It’s possible that I shall make an ass of myself. But in that case one can always get out of it with a little dialectic. I have, of course, so worded my proposition as to be right either way (K.Marx, Letter to F.Engels on the Indian Mutiny)
Thursday, October 16, 2025
UK Sanctions Russia's Two Biggest Oil Exporters
Tankers loading at the Primorsk oil terminal on Russia's Baltic coast (Primorsk Terminal LLC)
For the first time, the government of the UK has directly sanctioned top Russian oil exporters Rosneft and Lukoil, the two biggest crude producers in Russia and key players in financing the ongoing invasion of Ukraine. Together, the firms ship about three million barrels of oil per day.
The UK previously sanctioned Russia's third- and fourth-largest producers, Gazprom Neft and Surgutneftegas, in an earlier round in January.
In addition, the UK sanctioned 44 more "shadow fleet" tankers, four oil terminals in China that receive Russian crude, and a key overseas client: Russian-owned Nayara Energy Limited, a mega-refinery in India that bought 100 million barrels of Russian oil last year. Nayara's business includes re-exporting Russian energy in the form of refined products, a loophole to infiltrate Western markets where unrefined Russian crude is banned.
The government also sanctioned the Beihai LNG terminal, the receiving point for shipments from Russia's sanctioned Arctic LNG 2 facility, which has been on the UK blacklist since early 2024. Seven LNG tankers linked to Russia are also on the list.
"We are sending a clear signal: Russian oil is off the market," said Chancellor Rachel Reeves in a statement. "As Putin’s aggression intensifies, we are stepping up our response. The UK will continue to strip away the funding that fuels his war machine. We will hold to account all those enabling his illegal invasion of Ukraine."
While UK sanctions have limited reach - they do not apply directly to foreign nationals - they do prevent sanctioned firms from accessing the thriving British financial services sector, which has global reach.
Ukraine is pursuing a separate track of hampering the Russian energy sector using long-range missile and drone strikes. It has disabled an estimated 10 percent of all Russian domestic refining capacity, according to the Carnegie Endowment's Sergey Vakulenko, and has disrupted operations at key loading terminals in Ust-Luga and Primorsk. With American targeting assistance, it continues to attack fuel depots and refining facilities across western Russia, hundreds of miles behind the front lines - and with a possible delivery of U.S. Tomahawk cruise missiles, still under discussion, it could soon accelerate its campai
Calls for Vigilance Due to Rise in Piracy and Robberies in 2025
Arrests near the Singapore Strait contributed to a marked decrease in robberies (file photo)
The merchant shipping industry continues to face the threats of piracy and armed robberies, but the ICC International Maritime Bureau, in its latest report, also points to progress, including the arrest of two gangs that were terrorizing the area around the Singapore Strait. With a slight increase in activity and areas of higher concern, the group says it must reinforce the need for vigilance and that there is no room for complacency.
The ICC International Maritime Bureau (IMB) admits the world is far from winning the war on piracy and armed robberies despite the continued overall reduction in global incident levels over the years. Between January to September 2025, it recorded a total of 116 incidents, up from 79 in the same period last year. The incidents are the highest reported nine-month figures since 2021.
The fact that criminal gangs remain a threat to shipping is evident considering that 102 vessels reported being boarded, while nine faced attempted boardings, four were hijacked, and one was fired upon. Notably, in nearly all the incidents, perpetrators successfully gained access to the vessel, with most boarding incidents occurring at night.
Another concern is the high number of incidents where weapons were involved. In the first nine months of this year, 55 percent of the reports cited the use of a weapon, with 33 percent of the cases involving guns. IMB highlights this is the highest level since 2017.
IMB and its Piracy Reporting Center continue to focus on the dangers in the Singapore Straits, which handles nearly a third of global trade flows, and continues to be the hotspot of piracy and armed robberies. Of all the reported incidents, a total of 73 were in the Singapore Straits, the highest number recorded since 1991.
