Semafor’s Summaries of World News on April 3rd

3 April 2026, posted by Eric Zuesse. (All of my recent articles can be seen here.)

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https://www.semafor.com/newsletter/04/03/2026/semafor-flagship-testing-vital-systems

https://archive.ph/MtznH

3 April 2026

War-weary Europe retreats from Trump

French President Emmanuel Macron criticized his US counterpart Donald Trump, part of Europe’s increasing froideur with Washington over Iran. Macron accused Trump of being unserious, changing his Iran stance daily, and ignoring the war’s human and economic consequences. European leaders are distancing themselves from Trump, The New York Times reported, by refusing access to facilities and airspace and by speaking of the continent’s need for self-reliance. But Macron’s comments are unusual in naming Trump directly, despite regular insults coming the other way. Frustrations are high, as Europe suffers from the Iran war: The EU energy chief warned of a “long-lasting” energy shock, according to the Financial Times, and British motorists can soon expect diesel to hit $10 a gallon.

Iran seeks long-term control of Hormuz

Iran is working to establish lasting control over the Strait of Hormuz. The regime advanced legislation to bar unfriendly countries from the waterway and require all vessels to pay a toll. Asian countries’ energy and commodities imports have been strangled, and several are negotiating with Tehran for safe passage — a situation that could quickly become permanent, an academic noted. Control over the strait is now the regime’s greatest source of leverage, and the war’s outcome will depend chiefly on whether Iran still holds sway over it, and thus global energy markets. An analyst told The Wall Street Journal that the strait “now matters more than the nuclear program” to Iranian leaders.

Russia’s battlefield progress stalls

Russia made no territorial gains in March, the first time its progress has stalled entirely in more than two years. Ukrainian forces even recaptured small areas of territory, the Institute for the Study of War data showed. Moscow’s advance has been slowing since late last year: It took just 123 square miles in January and 47 in February, the smallest gains since April 2024. The ISW said Ukrainian counteroffensives were one reason, as well as technological issues that have hindered battlefield communication: Starlink has cut Russia’s access to its satellite internet, and the Kremlin prevented its own troops from using the messaging app Telegram in favor of a state-run option.

US labor market slumps

US businesses are hiring at their lowest non-pandemic rate since 2011, hinting at a deep chill in the labor market. Hiring as a percentage of total employment dropped from 3.4% in January to 3.1% in February, while job openings fell. Overall, 92,000 jobs were lost, and the voluntary quitting rate dropped — seen as a measure of employees’ confidence in their ability to find new work. The slump predates the Iran war, which began on Feb. 28: A worrying sign, one analyst noted, since the conflict’s impact on shipping and energy markets will increase costs for businesses, which “may be forced to reckon with tough decisions such as raising prices or reducing hours and workforce.”

Venezuela’s March oil exports boom

Venezuela’s oil exports in March surpassed one million barrels per day for the first time in months, as US efforts to bolster the sector took hold, although democratic reforms appear far off. Washington pressured Caracas to liberalize the industry — which contributes around half its tax intake and a fifth of GDP — drawing interest from some of the world’s biggest producers. The US has relaxed its investment and trade restrictions with Venezuela as well, boosting business sentiment there. Still, Venezuelans who were hoping for a rapid transition to democracy after decades of authoritarian rule may have to wait longer: Some local businessmen were skeptical about pushing for elections too soon as the country regains some stability, The Economist reported.

Beating back China’s desert

China is creating life in its “Sea of Death.” After nearly five decades of effort, the fringes of the great Taklamakan Desert are becoming a forest, NASA satellite data confirmed. The Taklamakan is 25 million years old, and was slowly expanding. But since 1978, Beijing has been planting hardy shrubs and trees around its edges to hold it back. As well as acting as a bulwark against the desert’s encroachment, the greenery is intended to improve agricultural conditions and reduce political unrest in the area, and will act as a carbon sink, Gizmodo reported. The resulting woodland is “not like a rainforest in the Amazon or Congo,” a NASA scientist said, but shows that even barren wastelands can turn green.

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https://www.semafor.com/newsletter/04/03/2026/semafor-washington-dc-fbis-risk

https://archive.ph/KmvC2

How FBI’s Swalwell scrutiny could backfire

3 April 2026

How FBI’s Swalwell scrutiny could backfire

The Trump administration’s interest in reviving a long-closed investigation into Democratic Rep. Eric Swalwell could backfire — by elevating his profile and boosting his on-the-bubble California gubernatorial campaign, Semafor’s Nicholas Wu reports. Swalwell has gone on the offensive following reports that FBI Director Kash Patel was pursuing the release of files from a decade-old investigation into the lawmaker’s connections to a suspected Chinese intelligence operative, Christine Fang. As Swalwell tries to break away from a crowded pack in the June 2 gubernatorial primary, some fellow Democrats believe the FBI’s move will end up boosting Swalwell, an outspoken critic of President Donald Trump. “I do think it was a stupid move for Patel to threaten to release files of a long-closed investigation involving Swalwell,” said Garry South, a California Democratic strategist not working for any of the gubernatorial hopefuls.

