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Net Zero & Statism Deliver Stagnation: How Interventionism Undermined Growth In The UK & Canada
Governments are terrible at picking winners and even worse at choosing losers. Net zero and interventionist “Keynesian” policies in Canada and the UK have proven that government intervention has created a worse outcome than anyone would have expected. The result is higher costs, distorted incentives, and weakened productivity growth, with increased dependency on fossil fuels to attend to peak demand, exactly what Austrian economists predicted.
What has been sold as a recipe for prosperity and “green growth” has in practice eroded affordability while failing to deliver stronger, sustainable expansion.
It is not surprising to see that the world’s examples of green interventionism, the UK and Canada, have become economic failures. Years ago, some argued that these policies needed time to prove their success. Now, it is not even debatable that the stagnation and recession in the UK and Canada are self-inflicted.
Net zero in Canada and the UK is not a single policy but an entire regime of targets, regulations, limits, subsidies, and new bureaucratic requirements.
The Canadian federal plan to reach net-zero emissions by 2050 combines rising carbon taxes, prescriptive regulations, technology mandates, and public investment schemes intended to steer capital away from fossil fuels and into politically selected “green” projects.
In the UK, the government’s “Net Zero Growth Plan” is also built on regulatory limits, spending commitments, and industrial policy designed to phase out conventional energy and reshape entire sectors through top-down planning.
This is a classic example of interventionism. The state attempts to override market price signals and entrepreneurial judgment to engineer a politically preferred energy and industrial structure and achieves the opposite of what it wants to deliver. Rather than relying on decentralized knowledge, competition, technology, and creative destruction, dispersed among millions of consumers and firms, net zero regimes assume that politicians and regulators know exactly which technologies should win, what the “right” energy mix ought to be, and how fast the transition should occur.
In an open market, prices and profits coordinate production across time, and entrepreneurs interpret prices as signals about real scarcities and consumer preferences. However, net-zero policies deliberately tamper with these signals. Carbon taxes, subsidies, and regulatory mandates change relative prices not because underlying preferences or scarcities changed but because policymakers decided that certain activities should be penalized and others subsidized. All this is justified by a completely ideological and unreliable assumption of externality costs, where governments present themselves as the ones that know precisely what those alleged externality costs are and try to push a pricing signal imposed through ideology, creating enormous distortions that, ultimately, end benefiting the “old” and “loser” industries.
Governments are not worried about the failure of these policies. Bureaucrats always believe that interventionism did not work because there was not enough of it. Therefore, they impose additional burdens and regulations while portraying themselves as the solution to the inflation and stagnation problems they have caused.
In both Canada and the UK, this has pushed vast amounts of capital into projects that are unprofitable and can only subsist due to policy support rather than genuine market demand. “Green industrial strategies” crowd out investment in other sectors, especially in traditional energy and manufacturing, even when those sectors still deliver higher value at lower cost to consumers. Austrian theory predicts that politicized credit and subsidies will generate malinvestment: projects that look viable under distorted interest rates and prices but which fail to cover their costs once the policy support is withdrawn or the fiscal burden becomes unsustainable.
Canadian long-run productivity growth has fallen from annual rates above 3% in the postwar decades to less than 1% since 2000, despite repeated waves of policy activism and “pro-productivity” rhetoric. Chronic underinvestment in business capital and weak technological progress as key drivers of this decline, suggesting that the policy mix has not created an environment for genuine, bottom-up innovation. The more that investment decisions depend on regulatory favor and subsidy access, the less they depend on entrepreneurial assessment of consumer wants and long-term profitability.
Net zero has also harmed affordability in exactly the way Austrian economists would expect when governments interfere with relative prices. Carbon pricing, renewable mandates, and restrictions on fossil-fuel projects increase energy costs directly by making reliable sources of power more expensive or scarce. These higher input costs then cascade through the economy to transport, food, housing, and manufactured goods, eroding real wages and living standards.
In both Canada and the UK, affordability has become a central political issue. Households face higher utility bills, fuel costs, and housing expenses, while governments insist that the transition is “pro-growth” and “pro-jobs.” From an Austrian viewpoint, this contradiction is unsurprising: when the state deliberately raises the cost of dominant energy sources and limits investment in efficient, market-chosen technologies, the outcome is necessarily higher prices and reduced real income for consumers, especially for low- and middle-income households.
