Global Edition

Euro, French stocks slide on France debt concerns

  • Spain's stock market edged up about 0.5 percent around midday.
  • The euro slid to the lowest level against the dollar in 17 months and the Paris stock market shed one percent Monday on growing concerns about France's high debt levels after an underwhelming government budget plan unveiled last week.
  • Spain's stock market edged up about 0.5 percent around midday.
The euro slid to the lowest level against the dollar in 17 months and the Paris stock market shed one percent Monday on growing concerns about France's high debt levels after an underwhelming government budget plan unveiled last week.
The CAC 40 was also pushed lower by a 10 percent drop in the share price of Schneider Electric after the French software group said it would buy US peer PTC for $22.6 billion in cash.
Asian stock markets closed higher, with regional stocks catching up with global gains Friday after a big miss on US jobs creation gave the Federal Reserve breathing room to hold off an interest rate increase this month.
Steadier oil prices provided additional support.
"The dollar remains supported despite the softer US payrolls print," said Patrick Munnelly, market strategist at Tickmill Group.
"That may appear counterintuitive, but... US yields are still high, the Fed is not close to cutting, and Europe's political risk is weighing on the euro."
"France had already been under pressure due to questions over fiscal credibility and political stability," Munnelly added. "Spain now adds another layer of uncertainty."
Spanish Prime Minister Pedro Sanchez on Monday called a snap election for November 29, after parliament rejected housing relief measures proposed by his minority government.
Spain's stock market edged up about 0.5 percent around midday.
The oil market began the week calmer after G7 countries, in coordination with the International Energy Agency, agreed Friday to immediately release 100 million barrels of diesel and crude oil to ease global energy supply concerns caused by the US-Iran war. 
Saudi Aramco chief executive Amin Nasser on Monday described oil stockpiles as "scarily thin".
"The system is already straining," Nasser told the Energy Intelligence Forum in London. 
"And with precious little else the world can turn to, the supply resilience cushion is scarily thin," he added in a speech to the two-day event featuring executives from across the energy industry.
Ahead of Friday's move by the Group of Seven, which includes the United States, President Donald Trump had pressured the European Union to tap its strategic diesel reserves or face an American ban on diesel exports.
Exports of Middle East oil, excluding Iran, surpassed their pre-war levels last week, despite attacks on ships in the Strait of Hormuz, according to data from the maritime tracking firm Kpler.
 

Key figures at around 1030 GMT

 
London - FTSE 100: UP 0.2 percent at 10,486.73 points
Paris - CAC 40: DOWN 1.0 percent at 7,818.24 
Frankfurt - DAX: DOWN 0.1 percent at 25,195.45
Tokyo - Nikkei 225: UP 2.4 percent at 69,946.86 (close)
Hong Kong - Hang Seng Index: UP 0.3 percent at 24,040.34 (close)
Shanghai - Composite: Closed for a holiday
New York - Dow: UP 0.5 percent at 51,176.96 (close)
Euro/dollar: DOWN at $1.1208 from $1.1256 on Friday
Dollar/yen: UP at 157.97 yen from 157.87 yen 
Pound/dollar: DOWN at $1.3225 from $1.3244
Euro/pound: DOWN at 84.73 pence from 84.99 pence 
Brent North Sea Crude: UP 0.5 percent at $102.78 per barrel
West Texas Intermediate: DOWN 0.4 percent at $90.74 per barrel
burs-bcp/yad/js
 

trade

EU, China to hold Beijing talks to avert trade war

BY RAZIYE AKKOC WITH SAM DAVIES IN BEIJING

  • EU and Chinese officials have been locked in talks since June to address Brussels' concerns about the current trade imbalance.
  • EU trade chief Maros Sefcovic will head to Beijing on Thursday for two days of make-or-break meetings with Chinese officials to try to stave off a trade war.
  • EU and Chinese officials have been locked in talks since June to address Brussels' concerns about the current trade imbalance.
EU trade chief Maros Sefcovic will head to Beijing on Thursday for two days of make-or-break meetings with Chinese officials to try to stave off a trade war.
The European Union has toughened its stance towards Beijing to defend businesses against what it believes is unfair competition in critical sectors including cars.
Increasingly European leaders and observers warn of a "China Shock 2.0", used to describe Chinese firms' shift into more high-tech manufacturing, which is threatening many traditional EU industries.
The first shock in the early 2000s saw a glut of cheap, more low-tech exports from China hurt manufacturers not just in Europe but around the world.
EU and Chinese officials have been locked in talks since June to address Brussels' concerns about the current trade imbalance.
The EU is simultaneously preparing to boost its trade defence toolbox -- but Beijing has threatened to retaliate against any moves targeting China.
Sefcovic raised the stakes for this week's meetings in summer when he warned the EU expected "tangible results by October" from the process.
But experts cautioned against expecting too much from this week's meetings.
"There may be a few crumbs, but I would not expect any kind of major breakthrough," Penny Naas, director of the Brussels office of German Marshall Fund of the United States (GMF) think tank, said.
There could be "agreements on some specific issues, rather than any broad settlement of the trade relationship", said Zhu Tian, professor of economics at the China Europe International Business School (CEIBS) in Shanghai.
It is clear Brussels is aware the talks won't solve all of its woes, with the commission working in parallel on new tools to protect European industries, which are expected to be presented to leaders in December.

'Worrying trends'

What the EU wants is to cut its trade deficit with China.
It hit around 360 billion euros in 2025, meaning the EU imported far more from the Asian nation than it exported there. China has a lower figure of around $292 billion but expects the deficit to rise further this year.
The EU's trade enforcement chief, Denis Redonnet, said sectors facing "sustained and abnormal" import increases included machinery, textiles, basic metals and chemicals.
There were "potentially worrying trends for almost a quarter of all imports into the EU at the moment", driven mainly by Chinese goods, Redonnet told the European Parliament last week.
Sefcovic said the EU wanted to deliver on three main objectives including tackling export surges from China to the bloc's market, especially in critical sectors, and increasing exports from Europe to China.
Brussels also wanted "a system of export licensing for rare earths and other products" after major producer China introduced restrictions on them last year.
Europe hopes to manage Chinese exports through voluntary limits, for example on hybrid cars shipped to the bloc, but an EU official said Brussels wants to include other products. Beijing has said it firmly opposes import quotas.
China has limited room for manoeuvre because of weak domestic demand, which means the government relies on exports to sustain growth levels.

Diversifying suppliers

Since the bloc does not expect significant changes by China, the EU official, speaking on condition of anonymity, said it was also steaming ahead with preparing new tools.
Several EU nations including France have pushed for a "European equivalent of Section 301" -- the trade tool US President Donald Trump used to probe foreign practices Washington deems discriminatory, and retaliate with tariffs.
Responding to reports last week about such a tool, Beijing warned it would "respond resolutely" to "discriminatory restrictive measures".
The EU knows they are not empty threats: China previously retaliated against the bloc's trade defence moves with duties on European cognac, and conducted anti-dumping probes into pork and dairy products.
Brussels is also developing a tool that would support businesses, through funding, to diversify their suppliers in critical sectors.
It is still unclear, however, how far the EU as a whole would be willing to go against China -- for fear of provoking Beijing.
Germany, which is especially exposed since its biggest trading partner is China, has been especially cautious -- though Berlin's stance has hardened as it worries Chinese overcapacities are hurting its export-led economy.
Europe has "the ability to do something more aggressive to stem this China 2.0 shock", GMF's Naas said. "The question is, will they?"
burs-raz/ec/rl/abs

