Transcripts For BBCNEWS World Business Report 20240710

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Europe over diesel emissions. We start with Post Brexit Trade tensions that threaten To overshadow the G7 Summit in cornwall. The eu has doubled down on its threat To take action against the uk, after talks ended without a breakthrough. At the heart of the row is the brexit deal� s Northern Ireland proTocol, which allows for Border Checks on goods going inTo Northern Ireland from great britain. But as he arrived in cornwall ahead of the g7 conference, prime Minister Borisjohnson said a resolution To the row was easily doable. Our political Tor-laura-kuennsberg'>EdiTor Laura Kuennsberg reports from cornwall. So, is this just the beginning . The beginning of what . The start of what could be a momenTous week for this Prime Minister To crank out deals with other democracies on climate, on covid and cooperation. I got it. As World Leaders make their way To cornwall, he wants To be the host with the most. Its a big moment. Dont forget, this is the first time in six months in office, almost, thatjoe biden, the us president , has been able To come overseas for a major trip. Its his first time on the european continent, its the first time any of us, really, have been able To see each other To'>Face To face since the pandemic began. And you know, the pandemic, lets face it, was a pretty scratchy period. So a tiny Cornish Bay is being transformed inTo a stage for the world. Yet some of the nuts and bolts of the uks friendship with its neighbours are already banged out of shape. While the Prime Minister was making his way To the south west, in westminster, this diplomatic spat with the eu was reaching new levels of danger. The eu will not be shy in reacting swiftly, firmly and resolutely To ensure that the Uk Abides by its international law obligations. I was coming here with hope for a breakthrough. Of course now we have To consider our future steps. Its not Too late, lets correct the path, lets focus on what unites us. That tension is bound To be a Topic of conversation here. This huge get Together is the first since the uk left the eu, and theres a heightened sense of hostility over how the brexit deal� s affecting Northern Ireland, just at the moment when borisjohnson wants To be showing why friendship matters. Remember, under the deal, Northern Ireland has To follow some eu rules. So some goods are meant To be checked when they move from one coast To another. That created a Trade Border of sorts inside the united kingdom, but it avoided the need for a hard border between Northern Ireland and ireland. Now times passed, the uk is frustrated, it wants the eu To be flexible about the deal, but the eus perplexed, they think the uks not willing To do what it agreed. And the time allocated To business To get used To some of the change is about To run out and theres a stand off, because neither side appears willing To budge. So the Problem Weve got is that the proTocol is being implemented in a way which is causing disruption in Northern Ireland. And we had some pretty frank and honest discussions about that situation Today. There werent any breakthroughs, there arent any breakdowns either, and were going To carry on talking. What we really now need To do is very urgently find some solutions which support the belfast good friday agreement, support that the Peace Process in Northern Ireland and allow things To return To normal. Once the final preparations are complete, there is a big chance for the Prime Minister and for his colleagues from Around The World To show they can pull Together. But unscripted moments, unplanned for spats, could always spoil the show. Yael selfin is Chief Economist at kpmg here in london. This is the key problem with brexit, it has been from the beginning. How To sort out the movement of goods, of services with the Northern Ireland, being part of the united kingdom. Being part of the united kingdom being part of the united kinudom. ~ ,. , kingdom. Absolutely, and i think what kingdom. Absolutely, and i think what we kingdom. Absolutely, and i think what we will kingdom. Absolutely, and i think what we will find kingdom. Absolutely, and i think what we will find is i kingdom. Absolutely, and i. Think what we will find is that there will be a resolution of some sort, at some point but it willjust take more time, just because there is no perfect solution, and we are likely To see at The End of it, in the medium term, a combination of three things, one is that traders will adjust To the additional paperwork, et cetera, so it will become smoother, and the other thing is that it will be more costly To trade with Northern Ireland, and prices are likely To be reflected by it, and ultimately, we are likely To see stronger trade between Northern Ireland and the eu then we did previously, so some of these Supply Chains are likely To be replaced, and that is a medium To long Term Process that we will see happening between Northern Ireland and the rest of the uk. To you sound hopeful that they will sort out their differences as you heard therefrom the politicians, there is no breakthrough, no breakdowns at this point, so how will they come To a solution, because in the short term, there are huge difficulties in Northern Ireland for businesses, consumers, they