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The Reserve Bank of India's (RBI) Monetary Policy Committee (MPC) on Wednesday (Aug 6) decided to keep the policy repo rate unchanged at 5.5 per cent, announced RBI Governor Sanjay Malhotra, adding that the neutral stance will continue. The decision was taken after a careful review of the latest economic and financial conditions by the MPC on the 4th, 5th, and 6th of August. “...Over the medium term, the Indian economy holds bright prospects in the changing world order, drawing on its inherent strengths…”, said Malhotra, adding that the decision to keep the Liquidity Adjustment Facility at 5.5 per cent was taken unanimously by the six MPC members.Governor Malhotra noted that the economic outlook looks positive and said, “The monsoon season is progressing well, and the upcoming festival season usually increases economic activity. Combined with supportive government and RBI policies, this situation bodes well for the Indian economy in the near term.”<h2>RBI breaks its streak</h2>By keeping the repo rate unchanged, the RBI has broken its streak. This is the first time since December 2024 that the Indian central bank has kept the rate unchanged. Previously, at RBI's June policy meeting, the MPC had reduced the repo rate by 50 basis points, bringing it to the current 5.5 per cent. At the time, the reason for the rate cut was stated as the easing of inflation.&nbsp;<h2>Retail inflation lowest in six years</h2>Retail inflation in India has continued to fall and has now reached its lowest level in over six years, reports ANI. According to the Ministry of Statistics, the year-on-year inflation rate based on the Consumer Price Index (CPI) for the month of June was 2.10 per cent (provisional). This was a drop of 72 basis points compared to May 2025. It also happens to be the lowest CPI inflation rate since January 2019. Food prices have also dropped. June's Consumer Food Price Index (CFPI) registered a year-on-year inflation rate of (-) 1.06 per cent (provisional). Meanwhile, in rural areas, the food inflation rate was (-) 0.92 per cent, and in urban areas, it was (-) 1.22 per cent. Negative wholesale inflation has also been observed. The Ministry of Commerce and Industry reported that the Wholesale Price Index (WPI) for June was (-) 0.13 per cent, a decrease from May's 0.39 per cent. The negative WPI was attributed to decreased prices in food items, mineral oils, basic metals, crude petroleum, and natural gas.&nbsp;

RBI keeps repo rate unchanged at 5.5% amid Trump tariff threat

The Reserve Bank of India's (RBI) Monetary Policy Committee (MPC) on Wednesday (Aug 6) decided to keep the policy repo rate unchanged at 5.5 per cent, announced RBI Governor Sanjay Malhotra, adding that the neutral stance will continue. The decision was taken after a careful review of the latest economic and financial conditions by the MPC on the 4th, 5th, and 6th of August. “...Over the medium term, the Indian economy holds bright prospects in the changing world order, drawing on its inherent strengths…”, said Malhotra, adding that the decision to keep the Liquidity Adjustment Facility at 5.5 per cent was taken unanimously by the six MPC members. Governor Malhotra noted that the economic outlook looks positive and said, “The monsoon season is progressing well, and the upcoming festival season usually increases economic activity. Combined with supportive government and RBI policies, this situation bodes well for the Indian economy in the near term.” RBI breaks its streak By keeping the repo rate unchanged, the RBI has broken its streak. This is the first time since December 2024 that the Indian central bank has kept the rate unchanged. Previously, at RBI's June policy meeting, the MPC had reduced the repo rate by 50 basis points, bringing it to the current 5.5 per cent. At the time, the reason for the rate cut was stated as the easing of inflation. Retail inflation lowest in six years Retail inflation in India has continued to fall and has now reached its lowest level in over six years, reports ANI. According to the Ministry of Statistics, the year-on-year inflation rate based on the Consumer Price Index (CPI) for the month of June was 2.10 per cent (provisional). This was a drop of 72 basis points compared to May 2025. It also happens to be the lowest CPI inflation rate since January 2019. Food prices have also dropped. June's Consumer Food Price Index (CFPI) registered a year-on-year inflation rate of (-) 1.06 per cent (provisional). Meanwhile, in rural areas, the food inflation rate was (-) 0.92 per cent, and in urban areas, it was (-) 1.22 per cent. Negative wholesale inflation has also been observed. The Ministry of Commerce and Industry reported that the Wholesale Price Index (WPI) for June was (-) 0.13 per cent, a decrease from May's 0.39 per cent. The negative WPI was attributed to decreased prices in food items, mineral oils, basic metals, crude petroleum, and natural gas.

RBI keeps repo rate unchanged at 5.5% amid Trump tariff threat

Over the last 25 years, trade between India and Latin America has grown nine-fold, rising from $2 billion in the year 2000 to almost $18 billion in 2025, said Raj Kumar Sharma, CEO of the Indo-Latin American Chamber of Commerce (ILACC). Speaking to WION about the potential for further expanding Indo-Latam investments, Sharma said that Latin American countries are looking to invest $2 billion in India by 2028, whereas India is likely to invest a larger sum in the region. A facilitator of bilateral trade and commerce, the ILACC is recognised by the Indian Ministry of External Affairs (MEA) and Ministry of Commerce (MOC).&nbsp;Recently, the ILACC launched its South India chapter, with a focus towards facilitating deeper engagement between Latin America and the Southern Indian States. The conclave witnessed the participation of entrepreneurs, industry leaders, trade envoys, and ambassadors from Latin American nations, including Peru, Cuba, El Salvador, Venezuela, Uruguay, Chile, and Argentina.&nbsp;The event featured high-level discussions, business partnership sessions, and panel dialogues aimed at enhancing trade, diplomacy and forging partnerships in sectors such as agriculture, energy, technology, healthcare, education, pharmaceuticals, and infrastructure.&nbsp;&nbsp;Addressing the event, officials emphasized on the need to move from North-South corridors and to focus on Global South connectivity. Among the prospective corridors discussed were Chennai-Caracas, Bengaluru-Buenos Aires, Mumbai-Lima. Representatives from Latin American nations said that India’s vast energy requirements could be supported by oil and natural gas and renewable energy solutions from the Latam region.&nbsp;Listing out the areas of potential cooperation, it was said that India could work with Cuba on pharma and biotechnology to develop affordable drugs for global south, Uruguay’s forward-looking policies and strategic location could prove attractive for Indian investments, Argentina can contribute in terms of mining and renewable energy, Peru welcomes partnership in the textile and agriculture sectors, El Salvador in digital transformation technologies, and Honduras in textiles and sustainable development.&nbsp;ILACC highlighted that 1.6% of overall Indian imports come from Latin America, whereas India contributed to 2% of overall imports by Latin America. Pharma, agro, chemicals, EV industries, engineering goods, automobiles, and automobile parts are among the major areas where there is potential for India to export to Latam region, industry estimates say. Further, in the high-tech areas, India can also contribute in space tech, biotech, and fintech.

Latin American countries are looking to invest $2 billion in India by 2028, whereas India is likely to invest a larger sum in the region, said the CEO of the Indo-Latin American Chamber of Commerce (ILACC), a facilitator of bilateral trade and commerce.

Over the last 25 years, trade between India and Latin America has grown nine-fold, rising from $2 billion in the year 2000 to almost $18 billion in 2025, said Raj Kumar Sharma, CEO of the Indo-Latin American Chamber of Commerce (ILACC). Speaking to WION about the potential for further expanding Indo-Latam investments, Sharma said that Latin American countries are looking to invest $2 billion in India by 2028, whereas India is likely to invest a larger sum in the region. A facilitator of bilateral trade and commerce, the ILACC is recognised by the Indian Ministry of External Affairs (MEA) and Ministry of Commerce (MOC). Recently, the ILACC launched its South India chapter, with a focus towards facilitating deeper engagement between Latin America and the Southern Indian States. The conclave witnessed the participation of entrepreneurs, industry leaders, trade envoys, and ambassadors from Latin American nations, including Peru, Cuba, El Salvador, Venezuela, Uruguay, Chile, and Argentina. The event featured high-level discussions, business partnership sessions, and panel dialogues aimed at enhancing trade, diplomacy and forging partnerships in sectors such as agriculture, energy, technology, healthcare, education, pharmaceuticals, and infrastructure. Addressing the event, officials emphasized on the need to move from North-South corridors and to focus on Global South connectivity. Among the prospective corridors discussed were Chennai-Caracas, Bengaluru-Buenos Aires, Mumbai-Lima. Representatives from Latin American nations said that India’s vast energy requirements could be supported by oil and natural gas and renewable energy solutions from the Latam region. Listing out the areas of potential cooperation, it was said that India could work with Cuba on pharma and biotechnology to develop affordable drugs for global south, Uruguay’s forward-looking policies and strategic location could prove attractive for Indian investments, Argentina can contribute in terms of mining and renewable energy, Peru welcomes partnership in the textile and agriculture sectors, El Salvador in digital transformation technologies, and Honduras in textiles and sustainable development. ILACC highlighted that 1.6% of overall Indian imports come from Latin America, whereas India contributed to 2% of overall imports by Latin America. Pharma, agro, chemicals, EV industries, engineering goods, automobiles, and automobile parts are among the major areas where there is potential for India to export to Latam region, industry estimates say. Further, in the high-tech areas, India can also contribute in space tech, biotech, and fintech.

Latin American countries are looking to invest $2 billion in India by 2028, whereas India is likely to invest a larger sum in the region, said the CEO of the Indo-Latin American Chamber of Commerce (ILACC), a facilitator of bilateral trade and commerce.

India-Latin America trade grew 9-fold in 25 years: Industry body

Global mergers and acquisitions (M&amp;A) have reached $2.6 trillion in value in the first seven months of 2025, marking the highest total since the pandemic-era surge in 2021. Despite a 16 per cent drop in the number of transactions compared to the same period last year, the overall value of deals has risen by 28 per cent, according to Dealogic data. The sharp increase in deal value is largely driven by large-scale “megadeals”, particularly in the United States, where deals exceeding $10 billion have been prominent. Key transactions fuelling this growth include Union Pacific Corp's proposed $85 billion acquisition of rival Norfolk Southern and OpenAI’s $40 billion funding round, led by SoftBank Group. These deals have helped offset the effects of previous geopolitical uncertainties, including US tariffs, and have given a significant boost to global dealmaking.<h2>Shift towards growth-oriented deals amid political uncertainty</h2>The sharp rise in M&amp;A activity this year follows a period of uncertainty triggered by US President Donald Trump’s tariffs and the broader geopolitical climate. Companies initially held back from dealmaking as they navigated the turbulence created by these factors. However, as market conditions have stabilised and renewed confidence has returned to corporate boardrooms, deal rationale has shifted from defensive to growth-oriented.While the pace of dealmaking is still below the historic highs of 2021, when pandemic-related rebounds led to a record-breaking $3.57 trillion in global deal value, the current surge signals renewed optimism. Despite a nearly $1 trillion gap compared to 2021’s record, financial industry insiders, including dealmakers at JPMorgan, believe that more large deals are on the horizon as executives adapt to ongoing market volatility.<h2>AI and technology set to drive continued M&amp;A activity</h2>Technology and artificial intelligence (AI) are expected to remain key drivers of M&amp;A activity in the second half of 2025. The increasing demand for AI solutions has led to a surge in deals within the computer, electronics, and data centre sectors. A notable example includes Samsung’s $1.7 billion acquisition of FlaktGroup, a German data centre cooling specialist, highlighting the importance of infrastructure that supports AI-driven data needs.Cybersecurity has also been a significant focus, with Palo Alto Networks’ $25 billion deal to acquire Israeli cybersecurity company CyberArk, marking the largest deal in the Europe, Middle East, and Africa (EMEA) region this year. The growing threats posed by AI-driven cyberattacks are pushing companies to bolster their defence strategies, further fuelling the demand for M&amp;A in this space.Private equity has also re-entered the scene, which had previously been sidelined during the early stages of the pandemic. For instance, Sycamore Partners made a $10 billion offer to take Walgreens Boots Alliance private, while private equity firms KKR and Advent made competing offers for UK-based scientific instrument maker Spectris.<h2>US dominates M&amp;A market as Asia Pacific overtakes EMEA</h2>The US remains the largest market for M&amp;A, accounting for more than half of the global deal activity. However, Asia Pacific has shown remarkable growth, with dealmaking doubling compared to the same period last year, surpassing the EMEA region in the process. This trend underscores the increasingly dynamic role that Asia-Pacific economies are playing in global M&amp;A.Despite the challenges posed by ongoing uncertainty, the global M&amp;A landscape remains resilient, with many companies focused on securing growth opportunities, particularly in the technology and AI sectors. As the year progresses, dealmakers expect further large-scale transactions, especially as businesses continue to adjust to the evolving global economic environment.&nbsp;(With inputs from agencies)

The sharp increase in deal value is largely driven by large-scale megadeals, particularly in the US, where deals exceeding $10 billion have been prominent. These megadeals have helped offset the effects of previous geopolitical uncertainties and have given a boost to global dealmaking.

Global mergers and acquisitions (M&A) have reached $2.6 trillion in value in the first seven months of 2025, marking the highest total since the pandemic-era surge in 2021. Despite a 16 per cent drop in the number of transactions compared to the same period last year, the overall value of deals has risen by 28 per cent, according to Dealogic data. The sharp increase in deal value is largely driven by large-scale “megadeals”, particularly in the United States, where deals exceeding $10 billion have been prominent. Key transactions fuelling this growth include Union Pacific Corp's proposed $85 billion acquisition of rival Norfolk Southern and OpenAI’s $40 billion funding round, led by SoftBank Group. These deals have helped offset the effects of previous geopolitical uncertainties, including US tariffs, and have given a significant boost to global dealmaking. Shift towards growth-oriented deals amid political uncertainty The sharp rise in M&A activity this year follows a period of uncertainty triggered by US President Donald Trump’s tariffs and the broader geopolitical climate. Companies initially held back from dealmaking as they navigated the turbulence created by these factors. However, as market conditions have stabilised and renewed confidence has returned to corporate boardrooms, deal rationale has shifted from defensive to growth-oriented. While the pace of dealmaking is still below the historic highs of 2021, when pandemic-related rebounds led to a record-breaking $3.57 trillion in global deal value, the current surge signals renewed optimism. Despite a nearly $1 trillion gap compared to 2021’s record, financial industry insiders, including dealmakers at JPMorgan, believe that more large deals are on the horizon as executives adapt to ongoing market volatility. AI and technology set to drive continued M&A activity Technology and artificial intelligence (AI) are expected to remain key drivers of M&A activity in the second half of 2025. The increasing demand for AI solutions has led to a surge in deals within the computer, electronics, and data centre sectors. A notable example includes Samsung’s $1.7 billion acquisition of FlaktGroup, a German data centre cooling specialist, highlighting the importance of infrastructure that supports AI-driven data needs. Cybersecurity has also been a significant focus, with Palo Alto Networks’ $25 billion deal to acquire Israeli cybersecurity company CyberArk, marking the largest deal in the Europe, Middle East, and Africa (EMEA) region this year. The growing threats posed by AI-driven cyberattacks are pushing companies to bolster their defence strategies, further fuelling the demand for M&A in this space. Private equity has also re-entered the scene, which had previously been sidelined during the early stages of the pandemic. For instance, Sycamore Partners made a $10 billion offer to take Walgreens Boots Alliance private, while private equity firms KKR and Advent made competing offers for UK-based scientific instrument maker Spectris. US dominates M&A market as Asia Pacific overtakes EMEA The US remains the largest market for M&A, accounting for more than half of the global deal activity. However, Asia Pacific has shown remarkable growth, with dealmaking doubling compared to the same period last year, surpassing the EMEA region in the process. This trend underscores the increasingly dynamic role that Asia-Pacific economies are playing in global M&A. Despite the challenges posed by ongoing uncertainty, the global M&A landscape remains resilient, with many companies focused on securing growth opportunities, particularly in the technology and AI sectors. As the year progresses, dealmakers expect further large-scale transactions, especially as businesses continue to adjust to the evolving global economic environment. (With inputs from agencies)

The sharp increase in deal value is largely driven by large-scale megadeals, particularly in the US, where deals exceeding $10 billion have been prominent. These megadeals have helped offset the effects of previous geopolitical uncertainties and have given a boost to global dealmaking.

Global dealmaking hits $2.6 trillion in 2025, boosted by AI and growth-focused M&A activity

The European Union announced on Monday that it will suspend its planned countermeasures against US tariffs for six months. This move follows a tariff deal struck between EU Commission President Ursula von der Leyen and US President Donald Trump on July 27, aiming to ease trade tensions between the two major economic blocs. The countermeasures, which were set to take effect on August 7, targeted around €93 billion worth of US goods, including soybeans, aircraft, and bourbon whiskey. “The Commission will take the necessary steps to suspend for six months the EU’s countermeasures against the US,” an EU spokesperson said, highlighting the ongoing negotiations to finalise a Joint Statement. The pause on the retaliatory tariffs is expected to come into effect by August 5.<h2>Progress, but issues remain</h2>While the suspension marks a positive step in restoring trade stability between the EU and the US, the dispute is far from over. Several critical issues remain unresolved, including the exclusion of the EU automotive industry from tariff relief, which continues to face 25 per cent tariffs. Additionally, the US Executive Order announced on July 31 does not provide relief for certain strategic sectors, such as aircraft manufacturing.The EU’s move to delay its countermeasures represents a significant concession from one of the US’s largest trading partners. Under the deal, the US agreed to reduce its tariff rate to 15 per cent on most European goods. However, the EU has expressed concerns over the specifics of the deal, particularly the lack of clarity on investment commitments. The US also committed to buying $750 billion worth of energy from the EU, but it remains unclear how this will be executed.<h2>Uncertainty surrounds future negotiations</h2>As the EU and US continue their discussions, the trade deal remains politically significant but legally non-binding. The deal paves the way for further negotiations, with the EU expected to continue pushing for tariff exemptions and other trade reliefs for critical sectors. This development comes as President Trump’s trade agenda faces renewed scrutiny, with the new tariffs on more than 60 countries set to begin on August 7, marking another major chapter in the global trade landscape.

The EU’s move to delay its countermeasures represents a significant concession from one of the US’s largest trading partners. Under the deal, the US agreed to reduce its tariff rate to 15 per cent on most European goods.

