The need to know
The need to know for the week ending 12th April 2024
The need to know from Reuters’ global network of journalists
Global trade to recover steadily after rare fall in 2023, WTO says
Global goods trade should rebound this year, but more slowly than previously expected, after only its third decline in 30 years in 2023, the World Trade Organization said on Wednesday.
US will not accept Chinese imports decimating new industries, Yellen says
U.S. Treasury Secretary Janet Yellen warned China on Monday that Washington will not accept new industries being decimated by Chinese imports, as she wrapped up four days of meetings to press her case for Beijing to rein in excess industrial capacity.
China's overcapacity is here to stay
China's factories will keep chugging along, regardless of what overseas officials like Janet Yellen say.
China says its industries are simply more competitive
'Low price' is the word at China's largest trade show
Foreign buyers will throng the vast halls of China's biggest trade expo from Monday, scouting for deals on Chinese goods that U.S. and European governments complain are flooding global markets.
Shocks in G20 emerging economies hit rich-world growth, IMF says
Domestic shocks in emerging economies in the G20 are increasingly impacting growth in the rich world, according to a report published on Tuesday by the International Monetary Fund.
Red Sea crisis forces operators to use more container ships, adding to emission concerns
The shipping industry's pledge to limit its carbon footprint may suffer a setback as the current Red Sea crisis prompts it to use more vessels and take longer routes to ensure the smooth sailing of global maritime trade.
EU extends trade guide on Chinese distortions to new sectors
The European Commission has updated its report on state-led distortions in the Chinese economy, adding new sectors and potentially opening the door to anti-dumping complaints from EU chip and clean-tech producers.
Britain suspends import duties on over 100 items
Britain on Thursday suspended import duties on more than 100 items, including car parts and fruit juice, until June 2026, responding to industry demand as ministers seek to help domestic firms keep a lid on costs.
US must boost Africa ties to secure key minerals, report says
The U.S. must boost commercial ties with African countries to curb reliance on China for supplies of critical minerals, a Washington-based think tank said on Tuesday.
China has been closing idled auto output capacity, industry body says
China's auto factories had a capacity utilisation rate of more 70% in 2023 and idled capacity is being closed, a senior official of the China Association of Automobile Manufacturers (CAAM) said on Wednesday.
Chinese minister says cognac probe unrelated to EU probe on EVs - source
Chinese Commerce Minister Wang Wentao told French Finance Minister Bruno Le Maire that the probe started in China on the cognac market is not linked to the one started by the European Union on Chinese electric vehicles, a source at the French ministry said on Monday.
China's EV export boom fuels surge in demand for new car-carrying ships
Chinese automakers and shippers are ordering a record number of car-carrying vessels to support a boom in EV exports, data showed, putting China on course to amass the world's fourth-largest fleet by 2028.
Comment: The new U.S. federal disclosure rule is an important step towards a water-secure future
As companies, and their lawyers, dive into analyzing what the new U.S. Securities and Exchange Commission’s climate disclosure rule means for them, they should be sure to take a good look at the requirements around water risks.
EU to investigate Chinese wind turbine suppliers
The EU will investigate subsidies received by Chinese suppliers of wind turbines destined for Europe, in the bloc's latest move to shield domestic firms from cheap clean tech products.
IMF chief sees inflation dropping further in 2024, not yet fully defeated
Inflation is easing faster than expected but has not been fully defeated, International Monetary Fund chief Kristalina Georgieva said on Thursday, urging central bankers to carefully calibrate their decisions on cutting interest rates to incoming data.
Tame US producer price data soothes inflation concerns
U.S. producer prices increased moderately in March as a rise in the cost of services was softened by a fall in goods prices, calming fears of a resurgence in inflation.
China's weak CPI, factory-gate deflation point to more stimulus
China's consumer inflation cooled more than expected in March, while producer price deflation persisted, maintaining pressure on policymakers to launch more stimulus as demand remains weak.
Argentina's government (and a bot) say inflation is easing. Shoppers aren't so sure
Argentina's government is bullish that its measures to cool one of the world's highest inflation rates are working. Shoppers, however, aren't yet fully convinced.
US senators introduce bill to renew Africa trade pact through 2041
A bipartisan group of senators has introduced a bill to renew the U.S. trade pact with sub-Saharan Africa ahead of its expiration next year, an aide to one of the senators said on Thursday.
China's March exports and imports shrink, miss forecasts by big margins
China's exports contracted sharply in March while imports unexpectedly shrank, undershooting forecasts by big margins, highlighting the stiff task facing policymakers as they try to bolster a shaky economic recovery.
