Press TV – September 30, 2026 

US Treasury Secretary Scott Bessent’s prediction that Iran’s economy would soon collapse underscores the depth of delusion within the current American leadership.

“Iran is absolutely not sanctionable,” Deputy Economy Minister Mortaza Zamanian said this week as Tehran worked to keep trade flowing despite Washington’s latest sanctions campaign.

Zamanian cited Iran’s extensive borders, established commercial routes and longstanding trading relationships, saying that they make it impossible for external pressure simply to switch off the country’s economy.

His remarks came as Washington intensified its economic terrorism against Iranian oil, shipping, aviation, finance, technology and foreign companies supporting those sectors.

US Treasury Secretary Scott Bessent said that Iran would probably make its final oil deliveries to China within two weeks, after which, he asserted, “they will have nothing.”

That prediction deserves comparison with history, because American administrations have imposed increasingly severe sanctions since 1979 while repeatedly expecting economic pressure eventually to produce decisive Iranian economic collapse.

The economy did not disappear under those campaigns; instead, Iran developed domestic industries, expanded regional commerce, strengthened Asian trade and accumulated extensive experience operating outside Western financial systems.

The proposition that an economy which has absorbed American sanctions for almost half a century will suddenly become economically empty within two weeks therefore indicates the depth of delusion among the current US leadership.

Iran enters the current confrontation with a large domestic market, substantial productive capacity, enormous energy resources and deeply established commercial relationships extending across neighboring countries and wider Eurasian markets.

The World Bank describes Iran as relatively diversified for an oil-exporting economy, with substantial manufacturing, agricultural and service activity supported by a large population and significant domestic consumption.

That domestic market sustains production across food, pharmaceuticals, construction materials, steel, petrochemicals, machinery and consumer goods, meaning Iranian production does not depend entirely upon continuous access to Western consumers.

Iran has also developed major industrial capabilities suited to its own resources and infrastructure, including steel, refining, petrochemicals, cement, power generation, construction, food processing and pharmaceutical manufacturing.

These capabilities have continued developing despite restrictions on Western investment and technology, demonstrating that Iranian industrial activity does not depend upon permanent participation by Western companies.

Iran’s prolonged exposure to sanctions has produced accumulated technical and commercial knowledge, giving Iranian companies decades of experience managing restricted supply chains and unreliable access to foreign suppliers.

When foreign manufacturers withdraw, Iranian companies have learned to redesign equipment, substitute components, develop domestic suppliers and cooperate with businesses from countries willing to maintain commercial relationships.

Academic research has documented this process, showing that sanctions can simultaneously restrict foreign technology while encouraging domestic technological development and adaptation within affected Iranian industrial sectors.

The resulting knowledge extends beyond individual companies, because engineers, technicians, procurement specialists and managers have accumulated practical experience managing shortages, substitution and alternative sourcing.

Iranian manufacturers therefore do not design procurement systems around the assumption that every international supplier will remain available indefinitely, making adaptation part of ordinary commercial planning.

Iran’s geography provides another economic advantage, because the country borders Turkey, Iraq, Armenia, Azerbaijan, Turkmenistan, Afghanistan and Pakistan while possessing coastlines reaching the Persian Gulf and the Sea of Oman.

Those borders connect Iranian commerce with the Caucasus, Central Asia, South Asia, the Persian Gulf, Turkey and Iraq, while transportation corridors also connect Iran with Russia and wider Eurasian markets.

Financial sanctions can make transactions more difficult, but they cannot physically relocate Iran or eliminate its access to neighboring markets, suppliers, transportation routes and established regional trading relationships.

Iran has consequently developed commercial links involving Iraq, Turkey, the United Arab Emirates, Afghanistan, Pakistan, the Caucasus, Central Asia and China through years of sustained economic interaction.

The World Bank has documented Iran’s increasing trade orientation toward neighboring countries and China as sanctions restricted conventional international relationships, making this regional pivot an established economic feature.

China adds another dimension because it combines enormous industrial capacity with sustained demand for Iranian energy while supplying machinery, manufactured products and industrial inputs required throughout Iran’s domestic economy.

The US-China Economic and Security Review Commission identifies China as Iran’s largest trading partner and estimates that China imported approximately 1.4 million barrels of Iranian crude daily during 2025.

Chinese independent refiners have continued purchasing Iranian crude through commercial arrangements designed to reduce their exposure to American financial restrictions and sanctions enforcement.

That relationship demonstrates why Iran does not require unrestricted access to every Western market when Chinese demand and extensive regional commerce provide alternative markets for Iranian commodities.

Iran’s energy resources provide enormous economic depth, with the World Bank ranking the country second globally in proven natural-gas reserves and fourth globally in proven crude-oil reserves.

Those resources provide export potential while also supplying abundant domestic energy and petrochemical feedstocks supporting manufacturing, electricity generation, transportation and numerous energy-intensive industrial activities.

Iran has consequently developed a substantial downstream economy converting hydrocarbons into refined products, petrochemicals and industrial inputs rather than depending exclusively upon crude-oil exports.

The World Bank has noted that sanctions encouraged additional processing of hydrocarbons into petrochemicals, illustrating how restrictions contributed to changes within Iran’s export structure.

