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tv   Business - News  Deutsche Welle  September 20, 2017 1:15pm-1:30pm CEST

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russia and china which see their internal affairs is their business and not the business of the international community pretty interesting stuff there tyson barker from the aspen institute here in berlin thanks very much for analysis. and you're watching t.v. news coming up after the break the merger of two giants we speak to the c.f.o. of germany's to some clue about his company's proposed merger with india's tata steel we ask him about likely job losses. plus getting rid of plastic bags why not everyone is on board monica is right up with those stories and more. is going to have the managers do no good today nothing to change you know the banks pay you money and so was the language of the bank money.
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speaking the truth global news that matters d.w. made for mines. going to the big w. we speak your language our spanish program on you tube. always willing someone doesn't miss you like in boito always close to the action but i'm up by the local folk ever wondered what to think if it is that up to the minute news and opinion of the background to political developments in the d.w. we bring you more of the oil. at. it could be one of the biggest nudges in the steel industry germany's to cope and india's tata have agreed to enter a joint venture the move will likely cost four thousand jobs we talk to the c f o f
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to scope about the future of his company. also coming up markets rally as investors across the globe away to the u.s. federal reserve's rates. decision. welcome to your business so mega is in the making german steel company to cope and its indian rival tata have agreed to consolidate their european operations negotiations are expected to conclude at the start of twenty eighteen and if approved by regulatory authorities both companies would tie up to become to some corp tata steel with both sides owning fifty percent of the new company the headquarters will be located in the netherlands the move will likely lead to job losses which will be shared between two thousand corp and tata the new synergies should save the company six hundred million euros per year the steelworkers union already called for a protest demonstration european steel makers have been under pressure for years
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from china the cheap steel it produces for the world market. and for more on that a mega merger in the steel industry i am joined now by the chief financial officer of his group good to cacophony he joins us from the quarters in s. and good to have you with us so what are we to make of this a merger does it mean that to some cope is now turning its back on the steel industry. no that is clearly not the case i mean take a look at the history of to some crow as the name already present trouble as a result of mergers coming from the past and it was crop it was first it was wrong to stall and we've seen over the past that mergers happened to address all the issues of over capacities in the steel industry in the past this now for us is the next step of a merger addressing the issue of overcapacity is the stable to
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a bit weaker demand in europe so we think together with total who is more or less the same cultural values as we have in our company that this merger will allow us to address the challenges in these markets a lot better than do it stand alone so if there is a client of create this number two in europe ok so it is a kind of survival strategy and as you say you hope to create number two in europe i know that the c.e.o. of tata chandrasekaran has called this merger just a few moments ago a momentous occasion tata steel is of course a major rival also of to some corp what exactly are those synergies that you're looking for. yeah we're looking to four hundred to six hundred million of synergies and you lead to achieve in the merger and the phase one we definitely see synergies in general administration but in the production side as we do it as well we definitely think on r. and d.
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on procurement but on bad a capacity utilization as well across our assets that we will then commonly share we can have a better position and realize synergies we couldn't realize each of us stand alone and therefore we think with that this will have less impact on the employment than we would have if we were to can continue both standalone dear you just built the perfect bridge there for me because we do hear that some four thousand jobs will be lost how do you want to handle this transitional period to work well for us well i think again four thousand in that period of time to come given the base of forty eight thousand is by far not as big as many have expected to come and again if we see work reductions we have taken in the past and we would have to address found alone i can clearly say that would be bigger numbers i think
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a lot of the threats which we couldn't address so far are now open on the table and now we can work out with the employer representatives across the regions what that means and how a plan will look like how we can realize this from my personal expectation i was clearly say i think this is a situation that is not good no job losses or redundancies are good but that should be handled it's something we can handle given the size of the two companies and the timeframe we have to realize it. chief financial officer to some cope thank you so much for joining us here in the year. and the merger is of course also a major talking point in germany's financial hub cranks our market correspondent daniel koch tells us about some reactions from the trading floor. well investors are very much appreciating this news to some copus one of the biggest winners here today at the blue chip index stocks their shares were up at some time already three
