LONDON: Britain sought Saturday to reassure Gibraltar that it will protect the territory’s interests in upcoming talks on exiting the EU amid a dispute with Spain that underscores the complications of Britain’s EU divorce.
Spain has long sought to regain control of Gibraltar, an enclave of 32,000 people on the southern tip of the Iberian Peninsula that was ceded to Britain in 1713.
On Friday, the EU suggested that Spain would get a veto over the territory’s future relationship with the trading bloc. Gibraltar reacted angrily to the EU position, saying Spain was using the UK’s departure from the EU to force negotiations that it has wanted on the status of the territory.
British Foreign Secretary Boris Johnson talked with Gibraltar’s chief minister, Fabian Picardo, on Friday to assure him of the UK’s support
“As ever, the UK remains implacable and rock-like in our support for Gibraltar,” Johnson tweeted after the conversation.
British Prime Minister Theresa May failed to mention Gibraltar in her letter triggering formal negotiations on Britain’s departure from the EU — causing dismay in the territory.
The EU fueled that anxiety on Friday when it released a nine-page draft roadmap for the talks, which included a statement that no future agreement after Brexit between Britain and the bloc would apply to Gibraltar unless both the UK and Spain agreed.
The statement on Gibraltar is unique for the EU, which in other matters has called for the 27 remaining members to speak with one voice in talks with Britain. Picardo expressed outrage at being singled out, describing the guidelines as “a disgraceful attempt by Spain to manipulate the European Council for its own narrow political interests.”
“What we are seeing is a clear manifestation of the predictably predatory attitude that we anticipated Spain would seek to abusively impose on its partners,” he said in a statement.
Although May has since insisted her support for Gibraltar remains firm, some analysts suggest the prime minister’s failure to mention the territory in her letter supports the idea that it is a colony, not an integral part of the UK
Christian Hernandez, president of the Gibraltar Chamber of Commerce, disagreed. Gibraltar became a member of the EU when Britain joined the bloc in 1973, and it is considered part of the UK for all matters relating to the EU, he told the BBC on Saturday.
The people of Gibraltar, who rely on an open border with Spain to fuel their economy, voted overwhelmingly to remain in the EU during the referendum on Britain’s membership but also has similarly voted to stay in the UK They will be leaving the EU, however, because a majority in Britain voted to leave.
“We have to trust that the British government is going to represent the interests of its British citizens in Gibraltar,” Hernandez said. “Gibraltar has always been a good friend and ally of mainland UK, and I think that the British government now needs to stand firm in the face of Spanish bullying.”
Spanish Foreign Minister Alfonso Dastis recently pledged to ensure an open border.
If the proposal on Gibraltar is accepted as the EU’s bargain position, it would increase Spain’s leverage in the debate over the enclave’s future.
The territory’s strategic location overlooking the Strait of Gibraltar, which links the Mediterranean Sea and the Atlantic Ocean, has long made it an ideal location for military bases.
Timothy Boswell, chairman of the House of Lords EU Committee, said May’s omission was “unfortunate,” because “the door has been opened for the EU to present it as a disputed territory, without a voice of its own in negotiations that will have profound implications for its future prosperity.”
Clare Moody, a member of the opposition Labour Party who represents Gibraltar and southwestern England in the European Parliament, said it was a “shock” that May didn’t mention the territory.
“If the government has overlooked the interests of Gibraltar, which is a crucial part of the constitutional arrangements of our membership of the EU, then what else are they going to overlook?” she told the BBC.
UK to Gibraltar: We will protect you in Brexit talks with EU
UK to Gibraltar: We will protect you in Brexit talks with EU
Pakistan ends lockdown of its capital after Imran Khan supporters are dispersed by police
- The police operation came hours after thousands of Khan supporters, defying government warnings, broke through a barrier of shipping containers
- Tension has been high in Islamabad since Sunday when supporters of the former prime minister began a “long march” from the restive northwest to demand Khan’s release
ISLAMABAD: Authorities reopened roads linking Pakistan’s capital with the rest of the country, ending a four-day lockdown, on Wednesday after using tear gas and firing into the air to disperse supporters of imprisoned former Prime Minister Imran Khan who marched to Islamabad to demand his release from prison.
“All roads are being reopened, and the demonstrators have been dispersed,” Interior Minister Mohsin Naqvi said.
