Jan. 29, 2026 - Daily News Digest

On this day: in 2002, President George W. Bush describes "regimes that sponsor terror" as an Axis of evil during his State of the Union address, in which he includes Iraq, Iran and North Korea.

QOTD: ""Despite claims of battlefield momentum in Ukraine, the data shows that Russia is paying an extraordinary price for minimal gains and is in decline as a major power," the [CSIS] report said.

"No major power has suffered anywhere near these numbers of casualties or fatalities in any war since World War II," it added.

SWITZERLAND/TRADE - Swiss Exports to US Set a New Record, Overcoming Trump’s Tariffs
https://www.bloomberg.com/news/newsletters/2026-01-29/trump-tariffs-switzerland-s-export-record-to-the-us-defies-us-president

Switzerland exported a record amount of goods to the US in 2025, despite facing some of the highest tariffs that President Donald Trump imposed on goods from an advanced economy.

Swiss shipments worth 54.7 billion francs ($71.5 billion) — excluding gold — went to the world’s biggest economy last year, a 3.9% increase from 2024, according to Swiss customs data published Thursday. With imports down 5.7%, that resulted in an overall surplus of 41.4 billion francs — the biggest ever.

From August to November, the US collected a 39% tariff on many Swiss exports after a call between Trump and his then-counterpart Karin Keller-Sutter went awry. Addressing the issue last week at the World Economic Forum, the US president acknowledged that she “just rubbed me the wrong way.”

The kerfuffle was resolved in late 2025, with a framework deal reducing the surcharge to 15% — in exchange for $200 billion in investment pledges by Swiss companies, easier market access for American fish, seafood and nuts, as well as duty-free quotas for certain meats. A legally binding agreement is still pending.

AI-generated content may be incorrect.">

UK/CHINA/SOPHISTICATION - Britain and China hail reset in ties as Starmer seeks 'sophisticated' relationship
https://www.reuters.com/world/uk/britains-starmer-meet-chinas-xi-bid-reset-strained-ties-2026-01-29/

Britain and China hailed a reset in relations on Thursday, after Prime Minister Keir Starmer and President Xi Jinping pledged greater cooperation on trade, investment and technology to the mutual benefit of both countries.

With Western leaders reeling from the unpredictability of U.S. President Donald Trump, Starmer became just the latest to head to China, where he called for a "more sophisticated relationship" with improved market access, lower tariffs and investment deals.

Hosting a British leader for the first time in eight years, Beijing agreed to 30 days' visa-free access for Britons and to halve Chinese tariffs on whisky, while UK drugmaker AstraZeneca announced a $15 billion investment into China.

Starmer spent around three hours with Xi at a formal summit and a lunch, during which the pair discussed trade and security, the war in Ukraine, and also soccer and Shakespeare.

STARMER SEEKING ECONOMIC GROWTH

Starmer, whose centre-left Labour government has struggled to deliver the economic growth it promised, has made improving relations with the world's second-largest economy a priority.

EU/IRAN - EU lists Iran’s paramilitary Revolutionary Guard as terrorist organization
https://apnews.com/article/european-union-iran-revolutionary-guard-terrorist-f7d9d64b1302cfc2d9311417b2dfeaf6

The European Union has listed Iran’s paramilitary Revolutionary Guard as a terrorist organization over Tehran’s bloody crackdown on nationwide protests, the bloc’s top diplomat said in a post on X on Thursday.

Kaja Kallas, the EU’s foreign policy chief, said that foreign ministers unanimously agreed on the designation. “Any regime that kills thousands of its own people is working toward its own demise,” she said.

“This will put them on the same footing with al-Qaida, Hamas, Daesh,” Kallas said earlier Thursday, using an Arabic acronym for the Islamic State group. “If you act as a terrorist, you should also be treated as a terrorist.”

The 27-nation bloc on Thursday also sanctioned 15 Iranian officials, including top commanders of the Revolutionary Guard, over the violent crackdown on protesters. Activists say the crackdown has seen at least 6,373 people killed.

The measures, while largely symbolic, add to international pressures on the Islamic Republic, which faces a threat of military action from U.S. President Donald Trump in response to the killing of peaceful demonstrators and over possible mass executions. The American military has moved the USS Abraham Lincoln and several guided-missile destroyers into the Mideast. It remains unclear whether Trump will decide to use force.