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per cent and they're saying that this joint venture is a very good idea because you know european steel companies are having a very difficult time with all this steel coming with dumping prices from china we are hearing though that politicians here in germany are concerned about this joint venture just a little bit earlier german labor minister. was saying that she is not really in favor of this that she also think that it's not a good idea to move the new headquarter to amsterdam and that also no jobs should be a victim off this joint venture all right daniel of course financial markets including european markets are looking to the u.s. today investors await the conclusion of the u.s. federal reserve meeting for clues as to whether a third interest rate hike is on the cards for this year. economists say the federal reserve is unlikely to announce a rate hike today it could instead begin to unwind its massive four point five trillion dollars bond portfolio those assets were purchased by the during the
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financial crisis as a stimulus solid job growth in a stronger economy have recently pushed the board in the opposite direction it has already raised interest rates twice this year we conflation remains a concern the fed is expected to raise rates again in december global investors are also awaiting the news out of washington the booming u.s. market in the weaker yen are positive signs for japanese exporters in particular japan's nikkei exchange finished tuesday on a two year high the nikkei was quieter wednesday as were markets across asia traders are acting with caution before the fed announcement all right let's go back to don your crop in frankfurt how big an issue is the fed rate decision for european stocks. well the press conference off the head of the fed is going to be have after markets are actually already closed here in europe but investors are keeping a very close eye on this when you talk about the blue chip index stocks today.
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cannot really decide for a direction you can feel that investors are a little bit nervous about what she is going to say even though we are not really expecting big surprises most likely we just heard it in your report as well there are not going to be higher interest rates but investors will be mostly keeping an eye on the wind off the four point five four point five trillion born port for you it's something you know that they have been asking off of the european central bank here and frankfurt to do but also because of the inflation rate that is not really meeting the gold off the e.c.b. this hasn't been here the case so far i've done your quote in frankfurt thank you so much for that and the u.k. is preparing to offer twenty billion euros toward its brakes to divorce a bill that is according to a report from the financial times london has not yet confirmed this report prime minister to recent may however is expected to make the announcement on friday in
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florence the e.u. says the u.k. owes up to one hundred billion euros as part of the brics a process the issue is a major source of friction between the two sides the trumpet ministration is preparing to make it easier for american gun makers to sell small arms including assault rifles and ammunition to foreign buyers reuters news agency reports presidents trump wants to shift oversight of international law military firearm sales from the state department to the commerce department the new rules will cut government red tape and regulatory cost boosting u.s. exports of small arms aren't creating jobs in the u.s. . more than forty countries including china france and rwanda ready put limits on the use of plastic bags kenya has even introduced a jail sentence of up to four years if you produce sell or even use them but not everyone's excited small scale vendors are worried about how the anti-plastic could
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impact their livelihood. plastic is a problem in kenya in a strict ban has been in place for just under a month but the new regulations present fresh difficulties for some opportunities for extortion have opened up reports of security forces stopping cars to conduct unsanctioned searches for plastic bags that spread. and small scale traders and bag manufacturers are worried about their income. my business will suffer this is the business i used to provide for my children and pay our rent so this new law will affect my business and i get it. but something had to be done plastic bags exacerbate nairobi's already significant crash problem and are a health hazard officials hope that pushing for alternatives to plastic bags will solve those problems while providing opportunities for those affected by the ban. i
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can confirm to you by the number of jobs but to be created by producing wealth on a t.v. is far much more. and more widespread than what already exist. in the. existing plastic. bucket in. health east of the capital these women had already been weaving eco friendly bags fifteen years ahead of. him as a. plastic bags have been banned i expect that we'll have more sales and this will enable us to educate our children and also help each other at idea. it took kenya three attempts over a decade to finally institute the ban that getting it to work is going to be a long term project as well. as your update on all the business stories here thanks for keeping me company.
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on a beautiful beach and just waiting to be discovered. you can find castles monasteries churches and chapels and of course plenty of vineyards we set out on
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a fascinating expedition through central germany that's not to be missed. d.w. . it's a huge waste of resources. intact diesel vehicles land in the junkyard millions of tons of food land in the garden. that's everyday life in a throwaway society. sustainability is more important than ever but how can the massive squandering of resources really be avoided. made in germany in sixty minutes d w. stories that people world over information they provide. the fenians they want to express
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