Transcripts For BBCNEWS World Business Report 20240710

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Comes in to effect today. The personal information protection law, has more teeth than other Data Laws in other countries, and its set to have wide reaching implications for how firms handle cross border data. How businesses use our data, where its stored and how its protected is a major concern for individuals and governments. China is now laying out the most severe penalties for firms who transfer key Data Overseas without proper authorisation from the chinese government, and could even blacklist firms to stop them gaining access to data from chinese citizens. Joining me now is suzanne rab, barrister, Serle Court chambers. Lovely to see you. Talk lovely to see you. Talk us lovely to see you. Talk us through this new law in china. How will it work and how will It Impact Businesses outside china � s It Impact Businesses outside china . ,. , It Impact Businesses outside china . , It Impact Businesses outside china. , China S good morning, sally. International China S good morning, sally. International Businesses China s good morning, sally. International businesses will| International Businesses will be familiar with stringent Data Protection requirements under the eu, gdp are low, and in many respects this Law Shares similarities including consent for certain Data Transfers but this is tougher with higher penalties up to 5 of annual Turnover And Approval is needed for certain Data Transfers, restrictions on one transfer, and the requirement for localisation of certain data in china itself, so the gdp are, but with teeth. I china itself, so the gdp are, but with teeth. China itself, so the gdp are, but with teeth. I assume that businesses but with teeth. I assume that businesses who but with teeth. I assume that businesses who operate but with teeth. I assume that i businesses who operate across borders, in china, who do you handle the data of chinese citizens, this is a huge undertaking for them in terms of getting their heads around it . It of getting their heads around it . ,. ,. , it . It is not ust for those businesses it . It is not just for those businesses who it . It is not just for those businesses who are it . It is notjust for those. Businesses who are handling data of citizens in china. The Cross Border Aspect of it means that it can bite on overseas companies in that respect, and also those with operations in china, those dealing with large internet platforms, such as ali baba, so that is requiring greater vigilance to understanding your Supply Chains and your security measures that impact on china. Do you think this is too much, in terms of how stringent these laws are, or is it actually a good thing, it is increasing our protection � s in good thing, it is increasing our Protection S our Protection S in some respects. Our Protection S in some respects. We our Protection S in some respects, we are our Protection S in some respects, we are seeing | our Protection S in some respects, we are seeing very familiar things brands liberally with governments and regulators showing greater emphasis on protecting Data Subjects for the likes of you and i had to control what is happening to our personal data, but there are other elements, the enhanced security relates also to national security levels, so, there are other strands in there, which could cause some concern. It is not the first time we have seen Data Protection lawS Focus on localisation in the jurisdiction. It is seen in india. It is a mounting trend globally, and we expect enforcement to be very vigilant. I enforcement to be very vigilant enforcement to be very viailant. ,. , vigilant. I would imagine it will be. Suzanne, vigilant. I would imagine it will be. Suzanne, thank. Vigilant. I would imagine it| will be. Suzanne, thank you vigilant. I would imagine it will be. Suzanne, thank you for explaining this for us, from Serle Court chambers. More now on the impact the global Chip Shortage is having on motor manufacturers. For more than a year the industry has faced disruption to Supply Chains and one of the biggest issues for Car Makers is a shortage of semiconductors, or computer chips. The supply is limited, ramping up production takes time and the Consumer Electronics Industry has an insatiable appetite for them. Our reporter Theo Leggett spoke to paul wilcox, Managing Director of vauxhall, and asked him how serious the situation is. It is a global problem. It is affecting all of our industry, all of our competitors. And it has suppressed our ability to manufacture, so, look at the uk, today, this month, commercial vehicle sales have been hugely buoyant this year, 59 up, this month, 20 down, and a large part of that is because of these supply shortages. How long is this going to go on for . We think probably through until The End of the year. We think going into 2022, well start to see more stability but we know we have got a problem for the next 2 3 months. Do you think there is a case now for revising some of the very complex Supply Chains that your industry relies on . I dont think it exposes a problem, i think it just illustrates that, when you have a crisis, you can be quite vulnerable, because obviously, Everything Works Onjust In time principles, we are very lean manufacturing, the whole industry is very much based on lean manufacturing, and thats