tv World Business Report BBC News July 14, 2021 5:30am-6:01am BST
this is bbc news with the latest business headlines for viewers in the uk and around the world. the plan for a greenerfuture. the eu is set to unveil its carbon initiatives which aim to reduce emissions by 55 percent by 2030. we hear from the former boss of nissan, carlos ghosn, who exclusively tells the bbc about his daring escape from japan last year when under house arrest. and us inflation hits its highest level since 2008, as used cars and the cost of food drive consumer prices higher.
let's start with a potential game—changer from the eu, which is set to propose a raft of initiatives later today constituting the world's most comprehensive set of climate legislation to reduce greenhouse gas emissions. the reforms, referred to as �*fit for 55�* will lay out how the eu will reduce greenhouse gas emissions 55 per cent by 2030. the legislation will set out new rules for emissions trading, targets for renewable energy and emissions limits for transport and industry. a key proposal will involve making firms who do business with the eu pay for their carbon emissions. if the eu is to meet its goal of achieving net—zero emissions by 2050, then every sector of the economy will need to undergo a profound transformation in the next three decades in order
to reduce emissions. joining me now is wendel trio, director of climate action network europe. good morning, a very warm welcome to the programme. what are we expecting from this legislation? we are expecting the commission to come up with a whole range of proposals covering all sectors of society. it is an answer to eu states agreeing to the 2030 climate target to at least 55%. for us, it will be crucial that the commission looks at this package in a comprehensive way and ensures that it indeed meets the objectives. for us, those objectives. for us, those objectives will be to go beyond a reduction target of 55%. each element of the package should show clear ambition, so that
together we can end up at a number that gives meaning to the number of 55, and that we go beyond, because we know it is needed. if we put all the commitments from all countries in the world together, we are not yet reaching the 1.5 celsius target that was agreed uponin celsius target that was agreed upon in paris, six years ago in the paris agreement. it will be important to see if the commission comes up with proposals that goes for the highest level of ambition. compared to other countries, these targets are tougher, bolder. will member states bulk up bolder. will member states bulk up this in terms of what it means for businesses and households? this will lead to a lot of discussions between member states. some states will give more attention to specific proposals, some are more likely to support the higher uptake of
renewable energy, others are more in favour of energy efficiency. some would want to have more pressure on the forestry sector, so it is very clear member states will take very different positions, and it will be relatively intensive discussions for, probably, the next two years, because in the end of these proposals needs to be both agreed upon by the 27 eu member states but also by the majority of european parliament, and regulation between those institutions will take time. we have proposals and ideas here, but as you say there is a long road ahead for negotiation and agreement on this across the eu. when it comes to the carbon board attacks, looking at how that would work, could this hurt the eu economy where countries who trade with europe, or businesses who trade with europe, will have to pay taxes as well, — even more
taxes? yes, so, first of all, the package as most of all focused on the domestic market in the eu, but the carbon border adjustment mechanism is a proposal, clearly, that has received a lot of attention and our trading partners, received a lot of attention and ourtrading partners, — eu trading partners — and a lot of concern being expressed by the trading prices of the eu, including the united states and china, to name those two. this will be an intensive debate on how this can happen, and we have to see how the european commission will make the proposal, because it is very likely it will be limited to a limited number of sectors, in which this will apply, and that is also very likely to have implementation of this proposal coming at the later half of this decade, so it went before the first five, six, maybe seven years before this will be implemented, so, yes, that will lead to a lot of debate and
conversation, because it will potentially impact trade relationships and of course, the efforts of companies to become greener. indeed, wendel trio, thank you forjoining us from climate action network europe. if we stay on the subject, looking at what is going on in the uk today, the government is to publish its own decarbonisation transport plan, expected to include plans for a new mandate for vehicles, include plans for a new mandate forvehicles, meaning include plans for a new mandate for vehicles, meaning carmakers would have to produce a minimum portion of electric cars, also expected to ban the new sale of diesel trucks in the uk from 2040. does it go far enough to reach net zero carbon emissions by 2050? michael holderjoins us now, deputy editor of business green, great to speak to you again. we obviously have various details of this decarbonisation plan, what do you make of what you have read so far?