The C.D. Howe Institute has calculated the costs of justifying public “stimulus” projects based on their benefits, showing that a typical public-services stimulus in Canada needs to create at least 73 cents in benefits for every dollar spent, while many infrastructure projects must improve productivity by at least 61 cents per dollar just to be socially acceptable. This illustrates how difficult it is for discretionary fiscal programs to deliver genuine, net productivity gains, especially when they are designed around political objectives like net zero rather than around consumer demand.
Loose money, loose budgets, weak growth
Energy policy is just one aspect of the overall narrative. Canada and the UK have also pursued aggressively expansionary fiscal and monetary policies recently, justified in the language of Keynesian stabilization and “stimulus.” Central banks slashed interest rates and expanded their balance sheets, while governments ran large deficits to finance transfer programs, public investment packages, and targeted subsidies.
Such policies create an artificial boom by pushing interest rates below their market level, encouraging borrowing and investment that are not backed by genuine savings. When combined with interventionist climate and industrial policies, the result is a double distortion: not only is the cost of capital suppressed by central banks, but its allocation is further skewed by political targets and bureaucratic criteria.
The persistent weakness of productivity growth in both countries reflects the outcome. Despite waves of stimulus and intervention, neither Canada nor the UK has returned to the trend growth rates of earlier decades. Research on why productivity is stuck in advanced economies shows that slow business investment, poor use of resources, and uncertain policies are major problems—exactly what Austrian theory warns about when governments try to control demand and manage entire industries.
At the same time, the loose monetary and fiscal stance has fueled asset inflation and housing booms, worsening affordability while doing little to raise real wages in line with living expenses. For Austrians, this pattern is predictable: credit expansion inflates asset prices and encourages leverage, while deficit spending diverts resources from productive private activity toward politically selected uses, without solving underlying structural obstacles to innovation and entrepreneurship.
The “dynamics of interventionism” described by Austrian scholars such as Frank Shostak and Huerta de Soto captures what is now playing out in Canada and the UK. Initial interventions—carbon pricing, subsidies, ultra-loose money—create side effects such as higher energy costs, misallocated capital, and inflationary pressures. Rather than rolling back the original policies, governments respond with further interventions: price caps, windfall taxes, rent controls, targeted transfers, and new stimulus packages.
More layers mean more complexity, uncertainty, and lobbying, which sucks talent and capital out of productive activity and into regulatory arbitrage and rent-seeking. In the end, the private sector becomes less about serving consumers and more about navigating the policy maze, bidding for subsidies, and changing business models based on political risk, not market signals.
This process tends to push mixed economies toward either more radical intervention and taxation, because the accumulating distortions and contradictions become unsustainable. Rising public debt, chronic productivity stagnation, and growing discontent over affordability are all signs that the current policy mix in Canada and the UK is reaching such a breaking point.
An Austrian approach to the problems of growth, productivity, and affordability in Canada and the UK would start from the opposite principle: radically reduce the role of the state in credit allocation, industrial planning, and energy choices. The goal would be to restore genuine price discovery in interest rates, energy markets, and capital allocation, rather than using central banks and fiscal policy to engineer demand and support politically favored sectors.
That would require ending the “permanent emergency” stance in monetary policy and allowing interest rates to reflect real-time preferences and savings, rather than central-bank discretion; rolling back net zero mandates, technology bans, and targeted subsidies allow entrepreneurs and consumers to decide which energy sources and technologies best serve their needs at the lowest cost; and moving from government spending based on political choices to a system with clear rules and less government involvement that safeguards property rights, upholds contracts, and maintains low and steady taxes and regulations.
Under such a regime, capital would no longer be herded into fashionable, subsidy-dependent projects. Instead, entrepreneurs would once again be guided by undistorted profit and loss, discovering the production structures that genuinely align with consumer preferences and technological realities. Over time, such an approach is the only path consistent with higher productivity, faster real wage growth, and true improvements in affordability.
In short, the disappointing growth and deteriorating affordability in Canada and the UK are not market failures; they are the predictable result of layering net zero interventionism on top of already inflationary, deficit-driven macro policy. The solution is not more of the same but a decisive shift back toward sound money, fiscal restraint, and genuine economic freedom.