law

US Supreme Court hears bid to shut the door on climate suits

BY ISSAM AHMED

  • After failing to move the case to federal court, the companies lost bids to have it dismissed in state court and at Colorado's Supreme Court.
  • Dozens of climate lawsuits could live or die by a Supreme Court case to be heard Monday seeking damages from oil companies for their role in global warming and for concealing the dangers of fossil fuels.
  • After failing to move the case to federal court, the companies lost bids to have it dismissed in state court and at Colorado's Supreme Court.
Dozens of climate lawsuits could live or die by a Supreme Court case to be heard Monday seeking damages from oil companies for their role in global warming and for concealing the dangers of fossil fuels.
Known as Suncor v Boulder, the dispute began in 2018 when the city and county of Boulder, Colorado, sued ExxonMobil and Suncor Energy, claiming they "knowingly caused and contributed to the alteration of the climate" while "concealing and/or misrepresenting the dangers" of their products.
Suncor operates a refinery in Colorado, while ExxonMobil has deep ties to the Rocky Mountain State. The plaintiffs say they have suffered hundreds of millions of dollars in losses from wildfires, flooding and other weather extremes stemming from climate change linked to the burning of fossil fuels.
It is one of around 40 similar suits brought by cities, states, tribes and other local jurisdictions, modeled on successful litigation against tobacco and opioid producers.
The companies contend such suits aim to impose an enormous "carbon tax" that could bankrupt the energy industry -- that they are an illegitimate attempt to regulate greenhouse gas emissions, and are essentially asking the court to make them all go away.
After failing to move the case to federal court, the companies lost bids to have it dismissed in state court and at Colorado's Supreme Court.
President Donald Trump's administration filed a brief urging the US Supreme Court to take up the case, and the justices agreed.
The court will consider whether federal law -- specifically the Clean Air Act -- preempts Boulder's claims, whether the Constitution itself bars such suits, and whether it can review the case before a trial has taken place.
If the justices focus on the last question, "that essentially just kicks the can down the road" since the wider questions would likely be raised later, Katrina Kuh, a professor of environmental law at Pace University, told AFP.
A ruling on the federal law questions, however, would matter for many pending suits.
"It could extinguish them entirely," said Kuh. Or the justices could narrow them -- allowing Colorado, for example, to apply its state law only to emissions within the state.
The questions also bear on so-called "climate superfunds" -- laws in New York and Vermont that would make polluters pay for climate resilience projects.
New York's was struck down by a federal judge last month, and an adverse Supreme Court ruling could shut the door to it being revived on appeal.
Conservative legal scholar Jonathan Adler, a William & Mary law professor who filed a brief supporting Boulder, told AFP he disagreed with the oil companies' legal theories and believed such cases are "viable" -- without offering a view on the underlying merits.
He added that Justices Amy Coney Barrett, Neil Gorsuch and Clarence Thomas bear the most watching because "all three of them have shown some skepticism towards broad preemption arguments," though he said they are also likely to be skeptical of suits of this nature.
Ahead of the hearing, ultraconservative Justice Samuel Alito recused himself after critics called on him to step aside over his oil and gas stock holdings.
Conservatives still hold a 5-3 majority without Alito, but a 4-4 split is now possible -- which would leave the Colorado ruling in place and let the case proceed to trial.
ia/dw

AI

Spy chief Clayton, the Trump loyalist tech bosses trust on AI

BY ALEX PIGMAN

  • But by giving the AI portfolio to the nation's top spy, Trump seemed to be accepting arguments that the technology poses real dangers for cybersecurity and is key to the geopolitical rivalry with China, he added.
  • Jay Clayton, Donald Trump's pick for AI czar, is the nation's top spy, and a rare figure trusted by both the president and the tech bosses determined to keep the AI boom roaring.
  • But by giving the AI portfolio to the nation's top spy, Trump seemed to be accepting arguments that the technology poses real dangers for cybersecurity and is key to the geopolitical rivalry with China, he added.
Jay Clayton, Donald Trump's pick for AI czar, is the nation's top spy, and a rare figure trusted by both the president and the tech bosses determined to keep the AI boom roaring.
The 60-year-old lawyer, who will keep his post as director of national intelligence, is unlikely to question the central place of artificial intelligence in the US economy, even as opposition to the technology grows among American voters.
"Jay Clayton is a golden asset for the administration because he's so well respected by tech leaders as well as many in the government," said Dan Ives of Yorkville Ives & Co, an investment company.
"He is not a typical Beltway bureaucrat," Ives added, calling the appointment "bullish for the industry because you can't just have a regular political appointee."
A regular golf partner of Trump, Clayton entered politics when Trump picked him to lead the Securities and Exchange Commission, the national markets regulator, in 2017.
A longtime Wall Street lawyer at Sullivan & Cromwell, where he represented Goldman Sachs during the 2008 financial crisis, Clayton ran the market regulator without ruffling feathers. He brought cases against crypto companies, an industry that has since become closely aligned with Trump and his family.
His wife, Gretchen Butler Clayton, worked as a wealth manager at Goldman Sachs but stepped down when he joined the government in 2017.

No David Sacks

Trump picked Clayton to lead the US Attorney's Office for the Southern District of New York at the start of his second term, where he took on cases dear to the president, including a probe ordered by Trump into ties between prominent Democrats and the late sex offender Jeffrey Epstein.
His office also signed off on controversial subpoenas against New York Times reporters days before his confirmation hearing for the intelligence post. The Senate confirmed him in July.
But Clayton is no David Sacks, the Silicon Valley venture capitalist who held the AI role at the start of Trump's second term.
Clayton has no technology background, but does hold an engineering degree from the University of Pennsylvania, where he also earned his law degree, as well as an economics degree from the University of Cambridge.
"Jay Clayton doesn't have the same deep background in technology that Sacks brought to the role, but he has a rich federal resume and significant experience navigating the federal bureaucracy," said Aalok Mehta of the Center for Strategic and International Studies.
"He also seems to be highly in sync with the president's thinking right now -- though of course we have seen plenty of examples of other advisors that started out that way but ultimately fell out of favor," Mehta added.
Carl Tobias, a law professor at the University of Richmond, said juggling two major jobs would be a challenge, though Trump has handed multiple roles to trusted officials in his second term, including Secretary of State Marco Rubio and Treasury Secretary Scott Bessent.

National security

"Jay Clayton ultimately is going to have to do what the president wants," said Connor Martin, a national security fellow at the Council on Foreign Relations.
But by giving the AI portfolio to the nation's top spy, Trump seemed to be accepting arguments that the technology poses real dangers for cybersecurity and is key to the geopolitical rivalry with China, he added.
A tech industry source in Washington said the industry largely welcomed the appointment, but cautioned against expecting major change.
"Jay Clayton is not going to preside over some big regulatory effort," the source said. "If he brings coherence to the policy, or provides details that bring clarity, those would be wins."
Clayton will not be the only voice in Trump's ear on AI, however. 
Sacks, along with tech bosses including Nvidia's Jensen Huang and Meta's Mark Zuckerberg, will continue to hold significant sway over how the president approaches the industry.
Elon Musk is also back in Trump's good graces after their falling out in 2025.
Clayton takes on the role days after tech bosses signed a commitment at the White House to self-police their AI models, an accord Trump called "morally binding."
Mehta said he expected Clayton to coordinate the government more effectively while sticking to Trump's goal of not slowing the industry.
"But at the same time, the problems he is facing -- like around AI safety and sentiment -- are bigger and harder now, and they are happening at a much faster clip," he said.
arp-tu/md

AI

Trump confirms national intelligence chief as new AI czar

  • The appointment would come as AI researchers warn of the technology's potential dangers, following cases of AI systems going rogue and hacking outside systems.
  • US President Donald Trump on Sunday confirmed national intelligence chief Jay Clayton as head of a new White House task force on artificial intelligence, amid increasingly vocal warnings from researchers about the technology's potential dangers.
  • The appointment would come as AI researchers warn of the technology's potential dangers, following cases of AI systems going rogue and hacking outside systems.
US President Donald Trump on Sunday confirmed national intelligence chief Jay Clayton as head of a new White House task force on artificial intelligence, amid increasingly vocal warnings from researchers about the technology's potential dangers.
Under Clayton, the new Super Intelligence Force -- Trump's preferred term for artificial intelligence -- will ensure that the United States "continue to lead the world" in AI development, the president posted on his Truth Social platform.
Trump said the force had also been tasked to "protect the interests, and improve the lives of all Americans."
Clayton will become the second person to hold the informal title after venture capitalist David Sacks, who held the role at the start of Trump's second term before stepping down.
Sacks continues to advise the president on AI, as does Nvidia CEO Jensen Huang.
Trump said last month he would create an AI force modeled on the Space Force he established during his first term, and name a czar to coordinate federal efforts.
A longtime Wall Street lawyer, Clayton represented Goldman Sachs during the 2008 financial crisis and Barclays in its purchase of Lehman Brothers' assets.
He chaired the Securities and Exchange Commission during Trump's first term, where he largely took a pro-business stance but brought enforcement cases against the nascent crypto industry.
Crypto entrepreneurs have since become major Trump backers.
Trump tapped Clayton to lead federal prosecutors in Manhattan at the start of his second term, and the Senate confirmed him as intelligence chief in July.
He has no background in the tech industry.
The appointment would come as AI researchers warn of the technology's potential dangers, following cases of AI systems going rogue and hacking outside systems.
Trump has resisted tighter AI regulation, arguing a slowdown could hand Chinese firms an advantage and that federal law enforcement can deal with bad actors misusing the technology.
Tech bosses at a White House meeting this week signed a commitment to self-police AI, an accord Trump described as "morally binding."
Attitudes toward AI have soured in Washington, with lawmakers increasingly under pressure from voters to curb or slow its development over fears it could displace workers and upend society.
Those concerns gained force from a run of incidents in which tech giant OpenAI's autonomous systems slipped out of their constraints, beginning with a July breach of Hugging Face -- a widely used platform for sharing AI models.
Clayton told the Wall Street Journal on Saturday that Trump had insisted the new task force ensure US primacy in the AI field, amid stiff competition from China. 
"The risk of not being first is high," Clayton told the Journal.
"Not being first increases the identified, and unidentified, risks, particularly from our adversaries. Being first will better enable us to address those risks on behalf of the American people."
gh/md

fashion

Chanel: unpicking one year of 'Blazymania'

