Biden-Xi talks: Direct military communications between US and Chinese forces to be reopened
Direct lines of communication between American and Chinese military forces are to be reopened for the first time in more than a year, Joe Biden has announced.
Speaking after a meeting with China’s premier Xi Jinping in California, the US president said the restoration of military-to-military communications would help to prevent accidents which could spiral into wider conflicts.
Beijing formally suspended direct military contact with the US in April 2022 in the wake of then-House Speaker Nancy Pelosi’s visit to the island of Taiwan – which China views as a breakaway province.
The move to restart them was one of three agreements President Biden presented to the media following face-to-face conversations with President Xi on Wednesday – their first meeting in a year.
Mr Biden said the pair had agreed on a deal to curb the production of fentanyl – a drug which has led to a huge spike in deaths in US cities – and on the need to discuss the potential risks of artificial intelligence (AI).
President Joe Biden speaks during a news conference after his meeting with China’s President Xi Jinping. Pic: AP
He said they had also exchanged views on a number of world issues, including the Israel-Hamas conflict and Russia’s invasion of Ukraine, as well as American concerns about China’s ruling communist party – among them allegations of human rights abuses and Beijing’s expansion of maritime operations in the South China Sea.
However, he said he remained committed to the US’s long-standing “One China” policy – the bedrock of Washington-Beijing relations – in which the US maintains formal ties with China and only informal ones with Taiwan.
In his own speech, made to American executives in San Francisco, Mr Xi mirrored his counterpart’s amiable tone, saying China was ready to be a friend and partner to the US.
However, in a veiled threat, he warned Washington not to bet against China, and to stay clear of its internal affairs.
Xi Jinping speaks at the “Senior Chinese Leader Event” held by the National Committee on US-China Relations in San Francisco
Mr Biden said both he and Mr Xi had agreed to open high-level communications.
“He and I agreed that each one of us can pick up the phone, call directly and we’ll be heard immediately,” he told
reporters after the meeting.
When asked by a reporter at the press conference about whether he “trusted” the Chinese president, Mr Biden replied: “Do I trust [him]?
“Trust but verify, as the saying goes.
“We are in a competitive relationship – China and the US – but my responsibility is to make this rational and manageable so it doesn’t result in conflict.”
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The US president had earlier welcomed the Chinese leader at the Filoli estate, a country house and gardens about 30 miles (48 km) south of San Francisco, ahead of a summit of the Asia-Pacific Economic Cooperation (APEC) forum.
The meeting came amid increasingly strained tensions between the two global powers.
Mr Biden had earlier billed the meeting as a chance for Washington and Beijing to get back “on a normal course” again, and that the two countries had to make sure that the rivalry between them did “not veer into conflict”.
Since they last met in November 2022, fraught relations have been further strained by the US downing of a Chinese ‘spy’ balloon that flew over America and by differences on the self-ruled island of Taiwan, as well as China’s hacking of a Biden official’s emails.
Mr Xi said a lot had happened since their last meeting, telling the media: “The world has emerged from the COVID pandemic, but is still under its tremendous impacts. The global economy is recovering, but its momentum remains sluggish.”
He said prior to the meeting that he wanted assurances from Mr Biden that the US would not support Taiwan independence, start a new Cold War, or suppress China’s economic growth.
Mr Xi said he was also keen to show America that China is still a good place to invest.
After the meeting, Mr Biden wrote on X, formerly Twitter: “I value the conversation I had today with President Xi because I think it’s paramount that we understand each other clearly, leader to leader.
“There are critical global challenges that demand our joint leadership. And today, we made real progress.”
The White House later said in a readout of their conversation that the talks had been “candid and constructive” and that they had “made progress on a number of key issues”.
“The two leaders welcomed the resumption of high-level military-to-military communication, as well as the US-China Defence Policy Coordination Talks and the US-China Military Maritime Consultative Agreement meetings,” the White House said.
“Both sides are also resuming telephone conversations between theatre commanders.”
A jury has ruled that Tesla is partly to blame for the death of a young woman who was hit by an electric car on Autopilot.
Naibel Benavides was stargazing at the time of the collision, which sent her flying 22m (75ft) through the air in Florida.
Her boyfriend was seriously injured in the 2019 incident, while her body was discovered in a wooded area.
The Tesla Model S pictured after the crash. Pic: NBC/Florida Highway Patrol
The company has now been ordered to pay $243m (£183m) in damages to Ms Benavides’ family, and to her partner Dillon Angulo.
Jurors concluded that not all of the blame could be put on a reckless driver who admitted he was distracted by his phone before he hit the young couple.