The high rate of incidents at the busy strait, however, has forced authorities into action. In July, the Indonesian Marine Police (IMP) carried out a crackdown on organized gangs targeting international vessels, leading to the arrest of 11 suspected pirates in the Riau Islands. There is finally some hope in the area which has been plagued by boardings and robberies in recent years. The IMB reports that there has been a “marked reduction in incidents” since the arrests in July.
The report also shows that the Gulf of Guinea, which a few years ago had replaced waters near Somalia as the epicenter of piracy, continues to record low numbers of incidents. In the nine-month period, 15 incidents were reported compared to 12 in the same period of 2024. Of these, 10 were armed robberies, and the remaining five were piracy incidents.
IMB highlights that the low numbers do not mean an absence of risk to crews. In the Gulf of Guinea waters, 14 crew were kidnapped while perpetrators continue to demonstrate the capability to target vessels out at sea. A case in point was in late August when the Danish-flagged product tanker Hafnia Phoenix with a crew of 13 was boarded off the coast of Ghana.
The enhanced surveillance and collaborations in the fight against piracy have improved in waters off Somalia and the Gulf of Aden. During the third quarter of the year, no incident was reported, a development that was, however, in part also attributed to the prevailing southwest monsoon conditions. In the first half, 26 crewmembers were taken hostage, but the events were mostly in coastal waters and involved two fishing vessels and one dhow.
“This is an important time to reinforce the need for vigilance. There can be no room for complacency, and globally, vessel owners and operators are encouraged to follow industry guidelines and report incidents promptly,” said IBM Director Michael Howlett.
NATO Sees Success in its Baltic Anti-Sabotage Mission
U.S. Marines head out on a surveillance mission aboard a Finnish Navy patrol boat in support of Baltic Sentry, February 2025 (USMC)
NATO Maritime Command is pleased with the results of its enhanced patrols in the Baltic, which were ramped up in response to a string of suspicious and possibly intentional subsea damage incidents. Russia's "shadow fleet" tankers are closely watched by NATO forces because of concerns of malicious anchor-dragging and other acts of sabotage in the Baltic, and a spokesman recently told Moscow Times that the patrol efforts are working.
"These shippers, these illegal shippers, are aware that they're being watched very closely, and we believe that in itself is a deterrent," NATO Maritime Command public affairs chief Cmdr. Arlo Abrahamson (USN) told Moscow Times.
There have been no reported incidents of severed cables since last December, when the Russia-linked tanker Eagle S dragged its anchor through several telecom lines in the Gulf of Finland. That does not mean an absence of activity: multiple suspicious movements have been reported, and several vessels have been boarded and detained, like the shadow-fleet tanker Kivala in April 2025 and the tanker Boracay earlier this month. Russia made at least one vessel detention of its own, the interdiction of the tanker Green Admire in May 2025.
The case of the Boracay shows that the nature of the threat is not limited to subsea. The vessel is suspected of serving as one of several launch platforms for the unauthorized drone intrusions at the Copenhagen airport and Danish military bases in late September. French forces boarded Boracay as it passed through the English Channel on its outbound trip, and the boarding team arrested the tanker's master and chief mate.
After the drone incident, NATO promised to further increase its presence in the Baltic, to include new surveillance systems and the addition of another air defense frigate. The U.S. Navy destroyer USS Bulkeley joined the mission early this month, adding its Aegis radar to the effort to spot drone threats - the first time that the service has dispatched a surface combatant to assist Baltic Sentry
"We're very keen to understand that the threat is not eliminated. There's possibilities for illegal shippers or others to cause accidents and carry out malign activities, which is why Baltic Sentry continues," Cmdr. Abrahamson told Moscow Times.
Newsom Vetoes Ban on Public Funding for Automation at LA/Long Beach
Despite a lobbying campaign by the U.S. West Coast's powerful longshore union, California Governor Gavin Newsom has vetoed a bill to limit the powers of the air-quaility regulator for the twin ports of Los Angeles and Long Beach. The bill contained a provision to ban public funding for terminal automation technology in San Pedro Bay, which dockers believe to be a threat to their jobs.
