Skip to main content

tv   World Business Report  BBC News  May 10, 2021 5:30am-6:00am BST

5:30 am
hello again. this is bbc news with the latest business headlines for viewers in the uk and around the world. the united states braces itself for a fuel shortage after its biggest oil pipeline is hit by a cyber attack. the travel industry reacts with disappointment to the uk government's green list for overseas travel, claiming the update is overly cautious. joe biden�*s multitrillion—dollar infrastructure plan looks to cure the pot holes on the road to recovery.
5:31 am
let's bring you more detail on the story we just mentioned. the us government has issued emergency legislation after the largest fuel pipeline in the country was hit by a cyber—attack. —— by a cyberattack. the colonial pipeline carries 2.5 million barrels a day, which is 45% of the east coast�*s supply of diesel, gasoline and jet fuel. it was completely knocked offline by a cybercriminal gang on friday and is still working to restore service. experts say fuel prices are likely to rise by as much as 3% on monday, but warn the impact will be far worse if it goes on for much longer. the hackers took 100 gigabyte of data hostage. they are now demanding a ransom. if it is not paid, they are threatening to leak the data on the internet. and just to mention the price of oil has ticked up in the asian trading session.
5:32 am
joining me now is russ mould, who's an investment director at aj bell. this is a worry, cybercrime hitting strategic parts of an economy? it hitting strategic parts of an economy?— hitting strategic parts of an econom ? , economy? it is, as you say you have 2-5 — economy? it is, as you say you have 2.5 million _ economy? it is, as you say you have 2.5 million barrels - economy? it is, as you say you have 2.5 million barrels of - economy? it is, as you say you have 2.5 million barrels of a i have 2.5 million barrels of a product at a time of the american economy is trying to get back on its feet boosted by the joe biden get back on its feet boosted by thejoe biden stimulus plan and the oil market is particularly susceptible. we saw a drone attack on saudi arabian refineries in 2018 and it is a major pressure point for the global economy and if fuel prices go up it effectively is an attack on consumers so they could be a substantial economic hit if they cannot get things online quickly.— online quickly. and during lockdown. _ online quickly. and during lockdown, cybercrime - online quickly. and during lockdown, cybercrime hasj online quickly. and during - lockdown, cybercrime has seemed to rise because so many people are working from home. not in the office. therefore it is the cloud and more technology and things are not as secure as they should be, perhaps? fine things are not as secure as they should be, perhaps? one of they should be, perhaps? one of the interesting _ they should be, perhaps? one of the interesting things _ they should be, perhaps? one of the interesting things about - the interesting things about the interesting things about the biden infra structure plan,
5:33 am
the $2.3 billion programme, it focuses on potholes and bridges and it will be interesting to see if digital infrastructure becomes a part of it as well but it is a key part of modern life and a lot of us are lucky enough to be able to work from home and data is stored in the clouds so we are more vulnerable but good news is there are companies out there who specialise in stopping this kind of thing and colonial pipeline is brought in a specialist eye, i believe, to solve the problem. speculation as to who _ solve the problem. speculation as to who is — solve the problem. speculation as to who is behind _ solve the problem. speculation as to who is behind this - solve the problem. speculation as to who is behind this and - as to who is behind this and the bbc�*s online article talks about his gang called the dark side, a criminal gang working extensively on the dark web and some are saying it could be russia in the background somewhere or other. this is a huge risk, isn't it, for anyone globally and we not reporting on the level of cybercrime happening too many smaller no, and i'm sure lots of countries are very —— companies are very wary of that and investing in their property and my employer is a financial services property and we invest very
5:34 am
heavily to make sure that our clients are protected, if we had difficulties we would not be in business very long because our customers would be particularly unhappy so it is an area of major investment for an area of major investment for an awful lot of companies. and finally, in terms of the price of oil, your thoughts today? it looks as if gasoline has ticked up looks as if gasoline has ticked up to a 3% in the us already, and there are four year high interesting, oil up a bit and it depends on how quickly the pipeline is off—line, they are saying it is after five days and you could start to see more price pressure coming through and also that i other alternative measures with the us may be talking about easing its regulations so fuel can be shipped by road and other oil companies are looking at barges and oil tankers so they could be a few happy shipping magnate, —— magnates out there. you, russ, keep well. the uk is cautiously reopening for international travel. holidaymakers in england now know the 12 green list
5:35 am