ASEAN/MYANMAR - ASEAN does not recognize military-ruled Myanmar’s elections, top Philippine diplomat says
https://apnews.com/article/asean-philippines-international-law-conflict-c1651405c9fbe7883970ec26f02cd388

The Association of Southeast Asian Nations does not recognize the recently held elections in Myanmar, the first since the army seized power in 2021, the Philippine foreign secretary said Thursday.

ASEAN’s non-recognition of the elections in Myanmar, which a military-backed party claimed to have won, is a major blow to efforts by the country’s military rulers to gain international recognition.

The regional bloc, whose 11 members include Myanmar, has refused to recognize the military-ruled government since the army forcibly wrested power from Aung San Suu Kyi’s elected government in 2021. The powergrab has plunged the impoverished country in a deadly civil war.

Asked in a news conference if the bloc did not recognize the elections in Myanmar, Philippine Foreign Secretary Theresa Lazaro said, “yes, as of now” and added that ASEAN “has not endorsed the three phases of the elections that were held.”

MORE: Thailand proposes 'calibrated engagement' with Myanmar's next government
https://www.reuters.com/world/asia-pacific/philippines-hosts-asean-foreign-minister-retreat-tackle-regional-issues-2026-01-29/

Myanmar's Southeast Asian neighbours should adopt a "calibrated engagement" with its military-controlled post-election government while still pressing for an end to conflict, Thailand said on Thursday, signalling a possible softening in stance.

At a meeting of foreign ministers from the 11-nation Association of Southeast Asian Nations, hosts and chair the Philippines also said the bloc saw some potential positives in the vote even if it did not endorse it.

Myanmar's military-backed Union Solidarity and Development Party is set to lead government after winning the poll held over three rounds on December 28, January 11 and January 25 that was not contested by opposition groups amid a civil war triggered by a 2021 coup.

With rights groups, the U.N. and the UK denouncing the vote as a sham to perpetuate the military’s grip, junta chief Min Aung Hlaing said the people's vote provided legitimacy, regardless of international postures.

Thai Foreign Minister Sihasak Phuangketkeow told Reuters that despite ASEAN's bar on Myanmar's military leaders since 2022, the vote may lead to engagement if some requirements are met like expanding aid access and reducing violence.

ISRAEL/GAZA - IDF Accepts Gaza Health Ministry Death Toll of Over 71,000 Palestinians Killed During the War
https://www.haaretz.com/israel-news/2026-01-29/ty-article/.premium/idf-accepts-gaza-health-ministry-estimate-of-over-70-000-palestinians-killed-in-the-war/0000019c-0918-dec4-adfd-fd5dde830000

The IDF has accepted the estimate of the Hamas-run Gaza Health Ministry that approximately 71,000 Palestinians were killed during the Israel-Gaza war, noting that the number does not include missing residents who are potentially buried under rubble.

RUSSIA/UKRAINE/MIL - Russian casualties in Ukraine top 1.2 million, report says
https://www.dw.com/en/12-million-russian-soldiers-killed-injured-in-ukraine-report/a-75699453

The total number of Russian soldiers who have been killed, injured or gone missing since the beginning of the full-scale invasion of Ukraine in February 2022 has reached over 1.2 million, according to a new report published on Wednesday.

The Washington-based think tank, the Center for Strategic and International Studies (CSIS), gathered its data from information from military personnel, intelligence agencies and various governments.

The report also predicted that the combined number of losses for both sides could reach 2 million by April if fighting continues at its current intensity.

How many soldiers died in the Ukraine war?

The CSIS report estimated 1.2 million Russian battle casualties, including 325,000 soldiers killed, and 500,000 – 600,000 Ukrainian casualties, including 100,000 – 140,000 soldiers killed.

CANADA/US/TRADE - Top Canada CEOs’ Group Questions Carney’s Strategy With Trump
https://www.bloomberg.com/news/articles/2026-01-29/top-canada-ceos-group-questions-carney-s-strategy-with-trump

The head of an organization that represents Canadian chief executives questioned Mark Carney’s handling of the relationship with the White House, calling on the prime minister to focus on salvaging the North American trade pact.

Carney captured global attention — and annoyed President Donald Trump — with a speech at the World Economic Forum last week. The prime minister said the old rules of the postwar era were gone, replaced by “a great power rivalry where the most powerful pursue their interests using economic integration as a weapon of coercion.” Middle powers, he added, have no choice but to work together and push back.

