Trump weighs restarting Iran combat operations as US cost of war nearing $29b

Trump heads to Beijing to meet Xi after China resists US pressure on Iran war

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US-Israel-Iran war
President Donald Trump speaks to the press as he departs the White House on May 12, 2026 in Washington, DC. Trump is traveling to China where he is scheduled to meet with Chinese President Xi Jinping for expected talks on the Iran conflict, trade imbalances, regional security, and economic cooperation between the two countries.
President Donald Trump speaks to the press as he departs the White House on May 12, 2026 in Washington, DC. Trump is traveling to China where he is scheduled to meet with Chinese President Xi Jinping for expected talks on the Iran conflict, trade imbalances, regional security, and economic cooperation between the two countries.
AFP
US President Donald Trump said he will hold a “long talk” with Chinese President Xi Jinping during a summit in Beijing this week amid rising geopolitical tensions. The US conflict with Iran has cost an estimated $29b, with reports suggesting Trump is considering resuming military operations amid a fragile ceasefire. At the same time, Iran has urged Washington to accept a new peace deal, warning the truce could collapse. Meanwhile, violence continues in the Middle East, with Israeli strikes in southern Lebanon intensifying ahead of US-hosted talks, and 380 reported killed since a recent ceasefire. Separately, the UAE added 16 individuals and five entities linked to Hezbollah to its Local Terrorist List as part of ongoing security measures. Follow our live coverage for the latest updates:

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Shipping through Hormuz ramps up under 'dark' or 'Emcon' conditions: tracker

Commercial shipping through Hormuz increasingly appears to be operating under dark or "Emcon" conditions, according vessel tracker Windward. "IRGC fast craft activity expanded across both Hormuz corridors, including swarm-style formations and escort-like behavior near commercial traffic," the marine tracking site reported. Windward identified nine commercial tanker transits through Hormuz on May 11, including "dark fleet-linked" LPG and product tankers. Qatar LNG cargoes also resumed transiting Hormuz for the first time since the February closure. "Emcon" in shipping stands for "emissions control", during which vessels minimise radio, radar, and electronic emissions to avoid detection by military radars or intelligence gathering systems in the region. It is a high-stakes "hide-and-seek" game, with ships trying to move through a critical, high-risk corridor without being detected.

US blockade allows Iran 'no money': Trump

US President Donald Trump told US media before he boarded the Air Force at Joint Base Andrews, Maryland, en route to China: "We don't have to rush anything. We have a blockade which allows them no money. It's a very simple thing: we cannot let them have a nuclear weapon — because they'd use it."

Hegseth defends US-Iran war successes amid sense Senate clash

At a US Senate hearing on the Pentagon’s proposed $1.5 trillion budget, Defence Secretary Pete Hegseth pointed to what he called "battlefield gains" and said the US Navy blockade had severely strained Iran’s economy. He pushed back on appeals to reopen the Strait of Hormuz despite mounting pressure from lawmakers over rising US fuel prices.

The conflict began on February 28 with Operation Epic Fury, a wave of US airstrikes targeting Iranian nuclear facilities. Tehran responded with retaliatory attacks, before a Pakistan-brokered ceasefire took shape around April 8. That truce is now on "life support", as per Trump.

Pentagon officials told senators the fighting has cost nearly $29 billion so far and claimed the lives of 13 US service members. Democrats pressed for a clearer "and exit strategy, while many Republicans defended the sustained pressure campaign as necessary to halt Iran’s nuclear ambitions.

Trump takes off on long-awaited China trip

President Donald Trump took off aboard Air Force One bound for China, the first trip by a US leader to the rival power in nearly a decade.

Trump is set to hold talks Thursday and Friday with Chinese President Xi Jinping that will focus heavily on trade but also on potential friction points over Taiwan and Iran.

Rescuers at scene of attack that killed Lebanese medical workers

Trump insists US doesn't need China's help in Iran

US President Donald Trump insisted he does not need help from China on ending the war with Iran but said he would talk at length with Xi Jinping when they hold a summit this week.