countries they can visit from next week without quarantining on their return. the list includes portugal and israel, but many popular summer tourist destinations such as spain, france and greece aren't on it. transport secretary grant shapps says the list will be reviewed every three weeks from reopening. rob griggs is director of policy at airlines uk. good to have you on the programme. first of all, your reaction to this system in place for us currently in england. place for us currently in england-— place for us currently in england. place for us currently in encland. ., . england. good morning. we welcome — england. good morning. we welcome the _ england. good morning. we welcome the introduction i england. good morning. we welcome the introduction ofj england. good morning. we - welcome the introduction of the traffic light system to restart international travel but we are disappointed that we had a relatively limited list of green countries which we were able to travel to without the quarantine. i think the government are being overly cautious in terms of the restart, given the success of the uk's vaccine rollout and some of the measures we have
5:36 am
now available to us like protests, which we did not have last year, so it is absolutely i think that we are seeing international travel restart after such a difficult year but the hope was we would have a more meaningful restart because with so few countries, it is a restart in name only. so you have not— restart in name only. so you have not over _ restart in name only. so you have not over the _ restart in name only. so you have not over the weekend l restart in name only. so you - have not over the weekend then seen a jump in bookings? and also a jump seen a jump in bookings? and alsoajump in seen a jump in bookings? and also a jump in prices to get flights? also a jump in prices to get fliuhts? ., , flights? there have been obviously _ flights? there have been obviously over _ flights? there have been obviously over the - flights? there have been i obviously over the weekend flights? there have been - obviously over the weekend lots of interest in the countries that have become available. there was a huge amount of pent—up demand for travel, one in seven people in the uk were born overseas so it is notjust holidays, people looking to reunite and travel for business also, and of course when there is limited demand it seems inevitable that you will see prices increase and it happens across every sector of the economy, which is partly why it is so important we see the list expand as quickly as we can which we think it should do. even for those who are able to travel and, as you say, for the
5:37 am
countries on the green list, it is still complicated, isn't it, in terms of what you have to do before you leave and what is required of you when you arrive in the country in terms of what that countries asking for from you in terms of test results et cetera, and when you get back it is an expensive and laborious process and many surely will be put off by that. it is certainly a little more complicated than it was pre— covid—19 and hopefully we can get back to something normal soon but testing is an issue, we think evidence is there that with the travel corridors there was no need for a test which kept it fairly simple, and we think from particularly green, low—risk countries and especially if you are vaccinated, you should not need to be taking kind of the gold standard pcr test on return which, as you say, are still too expensive and the government acknowledges that and there is work to do so is costs —— to reduce those costs so in costs —— to reduce those costs soinjune costs —— to reduce those costs so injune they will look costs —— to reduce those costs so in june they will look at the whole system and i hope it is very much that we will see
5:38 am
things like the cost of testing reduce and ways to make sure that the overall process is as smooth as possible. many of our airlines, if you look at what they are doing, they provide lots of flexibility and support to people to help the process be as smooth as possible, albeit the testing arrangements or other things, so not quite the same as it was last year but hopefully over the course of the summer we will see something a bit more like normality for as many places as possible. normality for as many places as ossible. , , ., , possible. testing times! rob, thank you- — let's get some of the day's other news. the price of dogecoin fell by as much as 35% on sunday, after billionaire elon musk, one of its biggest supporters, appeared to call the virtual currency a "hustle" while hosting saturday night live. however, the currency has risen 1a,000% this year and will know be accepted as a form of payment for musk�*s rocket company spacex. exporters in uk freeports will not get the full benefits of the new tax—efficient zones if they are exporting
5:39 am
to certain countries, including canada, switzerland and singapore, according to the financial times. the uk has recently made post—brexit trade agreements with 23 different countries, however some include clauses which prohibit manufacturers in freeport—type zones. america's second largest burger chain is returning to the uk after 20 years with a promise to steal market share from rivals mcdonald's and burger king. wendy's, famous for square burgers, plans up to 400 outlets nationwide, creating at least 12,000 jobs. israel is expected to sign a free trade agreement with south korea this week, which will mean more than 95% of israeli exports to south korea will be customs—free. israel is working on similar deals with china, vietnam and india. joining me now from our asia business hub of singapore is shara njit leyl.