first of all, it is hard to underestimate the importance of this document. transport is the single biggest sector of the uk economy, more so than greenhouse has emissions produced each year — more than agriculture, modern homes and buildings, and transforming how we get from a to b across road, rail, air and we get from a to b across road, rail, airand sea we get from a to b across road, rail, air and sea will have a massive impact on our lives. this is the first time the government has set out an overarching vision for how they do that, and crucially it says it wants at the natural first choice for everyone to be cycling, walking, and public transport when it comes to getting about — a crucial acknowledgement that while switching to electrical vehicles and other d carbonated modes, it is also important to move away from our massive reliance on carbon vehicles. there are other important signals. by 2048 wants all flights taken by plane in the uk to be net zero emissions, it wants by 2042 removed from sale
all diesel and petrol lorries and drugs. it has already said it wanted to do that for passenger cars by 2030, last year. these are important signals for manufacturers so they can develop the new technologies and investment is in but into these technologies. as i said, there are huge question marks over how the government intends to drive the changes. i was going to ask about that because some people are saying the government is putting too much faith into innovation here, that these targets put in place are really ambitious and unrealistic. i think it depends, really, as i think it depends, really, as i was saying, what the policies and incentives and behavioural changes methods that the government is going to put in place to back these milestones, you know, beyond simply saying that in 20 years we won't have any more diesel and petrol trucks. how exactly is the
government going to ensure that the incentives and financing is available for the people who use them to afford it. and how our customers and businesses going to be incentivised to build those new drugs? that is what we need more detail on, and what businesses will cry out for. there are still questions over other aspects of the government's broader plans on transport plans. it is still planning on spending billions of pounds on rebuilding roads, it has recently backed the plug—in car grant for people to be incentivised to buy electric vehicles. will they still be in place? will it ramp up funding for customers so they will buy these products? i think that remains to be seen. ~ . ., ., i think that remains to be seen. a ., ., ., ~ seen. michael holder, thank ou. seen. michael holder, thank yom deputy _ seen. michael holder, thank you. deputy editor— seen. michael holder, thank you. deputy editor of- seen. michael holder, thank l you. deputy editor of business green. let's get some of the day's other news. websites for a russian—linked ransomware gang blamed for attacks on hundreds of businesses worldwide have gone offline. monitors say a payment website and a blog run by the revil group became suddenly unreachable on tuesday.
it comes amid growing pressure between the us and russia over cyber—crime. the french competition authority has fined google a record $600 million in a copyright dispute. the authority said google hadn't negotiated in good faith, when it came to paying for press reports it runs on its news aggregator site. mcdonald's restaurants will offer higher hourly wages and help with education costs to attract workers as covid restrictions ease in the us. the majority of its restaurants are owned by franchisees, who are offering the benefits, with some help from mcdonald's, which owns the brand. the former boss of the japanese car maker nissan, carlos ghosn, fled japan in a daring escape while under house arrest, has been talking about his experience, speaking exclusively to our business
editor, simonjack, from his home in beirut, ghosn said he had to disguise himself, take a fast train to a regional airport and then hide in a music box before being loaded onto a plane. he leftjapan for lebanon which doesn't have an extradition treaty with japan. he started by talking about the moment of his detention. i could not show my face, so i had to be hidden it was a normal day, the policeman at the passport control said there was a problem with my visa and my passport. he took me in a special room, and, in fact, the person i met was the tokyo persecutor who told me that there is a problem, and when i said, you know what, i need to make a phone call because people are waiting for me, he said, you can't use your phone. all of a sudden, i knew there was something very serious going on. the only memory i