Khan’s wife, Bushra Bibi, who was leading the protest, and other demonstrators fled in vehicles when police pushed back against the rallygoers following clashes in which at least seven people were killed.
The police operation came hours after thousands of Khan supporters, defying government warnings, broke through a barrier of shipping containers blocking off Islamabad and entered a high-security zone, where they clashed with security forces.
Tension has been high in Islamabad since Sunday when supporters of the former prime minister began a “long march” from the restive northwest to demand his release. Khan has been in a prison for over a year and faces more than 150 criminal cases that his party says are politically motivated.
Hundreds of demonstrators have been arrested since Sunday.
Bibi and leaders of her husband’s Pakistan Tehreek-e-Insaf party fled to Mansehra in Khyber Pakhtunkhwa province, where the party still rules.
Khan, who remains a popular opposition figure, was ousted in 2022 through a no-confidence vote in Parliament.
Anti-mine treaty signatories slam US decision to send land mines to Ukraine
- Ukraine President Volodymyr Zelensky has called the mines “very important” to halting Russian attacks
- Ukraine receiving US mine shipments would be in “direct violation” of the anti-mine treaty
Siem Reap, Cambodia: Washington’s decision to give anti-personnel mines to Ukraine is the biggest blow yet to a landmark anti-mine treaty, its signatories said during a meeting.
Ukraine is a signatory to the Anti-Personnel Mine Ban Convention which prohibits the use, stockpiling, production and transfer of land mines.
The United States, which has not signed up to the treaty, said last week it would transfer land mines to Ukraine to aid its efforts fighting Russia’s invasion.
Ukraine President Volodymyr Zelensky has called the mines “very important” to halting Russian attacks.
Ukraine receiving US mine shipments would be in “direct violation” of the treaty, the convention of its signatories said in a statement released late Tuesday.
“In the 25 years since the Convention entered into force, this landmark humanitarian disarmament treaty had never faced such a challenge to its integrity,” it said.
“The Convention community must remain united in its resolve to uphold the Convention’s norms and principles.”
Ukraine’s delegation to a conference on progress under the anti-landmine treaty in Cambodia on Tuesday did not mention the US offer in its remarks.
In its presentation, Ukrainian defense official Oleksandr Riabtsev said Russia was carrying out “genocidal activities” by laying land mines on its territory.
Riabtsev refused to comment when asked by AFP journalists about the US land mines offer on Wednesday.
Ukraine’s commitment to destroy its land mine stockpiles left over from the Soviet Union was also “currently not possible” due to Russia’s invasion, defense ministry official Yevhenii Kivshyk told the conference.
Moscow and Kyiv have been ratcheting up their drone and missile attacks, with Ukraine recently firing US long-range missiles at Russia and the Kremlin retaliating with an experimental hypersonic missile.
The Siem Reap conference is a five-yearly meeting held by signatories to the anti-landmine treaty to assess progress in its objective toward a world without antipersonnel mines.
On Tuesday, land mine victims from across the world gathered at the meeting to protest Washington’s decision.
More than 100 demonstrators lined the walkway taken by delegates to the conference venue in Cambodia’s Siem Reap.
Turkiye scales down $23 bln F-16 jet deal with US, minister says
ANKARA: Turkiye has reduced its planned $23 billion acquisition of an F-16 fighter jet package from the United States, scrapping the purchase of 79 modernization kits for its existing fleet, Defense Minister Yasar Guler said late on Tuesday.
NATO member Turkiye earlier this year secured a deal to procure 40 F-16 fighter jets and 79 modernization kits for its existing F-16s from the United States, after a long-delayed process.
“An initial payment has been made for the procurement of F-16 Block-70. A payment of $1.4 billion has been made. With this, we will buy 40 F-16 Block-70 Viper and we were going to buy 79 modernization kits,” Guler told a parliamentary hearing.
“We gave up on this 79. This is why we gave up: Our Turkish Aerospace Industries (TUSAS) facilities are capable of carrying out this modernization on their own, so we deferred to them,” he said.
The sale of the 40 new Lockheed Martin F-16 jets and ammunition for them will cost Turkiye some $7 billion, Guler added.
Turkiye placed its order in October 2021, two years after the United States kicked the country out of the fifth-generation F-35 fighter jet program over its procurement of a Russian missile defense system.