5:40 am
tell us more. that's right, sally. this is significant as it is israel's first such agreement with an asian country and the deal is really meant to bolster bilateral trade cutting things like customs duties and offering safety nets on investments, for instance. we know that bilateral trade reached between south korea and israel clock in at about $2.1; billion in 2020 and roughly two—thirds of that were goods and services imported into israel. the deal is going to be signed this week in seoul during a visit from the israeli foreign affairs and commerce minister and more than five for 5% of israeli imports will be customs free —— 95. it brings down the price of korean made cars such as hyundai and its pr brand which together, incredibly, has a 33% market share of cars folding israel —— kia. but some european cars such as vw, electric vehicle,
5:41 am
they use batteries made in korea which would help reduce prices on those models. we know that korea has free trade agreements with a number of countries, including one planned with the uk post—brexit, so it is really a good introduction to the region for a country like israel. of course another development we heard from south korea today was the fact its president moon jae—in has promised to boost fiscal spending even further if needed to increase jobs. fiscal spending even further if needed to increasejobs. that is as the country deals with its worst unemployment rate in two decades. declining poll numbers at home and we know the nation has already spent billions to try to help the country through the pandemic induced slump. for country through the pandemic induced slump.— country through the pandemic induced slump. for now, thank ou. induced slump. for now, thank you- sharanjit _ induced slump. for now, thank you. sharanjit yell— induced slump. for now, thank you. sharanjit yell in _ you. sharanjit yell in singapore. you are with bbc news. —— leyl. stay with us on bbc news. still to come: americans look to president biden�*s infrastructure plan to create jobs and ensure a smoother road
5:42 am
to economic recovery.
5:43 am
this is bbc world news. the latest headlines: the united nations urges israel to exercise restraint and respect as clashes continue in eastjerusalem. a mass rescue in the med: more than 1,000 migrants land on the italian island of lampedusa in a single day. the us has said it will back calls to waive patents on covid—19 vaccines while the pandemic is ongoing. the topic was on the agenda at a two day eu summit over the weekend in porto, but eu leaders rejected the idea and called on the white house to concentrate on the export of doses and of the key ingredients first, to speed up the global vaccine roll out. thomas cueni is director general of the international federation of pharmaceutical manufacturers and associations.
