Vladimir Putin pushes maximalist demands in Ukraine talks

Today’s agenda: Tesla’s tariff warning; DeepSeek’s strategy; Deutsche Bank weighs Canary Wharf exit; Big Read on the Olympics; and gold’s triangular trade

Good morning. We end the week with the latest on Ukraine and the US proposal for a 30-day ceasefire with Russia ahead of a busy weekend of diplomacy.

What Putin wants: Vladimir Putin has said he “supports the idea” behind the US plan but added that it will allow Ukraine’s forces to regroup just as Russia’s military is gaining the upper hand in Kursk. His preconditions include Ukraine recognising Russia’s annexation of four partially occupied regions and Crimea; a pledge to never join Nato; caps on Ukraine’s military; protections for the country’s Russian speakers; and elections to replace Volodymyr Zelenskyy.

What this means: Moscow’s demands would in effect end Ukraine’s existence as a functioning state, place it squarely in Russia’s orbit and severely limit Nato’s presence east of Germany. One expert said Putin did not want to be blamed for standing in the way of Donald Trump’s deal but felt no pressure to “back off”, adding: “They want to play a game of chicken with the US.”

Looking ahead: Trump called Putin’s remarks “promising” but “incomplete” and said he had discussed with Ukraine “land that would be kept and lost”, apparently referring to territorial concessions by Kyiv. The US president’s special envoy Steve Witkoff is currently in Moscow for high-level talks, while Sir Keir Starmer’s adviser Jonathan Powell will be in Washington today to urge the US to provide a security “backstop”. The UK prime minister will hold a virtual call with EU and other leaders tomorrow.

Here’s more on the tough conditions Putin has set for a Ukraine ceasefire.

• Kursk: Seven months after a daring invasion to capture the Russian region, Ukrainian troops are now beating a hasty retreat.

• Russian sanctions: Hungary has threatened to block the EU’s renewal of sanctions imposed on about 2,000 Russians unless oligarch Mikhail Fridman is removed from the list.

Here’s what else we’re watching today and over the weekend:

• Economic data: The EU releases fourth-quarter labour data today, Germany has its February consumer price index and the UK reports its GDP estimate for January.

• US government shutdown: Chuck Schumer, the top Senate Democrat, said he would back a Republican stop-gap funding bill, reducing the risk of a shutdown early tomorrow.

• Results: Allianz, BMW and Foxconn report.

Join FT experts on March 27 for a subscriber-only webinar, as they discuss Ukraine’s future with Russia’s full-scale invasion entering its fourth year. Register for free.

Five more top stories

1. Tesla has warned that Donald Trump’s trade war could make it a target for retaliatory tariffs and increase the cost of producing vehicles in America. In an unsigned letter to US trade representative Jamieson Greer, Elon Musk’s carmaker said it “supports” fair trade but warned that US exporters were “exposed to disproportionate impacts when other countries respond to US trade actions”.

2. Exclusive: China’s DeepSeek is choosing to focus on research over chasing revenues as its billionaire founder decides not to follow Silicon Valley rivals by taking advantage of a sudden jump in sales. A surge in demand for the artificial intelligence start-up’s services meant revenues were enough to cover ongoing costs for the first time last month.

3. Exclusive: Deutsche Bank could leave Canary Wharf or shed a third of its space when its lease expires in 2028. The German lender has maintained an outpost in the east London financial district for nearly a decade, but the shift would mark the latest financial services tenant to retreat from the area.

4. Neither investors nor management of Shein have raised concerns about the company’s valuation, its executive chair has insisted. While the fast-fashion retailer was most recently valued at $66bn, some stakeholders want to cut that to $30bn to speed up its blockbuster London listing. But Donald Tang told the Financial Times there had been “zero conversations” among its management about doing so.

5. The US has unlocked almost $5bn in funding for a liquefied natural gas project by France’s TotalEnergies in Mozambique, potentially restarting work on one of Africa’s largest energy investments. The company put the project on hold in 2021 after Islamist insurgents killed civilians and workers in attacks near the site. Here’s why the Trump administration has reapproved the loan.

How well did you keep up with the news this week? Take our quiz.

The Big Read

On the face of it, the Olympics are riding high after the success of Paris 2024, which attracted a surge in viewership and revitalised a brand many feared was losing relevance with younger audiences. But as the organising committee chooses a new president next week, the world’s biggest sporting event is facing an exodus of major sponsors and a fast-changing media landscape.

We’re also reading . . . 

• Romanian politics: The country’s authorities need to release more evidence on why far-right candidate Călin Georgescu was blocked from elections, writes our editorial board.

• Simon Sadler: Once a heavyweight in Hong Kong finance, the Blackpool FC owner now faces the possibility of jail. Kaye Wiggins goes inside the downfall of a trading titan.

• Peak brain power: Data across countries and ages reveal a growing struggle to concentrate and declining verbal and numerical reasoning, writes John Burn-Murdoch.

• Trump’s tariffs: Levies on goods may be a prelude to tariffs on money, writes Gillian Tett, with capital inflows a possible next target.

Graphic of the day

Fears of possible tariffs on gold imports have sparked a rush in transatlantic trade of the metal. But due to a quirk in global bullion markets and the asset’s physical nature, refineries in Switzerland are working overtime, resizing the 1kg bars used in New York to the 12.5kg bricks traded in London. Here’s how the time-consuming process of shipping gold has become strained.

Take a break from the news . . . 

After 13 years of reviewing restaurants, Tim Hayward is questioning his own tastes and prejudices in his final critique. Restaurants have brought new menu items and exciting ideas, but one thing always stuck out. Now, he finally explains himself.