BY DAPHNé ROUSSEAU

  • Said to have impressed with his in-depth presentations during the recruitment process, he embodies "a new generation with sincere humility", Chanel fashion president Bruno Pavlovsky said of him at the time.
  • Exactly a year since he unveiled his first collection at Chanel, Franco-Belgian designer Matthieu Blazy has proved himself to be a shrewd and hugely profitable recruit by the family-owned French fashion label.
  • Said to have impressed with his in-depth presentations during the recruitment process, he embodies "a new generation with sincere humility", Chanel fashion president Bruno Pavlovsky said of him at the time.
Exactly a year since he unveiled his first collection at Chanel, Franco-Belgian designer Matthieu Blazy has proved himself to be a shrewd and hugely profitable recruit by the family-owned French fashion label.
Some of Blazy's designs have proved so popular they have sparked a neologism -- "Blazymania" -- which has come to mean the frenzied buying in stores off items that often cost thousands of dollars. 
When his first collection -- Spring-Summer 2026 -- arrived in stores in March this year, videos of buyers streaming into Chanel shops went viral on social media.  
And while the luxury sector as a whole is going through a tough spell, sales at the company increased 16 percent in the first half of this year compared with 2025, according to confidential sales data reported in August from financial news agency Bloomberg.
"When he arrived, I was unsettled, a little shocked, and frankly sceptical. But there's no denying that he offers more designs, more novelty," Rita, a Lebanese businesswoman who declined to give her surname, told AFP while browsing in a Chanel shop in Paris.
"It's no longer about buying the same bag or the same slingbacks every year in a different colour, but about buying new objects," she added, holding a "31" bag in which she hoped to fit her laptop.
Alix Morabito, director of buying at luxury Paris department store Galeries Lafayette, has also gauged the extent of "Blazymania": every new delivery is eagerly awaited and it can sometimes be difficult for shoppers to get hold of pieces because the waiting lists are so long.
"There's a new balance to find between desirability, scarcity and generosity," she told AFP.
Blazy's Spring-Summer 2027 collection will be unveiled on Monday in Paris at 8 pm (1800 GMT).
 

'Joy'

 
Eric Briones, director of the Paris School of Luxury, told AFP that only the fourth designer in Chanel's history had "brought joy" to the brand. 
"Before, it wasn't exactly all smiles. Now there is joy everywhere, even in sales at a pop-up store in Shanghai" despite weak sales in China, he explained.
Appointed in 2025 to succeed Virginie Viard, Karl Lagerfeld's discreet successor, Blazy landed one of the biggest jobs in fashion aged just 40.
Said to have impressed with his in-depth presentations during the recruitment process, he embodies "a new generation with sincere humility", Chanel fashion president Bruno Pavlovsky said of him at the time.
That was seen as good a fit for Chanel's discreet family owners, Alain and Gerard Wertheimer.
Blazy began his career at Maison Margiela in 2011, before moving to Celine and then Calvin Klein in New York, where he worked under Belgian designer Raf Simons until they were both sacked in 2018. 
Named as Bottega Veneta's creative director in 2021, he helped reinvent the Italian leather goods brand, earning him the nickname the "magician of Milan".
 

New items

 
So what is Chanel's magic formula now? 
"He has broken down the brand's codes, projecting them into a new era," Pierre Groppo, fashion and lifestyle editor-in-chief at Vanity Fair, told AFP.
The emblems of the house founded by Coco Chanel in 1910 remain visual cornerstones: tweed, often woven in highly modern iridescent and metallic tones; the camellia; pearls; the double C; black and white; and the silhouette of the 1920s dress falling below the knee.
At the same time, everyday accessories and clothing have been introduced, along with denim, humour and pop references.
Groppo highlighted the enthusiasm among a new male audience for Chanel ready-to-wear, including "loafers, trainers, blazers and bags".
The house has also taken on male ambassadors this year, including actor Pedro Pascal, but still has no officially designated men's line.
Just "pieces that suit everyone", Blazy says.
dar-adp/giv

paprika

Hungary's dwindling paprika producers battle to save signature spice

BY ANDRAS ROSTOVANYI

  • "I was absolutely convinced that we'd have to take on part-time jobs because they'd burn out," Pajsan Nagy, 44, told AFP, while selling her family's products at the annual town fair in Kalocsa, in southern Hungary.
  • Working from before dawn until midnight, farmers Nikoletta Pajsan Nagy and Laszlo Pajsan fought Europe's driest summer ever to save their red pepper harvest in Hungary.
  • "I was absolutely convinced that we'd have to take on part-time jobs because they'd burn out," Pajsan Nagy, 44, told AFP, while selling her family's products at the annual town fair in Kalocsa, in southern Hungary.
Working from before dawn until midnight, farmers Nikoletta Pajsan Nagy and Laszlo Pajsan fought Europe's driest summer ever to save their red pepper harvest in Hungary.
Unable to irrigate much of their two-and-a-half-hectare (six-acre) land because power lines run across it, they repeatedly loosened the soil around the plants, which are used to make the central European country's signature spice, paprika.
"I was absolutely convinced that we'd have to take on part-time jobs because they'd burn out," Pajsan Nagy, 44, told AFP, while selling her family's products at the annual town fair in Kalocsa, in southern Hungary.
"But somehow the crop turned out bigger and more beautiful than in previous years. It was a miracle," she said, recalling some 20-hour days in the field.
The couple see themselves as a dwindling profession, as cultivation of paprika -- an indispensable ingredient in traditional cuisine -- has declined over the past several decades in Hungary, with many small producers going out of business.
 

Squeezing producers

 
The area devoted to paprika peaked at 13,029 hectares in 1979 and had fallen to 1,410 hectares by 2024, according to official statistics.
While cheap imports from China and parts of South America are squeezing producers, climate change is making paprika production more difficult and costly, according to Robert Braj, an adviser at Dutch-owned BWA Kft, one of Hungary's top food-seasoning manufacturers.
"There are longer droughts, more extreme heatwaves, while new pests and diseases are spreading," Braj told AFP.
Along with some other EU nations, Hungary experienced its driest summer since records began in 1901 and its second-hottest on record, according to national weather service HungaroMet. 
Labour shortages are also a problem.
At the fair, paprika seller Agnes Toth recalled picking up peppers as a child, taking part in the family business.
"Back then, we grew paprika on six hectares. Now it's around three hectares because there aren't enough seasonal workers to harvest it by hand," the 44-year-old told AFP.
"A family couldn't make a living from this anymore... Everyone has a full-time job. I'm a teacher, my brother is a firefighter," she said.
Hungary's Agriculture and Food Economy Ministry told AFP it seeks to strengthen producers' competitiveness, but it is yet to announce any new measures.
 

