China Gasoline Exports to N.Korea Nosedive as Tillerson Hails Pyongyang’s Recent Restraint

A car drives past residential buildings in Pyongyang, North Korea on April 11, 2012. (Reuters)
A car drives past residential buildings in Pyongyang, North Korea on April 11, 2012. (Reuters)
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China Gasoline Exports to N.Korea Nosedive as Tillerson Hails Pyongyang’s Recent Restraint

A car drives past residential buildings in Pyongyang, North Korea on April 11, 2012. (Reuters)
A car drives past residential buildings in Pyongyang, North Korea on April 11, 2012. (Reuters)

Gasoline exports from China to North Korea took a sharp dip in July, which would threaten critical supplies of fuel and force the isolated country to seek alternatives to its main supplier.

The decline, revealed by customs data, is the strongest sign yet that the suspension of sales of the fuel by China’s state oil major CNPC has cut critical supplies to its southern neighbor.

Beijing's General Administration of Customs said on Wednesday Chinese shipments of gasoline dropped 97 percent from a year ago to just 120 tons of the fuel - worth little more than $100,000. The number was down from 8,262 tons in June.

Monthly fluctuations in the data are not unusual, but this was the fourth-lowest volume on Reuters' records of customs data going back to January 2010.

Customs data also showed China's trade with North Korea fell last month as a ban on coal purchases from its isolated neighbor slowed imports amid growing pressure from the United States to rein in Pyongyang's missile program.

At the end of June, Reuters reported China National Petroleum Corp (CNPC) suspended sales of gasoline and fuel to North Korea over concerns CNPC would not get paid for its goods.

Fuel prices in the country surged following the cut and the measure is still in place, people familiar with the matter say.

Gasoline typically accounts for the bulk of fuel exports to North Korea, but July data showed the biofuel, ethanol, took the top spot with shipments of 4,137 cubic meters, worth $1.9 million.

On Tuesday, US Secretary of State Rex Tillerson commended North Korea for recent restraint in its provocations and said it could point the way to a possible dialogue with the US.

It was rare positive expression from the US toward the authoritarian government in Pyongyang and comes amid a slight easing in recent tensions between the adversaries that had flared after President Donald Trump pledged to answer North Korean aggression with "fire and fury." North Korea, for its part, had threatened to launch missiles toward the American territory of Guam.

Addressing reporters at the State Department, Tillerson said that North Korea had "demonstrated some level of restraint that we have not seen in the past" by not conducting missile launches or provocative acts since the UN Security Council adopted tough sanctions on August 5.

"We hope that this is the beginning of this signal that we have been looking for, that they are ready to restrain their level of tensions, they're ready to restrain their provocative acts," Tillerson said, "and that perhaps we are seeing our pathway to sometime in the near future having some dialogue."

Tillerson added a caveat.

"We need to see more on their part," he said, without elaborating.

The UN sanctions were a response to twin tests last month of an intercontinental ballistic missile that may be able to reach parts of the US, heightening concern in Washington that North Korea could soon be able to threaten it with nuclear weapons. It was the latest salvo in the Trump administration's push to increase economic and diplomatic pressure on Kim Jong Un's government.

However, the US administration has left the door open to engagement with the North, with Tillerson recently urging it to stop missile tests to show its sincerity. While the two sides have maintained quiet diplomatic contacts in recent months, there has been scant sign that Pyongyang will oblige.

Kim has held off on the North's supposed plans to fire missiles into waters near Guam that were advertised in state media earlier this month, but his government this week has kept up its harsh criticism of the US over annual military drills conducted with close ally South Korea.

The North regards the drills as preparation for invasion and on Tuesday its military vowed, with customarily tough rhetoric, a "merciless retaliation" against the US Senior US military commanders dismissed calls to pause or downsize the exercises that they view as crucial to countering a clear threat from Pyongyang.