are having real problems. Consumers, they are having real problem consumers, they are having real roblems. �. ,. ,. , problems. Were not going or we are unlikely problems. Were not going or we are unlikely To problems. Were not going or we are unlikely To go problems. Were not going or we are unlikely To go back problems. Were not going or we are unlikely To go back To are unlikely To go back To where we were before because thatis where we were before because that is Too much for Uk Government To give up generally, so we are not going To arrive at an optimal, perfect solution like we had before. ~ ,. , perfect solution like we had before. ~ , perfect solution like we had before. ~. , before. When you say what we had before. Before. When you say what we had before, what before. When you say what we had before, what do before. When you say what we had before, what do you before. When you say what we i had before, what do you mean . Before we left the eu. 50 had before, what do you mean . Before we left the eu. Before we left the eu. So it will not be before we left the eu. So it will not be as before we left the eu. So it will not be as smooth before we left the eu. So it will not be as smooth as i will not be as smooth as before, it is logically not possible To achieve, so we will need To give up certain things, it will be more costly going forward, ultimately To trade with Northern Ireland from the uk, but i think what will happen is the traders and businesses will adapt, ultimately, To a new state of affairs. They already have been adapting To a great degree since january the first, they have had To. Since january the first, they have had To. Yes, they have been but have had To. Yes, they have been but they have had To. Yes, they have been but they were have had To. Yes, they have been but they were still have had To. Yes, they have i been but they were still some uncertainty of how the ultimate rules will pan out, and as those laws enter more clarity and have more time To adapt To the new procedures, we will see smoother trades. Indie the new procedures, we will see smoother trades. Smoother trades. We will be kee in. Smoother trades. We will be keeping a smoother trades. We will be keeping a close smoother trades. We will be keeping a close eye, smoother trades. We will be keeping a close eye, thank i smoother trades. We will be i keeping a close eye, thank you very muchjo indeed. We will have full coverage of the G7 Summit taking place in cornwall throughout here on the bbc. Now, lets change the subject of the one dominating discussions in markets. Lets Talk Inflation now, because in the next few hours, officialfigures in the us are expected To show Consumer Prices surging at an annual rate of 4. 7 . Thats well over double the Target Set by the federal reserve. Rising prices Around The World are Piling Pressure on central Bank Policy makers To start withdrawing their stimulus measures, or Risk Inflation running out of control. But has the world become Too dependent on cheap money . The truth of the matter is that Interest Rates can never go that much higher than they are Today without causing a very severe recession, so there will be a lot of pressure against this happening, so the way our economy works Today is very much like a drug addict, so if we take the drug away, it will be a bad, bad withdrawal, so i just think they will keep giving the economy drugs, maybe for ever. � ,. , ~. , for ever. Lets talk through what i for ever. Lets talk through what i had. The european Central Bank makes its latest policy decision Today. James watson is Chief Economist at Business Europe an organisation representing companies of all sizes in 35 european countries. Your thoughts on what is ahead . I think the president � s right To say that the experience we have seen in the eu in terms of inflation at the moment, 2 in the euro area, are driven by technicalfacTors, and most technical facTors, and most obviously technicalfacTors, and most obviously due To the rising energy price component, but at the same time, i think there is obviously evidence of rising inflation and increasing cost To businesses within the eu, so for example, we see rising Transportation Costs Around The World, rising commodity prices, and its that covid related restrictions as well and the increase of operating businesses, a restaurant has To have tables, its got more difficulties in its kitchen as well, and every thinking about Labour Markets as well, there is evidence that Labour Markets are probably tightening more than we might have expected. Possibly companies are recruiting at the same time so so the issues around skill shortages, also coming inTo play, so a number of facTors. Just very quickly, when do you think we may be in a position in the key economies in the world, us, europe, To come of this kind of quantitative easing, the ploughing and of money every month from european Central Banks . I money every month from european Central Banks . Central banks . I think we are in a different Central Banks . I think we are in a different position Central Banks . I think we are in a different position Around The World, as you mention obviously the us has its own 4 inflation, lets not forget that we are still at 2 , so its going To vary Around The World, but i think there are clearly huge