Iran has also developed financial mechanisms outside conventional Western banking, including bilateral currency arrangements, exchange houses, barter, intermediary companies and indirect settlement channels supporting international commercial activity.

The World Bank has documented growing use of bilateral currency exchange, barter and indirect payment mechanisms as Iranian trade shifted increasingly toward neighboring countries and China.

These arrangements provide alternative methods for exchanging value when conventional dollar-based transactions become unavailable or prohibitively difficult.

Their existence helps explain why Washington increasingly targets third-country banks, intermediaries and commercial facilitators, because Iranian commerce extends through extensive international networks beyond domestic financial institutions.

Against this background, Bessent’s prediction assumes that eliminating a major source of oil revenue would effectively remove the broader economic foundations supporting Iran’s productive system and commercial institutions.

Iran’s economic structure is considerably broader, because oil exports represent one component of national activity alongside manufacturing, agriculture, services, domestic consumption and regional commerce.

The World Bank estimates that Iran’s economy contracted during the Iranian year ending March 2026, while simultaneously describing adaptation through changing trade patterns and alternative payment mechanisms.

Economic contraction, however, is fundamentally different from the disappearance of productive capacity, infrastructure, commercial institutions and domestic relationships sustaining millions of Iranian consumers and businesses.

American sanctions have repeatedly targeted Iranian banking, oil exports, investment, technology, shipping and foreign companies, yet Iran has retained its industrial base and redirected substantial trade toward neighboring countries.

Washington possesses powerful financial tools, but financial restrictions cannot physically eliminate Iran’s factories, oilfields, farms, engineers, consumers, ports, borders or commercial relationships accumulated over decades.

The central question is therefore whether American pressure can erase the productive, geographical, resource and commercial foundations Iran has accumulated across nearly half a century of economic adaptation.

Nothing in Iran’s economic history demonstrates that those foundations can disappear within two weeks, particularly while the country retains domestic production, regional markets, energy resources and established commercial relationships.

Iran therefore enters the present confrontation with domestic capabilities, energy resources, industrial capacity, geographic advantages and international relationships capable of keeping its economy operating despite intensified American terrorism.

Space is becoming an increasingly contested domain as major powers expand military capabilities, satellite infrastructure, and counterspace systems, while the U.S. Golden Dome initiative reshapes strategic stability and raises new questions about the future of space governance. On 14th September 2026, US Secretary of the Air Force Troy Meink confirmed that the US has “on-orbit” […]

Recent warnings from American AI leaders have created the impression that the world is only beginning to confront the dangers of advanced artificial intelligence. Dario Amodei, chief executive of tech company Anthropic, has called for governments to intervene to slow the development of increasingly powerful AI models. His proposal begins with independent evaluators embedded inside […]

The post As US tech leaders call for rules on AI, China already has them appeared first on Asia Times.

They’ve been shown to raise electricity bills, pollute drinking water, do little to boost local employment while threatening millions of jobs in a variety of industries, and top executives have warned that the technology they support could wipe out all of humanity by the end of the decade. But rather than take widespread public opposition to artificial intelligence data centers at face value, House Speaker Mike Johnson (R-La.) announced he had […]

The post US House speaker sees AI data center worries as ‘Chinese psyop’ appeared first on Asia Times.

Beijing may let its technology giants buy more Nvidia high-end chips, giving the US chip designer a fresh foothold in China and keeping Chinese artificial intelligence (AI) developers tied to its software after months of stalled trade. China’s Ministry of Industry and Information Technology (MIIT) has asked major domestic companies, including ByteDance, Alibaba and Tencent, […]

The post After Trump-Xi summit, Nvidia RTX PRO 5500 gains export prospects appeared first on Asia Times.

The MEPs steering the EU’s key industrial law want “Made in Europe” to mean that goods are actually produced in the EU.

Their draft report on the Industrial Accelerator Act (IAA), presented to three parliament committees on Monday (28 September), would reserve the label, and the subsidies and public contracts that come with it, for goods produced in the 27 member states.

Partner countries such as Japan or Korea could be added later, but only if they meet set criteria.

This is a break with the EU commission’s proposal, which would apply to virtually every country with a free-trade or procurement deal with the EU. 

This article continues, but the full version is available only to EUobserver.com subscribers. Visit account.euobserver.com/membership

The Trump-Xi summit did not mark a US-China rapprochement, but it demonstrates that sustained diplomacy and strategic guardrails are essential to prevent intensifying competition from becoming direct conflict. The recent summit between Chinese President Xi Jinping and US President Donald Trump in Washington has demonstrated a significant paradox in contemporary international politics: the two superpowers […]

President Donald Trump rolled out the red carpet for Chinese President Xi Jinping’s state visit to Washington, greeting him in person at Joint Base Andrews, a rare gesture for an American president. Critics in both parties warned that the pageantry would reward a rival. However, the red carpet, the state dinner with its exquisite menu, […]

The post Trump-Xi summit bade farewell to ‘China plus one’ appeared first on Asia Times.