Oil Falls as Trump Downplays Prospect of Escalation with Iran

Oil prices are set for a sharp weekly decline amid expectations of a de-escalation in the Iran war following election losses suffered by Trump's party (Reuters).
Oil prices are set for a sharp weekly decline amid expectations of a de-escalation in the Iran war following election losses suffered by Trump's party (Reuters).
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Oil Falls as Trump Downplays Prospect of Escalation with Iran

Oil prices are set for a sharp weekly decline amid expectations of a de-escalation in the Iran war following election losses suffered by Trump's party (Reuters).
Oil prices are set for a sharp weekly decline amid expectations of a de-escalation in the Iran war following election losses suffered by Trump's party (Reuters).

Oil prices fell on Tuesday, adding to the previous day's losses after US President Donald Trump downplayed the need for military action against Iran "at this point", easing fears of sustained supply disruptions in the Middle East.

Brent crude futures declined 70 cents, or 0.75%, to $91.88 a barrel by 0246 GMT, while US West Texas Intermediate (WTI) futures fell 78 cents, or 0.90%, to $86.07 a barrel. Both benchmarks had fallen 1% earlier in the session.

Brent settled down 5.85% in the previous session after sliding to its lowest since ‌August 31.

Trump said ‌on Monday he plans to hold off ‌on ⁠new military strikes against ⁠Iran for the time being after appeals from countries in the region, including from Qatar's prime minister in White House talks.

Trump, in a Reuters interview and a later appearance in the White House press briefing room, said he plans to keep up a naval blockade in the Strait of Hormuz for now.

"The market continues to prioritize President Trump's ⁠more conciliatory tone toward Iran since the midterms," ‌said Tim Waterer, chief market analyst at ‌KCM Trade.

"While attacks on shipping around the Strait of Hormuz are still occurring, ‌they have not escalated in a way that has forced a ‌fresh risk premium into the market," he said.

On the supply side, OPEC oil output rose in October, a Reuters survey found, led by gains in Saudi Arabia, Kuwait and Iraq despite continued constraints on exports.

Brent has retreated ‌about 22% from the six-month high of $118 it touched on October 30 as fears that ⁠Trump might step ⁠up attacks on Iran following the US midterms have eased, however there is still concern shipping could be disrupted.

"Despite the recent selloff, prices are unlikely to fall below $90 per barrel for Brent without more durable signs of de-escalation and a US-Iran deal," Gregory Brew, a senior analyst with Eurasia Group said in a note.

"At the same time, risks to shipping remain high, as Iran continues to attack vessels transiting the Strait of Hormuz," Brew said.

Elsewhere, Russian and Ukrainian officials planned to meet on Tuesday for two days of US-brokered talks — their first since February — after Trump suggested last week that a broad peace deal was possible in their 4-1/2-year-old war and could incorporate Europe's security.


HUMAIN Secures $667 Million Infra Financing to Advance Saudi Arabia’s AI Infrastructure

A photo taken during the signing ceremony of the two agreements in Riyadh (SPA) 
A photo taken during the signing ceremony of the two agreements in Riyadh (SPA) 
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HUMAIN Secures $667 Million Infra Financing to Advance Saudi Arabia’s AI Infrastructure

A photo taken during the signing ceremony of the two agreements in Riyadh (SPA) 
A photo taken during the signing ceremony of the two agreements in Riyadh (SPA) 

The National Infrastructure Fund (Infra) and HUMAIN, a PIF company delivering full-stack artificial intelligence capabilities globally, signed on Monday two financing agreements totaling up to SAR 2.5 billion ($667 million) to support AI computing deployment and the development of critical power infrastructure in Saudi Arabia.

The agreements were signed in Riyadh in the presence of Governor of the Public Investment Fund, Yasir Al-Rumayyan, Minister of Economy and Planning and Chairman of Infra’s Board of Directors, Faisal bin Fadhil Alibrahim and Governor of the National Development Fund, Abdulaziz Alarifi.

The facilities are the first transactions announced under Infra’s AI Data Center Financing Program. They build on the strategic financing framework announced by Infra and HUMAIN at Davos in January 2026, which outlined non-binding financing terms of up to SAR 4.5 billion ($1.2 billion) to support AI and digital infrastructure projects in the Kingdom.

