Transcripts For DW Business - News 20180208

Visiting friends i dont think id ever go back there to live you know where i live there again i dont know so im not sure. Bearing witness global news that matters. Made for mines. World trade is picking up two heavyweights of the World Economy report dumping think its china sees a rise in export as well as in imports in january and germanys economy has been at record breaking speed all year. Also as germany gets ready for a new government Business Leaders demand lower taxes from coalition government. And no deal is better than a bad deal kind of as trudeau as a warning shot towards washington while not. Renegotiations. This is the business as in berlin and we start the show with some good news for a change the World Economy is doing just fine i need proof well is too fresh sets of figures out today number one fresh from Germanys National Statistics Office german exports hit an all time high in twenty seventy the home country of donna vents on a dozen back speer ship close to one point three trillion euros worth of goods to the rest of the world thats trillion with a t. An increase of more than six percent compared to the previous years figures which already was a record at the same time imports increased as well last year to just over a trillion euros and that has a work on side of it now or germanys notorious traits plus two two hundred forty five billion euros slightly lower than twenty sixteens all time high germany has been drawing fire recently from the u. S. And other trading partners over its traits. Second china another economic heavyweight on the world stage is reporting similar similar figures for january this time chinas trade picked up after stumbling the previous month whats new is a surge in imports putting the chinese economy onto a new footing imports surged almost forty percent last year last year. No year on year in january excuse me exports jumped to by eleven percent chinas trade surplus narrowed as well thats being closely watched by the u. S. As the two countries tussle over trade at the moment to Trump Administration increased duties on chinese washing machines and so on modules recently and bijou retaliated by starting an anti dumping investigation of u. S. Sorghum exports. Though still not convinced that the World Economy is booming well heres another proof all these popular products theres German Companies for example sell in places like china pakistan mexico or nairobi still needs to get that so they are usually packed on to wooden pallets and then shipped but now this is severe stassi of the wooden shipping supports we went to one of the few german palate makers barely coping with demand. The Family Owned Company a minster is running at full capacity now in its sixth generation that specialized in producing wouldnt transportation pallets forty years ago the head of the family says theyve never had to cope with the kind of overwhelming demand they face right now. Last year the shed was piled high from wall to wall with pallets now its cleaned out. And whys that. The economic boom industry is literally pulling out pallets straight out of the dryer and straight onto the trucks we can hardly even manage to build up a small buffers the reserve. Last year took on twenty new workers now with a total workforce of ninety the company is having to work in shifts just to keep up with the demand. Last year germanys palate manufacturers turned out one hundred ten million of them. That would fill up over one hundred fifty thousand forty ton trucks. The Sector Association says output has doubled in size ten years. In. General the companies are scraping the production barrel basically theyre trying to squeeze everything they can out of their production lines with extra shifts Holding People back from holiday times essentially taking all possible measures to ensure that every last minimal capacity is utilized just to make sure the demand is met somehow. Think of it is waiting impatiently for new machinery. Would dry as and Heating Systems were ordered a long time ago. But the economic boom is evident here as well. Theres enough of the Companies Left that make our specialized machinery those still on the market today have extensive lead times we sometimes have to wait two or three years for a new machine. Even the mild european winter is a factor behind the shortages joint managing director Marcus Winkle hider says its hard to get wood from Eastern Europe right now. In Eastern Europe is done mainly in winter theres a lot of. They can only access the forests when the ground there. Frozen and theres no swarm on it and they can get the machinery into fell the trees right now the ground wont support the weight of the heavy machinery and must need to. Think of how it is lucky it can process locally sourced wood in its own sawmill that means it can compensate for the shortage of Eastern European wood for now at least. Nearly four months off the germanys general election political leaders have finally agreed to form a coalition but for many german Business Leaders the devil is in the detail business had hoped to finally get that cotton corporate taxes which are among the highest in the world in germany this and they reject tighter restrictions on temporary job contract. Planning federation Industries Says it will make it make it harder for them to react to the ups and downs of the Economic Cycle they say the Coalition Deal does not prepare the country for the future. So what will germanys new government bring for the German Economy economy im now joined this studio by jaco hall is the president of the europeans who of management and technology here in berlin welcome thank you for joining. Us this early hour why have Business Leaders as weve heard so cautious and doubtful about the new German Government in fact the new agreement is a little