WASHINGTON: President Donald Trump&#39;s administration said Friday that he has issued a 90-day extension to a shipping waiver, helping with the movement of oil and fertilizers around the United States amid supply disruptions from the war on Iran.&nbsp;An existing waiver, which temporarily allowed foreign flagged vessels to transport cargo between US ports, was due to expire by May 17. The latest move brings this end date to mid-August.&nbsp;&quot;New data compiled since the initial waiver was issued revealed that significantly more supply was able to reach US ports faster,&quot; said Taylor Rogers, a White House spokeswoman.&nbsp;&quot;This extension will help ensure vital energy products, industrial materials, and agricultural necessities are maintained,&quot; she added in a statement.&nbsp;She said Trump has issued a 90-day extension.&nbsp;US-Israeli strikes on Iran from February 28 plunged the Middle East into war, and triggered Tehran&#39;s retaliation in effectively closing off the Strait of Hormuz.&nbsp;This has caused an energy supply crunch as the waterway is a key route for oil and gas transportation, sending prices rocketing.&nbsp;US gasoline prices have also surged, piling pressure on household budgets ahead of key midterm elections.&nbsp;Under the 1920 Jones Act, which was aimed at promoting American shipbuilding, cargo moved by water between US ports has to be transported on vessels that are US-built, US-owned and registered under the US flag.&nbsp;But in March, the Trump administration granted a 60-day waiver to temporarily lift this requirement as economic fallout from the war intensified.&nbsp;Oil prices remain steep, even if they have come off recent highs.

Americas

The Trump Administration announced a 90-day extension of a shipping waiver to facilitate the transport of oil and fertilizers across the United States amid supply disruptions caused by the war on Iran.

US extends shipping waiver to aid energy supply

DHAKA: Bangladesh is battling a heatwave and frequent power cuts, as soaring electricity demand outstrips limited generation capacity constrained by shortages linked to the Middle East war. Temperatures have hit 40C across a swathe of the country of 170 million people, forcing the government to impose load-shedding as demand exceeds supply. &quot;Neither my children nor I could sleep last night due to frequent power cuts. It was extremely hot,&quot; Mashuka Yasmin Mishu, a 35-year-old mother of two from northwestern Pabna district, told AFP on Friday. &quot;We have had power cuts before, but this year we cannot get electricity for even two hours at a stretch.&quot; The South Asian nation imports 95% of its oil and gas, much of it from the Middle East, where energy shipments through the Strait of Hormuz have been disrupted since war began in late February. &quot;We have a huge electricity generation capacity, but due to shortages of gas and fuel, we are unable to utilize it,&quot; senior energy ministry official Umme Rehana told reporters on Thursday. Anindya Islam Amit, the junior power minister, told parliament on Friday that electricity demand was 16,000 megawatts, against generation of 14,126 megawatts. &quot;Limited load-shedding was required,&quot; Amit said. &quot;To maintain fairness, we have decided to introduce limited, experimental load-shedding of 110 megawatts in Dhaka. It is not acceptable that urban residents enjoy comfort while farmers suffer.&quot; Bangladesh has also seen queues lasting several hours at gas stations this week, although Energy Minister Iqbal Hasan Mahmud has blamed panic buying and insisted the country has enough fuel.

People queue up along a road, to refuel their vehicles at a filling station in Dhaka on April 21, 2026 amid Bangladesh's fuel crisis triggered by the Middle East war. (Photo by MUNIR UZ ZAMAN / AFP)

Bangladesh

Bangladesh faces severe heatwave-driven power cuts as fuel shortages linked to Middle East tensions strain electricity supply.