The next day at Davos, Trump accused Carney of ingratitude and claimed that “Canada lives because of the United States. Remember that, Mark, the next time you make your statements.” Other members of the US administration also took verbal swipes at the Canadian leader.

“Carney is a really smart guy and he said in the United Kingdom during Brexit, it’s really dangerous for the United Kingdom to separate itself from its No. 1 trading partner,” Goldy Hyder, chief executive officer of the Business Council of Canada, said in an interview with Bloomberg News. “And yet that’s exactly kind of the narrative that came out in Davos, so I don’t know how to square that circle.”

INDIA/EU/TRADE - India to slash tariffs on high-end EU cars to 30% in boost for luxury carmakers
https://www.reuters.com/world/india/india-slash-tariffs-high-end-eu-cars-30-boost-luxury-carmakers-2026-01-28/

ndia will immediately slash duties on high-end European cars to 30% from as high as 110% under its new trade deal with the EU, an official said, opening the tightly controlled market to luxury carmakers like BMW and Mercedes-Benz.

India and the European Union finalised a long-delayed deal on Tuesday that will cut tariffs on most goods and boost trade, at a time when governments worldwide are seeking to hedge against fickle U.S. policy and manage growing trade tensions.

India is the third-largest car market globally by sales after the United States and China. But its domestic auto industry has been among the world's most protected, with the government levying tariffs of between 70% and 110% on imported cars.

AUSTRALIA/PORTS - Australia committed to retaking ownership of Darwin port, Albanese says
https://www.reuters.com/world/china/australia-committed-retaking-ownership-darwin-port-albanese-says-2026-01-28/

Australia was committed to returning a key northern port leased for 99 years to a Chinese company to Australian ownership, Prime Minister Anthony Albanese said on Wednesday after Beijing's envoy to Canberra warned of trade reprisals.

The Northern Territory government sold Darwin Port to Chinese company Landbridge for A$506 million in 2015, a move criticised by the United States.

The awarding of the contract came just a few years after the United States posted the first of a rotating group of U.S. Marines in Darwin. The U.S. and Australia are expanding air bases in Australia's north to host U.S. bombers.

NETHERLANDS/CARIBBEAN - Court faults Netherlands over Caribbean island climate risks
https://www.dw.com/en/court-faults-netherlands-over-caribbean-island-climate-risks/a-75699359

A Dutch court on Wednesday ruled that the Netherlands was not doing enough to protect residents of the island of Bonaire from climate change and its consequences.

The court in The Hague said the Dutch government was treating Bonaire's residents differently from those living in the European part of the Netherlands without a valid justification.

What did the Dutch court say about Bonaire?

In its ruling, the court said the impacts of climate change pose specific risks to Bonaire, a low-lying Caribbean island that is particularly vulnerable to rising sea levels, extreme weather, and environmental degradation.

It said the Dutch government was failing in its duty to safeguard the island's population and ruled that the Dutch state discriminated against the island's 20,000 inhabitants by not taking "timely and appropriate measures."

"The island already suffers from flooding due to tropical storms and extreme rainfall, and according to several researchers, this will worsen in the coming years. Even conservative forecasts predict that parts of the island will be underwater by 2050, so in 25 years," Judge Jerzy Luiten told a packed courtroom.

The judges said the unequal level of protection amounted to unjustified discrimination within the Kingdom of the Netherlands.

US/MIDDLE EAST/IRAN - Middle East Scrambles to Find U.S., Iran a Diplomatic Off-Ramp
https://www.wsj.com/world/middle-east/middle-east-scrambles-to-find-u-s-iran-a-diplomatic-off-ramp-0aad670c?mod=world_lead_story

A number of Middle Eastern governments are trying to push the U.S. and Iran into talks to head off a possible conflict, efforts that so far are failing to gain traction as both sides dig in.

The diplomatic efforts have new urgency now that the U.S. has moved more firepower into the region and President Trump is making new threats to attack Iran if a deal isn’t reached. But Iran has stuck by its longstanding red lines for negotiations while the U.S. has toughened the terms it wants to see in a deal. 

Egyptian Foreign Minister Badr Abdelatty held separate calls Wednesday with his Iranian counterpart and Trump special envoy Steve Witkoff but made no progress. Iran strongly objected to the U.S. terms and warned targets across the region would be fair game in the event of a U.S. strike, people familiar with the conversations said.

