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“All I was after was the truth,” says Dr Jim Swire.

The retired GP’s 35-year search for answers has seen him board a US-bound flight from Heathrow carrying a replica bomb, hold a secret meeting with Libyan dictator Muammar Gaddafi, and collapse in shock after a criminal trial at a former military base in the Netherlands.

His 23-year-old daughter was among the 270 people killed in the Lockerbie bombing on 21 December 1988 – the deadliest ever UK terrorist attack.

“I think I know who was responsible for killing her and I think I can prove it,” the old Etonian, now 87, says in a new four-part Sky documentary.

He keeps the evidence he has collected in cardboard folders in a metal filing cabinet in an office in the Cotswolds home he shares with his wife Jane.

‘No one had really heard of Lockerbie’

Flora “was everything a parent could wish for”, says Mrs Swire.

She was about to turn 24 and studying medicine when she set off to the US to meet her boyfriend for Christmas.

“Everything was booked up, except there were plenty of seats available on a certain flight known as Pan Am 103,” says Dr Swire, sitting in a leather armchair in his cottage, overlooking the rugged coastline on the Isle of Skye.

Less than 40 minutes after taking off from Heathrow on the transatlantic leg to New York’s JFK, the Boeing 747 was 31,000ft over the Scottish town of Lockerbie when the aircraft was almost instantly destroyed by a massive blast.

The wrecked nose section of the Pan-Am Boeing 747 lies in a Scottish field at Lockerbie, near Dumfries
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The wrecked nose section of the Pan Am Boeing 747 lies in a Scottish field at Lockerbie, near Dumfries

Residents remember “a huge explosion” before the sky lit up with “bright red flames” and a “great big mushroom ball of fire”.

“Before 1988, no one had really heard of Lockerbie,” says Colin Dorrance, who was a 19-year-old recruit just three months into his police career at the time.

“Life here was just undramatic.”

That all changed at 7.03pm that evening. All 259 passengers and crew members on board the plane were killed along with 11 people in the town as windows were blown in and wreckage destroyed their homes.

Locals are still haunted by images of the bodies that fell from the sky, some still strapped in their seats as they landed in gardens and fields.

The smell of aviation fuel hung thick in the air as they surveyed the carnage strewn with luggage and the Christmas presents victims were carrying for loved ones.

270 people died on 21 December 1988
Image:
270 people died on 21 December 1988

Peter Giesecke can’t shake the image of the woman still wearing one high-heeled shoe, while Margaret and Hugh Connell became “attached” to the man they found in a field near their home, watching over him for 24 hours until his body was recovered.

“We developed quite a love for ‘our boy’, not knowing who he was,” says Mr Connell.

As news of the disaster broke, relatives were desperate to know whether their loved ones were on board.

Unable to get through to Heathrow, Dr Swire rang the Pan Am desk in New York and could hear “chaos in the background and women screaming” as families of the victims, many of whom were American, received the terrible news.

Dr Swire, tall and slim with a full head of white hair, is measured as he recalls the kindness of the pathologist who allowed him to see his daughter’s body in the local ice rink, where the post-mortems were being carried out.

“She was barely recognisable,” he says, the grief which still bubbles just under the surface after all these years coming to the fore as he tells how he was allowed to take a lock of Flora’s hair.

“Human kindness can be very important when these things happen,” he adds, with tears in his eyes.

Jim and Jane Swire
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Jim and Jane Swire

‘Nothing quite adds up’

It took investigators a week to discover the disaster was caused by a bomb in a terrorist attack against the US – the biggest in the country’s history until 9/11.

“My first reaction was of fury, which led me to want to find the truth,” says Dr Swire. And that did a lot to help with the grief because I was busy doing things. It was rather how, I think, Flora would’ve reacted.”

The prime suspect was Iran, but they have always denied any involvement in the attack.

Iran had vowed to take revenge for the accidental downing of an Iran Air passenger flight by the US Navy in the Gulf in July 1988, which killed 290 people.

But the sprawling international investigation was just beginning.

“Nothing is what it seems in the Lockerbie story, nothing quite adds up,” says local reporter David Johnston, one of the first journalists on the scene.

It soon emerged a call was made to the US embassy in the Finnish capital that a Pan Am plane from Frankfurt to the US would be bombed in what was known as the “Helsinki warning”, with American diplomats in Europe told of a threat.