Torn between its Russian, Chinese, Iranian and North Korean issues, American foreign policy has nonetheless revealed, over the decades, a constant hierarchy: the Sino-American rivalry remains the major geopolitical issue that structures Washington’s Asian policy. With one month to go before the midterm elections, the American election campaign, despite being structured by deep partisan divides, […]

By Prof. Glenn Diesen | September 26, 2026

The following are excerpts from my speech in Istanbul on September 26, 2026.

The unipolar world order has collapsed, and we should conduct a post-mortem to reflect on what went wrong and to understand the current turbulent transition of the world. In 1989, Francis Fukuyama famously published his article on the ‘End of History,’ which was largely adopted as an ideological guide by the political West. The world only had one superpower and one ideology, and the expectation was that the world would unify under US leadership and liberal democratic values. The dominance of the US would end international anarchy and security competition, as there was only one centre of power, and the US hegemon would elevate the role of liberal democracy to form an inclusive community of universal values. For more than three decades, the West produced a new generation of politicians who believed that the collective hegemony of the West was for the benefit of all mankind, and they were the administrators who would manage the transition from the chaotic world of the past to perpetual peace. So what went wrong?

The Contradiction of Hegemonic Universalism

The unipolar moment was always destined to be a temporary phenomenon, as the US would predictably exhaust its resources and incentivise rising powers to collectively balance the US. However, there is also an inherent contradiction in hegemonic universalism, as universal values are linked to one entity of power. A hegemon claims to represent universal values such as freedom, democracy, and human rights, albeit this universalism is promoted through a particular historical, cultural, and geopolitical order.

Universal values advocating for equality are used to institutionalise a dominant position for the US. Universal values advocating for inclusion are used to build exclusive blocs such as NATO rather than developing an inclusive pan-European security architecture. John Herz noted as early as 1950 that the more democratic states were at home, the more they seemed to insist on a dominant position in international institutions to defend liberal values from the rule of the majority. Liberal values build on the idea that tolerance is imperative, as all people and states have different ideas about the good life and their own path to development, yet the universality of values suggests that all states must develop along the same path, and the political West, as the champion of liberal democracy, is the civilizational teacher seeking to “socialize” the rest of the world. Liberalism has subsequently been promoted as a hegemonic norm.

The Revisionism of Hegemonic Universalism

The modern world order was established with the Peace of Westphalia in 1648, in which a hegemonic system legitimised with universalist claims was replaced with a multipolar system based on the cultural distinctiveness of states. The past 80 years have been a historical anomaly, with a bipolar system that collapsed and gave way to a unipolar system with one centre of power. The normal situation of the world has been a multipolar Westphalian system with a power equilibrium.

Over the past decades, hegemonic universalism transformed European states as national competencies were transferred to the US. US military dominance meant that Europe largely outsourced its security and foreign policy to the US within the format of the alliance system. US economic dominance meant that the international economic architecture, with banks, currencies, payment systems, and trade agreements, was largely administered by the US. Civil society in Europe and beyond has been managed by “non-governmental organizations” financed by the US government and cooperating closely with US intelligence services. The European political system is premised on the idea that loyalty to international institutions is more vital and moral than national interests, as Europe’s linkage to the US within the political West is the main source of stability and prosperity.

Return of Civilizational Distinctiveness

The hegemon is now gone, and the universal claims are rejected by the wider world. A multipolar world is already here, and the rising powers are demanding a return to a Westphalian world order of sovereign equals based on civilizational distinctiveness. As Xi Jinping insists, all civilizations have their own path to development, and no aspiring hegemon has the right to tell others how to develop. The return of rhetoric about civilizational states across the Eurasian continent signifies a rejection of unipolarity and universalism. New institutions such as the SCO and BRICS attempt to accommodate the multipolar world, yet new members are joining faster than institutional efficiency can adjust to.

The US has reluctantly already begun adjusting to these new realities, as it recognises it cannot be everywhere and must prioritise, while the language of liberal universalism is being replaced with national interests. New political forces are rising in the US that want to scale back the empire to save the republic, as a strategic retreat would allow the US to rebuild its strength and end the collective balancing by other great powers. What makes Europe so dangerous today is its weakness and panic due to the failure of finding a new role in the multipolar system. Security can no longer be based on the dominance of the collective West; there is no clear economic model; and the claims of representing universal values are no longer convincing. Yet the Europeans are not willing to recognise new realities and adjust accordingly by diversifying economic and political connectivity. The available evidence suggests that this will be a very turbulent transition from unipolar universalism to multipolar distinctiveness, and the new world will more likely be born through war than diplomacy

A mounting standoff over allegations of covert Chinese nuclear testing and rapid arsenal expansion has collided with an intensifying domestic debate within the US over whether it must abandon its decades-long test moratorium. US officials are pressing China in confidential diplomatic talks over suspected low-yield nuclear testing and a rapid strategic expansion across at least […]

The post US challenges China on secret nuclear tests as arms race looms appeared first on Asia Times.

Al Mayadeen | September 26, 2026

China called on Saturday for an immediate end to the blockade on Cuba, in a speech to the UN General Assembly that stopped short of naming the United States.

Vice President Han Zheng urged the “relevant country” to “immediately stop using the threat of force against Cuba” and to “immediately and completely lift the blockade and sanctions.”

