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Speaking to Israel’s Knesset, Kevin McCarthy demurs on judicial overhaul and warns against China
(JTA) — In a landmark speech to Israel’s parliament, the Knesset, on Monday, U.S. House Speaker Kevin McCarthy didn’t mention the judicial reform legislation dividing Israel, instead focusing on what he said was the significant threat from business dealings with China.
McCarthy’s speech and comments took place on the opening day of the Knesset’s summer session, days after the country celebrated its 75th birthday and during considerable strife in the country over Israeli Prime Minister Benjamin Netanyahu’s far-reaching proposals to weaken Israel’s court system. Netanyahu had suspended the advance of the reforms amid sweeping protests against them, in a pause that was due to end on Monday.
During a press conference after his speech, McCarthy offered a nod toward critics of the proposed legislation who seek to preserve the courts’ independence.
“Israel is their own nation. Israel can decide what they want to do,” McCarthy said. “But I mean, having democracy — you want to have a check and balance, you want to have separation of powers.”
The speech by McCarthy, a Republican, came as he leads a bipartisan delegation to the country days after it celebrated its 75th Independence Day. It also came amid tensions between Netanyahu and Biden, a Democrat, who has not yet invited Netanyahu to the White House.
In an interview with the Israeli newspaper Israel Hayom ahead of the speech, McCarthy chastised Biden for not inviting Netanyahu and said he would invite the prime minister to Washington if Biden did not.
But McCarthy was not at all partisan during his speech or afterwards, pointedly bringing the delegation of Democrats and Republicans into every photo-op. McCarthy spent more time discussing Chinese-Israeli relations, bringing tensions between Israel and the United States on the issue into public view.
“I strongly encourage Israel to further strengthen its oversight of foreign investment, particularly Chinese investment, building on the steps that you first took in 2019,” McCarthy said in his speech Monday, referring to an investment review board Israel launched that year under pressure from the Trump administration. “If we cooperate, then I’m confident we will meet the challenge and ensure a brighter future for both of our nations.”
McCarthy’s speech, the second ever by a U.S. House speaker to the Knesset, contained few surprises. He noted that Israeli pilots trained in his hometown of Bakersfield, California, before the country’s 1948 War of Independence. And he presented the Knesset with a copy of a House resolution passed overwhelmingly last week marking Israel’s 75th birthday. References to the establishment of a Palestinian state, which Netanyahu’s government opposes, were stripped out of the resolution, spurring criticism from Democrats who nonetheless voted for it.
The speaker also recommitted to fully funding current levels of defense assistance to Israel, assuaging concerns that across-the-board spending cuts passed by the House last week could affect the country.
“As long as I am speaker, America will continue to support full funding for security assistance in Israel,” he said.
And McCarthy also rejected attempts to isolate or boycott Israel, promoted peace with Israel’s Arab neighbors and called out shared rivals and enemies, especially Iran.
“We must always remain resolute in our commitment that Iran will never acquire a nuclear weapon,” McCarthy said.
Netanyahu, speaking before McCarthy, also noted the Iran threat and took care to say it was a concern shared by both Republicans and Democrats.
“The first and most urgent challenge is the joint effort by Israel and the U.S. to prevent Iran from obtaining nuclear weapons,” he said. Then, referring to the Israel Defense Forces, he added, “The IDF and the U.S. Armed Forces recently completed the largest military exercise in the history of Israel and for this I would like to thank the Biden administration.”
Another issue of bipartisan concern is Israel’s growing relationship to China. McCarthy inserted his warning about Israeli-Chinese ties into the portion of his speech praising U.S.-Israel technological cooperation, an endeavor that Israel considers critical to its security infrastructure.
Israel and Netanyahu particularly have cultivated ties with China and its massive market to advance sales of Israeli technology, and to invite Chinese investment in Israeli sectors. Netanyahu has in the past highlighted his efforts to bring China and Israel into each other’s orbit.
Those efforts have appalled leaders of both parties. One of the areas of consistency between the Trump and Biden administration has been a policy of constraining Chinese influence outside of Asia, as the country seeks inroads into Africa, the Middle East and Latin America. China concerns have been exacerbated in the United States in recent months by perceptions that China is cozying up to Russia in its war against Ukraine, and fears that China may be planning a similar action against Taiwan.
“We’ve seen successes of technological cooperation in so many areas,” McCarthy said. “Today, however, our innovation is at risk from a new threat: The Chinese Communist Party. While the CCP may disguise itself as promoters of innovation, in truth they act like thieves. We must not allow them to steal our technology.”