Passengers and luggage were transferred at Heathrow to Pan Am 103 from a feeder flight originating in Frankfurt and Dr Swire believes the plane was only two-thirds full because people were “warned off”. “We weren’t warned. Nobody told us,” he says.

“I felt I had a right to know the truth about how my daughter had come to be killed and why she wasn’t protected against being killed. And those were the bases on which we very soon found we were being richly and profusely deceived by the authorities.”

Flowers at the commemoration service
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Flowers at the 2018 commemoration service

The ‘biggest crime scene in history’

Wreckage from the plane was spread over 845 square miles in what Richard Marquise, who headed up the FBI Lockerbie taskforce, describes as “the biggest crime scene in history”.

Investigators concluded the bomb was in a cassette player that was wrapped in clothes and put inside a brown hard-sided Samsonite suitcase.

A fragment of Toshiba circuit board pointed to possible links to tape recorder bombs made by Iran-backed PLFP-GC, a Palestinian terror group active in the 1970s and 1980s, who were suspected of carrying out the attack for the Iranians.

Dr Swire took his own replica bomb – the explosive material substituted for marzipan – on a plane from Heathrow to the US to highlight the security flaws.

“It was an obsession,” he admits. “All I was after was the truth of why our beautiful daughter had been murdered and I was bloody determined to find out who did it.”

The kindness of the women in Lockerbie

Meanwhile, in Lockerbie volunteers were cleaning the mud, blood and aviation fuel from the victims’ belongings left scattered amid the wreckage and bodies.

Clothes were washed, pressed and folded, jewellery was polished, and the pages of a tattered bible were individually ironed.

Miami-based Victoria Cummock, whose husband John died on board, was surprised to receive his clean laundry.

“I got back his personal effects due to the kindness of the women in Lockerbie,” she says.

Victoria Cummock
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Victoria Cummock

The Malta connection and the Libyans

Charred clothes which were packed with the bomb were traced to a shop in Malta, and two Libyan suspects came into the FBI’s sights.

Colonel Gaddafi’s Libya had a motive for the attack after an American bombing in capital Tripoli and a tiny fragment of circuit board, called PT35, found embedded in a shirt collar 20 miles from Lockerbie, was traced to Swiss electronics expert Edwin Bollier, who said he sold a batch of timers to the rogue state.

After CIA asset Majid Giaka, a Libyan double agent codenamed “Puzzle Piece”, said he saw the suspects with a brown suitcase at Malta airport the day before the bombing, two men were charged.

But there was little hope of Colonel Gaddafi handing over Abdelbaset al Megrahi, a Libyan intelligence officer, and Lamin Khalifah Fhimah, a security official for Libyan Arab Airlines, to face trial.

Telling only his wife for fear he would be intercepted by the security services, Dr Swire travelled to Libya to meet the dictator face to face in an attempt to persuade him.

“I was pretty crazy at that time,” he says. “I was so determined that I wasn’t scared, nervous yes, but not scared.”

Dr Swire says he heard the “click, click, click” of Gaddafi’s female soldiers readying their AK47s as he opened his briefcase to reveal pictures of his daughter, then again at the end of the meeting when he pinned a badge reading “Lockerbie the truth must be known” to the Libyan leader’s lapel.

The meeting had no obvious impact, and it was not until 11 years after the bombing that Gaddafi finally agreed to extradite the suspects in the face of tough economic sanctions imposed in response to the atrocity.

DAMASCUS, SYRIA- MARCH 29: Libya's President Muammar Gaddafi looks on at the opening of the two-day Arab Summit in Damascus, Syria March 29, 2008. The Arab summit will be held in the Syrian capital from March 29-30. (Photo by Salah Malkawi/ Getty Images)
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Muammar Gaddafi, who was killed by rebel forces in 2011

‘The shock was so great I collapsed’

The trial was held at former US Airforce base Camp Zeist, in the Netherlands, under Scottish law, and Dr Swire rented an apartment with Rev John Mosey, whose 19-year-old daughter Helga died on board Pan Am 103, to follow the evidence closely over 84 days.

Supergrass Giaka crumbled in the witness box as he was shown to be a liar and a fantasist, while Bollier couldn’t confirm he supplied the bomb timer to Libya.

“I couldn’t continue to believe that there was a cogent body of evidence that justifies the finding of either of those two men guilty,” says Dr Swire.

John Mosey
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John Mosey

The Scottish judges cleared Fhimah but found al Megrahi guilty of 270 counts of murder for which he was later handed a life sentence.