Diesel air pollutants are harmful to health, and for decades San Pedro's fenceline communities and environmental regulators have pushed for improving air quality, with considerable success. The South Coast Air Quality Management District wants to get even more results by regulating equipment and mobile sources of emission within the ports, and has nearly reached a formal cooperative agreement with LA and Long beach on planning targets for zero-emissions infrastructure. That agreement calls for large-scale infrastructure upgrades, with electrification playing a key role. Since modern, electrified port equipment is often sold with high levels of automation technology, the cooperative air quality agreement would likely introduce more automation to the ports by default, which could be viewed as a threat to longshoremen.
To head off this problem, Senate Bill 34 (SB 34) proposed to ban the use of public funds to pay for automated or remotely controlled infrastructure at the San Pedro Bay ports. Public funds for buying human-operated, zero-emission equipment would still be allowed.
To ensure continued volume growth, the bill also proposed to ban the South Coast Air Quality Management District from capping cargo or cruise ship activity at LA and Long Beach.
The bill was opposed by environmental groups, shipping companies and community health advocates. SB 34 was supported by the ILWU, which organized a petition drive for its members to express their backing. The union's petition suggested that SB 34 "protects union jobs, prevents public funds from being used for automation, and keeps California's ports strong and competitive while still improving air quality."
Despite the union's pressure, Governor Newsom vetoed the bill, citing the advanced state of negotiations between the air quality district and the two seaports. "This bill interferes with this [cooperative] approach, the progress made, and the ongoing good faith efforts made by the [district] and the Ports of Los Angeles and Long Beach," the governor wrote.
The ILWU has yet to issue a formal response, but its East Coast sister union, the International Longshoremen's Association (ILA), released a statement condemning Newsom's "vicious attack" on dockers' jobs. ILA described Newsom's veto as a "gut punch" and a lost opportunity.
"By rejecting SB 34, the Governor has chosen the side of foreign ocean carriers and corporate lobbyists over the working men and women who keep California’s ports, and America’s economy, running," ILA wrote. "When a state uses taxpayer money to subsidize automation that replaces human labor, it’s not innovation, it’s corporate welfare. And when an elected official enables that process, it’s not leadership, it’s capitulation."
However, the Union of Concerned Scientists celebrated Newsom's veto as a win for air quality regulation. "SB 34 would have tied regulators' hands further, negatively impacting the health of millions of residents in surrounding communities, and hindering the region’s ability to reach mandated attainment of federal and state air quality standards," UCS said in a statement.
Carbon Capture, Fuel Cells, and Wind Propulsion for Net-Zero Cruise Ship
Ponant is developing a concept ship using sails and fuel cells to achieve net-zero (Ponant)
A partnership consisting of GTT and Bloom Energy is working together with France’s Ponant Explorations Group to combine fuel cells and marine carbon capture as part of a project to achieve the first net-zero cruise ship. The project, which was first revealed last year, reports that GTT, known for its containment systems and Bloom Energy will lead a joint innovation project to develop an integrated energy system to cover the vessel’s energy needs related to onboard consumption.
“This partnership is a key milestone in developing innovative and efficient ways to capture CO2 and embodies our commitment to finding new solutions to decarbonizing the maritime industry,” said Mathieu Petiteau, Newbuilding and R&D Director of Ponant Explorations Group. “It also marks another step forward for our Swap2Zero vessel project, co-funded by the European Union Innovation Fund and France 2030.”
The Swap2Zero Project was unveiled in 2023 with the goal of developing the first transoceanic ship aimed at carbon neutrality. The concept, which is being designed by firms LMG Marin and Stirling Design, envisions an 181-meter (594-foot) cruise ship with approximately 100 passenger cabins that would use 50 percent wind energy. They project a speed of 10 knots and total autonomy for an endurance of up to 30 days. It would reduce greenhouse gas emissions by more than 80 percent. Bureau Veritas is also participating in the project.
In addition to an optimized hull design, the vessel would have more than 1,000 square meters of photovoltaic panels. A low-temperature hydrogen fuel cell with be dedicated to propulsion with recycling of the water and heat produced. A high-temperature fuel cell would be dedicated to the needs of the ship’s hotel and also use heat recovery for hot water production.