Bangladesh sweats as Mideast fuel shortages force power cuts

Web Desk

ISLAMABAD: Pakistan&rsquo;s prime minister and ambassador of China in Islamabad discussed regional situation in the Middle East and Islamabad&rsquo;s peace efforts. Jiang Zaidong, ambassador of the People&rsquo;s Republic of China, paid a courtesy call on Prime Minister Shehbaz Sharif on Thursday, said a press release issued by the Prime Minister&rsquo;s Office. The prime minister was assisted by Deputy Prime Minister and Foreign Minister Ishaq Dar, Minister for Planning, Development and Special Initiatives Ahsan Iqbal, Federal Minister for Information and Broadcasting Attaullah Tarar, SAPM Syed Tariq Fatemi and Foreign Secretary Ambassador Amna Baloch. The prime minister conveyed his warm regards and greetings for President Xi Jinping and Premier Li Qiang. While expressing his satisfaction at the positive trajectory of Pakistan-China bilateral relations, the prime minister reaffirmed that Pakistan took great pride in its All-Weather Cooperative Strategic Partnership with China. He also spoke of his resolve to continue working closely with the Chinese leadership, to ensure that the relationship grows from strength to strength. The regional situation in the Middle East and Pakistan&rsquo;s peace efforts also came under discussion during the meeting. The Chinese ambassador thanked the prime minister for receiving him and expressed China&rsquo;s appreciation of Pakistan&rsquo;s diplomatic efforts for lasting peace in the region. He reaffirmed China&rsquo;s commitment to strengthening its iron-clad ties with Pakistan and to take them to new heights, as envisioned by President Xi Jinping.

Foreign Affairs

The Chinese ambassador thanked the prime minister for receiving him and expressed China’s appreciation of Pakistan’s diplomatic efforts for lasting peace in the region.

Pakistan premier, Chinese envoy discuss Mideast peace efforts 

Web Desk/AFP

US Vice President JD Vance steps off Marine Two before departing on Air Force Two from Joint Base Andrews in Maryland on April 14, 2026. (AFP)

Middle East

US President Donald Trump indicated earlier that Vice President JD Vance would not make the trip; In a telephonic conversation, PM Sharif apprises President Pezeshkian of talks with regional leaders for peace

Day 51: All you need to know about US-Israel war on Iran

LONDON: British government ministers on Sunday backed embattled premier Keir Starmer as he struggles to shake off a scandal over long-time Jeffrey Epstein associate Peter Mandelson. Starmer is due to face lawmakers in parliament on Monday to explain how Mandelson was appointed Britain&#39;s ambassador to the United States in late 2024 despite failing to pass security checks. The prime minister, who has been dogged by the controversy for months, said Friday that he and other ministers were not told Mandelson had failed the vetting process, calling that &quot;unforgivable&quot;. He has blamed foreign office mandarins for allowing Mandelson&#39;s appointment against the advice of security officials, and sacked the department&#39;s top civil servant Olly Robins on Thursday. But ex-civil servants have accused Dowing Street of scapegoating Robbins while opposition leaders have called for Starmer to quit, with accusations ranging from incompetence to wilful misleading of the public. Technology minister Liz Kendall told the BBC on Sunday that Starmer would not have appointed Mandelson had he known that he had not received the appropriate security clearance. Deputy prime minister David Lammy, who was foreign secretary when Mandelson was appointed to Washington, said the same in an interview with the Guardian published late Saturday.&nbsp;&lsquo;Made the right call&rsquo;Kendall said Starmer should remain in his job because he had &quot;made the right call&quot; on big issues, such as building closer relations with the European Union and limiting Britain&#39;s involvement in the US-Israel war on Iran. &quot;I think he is an honest man and a man of integrity who says it was a mistake to appoint him,&quot; she told Sky News. Lammy said it was &quot;inexplicable&quot; that the foreign office had kept Downing Street in the dark, telling the Guardian he had been &quot;shocked and surprised&quot; when he learnt what happened. Starmer, already widely unpopular with the British public due to several policy mis-steps, has faced repeated questions about his judgement for selecting Mandelson whose friendship with Epstein was well known.&nbsp;Mandelson&rsquo;s sacking&nbsp;He sacked Mandelson in September 2025 after new details emerged about the depth of Mandelson&#39;s ties to Epstein, who died in prison in 2019 while facing sex-trafficking charges. UK police are investigating allegations of misconduct in office by Mandelson when he was a Labour minister more than 15 years ago. He was arrested and released in February. Mandelson has not been charged and denies criminal wrongdoing.

United Kingdom

Technology minister Liz Kendall says Starmer shall remain in his job because he has 'made the right call' on big issues, such as building closer relations with the European Union and limiting Britain's involvement in the Iran war.

UK ministers back Starmer amid fresh calls to quit

Navy vessel is seen sailing in the Strait of Hormuz, a vital waterway through which much of the world's oil and gas passes, on March 1, 2026. (File photo: AFP)

Iran’s Parliament Speaker Mohammad Baqer Qalibaf describes the US naval blockade of the Strait of Hormuz as a “clumsy and ignorant decision,” saying tensions nearly escalated during behind-the-scenes talks involving an American minesweeper near the strategic waterway.