The European Union announced on Monday that it will suspend its planned countermeasures against US tariffs for six months. This move follows a tariff deal struck between EU Commission President Ursula von der Leyen and US President Donald Trump on July 27, aiming to ease trade tensions between the two major economic blocs. The countermeasures, which were set to take effect on August 7, targeted around €93 billion worth of US goods, including soybeans, aircraft, and bourbon whiskey. “The Commission will take the necessary steps to suspend for six months the EU’s countermeasures against the US,” an EU spokesperson said, highlighting the ongoing negotiations to finalise a Joint Statement. The pause on the retaliatory tariffs is expected to come into effect by August 5. Progress, but issues remain While the suspension marks a positive step in restoring trade stability between the EU and the US, the dispute is far from over. Several critical issues remain unresolved, including the exclusion of the EU automotive industry from tariff relief, which continues to face 25 per cent tariffs. Additionally, the US Executive Order announced on July 31 does not provide relief for certain strategic sectors, such as aircraft manufacturing. The EU’s move to delay its countermeasures represents a significant concession from one of the US’s largest trading partners. Under the deal, the US agreed to reduce its tariff rate to 15 per cent on most European goods. However, the EU has expressed concerns over the specifics of the deal, particularly the lack of clarity on investment commitments. The US also committed to buying $750 billion worth of energy from the EU, but it remains unclear how this will be executed. Uncertainty surrounds future negotiations As the EU and US continue their discussions, the trade deal remains politically significant but legally non-binding. The deal paves the way for further negotiations, with the EU expected to continue pushing for tariff exemptions and other trade reliefs for critical sectors. This development comes as President Trump’s trade agenda faces renewed scrutiny, with the new tariffs on more than 60 countries set to begin on August 7, marking another major chapter in the global trade landscape.

The EU’s move to delay its countermeasures represents a significant concession from one of the US’s largest trading partners. Under the deal, the US agreed to reduce its tariff rate to 15 per cent on most European goods.

EU suspends tariff retaliation for six months in response to US agreement

Google has signed agreements with two major US electric utilities, Indiana Michigan Power (I&amp;M) and Tennessee Power Authority (TVA), to reduce its AI data centre power consumption during periods of high energy demand. This partnership is part of Google’s broader strategy to address sustainability concerns while continuing its aggressive expansion in AI technologies, which are known for their significant energy consumption. Under the terms of the agreements, Google will scale back its machine learning workloads at data centres when requested by the utilities, helping to free up capacity on the grid. This approach is known as “demand response”, a strategy typically used by energy-intensive industries like manufacturing or cryptocurrency mining. In exchange, businesses involved in such programmes often receive incentives like reduced electricity costs or payments.<h2>Managing AI’s growing energy demands</h2>AI technologies, particularly machine learning models, consume substantial amounts of energy, sometimes tens or hundreds of megawatts over extended periods. This intense demand has raised concerns as it strains power grids already facing supply constraints. With data centres accounting for a significant portion of Google’s energy use, the company’s commitment to energy flexibility could play a key role in stabilising grid capacity during peak periods.The collaboration with I&amp;M and TVA marks the first formal demand-response agreements Google has entered into specifically for its AI workloads. Google aims to integrate flexibility into its energy usage, enabling faster deployment of new data centres while reducing the need for new power plants and transmission infrastructure. “This will help grid operators manage power use more efficiently,” the company said in a blog post.<h2>Balancing sustainability with growth</h2>While Google’s approach to curtailing non-essential AI workloads during high demand offers a solution for grid stability, the company is also pursuing alternative energy sources such as wind, solar, and nuclear power to further reduce its environmental footprint. Google’s sustainability efforts also include plans for small modular reactors, underscoring the company’s drive to find innovative ways to power its data centres sustainably.These partnerships come as Google continues to tackle the challenge of balancing rapid AI growth with environmental responsibility. Despite reducing its data centre energy emissions by 12 per cent in 2024, Google acknowledges that much more needs to be done to curb the carbon footprint of its expanding AI infrastructure.&nbsp;(With inputs from agencies)

AI technologies, particularly machine learning models, consume substantial amounts of energy, sometimes tens or hundreds of megawatts over extended periods. This intense demand has raised concerns as it strains power grids already facing supply constraints.

Google has signed agreements with two major US electric utilities, Indiana Michigan Power (I&M) and Tennessee Power Authority (TVA), to reduce its AI data centre power consumption during periods of high energy demand. This partnership is part of Google’s broader strategy to address sustainability concerns while continuing its aggressive expansion in AI technologies, which are known for their significant energy consumption. Under the terms of the agreements, Google will scale back its machine learning workloads at data centres when requested by the utilities, helping to free up capacity on the grid. This approach is known as “demand response”, a strategy typically used by energy-intensive industries like manufacturing or cryptocurrency mining. In exchange, businesses involved in such programmes often receive incentives like reduced electricity costs or payments. Managing AI’s growing energy demands AI technologies, particularly machine learning models, consume substantial amounts of energy, sometimes tens or hundreds of megawatts over extended periods. This intense demand has raised concerns as it strains power grids already facing supply constraints. With data centres accounting for a significant portion of Google’s energy use, the company’s commitment to energy flexibility could play a key role in stabilising grid capacity during peak periods. The collaboration with I&M and TVA marks the first formal demand-response agreements Google has entered into specifically for its AI workloads. Google aims to integrate flexibility into its energy usage, enabling faster deployment of new data centres while reducing the need for new power plants and transmission infrastructure. “This will help grid operators manage power use more efficiently,” the company said in a blog post. Balancing sustainability with growth While Google’s approach to curtailing non-essential AI workloads during high demand offers a solution for grid stability, the company is also pursuing alternative energy sources such as wind, solar, and nuclear power to further reduce its environmental footprint. Google’s sustainability efforts also include plans for small modular reactors, underscoring the company’s drive to find innovative ways to power its data centres sustainably. These partnerships come as Google continues to tackle the challenge of balancing rapid AI growth with environmental responsibility. Despite reducing its data centre energy emissions by 12 per cent in 2024, Google acknowledges that much more needs to be done to curb the carbon footprint of its expanding AI infrastructure. (With inputs from agencies)

AI technologies, particularly machine learning models, consume substantial amounts of energy, sometimes tens or hundreds of megawatts over extended periods. This intense demand has raised concerns as it strains power grids already facing supply constraints.

Google partners with US utilities to reduce AI data centre power use

India is being attacked by US President Donald Trump over its energy and defence trade with Russia, alleging it's fuelling Moscow's war with Ukraine. But Trump is hiding more than what he reveals. Many Western nations, including NATO members and the US, continue to trade in Russian energy—directly or indirectly—using exemptions, loopholes and round-tripping. The overview below focuses solely on oil and gas trade, and even that is shocking.<h2>Western nations, including NATO members, continue to import Russian energy</h2>If you're too busy to read the whole thing, here's a snapshot: As recently as June, the European Union was the largest buyer of Russian Liquified Natural Gas (LNG), purchasing 51 per cent of Russia's LNG exports. The EU also bought 37 per cent of piped natural gas (PNG), while NATO member Turkiye bought 27 per cent. Turkiye is, in fact, the largest buyer of Russian oil products, accounting for 26 per cent of exports.Five top EU importers of Russian fossil fuels paid Russia a total of 1.2 billion euros. Crucially, over 72 per cent of these imports were in natural gas, which the EU has not sanctioned. May be because this gas is essential for heating European homes during cold months.Belgium, host of the EU headquarters, was the second-largest importer in June, spending 300 million euros on LNG alone—a 12 per cent increase from May. France followed, importing 232 million euros worth of Russian LNG.Then, there’s the indirect trade. In June, more than half of Russian seaborne oil exports were transported on G7+ tankers, up from 36 per cent in January to 56 per cent. This shows Western logistical involvement in sustaining Russian exports.&nbsp;<a href="https://www.wionews.com/videos/trump-vs-india-us-president-s-aide-makes-shocking-claim-india-funding-russia-war-1754293436745/embed">https://www.wionews.com/videos/trump-vs-india-us-president-s-aide-makes-shocking-claim-india-funding-russia-war-1754293436745/embed</a><h2>US still imports enriched uranium from Russia</h2>According to Rosatom Director General Alexey Likhachev, the US continues to import enriched uranium from Russia because it’s economically sensible. In 2023, Russia supplied 27 per cent of enriched uranium used by US nuclear operators—more than any other foreign supplier, he said in May this year.This trade continues despite the US passing the Prohibiting Russian Uranium Imports Act in 2024, banning the imports from 2028 to 2040. Interestingly, waivers to this law till 2028 allow the trade to legally continue. Likhachev even claimed that ongoing discussions with the Trump administration were happening on uranium cooperation.<h2>Shocking details of Russia's energy trade with Western nations in spite of sanctions, Ukraine war</h2>The Centre for Research on Energy and Clean Air (CREA) exposed how energy trade with Russia persists through loopholes, exemptions, and re-routed supply chains. Here is a breakdown:<h3>European Union is still among top buyers</h3>The EU continues to lead in Russian LNG imports (51 per cent) and pipeline gas (37 per cent). Neither is sanctioned, which allows legal trade.Seaborne oil and oil products continue entering Europe, despite formal bans. Crude oil flows to Hungary and Slovakia via the southern Druzhba pipeline under EU exemptions. Refined oil from Slovakia is possibly re-exported to other EU nations.Hungary is the largest fossil fuel importer among EU countries, valued by CREA at 356 million euros in June, including 165 mn in crude oil and €191 mn in pipeline gas. Slovakia imported 178 mn euros in crude oil and has been refining and re-exporting Russian crude to Czechia, till recent restrictions kicked in. Netherlands bought 99 million euros worth of Russian LNG.<h2>Many importers from Russia are NATO members</h2>NATO countries like Belgium, France, Hungary, Slovakia, The Netherlands and Turkiye are among the largest importers of Russian energy.Hungary and Slovakia exploit legal exemptions to refine and re-export Russian crude. G7+ tankers, &nbsp;many from NATO nations, transport Russian seaborne oil, with 41 per cent of crude oil and 80 per cent of oil products moved by Western-owned or insured ships.<h2>Turkiye: The middleman playing both sides amid NATO - Russia tussle</h2>Turkiye was the third-largest importer of Russian fossil fuels in June this year, worth 2.3 billion euros. This included 1 billion in oil products (44 per cent of its total imports), as well as LNG and other fuels. Its Port of Ceyhan saw a 33 per cent increase in refined oil product imports, 88 per cent of which were Russian. Some of this are likely re-exported to the EU.<h2>Greece and Spain facilitate indirect trade</h2>Greek-owned tankers and G7+ maritime fleets play a significant role in shipping Russian oil, which is indirect complicity in the trade. According to CREA, EU waters saw Russian oil worth 218 million per day being moved through ship-to-ship (STS) operations in June, out of which 87 per cent used G7+ vessels.&nbsp;<h2>Shadow fleets and maritime loopholes</h2>A ‘shadow’ fleet of old, poorly insured tankers are still handling some Russian exports. Many transit EU waters under limited enforcement, using so-called "flags of convenience." G7+ vessels are increasingly conducting such STS operations to avoid scrutiny.<h2>So, it's not just India that prioritises economic interests</h2>It’s clear that India is not alone in prioritising energy security over geopolitical rhetoric. Unlike others, India is unapologetic about buying Russian oil. Western and NATO countries continue their robust energy trade with Russia, either through legal exemptions or indirect methods like refining and maritime rerouting, as explained above.Countries such as Hungary, Slovakia, Belgium, and France remain key players in this trade despite their public posturing. G7+ tankers and facilities enable Russian fossil fuel trade, while the US quietly continues its uranium imports.Western nations are doing exactly what they criticise others for—prioritising their own interests. In short, energy security trumps geopolitics. Trump can’t trump that. &nbsp;

If you're too busy to read the whole thing, here's a snapshot: As recently as June, the European Union was the largest buyer of Russian Liquified Natural Gas, buying up 51 per cent of Russia's LNG exports. The EU also bought 37 per cent of piped natural gas

India is being attacked by US President Donald Trump over its energy and defence trade with Russia, alleging it's fuelling Moscow's war with Ukraine. But Trump is hiding more than what he reveals. Many Western nations, including NATO members and the US, continue to trade in Russian energy—directly or indirectly—using exemptions, loopholes and round-tripping. The overview below focuses solely on oil and gas trade, and even that is shocking. Western nations, including NATO members, continue to import Russian energy If you're too busy to read the whole thing, here's a snapshot: As recently as June, the European Union was the largest buyer of Russian Liquified Natural Gas (LNG), purchasing 51 per cent of Russia's LNG exports. The EU also bought 37 per cent of piped natural gas (PNG), while NATO member Turkiye bought 27 per cent. Turkiye is, in fact, the largest buyer of Russian oil products, accounting for 26 per cent of exports. Five top EU importers of Russian fossil fuels paid Russia a total of 1.2 billion euros. Crucially, over 72 per cent of these imports were in natural gas, which the EU has not sanctioned. May be because this gas is essential for heating European homes during cold months. Belgium, host of the EU headquarters, was the second-largest importer in June, spending 300 million euros on LNG alone—a 12 per cent increase from May. France followed, importing 232 million euros worth of Russian LNG. Then, there’s the indirect trade. In June, more than half of Russian seaborne oil exports were transported on G7+ tankers, up from 36 per cent in January to 56 per cent. This shows Western logistical involvement in sustaining Russian exports. https://www.wionews.com/videos/trump-vs-india-us-president-s-aide-makes-shocking-claim-india-funding-russia-war-1754293436745/embed US still imports enriched uranium from Russia According to Rosatom Director General Alexey Likhachev, the US continues to import enriched uranium from Russia because it’s economically sensible. In 2023, Russia supplied 27 per cent of enriched uranium used by US nuclear operators—more than any other foreign supplier, he said in May this year. This trade continues despite the US passing the Prohibiting Russian Uranium Imports Act in 2024, banning the imports from 2028 to 2040. Interestingly, waivers to this law till 2028 allow the trade to legally continue. Likhachev even claimed that ongoing discussions with the Trump administration were happening on uranium cooperation. Shocking details of Russia's energy trade with Western nations in spite of sanctions, Ukraine war The Centre for Research on Energy and Clean Air (CREA) exposed how energy trade with Russia persists through loopholes, exemptions, and re-routed supply chains. Here is a breakdown: European Union is still among top buyers The EU continues to lead in Russian LNG imports (51 per cent) and pipeline gas (37 per cent). Neither is sanctioned, which allows legal trade. Seaborne oil and oil products continue entering Europe, despite formal bans. Crude oil flows to Hungary and Slovakia via the southern Druzhba pipeline under EU exemptions. Refined oil from Slovakia is possibly re-exported to other EU nations. Hungary is the largest fossil fuel importer among EU countries, valued by CREA at 356 million euros in June, including 165 mn in crude oil and €191 mn in pipeline gas. Slovakia imported 178 mn euros in crude oil and has been refining and re-exporting Russian crude to Czechia, till recent restrictions kicked in. Netherlands bought 99 million euros worth of Russian LNG. Many importers from Russia are NATO members NATO countries like Belgium, France, Hungary, Slovakia, The Netherlands and Turkiye are among the largest importers of Russian energy. Hungary and Slovakia exploit legal exemptions to refine and re-export Russian crude. G7+ tankers, many from NATO nations, transport Russian seaborne oil, with 41 per cent of crude oil and 80 per cent of oil products moved by Western-owned or insured ships. Turkiye: The middleman playing both sides amid NATO - Russia tussle Turkiye was the third-largest importer of Russian fossil fuels in June this year, worth 2.3 billion euros. This included 1 billion in oil products (44 per cent of its total imports), as well as LNG and other fuels. Its Port of Ceyhan saw a 33 per cent increase in refined oil product imports, 88 per cent of which were Russian. Some of this are likely re-exported to the EU. Greece and Spain facilitate indirect trade Greek-owned tankers and G7+ maritime fleets play a significant role in shipping Russian oil, which is indirect complicity in the trade. According to CREA, EU waters saw Russian oil worth 218 million per day being moved through ship-to-ship (STS) operations in June, out of which 87 per cent used G7+ vessels. Shadow fleets and maritime loopholes A ‘shadow’ fleet of old, poorly insured tankers are still handling some Russian exports. Many transit EU waters under limited enforcement, using so-called "flags of convenience." G7+ vessels are increasingly conducting such STS operations to avoid scrutiny. So, it's not just India that prioritises economic interests It’s clear that India is not alone in prioritising energy security over geopolitical rhetoric. Unlike others, India is unapologetic about buying Russian oil. Western and NATO countries continue their robust energy trade with Russia, either through legal exemptions or indirect methods like refining and maritime rerouting, as explained above. Countries such as Hungary, Slovakia, Belgium, and France remain key players in this trade despite their public posturing. G7+ tankers and facilities enable Russian fossil fuel trade, while the US quietly continues its uranium imports. Western nations are doing exactly what they criticise others for—prioritising their own interests. In short, energy security trumps geopolitics. Trump can’t trump that.

If you're too busy to read the whole thing, here's a snapshot: As recently as June, the European Union was the largest buyer of Russian Liquified Natural Gas, buying up 51 per cent of Russia's LNG exports. The EU also bought 37 per cent of piped natural gas

Bad if we do it, good if you do? US, West's Russia energy trade HYPOCRISY EXPOSED as Trump browbeats India with tariffs, fines

&nbsp;China’s services sector showed a significant rebound in July, expanding at its fastest pace in 14 months, driven by a combination of domestic and foreign demand, according to the latest private-sector data. The S&amp;P Global China General Services PMI rose to 52.6 in July, up from 50.6 in June, marking the highest reading since May of the previous year. The PMI reading above 50 indicates expansion, while anything below suggests contraction. The strong performance in July contrasts with China's official services PMI, which edged down to 50.0 from 50.1 in June, signalling stagnation. However, the S&amp;P Global survey, which is regarded as a more accurate gauge of trends for smaller, export-focused companies, particularly along the East Coast, paints a more optimistic picture.<h2>Domestic stimulus and strong export orders drive growth</h2>The rise in services activity was notably supported by a surge in new business, especially in export orders. This marks the first increase in the export orders sub-index in three months, signalling that global trade conditions may be stabilising despite ongoing trade tensions. The demand for services, including tourism and food delivery, has been robust, boosted by consumer-orientated stimulus measures from Beijing. In addition to the surge in new business, employment in the services sector also rose at its fastest pace since July 2024, driven by an uptick in workload and improved business confidence. Service providers had reduced staffing levels earlier in the year but now appear to be increasing hiring in response to stronger demand.<h2>Inflationary pressures and rising costs for service providers</h2>While the services sector showed resilience, the rising costs for raw materials, fuel, and labour were a concern for many businesses. As a result, service providers were forced to raise their selling prices for the first time in six months. This, in turn, resulted in slower accumulation of backlogged work, a sign of improving efficiency as demand outpaced supply. Despite positive growth in services, concerns about China’s broader economic outlook persist. The country’s manufacturing sector has struggled, with weak demand weighing heavily on factory output.&nbsp;As a result, overall business confidence remains fragile, with a cautious outlook for the second half of the year due to potential slowdowns in exports and consumer sentiment. China’s economic recovery in the services sector has remained one of the bright spots, with strong consumer demand helping maintain positive momentum. However, the outlook for manufacturing and broader business activity will depend heavily on both domestic policy responses and external trade conditions.&nbsp;(With inputs from agencies)

The rise in services activity was notably supported by a surge in new business, especially in export orders. This marks the first increase in the export orders sub-index in three months, signalling that global trade conditions may be stabilising despite ongoing trade tensions. 