policy dilemmas, including in the eu, if inflation does continue To be rising, because as you mentioned earlier, the economies depend upon that. Thank you for your time President Biden has revoked an Executive Order from his Predecessor Donald Trump banning chinese Tok'>Apps TikTok and wechat in the us. The ban faced a series of legal challenges and never came inTo force. Instead, the us Department Of Commerce will now review apps designed and developed by those in the jurisdiction of a foreign adversary, such as china. Mr biden said it should use an evidence based approach To see if they pose a risk To us National Security. Samira hussain reports from new york. Although the former us president Donald Trump signed an Executive Decree To ban tikTok, the order was challenged in Tok'>Court And TikTok was still the most downloaded app was still the most downloaded app in america last year. This New Order signed by President Biden is significant because it is a clear sign that he shares some of the same concerns as his predecessor, the chinese Made Apps could be forced To hand over the personal information of its users debating. TikTok� s Parent Company bites dance has consistently pushed back against that contention, saying it has not and would not be compelled To share Consumer Data with chinas authoritarian regime. According To the white house, this New Order is aimed at protecting the personal data of americans. Mr biden has removed any specific reference To apps like tikTok or wechat. Instead he asked for an examination of all apps owned by foreign adverse aries. Staying with data, china is laying out a new security bill, which could pass as early as Today. It will govern how local and foreign companies manage the data of chinese citizens. Lets go live To our Asia Business Hub where Mariko Oi has been following the sTory. This could have an impact on many firms wanting To do business with china . Indeed, basically, any businesses wanting To do businesses wanting To do business with chinese consumers will have To conform To those rules, so it could really help let china play a bigger role in setting global standards for data regulation, especially because the us is nowhere close To passing nationwide privacy rules and the eu has had its Data Protection Law from about three years ago but there is a key difference between that and these chinese rules, because of ageing its not about protecting Peoples Privacy and data, it will be controlled by the chinese communist party, which means it will be dictated by National Security rather than private or business concerns. It also means the authorities will be able To come up with a framework To access the data of chinese citizens without any of us Finding Out Finding Out about it, and this is china trying To change behaviour overseas. Lets turn To the environment now, and a legal battle over diesel cars. Two years ago madrid, paris and brussels won the backing of the courts for Tougher regulations on emissions from new diesel cars. The cities blamed their high levels of Nitrogen Dioxide on carmakers. Germany has led an appeal, saying the low levels are impossible To meet. Well get an opinion from the European Court ofjustice later Today. Dharmendra kanani is direcTor of Friends Of Europe a Think Tank which aims To promote, in their words, a more inclusive, sustainable and forward thinking europe. Thank you for being on the programme. What do you think the opinion of the European Court ofjustice will be . I Cant Guess that. Are just hope that they sign with the angels on climate action. Lets not forget that this issue is in stark contrast of contradiction with the statements by the European Commission and the council To overreach or overshoot targets that were previously considered To be unreachable. Weve seen in the past 18 months huge progress made by the commission, at least in words, in terms of what he wants To do and be a leading Trading Block on Carbon Reduction but this is in sharp contrast To the fact that one of its big economic engines, germany, that has Heart Making as its key driverfor economic growth and we are seeing this as a huge challenge and i am just hoping that what we dont haveis just hoping that what we dont have is a rolling that wheels back the commitments made by the commission but also member states like germany on climate action. � ,. , action. But very briefly, the car manufacturers action. But very briefly, the car manufacturers say i action. But very briefly, the car manufacturers say they J Car manufacturers say they have a mountain To climb right now in terms of meeting the targets, in terms of adapting older models, creating new electric vehicles, that they are doing the best they possibly can, they need some slack. I possibly can, they need some slack. , � ~ possibly can, they need some slack. , � ~ � slack. I dont think so. Dont foruet slack. I dont think so. Dont forget its slack. I dont think so. Dont forget its the slack. I dont think so. Dont forget its the same slack. I dont think so. Dont forget its the same industry that applied pressure To the European Commission over the past ten years To make the decisions and choices it has, but lets remember, in the past 18 months we delivered the undeliverable or unimaginable, hospitals being created in months, vaccines being created