“The shock of the verdict initially was so great I collapsed,” says Dr Swire.

Families of the American victims were pleased with the guilty verdict and FBI agents felt vindicated by the finding Libya was behind the bombing.

But Dr Swire “couldn’t believe three senior Scottish judges could convict someone on that evidence”, which he believes to be “false” in order to frame Libya to protect the West’s fragile relationship with Iran.

“I wasn’t prepared to have anything associated with Flora’s death as untrue and debasing as the story that was raised by the authorities against those two men,” he says.

“I was very shaken up psychologically by the fact I knew al Megrahi was innocent, and the authorities protected her killers.”

A spokesperson for the Crown Office and Procurator Fiscal Service said: “The bombing of Pan Am 103 is, to this day, the deadliest terrorist attack on UK soil and the largest homicide case Scotland’s prosecutors have ever encountered, both in terms of scale and of complexity. Our thoughts are always with those who lost loved ones.

“The evidence gathered by Scottish, US and international law enforcement agencies has now been tested in court at both trial and at appeal three times, and the conviction of Megrahi stands.

“For over 30 years Scottish police and prosecutors have continued the search for evidence. This work has not yet concluded and there remain Libyan co-conspirators under active investigation.

“In December last year the US Attorney General announced charges against Abu Agila Mohammad Masud for his role with Megrahi and others in the attack, and we continue to work with US colleagues to assist and support their preparation for trial.”

The cockpit section of the Pan Am Boeing 747 lies on Banks Hill near Lockerbie
Image:
The cockpit section of the Pan Am Boeing 747 lies on Banks Hill near Lockerbie

‘The truth is very simple’

In 2009, al Megrahi was released from a Scottish jail on compassionate grounds after he was diagnosed with terminal prostate cancer, having spent just nine years behind bars.

But some believe he was freed in exchange for an oil deal with Libya.

He received a hero’s welcome when he landed back home with Scottish flags waved as he got off the plane.

Families of the American victims were disgusted but Dr Swire was happy and even visited him before he died in 2012.

From his Zurich office, Mr Bollier now claims the PT35 fragment is a fake and says he believes police tampered with the evidence.

He also says he was shown a brochure with two briefcases full of cash and offered $4m (£3.2m) by Mr Marquise, but the ex-FBI agent insists he didn’t offer him “one cent”.

For Dr Swire “the truth is very simple but the consequences of trying to conceal the truth are very complicated”.

“I think she (Flora) was killed by a bomb which was ordained by the Iranian authorities,” he says.

“They had had an Airbus destroyed by an American missile and 290 people killed. Therefore, they were lusting for revenge.”

Jim Swire
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Jim Swire

Former CIA operations officer John Holt, the one-time handler of Giaka, agrees. “I have no doubt it was Iran,” he says, adding that the PLFP-GC carried out the attack on their behalf.

However, most people still believe the official narrative and Libya has officially accepted responsibility, agreeing to a $2.7bn (£1.95bn) compensation deal with the victims’ families, albeit with expectations sanctions would be lifted.

Dr Swire’s search for answers continues as the alleged bombmaker Abu Agila Mohammad Mas’ud Kheir al Marimi is in US custody awaiting trial accused of being the third man involved in the terrorist attack.

Back in Lockerbie, the Connells did find out who their “boy” was – New Yorker Frank Ciulla.

The couple have formed a lasting friendship with his widow Mary Lou Ciulla and daughter Michelle Ciulla Lipkin, who are greeted with warm smiles and hugs as they step into their home from the Scottish drizzle.

“I felt that he was alone somewhere and yet when I came here, he wasn’t alone,” says Mrs Ciulla, her friend Mrs Connell’s arm around her shoulder. “Mine was actually… a nice story.”

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Russia fires more than 200 missiles and drones at Ukraine in largest attack since August

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Russia fires more than 200 missiles and drones at Ukraine in largest attack since August

Several people have been killed after Russia launched its largest aerial attack on Ukraine since August.

More than 200 missiles and drones were deployed, Volodymyr Zelenskyy said, as he condemned a “massive combined strike” on “all regions”.

Andrii Sybiha, Ukraine’s foreign minister, said “peaceful cities” and “sleeping civilians” were targeted.

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Moscow is focused on the “energy infrastructure throughout Ukraine” and is trying to intimidate Ukrainians with “cold and lack of light”, Mr Zelenskyy said.

The president added: “The whole world sees and knows that we are defending ourselves against absolute evil, which does not understand any language but force.