He also pushed back against the US on Iran, saying “China holds that the sovereignty and security of countries in the Middle East, including the Gulf, should be respected,” though he did not mention the US at any point in his remarks.

The comments come as a US pressure campaign has largely cut off oil supplies to Cuba. The US oil blockade began in January and has deepened blackouts, with the island’s electrical grid suffering a total collapse earlier this month that left millions without power.

Equality among states

Han said major countries carry special responsibility for international peace and security and should lead by complying with the rules, upholding the rule of law, and “doing what’s right.”

He also cast China as a reliable partner and a steadfast defender of developing nations, saying all countries, “big or small, are equal members of the international community” and that world affairs should be handled through consultation.

Russian Foreign Minister Sergey Lavrov spoke at the UN shortly after and made a similar appeal, urging Washington to end its siege of Cuba and ease trade restrictions on the island.

He also said the US should remove Cuba from its list of state sponsors of terrorism.

Trump-Xi summit

US President Donald Trump hosted Chinese President Xi Jinping at the White House earlier this week, welcoming him with military flyovers and a lavish state dinner, according to Reuters.

During the talks, Trump told Xi that China should refrain from providing support to Iran in the US war on Iran. The US ambassador to China claimed on Friday that Trump received assurances from Xi that Beijing would not do so.

This followed reports that China had supplied Iran with shoulder-fired air-defense missile launchers and that Tehran had found ways to evade sanctions on its oil sales with Chinese help.

Beijing has repeatedly rejected the US sanctions campaign against Iran. In August, the Foreign Ministry said that sanctions and pressure “will not help resolve the issue” and that China opposes “illegal unilateral sanctions” lacking a basis in international law.

Chinese support for Cuba

Cuba was the first Latin American country to establish diplomatic ties with the People’s Republic of China, and 2025 marked 65 years of relations.

China’s practical support has centered on energy. Reuters reported that Beijing financed 55 solar projects in Cuba in 2025, including a 21-megawatt plant near Jatibonico, with 37 more planned by 2028. Cuban media reported that a shipment of 5,000 solar panels arrived in September, the third of its kind in recent months.

Beijing has also committed 90,000 tonnes of rice to Cuba in 2026, of which 30,000 tonnes have been delivered and 60,000 tonnes pledged.

Al Mayadeen | September 26, 2026

International flights from Iran to several destinations remain operational despite the expansion of US sanctions targeting the country’s aviation sector, according to Tehran’s Imam Khomeini International Airport.

The airport said Saturday that flights to Turkey, Malaysia, China, Pakistan, Vietnam, and Afghanistan were continuing according to their previously announced schedules.

The announcement comes as Washington escalates economic pressure on Iran and seeks to restrict the ability of Iranian airlines to maintain international operations.

Iranian flights continue despite sanctions

Imam Khomeini International Airport said that, aside from flights already canceled, no additional cancellations had been announced.

The canceled services include flights involving the United Arab Emirates, Iraq, Oman, and Georgia.

The airport also said it was working to restore suspended air connections as soon as possible.

The continued operation of several international routes comes despite growing restrictions on Iranian aviation following a new round of US sanctions announced on September 8.

The measures have affected Iranian airlines as well as companies and intermediaries involved in providing services to the country’s aviation sector.

Recent reporting indicates that Iranian carriers have continued operating some international services despite the sanctions, including flights to China, Turkey, Thailand, and Afghanistan.

US measures target Iran’s aviation sector

The US Treasury Department announced sanctions on September 8 against 36 targets linked to Iran’s aviation sector, including 27 Iranian airlines. Washington described the measures as an effort to target what it considers Iran’s remaining unsanctioned carriers and the networks supporting them.

The sanctions form part of a broader US campaign to restrict Iran’s access to international financial and commercial networks.

The measures have also placed pressure on foreign companies providing Iranian carriers with fuel, ground handling, aircraft-related services, and other forms of support.

The consequences, however, have varied by country. While some governments and companies have restricted Iranian aviation connections, other countries have continued to facilitate flights.

Iraq restrictions trigger backlash

In Iraq, the suspension of Iranian flights, particularly through Najaf International Airport, has triggered criticism from official, political, factional, and religious quarters.

Several Iraqi parties and figures have called for the decision to be reversed and rejected what they described as US pressure on Baghdad.

The Iraqi government is also moving toward dialogue with Washington in an effort to secure an exemption that would allow air links with Iran to resume.

Ali Akbar Velayati, international affairs advisor to Iran’s Leader, said the restrictions on Iranian flights were part of an effort by Iran’s enemies to compensate for their battlefield defeat by attempting to dismantle the “unity of the fronts” from within.

The Iranian Ambassador to Iraq, Mohammad Kazem Al-Sadegh, further told Iran’s ISNA news agency that a new decision surrounding Iranian flights to Iraq is likely to be announced soon.

He added that Iran is in contact with Iraqi officials and proposals on the matter have been submitted.

Al-e Sadegh noted that roughly 12,000 to 13,000 people travel between Iraq and Iran via Iranian airlines.

China maintains air links with Iran

China has maintained its opposition to unilateral US sanctions and continued to receive Iranian flights.

