Liberia-flagged vessel, in the strait because the ships had ignored "warnings".
The Thai ship was struck Wednesday morning while transiting through the Gulf waterway, after departing Khalifa port in the United Arab Emirates.
The two projectiles damaged the Mayuree Naree's engine room and caused a fire, Thai transport company Precious Shipping said in a statement Wednesday evening.
"Three crew members are reported missing and believed to be trapped in the engine room," it said, adding that authorities were working to rescue them.
"Unfortunately, that remains the case," the firm's managing director Khalid Hashim told AFP on Thursday.
"We still have not been able to get anyone to board our ship, even though the fire has been extinguished," Hashim said in an email.
"We are trying different avenues to get onboard."
The Omani navy rescued 20 of the vessel's sailors on Wednesday, the Thai navy said.
Thailand's foreign ministry said all 23 crew members were Thai.
All Thai vessels have left the Strait of Hormuz and Bangkok had "protested against the violence done to the commercial ships", the ministry's deputy spokesman Panidol Patchimsawat told reporters on Thursday.
"Please be assured that we are on a mission to find the missing three," he added.
Since strikes by the United States and Israel against Iran in late February ignited the Middle East war, the Islamic republic has launched its own attacks against its oil-exporting neighbours.
The strikes have threatened shipping in the Strait of Hormuz and plunged the global energy economy into crisis.
The strait is a crucial waterway through which a fifth of global oil supplies usually pass.
tak/sco/tc

US

Fear, boredom for Philippine sailors stuck in Hormuz strait

BY PAM CASTRO AND CECIL MORELLA

  • - Stranded for days - Welbin Maghanoy, whose ship was carrying crude oil bound for Japan, had been stranded for nine days when he spoke to AFP.   "It's getting boring, and I'm a little scared, because there are many ships being attacked, mostly oil tankers like ours," he said from a vessel located 100 nautical miles off the coast of the United Arab Emirates.
  • Filipino sailor George Miranda was racing to help a stricken vessel aboard the tugboat Mussafah 2 when he last spoke to his wife and young daughter.
  • - Stranded for days - Welbin Maghanoy, whose ship was carrying crude oil bound for Japan, had been stranded for nine days when he spoke to AFP.   "It's getting boring, and I'm a little scared, because there are many ships being attacked, mostly oil tankers like ours," he said from a vessel located 100 nautical miles off the coast of the United Arab Emirates.
Filipino sailor George Miranda was racing to help a stricken vessel aboard the tugboat Mussafah 2 when he last spoke to his wife and young daughter.
The 46-year-old, whose small ship was struck by a pair of missiles this week in the Strait of Hormuz, is the only seafarer from the Philippines known to be missing in the Middle East war, the government says.
But more than 6,000 others from the country that supplies a quarter of the world's sailors are still working in the conflict zone and "surrounding areas", many waiting for the green light to pass through the now-deadly shipping lane.
A series of Iranian strikes have effectively closed the strait, which carries 20 percent of world oil and gas supplies, plunging the global energy economy into crisis.
For John Winston Isidro, life aboard his VLCC, or Very Large Crude Carrier, has been marked by equal parts monotony and precaution since his ship began playing the waiting game.
"The crew stopped working above deck, and we installed a double watch on the bridge," the 32-year-old told AFP, describing off-hours spent scrolling Facebook, playing computer games and watching the occasional movie.
That routine was becoming normal, he said, though the engine crew was being kept on standby, ready to "fire up our engines" in case of emergency.