5:44 am
good to talk to you again. most of all, give us your reaction to the mood by president biden to the mood by president biden to say yes, we are happy to waver the patents for vaccines? to be honest, i think it is a political move. it is the simple but wrong answer to a complex problem because what we saw over the weekend with the eu summit, more and more people are realising that the real issues that need to be tackled issues that need to be tackled is to make sure that you get doses to those in need, that the rich countries need to start dose sharing. the export bans and restrictions need to be lifted because they disrupt the display change and we need to address the bottlenecks in the supply chain. we really need to focus on what makes us
5:45 am
able and capable to scale up from zero to 10 billion doses this year. we are on track for doing that. this year. we are on track for doing that-— doing that. india and south africa has been _ doing that. india and south africa has been pushing - doing that. india and south africa has been pushing for a waiver on patents. the us responded to that, the eu is a saying no, just explain to us why, in your opinion because you and i have talked about this before, it is too complicated, the wait is an vaccines are manufactured there on the way these vaccines are manufactured, in orderfor manufactured, in order for anyone manufactured, in orderfor anyone to replicate them. manufactured, in order for anyone to replicate them. there are two things. _ anyone to replicate them. there are two things. on _ anyone to replicate them. there are two things. on one - anyone to replicate them. there are two things. on one hand - anyone to replicate them. there | are two things. on one hand you have the vaccine and the other hand you get the vial. the patents wouldn't give you, it would give you the recipe but not the know—how, the experience, to do it. what we see is actually the patents hasn't hindered the technology transfer agreements where
5:46 am
companies do share know—how and do engage injoint training. the issue is if you lift the patent, first, with the companies who now willingly do it now because they know they can rely on a legal framework which is there which includes intellectual property protection stop would they be as willingly shared that with people who come and coercively take it away? and short term, not a single dose but much more important, the signal will be if there is a pandemic, you can't trust they will be intellectual property protection. we have seen, how many is doing research there. we do need the companies to help us prepare for the next pandemic, notjust forthis pandemic, not just for this one. it pandemic, not 'ust for this one. , ., ., pandemic, not 'ust for this one. , ., ,, one. it is important to stress there has — one. it is important to stress there has to _ one. it is important to stress there has to be _ one. it is important to stress there has to be an _ there has to be an international response to this. you can'tjust point the international response to this. you can't just point the finger to the white house. you can't just point the finger to the uk
5:47 am
and other countries who are very advanced in their vaccination programme, to release doses that —— make doses to countries that need them most. absolutely, i couldn't agree more. - them most. absolutely, i i couldn't agree more. many them most. absolutely, i - couldn't agree more. many of the rich countries, the european union, the uk, but also my own switzerland, they have procured a two doses per citizen. they are much advanced. the us and the uk most. when you look at india and when you look at africa which, because of the indian crisis, doesn't get the covacs since they were hoping for, we really need to call out the rich countries to start sharing the doses. rich countries to start sharing the doses-— rich countries to start sharing the doses. ., ., , ., , the doses. thomas kearney, we thank you for being on the programme again and i will talk to you again i'm sure as this progresses. weak employment numbers last week have led presidentjoe biden to intensify his calls for congress to pass his americanjobs act — which aims to create jobs with huge investments in us infrastructure. the problem is it will require tax increases to pay for it that are being fiercely
5:48 am
opposed by republicans. samira hussain has more from newjersey. it is no secret to anyone who lives in the us, but can sometimes come as a surprise to people around the world. american roads and bridges are crumbling. take a look at these potholes in newjersey. home to some of the worst roads in the country. people have taken to social media to complain. i just need you guys to look at these craters. like, what is that? , ., ., ., that? lewis cuomo has come to this grudge _ that? lewis cuomo has come to this grudge to — that? lewis cuomo has come to this grudge to get _ that? lewis cuomo has come to this grudge to get his _ that? lewis cuomo has come to this grudge to get his tires - this grudge to get his tires fixed, again. it is a common excursion for newjersey excursion for new jersey drivers. �* , , ., drivers. a terrible state. it really has _ drivers. a terrible state. it really has to _ drivers. a terrible state. it really has to do _ drivers. a terrible state. it really has to do with, - drivers. a terrible state. it really has to do with, you| drivers. a terrible state. it l really has to do with, you go over the pothole and the next thing you know the rims are jammed up. they are alloy rims, they are not built of the strongest metal, it is an