Trump told reporters before leaving for Beijing that "we're going to have a long talk about it."

China is a top economic partner of Iran, buying much of its oil output, and also an important diplomatic backer.

However, Trump underlined that he does not need Xi to find an exit from the conflict that started two and a half months ago with a massive US-Israeli attack before settling into a stalemate over control of the Strait of Hormuz shipping route.

We have a lot of things to discuss. I wouldn't say Iran is one of them, to be honest with you, because we have Iran very much under control. We're either going to make a deal or they are going to be decimated.
Donald Trump

Amid reports that China continues to help arm Iran and purchase sanctioned oil, Trump said Xi has "been relatively good."

"They get a lot of their oil from that area. We've had no problem. And he's been a friend of mine. He's been somebody that we get along with."

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UAE designates 16 individuals, 5 entities linked to Hezbollah

The United Arab Emirates has designated 21 individuals and entities on its Local Terrorist List over alleged links to Lebanon’s Hezbollah.

The designation was issued under Cabinet Resolution No. (63) of 2026, through which the UAE Cabinet approved the inclusion of 16 individuals and five entities on the list of individuals and organisations supporting terrorism (Local Terrorist List), in accordance with UAE laws and regulations.

The move forms part of the UAE’s ongoing efforts, both domestically and internationally, to disrupt and dismantle networks linked to the financing of terrorism and related activities, whether directly or indirectly.

Under the resolution, all regulatory authorities are required to identify any individuals or entities connected through financial or commercial relationships with those listed, and to take necessary measures in line with applicable UAE laws, including freezing assets within 24 hours.

Trump insists inflation surge 'short term,' policies working

President Donald Trump insisted that his policies are working and that surging inflation is merely temporary due to the US and Israeli war against Iran.

"Our inflation is just short term," Trump told reporters, predicting it would fall to 1.5 percent from its current three-year high of 3.8 percent. "As soon as this war is over, which will not be long, you're going to see oil prices drop."

Trump says will have 'long talk' with Xi on Iran

US President Donald Trump on Tuesday said he would be having a "long talk" with Chinese counterpart Xi Jinping when they meet at a summit in Beijing this week.

"We're going to have a long talk about it. I think he's been relatively good, to be honest with you," Trump told reporters, adding that he didn't think the Chinese leader would have to help Washington to resolve the war.

UK deploys autonomous mine-hunters to Strait of Hormuz

The United Kingdom has announced the deployment of autonomous mine-hunting systems and advanced anti-drone technology to the Strait of Hormuz as part of efforts to strengthen maritime security in the key shipping route.

The UK Ministry of Defence said the move reflects Britain’s leading role in safeguarding international waters, with Defence Secretary John Healey confirming the deployment on Tuesday.

The package includes HMS Dragon, Typhoon fighter jets, and autonomous systems, backed by £115 million in funding to enhance operational capabilities.

The announcement came alongside a meeting of 40 defence ministers co-chaired by the UK to support a multinational maritime security mission aimed at ensuring safe passage through the Strait of Hormuz amid rising regional tensions.

Israeli strikes have killed 380 in Lebanon since truce

Israeli strikes on Lebanon have killed 380 people since a ceasefire in the Israel-Hezbollah war began on April 17, Lebanon's health ministry told AFP on Tuesday.

A ministry official said that "380 people, including 22 children and 39 women, have been killed in strikes on Lebanon since the ceasefire came into effect", out of a total of around 2,900 people killed since the war erupted on March 2.

Under the terms of the truce released by Washington, Israel reserves the right to act against "planned, imminent or ongoing attacks". In addition to carrying out ongoing airstrikes, Israeli troops have been operating behind a so-called "yellow line" that runs around 10 kilometres (six miles) north of the border between the two countries.

India launches $1.5 billion maritime insurance pool

India launched a $1.5 billion guarantee for a maritime insurance pool to shield its shipping sector from disruptions linked to tensions in the Middle East.

The so-called 'Bharat Maritime Insurance Pool' will "facilitate continuous maritime insurance coverages", amid the risk of wars and sanctions, the finance ministry said in a statement.

