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Russia expels 59 diplomats from 23 countries, crisis expands

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Russia expels 59 diplomats from 23 countries, crisis expands

Moscow close US consulate in St Petersburg

In a tit-for-tat response in kind, Russia has, on Friday, ordered expulsion of 59 diplomats from 23 countries as the diplomatic fallout spreads after the alleged murder attempt by nerve-gas-poisoning of a former double-agent Skripal and his daughter in UK in early March.

So far UK and Russia have expelled 23 diplomats each, US and Russia have sent back 60 diplomats from each others’ soil. Now Russia has reacted on the countries, mostly NATO members and other allies by expelling 59 diplomats. However, Russia has acted with patience avoiding immediate reaction.

According to Reuters TV, Ambassadors of the 23 countries, ranging from Netherlands to Australia were handed over protest note on Friday morning at foreign office in Moscow as soon they arrived at Foreign Ministry and were asked to send back certain numbers of diplomats.

Read More: US, EU and allies expel 113 Russian diplomats

On Thursday, Russia had also ordered closing of the US consulate in St Petersburg and issued a protest note to the US Ambassador to Moscow, Jon Huntsman, regarding what it called “outrageous and unwarranted” diplomatic action against Russia.

Skripal is the former official of Russian military intelligence who had allegedly worked for UK agencies. He was sentenced for imprisonment after conviction by Russian court. However, he was released in a swap deal with US and was settled in UK.Russia expels 59 diplomats from 23 countries, crisis expands

UK and its allies alleged that Skripals were poisoned by a nerve agent in the southern English city of Salisbury.

Read More: Russia retaliates: expels 23 British diplomats, close British Council

On Thursday, Moscow had ordered the expulsion of 60 US diplomats in response to a similar move by Washington.

Russia has already responded to UK’s move of expelling its 23 diplomats over the first known use of a military-grade nerve agent in Europe since World War II.

In an unprecedented diplomatic move, 25 European countries – along with the US, Canada, and Australia – expelled more than 120 Russian diplomats in a show of solidarity with the UK withing last few days.

On Friday, senior envoys from most of the countries that have expelled Russian diplomats were summoned to the Russian foreign ministry.  Al Jazeera’s Rory Challands, reporting from Moscow, said.

Read More: UK, US together against Russia on nerve gas attack in London

Challands, while reporting from Moscow on Friday, said, “One after another, black ambassadorial cars have been pulling up here outside the Russian foreign ministry and the ambassadors have been walking in to essentially get a dressing-down from the foreign ministry staff and be told how many of their personnel has to be packing their bags to leave.”

He further said,  “Its catalyst has been the Skripal affair but, of course, there is so much else behind all this, so much that’s gone on over the last few years – with the Russian campaign in Syria, with what’s been going in Crimea and Ukraine, that has worsened relations between the West and Russia.”

UK Prime Minister Theresa May has claimed that she has evidence of Russian involvement in the poisoning case. British government says the nerve agent used in the attack, Novichok, was developed in Russia.  However, Moscow has denied its involvement, instead says that UK might have done this.

According to reports, Sergei Skripal remains critical but stable while his daughter Yulia is improving rapidly. A large number of police officials and other investigative agencies were working day and night to ascertain about each minute detail behind the incident.

Meanwhile, Russian Foreign Ministry spokesperson Maria Zakharova said on Friday that the British authorities have barred the crew of a Russian Aeroflot plane bound for Moscow from being present during the search of their plane.

She reportedly told state Rossiya-24 television channel while the search was continuing, “The British authorities asked the Russian crew, including the captain, to leave the aircraft. The captain suggested the search be conducted in his personal presence as in line with the instructions he cannot leave the plane. As of now, the Britons have begun the search, keeping the captain inside the cockpit, not letting him be present during the search.”

The report did not mention if some of the Russian expelled diplomats were travelling in the said Aeroflot flight from London to Moscow.

 

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India considers tax relief to attract foreign investors amid Iran war impact

India is evaluating tax incentives, including a possible capital gains tax exemption on government securities for foreign investors, to support capital inflows amid economic pressures linked to the Iran war.

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India is considering a set of measures aimed at attracting more foreign investment as the ongoing Iran war continues to create pressure on the country’s economy, according to reports citing government sources. One of the key proposals under discussion is the removal of capital gains tax on investments made by foreign portfolio investors (FPIs) in government securities.

The move comes at a time when geopolitical tensions in West Asia have pushed up global oil prices, weakened investor sentiment and increased pressure on the Indian rupee. India, which imports a significant share of its crude oil requirements, has been among the countries closely monitoring the economic fallout from the conflict.

Government exploring ways to boost capital inflows

Officials are reportedly evaluating tax-related incentives to make Indian debt markets more attractive to overseas investors. The proposed exemption on capital gains from government securities is aimed at encouraging foreign portfolio investment and supporting capital inflows during a period of heightened global uncertainty.

The government is seeking to counter the impact of foreign capital outflows that have intensified amid concerns over the Iran conflict and its implications for energy markets and global economic growth.

