Iran demands OIC meeting to thwart Trump’s nefarious plan

Iran’s Foreign Minister Abbas Araghchi has demanded the Organization of Islamic Cooperation (OIC) to hold an emergency meeting to discuss the disgraceful US-Israeli plan to forcibly displace Palestinians from the Gaza Strip.

Islamic countries now have a responsibility to defend the legitimate rights of the Palestinian people, especially their right to self-determination, Araghchi told OIC Secretary-General Hissein Brahim Taha in a phone call.

“The plan to forcibly displace Palestinians from Gaza is not only a major crime and tantamount to genocide, but will also have dangerous implications for regional and global stability and peace,” Araghchi added.

The Iranian foreign minister emphasized the need for a coordinated and unified stance from the Muslim world to thwart this “nefarious scheme”.

The minister said Islamic countries have a crucial responsibility to support the legitimate and fundamental rights of the oppressed Palestinian people, particularly their right to self-determination and a secure life in their homeland.

For his part, OIC chief Taha welcomed Iran's proposal for holding an extraordinary meeting of OIC foreign ministers for the purpose, saying he would consult with member states regarding the matter.

 

“I am committed to buying and owning Gaza”, says Trump

US President Donald Trump has doubled down on his plan to take control of Gaza, and said that he could allow other states in the Middle East to rebuild parts of the war-ravaged enclave.

“I’m committed to buying and owning Gaza. As far as us rebuilding it, we may give it to other states in the Middle East to build sections of it," Trump told reporters onboard Air Force One as he traveled to the Super Bowl in New Orleans on Sunday.

"Other people may do it through our auspices. But we’re committed to owning it, taking it, and making sure that Hamas doesn’t move back. There’s nothing to move back into. The place is a demolition site. The remainder will be demolished," he added.

Trump described the enclave as "the most dangerous site anywhere in the world to live in," but said "we'll make it into a very good site for future development by somebody".

"We'll let other countries develop parts of it. It'll be beautiful. People can come from all over the world and live there," he told reporters.

"But we're going to take care of the Palestinians. We're going to make sure they live beautifully and in harmony and in peace, and that they're not murdered."

The US president announced his plan to take over Gaza almost a week ago, following a meeting at the White House with Israeli Prime Minister Benjamin Netanyahu.

At the time, he said that displaced Palestinians would not want to go back to Gaza. On Sunday, Trump told reporters that Arab nations would agree to take in Palestinians after speaking with him and insisted Palestinians would leave Gaza if they had a choice.

“They don’t want to return to Gaza. If we could give them a home in a safer area — the only reason they’re talking about returning to Gaza is they don’t have an alternative," Trump said. "When they have an alternative, they don’t want to return to Gaza."

Trump's plan to resettle Palestinians and turn the enclave into the "Riviera of the Middle East" drew widespread international condemnation from leaders and officials worldwide.

Countries including Jordan, Saudi Arabia, France, Spain, Ireland, Germany, Türkiye, Iran, and Brazil voiced their opposition to any forced displacement. Australia, Russia and China said a two-state solution is the only way forward. UN Secretary-General António Guterres said "it is essential to avoid any form of ethnic cleansing".

 

Can Trump impose tariffs on Chinese drugs?

According to The Hill, President Trump’s tariffs on China are in place and hitting all products imported from the country — including a number of pharmaceuticals that Americans rely upon.

Chinese imports account for a significant proportion of US prescriptions and over the counter drugs. Many of the Chinese-produced medicines are generics, which account for 91 percent of prescriptions dispensed in the United States.

“The Chinese market is a key supplier for key starting materials and Active Pharmaceutical Ingredient (API) to the generic supply chain,” said John Murphy, president and CEO of the Association for Accessible Medicines (AAM). 

“I will say they’re sort of less important any longer for the actual finished fill and final manufacturing,” Murphy noted. “But really, it’s the rare minerals, the key starting materials which are obviously critical to the supply chain.” 