India relies heavily on sea routes for crude oil, liquefied natural gas and merchandise trade, much of it passing through sensitive corridors such as the Strait of Hormuz.

The pool will cover "war risk for Indian flagged or controlled vessels destined to or starting from India in the context of the current Middle East tensions," it said.

Under the latest initiative, policies will be issued by member insurers using combined underwriting capacity of the pool.

Claims up to $100 million will be met from the pool's own resources. For larger claims, the sovereign guarantee will serve as a backstop after reserves and reinsurance are exhausted.

"The pool will enable the country to strengthen sovereign control over maritime trade and ensure continuity of trade even in the event of withdrawal of reinsurance coverage due to sanctions or geopolitical tension," the government said.

Pakistan, China discuss Iran-US mediation efforts

Ishaq Dar and Chinese Foreign Minister Wang Yi have discussed Pakistan’s efforts to facilitate engagement between Iran and the United States, according to Pakistan’s Ministry of Foreign Affairs.

China expressed support for Pakistan’s “constructive mediation role” in encouraging dialogue between the two sides.

Both countries stressed the importance of maintaining a durable ceasefire and ensuring safe passage through the Strait of Hormuz amid ongoing regional tensions.

The talks also covered broader bilateral cooperation and upcoming high-level exchanges between Pakistan and China.

EU says could expand naval mission to Strait of Hormuz

EU top diplomat Kaja Kallas said the bloc could expand a naval mission it has in the Red Sea to cover the Strait of Hormuz, once the Iran war ends.

"Operation Aspides already makes a crucial contribution in protecting shipping in the Red Sea but its activities could also be extended to the strait," Kallas said after a meeting of European Union defence ministers.

Kallas said that some countries were already promising to contribute more ships to the mission and that could help if the decision is taken to extend its scope.

Trump shares AI images depicting US strikes on Iran

Donald Trump shared a series of AI-generated images on his Truth Social platform depicting fictional US military strikes against Iran amid continuing tensions over the fragile Middle East ceasefire.

The digitally created posts showed dramatic combat scenarios involving American forces targeting Iranian assets. One image portrayed a US warship destroying an aircraft marked with the Iranian flag using a laser weapon, accompanied by the caption: “Lasers: Bing, Bing, GONE!!!”

Another image depicted a US drone attacking Iranian “fast boats” at sea moments before explosions struck the vessels. Trump captioned the image: “BYE BYE, ‘FAST BOATS’.”

The posts quickly drew attention online as regional tensions remain high following recent military escalations involving Iran and the United States.

Trump due in China for superpower summit with Xi

Donald Trump was due in Beijing Wednesday for the first visit to China by a US president in nearly a decade, as the war he launched on Iran in February added to the heap of issues straining the powers' ties.

This week's trip - the first since Trump visited in 2017 - will involve high-stakes talks with Chinese President Xi Jinping on Thursday and Friday, during a packed itinerary that includes a state banquet and tea reception.

US arms sales to Taiwan, China's controls on rare earth exports and the countries' raucous trade relationship are among the topics expected to be taken up by the heads of the world's top two economies.

The war in the Middle East will also top the agenda, with a senior US official telling reporters this week that Trump will pressure Xi over Iran, as he seeks a deal to end the conflict.

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Kuwait summons Iranian envoy over alleged IRGC infiltration

Kuwait has summoned Iran’s ambassador following allegations that members of the Islamic Revolutionary Guard Corps (IRGC) entered its territory.

The Ministry of Foreign Affairs issued a formal protest note to Iran’s envoy, Mohammad Tutunji, describing the incident as an “infiltration” of armed IRGC personnel.

Kuwait strongly condemned the alleged act, with Deputy Foreign Minister Hamad Suleiman al-Mashaan calling it a “hostile act” and urging Iran to immediately stop such actions while respecting Kuwait’s sovereignty.

The move comes amid broader regional tensions in the Gulf, where concerns over security and stability remain high.

US-Iran war costs rise to $29b, Pentagon official says

The US war effort against Iran has so far cost an estimated $29 billion, a senior Pentagon official has said, marking an upward revision from a previous $25 billion figure shared with Congress just two weeks ago, according to CNN.

