Taiwan’s President Lai Ching-te warned the island must be combat-ready within two years as threats from China intensify. At a press conference, he cited Beijing’s escalating military and political pressure and unveiled a special $40 billion defence budget.

WASHINGTON (AP) — President Donald Trump and Chinese President Xi Jinping spoke by phone on Monday to discuss trade, Taiwan and Ukraine, according to the White House and Chinese officials, nearly one month after the two men met in person in the South Korean city of Busan.