In the joint innovation project, GTT will design and develop a marine carbon capture system compatible with Bloom Energy’s SOFC technology. According to the companies, the integrated solution will supply auxiliary electricity for the vessel, covering the hotel load for lights, hot water, and onboard services while capturing CO2 from the exhaust gases. The dual approach, combining emission reduction and the reuse of low-temperature energy from the ship’s cryogenic installations, they report, will further enhance the overall efficiency of the SOFC system through optimized thermal management.
“We see solid oxide fuel cells as a cornerstone of the maritime industry's low-carbon future,” said Aman Joshi, Chief Commercial Officer of Bloom Energy. “By integrating fuel cells with onboard carbon capture and sequestration, this initiative exemplifies how innovation and collaboration can accelerate the transition to cleaner, more sustainable shipping.”
The project was awarded a €40 million grant in 2024 from the EU to develop the designs that would contribute to the decarbonization of the maritime sector. They have said the project will serve as a catalyst for new energy solutions.
Ponant reports its goal is to have the vessel in service by 2030. It is one of several designs being explored to reach the goals of reducing emissions to achieve net-zero.
Hurtigruten and Vard also unveiled their SeaZero project, which they expect will achieve an overall 40 to 50 percent energy reduction with the capability to sail entirely emission-free during normal operation. They are using solar panels and retractable sails along with an innovative design.
Cyprus' Shipowners Call for Voting Down IMO's Net-Zero Framework
The Cyprus Union of Shipowners' general electoral meeting, October 6 (CUS)
In the midst of high-stakes negotiations over the future of IMO's emissions rules, Cyprus' influential shipowners have publicly joined the side of the "nays" on the Net Zero Framework. In a statement, the Cyprus Union of Shipowners (CUS) called for the Cypriot government and other EU member states to vote against the proposal to allow more time for talks aimed at consensus.
"As currently drafted, the NZF poses a serious threat to the European shipping, economy, and energy security, and also represents a grave danger to small and medium-sized enterprises (SMEs)," the CUS argued. "In essence, it represents a multi-billion-euro tax that does not reduce emissions but instead shifts the cost to end-consumers."
The NZF is based on a fee structure on carbon emissions intended to incentivize green-fuel usage. But as the availability of green fuels on the market in the near term is extremely limited, many operators will likely pay the fee, feeding an IMO-administered fund at an estimated rate of about $10 billion per year (globally). These funds would be used to reward low-emissions ships, pay for green fuel infrastructure and R&D, and to offset the cost effects of the regulation on vulnerable states, notably shipping-dependent island nations.
The shipowners' association criticized the fee and fund plan, calling it a distraction. "Rather than reducing emissions, the framework diverts critical financial resources away from genuine technological and energy innovation, thereby slowing the transition to cleaner solutions," CUS asserted. "The result will be broad-based price increases, a higher cost of living and intensified inflation."
CUS warned of specific damage to small European shipowners, which could shrink the size of the EU-linked fleet through sales and early scrapping.
The shipowners' concerns are familiar territory, and can be found elsewhere. Given the absence of near-term alternatives, many operators will likely pay the NZF fees and continue to emit, according to a new review by researchers at Columbia University SIPA. Smaller operators and those on less competitive routes are the most likely to simply pay for compliance and then raise their rates to cover the cost, wrote researcher Evelyne Williams, a former deputy lead negotiator in the U.S. delegation at IMO. In addition, there are practical concerns about scaling up the operation of a global carbon fee system and building out IMO's structure to handle its administration, especially in the short timeframe before entry into force, she cautioned.
The CUS joins a growing list of opponents of the NZF, including the Trump administration, the government of Saudi Arabia, and an international coalition of prominent oil tanker owners. On the pro-NZF side, the International Chamber of Shipping, the European Shipowners Associations and the EU remain publicly supportive, along with a vocal coalition of small island developing states (which have concerns about rising seas).