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Trump Reportedly Ripped Netanyahu In Phone Call, Demanded Lebanon Truce: 'You're F**king Crazy, I'm Saving Your Ass'
- Axios reports angry call between Trump and Netanyahu; Trump is said to have told Netanyahu "you’re fucking crazy’" while demanding Lebanon truce: "I’m saving your ass,"
- Trump has announced the "shooting will stop" in Lebanon, after phone calls with both sides. Says Iran talks back on "at rapid pace"; Lebanese presidency confirms Hezbollah agreed to US ceasefire proposal
- Iran announces halt to all exchanges with US, citing Israeli aggression in Lebanon. Trump says 'haven't heard' this from Tehran, vows to keep US naval blockade in place.
- Iran overnight initiated fresh attacks on neighboring Kuwait and even released video showing footage of a ballistic missile launch.
- The US bombed radar & drone sites in Iran in response to the Iranians having shot down a US drone over the weekend. Reports of foreign jets over Iranian airspace.
- Iran negotiator Ghalibaf charges US with breaking the ceasefire: "the naval blockade and escalation of war crimes in Lebanon" were "clear evidence of US noncompliance with the ceasefire."
- Trump Truth Social: "Just sit back and relax, it will all work out well in the end - it always does!"
Yes 39% · No 62%
View full market & trade on Polymarket
* * *
Trump Steamrolls Netanyahu: AxiosA bizarre and unexpected evening report from Axios says that President Trump ripped into Netanyahu during a phone call, cussing at him and essentially 'steamrolled' him - angry over breaking the Lebanon truce and demanding that Israel's military not attack Beirut.
Trump is said to have told Netanyahu "you’re fucking crazy’" while demanding Lebanon truce: "I’m saving your ass," he also reportedly said. Iran early Monday said it halted talks with Washington because of Israel's escalation in Lebanon. From the report:
One U.S. official said Trump told Netanyahu that following through on his threats to bomb the Lebanese capital would further isolate Israel around the world.
- Two of the sources said Trump claimed he'd helped keep Netanyahu out of jail — a reference to his support during Netanyahu's corruption trial.
- Summarizing Trump's remarks to Netanyahu, the U.S. official said: "You're fucking crazy. You'd be in prison if it weren't for me. I'm saving your ass. Everybody hates you now. Everybody hates Israel because of this."
- A second source briefed on the call said Trump was "pissed" and at one point yelled at Netanyahu: "What the fuck are you doing?"
And more:
The second U.S. official claimed that, in reality, Trump had "steamrolled" Netanyahu on the call. "Bibi said, 'OK, OK, just make sure everything is taken care of,'" according to the official.
The level of detail in this call 'leak' is remarkable, suggesting it was an 'official leak' or intentional.
Reports of Ongoing Fighting in South LebanonFresh reports of fighting, amid shaky truce declaration:
Sirens sound in the border community of Metula amid an apparent Hezbollah rocket attack from Lebanon.
The rocket fire comes despite US President Donald Trump announcing that Hezbollah would stop carrying out attacks on Israel amid the ceasefire.
Meanwhile, Iran claims it attacked a US container ship in the Sea of Oman (Fars News).
Lebanon Truce AffirmedThe Lebanese presidency has announced that Hezbollah agreed to a US proposal on the mutual cessation of attacks, which will expand to all Lebanese territory.
Per a regional Arab correspondent:
As we emphasized, the Israeli attack on Lebanon was obstructing the reaching of the agreement. The mediators exerted great effort today, and after the American pressure and the Israeli retreat, the doors are now open to return the negotiations to their natural and positive course, and there is no longer much left.
Iran Talks Back On?Wishful thinking or already a reality? ...following a proclaimed Lebanon truce, uneasy at best:
Trump Suggests He is Forging Lebanon CeasefireTrump has announced the "shooting will stop" in Lebanon, after a flurry of phone calls, including with Netanyahu. This came shoon on the heels of Hezbollah signaling it is ready to agree to an immediate truce. Israel too has reportedly halted plans to begin new airstrikes on Beirut.