“We need unity [and] the world needs unity. Only together can we stop this evil.”

A firefighter at the site of a Russian drone strike in Mykolaiv in southern Ukraine. Pic: State Emergency Service of Ukraine/Reuters
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A firefighter at the site of a Russian drone strike in Mykolaiv in southern Ukraine. Pic: State Emergency Service of Ukraine/Reuters

Two people were killed and a 17-year-old boy was injured after a Russian attack in the Black Sea port of Odesa, regional governor Oleh Kiper said.

Energy infrastructure was damaged, he said, leading to “interruptions in the supply of heat, water and electricity”.

In Mykolaiv, southern Ukraine, officials said two people were killed in a Russian drone attack.

Ukraine’s state emergency service said a multi-storey building, cars and a shopping centre were hit.

Two women were killed and six injured, including two children, it added.

In the central Dnipro region, two people died and three were wounded in a strike on a rail depot, while in Lviv, on the border with Poland, a woman was killed in a car.

Emergency services remove part of a Russian missile from an apartment building in Kyiv. Pic: Reuters
Image:
Emergency services remove part of a Russian missile from an apartment building in Kyiv. Pic: Reuters

In the capital, Kyiv, mayor Vitali Klitschko said Russian attacks had caused a fire to erupt on the roof of a residential building, injuring at least two people.

People took refuge in metro stations, while emergency services were pictured removing part of a Russian missile from an apartment block.

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The Ukrainian military said it had destroyed 102 missiles and 42 drones launched by Russia.

Hypersonic missiles were among the 120 fired at Ukrainian territory, it said.

Air defences were active in “almost all” regions of Ukraine.

Equipment at thermal power stations has been “seriously damaged” during Russian air strikes, Ukraine’s largest private energy provider said. DTEK said its staff were working on repairs.

People sheltering in a metro station in Kyiv. Pic: Reuters
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People sheltering in a metro station in Kyiv. Pic: Reuters

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Russia’s defence ministry confirmed it had attacked energy resources supporting Ukraine’s military-industrial complex, Russian news agencies reported.

Poland scrambled its air force early on Sunday because of the “massive attack by the Russian Federation using cruise missiles, ballistic missiles and unmanned aerial vehicles”.

Mr Zelenskyy sent his condolences to anyone affected by the latest Russian attacks.

He said “all necessary forces” were involved in restoring power and facilities.

On Tuesday, it will be 1,000 days since Russia launched what it calls its “special military operation”.

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Under siege in Ukraine, schools go underground to keep life as normal as possible for children

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Under siege in Ukraine, schools go underground to keep life as normal as possible for children

If you know a teacher, or you are a teacher, you’ll understand that many in the profession consider their jobs one of the best in the world, while also acknowledging it can be one of the most stressful.

Teaching in a war zone takes it to another level on both fronts.

But imagine teaching in a war zone in say the London Underground or the Paris or New York metros?

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Students learning in lessons

Well, that’s exactly what is happening in Kharkiv, Ukraine’s second largest city – a city attacked by Russia on a constant basis.

In 2023, the authorities banned children from being taught in regular school buildings here because of the threat they were under from missile strikes.

So Kharkiv city and its education department started working on a plan.

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That plan has concluded with the construction of six schools in six metro stations, teaching 4,800 children daily whose families haven’t fled the war.

Intrigued by this new educational experiment, as it’s still considered, we were told to meet at the University metro station in the centre of the city and wait to be taken to the school.

Soviet-era metro stations, and particularly the platforms, are universally grand and ornate, although Ukraine’s are slightly more modest.

A young child at school in Kharkiv's underground system
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A young child at his desk in the underground school

The school (left) and the metro system (right)
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The school (left) and the metro system (right)

Pedestrian walkways though are always crammed with florists, newspaper stands, mobile phone shops and cafes, and Kharkiv’s are no different.

What is different though is that next to the main platform entrance, an adjacent passageway has been sealed off by a white wall with three doors built into it.

We were ushered inside, past a guard and into a concourse with two desks.

Inside the classrooms in a city under siege
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Inside the classrooms in a city under siege

The classrooms are brightly decorated to try and maintain morale for the children
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The classrooms are brightly decorated to try and maintain morale for the children

In front of us, we could see a wide staircase leading to a long corridor. Above us, large, shiny silver metal tubes stretched into the distance, pumping in air from above ground.

