Feb. 24, 2026 - Daily News Digest

On this day: The Nazi Party (NSDAP) is founded by Adolf Hitler in the Hofbräuhaus beer hall in Munich, Germany.

QOTD: "For the record: Ukraine has already denied such absurd Russian claims many times before, and we officially deny them again now. We urge the international community to reject and condemn Russia’s dirty information bombs."

US/POL/TRADE - All About Section 122, Trump’s New Go-To Tariff Provision
https://www.bloomberg.com/news/articles/2026-02-23/all-about-section-122-trump-s-new-go-to-tariff-provision?srnd=phx-politics

After the Supreme Court invalidated tariffs that the US had imposed using an emergency powers statute, the Trump administration swiftly invoked a different law, Section 122 of the Trade Act of 1974, to set a flat 10% levy on imports. President Donald Trump later said he would boost the import tax to 15%.

Section 122, which has never before been used, allows presidents to impose duties in situations where the US faces what the law defines as “fundamental international payments problems.” Economists and policy experts have debated whether Trump will be able to build a solid legal framework for his new tariffs using the statute.

Here’s what to know about Section 122 and the financial predicaments that underpin the law.

What is Section 122?

Section 122 gives the president the ability to impose tariffs on goods imported into the US on a short-term basis to address concerns about how money is flowing in and out of the country. Those concerns include “large and serious United States balance-of-payments deficits” and an “imminent and significant depreciation of the dollar.”

It is one of multiple options available to the Trump administration to impose tariffs, though all the mechanisms come with restrictions that Trump sought to avoid when he used the emergency powers law, formally known as the International Emergency Economic Powers Act, or IEEPA, for the basis of the bulk of his import taxes.

Unlike other legal options Trump might pursue to impose tariffs, he can invoke Section 122 without waiting for a federal agency to conduct an investigation to determine whether the levies are justifiable.

Under Section 122, tariffs are capped at 15% and can only be imposed for up to 150 days. At that point, congressional approval is required to keep the duties in place for longer.

GIFT LINK: Inside Apple’s Push to Build an All-American Chip
https://www.wsj.com/tech/inside-apples-push-to-build-an-all-american-chip-0cf39c16?st=DBsYtr&reflink=desktopwebshare_permalink

On a desolate stretch of land dotted with cactuses some 30 minutes north of Phoenix, more than 30 cranes tower over a construction site 2½ times the size of New York City’s Central Park. A mammoth chip-manufacturing facility is rising, along with U.S. hopes of revitalizing a crucial industry.

The plant’s biggest customer is Apple, which is using its enormous purchasing power to help boost American chip production. The company is seeking to diversify its supply chain, score tariff exemptions and answer the call of two presidents to help the U.S. reduce its dependency on foreign suppliers for the foundational technology of the modern economy.

The world’s largest chip maker, Taiwan Semiconductor Manufacturing, or TSMC, is building the site, planning to spend $165 billion to build six chip plants and more, making it one of the largest construction projects in the U.S.

Under pressure from the Trump administration, Apple vowed last year to invest $600 billion in the U.S. over four years. Much of that spending isn’t related to manufacturing. It counts all spending in the U.S. including salaries for tens of thousands of Apple employees and retail staff.

But the commitment also includes the more than 100 million chips Apple plans to buy from TSMC Arizona this year, said David Tom, its global head of procurement. “We’re buying as much of the output of this fab as we can,” he said, referring to the fabrication plant.

The effort is modest relative to the global chip supply chain. And Apple’s purchases from the factory represent a small percentage of its total demand for chips, the key components that power its devices.

Even so, the scale of construction, at TSMC and other suppliers, shows Apple’s effort to reshore its chip supply chain is bearing fruit. The Wall Street Journal toured the desert Southwest with Apple executives to see facilities that its purchasing heft and investments are helping to build. (News Corp, owner of the Journal, has a commercial agreement to supply news through Apple services.)

IRAN/CHINA/MIL - Exclusive: Iran nears deal to buy supersonic anti-ship missiles from China
https://www.reuters.com/world/china/iran-nears-deal-buy-supersonic-anti-ship-missiles-china-2026-02-24/

Iran is close to a deal with China to purchase anti‑ship cruise missiles, according to six people with knowledge of the negotiations, just as the United States deploys a vast naval force near the Iranian coast ahead of possible strikes on the Islamic Republic.

