Hello and welcome to NXK Newsline. I'm Yoshikawa Ryuichi in Tokyo.
US, Iran Say They Have Reached Deal
The United States and Iran say they have agreed to sign a memorandum of understanding to end their months-long conflict.
They're expected to sign the deal in Switzerland on Friday.
US President Donald Trump made the announcement in a social media post on Sunday.
He said the deal will include the toll free opening of the Strait of Hormuz and the immediate removal of the US naval blockade.
Trump wrote, ships of the world, start your engines, let the oil flow.
However, Trump has already threatened to restart military attacks on Tehran.
The New York Times reported Trump made the remark during a telephone interview on Sunday.
He reportedly said the strikes will happen if Iran fails to reach a final nuclear accord with the US. Iran's Supreme National Security Council released a statement on Monday.
It said, according to the agreements reached, the war and military operations on all fronts, including Lebanon, will end immediately and permanently.
It also said the naval blockade against Iran will be completely lifted right away.
Iran's Deputy Foreign Minister, Kazem Garibabadi, issued a statement via state-run media on Monday. He claimed Iran achieved major victories in the war.
He also noted the remaining provisions of the memorandum will take effect following its official signing.
Garibabadi added Iran's nuclear development and the lifting of US sanctions on the country will be discussed during a 60-day negotiation period afterward.
And meanwhile, US Vice President JD Vance had a telephone interview with Fox News on Sunday night.
He said key points of the deal include Iran never having a nuclear weapon nor attempting to acquire one.
Vas also said if Iran complies with the deal, it is going to fundamentally transform the Middle East for the next 50 years.
International Community Welcomes Deal
International leaders are welcoming the US-Iran agreement.
Japan's Prime Minister Takaichi Sanae said in a social media post on Monday that the deal will be a major step toward bringing the situation under control.
She added she hopes the agreement will be steadily implemented and that free and safe navigation through the Strait of Hormuz will be ensured.
She also expressed hope for a final agreement on Iraq's nuclear issue as soon as possible.
The leaders of France, Britain, Germany, and Italy said in a statement, This is a moment of opportunity to restore regional stability and stabilize the global economy.
They added it is vital for detailed negotiations to be concluded and for the agreement to be implemented quickly.
UN Secretary General Antonio Guterres described the deal as a critical step towards the peaceful settlement of the conflict.
He also expressed his appreciation to regional countries for the role they played in supporting the talks that led to the peace deal.
Turkish President Regeb Taip Erdogan posted a message on social media urging all parties to refrain from actions that could escalate tensions.
He also called for vigilance against possible acts of sabotage before the agreement is signed.
Analysis: Expert Says Questions Remain About US-Iran Deal
For more on this, we reached Professor Tanaka Koichiro from Keio University.
He is an expert on the Middle East.
Speaking with NHK World Monday morning, he said he didn't expect a deal yet.
00:04:17 話者 2/Tanaka Koichiro
Well, I'm a bit surprised because I thought that the two parties were still far away from reaching the deal, despite the news that had been telling so.
And so far that President Trump had constantly saying that the deal was closed, it always turned out to be that it was false alarm.
But finally, if the deal is really intact, I believe that it's going to still face a lot of, say, problems in the days to come.
00:04:44 話者 1
Among them, the Strait of Hormuz.
He says even if both sides agreed to open the waterway, it may be a slow process.
00:04:54 話者 2
The Americans have been saying that there are mines that have been laid in the Strait of Hormuz by the Iranians. Whereas I'm not certain that that is the case.
But yet there could be some disturbances happening here and there because of the congestion of the traffic that would happen, likely to happen.
00:05:15 話者 1
He also pointed to the 60-day negotiating period, saying talks could still fall apart on major issues like Iran's nuclear program.
00:05:26 話者 2
So if they cannot agree to the further issues that haven't been solved yet, there could be a resumption of hostilities following the 60-day period.