5:49 am
uphill battle.— strongest metal, it is an uphill battle. strongest metal, it is an uhillbattle. , , uphill battle. this company has seen an increase _ uphill battle. this company has seen an increase in _ uphill battle. this company has seen an increase in the - uphill battle. this company hasj seen an increase in the number of cars coming in with damage due to potholes. it of cars coming in with damage due to potholes.— of cars coming in with damage due to potholes. it can take up to an couple — due to potholes. it can take up to an couple of _ due to potholes. it can take up to an couple of thousand - to an couple of thousand dollars. had alexis in with damage to the wheel, damaged the strut, it ended up being almost $1900 worth of damage because of one pothole. the biden administration wants to fix newjersey�*s bumpy roads through the $1.9 trillion infrastructure spending plan was not the goal of these construction projects is to spur economic to very and to help the american economy that was badly hurt by the covid—19 pandemic. this is the largest jobs plan since world war ii. it createsjobs to jobs plan since world war ii. it creates jobs to upgrade our transportation infrastructure. jobs, modernising our roads. bridges, highways. jobs building ports and airports,
5:50 am
rail cutters, transit lines. the plan is ambitious and it will be a tough sell. funding it will require tax increases so the opposition is fierce. but there is still may be some middle road on which both sides can agree. it middle road on which both sides can auree. , middle road on which both sides can agree-— can agree. it is long overdue, there are _ can agree. it is long overdue, there are certain _ there are certain infrastructures that is falling apart. roadways, bridges, some of our bridges really need urgent maintenance. the driving -ublic urgent maintenance. the driving ublic is urgent maintenance. the driving public is united _ urgent maintenance. the driving public is united in _ urgent maintenance. the driving public is united in their - public is united in their contempt for potholes. at a time when there are few things washington can agree on, road repair seems like an easy fix. samira hussain, bbc news, new jersey. as europe's economies gradually unlock for the summer, companies are starting to advertise more freely again. shops are opening and live events like music and football returning — offering more opportunities to catch our attention as we start to spend some of their lockdown savings. today the great and good of the advertising world are meeting virtually, as they hope their industry
5:51 am
recovers to pre—pandemic levels. joining me now is rory sutherland, who's the vice chairman, 0gilvy uk. what are you seeing in terms of ad spend returning? has it gone up in recent weeks? it. i'm not sure that everybody will take my advice to spend more. it sounds a little bit self—serving. but in moments of high uncertainty where it is far, far less safe to try and optimise on the past, that assumptions about past behaviour simply don't carry through to the future very reliable. it actually makes sense to advertise more, particularly in mass media, simply because old certainties perhaps no longer pertain and it therefore makes sense to experiment more and simply make a lot more noise.— a lot more noise. when you say mass media. — a lot more noise. when you say mass media, what _ a lot more noise. when you say mass media, what does - a lot more noise. when you say mass media, what does that i a lot more noise. when you say i mass media, what does that mean today? because of course, ad
5:52 am
spending on facebook, google, elsewhere, has been really strong, if not higher, in the last 12 months. in strong, if not higher, in the last 12 months.— strong, if not higher, in the last 12 months. in some ways that make — last 12 months. in some ways that make sense _ last 12 months. in some ways that make sense because i last 12 months. in some ways that make sense because of i that make sense because of course, the direct purveyors, for example, people who sell directly, online retailers, have done disproportionately well and they've always been proportionately heavier use years of online media simply because that is where the purchase takes place. but i think in a wider level, i think there is also a mistake here which is that the industry has come to fetishise efficiency over effectiveness. it is worth reminding us that it is less perhaps accountable to advertising mass media. if you want to justify your existence through incremental improvements in efficiency, there is a certain kind of beguiling appeal to advertising in digital media. there is a danger actually that you can waste a lot of your budget proving that some of your advertising works rather than doing slightly less accountable
5:53 am