not, i dont think that will change in the short to medium term, but what one needs to be more careful of is maintaining obviously more stability in terms of our contractual arrangements, but i dont see a fundamental shift in the way that we manage the business. What about other raw materials, things like steel . There are shortages there as well. Is that going to push up prices . Obviously, we do see some inflation in raw material, but we dont see that as a major debilitating factor, it is not something that is a massive shock to us in the short term, so at the moment, we have stability in terms of the Supply Chain in probably 99 of components, and, in terms of pricing we dont see a massive impact. Lets talk about ellesmere port, because before the summer your Parent Company announced that the plant would be used in future to make a range of electric vans. How important is that for the plant and its workforce . It is always the massively important. You have the investment of 100 million, security ofjobs, 1000 jobs at the plant which gives stability in terms of the workforce, but in terms of the Supply Chain, on many, many more thousands in the Supply Chain, and in that part of the uk obviously very important as an employer. There is a Flip Side to this, isnt there, which is that after more than 100 years, vauxhall cars will no longer be made in this country, they will be made in spain, portugal and poland, is that a little bit disappointing, perhaps . Not at all, no. Because we are building at the luton plant, we are building the combo at ellesmere port, and we will be the centre for commercial Vehicle Production of the uk for our Sister Brands and obviously for vauxhall, so i dont see, i come back to this point about sustainability of the plants, because you concentrate your manufacturing on one platform it means you have a stronger long term future. Interesting to hear how Car Manufacturers are coping with that issue. Let s get some of the day s other news. Indias Gdp Numbers for April Tojune this year are out, and the economy saw a Record Year On Yearjump of around 20 this is a substantialjump but it still does not see india back to pre pandemic levels. South korea has passed a bill, ordering Apple And Google to open up their app stores to alternative forms of payment in the country. Its the first country to do so, and it could put a damper on the two tech giants lucrative commissions, both of which have effective duopoly on smartphones globally. Shell is widening its Uk Network of Charging Points for electric cars. The push is aimed at drivers who dont have private parking. Shells ubitricity unit will install 50,000 On Street Charging Posts by 2025. It already has about 3,600 chargers in the country built into existing infrastructure like Street Lamps or bollards. Now to Sri Lanka where, in an effort to rein in soaring inflation in the country, the government has declared an economic emergency. This gives power to authorties to Stockpile Staple foods like rice and sugar, set their prices, and maintain a steady supply. Katie silver is following the story for us. It sounds sensible in theory. I wonder how it is going in practice. It wonder how it is going in Practice Wonder how it is going in ractice. , practice. It has only Ust Come Into Effect practice. It has only Ust Come Into Effect so practice. It has only Ust Come Into Effect so that practice. It has onlyjUst Come Into Effect so that remains practice. It has onlyjUst Come Into Effect so that remains to | into effect so that remains to be seen. What we know about this is what has been dubbed the commissioner of Essential Services to try and act, he has the ability to collect staples, to set prices as well as to tackle any trade is accused of holding goods, and this is where we have seen just an inability to buy these good, so when it comes to potatoes and onions, kerosene, milk powder, huge queues, as well as big price increases, as well as for the likes of Mung Beans and chickpeas, vital goods used in Sri Lanka, we are seeing according to local Media Prices almost doubling in the past 12 months. Is this because the country didnt have enough foreign exchange, many foreign banks have pulled out of it and as we saw a year ago, restrictions about when it came to importing very coming early spice in china in Sri Lanka sorry, turmeric, to maintain the supply of foreign currency, but supplies are dwindling and as a result we are seeing the currency really depreciate. The Sri Lankan rupee, about 185 for a Dollar A year ago, now more than 200 and we have seen inflation skyrocketed killing, for example 6 in the last month, so it is compounding the impact and month, so it is compounding the impactand many month, so it is compounding the impact and many Sri Lankans, theres been a huge covid surge in the country and people are feeling the pinch when it comes to getting these basics, and as a result we are seeing these quite drastic measures, and whether or not thatll work, that remains to seen, sally. It is good to hear about Sri Lanka. Stay with us. Finding inner peace, i talk to the boss of headspace about Mental Health issues in the workplace. This is bbc World News the latest headlines. President biden remains defiant over the us evacuation from afghanistan even though taliban militants are now back in control. In louisiana, millions of people are left without power as the