The deal for the Chinese‑made CM‑302 missiles is near completion, though no delivery date has been agreed, the people said. The supersonic missiles have a range of about 290 kilometres and are designed to evade shipborne defences by flying low and fast. Their deployment would significantly enhance Iran’s strike capabilities and pose a threat to U.S. naval forces in the region, two weapons experts said.

Negotiations with China to buy the missile weapons systems, which began at least two years ago, accelerated sharply after the 12‑day war between Israel and Iran in June, according to the six people with knowledge of the talks, including three officials who were briefed by the Iranian government as well as three security officials. As talks entered their final stages last summer, senior Iranian military and government officials travelled to China, including Massoud Oraei, Iran’s deputy defence minister, according to two of the security officials. Oraei’s visit has not been previously reported.

“It’s a complete gamechanger if Iran has supersonic capability to attack ships in the area,” said Danny Citrinowicz, a former Israeli intelligence officer and now senior Iran researcher at Israel’s Institute for National Security Studies think tank. “These missiles are very difficult to intercept.”

Reuters could not determine how many missiles were involved in the potential deal, how much Iran had agreed to pay, or whether China would go through with the agreement now given heightened tensions in the region.

“Iran has military and security agreements with its allies, and now is an appropriate time to make use of these agreements,” an Iranian foreign ministry official told Reuters.

In a comment sent after publication, China's Ministry of Foreign Affairs said it was not aware of the talks about a potential missile sale that Reuters had reported. China's defence ministry did not respond to a request for comment.

The White House did not directly address the negotiations between Iran and China over the missile system when asked by Reuters. U.S. President Donald Trump has been clear that “either we will make a deal or we will have to do something very tough like last time,” a White House official said, referring to the current standoff with Iran.

The missiles would be among the most advanced military hardware to be transferred to Iran by China and defy a United Nations weapons embargo that was first imposed in 2006. The sanctions were suspended in 2015 as part of a nuclear deal with the U.S. and allies, and then reimposed last September.

CHINA/JAPAN/TRADE/POL - China Hits Takaichi With Tougher Export Curbs on Japan Firms
https://www.bloomberg.com/news/articles/2026-02-24/china-puts-export-curb-on-japan-firms-including-mitsubishi-heavy

China blacklisted 20 Japanese entities and tightened scrutiny on a raft of other firms, signaling Beijing won’t drop its pressure campaign against Tokyo even after Prime Minister Sanae Takaichi’s recent landslide victory.

The Ministry of Commerce added top Japanese military suppliers including the shipbuilding and aerospace affiliates of Mitsubishi Heavy Industries to an export control list, according to a Tuesday statement. The move marks the first time Japanese firms were added to the list since its January 2025 debut.

In another measure, Beijing placed an additional 20 entities, including automakers Subaru and Hino Motors, on a monitor list. While not an outright ban, this status subjects Chinese exporters to stricter checks when they apply for a license to provide the Japanese companies with goods that have both civilian and military applications.

“China is clearly not letting up the pressure in spite of the the Japanese PM’s landslide results,” according to Dylan Loh, associate professor at Nanyang Technological University. The rules can “restrict alleged militarization and also deal a blow to these companies directly,” he said.

UKRAINE/RUSSIA/UK/FRANCE - Ukraine denies 'absurd' Russian claims on nuclear weapons
https://www.reuters.com/world/europe/ukraine-denies-absurd-russian-claims-nuclear-weapons-2026-02-24/

Ukraine dismissed on Tuesday as "absurd" a Russian claim that Kyiv was trying to obtain nuclear weapons with the help of Britain and France.

"Russian officials, known for their impressive record of lies, are once again trying to fabricate the old "dirty bomb" nonsense," Heorhii Tykhyi, spokesperson for the Ukrainian Foreign Ministry, told Reuters.

"For the record: Ukraine has already denied such absurd Russian claims many times before, and we officially deny them again now. We urge the international community to reject and condemn Russia’s dirty information bombs."