Stranded for days

Welbin Maghanoy, whose ship was carrying crude oil bound for Japan, had been stranded for nine days when he spoke to AFP.  
"It's getting boring, and I'm a little scared, because there are many ships being attacked, mostly oil tankers like ours," he said from a vessel located 100 nautical miles off the coast of the United Arab Emirates.
"Those whose contracts are about to end... they really want to go home," he said of his fellow sailors.
Judy Domingo, president of the 50,000-strong United Filipino Seafarers union, told AFP she had taken hundreds of calls from concerned sailors bottled up in the strait, with food supplies one of the immediate concerns.
"There are also members expressing their desire to leave the ship. But of course, we cannot get them out of there immediately. We have to consider their location and a safe port for them to disembark," Domingo said.
One stranded Philippine sailor who has been posting online videos of his experiences under the name Choi described a vote in which the crew was asked if they wanted to risk passage through the strait, where traffic has slowed to a trickle.
"Our captain gathered us in the conference room to ask us who wanted to pass through," he said in a video posted to Facebook and verified by AFP Fact Check.
"We chose to go home alive," he said. 
"There are 27 of us. Almost everyone said they refused to sail."
Isidro, the VLCC sailor, said he was happy his crew had not been consulted about the decision to stay put.
"Our captain will not risk our vessel's safety... It's too dangerous," he said.
"Let's just pray this US-Iran war ends soon so every ship trapped here is able to get out safe."
pam-cgm-cwl/mjw/jfx

US

Australia to change fuel quality standards to boost supply

  • "This will allow around 100 million litres a month of new petrol supply that would otherwise have been exported to be blended instead into Australian domestic supply," Bowen said.
  • Australia will adjust fuel quality standards to allow higher sulfur levels for around two months in a move that will release 100 million litres into the domestic supply, officials said Thursday.
  • "This will allow around 100 million litres a month of new petrol supply that would otherwise have been exported to be blended instead into Australian domestic supply," Bowen said.
Australia will adjust fuel quality standards to allow higher sulfur levels for around two months in a move that will release 100 million litres into the domestic supply, officials said Thursday.
The country -- reliant on oil imports for fuel -- has seen petrol prices spike since the outbreak of the war in the Middle East.
In response, Energy Minister Chris Bowen said one of the country's top refiners, Ampol, has agreed to redirect supply to regions experiencing shortages and the wholesale market.
"This will allow around 100 million litres a month of new petrol supply that would otherwise have been exported to be blended instead into Australian domestic supply," Bowen said.
Farmers, fishers and regional communities were a priority for support, he said.
Oil prices on Thursday topped $100 a barrel again after Iranian attacks on shipping effectively closed the Strait of Hormuz in response to the US-Israeli strikes that killed Supreme Leader Ayatollah Ali Khamenei.
Australia's government has blamed price-gouging by retailers for rising domestic costs of fuel.
Treasurer Jim Chalmers said that while the country has "enough fuel", there were supply issues, particularly in rural areas.
"This conflict in the Middle East is already putting additional pressure on Australians, we understand that," he told national broadcaster ABC.
The International Energy Agency said on Wednesday its member countries would unlock 400 million barrels of oil from their reserves to ease the impact of the Middle East war -- the biggest such release ever.
The coordinated release was the sixth in the history of the organisation, which was created to coordinate responses to major supply disruptions after the 1973 oil crisis.
Australia, an IEA member, has said its contribution will be focused on the domestic market.
kln/oho/jfx

business

Uber plans Tokyo robotaxi trial with Nissan and Britain's Wayve

  • Nissan is integrating Wayve's AI-powered systems into its cars, and Uber and Wayve are already planning commercial robotaxi trials in London this year.
  • Uber announced Thursday its first robotaxi partnership in Japan, teaming up with Nissan and British artificial intelligence autonomous driving startup Wayve for a trial this year in Tokyo.
  • Nissan is integrating Wayve's AI-powered systems into its cars, and Uber and Wayve are already planning commercial robotaxi trials in London this year.
Uber announced Thursday its first robotaxi partnership in Japan, teaming up with Nissan and British artificial intelligence autonomous driving startup Wayve for a trial this year in Tokyo.
Companies worldwide, from Alphabet subsidiary Waymo to Tesla and China's Apollo Go, are racing to roll out self-driving taxi services, although the actual level of autonomy on offer varies.
Wayve -- which announced an $8.6 billion valuation last month -- is a pioneer in the development of vehicle AI that learns from the environment instead of relying on pre-mapped routes.
Nissan is integrating Wayve's AI-powered systems into its cars, and Uber and Wayve are already planning commercial robotaxi trials in London this year.
The three companies said Thursday they plan a pilot deployment of robotaxis in Tokyo "by late 2026" subject to approval from authorities.
A trained safety operator will be in the Nissan car as part of the trial.
"This will be an experience where AI will drive the vehicle, you can hail it through the Uber app, and it will be supervised by a safety operator," Wayve co-founder Alex Kendall told a news conference.
Wayve's robotaxi rollout with Uber "includes planned services across more than 10 cities worldwide, including London", the companies said.
Tokyo is "one of the world's most challenging markets" for robotaxis due to its "dense traffic patterns, complex road layouts and high safety standards", they added.
Wayve has said it intends to deploy its autonomous driving software in consumer vehicles made by Nissan in fiscal 2027.
Nissan is on a bumpy road to recovery after being squeezed by an ultra-competitive business environment and US trade tariffs -- just a few years after former boss Carlos Ghosn's shock arrest and escape from Japan.
kaf/tc