IMO Secretary General Arsenio Dominguez has presented the agreement as imperfect, but better than the alternative - which he believes to be the proliferation of different regional and national carbon regulations (as found already in Europe). This future would have no carbon regulation role for IMO, and would leave shipping interests with less influence over the use of the carbon fees.
“The IMO Net-Zero Framework is not perfect. However, it provides a balanced basis for our further work," Dominguez said in opening remarks this week.
Kenya in talks with BOE to store gold it seeks to purchase
Kenya plans to buy gold to diversify its reserves and has held talks with the Bank of England on topics including bullion storage, the East African nation’s central bank governor said.
The country is among the latest looking to bulk up holdings of the precious metal that’s more than doubled in price over the past two years, with some investors viewing it as safer than the dollar. Others in the region including Zambia and Ghana are already building reserves, while Rwanda and Uganda plan to follow suit.
“We’ve talked to the Bank of England and other banks to see how we go about it — where it will be stored, those kind of things,” Central Bank of Kenya Governor Kamau Thugge said in an interview in Washington. “I’m hoping that we can do it as soon as is practical because we’re ready to move.”
Kenya’s plans to add gold “is not an intention to diversify away from dollars per se, but basically to diversify our foreign holdings,” he said.
Gold’s record run has benefitted from investors expecting further Federal Reserve interest-rate cuts, while rising debt levels in the developed world have also triggered concerns. The surging prices that have topped $4,200 an ounce prompted some caution from Thugge.
“Those who got in early have made a killing,” he said. “Those who get in late can also be killed. So it’s important that we hold a level where, should there be a reversal in the price of gold, it doesn’t really have a huge impact on our holdings.”
The central bank head declined to say how much of Kenya’s $11 billion foreign reserves it could convert to gold.
Yuan reserves
Kenya’s record reserves now also mean the country is “able to face any debt-service payments that may come our way,” Thugge said. The government is rearranging its liabilities to push out maturities of dollar bonds, albeit at higher interest rates.
Kenya has also swapped dollar-denominated loans from China into yuan, which it says will help lower the interest rate on the debt. The central bank already holds yuan reserves, and “there’s been no conversation of increasing yuan at the expense of dollar holdings,” Thugge said.
The nation’s economic stability has improved since last year, with inflation cooling and the shilling having stabilized in value since August 2024. The government aims to cement those gains with a new financed program with the International Monetary Fund, Thugge said.
Kenya could access a “normal” level of additional financing from the Washington-based lender, having already tapped about 536% of its quota, he said. It could still access about $472 million, according to calculations by Bloomberg.
Yet Thugge cautioned that a new deal must avoid aggressive reforms, taking lessons from a previous program that pushed fiscal consolidation but stoked deadly social unrest in 2024.
“Sometimes it’s better to be ambitious, but not overly ambitious so that an adjustment that you want can be done in two years instead of one,” he said. “If you miss the one year because of social unrest, then possibly you will not be able to achieve it in the second or third year, because nobody wants to go back to where there’s social unrest.”
(By Jennifer Zabasajja and Matthew Hill)
EU’s Ukraine funding plan could further boost central bank gold buying, analysts say
The European Commission’s proposal to tap frozen Russian state assets for financial aid to Ukraine is rattling some central banks, which could further accelerate gold purchases for storage outside Western jurisdictions, analysts say.
The Commission’s plan would allow EU governments to use up to 185 billion euros ($214 billion) of Russian sovereign assets currently frozen in Europe without confiscating them – a red line for many countries and the European Central Bank.
China and some developing countries have already been diversifying their reserves away from Western currencies and government debt into gold after sanctions linked to the Ukraine war froze $300 billion of Russia’s foreign currency reserves.
“The EU can mince words as much as they like, but it does not change the reality,” veteran gold industry analyst and former bullion dealer Ross Norman said.
“The effect is the same – Russia has been denied access to its own money. Central bankers around the world know this and they are acting accordingly. And that is acquiring more gold.”
Central banks keep buying
Central banks’ annual net gold purchases since 2022 have been more than double the average of the previous five years, consultancy Metals Focus says, topping 1,000 tons a year. That helped push prices to record highs above $4,000 an ounce this month.