The Lebanon crisis caused Tehran to earlier announced it is halting all contacts with the US. Will the US-Iran talks now be back on?
Trump to CNBC: 'I don't care' if talks are overTrump has shrugged off the apparent collapse of talks with Iran, after Tehran earlier said it has halted all communications with Washington over Israel's expanded assault on Lebanon and Hezbollah. Trump has freshly told CNBC by phone, "I don’t care if they’re over, honestly."
"I really don’t care. I couldn’t care less," he added, and indicated he was "going to ask" Israeli Prime Minister Benjamin Netanyahu "what’s going on with Lebanon." This suggests Trump could pressure America's ally to lower tensions.
Trump appears to be betting the US can 'outlast' the Islamic Republic, in terms of inflicting economic pain amid the growing global oil supply crisis due to the Hormuz Strait closure. On this, he reacted as follows:
He also said he wasn't worried about oil prices, which spiked following the report in Iranian state media that Tehran is vowing to “completely block” the Strait of Hormuz in addition to halting negotiations.
“I think the oil will be dropping like a rock in the very near, you know, the very near distance,” Trump said.
Trump ReactsPresident Trump tells NBC News that he's not heard from Iran on reports they're suspending talks, and on Iran, "I think we've been talking too much if you want to know the truth, going silent would be very good"
- We'll keep the blockade in Hormuz.
- I think I can wait as long as they want. They're losing a fortune.
His comments to NBC:
“It’s an appropriate thing to say, because they’re better negotiators than they are fighters,” he said in a brief phone call. “But they haven’t informed us of that.”
“It doesn’t mean we’re going to go and start dropping bombs all over there,” added Trump, who said Friday he would soon decide on a proposed deal to extend an ostensible ceasefire agreed to in early April. “We’ll keep the blockade.”
State Media: Iran Stops Exchanging Messages with USMerely last week, Western MSM press reports were touting the usual 'close to a deal' headlines, but this morning demonstrates how illusory such claims were and are, as Iranian state media now suggests a total halt in communications between the sides.
Per state Tasnim, "Iran stops exchanging messages with the US in protest against Zionist crimes." This as the IDF has sent ground forces deep into Lebanon, past the Litani River - in the deepest operation in decades. Tehran has insisted on linking up any US-Iran deal with a Israel-Lebanon peace. Tehran is now warning to "completely block the Strait of Hormuz, including the Bab al-Mandab Strait" - the latter with the cooperation of Yemen's Houthis. All of this has direct impact on the US-Iran ceasefire:
IRAN'S STATE TV SAYS PROBABILITY OF CEASEFIRE BETWEEN IRAN AND U.S. ENDING IS HIGH IF ATTACKS ON LEBANON DO NOT STOP
Below is the full translated statement:
• "The determination of the Iranian armed forces and all axes of the resistance front to respond to Zionist crimes and open new fronts".
• "Tasnim has obtained information indicating that, given the continuation of the Zionist regime's crimes in Lebanon and considering that Lebanon was one of the preconditions for the ceasefire and that this ceasefire has now been violated on all fronts, including Lebanon, the Iranian negotiating team is stopping "talks and exchange of texts through a mediator"."
• "The immediate cessation of the Zionist regime's aggressive and brutal army operations in Gaza and Lebanon and the necessity of the regime's complete withdrawal from the occupied areas in Lebanon have been emphasized by Iranian officials and negotiators, and there will be no talks until Iran and the resistance's views on this matter are met".
• "Also, the Resistance Front and Iran have set their agenda to completely block the Strait of Hormuz, and activate other fronts, including the Bab al-Mandab Strait, in order to punish the Zionists and their supporters".
Oil jumps on the headline of halted talks...
Futures slide...
Author and University of Chicago professor of the 'realist' school Robert Pape says the following on Monday published report: "We will run out of our cushion of oil inventories in July, whether it's the middle or end of July," he said. "And Iran knows that. So what Iran is doing is just stringing out the clock to get a better deal."
"What that tells me is they're not interested in returning the price of oil back to where it was before the war," he said. "I think what we need to understand is Iran's goal is to continue instability, continue elevated price of the world's oil because it gains from that."
