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Good morning. Today we’re covering:
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Fourth UK Tory staffer investigated over betting
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The US ambassador to Japan speaks to the FT
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China’s super-rich flee the country
But we start with the news that agencies representing TikTok’s biggest advertisers are drawing up contingency plans as the US prepares to ban the popular video app.
ByteDance, TikTok’s Chinese parent, has until January to either divest its US business or face a ban on the app by US lawmakers, who are concerned about security because of its links to China.
The social media platform, with more than 1bn global users, has become a key part of the marketing strategies for many brands given its huge popularity, particularly with younger audiences. TikTok generated $16bn in sales in the US last year, predominantly from advertising, people with knowledge of its finances have told the FT.
One advertising executive said the ban threat was already having a chilling effect on spending by some brands. The person said that they had quizzed company executives about what would happen if the US blocks the site.
“They didn’t have a good answer on how they sell ads in the US right now,” the ad boss said. Here’s how his group, and others, are preparing for a possible TikTok ban in the one of the world’s most important advertising markets.
And here’s what I’m keeping tabs on today:
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Jimmy Lai in court: The founder of Apple Daily and six co-defendants will have their case heard by the Hong Kong Court of Final Appeal
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Singapore CPI: The city-state’s consumer price index is set to be released today.
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Annual general meetings: Fujitsu, Panasonic, Nikon and Tata Motors are among the companies set to hold annual meetings today.
Five more top stories
1. China has agreed to enter talks with the EU over its decision to impose higher tariffs on imports of Chinese electric vehicles. Robert Habeck, minister for economic affairs and climate action, welcomed the move during his visit to Beijing at the weekend, adding that it was “a first step and many more will be necessary”.
2. A fourth Conservative staffer is under investigation for betting on the timing of the UK general election, as the scandal rocks Rishi Sunak’s Conservative party. Nick Mason, the Tories’ chief data officer, has taken a leave of absence as the regulator probes his possible use of privileged information to bet on the vote, according to two people with knowledge of the situation.
3. Linda Yaccarino has shaken up her inner circle at X as she faces pressure from Elon Musk to boost sales and cut costs, a year after she became chief executive. Yaccarino fired her right-hand man and head of business operations and communications, Joe Benarroch, this month, said three people familiar with the matter.
4. A low-cost weapon that can take down multiple drones at once could be available as early as next year, says the head of Thales UK, the company spearheading the weapon’s development. It’s expected to cost only 10p per use, compared with traditional missile air defence systems that cost upwards of hundreds of thousands of dollars. Here’s how the new technology will work.
5. China has officially defined behaviour aimed at Taiwan independence as a criminal act, and is threatening punishments up to the death penalty. Read what else we know about the new rules.
Interview
Rahm Emanuel, the US ambassador to Japan, has warned that the two countries must accelerate joint production of missiles and high-tech weapons to strengthen deterrence against China and bolster military stockpiles for Ukraine. To do so, both the US and Japan need to change the existing rules, Emanuel said in an interview with the FT.
We’re also reading . ..
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China’s super-rich: Record numbers of Chinese millionaires and multimillionaires are expected to emigrate from their homeland this year. “Underground banks” are helping them spirit their wealth abroad.
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Fail with grace: The FT’s Leo Lewis shares the lessons learnt while training for an eikden, one of Japan’s beloved long-distance relay races.
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Table talk style: After a decade in New York, columnist Gillian Tett discovered that dinner guests are expected to perform. But British rituals are far different, she writes.
Chart of the day
As French President Emmanuel Macron’s Ensemble begins the last week of campaigning before Sunday’s high-stakes first-round vote, the party is trailing its far-right and leftwing rivals. An Ipsos poll for the Financial Times found that 25 per cent of respondents had the most confidence in Marine Le Pen’s Rassemblement National on economic issues.
Take a break from the news
As the latest instalment in our guide to the best books to read this summer, FT editors, columnists and specialists share the titles that they’ve most enjoyed so far in 2024. Find your next read here.
