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Pentagon widens university scrutiny over foreign research ties

The Pentagon has ordered 30 leading US universities to audit foreign research partnerships within two weeks, escalating Washington’s effort to prevent federally funded science and advanced technology from benefiting institutions linked to China’s military and other strategic rivals.

The universities must examine collaborations involving organisations identified by the Pentagon as research-security risks and terminate arrangements considered problematic or face possible loss of federal funding. Harvard University, Massachusetts Institute of Technology and Johns Hopkins University are among the institutions affected, while other schools identified include Georgetown University, Cornell University, Duke University, New York University and several University of California campuses. The reviews are due by August 31.

The directive follows an updated Pentagon assessment identifying about 130 foreign universities and research organisations whose activities are considered capable of increasing the likelihood that US government-funded research and development could be diverted or exploited. Most are based in China, although institutions from Russia and Iran are also included.

The move has gained added significance following a congressional investigation into Harvard’s dealings with China. Two House committees alleged this month that Harvard maintained research relationships with institutions connected to China’s defence research establishment and operated an affiliated non-profit that could have been used to circumvent federal foreign-funding disclosure requirements. Harvard has faced growing scrutiny over research security as well as its wider financial links with overseas donors.

The congressional report identified Harvard Global Research and Support Services, commonly called Harvard Global, as an affiliated organisation capable of accepting certain awards when Harvard University itself could not accept a sponsor’s terms for legal or financial reasons. Archived material cited by lawmakers said Harvard Global could become the formal applicant and award recipient while Harvard researchers carried out the work using university resources.

Lawmakers characterised the arrangement as a potential mechanism for bypassing Section 117 of the Higher Education Act, which requires universities receiving federal financial assistance to disclose qualifying foreign gifts and contracts. Harvard Global began operations around 2012, and its annual revenue grew from about $621,000 in its 2012 tax filing to more than $7 million in 2023, the congressional investigation found.

The investigation does not establish that the roughly $630 million Harvard has disclosed as having come from Chinese sources was routed through Harvard Global. The larger figure refers to Harvard’s overall reported funding from Chinese sources over decades, while the congressional allegation concerns whether the affiliated organisation could have provided a structure through which some transactions escaped normal disclosure rules. Federal records place Harvard’s total reported foreign funding at about $4.5 billion.

That distinction is important because congressional investigators have alleged a disclosure loophole rather than demonstrated that hundreds of millions of dollars were secretly channelled through the non-profit. The House report said Harvard Global’s earlier website language was removed after committees sent the university a draft of their findings. It also noted that federal guidance treats intermediaries operating for the benefit of universities as potentially subject to foreign-funding disclosure requirements.

Harvard’s foreign-funding compliance has previously been examined by federal authorities. An Education Department review opened in 2020 was closed in December 2024 after Harvard attested that its disclosures were current and that systems were in place to comply with Section 117. A new review was opened in April 2025 after authorities identified what they described as incomplete or inaccurate disclosures. That review remained open when the House committees issued their report.

Research-security concerns extend well beyond Harvard. A separate congressional examination published in 2025 identified about 1,400 scientific papers produced between June 2023 and June 2025 through collaborations involving Pentagon-funded US researchers and Chinese partners. The work was associated with roughly 700 defence grants worth more than $2.5 billion, with research covering artificial intelligence, semiconductors, hypersonics, advanced materials and propulsion technologies. More than half of the publications involved organisations affiliated with China’s defence research or industrial system.

University representatives have cautioned that Washington risks treating legitimate scientific cooperation as evidence of wrongdoing. The American Council on Education has argued that universities have worked with federal authorities for years to strengthen safeguards and that institutions should not automatically be penalised for partnerships established before particular foreign organisations were placed on security lists.

Google shifts Pixel hardware production beyond China

Google is preparing to move production of its entire Pixel hardware portfolio out of China by 2027, accelerating a supply-chain restructuring that will make Vietnam and India its principal manufacturing bases for smartphones, smartwatches and wireless earbuds.

The Alphabet-owned company has informed suppliers of the planned transition after successfully expanding production of premium Pixel phones in Vietnam and building greater manufacturing capacity in India. The strategy would end China's role as a final manufacturing centre for Pixel-branded devices, although Chinese suppliers are expected to remain embedded in parts of the wider component network.

Vietnam has emerged as the cornerstone of Google's high-end Pixel manufacturing programme. The company moved beyond straightforward assembly there during 2026 by assigning suppliers responsibility for new-product introduction work on flagship Pixel models, including engineering, production-process development, verification and manufacturing preparation. That shift represented an important test of whether Google's supply chain outside China could handle the technically demanding stages required before mass production.

Successful development and manufacturing of high-end Pixel phones in Vietnam has strengthened confidence that the 2027 target is achievable. Vietnam already hosts an extensive electronics manufacturing ecosystem and has become an alternative base for technology groups seeking to spread production risk across Asia.

India is simultaneously taking on a larger role, particularly as Google develops export capacity alongside production for the domestic market. Pixel smartphones are already assembled there, with contract manufacturer Dixon Technologies among the companies participating in Google's supply chain. Production has expanded from serving local customers towards supplying overseas markets, placing the country in a stronger position within Google's global hardware operation.

The redistribution gives Google several manufacturing options rather than shifting dependence from one country to another. Vietnam is positioned heavily around flagship development and assembly, while India offers a large electronics manufacturing base, growing component capacity and access to one of the world's biggest smartphone markets.

Google's manufacturing expansion has coincided with a broader commercial push in India. The company began selling Pixel phones, watches and earbuds directly through its own online store in 2025 after previously relying primarily on authorised retailers and Flipkart. It has also explored a physical retail presence while widening local manufacturing.

The strategy comes as technology companies seek to reduce risks created by trade tensions between Washington and Beijing, tariff uncertainty and concentrated production networks. For Google, the task is less complicated than for Apple because Pixel volumes are considerably smaller and its manufacturing footprint is less deeply entrenched in China.

Google's smartphone business, while still well behind Samsung and Apple globally, has been gaining ground in important premium markets. Pixel shipments rose 14 per cent year on year during the first quarter of 2026 even as worldwide smartphone shipments fell, helped by Google's emphasis on artificial intelligence, computational photography and its integrated Android software experience.

Momentum has been particularly visible in India. Google recorded 68 per cent year-on-year growth in the country's ultra-premium smartphone segment during the second quarter of 2026, supported by wider offline distribution, marketing and stable pricing. That performance followed 39 per cent growth in the premium segment during the first quarter.

Pixel's improving position gives Google a stronger commercial reason to create a more resilient manufacturing system. The brand had already entered the world's five largest premium smartphone vendors after Pixel sales doubled year on year during the first half of 2025, supported by the Pixel 9 series and expansion into additional markets.

The 2027 restructuring is expected to encompass Pixel smartphones, Pixel Watch devices and Pixel Buds rather than smartphones alone. That breadth distinguishes the plan from earlier diversification measures that shifted selected handset models or portions of production outside China.

China nevertheless remains difficult to remove completely from electronics supply chains because many components, materials, manufacturing tools and specialist suppliers remain concentrated there. Moving final production does not necessarily mean eliminating Chinese-origin parts, making supplier diversification a longer process than relocating assembly lines.

Google's experience with Vietnam reflects that challenge. Earlier Pixel generations had already been assembled there, but transferring new-product development is strategically more significant because engineers and suppliers must establish production processes before commercial manufacturing begins. Completing those tasks for flagship devices demonstrates capabilities that previously remained concentrated largely within China's mature electronics ecosystem.

India is following a different trajectory, using large-scale smartphone assembly as a foundation for deeper component manufacturing. Government incentives and expanding domestic electronics investment have encouraged contract manufacturers to increase capacity, while export production allows facilities to operate beyond demand from the local market.

Sebi warns against attempts to manipulate closing auction

Securities and Exchange Board of India Chairman Tuhin Kanta Pandey has warned market participants against attempts to manipulate the newly introduced Closing Auction Session, saying the regulator has stronger surveillance capabilities under the mechanism and will act sternly against misconduct.

Pandey said on Wednesday that any attempt to undermine or “defame” the Closing Auction Session, or CAS, through manipulation would attract regulatory action. He also reinforced Sebi’s position that the mechanism, introduced on August 3, is here to stay despite concerns raised by brokers and other market participants during its opening weeks.

The warning comes as Sebi and stock exchanges work to improve liquidity and price discovery during the 20-minute auction that determines closing prices for eligible shares. The regulator has asked brokers to facilitate order placement during the five-minute transition between 3.15 pm and 3.20 pm from September, a change aimed at increasing participation before orders are matched.

CAS operates between 3.15 pm and 3.35 pm on trading days. During its initial phase, it applies to shares in the equity cash market on which derivative contracts are available. Other securities continue to use the earlier method for calculating closing prices.

The previous framework determined the closing price using the volume-weighted average price of trades conducted during the last 30 minutes of continuous trading. Under CAS, buy and sell orders are brought together in a separate auction, with the closing price established around the level at which the maximum executable quantity can be matched.

Pandey said Sebi’s ability to identify manipulation is greater under the auction framework than under the volume-weighted average system. The regulator views the mechanism as an important market-structure reform designed to make closing-price formation more transparent and bring domestic practices closer to those followed by major international markets.

The rollout initially produced sharp movements in benchmark indices and prompted concerns over thin liquidity during the auction. The Nifty 50 and BSE Sensex experienced unusual closing-stage divergences during some sessions, drawing attention from traders, brokers and institutional investors.

