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tv   Business Briefing  BBC News  March 2, 2018 5:30am-5:46am GMT

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this is business briefing. i'm samantha simmonds raising the temperature. president trump says he'll slap hefty tariffs on foreign steel to protect us workers. but is he playing with fire? plus — the italianjob. a stagnant economy, a mountain of debt and a third of young people out of work — just some of the challenges for whoever wins weekend's election. on the markets.... fears of a trade war spark a sell—off on wall street, shares of ford and general motors among the hardest hit as trump's move will mean higher costs for them. and those concerns are rippling through asia with shares of steelmakers across the region down as much as 4%. we start in the us, where president trump says he will impose heavy tariffs on imported steel and aluminium to protect us producers. they have welcomed the move, but it has provoked an angry
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reaction from trade partners in china and europe and helped trigger a large sell—off on wall street. let's show you the details mr trump says from next week he'll slap duties of 25% on foreign steel and 10% on foreign aluminium. critics say if he goes ahead it will force up costs for other us firms like car—makers and provoke damaging retaliation. they argue it could destroy more jobs than it creates. but the president is trying to fulfil his election promise to save the us steel industry. and for many workers that help can't come soon enough, as joe miller reports from pennsylvania for almost two centuries, this rolling mill has been the mainstay of american industry, producing up to half 1 of american industry, producing up to half1 million tonnes of steel a year and providing hundreds of
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paying jobs. i was able to build my house and provide a good lifestyle for my son. but right now, i am in jeopardy of having to start over at 47 years old. last autumn, kimberley and 250 of her fellow employees, we re and 250 of her fellow employees, were told with the price of steel dropping, their employer would idle the mail and axe 100 jobs. just a year before, many of them voted for a man who campaigned on a promise to end their industry's relentless cycle of boom and bust. after months of dithering, the trump administration has announced its intention to slap tariffs of 25% on imports. we will be imposing tariffs on steel imports and tariffs on a loom on imports and you will see a lot of good things happen. for workers at the local union hole, the ta riffs have workers at the local union hole, the tariffs have been a long time coming. for years, they have felt at
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the mercy of china, which produces as much steel in a month as the us doesin as much steel in a month as the us does ina as much steel in a month as the us does in a year. we're not saying don't trade, we have two tray, but we're not even in the game. the freefall of steel coming into this country. the white house is running into the same problems that plagued previous administrations. imposing strict tariffs on steel imports could cause china and other important trade partners to retaliate in kind and that could cost jobs retaliate in kind and that could costjobs in other parts of the country instead. 0ther costjobs in other parts of the country instead. other industries say they feel a backlash to the ta riffs say they feel a backlash to the tariffs and markets in new york for sharply after the announcements. pogba this volunteer firefighter, saving steel is worth the cost. the steel industry in particular, but is the cornerstone of america. if we cannot make our own steel, we are leaving ourselves vulnerable to eve ryo ne leaving ourselves vulnerable to everyone else in the world.
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decision from washington has come at last, but steel workers in pennsylvania won't be celebrating just yet and they will be watching for how beijing and brussels respond. joe mellor, bbc news. let's get the reaction from asia to this story. mariko 0i is in singapore for us. hello, good to see you. bring us up today on how the markets have reacted to this news? samantha, as you can imagine shares in asian steel manufacturers are falling sharply. even though this move is probably aimed at china, places like south korea and japan export more steel to the us. of course, they are penalising america. so everyone are trading lower at this hour. car—maker shares are down as well because of course, they use a lot of steel and they see the move to raise
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the prices of steel. toyota has already warned they would probably have dounreay raise prices of cars and trucks they sell in america. essentially, american seamers having to pay more. as critics have been warning, this could provoke a trade warning, this could provoke a trade warand beijing warning, this could provoke a trade war and beijing has warning, this could provoke a trade warand beijing has said it warning, this could provoke a trade war and beijing has said it would retaliate should there be such an action. we haven't heard from beijing yet, but in terms of south korea and japan, other countries that will be affected by the move, they seem to be awaiting further details. even though the president has said he will impose these ta riffs next has said he will impose these tariffs next week, nobody knows the detailsjust tariffs next week, nobody knows the details just yet. tariffs next week, nobody knows the detailsjust yet. thank tariffs next week, nobody knows the details just yet. thank you for tariffs next week, nobody knows the detailsjust yet. thank you for now. let's go to italy now, as you've been hearing, the country is gearing up for a general election on sunday. italy has the third biggest economy in the euro area, but it's in pretty poor shape, and that's an issue many voters will be focusing on. in the decade since the 2008 financial crisis italy has been in and out of recession three times —
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a so called ‘triple—dip'. that means the economy is still below the level it was in 2008. the international monetary fund says it won't get back there until 2025, effectively an entire generation of lost economic growth. almost a third of young people are unemployed. it's perhaps no surprise that at least 1.5 million italians have left the country since 2008. the state is massively in debt. compared to the size of the economy, at 130% of gdp, its public debt level is europe's worst after greece. add to that — italian banks are sitting on europe's largest pile of bad loans, worth $273 billion. the economy is a big issue for many voters around italy i want italy to be organised in a way that will allow our children to have a future and not have to go abroad. i will vote for berlusconi
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because i think he is the only one who can change something in this italy that is going backwards nationally, as well as at a european and global level. for us, small businesses, the priority is that they lower the taxes bacause with this level of taxation we can't go ahead. this is the problem. people should be better paid and given some guarantees and incentives to people who have better skills. things need to be simpler, much simpler. 0ur guest lorenzo codogno is from the london school of economics. he was a senior official at the italian treasury for almost a decade. well—placed to explain the economic
