Russia-China fuel pipeline deal hits snag

Good morning. In at present’s publication we’re masking:

However we begin with Russia’s effort to conclude a serious fuel pipeline take care of China, which has run aground over what Moscow sees as Beijing’s unreasonable calls for on value and provide ranges, in line with three individuals conversant in the matter.

Beijing’s robust stance on the Energy of Siberia 2 pipeline underscores how Russia’s invasion of Ukraine has left President Vladimir Putin more and more depending on Chinese language chief Xi Jinping for financial assist.

The individuals conversant in the difficulty stated China had requested to pay near Russia’s closely subsidised home costs and would solely commit to purchasing a small fraction of the pipeline’s deliberate annual capability of 50bn cubic metres of fuel.

A deal on the pipeline was one in every of three essential requests Putin made to Xi once they met final month, the individuals stated, together with extra Chinese language financial institution exercise in Russia and for China to snub a peace convention being organised by Ukraine this month.

Right here’s what’s at stake for Moscow, and why Beijing is enjoying hardball.

• Ukraine’s peace summit: Volodymyr Zelenskyy has accused China of serving to Russia to stress nations to not attend a deliberate peace summit this month, as Ukraine’s president urged different Asian leaders to affix the occasion.

• China-Russia defence ties: A Chinese language commerce physique sought to purchase drone-jamming gear for Russian consumers final month amid considerations in Europe and the US over China’s provide of dual-use know-how to Moscow.

And right here’s what I’m retaining tabs on at present:

• Financial information: S&P World publishes manufacturing PMI for China, Japan, India, South Korea, Vietnam, Taiwan, Indonesia, Philippines and Australia.

• India: Market analysts have predicted a rally in Indian equities at present after exit polls projected a clear election victory for Narendra Modi’s Bharatiya Janata celebration.

5 extra high tales

1. The net trend big Shein is planning to confidentially file for a London itemizing as quickly as the approaching days, laying the groundwork for a blockbuster preliminary public providing within the UK. The Singapore-domiciled firm had been leaning in the direction of a London itemizing after tensions between Beijing and Washington stalled its plans for an IPO in New York.

2. China’s defence minister has delivered a scathing assault on Taiwan’s new president Lai Ching-te, warning that Taiwan’s “aggressive” behaviour was eroding prospects for peaceable unification. Dong Jun’s speech on the the IISS Shangri-La Dialogue in Singapore additionally contrasted with China’s efforts to handle its army relationship with the US extra fastidiously.

3. Tens of hundreds of Tesla’s pivotal worldwide retail traders could also be unable to vote at its annual assembly as a result of funding platforms have did not put enough cross-border methods in place. The electrical automobile maker faces tight votes at its June 13 assembly over chief govt Elon Musk’s $56bn pay award and one other to reincorporate the corporate in Texas.

4. Benjamin Netanyahu has shied away from a US-backed plan to finish the struggle with Hamas, as Israel’s premier sought house to quell a revolt in his ruling coalition. Regardless of White Home pleas, officers near Netanyahu made clear that any settlement to completely halt the combating in Gaza could be unacceptable.

5. Opec+ members have agreed to increase deep cuts in oil manufacturing, in some circumstances to the top of 2025, as they battle to shore up costs amid weak world demand and elevated provide from different components of the world. At its newest twice yearly assembly yesterday, the cartel conceded that it had no room but to vary stance on output cuts that started in November 2022.

Interview

Harvard-educated Pita Limjaroenrat’s Transfer Ahead celebration got here first in Thailand’s election final 12 months however was blocked from energy. Now, the celebration faces attainable dissolution — and Pita himself a decade-long ban from public workplace — over its most controversial marketing campaign pledge: to amend Thailand’s harsh lèse majesté legislation. Pita advised the FT that the threatened ban of his celebration would “turbocharge” the progressive motion in search of to problem the nation’s military-royalist elite.

We’re additionally studying . . . 

• Conviction politics: Joe Biden’s re-election marketing campaign is getting ready to be extra aggressive in focusing on Donald Trump over his standing as the primary former president to be discovered responsible of against the law.

• Resort pet peeves: Noisy air con and “creative” towel preparations made Jo Ellison’s hospitality gripe record.

• Hanwha Aerospace: South Korea’s largest defence firm is creating a fighter jet engine because the nation works to maneuver up the arms exporter worth chain.

Chart of the day

A scrap steel service provider and an electrical automobile maker that has bought simply 4 automobiles high the record of so-called “penny” shares which can be out-trading the likes of Tesla and Apple, prompting some analysts to warn that markets have gotten overheated.

Take a break from the information

What did Shakespeare’s songs sound like? Which model of Hamlet is the best one? These are simply two of the 28 best Shakespeare mysteries we’ve tried to untangle — as a part of an FT Journal particular version on the playwright’s enduring energy.