The motorist, George McGee, reached a separate settlement with the victims’ families in an earlier case.
Brett Schreiber, who represented the victims, said: “Tesla designed Autopilot only for controlled-access highways yet deliberately chose not to restrict drivers from using it elsewhere, alongside Elon Musk telling the world Autopilot drove better than humans.
“Today’s verdict represents justice for Naibel’s tragic death and Dillon’s lifelong injuries.”
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Tesla bruised by Musk-Trump fallout
Tesla – and Elon Musk – have said it will appeal the verdict, labelling it “wrong” and a setback for automotive safety.
The verdict would also work to “jeopardise Tesla’s and the entire industry’s efforts to develop and implement life-saving technology”, the company warmed.
Tesla had claimed Mr McGee was solely to blame for the fatal crash because he had reached down to pick up a dropped mobile phone as his Model S sped through an intersection in Key Largo, Florida, at about 62mph.
Mr McGee allegedly did not receive alerts as he ran a stop sign and a red light – and the plaintiffs’ lawyer argued that the driver’s assistance should have warned the driver and braked before the collision.
The collision sent Ms Benavides Leon flying 22m (75ft) through the air, with her body later being discovered in a wooded area, while Mr Angulo suffered serious injuries.
“To be clear, no car in 2019, and none today, would have prevented this crash,” Tesla said. “This was never about Autopilot; it was a fiction concocted by plaintiffs’ lawyers blaming the car when the driver – from day one – admitted and accepted responsibility.”
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Lawyers for the plaintiffs also alleged that Tesla either hid or lost key evidence, including data and video recorded seconds before the collision.
They showed the court that the company had the evidence all along, despite repeated denials, after hiring a forensic data expert who dug it up.
After being shown the evidence, Tesla said it made a mistake and honestly hadn’t thought it was there.
Elon Musk hopes to convince people that his cars are safe to drive on their own. Pic: Reuters
Past cases against Tesla were dismissed or settled, so the verdict in this case could encourage more legal action.
Miguel Custodio, a car crash lawyer not involved in this trial, added: “This will open the floodgates. It will embolden a lot of people to come to court.”
The verdict comes as Mr Musk plans to roll out a driverless taxi service, hoping to convince people his vehicles are safe enough to drive on their own.
Improvements to the company’s driver assistance and partial self-driving features have been made in recent years – but in 2023, 2.3 million Tesla vehicles were recalled amid fears Autopilot was failing to sufficiently alert drivers not paying attention to the road.
US
Trump orders two nuclear submarines to be moved after ‘highly provocative’ comments from ex-Russian president
Donald Trump says he has ordered two nuclear submarines to be positioned in the “appropriate regions” in a row with former Russian president Dmitry Medvedev.
It comes after Mr Medvedev, who is now deputy chairman of Russia‘s Security Council, told the US president on Thursday to remember Moscow had Soviet-era nuclear strike capabilities of last resort.
On Friday, Mr Trump wrote on social media: “Based on the highly provocative statements of the Former President of Russia, Dmitry Medvedev, who is now the Deputy Chairman of the Security Council of the Russian Federation, I have ordered two Nuclear Submarines to be positioned in the appropriate regions, just in case these foolish and inflammatory statements are more than just that.
“Words are very important, and can often lead to unintended consequences, I hope this will not be one of those instances. Thank you for your attention to this matter!”
Dmitry Medvedev. Pic: Reuters
The spat between Mr Trump and Mr Medvedev came after the US president warned Russia on Tuesday it had “10 days from today” to agree to a ceasefire in Ukraine or face tariffs, along with its oil buyers.
Moscow has shown no sign it will agree to Mr Trump’s demands.
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Mr Medvedev accused Mr Trump of engaging in a “game of ultimatums” and reminded him Russia possessed a Soviet-era automated nuclear retaliatory system – or “dead hand” – after Mr Trump told him to “watch his words” and said he’s “entering very dangerous territory!”
Mr Medvedev, a close ally of Russian President Vladimir Putin, was referring to a secretive semi-automated Soviet command system designed to launch Russia’s missiles if its leadership was taken out in a decapitating strike.
He added: “If some words from the former president of Russia trigger such a nervous reaction from the high-and-mighty president of the United States, then Russia is doing everything right and will continue to proceed along its own path.”
He also said “each new ultimatum is a threat and a step towards war” between Russia and the US.
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US
US trade war: The state of play as Trump signs order imposing new tariffs – but there are more delays
Donald Trump’s trade war has been difficult to keep up with, to put it mildly.