Market participants have linked some of the early volatility to limited depth in the securities lending and borrowing market. Short-selling constraints can make it difficult for participants to respond quickly when auction prices diverge from levels prevailing during continuous trading.

Sebi has maintained that it has not detected manipulation behind the unusual price movements observed since CAS began. Pandey earlier said cautious participation during the initial phase contributed to some of the differences in closing levels and argued that greater familiarity with the mechanism should improve liquidity.

Institutional participation has already strengthened. Mutual funds accounted for only about 5-6 per cent of activity during the first day of the closing auction, but their share subsequently climbed to roughly 20-25 per cent. Greater participation from institutions, arbitrage desks and other large market players is expected to narrow price discrepancies and deepen the auction order book.

Stock exchanges have also introduced adjustments intended to make the system easier for traders to follow. Indicative index prices are now displayed during the closing auction, giving participants greater visibility into the potential effect of individual share prices on benchmark indices.

Shorter-tenure contracts have also been introduced in the securities lending and borrowing segment, addressing concerns that the earlier structure provided insufficient flexibility for participants seeking to hedge or arbitrage positions around the closing auction.

Sebi has indicated that feedback from brokers and investors remains under examination even as it rules out abandoning CAS. Pandey said earlier this week that the regulator was analysing issues raised during implementation and would consider changes where required to make the mechanism function more efficiently.

The auction is particularly significant for passive investment products such as exchange-traded funds and index funds. Closing prices influence index calculations, portfolio valuations and the execution of large institutional orders. Sebi expects a deeper closing auction to reduce tracking errors and provide investors with a more representative end-of-day price.

Closing auctions are already standard features at several major international exchanges, where substantial institutional trading takes place around the market close. Sebi designed the domestic framework around the principle of establishing a single equilibrium price through the matching of aggregate supply and demand rather than relying on an average of earlier trades.

Korean brain-controlled robotic hand makes Beijing debut

Dynamic Solution has unveiled a brain-computer interface robotic hand at the World Robot Conference 2026 in Beijing, demonstrating how electrical activity measured from the scalp can be converted into commands for dexterous robotic movement without surgical implants.

The South Korean technology company is presenting the system during the five-day conference that opened on August 19 at the Beiren Etrong International Exhibition and Convention Center in Beijing E-Town. The opening day has been designated “Release Day”, focusing on new products, technological achievements and collaborative initiatives. More than 300 companies and research organisations are participating, with more than 2,000 exhibits expected.

Dynamic Solution’s robotic hand combines brain-computer interface technology with individually actuated fingers capable of performing multiple gripping movements. The system analyses electroencephalography, or EEG, signals produced when a user imagines moving a hand and converts recognised patterns into commands that drive the robotic device.

The approach is non-invasive because brain activity is detected by electrodes positioned on the scalp rather than by surgically implanted interfaces. That distinction could prove important commercially because non-invasive systems avoid the medical risks and regulatory complexities associated with implanting electrodes in the brain, although they generally face greater challenges in obtaining highly precise signals through the skull and surrounding tissue.

The robotic hand is approximately the size of an adult male hand and uses separate actuators for individual fingers. Contact areas incorporate anti-slip material intended to improve the stability of grasping. Dynamic Solution is seeking to combine such mechanical capabilities with artificial intelligence and neural-signal interpretation, placing the product within the rapidly developing field of physical AI, where intelligent software directly controls machines operating in the physical world.

The company has also acquired a non-exclusive licence for X-HAND and remote wearable robot technologies developed by the Electronics and Telecommunications Research Institute. The underlying platform incorporates wearable and haptic technologies designed to reproduce movement and tactile feedback, providing a potential route towards systems in which information flows both from the user to the robot and back from the robotic device.

Dynamic Solution, formerly known as Neofect, has spent years developing rehabilitation and wearable technologies. Its intellectual-property portfolio includes technologies covering sensing, movement assistance, upper-limb rehabilitation robots, finger-motion measurement and wearable robotic hands. The company says it holds 114 related patents in domestic and overseas markets.

The Beijing demonstration also comes as South Korea expands national investment and institutional support for brain-computer interfaces, humanoid systems and physical AI. The Ministry of Science and ICT formally launched the K-Moonshot programme this year with 12 national technology missions extending to 2035, including separate programmes for BCI, humanoids and physical AI. The initiative aims to use artificial intelligence to accelerate scientific research and double research productivity by 2030.

That government programme is broader than Dynamic Solution’s non-invasive robotic-hand project and includes work on implanted BCI technologies. Its significance for companies developing EEG-based systems lies mainly in the research ecosystem being built around neuroscience, robotics, artificial intelligence and commercialisation rather than direct state sponsorship of a single product.

Dynamic Solution has been positioning itself within that ecosystem through partnerships with hospitals, research institutes and BCI specialists. It signed an agreement with Ybrain this year covering brain-signal precision control, AI robotics, BCI commercialisation and joint participation in national research projects. The companies have identified applications that could ultimately include assistive technology for people with severe motor disabilities, wearable robots and industrial systems.

The company is also involved in collaborative work linking South Korean and German researchers, including Seoul National University Bundang Hospital and Charité in Berlin, as it investigates the clinical potential of brain-controlled robotic technologies.

Commercial viability will depend heavily on performance that cannot be judged from a product demonstration alone. Dynamic Solution has not publicly released detailed benchmark data covering the X-HAND system’s EEG decoding accuracy, command latency, error rates or reliability across large groups of users. Those measurements will be crucial for determining whether a brain-controlled hand can progress from controlled demonstrations to dependable everyday use.

Non-invasive BCI systems also have to cope with electrical noise, variations between users, movement artefacts and changing signal patterns over time. Machine-learning models can improve interpretation, but practical assistive devices must respond quickly while avoiding unintended commands.

The potential applications nevertheless extend well beyond exhibition demonstrations. A reliable interface capable of translating motor intention into robotic movement could eventually assist people with paralysis or severe mobility impairment, while related technologies could be adapted for rehabilitation, teleoperation and human-machine interaction.

US sanctions deepen confrontation with International Criminal Court

The United States has imposed sanctions on International Criminal Court President Tomoko Akane of Japan and senior prosecutor Abdoulaye Seye of Senegal, widening Washington’s campaign against the Hague-based tribunal over cases involving Israel and challenges to US sovereignty.

The designations announced on Tuesday target two of the court’s most senior figures under an executive order signed by President Donald Trump in February 2025. The order authorises financial and travel restrictions against foreign nationals involved in ICC attempts to investigate, arrest, detain or prosecute protected US or allied personnel without the consent of their governments.

Secretary of State Marco Rubio said Akane and Seye had directly participated in such efforts. Washington argues that the ICC has exceeded its mandate by pursuing officials from countries that are not parties to the Rome Statute, including the United States and Israel. The administration has made curbing the court’s ability to act against US personnel and officials of close allies a foreign-policy priority.

The sanctions block property and financial interests that the two officials may hold under US jurisdiction and generally prohibit Americans and US companies from dealing with them. Their broader effect can extend well beyond the United States because international banks and technology companies frequently depend on the US financial system. The Treasury Department has authorised transactions needed to wind down dealings involving Akane until September 17.

Akane, who joined the ICC bench in 2018 and became president in 2024, has been a prominent defender of the court’s judicial independence during its confrontation with Washington. She has argued that political or economic pressure cannot determine how judges interpret the Rome Statute or decide cases.

Seye is a Senegalese lawyer serving in the Office of the Prosecutor. His designation places additional pressure on the prosecutorial structure responsible for investigating alleged crimes connected with the war in Gaza. The sanctions bring the number of ICC judges and prosecutors targeted by Washington since Trump returned to office to at least 13, following successive measures imposed through 2025.

The dispute centres heavily on the ICC’s Palestine investigation. Judges issued arrest warrants on November 21, 2024, for Israeli Prime Minister Benjamin Netanyahu and then defence minister Yoav Gallant over alleged war crimes and crimes against humanity. Israel rejects the allegations and disputes the court’s authority over its nationals.

Washington takes the same jurisdictional position, stressing that neither the United States nor Israel has joined the Rome Statute. The ICC maintains that membership is not the only basis for jurisdiction. Palestine acceded to the statute in 2015 and accepted the court’s jurisdiction over alleged crimes committed on its territory, giving prosecutors a legal basis to investigate conduct there regardless of the nationality of an alleged perpetrator.

That disagreement has developed into a broader struggle over the reach of international criminal justice. The United States has also objected to the ICC’s earlier Afghanistan investigation, which examined alleged abuses involving US military and intelligence personnel. Trump’s executive order describes ICC action against non-consenting states as an extraordinary threat to US national security and foreign policy.

The court and its supporters counter that allowing nationality alone to shield people from prosecution for offences allegedly committed on the territory of a member state would severely restrict the Rome Statute. The ICC was created as a court of last resort to prosecute genocide, crimes against humanity, war crimes and, under defined circumstances, aggression when national judicial systems cannot or will not genuinely pursue cases. It currently has 125 states parties.

The sanctions campaign has also moved into US courts. Three ICC judges filed a lawsuit against the Trump administration in Manhattan in June, arguing that sanctions imposed on them exceeded presidential authority and were intended to coerce judicial decision-making. They described restrictions on banking, commercial services and personal transactions as punishment for carrying out their judicial functions.