All you need to know about Day 50 of US-Israel war on Iran

ISLAMABAD: Pakistan&#39;s prime minister concluded his trip to Turkiye on Saturday, he said in a social media post, ending a three-country diplomatic blitz as Islamabad pushes for an end to the US-Israeli war on Iran. &quot;I leave Antalya, with fond memories and a renewed commitment to further strengthening the enduring fraternal bonds between our two nations, and to continuing our close cooperation to advance dialogue and diplomacy for lasting peace and stability in the region,&quot; Shehbaz Sharif said.<div class="fr-embed"><div class="twitter-tweet twitter-tweet-rendered" style="display: flex; max-width: 550px; width: 100%; margin-top: 10px; margin-bottom: 10px;"><iframe id="twitter-widget-5" scrolling="no" frameborder="0" allowfullscreen="true" title="X Post" src="https://platform.twitter.com/embed/Tweet.html?dnt=false&embedId=twitter-widget-5&features=eyJ0ZndfdGltZWxpbmVfbGlzdCI6eyJidWNrZXQiOltdLCJ2ZXJzaW9uIjpudWxsfSwidGZ3X2ZvbGxvd2VyX2NvdW50X3N1bnNldCI6eyJidWNrZXQiOnRydWUsInZlcnNpb24iOm51bGx9LCJ0ZndfdHdlZXRfZWRpdF9iYWNrZW5kIjp7ImJ1Y2tldCI6Im9uIiwidmVyc2lvbiI6bnVsbH0sInRmd19yZWZzcmNfc2Vzc2lvbiI6eyJidWNrZXQiOiJvbiIsInZlcnNpb24iOm51bGx9LCJ0ZndfZm9zbnJfc29mdF9pbnRlcnZlbnRpb25zX2VuYWJsZWQiOnsiYnVja2V0Ijoib24iLCJ2ZXJzaW9uIjpudWxsfSwidGZ3X21peGVkX21lZGlhXzE1ODk3Ijp7ImJ1Y2tldCI6InRyZWF0bWVudCIsInZlcnNpb24iOm51bGx9LCJ0ZndfZXhwZXJpbWVudHNfY29va2llX2V4cGlyYXRpb24iOnsiYnVja2V0IjoxMjA5NjAwLCJ2ZXJzaW9uIjpudWxsfSwidGZ3X3Nob3dfYmlyZHdhdGNoX3Bpdm90c19lbmFibGVkIjp7ImJ1Y2tldCI6Im9uIiwidmVyc2lvbiI6bnVsbH0sInRmd19kdXBsaWNhdGVfc2NyaWJlc190b19zZXR0aW5ncyI6eyJidWNrZXQiOiJvbiIsInZlcnNpb24iOm51bGx9LCJ0ZndfdXNlX3Byb2ZpbGVfaW1hZ2Vfc2hhcGVfZW5hYmxlZCI6eyJidWNrZXQiOiJvbiIsInZlcnNpb24iOm51bGx9LCJ0ZndfdmlkZW9faGxzX2R5bmFtaWNfbWFuaWZlc3RzXzE1MDgyIjp7ImJ1Y2tldCI6InRydWVfYml0cmF0ZSIsInZlcnNpb24iOm51bGx9LCJ0ZndfbGVnYWN5X3RpbWVsaW5lX3N1bnNldCI6eyJidWNrZXQiOnRydWUsInZlcnNpb24iOm51bGx9LCJ0ZndfdHdlZXRfZWRpdF9mcm9udGVuZCI6eyJidWNrZXQiOiJvbiIsInZlcnNpb24iOm51bGx9fQ%3D%3D&frame=false&hideCard=false&hideThread=false&id=2045385343789092971&lang=en&origin=https%3A%2F%2Fmain.d1wrm1qseko1cp.amplifyapp.com%2Farticles%2F&sessionId=9eba5fae7b8021885d4040a30d196f03084a559e&theme=light&widgetsVersion=2615f7e52b7e0%3A1702314776716&width=550px" style="position: static; visibility: visible; width: 550px; height: 554px; display: block; flex-grow: 1;"></iframe></div></div>In a separate post on X, Pakistan&#39;s Foreign Minister Ishaq Dar stated: &quot;We have just concluded the last leg of our engagements following productive and fruitful visits, accompanying Prime Minister Shehbaz Sharif @CMShehbaz&nbsp;to Saudi Arabia and Qatar, where we held meaningful bilateral discussions aimed at strengthening cooperation across key areas.