It's not a full-fledged cessation of hostilities.
It's not a thing that you can call a peace treaty, and it falls far short of that.
00:05:50 話者 1
So why the fanfare?
Tanaka says all sides have a vested interest in painting this as a success.
00:05:59 話者 2
Pakistan had been mediating in force here, and they would like to portray this as a diplomatic success they have brokered.
But looking to the reality and also the past, say, hostilities and exchange of fires that have been taking place over this 110 days or so it's hard to believe that this is going to be a permanent solution between the United States and Iran.
00:06:26 話者 1
Tanaka says even if the two sides do come to an agreement that doesn't account for other actors like Israel he says Tel Aviv could throw a wrench in negotiations.
00:06:38 話者 2
I can tell that the Israelis are quite unhappy with the developments between Iran and the United States
And having said that, I'm quite dubious of what their intentions might be with regards to Lebanon, their continued campaign in Lebanon, as well as their intention to blow up the entire deal if they have an opportunity to do so.
So I will be very cautious on the Israeli front on what they're going to do from here.
Business
00:07:06 話者 1
And now for business stories, here's Yuko Fukushima.
00:07:10 話者 3/Yuko Fukushima
Thanks, Ryuichi.
Nikkei 225, Topix Hit All-Time Highs on US-Iran Peace Deal
Well, Japan's main stock index has kicked off the weight by hitting record highs in response to the developments in the Middle East.
Our senior business correspondent Yasui Seiichi reports from the Tokyo Stock Exchange.
00:07:24 話者 4/Yasui Seiichi
Tokyo shares surged on the announcements by the US and Iran of an end to their conflict.
The benchmark Nikkei 225 soared 5% to a record clutching high above 69,000 for the first time. It reached 69,682 during Managed session, an all-time high.
The broader topics rose 3% to close at a record 3,999.
Investors picked up AI and chip-related shares, But the news out of the Middle East prompted buying across a wide range of stocks.
The Nikkei gained momentum as crude oil prices fell.
WTI futures in New York dropped to the $80 a barrel range overnight as President Trump says the deal includes opening the Strait of Hormuz.
But some analysts are urging caution because the situation is still unstable.
They say developments concerning the Strait are key to ensuring oil supplies.
I'm Yasui Seiichi, NSK World from the Tokyo Stock Exchange.
BOJ Meets Amid Rate Hike Expectations
00:08:37 話者 3
The Bank of Japan is widely expected to raise its key interest rate at a two-day meeting that started on Monday.
Such a move would be aimed at curbing inflation that has picked up pace on higher oil prices.
The bank is said to be considering hiking its key policy rate by a quarter percentage point.
That would raise the rate to around 1% or the highest in 31 years.
While higher rates can slow the economy, a growing number of BOJ officials are reportedly of the view that accelerating inflation poses a bigger threat.
The jump in crude oil costs this year due to the Iran conflict and the yen's weakness against the dollar are both having an inflationary effect.
Companies are also passing on higher costs than the goods they sell, which is pushing up prices on a wide range of products.
The BOJ agenda also includes discussions on the pace at which it has been buying government bonds.
The bank shifted policy in 2024 to gradually taper off its bond purchases.
This will be reviewed at the meeting to ensure the stability of the bond market.
The meeting is to be chaired by Deputy Governor Himino Ryozo.
BOJ Governor Ueda Kazuo is hospitalized due to ill health and plans to provide its opinions in writing.
New Fed Chair Warsh to Preside Over First Meeting This Week
Meanwhile, the US Federal Reserve is set to hold its first policy meeting under new chair Kevin Warsh this week.
Market players widely expect the Fed to keep interest rates unchanged.
Warsh's term began in May after President Donald Trump appointed him chair.
The two-day meeting starts on Tuesday amid accelerating inflation.
A spike in energy prices drove the US consumer price index up 4.2% in May from a year earlier. That's the biggest jump in about three years.