Baidu revenue slips as ad weakness eclipses AI growth

Baidu’s second-quarter revenue fell short of market expectations as a steep decline in its search advertising business outweighed strong growth in artificial intelligence cloud infrastructure, highlighting the cost and complexity of the company’s transition towards an AI-led business model.

Revenue for the three months ended June fell 4% from a year earlier to 31.33 billion yuan, or about $4.62 billion, compared with market expectations of roughly 31.96 billion yuan. The results sent Baidu’s US-listed shares sharply lower on Tuesday as investors weighed continued weakness in its traditional cash-generating operations against rapid expansion in AI services.

Online marketing services revenue dropped 19% year on year to 13.1 billion yuan. The decline reflected softer advertising demand as businesses remained cautious about marketing expenditure amid prolonged weakness in the property sector and restrained consumer spending.

The advertising contraction overshadowed continued growth in Baidu’s AI-powered operations. Revenue from its Core AI-powered Business rose 25% to 12.5 billion yuan and accounted for half of Baidu General Business revenue during the quarter.

AI Cloud Infrastructure revenue climbed 50% to 7.3 billion yuan, supported by rising demand from companies adopting generative AI applications and seeking access to computing infrastructure. Revenue from GPU Cloud services surged 283%, accelerating from growth of 184% in the first quarter.

The figures nevertheless showed some sequential moderation. AI Cloud Infrastructure revenue declined from 8.8 billion yuan in the March quarter, while total Core AI-powered Business revenue slipped 8% quarter on quarter from 13.6 billion yuan.

Baidu is seeking to convince investors that the rapid expansion of its AI operations can eventually offset structural pressure on search advertising. Chief executive Robin Li told analysts that sustained investment in technology, applications and talent would remain central to the company’s strategy as it works to strengthen its position in China’s increasingly competitive AI market.

Competition has intensified as Alibaba, ByteDance, Tencent and AI start-ups including Moonshot AI roll out new foundation models and applications. Baidu was among the earliest major technology groups in China to launch a ChatGPT-style product through its Ernie platform, but rivals have narrowed the gap as successive generations of models have entered the market.

Li said Baidu intended to return Ernie to the frontier of artificial intelligence development, signalling renewed emphasis on improving its foundation-model capabilities. The company has increasingly sought to commercialise AI through cloud computing, enterprise applications, marketing services and autonomous driving rather than relying primarily on consumer chatbot adoption.

Revenue from AI Applications increased 3% to 2.5 billion yuan during the quarter. AI-native marketing services generated 2.6 billion yuan, little changed from a year earlier. Baidu said artificial intelligence features were gaining broader usage across products including Baidu Wenku and Baidu Drive.

The shift is requiring substantial spending on computing infrastructure and personnel, creating pressure on profitability even as AI revenue expands. Research and development expenses stood at 4.6 billion yuan during the quarter, 5% higher than in the previous three months, although they were 10% lower year on year.

Net income attributable to Baidu fell to 2.32 billion yuan from 7.32 billion yuan a year earlier. Diluted earnings per American depositary share were 5.74 yuan, while adjusted diluted earnings came to 7.22 yuan.

Operating income was 3.02 billion yuan, producing an operating margin of 10%. Adjusted operating income reached 3.8 billion yuan, with an adjusted margin of 12%. Baidu generated operating cash flow of 3.4 billion yuan and ended June with cash and investments totalling 283.1 billion yuan.

The company’s broader business also continues to contend with weakness at video-streaming platform iQIYI. Revenue from iQIYI fell 5% year on year to 6.3 billion yuan. Baidu General Business revenue declined 4% to 25.2 billion yuan.

Its autonomous-driving operation, Apollo Go, is meanwhile expanding beyond China. The service has begun open-road testing in London through partnerships involving Uber and Lyft and launched fully driverless commercial operations in Dubai. It has also secured permits for fully driverless testing in Hong Kong and conducted road testing in Switzerland.

India prepares first Arctic cargo voyage to Russia

India is preparing to send its first cargo vessel through Russia’s Northern Sea Route in 2027, opening a new maritime option that could deepen commercial links with Moscow while testing the economics and operational risks of Arctic shipping.

The plan has emerged from talks between New Delhi and Russia’s Arkhangelsk region over the commercial potential of the route. Arkhangelsk, on the Northern Dvina River near the White Sea, is an established cargo and industrial centre and is increasingly being positioned as a western gateway for traffic moving through Russia’s Arctic waters.

The Northern Sea Route, or NSR, runs for roughly 5,600 km along Russia’s northern coastline between the Barents Sea region and the Bering Strait. It can provide a significantly shorter connection between parts of Europe and Asia than routes through the Suez Canal, although the commercial advantage varies sharply depending on a ship’s origin, destination, season, cargo and ice conditions.

For India, the proposed voyage would be significant because New Delhi and Moscow have spent several years examining alternatives to established trade corridors. Their July 2024 summit declaration formally backed cooperation in developing shipping between the two countries through the Northern Sea Route, while the issue remained part of bilateral discussions during the Russia-India annual summit in December 2025.

Interest has grown as Russia expands Arctic infrastructure and seeks to increase the NSR’s role in international commerce. Transit cargo on the route reached a record 3.2 million tonnes in 2025, while the number of container transit voyages rose to 24 from 14 a year earlier. The total number of voyages along the route climbed 14% to 1,521. Russia also operates a large nuclear-powered icebreaker fleet to support navigation through difficult conditions.

The commercial attraction lies principally in distance and time. A China-Europe container transit through the NSR in 2025 took about 20 days, compared with around 40 days using the longer southern route. Such savings, however, cannot automatically be applied to India-Russia trade because geography is less favourable for some cargo movements originating from ports in the Arabian Sea or along India’s western coast.

A pilot voyage would therefore allow shippers to test actual freight costs, insurance charges, ice-class requirements, port handling, navigation support and seasonal reliability before considering regular services. Thick Arctic ice still restricts much of the route for long periods, and conventional vessels may require icebreaker assistance or specialised hull specifications.

Studies of Arctic shipping also caution that shorter distance does not always translate into proportionate savings. Lower operating speeds, weather constraints, sea-ice diversion, higher insurance premiums and specialised vessel requirements can erode some of the theoretical cost advantage over Suez. Environmental risks are also greater in remote Arctic waters, where oil spills, mechanical failures and rescue operations can be more difficult to manage.

Russia nevertheless continues to accelerate use of the corridor. During the 2026 navigation season, crude shipments towards Asia began at a faster pace than the previous year, while additional domestically built Arc7 ice-class LNG carriers entered service. These ships are designed to operate in severe Arctic conditions and can move through ice that would stop ordinary commercial vessels.

China’s expanding role is another factor shaping India’s calculations. Russia and China have developed container links across the NSR, and a roadmap envisages increasing bilateral cargo traffic on the route to 20 million tonnes by 2030. Regularised Arctic services between Chinese and European ports are also demonstrating that container traffic can move through the corridor during favourable navigation periods.

For New Delhi, the Arctic route would complement rather than immediately replace established maritime corridors. India is already pursuing the International North-South Transport Corridor through Iran and the Caspian region, while the Chennai-Vladivostok maritime corridor has been promoted as another link with Russia’s Far East.

Arkhangelsk could become particularly relevant if cargo arriving through Arctic waters can connect efficiently with Russia’s rail and inland logistics network. Its location gives Russia a potential distribution point for goods moving between the NSR, European Russia and neighbouring markets.

Delhi Police defends force as court orders scrutiny

Delhi Police has rejected allegations that excessive force was used against student protesters at Jantar Mantar, telling the Supreme Court that officers exercised restraint while confronting a crowd that attempted to march towards Parliament on July 20. The court, however, has decided to constitute a high-powered committee to examine competing allegations of violence by police personnel and protesters.

The police defence was presented in a counter-affidavit as the Supreme Court considered a batch of petitions seeking an independent investigation into the handling of demonstrations linked to protests over examination paper leaks. Police said the proposed march towards Parliament had no permission and described the attempt to proceed beyond the designated protest area as unlawful.

Police estimated that more than 30,000 protesters were present around Jantar Mantar and adjoining areas, spread across roughly three kilometres, while about 5,000 police personnel had been deployed to manage the gathering. The affidavit said sections of the crowd breached barricades and the situation deteriorated as demonstrators attempted to advance towards Parliament.

Authorities maintained that force was applied in stages and only after attempts at crowd control failed. They disputed allegations that their response amounted to indiscriminate violence, arguing that photographs and video clips cited by petitioners presented an incomplete account of the confrontation.

The police also alleged that anti-social elements and people with criminal records had entered the demonstration and contributed to violence. More than 240 police and security personnel were injured, the affidavit said, while around 200 protesters and other members of the public suffered injuries. The figures presented to the court are higher than some initial assessments issued immediately after the July 20 confrontation.

Petitioners have offered a sharply different account. They have alleged indiscriminate baton charges, use of tear gas, electronic batons and projectile weapons against demonstrators, many of whom were students. One of the petitions specifically challenges the alleged use of pellet guns for civilian crowd control.

The Supreme Court had already found that the allegations disclosed a prima facie case warranting an independent and impartial examination. Material placed before the court included claims that students sustained pellet and rubber-bullet injuries, that one person suffered serious damage to his eyesight and that journalists and other civilians were assaulted. The court has also taken note of allegations that protesters attacked police personnel with stones and other objects.

