U.S. tensions with European allies… Trump told the Telegraph in an interview published today that he is considering pulling the United States out of NATO over tensions with European allies over the Iran war. NATO allies have resisted Trump’s calls to join the war and forcefully reopen the Strait of Hormuz. Italy denied U.S. warplanes permission to land in Sicily, multiple outlets reported yesterday, while Spain on Monday blocked its airspace to U.S. planes involved in the conflict. Trump also criticized France on social media yesterday, claiming it blocked planes going to Israel from its airspace.
…and their responses. Following Trump’s post, an unnamed French official told the New York Times that France had not closed its airspace to U.S. planes. United Kingdom Prime Minister Keir Starmer yesterday reiterated the country’s desire not to get “dragged into” the war and said he would seek closer ties with the EU.
Mounting war costs. Fighting in the Middle East could cost Arab countries between $120 billion and $194 billion in lost economic output, the United Nations Development Program estimated in a new report this week. That amounts to a regional GDP decline of between 3.7 and 6 percent. The calculations were made based on the first month of the war.
Indonesia’s fuel rationing. Jakarta announced a cap yesterday on how much fuel private drivers can buy per day, as well as work-from-home requirements for non-essential government employees. The measures are a response to rising energy prices. The policy takes effect today and is due to be reviewed every two months.
Japan’s long-range missiles. Japan deployed its first long-range missile—capable of reaching mainland China—at an army camp in the country’s southwest yesterday. The ability to strike enemy bases represents a departure from the traditional self-defense focus of Tokyo’s postwar security doctrine. It plans to deploy even longer range Tomahawk missiles on a destroyer ship later this year.
U.S. journalist kidnapped in Iraq. Iraq’s interior ministry and the U.S. State Department said yesterday they were working to secure the release of a U.S. journalist kidnapped in Baghdad. News site Al-Monitor identified her as Shelly Kittleson, one of their contributors. A State Department official said someone with ties to Iranian-aligned Kataib Hezbollah was believed to be involved in the kidnapping.
France-Japan rare earth cooperation. The two countries agreed to cooperate on securing rare earth supply chains today during French President Emmanuel Macron’s visit to Tokyo. As part of those efforts, they will procure raw minerals to be refined in southern France, Japanese public broadcaster NHK reported. France’s finance minister said the initiative was meant to reduce both countries’ reliance on China.
Malaysia’s sovereign wealth scandal. A Malaysian court ordered former Prime Minister Najib Razak yesterday to pay around $1.3 billion for misusing public money as part of a case related to embezzlement at the country’s sovereign wealth fund. Najib has been serving multiple concurrent jail sentences related to his activities regarding the fund.