Stakeholders were hopeful that medications would be spared from tariffs. Some noted that the US is a signatory to the World Trade Organization’s (WTO) 1994 Agreement on Trade in Pharmaceutical Products which calls for the elimination of tariffs on many pharmaceutical products. China has vowed to sue over the 10 percent tariffs, which it says are in violation of WTO rules. 

But a White House official said no exceptions are planned, and the administration will not be recognizing the WTO agreement. 

The country’s dependence on China to maintain pharmaceutical supply chains has long been an issue that lawmakers on both sides of the aisle have sought to address.

In 2018, the US-China Economic and Security Review Commission noted that the country was “heavily dependent” on drugs and API originating from China.

A 2023 analysis from the Atlantic Council found that the value of Chinese-imported APIs has continued to grow in recent years. 

According to Monica de Bolle, a senior fellow at the Peterson Institute for International Economics, the US isn’t unique in its dependence on China for drugs, noting that the European Union is similarly reliant.   

De Bolle said China’s dominance in the market grew as it sought to enhance its drug producing capacity while US pharmaceutical companies turned to other manufacturing pursuits. 

“What happened is that we developed this huge biotech sector where we have a lot of stuff going on,” said de Bolle. “The manufacturing market just turned to producing these more sophisticated drugs; the stuff that’s used in treatments, the stuff that’s going through clinical trials.” 

“That’s why we went from, you know, producing a lot of these things to not producing many of these things and buying them from elsewhere. And elsewhere eventually became China,” she added. 

The margins for manufacturing generic drugs are razor-thin, and any disruptions to the supply chain are apt to cause shortages or delays. 

“That additional 10 percent tariff is going to have a fairly significant impact on the cost of goods for the generic and by a similar supply chain,” said Murphy. “We don’t hold massive stockpiles of generic drugs in the United States. It’s a fairly just-in-time inventory.” 

According to Murphy, some manufacturers may find it economically unviable to produce generic drugs, resulting in shortages. 

Across all industries, analysts have warned that increased costs brought on by tariffs will be passed to consumers. But some manufacturers may instead drop out of the market entirely rather than pass on costs, partly due to a key provision in the Inflation Reduction Act (IRA).

As part of its cost-cutting measures, the IRA included a provision that requires drug makers to pay Medicaid a rebate if the price of their drugs rises faster than the rate of inflation.  

Tom Kraus, vice president of government relations at the American Society of Health-System Pharmacists, said incurring that penalty on top of tariffs could mean more than just shortages. 

“You’ve got to sort of factor in paying that penalty, which is going to make you less profitable or you’re going to have to drop out of the market,” said Kraus. 

He noted that group purchasing organizations, companies that help hospitals and pharmacies buy drugs and save money, may decide that manufacturers whose products originate from China are too expensive and turn away from them entirely. 

 

 

Saudi Navy taking part in AMAN-25 Exercise in Pakistan

The Royal Saudi Navy is participating in the joint naval exercise titled “AMAN-25,” which started in Karachi, Pakistan on Friday, as part of its efforts to enhance international cooperation in maritime security.

Naval forces from as many as 60 countries are taking part in the five-day multinational maritime exercise, which aims to strengthen global collaboration in combating piracy and terrorism while improving security coordination among the participating naval forces.

The 9th edition of the naval drill, organized by the Pakistan Navy, focuses on safeguarding economic waters, sharing expertise, enhancing combat readiness, and preparing participants for complex maneuvers and counter-techniques.

The Royal Saudi Navy is participating in the exercise with two war ships –HMS Jazan and HMS Hail- along with specialized forces from the Marine Corps and the Royal Navy’s Special Security Units.

Pakistan on a path of implosion

It was what one may safely describe as a ‘memorable’ occasion. Exactly a year ago today, adult-aged Pakistanis from all faiths, cultures, ethnicities, and socioeconomic classes had headed to their assigned polling stations to cast their ballots in a much-delayed general election.

 was remarkable how many expectations they ended up defying that day. One recalls the unannounced blackout of all mobile communication services, enforced by the authorities shortly before polls opened, which had left people without access to vital election-related information and unable to contact their friends and families.