Hurricane Ida a debate is going on in the us among politicians about who should be in charge of the us Central Bank. Several Progressive Democrats have written a letter to President Biden not to renew the term of Federal Reserve chair, Jerome Powell. One of the signatories is New York s Representative Alexandria 0casio cortez also known as aoc who says this is a chance for the president to make a sweeping change to americas Central Bank. Samira hussain has more from New York. Members of the Democratic Progressive Caucus are calling on us president Joe Biden to make some changes to the Federal Reserve, namely not renewing the term of your own power, the current chair of The American Central Bank. The role of the Federal Reserve is to do two things, of the Federal Reserve is to do two things, keep of the Federal Reserve is to do two things, keep inflation of the Federal Reserve is to do two things, keep inflation low and maximise the number of jobs. Although the fed has made some changes to how it approaches its full employment, lawmakers in this letter have said that they want to see a Federal Reserve thatis want to see a Federal Reserve that is more focused on eliminating Climate Risk and advancing racial and economic justice. Mr powell is a former us President Donald Trump appointee, but was heavily criticised by Mr Trump for raising Interest Rates pretty early in his tenure. Mr powell has since received quite a lot of praise for how he navigated the us economy through the pandemic and really prevented a full blown financial crisis. 0ften, full blown financial crisis. Often, when there is a change of administration, the role of chair is renewed, however, the biden administration has not said whether or not it will keep Mr Powell on. Joining me now is James Hughes, chief market analyst, scope markets. Its now time for change at the top of the fed S Markets globally are obsessed with what the fed is doing month on month. ~ ,. , month. Absolutely, and when there is that month. Absolutely, and when there is that much month. Absolutely, and when there is that much obsession | there is that much obsession around exactly what Central Banks are doing, the question has to be asked, would it be a good time to almost finish this Job Half way through and pass it to someone else s i think thats the case we got to look at, thatJerome Powell has navigated the us through the pandemic. And of course, as your report said, there was a lot of faith being put his way for how calm he has been around monetary policy, how he has kept the asset purchasing schemes, basically what the Federal Reserve uses to pump money into the economy, how he has kept them in place and managed to maintain that over the period of time, whilst keeping inflation under control, and most importantly, boosting jobs, and boosting jobsis boosting jobs, and boosting jobs is the key thing. That is going to be one of the key readings we get even this week. There is always so much focus on the fed and whilstJerome Powell is doing a good job, would it be a good thing to change in this february, when we are still really in the midst of the pandemic economically . Midst of the pandemic economically . Credit where credit is due, economically . Credit where credit is due, he economically . Credit where credit is due, he was economically . Credit where credit is due, he was head. Economically . Credit where | credit is due, he was head of the fed under a trump administration, and former President Donald Trump was very vocal when he didnt like what Jerome Powell was doing in terms of his decisions, and yet, he was able to handle that and remained independent, which is critical, isnt it . Absolutely, and this is something that federal Reserve Chairman always get hardware, the fact that whenever there is pressure, because when Interest Rates are cut, it really does boost Stock Markets, so the likes of the dowjones will jump likes of the dowjones will jump through the roof because we see Interest Rate cuts. 0bviously vice versa, when Interest Rates are put higher, then the Stock Markets tend to fall. Donald trump wanted the headlines of saying look how well the Stock Market is doing, which is why he put so much pressure onJerome Powell to cut Interest Rates, or do not raise them, but as you say, Jerome Powell stuck to his guns and did exactly that, and that is where the praise will come that he is over stuck to his guns, that he has always done what he thinks is best for the economy. If you look at the economy. If you look at the economy coming out of, or during this pandemic, it has performed particularly well. Unemployment down at 5. 