Turkiye wants to re-join the F-35 program and buy 40 new F-35 jets, Guler also said.
Turkiye is one of the largest operators of F-16s, with its fleet made up of more than 200 older Block 30, 40 and 50 models.
Ankara is also interested in buying Eurofighter Typhoon fighter jets, built by a consortium of Germany, Britain, Italy and Spain.
It is also developing its own combat aircraft, KAAN.
Ukrainian delegation visiting Seoul to ask for weapons aid, media reports say
- The group was expected to meet their South Korean counterparts as early as Wednesday, according to the report
SEOUL: A Ukrainian delegation led by Defense Minister Rustem Umerov is visiting South Korea this week to ask for weapons aid to be used by Kyiv in its war with Russia, according to media reports.
The delegation had met with South Korea’s National Security Adviser Shin Won-sik to exchange views on the conflict in Ukraine, the DongA Ilbo newspaper reported on Wednesday, without giving a source.
In an interview with South Korean broadcaster KBS in October, Ukraine’s President Volodymyr Zelensky said Kyiv would send a detailed request to Seoul for arms support including artillery and an air defense systems.
The South China Morning Post also reported this week that a Ukrainian delegation was due to visit South Korea to request weapons aid, citing an informed source.
The group was expected to meet their South Korean counterparts as early as Wednesday, according to the report.
A spokesperson for South Korea’s defense ministry declined to confirm when asked whether a Ukrainian delegation had arrived in Seoul during a regular media briefing on Tuesday.
Seoul, which has emerged as a leading arms producer, has been under pressure from some Western countries and Kyiv to provide Ukraine with lethal weapons but has so far focused on non-lethal aid including demining equipment.
South Korea’s Foreign Minister Cho Tae-yul, asked earlier this month whether Seoul would send weapons to Ukraine in response to North Korea aiding Russia, said all possible scenarios were under consideration and Seoul would be watching the level of participation by North Korean troops in Russia and what Pyongyang received from Moscow in return.
Trump’s threat to impose tariffs could raise prices for consumers, colliding with promise for relief
Trump’s threat to impose tariffs could raise prices for consumers, colliding with promise for relief
- The US is the largest importer of goods in the world, with Mexico, China and Canada its top three suppliers, according to the most recent US Census data
DETROIT: If Donald Trump makes good on his threat to slap 25 percent tariffs on everything imported from Mexico and Canada, the price increases that could follow will collide with his campaign promise to give American families a break from inflation.
Economists say companies would have little choice but to pass along the added costs, dramatically raising prices for food, clothing, automobiles, booze and other goods.
The president-elect floated the tariff idea, including additional 10 percent taxes on goods from China, as a way to force the countries to halt the flow of illegal immigrants and drugs into the US But his posts Monday on Truth Social threatening the tariffs on his first day in office could just be a negotiating ploy to get the countries to change behavior.
High food prices were a major issue in voters picking Trump over Vice President Kamala Harris, but tariffs almost certainly would push those costs up even further.
For instance, the Produce Distributors Association, a Washington trade group, said Tuesday that tariffs will raise prices for fresh fruit and vegetables and hurt US farmers when other countries retaliate.
“Tariffs distort the marketplace and will raise prices along the supply chain, resulting in the consumer paying more at the checkout line,” said Alan Siger, association president.
Mexico and Canada are two of the biggest exporters of fresh fruit and vegetables to the US In 2022, Mexico supplied 51 percent of fresh fruit and 69 percent of fresh vegetables imported by value into the US, while Canada supplied 2 percent of fresh fruit and 20 percent of fresh vegetables.
Before the election, about 7 in 10 voters said they were very concerned about the cost of food, according to AP VoteCast, a survey of more than 120,000 voters.
“We’ll get them down,” Trump told shoppers during a September visit to a Pennsylvania grocery store.
The US is the largest importer of goods in the world, with Mexico, China and Canada its top three suppliers, according to the most recent US Census data.
People looking to buy a new vehicle likely would see big price increases as well, at a time when costs have gone up so much they are out of reach for many. The average price of a new vehicle now runs around $48,000.
About 15 percent of the 15.6 million new vehicles sold in the US last year came from Mexico, while 8 percent crossed the border from Canada, according to Global Data.