Flight-tracking data cited in recent reports showed Iranian services continuing to operate to Chinese destinations after the latest US measures took effect.

The continued connections with China also reflect the broader geopolitical divide over Washington’s unilateral sanctions policy, with Beijing maintaining economic and diplomatic ties with Tehran despite US pressure.

Agreements at no cost

By Lorenzo Maria Pacini – Strategic Culture Foundation – September 26, 2026

Xi Jinping left Washington on Friday, September 25, bid farewell by a 21-gun salute and the administration’s top officials lined up at the airport. A three-day state visit organized with a level of attention to detail that the White House rarely reserves for a systemic rival: the welcome at the foot of the aircraft stairs, a three-hour meeting in the Oval Office, the state dinner, tea with the spouses, and a visit to the National Archives. A Schramsberg was chosen for dinner – the same winery that provided the wine for the 1972 toast between Nixon and Zhou Enlai. At the table sat half of the American business community: Musk, Jensen Huang, Zuckerberg, Tim Cook, Bezos, Pichai, Dimon, Fink, as well as three Supreme Court justices, the Federal Reserve chair, and half the Cabinet.

Then there is the real conversation, which must be read between the lines. Beijing immediately released its own account of the talks. On the American side, in the early hours, there was no official statement: only remarks from officials and a president who chose not to answer questions on the substance of the matter. This asymmetry in documentation alone reveals who wanted to set the terms of the meeting in writing.

On the Iran issue, administration sources presented an alignment on three points as “significant progress”: Iran must never acquire nuclear weapons; the Strait of Hormuz must remain open; and there must be no tolls in the strait. Taken one by one, these three points coincide with positions that Beijing had been advocating even before boarding the plane. China holds a permanent seat on the Security Council and is a signatory to the 2015 JCPOA: Iranian nonproliferation has been its official policy for over a decade. An open Strait of Hormuz is in China’s interest even more than it is in America’s, because East Asia consumes the largest share of the crude oil passing through the strait, and China pays more than anyone else for Brent crude that remains above $100 per barrel. As for tolls, a transit fee imposed by Tehran would hit oil tankers bound for Chinese ports first and foremost.

Washington has thus secured Xi’s signature on three statements that Beijing would have endorsed in any forum. The actual gain is more limited, but it exists. China’s distancing itself from Iran’s demand for tolls weakens a card that Tehran is playing in the New York negotiations, where discussions center on a phased exit from the crisis (reopening of the strait, simultaneous lifting of the U.S. naval blockade, followed by the unfreezing of frozen assets), and where the Iranian delegation is reportedly aiming to transfer the issue of transit rights to a separate annex.

Independent accounts fill in what the American version leaves out. Xi asked Trump for an immediate return to the Islamabad Memorandum of Understanding and the resumption of negotiations “as soon as possible,” leading to a comprehensive agreement that includes the nuclear issue. Trump did not say yes. Rather than being resolved at the summit, the Iranian issue was kept off the summit agenda.

Tehran and Taiwan

Regarding Chinese support for Iran, the officials themselves admit that the picture is incomplete: “There has been indirect support, we believe, but no direct evidence.” The United States says it is “very concerned” but is unable to prove it. Trump reportedly told Xi in person, however, that any aid to Tehran – “whether direct or indirect, in the form of intelligence, components, or military equipment” – is “totally unacceptable.”

A warning is only as strong as the tool that backs it up, and here the tool is nowhere to be seen. During the same period, flight tracking data recorded a Mahan Air flight landing as scheduled in Guangzhou, and no measures were taken against Chinese airports or operators: the no-fly zone around Iran has failed precisely where it matters most. The term “indirect,” moreover, remains deliberately vague. If it included the purchase of Iranian crude oil, it would strike at the heart of Sino-Iranian trade; if it does not include it, it is reduced to military supplies that Washington, by its own admission, cannot substantiate. The ambiguity serves both sides: the Americans to keep the threat hanging in the air, and the Chinese to continue operating in the gray zone. My assessment is that action by the Treasury against Chinese entities linked to Iran is unlikely before the trade agreement is finalized, with a moderate degree of confidence.

Washington insists that pressure on Iran is a separate issue, unrelated to arms supplies to Taiwan or any other negotiations. This separation has its own domestic logic. With less than six weeks until the November 3 midterm elections, the administration cannot risk being accused of trading Taipei for Chinese cooperation in the Gulf.

The point is that this separation is unilateral. In the Chinese account, Xi described Beijing’s position on reunification and territorial integrity as clear-cut; he called on the United States to oppose Taiwan’s independence and to handle the issue with caution, noting that doing so would lay a solid foundation for strategic cooperation between the two countries. Taiwan is not just another issue among many; it is the condition underpinning them all, including Iran. Beijing will be watching to see how Washington translates its statements into concrete actions, and that response will remain the primary indicator of American seriousness. The result is a clear asymmetry: the United States is giving up using Taiwan as leverage, while China retains it as a precondition.

What about the option of a trade truce?

On the economic front, the summit resulted in the extension of the trade truce until January 10 – which averts an immediate return to much higher tariffs – and the announcement of a managed trade agreement, the details of which are expected on Monday following weeks of negotiations. No breakthrough on tariffs, rare earths, or technology controls. The very term echoes the “Phase One” model from January 2020: quantified purchase commitments – that is, managing the symptoms of a rivalry whose structural causes remain unchanged.