A bench comprising Chief Justice Surya Kant and Justices Joymalya Bagchi and V Mohana has sought to keep scrutiny focused on both sides of the confrontation. Earlier proceedings produced the court's observation that neither a police officer who used excessive force nor a criminal posing as a student protester should receive protection.

The court had previously directed authorities to preserve CCTV recordings, drone footage, body-camera recordings, police wireless communications and other evidence connected with the demonstrations. It also ordered protection of protesters' personal and digital information and directed that children below 18 without criminal antecedents who had been detained or arrested in connection with the protests be released.

The July 20 confrontation developed after protesters participating in the youth-led movement gathered at Jantar Mantar and attempted to march towards Parliament. The campaign had grown around anger over examination irregularities and demands for greater accountability in the education system. Police used batons and tear gas as demonstrators pushed towards restricted areas, while protesters accused the authorities of attempting to suppress a largely student-driven movement.

The dispute has consequently moved beyond the question of whether police were entitled to stop an unauthorised march. The proceedings now centre on whether the methods employed were proportionate to the threat faced and whether individual officers or protesters crossed legal limits.

Delhi University suspends scholar after professor assault

Delhi University has suspended a Faculty of Law PhD scholar and barred him from its premises after he allegedly assaulted a professor inside a campus building, prompting a police case and an independent university inquiry.

Shubham Singh, 31, was suspended with immediate effect following the incident at Umang Bhawan at about 10.30 am on Monday, August 17. The scholar, admitted to the Faculty of Law during the 2024-25 academic session, has also been prohibited from entering university premises while disciplinary proceedings are under way.

The professor has been identified as Anupam Jha, a Faculty of Law teacher who has served at the university for 23 years. CCTV footage of the episode shows a man waiting near the entrance before approaching the professor. The footage circulating online appears to show the confrontation developing rapidly, with others nearby attempting to intervene.

Delhi Police have registered an FIR at Maurice Nagar police station and begun an investigation. The university has separately constituted a three-member committee to establish the circumstances surrounding the confrontation and recommend further action. The committee is headed by chemistry professor Rajeev Gupta and includes professors Vipul Singh and Sudha Singh.

Jha has said he suffered an injury to his elbow and bruising to his hand during the episode. He said Singh was not his student and that interaction between them had been limited. Jha linked the dispute to an earlier encounter following Singh's PhD admission process, saying the scholar had confronted him in July 2025 over questions asked during an admission interview.

Singh has presented a different account of the background to the confrontation. He described his actions as stemming from accumulated frustration connected with the PhD interview process and questions raised during his admission attempts. Singh completed his LLB in 2020 and LLM in 2024 before enrolling for doctoral research at the Faculty of Law.

The scholar said his proposed research concerned the continuation of colonial-era approaches to relations between the state and religion. He said questions during the admission process about terminology used in the proposal had remained a source of dissatisfaction. The university inquiry is expected to examine these claims alongside CCTV material, accounts from those present and other evidence surrounding the alleged assault.

The disciplinary order was issued by the Office of the Proctor under provisions governing student conduct. University Proctor Manoj Kumar Singh confirmed that an inquiry had been ordered after the institution received CCTV footage relating to the incident. The entry ban was imposed under Ordinance XV-B, which provides the university with disciplinary powers in cases involving student misconduct.

The episode has intensified concern among Delhi University teachers over safety on campus. The Democratic Teachers' Front said suspending the scholar did not by itself adequately address the seriousness of the incident and called for swift disciplinary measures as well as enforceable safeguards to protect teachers from violence, intimidation and abuse.

The teachers' organisation said the assault should not be viewed as an isolated episode. It referred to another case in which Faculty of Law teachers were allegedly subjected to verbal abuse and argued that repeated incidents were undermining confidence among faculty members that threats or attacks would bring sufficiently strong institutional action.

Faculty groups have also pointed to an October 2025 confrontation at Dr Bhim Rao Ambedkar College, affiliated with Delhi University, where Delhi University Students' Union joint secretary Deepika Jha was accused of slapping professor Sujit Kumar during a dispute. That incident was recorded on video and triggered protests by teachers as well as a university-level investigation.

Delhi University later imposed disciplinary action against Deepika Jha, while the episode remained a reference point for faculty organisations pressing the administration to adopt a firmer response to physical confrontations involving teachers. The Democratic Teachers' Front has now sought clear preventive measures and faster action whenever faculty members face violence or threats.

Pant becomes first India batter with 100 Test sixes

Rishabh Pant became the first player from India to hit 100 sixes in Test cricket on Tuesday, adding a world pace record to the landmark during the opening Test against Sri Lanka at Galle.

The wicketkeeper-batter reached three figures for career Test sixes when he launched fast bowler Lahiru Kumara over the boundary during India’s second innings on the fourth day. The stroke also completed Pant’s 20th Test half-century and underlined his position as one of the most aggressive batters in the longer format.

Pant reached 100 sixes in his 89th Test innings, comfortably the quickest any batter has attained the milestone. Adam Gilchrist had previously required 130 innings, while Ben Stokes took 151 and Brendon McCullum 170.

The 28-year-old also became only the fourth player to reach 100 Test sixes. Stokes leads the all-time list with 138, followed by former New Zealand captain McCullum with 107. Pant moved alongside former Australia wicketkeeper Gilchrist on 100.

Pant had entered the Galle Test with 97 sixes from 50 matches. He struck one maximum during his first-innings 39, taking him to 98, before clearing the ropes twice in the second innings to become the first player from India to reach the century mark.

Virender Sehwag and Rohit Sharma had previously set the benchmark among players from India with 91 Test sixes each. Pant has passed them despite playing significantly fewer matches, reflecting the unusually high frequency with which he has attacked the boundary during his Test career.

His milestone six came during an important phase of India’s second innings. Pant walked in with the score at 81 for three after captain Shubman Gill was dismissed, with India seeking to build on a first-innings advantage of 178 runs.

Pant was initially measured, waiting until his 13th delivery for his first boundary. He then accelerated sharply. A powerful six off Kumara sent the ball out of the ground and forced a replacement before Pant targeted the Sri Lanka attack more aggressively as India sought to stretch the lead beyond manageable proportions.

The landmark arrived when Pant again attacked Kumara. His fifty came from 53 balls, with the six taking his career tally to 100. He continued to score quickly and was eventually dismissed for 66 from 69 deliveries, an innings that contained a succession of unconventional attacking strokes.

Pant’s contribution strengthened India’s already commanding position after the tourists had controlled much of the match. India made 462 in their first innings, built around Devdutt Padikkal’s maiden Test century. Padikkal scored 167, while KL Rahul contributed 82 and Dhruv Jurel made 51.

Sri Lanka responded with 284 despite a century from Sonal Dinusha and 80 from Niroshan Dickwella. Left-arm spinners Manav Suthar and Ravindra Jadeja shared seven wickets, giving India a sizeable advantage before their second innings began.

Pant’s achievement adds another distinctive record to a Test career defined by high-risk batting in demanding situations. Since making his debut against England at Nottingham in 2018, he has established himself as a rare wicketkeeper capable of changing the course of Test matches through sustained attacking play.

His six-hitting rate is particularly striking because Test cricket traditionally offers fewer opportunities for sustained power hitting than limited-overs formats. Pant required 4,918 deliveries faced to reach 100 sixes, substantially fewer than the other players to have achieved the landmark.

Gilchrist needed 6,578 deliveries to complete his century of sixes, while Stokes required 9,042 and McCullum 9,756. Pant’s numbers therefore reflect not simply longevity but the frequency with which he has used the aerial route throughout his career.

FIFA loses senior executive after Infantino commercial revolt

FIFA has confirmed the departure of Chief Operating Officer Kevin Lamour, deepening the fallout from President Gianni Infantino’s abandoned attempt to bring private investors into the governing body’s tournament business. Lamour left on 17 August, little more than two weeks after publicly accusing FIFA’s leadership of keeping staff in the dark over the proposal.

The governing body said its working relationship with Lamour had ended and thanked him for his service, without giving a reason for the separation. FIFA declined further comment. Lamour had been among its most senior executives and oversaw several divisions from the organisation’s headquarters in Zurich.

His departure follows an extraordinary internal dispute over Infantino’s plan to establish a commercial subsidiary encompassing some of FIFA’s most valuable tournament assets, including the men’s and women’s World Cups and Club World Cup competitions. The proposed company carried an implied valuation of $20 billion and was intended to raise as much as $4.2 billion in outside capital.

The structure would have opened up to 20 per cent of the venture to private investors. FIFA argued that the proceeds could significantly expand funding available to its 211 member associations and that any net benefits from the initiative would be reinvested in football. The proposal nevertheless triggered resistance over control of the World Cup’s commercial assets and the extent to which key stakeholders had been consulted.

Lamour broke publicly with Infantino at the end of July, saying employees had been deceived over how the project had developed. He described it as the initiative of one person and argued that FIFA existed to serve football rather than the interests of an individual. He also made clear that he understood his intervention could cost him his position.

His challenge carried added significance because of his long association with Infantino. Lamour previously worked at UEFA, joining the European governing body in 2007 and eventually becoming deputy general secretary. He also belonged to the circle that supported Infantino during his successful campaign for the FIFA presidency in 2016. FIFA appointed him Chief Operating Officer on 1 November 2024.