China’s services sector showed a significant rebound in July, expanding at its fastest pace in 14 months, driven by a combination of domestic and foreign demand, according to the latest private-sector data. The S&P Global China General Services PMI rose to 52.6 in July, up from 50.6 in June, marking the highest reading since May of the previous year. The PMI reading above 50 indicates expansion, while anything below suggests contraction. The strong performance in July contrasts with China's official services PMI, which edged down to 50.0 from 50.1 in June, signalling stagnation. However, the S&P Global survey, which is regarded as a more accurate gauge of trends for smaller, export-focused companies, particularly along the East Coast, paints a more optimistic picture. Domestic stimulus and strong export orders drive growth The rise in services activity was notably supported by a surge in new business, especially in export orders. This marks the first increase in the export orders sub-index in three months, signalling that global trade conditions may be stabilising despite ongoing trade tensions. The demand for services, including tourism and food delivery, has been robust, boosted by consumer-orientated stimulus measures from Beijing. In addition to the surge in new business, employment in the services sector also rose at its fastest pace since July 2024, driven by an uptick in workload and improved business confidence. Service providers had reduced staffing levels earlier in the year but now appear to be increasing hiring in response to stronger demand. Inflationary pressures and rising costs for service providers While the services sector showed resilience, the rising costs for raw materials, fuel, and labour were a concern for many businesses. As a result, service providers were forced to raise their selling prices for the first time in six months. This, in turn, resulted in slower accumulation of backlogged work, a sign of improving efficiency as demand outpaced supply. Despite positive growth in services, concerns about China’s broader economic outlook persist. The country’s manufacturing sector has struggled, with weak demand weighing heavily on factory output. As a result, overall business confidence remains fragile, with a cautious outlook for the second half of the year due to potential slowdowns in exports and consumer sentiment. China’s economic recovery in the services sector has remained one of the bright spots, with strong consumer demand helping maintain positive momentum. However, the outlook for manufacturing and broader business activity will depend heavily on both domestic policy responses and external trade conditions. (With inputs from agencies)

The rise in services activity was notably supported by a surge in new business, especially in export orders. This marks the first increase in the export orders sub-index in three months, signalling that global trade conditions may be stabilising despite ongoing trade tensions.&nbsp;

China’s services sector expands at fastest pace in 14 months

Japan's Mitsubishi Heavy Industries has secured its largest defence contract since World War II. The deal includes the supply of 11 Mogami-class frigates worth $6billion (A$10 billion) over the next decade. Australian Defence Ministry chose Mitsubishi over Germany’s ThyssenKrupp Marine Systems (TKMS), emphasising the new era of Asia Pacific Defence collaboration.&nbsp;“This is clearly the biggest defence-industry agreement that has ever been struck between Japan and Australia,” said Australian Defence Minister Richard Marles.<h2>Why does Australia need these ships?</h2>For Australia, the decision shows a pragmatic approach to counter the Chinese threat in the Pacific. Australia wants to project itself as a naval powerhouse, with increasing patrols near Taiwan and assertive moves in the South China Sea. The 2023 Australian Defence Strategy Review (DSR) findings portrayed the Australian navy as substantially weak and poorly equipped to project power in the contested Indo-Pacific. It resulted in the growing urgency of Australia to modernise its naval fleet of major warships from 11 to 26, with an increased US$11.1 billion Defence budget. According to an Australian Defence Official, the new fleet will be used in patrolling vital trade routes, reinforcing maritime surveillance, and supporting allied operations frameworks like AUKUS and QUAD.“The acquisition of these stealth frigates will make our navy a bigger navy, and a more lethal navy,” said Marles.&nbsp;<h2>Why Japan's Mogami-class frigates?</h2>Three of these frigates will be built in Japan, and the rest will be built in Australia in a newly constructed facility under sovereign oversight. These ships feature &nbsp;32 vertical-launch missile cells, with a range of 10000 nautical miles, enhanced stealth capacity with improved design, and reduced crew requirements as low as 90. Japan had a faster delivery timeline and a better suitability to Pacific conditions. The decision to choose Mitsubishi over Germany’s ThyssenKrupp Marine Systems also shows a growing push for regional cooperation. Japan had been a pacifist since World War 2, but now this is the largest international defence export since World War II. It is a diplomatic economic win that shows its growing role in the region as a strategic partner.&nbsp;&nbsp;

Japan's Mitsubishi has acquired the biggest defence deal since World War II from Australia. Australia's Defence Minister says that these acquisitions will make their navy bigger and better, enhancing deterrence in the Indo-Pacific.

Japan's Mitsubishi Heavy Industries has secured its largest defence contract since World War II. The deal includes the supply of 11 Mogami-class frigates worth $6billion (A$10 billion) over the next decade. Australian Defence Ministry chose Mitsubishi over Germany’s ThyssenKrupp Marine Systems (TKMS), emphasising the new era of Asia Pacific Defence collaboration. “This is clearly the biggest defence-industry agreement that has ever been struck between Japan and Australia,” said Australian Defence Minister Richard Marles. Why does Australia need these ships? For Australia, the decision shows a pragmatic approach to counter the Chinese threat in the Pacific. Australia wants to project itself as a naval powerhouse, with increasing patrols near Taiwan and assertive moves in the South China Sea. The 2023 Australian Defence Strategy Review (DSR) findings portrayed the Australian navy as substantially weak and poorly equipped to project power in the contested Indo-Pacific. It resulted in the growing urgency of Australia to modernise its naval fleet of major warships from 11 to 26, with an increased US$11.1 billion Defence budget. According to an Australian Defence Official, the new fleet will be used in patrolling vital trade routes, reinforcing maritime surveillance, and supporting allied operations frameworks like AUKUS and QUAD. “The acquisition of these stealth frigates will make our navy a bigger navy, and a more lethal navy,” said Marles. Why Japan's Mogami-class frigates? Three of these frigates will be built in Japan, and the rest will be built in Australia in a newly constructed facility under sovereign oversight. These ships feature 32 vertical-launch missile cells, with a range of 10000 nautical miles, enhanced stealth capacity with improved design, and reduced crew requirements as low as 90. Japan had a faster delivery timeline and a better suitability to Pacific conditions. The decision to choose Mitsubishi over Germany’s ThyssenKrupp Marine Systems also shows a growing push for regional cooperation. Japan had been a pacifist since World War 2, but now this is the largest international defence export since World War II. It is a diplomatic economic win that shows its growing role in the region as a strategic partner.

Japan's Mitsubishi has acquired the biggest defence deal since World War II from Australia. Australia's Defence Minister says that these acquisitions will make their navy bigger and better, enhancing deterrence in the Indo-Pacific.

$6bn worth defence deal between Japan and Australia: Japan's biggest defence contract since WW2

India has issued a strong rebuttal to US President Donald Trump’s latest threats to impose higher tariffs on Indian imports, specifically targeting the country’s continued purchase of oil from Russia. Trump, in a post on his social media platform Truth Social, accused India of “profiting” from reselling Russian oil, despite the ongoing conflict in Ukraine. He warned that unless India ceases its oil imports from Russia, the US would “substantially raise the tariff” on goods from India. Trump’s accusations claim that India “doesn’t care how many people in Ukraine are being killed” and that it is taking advantage of Russia’s discounted oil by selling it on the global market for “big profits”. The US president’s comments come as part of a broader push to impose sanctions on Russia and its allies, including countries like India that continue to do business with the Kremlin despite the war in Ukraine.<h2>India’s rebuttal: Unjustified and unreasonable</h2>In response, India’s Ministry of External Affairs issued a sharp statement, dismissing Trump’s claims as “unjustified and unreasonable”. A spokesperson emphasised that India’s decision to import Russian oil was driven by economic necessity, as Western sanctions on Russia forced Moscow to offer discounted crude, which India has utilised to stabilise global energy markets. The spokesperson also pointed out that the US had initially encouraged India to buy Russian oil in the early stages of the Ukraine conflict.India’s government made it clear that it would continue to safeguard its national interests, regardless of US pressure. The spokesperson also highlighted the inconsistency in US policy, noting that the US itself continued to engage in trade with Russia, with trade worth $3.5 billion between the two countries last year. “Like any major economy, India will take all necessary measures to safeguard its national interests and economic security,” the statement added.<h2>Trade tensions deepen amid geopolitical rift</h2>The tensions over Russian oil are part of a broader set of challenges in the US-India relationship. While India has historically maintained a non-aligned stance, balancing ties with both Russia and the West, the US has raised concerns about India’s growing economic ties with Moscow. However, India has remained resolute in its position, emphasising that its energy and defence policies will not be dictated by outside pressure.The Indian government also rejected Trump’s previous claim of brokering a ceasefire between India and Pakistan in May, calling it false. The ongoing geopolitical tension, coupled with Trump’s recent tariffs and inflammatory rhetoric, has made it increasingly difficult for both nations to maintain a cooperative relationship, particularly as India seeks to strengthen its strategic autonomy.&nbsp;(With inputs from agencies)

US President Donald Trump, in a post on Truth Social, accused India of “profiting” from reselling Russian oil, despite the ongoing conflict in Ukraine. He warned that unless India ceases its oil imports from Russia, the US would “substantially raise the tariff” on goods from India.

India has issued a strong rebuttal to US President Donald Trump’s latest threats to impose higher tariffs on Indian imports, specifically targeting the country’s continued purchase of oil from Russia. Trump, in a post on his social media platform Truth Social, accused India of “profiting” from reselling Russian oil, despite the ongoing conflict in Ukraine. He warned that unless India ceases its oil imports from Russia, the US would “substantially raise the tariff” on goods from India. Trump’s accusations claim that India “doesn’t care how many people in Ukraine are being killed” and that it is taking advantage of Russia’s discounted oil by selling it on the global market for “big profits”. The US president’s comments come as part of a broader push to impose sanctions on Russia and its allies, including countries like India that continue to do business with the Kremlin despite the war in Ukraine. India’s rebuttal: Unjustified and unreasonable In response, India’s Ministry of External Affairs issued a sharp statement, dismissing Trump’s claims as “unjustified and unreasonable”. A spokesperson emphasised that India’s decision to import Russian oil was driven by economic necessity, as Western sanctions on Russia forced Moscow to offer discounted crude, which India has utilised to stabilise global energy markets. The spokesperson also pointed out that the US had initially encouraged India to buy Russian oil in the early stages of the Ukraine conflict. India’s government made it clear that it would continue to safeguard its national interests, regardless of US pressure. The spokesperson also highlighted the inconsistency in US policy, noting that the US itself continued to engage in trade with Russia, with trade worth $3.5 billion between the two countries last year. “Like any major economy, India will take all necessary measures to safeguard its national interests and economic security,” the statement added. Trade tensions deepen amid geopolitical rift The tensions over Russian oil are part of a broader set of challenges in the US-India relationship. While India has historically maintained a non-aligned stance, balancing ties with both Russia and the West, the US has raised concerns about India’s growing economic ties with Moscow. However, India has remained resolute in its position, emphasising that its energy and defence policies will not be dictated by outside pressure. The Indian government also rejected Trump’s previous claim of brokering a ceasefire between India and Pakistan in May, calling it false. The ongoing geopolitical tension, coupled with Trump’s recent tariffs and inflammatory rhetoric, has made it increasingly difficult for both nations to maintain a cooperative relationship, particularly as India seeks to strengthen its strategic autonomy. (With inputs from agencies)

US President Donald Trump, in a post on Truth Social, accused India of “profiting” from reselling Russian oil, despite the ongoing conflict in Ukraine. He warned that unless India ceases its oil imports from Russia, the US would “substantially raise the tariff” on goods from India.

India defies Trump’s threats over Russian oil purchases

HCLTech CEO C Vijayakumar has retained his position as the highest-paid chief executive in the Indian IT industry for a second consecutive year, with a total compensation of $10.85 million (approximately Rs 94.6 crore) in FY25. The 57-year-old outpaced all his peers at top Indian IT rivals such as Infosys, Wipro, TCS, and Tech Mahindra. He has been CEO of HCL Technologies since October 2016 and has a background in electrical engineering from Tamil Nadu. Vijayakumar’s pay package includes base salary, performance-linked incentives, stock awards, and other benefits and marks a steady rise from the last fiscal. In FY24, he earned $10.06 million (around Rs 84.17 crore), a staggering 190 per cent jump from the previous year.&nbsp;The sharp increase in FY24 had already drawn attention, as it far outpaced the average 7 per cent salary hike given to HCLTech employees that year.In FY25, HCLTech board approved a 71 per cent hike in his compensation for the coming year, putting his FY26 package at $18.6 million, or about Rs 154 crore.&nbsp;<h2>‘Under his leadership, HCLTech’s market cap grew 3.8 times’</h2>&nbsp;The board credited the company’s market performance as one of the key reasons behind the continued increase in his pay package even though industry observers raised questions about the widening pay gap at the top.“Under C Vijayakumar’s leadership, HCLTech’s market capitalisation has increased from Rs 1,15,000 crore on March 31, 2016, to Rs 4,32,000 crore on March 31, 2025, reflecting a growth of 3.8 times since FY16. Over the same period, the market capitalisation of the other four leading Indian listed IT services firms among the top five has grown by approximately 2.5 times,” the company said in its annual report.&nbsp;<h2>How do his peers at rival IT firms fare?</h2>&nbsp;Infosys CEO Salil Parekh earned Rs 80.62 crore in FY25 and Wipro’s Srinivas Pallia Rs 53.64 crore. Tech Mahindra’s Mohit Joshi was paid Rs 52.1 crore, and TCS’ K Krithivasan earned Rs 26.5 crore in FY25.&nbsp;The figures show that Vijayakumar’s compensation not only leads the industry but also far exceeds that of his peers.His FY25 remuneration comprised a base salary of $1.96 million, a variable bonus of $1.73 million and long-term incentives valued at $6.96 million, in addition to benefits and perquisites worth $0.2 million, HCLTech’s filings said.In FY23, Wipro’s Thierry Delaporte topped the list with a package of Rs 82 crore followed by Parekh and Vijayakumar.The shift highlights HCLTech’s growing willingness to reward its top leadership, especially as the company looks to compete more aggressively in digital, cloud, and AI deals.&nbsp;Vijayakumar was also recognised by Fortune India as India’s Best CEO in the IT Services—Super Large category and ranked first in the Best CEO category in the Institutional Investor Research 14th Annual Asia Executive Team survey.

HCLTech's C Vijayakumar took home Rs 94.6 crore in FY25 to become highest paid Indian IT CEO for a second year. The IT firm's board cited the company's market performance as one of the key reasons for the fatter pay package.

HCLTech CEO C Vijayakumar has retained his position as the highest-paid chief executive in the Indian IT industry for a second consecutive year, with a total compensation of $10.85 million (approximately Rs 94.6 crore) in FY25. The 57-year-old outpaced all his peers at top Indian IT rivals such as Infosys, Wipro, TCS, and Tech Mahindra. He has been CEO of HCL Technologies since October 2016 and has a background in electrical engineering from Tamil Nadu. Vijayakumar’s pay package includes base salary, performance-linked incentives, stock awards, and other benefits and marks a steady rise from the last fiscal. In FY24, he earned $10.06 million (around Rs 84.17 crore), a staggering 190 per cent jump from the previous year. The sharp increase in FY24 had already drawn attention, as it far outpaced the average 7 per cent salary hike given to HCLTech employees that year. In FY25, HCLTech board approved a 71 per cent hike in his compensation for the coming year, putting his FY26 package at $18.6 million, or about Rs 154 crore. ‘Under his leadership, HCLTech’s market cap grew 3.8 times’ The board credited the company’s market performance as one of the key reasons behind the continued increase in his pay package even though industry observers raised questions about the widening pay gap at the top. “Under C Vijayakumar’s leadership, HCLTech’s market capitalisation has increased from Rs 1,15,000 crore on March 31, 2016, to Rs 4,32,000 crore on March 31, 2025, reflecting a growth of 3.8 times since FY16. Over the same period, the market capitalisation of the other four leading Indian listed IT services firms among the top five has grown by approximately 2.5 times,” the company said in its annual report. How do his peers at rival IT firms fare? Infosys CEO Salil Parekh earned Rs 80.62 crore in FY25 and Wipro’s Srinivas Pallia Rs 53.64 crore. Tech Mahindra’s Mohit Joshi was paid Rs 52.1 crore, and TCS’ K Krithivasan earned Rs 26.5 crore in FY25. The figures show that Vijayakumar’s compensation not only leads the industry but also far exceeds that of his peers. His FY25 remuneration comprised a base salary of $1.96 million, a variable bonus of $1.73 million and long-term incentives valued at $6.96 million, in addition to benefits and perquisites worth $0.2 million, HCLTech’s filings said. In FY23, Wipro’s Thierry Delaporte topped the list with a package of Rs 82 crore followed by Parekh and Vijayakumar. The shift highlights HCLTech’s growing willingness to reward its top leadership, especially as the company looks to compete more aggressively in digital, cloud, and AI deals. Vijayakumar was also recognised by Fortune India as India’s Best CEO in the IT Services—Super Large category and ranked first in the Best CEO category in the Institutional Investor Research 14th Annual Asia Executive Team survey.

HCLTech's C Vijayakumar took home Rs 94.6 crore in FY25 to become highest paid Indian IT CEO for a second year. The IT firm's board cited the company's market performance as one of the key reasons for the fatter pay package.

HCLTech’s C Vijayakumar tops the list of highest paid Indian IT CEOs for 2nd year

The Reserve Bank of India’s (RBI) Monetary Policy Committee (MPC) began its three-day meeting on August 4 against the backdrop of faltering credit growth, weakening global trade, and new headwinds from US tariffs. The decision, which will be announced on August 6, could have far-reaching implications for borrowers, banks, and financial markets. The key policy rate, or the repo rate, currently stands at 5.5 per cent after a cumulative 100 basis points (bps) cut across the last three policy meetings. While the MPC’s stance has shifted to ‘neutral,’ speculation is rife that a fresh rate cut may be on the table.<h2>Rate pause or cut? RBI faces tough trade-off</h2>With the US imposing 25 per cent tariffs on Indian exports, concerns have grown over a potential hit to trade and GDP. Analysts believe the RBI could respond proactively. Japanese broking Nomura sees a 35 per cent chance of a surprise rate cut in August, though it continues to expect 25 bps cuts in both October and December. Similarly, the State Bank of India (SBI) has called for a front-loaded 25 bps cut in this meeting to stimulate credit demand ahead of the festive season.However, some, including Barclays and CareEdge Ratings, suggest the RBI may prefer a “dovish pause” to assess the impact of previous cuts. Barclays expects the final 25 bps cut to come in October, while CareEdge says the RBI may wait for further clarity on global risks and transmission of earlier rate reductions.<h2>Inflation eases, but growth concerns mount</h2>India's retail inflation has significantly eased, with June CPI at just 2.1 per cent, which is its lowest level since January 2019. July inflation could drop further to 1.5 per cent, well below the RBI’s target range of 2-6 per cent. Barclays now forecasts FY26 inflation at 3.5 per cent, down from the RBI’s 3.7 per cent estimate, creating more room for monetary easing.At the same time, indicators point to economic softness. Bank credit growth to industry slowed to just 5.5 per cent in June, and overall credit-deposit ratios have declined. Net interest margins for banks have shrunk, and deposit growth continues to outpace credit growth. Public sector banks are leading in lending, but the private sector remains cautious amid tepid demand and tight margins.<h2>Cautious optimism</h2>Homebuyers, borrowers, and banks are keenly watching for any change. A rate cut would bring cheer to home loan seekers while also helping revive private investment. Still, with global volatility, a hawkish US Fed, and rupee pressure in play, RBI Governor Sanjay Malhotra and the MPC may tread cautiously. Regardless of the outcome, the central bank’s forward guidance will be key in signalling its growth versus inflation priorities for the rest of FY26.