The GPU financing facility, of up to SAR 1.1 billion ($293.3 million), will support the procurement and deployment of graphics processing units (GPUs), representing approximately 25 MW of IT load.

A second facility of up to SAR 1.4 billion ($373.3 million), will finance the development of substations, transmission infrastructure and grid connections to support HUMAIN’s AI data centers in Saudi Arabia.

The planned power infrastructure is designed to support future data center development with up to 1 GW of IT capacity, helping create the conditions for investment by developers, hyperscalers and institutional investors.

“Through these agreements, we aim to unlock investment well beyond Infra’s own commitment,” said Chief Executive Officer of Infra, Engineer Esmail bin Mohammed Alsallom.

He noted that supporting HUMAIN’s computing deployment alongside essential power infrastructure helps prepare a broader pipeline of data center projects for investment.

“Our role is to strengthen project readiness and bankability, with commercial viability and economic value guiding how we deploy our capital,” Alsallom said, adding that this partnership connects Infra’s priorities with commercial discipline, helping build a financing market that can attract a broader pool of private and institutional capital and sustain the local AI infrastructure growth.

For his part, Chief Executive Officer of HUMAIN, Tareq Amin, said that AI infrastructure is becoming foundational to the next generation of computing, and scaling it requires both significant investment and the infrastructure to support it.

“These facilities with Infra will help accelerate the deployment of advanced computing capacity and the power infrastructure required to support it. At HUMAIN, we are focused on building and operating AI infrastructure at scale, while developing the technologies and platforms that enable organizations and customers globally to put AI to work,” he added.


Lucid Gets Crucial $1.75 Billion Liquidity Boost From PIF

A Lucid Air Grand Touring electric car is displayed during the New York International Auto Show in New York City, US, April 1, 2026. REUTERS/Jeenah Moon/File Photo 
A Lucid Air Grand Touring electric car is displayed during the New York International Auto Show in New York City, US, April 1, 2026. REUTERS/Jeenah Moon/File Photo 
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Lucid Gets Crucial $1.75 Billion Liquidity Boost From PIF

A Lucid Air Grand Touring electric car is displayed during the New York International Auto Show in New York City, US, April 1, 2026. REUTERS/Jeenah Moon/File Photo 
A Lucid Air Grand Touring electric car is displayed during the New York International Auto Show in New York City, US, April 1, 2026. REUTERS/Jeenah Moon/File Photo 

Lucid Group, an American electric vehicle (EV) manufacturer, said on Monday a $1.75 billion increase in a loan facility from Saudi Arabia's Public Investment Fund (PIF), its largest investor, would help fund the ‌electric-vehicle maker into the fourth quarter of 2027, according to Reuters.

The larger delayed-draw term loan lifts the company’s pro forma liquidity to $3.75 billion, strengthening new CEO Silvio Napoli's hand as he seeks to turn around the company facing an industry-wide demand weakness following the expiry of a federal ⁠tax credit last year.

Lucid said it expects its liquidity to fund operations until production of its midsize vehicle begins in the second half of 2027.

The company’s shares were down about 5% in extended trading.

Lucid cut its third-quarter cash outflow to $1.04 billion from $1.48 billion in the previous quarter by cutting production, including eliminating a second shift at its Arizona factory and reducing inventory and operating costs.

“These actions are already showing through in Q3, ‌with ⁠free cash flow consumption 30% lower sequentially,” CFO Alexander De Bock said.

Lucid said it would provide 2027 guidance and a mid-term plan with its year-end results. It had withdrawn its annual production forecast earlier this year amid a sweeping operational ⁠review by its newly appointed CEO.

The company said headcount fell about 28% between the first and third quarters. It said it had achieved $800 million of a targeted $1.4 ⁠billion cash flow improvement this year through lower inventory, operating costs and capital spending.

New chief technology, finance, customer and transformation officers joined early in ⁠the third quarter, the company said. Lucid is also cutting management layers and tying incentives to four priority projects.