bit more of the same so theres nothing really new in it and it takes for granted that the gross the unprecedented growth weve seen over recent years just with continual such as it is this very little concerned about making sure that this goes will be sustainable that new initiatives will be invested into its rather balcombe songs and then about investments but you know the German Economy is doing very well we keep hearing figures that are just splendid why change anything. The real reasons behind this gross and also all the requirements that were taken really last ten years so the real reforms that were taking now when we look at the. New requirements for example digitalisation Artificial Intelligence and all these things related to this they are not just new initiatives necessary new investments necessary and this Coalition Agreement as it stands rather looks back and not really takes a forward looking perspective. You mentioned. Feels like official intelligence destroys ation of what else needs to be addressed urgently by the new slash old government certainly theres a need to think more about the area of education you could also say education for those who are already working thats education is in the hands of the states and germany not the federal government if thats true at the same time when we look at the overall level of education expenses they are still below the o. E. C. D. Average so this is for an economy that feeding highly relies on education this is not a good signal and at the same time we need to think about really digitalisation Artificial Intelligence whatever the state can do to provide the requirements you could say the context in which this can develop. Tax is also a big thing do we do we really need tax cuts i mean business always is when jing about too high to taxes are too high we need lower taxes and all that do we really need lower taxes im actually convinced that we need tax cuts and theres one simple reason which is what we currently see is that so much money is spent for dubious reasons so therefore just giving back the money to the people actually restrains politicians from just doing unwise spending at the same time it is also clear that. The text requirements for most people have risen substantially over recent years so therefore its a good signal it would be a good signal to give it back to the people thats income taxes this in context. The new finance minister shows what can we expect that is going to show the litle will that we will he make his own impact that. Well thats all its in particular when we look at the agenda twenty ten so the Major Economic reforms of the last decade has played a very prominent role and he has also been that the send up of these reforms despite many claims in the social Democratic Party to actually bring them back so therefore i would be optimistic that he would take again a very disciplined approach on household financing and also to keep the black zero. Thank you very much for the u. S. And canadian Prime Minister Justin Trudeau appears to have borrowed a line from brags that Prime Minister theresa may no deal is better than a bad deal he was talking about the north American Free trade agreement on nafta currently on the renegotiation following protectionist sentiments in the us government. Its been one and a half weeks since the latest round of nafta talks between canada the United States and mexico concluded with the go shaders saying theyre moving forward but with a very slow progress. During a visit to the United States canadian Prime Minister Justin Trudeau indicated his government is willing to compromise on renegotiating the trade pact that u. S. President donald trump called the worst trade deal in history but reduce said there are limits we know there are ways to modernize and improve in a way that will create a win win win when we include mexico there is a path absolutely for that but we are not going to take a win loss just for the sake of getting a deal was there several sticking points in the talks like the mans from the u. S. Delegation to have more u. S. Content in north American Made automobiles that makes the deadline to wrap up talks by the end of march the month vicious to many observers the pressure is on the negotiators to reach a resolution before the mexican general election in july and u. S. Midterm elections in november was thats it for me in the business to. Update for you in the next meantime go check out seeds for legs which is a welcome sight on global markets. Her diaries reveal state doping chinese sports. Commission jan used to be a doctor for the chinese a living. She says thats true while the eightys and ninetys there was systematic doping across all sports. For speaking out she had to leave china and now lives in exile in germany. Next on d w. Entered the conflict zones confronting the powerful this week on conflict zone i miss them both to talk to rob to go bucks a gun myself to his ruling party be a gay priest she speaks for apology on human rights the government assumes military operations in syria and continues to crack down on Civil Liberties well our church is principle. To follow in sixty minutes on g. W. For. Students of the people who hold over information public. Opinions they want to express g. W. On facebook and twitter up to date and in touch follow us. Happy birthday in good shape return intending snooze and you can win this Amazing Fitness backpack and if you want from know whats inside each visit on the web. You can offer to turn even most favorite bands until like some coffee maker maybe a little bit of a chance to do so cool. Actually. Good luck. To. You it. Alone a very warm welcome indeed to focus on europe with me peter craven now all eyes here in europe are currently on the big sporting event im talking of course about the Winter Olympics in pyongyang chang said