Rupee and markets under pressure

Recent weeks have seen increased volatility in financial markets, with foreign investors pulling money out of Indian equities. Analysts have linked part of the pressure on the rupee to rising oil prices and continued overseas investor withdrawals.

Market participants believe that measures aimed at attracting foreign investment into government securities could help improve investor confidence and provide support to the domestic currency.

Broader economic concerns

The Iran war has added to concerns about inflation, economic growth and India’s external sector. Higher energy prices can increase import costs and put pressure on inflation, while sustained foreign capital outflows may affect financial market stability.

While no final decision has been announced, discussions on easing tax rules for foreign investors reflect the government’s efforts to strengthen capital inflows and cushion the economy from external shocks.

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US proposes new tariffs on India over forced labour concerns amid trade negotiations

The United States has proposed additional tariffs on imports from India and 59 other economies following a Section 301 investigation into forced labour-related trade concerns.

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Donald Trump statement

The United States has proposed imposing additional tariffs on imports from India and 59 other economies after concluding that these countries have not taken sufficient steps to prevent the importation of goods allegedly linked to forced labour. The proposal was announced by the Office of the US Trade Representative (USTR) as part of an investigation conducted under Section 301 of the US Trade Act.

According to the USTR’s findings, India could face an additional tariff of 12.5% on goods exported to the United States. The proposed measure is part of a broader plan targeting 60 economies, with tariff rates ranging between 10% and 12.5% depending on the findings related to each country.

India among countries facing higher tariff proposal

The USTR said India had not effectively enforced restrictions on imports made using forced labour, describing the issue as a burden on US commerce. The agency argued that inadequate enforcement by major trading partners creates unfair competition for American workers and businesses.

While countries including Canada, Mexico, the European Union and the United Kingdom are proposed to face a 10% tariff, India is among a larger group of economies that could be subjected to a 12.5% duty under the recommendation.

Proposal comes during India-US trade discussions

The tariff proposal has emerged while Indian and US officials are engaged in trade negotiations aimed at strengthening economic ties between the two countries. A US delegation led by Assistant USTR Brendan Lynch is currently holding discussions with Indian officials in New Delhi.

India’s Commerce Ministry has indicated that discussions with the United States on the matter are continuing and noted that the proposed tariffs have not yet been finalised. The USTR has invited public comments on the proposal until July 6, with a public hearing scheduled for July 7 before any final decision is taken.

Certain products may remain exempt

The proposed tariffs include exemptions for several categories of goods, including some energy products, pharmaceuticals, rare earth materials and selected agricultural commodities. Additional details regarding sector-specific measures, including proposed textile-related actions, are expected to be released separately.

The latest move follows a Section 301 investigation launched earlier this year into forced labour concerns across global supply chains. Any final decision on imposing the tariffs will be made after the consultation process is completed.

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Trump reportedly rebukes Netanyahu over Lebanon strikes amid ceasefire concerns

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US President Donald Trump reportedly delivered a sharp rebuke to Israeli Prime Minister Benjamin Netanyahu during a phone call over Israel’s military actions in Lebanon, as concerns grow that renewed hostilities could jeopardise fragile diplomatic efforts in the region.

According to multiple reports, Trump expressed frustration over Israeli strikes linked to ongoing tensions with Hezbollah in Lebanon. The reported exchange came at a sensitive time, with Washington attempting to prevent further escalation while also pursuing broader diplomatic discussions involving Iran.

Reports point to unusually tense exchange

Sources cited in international reports said Trump used unusually strong language during the conversation, warning that continued military actions risked damaging efforts to stabilise the situation. One report claimed Trump told Netanyahu that his actions were hurting Israel’s international standing and complicating diplomatic initiatives.

The reported disagreement followed Israeli operations against Hezbollah-linked targets in Lebanon. While Israeli officials argued that the actions were a response to security threats and ceasefire violations, the US administration has been pushing for restraint to avoid a wider regional conflict.

Lebanon fighting threatens broader diplomatic efforts

The latest tensions come amid efforts to maintain a ceasefire framework between Israel and Hezbollah. US officials have been involved in discussions aimed at reducing hostilities and preventing attacks on major Lebanese population centres, including Beirut.

Reports indicate that Trump personally intervened to discourage further escalation and support negotiations intended to preserve regional stability. Hezbollah has reportedly signalled a willingness to consider a broader ceasefire arrangement if reciprocal commitments are made.

Differing public messages after the call

Despite reports of a heated conversation, Trump later suggested publicly that discussions had been constructive and that progress had been made toward reducing tensions. Netanyahu, however, maintained that Israel would continue to respond to security threats and would not alter its overall approach toward Hezbollah if attacks persisted.

The developments highlight growing challenges facing diplomatic efforts in the Middle East, where the conflicts involving Israel, Lebanon and Iran remain closely interconnected. Analysts say any major escalation in Lebanon could further complicate ongoing negotiations and increase instability across the region.

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