Geopolitical Shifts and Political Clashes: U.S. Urges Ukraine to Accept Moscow's Terms, Scholz and Merz Face Off Amid Germany's Economic Struggles, and Musk Proposes Eliminating Federal Agencies

Good Morning,

The Trump administration signaled a major shift in US policy on Ukraine, with Defense Secretary Pete Hegseth declaring NATO membership unrealistic and urging Kyiv to negotiate peace on Moscow’s terms, Chancellor Olaf Scholz accused opposition leader Friedrich Merz of inconsistency, while Merz blamed Scholz’s government for an economic “disaster,” as polls show Merz’s center-right Union bloc leading, the far-right AfD in second, and Scholz’s Social Democrats trailing with little chance of recovery, and Elon Musk, appointed by Trump to lead the Department of Government Efficiency, called for eliminating entire federal agencies to cut costs and bureaucracy, arguing it could reduce the federal deficit by $1 trillion by 2026.

Top Stories

● US defense chief suggests Ukraine should abandon hope of winning all territory back from Russia (AP)

● Moldova's Sandu says two Russian drones exploded on Moldovan soil (Reuters)

● Scholz clashes with Merz over German economy and migration at last parliament meeting before poll (AP)

● Elon Musk calls for the U.S. government to delete entire agencies: ‘Remove the roots of the weed’ (CNBC)

● Israel killed majority of record number of journalists slain in 2024: CPJ (AJ)

United States and Canada

● Former longtime Illinois legislative leader Michael Madigan is convicted in corruption trial (AP)

● ‘Trump effect’: How US tariffs, ’51st state’ threats are shaking up Canada (AJ)

● US sues New York officials over immigration enforcement (Reuters)

● US judge clears the way for tens of thousands of federal workers to take Trump buyout (Reuters)

● House Republicans release budget plan, with trillions in tax and spending cuts (CBS News)

● State Dept. Draws Up List of Cartels to Be Labeled Terrorist Groups (NYT)

Latin America

● Panama vessel registry says it is 'not a haven for sanctions evasion' (Reuters)

● El Salvador’s Congress votes to eliminate public campaign financing (AP)

● El Salvador to house minors convicted of organized crime in adult jails (Reuters)

● Brazil's Lula to meet with agency on Petrobras' bid to drill near mouth of Amazon river (Reuters)

Africa

● Sudan's FM visits Moscow seeking more collaborations with Russia (AN)

● Egypt's President will not attend White House talks if they involve Trump's Gaza plan (AN)

● Attorney says opposition figure detained in Uganda for alleged crimes against the state is unwell (AP)

● Congo Catholic delegation meets rebel leader as forces advance (Reuters)

● African leaders to push for slavery reparations despite resistance (Reuters)

● Teachers across Algeria go on strike to protest low salaries and poor conditions (AN)

Middle East

● Putin has a ‘constructive’ conversation in first call with Syria’s new leader, Kremlin says (AP)

● Exclusive: Syria's new leaders zero in on Assad's business barons (Reuters)

● Suicide blast near Kabul government offices kills attacker, one other (Reuters)

● Yemen’s Houthis emerge from Gaza war emboldened, and with more enemies (AJ)

● Israeli raids force hundreds of Palestinians to flee their homes in northern West Bank refugee camps (AP)

● Hamas says it does not want Gaza ceasefire to collapse (Reuters)

Indo-Pacific

● Honda, Nissan end merger talks, scuttling $60bn deal (AJ)

● Australia accuses Chinese fighter of endangering Australian surveillance plane over South China Sea (AP)

● Suspected gas blast at Taiwan mall kills four, injures 26 (Reuters)

● Vietnam to use Chinese loans for $8.3 billion railway linking both countries (Reuters)

Europe

● Trump seeks ‘successful conclusion’ to Russia-Ukraine war (AJ)

● Germany faces year of industrial strife as companies go into battle with workers (Reuters)

● NATO tests new deployment model without US ahead of Ukraine war anniversary (AP)

● Attempt to form Austria's first government led by far right collapses (Reuters)

● Ukraine looks to entice younger men into the military by offering special rewards (AP)

● Italian government denies it spied on journalists and migrant activists using Paragon spyware (AP)

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