'A wonder'

 
At last month's annual fair in Kalocsa, one of Hungary's main paprika-growing regions, the aroma of meat stews and fish soups laced with the vibrant scarlet spice filled the air as teams poured generous amounts into their cauldrons at a cooking contest.
"For us Hungarians, paprika is a wonder," one of the competitors, local fast-food restaurant owner Imre Zseni said, while stirring a beef stew.
Booths were adorned with strings of dried red peppers -- the raw ingredient used to make paprika -- recalling a sight once common on houses in the surrounding countryside every autumn.
Originating from the Americas, peppers found their way to Hungary's sun-drenched, fertile river plains around Kalocsa and Szeged in the 16th century.
The two historic paprika-production centres are now recognised with the EU's protected designation of origin status.
Ethnographer Imre Romsics said paprika became an important symbol of Hungarian identity during the 19th century, "alongside costume, folk art and other traditions".
But younger generations cook fewer traditional Hungarian recipes, and they prefer food "that is faster and easier to prepare," according to specialist Braj.
ros/jza/cms

Google

Finnish town braces for change from Google data centres

BY ANNA KORKMAN

  • The planned data centres are part of an announced 13-billion-euro ($15-billion) investment in Finland over the next two years -- the US tech giant's single biggest investment in Europe.
  • In the northern Finnish town of Muhos, 36-year-old farmer Joni Pitkanen is preparing for life with a new neighbour -- just kilometers away, tech giant Google is planning to build new data centres.
  • The planned data centres are part of an announced 13-billion-euro ($15-billion) investment in Finland over the next two years -- the US tech giant's single biggest investment in Europe.
In the northern Finnish town of Muhos, 36-year-old farmer Joni Pitkanen is preparing for life with a new neighbour -- just kilometers away, tech giant Google is planning to build new data centres.
The planned data centres are part of an announced 13-billion-euro ($15-billion) investment in Finland over the next two years -- the US tech giant's single biggest investment in Europe.
A few kilometers down the gravel road that passes by Pitkanen's farm, the forest has already been cut down on land acquired by Google, with excavators now clearing the ground and rumbling trucks shuttling back and forth to the construction area located next to major power lines.
"The project is so massive that it's basically hard to really grasp, even though we're right here on the sidelines," Pitkanen said, as a few cows dozed in a meadow in front of the barn.
Google's expansion plans include the Finnish municipalities of Kajaani, Muhos and Vaala as well as Hamina, where it already operates a data centre. 
The massive investment prompted US President Donald Trump to urge Google to rethink its plans in a message on his Truth Social network. 
Pitkanen said he was so far "fairly positive" about the project, as it will bring "large-scale business activity" and "life" to the rural municipality with a population of only around 8,800 people.
"But of course we are concerned about... how we can prepare for the energy consumption," he added.
In his office in the small village centre, Muhos mayor Kimmo Hinno told AFP that Google's "massive investment" kept him busy these days as "no industry of this type" existed here at present.
"This will completely change the situation for the entire municipality and the Oulu region," he said, adding that he expected "thousands of workers" of different nationalities during the construction period -- who will need both housing and other services. 
Outside a grocery store, 60-year-old nurse Aila Heilima said she hoped the investment would "motivate young people to stay" in Muhos for work, instead of moving to bigger towns in search of job opportunities.
 
– Mounting criticism – 
 
But Google's plans have already sparked controversy. 
The Finnish Supervisory Agency (LVV) is currently investigating whether company Tuike Finland, which represents Google, had cleared more than 300 hectares of forest in Muhos without a mandatory environmental impact assessment.
"In our view, operations at this construction site should be suspended until it is clarified whether the project is in compliance with the law," Hanna Halmeenpaa, chair of the board of the Finnish Association for Nature Conservation, who filed the request with the agency, told AFP at the edge of the deforested area. 
"From the satellite images, we've seen that nature sites which should be preserved have also been logged," she added, explaining that the size of the clear-cut area was comparable to 420 football fields. 
Google, meanwhile, told AFP in an email that "tree felling activities have been taking place in compliance with Forestry Act requirements" and they "were awaiting further guidance from LVV on this matter."
"We have conducted extensive nature surveys covering the entire area as part of the zoning and Environmental Impact Assessment processes, to ensure high-value nature zones within the sites have been protected during forestry works," said Sondre Ronander, communications manager for Google in Finland. 
 

Call for regulation

 
Finland has seen a spike in data centre investments, with its cool climate and relatively stable and cheap electricity that is mostly produced without fossil fuels thanks to nuclear plants as well as extensive wind and hydro power. 
Prime Minister Petteri Orpo's right-wing government has prioritised attracting data centre investments to the Nordic country, which is grappling with record-high unemployment and sluggish economic growth.
But, as dozens of the energy guzzling centres are now under construction and many more planned by companies including Microsoft and TikTok, uncertainty around energy prices, grid capacity and environmental effects have sparked a public debate in Finland. 
A citizen's initiative demanding stricter regulation regarding data centre energy use and consequences for the environment gathered more than 50,000 signatures in just three days after it opened, meaning it will have to be reviewed by parliament.
ank/jll/po/rl/cms

automobile

Trump tariffs a mixed bag for US auto industry

BY JOHN BIERS

  • Auto industry experts view the unsettled nature of Trump's trade measures as a hindrance to bigger wins.
  • President Donald Trump has claimed a "roaring comeback" in American auto manufacturing following aggressive trade policy, but analysts view the cumulative impact as more of a mixed bag.
  • Auto industry experts view the unsettled nature of Trump's trade measures as a hindrance to bigger wins.
President Donald Trump has claimed a "roaring comeback" in American auto manufacturing following aggressive trade policy, but analysts view the cumulative impact as more of a mixed bag.
Since Trump returned to the White House, General Motors, Toyota, Ford and other carmakers have announced plans to expand US plants or shift production from overseas to make use of underutilized factories, as the industry navigated measures such as a 25-percent levy on imported autos. 
But as the president's allies in the Republican party look ahead to mid-term elections in November, the gains to the US carmaker profile look more incremental than decisive, and are accompanied by a drag in spending in some cases due to trade uncertainty.
"It's a partial win," Stephanie Brinley, an automotive analyst at Mobility Global, said of the lift from Trump's tariffs to the US auto industry. 
Auto industry experts view the unsettled nature of Trump's trade measures as a hindrance to bigger wins. This defect has most recently surfaced in the dust-up between the United States and Canada that has clouded the prospects of the North American trade agreement, known as the USMCA.
In August, a top Honda executive said the company was operating near full capacity at its North American facilities and wanted to build a new plant, but might pivot if the fog around USMCA persists.
Moreover, the disruptions from tariffs and Trump's reversals of US policies favoring electric vehicles have weighed on the US auto supplier sector, which provides parts and technology and employs some 930,000 people in the United States.
There has been "a noticeable slowdown" in investment by suppliers due to policy uncertainty, including on tariffs, said Tyler Harp, an industry economist at the Center for Automotive Research (CAR).
Investment by suppliers plunged from more than $8 billion in the first quarter of 2025 to around $600 million in the two subsequent quarters before recovering somewhat, according to CAR data.
"Suppliers are more exposed to tariffs," Harp said. "They're not in a position to absorb them as well as automakers."

Investing in automation

After falling for much of 2025, US auto employment has been on an upswing for most of 2026. In September, the sector had just under 1.8 million workers, according to the US Bureau of Labor Statistics.
That's almost one percent more than the level in January 2025 when Trump took office, but more than two percent below the peak level from the last decade, in July 2024 when Joe Biden was president, according to the BLS.
US auto production has also been broadly stable, but isn't expected to rise until around 2030, when GM's $4 billion investments in Michigan, Kansas and Tennessee come into force, along with Toyota's $3.6 billion plan to move Tacoma pickup production to Texas from Mexico.
Global Mobility projects that US car production will be 10 million vehicles in 2026, about the same as last year, but rise to around 11.3 million in 2030, according to Brinley.
"There is definitely an increase in there and it is partially related to tariffs," she said, noting that in some cases automakers are reconfiguring plants or making use of underutilized capacity.
A brand-new plant such as the one floated by Honda must be used for decades.
"Plants aren't put in the ground with the expectation of lasting a presidential cycle," Brinley said. "The tariffs have an impact, but it's just not the only input."
Suppliers have ranked changes in government trade policy as the industry's "greatest threat" over the next 12 months, according to surveys from MEMA, the Vehicle Suppliers Association.
In the most recent report, nearly 80 percent of companies ranked trade policy changes among the four top threats, alongside weakness in the US economy, an external or "black swan" event, and poor vehicle sales.
The industry has recovered only about half of tariff-policy-related costs, a "sustained margin drag that is likely to weigh on supplier financials," according to a commentary from Deloitte accompanying the survey.
The industry is following a "discipline-over-growth playbook" while shifting more investment to automation and robotics, Deloitte said.
jmb/ksb

Global Edition

Boisterous fashion week barnstorms 'sleepy' Nigerian capital

BY NICHOLAS ROLL

  • Despite the change in venue, some things are universal in Nigeria, whose creaking grid is as infamous as Lagos traffic: as the models prepped backstage Friday, the power briefly cut out.
  • Nigerian models donned outfits of seemingly impossible amounts of fabric folded and moulded into massive silhouettes, or overlapping in shingled, feather-like patterns.
  • Despite the change in venue, some things are universal in Nigeria, whose creaking grid is as infamous as Lagos traffic: as the models prepped backstage Friday, the power briefly cut out.
Nigerian models donned outfits of seemingly impossible amounts of fabric folded and moulded into massive silhouettes, or overlapping in shingled, feather-like patterns.
The colourful, detailed textiles evoked Carnival -- both Nigeria's own, in the southeastern city of Calabar, or that of Rio de Janeiro fame -- but were in fact splashing down a runway in Abuja, better known for being the sleepy seat of government than for avant-garde couture.
Nigeria Fashion Week, which wraps up Sunday, decamped from Lagos this year, trading the mega-city of more than 20 million -- the nation's economic and artistic mecca -- for the centrally planned administrative centre, which nonetheless has developed its own, smaller creative scene.
"Abuja is slow, slow in every way. People are very laid back," Lexy Mojo-Eyes, the dapper organiser of the fashion week, who cut his teeth in Lagos, told AFP. 
"We want to change the dynamics, we want to build Abuja as a fashion city."