Metals Focus forecasts further purchases of a net 900 tons this year.
With stronger buying and bullion’s price growth, gold overtook the euro as the second biggest reserve asset in 2024 after the US dollar, an ECB report showed in June. The value of central banks’ bullion holdings is now higher than that of US Treasury bonds.
China – which has never officially commented on its reasons for buying gold – has been adding gold to its reserves for 11 months. Poland has been buying gold as well, but for a different reason, with war in neighbouring Ukraine a risk to its economy.
“Because gold is no one’s liability and nobody’s debt, its appeal is shining for central banks worried about the political security of their reserves,” said Adrian Ash, head of research at online marketplace BullionVault.
If the EU does tap frozen Russian state assets to help provide financial aid to Ukraine, it is “very possible” central bank gold purchases will accelerate, he said.
Repatriating gold reserves
Measures taken against Russia also sparked an increase in the number of countries repatriating gold reserves away from Western hubs, with 68% of respondents in a 2023 Invesco survey keeping gold reserves at home compared to 50% in 2020.
“The EU can only use frozen Russian assets because it has access to them, i.e. they are booked/stored with banks outside of Russia,” said Julius Baer analyst Carsten Menke.
“Emerging market central banks could opt to store the assets at home,” Menke said.
In Germany, US President Donald Trump’s confrontations with allies over trade and his criticism of the Federal Reserve revived some calls for gold repatriation this year. The Bundesbank has said the New York Fed remains a trustworthy partner for its gold storage.
($1 = 0.8654 euros)
(By Polina Devitt and Ashitha Shivaprasad; Editing by Pratima Desai, Veronica Brown and Jan Harvey)
Botswana’s ODC sets first contract diamond sales for November
Debswana is a major contributor to the national economy of Botswana. (Image courtesy of Debswana.)
Botswana’s state-owned Okavango Diamond Company will start selling diamonds to contracted buyers next month, as it diversifies its sales channels under the government’s new deal with De Beers, managing director Mmetla Masire said on Wednesday.
ODC’s allocation in the production of Debswana – the government’s 50-50 joint venture with De Beers – was increased to 30% from 25% in the new ten-year deal signed in February, with its share to reach 40% at the end of the agreement.
A clause in the previous deal, which prevented ODC from directly competing with De Beers on contract sales, has fallen away.
“We are targeting our first sales through this channel in November, with our first two being pilot sales before we go full scale on the third,” Masire told a mining conference.
Struggling diamond market
Masire told Reuters in May that ODC aimed to sell about 40% of its supply through contract sales, with the balance to be sold through auctions, strategic partners and Botswana-based companies.
The global diamond market is in a protracted downturn, with demand declining amid a supply glut and the rising popularity of lab-grown diamonds weighing on rough diamond prices.
ODC in 2023 temporarily halted its rough stone sales as part of an industry-wide drive to reduce the glut. The company held an auction on September 25 but decided to hold on to its gems, citing “conditions that could have resulted in a significant negative impact on the market”.
ODC’s revenues in 2024 were about 60% of the previous year due to the downturn, according to Masire, but the company was seeing some stability in the market. Its last three auctions delivered small positive margins, up from the double-digit losses at the same time last year.
Botswana gets 30% of its revenues and 75% of its foreign exchange revenues from diamonds and the current market downturn saw the economy contract by 3% in 2024, with the IMF forecasting a further 1% contraction this year.
(By Brian Benza; Editing by Nelson Banya and Mark Potter)
Indonesia’s PT Arsari Tambang, a tin mining company controlled by the family of President Prabowo Subianto, is in discussions to acquire a mining asset in Canada, its chief executive told reporters on Wednesday.
The company will take advantage of an economic partnership deal Indonesia signed with Canada last month to invest in a mining asset there, Aryo Djojohadikusumo said.
Djojohadikusumo, who is Prabowo’s nephew, declined to give further details of the acquisition target, citing ongoing negotiations, but said the acquisition value is around 7 trillion rupiah ($422.71 million) and the company aims to close the transaction in June 2026.