For more, read our:
CENTCOM: Intercepted Pair of Ballistic Missiles on BaseOn Monday morning US Central Command issued its official statement and explanation over the earlier tit-for-tat brief flare-up in fighting, which appears to have ended...
"Last night at 11 p.m. ET, U.S. forces successfully intercepted two Iranian ballistic missiles targeting American forces based in Kuwait. These missiles were immediately defeated and no American personnel were harmed," it said. "U.S. Central Command remains vigilant and will continue to protect our forces from Iranian aggression while supporting the ongoing ceasefire."
Fresh Missiles on KuwaitThe extended US-Iran ceasefire is once again being severely tested, after Iran earlier in the daylight hours of Monday initiated fresh attacks on neighboring Kuwait and even released video showing footage of a ballistic missile launch. Kuwait in turn confirmed that has been intercepting inbound drone and missile fire.
It hosts a major American base, which is again being targeted, though it's unclear if anything has been hit. The IRGC subsequently identified that it targeted the US base in response to weekend US strikes on Iranian sites. According to a description of the released propaganda video:
The start of the video includes a close-up of what looks to be a sticker on the body of a missile depicting a bruised US president Donald Trump, on the phone asking for help, and overlaid on a “closed” Strait of Hormuz. The caption reads: “Until the last American soldier leaves the region.”
Iran's IRGC released footage showing the moment it launched missile attacks on what it claimed to be US airbases in Kuwait early Monday.
READ MORE: https://t.co/yRpPilUQ9S pic.twitter.com/f1Q2l5OnMu
All sides, including the Iranians and Kuwaitis, are saying they have a right to defend themselves. The United States, for its part, has said that it bombed radar and drone sites in Iran in response to the Iranians having shot down a US drone over the weekend.
Kuwait, GCC CondemnationAfter the US base in Kuwait was freshly targeted, Kuwait's Ministry of Foreign Affairs issued the following: “The Ministry of Foreign Affairs reiterates the State of Kuwait’s condemnation and denunciation, in the strongest terms, of the heinous and repeated Iranian attacks, which represent a dangerous escalation and a direct assault on the security and stability of the State of Kuwait, as well as a flagrant violation of the rules of international law, the United Nations Charter, and Security Council Resolution 2817 of 2026, not to mention the grave threat they pose to the safety of civilians and vital facilities in the country," it said in a post on X.
"The continuation and repetition of these aggressions undermine efforts aimed at de-escalating tensions and threaten security and stability in the region, emphasizing the State of Kuwait’s categorical rejection of these aggressive practices," it added.
Also, a swift reaction was issued by the Gulf Cooperation Council (GCC). It expressed its "strongest condemnation" of Iran for its attack on Kuwait, blasting it as a "dangerous and irresponsible escalation". Saying Kuwait remains a crucial part of the GCC, the bloc stated it stands "united and firm" and they fully support "all the measures and procedures it [Kuwait] takes to protect its security, preserve its sovereignty and territorial integrity, and maintain the security of its citizens and residents."
IRGC Navy seeks to flex with increasing fast boat patrols of Strait of Hormuz:
IRGC fast boats running 24/7 patrols in the Strait of Hormuz, per new footage from Iran's navy. The boats are steering commercial vessels through the waterway and intercepting any that don't follow orders. pic.twitter.com/tG5Vh71DMK
— Open Source Intel (@Osint613) June 1, 2026 Iran Latest Warnings: "The Bill Comes Due"; Ceasefire BreachedTop Iranian negotiator and parliament speaker Mohammad Bagher Ghalibaf has said that the continued American naval blockade of Iran's ports and Israel's intensifying offensive against Hezbollah in Lebanon illustrate that the US is not truly complying with the ceasefire.
He wrote on X that "the naval blockade and escalation of war crimes in Lebanon" were "clear evidence of US noncompliance with the ceasefire." He stressed by way of warning: "Every choice has a price, and the bill comes due. It will all fall into place."
As things in Lebanon intensify, given the IDF has plunged past the Litani River and plans to expand its ground force occupation. Yemen's Houthis say they are ready to join Hezbollah's efforts against Israel, per Tasnim. Iran's Foreign Ministry has also freshly addressed the Lebanon crisis:
For immediate attention:
The ceasefire between Iran and the US is unequivocally a ceasefire on all fronts, including in Lebanon.