Trump has been urging the Fed to lower or raise it despite the inflationary pressure.
Earlier this month, he said he'd let Warsh make the call, but still suggested that the rate cut is desirable.
Market players expect the Fed to stay put for the fourth straight meeting and even expect a rate hike later this year to curb price increases.
Inside Toyota's Latest Efficiency Drive
But Japan's auto industry faces a rapidly changing business environment stemming from US tariffs, the Middle East conflict and the rise of Chinese manufacturers.
Well, Toyota Motor, the world's top automaker by annual unit sales, has been implementing various initiatives to help it stay ahead of the game.
NHK World's Kajihara Sari has more.
00:11:09 話者 5/Kajihara Sari
New employees starting at Toyota Motor in April were greeted by the new president and CEO, Kon Kenta.
He told them the company needs to strengthen profitability across the entire supply chain.
00:11:28 話者 6/Kon Kenta
We will focus on what we can do right now. While keeping an eye on major changes in the business environment, we will prepare thoroughly and improve productivity.
00:11:39 話者 5
A key focus is excessive quality control.
Toyota suppliers used to enforce strict standards even for defects that did not affect performance. But these standards were self-imposed.
That's because Toyota's own regulations about such defects were not so clear.
These included defects like small white spots or uneven paint on the surface of parts.
There are cosmetic flaws that are normally hidden from view.
But the parts were all discarded as defective.
Now Toyota has clarified its quality standards with suppliers.
This has made it possible to use components that were once thrown away.
This company has now streamlined its inspection process.
Small black spots were appearing on the plastic parts it makes.
There was no clear pattern, so inspections were placing a heavy burden on the workers.
Since the spots do not affect performance,
The company has now stopped checking for them.
It once discarded about 10,000 units every three weeks.
Now all of them can be used.
00:13:05 話者 6/Ohga Yasuhiro/President, Taihou
The workload has disappeared, and I feel a great sense of relief.
00:13:10 話者 7/Nishihara Shoji/General Manager, Toyota Motor
Voluntary inspections for quality standards that customers don't demand are clearly misguided and wasteful.
By eliminating such practices, we can ensure we are able to produce high-quality products in the midst of global competition.
00:13:26 話者 5
The transportation sector, faced by a serious driver shortage, has also begun to make changes. This is the Toyota Group logistics hub.
Previously, each parts maker delivered to Toyota separately.
This meant that trucks sometimes have spare capacity.
Toyota has now partially implemented a new system.
It sends a truck from the logistics hub to visit multiple suppliers and pick up parts.
This means a single truck can carry more cargo.
The company says transport efficiency has increased by around 9 percent.
00:14:15 話者 7/Kita Yuichi/General Manager, Toyota Motor
Rather than improving operations all by ourselves, we should move forward together with suppliers, transport companies and others.
We must proceed while keeping a firm grasp on the current situation.
00:14:30 話者 5
Japan's manufacturing industry has long been renowned for its unified supply chains and high quality products.
However, in a fast changing world, automakers are rethinking the way they do business.
Kajihara Sari, NHK World.
Markets
00:14:47 話者 3
Now let's get to the check on the markets.
♪
And that's the biz for this hour.
World Cup 2026:Japan Claws Back to Draw 2-2 vs. Netherlands in Opener
00:15:28 話者 1
In men's World Cup soccer, Japan came from behind twice to earn a 2-2 draw in their opening game against 8th ranked the Netherlands.
The Dutch broke the deadlock in the second-half when captain Virgil van Dijk finally found a way through Japan's stubborn defense.
But it only took Japan 6 minutes to equalize, with Nakamura Keito firing in from outside the area.
The Netherlands took the lead again when Ford Crescentio Somerville slotted in.
But with just minutes remaining, an Ogawa Koki header deflected off teammate Kamada Daichi to secure a dramatic equalizer.
Public viewing areas around the stadium in Dallas, Texas drew thousands of people.