Efforts by Qatar, Oman and Saudi Arabia in recent days were similarly fruitless, people familiar with those outreaches said.

NATO ally Turkey—whose president, Recep Tayyip Erdogan, has a close relationship with Trump—is also pushing Washington to negotiate with Iran to head off a conflict that the Turkish government views as destabilizing.

In a call with Trump on Wednesday, Erdogan proposed a three-way talk between himself and the U.S. and Iranian presidents, according to an official briefed on the call.

Turkish Foreign Minister Hakan Fidan spoke Wednesday with his Iranian counterpart, Abbas Araghchi, about efforts to reduce tensions, Turkish Foreign Ministry officials said. Araghchi is set to travel to Turkey on Friday.

“Iran is ready to renegotiate on the nuclear file,” Fidan said in an interview Wednesday with Al Jazeera. “My advice to Americans has always been this: Close the files with Iran one by one. Start with nuclear, close that, then move on to the others. If you present them all as a whole, it will be very difficult for our Iranian friends to digest and process, and may even seem humiliating at times.”

UKRAINE/WINTER - Temperatures as low as minus 30C in Ukraine next week may damage crops
https://www.reuters.com/business/environment/temperatures-low-minus-30c-ukraine-next-week-may-damage-crops-2026-01-29/

Extremely low temperatures down to minus 30 degrees Celsius (minus 22 degrees Fahrenheit) will hit Ukraine at the beginning of next week, which is very dangerous for winter crops, agricultural analysts and the national emergency service said on Thursday.

A sharp drop in temperature will begin on February 1 and will affect all regions except southern Ukraine and the frosts will begin to ease slightly only on February 4, the service said on the Telegram messenger.

"We consider the current cold spell to be extremely dangerous for winter crops across a significant part of Ukraine," analyst Barva Invest said on Telegram.

Ukraine is a producer of winter wheat, which accounts for about 95% of the total Ukrainian wheat harvest. Winter wheat, which has a higher yield than spring wheat, is sown in autumn and harvested in the summer of the following year.

Barva Invest noted that a combination of severe frosts and insufficient snow cover could affect crops in central, north-eastern and eastern Ukraine.

Frosts will be less severe in southern Ukraine, but there is no snow cover there to protect the crops.

GIFT LINK - A Secret FBI Bust Nabbed an Alleged Drug Lord—and Rocked Relations With Mexico
https://www.wsj.com/world/americas/a-secret-fbi-bust-nabbed-an-alleged-drug-lordand-rocked-relations-with-mexico-a19d4dd6?st=YmiHoo&reflink=desktopwebshare_permalink

Ryan Wedding was on the run.

Mexican security forces were closing in on the 44-year-old Canadian—a snowboarder who once competed for Canada in the Olympics but has since landed on America’s most-wanted list for allegedly running a vast cocaine-trafficking network—said Mexican and U.S. officials familiar with the operation.

Long protected by Mexico’s Sinaloa Cartel, Wedding suddenly had no options. By the time security forces caught up with him in Mexico last week, the officials said, members of the FBI’s Hostage Rescue Team were also involved. Weeks earlier, the Federal Bureau of Investigation’s elite, combat-trained unit participated in the capture of Venezuelan autocrat Nicolás Maduro in his heavily fortified Caracas compound.

Law-enforcement officials made contact with Wedding—presumed to be armed and dangerous—and, in an intense negotiation, reminded him that his associates had been captured and millions of dollars of his assets had been seized, some of the officials said. Eventually, said his lawyer, Anthony Colombo, FBI agents handcuffed Wedding, who was then transported to California and pleaded not guilty in federal court to 17 felony charges, including murder.

The FBI’s involvement in the Jan. 22 operation was intended to be a closely guarded secret, a U.S. official said. Mexico’s laws ban foreign agents from being physically present in law-enforcement operations on its soil and taking part in detentions or raids. The nationalist ruling party in Mexico is particularly sensitive to foreign interference.

But on Friday, FBI Director Kash Patel dropped a bombshell on X. “Our FBI HRT teams executed with precision, discipline, and total professionalism alongside our Mexican partners to bring Ryan James Wedding back to face justice,” he said, using his elite squad’s initials.