4 , we will get unemployment numbers this week out of the us which again will paint the picture, and even last week, there waS Focus about when Jerome Powell will remove stimulus from the economy and, yet again, he not pushed into early decisions because the markets or general Market Participants think there is a need for it. He is continuing to use his own timeline. I continuing to use his own timeline continuing to use his own timeline. , timeline. I am interrupting ou, timeline. I am interrupting you. Before timeline. I am interrupting you, before we timeline. I am interrupting you, before we you timeline. I am interrupting you, before we you go, timeline. I am interrupting. You, before we you go, give timeline. I am interrupting you, before we you go, give us your take on markets and their anticipation of when so called tapering will happen, the Federal Reserve, the Central Bank is pumping less money into the economy to try to support it, in that sense. It, in that sense. There was a bi , it, in that sense. There was a big. Important it, in that sense. There was a big, important meeting it, in that sense. There was a big, important meeting last l big, important meeting last friday at the Jackson Hole Symposium wereJerome Powell symposium were Jerome Powell made symposium wereJerome Powell made a speech and he was a little bit more cautious than we expected. That so the us dollar falling quite aggressively. There is still a feeling that we could see this tapering happening before The End of the year, but a lot will rely on this weeks what we call the non farm payroll number, which comes with the us jobs report, released on friday, and if we get a particularly strong number there, that shows that unemployment is moving in the right direction, and we are in a good position from an Employment Point of view, then it could be the final part that says, 0k, it could be the final part that says, ok, the us economy is ready to start slowly removing that stimulus and starting to stand on its own two feet. Thanks, james, always nice to see you, James Hughes with his take on the financial markets. As sweet as Honey Hilltop is one of the uks fastest growing small firms and its honey is sold in shops and restaurants across the uk. Company founder Scott Davies says his biggest initial problem was one of Cash Flow he was having to pay for supplies before his customers were paying him for his goods. Its a very common problem for Start Ups and this is how he solved the problem. I was making money but i didnt have any money and i really didnt know where that money was living. I had no real Mentor Understanding of whatsoever, only a concept of wanting to sell things for more than i could make them for. I knew that i was making money, but it didnt have any money and i was like, how am i making this money and not having any money . When i went to suppliers, everything was cash up front, i then went to customers and they were saying well we will buy it back not pay you for 60 days so this lack of getting that money in the first order made things very difficult. This lag. For us it was like i will pay you back in a week, and then the more you work for them, they were that, in my advice to young Start Ups is that old problem of cash is king, it is to Work Out where the cash is in your Business And Work with your suppliers and customers to negotiate better Terms Of Trade for your business. Now before we go a word about Mental Health. During the global pandemic a growing number of employees have reported feeling burnt out and for many companies mental wellbeing, health, has become a key issue. Just this week nike announced its giving staff at its headquarters in oregon a week off to support their Mental Health, ahead of the return to the office in september. Thanks to the pandemic, investors have been pouring money into online healthcare and Mental Health services in particular are booming. Joining me now is Cece Morken Chief Executive of headspace the Mindfulness And Meditation app. Welcome to the programme. You have announced plans to merge with a company called Ginger Health, just talk us through that manoeuvre. £16 health, just talk us through that manoeuvre. Health, just talk us through that manoeuvre. ~. , ~ that manoeuvre. 46 of us 4696 will that manoeuvre. 46 of us 46 will have a that manoeuvre. 46 of us 46 will have a diagnosable that manoeuvre. 46 of us 46 will have a Diagnosable Mental. Will have a Diagnosable Mental Health Condition and 56 of that will go untreated and the are just mac reasons, that will go untreated and the Arejust Mac reasons, one is the stigma around Mental Health, the affordability of Mental Health and then access the humans, coaches and therapists to deal with that. We look at Mental Health as a continuum between Prevention And Promotion and mindfulness which is where headspace has been, and into Condition Management or duration which is where Ginger Health had been and it is a continuum, each of us has Mental Health and we will move back and forth on that continuum, the Combination Of the two companies enables us to take care of people throughout their lives as they move back and forth on this continuum, and to democratise the availability of Mental Health and make it affordable and available to everyone. You talk about and available to everyone. You talk about democratising it and making it affordable, and just looking at headspace, around 70 a year, to take part, to use the facilities you got. Just having a look at it, a lot of what you have got there, i can access that for free. There are many articles on some of theissues are many articles on some of the issues you are looking at, about work, getting a good night was sleep, meditation, it is all out there for free, isnt it . It is all out there for free, isnt it . Is all out there for free, isnt it . ,. ,. Isnt it . It is out there for free to isnt it . It is out there for free to address isnt it . It is out there for free to address the isnt it . It is out there for| free to address the stigma isnt it . It is out there for free to address the stigma and to introduce it in fact we make it real things like Netflix Or