German industrial output rises more than expected in February
German industrial production rose more than expected in February due to the performance of the construction industry, the federal statistics office said on Monday.
China uncertainty clouds outlook for luxury sector
Investors are bracing for a steep slowdown in luxury sales when luxury companies report their first quarter results, reflecting lacklustre Chinese demand and comparisons with last year when the lifting of COVID curbs in mainland China boosted sales.
Not even China can help Australia's commodity exports
Australia has gone from a leader of the pack in commodity exports to a laggard, as prices of resources more dependent on China struggle to build momentum.
Global steel demand to return to growth in 2024, says World Steel
Global steel demand is expected to rise by 1.7% to 1.793 billion metric tons in 2024 and to increase further in 2025, the World Steel Association said on Tuesday.
World faces persistent low growth in absence of productivity reforms, IMF says
Global economic growth will reach just 2.8% by 2030, a full percentage point below the historical average, unless major reforms are made to boost productivity and leverage technologies such as artificial intelligence, the IMF said on Wednesday.
Micron flags hit to its DRAM supply from Taiwan earthquake
Memory chipmaker Micron Technology (MU.O) said on Thursday the April 3 earthquake in Taiwan would hurt a calendar quarter of its dynamic random access memory (DRAM) supply by up to a mid-single digit percentage.
TSMC retains 2024 revenue view in sign of limited impact of earthquake
Taiwan Semiconductor Manufacturing Co (2330.TW) said on Friday its full-year revenue would not be impacted by the massive April 3 earthquake, allaying concerns of a hit to the global semiconductor supply.
Danish shipper DFDS to buy international network from Turkey's Ekol
Danish shipping and logistics firm DFDS (DFDS.CO) said on Tuesday it has agreed to buy the international transport network of Turkey's Ekol Logistics for 1.9 billion crowns ($277 million) and lifted its sales growth forecast for the year.
Fujifilm to invest $1.2 bln in North Carolina plant in biopharma expansion
Japan's Fujifilm (4901.T) will invest $1.2 billion to expand its North Carolina plant as part of its plans to expand biopharmaceutical contract manufacturing businesses in the United States and Europe, the company said on Thursday.
Truck maker Volvo to build new plant in Mexico
Swedish truck maker AB Volvo (VOLVb.ST) said on Thursday it would build a new heavy-duty truck manufacturing plant in Mexico to supplement the group's U.S. production.
Volkswagen to invest $2.7 billion in Chinese production site
Volkswagen announced on Thursday plans to invest 2.5 billion euros ($2.68 billion) in China to expand its production and innovation hub in the city of Hefei in Anhui Province.
Nestle to invest 472 mln euros in new pet food plant in Italy
Swiss food multinational Nestle (NESN.S) will open a pet food factory in northern Italy, investing 472 million euros ($507.92 million), the country's Industry Minister Adolfo Urso said on Wednesday.
Slovakia wins EU nod for $289 mln aid to Volvo's EV plant
Slovakia on Monday secured EU regulators' approval to grant 267 million euros ($289 million) in state aid to Volvo Car's (VOLCARb.ST) plant that aims to produce about 250,000 electric cars annually.
Japan's Shin-Etsu Chemical to invest $545 mln in chip materials plant
Japan semiconductor materials maker Shin-Etsu Chemical (4063.T) said on Tuesday it will invest around 83 billion yen ($545 million) in a factory in Gunma prefecture in the latest effort to strengthen the country's chip supply chain.
China's Chery nearing deal to manufacture cars in Spain
China's Chery Auto is nearing a deal to start making cars in Spain, its first manufacturing site in Europe, the Spanish government and lead negotiator EV Motors said on Tuesday.
Chinese EV brand Hyper says will use all-solid-state batteries in its cars in 2026
Chinese electric vehicle maker GAC Aion's Hyper brand said on Friday it has finished R&D on all-solid-state batteries that will be first used in Hyper cars in 2026.
Global EV sales up 12% in March, down 9% in Europe, Rho Motion says
Global sales of fully electric and plug-in hybrid vehicles (PHEVs) rose 12% in March versus the same month in 2023, with growth in China and the U.S. market partly offset by a 9% drop in Europe, market research firm Rho Motion said on Friday.
Japan's Mazda may temporarily reroute Baltimore auto shipments, CEO on CNBC
Mazda Motor (7261.T) will probably have to temporarily move shipments to another port from Baltimore to avoid delays, the automaker's CEO said in a CNBC interview.