On artificial intelligence, the positions remained distinct. Xi proposed dialogue on risks, human oversight of technologies, and cooperation against abuses, inviting both sides to build on their respective strengths rather than monitor one another. Trump acknowledged that AI concerns the future of humanity, but made it clear that he prefers the current status quo to remain largely unchanged. No common rules, no mechanisms. The two capitals limited themselves to confirming mutual support for the APEC summit and the G20 summit they will host this year, thereby setting the schedule for upcoming meetings.

Taken together, the U.S. outcome consists of a declarative convergence on three already-shared principles, a verbal warning, and a trade agreement yet to be reviewed. Beijing takes home more: a truce until January, no new technological restrictions, Taiwan reaffirmed as the foundation of the relationship, and, above all, the U.S. adoption of the Chinese formula for a “constructive relationship of strategic stability,” agreed upon in May and now revived. Robert Lawrence Kuhn provided the most honest summary: the summit’s main outcome is a longer planning horizon. For a power convinced that time is on its side, that longer horizon is the reward.

There is one objection that must be taken seriously. Xi’s public distancing from the concessions isolates Tehran just as an internal front is opening up in Iran, with an impeachment motion filed in parliament against Foreign Minister Araghchi, accused of negotiating with the Americans without the green light from the Supreme National Security Council. But this very situation highlights the limitations of that gain. The question in Tehran is no longer just what to offer, but who has the authority to offer it; and on this point, Chinese pressure regarding the tolls changes nothing.

There are few but concrete indicators to watch in the coming weeks. The text of Monday’s agreement will reveal whether the trade deal extends to rare earths or is limited to agricultural and energy purchases. The New York channel will indicate whether the phased exchange – involving shipping through the Strait of Hormuz in exchange for the lifting of the blockade – becomes operational. The six ballistic missiles launched by Ansarallah toward Yanbu and Taif – targeting the terminal of the only major Saudi route bypassing the strait – demonstrate just how narrow the margin is before the price of crude oil pushes Trump, on the eve of the election, toward military options. Finally, a potential designation of Chinese entities by the Treasury would lend real weight to the warning from the Oval Office.

As long as none of these signals change, we can say that the summit has stabilized Sino-American relations without stabilizing the Gulf – and regarding the Gulf, Beijing has offered words, not leverage.

China’s President Xi Jinping concluded his three-day state visit to the US on Friday, September 25, with hopes of enhanced cooperation and partnership between the world’s two largest economies.

Xi arrived in the US on Wednesday and received a large-scale welcome from President Donald Trump. Though this was their third in-person meeting it was Xi’s first state visit to the US in over a decade.

On Thursday, the leaders had a long in-person conversation in the White House and finished the day with a state dinner with 130 guests, including tech executives. Though the US is yet to release its version of the official proceedings, reports indicate they discussed a range of outstanding issues such as the dispute over trade and tariffs, cooperation in Artificial Intelligence, the issue of Taiwan, and the US-Israeli war on Iran. 

During the meeting with Trump, Xi called for strategic stability in the China-US relationship which will benefit both countries and the people around the world, Xinhua reported.  

“China and the US should be partners, not rivals,” Xi said. 

Xi’s statement comes at a time when the two countries are negotiating a longer trade deal after briefly facing each other in a tariff war last year. Both countries agreed to extend their temporary trade truce which halted the tariff war till January to give their negotiators more time.

The so-called Busan Trade Truce was set to expire in November this year.  

Xi hoped that “both sides would stay committed to the principles of mutual benefit and win-win cooperation and promote the sustained, stable and sound development of China-US economic and trade relations.” 

Technology and AI

Successive administrations in the US have characterized China’s advancements in technology and other economic sectors as a threat to American interests and have tried to curb them by restricting its access to technology.

In his attempt to address such apprehensions, Xi proposed that “both sides work towards a relationship featuring cooperation as the mainstay, moderate competition, manageable differences, and the promise of peace.” 

Talking about the competition in the development of Artificial Intelligence (AI), Xi offered increased coordination and cooperation between the countries as a way of mutual benefit. 

While emphasizing that “two sides should maintain human control over AI technologies, uphold people-centered approach and the principle of using AI for good” he proposed greater exchange of information to “prevent any misuse and abuse of AI.”

Read more: The AI frontier asks to be paced: anatomy of a panic

Xi also expressed hope that Chinese companies “are treated fairly in the US” while inviting more US companies to invest in China. “Working together, we can lengthen the list of cooperation and shorten the list of issues” he underlined.

The US has sanctioned or put a large number of Chinese companies, including its AI firms on various watch lists in recent years, after accusing them of working with the Chinese armed forces or being involved in the so-called technology theft.

Notably, however, major US tech and finance executives such as Jensen Huang of Nvidia, Mark Zuckerberg of Meta, Eric Yuan of Zoom, Kelly Ortberg of Boeing, Larry Fink of Blackrock, Sam Altman of OpenAI, Satya Nadella of Microsoft, Sundar Pichai of Google, Jeff Bezos of Amazon, and Elon Musk of SpaceX and Tesla, were present at the state dinner for Xi’s visit hosted at the White House on Thursday, September 24, though no details of cooperation between US and Chinese tech firms have emerged.