The confrontation widened when Carlos Cordeiro, a senior adviser to Infantino and former president of the US Soccer Federation, resigned while opposing the commercial venture. Cordeiro described the proposed arrangement as damaging to football, adding another prominent internal voice to objections already emerging across the sport.

Opposition also developed among major confederations and club organisations concerned about governance, consultation and control of FIFA competitions. European clubs threatened action over the proposal, while football authorities across Europe, Asia and North and Central America challenged the initiative. Faced with escalating resistance, Infantino abandoned the plan at the beginning of August.

The collapse transformed what began as a debate about financing into a wider test of Infantino’s leadership. Critics have questioned the concentration of decision-making around the president, while his supporters have pointed to FIFA’s increased revenues, expanded tournaments and greater development distributions during his decade in office.

The dispute has particular importance ahead of FIFA’s next presidential election. Infantino announced in April that he intends to seek another term in 2027. The election is scheduled for 18 March at the FIFA Congress in Rabat, Morocco, with the successful candidate due to serve the 2027-2031 term.

Lamour’s exit removes one of the highest-ranking officials to challenge Infantino openly, but it does not erase the governance questions generated by the failed commercial project. FIFA’s tournament portfolio has become increasingly valuable as the organisation expands both the number and scale of its competitions, making decisions over ownership, commercial rights and outside capital especially sensitive.

Iran shifts war posture as US truce lapses

Iran has threatened to move to a fully offensive military posture against the United States after efforts to secure a permanent end to their war stalled, raising the prospect of renewed attacks around the Strait of Hormuz and across the Gulf. Washington has ruled out extending the temporary ceasefire framework that expired on August 17.

A senior Iranian official said Tehran was prepared to conduct precise military strikes aimed at breaking the US naval blockade if diplomacy failed to produce an agreement. The warning marks a significant escalation in Iranian rhetoric after weeks in which intermediaries sought to keep negotiations alive despite deep disagreements over sanctions, maritime access and the terms governing traffic through Hormuz.

The immediate diplomatic crisis centres on a memorandum of understanding signed on June 17 that established a 60-day period for the two countries to negotiate a broader settlement. The framework was intended to terminate military operations and create a pathway towards resolving disputes over Iran's nuclear programme, US sanctions and access to the Strait of Hormuz. The arrangement soon began to unravel as Washington and Tehran offered sharply different interpretations of their obligations.

Iran has maintained that the United States failed to fulfil commitments made under the interim arrangement and has demanded sanctions relief and changes to the naval blockade before accepting a lasting settlement. Washington has rejected Tehran's interpretation and has continued to insist on guarantees covering maritime passage and Iran's nuclear activities.

The breakdown leaves the Strait of Hormuz at the centre of the military and economic confrontation. The narrow waterway between Iran and Oman was a route for about a fifth of internationally traded oil and liquefied natural gas before the conflict disrupted shipping. Any intensified campaign against commercial vessels or US naval forces could sharply increase insurance costs, reduce tanker traffic and place further pressure on global energy markets.

Oil prices have already reflected growing fears that negotiations may fail. Brent crude moved above $90 a barrel on Tuesday as traders assessed the possibility of prolonged disruption to Gulf supplies, adding to concerns about inflation and economic growth. Shipping activity through Hormuz has remained heavily constrained compared with normal levels.

The confrontation is also placing Oman in an increasingly difficult position. Muscat has maintained contacts with Tehran and has been involved in efforts concerning shipping through the strait, while remaining a longstanding security partner of Washington. President Donald Trump sharply criticised Oman's approach on Monday and suggested the United States could take military action if Muscat obstructed Washington's attempts to reopen the waterway.

Those comments add another complication to a diplomatic process already relying heavily on intermediaries. Pakistan and Qatar have participated in indirect contacts, while European governments have explored ways of encouraging dialogue. Austria and Greece have also become involved in diplomatic exchanges as concerns about energy security, maritime trade and the risk of a wider regional confrontation spread beyond the Gulf.

Channels between Washington and powerful elements within Iran nevertheless appear to remain open. The Trump administration has sought indirect communication with the Islamic Revolutionary Guard Corps, whose influence over Iran's military and security policy has expanded during the conflict. Contacts involving intermediaries have included efforts to communicate with IRGC commander Ahmad Vahidi, indicating that both sides are maintaining options for diplomacy despite their increasingly confrontational public positions.

Iran's internal military structure has also been shifting towards preparations for a prolonged confrontation. Changes within the security establishment have strengthened figures associated with the Revolutionary Guards and placed greater emphasis on deterrence and offensive capability. Tehran's warning that it could abandon a defensive posture therefore comes against a broader effort to prepare its armed forces for an extended conflict rather than a short-lived exchange of strikes.

Washington, meanwhile, continues to link any durable settlement to reopening the Strait of Hormuz and addressing Iran's nuclear programme. Trump had previously suspended planned attacks after signs of diplomatic progress, but the expiration of the 60-day negotiating period has removed one of the few formal constraints separating negotiations from another major round of military operations.

Rocket Lab wins key role in Space Force satellite

Rocket Lab has been selected by Viasat to build the spacecraft bus for a new U. S. Space Force anti-jamming communications satellite, strengthening the company’s position as a supplier of complete spacecraft for national security missions.

The spacecraft will use Rocket Lab’s Lightning-GEO platform and carry a Viasat dual-band X/Ka-band communications payload. It forms part of the Protected Tactical SATCOM-Global programme, or PTS-G, which is designed to provide secure communications to U. S. and allied forces when hostile electronic warfare threatens conventional satellite links.

Viasat is the prime contractor for the satellite and will oversee the overall system, payload, ground infrastructure and operational support. The company was selected by Space Systems Command for one of the first operational spacecraft under the programme’s Swarm 1 phase. The Space Force awarded Viasat and Intelsat contracts totalling $437.7 million for the first two operational PTS-G satellites.

Rocket Lab’s role moves the company further beyond its origins as a small-launch provider. It will supply a geosynchronous version of Lightning incorporating internally produced subsystems including tracking, telemetry and command radios, solar-power equipment, star trackers, reaction wheels and flight and ground software.

The configuration reflects Rocket Lab’s strategy of controlling a growing proportion of spacecraft production rather than supplying isolated components. Vertical integration gives the company greater control over schedules, costs and hardware compatibility, an increasingly important consideration as defence agencies push contractors to shorten satellite development cycles.

The PTS-G spacecraft are intended to be smaller and more manoeuvrable than traditional military satellites operating in geosynchronous orbit. Rather than relying on a limited number of large spacecraft, the Space Force wants a more distributed communications architecture that can respond more rapidly to operational demands and remain effective during attempts to disrupt satellite links.

Anti-jamming has become a central requirement as military forces increasingly depend on satellite communications for command, intelligence and battlefield coordination. PTS-G will use the Protected Tactical Waveform alongside other waveforms to maintain connectivity in contested environments, while its X-band and military Ka-band payloads will support existing users as newer protected terminals and systems are introduced.

Viasat’s spacecraft architecture draws on technology developed for its commercial ViaSat-3 programme, illustrating the Space Force’s wider effort to adapt commercial satellite designs for military missions. The approach is intended to reduce development costs and accelerate deployment compared with traditional programmes built almost entirely around specialised government hardware.

The Swarm 1 order covers spacecraft manufacturing, integration and testing, launch and on-orbit checkout. Viasat’s award also includes five years of operations and sustainment, covering tracking, telemetry and command, network operations and cybersecurity. Initial operating capability for the wider programme is targeted no earlier than 2029, while the first Swarm 1 spacecraft have been expected to begin launching from 2028.

For Rocket Lab, the Viasat selection adds another major defence spacecraft programme to a portfolio that has expanded rapidly from launch services into satellite manufacturing, components and mission systems. Its spacecraft operations now encompass buses, solar systems, reaction wheels, radios, flight software and other technologies that can be combined into integrated platforms.

Lightning is designed for missions requiring comparatively high power and substantial payload capacity. A GEO adaptation expands its potential market beyond lower-orbit constellations and demonstrates Rocket Lab’s intention to compete for spacecraft that traditionally have been supplied by larger aerospace contractors.

The PTS-G programme itself has a contract ceiling of up to $4 billion across participating companies. Five contractors — Viasat, Intelsat, Boeing, Northrop Grumman and Astranis — were initially chosen to develop competing concepts before the programme moved towards operational spacecraft procurement.

Competition is expected to remain central as the Space Force builds the constellation in successive groups rather than relying on a single spacecraft manufacturer. That approach gives the service scope to introduce new technologies more quickly, spread production among suppliers and avoid dependence on one satellite design.

Lala deluge exposes El Niño’s split hurricane season

Hurricane Lala has delivered an extraordinary rainfall assault on Hawaii while an intensifying El Niño suppresses tropical cyclone development across the Atlantic, creating a striking divide between the two ocean basins at the height of the Northern Hemisphere hurricane season.

Laupahoehoe on Hawaii’s Big Island recorded 43.54 inches, or about 1.1 metres, of rain as Lala’s moisture-laden circulation encountered the island’s steep volcanic terrain. The preliminary total far exceeded forecasts that had initially placed maximum rainfall near 25 inches and ranks among the most extreme rainfall amounts associated with a US tropical cyclone.

Lala became a Category 1 hurricane on August 15, reaching maximum sustained winds of 75 mph as it passed close to the southern end of the Big Island. It did not make landfall, subsequently weakening back to tropical-storm strength, but its outer circulation produced hurricane-force conditions in exposed locations. A gust of 140 mph was measured on Mauna Kea, where elevation sharply amplified wind speeds.