Jay Hurst, who is serving as acting Pentagon Comptroller, told a House Appropriations Committee hearing on Tuesday that the estimate had been updated as officials reassessed ongoing expenses.

“At the time of testimony from the House Armed Services Committee, it was $25 billion, but the joint staff team and the comptroller team are constantly looking at that estimate, and so now we think it’s closer to $29,” Hurst said.

He explained that the revised figure reflects higher-than-expected costs linked to repairing and replacing military equipment, as well as continued operational spending for forces deployed in the region.

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Iran's Guards hold military drills in capital as ceasefire teeters

Iran's Revolutionary Guards held military exercises in capital Tehran to prepare for any confrontation, state media reported Tuesday, after US President Donald Trump warned a ceasefire in the Middle East war was on the brink of collapse.

The drills involved the Islamic Revolutionary Guard Corps or IRGC, the ideological arm of Iran's military, as well as the Basij, a paramilitary force affiliated with the Guards, according to state TV.

"Enhancing combat capability to confront any movement of the American-Zionist enemy was one of the goals and scenarios implemented in this drill, which was successfully carried out," Brigadier General Hassan Hassanzadeh, commander of the Tehran Revolutionary Guards, was quoted as saying by state TV.

US consumer inflation hits three-year high fuelled by Iran war

Consumer inflation in the United States hit a three-year high in April, government data showed Tuesday, with the economic fallout of the Iran war rippling through the world's largest economy.

The consumer price index (CPI) rose 3.8 percent year-on-year, up from March's 3.3 percent figure, the US Bureau of Labor Statistics said.

The US-Israel war on Iran has engulfed the Middle East in violence, with Iranian retaliatory action targeting Washington's regional allies and virtually blocking the Strait of Hormuz.

Roughly a fifth of the world's oil and natural gas passes through the waterway under normal circumstances, and the blockade has sent worldwide energy prices surging.

In April, the US price index for energy rose 17.9 percent compared to a year ago, BLS data showed, by far the largest price jump for any category.

Food prices were up 3.2 percent in April over last year, the data showed.

Core consumer price index (CPI) inflation, which excludes volatile food and energy prices, came in at 2.8 percent in April, up from 2.6 percent the month before.

Israeli troops conduct raid along south Lebanon's Litani river

The Israeli military said its troops had conducted a days-long raid in the area of the Litani river in south Lebanon, where exchanges of fire with Hezbollah persist despite a ceasefire.

In a statement, the military said that over the past week, troops had conducted a "special operation to clear terrorist infrastructure from the Litani area and establish operational control in the area".

It said soldiers had been operating south of the Israeli-declared "yellow line" that runs around 10 kilometres north of the border and where Israeli forces continue to be stationed.

Israeli media reported that troops had gone beyond the Litani river and operated on the outskirts of the town of Zawtar Al Sharqiyah.

The Israeli military said it was unable to confirm whether troops had crossed the Litani, but it published photos from the operation showing soldiers walking along a bridge traversing a river. Other photos published by the military showed tanks and soldiers operating along the riverbank.

"During the operation, the troops located compounds used by Hezbollah terrorists, underground tunnel routes containing large quantities of weapons, weapons storage facilities, and missile launchers," the military said, adding that it had struck more than 100 targets.

It also said troops had "struck and eliminated dozens of terrorists in close-quarters combat, alongside aerial support."

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Hezbollah claims attack on Israeli tank in southern Lebanon

Hezbollah said it targeted an Israeli Merkava tank near the town of Houla in southern Lebanon’s Nabatieh region amid escalating cross-border tensions.

The group said the attack was carried out against Israeli forces operating near the border area, though there was no immediate confirmation from the Israeli military regarding the incident or any reported casualties.

In a statement carried by local media, Hezbollah said Lebanon was facing what it described as “Israeli-American aggression”.

“We will not surrender and we will continue to defend Lebanon and its people – however long it takes and however great the sacrifices,” the statement said.