advertising at a scale which is ultimately more effective. so i think there is a little bit of a cult of efficiency which needs to be challenged rather more than we have done to date. and just briefly, just tell us how critical the sporting events are going to be. for example, the olympics. let's hope they do go ahead as planned in tokyo. and euro's 2021 football. these events are pretty critical, aren't they? yes, they are enormous. you always see an uptick in world ad spend. the two big events are obviously the world cup, the olympics and the american elections. those tend to be events that drive the ad spend. the olympics particular so. it will be interesting to see to what extent most of these things are consumed remotely anyway so to what extent the olympics takes place for real 0lympics takes place for real on the ground is probably
5:54 am
fairly secondary, i would say. interesting, angst or getting up interesting, angst or getting up so early for us from 0gilvy uk. good to talk to you. let's see how the asian markets are faring today. as you can see, we have a mixed picture. hong kong down by one third of a percent elsewhere across the board we have seen gains because of the interesting thing to watch is the price of oil. it is up to both brent crude and light crude up 0.5%. this is of the back of a cyber attack on the us oil pipeline and the impact that could have. it basically stocks on the rise today. the jobs growth in the us, as samir was mentioning, was unexpectedly slow in the us. the jobs data coming through. the jobs data coming through. the reason we are seeing increases is because the thinking interest rates in the us will remain historically low for longer if we're not seeing
5:55 am
signs of an us economy. so you are now up—to—date on all things news and business thanks for your company and have a lovely day. hello. on sunday, the uk recorded its highest temperatures since the end of march, 22.5 celsius in suffolk. now, nothing that high in the week ahead. temperatures will be close to average for the time of year, and for monday, it is a mixture of sunshine and showers. in fact, that pretty much covers it for much of the week ahead, because for much of the week ahead, low pressure will be close by the uk, the source of these showers, and at least for monday, some brisk winds as well, especially in england and wales. and after a cloudy, breezy, showery night, well, this is where temperatures are to start the day. no frost out there. in fact, some spots just around 10—12 degrees celsius. we're not expecting any frost in the week ahead. there mayjust be a bit of rain skirting parts of eastern england to begin with. that moves off and may
5:56 am
well head towards the northern isles of scotland later in the day. some of that could be heavy and thundery. whereas elsewhere, it's sunshine, these showers moving west to east, some heavy and thundery, a risk of hail. and it will be quite blustery, particularly in england and wales. these are average wind speeds. there'll be higher gusts around 40—115 mph or so. and temperatures generally in the range of around 13—17 degrees celsius. now, quite a bit of sunshine to end the day across east anglia and south east england as many of the showers will fade away. as ever, some places will avoid the showers. you may get one, just a brief wet moment in an otherwise dry day. and england and wales will be mainly dry on monday night, but a batch of showers will move out of northern ireland and into parts of scotland. and these are tuesday morning's temperatures. again no frost out there. low pressure still very much close by as we go into tuesday, and from that, we're going to see some further showers. now, maybe notjust popping up, but tending to move through in a zone that will travel from south—west to north—east during the day. and a weather front close to north west scotland will bring cloud and some outbreaks of rain. some places may well miss the showers as the system
5:57 am
moves its way in. similar sorts of temperatures on tuesday. and for wednesday and thursday, sunshine and showers. it's not going to be as breezy. and then by friday, it becomes mainly dry with a fair amount of cloud out there. and with the air coming down from the north—east, but not particularly cold, mind you. so, that's how the week is shaping up. it is sunshine, showers — some of those are going to be quite heavy — and not as cold as it was last week, and mainly frost—free. i don't know whether we're done with frost at the moment, but it's certainly not around this week.
5:58 am
5:59 am
6:00 am
good morning, welcome to breakfast with dan walker and louise minchin. 0ur headlines today. a reshuffle of labour's top team, as sir keir starmer responds to the party's poor showing in the english elections. hugs and overnight stays are expected to be allowed again from next week, as the prime minister prepares to set out further easing of restrictions in england. good morning. the hospitality industry keenly awaiting those announcements with plans to serve customers inside and larger groups outside from a week today. specialist rescue divers work through the night in a dramatic attempt to save a whale stranded in the river thames.

19 Views

info Stream Only

Uploaded by TV Archive on