The key policy rate, or the repo rate, currently stands at 5.5 per cent after a cumulative 100 basis points (bps) cut across the last three policy meetings. While the MPC’s stance has shifted to ‘neutral,’ speculation is rife that a fresh rate cut may be on the table.

The Reserve Bank of India’s (RBI) Monetary Policy Committee (MPC) began its three-day meeting on August 4 against the backdrop of faltering credit growth, weakening global trade, and new headwinds from US tariffs. The decision, which will be announced on August 6, could have far-reaching implications for borrowers, banks, and financial markets. The key policy rate, or the repo rate, currently stands at 5.5 per cent after a cumulative 100 basis points (bps) cut across the last three policy meetings. While the MPC’s stance has shifted to ‘neutral,’ speculation is rife that a fresh rate cut may be on the table. Rate pause or cut? RBI faces tough trade-off With the US imposing 25 per cent tariffs on Indian exports, concerns have grown over a potential hit to trade and GDP. Analysts believe the RBI could respond proactively. Japanese broking Nomura sees a 35 per cent chance of a surprise rate cut in August, though it continues to expect 25 bps cuts in both October and December. Similarly, the State Bank of India (SBI) has called for a front-loaded 25 bps cut in this meeting to stimulate credit demand ahead of the festive season. However, some, including Barclays and CareEdge Ratings, suggest the RBI may prefer a “dovish pause” to assess the impact of previous cuts. Barclays expects the final 25 bps cut to come in October, while CareEdge says the RBI may wait for further clarity on global risks and transmission of earlier rate reductions. Inflation eases, but growth concerns mount India's retail inflation has significantly eased, with June CPI at just 2.1 per cent, which is its lowest level since January 2019. July inflation could drop further to 1.5 per cent, well below the RBI’s target range of 2-6 per cent. Barclays now forecasts FY26 inflation at 3.5 per cent, down from the RBI’s 3.7 per cent estimate, creating more room for monetary easing. At the same time, indicators point to economic softness. Bank credit growth to industry slowed to just 5.5 per cent in June, and overall credit-deposit ratios have declined. Net interest margins for banks have shrunk, and deposit growth continues to outpace credit growth. Public sector banks are leading in lending, but the private sector remains cautious amid tepid demand and tight margins. Cautious optimism Homebuyers, borrowers, and banks are keenly watching for any change. A rate cut would bring cheer to home loan seekers while also helping revive private investment. Still, with global volatility, a hawkish US Fed, and rupee pressure in play, RBI Governor Sanjay Malhotra and the MPC may tread cautiously. Regardless of the outcome, the central bank’s forward guidance will be key in signalling its growth versus inflation priorities for the rest of FY26.

The key policy rate, or the repo rate, currently stands at 5.5 per cent after a cumulative 100 basis points (bps) cut across the last three policy meetings. While the MPC’s stance has shifted to ‘neutral,’ speculation is rife that a fresh rate cut may be on the table.

RBI MPC meeting: Will US tariffs and low inflation trigger a rate cut?

China’s largest electric vehicle (EV) maker, BYD, has reported its first monthly delivery decline of 2025, signaling a potential slowdown for the company amid an escalating price war in the EV market. The company shipped 341,030 vehicles in July, down from 377,628 in June. This marks a nearly flat year-over-year performance, which is a stark contrast to its steady growth earlier in the year. BYD's drop in deliveries follows its decision to slash prices on several hybrid and battery-only models by approximately 30 per cent in May. The move, aimed at increasing affordability, has triggered a broader price-cutting trend across the industry. However, policymakers in Beijing have expressed concern about the price war’s impact on market stability, prompting calls to halt the excessive competition.<h2>Li Auto and Nio report declines, Xpeng and Xiaomi shine</h2>The price war has also affected other major Chinese EV makers. Li Auto saw a significant drop in deliveries, reporting only 30,731 units in July, down 39.7 per cent year-over-year. Nio’s deliveries also fell to 21,017 units, down from 24,925 in June, reflecting a slight 2.7 per cent year-on-year decline. However, other companies have posted strong growth.&nbsp;Xpeng, continuing its momentum, delivered a record 36,717 units in July, marking its ninth consecutive month with over 30,000 units sold. Xiaomi also posted notable growth, delivering over 30,000 vehicles in July, up from 25,000 in June. Both companies are seeing increased consumer demand, driven by new model launches and strong market positioning. Leapmotor, backed by Stellantis, also hit a milestone by delivering 50,129 vehicles, its highest monthly sales to date. The Harmony Intelligent Mobility Alliance, supported by Huawei, delivered 47,752 units, with the bulk of sales coming from Aito’s Wenjie series, which accounted for 40,753 cars.<h2>BYD faces pressure as competition intensifies</h2>BYD’s recent decline in deliveries is coupled with a dip in its stock price, falling nearly 1 per cent in China following the report. The company’s shares have dropped 15 per cent in 2025, contrasting with a 28.6 per cent rise in its US-listed shares. This underlines the pressure BYD is facing domestically, where fierce competition and falling prices are squeezing margins. Despite the challenges, BYD’s international presence remains a strong growth driver, and discussions with India’s Adani Group for a potential battery production joint venture signal that the company is looking beyond the domestic market for future expansion.

BYD’s recent decline in deliveries is coupled with a dip in its stock price, falling nearly 1 per cent in China following the report. The company’s shares have dropped 15 per cent in 2025, contrasting with a 28.6 per cent rise in its US-listed shares.

China’s largest electric vehicle (EV) maker, BYD, has reported its first monthly delivery decline of 2025, signaling a potential slowdown for the company amid an escalating price war in the EV market. The company shipped 341,030 vehicles in July, down from 377,628 in June. This marks a nearly flat year-over-year performance, which is a stark contrast to its steady growth earlier in the year. BYD's drop in deliveries follows its decision to slash prices on several hybrid and battery-only models by approximately 30 per cent in May. The move, aimed at increasing affordability, has triggered a broader price-cutting trend across the industry. However, policymakers in Beijing have expressed concern about the price war’s impact on market stability, prompting calls to halt the excessive competition. Li Auto and Nio report declines, Xpeng and Xiaomi shine The price war has also affected other major Chinese EV makers. Li Auto saw a significant drop in deliveries, reporting only 30,731 units in July, down 39.7 per cent year-over-year. Nio’s deliveries also fell to 21,017 units, down from 24,925 in June, reflecting a slight 2.7 per cent year-on-year decline. However, other companies have posted strong growth. Xpeng, continuing its momentum, delivered a record 36,717 units in July, marking its ninth consecutive month with over 30,000 units sold. Xiaomi also posted notable growth, delivering over 30,000 vehicles in July, up from 25,000 in June. Both companies are seeing increased consumer demand, driven by new model launches and strong market positioning. Leapmotor, backed by Stellantis, also hit a milestone by delivering 50,129 vehicles, its highest monthly sales to date. The Harmony Intelligent Mobility Alliance, supported by Huawei, delivered 47,752 units, with the bulk of sales coming from Aito’s Wenjie series, which accounted for 40,753 cars. BYD faces pressure as competition intensifies BYD’s recent decline in deliveries is coupled with a dip in its stock price, falling nearly 1 per cent in China following the report. The company’s shares have dropped 15 per cent in 2025, contrasting with a 28.6 per cent rise in its US-listed shares. This underlines the pressure BYD is facing domestically, where fierce competition and falling prices are squeezing margins. Despite the challenges, BYD’s international presence remains a strong growth driver, and discussions with India’s Adani Group for a potential battery production joint venture signal that the company is looking beyond the domestic market for future expansion.

BYD’s recent decline in deliveries is coupled with a dip in its stock price, falling nearly 1 per cent in China following the report. The company’s shares have dropped 15 per cent in 2025, contrasting with a 28.6 per cent rise in its US-listed shares.

BYD’s delivery growth stalls amid intense EV price war

South Korea’s globally popular K-beauty industry is facing a major setback in the United States as a new 15 per cent import tariff, imposed by US President Donald Trump, threatens to disrupt trade flows and raise prices for consumers. Known for its innovative products, natural ingredients, and affordability, K-beauty has built a devoted following in the US, where it generated $1.7 billion in sales in 2024, a 54 per cent increase from the year before, according to the US International Trade Commission.But the growth may soon slow. The US has ended South Korea’s tariff-free status for cosmetics, part of a broader policy shift aimed at reducing reliance on foreign manufacturing and encouraging American-made goods. South Korean beauty products are now subject to a 15 per cent import tax, sparking uncertainty across the industry.<h2>Retailers brace for higher costs and slower sales</h2>K-beauty retailers in the US have already begun adjusting their strategies in anticipation of rising costs. Santé Brand, a California-based online seller, saw a 30 per cent spike in orders in April as consumers rushed to stock up before the tariffs took effect. “When the tariff announcements hit, customers got strategic with how they were going to weather the storm,” Santé founder Cheyenne Ware told the BBC. “Consumers are preparing against the uncertainty.”Other retailers, such as Senti Senti, say suppliers have started sending alerts urging them to place large orders while prices remain unchanged. Some sellers have increased inventory to stay ahead of expected cost hikes. But industry insiders warn that price increases are inevitable, especially for smaller sellers on platforms like Amazon who operate with thin profit margins.<h2>Fans remain loyal—for now</h2>Despite the looming price hikes, K-beauty loyalists say they’re not ready to switch to Western alternatives. Experts say that sentiment is common among loyal consumers, but casual buyers might be turned off by the higher price.Some experts also say that large K-beauty brands with healthy profit margins may be able to absorb some of the costs, softening the impact for customers. But smaller firms based in South Korea will likely struggle to remain competitive, especially if tariffs are extended or increased.<h2>Trade policy collides with pop culture</h2>President Trump has justified the tariff strategy as part of a broader plan to bring manufacturing back to the US and level the playing field in global trade. In recent days, Japan and the European Union have agreed to similar 15 per cent tariffs on beauty exports to the US, meaning the policy will affect other global giants alongside South Korea. Still, industry analysts say South Korea is uniquely vulnerable because of how deeply its cosmetics brands are intertwined with global pop culture and consumer trends.From BB creams to 10-step skincare routines featuring ingredients like snail mucin, heartleaf, and rice water, Korean skincare has reshaped beauty habits worldwide. And while US officials hope tariffs will encourage domestic production, many American consumers say they simply haven’t found homegrown equivalents that measure up. For now, K-beauty remains a staple on American vanities. But if tariffs stay in place, it may soon become a luxury item rather than an everyday essential.&nbsp;(With inputs from agencies)

The US has ended South Korea’s tariff-free status for cosmetics. South Korean beauty products are now subject to a 15 per cent import tax, sparking uncertainty across the industry which generated $1.7 billion in sales in 2024, a 54 per cent increase from the year before.

South Korea’s globally popular K-beauty industry is facing a major setback in the United States as a new 15 per cent import tariff, imposed by US President Donald Trump, threatens to disrupt trade flows and raise prices for consumers. Known for its innovative products, natural ingredients, and affordability, K-beauty has built a devoted following in the US, where it generated $1.7 billion in sales in 2024, a 54 per cent increase from the year before, according to the US International Trade Commission. But the growth may soon slow. The US has ended South Korea’s tariff-free status for cosmetics, part of a broader policy shift aimed at reducing reliance on foreign manufacturing and encouraging American-made goods. South Korean beauty products are now subject to a 15 per cent import tax, sparking uncertainty across the industry. Retailers brace for higher costs and slower sales K-beauty retailers in the US have already begun adjusting their strategies in anticipation of rising costs. Santé Brand, a California-based online seller, saw a 30 per cent spike in orders in April as consumers rushed to stock up before the tariffs took effect. “When the tariff announcements hit, customers got strategic with how they were going to weather the storm,” Santé founder Cheyenne Ware told the BBC. “Consumers are preparing against the uncertainty.” Other retailers, such as Senti Senti, say suppliers have started sending alerts urging them to place large orders while prices remain unchanged. Some sellers have increased inventory to stay ahead of expected cost hikes. But industry insiders warn that price increases are inevitable, especially for smaller sellers on platforms like Amazon who operate with thin profit margins. Fans remain loyal—for now Despite the looming price hikes, K-beauty loyalists say they’re not ready to switch to Western alternatives. Experts say that sentiment is common among loyal consumers, but casual buyers might be turned off by the higher price. Some experts also say that large K-beauty brands with healthy profit margins may be able to absorb some of the costs, softening the impact for customers. But smaller firms based in South Korea will likely struggle to remain competitive, especially if tariffs are extended or increased. Trade policy collides with pop culture President Trump has justified the tariff strategy as part of a broader plan to bring manufacturing back to the US and level the playing field in global trade. In recent days, Japan and the European Union have agreed to similar 15 per cent tariffs on beauty exports to the US, meaning the policy will affect other global giants alongside South Korea. Still, industry analysts say South Korea is uniquely vulnerable because of how deeply its cosmetics brands are intertwined with global pop culture and consumer trends. From BB creams to 10-step skincare routines featuring ingredients like snail mucin, heartleaf, and rice water, Korean skincare has reshaped beauty habits worldwide. And while US officials hope tariffs will encourage domestic production, many American consumers say they simply haven’t found homegrown equivalents that measure up. For now, K-beauty remains a staple on American vanities. But if tariffs stay in place, it may soon become a luxury item rather than an everyday essential. (With inputs from agencies)

The US has ended South Korea’s tariff-free status for cosmetics. South Korean beauty products are now subject to a 15 per cent import tax, sparking uncertainty across the industry which generated $1.7 billion in sales in 2024, a 54 per cent increase from the year before.

Trump tariffs threaten South Korea’s K-Beauty boom in the US

In a strategic shift with sweeping implications for global defence manufacturing, China has escalated restrictions on the export of critical minerals, disrupting supply chains across the Western world and exposing the deep reliance of US and allied militaries on Chinese raw materials. The materials in question, including rare earth elements, gallium, germanium, and antimony, are essential to the production of advanced weapons systems, from infrared missile sensors to radar arrays and fighter jet engines. China not only mines a majority of the world’s rare earths, but it also controls as much as 90 per cent of global refining capacity, turning it into a chokepoint for the global defence industry.<h2>Chokehold on supply disrupts production</h2>Earlier this year, Beijing imposed tighter export controls on several categories of rare earths and other critical minerals. While some concessions were made after the US agreed to limited trade compromises in June, China has maintained strict limits on shipments intended for military applications. The impact has been immediate. One US-based drone parts supplier, ePropelled, was forced to delay shipments by up to two months after its Chinese suppliers demanded photos, schematics, and end-user details before releasing magnets made from rare earths. The company refused, prompting the suspension of deliveries.Across the defence sector, prices for materials such as samarium, used in high-temperature magnets for jet engines, have skyrocketed, in one reported case increasing by 60 times. Suppliers now warn of rising costs and looming production halts unless access to critical minerals is restored or alternative sources are secured. Leonardo DRS, a major US defence firm, has already hit critical levels on its stockpile of germanium, vital for infrared targeting sensors, with CEO Bill Lynn warning that material flow must improve in the second half of 2025 to avoid supply disruptions.<h2>Strategic weakness exposed</h2>The growing crisis has highlighted a key vulnerability: more than 80,000 parts used in US Department of Defense weapons systems rely on minerals currently under Chinese export control, according to defence analytics firm Govini. Nearly all those supply chains involve at least one Chinese vendor. Some companies have responded by racing to build stockpiles, but many, especially smaller drone manufacturers and startups, lack the resources or foresight to accumulate months’ worth of reserves. Even those that do stockpile face problems sourcing materials like antimony or dysprosium, which have few viable alternatives outside China.The Pentagon has attempted to address the crisis with targeted investments. In July, it committed $400 million for a 15 per cent stake in MP Materials, the only US-based rare earth mining and processing company. In earlier grants, it also funded expansion of germanium and antimony production by Canadian and American firms. But officials acknowledge that reshaping the supply chain will take years.<h2>A domestic push, but time is short</h2>Amid intensifying pressure, US companies are moving aggressively to build up domestic rare earth capacity. USA Rare Earth, a Texas-based firm launched in 2019, has seen a surge of investor interest since China’s latest round of export curbs. The firm raised $170 million for its magnet production line and is seeking another $300 million to expand operations. Still, the gap is large. China continues to control 60 per cent of global rare earth mining and 90 per cent of refining. In 2024, China produced 750 out of the 760 tonnes of gallium used worldwide. The US produced none.While MP Materials is ramping up magnet production, much of its raw material still goes to China for processing, a bottleneck the Pentagon is now paying to eliminate. USA Rare Earth’s mine in Texas contains reserves of 15 out of 17 rare earth elements, and its refining technology is designed to be more sustainable than past US operations, which were hindered by environmental concerns.Washington is also trying to diversify through partnerships. Ukraine has emerged as a potential supplier, but developing its mining infrastructure amid ongoing war could take decades. In the meantime, defence companies are invoking emergency powers under the Defense Production Act and seeking long-term deals with rare earth producers in allied countries. DARPA and other agencies are working on predictive models to identify future bottlenecks, while firms like Phoenix Tailings in Massachusetts aim to ramp up domestic metal recycling and processing. Still, the clock is ticking. US law now requires defence contractors to eliminate Chinese-sourced rare earth magnets by 2027. Without new, stable sources, some firms will hit a cliff edge in less than two years.&nbsp;(With inputs from agencies)

China not only mines a majority of the world’s rare earths, but it also controls as much as 90 per cent of global refining capacity, turning it into a chokepoint for the global defence industry.