Oil prices jump, stocks retreat on US-Iran deadlock

Oil prices rallied and stock markets fell Tuesday as investors braced for further volatility after talks appeared to stall on ending the war in the Middle East and re-opening the Strait of Hormuz to tanker and cargo ship traffic.

Iran's chief negotiator said Tuesday that Washington must accept Tehran's latest peace plan or face failure, after US President Donald Trump warned the truce in the Middle East war was on the brink of collapse.

Rising crude futures were also pushing up government bond rates, including in Britain, where political uncertainty soared as Prime Minister Keir Starmer clings to power, analysts said.

"Oil prices are rising again, and global bond markets are pricing in inflation risks," said Kathleen Brooks, research director at XTB trading group.

Qatar says Iran should not use Hormuz to 'blackmail' Gulf

Iran should not use the Strait of Hormuz, which it has blocked since the start of the Middle East war, as a means to blackmail Gulf states, Qatar's top diplomat and premier said on Tuesday.

Sheikh Mohammed bin Abdulrahman Al Thani was speaking during a press conference in Doha with Turkey's Foreign Minister Hakan Fidan - close allies who have emerged as key intermediaries in the Iran-US talks alongside mediator Pakistan.

"Iran should not use this strait as a weapon to pressure or to blackmail the Gulf countries," the Qatari minister said.

Fidan also said the strait must not be "used as a weapon", according to an Arabic translation of his Turkish comments.

Gulf countries have borne the brunt of Iran's attacks during the war, with Tehran targeting US assets but also civilian infrastructure, airports and energy facilities.

Qatar FM says visited US to support efforts to end Iran war

Qatar's premier and foreign minister on Tuesday said his recent visit to Washington sought to bolster mediation efforts seeking to end the US-Iran war.

"The visit focused primarily on supporting the Pakistani diplomatic efforts and ensuring a positive response to these efforts to reach a solution as quickly as possible," Sheikh Mohammed bin Abdulrahman Al Thani said during a press conference in Doha with Turkey's Foreign Minister Hakan Fidan.

Kuwait foils IRGC mission, arrests four infiltrators

Kuwait’s Ministry of Interior announced the arrest of four infiltrators who attempted to enter the country by sea, who later admitted they belonged to Iran’s Islamic Revolutionary Guard Corps (IRGC).

In a statement issued on Tuesday, the ministry said those arrested were identified as Navy colonel Amir Hussein Mohammed Zarai, Navy Colonel Abdul Samad Badalat Qanwaiti, Navy captain Ahmed Jashmeed Ghaim Redha, and First Lieutenant Mohammed Hussein SehrabFaroughi Rad.

The ministry added that the suspects confessed to having been tasked by the Revolutionary Guards to infiltrate Bubiyan Island on Friday, May 1, aboard a fishing boat specially rented for the mission, which included carrying out hostile acts against the State of Kuwait.

Israeli strikes have killed 380 in Lebanon since truce

Israeli strikes on Lebanon have killed 380 people since a ceasefire in the Israel-Hezbollah war began on April 17, Lebanon's health ministry told AFP on Tuesday.

A ministry official said that "380 people, including 22 children and 39 women, have been killed in strikes on Lebanon since the ceasefire came into effect", out of a total of around 2,900 people killed since the war erupted on March 2.

Under the terms of the truce released by Washington, Israel reserves the right to act against "planned, imminent or ongoing attacks". In addition to carrying out ongoing airstrikes, Israeli troops have been operating behind a so-called "yellow line" that runs around 10 kilometres (six miles) north of the border between the two countries.

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Hezbollah chief says group's weapons not part of negotiations with Israel

Hezbollah chief Naim Qassem said Tuesday that his Iran-backed group's weapons were not part of upcoming negotiations between Lebanon and Israel, and vowed his fighters would turn the battlefield into "hell" for Israeli forces.

"Nobody outside Lebanon has anything to do with the weapons, the resistance... this is an internal Lebanese matter and not part of negotiations with the enemy," Qassem said in a written statement ahead of a third round of talks in Washington between Lebanese and Israeli representatives this Thursday and Friday.

