Latest news for 9 May 2025

UNITED STATES

Trump and Starmer unveil mini trade pact.

While the deal lowers average British tariffs on US goods from 5.1% to 1.8%, Trump’s 10% tariffs continue. The US will, however, cut US duties on British cars and steel, and the two are moderately opening up to more farm products. (Politico)

Comment: It’s interesting to see the US sticking with the 10% tariffs, presumably dangling that carrot for something bigger, like the UK ditching its digital taxes.

PAKISTAN

India and Pakistan still trading fire.

India says it’s repelled drone attacks on three bases (Pakistan denies any role), while shelling has continued along their de-facto Kashmir border. (Independent)

Comment: Yesterday we flagged the US mediation role in defusing past spats. This time around? JD Vance just told Fox News it’s “fundamentally none of our business”.

CHINA

Exports show unexpected resilience.

China’s global export values jumped a surprising 8.1% in April, despite a tariff-induced 18% drop in exports to the US. (Guardian)

Comment: Whether due to transhipment through third countries or deliveries on pre-tariff contracts, it’ll give China confidence for US talks in Switzerland this weekend.

TURKEY

X blocks arrested Istanbul mayor’s account.

Following a court order, Elon Musk-owned X has blocked Ekrem İmamoğlu’s account, weeks after Turkish authorities arrested the popular Istanbul mayor on charges that look a lot like an attempt to knee-cap a rival to the president. (X)

Comment: Things have clearly changed since Musk’s big free speech spat with Brazil. Friends in Turkey tell us this feels like a slap in the face after weeks of protests.

UNITED KINGDOM

British police foil Israel embassy attack.

They’ve arrested five Iranian nationals over alleged plans to attack Israel’s embassy in London. UK authorities haven’t said whether there’s any alleged involvement from Tehran, though Iran’s foreign minister has issued a pre-emptive denial. (BBC)

PANAMA

US security pact to stay despite protests.

The US-friendly president (José Raúl Mulino) is shrugging off recent local protests, insisting the deal won’t lead to US bases in Panama. (AP)

NIGERIA

Abuja pays off $3.4B IMF loan.

Nigeria is now off the list of those owing the IMF any Covid debt. (Bloomberg $)

Comment: President Tinubu might claim vindication, as it was his polarising decision to free-float the naira that helped put Nigeria’s finances on a more sustainable track.