In a strategic shift with sweeping implications for global defence manufacturing, China has escalated restrictions on the export of critical minerals, disrupting supply chains across the Western world and exposing the deep reliance of US and allied militaries on Chinese raw materials. The materials in question, including rare earth elements, gallium, germanium, and antimony, are essential to the production of advanced weapons systems, from infrared missile sensors to radar arrays and fighter jet engines. China not only mines a majority of the world’s rare earths, but it also controls as much as 90 per cent of global refining capacity, turning it into a chokepoint for the global defence industry. Chokehold on supply disrupts production Earlier this year, Beijing imposed tighter export controls on several categories of rare earths and other critical minerals. While some concessions were made after the US agreed to limited trade compromises in June, China has maintained strict limits on shipments intended for military applications. The impact has been immediate. One US-based drone parts supplier, ePropelled, was forced to delay shipments by up to two months after its Chinese suppliers demanded photos, schematics, and end-user details before releasing magnets made from rare earths. The company refused, prompting the suspension of deliveries. Across the defence sector, prices for materials such as samarium, used in high-temperature magnets for jet engines, have skyrocketed, in one reported case increasing by 60 times. Suppliers now warn of rising costs and looming production halts unless access to critical minerals is restored or alternative sources are secured. Leonardo DRS, a major US defence firm, has already hit critical levels on its stockpile of germanium, vital for infrared targeting sensors, with CEO Bill Lynn warning that material flow must improve in the second half of 2025 to avoid supply disruptions. Strategic weakness exposed The growing crisis has highlighted a key vulnerability: more than 80,000 parts used in US Department of Defense weapons systems rely on minerals currently under Chinese export control, according to defence analytics firm Govini. Nearly all those supply chains involve at least one Chinese vendor. Some companies have responded by racing to build stockpiles, but many, especially smaller drone manufacturers and startups, lack the resources or foresight to accumulate months’ worth of reserves. Even those that do stockpile face problems sourcing materials like antimony or dysprosium, which have few viable alternatives outside China. The Pentagon has attempted to address the crisis with targeted investments. In July, it committed $400 million for a 15 per cent stake in MP Materials, the only US-based rare earth mining and processing company. In earlier grants, it also funded expansion of germanium and antimony production by Canadian and American firms. But officials acknowledge that reshaping the supply chain will take years. A domestic push, but time is short Amid intensifying pressure, US companies are moving aggressively to build up domestic rare earth capacity. USA Rare Earth, a Texas-based firm launched in 2019, has seen a surge of investor interest since China’s latest round of export curbs. The firm raised $170 million for its magnet production line and is seeking another $300 million to expand operations. Still, the gap is large. China continues to control 60 per cent of global rare earth mining and 90 per cent of refining. In 2024, China produced 750 out of the 760 tonnes of gallium used worldwide. The US produced none. While MP Materials is ramping up magnet production, much of its raw material still goes to China for processing, a bottleneck the Pentagon is now paying to eliminate. USA Rare Earth’s mine in Texas contains reserves of 15 out of 17 rare earth elements, and its refining technology is designed to be more sustainable than past US operations, which were hindered by environmental concerns. Washington is also trying to diversify through partnerships. Ukraine has emerged as a potential supplier, but developing its mining infrastructure amid ongoing war could take decades. In the meantime, defence companies are invoking emergency powers under the Defense Production Act and seeking long-term deals with rare earth producers in allied countries. DARPA and other agencies are working on predictive models to identify future bottlenecks, while firms like Phoenix Tailings in Massachusetts aim to ramp up domestic metal recycling and processing. Still, the clock is ticking. US law now requires defence contractors to eliminate Chinese-sourced rare earth magnets by 2027. Without new, stable sources, some firms will hit a cliff edge in less than two years. (With inputs from agencies)

China not only mines a majority of the world’s rare earths, but it also controls as much as 90 per cent of global refining capacity, turning it into a chokepoint for the global defence industry.

China tightens grip on critical minerals, disrupting Western defence supply chains

More than 3,200 Boeing Defense workers in Missouri and Illinois walked off the job on August 4 after overwhelmingly rejecting the company’s latest four-year contract offer. The strike, led by District 837 of the International Association of Machinists and Aerospace Workers (IAM), targets Boeing’s military aircraft facilities in the St. Louis area, which produce the F-15 Eagle, F/A-18 Hornet, T-7 trainer, and the MQ-25 aerial refuelling drone. The work stoppage is Boeing’s first major strike in its defence division since 1996 and comes at a particularly sensitive time for the company. Boeing’s defence business is traditionally considered more stable than its commercial wing, which has faced a string of safety and production crises in recent years.“Members have spoken loud and clear,” District 837 head Tom Boelling said in a statement. “They deserve a contract that reflects their skill, dedication, and the critical role they play in our nation’s defence.” The rejected offer included a 20 per cent general wage increase over four years, periodic raises, increased vacation and sick leave, and a $5,000 ratification bonus. Boeing said the package amounted to an average wage growth of 40 per cent, but union members remained unsatisfied, citing concerns over pensions, scheduling, and long-term job security.<h2>Boeing downplays impact as Union ramps up pressure</h2>Boeing Defense said it had contingency plans in place to maintain operations during the strike, including using non-union labour where necessary. Dan Gillian, vice president and general manager of Boeing’s St. Louis operations, expressed disappointment over the rejection. “We’re disappointed our employees rejected an offer that featured 40 per cent average wage growth,” he said in a statement.Boeing CEO Kelly Ortberg attempted to minimise the disruption during a recent earnings call. “I wouldn’t worry too much about the implications of the strike. We’ll manage our way through that,” he said, referencing last year’s seven-week strike by 33,000 commercial aircraft workers in Washington state, which cost the company billions. Still, the strike casts a shadow over Boeing’s defence operations just as it ramps up production of the new F-47A fighter jet, a key project for the US Air Force. The St. Louis facilities are expected to be central to that expansion.<h2>Tensions mount amid broader company struggles</h2>The defence worker strike adds to Boeing’s mounting challenges. The company is still recovering from the fallout of two deadly 737 Max crashes in 2018 and 2019, a major mid-air panel blowout in early 2024, and persistently low commercial aircraft deliveries. In 2023, Boeing delivered just 348 aircraft, its lowest total since the pandemic.IAM represents roughly 600,000 workers across the US, and District 837 has made it clear this strike is about more than wages. “This is about respect and dignity, not empty promises,” the union wrote on X. With labour unrest growing and trust between the company and its workforce fraying, Boeing’s leadership now faces renewed pressure to stabilise both its defence and commercial arms.&nbsp;(With inputs from agencies)

The Boeing strike, led by District 837 of the International Association of Machinists and Aerospace Workers (IAM), targets Boeing’s military aircraft facilities in the St. Louis area, which produce the F-15 Eagle, F/A-18 Hornet, T-7 trainer, and the MQ-25 aerial refuelling drone.

More than 3,200 Boeing Defense workers in Missouri and Illinois walked off the job on August 4 after overwhelmingly rejecting the company’s latest four-year contract offer. The strike, led by District 837 of the International Association of Machinists and Aerospace Workers (IAM), targets Boeing’s military aircraft facilities in the St. Louis area, which produce the F-15 Eagle, F/A-18 Hornet, T-7 trainer, and the MQ-25 aerial refuelling drone. The work stoppage is Boeing’s first major strike in its defence division since 1996 and comes at a particularly sensitive time for the company. Boeing’s defence business is traditionally considered more stable than its commercial wing, which has faced a string of safety and production crises in recent years. “Members have spoken loud and clear,” District 837 head Tom Boelling said in a statement. “They deserve a contract that reflects their skill, dedication, and the critical role they play in our nation’s defence.” The rejected offer included a 20 per cent general wage increase over four years, periodic raises, increased vacation and sick leave, and a $5,000 ratification bonus. Boeing said the package amounted to an average wage growth of 40 per cent, but union members remained unsatisfied, citing concerns over pensions, scheduling, and long-term job security. Boeing downplays impact as Union ramps up pressure Boeing Defense said it had contingency plans in place to maintain operations during the strike, including using non-union labour where necessary. Dan Gillian, vice president and general manager of Boeing’s St. Louis operations, expressed disappointment over the rejection. “We’re disappointed our employees rejected an offer that featured 40 per cent average wage growth,” he said in a statement. Boeing CEO Kelly Ortberg attempted to minimise the disruption during a recent earnings call. “I wouldn’t worry too much about the implications of the strike. We’ll manage our way through that,” he said, referencing last year’s seven-week strike by 33,000 commercial aircraft workers in Washington state, which cost the company billions. Still, the strike casts a shadow over Boeing’s defence operations just as it ramps up production of the new F-47A fighter jet, a key project for the US Air Force. The St. Louis facilities are expected to be central to that expansion. Tensions mount amid broader company struggles The defence worker strike adds to Boeing’s mounting challenges. The company is still recovering from the fallout of two deadly 737 Max crashes in 2018 and 2019, a major mid-air panel blowout in early 2024, and persistently low commercial aircraft deliveries. In 2023, Boeing delivered just 348 aircraft, its lowest total since the pandemic. IAM represents roughly 600,000 workers across the US, and District 837 has made it clear this strike is about more than wages. “This is about respect and dignity, not empty promises,” the union wrote on X. With labour unrest growing and trust between the company and its workforce fraying, Boeing’s leadership now faces renewed pressure to stabilise both its defence and commercial arms. (With inputs from agencies)

The Boeing strike, led by District 837 of the International Association of Machinists and Aerospace Workers (IAM), targets Boeing’s military aircraft facilities in the St. Louis area, which produce the F-15 Eagle, F/A-18 Hornet, T-7 trainer, and the MQ-25 aerial refuelling drone.

Boeing hit by another challenge: First defence strike since 1996

China’s copper smelting sector, already the largest in the world, is showing signs of strain as ore shortages and mounting government pressure on industrial overcapacity begin to bite. After months of record production, output is projected to dip slightly in August and decline further in September, according to Shanghai Metals Market (SMM). SMM forecasts China’s refined copper production will reach 1.168 million tonnes in August, down 0.5 per cent from July’s record high. While modest, the dip signals a possible turning point for an industry that has defied global feedstock shortages and squeezed profitability to maintain output growth.China, which accounts for over half of global refined copper production, has rapidly expanded smelting capacity in recent years, even as global copper ore supply growth slowed to a crawl. This imbalance has driven down processing fees and pushed some overseas competitors to suspend operations.<h2>Tight ore markets and Beijing’s watchful eye</h2>Despite soaring production, Chinese smelters are grappling with the lowest copper concentrate inventories this year, just over 560,000 tonnes at key ports, according to SMM. This tightness is forcing some facilities to reduce operations or schedule maintenance. Five major smelters with a combined capacity of 900,000 tonnes are expected to halt or slow output in September. The pressure comes as Beijing intensifies efforts to address overcapacity across industries.&nbsp;While the copper sector, seen as vital for green energy and technology, has previously escaped restrictions, policymakers are now signalling a tougher stance on industrial excess that drives deflation and inefficient investment. Spot treatment and refining charges (TC/RCs), the fees paid to smelters for converting concentrate into refined copper, have shown slight recovery in recent weeks, an indication that supply and demand may be finding a new balance.<h2>Booming output reshapes global market</h2>Still, China’s refined copper production is on track to rise between 7.5 per cent and 12 per cent in 2025, potentially topping last year’s record of 13.64 million tonnes, according to multiple analysts. That continued surge, fuelled by state-backed investments and strong byproduct revenues, is outpacing global ore supply and placing further strain on foreign rivals.Consultancy Benchmark Mineral Intelligence (BMI) expects China’s share of global refined copper output to hit 57 per cent this year. As output rises, refined copper imports are projected to fall by 8 per cent in 2025, marking a shift in China’s trade strategy and underscoring its growing self-reliance in critical materials.&nbsp;(With inputs from agencies)

China, which accounts for over half of global refined copper production, has rapidly expanded smelting capacity in recent years, even as global copper ore supply growth slowed to a crawl. This imbalance has driven down processing fees and pushed some overseas competitors to suspend operations.

China’s copper smelting sector, already the largest in the world, is showing signs of strain as ore shortages and mounting government pressure on industrial overcapacity begin to bite. After months of record production, output is projected to dip slightly in August and decline further in September, according to Shanghai Metals Market (SMM). SMM forecasts China’s refined copper production will reach 1.168 million tonnes in August, down 0.5 per cent from July’s record high. While modest, the dip signals a possible turning point for an industry that has defied global feedstock shortages and squeezed profitability to maintain output growth. China, which accounts for over half of global refined copper production, has rapidly expanded smelting capacity in recent years, even as global copper ore supply growth slowed to a crawl. This imbalance has driven down processing fees and pushed some overseas competitors to suspend operations. Tight ore markets and Beijing’s watchful eye Despite soaring production, Chinese smelters are grappling with the lowest copper concentrate inventories this year, just over 560,000 tonnes at key ports, according to SMM. This tightness is forcing some facilities to reduce operations or schedule maintenance. Five major smelters with a combined capacity of 900,000 tonnes are expected to halt or slow output in September. The pressure comes as Beijing intensifies efforts to address overcapacity across industries. While the copper sector, seen as vital for green energy and technology, has previously escaped restrictions, policymakers are now signalling a tougher stance on industrial excess that drives deflation and inefficient investment. Spot treatment and refining charges (TC/RCs), the fees paid to smelters for converting concentrate into refined copper, have shown slight recovery in recent weeks, an indication that supply and demand may be finding a new balance. Booming output reshapes global market Still, China’s refined copper production is on track to rise between 7.5 per cent and 12 per cent in 2025, potentially topping last year’s record of 13.64 million tonnes, according to multiple analysts. That continued surge, fuelled by state-backed investments and strong byproduct revenues, is outpacing global ore supply and placing further strain on foreign rivals. Consultancy Benchmark Mineral Intelligence (BMI) expects China’s share of global refined copper output to hit 57 per cent this year. As output rises, refined copper imports are projected to fall by 8 per cent in 2025, marking a shift in China’s trade strategy and underscoring its growing self-reliance in critical materials. (With inputs from agencies)

China, which accounts for over half of global refined copper production, has rapidly expanded smelting capacity in recent years, even as global copper ore supply growth slowed to a crawl. This imbalance has driven down processing fees and pushed some overseas competitors to suspend operations

China’s copper output nears limit amid ore shortage and overcapacity crackdown

In a strategic move to bolster trade ties, China has approved 183 new Brazilian coffee exporters to ship products to its market, the Chinese Embassy in Brazil announced over the weekend. The decision comes just days ahead of the United States imposing a 50 per cent tariff on several Brazilian goods, including coffee, a significant blow to Brazil’s largest agricultural export. The Chinese permits, effective from July 30 and valid for five years, mark a potential shift in the global coffee trade. Brazil, the world’s largest coffee producer, is currently facing rising trade tensions with the US, which buys about 16 per cent of its coffee exports.&nbsp;In June alone, Brazil exported over 440,000 60-kg bags of coffee to the US, compared to just 56,000 to China, according to data from Brazilian coffee exporters' group Cecafe. With the new Chinese approvals in place, Brazilian exporters may now look to China as a key alternative market, particularly as they scramble to redirect the roughly 8 million bags traditionally sold to US buyers annually.<h2>Lula responds to trade war with diversification</h2>Brazilian President Luiz Inácio Lula da Silva’s administration has actively worked to diversify Brazil’s trade relationships, particularly in Asia. “We want to negotiate on equal terms,” Lula said Sunday at a Workers’ Party event in Brasília. “We will support our companies, defend our workers, and say, ‘Look, when you’re ready to negotiate, our proposals are on the table.’” Lula’s comments come amid heightened tensions with former US President Donald Trump, who recently threatened punitive tariffs unless Brazil's Supreme Court halted legal proceedings against former President Jair Bolsonaro.&nbsp;While Washington has delayed the tariff hike to August 6 and exempted some goods, coffee remains on the tariff list. Brazil’s Finance Minister Fernando Haddad said he intends to speak with US Treasury Secretary Scott Bessent regarding sanctions and trade friction, while welcoming Trump's comment that Lula is “free to call him.” However, Lula reiterated Brazil's stance: dialogue only under conditions of respect and equality.<h2>A strategic opening for China</h2>With the US backing away from Brazilian coffee imports, China is seizing the opportunity to deepen economic ties. As the US erects trade barriers, Brazil is aligning itself more closely with global partners who show a willingness to engage on Brazil’s terms.&nbsp;(With inputs from agencies)

The Chinese permits, effective from July 30 and valid for five years, mark a potential shift in the global coffee trade. Brazil, the world’s largest coffee producer, is currently facing rising trade tensions with the US, which buys about 16 per cent of its coffee exports.

In a strategic move to bolster trade ties, China has approved 183 new Brazilian coffee exporters to ship products to its market, the Chinese Embassy in Brazil announced over the weekend. The decision comes just days ahead of the United States imposing a 50 per cent tariff on several Brazilian goods, including coffee, a significant blow to Brazil’s largest agricultural export. The Chinese permits, effective from July 30 and valid for five years, mark a potential shift in the global coffee trade. Brazil, the world’s largest coffee producer, is currently facing rising trade tensions with the US, which buys about 16 per cent of its coffee exports. In June alone, Brazil exported over 440,000 60-kg bags of coffee to the US, compared to just 56,000 to China, according to data from Brazilian coffee exporters' group Cecafe. With the new Chinese approvals in place, Brazilian exporters may now look to China as a key alternative market, particularly as they scramble to redirect the roughly 8 million bags traditionally sold to US buyers annually. Lula responds to trade war with diversification Brazilian President Luiz Inácio Lula da Silva’s administration has actively worked to diversify Brazil’s trade relationships, particularly in Asia. “We want to negotiate on equal terms,” Lula said Sunday at a Workers’ Party event in Brasília. “We will support our companies, defend our workers, and say, ‘Look, when you’re ready to negotiate, our proposals are on the table.’” Lula’s comments come amid heightened tensions with former US President Donald Trump, who recently threatened punitive tariffs unless Brazil's Supreme Court halted legal proceedings against former President Jair Bolsonaro. While Washington has delayed the tariff hike to August 6 and exempted some goods, coffee remains on the tariff list. Brazil’s Finance Minister Fernando Haddad said he intends to speak with US Treasury Secretary Scott Bessent regarding sanctions and trade friction, while welcoming Trump's comment that Lula is “free to call him.” However, Lula reiterated Brazil's stance: dialogue only under conditions of respect and equality. A strategic opening for China With the US backing away from Brazilian coffee imports, China is seizing the opportunity to deepen economic ties. As the US erects trade barriers, Brazil is aligning itself more closely with global partners who show a willingness to engage on Brazil’s terms. (With inputs from agencies)

The Chinese permits, effective from July 30 and valid for five years, mark a potential shift in the global coffee trade. Brazil, the world’s largest coffee producer, is currently facing rising trade tensions with the US, which buys about 16 per cent of its coffee exports.