The crowd included local residents as well as Japanese supporters who couldn't get tickets for the match.
00:16:29 話者 11
People who aren't Japanese are cheering for Japan and I felt very close to them.
00:16:35 話者 1
One Japan fan says she was thrilled with the result. She's been collecting messages of encouragement on a Japanese flag that she hopes the players will see.
She says she sees herself in the Japanese team members who play overseas and perform under tough conditions. She says their dedication has encouraged her.
00:16:59 話者 18/Chizuko Trader
Japan kept going right to the end. It was amazing. I feel energized today.
00:17:05 話者 1
Meanwhile, Japan's Emperor Naruhito and Empress Masako are on an official visit to the Netherlands and watched the game with the Dutch king and his wife.
Photos released by the Dutch royal family show the emperor and empress wearing the national team's blue with team towels around their necks.
The emperor and empress have been in close contact with the king and his wife for many years. The Imperial Household Agency says the visit was proposed by the Netherlands.
Vietnamese Trainees Rejuvenate Hokkaido Sumo Town
A seaside town in Hokkaido, known for its sumo tradition, has produced 2 yokozuna grand champions. That legacy underpins its annual women's sumo tournament.
but local participation is shrinking due to depopulation.
Now locals are pinning their hopes on technical trainees from abroad to keep the event alive.
00:18:06 話者 9/Narrator: Yoshino Mika/Reporter: Nakanishi Yamato
This is a women-only amateur sumo tournament held on Mother's Day in the town of Fukushima in Hokkaido. The people cheering are Vietnamese technical trainees.
Yuasa Akira runs a seafood firm that employs Vietnamese nationals.
Noting the decline in Sumu participants, he asked Vietnamese women in the town to join.
00:18:39 話者 6/Yuasa Akira
When Vietnamese take part, people recognize them as they walk by.
They're really well-liked.
00:18:52 話者 9
Truong Thi Quyen came to Japan three years ago and works for a sewing company.
She took an interest in sumo on Yuas's advice and placed third last year.
00:19:08 話者 10/Truong Thi Quyen/Vietnamese technical trainee
I just picked up my opponent and wrestled the same way everyone else did.
I did my best to use my strength to push my opponent out of the ring.
00:19:21 話者 9
Chuan is a single mother who supports her three children in Vietnam.
Her family is hoping she will place in the tournament.
64 women from Japan and abroad participated in this year's event.
00:19:47 話者 11/Raja Pradhan/Sumo commentator
Truong 's opponent in the first round is Tama Arashi.
The two face off in a low stance, and they're ready to fight.
Truong shoots out and grabs the mawashi right away with both hands.
She drives back Tama Arashi and pancakes her.
Truong is the winner by Yoritaoshi, Frontal crush out.
In the next round, Truong locks horns with Kurikuriyama, who's competing for the first time.
And they're off. Truong struggles to get a solid grip.
Kurikuriyama stays low and forces her back.
Truong is in danger. Still, she counters with a beautiful throw.
But wait, the judges gather to discuss the close call.
Truong strives to bring out her best to dispatch her tough opponent.
They go chest to chest.
Kurikuriyama hops in the driver's seat with a double hand inside stance.
Truong holds her ground and stays in contention.
She tries to reverse the field, and the two go down together.
It's another nail biter.
Did Truong hit the deck first, or did Kurikuriyama touch down with her left hand?
The judges talk it over once again.
Unfortunately, Truong gets eliminated in the second round.
00:21:28 話者 16
It was a real pity. It was so close.
00:21:33 話者 10
When I return to Vietnam, I'll tell everyone about it.
I want to talk about the festival and about the sumo tournament.
I want to reflect on my three years in Japan.
00:21:44 話者 9
The sumo town in Hokkaido is gaining new momentum thanks to its increasingly diverse lineup of grapplers.
G7 Summit to Open With Ukraine, Iran on Agenda
00:21:55 話者 1
The Group of Seven summit is set to open Monday in Avian, eastern France.
