Tag: Persian Gulf

Nations Brace for Long-Term Economic Woes as Trump Calls Iran Truce Plan ‘Garbage’

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Countries were bracing on Monday for prolonged economic woes stemming from high energy prices after President Trump called the latest Iranian offer to end the war and reopen the Strait of Hormuz “garbage” and declared that the cease-fire was “on massive life support.” Mr. Trump, speaking to reporters in the Oval Office, reiterated that Iran could not be allowed to develop a nuclear weapon and likened the truce announced last month to a patient with a “1 percent chance” of survival. Iran’s state-owned broadcaster reported on Monday that in its…

How Trump’s Iran Blockade Is Complicating a High-Stakes Trip to China

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President Trump’s declaration that he is willing to maintain a blockade on Iranian shipping until the Iranians surrender to his demands almost assures that the Strait of Hormuz will remain closed by the time he arrives in Beijing in two weeks. That is exactly what Mr. Trump was seeking to avoid when he delayed his trip to China six weeks ago. And it vastly complicates a critical meeting with President Xi Jinping, forcing White House officials to rethink how Mr. Trump approaches the effort to engineer a rapprochement with China.…

Why Diesel Has Become a Much Bigger Economic Problem Than Gasoline

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The price of diesel has risen much more quickly than gasoline as the U.S.-Israeli war with Iran has choked global oil supplies. That could have severe consequences for the diesel-dependent transportation industry. Since the war began on Feb. 28, the average price of a gallon of diesel has gone up about 45 percent, while a gallon of regular gasoline has risen about 35 percent. The Energy Information Administration, a federal research agency, expects average diesel prices to peak at more than $5.80 a gallon this month. Gasoline, the agency said,…

What the Iran War Means for the U.S.-China Relationship

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The war in Iran is threatening a fragile détente between China and the United States, with the two powers now moving to postpone a much anticipated summit meeting after President Trump demanded that China send warships to the Gulf. Mr. Trump on Monday said that he had requested that his visit to Beijing at the end of the month be postponed because of the war. Just a day earlier, he threatened to delay the meeting if China did not contribute warships to end Iran’s de facto blockade of the Strait…

How the Saudi-Iran Pact Could Transform the Middle East

Chin@Strategy

RIYADH, Saudi Arabia — Only five years ago, Crown Prince Mohammed bin Salman, the de facto ruler of Saudi Arabia, derided Iran’s supreme leader, saying he “makes Hitler look good.” Last week in a development that had the world doing metaphorical double takes, the Saudis not only re-established diplomatic relations with Tehran but also spoke gauzily of the countries “sharing one fate.” The diplomatic rapprochement between Saudi Arabia and Iran after years of facing off in proxy conflicts across the Middle East was a coup for China, which facilitated the…