It was not enough to deter the over 59 million citizens’ intent on having their voices heard that day. One also recalls the smug predictions of television pundits and the surveys fed to the media in the run-up to Election Day. None of them prepared the nation for the coup ordinary Pakistanis pulled off merely with the help of a stamp and a ballot paper.

No observer can honestly deny that the last election’s results were highly unexpected.

Considerable effort was made to keep one party out of the race. The party’s leadership was jailed, its workers picked up, its electoral symbol withdrawn, and its candidates, even after being forced to declare themselves independents, not allowed to campaign.

If the previous elections were manipulated — perhaps by the same elements — to bring the PTI to power, they went out of their way to ensure that it did not have any chance this time around.

Despite all their machinations, however, the PTI ended up winning an unexpectedly large chunk of the popular vote.

The results announced two things: one, that Pakistan’s youth had finally arrived on the political scene, and two, that ordinary voters had overwhelmingly rejected the narratives set by the powers of the day. In this sense, the 2024 election was indeed a historic one.

Much went wrong after February 08, 2024, mainly because responsible individuals within the Pakistani state refused to come to terms with the country’s changed realities.

However, though the injustices that followed the last general election cannot be forgotten, it is equally important to start thinking about what must now be done to mitigate their effects.

The country has continued to march on a path of implosion, unable to contain the dissonance created by a conflict between what those controlling the state want and what the people want for themselves. Unless this fundamental conflict is resolved, the country will not be at peace with itself.

A war of egos has been fought between a handfuls of individuals at the cost of the well-being of millions of ordinary Pakistanis. This unnecessary war must be called to an end. The people of Pakistan have been wronged for too long. They need a change.

Dawn Editorial, February 08, 2025

Aman-25 focuses regional cooperation

The picturesque seafront of the Pakistan Navy Dockyard with windsurfers, sailboats and Navy boats painted a beautiful backdrop for the flagpoles from which fluttered the flags of 60 nations participating in the ninth Multinational Maritime Exercise ‘Aman-25’ on Friday morning.

The biennial exercise commenced with a formal flag-hoisting ceremony, followed by the cutting of a cake by senior representatives of the participating navies.

A message from the Chief of Naval Staff, Admiral Naveed Ashraf, was read by Commodore Omar Farooq during the ceremony.

The naval chief welcomed the participants and highlighted that the exercise, which began in 2007, has now become a regular biennial feature, bringing together regional and ex­tra-regional navies to foster a secure and conducive maritime environment.

He emphasized the Pakistan Navy’s role as a key stakeholder in the Arabian Sea and its initiatives to enhance regional maritime security, including Regional Maritime Security Patrols.

He further stated that in recognition of the international community’s trust in its efforts to promote peace and stability at sea, Pakistan Navy has introduced the Aman Dialogue this year as an adjunct to the exercise.

Speaking on the occasion, Pakistan Fleet Commander Rear Admiral Abdul Munib underscored the force’s contributions to collaborative maritime security and the exercise’s significance in enhancing interoperability among the participants.

Rear Admiral Munib praised the participating countries for supporting Pakistan’s commitment to peace and maritime security and expressed the hope that the friendships fostered during the exercise would continue and grow.

The ninth edition of the exercise will see the participation of 12 naval ships, some of which have already arrived at the Karachi port while others are on their way.

China, with its Plans Baotou-133 and Plans Gaoyouhu, and the Kingdom of Saudi Arabia, with its HMS Jazan and HMS Hail ships, are the nations participating with two vessels each.

The other vessels include UAE’s Abu Dhabi (CVT) P-191, Malaysia’s KD Terengganu-174, Japan’s JS Murasame, Sri Lanka’s SLNS Vijayabahu, Indonesia’s KRI Bung Tomo-357, Iran’s Jamaran, Bangladesh’s BNS Somdura Joy, USA’s Lewis B. Puller and Oman’s RNOV Sadh. Meanwhile, Turkiye is participating with one aircraft.

There are also a number of special operation forces and observers taking part in the inaugural Aman Dialogue scheduled for February 09 to 10.