A slowly changing city

Nigeria officially moved its capital from thronging, crowded Lagos in 1991. But even in 2026, Abuja can still look half-built, its pockmarked downtown home to modern office buildings alongside empty lots and even farms that pre-date its founding.
It doesn't have Lagos's famous, and infamous, raucousness -- but neither does it have a riposte to the Lagos film industry, known as Nollywood, or its major corporate headquarters and roster of Afrobeats stars.
As Abuja has slowly filled in over the years, it has shed some of its sterile feel, hosting a photography festival, an international film festival and a burgeoning literary scene.
Part of the reason the show moved to Abuja was to increase dialogue between industry and government, organisers said.
"Government has to be that enabling environment," including by reforming tourism and intellectual property law, culture minister Hannatu Musa Musawa told AFP, wearing a metallic silver, pink and blue dress as she sat in the front row at a Friday runway show.
Libyan designer Rabia Ben Barka, whose models showed off similarly shimmering dresses, told AFP she found Abuja -- on her first trip to Nigeria -- "so clean" and organised.
"Anyone who comes by, they greet you with 'Good morning,'" said Ben Barka, considered the doyen of Libyan fashion and who once counted Muammar Gaddafi's wife among her clients.
Some of her boxy silhouettes evoked retro women's shoulder pads -- and then, down the runway, strutted a man in a metallic silver-and-black pinstripe suit, complete with heeled leather shoes: souped-up businesswear for a capital city shedding its stuffy image.

Cost of living

Abuja is also drawing longtime Lagos players, including Chinwe Ezenwa, a handbag designer who opened a second factory in the capital in 2021.
"It's a bit of a sleepy town," Ezenwa, the CEO of Le Look, told AFP. "But it's picking up."
Lagos, for its part, still retains its own, separate fashion week.
And whether Abuja can support the workers needed to run a creative sector -- designers, fashion students and entrepreneurs -- remains to be seen. 
Many residents are already forced beyond the suburbs by brutal housing costs, and the government has come under fire for razing green areas, farms and "gardens" -- cheap, open-air restaurants situated in parks -- in favour of luxury development.
Despite the change in venue, some things are universal in Nigeria, whose creaking grid is as infamous as Lagos traffic: as the models prepped backstage Friday, the power briefly cut out.
As the lights flickered back on, baptism in blackout over, one attendee quipped that the show was now, officially, "very authentic".
nro/tba/cw/giv

AI

AI needs safety layers like nuclear plants: ex-OpenAI engineer

  • He argued that cutting-edge AI labs need to operate like the aviation or the nuclear industry with layers of redundant safeguards and careful planning "so that the occasional and inevitable human error does not open a door to disaster."
  • Another former OpenAI employee has added his voice to a chorus of frantic calls to make AI safe, saying the industry must mimic the aviation or nuclear power sectors with their layers of safeguards to avoid disaster.
  • He argued that cutting-edge AI labs need to operate like the aviation or the nuclear industry with layers of redundant safeguards and careful planning "so that the occasional and inevitable human error does not open a door to disaster."
Another former OpenAI employee has added his voice to a chorus of frantic calls to make AI safe, saying the industry must mimic the aviation or nuclear power sectors with their layers of safeguards to avoid disaster.
In an article published in The Atlantic Magazine, David Robinson echoed warnings from inside and outside the AI world that its agents are being developed so fast and becoming so smart they could soon elude control and conceivably wipe out humanity.
Robinson said alarming incidents reported since the start of the summer -- in which AI agents slipped out of their controlled spaces and went rogue to attack a variety of targets -- show the industry is not taking safety nearly seriously enough as it sprints to develop faster and more powerful artificial intelligence capabilities.
In the essay Robinson said his credentials include overseeing the writing of safety reports on 12 advanced model product launches and leading the drafting of OpenAI's Preparedness Framework.
Robinson says he worked at OpenAI for three-and-a-half years and was among the longest-tenured employees at the company.
The mistakes revealed recently are typical because of "the speed and flexibility with which people operate," Robinson wrote.
He added: "An environment where things like this can happen is no place to grow artificial minds that could be smarter than we are and that might not do what we want them to."
He argued that cutting-edge AI labs need to operate like the aviation or the nuclear industry with layers of redundant safeguards and careful planning "so that the occasional and inevitable human error does not open a door to disaster."
Robinson also insisted that the issue of "alignment" -- the industry term for how AI can be trained to respect human values -- is essential but something the industry has failed to even define, much less master.
Then there's this, he said: AI models are getting better and better at detecting when they are being tested and might behave differently when they are actually deployed, fooling their masters.
After a meeting Tuesday at the White House, amid global worries about what AI means for humanity, top AI executives said they had committed to measures for self-regulation, as opposed to submitting to government rules. This includes internal controls on AI systems and bringing in outside analysts.
President Donald Trump is vehemently against government regulation of AI and insists that criticism that AI is dangerous is just a "hoax." 
tu/dw/md

auto

Asian carmakers besting US rivals at home, China poised to strike

BY ELODIE MAZEIN

  • "The broader market story continues to be the growing (sales), and mostly on the strength of Asian automakers," said Charlie Chesbrough, a senior economist at Cox Automotive.
  • Major US automakers have watched their domestic market share shrink even more thanks to their Asian competitors -- a situation that may worsen if Chinese firms are able to enter the US market, an idea floated by President Donald Trump.
  • "The broader market story continues to be the growing (sales), and mostly on the strength of Asian automakers," said Charlie Chesbrough, a senior economist at Cox Automotive.
Major US automakers have watched their domestic market share shrink even more thanks to their Asian competitors -- a situation that may worsen if Chinese firms are able to enter the US market, an idea floated by President Donald Trump.
"The broader market story continues to be the growing (sales), and mostly on the strength of Asian automakers," said Charlie Chesbrough, a senior economist at Cox Automotive.
The analyst said that Asian brands are expected to account for more than half of US new vehicle sales in the third quarter, for the second quarter in a row, "approaching record-high market share levels."
At the same time, Detroit's historic Big Three -- General Motors, Ford and FCA/Stellantis (which makes Chrysler, Jeep and Dodge) -- will see their market share dwindle to a bit more than 36 percent, the lowest on record.
Chesbrough says the trend is rooted in the fact that Asian companies have "significant advantages" over US firms on hybrid vehicles, which more and more consumers are embracing given the volatile price of gas due to conflict in the Middle East.
GM is still the overall leader in terms of US sales, but Japan's Toyota is quickly catching up.
GM has slipped from 17.4 percent market share in 2025 to 16.7 percent in the first nine months of this year. Toyota meanwhile went from 15.2 percent to 15.6 percent in the same period, according to Cox Automotive.
In the third quarter, GM sales fell 5.5 percent to 670,974 units, while Toyota sales rose 0.6 percent to 633,223 units.
A similar pattern emerges when comparing Ford and Hyundai-Kia, which are third and fourth, respectively. Market share and sales are down for the Dearborn, Michigan, heavyweight, and up for the South Korean group.
Cox even predicted that Ford would soon drop to fourth place, but Hyundai-Kia's sales did not advance as much as estimated, so Ford remained in the number three spot.
FCA US sits in sixth place behind Japan's Honda.
Michael Orange, head of US retail sales for FCA US, said Friday the companies were operating against "a highly competitive industry backdrop."
And the situation could get worse.