&quot; &quot;At the #AntalyaDiplomacyForum, Prime Minister Muhammad Shehbaz Sharif also had an excellent interaction with the President of T&uuml;rkiye Recep Tayyip Erdoğan and engaged meaningfully with other leaders on the sidelines of the forum,&quot; the foreign minister said.<div class="fr-embed"><div class="twitter-tweet twitter-tweet-rendered" style="display: flex; max-width: 550px; width: 100%; margin-top: 10px; margin-bottom: 10px;"><iframe id="twitter-widget-6" scrolling="no" frameborder="0" allowfullscreen="true" title="X Post" src="https://platform.twitter.com/embed/Tweet.html?dnt=false&embedId=twitter-widget-6&features=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%3D%3D&frame=false&hideCard=false&hideThread=false&id=2045387103098335388&lang=en&origin=https%3A%2F%2Fmain.d1wrm1qseko1cp.amplifyapp.com%2Farticles%2F&sessionId=9eba5fae7b8021885d4040a30d196f03084a559e&theme=light&widgetsVersion=2615f7e52b7e0%3A1702314776716&width=550px" style="position: static; visibility: visible; width: 550px; height: 345px; display: block; flex-grow: 1;"></iframe></div></div>&quot;I also held a series of important engagements and exchanges.&quot; &#39;Global space for dialogue&#39;Dar said, &quot;This platform has truly evolved into a global space for dialogue, bringing together diverse perspectives in support of peace, stability, and cooperation.&quot; He extended his appreciation to the government and people of T&uuml;rkiye for their warm hospitality and excellent arrangements. Trilateral meeting&nbsp;Earlier, Pakistan&#39;s prime minister had a trilateral meeting with T&uuml;rkiye President Recep Tayyip Erdoğan, and Sheikh Tamim bin Hamad Al Thani, Emir of the State of Qatar, on the sidelines of the Fifth Antalya Diplomacy Forum, according to a post on X by the Pakistani premier.<div class="fr-embed"><div class="twitter-tweet twitter-tweet-rendered" style="display: flex; max-width: 550px; width: 100%; margin-top: 10px; margin-bottom: 10px;"><iframe id="twitter-widget-7" scrolling="no" frameborder="0" allowtransparency="true" allowfullscreen="true" title="X Post" src="https://platform.twitter.com/embed/Tweet.html?dnt=false&embedId=twitter-widget-7&features=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%3D%3D&frame=false&hideCard=false&hideThread=false&id=2045377599359095159&lang=en&origin=https%3A%2F%2Fmain.d1wrm1qseko1cp.amplifyapp.com%2Farticles%2F&sessionId=9eba5fae7b8021885d4040a30d196f03084a559e&theme=light&widgetsVersion=2615f7e52b7e0%3A1702314776716&width=550px" style="position: static; visibility: visible; width: 550px; height: 707px; display: block; flex-grow: 1;" data-tweet-id="2045377599359095159"></iframe></div></div>