Iran and Ukraine are expected to be on the agenda.
Leaders from non-G7 countries, including Qatar and the UAE, are likely to join the discussions on the situation surrounding Iran.
Ukrainian President Volodymyr Zelenskyy is also likely to join the G7 leaders in talks on Russia's invasion of his country.
Topics related to Ukraine are expected to include ways to support peace talks.
French President Emmanuel Macron wants the summit to prioritize global economic growth and efforts to narrow wealth disparity.
He also aims to highlight economic security matters, including diversifying supply chains for critical minerals.
The summit also comes as Washington continues to emphasize its America First policy over multilateral cooperation, while the G7's global influence has been declining amid the rise of emerging economies.
As with last year, the leaders are expected to forego a comprehensive joint statement.
Instead, outcome documents on individual items will likely be released.
Japan, Britain Agree on Economic Security Cooperation
The leaders of Japan and Britain have released a joint declaration saying they will cooperate on economic security matters.
Japanese Prime Minister Takaichi Sanae met her British counterpart Keir Starmer in London on Sunday.
Britain is the first leg of Takaichi's trip to Europe. She is also due to attend the G7 summit.
00:23:36 話者 28/Takaichi Sanae
I believe that our relationship has reached a level that could even be described as quasi-allies. Keir and I will elevate this relationship to new heights.
00:23:47 話者 26/Keir Starmer
I'm delighted that we're building stronger cooperation, a new era of cooperation between our two countries and an absolute commitment to deepening our partnership on a number of different levels.
00:24:01 話者 1
The declaration says the leaders have grave concerns about what they are calling economic coercion and arbitrary export restrictions, including on critical minerals.
The text says the leaders want to work toward mining, processing and stockpiling those minerals.
Weather
And it's time for a check on the world weather with our meteorologist, Sayaka Mori.
So Sayaka, parts of Asia are seeing the full force of the rainy season, bringing some intense wet weather. What are residents in the impacted areas seeing right now?
00:24:39 話者 32/Sayaka Mori
Hello there.
The rainy season is very heavy across the southern portions of China as well as Japan at this moment.
Now, during this time of the year, we have a frontal system stall over Northeast Asia and it moves upward, northward as we go into the next couple of months.
Right now, it's located over Guangdong, Guangxi provinces, as well as Okinawa region.
We've seen a lot of heavy rain already.
And then it looks like heavy rain will pound Okinawa at least into Wednesday.
There is a risk for landslides posted across the region as we go into the latter part of this week.
The frontal system will move up northward and it could affect northern Japan, including Niigata and other portions of northern Japan.
That means the rainy season will likely start soon in northern Japan.
Tokyo is in the midst of the rainy season.
Fortunately, you'll see a nice break in the rainy weather, at least for the next couple
days and then the rain will return on Thursday.
Naha could see heavy rain into Wednesday and then the season, the rainy season might end later this week. So let's look forward to that.
An intense high pressure system is dominating the Middle East.
We are seeing unusually high temperatures. Abu Dhabi had 48 degrees, about 48 degrees.
It's hotter than normal for this time of year.
I know it's very hot usually, but it's hotter than normal.
And then we'll see August like hot weather continuing across the area.
And Tehran will see sunny weather persisting at least into next week.
Let's go to North America. Severe weather is ending across the northeast United States.
That's good news.
And as we go into Monday, you'll see sunny but cooler conditions in these places.
And then Houston will remain hot and quite muggy. Thunderstorms are expected.
And across the opposite side of the US, look at this, 32 in Seattle.
That's nearly 10 degrees higher than normal for this time of the year.
That's it for me. Have a nice day.
♫～ 3-DAY FORECAST ～♫
00:27:35 話者 1
And that wraps up this edition of NHK Newsline.
I'm Yoshikawa Ruichi in Tokyo. Thanks for joining us.
NHK World
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