Much of the tariffs would get passed along to consumers, unless automakers can somehow quickly find productivity improvements to offset them, said C.J. Finn, US automotive sector leader for PwC. That means even more consumers “would potentially get priced out,” Finn said.
Hardest hit would be Volkswagen, Stellantis, General Motors and Ford, Bernstein analyst Daniel Roeska wrote Tuesday in a note to investors. “A 25 percent tariff on Mexico and Canada would severely cripple the US auto industry,” he said.
The tariffs would hurt US industrial production so much that “we expect this is unlikely to happen in practice,” Roeska said.
The tariff threat hit auto stocks on Tuesday, particularly shares of GM, which imports about 30 percent of the vehicles it sells in the US from Canada and Mexico, and Stellantis, which imports about 40 percent from the two countries. For both, about 55 percent of their lucrative pickup trucks come from Mexico and Canada. GM stock lost almost 9 percent of its value, while Stellantis dropped nearly 6 percent.
It’s not clear how long the tariffs would last if implemented, but they could force auto executives to move production to the US, which could create more jobs in the long run. However, Morningstar analyst David Whiston said automakers probably won’t make any immediate moves because they can’t quickly change where they build vehicles.
Millions of dollars worth of auto parts flow across the borders with Mexico and Canada, and that could raise prices for already costly automobile repairs, Finn said.
The Distilled Spirits Council of the US said tariffs on tequila or Canadian whisky won’t boost American jobs because they are distinctive products that can only be made in their country of origin. In 2023, the US imported $4.6 billion worth of tequila and $108 million worth of mezcal from Mexico and $537 million worth of spirits from Canada, it said.
“Tariffs on spirits products from our neighbors to the north and south are going to hurt US consumers and lead to job losses across the US hospitality industry,” it added.
Electronics retailer Best Buy said on its third-quarter earnings conference call that it runs on thin profit margins, so while vendors and the company will shoulder some increases, Best Buy will have to pass tariffs to customers. “These are goods that people need, and higher prices are not helpful,” CEO Corie Barry said.
Walmart also warned last week that tariffs could force it to raise prices.
Tariffs could trigger supply chain disruptions as people buy goods before they are imposed and companies seek alternate sources of parts, said Rob Handfield, a professor of supply chain management at North Carolina State University. Some businesses might not be able to pass on the costs.
“It could actually shut down a lot of industries in the United States. It could actually put a lot of US businesses out of business,” he said.
Canadian Prime Minister Justin Trudeau, who talked with Trump after his call for tariffs, said they had a good conversation about working together. “This is a relationship that we know takes a certain amount of working on and that’s what we’ll do,” Trudeau said.
Trump’s threats come as arrests for illegally crossing the border from Mexico have been falling. But arrests for illegally crossing the border from Canada have been rising over the past two years. Much of America’s fentanyl is smuggled from Mexico, and seizures have increased.
Trump has sound legal justification to impose tariffs, even though they conflict with a 2020 trade deal brokered in large part by Trump with Canada and Mexico, said William Reinsch, senior adviser at the Center for Strategic and International Studies and a former Clinton administration trade official. The treaty, known as the USMCA, is up for review in 2026.
In China’s case, he could simply declare Beijing hasn’t met obligations under an agreement he negotiated in his first term. For Canada and Mexico, he could say the influx of migrants and drugs are a national security threat, and turn to a section of trade law he used in his first term to slap tariffs on steel and aluminum.
The law he would most likely use for Canada and Mexico has a legal process that often takes up to nine months, giving Trump time to seek a deal.
If talks failed and the duties were imposed, all three countries would likely retaliate with tariffs on US exports, said Reinsch, who believes Trump’s tariffs threat is a negotiating ploy.
US companies would lobby intensively against tariffs, and would seek to have products exempted. Some of the biggest exporters from Mexico are US firms that make parts there, Reinsch said.
Longer term, Mary Lovely, a senior fellow at the Peterson Institute for International Economics, said the threat of tariffs could make the US an “unstable partner” in international trade. “It is an incentive to move activity outside the United States to avoid all this uncertainty,” she said.
Trump transition team officials did not immediately respond to questions about what he would need to see to prevent the tariffs from being implemented and how they would impact prices in the US
Mexican President Claudia Sheinbaum suggested Tuesday that Mexico could retaliate with tariffs of its own. Sheinbaum said she was willing to talk about the issues, but said drugs were a US problem.
