Washington, DC

1. Rubio pressured on Taiwan
2. Jensen joins Trump
3. MAGA China backlash
4. US intel on Iran
5. Trump’s midterms push
6. Warsh’s Fed trap
7. Data center anger
8. Africa policy tension

PDB: Trump’s new ICE leader

NATO leaders meet … Alibaba, SoftBank, Cisco report earnings … US releases producer price index

Senators warn over Taiwan policy changes

As President Donald Trump arrives in China, a group of bipartisan senators is writing to Secretary of State Marco Rubio to pledge their support for the Taiwan Relations Act allowing defense weapons sales to the self-governing island amid rising threats from Beijing. They’re also warning against “unilateral changes to this policy” or “any new declaratory policy on Taiwan.” The letter, spearheaded by Sens. Michael Bennet, D-Colo., and John Curtis, R-Utah, and shared first with Semafor, reminds Rubio that he “consistently demonstrated strong support” for US-Taiwan relations when he served on Capitol Hill. Twelve senators signed the letter, stressing that they “stand ready to work with your administration to further strengthen this partnership” with Taiwan. The signatories include Republicans Thom Tillis and Mitch McConnell, as well as Democrats Andy Kim, Tim Kaine, Jeff Merkley, Chris Coons, Chris Van Hollen, Tammy Duckworth, Elissa Slotkin, and Brian Schatz.

— Burgess Everett and Morgan Chalfant

Nvidia CEO’s 11th-hour ride with Trump

Trump will land in China with a surprising 11th-hour addition to the list of CEOs accompanying him: Nvidia’s Jensen Huang, who met Air Force One in Alaska after initially opting out of the visit. According to people familiar with the conversations, Huang had previously discussed with the president how the presence of the world’s largest chipmaker in Beijing could invite unwanted scrutiny of the trip, Semafor’s Reed Albergotti and Eleanor Mueller scooped. But despite the potential for intraparty Republican tension fueled by Trump’s decision to let Nvidia sell China more advanced semiconductors, Huang’s conspicuous absence from the China trip didn’t last long. Trump “called Jensen this morning after seeing reports that he wasn’t joining trip. Told him he wanted him to come,” a person familiar with the events said. An Nvidia spokesperson said Huang was tagging along “to support America and the administration’s goals.”

White House open to Chinese investment

The White House isn’t ruling out Chinese direct investment in the US as Trump kicks off his visit to Beijing, Semafor’s Eleanor Mueller reports. MAGA Republicans took to social media in recent days to express outrage at Chinese officials’ reported offer to invest up to $1 trillion in the US in exchange for fewer national security restrictions. Asked whether such a deal could be on the table this week, White House spokesperson Kush Desai told Semafor that the Trump administration is “always seeking more investment into America’s industrial resurgence,” though “any notion that we would ever compromise our national security is baseless and false.” Potential contours remain unclear after a senior US official said Sunday the countries had so far not discussed any specific proposal. But Treasury Secretary Scott Bessent and Commerce Secretary Howard Lutnick last month shut down the idea that a Chinese firm might manufacture electric vehicles in the US.

US intel shows Iran missile sites robust

Iran retains access to the majority of its missile sites along the Strait of Hormuz, according to new US intelligence that contradicts previous White House statements. The new assessment, which has been shared with lawmakers behind closed doors, suggests Iran has rebuilt operational capacity at 30 of 33 missile sites along the strait, giving it effective control over the key waterway, The New York Times reported. Trump has said that Tehran’s military might has been decimated, and on Tuesday insisted Washington did not “need any help” reopening the strait, despite its closure already having led to more than 1 billion barrels of oil in lost supply. The energy shock caused by the blockade has prompted renewed warnings of an impending global fuel shortfall this summer.

Trump dives back into the midterms

Trump is increasingly engaged in the midterms — even if that engagement doesn’t always align with the calculations of congressional Republicans, Semafor’s Shelby Talcott and Burgess Everett report. Trump has spent much of his first term focused on foreign policy. Now, he’s juggling that with an eye firmly on the campaign trail, picking his winners while (so far) steering clear of places like Texas and Georgia, where he remains under pressure from his party to endorse. “I don’t know if there’s a strategy to it,” said Sen. Kevin Cramer, R-N.D., of Trump’s endorsement decisions. But his backing “matters.” Some sources say the biggest shift recently is Trump’s focus on retaining the GOP’s majority in the House. “He came to terms with” losing until a Supreme Court ruling scrapped the new Democrat-friendly map in Virginia, said one person close to the White House.