Deal, with conditions

In mid-September, Trump said he was "okay" with the idea of Chinese cars on American highways, as long as their manufacturers opened factories in the United States and hired American workers.
He made the comments before Chinese President Xi Jinping paid him a visit, his first trip to the White House in more than a decade.
Lobbyists representing carmakers, parts manufacturers and dealers reacted quickly, asking Trump to "keep the door firmly shut to Chinese automakers seeking to sell, import or manufacture vehicles inside the US."
Among those who signed the letter were the American Auto Policy Council, which represents the Big Three, and Auto Drives America, which represents carmakers from Japan, Germany and other countries with US plants. 
Peter Nagle, an expert at Mobility Global, estimated recently that Chinese makers such as BYD, Geely and SAIC could sell up to 1.7 million cars in the United States -- about 11 percent of the market -- from now until 2038, according to Bloomberg.
Importing Chinese vehicles is not strictly forbidden, but punitive customs duties and tariffs imposed by multiple governments would make it prohibitively expensive.
According to industry observers, these punitive measures allow the US to avoid a massive influx of low-cost Chinese vehicles, a fate seen in Europe, Australia, Southeast Asia and Latin America.
Last month, the Alliance for Automotive Innovation -- which includes all carmakers present in the United States -- called on congressional leaders to put in place a "permanent ban" on Chinese cars, citing high-risk hardware and software they use.
Such a ban would include sale, importation and manufacturing on US soil.
Alliance president John Bozzella justified the request by invoking national security and the need to curb what he called "China's strategy to dominate global automotive manufacturing."
He accused Chinese carmakers of "dumping subsidized vehicles with connected software and hardware... capable of collecting, processing and transmitting sensitive vehicle and consumer data to the Chinese Communist Party."
elm/sst/pnb

technology

US regulator finds Boeing 737 MAX software bug 'not a safety concern'

  • "Following a thorough review, a panel of FAA safety experts on Friday determined a software issue in certain Boeing 737 MAX flight computers is not a safety concern," the US regulatory agency said in a statement.
  • A software bug that delayed the US certification of Boeing's 737 MAX 10 aircraft does not pose a safety concern, the Federal Aviation Administration (FAA) said Friday after an investigation.
  • "Following a thorough review, a panel of FAA safety experts on Friday determined a software issue in certain Boeing 737 MAX flight computers is not a safety concern," the US regulatory agency said in a statement.
A software bug that delayed the US certification of Boeing's 737 MAX 10 aircraft does not pose a safety concern, the Federal Aviation Administration (FAA) said Friday after an investigation.
The glitch was found in a cockpit software update to the plane model and can cause an automated navigation feature to fail when planes shift their approach to landing.
"Following a thorough review, a panel of FAA safety experts on Friday determined a software issue in certain Boeing 737 MAX flight computers is not a safety concern," the US regulatory agency said in a statement.
The FAA's review board reached this conclusion about the software bug's safety "because pilots retain full control of the aircraft and the indications to the flight crew are clear and unambiguous."
"As with any situation, the FAA will consider appropriate action if it receives new information about this issue."
Boeing will also send a bulletin to airlines detailing the issue and instructing employees how to recognize and respond to the situation should it take place.
"We will continue to follow the lead of the FAA as our engineers work on the next software update," Boeing said in a statement to AFP.
The aerospace giant on Monday said it had "informed all 737 operators about a software issue where pilots may not have access to automated flight guidance during a specific landing scenario."
Boeing on Friday added that it was working to formalize a procedure with airlines that would allow pilots to restore automated flight guidance in case the glitch occurs.
Despite the FAA review, neither the regulator nor Boeing said whether the certification process for the 737 MAX 10 would be unfrozen.
The model is the last of four 737 MAX planes to receive regulator certification to enter service.
FAA Administrator Bryan Bedford said Monday at a press conference that the MAX planes certified by the FAA thus far are safe but that "we will be delaying the 10 until... we're satisfied we don't have an issue here."
elm/tu/ph/jgc/pnb

politics

G7 agrees deal to ease global energy supply concerns

BY VALERIE LEROUX WITH UMBERTO BACCHI IN BRUSSELS

  • The seven countries agreed to a coordinated release through the International Energy Agency (IEA) of 100 million barrels "to begin immediately over four months, including a frontloaded substantial diesel release within the first 20 days," the leaders said in a statement released by Macron's office.
  • G7 countries agreed Friday to release 100 million barrels of diesel and crude oil to ease global energy supply concerns, as President Donald Trump hailed the decision and said the US would not impose a threatened diesel export ban.
  • The seven countries agreed to a coordinated release through the International Energy Agency (IEA) of 100 million barrels "to begin immediately over four months, including a frontloaded substantial diesel release within the first 20 days," the leaders said in a statement released by Macron's office.
G7 countries agreed Friday to release 100 million barrels of diesel and crude oil to ease global energy supply concerns, as President Donald Trump hailed the decision and said the US would not impose a threatened diesel export ban.
The announcement came following a video conference of G7 leaders chaired by French President Emmanuel Macron after Washington stepped up pressure on Europe to release strategic reserves and threatened a diesel export ban.
The talks, convened by Macron after a conversation with Trump, focused on coordinating a response to soaring fuel prices among the other G7 economies of Britain, Canada, Germany, Italy, Japan and the United States.
The US-Israeli war with Iran has sent energy prices skyrocketing, coming back to bite Trump at home with high fuel costs that have become a key issue ahead of midterm congressional elections in a month.
Trump had floated the possibility of banning US exports of diesel, which is used in trucks and other hauling vehicles, an alarming prospect for the EU, which relies heavily on fossil fuel imports.
The seven countries agreed to a coordinated release through the International Energy Agency (IEA) of 100 million barrels "to begin immediately over four months, including a frontloaded substantial diesel release within the first 20 days," the leaders said in a statement released by Macron's office.
They also said there would be no ban on diesel exports between them.
"We reaffirm our commitment to refrain from export restrictions on energy and energy products between G7 countries and call on all producers to refrain from imposing bans that could exacerbate market tensions," the leaders said.
"Our citizens' concerns about energy prices remain a top priority."
Trump said European countries had agreed to release a "massive amount" of diesel from their reserves.
"The process will begin immediately," he posted on his Truth Social network.
"Europe has a lot of diesel and they're going to be making a major world contribution -- and so are we," Trump said later, adding "Europe did a great thing". 
"And we're not going to be doing the export ban," he said.

US pressure

Earlier the EU pushed back hard against US threats to impose a diesel export ban, something Macron also warned against during his conversation with Trump.
The flurry of diplomatic activity came a day after US Treasury Secretary Scott Bessent cranked up the pressure on European nations.
"American farmers, truckers, and businesses should not be left carrying the burden of a global diesel shortage," he said.
US Energy Secretary Chris Wright likewise held talks with his British counterpart Miatta Fahnbulleh on the crisis, including on the UK's strategic reserves.
British dairy farmer Keith Blackshaw, in the Derbyshire hamlet of Newhaven, complained of a "vicious circle" with high fuel prices being passed onto customers.
"I'd like to see Mr Trump support us a little bit more really," the 69-year-old said. "He looks after his own. Maybe we should do the same, look after our own."
The 32 members of the IEA agreed last March to unlock 400 million barrels of oil from reserves, their largest release ever. 
- 'Sanctions against Russia' - 
Earlier this week, IEA chief Fatih Birol said European nations had yet to release part of those stocks, which could happen soon. 
About a third was yet to come to market, Birol said, adding that further releases were possible since 80 percent of overall IEA stocks were "still in our pocket".
Diesel prices in the United States and Europe have hit record highs in recent weeks, with an export ban imposed by major producer Russia in response to Ukrainian attacks on fuel facilities also contributing to global market pressures. 
The G7 leaders said on Friday: "We will maintain sanctions against Russia while working with the IEA and global partners to prevent further spillovers into fuel, gas, and other commodity markets."
Energy prices surged in the eurozone in September, pushing inflation to 3.8 percent, the highest level in three years.
bur-ub-as/ach/jgc

investment

Argentina unveils passports-for-investment scheme

BY SONIA AVALOS

  • But investors are still waiting for Argentina's roller-coaster economy to "prove that what it's doing will actually be sustainable over time," economist Marcelo Elizondo told AFP. The Citizenship by Investment Program announced by the government on Friday to coincide with Argentina Week in Paris proposes two "simple and transparent mechanisms" for obtaining an Argentine passport.
  • Argentine President Javier Milei's government said Friday that the country would offer citizenship to foreigners who invest at least $350,000 in the country.
  • But investors are still waiting for Argentina's roller-coaster economy to "prove that what it's doing will actually be sustainable over time," economist Marcelo Elizondo told AFP. The Citizenship by Investment Program announced by the government on Friday to coincide with Argentina Week in Paris proposes two "simple and transparent mechanisms" for obtaining an Argentine passport.
Argentine President Javier Milei's government said Friday that the country would offer citizenship to foreigners who invest at least $350,000 in the country.
Latin America's third-largest economy lagged far behind Brazil and Mexico in the foreign direct investment stakes last year, according to the Organization for Economic Cooperation and Development (OECD).
Milei, a free-market radical, has slashed public spending, deregulated the economy and dismantled trade barriers in a bid to make Argentina more competitive and boost the Treasury's dwindling dollar reserves.
But investors are still waiting for Argentina's roller-coaster economy to "prove that what it's doing will actually be sustainable over time," economist Marcelo Elizondo told AFP.
The Citizenship by Investment Program announced by the government on Friday to coincide with Argentina Week in Paris proposes two "simple and transparent mechanisms" for obtaining an Argentine passport.
Investors can either make a "direct, non-refundable contribution of $350,000 to the National Treasury" or "subscribe to an $800,000 government bond created specifically" for the purpose.
The spouses and children of applicants can also secure citizenship, in exchange for a contribution of $100,000 to the Treasury, or $25,000 if they are under 18 years of age. 
"The resources obtained will be used to continue strengthening the fiscal and financial position of the Argentine Republic," the government said.
Writing on X, the economy ministry said that the investments would be subject to a "rigorous evaluation process (...) guaranteeing the traceability of funds, the prevention of money laundering, and national security."
But some analysts expressed doubts over what kind of investor the scheme would attract.
"It could lead to us bringing in drug traffickers, people of dubious origin who are not allowed in other countries," said economist Pablo Tigani, a frequent critic of Milei.
 

