Zero-Covid slows China's economy, moderating inflation.

The UK, Japan, and Italy have agreed to create one of the world's most advanced fighter jets by 2035 in their first trilateral military venture to boost their defensive capabilities against China and Russia.

Global Combat Air Programme is being built alongside a competing Franco-German-Spanish project, which has been marred by political and industrial disputes.

The UK and Italy will join their Future Combat Air program, called Tempest, with Japan's F-X project. The three nations will split the expected tens of billions of dollars in development expenditures, but the actual contributions will be based on a combined assessment of costs and national budgets.

By working together in an equitable partnership, the three nations are sharing the expenses and benefits of investing in their people and technologies. The program will help all three countries design, deliver, and upgrade cutting-edge combat air capabilities in the future.

The years-long deal is a first for Japan. Historically, it has worked mainly with US partners for large military weapons, but it has sought closer security relationships with a spectrum of allies to prepare for a Taiwan war.

Prime Minister Fumio Kishida said this week that the government aims to set up 43tn ($315bn) for its five-year defense budget, a 57% increase from the previous decade.

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