Bangladesh’s Chief of Naval Staff Admiral Nazmul Hassan, who arrived with his naval fleet, held meetings with Pakistan’s top military leadership on Friday in another sign of the improved bilateral ties between the two nations.

Admiral Hassan, who will also attend the inaugural Aman Dialogue on maritime security, called on the chairman of the Joint Chiefs of Staff Committee, Gen Sahir Shamshad Mirza and Chief of Army Staff Gen Asim Munir.

He also held a bilateral meeting with Admiral Ashraf at the Naval Headquarters in Islamabad.

The meetings focused on the evolving regional security landscape and mutual strategic interests, particularly in maritime collaboration.

Both militaries explored avenues to strengthen defence ties, including joint naval exercises, training programs, and exchange visits.

Adm Hassan’s visit marks the second high-level engagement between the Bangladeshi Armed Forces and Pakistani military leadership in recent months.

On January 14, Lt Gen S.M. Kamrul Hassan, the principal staff officer of Bangladesh’s Armed Forces Division, led a military delegation to Pakistan, where both sides agreed to bolster defence cooperation and collaborate on regional peace efforts.

Observers see these developments as a shift in Bangladesh-Pakistan relations after years of estrangement.

Bangladesh’s participation in Pakistan’s multilateral naval exercise is considered a major step forward in military cooperation.

 

PSX index records 3.4%WoW decline

Pakistan Stock Exchange (PSX) endured bearish sentiments throughout the week due to a lack of imminent triggers. The benchmark index recorded its second-highest correction of the year in percentage terms, losing 3,933 points or 3.4%WoW to close at 110,323 points on Friday, February 07, 2025.

The decline was mainly driven by higher dividend-yielding sectors, including Fertilizer, E&P, and Banks, as stocks prices corrected adjusting their dividend yields in line to rising secondary yields.

Notably, in the last T-Bills auction, cutoff yields increased, taking 12-month yields to 11.59%, as investors reacted to a lower-than-expected policy rate cut and opted to wait for the IMF review.

Trade deficit widened by 18%YoY to US$2.3 billion in January 2025, driven by a 10%YoY rise in imports.

On a positive note, inflation eased to a nine-year low of 2.4%YoY in January.

The Sindh and Baluchistan assemblies passed the agriculture income tax bill during the week, complying another IMF condition ahead of the upcoming review.

President Asif Zardari's visit to China generated positive sentiment, with discussions on CPEC Phase-II continuing to unfold.

Market participation declined, with average daily traded volume falling 13%WoW to 434 million shares, from 498 million shares in the earlier week.

On a positive note foreign exchange reserves held by the State Bank of Pakistan (SBP) increased by US$46 million to US$11.4 billion as of January 31, 2025.

Other major news flow during the week included: 1) Pakistan and SFD sign US$1.61 billion agreements to boost economic cooperation, 2) FBR faces PKR468 billion shortfall in 7MFY25 revenue collection, 3) sales of POL rise 4%YoY in the first seven months of the current financial year, 4) Cement dispatches increased by 14%YoY in January, and 5) POL price were increased in the last fortnightly review.

Among the various sectors only REIT was a positive performer, while Refinery, Transport, OMC, E&P, and Technology sectors witnessed erosion in value.

Major selling was recorded by Mutual Funds with a net sell of US$5.5 million, barring sale of 6.0% stake of PKGS by Enso AB. Individuals absorbed most of the selling with a net buy of US$7.9 million.

Top performing scrips of the week were: SAZEW, AICL, NPL, MUGHAL, and INIL, while laggards included: ENGROH, MTL, POL, PTC, and ATLH.

According to AKD Securities, the market outlook remains positive, with the market expected to largely being driven by specific scrips and sectors, following any trigger or corporate results.

The upcoming MSCI review next week could serve as a potential catalyst for market sentiments. Over the medium term, the benchmark index is anticipated to sustain its upward momentum through CY25, primarily driven by the strong profitability of Fertilizer companies, higher sustainable RoEs of Banks and improving cash flows of E&Ps and OMCs, benefitting from falling interest rates.