'Argentina up for sale'

 
Milei travelled to Paris this week to meet with investors at Argentina Week at the OECD.
He came away with several investment pledges, including a promise from France's TotalEnergies to plow $10 billion into oil and gas exploration in Patagonia and a commitment by Swiss mining company Glencore to spend $4 billion on a copper project.
Milei's golden passport scheme, which is slated for implementation later this year, comes days after the Supreme Court abolished limits on the purchase of rural land by foreigners.
The court on Tuesday upheld a 2023 decree by Milei repealing a 15-percent cap on foreign ownership of such land in place since 2011. 
Veterans of Argentina's 1982 war with Britain over the Falkland Islands -- known to Argentines as Las Malvinas -- had bitterly opposed the decree, accusing Milei of "putting the Republic of Argentina up for sale."
A demonstration has been called for next week to condemn the change in the law, which the opposition will seek to block in Parliament. 
According to the OECD, Argentina received $3.134 billion in foreign direct investment last year, a fraction of $76.877 billion attracted by Brazil and the $40.871 billion secured by Mexico.
sa/lm/cb/mjf

Global Edition

US jobs data boosts stocks as oil prices dip

  • Data showed that employment in the United States grew by 29,000 jobs in September, missing analysts' expectations of around 90,000, with the unemployment rate rising slightly to 4.2 percent.
  • Wall Street stocks advanced Friday after weak US jobs data lowered the odds of Federal Reserve rate hikes.
  • Data showed that employment in the United States grew by 29,000 jobs in September, missing analysts' expectations of around 90,000, with the unemployment rate rising slightly to 4.2 percent.
Wall Street stocks advanced Friday after weak US jobs data lowered the odds of Federal Reserve rate hikes.
Major US indices spent most of the day solidly in positive territory following the lackluster hiring data for September. Equities were also supported by a pullback in oil prices after G7 countries agreed to an emergency release of fuel reserves in light of the US-Iran war.
Data showed that employment in the United States grew by 29,000 jobs in September, missing analysts' expectations of around 90,000, with the unemployment rate rising slightly to 4.2 percent.
The jobs report "is lousy for the economy, but could keep the Fed from making trouble, and so the market was pretty good with it," said Chris Low of FHN Financial.
"Today's report may revive the 'bad news is good news' narrative, but hoping for a weaker labor market just to secure easier financial conditions is a poor tradeoff," said eToro analyst Bret Kenwell.
Following a positive day on European bourses, the S&P 500 finished up 0.7 percent, with 10 of 11 sectors in positive territory.
Oil prices, meanwhile, retreated as G7 leaders held a video conference chaired by French President Emmanuel Macron, while the United States stepped up pressure on Europe to release strategic reserves and threatened a diesel export ban.
The seven countries agreed to a coordinated release through the International Energy Agency of 100 million barrels "to begin immediately over four months, including a frontloaded substantial diesel release within the first 20 days," the leaders said in a statement released by Macron's office.
They also said there would be no ban on diesel exports between them.
US oil prices dropped sharply -- as much as five percent at one point, before recovering somewhat. The US benchmark finished down around two percent at $91.11 per barrel. 
International benchmark Brent crude edged down just 0.1 percent to $102.25 a barrel, with traders still focused on the prolonged US-Iran conflict.
"Diesel is now a macro problem as much as an energy one, feeding directly into freight, food, industry, inflation and ultimately bond yields," noted Stephen Innes of SPI Asset Management.
"Strategic stock releases can cool the immediate price shock, but drawing down insurance ahead of winter is hardly a comfortable signal," he added.
Elsewhere, Eurozone inflation surged to 3.8 percent in September, the highest level in three years, as the war in the Middle East fueled a jump in energy costs, official data showed Friday.
Among individual companies, Nike dropped 3.6 percent as it projected a decline in full-year sales and announced plans to cut an undetermined number of jobs while attempting to accelerate a turnaround.

Key figures at around 2020 GMT

Brent North Sea Crude: DOWN 0.1 percent at $102.25 per barrel
West Texas Intermediate: DOWN 1.9 percent at $91.11 per barrel
New York - Dow: UP 0.5 at 51,176.96 (close)
New York - S&P 500: UP 0.7 percent at 7,722.72 (close)
New York - Nasdaq Composite: UP 1.2 percent at 27,190.86 (close)
London - FTSE 100: UP 0.3 percent at 10,461.95 (close)
Paris - CAC 40: UP 0.8 percent at 7,897.19 (close)
Frankfurt - DAX: UP 1.2 percent at 25,231.65 (close)
Tokyo - Nikkei 225: DOWN 0.9 percent at 68,309.46 (close)
Hong Kong - Hang Seng Index: DOWN 2.6 percent at 23,972.29 (close)
Shanghai - Composite: Closed for a holiday
Euro/dollar: UP at $1.1256 from $1.1244 on Thursday
Pound/dollar: UP at $1.3244 from $1.3197
Dollar/yen: DOWN at 157.87 yen from 158.09 yen 
Euro/pound: DOWN at 84.99 pence from 85.20 pence 
burs-jmb/mlm

law

US Supreme Court to hear high-stakes climate case

BY ISSAM AHMED

  • The questions also bear on so-called "climate superfunds" -- laws passed by New York and Vermont that would make polluters pay for climate resilience projects.
  • The US Supreme Court hears a climate case Monday that could upend dozens of lawsuits aimed at making polluters pay for their role in global warming and allegedly deceiving the public about the dangers of fossil fuels.
  • The questions also bear on so-called "climate superfunds" -- laws passed by New York and Vermont that would make polluters pay for climate resilience projects.
The US Supreme Court hears a climate case Monday that could upend dozens of lawsuits aimed at making polluters pay for their role in global warming and allegedly deceiving the public about the dangers of fossil fuels.
Here is what to know about Suncor v Boulder. 

Accountability or regulation?