Its violation on one front is a violation of the ceasefire on all fronts.
The US and Israel are responsible for the consequences of any violation.
More...
Iran's FM Spokesperson Baghaei: The other side keeps shifting its demands and sending contradictory messages, which is dragging out negotiations. Israel's escalation in Lebanon is aimed at destroying any chance diplomacy could work. The U.S. and Israel cannot be seen as separate.… pic.twitter.com/VFbOUwX9V2
— Open Source Intel (@Osint613) June 1, 2026 Trump: "Sit Back & Relax"Trump's latest Truth Social: "Just sit back and relax, it will all work out well in the end - it always does!"
And here's pushback from Stephen Walt in Foreign Policy magazine:
Although we don’t know the details of the rumored agreement between the United States and Iran—or even if one will eventually be reached—anyone with a triple-digit IQ understands that Israel and the United States made a colossal blunder when they started the war. None of their stated goals have been achieved: The Iranian regime did not collapse, it did not surrender its nuclear stockpile, and its missile and drone capabilities are intact. It has demonstrated that it can shut down the Strait of Hormuz anytime it wants to inflict significant damage on its neighbors. All of U.S. President Donald Trump’s and U.S. Defense Secretary Pete Hegseth’s bragging and bluster over the past three months has been exposed as a lot of hot air.
Iran Touts More Breaches of US BlockadeA total of 15 vessels, including four oil tankers, have successfully transited the Strait of Hormuz over the last 24 hours, according to the Islamic Revolutionary Guards Corps (IRGC).
The IRGC navy confirmed that the ships only completed their passage after receiving explicit permission and coordinating directly with its command structure. Washington and its Gulf allies (with the exception of Oman) have repeatedly condemned any attempt to impose an 'Iranian protocol' involving the extraction of tolls.
In an official statement carried by Fars News, the IRGC issued a stark warning to the region, declaring that any cooperation with "hostile forces" would be viewed by Tehran as an "imminent security threat" that will be "dealt with accordingly". This is tantamount to warning foreign vessels they could come under direct attack if they don't comply.
More Latest Developmentsvia Newsquawk...
- Iran may propose changes to the US peace draft memorandum of understanding, according to Tasnim. This follows a report that President Trump proposed further changes to the existing text, while a source stated that text exchanges continue and that Iran may submit its own edits.
- Iranian Foreign Minister Araghchi told state media that talks and message exchanges with the US are ongoing, and that the talks cannot be judged until a clear result is reached.
- Iranian Foreign Ministry Spokesperson said the negotiation team's visit to Qatar was positive.
- Iranian Foreign Ministry spokesperson said that they have a legal obligation to prevent aggressors from using their territory and facilities to attack another country.
- Iran’s Presidential Office denied reports that Iranian President Pezeshkian submitted his resignation to the Supreme Leader, and stated that the stories were spread by some foreign media.
- Iranian Supreme Leader’s military adviser Mohsen Rezaei said Iran has no intention of yielding or compromising with the US and will not place itself in a weak position, while he also stated that US President Trump is betraying diplomacy for the third time by continuing a naval blockade on Iran and making excessive demands.
- IRGC said following aggression of US Army on a communication tower on Sirik Island, located in the Homozgan province an hour ago, fighters of the IRGC Aerospace Force targeted airbase where aggression originated and predicted targets were destroyed.
- Iran's top negotiator said "The naval blockade and escalation of war crimes in Lebanon by the genocidal Zionist regime are clear evidence of US noncompliance with the ceasefire".
- Iranian Foreign Ministry Spokesperson said at this moment they do not believe that the US has good intentions towards Iran.
- Iran's FM Baghaei said "No negotiations have taken place on the details of the nuclear issue at this stage". One point being discussed is the allocation of funds for reconstruction. We are considering options for responding to the escalation of Israeli attacks in Lebanon.
- Iran's Baghaei said a ceasefire in Lebanon is an integral part of any agreement and end to the war; lack of trust and constant change in US and Israeli positions in Lebanon are causing a delay on the diplomatic process. The continuation of maritime piracy and attacks on Iranian shipping is an example of a violation of the ceasefire. The diplomatic apparatus is closely following developments and we will take every measure to defend Iran's sovereignty. The exchange of messages is still ongoing.