Tesla strike in Sweden continues, union says, contradicting Musk
A strike by Tesla (TSLA.O) mechanics in Sweden, among the country's longest labour disputes, continues to disrupt operations, a union said on Wednesday, and is drawing scrutiny from investors despite Elon Musk saying the storm is over.
Mercedes-Benz Q1 sales drop on supply bottlenecks in Asia
Mercedes Benz (MBGn.DE) sales fell 6% in the first quarter, hit by supply bottlenecks in Asia and its luxury model range changeover, the German premium carmaker said on Wednesday.
Ascend Elements, Elemental Strategic Metals form European EV battery recycling venture
U.S. firm Ascend Elements and Poland's Elemental Strategic Metals have formed a joint venture to recycle electric vehicle batteries, with their first Polish plant already open and another plant planned in Germany, they said on Tuesday.
Neste to supply renewable raw materials to S Korea's Lotte Chemical
Finland's Neste (NESTE.HE) said on Monday it will provide renewable raw materials to Lotte Chemical's plants in South Korea in a collaboration to produce chemicals and plastics with lower emissions.
US court upholds EPA decision to approve California electric-vehicle rules
A U.S. appeals court on Tuesday upheld the Environmental Protection Agency's decision to grant California a waiver to set its own tailpipe emissions limits and electric-vehicle requirements.
Zara owner Inditex demands clarity from cotton certifier accused of standard breaches
Zara owner Inditex (ITX.MC) demanded more transparency from a certifier that vets some of the cotton used by the Spanish fashion giant following an investigation that found evidence of malpractice by two Brazilian certified cotton producers.
German coalition agrees financing details of hydrogen network
Germany's ruling coalition on Friday agreed a financing mechanism for the country's future hydrogen network, extending a deadline for it to be built by five years to 2037 and offering protection for investors in case of bankruptcy.
Vietnam's Viettel to develop semiconductor industry, prime minister says
Vietnamese Prime Minister Pham Minh Chinh has asked military-run telecom company Viettel to develop the semiconductor chip industry in a "more efficient and diverse manner", the government quoted him as saying late on Tuesday.
Brazil's Paranagua port conveyor belt idle amid explosion risk
The Port of Paranagua, one of Brazil's busiest for sugar and grain exports, said on Wednesday one conveyor belt at its so-called export corridor remains inoperative after labor authorities idled it over a "risk of explosion."
Taking stock of clean electricity progress in key markets
The energy transition away from fossil fuels towards cleaner sources of power and electricity is advancing on every continent, but at an uneven pace due to widely different levels of investment, policy support and societal backing.
Explainer: China's dominance in wind turbine manufacturing
The European Union will investigate subsidies received by Chinese suppliers of wind turbines destined for Europe, the bloc's anti-trust commissioner, Margrethe Vestager, has said.
Falling stocks and more supply trouble sends tin skywards
The London Metal Exchange (LME) tin price has surged to near two-year highs this week as exchange inventory slides and yet another threat to an already stressed supply chain emerges.
Smelter charges collapse as zinc mine supply falters
Benchmark zinc smelter treatment charges have fallen sharply this year, attesting to a tightening of the mine supply chain.
Russian oil companies told to boost fuel supply to domestic market
Russian Deputy Prime Minister Alexander Novak met heads of local oil companies on Wednesday, instructing them to maximiae gasoline and diesel supply to the domestic market, according to a statement posted on the government's Telegram channel.
Airbus reaffirms jet output goals amid strong demand
Airbus (AIR.PA) voiced confidence in airplane output forecasts on Wednesday, telling shareholders it hoped to overcome lingering supply challenges at an Amsterdam meeting held against the backdrop of a deep corporate crisis at U.S. rival Boeing.
Exclusive: Airbus CEO says 'not unlikely' it will take some Spirit Aero plants
The head of Airbus (AIR.PA) told Reuters it is "not unlikely" that the European planemaker takes control of two U.S. and UK plants run by Spirit Aerosystems (SPR.N) if Boeing (BA.N) goes ahead with plans to buy one of the industry's key suppliers.
Vulcan Energy starts its first lithium chloride production in Germany
Lithium supplier Vulcan Energy (VUL.AX) on Wednesday announced the start of production of the first lithium chloride at its extraction plant in Germany using geothermal energy, an essential step toward producing battery-grade lithium hydroxide.
Grab-GoTo merger would be an all-round win
Grab (GRAB.O) and GoTo (GOTO.JK) ought to merge. A union of the Singaporean and Indonesian food delivery-to-ride-hailing companies, currently valued at $18 billion, is "inevitable", Macquarie's sales team told its clients in a note published in February.