US President Donald Trump's plan to charge companies 15% of their revenues from Chinese AI chip sales may provide a path for US companies to enter the Chinese market despite severe export controls and tariffs. The deal, struck with Nvidia Corp. and Advanced Micro Devices Inc., has raised concerns among experts that the US government will find new ways to charge companies for business activities with other countries. Gary Hufbauer, a senior fellow at the Peterson Institute for International Economics, described the plan as "truly bizarre" and warned of its potential expansion.
US President Donald Trump's tariffs have led to an average effective rate of 18.6%, the highest since 1933, but many economists believe the global economy has avoided a trade shock. The International Monetary Fund upgraded its global growth forecasts due to reduced concerns about damage from Trump's tariff blitz. A recent survey by Bank of America found investors were more bullish than in April, with only 5% expecting a "hard landing" for the global economy, compared to 49% previously.
US President Donald Trump has warned Russian President Vladimir Putin that Russia will face
The UK has a vast network of partnerships globally, including Five Eyes with the US, NATO, and agreements with France, Germany, and several Asian nations. The country also maintains strong ties with Gulf monarchies and Caribbean island nations. In contrast, the US has an even broader network of special relationships worldwide, exemplified by its partnership with France in April 2024 to prevent Iranian missiles from reaching Israel.
The US relationship with Pakistan is seen as short-term and financially motivated, according to former Indian diplomat Vikas Swarup. He stated that the closeness between the two countries is a strategic error on the US' part, given its proximity to China, a strategic competitor. This move is primarily driven by financial gain from cryptocurrency assets in Pakistan, with the Trump family and Witkoff family being key players.
US authorities have reportedly secretly placed trackers in some high-risk AI chip shipments to catch illegal diversions to China as part of the escalating battle over semiconductor exports. The move is aimed at detecting and preventing the diversion of sensitive technology to Chinese companies, with Dell and Nvidia denying any involvement in the practice. According to a Reuters report, the US has embedded location tracking devices in selected shipments of advanced chips and AI servers, revealing a covert tactic in the ongoing struggle to control the flow of semiconductor exports.
The US has deployed warships to the South China Sea following a collision between Chinese and US naval vessels. The incident occurred on August 13, 2025, when the Philippine Coast Guard reported that a Chinese ship had collided with a US Navy destroyer, the USS Higgins, during freedom-of-navigation operations.
China's territorial claims in the South China Sea have sparked tensions with neighboring countries, including Brunei, Indonesia, Malaysia, the Philippines, and Vietnam, over exclusive economic zones (EEZs) in the region. The dispute centers on China's assertion of sovereignty over nearly 90% of the South China Sea, despite competing claims from these nations.
The US and China have been conducting joint air patrols with nuclear-capable bombers, including Chinese H-6K long-range bombers escorted by Russian Su-30 fighter jets, near Alaska in 2024. This deployment is seen as a strong political signal, with the most potent being the placement of nuclear weapons or launch platforms near a potential adversary. The move has raised concerns among Western observers, who interpret it as a message from China to assert its military presence in the region.