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Iran Supreme Leader Says Will Not Yield as Protests Simmer and US Threatens
Iran’s Supreme Leader Ayatollah Ali Khamenei speaks during a meeting in Tehran, Iran January 3, 2026. Office of the Iranian Supreme Leader/WANA (West Asia News Agency)/Handout via REUTERS
Iran’s Supreme Leader Ayatollah Ali Khamenei vowed not to yield after US President Donald Trump threatened to come to the aid of protesters, as rights groups reported a sharp rise in arrests following days of unrest sparked by soaring inflation.
Speaking in a recorded appearance on Saturday, Khamenei said the Islamic Republic “will not yield to the enemy” and that rioters should be “put in their place.”
State-affiliated media reported three deaths on Saturday, with rights groups saying more than 10 had already died in demonstrations across Iran since Sunday as the collapsing rial currency hits an economy already undermined by sanctions.
ECONOMIC CRISIS
Videos circulating on social media, which Reuters could not immediately verify, purported to show protests in southern and western Iran. In one, marchers called on other Iranians to come onto the streets, chanting “We don’t want spectators: join us”.
Mehr and Fars news agencies, both state affiliated, reported that a security forces member and two demonstrators were killed in Malekshahi, a western town, when what they called armed protesters tried to enter a police station.
Authorities have attempted to maintain a dual approach to the unrest, saying protests over the economy are legitimate and will be met by dialogue, while meeting some demonstrations with tear gas amid violent street confrontations.
“The bazaaris were right. They are right to say they cannot do business in these conditions,” said Khamenei, referring to market traders’ concerns over the currency slide.
“We will speak with the protesters but talking to rioters is useless. Rioters should be put in their place,” he added.
Reports of violence have centered on small cities in Iran’s western provinces, where several people have been killed, according to state media and rights groups. Authorities have said two members of the security services had died and more than a dozen were injured in the unrest.
Hengaw, a Kurdish rights group, said late on Friday that it had identified 133 people arrested, an increase of 77 from the previous day.
Trump on Friday said the US was “locked and loaded and ready to go” but did not specify what action it might take against Iran, where it carried out airstrikes last summer, joining an Israeli campaign targeting Iran’s nuclear sites and military leaders.
The threat of action adds to the pressure on Iran’s leaders as they navigate one of the most difficult periods in decades, with the sanctions-hit economy shrinking and the government struggling to provide water and electricity in some regions.
Iran has suffered a succession of major strategic blows to its regional position since the start of the war in Gaza in 2023 between its ally Hamas and Israel.
Israeli strikes hammered Iran’s strongest regional partner Hezbollah. Tehran’s close ally Bashar al-Assad was ousted in Syria. The Israeli and US assault strikes on Iran set back the expensive atomic program and killed senior military leaders, revealing extensive penetration of Tehran’s upper echelons.
FLARING VIOLENCE
The protests are the biggest since mass nationwide demonstrations in late 2022 over the death in custody of Kurdish woman Mahsa Amini. This week’s demonstrations have not matched those in scale, but still represent the toughest domestic test for authorities in three years.
Rights groups such as Hengaw and activists posting on social media reported continued protests and violence by security forces across Iran, while state-affiliated media reported what it called attacks on property by infiltrators “in the name of protest.”
State television reported arrests in western and central Iran and near the capital Tehran, including of people accused of manufacturing petrol bombs and home-made pistols.
Numerous social media posts overnight said there had been unrest in a number of cities and towns, as well as three districts of Tehran.
Reuters could not immediately verify the reports by rights groups, state media or social media accounts.
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Trump Says US Oil Companies Will Spend Billions in Venezuela
A photograph posted by US President Donald Trump on his Truth Social account shows him sitting next to CIA Director John Ratcliffe and US Secretary of State Marco Rubio as they watch the US military operation in Venezuela, January 3, 2026. Photo: @realDonaldTrump/Handout via REUTERS
President Donald Trump said that American oil companies were prepared to enter Venezuela and invest to restore production in the South American country, an announcement that came just hours after Nicolás Maduro was captured and removed by US forces.
“We’re going to have our very large US oil companies, the biggest anywhere in the world, go in, spend billions of dollars, fix the badly broken infrastructure, oil infrastructure, and start making money for the country,” Trump said on Saturday.
While Chevron is the only American major with current operations in Venezuela, Exxon Mobil and ConocoPhillips, among others, have storied histories in the country. The American Petroleum Institute, the largest US oil trade group, said on Saturday it was monitoring the emerging situation.
“We’re closely watching developments involving Venezuela, including the potential implications for global energy markets,” an API spokesperson told Reuters.
Chevron, which exports around 150,000 bpd of crude from Venezuela to the US Gulf Coast, said it is focused on the safety and wellbeing of its employees, in addition to the integrity of its assets.
“We continue to operate in full compliance with all relevant laws and regulations,” a Chevron spokesperson said in an emailed response to questions.