"We will not surrender and we will continue to defend Lebanon and its people, however long it takes and however great the sacrifices... we will not abandon the battlefield and we will turn it into hell for Israel," he added in the statement, which was addressed to the group's fighters and broadcast on its Al-Manar television channel, as fighting continues in Lebanon despite a ceasefire.

Bahrain jails 3 for life over IRGC terror links

Bahrain’s High Criminal Court has sentenced three people to life imprisonment in two separate cases involving alleged links to Iran’s Islamic Revolutionary Guard Corps (IRGC).

The Bahrain News Agency quoted the head of the Terror Crimes Prosecution as saying that two defendants were convicted of communicating with the Iran's IRGC with the aim of carrying out hostile and terrorist acts against Bahrain.

Japan crisp packs to go colourless due to Iran war crunch

Japan's leading potato chip maker is feeling the crunch from shortages linked to the Iran war, swapping its signature orange-and-yellow packets for black and white.

A household name in Japan, Calbee is known for its savoury potato chips with an array of flavours from seaweed salt to soy sauce and butter.

The company said Tuesday it will "revise the packaging specifications" and use just "two colours" in packaging for 14 product lines beginning later this month or in June.

It did not say which two colours, but the statement showed photos of grey packaging.

Calbee blamed "supply instability for certain raw materials resulting from the escalating tensions in the Middle East".

Local media said the snack-maker has seen its procurement of printing ink compromised by shortages of naphtha, an oil byproduct used in a wide range of industries.

Roughly a fifth of the world's oil normally passes through the Strait of Hormuz, and its de facto closure since the war began in late February has sent prices soaring.

Iran endures over 1,752 hours of internet shutdown

According to NetBlocks, Iran has now been largely cut off from the global internet for 74 days, with the outage surpassing 1,752 hours as of today.

NetBlocks highlighted that while global science and technology continue to advance, Iran’s online isolation is significantly affecting access to information and communication, further intensifying the humanitarian and political ramifications of the ongoing conflict.

ADNOC's Habshan complex to resume full capacity in 2027

The United Arab Emirates' main gas-processing complex, one of the world's largest, will not resume full capacity until next year, its operator said Tuesday, after it was targeted in the Middle East war.

ADNOC Gas said the Habshan site in the capital Abu Dhabi, which supplies gas across the UAE, was operating at 60 percent and "the company is currently working towards achieving 80 percent restoration by the end of 2026, with full capacity restored in 2027".

Within a short period, 60% of the complex’s processing capacity was restored, and the Company is currently working toward achieving 80% restoration by the end of 2026, with full capacity restored in 2027
ADNOC

The complex was targeted several times during the war, with production halted on at least three occasions after falling debris from interceptions of projectiles caused fires.

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Iran hangs man convicted of armed rebellion

Iran on Tuesday executed a man convicted of armed rebellion, the judiciary said, the latest in a wave of hangings since war broke out with Israel and the United States.

"The death sentence for Abdoljalil Shahbakhsh, son of Jalal, a trained member of the Ansar al-Furqan terrorist group, was carried out this morning," the judiciary's Mizan Online website said.

He had been charged with rebellion "through armed attacks on police headquarters and membership in the Ansar al-Furqan rebel group", the authorities added.

Ansar al-Furqan is a Sunni militant group active in Iran's southeastern province of Sistan-Baluchestan.

The judiciary said Shahbakhsh carried out his attacks during protests that rocked Iran in 2022 and 2023 following the death in custody of Mahsa Amini, a young Iranian Kurdish woman.

His sentence was upheld by the Supreme Court, authorities added.

Iran signals potential 90% Uranium enrichment if attacked again

Iran’s parliamentary foreign policy and national security committee spokesperson Ebrahim Rezaei hinted on X that the country could escalate its nuclear program if it faces another attack.

'One of Iran's options in the event of another attack could be 90 percent enrichment. We will review it in the parliament,' Rezaei wrote, signaling a potential increase in nuclear activity that could heighten tensions in the region.