have of this moment was shock, frozen, trauma. 0ne frozen, trauma. one minute you are a globe trotting chief executive, then essentially incarcerated. what was that experience like? they took me to the detention centre of tokyo, which is in fact outside the city of tokyo, it is at present. — make it is a present. they stripped me of everything and gave me the usual clothes of a detainee, and i all of a sudden had to learn to live without a watch, computer, telephone, venues, without a pen — nothing in a cell, which was very small. adapted, obviously, to the japanese standard of living, which means you don't have a bed, you don't have a chair. you just sit on a mat. you
brought in two people to help you out under the cover of them being musicians. what was the plan? talk as to how you escape. plan? talk as to how ou escae. talk as to how you escape. the lan talk as to how you escape. the plan was. _ talk as to how you escape. the plan was. i _ talk as to how you escape. the plan was, i could _ talk as to how you escape. the plan was, i could not _ talk as to how you escape. tie: plan was, i could not show my face. i had to be hidden somewhere in the only way i could be hidden is to be in a box. 0r, could be hidden is to be in a box. or, be in luggage. so, nobody could see me, nobody could recognise me and obviously, the plan could work. before joining the box, i needed not to be detected because i departed from an airport outside tokyo. so, we used a train and taxis, so i had to wear things that i never usually wear. and you know, the plane was scheduled to take off at 11pm that night. what was it like being inside the box? you don't think about the past, you don't think about the future. you just think about
the moment. they took me maybe one hour or1.5 hours the moment. they took me maybe one hour or 1.5 hours in the spot. the most difficult moment was when you are in the box, in the plane, and waiting for the plane to take off. you know, the plane was scheduled to take off at 11pm that night. we were ready and i was in the box in the rear of the plane probably around 10:30pm. the 30 minutes waiting in the box in the plane, waiting for the plane to take off, were probably the longest period of wait i've ever experienced in my life. the two people that assisted you to get out ofjail, they have been extradited from the us to japan and could be facing a lengthyjail terms. you got out. how do you feel about it? do you have regrets about the people still there because of you facing jail time? ifeel sorry for all of the i feel sorry for all of the people who are victim of the justice system injapan, all of them. i think that this tragedy
is attracting the attention on a system which, frankly, not a lot of people realise. when you have a prosecutor winning 99.5% of the cases, you have no right to a lawyer, you are being dealt by a justice system who doesn't care about your understanding — because there was no translator — you know, my friendly advisors, don't go to japan unless they change this justice system because you don't know what risk you are taking. that was colours and speaking to simonjack, and you can that interview in full. carlos ghosn the last flight on bbc4 tonight at 10pm or on the bbc iplayer. stay with us on bbc news, still to come: putting the enviornment first.
we hearfrom the finnish firm which turned down takeover offers to ensure its eco—friendly textiles went mainstream. after months of talks and missed deadlines, a deal has been struck to keep greece within the eurozone. the immediate prospect of greece going bust in the worst crisis to hit the eurozone has been averted. emergency services across central europe are stepping up their efforts to contain the worst floods this century. nearly 100 people have been killed. broadway is traditionally. called the great white way by americans but tonight. — it's completely blacked out. it's a timely reminder to all americans - of the problems that the energy crisisj has brought to them. leaders meet in paris for a summit on pollution, inflation and third world debt. this morning, theyjoined the revolution celebrations for a show of military might on the champs—elysees. wildlife officials in australia have been coping with a penguin problem. fairy penguins have been staggering ashore
and collapsing after gorging themselves on a huge shoal of their favourite food, pilchards. some had eaten so much, they could barely stand. this is bbc world news, the latest headlines: more than 70 people are now known to have died in south africa in violent unrest and looting sparked by the jailing of former presidentjacob zuma. president biden has accused republican—controlled states of mounting a dangerous attack on voting rights following donald trump's defeat in the 2020 election. let's now turn to the us, where inflation has hit its highest level since 2008.
