WASHINGTON/MOSCOW/KYIV — US President Donald J. Trump said after his call on Monday with President Vladimir Putin that Russia and Ukraine will immediately start negotiations for a ceasefire, but the Kremlin said the process would take time and the US president indicated he was not ready to join Europe with fresh sanctions to pressure Moscow.

In a social media post, Mr. Trump said he relayed the plan to Ukraine’s President Volodymyr Zelensky as well as the leaders of the European Union, France, Italy, Germany and Finland in a group call following his session with the Russian leader.

“Russia and Ukraine will immediately start negotiations toward a Ceasefire and, more importantly, an END to the War,” Mr. Trump said, adding later at the White House that he thought “some progress is being made.”

Mr. Putin thanked Mr. Trump for supporting the resumption of direct talks between Moscow and Kyiv after the two sides met in Turkey last week for their first face-to-face negotiations since March 2022. But after the Monday call he said only that efforts were “generally on the right track.”

“We have agreed with the president of the United States that Russia will propose and is ready to work with the Ukrainian side on a memorandum on a possible future peace accord,” Mr. Putin told reporters near the Black Sea resort of Sochi.

While the indications that Ukraine and Russia will continue direct contacts speak of progress after more than three years of the war, the Monday flurry of talks again failed to deliver on expectations for a major breakthrough.

European leaders decided to increase pressure on Russia through sanctions after Mr. Trump briefed them on his call with Mr. Putin, German Chancellor Friedrich Merz said in an X post late on Monday.

Mr. Trump did not appear ready to follow that move. Asked why he had not imposed fresh sanctions to push Moscow into a peace deal as he had threatened, Mr. Trump told reporters: “Well because I think there’s a chance of getting something done, and if you do that, you can also make it much worse. But there could be a time where that’s going to happen.”

Mr. Trump said there were “some big egos involved.” Without progress, “I’m just going to back away,” he said, repeating a warning that he could abandon the process. “This is not my war.”

NO DEADLINE FOR AGREEMENTS
European leaders and Ukraine have demanded Russia agree to a ceasefire immediately, and Mr. Trump has focused on getting Mr. Putin to commit to a 30-day truce. Mr. Putin has resisted this, insisting that conditions be met first.

Kremlin aide Yuri Ushakov said Mr. Trump and Mr. Putin did not discuss a timeline for a ceasefire but did discuss trading nine Russians for nine Americans in a prisoner swap. He said the US leader called prospects for ties between Moscow and Washington “impressive.”

Russian state news agencies cited Kremlin spokesperson Dmitry Peskov as saying that Moscow and Kyiv faced “complex contacts” to develop a unified text of a peace and ceasefire memorandum.

“There are no deadlines and there cannot be any. It is clear that everyone wants to do this as quickly as possible, but, of course, the devil is in the details,” the RIA agency quoted him as saying.

Former Swedish Prime Minister Carl Bildt said on X the call with Trump was “undoubtedly a win for Putin.” 

The Russian leader “deflected the call for an… immediate ceasefire and instead can continue military operations at the same time as he puts pressure on at the negotiating table,” he said.

HIGH-LEVEL MEETING
After speaking with Mr. Trump, Mr. Zelensky said Kyiv and its partners might seek a high-level meeting among Ukraine, Russia, the United States, European Union countries and Britain as part of a push to end the war.

“Ukraine is ready for direct negotiations with Russia in any format that brings results,” Mr. Zelensky said on X.

He said that this could be hosted by Turkey, the Vatican or Switzerland. It was not immediately clear if this would be part of the negotiations Mr. Trump said would start immediately.

Mr. Trump said Pope Leo had expressed interest in hosting the negotiations at the Vatican. The Vatican did not immediately respond to a request for comment.

The Kremlin’s Peskov said Mr. Putin and Mr. Trump discussed direct contacts between the Russian leader and Mr. Zelensky. Moscow also welcomed the Vatican’s proposal, but no decision had been made on a place for “possible future contacts,” he added.

One person familiar with Mr. Trump’s call with the Ukrainian and European leaders said participants were “shocked” that Mr. Trump did not want to push Putin with sanctions.

In a post on X, European Commission President Ursula von der Leyen said only that the conversation with Mr. Trump was “good” and it was “important that the US stays engaged.”

Ukraine and its supporters have accused Russia of failing to negotiate in good faith, doing the minimum needed to keep Mr. Trump from applying new pressure on its economy.

If Mr. Trump were to impose new sanctions, it would be a milestone moment given that he has appeared sympathetic towards Russia and torn up the pro-Ukraine policies of his predecessor, former President Joseph R. Biden.

Prodded by Mr. Trump, delegates from the warring countries met last week in Istanbul for the first time since 2022, but the talks failed to broker a truce. Hopes faded after Mr. Putin spurned Mr. Zelensky’s proposal to meet face to face there.