Flooding was particularly destructive across Hawaii Island. About 100 homes were swept from their foundations, roads and bridges were damaged or washed out and several communities were temporarily isolated. One storm-related death has been confirmed, involving a 90-year-old woman found in Naalehu. Power failures affected well above 100,000 customers after the storm crossed the island chain, while outages at one stage exceeded 200,000 on Oahu.

The severity of the rain reflects more than Lala’s wind category. Tropical cyclone rainfall depends heavily on atmospheric moisture, storm movement and terrain, meaning a Category 1 hurricane can generate catastrophic flooding even without a direct landfall. Moist easterly airflow rising over the Big Island’s mountains enhanced condensation and repeatedly focused intense precipitation onto windward slopes.

The Pacific conditions surrounding Lala are unfolding alongside a strengthening El Niño, which is producing almost opposite effects across the world’s two principal Northern Hemisphere hurricane basins.

El Niño develops when waters across the central and eastern equatorial Pacific become unusually warm and atmospheric circulation changes in response. Those changes can create conditions more supportive of tropical cyclones across parts of the eastern and central Pacific, while strengthening upper-level winds across the tropical Atlantic.

That Atlantic wind shear can tilt developing storms, separate thunderstorms from their low-level circulation and prevent tropical disturbances from organising into hurricanes. El Niño therefore tends to reduce Atlantic hurricane activity even when ocean temperatures remain sufficiently warm to support storms.

The contrast is unusually visible this week. As of August 18, there are no active tropical cyclones anywhere in the Atlantic, and tropical cyclone formation is not expected there during the next seven days. The season has nevertheless produced three named storms — Arthur, Bertha and Cristobal — meaning the current count of zero describes active systems rather than total seasonal activity.

Atlantic activity is running far below normal as the basin enters the period when hurricane formation traditionally accelerates. Updated seasonal projections put the probability of a below-normal Atlantic season at 75%, with seven to 13 named storms, two to six hurricanes and no more than two major hurricanes expected across the full season. Accumulated Cyclone Energy, a measure combining storm strength and duration, has also remained unusually low.

Confidence that El Niño will become exceptionally strong has increased sharply. Climate forecasters now place the probability of a very strong El Niño during the Northern Hemisphere autumn and winter above 90%, with a 69% chance that its strength during October to December could reach levels rarely observed since systematic records began in 1950.

The Pacific side of the equation does not mean every storm will strengthen or strike populated territory. Individual hurricanes remain governed by local sea temperatures, atmospheric moisture, wind shear and steering currents. Hawaii is also a relatively small target within the central Pacific, making direct hurricane encounters uncommon.

Gold rally faces test as yields climb

Gold’s two-week advance faced resistance on Tuesday as rising US Treasury yields and firmer oil prices challenged a recovery that has carried bullion back towards $4,400 an ounce.

Spot gold slipped about 0.4% to $4,397 an ounce during August 18 trading, after gaining roughly 0.9% on Monday. The metal finished the week ended August 14 near $4,376, up about 0.7%, extending its weekly winning run to two. US gold futures for December delivery were also lower, trading around $4,453 an ounce.

The immediate outlook remains finely balanced. Gold has recovered sharply from levels near $4,000 earlier this month, helped by a weaker dollar, softer US economic data and diminishing expectations that the Federal Reserve will raise interest rates again at its September meeting. Those forces remain supportive, but higher bond yields and the renewed rise in crude oil are limiting the scope for an uninterrupted rally.

The 10-year Treasury yield has moved higher as investors reassess inflation risks linked to escalating Middle East tensions and stronger energy prices. Higher yields normally weigh on bullion because gold pays no interest, increasing the relative attraction of government debt. Oil above $90 a barrel has complicated the picture by raising the possibility that persistent energy costs could keep inflation elevated and restrict the Federal Reserve’s ability to adopt a softer policy stance.

Traders are consequently focusing on the Federal Reserve’s July meeting minutes, due on Wednesday, for clues about how policymakers view the balance between slowing economic activity and inflation. The Fed kept its benchmark rate at 3.50%-3.75% at that meeting, although three officials favoured an increase. Weaker July employment figures, subdued consumer inflation and softer retail sales have since reduced expectations of another immediate tightening move. Markets now assign roughly a 65% probability to rates being left unchanged in September.

The dollar has also provided a significant tailwind. It has traded near multi-month lows against several major currencies as expectations for further US rate increases have faded. A cheaper dollar makes bullion less expensive for buyers using other currencies and has helped gold recover about 9% during August.

Technical conditions suggest that the rally could continue, but traders are approaching important resistance. Immediate support is emerging around $4,380, with a break below that zone potentially exposing $4,350 and then the $4,300 region. On the upside, sustained trading above $4,420-$4,450 would strengthen the case for another move towards the closely watched 200-day moving average near $4,504. Gold’s rapid August rebound has, however, pushed some momentum indicators towards levels where profit-taking becomes more likely.

Investment demand has begun to improve after weakening earlier in the year. Gold-backed exchange-traded funds attracted about $3 billion globally during July, adding roughly 23 tonnes and lifting combined holdings to about 4,068 tonnes. European funds accounted for the largest share of the inflows, while Asian investment remained positive and North American demand was comparatively subdued.

Central-bank purchases continue to provide underlying support, although buying slowed substantially during the first half of 2026. Official-sector and sovereign wealth fund acquisitions totalled about 345 tonnes during that period, the lowest first-half level since 2022. The slowdown has weakened one of gold’s strongest structural supports, making investment flows and monetary policy expectations increasingly important for the next leg of the market.

Longer-term forecasts remain broadly constructive despite the volatility. A July survey of 29 analysts and traders produced a median 2026 gold forecast of $4,509 an ounce, while several major banks have trimmed projections because of higher interest rates. Bank of America lowered its 2026 average estimate to $4,360 but maintained that $5,000 could become achievable once the Federal Reserve’s tightening cycle ends. HSBC expects gold to trade between $3,800 and $4,700 during 2026 and finish the year around $4,750.

Domestic prices are also being influenced by currency weakness. The rupee slipped to around 95.68 against the dollar on Tuesday as elevated oil prices increased pressure on import costs. MCX gold futures traded below ₹1.55 lakh per 10 grams during the session, leaving domestic buyers exposed to the competing effects of international bullion movements and a weaker currency.

China PCB makers accelerate high-end capacity push

Chinese printed circuit board manufacturers are accelerating investment in advanced production capacity as artificial intelligence infrastructure, high-performance computing and optical communications drive demand for increasingly complex and higher-value circuit boards.

Shenzhen MTC and Guangdong Ellington Electronics have unveiled fresh financing and manufacturing plans involving more than 2.7 billion yuan, targeting areas ranging from AI servers and high-speed networking equipment to Mini and Micro LED displays. The projects form part of a wider expansion across China’s PCB industry as manufacturers seek a larger share of the high-end electronics supply chain.

Ellington Electronics plans to raise as much as 2 billion yuan through a private placement of A-shares. About 1.85 billion yuan is earmarked for a high-end smart PCB manufacturing project, while 150 million yuan would supplement working capital. The manufacturing project itself involves planned investment of about 2.98 billion yuan at the company’s existing industrial park in Zhongshan.

The new facility will concentrate on high-layer-count boards and high-density interconnect boards, two increasingly important categories as computing systems require greater data throughput, tighter component integration and more demanding electrical performance.

Target applications include servers, high-speed switches, routers, AI accelerator cards, compute-tray motherboards and telecommunications equipment. Capacity will also be reserved for products used in optical modules, reflecting growing overlap between advanced computing and high-speed data transmission infrastructure.

Once fully operational, Ellington’s project is expected to provide annual capacity of 400,000 square metres of high-end PCBs. That would comprise about 340,000 square metres of high-layer-count boards and 60,000 square metres of higher-tier HDI products. The expansion will involve more advanced processes including multilayer lamination, fine-line patterning, mechanical and laser drilling, wet processing and automated inspection.

Ellington is also extending its strategy upstream. The company has agreed to establish a 100 million yuan investment fund focused on the PCB industrial ecosystem, committing 99.9 million yuan itself. Its investment targets include raw materials, production equipment, specialised consumables, HDI technology, high-frequency and high-speed boards, rigid-flex products and integrated-circuit substrates.

Shenzhen MTC, meanwhile, is advancing a 750 million yuan PCB research, development and manufacturing base in Nanchang through its Jiangxi operations. The facility is designed principally for specialised Mini and Micro LED circuit boards and optical-module boards. Planned monthly production capacity is 100,000 square metres for each category, with commercial production scheduled to begin during the second half of 2027.

The investments come as the competitive race extends well beyond these two manufacturers. Victory Giant Technology, one of the major suppliers of PCBs used in AI computing, is developing another high-end manufacturing facility in Huizhou, Guangdong. The project requires investment of at least 3 billion yuan, including no less than 2 billion yuan in fixed assets, and covers a 100,000-square-metre industrial site.

Victory Giant has benefited sharply from the AI infrastructure cycle. The company generated revenue of 19.3 billion yuan in 2025, an increase of 80%, while net profit climbed to 4.3 billion yuan from 1.2 billion yuan. It ranked first globally by sales in the AI and high-performance computing PCB market during the first half of 2025, with a 13.8% share.