US

War forces lengthy detours for Iranian truck drivers to Iraq

  • Still, the truck driver said Khamenei's death "changes nothing" in his own life.
  • Rubbing his hands together to warm them, Iranian truck driver Reza curses the more than 300-kilometre detour he was forced to make to enter Iraq after the war closed most of the usually busy border crossings.
  • Still, the truck driver said Khamenei's death "changes nothing" in his own life.
Rubbing his hands together to warm them, Iranian truck driver Reza curses the more than 300-kilometre detour he was forced to make to enter Iraq after the war closed most of the usually busy border crossings.
Originally from the small town of Piranshahr in northwestern Iran, he normally drives just 20 minutes to the Haji Omeran crossing, but it has been shut since the start of Israeli-US air strikes on Iran on February 28.
"I waited five nights, it never opened," he told AFP on Wednesday in the car park on the Iraqi side of another border crossing further south, Bashmarq, which also connects Iran to Iraq's Kurdistan region.
Like the other drivers who spoke to AFP, Reza is being identified by a pseudonym, having requested anonymity out of concern for his safety.
The roads were quiet, said Reza, adding that his two wives and three sons remained at home.
"The Americans are only targeting military installations," he said from the vast car park near the crossing, where just 20 trucks were waiting, compared to hundreds in normal circumstances.
Services like water, gas and electricity were still running, Reza stressed, as were phones, but "only for local connections", including the domestic intranet.
In a country whose economy has been suffocated for years by international sanctions, the war has brought imports to a halt: the trucks that used to leave from the north no longer go down to Tehran or Bandar Abbas, a major Iranian port in the south, said Reza, who usually hauls food products.
"Prices have gone down, except for chicken," said Akbar Jafari, 37, from Kermanshah, a five-hour drive away.
Unlike Reza, he sent his family, including his wife and seven-year-old son, to his father-in-law's in the countryside when the strikes began.
"The problems are in the city centre," Jafari said.

Abandoned checkpoints

"The Basij (paramilitary force) abandoned the checkpoints they had set up in the city after the Mahsa Amini protests," he said, referring to the 2022 mass demonstrations sparked by the death in custody of Amini, who had been arrested for not wearing a headscarf properly.
"And in the evening, they leave their posts for fear of bombing," he said.
Life has gradually slowed down, with schools closed since the start of the air strikes and not reopening until after the break for Nowruz, the Persian New Year, starting on March 21.
Jafari and Reza have already decided against celebrating the important Iranian holiday -- the government has declared 40 days of mourning following the death of supreme leader Ali Khamenei on the first day of the war.
"Anyone who celebrates Nowruz will be in serious trouble," Reza said.
Still, the truck driver said Khamenei's death "changes nothing" in his own life.
"What we want is someone who truly serves the people." 
Though Reza "wants the war to end", he said "only the Americans can change the regime", which recently cracked down on a wave of anti-government protests, leaving several thousand dead, according to NGOs.
Fellow trucker Zaheed, 37, said that "in the first few days, people were very afraid of the bombings, but you get used to it: the jets are constantly flying overhead, day and night, but it's like seeing a bird cross the sky". 
His town of Mariwan, 30 kilometres (18 miles) from Bashmarq, was bombed, and several civilians were hit, four of whom died, he said.
"At first, many people left, but since then they've come back," he said.
His wife, however, still goes to her father's village with their 10- and 5-year-old children as soon as he hits the road: "She's scared when I leave."
As he climbed back into the cab, he added: "We used to live well in our town, before".
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