Taiwan

Reiterating China’s resolve to “safeguard national reunification and territorial integrity,” Xi expressed hope that the US will “adhere to the correct position on opposing ‘Taiwan independence’ and handle the Taiwan question with caution.”

China has repeatedly accused the US of promoting the separatist cause in Taiwan, despite officially adhering to “one China policy.” The US under Trump has sold or agreed to sell billions of dollars’ worth of weapons to Taiwan in complete disregard of China’s objections.

China has also accused the US and its allies in the region of promoting an arms race by deploying advanced weapon systems close to its borders.

Xi said if the US follows the correct position on Taiwan it “will enable both the countries to lay a solid foundation for their strategic cooperation and the development of their bilateral relationship.”

US-Israeli war on Iran 

China has refused to intervene or get involved in the US-Israeli war on Iran, despite Trump’s repeated calls for them to do so. China has maintained the war was unnecessary and repeatedly warned against its prolongation. It has supported the interim peace deal signed in June under international mediation.

Xi reiterated this position during his visit to the US, expressing hope that both Iran and the US would soon return to the Memorandum of Understanding (MoU) and end the war.

Xi claimed that “China-US cooperation may not solve every problem in the world, but without it, it would be hard to solve many of the world’s problems” and proposed more dialogue and “mechanisms of crisis communication and prevention” between their armed forces.

Read more: No new talks with the US until the previous conditions are met, says Iran

Trump said his meeting with Xi on Thursday was “great” also claiming they have maintained close communication.

Trump also agreed that “continued dialogue” with China is necessary to reach agreement on significant issues.

TOKYO — The bond vigilantes are back — and now they’re patrolling every major debt market at once. As deficits balloon, spending runs unchecked and oil prices spike, investors are reasserting control over markets that once seemed shielded from shocks and sending yields skyrocketing. The revolt spans the US, Japan, Europe and beyond as a […]

The post Bond vigilantes on a savage hunt as global yields run wild appeared first on Asia Times.

US lawmakers and national-security experts are pressing President Donald Trump to take tougher action against Chinese entities accused of helping Iran with satellite intelligence, weapons components, and oil revenue.

Beijing has agreed to work with Washington to improve governance of artificial intelligence (AI) technologies and to enhance cooperation as Chinese President Xi Jinping and United States President Donald Trump met face-to-face at the White House on Thursday. Xi made the pledge in his speech at a morning welcoming ceremony, before the two leaders held […]

The post Xi backs AI safety with Trump, draws Taiwan line, urges Iran talks appeared first on Asia Times.

For the past six months or so, a curious-looking vessel with a very boxy superstructure has been taking shape at a shipyard in the Chinese city of Shanghai. A new satellite image lends credence to an earlier assessment that this is a mothership to support China’s growing fleets of ever-larger submersible drones, though it could also have other roles.

TWZ obtained the image of the ship in question, which was taken on September 10, from Vantor. Since then, it has also received an overall coat of gray paint, pointing to future service with the People’s Liberation Army Navy (PLAN). It is some 669 feet (204 meters) long and around 98 feet (30 meters) at its widest. In terms of basic length and width, the vessel being built now is very roughly comparable to China’s Type 071 amphibious warfare ship. However, it appears to be much taller overall than the Type 071.

The new ship has been under construction at the Hudong-Zhonghua Shipyard on Changxing Island in Shanghai since at least April. This yard produces a variety of naval vessels, including surface combatants and amphibious assault ships, as well as commercial designs.

The September 10 image, which shows the ship from the stern, is interesting for a number of reasons. It notably confirms that the design not only has a well deck, but that it is sized around what looks to be a large cradle-like platform visible in the shot. The very roughly 164-feet (50-meter) long rectangular platform has an arch-shaped structure at one end and two teardrop-shaped ones at the other, as well as six pillars, three on each side, in between. The teardrop-shaped structures, in particular, point to the platform being at least a semi-submersible, as they would help with stability and otherwise guide the flow of water while being pulled along.

The satellite image also clearly shows six large struts extending from the top of the stern end of the superstructure, each one which is paired with a shorter strut, for a total of 12. Earlier this month, independent naval analyst H.I. Sutton, who tracks undersea warfare developments in particular, posited that these struts could be used to lower a platform or some other similar structure below the hull of the ship. He also assessed that they could be used as part of a larger system capable of moving payloads between decks internally. This would help account for the configuration of the core superstructure, especially how high it is all the way from the front to the back. Overall, signs point to the inside of the superstructure being largely hangars and other open work spaces, allowing for multiple large UUVs to be carried and supported. Individual UUVs would be launched and recovered, one at a time, via the cradle.

In making his assessment, Sutton drew specific attention to a previously shown rendering of a proposed Chinese scientific research vessel with a roughly similar strut-based system at the stern for deploying submersibles and other large payloads. However, on that design, the system was entirely exposed rather than contained with an extended superstructure.