prices rose by 5.4% injune, driven higher by the cost of used cars and food increasing. the jump has sparked fears that prices are increasing too quickly, which could prompt the us central bank to push up interest rates or pull back on pandemic support earlier than expected. joining me now is swetha ramachandran, who's a investment manager at gam investments. nice to see you again. this is the news that financial markets did not want to hear but actually looking at the reaction, it has been quite muted? . , reaction, it has been quite muted? ., , . ., muted? that is correct and even thou:h muted? that is correct and even though we _ muted? that is correct and even though we saw— muted? that is correct and even though we saw pretty _ muted? that is correct and even though we saw pretty record - though we saw pretty record increases in the cpi, the measure of inflation in the us, the fact this had been well flagged by the fed bank in advance of release given the impact of the transitory components of the inflation, the markets were relatively single word about this. um? the markets were relatively single word about this. why do ou think single word about this. why do you think that _ single word about this. why do
you think that is? _ single word about this. why do you think that is? are - single word about this. why do you think that is? are they - single word about this. why do you think that is? are they not| you think that is? are they not concerned that maybe they got it wrong and it's not transitory and we could see higher prices for a longer period of time?— higher prices for a longer eriod of time? �* ., ~ ., period of time? breaking down the components _ period of time? breaking down the components of— period of time? breaking down the components of the - period of time? breaking down the components of the cpi, - period of time? breaking down | the components of the cpi, you mentioned used—car prices, up by record 10.5% on a monthly basis and 45% year on year. this is why we expected to be transitory because used car prices are being driven up by a shortage of new cars which themselves are being affected by global semiconductor shortage. that should smooth out over time. there are other transitory impacts related to the category most exposed to the category most exposed to the reactor economically opening, such as airfares and hotel prices, up sharply again which should decelerate after the economic reopening continues. there is some element however that our reason for concern, such as rental inflation, now exhilarated on a month on month basis and if this continues it may prove to be a more serious concern for
the fed in the matter of transitory inflation and that being put to the test.- being put to the test. what about energy _ being put to the test. what about energy prices - being put to the test. what about energy prices and . being put to the test. what| about energy prices and the price of oil which is pretty high right now, i know that opec is high right now, i know that 0pec is in a stalemate about quotas but what are your thoughts?— quotas but what are your thou~hts? ~ ,,., , ., quotas but what are your thou~hts? ~ , , ., , thoughts? absolutely, that is another component, - thoughts? absolutely, that is another component, typically j another component, typically stripped out of call epi because food and energy tend to because food and energy tend to be quite volatile but even if we stripped that out, because cpi has accelerated to 4.5% year on year, actually the highest monthly record increase since november 1991. certainly signals pointing to inflation being more durable than transitory which could test the resolve of the fed for keeping rates lower or longer. i’m resolve of the fed for keeping rates lower or longer. i'm sure we will talk — rates lower or longer. i'm sure we will talk to _ rates lower or longer. i'm sure we will talk to you _ rates lower or longer. i'm sure we will talk to you more - rates lower or longer. i'm sure we will talk to you more about| we will talk to you more about this in the future. have a lovely day! spinnova is a finnish firm
which has invented a new form of eco—friendly textiles for clothes. it makes them out of waste produce such as wood pulp and straw. spinnova had many offers from small firms to buy the technology but for six years it held out, gambling that it could strike a deal with global corporations. let's see if its stubbornness paid off. do not sell too early to anyone and then you will get depressed price —— the best price. we are not the only one who can produce the textile fibres without any chemical dissolving process. we are revolutionising the whole textile industry at the whole textile industry at the end. —— we are the only one who can produce the textile fibres without any chemical dissolving process. an average
start—up, when you are at the very early stage and then of course you are thinking extremely careful about what you are losing if you are not taking that money. and some shareholders may say that we should take that money and go forward. we understood that this is the long—term development, what we are now starting to do. the key is that you believe what is your mission because that is so easy to make a big, huge mistake at the beginning and you are accepting the wrong kind of proposals. accepting the wrong kind of proposals-— accepting the wrong kind of ro osals. , proposals. interesting there. that was part _ proposals. interesting there. that was part of _ proposals. interesting there. that was part of our - proposals. interesting there. that was part of our series, i that was part of our series, ceo secrets. indian food delivery startup zomato has launched its share sale today. the initial public offering