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situation in the country. if you can, give us the background as to why the country is in such bad shape, economically?” why the country is in such bad shape, economically? ithink the country has suffered more than others to out the economic crisis. clearly, there are issues at play, demographic issues at play. as a matter of fact, italy is still more than 5%, 5.7% below the peak at its crisis. it is an issue, a problem. voters are still not feeling the recovery, there is no feel—good feeling in italy at the moment. the economic growth is ongoing, nevertheless. the figures last year was up1.5% and nevertheless. the figures last year was up 1.5% and in my view, this year could approach 1.8%. it is not that bad. still short of the overall eurozone. possibly, as we were
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saying, a lost generation in terms of economic growth even though the latest figures have been better than they have been previously. what other candidates saying they will do to fix the economy? that is the concerning part. possibly leaving aside, the ruling party, supporting the government right now, which has a more detailed programme. but all the other parties are saying very little to tackle the debt to gdp, which is pretty high. how to adjust the italian public sector and how to really prop up potential growth in italy. there is very little in the programmes. very little debate in the campaign. we must leave it there, thank you for coming in. now let's brief you some other business stories. microsoft founder bill gates has attacked cryptocurrencies, saying they are killing people in a "fairly direct way". in a question and answer session on the news website reddit he said digital currencies like bitcoin are used to buy drugs, including
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synthetic opioid fentanyl, and that their anonymity involves them in terrorist funding and money laundering. the uk's computer games business has racked up a new high score, despite a squeeze on consumer spending. according to the trade body uk interactive entertainment — sales surged 12.4% to hit a record £5 billion last year. ukie credited the growth to "an ever—expanding audience" for games. that's it for business briefing this hour, but before we go — here are the markets. concerns over the impact of president trump's move on steel tariffs have hit us shares and the dollar — car—makers like ford and gm among the hardest hit as they will face higher steel costs. stay with us, we have a look at the stories hitting the papers in a few minutes. a daily cocktail of air,
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light and noise pollution is having a significant impact on the health of us all, according to england's chief medical officer. dame sally davies' annual report warns of a stark lack of awareness of the risks associated with exposure to each of these elements which are linked to cancer, heart disease and asthma. the study also suggests the nhs's one million employees, could be at the forefront of the fight to reduce pollutants. 0ur health correspondent dominic hughes explains. the impact on a condition like asthma is understood. but what is less clear is the wider effect on oui’ less clear is the wider effect on our health we experience every day. now, england's chief medical officer says more research is needed, not just for today's threats, but in the
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future. i am most concerned about airat this future. i am most concerned about air at this moment but we must not forget to measure the impact on health of other types of pollution, otherwise we could find in 30 years, there is a problem we didn't see coming early enough. this report says the nhs could lead the way on reducing pollution, with more than1 million staff, the health service is one of the biggest employers in the country and is responsible for around one in every 20 road journeys. so the nhs could cut down on consumption of single use plastics and omissions from buildings. if nothing is done and there are warnings that consistent, long—term exposure to a range of pollutants, air, light, noise and chemical could undermine efforts to improve public health. a better understanding of the threat will help identify possible solutions. dominic hughes, bbc news. coming up at six a:m., we will have all of the
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news, business and sports. this is the briefing from bbc news. the latest headlines... a blueprint for brexit — theresa may will deliver a long—awaited speech setting out her plans for a future relationship with the eu. the misery goes on — heavy snow and deadly blizzards continue to lash many parts of europe — and will continue into the weekend. in the final furlong — campaigning continues in italy ahead of sunday's crucial general election. raising the temperature. president trump says he'll slap hefty tariffs on foreign steel to protect us workers. but is he playing with fire? now it is time look at the stories that are making the headlines in media across the world. we begin with the telegraph. us president donald trump has said he will impose a 25% tariff on steel imports in a move that could trigger a global trade war. the european union has hit back warning the us it will "react firmly to defend our interests" the independent leads with brexit and a vow from uk prime minister theresa may to secure the most comprehensive trade deal
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"anywhere in the world". this comes as she sets out five tests any brexit agreement must meet. the times world section reports on russian president vladimir putin who has boasted of a growing an arsenal of "menacing" super weapons which are invulnerable to western defences. he also warned russia's military build—up could not be contained. the new york times looks at china's interest in africa and building coal—fired power plants in places such as kenya to help meet the country and the wider continents fast—growing demand for electricity. and finally, on the vox website, a warning has been issued by plastic surgeons who say taking selfies will make our noses look 30% larger than they really are. according to the journal of facial plastic surgery, patients have been visiting clinics demanding nosejobs because they thought they looked too big in their smartphone photos. with me isjoel kibazo who's partner atjk associates and a former director of communications
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at africa development bank. let's start with the business page in the daily telegraph and the news donald trump will impose what they are calling devastating tariffs on steel imports. it is not clear which countries will be affected by this at this point? it is unclear at all. we have seen this in the way the stock markets have reacted, particularly in asia. i think the trump statement shouldn't be a surprise because it was a campaign theme. however, it came out unexpectedly. usually you give signals these things are about to happen.


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