With the recent trade deal, Canada is aiming to double its trade with Southeast Asia’s biggest economy in six years.
Arsari Tambang works mainly in the Bangka Belitung region, the tin hub of the world’s second largest producer of the metal. Among Arsari’s subsidiaries is Mitra Stania Prima, which has 3,811 metric tons of smelting capacity as of 2024.
($1 = 16,560.0000 rupiah)
(By Fransiska Nangoy; Editing by Kirsten Donovan)
Explosive attacks hit bridges in Ecuador days after illegal mining crackdown
Confrontation between police and anti-mining protesters in Palo Quemado, Ecuador, on March 20, 2024. (Image by Conaie, Twitter/X.)
Explosive devices detonated on two bridges in Ecuador on routes between the coast and mountains early on Wednesday, in what the country’s interior minister described as acts of retaliation after a major military operation against illegal miners.
“The line we are pursuing is one of retaliation for what we have been doing in Imbabura (province), in terms of controlling the strike and cracking down on illegal mining,” Interior Minister John Reimberg told a press briefing in the northern city of Otavalo.
No injuries were reported and no one has been arrested so far over the explosions.
Reimberg said authorities were pursuing the theory that a criminal group known as Los Lobos was behind the attack. Washington designated the group a terrorist organization following a meeting with Ecuador’s president last month.
One of the explosions damaged part of the base of a bridge, Reimberg added, while the other explosion only partly detonated. Infrastructure Minister Roberto Luque said on X that he believed the explosive attacks aimed to disrupt traffic.
The explosions follow a major military and airforce operation on Monday that destroyed several illegal mine entrances, which the army said were operated by organized crime groups, in an effort to hit one of their top sources of income.
Seven people were arrested in the operation. Reimberg said some of these belonged to a dissident Revolutionary Armed Forces of Colombia (FARC) group.
Diesel protests
Otavalo, near where the operation took place in Imbabura province, has been the scene of a series of protests organized since late September by CONAIE, Ecuador’s largest Indigenous organization, over President Daniel Noboa ending diesel subsidies by decree.
Noboa said the subsidized diesel was being diverted to illegal mining and smuggling operations. The province has been isolated since the protest began, though the government has sought to open up roads by sending aid convoys.
On Tuesday, clashes broke out in Otavalo between protesters and security forces. Indigenous groups reported that at least 50 were injured, while the government said 13 military officers had been injured by machetes and firecrackers.
Wednesday’s explosions occurred just hours after a car bomb went off outside a shopping mall in Ecuador’s largest city Guayaquil late on Tuesday, leaving one person dead and several more injured.
A second vehicle containing explosives was found nearby, but it did not detonate and was deactivated.
Last week, Noboa was traveling in a convoy in a rural town when his car was attacked by people throwing rocks. The government called it an assassination attempt and arrested five people on charges of terrorism. CONAIE denounced orchestrated police violence.
The five people were released soon after when a judge ruled their detention illegal.
Noboa spoke on Wednesday at an event in Guayaquil, where he said criminal groups were seeking to destabilize the government and prevent them from attending to Ecuadoreans’ needs.
“We cannot back down in the face of mafias, people who want to terrorize Ecuadorean families,” he said.
(By Alexandra Valencia and Aida Pelaez-Fernandez; Editing by Brendan O’Boyle, Sarah Morland and Nia Williams)
G-7 set to discuss joint response to China curbs on rare earths
Finance chiefs from the Group of Seven industrial nations will consider a joint response to discourage China’s planned move to control the global supply of rare earths, officials said on Wednesday.
Germany Finance Minister Lars Klingbeil told reporters that the G-7 gathering later today will include a discussion of a common approach to address China’s actions with targeted measures, while cautioning against taking any steps that backfire on their economies.
Treasury Secretary Scott Bessent indicated the US would seek wider support beyond the G-7 — which also includes Canada, Japan, France, Italy and the UK — noting that finance ministers from around the world are visiting the US capital for the annual meetings of the International Monetary Fund and World Bank this week.