Lining the corridor, we could see a series of white interconnecting cabins, all brightly lit, and from them, we could hear the sounds of children laughing, music, and teachers conducting class in this strange subterranean school.

Perhaps the only school in the world with one corridor.

A door to one of the classes opened, and in pairs, a class of six and seven-year-olds emerged – their teacher at the front and an assistant at the rear.

They’re heading to the bathroom for a toilet break, the staff must keep an eye on them.

If any of the children were to make it out of the school, they could easily get lost in the underground system.

The pupils are spread across seven classrooms with a mix of yellow and green desks and chairs, and walls decorated with bright pictures like rainbows, sunshine and sunflowers, to try to create a cheery atmosphere.

“At first, the children were bewildered by studying here, it felt unfamiliar to them, but interacting with each other and with their teachers helped them to adapt,” Iryna Tarasenko from Kharkiv’s education department told me.

Iryna Tarasenko from Kharkiv's education department
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Iryna Tarasenko from Kharkiv’s education department

Sky News chief correspondent Stuart Ramsay and Kharkiv education official Iryna Tarasenko
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Sky News’ Stuart Ramsay and Kharkiv education official Iryna Tarasenko

Iryna is showing me around the school. They feel it’s their way of contributing to the war effort.

She said: “In the summer of 2023, the Defence Council didn’t permit children to study in regular school buildings, so, we had to find a solution. This is our frontline – our educational frontline.”

There are of course health concerns for both the teachers and the pupils spending so much time underground, so medical examinations are done on a regular basis.

It is an opportunity for doctors and behavioural specialists to monitor the effects of this war on them.

Dmytro Mitelyov is the neurologist on duty monitoring the children’s behaviour, checking for any signs of stress – physical and mental.

He gently asks each child how they’re feeling, and asks if they have any aches and pains.

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Dmytro Mitelyov (centre), the neurologist on duty monitoring the children as they spend large parts of their days underground, speaks to a child
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Neurologist Dmytro Mitelyov (centre) monitors children as they spend large parts of their days underground

“These are children who haven’t left Kharkiv since the war began, they live in a constant state of stress, multifaceted stress caused by a range of factors. They are exposed to things they see and hear, like alarms, explosions, and they feel it all,” Dmytro told me.

“When these children grow older, all the trauma they’ve endured during their formative years can, unfortunately, leave a lasting and serious imprint on their mental health. They haven’t had a healthy, carefree childhood – the kind where they can learn, play, and feel safe as children normally would.”

As the first group’s school day ends, children from one of Kharkiv’s most bombed districts, wrap up warm before being led to the surface to catch a school bus to their old school – which was hit by a missile.

It’s still where they meet their parents for normal pick-up.

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Students eating in their classrooms in Kharkiv's metro system
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Students eating in their classrooms in Kharkiv’s metro system

We jump on the bus with them for the journey past destroyed government buildings, shopping centres and restaurants.

When the air raid suddenly sounds, I look around to see how the children and teachers on this bus will react.

They barely flinch it’s so common.

“People have, to some extent, adapted,” one of the headmistresses, Olena Nikolienko, said.

“If we see missiles coming, heaven forbid, we’ll stop near a designated shelter, following our evacuation plan, and that’s where the children will go for cover.”

Headmistresses Olena Nikolienko
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Headmistress Olena Nikolienko

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Remember, these children are safe underground at school, up here they are not.

During the bus ride, 10-year-old Alisa began quietly sobbing. Her teacher told me her grandfather was killed four months ago on the frontline, and since then she has been prone to tears.

Alisa’s teacher comforted her and told her everything would be ok.

It feels like everyone here has to carry their own sadness.

Everyone.

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‘Ukraine war will end sooner under Trump’

Parents, standing in the first snowfall of the season, greet the children as they get off the bus.

The kids run off the bus, and start throwing snowballs at each other, enjoying this precious moment.

It will be the last time they’re outside today.

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China’s premier air show wows spectators – but the West won’t have liked seeing Russia’s jets

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China's premier air show wows spectators - but the West won't have liked seeing Russia's jets

Outgoing US President Joe Biden is set to meet his Chinese counterpart Xi Jinping today for what is likely to be his last time as US president.

The two leaders are expected to hold talks on the sidelines of a meeting of Asia-Pacific leaders in the Peruvian capital, Lima.

It comes against the backdrop of increasing tension in the US-China relationship with a potential trade war looming under a Trump presidency, several China hawks tapped for US cabinet positions and China’s growing status among global south countries as an emerging leader of an alternative world order.