Warsh faces rate-cut trap at Fed

Lawmakers are expected to confirm incoming Federal Reserve Chair Kevin Warsh today — but his honeymoon with the president won’t last long, Semafor’s Eleanor Mueller reports. The once-hawkish former Fed governor takes over the central bank as rising costs amid the Iran war make it increasingly difficult for policymakers to justify cutting interest rates. Wall Street is giving him some political cover to sit tight: As inflation continues to accelerate, a growing number of banks are punting their forecasts for interest-rate cuts past this fall. But Trump, who’s long pushed for cheaper borrowing costs, is unlikely to have more patience with Warsh than he did with outgoing Fed Chair Jerome Powell. The president has “put this guy in for a firing squad,” Access/Macro chief economist Tim Mahedy told Semafor. “It’s going to be brutal; Trump’s going to turn on [Warsh] in two months.”

Data centers wildly unpopular, poll shows

Seven in 10 Americans say they oppose building data centers where they live, according to Gallup, underscoring how politically toxic the projects have become. Data centers are disliked across the ideological spectrum and acutely unpopular among Democrats, 56% of whom say they strongly oppose the projects. Half of those opponents cite the centers’ drain on resources — including water and energy usage and environmental impacts — as a reason for opposing them, while 22% raise quality-of-life concerns and one in five point to higher costs. Most of those who favor building data centers cite economic benefits like job creation as a reason. The numbers help explain why the projects have become a scapegoat for members of both parties, as energy prices continue to rise — and why tech companies are searching for ways to make them more attractive.

US-Africa policy head finally confirmed

A third of the way into his second presidential term, Trump finally has a permanent official to lead the bureau tasked with steering policy on Africa. But the Senate’s confirmation of Frank Garcia as Assistant Secretary of State for African Affairs this week raises a more fundamental question: whether he or Massad Boulos — Trump’s in-law and his adviser for Arab and African affairs — will actually drive Africa policy. To date, Boulos has led the administration’s most high-profile diplomatic efforts on the continent. “I don’t think [the confirmation] resolves any ambiguity about who’s running Africa policy right now,” one analyst told Semafor. “Boulos has interpreted his mandate as much broader than any other adviser or envoy in recent memory.” A Senate aide, meanwhile, told Semafor that during consultations, Garcia himself seemed uncertain about how the division of labor with Boulos would work.

— Adrian Elimian

On Wednesday, May 20, Rep. Maxine Waters, D-Calif., Ranking Member of the House Financial Services Committee, will join Semafor for the Banking on the Future Forum.

The global financial landscape is evolving at an unprecedented pace, driven by rapid technological innovation and shifting regulatory priorities in Washington. As new opportunities emerge, questions remain about how these changes will shape the industry and consumer access to financial services.

Semafor editors will host on-the-record conversations with Sen. Tina Smith, D-Minn.; Rep. Tom Emmer, R-Minn., House Majority Whip and Vice Chairman, House Financial Services Subcommittee on Digital Assets, Financial Technology, and Artificial Intelligence; Rep. Bryan Steil, R-Wis., Chairman, House Financial Services Subcommittee on Digital Assets, Financial Technology, and Artificial Intelligence; and other industry leaders on how policy and technology are shaping the future of finance.

Join us as we examine how evolving regulations are shaping innovation and what they signal for the future of financial technology.

May 20 | Washington, DC | Request Invitation

Blindspot: Impeachments and arcade games

Stories that are being largely ignored by either left-leaning or right-leaning outlets, curated with help from our partners at Ground News.

What the Left isn’t reading: Rep. Darrell Issa, R-Calif., is pushing a resolution to erase President Trump’s two impeachments from the congressional record, Fox News reported.

What the Right isn’t reading: Anti-Trump artists installed arcade cabinets on the National Mall featuring games satirizing the Iran war, The Washington Post reported.