and a time of late less than 12 months. There is nothing impossible in this situation. It Took over ten years To adapt To this situation, it is absolutely possible To create jobs and eight new Business Model that is cheaper and greener. Model that is cheaper and greener model that is cheaper and ureener. ,. , greener. Thank you for your time, greener. Thank you for your time. We greener. Thank you for your time, we appreciate greener. Thank you for your time, we appreciate it, i time, we appreciate it, dharmendra kanani, and we will look at that opinion later Today. Stay with us on bbc news, still To come how The Lost Generation is fighting back, we report from zimbabwe in the latest in our series on Youth Unemployment. This is bbc world news, the latest headlines President Biden will hold talks with the british Prime Minister in cornwall, at the start of his first foreign Tour since taking office. Lets turn To the issue of Youth Unemployment now, because the world Banks Youth Summit this week is highlighting the impact of the pandemic on the lifelong in zimbabwe around 28 of young people are out of work, one of the highest rates in the world. But, despite that, some young zimbabweans are making their own opportunities. Continuing our series my work, my future, Shingai Nyoka reports from harare. Every day, want of the musicians gather at a for a shot at stardom. Some couldnt finish school, but music has opened doors closed in thejob market. Opened doors closed in the ob market. ,. , opened doors closed in the ob market. ,. , � market. Education doesnt alwa s market. Education doesnt always lead market. Education doesnt always lead To market. Education doesnt always lead To success. I market. Education doesnt always lead To success. Al market. Education doesnt i always lead To success. A lot of the people often under bridges have degrees that havent helped them, so why not music . ~. ,. , music . While the others are startin music . While the others are starting out. Music . While the others are starting out, producers i music . While the others are i starting out, producers believe he is the next breakout star. Translation i he is the next breakout star. Translation he is the next breakout star. Translation i want To reach the Levels Translation i want To reach the levels of translation i want To reach the levels of the translation i want To reach the levels of the Top translation i want To reach the levels of the Top stars i translation i want To reach the levels of the Top stars so i the levels of the Top stars so i can make a living and take care of my younger relatives. I want To walk inTo a shop and have the money To buy what i want. In have the money To buy what i want. have the money To buy what i want. i . , want. In 2020, the output dronped want. In 2020, the output dronped by want. In 2020, the Output Drapped by a want. In 2020, the output dropped by a fifth want. In 2020, the output dropped by a fifth To i want. In 2020, the output dropped by a fifth To 800| dropped by a fifth To 800 singles due To covert lockdowns. 2021 looks set To be better. Due To covid lockdowns. Even before covid had, additional Work Opportunities were drying up for young people. Them upwey� s Employment Challenge is on full display here. Young people forced To find their own way have created a thriving informal secTor. According To the international labour organisation, Youth Unemployment is almost double that of the national average. But some people are bucking the trend. This man is 23 and a self taught animaTor. Business tripled during the pandemic. Crow three actually created an opportunity for our business. Because of the lot Towns and restrictions, a lot of businesses were not able To operate physically meeting a lot of people had To migrate online, and so a lot of people realised that didnt have websites, that didnt have content for Social Media, which is what we do. In content for Social Media, which is what we do. Is what we do. In this corner, the virus is what we do. In this corner, the virus of is what we do. In this corner, the virus of the is what we do. In this corner, the virus of the hour. I is what we do. In this corner, the virus of the hour. He i the virus of the hour. He employs the virus of the hour. He employs 15 the virus of the hour. He employs 15 other young people. At my age, my mum was working a good job, she could buy groceries for her mother, she could sustain herself. At my age i am like scrambling To see what they can put Together To make a living for myself. Especially as young people realising we dont need To wait To be Told what To do. We are just picking up momentum and finding each other in small spaces and collaborating. Finally, To the music business, because after two decades of decline its growing again thanks To paid streaming services like spotify and deezer. Music has become hot property with invesTors, and theres more proof of that Today as shares in digital Music Company believe Start Trading in paris, in an Initial Public Offering that values the company at more than 2 billion. Denis ladegaillerie is the founder and Chief Executive of believe. Welcome To the programme. Would you describe your company as a destrucTor To the traditional Record Labels and if so, how . Good morning, sally. Iwasjust listening To the report in