The broader market is expanding alongside spending on data centres. Global PCB industry output is projected to rise 12.5% to $95.8 billion in 2026. High-end boards carry considerably greater value than conventional products because AI servers require denser circuitry, more layers and stronger electrical and thermal performance. High-end AI server PCBs can cost several times more per square metre than standard multilayer boards.

China already occupies the largest position in global PCB manufacturing. Companies based in the country accounted for roughly 34.9% of worldwide output in 2024, worth about $27.95 billion, with growth being propelled increasingly by AI servers, data centres, high-end HDI products and multilayer boards.

OpenMatter pushes cryptographic verification at Belgrade event

OpenMatter Network will use Belgrade Blockchain Week 2026 to promote cryptographic verification as a security layer for artificial intelligence, decentralised computing and scientific collaboration, placing its technology strategy before developers and blockchain infrastructure specialists gathering in Serbia this month.

Chris Biele, the company’s Head of Operations and Partnerships, is scheduled to lead sessions examining how computing systems can move beyond assumption-based trust by producing cryptographic proof of how data is processed and how autonomous software behaves. His programme will cover secure scientific collaboration, agentic AI and what OpenMatter describes as “Verification Architecture”.

The appearance comes as developers confront growing security and accountability questions surrounding AI agents that can independently execute instructions, interact with software services and increasingly initiate financial or digital transactions. OpenMatter is positioning cryptographic verification as a mechanism for demonstrating that an automated system followed predefined rules instead of requiring users or organisations simply to trust the software operator.

Biele is also listed as a speaker at ETH Belgrade, the Ethereum-focused conference being held on August 26 and 27 at the Sava Congress Center as part of Belgrade Blockchain Week. His session is expected to examine infrastructure for verifiable private computation, including zero-knowledge proofs, multi-party computation, decentralised computing and post-quantum cryptography.

OpenMatter’s participation reflects a wider shift within blockchain and AI development towards systems capable of providing independently verifiable evidence of computation. Zero-knowledge technology, for example, can allow one party to prove that a computation or condition is valid without revealing all the underlying information. The technique has gained importance as developers seek stronger privacy and verification models for financial services, digital identity and AI applications.

Agentic AI adds another layer to the challenge. Unlike conventional applications that execute narrowly defined user commands, AI agents can be given objectives and allowed to determine intermediate actions independently. This creates questions over authorisation, auditability and responsibility when agents access data, make decisions or interact with other autonomous systems.

OpenMatter argues that cryptographically verifiable execution could provide organisations with an auditable record showing whether an AI agent acted within permitted boundaries. Its approach focuses on verifying how computation occurred rather than relying solely on conventional authentication or statements from infrastructure providers.

The company has also been working around standards for verifiable AI agent execution alongside organisations associated with decentralised AI and distributed-ledger infrastructure. Those efforts are intended to develop common mechanisms through which autonomous software can demonstrate that instructions were executed under specified conditions.

Scientific collaboration represents another potential application. Research projects increasingly involve large datasets, multiple institutions and computing resources distributed across organisations and jurisdictions. Cryptographic verification could allow participating researchers to validate selected calculations or data-handling procedures without exposing confidential information or transferring complete datasets between institutions.

The concept could be particularly useful where laboratories, universities or commercial research organisations need to establish that data has been processed according to agreed rules. However, deploying such systems at scale involves technical trade-offs involving computation costs, implementation complexity and the need for standards that can operate across different platforms.

Belgrade Blockchain Week brings together blockchain companies, infrastructure developers, investors and decentralised application teams through conferences, workshops and community events across the Serbian capital. OpenMatter Network is listed among participating infrastructure organisations, while ETH Belgrade forms one of the central gatherings within the wider programme.

The 2026 ETH Belgrade agenda also reflects increasing convergence between blockchain technology and autonomous AI. Sessions across the event are expected to address AI agents that control digital wallets, privacy infrastructure, tokenisation, decentralised finance and mechanisms for establishing who authorised machine-generated transactions.

That overlap is creating opportunities for technologies originally developed for blockchain verification to be applied more broadly to artificial intelligence. Distributed ledgers established the principle that independently operated computers can verify agreed state changes without depending on a single trusted authority. Developers are now experimenting with related cryptographic techniques to verify off-chain calculations and AI-driven actions.

CEA urges return of lower ethanol petrol

Chief Economic Adviser V Anantha Nageswaran has called for lower-ethanol petrol such as E10 to be restored alongside E20, arguing that motorists should have a choice while compatibility problems affecting parts of the older vehicle fleet are addressed.

Nageswaran’s intervention marks a significant shift in the debate over the nationwide move to E20, petrol containing 20 per cent ethanol. Writing with Department of Economic Affairs consultant Akash Poojari, he said restoring a lower blend at fuel stations could ease much of the public concern surrounding the transition. The authors made clear that the views expressed were personal.

The proposal comes after E20 became the only petrol blend available nationally from April 1, 2026. The transition forms part of the government’s strategy to reduce dependence on imported crude oil, support domestic ethanol production and lower transport emissions. The government had previously said there was no proposal to return to E0 or E10 petrol.

Nageswaran did not endorse claims that E20 is broadly damaging vehicle engines. Available evidence, including testing and service data, has not established widespread engine failures attributable to the fuel. Automakers have also said extensive testing of older vehicles has failed to show systemic engine damage caused by E20.

The more difficult issue involves older vehicles whose fuel-system components were designed for lower ethanol concentrations. Nageswaran and Poojari estimated that the country has about 75 million to 80 million older two-wheelers, some equipped with rubber seals that were not designed for higher ethanol exposure. Replacing such components across the existing fleet would require an extensive retrofit programme that could take years.

Ethanol can interact differently with some older rubber and polymer components used in fuel systems. The government’s original ethanol roadmap acknowledged that vehicles moving to E20 needed both material compatibility and suitable engine calibration. Testing has nevertheless produced a more nuanced picture, with research finding no broad problems among tested two-wheelers while identifying possible risks to some rubber components and particular engine configurations in E10-designed vehicles.

Fuel economy has become another focus of consumer complaints. E20 contains less energy per litre than conventional petrol because ethanol has lower energy density. Automobile industry representatives have acknowledged that fuel efficiency can fall by roughly 3 per cent to 3.5 per cent in some vehicles, although the effect varies according to engine design, driving conditions and calibration.

Authorities have resisted suggestions that ethanol blending alone explains every mileage complaint. Fuel consumption is affected by vehicle condition, traffic, driving behaviour, tyre pressure and other factors. Oil companies have also rejected claims that ethanol blending inherently causes fuel contamination, while inspections have covered about 90,000 filling stations as concerns over petrol quality intensified.

The controversy has exposed a gap between the rapid pace of ethanol policy and the age profile of the vehicle fleet. E20-compatible passenger vehicles became widely available only in the past few years, while millions of cars and two-wheelers still on the road were designed when E5 or E10 was the prevailing specification. Some older vehicle manuals explicitly recommend lower ethanol concentrations.

Carmakers including Maruti Suzuki, Hero MotoCorp and Toyota Kirloskar Motor have defended E20. Maruti Suzuki has said it serviced more than 15 million older cars over two years without finding ethanol-related problems and tested E10-era vehicles using E20 without identifying significant concerns. Industry officials maintain that normal engines can tolerate the fuel, although ageing components may require inspection or replacement.

The government has strong economic reasons for maintaining ethanol blending. Higher domestic ethanol consumption reduces demand for imported petroleum and creates another market for agricultural feedstocks. The programme reached the 20 per cent blending target years ahead of the original timetable, while policy is already moving towards flex-fuel vehicles capable of operating on blends ranging from E20 to E85 or higher.

Russia battles renewed fuel shortages after refinery strikes

Fuel shortages have returned across parts of Russia as fresh drone strikes on oil refineries disrupt production, forcing regional authorities to tighten petrol sales and Moscow to expand emergency imports.

At least 10 regions are facing renewed pressure on filling-station supplies after conditions had improved towards the end of July. Petrol was unavailable at some stations in the Moscow region on Monday, although diesel remained more widely available. Officials have identified difficulties in Orenburg, Lipetsk, Tver, Krasnodar, Zabaykalsky, Primorsky, Krasnoyarsk, Oryol, Tuva and Khakassia.

Wholesale gasoline volumes have also weakened sharply. Sales on the St Petersburg International Mercantile Exchange have fallen by an average of about 20% since the beginning of August compared with the second half of July, indicating that the disruption extends beyond isolated retail shortages.

The renewed squeeze follows another series of Ukrainian drone attacks against refining infrastructure in late July and August. Several plants have either halted operations or suffered damage requiring prolonged repairs, reducing the ability of oil companies to convert Russia's large crude reserves into petrol and other fuels needed domestically.

One of the most significant disruptions occurred at the Orsknefteorgsintez refinery in the Orenburg region after a drone attack on August 11 caused a fire and damaged processing equipment. The facility, capable of processing about 5.76 million tonnes of crude annually, equivalent to roughly 115,000 barrels a day, subsequently halted processing.

The Gazprom Neftekhim Salavat complex in Bashkortostan was also hit as attacks reached energy facilities far from Ukraine. The refinery is one of Russia's larger oil-processing sites and forms part of a network increasingly exposed to long-range drone operations designed to restrict Moscow's capacity to produce and distribute refined fuels.

Russia's fuel difficulties had already intensified from May as refinery outages coincided with higher seasonal consumption. By July, shortages and controls had spread widely enough for the federal government to introduce measures aimed at keeping additional fuel inside the country. These included restrictions on exports, adjustments to fuel-quality requirements and greater use of imports.