is expected to value the company at something like $9 billion when it lists in mumbai. but more importantly, zomato will be the first online food delivery player, and the first in a long line of indian unicorn startups looking to list on the stock market this year. joining me now from delhi is arunoday mukharji. tell us more. well, this is hiuhl tell us more. well, this is highly anticipated - tell us more. well, this is highly anticipated for- tell us more. well, this is highly anticipated for the l highly anticipated for the reasons you mentioned but especially in the last year, ever since the pandemic it, zomato has become increasingly popular when we saw local and nationwide lockdown, many flocked to zomato to use that as the primary food delivery platform and that's why we saw, for instance, in comparison at the beginning of last year when orders are about $150 million, towards the end of last, they are $400 million. the point is these are all loss—making start—ups and that's why they are hoping that through the ipo they will get more traction and also be able to raise more money. this is also reflective of the other start—ups in
india, this year alone, a study has recently shown that start—ups in india have managed to raise up to $12 billion, really showing a trend that these start—ups are managed to raise a lot of money, internet based start—ups, and with the pandemic increasing in india, there has been a lot of preference for adopting digital technology online applications. that is why this is just one of the many start—ups which are looking to get listed and lucky to see many more in the months ahead. . ~ , to see many more in the months ahead. ., ~ , ., , ahead. -- and likely to see many more- _ let's see how the asian markets are faring today: reaction to that figure in the us yesterday and do not forget with strong gains this time yesterday, and the price of oil has come up a bit today i knew that china's crude imports dropped in the first half of the year. that is the first time that it happened in china since 2013, which is quite
interesting. wall street briefly, justly can see how the day ended on wall street. you are up—to—date. see you soon. hello there. summer weather is increasingly set to take hold over the next few days. it is looking largely dry. we'll see increasing amounts of sunshine and increasing temperatures as well, and it is all because of high pressure. now, currently, this area of high pressure is sitting to the south—west of us, but it is going to build towards the uk over the next few days, hence the increasing amounts of sunshine and those higher temperatures as well. but actually, through wednesday, many spots will see a decent amount of sunshine. we will have quite a lot of cloud through the morning across some eastern parts of scotland and eastern england, tending to retreat towards the coast through the day, and also, more cloud into northern ireland and western scotland. and actually, as that cloud thickens up through the afternoon, it could even produce the odd spot of drizzle.
but elsewhere, some good spells of sunshine. temperatures in the sunniest spots up to 24 or 25 degrees. a bit breezy for north—western areas and also for some eastern coasts. now, as we head through wednesday night into thursday, we will see more cloud rolling down across northern ireland and scotland, getting into northern england and wales by the end of the night. clear spells further south, a pretty mild night — 11—15 degrees in most places. into thursday, we are going to see more in the way of cloud pushing southwards down into england and wales. there'll be some spells of sunshine and certainly, some brighter conditions developing for northern ireland and for scotland, and in the best of the sunshine, temperatures again getting up to around 24 or 25 degrees. and for friday, many spots can expect to see plenty of blue sky and sunshine. a bit more cloud at this stage across north—western parts of scotland, northern ireland, but certainly more cloud across the northern isles. the sunnier skies further south lifting those temperatures up to 25—26, maybe at this stage, up to 27 degrees. and that sets us up for the weekend because our area of high pressure is going to become firmly established across the uk, bringing lots of dry weather, lots of sunshine.
you can see frontal systems close to the far north perhaps giving a bit more cloud at times, but with our high pressure in place, we can expect some pretty warm weather through both saturday and sunday. so, let's look at some city forecasts. you can see across shetland, it'll stay cloudy and a bit cooler, 15 or 16 degrees. but most other places, fine, dry, some spells of sunshine and temperatures easily up to 27, maybe 28 degrees.
good morning, welcome to breakfast with dan walker and louise minchin. 0ur headlines today. facemasks will still be compulsory on public transport in london, despite the law changing on monday. united against racism. hundreds of people take the knee beside the repaired mural of marcus rashford in support of racially abused england players. meanwhile, labour mps are calling for new powers to ban anyone convicted of online racist abuse from football matches for life. the cost of living is on the up, food, energy and clothing prices all rising so i will look at what it