Earlier, Russia's Foreign Intelligence Service (SVR), without providing evidence, accused Britain and France of preparing to secretly supply Ukraine with nuclear weapons parts and technology. Britain and France, both nuclear powers, did not immediately respond to the allegation.

IRAN/OIL - Iranian Oil Loadings Soar as Regional Risks Intensify Ahead of U.S. Talks
https://www.wsj.com/business/energy-oil/iranian-oil-loadings-soar-as-regional-risks-intensify-ahead-of-u-s-talks-b92aa737?mod=world_feat1_middle-east_pos1

Iran’s crude loadings have surged to multiyear highs this month as geopolitical risks build ahead of a third round of nuclear talks with Washington.

Loadings of Iranian crude and condensate to shipping vessels jumped to nearly 27 million barrels last week, or about 3.78 million barrels a day—almost three times the recent weekly average of roughly 10 million barrels—according to data provider Kpler.

So far this month, loadings have climbed to about 2.3 million barrels a day, up 50% from the prior three-month average of 1.54 million barrels a day. If sustained, the pace would mark Iran’s strongest monthly loading rate since 2018, before nuclear-related sanctions were reimposed.

The surge has coincided with a sharp increase in satellite-navigation interference near Iran’s Assaluyeh petrochemical hub, distorting vessel-tracking signals and complicating monitoring efforts, analysts at Kpler said. While most of the loadings were conducted “dark,” the data provider said it verified the activity using satellite imagery.

The Trump administration continues negotiating with Iran on a deal aimed at curbing Tehran’s nuclear program, with a new round of talks set to take place on Thursday in Geneva, Switzerland.

Tensions, however, remain elevated. The U.S. has deployed its largest concentration of air power in the Middle East since the 2003 Iraq war, while Iran has warned it would retaliate forcefully against any American strike, raising concerns over potential disruptions to energy flows through the Strait of Hormuz—a vital artery for about a quarter of the world’s seaborne oil and one-fifth of global liquefied natural gas flows.

Meanwhile, more Iranian barrels are accumulating offshore.

Kpler estimates Tehran’s oil-on-water storage has reached a record near 200 million barrels, driven by higher loadings and softer end-demand from China, Iran’s largest buyer. Chinese imports of sanctioned Iranian crude and condensate have been averaging about 1.20 million barrels a day so far in 2026—down 14% from 2025 levels, Kpler data showed.

CANADA/INDIA/AUSTRALIA/JAPAN - Canada's Carney to visit India, Australia, and Japan
https://www.reuters.com/world/india/canadas-carney-visit-india-australia-japan-2026-02-23/

Canada's Prime Minister Mark Carney will travel to India, Australia, and Japan, from February 26 to March 7, the Canadian government said on Monday.

Carney will meet with Indian Prime Minister Narendra Modi, Australian Prime Minister Anthony Albanese and Japanese Prime Minister Sanae Takaichi during his visits to the three countries, the government statement said.

The visits aim to expand partnerships in areas such as energy, technology, artificial intelligence, and critical minerals, among others, the government said.

GERMANY/CHINA/TRADE - German car exports to China plunge by a third in 2025, says economic institute
https://www.reuters.com/world/china/german-car-exports-china-plunge-by-third-2025-says-economic-institute-2026-02-24/

German car exports to China plunged by roughly a third in 2025, extending a steep decline that has wiped out more than half the sector's shipments since their 2022 peak, according to a study released by the German Economic Institute (IW) on Tuesday.

Exports of cars and parts fell to under 14 billion euros ($16.49 billion) last year, down from nearly 30 billion euros three years earlier, underscoring the rapid erosion of Germany's foothold in its most important foreign market.

Carmakers — which make up Germany's largest industrial sector — are facing their toughest test in decades, squeezed by higher U.S. import tariffs, weak demand in Europe, a costly transition to electric vehicles and an intensifying price war in China.

The IW data comes as Chancellor Friedrich Merz travels to China for the first time, a closely watched trip expected to shed light on how Europe's biggest economy seeks to recalibrate ties with its largest trading partner amid mounting competitive and geopolitical strains.