Trump to propose 2027 budget

Trump is expected to again ask Congress to slash funding for domestic agencies and give far more money to the military when he delivers his 2027 budget request to lawmakers today. The president earlier this year suggested he could seek a defense budget of $1.5 trillion, which is about 50% more than lawmakers greenlit for this fiscal year. His administration has meanwhile begun probing federal programs for fraud — work that could lay the groundwork for deeper cuts. But as the saying goes, “the president proposes, Congress disposes.” Last year proved no exception, despite Trump’s unique sway over his party and its control of both chambers. This year could be an even tougher sell: Many Republicans will be more loath to redirect cash to the Pentagon as the war in Iran makes life more expensive for Americans ahead of November’s elections.

World views China better than US

China has a better approval rating across the world than the US does, representing a shift since Trump took office. According to new Gallup polling, a median of 36% of those polled across more than 130 countries approve of China’s leadership, while 31% approve of US leadership — the largest edge Beijing has had over Washington in almost two decades. US approval across the globe slid from 39% to 31% between 2024 and 2025, during which time Trump began his second term. The poll was conducted in 2025, and does not account for recent foreign policy moves by the new administration — like the raid that captured former Venezuelan leader Nicolás Maduro or the Iran war. America’s approval has declined across many US allied nations, and sunk the most in Germany (by 39 percentage points). Israelis’ view of the US did improve from the prior year.

Dem PAC goes after party’s donor waste

Welcome PAC, a Democratic group that funds candidates in Trump-won House seats, is launching a candidate fundraising drive with a jeremiad against the party’s common fundraising tactics. At InvestingToWin.org, two direct links to candidates — Jasmeet Bains in California and Paige Cognetti in Pennsylvania — are accompanied by criticism of consulting firms that bombard Democratic donors and pile up money for safe seats: “That’s great for the consulting firms collecting their cut. It’s catastrophic for the party trying to win a majority.” Liam Kerr, the PAC’s co-founder, explained that progressives have built strong fundraising infrastructure over years of competition. The new campaign is about building that for centrists, away from third-party groups and consultants. “It’s not only energy and ideology that moves small-dollar donors away from moderates and swing races,” he said. “It’s that you’ve got to spend money to make money.”

White House

Commerce Secretary Howard Lutnick or Labor Secretary Lori Chavez-DeRemer could be next, as President Trump mulls “additional changes to his Cabinet.” — Politico

Vice President JD Vance will visit Hungary next week and meet with Prime Minister Viktor Orbán, days before the country’s April 12 elections.

Congress

House Oversight Committee members intend to still enforce their subpoena of Pam Bondi over the Jeffrey Epstein case.

Rep. Alexandria Ocasio-Cortez, D-N.Y., now opposes all US military aid for Israel, a notable shift.

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https://www.semafor.com/newsletter/04/03/2026/pm-semafor-washington-dc-ag-jockeying

https://archive.ph/SOBgA

3 April 2026

White House asks Congress to spend big on defense

The Trump administration on Friday asked lawmakers to boost defense spending by 42% while cutting all other spending by 10% for fiscal year 2027. The request will face strong headwinds on Capitol Hill, where appropriators rejected a similar ask last year. Democrats have already panned it as “morally bankrupt,” while Republicans will be especially wary of redirecting cash to the military as the war in Iran raises prices ahead of elections. The White House is suggesting enacting $350 billion of the $1.5 trillion defense spending via the reconciliation process, which requires support from almost all GOP members. Proposed cuts elsewhere would affect the Community Development Financial Institutions Fund; the Internal Revenue Service; a pair of housing programs; and the Minority Business Development Agency. Deficit hawks meanwhile slammed the decision to exclude debt projections, which the Committee for a Responsible Federal Budget called “astonishing.”

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Investigative historian Eric Zuesse’s latest book, AMERICA’S EMPIRE OF EVIL: Hitler’s Posthumous Victory, and Why the Social Sciences Need to Change, is about how America took over the world after World War II in order to enslave it to U.S.-and-allied billionaires. Their cartels extract the world’s wealth by control of not only their ‘news’ media but the social ‘sciences’ — duping the public.