China opens door to Brazilian coffee as US tariffs loom

China’s independent oil companies are making a significant push into Iraq’s oil sector, with plans to double their output in the country to 500,000 barrels per day (bpd) by 2030. This surge in activity comes as Iraq, the second-largest oil producer in OPEC, looks to attract new investments and meet ambitious production goals. These smaller Chinese firms, led by veterans of China’s major state-owned energy giants, are capitalising on lucrative contract terms and lower operational costs.China National Petroleum Corporation (CNPC), which currently dominates Iraq’s oil output, controls over half of the country’s production at major fields such as Haifaya, Rumaila, and West Qurna 1. However, the latest influx of smaller, privately run Chinese firms into Iraq is shifting the landscape. Companies such as Geo-Jade Petroleum, United Energy Group, Zhongman Petroleum, and Anton Oilfield Services have won significant exploration licenses and are now betting on Iraq’s improved investment climate and growing political stability.<h2>A changing landscape for Iraq’s oil industry</h2>The transition to profit-sharing contracts, implemented by Iraq’s oil ministry a year ago, has proven to be a key factor in attracting smaller Chinese firms. These new agreements offer greater financial flexibility compared to the previous fixed-fee contracts, which were more common during the era of major Western oil players like ExxonMobil and Shell. Smaller Chinese firms are also proving to be more nimble and cost-effective in their operations, with a reputation for rapid project execution, strict adherence to timelines, and a higher risk tolerance.Chinese companies are reducing drilling costs, with prices now half what they were a decade ago. Executives say that these firms can develop an oilfield in as little as two to three years, much faster than their Western counterparts, who typically require five to ten years. “Chinese independents have much lower management costs compared to Western firms and are also more competitive versus Chinese state-run players,” Dai Xiaoping, CEO of Geo-Jade Petroleum, told Reuters.One of the notable projects being led by Geo-Jade is the South Basra project, which involves revitalising the Tuba field in southern Iraq and expanding its production capacity to 100,000 bpd by mid-2027. This project will also include a refinery and petrochemical complex, with investments totalling billions of dollars.<h2>Challenges ahead for Chinese firms</h2>While China’s smaller oil firms are helping to drive down industry costs, there are concerns regarding transparency and the use of Chinese labour in Iraq. Former Basra Oil operations manager Muwafaq Abbas raised concerns about the technical standards and reliance on Chinese staff, which has often left local Iraqi workers in lower-paying positions. Despite these challenges, Iraq remains keen to bolster its oil output, with a goal of increasing production to over 6 million bpd by 2029.Though Chinese companies are making significant strides in Iraq, some Western firms are returning to the market. TotalEnergies, for example, announced a $27 billion project in 2023, and BP is expected to invest up to $25 billion in the redevelopment of fields in the Kurdish region.

Chinese companies are reducing drilling costs, with prices now half what they were a decade ago. Executives say that these firms can develop an oilfield in as little as two to three years, much faster than their Western counterparts, who typically require five to ten years.

China’s independent oil companies are making a significant push into Iraq’s oil sector, with plans to double their output in the country to 500,000 barrels per day (bpd) by 2030. This surge in activity comes as Iraq, the second-largest oil producer in OPEC, looks to attract new investments and meet ambitious production goals. These smaller Chinese firms, led by veterans of China’s major state-owned energy giants, are capitalising on lucrative contract terms and lower operational costs. China National Petroleum Corporation (CNPC), which currently dominates Iraq’s oil output, controls over half of the country’s production at major fields such as Haifaya, Rumaila, and West Qurna 1. However, the latest influx of smaller, privately run Chinese firms into Iraq is shifting the landscape. Companies such as Geo-Jade Petroleum, United Energy Group, Zhongman Petroleum, and Anton Oilfield Services have won significant exploration licenses and are now betting on Iraq’s improved investment climate and growing political stability. A changing landscape for Iraq’s oil industry The transition to profit-sharing contracts, implemented by Iraq’s oil ministry a year ago, has proven to be a key factor in attracting smaller Chinese firms. These new agreements offer greater financial flexibility compared to the previous fixed-fee contracts, which were more common during the era of major Western oil players like ExxonMobil and Shell. Smaller Chinese firms are also proving to be more nimble and cost-effective in their operations, with a reputation for rapid project execution, strict adherence to timelines, and a higher risk tolerance. Chinese companies are reducing drilling costs, with prices now half what they were a decade ago. Executives say that these firms can develop an oilfield in as little as two to three years, much faster than their Western counterparts, who typically require five to ten years. “Chinese independents have much lower management costs compared to Western firms and are also more competitive versus Chinese state-run players,” Dai Xiaoping, CEO of Geo-Jade Petroleum, told Reuters. One of the notable projects being led by Geo-Jade is the South Basra project, which involves revitalising the Tuba field in southern Iraq and expanding its production capacity to 100,000 bpd by mid-2027. This project will also include a refinery and petrochemical complex, with investments totalling billions of dollars. Challenges ahead for Chinese firms While China’s smaller oil firms are helping to drive down industry costs, there are concerns regarding transparency and the use of Chinese labour in Iraq. Former Basra Oil operations manager Muwafaq Abbas raised concerns about the technical standards and reliance on Chinese staff, which has often left local Iraqi workers in lower-paying positions. Despite these challenges, Iraq remains keen to bolster its oil output, with a goal of increasing production to over 6 million bpd by 2029. Though Chinese companies are making significant strides in Iraq, some Western firms are returning to the market. TotalEnergies, for example, announced a $27 billion project in 2023, and BP is expected to invest up to $25 billion in the redevelopment of fields in the Kurdish region.

Chinese companies are reducing drilling costs, with prices now half what they were a decade ago. Executives say that these firms can develop an oilfield in as little as two to three years, much faster than their Western counterparts, who typically require five to ten years.

Iraq’s oil industry sees surge in Chinese investment amid western retreat

US President Donald Trump's top aide Stephen Miller on Sunday (Aug 3) accused India of "financing" Russia's war in Ukraine by the nation's continued purchase of oil from Moscow. This comes as the United States continues to escalate pressure on New Delhi to stop buying Russian oil. Miller, the deputy chief of staff at the White House and one of Trump's most influential aides, during an interview, said that the US president has "very clearly" told India that it was "not acceptable for India to continue financing this war by purchasing the oil from Russia".&nbsp;<h2>"People will be shocked..."</h2>Appearing on Fox News' "Sunday Morning Futures", Miller voiced what was some of the strongest criticism yet by the Trump administration about India, one of America's major partners in the Indo-Pacific. He said that what Trump "said very clearly is that it is not acceptable for India to continue financing this war by purchasing the oil from Russia."He claimed that “People will be shocked to learn that India is basically tied with China in purchasing Russian oil... That's an astonishing fact.” However, tempering his criticism of India, Miller noted that Donald Trump's relationship with Indian Prime Minister Narendra Modi was "tremendous".His statement comes as the US continues to put pressure on India to cease oil imports from Russia. On Friday, a US tariff of 25 per cent on Indian products also went into effect. Trump has further threatened India and other nations that buy oil from Russia with a 100 per cent tariff unless Moscow reaches a major peace deal with Ukraine.<h2>India to keep buying oil from Russia</h2>Meanwhile, on Saturday (Aug 2), sources in the Indian government told Reuters that New Delhi will keep purchasing oil from Moscow despite US threats. Calling the imports "long-term oil contracts", one unnamed source said that it was "not so simple to just stop buying overnight." Another Indian government official who also chose to stay anonymous noted that India's purchase of Russian crude has helped avoid a global surge in oil prices.&nbsp;&nbsp;

Stephen Miller, the deputy chief of staff at the White House and one of Trump's most influential aides, during an interview, said that the US president has "very clearly" told India that it was "not acceptable for India to continue financing this war by purchasing the oil from Russia". 

US President Donald Trump's top aide Stephen Miller on Sunday (Aug 3) accused India of "financing" Russia's war in Ukraine by the nation's continued purchase of oil from Moscow. This comes as the United States continues to escalate pressure on New Delhi to stop buying Russian oil. Miller, the deputy chief of staff at the White House and one of Trump's most influential aides, during an interview, said that the US president has "very clearly" told India that it was "not acceptable for India to continue financing this war by purchasing the oil from Russia". "People will be shocked..." Appearing on Fox News' "Sunday Morning Futures", Miller voiced what was some of the strongest criticism yet by the Trump administration about India, one of America's major partners in the Indo-Pacific. He said that what Trump "said very clearly is that it is not acceptable for India to continue financing this war by purchasing the oil from Russia." He claimed that “People will be shocked to learn that India is basically tied with China in purchasing Russian oil... That's an astonishing fact.” However, tempering his criticism of India, Miller noted that Donald Trump's relationship with Indian Prime Minister Narendra Modi was "tremendous". His statement comes as the US continues to put pressure on India to cease oil imports from Russia. On Friday, a US tariff of 25 per cent on Indian products also went into effect. Trump has further threatened India and other nations that buy oil from Russia with a 100 per cent tariff unless Moscow reaches a major peace deal with Ukraine. India to keep buying oil from Russia Meanwhile, on Saturday (Aug 2), sources in the Indian government told Reuters that New Delhi will keep purchasing oil from Moscow despite US threats. Calling the imports "long-term oil contracts", one unnamed source said that it was "not so simple to just stop buying overnight." Another Indian government official who also chose to stay anonymous noted that India's purchase of Russian crude has helped avoid a global surge in oil prices.

Stephen Miller, the deputy chief of staff at the White House and one of Trump's most influential aides, during an interview, said that the US president has "very clearly" told India that it was "not acceptable for India to continue financing this war by purchasing the oil from Russia".&nbsp;

'People will be shocked...': Trump top aide Stephen Miller accuses India of 'financing' Russia's war in Ukraine via oil purchases

OPEC and its allies are preparing to greenlight another major oil production increase for September, according to a Bloomberg report citing an OPEC+ delegate. The coalition, led by Saudi Arabia and Russia, is expected to ratify an output hike of 548,000 barrels per day in a video conference scheduled for Sunday. This would mark the final phase of reversing a 2.2 million barrel per day cut initiated by eight members of the group in 2023. It also includes additional allowances for the United Arab Emirates. The move reflects a dramatic pivot by the group from defending high oil prices to reclaiming market share, amid strong summer demand and geopolitical uncertainty.<h2>OPEC+ accelerates reversal of 2023 cuts</h2>As per Bloomberg, the production increase caps months of accelerated supply hikes by the alliance. In early April, OPEC+ shocked markets by announcing a rapid rollback of earlier output curbs, sending oil prices to a four-year low. That decision coincided with President Donald Trump’s surprise “Liberation Day” tariffs, which rattled global markets and put pressure on the group to stabilise prices.&nbsp;Since then, OPEC+ has followed through with a series of bumper monthly increases, ramping up production further in July. Analysts suggest the group’s strategy is now geared more toward increasing global supply, rather than propping up prices.<h2>Brent holds near $70 but surplus looms</h2>Despite the sharp policy shift, crude prices have slowly recovered over the summer. Brent futures hovered just below $70 per barrel on Friday, still down 6.7 per cent for the year, according to Bloomberg data. However, market experts warn of a looming surplus later in 2025, as the production increases outpace demand growth.&nbsp;Retail gasoline prices in the US have edged lower recently, offering some political relief for President Trump, who has long criticised OPEC+ for high prices and has repeatedly urged the Federal Reserve to cut interest rates. The current supply expansion aligns with Trump’s broader economic strategy, which seeks to ease inflationary pressures by reducing energy costs.<h2>Ukraine war and Russian oil in spotlight</h2>The decision also comes as the Trump administration considers new penalties on Russian oil exports. According to Bloomberg, Washington may impose secondary tariffs on buyers of Russian crude unless a ceasefire is reached in Ukraine. Any disruption to Russian oil flows could push prices higher, potentially clashing with Trump’s repeated calls for cheaper energy. Against this tense backdrop, Russia’s Deputy Prime Minister Alexander Novak made a rare visit to Riyadh on Thursday. He met with Saudi Energy Minister Prince Abdulaziz bin Salman to discuss bilateral cooperation, as reported by Bloomberg.&nbsp;&nbsp;The two nations have jointly steered OPEC+ since its inception nearly a decade ago, and their coordination will be crucial as the group weighs further output adjustments. For now, global oil markets are bracing for a potential oversupply, even as geopolitical tensions simmer. The next decision facing OPEC+ may involve the 1.66 million barrels per day of output that remains offline until the end of 2026. Whether that volume returns earlier will depend on market dynamics and perhaps more importantly, the political calculations in Washington and Moscow.&nbsp;(With inputs from the agencies)&nbsp;

With oil prices near $70 and surplus risks rising, OPEC+ production surge tests global demand resilience amid US-Russia tensions and Trump inflation fight.

OPEC and its allies are preparing to greenlight another major oil production increase for September, according to a Bloomberg report citing an OPEC+ delegate. The coalition, led by Saudi Arabia and Russia, is expected to ratify an output hike of 548,000 barrels per day in a video conference scheduled for Sunday. This would mark the final phase of reversing a 2.2 million barrel per day cut initiated by eight members of the group in 2023. It also includes additional allowances for the United Arab Emirates. The move reflects a dramatic pivot by the group from defending high oil prices to reclaiming market share, amid strong summer demand and geopolitical uncertainty. OPEC+ accelerates reversal of 2023 cuts As per Bloomberg, the production increase caps months of accelerated supply hikes by the alliance. In early April, OPEC+ shocked markets by announcing a rapid rollback of earlier output curbs, sending oil prices to a four-year low. That decision coincided with President Donald Trump’s surprise “Liberation Day” tariffs, which rattled global markets and put pressure on the group to stabilise prices. Since then, OPEC+ has followed through with a series of bumper monthly increases, ramping up production further in July. Analysts suggest the group’s strategy is now geared more toward increasing global supply, rather than propping up prices. Brent holds near $70 but surplus looms Despite the sharp policy shift, crude prices have slowly recovered over the summer. Brent futures hovered just below $70 per barrel on Friday, still down 6.7 per cent for the year, according to Bloomberg data. However, market experts warn of a looming surplus later in 2025, as the production increases outpace demand growth. Retail gasoline prices in the US have edged lower recently, offering some political relief for President Trump, who has long criticised OPEC+ for high prices and has repeatedly urged the Federal Reserve to cut interest rates. The current supply expansion aligns with Trump’s broader economic strategy, which seeks to ease inflationary pressures by reducing energy costs. Ukraine war and Russian oil in spotlight The decision also comes as the Trump administration considers new penalties on Russian oil exports. According to Bloomberg, Washington may impose secondary tariffs on buyers of Russian crude unless a ceasefire is reached in Ukraine. Any disruption to Russian oil flows could push prices higher, potentially clashing with Trump’s repeated calls for cheaper energy. Against this tense backdrop, Russia’s Deputy Prime Minister Alexander Novak made a rare visit to Riyadh on Thursday. He met with Saudi Energy Minister Prince Abdulaziz bin Salman to discuss bilateral cooperation, as reported by Bloomberg. The two nations have jointly steered OPEC+ since its inception nearly a decade ago, and their coordination will be crucial as the group weighs further output adjustments. For now, global oil markets are bracing for a potential oversupply, even as geopolitical tensions simmer. The next decision facing OPEC+ may involve the 1.66 million barrels per day of output that remains offline until the end of 2026. Whether that volume returns earlier will depend on market dynamics and perhaps more importantly, the political calculations in Washington and Moscow. (With inputs from the agencies)

OPEC+ is set to approve a 548,000 bpd output hike for September, finalising its pivot from price support to regaining market share.

OPEC+ agrees to major supply hike as Trump eyes lower oil prices

US pressure on Russian crude trade could inflate India’s oil imports by $11 billionIndia’s reliance on discounted Russian crude may soon come at a steep cost. According to analysts quoted by the Press Trust of India (PTI), India could see its annual oil import bill surge by $9–11 billion (₹75,000–91,000 crore) if compelled to scale back or halt Russian crude purchases amid growing US pressure. The warning follows US President Donald Trump’s recent announcement of a 25 per cent tariff on Indian goods and threats of additional penalties for importing Russian oil and defence equipment. The tariff is now in force, while the nature of the penalty remains unspecified. However, the chilling effect is already visible in Indian refineries and global trade circles.<h2>Russian crude, once a bargain, now a geopolitical liability</h2>India, the world’s third-largest oil importer, had swiftly ramped up Russian oil purchases after Western sanctions isolated Moscow post its 2022 invasion of Ukraine. From under 0.2 per cent before the war, Russian crude now makes up 35–40 per cent of India’s total imports. The shift delivered massive cost savings, tamed domestic fuel prices, and helped private refiners like Reliance Industries and Nayara Energy clock record profits by refining cheap crude into diesel and exporting it, even to Europe.&nbsp;But with the European Union banning imports of fuels derived from Russian-origin crude starting January 2026, and Washington threatening penalties, Indian refiners now face what Kpler analyst Sumit Ritolia calls “a squeeze from both ends.” According to Kpler, EU rules will force Indian refiners to segregate their crude intake, while the US may introduce secondary sanctions that complicate shipping, insurance, and dollar-based financing, the backbone of India’s Russian oil trade.<h2>Refiners export and margin hit</h2>India’s total oil import bill stood at over $137 billion (₹11.4 lakh crore) last fiscals. Any disruption in Russian flows or loss of the $5-per-barrel discount could push costs sharply higher, as per PTI. The impact would be most acute for private refiners. Reliance, which sends over 185,000 barrels per day of refined fuels to Europe in 2025, risks losing market access if it fails to comply with origin-tracking mandates.&nbsp;&nbsp;While Reliance may reroute these products to Asia, Africa, or Latin America, analysts warn this would involve longer voyages, narrower margins, and higher risk. Nayara Energy, majority-owned by Russia’s Rosneft, faces EU sanctions already and is even more exposed.<h2>July imports drop as refiners reassess risk</h2>India’s Russian crude imports fell to 1.8 million barrels per day in July, down from 2.1 million bpd in June, as per Kpler data. While part of the decline was due to seasonal refinery maintenance, analysts noted that state-run refiners are particularly cautious, anticipating compliance challenges and regulatory uncertainty.&nbsp;Private refiners, who account for over 50 per cent of Russian crude intake, have also begun diversifying their procurement, with a fresh focus on non-Russian barrels from the Middle East, West Africa, Latin America, or even the United States, wherever commercially viable.But experts caution that this is far from a plug-and-play switch.<h2>Consumers may feel the heat</h2>Ritolia noted that replacing Russian crude fully is logistically complex, costly, and technically challenging, especially for complex Indian refineries calibrated to handle Urals-grade blends. Switching feedstock could reduce yields and profitability, ultimately affecting margins. Should Russia be forced out of India’s oil mix, the country’s energy security, fiscal balance, and inflation management would come under stress. If the government opts to absorb the price shock to protect consumers, the resulting fiscal burden could widen.&nbsp;Kpler estimates that India could face an additional $9–11 billion (₹75,000–91,000 crore) in annual import costs just from losing the Russian discount. And if global oil prices rise further due to supply rebalancing, the impact could be even worse. In that case, Indian consumers could face rising petrol and diesel prices, while the rupee may weaken and monetary policy could become harder to manage. As PTI reports, India’s bet on Russian crude helped stabilise its energy economy for two years. But with US and EU pressure mounting, that bargain may soon turn into a very expensive risk.&nbsp;(With inputs from the agencies)&nbsp;

With sanctions tightening, Indian refiners face export hurdles, higher costs, and shrinking margins if forced to pivot from discounted Russian oil.