($1 = 0.8490 euros)

UKRAINE/MIL - Drones dominate Ukraine battlefield four years into fighting
https://www.reuters.com/business/aerospace-defense/drones-dominate-ukraine-battlefield-four-years-into-fighting-2026-02-24/

Ukrainian tank platoon commander Valentyn Bohdanov remembers a time earlier in Russia's war when heavy armour fought pitched battles like boxers trading punches in the ring. Four years into the conflict, he says such showdowns are all but impossible.

Small but deadly "first-person-view" drones now dominate the skies above Ukraine's battlefields, making it extremely risky for armoured vehicles to move, said Bohdanov, a senior sergeant in Ukraine's 127th Separate Heavy Mechanised Kharkiv Brigade.

"They won't enter an open field: they'll be peppered by FPV drones and stronger ones," said the 36-year-old, who goes by the military call sign "Bodia".

These days, his T-72 tank, which was captured from the Russians, remains hidden beneath webbing near the snowy frontline in the northeast region of Kharkiv - reduced, effectively, to a static piece of artillery.

Bohdanov, who has served since early in Moscow's February 2022 invasion, has seen traditional military tactics upended as technology has forced both sides to make new battlefield calculations.

Thousands of precision drones, often costing only several hundred dollars apiece, roam the skies daily across an expanding "kill zone" along the 1,200-km front. They are joined by a growing range of more powerful drones capable of flying farther and carrying heavier payloads.

DPRK/POL/A FAMILY AFFAIR - Kim Jon-Un's sister promoted in rare North Korea party congress
https://www.france24.com/en/asia-pacific/20260224-kim-jon-un-sister-promoted-north-korea-party-congress

The powerful sister of North Korean leader Kim Jong Un has been given a promotion in the ruling party structure during a rare party congress, state media reported Tuesday.

The Workers’ Party Central Committee on Monday named Kim Yo Jong – previously a deputy department director – as a full department director, Pyongyang’s official Korean Central News Agency (KCNA) said.

Thousands of party elites have packed the capital, Pyongyang, for a once-in-five-years summit of the ruling Workers’ Party, a gathering that directs state efforts on everything from diplomacy to war planning.

The congress offers a rare glimpse into the political workings of reclusive North Korea and is widely seen as a forum for Kim to flex his grip on power.

Kim Yo Jong has long been among her brother’s closest lieutenants and one of the most influential women in the isolated regime.

Born in the late 1980s, according to the South Korean government, she is one of three children born to Kim’s father and predecessor, Kim Jong Il, and his third known partner, former dancer Ko Yong Hui.

She was educated in Switzerland alongside her brother and rose rapidly up the ranks once he inherited power after their father’s death in 2011.

In 2018, she visited South Korea for the Pyeongchang Winter Olympics, during a period of inter-Korean rapprochement.

Pyongyang also frequently uses her name to issue statements outlining its positions or criticising the South and the US.

AFGHANISTAN/PAKISTAN/MIL - What's behind the latest tension between Afghanistan and Pakistan?
https://www.reuters.com/world/asia-pacific/whats-behind-latest-tension-between-afghanistan-pakistan-2026-02-24/

Tensions have heated up again between Islamabad and Kabul this week after Pakistan launched airstrikes on militant targets in Afghanistan.

Pakistani security sources said the strike killed at least 70 terrorists, while the United Nations said at least 13 civilians were killed.

The attack threatens a fragile ceasefire following border clashes in October that killed dozens of soldiers, the worst fighting between the two countries since the Taliban took over Kabul in 2021.

WHY ARE THE NEIGHBOURS AT ODDS?

Pakistan welcomed the return to power of the Taliban in 2021, with then-Prime Minister Imran Khan saying that Afghans had "broken the shackles of slavery".

But Islamabad soon found that the Taliban were not as cooperative as it had hoped.

Islamabad says that the leadership of militant group Tehreek-e-Taliban Pakistan (TTP) and many of its fighters are based in Afghanistan, and that secular armed insurgents seeking independence for the southwestern province of Balochistan also use Afghanistan as a safe haven.

Militancy has increased every year since 2022 with attacks from the TTP and Baloch insurgents growing, according to Armed Conflict Location & Event Data, a global monitoring organization.