The city and county of Boulder, in the state of Colorado, sued ExxonMobil and Suncor Energy in 2018, claiming they "knowingly caused and contributed to the alteration of the climate" while "concealing and/or misrepresenting the dangers" associated with their products. 
Suncor operates a refinery in Colorado, while ExxonMobil has deep ties to the Rocky Mountain state. The plaintiffs say they have suffered losses amounting to hundreds of millions of dollars from wildfires, flooding and other weather extremes and are seeking compensation.
It is one of around 40 similar lawsuits brought by cities, states, tribes and other local jurisdictions, modeled on successful litigation against tobacco and opioid producers. 
The companies contend such suits aim to impose an enormous "carbon tax" that could "bankrupt" the energy industry -- and are essentially asking the court to make them all go away.
Corey Riday-White, managing attorney for the nonprofit Center for Climate Integrity, disputes that characterization. "Truly, this is a corporate accountability case," he told AFP, citing the recent example of Meta, which reached a major settlement over teen social media addiction.
- Reversals common at top court - 
After failing to move the case to federal court, the companies lost bids to have it dismissed in state court and again at Colorado's Supreme Court. 
President Donald Trump's administration filed a brief urging the US Supreme Court to take up the appeal, and the judges agreed.
Sam Sankar, senior vice president of programs for the legal nonprofit Earthjustice, which filed a brief in the case supporting Boulder, was not overly optimistic. 
"If you won a decision and the Supreme Court takes your case, that's not a good day for you," he told AFP.
The court is being asked to decide whether federal law -- specifically the Clean Air Act -- bars Boulder's claims, whether the US Constitution itself prohibits this kind of lawsuit, and whether the court can review the case at this stage.
- The possibilities - 
If the justices focus on the last question, "that essentially just kicks the can down the road" since the wider questions would likely be raised later, Katrina Kuh, a professor of environmental law at Pace University, told AFP.
A ruling on the federal law questions, however, would matter for many pending suits.
"It could extinguish them entirely," said Kuh. Or, the justices could narrow them -- allowing Colorado for example to apply its state law only to emissions within the state.
The questions also bear on so-called "climate superfunds" -- laws passed by New York and Vermont that would make polluters pay for climate resilience projects. New York's was struck down by a federal judge last month, and an adverse Supreme Court ruling could shut the door to it being revived on appeal.
- A wrinkle and a recusal - 
The companies argue Congress gave the Environmental Protection Agency sole authority to regulate greenhouse gas emissions through the Clean Air Act. 
But Trump's EPA in February overturned a scientific determination called the "Endangerment Finding" and said it had no such authority.
"It's certainly going to be tricky for the court to thread the needle," said Sankar, between upholding the administration's position and giving the oil companies what they seek.
Republicans in Congress are meanwhile attempting to pass an immunity shield that would also void such cases.
Ahead of the hearing, ultraconservative Justice Samuel Alito recused himself following calls from critics to step aside over his oil and gas stock holdings. 
Conservatives still hold a 5-3 majority with Alito out, but a 4-4 split is now possible -- which would leave the Colorado ruling in place and let the case proceed towards trial.
ia/mlm

investment

Argentina unveils passports-for-investment scheme

  • The Citizenship by Investment Program announced by the government proposes two "simple and transparent mechanisms" for obtaining an Argentine passport.
  • Argentine President Javier Milei's government said Friday that the country would offer citizenship to foreigners who invest at least $350,000 in the country.
  • The Citizenship by Investment Program announced by the government proposes two "simple and transparent mechanisms" for obtaining an Argentine passport.
Argentine President Javier Milei's government said Friday that the country would offer citizenship to foreigners who invest at least $350,000 in the country.
South America's second-largest economy attracted the lowest level of foreign direct investment of any major Latin American economy in 2025, according to the Organization for Economic Cooperation and Development (OECD).
The Citizenship by Investment Program announced by the government proposes two "simple and transparent mechanisms" for obtaining an Argentine passport.
Investors can either make a "direct, non-refundable contribution of $350,000 to the National Treasury" or "subscribe to an $800,000 government bond created specifically" for the purpose.
The spouses and children of applicants can also secure citizenship, in exchange for a contribution of $100,000 to the Treasury, or $25,000 if they are under 18 years of age. 
"The resources obtained will be used to continue strengthening the fiscal and financial position of the Argentine Republic," the government said.
Writing on X, the economy ministry said that the investments would be subject to a "rigorous evaluation process (...) guaranteeing the traceability of funds, the prevention of money laundering, and national security."
The program comes days after the Supreme Court abolished limits on the purchase of rural land by foreigners.
The court on Tuesday upheld a 2023 decree by Milei repealing a 15-percent cap on foreign ownership of such land in place since 2011. 
Veterans of Argentina's 1982 war with Britain over the Falkland Islands -- known to Argentines as Las Malvinas -- had bitterly opposed the decree, accusing Milei of "putting the Republic of Argentina up for sale."
A demonstration has been called for next week to condemn the change in the land ownership law, which the opposition will seek to block in Parliament. 
According to the OECD, Argentina received $3.134 billion in foreign direct investment last year, a fraction of $76.877 billion attracted by Brazil and the $40.871 billion secured by Mexico.
 
sa/lm/cb/md

earnings

Tesla shares jump after global car sales top estimates

  • A larger drop had been expected given a surge in electric vehicle sales in the US during the same quarter last year due to the expiration of a tax credit at the end of September 2025, which was eliminated under legislation backed by US President Donald Trump.
  • Tesla's stock jumped Friday after the electric car maker said its global sales dipped in the third quarter but were higher than expected.
  • A larger drop had been expected given a surge in electric vehicle sales in the US during the same quarter last year due to the expiration of a tax credit at the end of September 2025, which was eliminated under legislation backed by US President Donald Trump.
Tesla's stock jumped Friday after the electric car maker said its global sales dipped in the third quarter but were higher than expected.
Elon Musk's company sold 486,532 vehicles in the July-September quarter, two percent lower than the year-ago period but above most leading estimates.
A larger drop had been expected given a surge in electric vehicle sales in the US during the same quarter last year due to the expiration of a tax credit at the end of September 2025, which was eliminated under legislation backed by US President Donald Trump.
Tesla shares were up 5.0 percent near midday.
Friday's figures released by Tesla were global and did not break out US sales. But the surge in gasoline prices due to the US-Iran war have boosted interest in EVs.
Analysts at JPMorgan Chase had projected sales of 482,000, pointing to data from Europe in July and August showing increased sales from the year-ago level, while they projected lower sales in China and the United States.
Among other automakers, Ford said its third-quarter sales fell 6.6 percent to 509,764 vehicles.
The US automaker pointed to the planned phase-out of the Ford Escape and Lincoln Corsair as factors. The company also saw a sharp drop in EV sales following the phase-out of the tax credit.
Ford has also been impacted by a fire at a key metal supplier for its best-selling F-150 pickup truck. But overall truck sales still rose in the quarter, and Ford said it was on track for the F-150 to lead the American market for the 50th straight year.
At Stellantis, third-quarter sales came in at 324,277, nearly identical with the year-ago level. 
While sales fell for the Jeep brand, the Ram slate of pickup trucks scored increases from the year-ago level.
Analysts have described the US car market as resilient despite persistent inflation. Shoppers are still going to dealerships and purchasing cars, in some cases trading "down" to lower-cost options if they can't afford their first choice.
Cox Automotive estimated that overall third-quarter US sales would slip 0.7 percent from a year ago to 4.1 million units.
Ford's stock declined 2.2 percent while Stellantis slumped 6.6 percent. 
jmb/mjf

Amazon

Amazon vows $1 bn for data center towns, decries 'myths'

  • In March, Amazon, Google, Meta, Microsoft, OpenAI, Oracle and xAI signed a White House pledge to provide their own power for new data centers and pay for any grid upgrades they require. arp/ksb
  • Amazon on Friday pledged more than $1 billion over five years for US communities that host its data centers, the latest tech giant seeking to win over residents increasingly hostile to the AI-fueled construction boom.
  • In March, Amazon, Google, Meta, Microsoft, OpenAI, Oracle and xAI signed a White House pledge to provide their own power for new data centers and pay for any grid upgrades they require. arp/ksb
Amazon on Friday pledged more than $1 billion over five years for US communities that host its data centers, the latest tech giant seeking to win over residents increasingly hostile to the AI-fueled construction boom.
The "Built Together" program, unveiled by Amazon Web Services chief Matt Garman in a 3,000-word blog post, will fund free community college degrees and trades training as well as energy-efficiency upgrades for schools and homes.
The company also announced a "Data Center Commitment," promising that its facilities will not drive up local electricity bills and that it will publish annual figures on energy and water use.
Garman said AWS would stop using nondisclosure agreements with government agencies on its projects, a practice that has become a major flashpoint for the movement opposing data centers.
Microsoft made a similar move in March, the first major tech firm to do so.
Garman cast the buildout as a national security imperative on par with the 1950s interstate highway system.
He warned that with more than 100 local moratoriums under consideration nationwide, the United States "could be writing its own losing ticket" in the AI race and that "the consequences would last generations."
He also took aim at what he called myths about data centers, disputing as false arguments that they drive up power costs, deplete water supply and cause pollution from diesel fumes. 
Citing "widespread reports," Garman said some countries were deliberately seeding misinformation in the United States to slow construction -- an argument also made by the Trump administration.
Disinformation researchers and fact-checkers say such claims overstate the role of foreign influence campaigns in a grassroots movement that spans the political spectrum and nearly every US state.
President Donald Trump, a vocal champion of the buildout, has warned that communities rejecting the facilities would "end up being backwards and poor."
Amazon's rivals have made similar overtures. 
In January, Microsoft pledged to fully cover its data centers' power costs and stop requesting local tax breaks, and OpenAI promised that its Stargate data centers would not raise local electricity prices.
In March, Amazon, Google, Meta, Microsoft, OpenAI, Oracle and xAI signed a White House pledge to provide their own power for new data centers and pay for any grid upgrades they require.
arp/ksb