Top oilfield service companies SLB, Baker Hughes, Halliburton and Weatherford did not immediately respond to requests for comment. Exxon and Conoco did not immediately respond to questions from Reuters.
Trump’s plans to have large US oil companies enter Venezuela and get “oil flowing” will be hindered by lack of infrastructure that will require many years and heavy investment, analysts said. “There are still many questions that need to be answered about the state of the Venezuelan oil industry, but it is clear that it will take tens of billions of dollars to turn that industry around,” said Peter McNally, Global Head of Sector Analysts at Third Bridge, adding that it could take at least a decade of Western oil majors committing to the country.
A US embargo on all Venezuelan oil, meanwhile, remains in full effect, Trump said. He told reporters that the US military forces would remain in position until US demands had been fully met.
“The American armada remains poised in position, and the US retains all military options until United States demands have been fully met and fully satisfied,” he said.
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US Captures Venezuela’s Maduro, Trump Says US Will Run the Country
Smoke rises near Fort Tiuna during a full blackout, following explosions and loud noises, after U.S. President Donald Trump said the U.S. has struck Venezuela and captured its President Nicolas Maduro, in Caracas, Venezuela, January 3, 2026. REUTERS/Leonardo Fernandez Viloria
The US attacked Venezuela and deposed its long-serving President Nicolas Maduro in an overnight operation on Saturday, President Donald Trump said, in Washington’s most direct intervention in Latin America since the 1989 invasion of Panama.
“This was one of the most stunning, effective and powerful displays of American might and competence in American history,” Trump said at a press conference at his Mar-a-Lago resort in Florida, where he was flanked by senior officials, including Secretary of Defense Pete Hegseth and Secretary of State Marco Rubio.
Trump said Maduro was in custody and that American officials would take control of Venezuela.
“We’re going to run the country until such time as we can do a safe, proper and judicious transition,” he said. “We can’t take a chance that someone else takes over Venezuela who doesn’t have the interests of Venezuelans in mind.”
POTENTIAL POWER VACUUM
It is unclear how Trump plans to oversee Venezuela. Despite a dramatic overnight operation that knocked out electricity in part of Caracas and captured Maduro in or near one of his safe houses, US forces have no control over the country itself, and Maduro’s government appears to still be in charge.
The removal of Maduro, who led Venezuela with a heavy hand for more than 12 years, potentially opens a power vacuum in the Latin American country. Venezuelan Vice President Delcy Rodriguez — Maduro’s presumptive successor — is in Russia, four sources familiar with her movements said, stoking confusion about who is next in line to govern the South American country.
Russia’s foreign ministry said the report that Rodriguez is in Russia was “fake.”
Any serious destabilization in the nation of 28 million people threatens to hand Trump the type of quagmire that has marked US foreign policy for much of the 21st century, including the invasions of Afghanistan and Iraq – which were also premised on regime change.
The US has not made such a direct intervention in its backyard region since the invasion of Panama 37 years ago to depose military leader Manuel Noriega over allegations that he led a drug-running operation. The United States has leveled similar charges against Maduro, accusing him of running a “narco-state” and rigging the 2024 election.
Maduro, a 63-year-old former bus driver handpicked by the dying Hugo Chavez to succeed him in 2013, has denied those claims and said Washington was intent on taking control of his nation’s oil reserves, the largest in the world.
VENEZUELAN OFFICIALS DECRY U.S. ACTION
The streets of Venezuela appeared calm as the sun rose. Soldiers patrolled some parts and some small pro-Maduro crowds began gathering in Caracas.
Others, however, expressed relief.
“I’m happy, I doubted for a moment that it was happening because it’s like a movie,” said merchant Carolina Pimentel, 37, in the city of Maracay. “It’s all calm now but I feel like at any moment everyone will be out celebrating.”
Venezuelan officials condemned Saturday’s intervention. “In the unity of the people we will find the strength to resist and to triumph,” Defense Minister Vladimir Padrino said in a video message.
While various Latin American governments oppose Maduro and say he stole the 2024 vote, direct US action revives painful memories of past interventions and is generally strongly opposed by governments and populations in the region.
Trump’s action recalls the Monroe Doctrine, laid out in 1823 by President James Monroe, laying US claim to influence in the region, as well as the “gunboat diplomacy” seen under Theodore Roosevelt in the early 1900s.
Venezuelan allies Russia, Cuba and Iran were quick to condemn the strikes as a violation of sovereignty. Tehran urged the UN Security Council to stop the “unlawful aggression.”
Among major Latin American nations, Argentina’s President Javier Milei lauded Venezuela’s new “freedom” while Mexico condemned the intervention and Brazil’s President Luiz Inacio Lula da Silva said it crossed “an unacceptable line.”