US pressure on Russian crude trade could inflate India’s oil imports by $11 billion India’s reliance on discounted Russian crude may soon come at a steep cost. According to analysts quoted by the Press Trust of India (PTI), India could see its annual oil import bill surge by $9–11 billion (₹75,000–91,000 crore) if compelled to scale back or halt Russian crude purchases amid growing US pressure. The warning follows US President Donald Trump’s recent announcement of a 25 per cent tariff on Indian goods and threats of additional penalties for importing Russian oil and defence equipment. The tariff is now in force, while the nature of the penalty remains unspecified. However, the chilling effect is already visible in Indian refineries and global trade circles. Russian crude, once a bargain, now a geopolitical liability India, the world’s third-largest oil importer, had swiftly ramped up Russian oil purchases after Western sanctions isolated Moscow post its 2022 invasion of Ukraine. From under 0.2 per cent before the war, Russian crude now makes up 35–40 per cent of India’s total imports. The shift delivered massive cost savings, tamed domestic fuel prices, and helped private refiners like Reliance Industries and Nayara Energy clock record profits by refining cheap crude into diesel and exporting it, even to Europe. But with the European Union banning imports of fuels derived from Russian-origin crude starting January 2026, and Washington threatening penalties, Indian refiners now face what Kpler analyst Sumit Ritolia calls “a squeeze from both ends.” According to Kpler, EU rules will force Indian refiners to segregate their crude intake, while the US may introduce secondary sanctions that complicate shipping, insurance, and dollar-based financing, the backbone of India’s Russian oil trade. Refiners export and margin hit India’s total oil import bill stood at over $137 billion (₹11.4 lakh crore) last fiscals. Any disruption in Russian flows or loss of the $5-per-barrel discount could push costs sharply higher, as per PTI. The impact would be most acute for private refiners. Reliance, which sends over 185,000 barrels per day of refined fuels to Europe in 2025, risks losing market access if it fails to comply with origin-tracking mandates. While Reliance may reroute these products to Asia, Africa, or Latin America, analysts warn this would involve longer voyages, narrower margins, and higher risk. Nayara Energy, majority-owned by Russia’s Rosneft, faces EU sanctions already and is even more exposed. July imports drop as refiners reassess risk India’s Russian crude imports fell to 1.8 million barrels per day in July, down from 2.1 million bpd in June, as per Kpler data. While part of the decline was due to seasonal refinery maintenance, analysts noted that state-run refiners are particularly cautious, anticipating compliance challenges and regulatory uncertainty. Private refiners, who account for over 50 per cent of Russian crude intake, have also begun diversifying their procurement, with a fresh focus on non-Russian barrels from the Middle East, West Africa, Latin America, or even the United States, wherever commercially viable. But experts caution that this is far from a plug-and-play switch. Consumers may feel the heat Ritolia noted that replacing Russian crude fully is logistically complex, costly, and technically challenging, especially for complex Indian refineries calibrated to handle Urals-grade blends. Switching feedstock could reduce yields and profitability, ultimately affecting margins. Should Russia be forced out of India’s oil mix, the country’s energy security, fiscal balance, and inflation management would come under stress. If the government opts to absorb the price shock to protect consumers, the resulting fiscal burden could widen. Kpler estimates that India could face an additional $9–11 billion (₹75,000–91,000 crore) in annual import costs just from losing the Russian discount. And if global oil prices rise further due to supply rebalancing, the impact could be even worse. In that case, Indian consumers could face rising petrol and diesel prices, while the rupee may weaken and monetary policy could become harder to manage. As PTI reports, India’s bet on Russian crude helped stabilise its energy economy for two years. But with US and EU pressure mounting, that bargain may soon turn into a very expensive risk. (With inputs from the agencies)

India risks a $9 billion to $11 billion spike in its oil import bill as US and EU pressure mounts over Russian crude reliance.

US pressure on Russian crude trade could inflate India’s oil imports by $11 billion

Warren Buffett’s Berkshire Hathaway took a staggering $3.76 billion after-tax write-down on its Kraft Heinz stake in the second quarter, a signal that one of its largest investments has fallen significantly short of expectations. As reported by Reuters, the write-down slashed Berkshire’s overall net income by 59 per cent, while operating profits also declined, reflecting growing concerns over market valuations, global trade uncertainties, and lacklustre performance across key businesses.<h2>A tough quarter for Buffett</h2>Berkshire reported second-quarter operating income of $11.16 billion, down from $11.6 billion a year ago. Net income, which includes unrealised gains and losses on Berkshire’s vast stock portfolio tumbled to $12.37 billion from $30.35 billion in the same period last year. Revenue fell 1 per cent to $92.52 billion, weighed down by weak insurance premiums and foreign exchange losses of $877 million due to a weaker US dollar.&nbsp;The most notable hit came from Kraft Heinz, in which Berkshire holds a 27.4 per cent stake. The food giant recently announced it would explore strategic alternatives, including a possible breakup, after years of lagging consumer interest and shifting demand toward healthier and private-label options. Berkshire said it had carried its Kraft Heinz stake at above-market value, but changing market conditions, economic uncertainties, and longer-term intentions to remain an investor made the valuation gap “other-than-temporary”. As per Reuters, this marks the second major Kraft Heinz writedown by Berkshire, following a $3 billion markdown in 2019. Buffett had previously admitted to overpaying in the 2015 merger between Kraft Foods and H.J. Heinz, calling it one of his major investment missteps.<h2>Cash pile swells, stock buying stalls</h2>Despite the earnings drag, Berkshire’s cash hoard grew to $344.1 billion, just shy of its all-time high. According to Reuters, the company once again sold more stocks than it bought, for an 11th straight quarter suggesting that Buffett and his team view current market valuations as unattractive.Buffett has not repurchased Berkshire stock since May 2024, signalling further caution even as US and global equities test record highs. Analysts cited by Reuters say President Trump’s escalating tariff regime, particularly on consumer goods and critical imports has likely raised the bar for new investments.&nbsp;“Buffett definitely views the market as overvalued, and will sit back and wait for something to come to him,” said Kyle Sanders, an analyst at Edward Jones, as quoted by Reuters.<h2>Mixed signals from operating units</h2>Berkshire’s vast operating empire also offered a mixed performance. The group’s insurance underwriting profits fell 12 per cent, dragged down by weaker results in reinsurance and smaller carriers. However, Geico, its flagship auto insurer, saw a modest 2 per cent increase in pre-tax underwriting profit, though analysts warned that Trump’s 25 per cent tariffs on Chinese parts could raise future claims costs.&nbsp;The company’s rail and utilities segments fared better. Railroad operator BNSF posted a 19 per cent profit increase due to lower fuel expenses, despite flat volumes. Meanwhile, Berkshire Hathaway Energy saw earnings rise 7 per cent, even as the company flagged uncertainty over Trump’s One Big Beautiful Bill Act, which could disrupt the economics of renewables, grid storage, and transmission investment.<h2>Post-Buffett era jitters weigh on stock</h2>Shares of Berkshire have dropped over 12 per cent since Buffett announced on May 3 that he would step down as CEO at year-end. Vice Chairman Greg Abel, 63, is set to take over, while Buffett remains chairman. But as per Reuters, the company is already feeling the weight of the so-called “Buffett premium” beginning to erode, with the stock underperforming the S&amp;P 500 by 22 percentage points in that time.&nbsp;“Berkshire and the economy are both at inflection points,” said Cathy Seifert, analyst at CFRA Research, speaking to Reuters. “The combination of mediocre results, a lack of buybacks, and succession uncertainty is not what the market wants to see.”<h2>Waiting for a better pitch</h2>For now, Buffett appears content to sit on the sidelines with his record cash stockpile, avoiding new bets in a market clouded by tariff uncertainty, inflation pressures, and geopolitical volatility. The 93-year-old billionaire, who built Berkshire into a $1 trillion empire, remains cautious and with the US economy flashing mixed signals, investors may need to wait longer for his next “elephant-sized” acquisition.&nbsp;(With inputs from the agencies)&nbsp;

Buffett Berkshire posts a steep net income drop, writes down Kraft Heinz, and stockpiles $344B in cash as market uncertainty stalls big investments.

Warren Buffett’s Berkshire Hathaway took a staggering $3.76 billion after-tax write-down on its Kraft Heinz stake in the second quarter, a signal that one of its largest investments has fallen significantly short of expectations. As reported by Reuters, the write-down slashed Berkshire’s overall net income by 59 per cent, while operating profits also declined, reflecting growing concerns over market valuations, global trade uncertainties, and lacklustre performance across key businesses. A tough quarter for Buffett Berkshire reported second-quarter operating income of $11.16 billion, down from $11.6 billion a year ago. Net income, which includes unrealised gains and losses on Berkshire’s vast stock portfolio tumbled to $12.37 billion from $30.35 billion in the same period last year. Revenue fell 1 per cent to $92.52 billion, weighed down by weak insurance premiums and foreign exchange losses of $877 million due to a weaker US dollar. The most notable hit came from Kraft Heinz, in which Berkshire holds a 27.4 per cent stake. The food giant recently announced it would explore strategic alternatives, including a possible breakup, after years of lagging consumer interest and shifting demand toward healthier and private-label options. Berkshire said it had carried its Kraft Heinz stake at above-market value, but changing market conditions, economic uncertainties, and longer-term intentions to remain an investor made the valuation gap “other-than-temporary”. As per Reuters, this marks the second major Kraft Heinz writedown by Berkshire, following a $3 billion markdown in 2019. Buffett had previously admitted to overpaying in the 2015 merger between Kraft Foods and H.J. Heinz, calling it one of his major investment missteps. Cash pile swells, stock buying stalls Despite the earnings drag, Berkshire’s cash hoard grew to $344.1 billion, just shy of its all-time high. According to Reuters, the company once again sold more stocks than it bought, for an 11th straight quarter suggesting that Buffett and his team view current market valuations as unattractive. Buffett has not repurchased Berkshire stock since May 2024, signalling further caution even as US and global equities test record highs. Analysts cited by Reuters say President Trump’s escalating tariff regime, particularly on consumer goods and critical imports has likely raised the bar for new investments. “Buffett definitely views the market as overvalued, and will sit back and wait for something to come to him,” said Kyle Sanders, an analyst at Edward Jones, as quoted by Reuters. Mixed signals from operating units Berkshire’s vast operating empire also offered a mixed performance. The group’s insurance underwriting profits fell 12 per cent, dragged down by weaker results in reinsurance and smaller carriers. However, Geico, its flagship auto insurer, saw a modest 2 per cent increase in pre-tax underwriting profit, though analysts warned that Trump’s 25 per cent tariffs on Chinese parts could raise future claims costs. The company’s rail and utilities segments fared better. Railroad operator BNSF posted a 19 per cent profit increase due to lower fuel expenses, despite flat volumes. Meanwhile, Berkshire Hathaway Energy saw earnings rise 7 per cent, even as the company flagged uncertainty over Trump’s One Big Beautiful Bill Act, which could disrupt the economics of renewables, grid storage, and transmission investment. Post-Buffett era jitters weigh on stock Shares of Berkshire have dropped over 12 per cent since Buffett announced on May 3 that he would step down as CEO at year-end. Vice Chairman Greg Abel, 63, is set to take over, while Buffett remains chairman. But as per Reuters, the company is already feeling the weight of the so-called “Buffett premium” beginning to erode, with the stock underperforming the S&P 500 by 22 percentage points in that time. “Berkshire and the economy are both at inflection points,” said Cathy Seifert, analyst at CFRA Research, speaking to Reuters. “The combination of mediocre results, a lack of buybacks, and succession uncertainty is not what the market wants to see.” Waiting for a better pitch For now, Buffett appears content to sit on the sidelines with his record cash stockpile, avoiding new bets in a market clouded by tariff uncertainty, inflation pressures, and geopolitical volatility. The 93-year-old billionaire, who built Berkshire into a $1 trillion empire, remains cautious and with the US economy flashing mixed signals, investors may need to wait longer for his next “elephant-sized” acquisition. (With inputs from the agencies)

Berkshire Hathaway took a $3.76 billion hit on Kraft Heinz as Warren Buffett faces valuation woes, weaker earnings, and growing succession jitters.

Buffett’s Berkshire slumps on $3.8 bn Kraft Heinz loss, sits tight as tariffs loom

Amid fresh US tariffs and escalating global economic uncertainty, Indian Prime Minister Narendra Modi has renewed his call for citizens to buy and promote Indian-made products, stressing the need for economic self-reliance. At a public rally in Uttar Pradesh on Saturday, Modi reiterated the importance of local manufacturing and consumption, urging Indians to set a simple benchmark for every purchase: prioritising products “made by the sweat of an Indian.”&nbsp;“The world economy is going through many apprehensions, there is an atmosphere of instability. Now, whatever we buy, there should be only one scale: we will buy those things which have been made by the sweat of an Indian,” Modi said, as quoted by Bloomberg. While the Prime Minister made no direct reference to the United States, his comments come in the wake of US President Donald Trump’s imposition of 25 per cent tariffs on Indian exports, a move that has rattled Indian trade and policy circles.<h2>‘Make in India’ message finds new urgency</h2>PM Modi’s renewed emphasis echoes his long-running “Make in India” campaign, but with heightened urgency. As per Bloomberg, Trump has accused India of imposing disproportionately high tariffs compared to other Asian countries and has hinted at further penalties, citing India’s energy and defence ties with Russia.&nbsp;The new tariffs are expected to impact a wide range of Indian export sectors, from textiles and pharmaceuticals to auto parts and engineering goods. With trade relations under strain, the Prime Minister’s messaging appears calibrated to cushion India’s domestic economy through self-reliant consumption.<h2>Farmers, MSMEs and youth in focus</h2>PM Modi also framed his call for buying local as a defence of India’s most vulnerable economic segments, farmers, small industries, and unemployed youth. “The interests of our farmers, our small industries and the employment of our youth are of paramount importance,” he said, as quoted by Bloomberg. “India has to remain vigilant about its economic interests, when other countries are focusing on their own interests,” he added.&nbsp;The message aligns with the government’s larger Atmanirbhar Bharat (Self-Reliant India) push, introduced during the COVID-19 pandemic and now being adapted to weather external shocks such as global trade restrictions and supply chain disruptions.<h2>Rising protectionism reshaping trade policy</h2>The developments come against a backdrop of rising protectionism, with the US taking a tougher stance on imports across the board. India is not alone; other Asian economies are also facing increased scrutiny from Washington under President Trump’s renewed America-first trade doctrine.&nbsp;India has reacted cautiously but firmly. As per Bloomberg, the government has protested the tariffs and is exploring diplomatic channels to seek exemptions or negotiate terms for key industries. PM Modi’s strategic silence on Trump’s tariff move may be part of a broader diplomatic effort to avoid further escalation while reinforcing domestic economic resilience.&nbsp;By doubling down on the “Buy Indian” message, Modi is not just tapping into nationalism but also positioning India to weather the storm of global economic realignments. The shift reflects a broader effort to redirect consumer demand inward, mitigate external shocks, and promote long-term industrial competitiveness. While India navigates a more unpredictable global trade landscape, the Prime Minister’s latest push makes clear that local consumption will be key to insulating the economy from external pressures.&nbsp;(With inputs from the agencies)&nbsp;&nbsp;

Amid US tariff tensions, PM Modi revives his Make in India pitch with a sharper focus on protecting farmers, MSMEs, and youth through local consumption.

Amid fresh US tariffs and escalating global economic uncertainty, Indian Prime Minister Narendra Modi has renewed his call for citizens to buy and promote Indian-made products, stressing the need for economic self-reliance. At a public rally in Uttar Pradesh on Saturday, Modi reiterated the importance of local manufacturing and consumption, urging Indians to set a simple benchmark for every purchase: prioritising products “made by the sweat of an Indian.” “The world economy is going through many apprehensions, there is an atmosphere of instability. Now, whatever we buy, there should be only one scale: we will buy those things which have been made by the sweat of an Indian,” Modi said, as quoted by Bloomberg. While the Prime Minister made no direct reference to the United States, his comments come in the wake of US President Donald Trump’s imposition of 25 per cent tariffs on Indian exports, a move that has rattled Indian trade and policy circles. ‘Make in India’ message finds new urgency PM Modi’s renewed emphasis echoes his long-running “Make in India” campaign, but with heightened urgency. As per Bloomberg, Trump has accused India of imposing disproportionately high tariffs compared to other Asian countries and has hinted at further penalties, citing India’s energy and defence ties with Russia. The new tariffs are expected to impact a wide range of Indian export sectors, from textiles and pharmaceuticals to auto parts and engineering goods. With trade relations under strain, the Prime Minister’s messaging appears calibrated to cushion India’s domestic economy through self-reliant consumption. Farmers, MSMEs and youth in focus PM Modi also framed his call for buying local as a defence of India’s most vulnerable economic segments, farmers, small industries, and unemployed youth. “The interests of our farmers, our small industries and the employment of our youth are of paramount importance,” he said, as quoted by Bloomberg. “India has to remain vigilant about its economic interests, when other countries are focusing on their own interests,” he added. The message aligns with the government’s larger Atmanirbhar Bharat (Self-Reliant India) push, introduced during the COVID-19 pandemic and now being adapted to weather external shocks such as global trade restrictions and supply chain disruptions. Rising protectionism reshaping trade policy The developments come against a backdrop of rising protectionism, with the US taking a tougher stance on imports across the board. India is not alone; other Asian economies are also facing increased scrutiny from Washington under President Trump’s renewed America-first trade doctrine. India has reacted cautiously but firmly. As per Bloomberg, the government has protested the tariffs and is exploring diplomatic channels to seek exemptions or negotiate terms for key industries. PM Modi’s strategic silence on Trump’s tariff move may be part of a broader diplomatic effort to avoid further escalation while reinforcing domestic economic resilience. By doubling down on the “Buy Indian” message, Modi is not just tapping into nationalism but also positioning India to weather the storm of global economic realignments. The shift reflects a broader effort to redirect consumer demand inward, mitigate external shocks, and promote long-term industrial competitiveness. While India navigates a more unpredictable global trade landscape, the Prime Minister’s latest push makes clear that local consumption will be key to insulating the economy from external pressures. (With inputs from the agencies)

PM Modi urges citizens to buy Indian-made goods to boost economic self-reliance as US tariffs and global instability cloud trade prospects.

PM Modi renews ‘Make in India' call amid Trump’s 25% tariff blowback

India is gearing up for a new highway travel initiative, and it’s set to roll out this Independence Day. The Union Road Transport and Highways Ministry, under Nitin Gadkari, is introducing a FASTag Annual Pass exclusively for private vehicles. The pass aims to simplify toll payments and provide unlimited ease on designated National Highways (NH) and National Expressways (NE), up to a limit.<h2>What is FASTag Annual Pass?</h2>Effective from August 15, 2025, the FASTag Annual Pass is a prepaid tolling system that allows cars, jeeps, and vans to make up to 200 free trips or travel for one year, whichever comes first. It is designed for private users and will work only at designated NH and NE toll plazas identified by the National Highways Authority of India (NHAI).&nbsp;As per the announcement, this move is part of a broader strategy to decongest toll booths and reduce friction in India’s growing road network. The FASTag system is already mandatory for all vehicles, and the new pass is expected to further incentivise digital toll payments.<h2>What about price, availability and validity?</h2>The cost of the FASTag Annual Pass has been fixed at ₹3,000 for the financial year 2025–26. It can be purchased via the Rajmargyatra mobile app or directly through the official NHAI website. After purchase, the pass will be activated within two hours—pending verification of the vehicle and its linked FASTag account.&nbsp;The pass remains valid for one year from the date of activation or 200 transactions, depending on which limit is hit earlier. Once the pass expires—either due to duration or number of trips—it automatically reverts to a standard FASTag, meaning tolls will start being deducted per trip again as usual.<h2>Is it transferable?&nbsp;</h2>Each Annual Pass is vehicle-specific. It cannot be transferred to another car or reused across vehicles. According to NHAI’s guidelines, any attempt to use the pass on a different vehicle will result in immediate deactivation of the pass.<h2>What counts as a trip?</h2>Under the rules, each crossing of a point-based toll plaza counts as one trip. A round journey, going and coming back, counts as two trips. For closed tolling systems, which are usually found on access-controlled expressways, a full journey from entry to exit will be counted as one trip.<h2>Gadkari’s push for smart highways</h2>The FASTag Annual Pass comes amid Union Minister Nitin Gadkari’s push for intelligent transport systems and digitalisation of India’s roadways. As per the Ministry, the new system is expected to benefit lakhs of commuters who frequently travel on national highways and face repetitive toll charges.&nbsp;By capping annual payments and offering digital pass management, the initiative is likely to encourage more people to switch to private road travel, especially across India’s expanding expressway network.With the FASTag Annual Pass, the government is taking another step towards seamless highway travel and digitised tolling. While it offers convenience and cost predictability to frequent travellers, users will need to follow strict guidelines to avoid deactivation.&nbsp;(With inputs from the agencies)

Set to debut this Independence Day, the FASTag Annual Pass promises smoother, cost-effective highway travel, but with strict rules on use and vehicle verification.