This week China was focused on events in the southern city of Zhuhai.

First there was a car ramming attack at Zhuhai’s sports stadium which left 25 people dead. A shocking event that was heavily censored in China.

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What happened at Zhuhai sports centre?

Less than an hour’s drive away the country was holding its premier air show.

It was a military enthusiast’s dream, and not even intermittent rain could keep the crowds of tens of thousands of people away from relishing in the roar of jets in the skies above Zhuhai.

China’s fighter jet fleet

One of the main drawcards was China’s newest stealth fighter the J-35A. It will join the country’s J-20 in service for the People’s Liberation Army Air Force (PLAAF).

A J-35A stealth aircraft flies during the exhibition. Pic: Reuters
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A J-35A stealth aircraft flies during the exhibition. Pic: Reuters

The J-10C was China’s aerobatics star of the show. There were daily displays of its prowess in sky-high manoeuvres and formations that impressed onlookers, leaving a streak of colours across the cloudy rain-clogged sky.

Pic from Nicole Johnston and team
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China’s aerobatic team

China’s military modernsiation programme is continuing apace

It boasts the largest navy in the world and the largest armed forces by active-duty personnel.

The People’s Liberation Army (PLA) Airforce is developing fast too.

Dr Nicole Leveringhaus, a China security expert from King’s College London, says: “China started with very little. It was devastated by wars on many fronts in the 30s and 40s. Its defence industry was depleted. In 70-plus years it’s built itself up and now we’re seeing the results.

“It’s an impressive feat to go from a bloated land-based peasant guerrilla army to what it has to today.”

Chinese pride and nationalism on display

Enjoying the air show spectacle, military fan Liu Liansong said: “I think the air show is great. It is a firm manifestation of the air force’s development from scratch. We as Chinese people feel very proud.”

Defence exhibition near Beijing
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Inside the air show


Defence exhibition near Beijing

The air show included massive exhibition halls of military hardware, from drones to robotics, firearms and mock missiles. Merely getting from one end of the venue to the other through densely packed crowds was a mission.

Russia in the air

The other crowd puller this week was Russia’s aerobatic air force unit, performing daily theatrics at dizzying speeds.

It is another sign of the deepening ties between China and Russia.

Defence exhibition
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Russia’s aerobatic team shows off for the crowd

One Russian tourist and recreational pilot, Yulia, told Sky News: “Both sides are looking for good communication in business, aviation and in many spheres including tourism.”

The secretary of Russia’s security council and former defence minister Sergei Shoigu also visited the air show, viewing both Chinese and Russian-made jets.

In Beijing, secretary Shoigu was quoted by Russian state media as saying: “I see the most important task as countering the policy of ‘dual containment’ of Russia and China pursued by the United States and its satellites.”

Defence exhibition near Beijing
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One of Russia’s jets up close

Defence exhibition near Beijing

The West is increasingly frustrated by China’s support of Russia. The US has sanctioned two Chinese companies, accusing them of being involved in the production of Russian aerial drones used on the battlefield.

China insists it is not supplying weapons to Russia.

One of the companies, Xiamen Limbach Aircraft Engine Co, had a small stand in one of the exhibition halls. Its representatives declined Sky News’ request for an interview.

Tariff war brewing

Despite the raw military might on display in Zhuhai, in China there is uncertainty and unease about what an impending Donald Trump presidency will mean for global trade.

Defence exhibition near Beijing.

President-elect Trump has threatened blanket tariffs of up to 60% on Chinese products exported to the US.

This would be a serious blow to China’s target GDP growth and comes at a time when the country’s economy faces deep-set challenges.

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At the other end of the country, in Beijing analysts are weighing up the impact of possible tariffs and the Chinese government’s options to respond.

Senior Asia analyst Chim Lee, from The Economist Intelligence Unit, is not optimistic that a US-China agreement to minimise the damage can be reached.

Senior Asia Analyst Chim Lee
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Senior Asia analyst Chim Lee

“I think both sides have recognised that the era of making deals is passed,” Mr Lee said.

“We’re going to see China starting with some targeted measures, tariffs it feels more comfortable to impose,” he explained. “But there are also areas where China is starting to be a bit more aggressive.”

This action could include export controls on China’s production of critical minerals and retaliatory tariffs on US agriculture exports.

Trade competition, military posturing and complicated geo-political alliances have set the stage for a challenging next phase in US-China relations.

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