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Bourbon, orange juice and dairy products are unlikely topics of conversation at a gathering of world leaders. But they are on a list of products targeted by the European Union for retaliation over Donald Trump’s plans to invoke national security concerns to limit steel imports, and are among the many contentious items likely to be discussed at the G20 in Hamburg today. Leaders from the world’s top economies will be trying to bridge deep divisions with Mr Trump at the talks. In one promising sign, the leaders of South Korea and Japan agreed to support the US by urging China to play a greater role in efforts to denuclearise the Korean peninsula.
All eyes will be on the US president’s first meeting with his Russian counterpart, Vladimir Putin. Mr Trump hit out at Russia’s “destabilising activities” ahead of the summit, and he heartened Nato members with a speech in Poland where he backed the mutual defence component of the Nato treaty. But some commentators noted the speech’s emphasis on racial and religious ties rather than democratic ideals. (FT, Reuters, NAR, NYT, Atlantic)
In the news
Cyber attack hits sales
Last month’s Petya cyber attack is proving to be more damaging for business than the WannaCry ransomware. Reckitt Benckiser and Mondelez, two of the world’s largest consumer goods companies, warned that the attack had hit their sales. Separately, hackers working for a foreign government, possibly Russia, breached at least a dozen US power plants. (FT, Bloomberg)
Cyprus talks collapse
Negotiations to reunify the divided island of Cyprus collapsed after a stormy session in Switzerland. The Mediterranean island has been divided since 1974 and the talks were seen as providing the best chance for reunification. (Guardian)
Record profit for Samsung
Samsung says it is on track to report record quarterly profits, estimated at Won14tn ($12.1bn), up 72 per cent from a year earlier. This would make it the world’s most profitable non-financial company for the quarter ended June. (NAR, FT)
China’s show of force
Beijing’s first aircraft carrier, The Liaoning, has arrived in Hong Kong, projecting China’s sovereignty over the semi-autonomous territory — and its dominance over rivals in the disputed South China Sea. (FT)
Bell Pottinger apologises
The UK-based public relations firm has issued an “unequivocal” apology over a contract with a company owned by South Africa’s controversial Gupta family. Bell Pottinger represented the company as the Guptas were accused of boosting their mining-to-media conglomerate by leveraging a friendship with South Africa’s president, Jacob Zuma, to influence public contracts and ministerial appointments. Both the family and Mr Zuma have denied the corruption allegations, which have split the ruling African National Congress. (FT)
Test your knowledge with the FirstFT news quiz. What is the name of Tesla’s mass market electric car?
The day ahead
Three Seas summit
Leaders from 12 central and eastern European nations will attend the Three Seas initiative summit in Warsaw, Poland, where leaders will discuss strengthening the region’s energy and infrastructure ties. (CNBC)
UK charm offensive
The UK’s Brexit secretary, David Davis, will play host to some of Britain’s most senior business figures at a reception at Chevening. The charm offensive marks a major shift in the government’s engagement with business over Brexit. (Politico)
Keep up with the important business, economic and political stories in the coming days with the FT’s Week Ahead.
What we’re reading
Trump, the dealmaker and Russia
Donald Trump faces renewed scrutiny into the money that flowed into his real estate empire from the former Soviet Union. An FT investigation uncovers how attention was drawn to the issue when a fixer for a Kazakh family accused of money laundering agreed to assist an international investigation into the money-laundering network. (FT)
Testing Erdogan’s limits
The head of Turkey’s largest opposition party is leading a protest march from Ankara to Istanbul in the biggest show of public dissent against Recep Tayyip Erdogan’s rule since he imposed a state of emergency after last year’s coup. The increasingly authoritarian president has already described the walk as an act of support for terrorism. But will he allow the protest to reach the country’s vibrant commercial capital? (FT)
Investors are captivated by electric and autonomous cars, and most have chosen to place their bets on Tesla. But, after Volvo’s electric push this week, has the gloom surrounding traditional carmakers been overdone? (FT)
The world’s cheapest subway?
For a fare equivalent to 11 US cents, you can ride as far as you want on the Cairo underground. But even this is a burden for millions who use the system, their purchasing power dramatically eroded after the Egyptian government instituted painful economic reforms. And discontent over the fare is threatening to spill over into wider calls for reform. (AP)
Liberalism under siege
Have elite complacency and contempt for the disadvantaged weakened democracy to a point where it is closer to collapse than we wish to believe? David Frum, a former speech writer for George W Bush and current editor at the Atlantic, interviews the FT’s Ed Luce. (Vox)
Scientists have discovered that Mars is covered in a cocktail of toxic chemicals that can wipe out living organisms. The discovery means that, if any alien life has ever existed on Mars, it is likely to be buried underground. (The Guardian)
Video of the day
G20: what to watch
The FT’s chief foreign commentator, Gideon Rachman, examines the upcoming G20 meeting and looks at the possible role played by Donald Trump. (FT)