For all the threats and bluster of the US election campaign last year to the on-off implementation of trade tariffs – and more threats – since he returned to the White House in January, the president‘s protectionist agenda has been haphazard.
Trading partners, export-focused firms, customs agents and even his own trade team have had a lot on their plates as deadlines were imposed – and then retracted – and the tariff numbers tinkered.
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While the UK was the first country to secure a truce of sorts, described as a “deal”, the vast majority of nations have failed to secure any agreement.
Deal or no deal, no country is on better trading terms with the United States than it was when Trump 2.0 began.
Here, we examine what nations and blocs are on the hook for, and the potential consequences, as Mr Trump’s suspended “reciprocal” tariffs prepare to take effect. That will now not happen until 7 August.
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What does the UK-US trade deal involve?
Why was 1 August such an important date?
To understand the present day, we must first wind the clock back to early April.
Then, Mr Trump proudly showed off a board in the White House Rose Garden containing a list of countries and the tariffs they would immediately face in retaliation for the rates they impose on US-made goods. He called it “liberation day”.
The tariff numbers were big and financial markets took fright.
Just days later, the president announced a 90-day pause in those rates for all countries except China, to allow for negotiations.
The initial deadline of 9 July was then extended again to 1 August. Late on 31 July, Mr Trump signed the executive order but said that the tariff rates would not kick in for seven additional days to allow for the orders to be fully communicated.
Since April, only eight countries or trading blocs have agreed “deals” to limit the reciprocal tariffs and – in some cases – sectoral tariffs already in place.
Who has agreed a deal over the past 120 days?
The UK, Japan, Indonesia, the European Union and South Korea are among the eight to be facing lower rates than had been threatened back in April.
China has not really done a deal but it is no longer facing punitive tariffs above 100%.
Its decision to retaliate against US levies prompted a truce level to be agreed between the pair, pending further talks.
There’s a backlash against the EU over its deal, with many national leaders accusing the European Commission of giving in too easily. A broad 15% rate is to apply, down from the threatened 30%, while the bloc has also committed to US investment and to pay for US-produced natural gas.
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Where does the UK stand?
We’ve already mentioned that the UK was the first to avert the worst of what was threatened.
While a 10% baseline tariff covers the vast majority of the goods we send to the US, aerospace products are exempt.
Our steel sector has not been subjected to Trump’s 50% tariffs and has been facing down a 25% rate. The government announced on Thursday that it would not apply under the terms of a quota system.
UK car exports were on a 25% rate until the end of June when the deal agreed in May took that down to 10% under a similar quota arrangement that exempts the first 100,000 cars from a levy.
Who has not done a deal?
Canada is among the big names facing a 35% baseline tariff rate. That is up from 25% and covers all goods not subject to a US-Mexico-Canada trade agreement that involves rules of origin.
America is its biggest export market and it has long been in Trump’s sights.
Mexico, another country deeply ingrained in the US supply chain, is facing a 30% rate but has been given an extra 90 days to secure a deal.
Brazil is facing a 50% rate. For India, it’s 25%.
What are the consequences?
This is where it all gets a bit woolly – for good reasons.
The trade war is unprecedented in scale, given the global nature of modern business.
It takes time for official statistics to catch up, especially when tariff rates chop and change so much.
Any duties on exports to the United States are a threat to company sales and economic growth alike – in both the US and the rest of the world. Many carmakers, for example, have refused to offer guidance on their outlooks for revenue and profits.
Apple warned on Thursday night that US tariffs would add $1.1bn of costs in the three months to September alone.
Barriers to business are never good but the International Monetary Fund earlier this week raised its forecast for global economic growth this year from 2.8% to 3%.
Some of that increase can be explained by the deals involving major economies, including Japan, the EU and UK.
US growth figures have been skewed by the rush to beat import tariffs.
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The big risk ahead?
It’s a self-inflicted wound.
The elephant in the room is inflation. Countries imposing duties on their imports force the recipient of those goods to foot the additional bill. Do the buyers swallow it or pass it on?
The latest US data contained strong evidence that tariff charges were now making their way down the country’s supply chains, threatening to squeeze American consumers in the months ahead.
It’s why the US central bank has been refusing demands from Mr Trump to cut interest rates. You don’t slow the pace of price rises by making borrowing costs cheaper.
A prolonged period of higher inflation would not go down well with US businesses or voters. It’s why financial markets have followed a recent trend known as TACO, helping stock markets remain at record levels.
The belief is that Trump always chickens out. He may have to back down if inflation takes off.
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