“We’re going to be speaking with our European allies, with Australia, with Canada, with India and the Asian democracies,” Bessent said at a CNBC-hosted forum in Washington. “We’re going to have a fulsome, group response to this, because bureaucrats in China cannot manage the supply chain or the manufacturing process for the rest of the world.”
China’s new rules, announced last week, require overseas firms to obtain Chinese government approval before exporting products containing even trace amounts of certain rare earths that originated in China.
That came as a surprise to US officials who thought they had agreed, as part of a tariff truce negotiated over several rounds, that China’s critical minerals should be allowed to flow to companies globally with minimal restrictions.
The Treasury chief also said that as far as he’s aware, President Donald Trump “is a go” on meeting President Xi Jinping later this month in South Korea. Bessent said there’s a “very good chance” that he heads out to Asia before Trump and meets with his Chinese counterpart, Vice Premier He Lifeng.
The latest spat between the world’s two largest economies has rattled markets in recent days. US stocks only partly recovered this week from a plunge Friday after Trump threatened massive tariffs on Chinese goods in response to China’s rare earth curbs.
Bessent also said the tariff truce could be extended if China postpones its rare earth restrictions. Since earlier this year, the US and China have agreed to 90-day truces on import duties of as high as 145%, with the next deadline looming in November.
Asia trip
Bessent said he expected trade announcements being made during Trump’s Asia tour. The president is expected to attend a summit with Association of Southeast Asian Nations in Malaysia before going on to Japan and South Korea, which will be hosting the annual Asia Pacific Economic Cooperation leaders meeting.
The US is “about to finish up” negotiations with South Korea, Bessent added. Those talks have lately revolved around the contours of a giant investment program. US-Canada talks are “back on track,” Bessent also said. He also indicated progress with India.
Bessent dismissed the notion that a slide in the stock market would force the Trump administration into a negotiating position with Beijing, saying that what spurs such talks is instead the economic interest of the nation. The US won’t negotiate with China “because the stock market is going down,” he said.
At the G-7 discussions Wednesday in Washington, officials will also discuss how to increase pressure on the Kremlin, particularly steps to expand the use of frozen Russian assets to help Ukraine, according to Germany’s Klingbeil.
(By Daniel Flatley and Kamil Kowalcze)
EU seeks US alliance to counter China rare earth crackdown
The European Union is seeking to coordinate with the United States and other G7 partners a response to tighter Chinese controls on the export of rare earth minerals, trade ministers and officials from the bloc said on Tuesday.
China, the world’s largest rare earth producer, dramatically expanded controls last week, adding new elements, refining technology and extra scrutiny for semiconductor users ahead of planned talks between Presidents Donald Trump and Xi Jinping.
European Trade Commissioner Maros Sefcovic called the measures unjustified and said EU ministers meeting in Denmark to discuss trade issues described them as a “critical concern”.
Previous Chinese controls announced in April caused shortages around the world, such as for carmakers, before a series of deals with Europe and the US eased the supply crunch.
Sefcovic said G7 finance ministers were likely to discuss options on Wednesday and added he had discussed the issue with US Commerce Secretary Howard Lutnick.
“We brainstormed yesterday that it would be advisable after this first discussion to have a G7 video call pretty soon,” he said before the EU ministers’ meeting.
Sefcovic said he was also likely to speak to his Chinese counterpart early next week.
Danish Foreign Minister Lars Rasmussen said the EU needed a united and “tough” response and to flex its muscles as “the world’s biggest trading bloc”.
“But we also need to be realistic. This is actually an area of common interest with our friends in the US. If we stick together we can much better pressure China to act in a fair way,” he said.
Trump’s immediate response was to threaten China with 100% tariffs, sparking a Wall Street sell-off.
Rasmussen did not favour tariffs, advocating instead frank and open discussions with Beijing.
Sefcovic also said that coordination with G7 partners could take the form of seeking to diversify supply, such as advancing joint projects to extract or process critical minerals.
“Of course these projects take time, but with this signal we got from China it’s clear we have to focus on accelerating these processes as much as possible,” he said.