Moscow extended its gasoline export ban until the end of 2026 as it sought to protect domestic availability. Diesel exports have also faced restrictions during periods of acute pressure, highlighting the government's willingness to sacrifice overseas sales when filling stations inside Russia run short.

Imports are now becoming an increasingly important part of the response. Russia has brought gasoline in by rail from Belarus and Kazakhstan while turning to seaborne supplies from Asia. An Oman-flagged tanker carrying about 68,000 tonnes of gasoline originally loaded at Vadinar arrived at the Arctic port of Vitino in early August, with the cargo being transferred to rail for domestic distribution. At least two additional gasoline cargoes are expected at Russian ports during the second half of August.

The unusual import flows underline the consequences of losing refining capacity. Russia remains one of the world's largest oil producers and exporters, but crude availability alone cannot prevent petrol shortages when conversion plants are damaged, undergoing repairs or operating below normal levels.

Authorities initially appeared to have contained the crisis by late July. Restrictions were eased or removed in several regions after supplies were redirected and imports increased. That improvement proved fragile as another sequence of refinery strikes tightened the market again.

Regional responses have varied according to the severity of local shortages. Some authorities have restricted the quantity drivers can purchase, while others have tightened controls over retail pricing or prioritised deliveries to essential users. Orenburg introduced particularly strict controls after the disruption at Orsk, reflecting concern that local supplies could deteriorate while refinery operations remain suspended.

The shortages are also exposing weaknesses in Russia's internal fuel logistics. Refined products often need to be moved over vast distances by pipeline, rail and road, meaning production losses at individual refineries can create shortages hundreds or thousands of kilometres away. Redirecting fuel to one vulnerable territory can consequently reduce availability elsewhere.

The government has said oil companies are increasing deliveries to the areas under greatest pressure. The continuing fall in exchange sales, however, suggests the domestic market remains vulnerable to additional refinery shutdowns at a time when summer travel and agricultural activity are maintaining demand.

Bhagwati Products deepens electronics component manufacturing push

Bhagwati Products will invest Rs 1,015 crore in display manufacturing and precision moulding after securing government approval for two projects aimed at expanding domestic production of critical electronics components.

The Ministry of Electronics and Information Technology has cleared the projects under the Electronics Component Manufacturing Scheme, marking a significant expansion by the Micromax-linked electronics manufacturer beyond large-scale device assembly into component production. The investment comprises Rs 450 crore for display manufacturing and Rs 565 crore for precision moulding.

Display manufacturing will be undertaken through TXD India Technology Private Limited, following Bhagwati Products’ acquisition of a 51% stake in the company. Regulatory approval required under Press Note 3 has also been obtained for the transaction.

The company plans to manufacture mobile phone displays at TXD India’s existing facility in Bawal in Haryana’s Rewari district. Initial production capacity is projected at about 1.5 million display units a month, with plans to raise this to between three million and four million units monthly as demand and operations expand. Automotive displays are expected to become a subsequent area of production.

Precision moulding, which accounts for the larger share of the new investment, will be developed at Bhagwati Products’ Greater Noida facility. The Rs 565-crore project is intended to create in-house capabilities for manufacturing precision components used across electronics products, reducing dependence on externally sourced parts and strengthening the company’s position deeper within the supply chain.

Both projects are scheduled to begin production during 2026. Their commissioning is expected to generate additional manufacturing employment and take Bhagwati Products’ total workforce beyond 10,000 employees.

Co-founder Rahul Sharma said the investments reflected a shift in the country’s electronics sector from assembling finished devices towards creating capabilities across the component value chain. He said display manufacturing and precision moulding were areas where domestic production capacity remained limited and would be important to the broader electronics manufacturing strategy.

The expansion comes as policymakers increasingly focus on raising local value addition after rapid growth in smartphone and electronics assembly. The Electronics Component Manufacturing Scheme is designed to encourage investment in components, sub-assemblies, materials and capital equipment that form the upstream foundations of electronics production.

A tranche of ECMS approvals announced earlier this year covered 29 proposals involving projected investment of Rs 7,104 crore and anticipated production worth Rs 84,515 crore, with more than 14,000 direct jobs expected. Approved categories included display modules, flexible printed circuit boards, capacitors, connectors, lithium-ion cells, inductors and rare-earth permanent magnets.

Bhagwati Products has been scaling rapidly alongside the expansion of electronics contract manufacturing. The company crossed the Rs 17,000-crore revenue milestone in 2026 after revenues climbed from about Rs 620 crore in FY24 to Rs 6,200 crore in FY25. Smartphones remain its largest business, supported by manufacturing capacity of as many as 40 million units annually and production relationships with brands including Vivo, OPPO and Lenovo.

Its strategy has progressively widened beyond smartphone assembly towards design, engineering, components, memory technology and advanced manufacturing. The company has also strengthened product development and engineering through its partnership with electronics original-design manufacturer Huaqin, giving it access to technology and production expertise needed to compete for larger global manufacturing programmes.

The display investment is particularly significant because displays remain among the higher-value assemblies within smartphones and other connected devices. Establishing larger domestic capacity could allow manufacturers to increase locally sourced content while shortening supply chains for high-volume handset production.

Precision moulding similarly supports components requiring tight manufacturing tolerances and consistent quality across large production runs. Such capabilities can serve smartphones as well as consumer electronics, IT hardware and automotive products, giving Bhagwati Products scope to diversify production as its component operations mature.

BRICS sharpens focus on environmental resilience

BRICS is expanding environmental cooperation as member states seek coordinated responses to climate change, biodiversity loss, land degradation, pollution and growing pressure on natural resources.

The grouping has placed sustainability at the centre of its 2026 agenda under India’s presidency, linking environmental policy more closely with energy security, resilient infrastructure, technology and development finance. The official theme, “Building for Resilience, Innovation, Cooperation and Sustainability”, reflects an effort to turn broad climate commitments into practical programmes involving governments, research institutions and development lenders.

Work through the BRICS Environment Working Group and the Contact Group on Climate Change and Sustainable Development has increasingly concentrated on areas where members believe collective action can produce measurable benefits. Circular economy policies, extended producer responsibility, waste management, restoration of degraded land, biodiversity protection and climate resilience are among the priorities being developed through the 2026 process. An action plan on circular economy and extended producer responsibility was presented during working-group discussions in April. ][2])

The approach builds on agreements reached during Brazil’s presidency in 2025, when environment ministers identified plastic pollution and waste, desertification, drought, ecosystem restoration and climate leadership as areas for intensified cooperation. BRICS governments also endorsed a Climate Leadership Agenda aimed at strengthening collective action under the Paris Agreement and broader international climate frameworks.

Environmental policy has gained greater strategic importance for BRICS because the grouping brings together several of the world’s largest economies, major energy producers, rapidly industrialising states and countries containing extensive forests, wetlands and other biodiversity-rich ecosystems. That diversity gives the bloc considerable influence over global climate and conservation negotiations but also creates differences over the pace and cost of decarbonisation.

Energy remains one of the most difficult parts of the equation. BRICS countries agreed in June to strengthen cooperation on energy security, sustainability, innovation, resilient infrastructure and capacity building. Discussions have emphasised diversified energy systems, dependable supply chains, cleaner technologies and the need to balance rising electricity demand with national climate commitments.

The grouping’s environmental strategy increasingly extends beyond emissions reduction. Land degradation and drought have emerged as prominent concerns ahead of the UN Convention to Combat Desertification conference being held in Mongolia from August 17 to 28. Experts involved in BRICS environmental discussions have examined financing for land restoration, support for smaller agricultural producers and mechanisms designed to encourage land-degradation neutrality without creating new trade barriers.

Marine and polar research is another expanding field. BRICS countries are working on a roadmap for cooperation in ocean and polar science, including joint research, technological exchanges and stronger scientific networks. Such cooperation is designed to improve understanding of sea-level rise, changing marine ecosystems, polar processes and biodiversity loss, while providing governments with better evidence for adaptation and resource-management policies.

Cities are also becoming part of the climate agenda. Representatives from BRICS cities meeting in Mumbai this month examined protection of coastal urban centres from sea-level rise, erosion and flooding, along with climate-responsive planning, green infrastructure and sustainable cooling. The discussions reflected growing recognition that environmental resilience will depend heavily on investment decisions made by fast-growing metropolitan regions.

Financing remains a persistent obstacle. Developing economies argue that the scale of investment required for adaptation, clean energy, biodiversity protection and resilient infrastructure cannot be met through public budgets alone. BRICS has therefore sought a larger role for development finance, including the New Development Bank, alongside private capital and innovative financing mechanisms.

Differences among members nevertheless complicate attempts to develop a single environmental position. Their economies have sharply different energy mixes, emissions trajectories and development priorities. Several rely heavily on fossil fuels, while others are seeking faster expansion of renewable power and low-carbon manufacturing. The bloc has also resisted pressure for developing economies to assume climate-finance responsibilities comparable with those historically borne by wealthier countries.

The policy direction under the 2026 presidency points towards deeper coordination rather than uniform national targets. BRICS is concentrating on areas where technology sharing, research, financing and policy exchanges can proceed despite differences over energy and emissions. Circular production systems, climate-resilient agriculture, ecosystem restoration, clean-energy technologies and environmental research are becoming increasingly interconnected within that framework.