The platform seen immediately behind the ship being built at the Hudong-Zhonghua Shipyard aligns with Sutton’s assessment about the purpose of the struts. At the same time, launches and recoveries could also be conducted in a more traditional manner via the well deck. The design of the cradle-like platform would seem to suggest the latter option is at least part of the plan.

The general idea of launching and recovering payloads through the bottom of the hull of a ship, including through moon pools, is hardly new. As another point here, Russia is known to have highly specialized mothership submarines that can carry crewed midget submarines and large uncrewed submersibles attached underneath their hulls, and that are also capable of launching ultra-long-range nuclear-powered and nuclear-armed torpedoes. The idea of deploying and retrieving large UUVs via well decks using cradle-like systems is something being explored by other navies globally, including in the United States. All that being said, a large specialized ship built for the purpose of launching and recovering very large underwater vehicles in an operational capacity is unique.

The image from September 10, as well as other recent views of the ship, highlight other features that are now taking shape. This includes a large opening on the starboard side, which could be for launching and/or recovering lifeboats or other watercraft, or moving payloads to and from the pier while docked, as well as a multi-pronged mast on top of the bridge. An additional part of the ship’s superstructure extends behind the bridge area, and there is what looks to be a hangar inside. There is no attached helipad present now, but one could well be added later on somewhere on top of the superstructure. Many naval auxiliaries, as well as commercial ships designed for offshore support and other specialized tasks, have open helipads on raised frames attached to different parts of the superstructures.

Though there is growing clarity about the ship’s design, many questions do remain about the full breadth of its intended purpose. In Sutton’s view, the PLAN has a need, just in general, for a dedicated mothership to support its growing uncrewed underwater vehicle (UUV) fleets. The PLAN is pursuing various tiers of UUVs to perform a host of different missions, including intelligence, surveillance, and reconnaissance (ISR), as well as mine-laying, special operations support, and even launching direct attacks on enemy vessels. Larger and larger UUV designs have been steadily emerging in China, which could require more specialized launch and recovery options to be feasibly employed operationally, especially from other vessels at sea. Deployment and retrieval at sea could, in turn, support very long duration missions far from China’s own shores.

“With smaller UUVs, even up to 20 meters like the AJX-002 and HSU-100 paraded in Beijing last year, they are road mobile. Truck mounted cranes should be sufficient for getting them in and out of the water making operations much simpler. With these latest, much larger XXLUUVs [extra-extra large uncrewed underwater vehicles] however, China will start to need dedicated port facilities,” Sutton wrote previously on his website. “Until now China has been using floating docks to house the two XXLUUV prototypes being tested on Hainan. One of these docks was purpose built while the other may have been taken up from general use.”

China's naval unmanned systems.

Consisting of (in order), AI enabled unmanned submersible (HSU-100), used for detection and attack.

Unmanned patrol boat.

Unmanned mine-laying/attack submersible (AJX-002), this was previously mistaken for a nuclear powered torpedo.
Because the… pic.twitter.com/Mlj55XLNBH

— Zhao DaShuai 东北进修 (@zhao_dashuai) September 3, 2025

“This arrangement also has a significant drawback: each floating dock can only carry a single XXLUUV,” Sutton added. “Or if more than one, then they both need to be placed in the water at the same time. Because the whole dock floods, there cannot be one undergoing maintenance while another is being launched or recovered.”

A mothership vessel able to discreetly deploy and recover large uncrewed and crewed submersibles and other large payloads underwater could be tasked with more specialized missions, including cutting cables, retrieving objects from the seabed, and other kinds of undersea espionage. There is overlap here with more benign roles, such as submarine rescue, salvage, and even deep-sea scientific research. There is also the matter of servicing an expanding array of Chinese underwater infrastructure, including sensor and communications networks. As something of a corollary, Russia’s spy ship Yantar is officially described as an oceanic research vessel. In China, the line between military and non-military assets and capabilities, including ships, is often very blurry, to begin with, as TWZ regularly highlights. This dichotomy was observed right at the Hudong-Zhonghua Shipyard around the end of last year after pictures of a commercial cargo ship being used to showcase a new family of containerized weapons, sensors, and other systems went viral online.

It is also worth pointing out that the boxy and largely enclosed design of the ship now being built at Hudong-Zhonghua Shipyard will inherently make it difficult to observe any activities onboard. This will have the additional knock-on effect of helping keep any payloads, as well as the crew, shielded from the elements. This could be valuable for operations in harsher locales, including waters in and around the Arctic, an ever-more strategic part of the world where China is working to be more engaged.

We also do not know if the apparent mothership vessel is intended to be a one-off or part of a larger class. It could be a stepping stone to broader plans or be part of an already extensive fleet of bespoke naval auxiliaries, as well as unique ostensibly commercial vessels, in service in China today. The PLAN’s aforementioned UUV ambitions will bring along significant test and evaluation requirements, as well as the need to support actual future operations.

If nothing else, evidence is only growing that the new ship under construction at the Hudong-Zhonghua Shipyard is intended to serve, at least in part, as a mothership for large submersible drones.

Contact the author: joe@twz.com

The post China Appears To Be Building A Mothership For Large Uncrewed Submarines appeared first on TWZ.