The comment comes amid ongoing concerns over the US-Israel military posture and Iran’s nuclear capabilities, which remain a key flashpoint in the regional conflict.

Israeli strikes kill six in south Lebanon: state media

Israeli strikes on a town in southern Lebanon killed six people and wounded seven others, state media said Tuesday, as fighting continued despite a ceasefire agreement.

Lebanon's state-run National News Agency (NNA) reported that Israeli strikes Monday night hit a house in Kfar Dounine, a town about 95 kilometres (59 miles) from capital Beirut.

The NNA reported the wounded were transported to hospitals in the coastal city of Tyre.

Trump, Xi seek to keep Iran war differences from overshadowing summit

Trump and Xi appear intent on keeping deep differences over Iran war from overshadowing China summit

President Donald Trump on Tuesday is set to leave for Beijing to meet with President Xi Jinping after weeks of trying, and failing, to persuade the Chinese government to use its considerable leverage to prod Iran to agree to U.S. terms to end the two-month old war - or at the very least, reopen the critical Strait of Hormuz.

Trump has veered between venting that China, the world's biggest buyer of Iranian oil, hasn't done more to get the Islamic Republic in line, and acknowledging that Xi's government helped de-escalate the conflict last month by nudging Tehran back to ceasefire talks when negotiations wobbled.

But ahead of the U.S. leader's high-stakes visit, the White House has set low expectations that Trump will be able to persuade Xi to change China's posture.

Instead, the administration seems determined not to let differences on Iran overshadow efforts to make headway on other difficult matters in the complicated relationship - ranging from trade to further Chinese cooperation to block exports of fentanyl precursors.

"We don't want this to be something that derails the broader relationship or the agreements that might come out of our meeting in Beijing," U.S. Trade Representative Jamieson Greer said on Bloomberg TV last week.

Oil climbs but markets shrug off US-Iran deadlock

Oil prices climbed on Tuesday as US-Iran talks stalled, while markets were mixed as traders appeared to shrug off uncertainty over the 10-week-old war.

Optimism over Washington's proposal to Iran to ease the conflict collapsed when Trump told reporters on Monday that Iran's counter-offer was "garbage".

Trump warned that Tehran's rejection of his administration's demands meant the already tenuous ceasefire is now "unbelievably weak".

The impasse, which leaves the vital Strait of Hormuz mostly closed to oil tanker traffic, unnerved global energy markets.

The international benchmark Brent crude price jumped one percent to $105 a barrel during Tuesday morning trade in Asia, while benchmark US oil contract West Texas Intermediate (WTI) also rose one percent to $99 a barrel.

Precious metals also increased, with silver surging more than eight percent to $87 an ounce, capping weeks of rising prices.

But markets were mostly subdued, as analysts reported that traders are in wait-and-see mode as the 10-week war drags on.

Trump frustrated with Iran, considers resuming major combat operations

President Donald Trump is reportedly growing increasingly frustrated with Iran’s handling of negotiations to end the conflict. Sources say some of his aides believe he is more seriously considering a resumption of major combat operations than in recent weeks according to a CNN report.

Trump’s frustration stems from the continued closure of the Strait of Hormuz and divisions within Iranian leadership, which are limiting progress on nuclear talks. He has called Iran’s latest response both “totally unacceptable” and “stupid,” raising questions about whether Tehran is willing to take a serious negotiating position.

US cracks down on Iran’s secret China oil network ahead of Trump-Xi summit

The US Treasury sanctioned three senior IRGC oil officials and nine firms accused of disguising Iranian oil sales to China under the “Economic Fury” campaign launched in April 2026. The crackdown targets revenue allegedly funding Iran’s weapons, proxy groups, and nuclear program, following earlier actions that froze nearly $500 million in crypto assets. The move comes just days before President Trump’s Beijing summit and amid stalled negotiations after an April 8 Pakistan-brokered ceasefire that followed US-Israeli strikes reportedly killing Supreme Leader Ali Khamenei. Critics, including analyst Daniel Davis, question whether decades of sanctions have ever truly changed Iran’s regime behaviour.

