FINANCIAL TIMES
-A new Chinese community is forming in Japan, with middle-class Chinese individuals moving to Japan for a lifestyle they see as impossible back home. Some Run-ri want permanent residency and the ability to travel back to China for business, while others arrive with no intention of ever returning. Cao, a member of this burgeoning diaspora, is plotting a second move to a part of the city with fewer Chinese. This phenomenon is a phenomenon few saw coming in Japan or China, with dinner party conversations dominated by the mechanics of getting to Tokyo or Osaka.
-Japan's Prime Minister Shigeru Ishiba has announced his resignation to prevent the Liberal Democratic Party from splitting and to make way for a new leader. The decision comes ahead of a party leadership election on Monday, where a majority of LDP parliamentarians are expected to force Ishiba out of office. His position has been uncertain since July, when his party lost control of the upper house of Japan's parliament. Ishiba's decision comes after a disastrous lower house election in October, which left the LDP without a majority in the lower house.
-Federal grand jurors have been demonstrating resistance against the president's immigration crackdown and his recent show of force. In at least seven cases, ordinary people serving on grand juries have refused to indict their fellow residents involved in the crackdown. The secretive nature of grand juries makes it difficult to know precisely why this has been happening, but the persistent rejections suggest that grand jurors may have had enough of prosecutors seeking harsh charges in a highly politicized environment. Judge Sol Wachtler, a former New York jurist, once said that prosecutors are in complete control of grand juries, but this rebellion in Federal District Court in Washington seems to have taken a stand in defense of their community.
-Tensions between President Trump and Illinois leaders escalated when the White House posted an image on social media depicting Trump with helicopters, flames, and the Chicago skyline. The threat came after weeks of the Trump administration promising to crack down on illegal immigration in Chicago, part of a campaign vow to more rigorously enforce immigration laws across the country. It is uncertain when the escalated effort by Immigration and Customs Enforcement might begin, and officials declined to comment on Saturday afternoon.
-European steelmakers are urging Brussels to impose US-style tariffs on all imports of the metal, warning that the industry risks collapse due to cheap Chinese products and Donald Trump's high duties. The EU's steel industry was struggling to compete with cheap imports from China and high energy prices even before the US president imposed 50% tariffs on their exports to America earlier this year. Trump's duties on other countries, particularly China, have raised fears that the EU will be flooded with more cheap metal diverted from the US market. Henne, chair of the supervisory board for Thyssenkrupp's steel division, declined to suggest a tariff level on steel brought into the bloc, but warned that imports were still increasing even as domestic demand remained sluggish.
-Swiss small and mid-sized companies are seeking new corporate banking relationships after the collapse of Credit Suisse, one of the country's two global banks. Credit Suisse was a crucial partner for Swiss businesses and bridging gaps with international markets. The bank's sudden demise in 2023 and state-sponsored rescue by rival UBS created a significant gap in Switzerland's corporate banking ecosystem. Major Swiss companies like Lindt and Nestlé already have relationships with international banks, but the SME sector, which accounts for over 99 per cent of the country's businesses and is the backbone of its economy, has been left rushing to find new relationships.
-Donald Trump's promise to deliver a booming economy to Americans is being undermined by a stalling labor market, warning his party's prospects for next year's congressional elections. The Bureau of Labor Statistics showed jobs growth has been grinding to a halt, with US employers creating just 22,000 positions in August after a weak summer. Trade policy uncertainty is causing a pullback in hiring, and it is not clear whether it will be resolved anytime soon. Democrats have provided fresh ammunition for their claims that Trump's economic policies are doing more harm than good, as trade policy uncertainty is causing a pullback in hiring.
-German executives of manufacturing and energy industries have expressed concerns over the cost of "green" hydrogen, a key component of the country's carbon emission reduction efforts. Thyssenkrupp, the country's largest greenhouse gas emitter, warned that unless the cost of renewable hydrogen decreased, it would have to use fossil fuels to run its flagship green facility in Duisberg. Germany has set ambitious targets for producing and importing hydrogen, supported by billions in subsidies and loans. However, sluggish economic growth and trade competition from China are causing a global slowdown in its adoption.
NEW YORK TIMES
-The Pentagon prevented a senior Democrat from visiting a military spy agency. Armed forces in Venezuela began a military campaign against drug cartel members without congressional authorization. The White House planned to cancel $5 billion in foreign aid funding, escalating its campaign to undercut legislative spending powers. Health Secretary Robert F. Kennedy Jr. ousted the director of the Centers for Disease Control and proposed changes to restrict access to Covid-19 vaccines, despite pledging not to make it more difficult during his confirmation hearings. These events highlight the ongoing political turmoil in the US.
-China's most ambitious cyberattack, known as Salt Typhoon, targeted over 80 countries and may have stolen information from nearly every American. The attack, which targeted major telecommunications companies and others, was a yearslong, coordinated assault. The range of the attack was far greater than initially understood, and security officials warned that the stolen data could allow Chinese intelligence services to exploit global communication networks to track targets including politicians, spies, and activists. The hackers sponsored by the Chinese government are targeting networks globally, including telecommunications, government, transportation, lodging, and military infrastructure networks. The attack is seen as evidence that China's capabilities rival those of the United States and its allies.