Mr. Putin, whose forces control a fifth of Ukraine and are advancing, has stood firm on his conditions for ending the war, including the withdrawal of Ukrainian troops from four Ukrainian regions Russia claims.

He said the memorandum Russia and Ukraine would work on about a future peace accord would define “a number of positions, such as, for example, the principles of settlement, the timing of a possible peace agreement.”

“The main thing for us is to eliminate the root causes of this crisis,” Mr. Putin said. “We just need to determine the most effective ways to move towards peace.” — Reuters

BEIJING/SHANGHAI — China cut benchmark lending rates for the first time since October on Tuesday, while major state banks lowered deposit rates as authorities work to ease monetary policy to help buffer the economy from the impact of the Sino-US trade war.

The widely expected rate cuts are aimed at stimulating consumption and loan growth as the world’s No. 2 economy softens, while still protecting commercial lenders’ shrinking profit margins.

The People’s Bank of China (PBOC) said the one-year loan prime rate (LPR), a benchmark determined by banks, had been lowered by 10 basis points to 3.0%, while the five-year LPR  was reduced by the same margin to 3.5%.

Most new and outstanding loans in China are based on the one-year LPR, while the five-year rate influences the pricing of mortgages.

The lending rate cut was announced just after five of China’s biggest state-owned banks said they had trimmed their deposit interest rates.

Industrial and Commercial Bank of China, Agricultural Bank of China, China Construction Bank and Bank of China reduced deposit rates by 5-25 basis points for some tenors, according to rates shown on the banks’ mobile apps. Reuters had reported on Monday that the banks planned to cut their deposit rates from Tuesday.

The deposit rate reductions should guide smaller lenders in making similar cuts.

Marco Sun, chief financial market analyst at MUFG Bank (China), said the rate cuts were aimed at boosting credit lending and stimulating consumption.

“The central bank is likely to switch to a wait-and-see approach in coming months unless external geopolitical risks deteriorate enough to extinguish hopes that the economy can stabilize,” Mr. Sun said.

RECOVERY REMAINS FRAGILE
The rate cuts are part of a package of measures announced by PBOC Governor Pan Gongsheng and other financial regulators before talks between China and the US in Geneva earlier this month that led to a de-escalation in their trade war.

Global investment banks are raising their forecasts for China’s economic growth this year, after Beijing and Washington agreed to a 90-day pause on tariffs, despite uncertainty around Sino-US trade negotiations.

“We still believe it will be quite challenging for Beijing to achieve its ‘around 5%’ growth target unless it rolls out a sizable stimulus package,” Ting Lu, chief China economist at Nomura, said in a note this week.

“Considering the respite on the trade war, Beijing might be under less pressure to introduce the necessary stimulus and reforms.”

Recent economic readings show growth remains patchy and lackluster.

China’s new home prices were unchanged in April from a month earlier, official data showed on Monday, extending the no-growth trend to nearly two years despite policymakers’ efforts to stabilize the sector. Meanwhile, new bank loans also tumbled more than expected last month. — Reuters

TAIPEI — Taiwan wants peace and dialogue with China but the government must continue to strengthen the island’s defenses, President Lai Ching-te said on Tuesday as he completed one year in office.

China calls Mr. Lai a “separatist” and has rebuffed his multiple offers for talks. Mr. Lai rejects China’s sovereignty claims over the democratic and separately governed island, saying only Taiwan’s people can decide their future.

The government has warned that Beijing could mark the anniversary with military drills but speaking to reporters at the presidential office in central Taipei, Mr. Lai offered a message of peace.

“I, too, am committed to peace. Because peace is priceless and war has no winners. But when it comes to seeking peace, we cannot have dreams nor illusions,” he said.

Taiwan will continue to strengthen its defenses as preparing for war is the best way to avoid it, Mr. Lai added.

“I also reiterate here — Taiwan is happy to have exchanges and cooperation with China as long as there is reciprocal dignity. Using exchanges to replace hemming in, dialogue to replace confrontation.”

China’s Taiwan Affairs Office did not immediately respond to a request for comment.

China’s defense ministry last week said Mr. Lai was a “Taiwan Strait crisis maker” who had increased antagonism and confrontation and undermined peace and stability.

Mr. Lai also faces a challenge from possible US tariffs, currently on pause, and said talks with Washington were continuing “smoothly.”

The government also plans to establish a sovereign wealth fund to boost the tech-focused economy, he added.

“The government will set up a sovereign fund to create a national investment platform, making full use of Taiwan’s industrial strengths, led by the government, in collaboration with the strengths of private enterprises,” Mr. Lai said, without giving details.

After finishing his media event, Mr. Lai attended the opening ceremony for the ongoing Computex trade show, where Taiwan-born Jensen Huang, the chief executive officer of artificial intelligence darling Nvidia is the star attraction.

Mr. Lai visited the booths of Nvidia suppliers and partners, including Foxconn and Mediatek, chatting with senior executives there. — Reuters