US to loan 53.3m barrels from Strategic Petroleum Reserve

The Trump administration said Monday it plans to provide energy companies with 53.3 million barrels of crude from the US Strategic Petroleum Reserve (SPR), in a coordinated effort to ease global oil market volatility triggered by the ongoing US-Israeli conflict with Iran, according to Reuters.

Earlier this year, the Department of Energy released approximately 80 million barrels from the SPR, moving closer to its target of 172 million barrels aimed at stabilizing worldwide energy supplies.

US senator slams Trump, pushes vote to end Iran war

Senator Chuck Schumer criticized President Donald Trump for dragging the US into an 'illegal, costly war' with Iran. He announced Democrats will force a seventh vote on the War Powers Resolution this week to withdraw American troops.

“If Republicans vote against our resolution, they will continue to bear the blame for Trump’s war,” Schumer said.

Iran's Ghalibaf: US has no choice but to accept Iran's 14-point proposal

Mohammad Bagher Ghalibaf, Speaker of Iran's Islamic Consultative Assembly (Parliament), issued a firm statement early on Tuesday asserting that the United States has no viable alternative but to accept Iran's 14-point proposal for resolving the ongoing conflict. "There is no alternative but to accept the rights of the Iranian people as laid out in the 14-point proposal," Ghalibaf posted on X. "Any other approach will be completely inconclusive; nothing but one failure after another. The longer they drag their feet, the more American taxpayers will pay for it."

US Navy intercepted all 111 Iranian missiles in Strait of Hormuz, Trump claims

US President Donald Trump described Iranian missiles traveling at 3,000 miles per hour toward a US vessel in the Strait of Hormuz, "all knocked into the ocean" before impact.

The account ties to a May 7, 2026 clash where CentCom reported US forces intercepting "multiple" Iranian missiles, drones, and boat attacks on three destroyers — USS Truxtun, USS Rafael Peralta, and USS Mason — and then responding with self-defence strikes. Supporters praised US precision as proof of strength, while critics questioned the 111-missile figure against CentCom's vaguer report. Talks are currently stalled after Trump rejected Iran's latest counterproposal and naval blockades keep tensions high over the vital oil route.

Oil price climb after Trump's rejection of Iran's latest terms

Oil prices are climbing after US President Donald Trump’s dismissal of Iran’s latest terms, sparking fears of a fresh escalation in the conflict that would keep the vital Strait of Hormuz closed even longer. Brent is up 2.89% at $104.21, while Murban is up 4.84% at $103.60, and WTI slightly up 0.04% to $98.17 as of 7.30am Tokyo on Tuesday.

Oman FM cites 'urgent need' to free ships stranded along Strait of Hormuz

Oman Foreign Minister Sayyid Badr bin Hamad Al Busaidi has appealed for an “urgent" humanitarian initiative to allow scores of commercial vessels stranded in the Strait of Hormuz to leave safely, after meeting with officials from the International Maritime Organisation (IMO) in Muscat. The strait has been severely disrupted by ongoing Middle East hostilities and security restrictions, leaving hundreds of ships and thousands of seafarers effectively trapped

Iran reneged on deal to let the US remove its supply of enriched uranium: Trump

US President Donald Trump has accused Iran of reneging on a deal that would have allowed the United States to remove its supply of enriched uranium, stating that Iranian leaders "agree with us and then they take it back".

Trump indicated that despite prior discussions to remove the uranium—specifically that which was buried under sites bombed by the US last year— Iran did not include this transfer in its latest proposal.

"Piece of Garbage" proposal: Trump termed Iran's latest truce proposal "unacceptable" and a "piece of garbage," leaving the current month-long ceasefire on "massive life support". The US demand requires the removal of all of Iran's enriched uranium, including the approximately 440kg of 60% enriched uranium and the full 10-tonne stockpile.

Jay Hilotin, Senior Assistant Editor ; Christian Borbon, Senior Web Editor ; Surabhi Vasundharadevi, Social Media Reporter ; Karishma H. Nandkeolyar, Assistant Online Editor and Lekshmy Pavithran, Assistant Online Editor

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