Says, 'I leave Antalya, with fond memories and a renewed commitment to further strengthening the enduring fraternal bonds between our two nations, and to continuing our close cooperation to advance dialogue and diplomacy for lasting peace and stability in the region.'

Pakistan PM completes three-country diplomatic tour aimed at Iran peace

Iran says Strait of Hormuz fully open but bans military vessels; Trump thanks Tehran as oil prices fall; US President rejects NATO help; Lebanon reports nearly 2,300 killed in Israeli strikes since March 2

All you need to know about Day 49 of US-Israeli war on Iran

A photograph taken from the Israeli side of the border with Lebanon shows Israeli soldiers driving along a road running beside destroyed buildings in southern Lebanon on April 15, 2026. (AFP)

US President Donald Trump says he is expecting leaders from Lebanon and Israel at the White House in 4 or 5 days after he had announced a ceasefire between the two countries; he also told reporters that he might visit Islamabad if a deal with Iran is signed.

Day 48: All you need to know about US-Israel war on Iran

WASHINGTON: The IMF cut its 2026 global growth projection Tuesday, warning that the world economy could be &quot;thrown off course&quot; by war in the Middle East as the conflict roils commodity markets and sparks higher prices.&nbsp;The global economy is set to grow by 3.1% this year, said the International Monetary Fund in its World Economic Outlook report, released during its spring meetings in Washington.&nbsp;This is down from 3.3% forecast in January before hostilities erupted as US-Israeli strikes against Iran started on Feb. 28, prompting Tehran&#39;s retaliation and sparking a broader conflict in the region.&nbsp;&quot;We were planning to upgrade growth for 2026 to 3.4 percent&quot; if not for the war, IMF chief economist Pierre-Olivier Gourinchas told AFP.&nbsp;Prices of oil, gas and fertilizers have surged due to the conflict, as Iran virtually blocked traffic through the Strait of Hormuz, a key waterway for shipments. US President Donald Trump has also ordered a naval blockade around Iran&#39;s ports.&nbsp;The fund expects inflation to rise this year to 4.4%, 0.6 percentage points above its January forecast.&nbsp;After this, the &quot;disinflation path&quot; of the past few years should reassert itself, Gourinchas said.&nbsp;But these projections assume a relatively short-lived conflict with temporary energy market disruptions.&nbsp;&quot;We have to be very concerned about the potential for this to become a major energy crisis,&quot; he warned.&nbsp;In more adverse scenarios where energy prices remain high throughout the year, global growth could slow to 2.5% or even to around 2%.&nbsp;&quot;Since 1980, it&#39;s basically been four times when growth has been at two percent or below,&quot; said Gourinchas.&nbsp;These included periods such as the 2008 global financial crisis and the Covid-19 pandemic.&nbsp;&quot;This latest shock comes less than a year since the shift in US trade policies, and the transition to a new international trade system is still ongoing,&quot; the IMF said.&nbsp;A year ago, Trump unleashed sweeping tariffs on US trading partners, rocking financial markets and snarling supply chains.&nbsp;A swath of these tariffs has been struck down by the Supreme Court, but uncertainty lingers as Trump moves to reimpose duties via other means.&nbsp;Uneven impactAlthough overall revisions to global growth and inflation appear modest, the IMF cautioned that the war has taken a bigger toll on the Middle East and &quot;vulnerable economies&quot; elsewhere.&nbsp;&quot;The impact on emerging market and developing economies would be almost twice that on advanced economies,&quot; the fund said.&nbsp;Higher energy and fertilizer costs could bring steeper food costs, mainly hitting low-income energy importers, Gourinchas said.&nbsp;Growth projections for the Middle East and Central Asia this year were cut by around half to 1.9%.&nbsp;Saudi Arabia, the Middle East&#39;s biggest economy, is set to see 3.1% growth this year, down 1.4 percentage points from January&#39;s expectation.&nbsp;Among the world&#39;s two biggest economies, US growth is still set to accelerate to 2.3% this year, although the pace of growth was revised slightly lower.&nbsp;&quot;The US at the margin is benefiting from higher energy prices,&quot; Gourinchas said. But gasoline prices have also jumped for consumers.&nbsp;China&#39;s growth is also anticipated to cool to 4.4%, a touch below the January forecast.&nbsp;The IMF flagged an underlying &quot;unevenness&quot; in both economies.&nbsp;Domestic activity lags behind exports in China, while a strong showing in the United States has been accompanied by low employment growth.&nbsp;Euro area growth was revised 0.2 percentage points down to 1.1 percent for 2026.&nbsp;UK growth saw a larger decline of 0.5 percentage points, to 0.8% this year.&nbsp;While the IMF does not expect inflation expectations to go off track, there is concern that they may not be as well anchored as before.&nbsp;Past inflation episodes remain fresh in the public&#39;s minds, and firms might act to restore margins more quickly than before.&nbsp;&quot;If that happens, then you can get much more persistent inflation going on, that would be reflected in higher inflation expectations,&quot; Gourinchas said.&nbsp;If so, central banks might need to step in and raise interest rates to cool the economy, despite the ongoing negative supply shock.

The International Monetary Fund cuts its 2026 global growth projection to 3.1% due to the Middle East war, warning of energy shocks, rising inflation, and slower growth, especially in vulnerable economies, with risks of a deeper global slowdown.

Articles tagged with "US-Israel War on Iran"