zimbabwe about all of that new generation of artists rising, creating at home and what we expect is a new generation of millions of aspiring artists, many of them rising To become established artists and becoming a living of their art and we expect that generation in the next decade To grow very significantly in numbers and obviously we need To build the Tools To grow at each stage of their career and the support from various stages To establish artists To Top artists in each of these local markets Around The World. But ou do It Markets Around The World. But you do it in markets Around The World. But you do it in a markets Around The World. But you do it in a way that enables them To retain ownership, dont you . They havent got To sort of Sign Everything over To a Record Label . Of Sign Everything over To a Record Label . Yes, absolutely. We think that Record Label . Yes, absolutely. We think that the Record Label . Yes, absolutely. We think that the right Record Label . Yes, absolutely. We think that the right model| we think that the right model is one of independence. Artists, they do want To keep their rights, they want a better share of the economics and they also understand that in the digital world, when youre artists are on Social Media and streaming services, the way To reach them is very different, so what we offer them as a label thats really adapted To the digital world with better economics, with transparency for them To thrive in the digital world. Gill in the digital world. All riaht, in the digital world. All right, weve in the digital world. All right, weve got To leave it there but thank you being on there but thank you being on the programme dennis, founder and Chief Executive of believe and Chief Executive of believe and his got To the Initial Public Offering Today. Later on in paris, Windows Markets open in paris, Windows Markets open injust over a in paris, Windows Markets open in just over a couple of hours time. Lets quickly show you a flash of asian markets, apparently we cant show you those numbers. We will do a little later but you can also find that information online as well. Thank you for your company here and have a lovely day. I will see you soon. Hello. Two main points To take from our forecast for the next five days. Number one, there is very little rain on the way for the uk as a whole, and number two temperatures will be sitting above average for the majority of us in the days ahead. The reason for this weather, this ridge of High Pressure which extends up from the azores. We will see various Weather Fronts trying To push their way in To the north west. Therell be some rain for the Northern Isles on thursday. More cloud around in general and some patchy, Light Rain possible around western coasts and hills, often quite mucky and murky here with Mist And Fog as well. Best of the sunshine on thursday will be for central and eastern england. Quite windy To the north. That could break the cloud up quite nicely across eastern scotland, seeing temperatures up To 23 around the moray firth. Further south, 21t 25 across central and eastern england. Overnight thursday inTo friday, we do start To see a Weather Front having a bit more success working its way south across the uk, but not bearing anything significant in the way of rain. It basicallyjust introduces some slightly lower humidity here, so slightly less muggy across the northern half of the uk first thing on friday. To the south, still a warm and humid start, and a cold Weather Front works its way south through the day, but you can barely make it out. Its essentially a few showers drifting their way south across england and wales. The odd one may be sharper, but certainly, the majority of places will stay dry. Ahead of the front, still looking at temperatures in the mid 20s, a Little Down on Thursday Thanks To more cloud. To the north, it will feel fresher, but temperatures still inTo the high teens, even the low 20s. And then, through the weekend, the High Pressure plumbs us inTo a more Southerly Airstream once again. It keeps things fine and it also bumps those temperatures back up after that brief dip behind the cold front on friday. Theres whats left of the cold front heading off inTo the continent. Here is saturday. Aside from a bit of cloud across Western Scotland and perhaps Northern Ireland, wall To Wall Sunshine and temperatures above average across the uk. For sunday, just the chance of a little more in the way of rain getting pushed in on the front To Western Scotland. Elsewhere, though, again, a lot of dry weather. Sunday, if anything, the warmest of the two days. Eastern scotland up To 2a, perhaps close To 30 in the south east. Good morning, welcome To breakfast with Naga Munchetty and charlie stayt. Our headlines Today. President biden arrives in cornwall for talks with borisjohnson ahead of the G7 Summit. Northern ireland, and resuming Trans Atlantic Travel are high on the agenda. The painting, planting and time again is all complete. Cornwall is ready. Now the G7 Talking begins. Covid hospitalisations rise, the Prime Minister strikes a most pessimistic Tone about englands reopening onjune 21st. Its a day To carefully look To the skies, with a partial Solar Eclipse visible in parts of the uk later this morning

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