-John Deere, the leading supplier of agricultural machinery in the US, had reported a record profit two years ago, but President Trump's tariffs and trade policies are making the market more challenging and unpredictable for the business and its customers. The company's net income in its most recent quarter was down 29% from a year earlier, and higher tariffs on steel and aluminum have cost the company $300M so far, with nearly another $300M expected by the end of the year. This summer, the company laid off 238 employees across factories in Illinois and Iowa. Despite this, John Deere is a manufacturing powerhouse that President Trump wants more of in the US. The company employs 30,000 workers in 60 facilities across the country and says more than 75% of its machines were assembled in the US. Just 25% of the components used in its products come from foreign countries.
-President Trump, who promised to keep the US out of wars and leave a legacy of unification, has signed an executive order to establish a Department of War. This contradicts his presidency's image, as he seeks the ultimate prize for peace while promoting a more aggressive use of U.S. military might. In a social media post, Trump suggested going to "war" with Chicago, where he has threatened an immigration crackdown. He also mentioned Chicago was "about to find out why it's called the Department of WAR," along with three helicopter emojis. When asked about how he squared his Department of War with his push for peace, Trump did not see a contradiction.
-South Korea has reached a deal with the US to release hundreds of South Korean workers arrested during a raid on a Hyundai-LG electric vehicle battery plant in Georgia. The South Korean presidential office announced that after administrative procedures are cleared, a chartered plane will be sent to bring the workers home. This comes after days of tensions between the two countries. The US immigration authorities stormed the site, arresting 475 people, including 300 South Korean citizens, and reportedly releasing about 300 workers. The agreement marks the first sign of a diplomatic solution after days of tensions.
-The Trump administration has launched an Immigration and Customs Enforcement operation in Massachusetts, targeting the worst criminal illegal aliens in the state. The operation, called Patriot 2.0, has been described as harsh by the Department of Homeland Security, which has warned that if an individual enters the country illegally and breaks the law, they will be hunted down, arrested, deported, and never returned. The operation began late this week and is expected to last several weeks. The US government has prepared plans for a wider surge of immigration enforcement starting this month. The operation began just days before the Trump administration's planned immigration crackdown in Chicago and as arrests in Washington have increased.
-France's government is expected to fall for the second time in nine months after a confidence vote in Parliament. French Prime Minister François Bayrou called for support for his plan to mend the country's finances with 44B euros (about $51B) in spending cuts. If the vote goes against him, Bayrou will be forced to resign and Macron will have to name another prime minister to fix France's budget. Investors have pushed up French borrowing costs to among the highest in the Eurozone, reflecting rising risk.
-The remains of 42 people found outside an ethnic Polish village in western Ukraine were reburied in individual caskets, each topped with blue wildflowers, marking a significant milestone in Ukrainian history. The ceremony brought closure to family history and put an end to a long-standing dispute with Poland over World War II-era massacres. Poland accused Ukraine of sweeping war crimes by the Ukrainian underground under the rug after the Soviet breakup. In Ukraine, members of the Ukrainian nationalist movement have been elevated to the status of heroes who paved the way for the country's eventual independence in 1991.
-Trump has canceled his plans to visit India for the Quad summit, following a phone call with Indian Prime Minister Narendra Modi. Trump is now seen as a source of national humiliation in India, with a giant Trump effigy paraded around a festival in Maharashtra, claiming him a backstabber. The intense blows from the US have been described as "gundagardi" or "thuggery." The story of Trump and Modi is about two populist leaders with big egos and authoritarian tendencies, and the web of loyalties that keep both men in power. However, it also highlights the American president's ambition to win a Nobel Prize while running into the conflict with Pakistan.
-The Los Angeles Police Department has ended its protection services for former Vice President Kamala Harris after facing criticism from an elite unit of its officers and the police union. The department has assigned officers to assist the California Highway Patrol in providing security for Harris. The agencies stepped in to fill the security gap left after President Trump terminated her Secret Service security detail. The U.S. Secret Service typically protects vice presidents for six months after leaving office, but President Joseph R. Biden Jr. signed an executive order to extend that protection for an additional year for Harris.
-A preliminary report on the deadly funicular accident in Lisbon has revealed that a cable on the upper car had disconnected. The cable connecting the two cars failed at its attachment point on the upper car, and investigators found that despite two braking systems applied, neither could stop the rapid descent of the car, which was estimated to have made impact at 60 kilometers per hour. The report suggested that this was not surprising, as without the support of the connecting cable, the brakes alone "do not have sufficient capacity to stop the moving cabins." The Portuguese aviation and rail accident investigative agency did not explain how the cable broke free, but from an initial review of the wreckage, the remainder of the connecting cable, including the attachment point on the other car, presented no anomalies. The report cautioned that no conclusions could be drawn about the accident's cause and that another preliminary report would be released within 45 days.
NEW YORK POST
-South Korean President Lee Jae Myung has ordered swift action following the arrests of hundreds of citizens in a US immigration raid on a Hyundai Motor car battery factory in Georgia. Foreign Minister Cho Hyun has set up a team to respond to the arrests and may go to Washington to meet with officials if needed. The incident could exacerbate tensions between the Trump administration and Seoul, a key Asian ally and investor, as they have been at odds over the details of a trade deal that includes $350 billion of South Korean investment in the United States. The incident could exacerbate tensions between the two countries.
-Anthropic has agreed to pay $1.5B to settle a class-action lawsuit from authors who accused the company of using their books to train its AI chatbot Claude without permission. The settlement, announced in August without disclosing the terms or amount, is the largest publicly reported copyright recovery in history. The deal marks the first in a string of lawsuits against tech companies including OpenAI, Microsoft, and Meta Platforms over their use of copyrighted material to train generative AI systems. Anthropic will destroy downloaded copies of books the authors accused it of pirating, and under the deal, it could still face infringement claims related to material produced by the company's AI models.