- Iran's Deputy Foreign Minister Gharibabadi said Iran's goal is not to hold ships in the Strait, but to declare a procedure that is not contrary to international law; these arrangements are not temporary and Iran will not back down. Stopping ships behind the Strait of Hormuz incurs storage and delay costs, and war insurance has increased by up to 500%. Accompanying Iranian forces costs less than war insurance and eliminates the risk of stoppage, inspection, and seizure. Iran's goal is not to hold the ships, but to declare a procedure that is not contrary to international law; these arrangements are not temporary and Iran will not back down.
- "Three consecutive explosions were heard in Bandar Abbas", Iran International reported.
- US President Trump reportedly sent tougher terms to Iran regarding the peace framework, according to officials cited by The New York Times.
- US President Trump posted "Iran really wants to make a deal, and it will be a good one for the U.S.A. and those that are with us". Full post "Iran really wants to make a deal, and it will be a good one for the U.S.A. and those that are with us. But don’t the Dumocrats, and various seemingly unpatriotic Republicans, understand that it is MUCH tougher for me to properly do my job and negotiate, when political hacks keep negatively “chirping,” at levels never seen before, over and over again, that I should move faster, or move slower, or go to war, or not go to war, or whatever. Just sit back and relax, it will all work out well in the end - It always does! President DJT".
- US President Trump posted "Fake News CNN said today, routinely, that my Iran Nuclear Deal doesn’t talk about Nuclear, when actually it states, very clearly, that Iran will not have a Nuclear Weapon". Full post "ScraperFake News CNN said today, routinely, that my Iran Nuclear Deal doesn’t talk about Nuclear, when actually it states, very clearly, that Iran will not have a Nuclear Weapon. It then goes on, in very strong and lengthy detail, to discuss various other aspects of Nuclear. In fact, that’s what most of the agreement is about. CNN, and so many others in the Fake News Media, is a Low Ratings disaster. Even with new ownership, it is unlikely to ever get better!!! President DJT".
- US Secretary of State Rubio spoke in the last 48 hours with Lebanon's President and Israel's PM to try and promote a new ceasefire initiative, according to a senior US official cited by Axios's Ravid. said:. US senior official said that the new initiative was proposed as part of the negotiations taking place between Israel and Lebanon, as another round of talks between diplomats from both sides is scheduled to take place this week in Washington. In order to advance the talks, US proposed that as a first step, Hezbollah stop all attacks on Israel, and in return, Israel will refrain from escalation in Beirut.
- US Central Command confirmed military forces conducted strikes against Iranian radar at command and control sites located in Goruk and Qeshm Island over the weekend.
- Kuwait Army said air defences are intercepting hostile missile and drone attacks.
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Tesla Posts Strong Registration Growth Across Europe In May
Tesla showed signs of regaining momentum in Europe during May, posting strong registration growth across several major markets, according to Reuters. New registrations climbed to 1,750 vehicles in Denmark (+136%), 1,690 in Spain (+113%), and 858 in Sweden (+71%), based on data released by local industry groups.
Reuters writes that the trend extended across the region. Norway recorded 3,345 Tesla registrations, up 29% from a year earlier, while France saw registrations rise to 5,446 vehicles—more than seven times last year's level.
The gains come as demand for electrified vehicles continues to strengthen across Europe. Battery-electric, plug-in hybrid, and hybrid vehicles represented more than two-thirds of all new registrations in April, with total electrified vehicle registrations increasing roughly 21%, according to ACEA.
Industry observers note that Tesla is benefiting from the overall expansion of the EV market, particularly in Scandinavia, while countries such as Spain are beginning to catch up in adoption. Consumer incentives, emissions-focused policies, and elevated fuel prices are also helping accelerate the shift toward electric mobility.
The recent improvement follows a difficult period for Tesla in Europe. The company lost a significant share of the regional market in 2025 as competition intensified—especially from Chinese manufacturers—while a limited refresh cycle and controversy surrounding CEO Elon Musk also weighed on demand. Registration figures from Germany and the UK, Europe's largest auto markets, are still to come.
Tyler Durden Tue, 06/02/2026 - 05:45