Sesame street, and we have great content out there as well, but what we actually do is develop healthy routines, so we are there for you when you get up in the morning as you eat, Work Out, move, work, eat, deal with stress related to finances or family, deal with stress related to finances orfamily, the deal with stress related to finances or family, the content is 5000 different pieces of content that is defiant for you to build your specific healthy routine, and so it is out there for free to introduce routine, and so it is out there forfree to introduce it, but you need the pattern to make it a routine for you. You need the pattern to make it a routine for you. Who comes up with that for a routine for you. Who comes up with that for you, a routine for you. Who comes up with that for you, is a routine for you. Who comes up with that for you, is it with that for you, is it algorithms, is It Bots or a human . It algorithms, is It Bots or a human . Algorithms, is It Bots or a human . ,. ,. ,. ,. , human . It is a Combination Of both. Human . It is a Combination Of both we human . It is a Combination Of both. We believe human . It is a Combination Of both. We believe in human . It is a Combination Of. Both. We believe in augmented intelligence, so there are algorithms that define routines for you based on bots which helps us reduce the cost of the care, and there are humans because sometimes a human is the best approach to dealing with your condition. The algorithms help identify that. Many companies, and briefly, cece, because were almost out of time, i wish we had more space on the programme, many companies already provide support for staff, especially currently during this pandemic. Many companies provide solutions such as headspace. We have seen an enormous uptake in what companies are offering and the ceo of� S Focus on Mental Health within the office, so this is one of many programmes available to them, but the Combination Of Headspace And Ginger will be the first offering covering the full continuum of Mental Health. Thank you for being on a programme, cece morgan, the Chief Executive of headspace. We are out of time. Have a good day, and i will see you soon. Hello there. The last day of august was a rather cloudy cool one with spots of drizzle across Eastern Areas. Best of any sunshine towards the west. Indeed the next few days of september are looking pretty similar, often cloudy, occasional drizzle in the east. A little bit of sunshine at times, particularly across more sheltered Western Parts. For wednesday, its a rather cloudy picture again. The thickest of the cloud across the eastern coast where we will see Light Rain or drizzle. But through the afternoon we could see quite a bit of sunshine for scotland, maybe Northern Ireland Western Fringes of wales and into the southwest. But it will be breezy across the channel. Certainly around the North Sea coasts. That will take the edge off the temperatures, highs here around the mid to upper teens. Further inland a little bit warmer where you have the sunshine across Central Western Scotland in particular we could see temperatures reaching around 21 22 degrees. As we head through Wednesday Night it stays mostly cloudy for england and wales, a bit of cloud continuing for Eastern Scotland then it will trundle its way eastward although some Western Parts of scotland, Northern Ireland could stay clear. It will be fairly cool under clear skies where we have the cloud and the breeze 11 14 degrees. Very little change for thursday and friday. An area of high pressure still sitting on top of us and bringing this North North easterly airflow. Itll bring a lot of cloud again into northern and Eastern Areas in particular. Further west that you are a better chance of seeing some sunny breaks of course, temperatures in the sunshine reaching the low 20s. Otherwise its mid to high teens in the cloudier spots. For the weekend, signs of change with an area of high pressure begins to break down and moves eastward which allows this area of low pressure to slowly push in from the atlantic. Thats going to bring in increasing breeze and also the chance of showers or even longer spells of rain particularly for part two of the weekend. Saturday doesnt look too bad. Looks like it will stay mostly dry. Variable cloud, Light Winds with some sunshine. The winds will start to pick up across southern and western areas as that area of low pressure arrives and by The End of the day he could start to see Showery Burst Of Rain Arriving here. Temperatures, low 20s in the brighter spots. Mid to high teens across the far northeast. Into sunday it looks like we will see a band of Rain Start spreading across the country that could be quite heavy, followed by sunshine and heavy showers. Good morning. Welcome to breakfast with Dan Walker and louise minchin. 0ur Headlines Today Uk Officials are in talks with the taliban, to try to get more british nationals safely out of afghanistan. President biden launches a robust defence of the us withdrawal, describing the Evacuation Efforts as an extraordinary success. We succeeded in what we set out to do in afghanistan over a decade ago, and we stayed for another decade. It was time to end this war. Hundreds of thousands of people are to be offered a game changing anti cholestrol drug, on the nhs in england and wales

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