India is gearing up for a new highway travel initiative, and it’s set to roll out this Independence Day. The Union Road Transport and Highways Ministry, under Nitin Gadkari, is introducing a FASTag Annual Pass exclusively for private vehicles. The pass aims to simplify toll payments and provide unlimited ease on designated National Highways (NH) and National Expressways (NE), up to a limit. What is FASTag Annual Pass? Effective from August 15, 2025, the FASTag Annual Pass is a prepaid tolling system that allows cars, jeeps, and vans to make up to 200 free trips or travel for one year, whichever comes first. It is designed for private users and will work only at designated NH and NE toll plazas identified by the National Highways Authority of India (NHAI). As per the announcement, this move is part of a broader strategy to decongest toll booths and reduce friction in India’s growing road network. The FASTag system is already mandatory for all vehicles, and the new pass is expected to further incentivise digital toll payments. What about price, availability and validity? The cost of the FASTag Annual Pass has been fixed at ₹3,000 for the financial year 2025–26. It can be purchased via the Rajmargyatra mobile app or directly through the official NHAI website. After purchase, the pass will be activated within two hours—pending verification of the vehicle and its linked FASTag account. The pass remains valid for one year from the date of activation or 200 transactions, depending on which limit is hit earlier. Once the pass expires—either due to duration or number of trips—it automatically reverts to a standard FASTag, meaning tolls will start being deducted per trip again as usual. Is it transferable? Each Annual Pass is vehicle-specific. It cannot be transferred to another car or reused across vehicles. According to NHAI’s guidelines, any attempt to use the pass on a different vehicle will result in immediate deactivation of the pass. What counts as a trip? Under the rules, each crossing of a point-based toll plaza counts as one trip. A round journey, going and coming back, counts as two trips. For closed tolling systems, which are usually found on access-controlled expressways, a full journey from entry to exit will be counted as one trip. Gadkari’s push for smart highways The FASTag Annual Pass comes amid Union Minister Nitin Gadkari’s push for intelligent transport systems and digitalisation of India’s roadways. As per the Ministry, the new system is expected to benefit lakhs of commuters who frequently travel on national highways and face repetitive toll charges. By capping annual payments and offering digital pass management, the initiative is likely to encourage more people to switch to private road travel, especially across India’s expanding expressway network. With the FASTag Annual Pass, the government is taking another step towards seamless highway travel and digitised tolling. While it offers convenience and cost predictability to frequent travellers, users will need to follow strict guidelines to avoid deactivation. (With inputs from the agencies)

India to launch a FASTag Annual Pass for private vehicles on August 15, offering up to 200 toll-free trips on select highways for ₹3,000 a year.

India launches FASTag Annual Pass for private vehicles from August 15: Details here

Iran and Iraq appear to be on the brink of resolving a long-standing dispute over Iranian gas exports and Iraq’s unpaid dues, just as Baghdad battles surging power demand during peak summer months. Iran’s Oil Minister Mohsen Paknejad on Saturday said that both nations are close to settling the issues that have disrupted energy flows and strained bilateral relations, as per Bloomberg.&nbsp;&nbsp;“We will soon witness the resolution of both issues,” Paknejad said, as quoted by Iran’s state broadcaster IRIB News after meeting with Iraq’s Electricity Minister Ziad Ali Fadhil in Tehran. The statement was cited in a Bloomberg report on the matter.<h2>Electricity shortages plague Iraq</h2>The gas shortfall from Iran has significantly impacted Iraq’s electricity generation, pushing parts of the country into deeper blackouts. Iraq’s Electricity Ministry recently confirmed that reduced Iranian gas deliveries had forced cuts in domestic power output, straining an already fragile grid as temperatures soar above 50°C in several provinces.&nbsp;As per Bloomberg, Minister Fadhil’s ministry stressed the urgency of restoring Iranian gas flows to meet Iraq’s peak summer energy needs. Iraq depends on Iran for roughly one-third of its power generation, either through direct gas supplies or imported electricity.<h2>Iran juggles domestic power and export commitments</h2>Despite possessing the world’s second-largest natural gas reserves, Iran continues to face a dilemma: balancing domestic energy demand with export obligations. The country’s internal grid has been under pressure, especially during heatwaves, forcing the government to resort to more polluting fuels.On Tuesday, Saeed Tavakoli, head of the National Iranian Gas Company, said Iran’s power plants had extensively turned to burning mazut, a heavy, sulphur-rich fuel oil, to keep the national grid stable.As quoted by Bloomberg, Tavakoli noted this substitution could free up additional gas for exports, including to Iraq.<h2>Long-term energy ties, short-term challenges</h2>In 2024, Iran and Iraq signed a five-year extension to their gas export agreement. The deal, reported by Shana, the Iranian Oil Ministry’s official news outlet, allows for seasonal flexibility, giving Tehran leeway to prioritise domestic energy needs during winter or peak demand periods.&nbsp;However, payment issues remain a sticking point. Iraq has reportedly fallen behind on dues for gas imports, largely due to US sanctions on Iran that complicate cross-border financial transactions. The two nations have used a mix of currency swaps and escrow accounts in third countries to navigate the restrictions.<h2>A political and energy balancing act</h2>A resolution to the current crisis would not only stabilise Iraq’s power sector but also reaffirm Iran’s role as a key regional energy supplier, despite ongoing infrastructure and sanctions-related challenges.As per Bloomberg, the talks between Tehran and Baghdad signal progress in a region where energy security remains deeply intertwined with diplomacy and domestic pressures. For now, both governments appear committed to a fix, though any sustainable solution will likely require longer-term investments in infrastructure and clearer payment mechanisms.&nbsp;(With inputs from the agencies)&nbsp;

As Iran and Iraq work to end a prolonged energy dispute, US sanctions and regional heatwaves highlight the fragile balance between diplomacy, domestic demand, and cross-border power reliance.

Iran and Iraq appear to be on the brink of resolving a long-standing dispute over Iranian gas exports and Iraq’s unpaid dues, just as Baghdad battles surging power demand during peak summer months. Iran’s Oil Minister Mohsen Paknejad on Saturday said that both nations are close to settling the issues that have disrupted energy flows and strained bilateral relations, as per Bloomberg. “We will soon witness the resolution of both issues,” Paknejad said, as quoted by Iran’s state broadcaster IRIB News after meeting with Iraq’s Electricity Minister Ziad Ali Fadhil in Tehran. The statement was cited in a Bloomberg report on the matter. Electricity shortages plague Iraq The gas shortfall from Iran has significantly impacted Iraq’s electricity generation, pushing parts of the country into deeper blackouts. Iraq’s Electricity Ministry recently confirmed that reduced Iranian gas deliveries had forced cuts in domestic power output, straining an already fragile grid as temperatures soar above 50°C in several provinces. As per Bloomberg, Minister Fadhil’s ministry stressed the urgency of restoring Iranian gas flows to meet Iraq’s peak summer energy needs. Iraq depends on Iran for roughly one-third of its power generation, either through direct gas supplies or imported electricity. Iran juggles domestic power and export commitments Despite possessing the world’s second-largest natural gas reserves, Iran continues to face a dilemma: balancing domestic energy demand with export obligations. The country’s internal grid has been under pressure, especially during heatwaves, forcing the government to resort to more polluting fuels. On Tuesday, Saeed Tavakoli, head of the National Iranian Gas Company, said Iran’s power plants had extensively turned to burning mazut, a heavy, sulphur-rich fuel oil, to keep the national grid stable. As quoted by Bloomberg, Tavakoli noted this substitution could free up additional gas for exports, including to Iraq. Long-term energy ties, short-term challenges In 2024, Iran and Iraq signed a five-year extension to their gas export agreement. The deal, reported by Shana, the Iranian Oil Ministry’s official news outlet, allows for seasonal flexibility, giving Tehran leeway to prioritise domestic energy needs during winter or peak demand periods. However, payment issues remain a sticking point. Iraq has reportedly fallen behind on dues for gas imports, largely due to US sanctions on Iran that complicate cross-border financial transactions. The two nations have used a mix of currency swaps and escrow accounts in third countries to navigate the restrictions. A political and energy balancing act A resolution to the current crisis would not only stabilise Iraq’s power sector but also reaffirm Iran’s role as a key regional energy supplier, despite ongoing infrastructure and sanctions-related challenges. As per Bloomberg, the talks between Tehran and Baghdad signal progress in a region where energy security remains deeply intertwined with diplomacy and domestic pressures. For now, both governments appear committed to a fix, though any sustainable solution will likely require longer-term investments in infrastructure and clearer payment mechanisms. (With inputs from the agencies)

Iran and Iraq are close to resolving a gas export and payment dispute, aiming to restore critical energy flows amid Iraq’s worsening summer power crisis.

Iran signals breakthrough on gas supply, payments with Iraq

As the world hurtles toward an AI-driven future, the tech giants of Silicon Valley are embracing a bold new strategy: building things. After years of rapid innovation and iteration, industry leaders are now focusing on one crucial element to power the next wave of artificial intelligence (AI): physical infrastructure. From massive data centres to advanced manufacturing capabilities, these companies are sinking billions into the hardware necessary to support AI models, with some pushing their capital expenditures (capex) to unprecedented levels.<h2>A new era of infrastructure spending</h2>Tech companies like Meta, Alphabet (Google), Microsoft, and Amazon are investing heavily in physical infrastructure, notably in colossal data centres that house the powerful chips essential for AI computations. This age of infrastructure is characterised by massive, sustained investments in tangible assets that support the growing demand for AI capabilities. According to recent reports, the largest tech companies, including Meta, Google, Microsoft, and Amazon, have collectively spent a record $102.5 billion on capex in their most recent earnings reports.This spending spree marks a dramatic shift in how Silicon Valley operates. In the past, these companies were primarily focused on software and code, with their largest expenses going toward talent, stock compensation, and research and development. Today, however, the biggest tech companies are investing in hardware at an unprecedented pace, acquiring and building the infrastructure required to keep up with the surging demand for AI.For context, Google alone has announced a planned $85 billion investment in AI and cloud infrastructure for 2025—an increase of $10 billion from its previous estimates. Amazon isn’t far behind, with plans to allocate $100 billion to AI infrastructure in 2025. Even Meta, traditionally less focused on physical assets, has ramped up its plans, now projecting to spend between $64 billion and $72 billion on AI infrastructure in the next year. The scale of these investments puts them in the same realm as major industrial spending from the early 20th century, when titans of business like JPMorgan and Andrew Carnegie dominated the steel and railroad sectors.<h2>The power of vertical integration</h2>This shift toward vertical integration is reminiscent of the early days of corporate monopolies. Tech companies are increasingly investing in the physical assets that power their businesses. Just as the steel barons once controlled production from mine to mill, today’s tech giants are building their own supply chains for AI development. This is crucial because AI, unlike traditional software, requires massive amounts of computational power, something that cannot be scaled with just software and intellectual property alone.AI supercomputers, which process vast amounts of data and run sophisticated models, rely on complex infrastructure that includes not only server farms but also energy resources, real estate, and cooling systems to prevent overheating. This infrastructure is so expansive that it often takes up entire industrial sites, with some data centres now being built on old steel mill locations due to their proximity to energy resources. The scale of the investment is staggering, and it reflects the growing recognition that the companies with the most expansive infrastructure will be the ones leading the AI revolution.In the not-too-distant past, companies like Facebook, Microsoft, and Amazon were primarily software-driven, with most of their operational costs dedicated to talent, research, and coding. Now, however, these firms are controlling more of the physical infrastructure necessary to run their operations. This makes them less dependent on third-party suppliers and gives them greater leverage over the markets they serve. Even competitors like OpenAI, despite being one of the best-funded startups in the AI race, find themselves unable to keep up with the massive investments being made by these tech giants.<h2>The growing power of the few</h2>In an ironic twist, the increasing investment in infrastructure is reinforcing the dominance of a few large players in the tech industry. While these companies are amassing unprecedented amounts of capital, they are also creating deeper and wider moats around their businesses. The physical assets that power their AI capabilities, from data centres to chip factories, serve as barriers to entry that are difficult for smaller competitors to overcome. The competition is now less about software innovation and more about who can control the physical resources necessary to power AI.This concentration of power, much like the monopolistic practices of the Gilded Age, has raised questions about regulation. While the world’s tech giants may be poised to dominate the next phase of the AI revolution, the lack of regulatory oversight is creating an environment where the biggest players continue to outspend and out-innovate their competitors. Just as in the past, when corporate power went largely unchecked, today’s tech titans are in a position to shape the future of AI and infrastructure in ways that could leave smaller firms and startups struggling to catch up.In this new era of infrastructure, the tech giants are betting that control over physical assets will be the key to maintaining their dominance in the AI market. While the long-term returns on these investments are still uncertain, the scale of the capital expenditures signals a new phase in the evolution of Silicon Valley. As companies like Amazon, Google, and Meta build and control the infrastructure that powers AI, they are laying the groundwork for a future in which they hold the reins of the AI economy. The question now is whether this dominance will be sustainable or whether emerging players can find ways to challenge these giants and break their hold over the industry.&nbsp;(With inputs from agencies)

The increasing investment in infrastructure is reinforcing the dominance of a few large players in the tech industry. While these companies are amassing unprecedented amounts of capital, they are also creating deeper and wider moats around their businesses.

As the world hurtles toward an AI-driven future, the tech giants of Silicon Valley are embracing a bold new strategy: building things. After years of rapid innovation and iteration, industry leaders are now focusing on one crucial element to power the next wave of artificial intelligence (AI): physical infrastructure. From massive data centres to advanced manufacturing capabilities, these companies are sinking billions into the hardware necessary to support AI models, with some pushing their capital expenditures (capex) to unprecedented levels. A new era of infrastructure spending Tech companies like Meta, Alphabet (Google), Microsoft, and Amazon are investing heavily in physical infrastructure, notably in colossal data centres that house the powerful chips essential for AI computations. This age of infrastructure is characterised by massive, sustained investments in tangible assets that support the growing demand for AI capabilities. According to recent reports, the largest tech companies, including Meta, Google, Microsoft, and Amazon, have collectively spent a record $102.5 billion on capex in their most recent earnings reports. This spending spree marks a dramatic shift in how Silicon Valley operates. In the past, these companies were primarily focused on software and code, with their largest expenses going toward talent, stock compensation, and research and development. Today, however, the biggest tech companies are investing in hardware at an unprecedented pace, acquiring and building the infrastructure required to keep up with the surging demand for AI. For context, Google alone has announced a planned $85 billion investment in AI and cloud infrastructure for 2025—an increase of $10 billion from its previous estimates. Amazon isn’t far behind, with plans to allocate $100 billion to AI infrastructure in 2025. Even Meta, traditionally less focused on physical assets, has ramped up its plans, now projecting to spend between $64 billion and $72 billion on AI infrastructure in the next year. The scale of these investments puts them in the same realm as major industrial spending from the early 20th century, when titans of business like JPMorgan and Andrew Carnegie dominated the steel and railroad sectors. The power of vertical integration This shift toward vertical integration is reminiscent of the early days of corporate monopolies. Tech companies are increasingly investing in the physical assets that power their businesses. Just as the steel barons once controlled production from mine to mill, today’s tech giants are building their own supply chains for AI development. This is crucial because AI, unlike traditional software, requires massive amounts of computational power, something that cannot be scaled with just software and intellectual property alone. AI supercomputers, which process vast amounts of data and run sophisticated models, rely on complex infrastructure that includes not only server farms but also energy resources, real estate, and cooling systems to prevent overheating. This infrastructure is so expansive that it often takes up entire industrial sites, with some data centres now being built on old steel mill locations due to their proximity to energy resources. The scale of the investment is staggering, and it reflects the growing recognition that the companies with the most expansive infrastructure will be the ones leading the AI revolution. In the not-too-distant past, companies like Facebook, Microsoft, and Amazon were primarily software-driven, with most of their operational costs dedicated to talent, research, and coding. Now, however, these firms are controlling more of the physical infrastructure necessary to run their operations. This makes them less dependent on third-party suppliers and gives them greater leverage over the markets they serve. Even competitors like OpenAI, despite being one of the best-funded startups in the AI race, find themselves unable to keep up with the massive investments being made by these tech giants. The growing power of the few In an ironic twist, the increasing investment in infrastructure is reinforcing the dominance of a few large players in the tech industry. While these companies are amassing unprecedented amounts of capital, they are also creating deeper and wider moats around their businesses. The physical assets that power their AI capabilities, from data centres to chip factories, serve as barriers to entry that are difficult for smaller competitors to overcome. The competition is now less about software innovation and more about who can control the physical resources necessary to power AI. This concentration of power, much like the monopolistic practices of the Gilded Age, has raised questions about regulation. While the world’s tech giants may be poised to dominate the next phase of the AI revolution, the lack of regulatory oversight is creating an environment where the biggest players continue to outspend and out-innovate their competitors. Just as in the past, when corporate power went largely unchecked, today’s tech titans are in a position to shape the future of AI and infrastructure in ways that could leave smaller firms and startups struggling to catch up. In this new era of infrastructure, the tech giants are betting that control over physical assets will be the key to maintaining their dominance in the AI market. While the long-term returns on these investments are still uncertain, the scale of the capital expenditures signals a new phase in the evolution of Silicon Valley. As companies like Amazon, Google, and Meta build and control the infrastructure that powers AI, they are laying the groundwork for a future in which they hold the reins of the AI economy. The question now is whether this dominance will be sustainable or whether emerging players can find ways to challenge these giants and break their hold over the industry. (With inputs from agencies)

The increasing investment in infrastructure is reinforcing the dominance of a few large players in the tech industry. While these companies are amassing unprecedented amounts of capital, they are also creating deeper and wider moats around their businesses.

Silicon Valley’s bold new bet: Massive investment in physical infrastructure to power AI