Digest for 15 July, 2025
US Threatens Russia with Tariffs, Pledges New Weapons Pipeline for Ukraine
President Donald Trump has threatened Russia with "very severe tariffs" if a peace deal for Ukraine is not reached within 50 days, marking a shift in his stance. The announcement came during a meeting with NATO's chief, where a new plan was also discussed for European allies to purchase US military equipment, including Patriot missiles, and transfer it to Ukraine. The move aims to pressure Moscow to negotiate an end to the war, which has seen escalating civilian casualties.
US Supreme Court Allows Trump Administration to Dismantle Education Department
The US Supreme Court has lifted a lower court's order, clearing the way for President Donald Trump's administration to proceed with dismantling the Department of Education. The move, part of a plan to reduce the federal government's role and give states more control, involves mass layoffs and transferring key functions like the $1.6 trillion student loan portfolio to other agencies. Critics warn this could cripple the department's ability to perform core duties and enforce civil rights in schools.
Jaishankar Meets Xi Jinping in First High-Level Visit Since 2020 Border Clashes
External Affairs Minister S. Jaishankar met with Chinese President Xi Jinping in Beijing, the first such high-level engagement since the 2020 Galwan Valley clashes. The meeting occurred alongside the Shanghai Cooperation Organisation (SCO) Foreign Ministers' meeting. Jaishankar also held detailed talks with his counterpart Wang Yi, emphasizing the need for de-escalation along the border, normalizing exchanges, and avoiding restrictive trade measures. Both sides acknowledged recent progress in stabilizing ties and discussed a "far-seeing approach" to the relationship.
Aviation Regulator Orders Mandatory Checks on Boeing Jets' Fuel Switches
India's Directorate General of Civil Aviation (DGCA) has ordered all airlines to inspect the fuel control switch locking mechanisms on their Boeing 787 and 737 aircraft by July 21. The directive follows a preliminary report on last month's fatal Air India crash, which found the fuel switches were cut off just after takeoff. The issue was flagged in a non-mandatory US FAA bulletin in 2018. The new order makes the checks compulsory, impacting over 150 aircraft in India.
Retail Inflation Eases to a 6-Year Low of 2.1% in June
India's headline retail inflation dropped to 2.1% in June, its lowest level in over six years, according to data from the National Statistics Office (NSO). The significant decline from May's 2.82% is attributed to a favorable base effect and falling prices for key food items like vegetables, pulses, and milk. Wholesale price inflation also entered negative territory. The cooling inflation provides relief to consumers and may influence the Reserve Bank of India's upcoming monetary policy decisions.