Browse content similar to 13/02/2017. Check below for episodes and series from the same categories and more!
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US President Donald Trump and Canada's Prime Minister, | :00:00. | :00:18. | |
Justin Trudeau, hold different views about many things, | :00:19. | :00:21. | |
but can they agree on trade when they meet later today? | :00:22. | :00:29. | |
And Japan's economy grew again, thanks to trade, but could rising US | :00:30. | :00:32. | |
protectionism damage its slow recovery? | :00:33. | :00:39. | |
In a moment, the chief executive of International Airlines Group, | :00:40. | :00:45. | |
Willie Walsh, tells us about Brexit and Donald Trump. | :00:46. | :00:49. | |
Another day, another world leader arriving to meet President Trump | :00:50. | :00:55. | |
Today it is the turn of Canada's Prime Minister, | :00:56. | :00:58. | |
He differs widely in opinion from his host on a variety | :00:59. | :01:04. | |
of issues, including immigration, free trade and foreign policy. | :01:05. | :01:06. | |
So just how important is Canada's relationship with the United States? | :01:07. | :01:09. | |
Their countries share one of the biggest trading relationships | :01:10. | :01:12. | |
In 2015, $662.7 billion worth of goods and services flowed | :01:13. | :01:18. | |
That works in the United States' favour at the moment, | :01:19. | :01:22. | |
to the tune of $12.1 billion, because whilst Canada sells more | :01:23. | :01:25. | |
goods to the US than the other way round, America more than makes up | :01:26. | :01:29. | |
for it when it comes to the services sector. | :01:30. | :01:31. | |
75% of all Canadian exports go to the United States, | :01:32. | :01:34. | |
so good relations will be important to businesses across Canada. | :01:35. | :01:41. | |
The value of US-Canada relations has seen massive growth since 1994, | :01:42. | :01:46. | |
when the North America Free Trade Agreement, | :01:47. | :01:47. | |
signed by President Clinton, came into force. | :01:48. | :01:53. | |
But during his campaign Mr Tump claimed Nafta was the worst trade | :01:54. | :01:56. | |
deal in the history of this country, and shortly after taking over | :01:57. | :02:00. | |
at the White House, he said he would meet the leaders of Canada | :02:01. | :02:03. | |
The we are also meeting with the Prime Minister of Canada, and we | :02:04. | :02:22. | |
will be meeting with the president of Mexico, who I know, and we are | :02:23. | :02:26. | |
going to start negotiations having to do with Nafta. Anybody ever hear | :02:27. | :02:33. | |
of Nafta? I ran a campaign somewhat based on Nafta. But we are going to | :02:34. | :02:42. | |
start renegotiating Nafta, on immigration, and on security at the | :02:43. | :02:47. | |
border. And Mexico has been terrific, actually, the Rydzek. -- | :02:48. | :02:50. | |
terrific. With me is US political | :02:51. | :02:51. | |
commentator Kate Andrews. And just in Trudeau has been highly | :02:52. | :03:00. | |
critical of many of Mr Trump's policies so far, yet securing a | :03:01. | :03:05. | |
trade deal or continuing with the current deal is crucial for Canada, | :03:06. | :03:13. | |
isn't it? He will be walking a fine line, but the difference is that | :03:14. | :03:18. | |
just in Trudeau has been very vocal, you are right, about his opposition | :03:19. | :03:21. | |
to many of Mr Trump's policies, especially on immigration front. We | :03:22. | :03:25. | |
haven't seen him roll any of those back, we have seen him talking about | :03:26. | :03:29. | |
Canadian jobs, he was talking about trade deals, he clearly does not | :03:30. | :03:33. | |
want to go in and have tough conversations about immigration. He | :03:34. | :03:36. | |
will try and focus on the economy, all the way. And part of that is | :03:37. | :03:41. | |
about spending. And actually the Trump administration wants Canada, | :03:42. | :03:46. | |
as well as other NATO members, to spend a lot more on defence | :03:47. | :03:49. | |
spending. Is that likely to be quite an issue for Canada, politically? | :03:50. | :03:55. | |
Well, Canada and Justin Trudeau have said they were up their spending but | :03:56. | :04:00. | |
it is a small increase, .01%, or something like that. When it comes | :04:01. | :04:04. | |
to those who are involved in NATO, Canada is certainly not putting up | :04:05. | :04:08. | |
the amount they will are supposed to be posting annually. Will this be | :04:09. | :04:12. | |
the main issue? Probably not, when it comes to alliances we always talk | :04:13. | :04:16. | |
about the US and the UK and that special relationship at the real | :04:17. | :04:19. | |
special relationship in trade is between Canada and the United | :04:20. | :04:23. | |
States, tourists going back and forth daily, millions of visitors to | :04:24. | :04:26. | |
each other's countries a year, and Donald Trump will not want to make | :04:27. | :04:31. | |
an enemy here. He will be pleased that they are offering more | :04:32. | :04:34. | |
spending, even as a symbolic gesture. Some decisions Mr Trump has | :04:35. | :04:38. | |
made have already been beneficial for Canada, such as restarting that | :04:39. | :04:46. | |
Keystone XL oil pipeline. I think they will differ when it comes to | :04:47. | :04:51. | |
environmental policies but Trudeau will recognise that Trump is | :04:52. | :04:54. | |
investing as much as he is in Canada. Even if that is not | :04:55. | :04:57. | |
intentional, it will have a trickle-down effect. Donald Trump | :04:58. | :05:00. | |
has been very quiet about negotiations between Canada and the | :05:01. | :05:04. | |
US when it comes to Nafta. Most likely it would not have a huge | :05:05. | :05:08. | |
influence on Canada, and if I were Trudeau I would be trying to get a | :05:09. | :05:13. | |
grip on where Mr Trump is pointing his finger south, and that is where | :05:14. | :05:17. | |
the real implications for trade are going to come from, not because | :05:18. | :05:20. | |
Donald Trump is directly trying to cut off trade with Canada but | :05:21. | :05:24. | |
because his relationships with other world leaders could certainly impact | :05:25. | :05:29. | |
on Canada. Thank you very much for your time. | :05:30. | :05:31. | |
Time for a new series now about the big challenges facing | :05:32. | :05:34. | |
Late last year, British Airways owner International Airline Group | :05:35. | :05:37. | |
was forced to cut its profits forecast, due to a weaker pound | :05:38. | :05:40. | |
So is economic uncertainty surrounding Brexit something that | :05:41. | :05:44. | |
keeps IAG's chief executive Willie Walsh awake at night? | :05:45. | :05:46. | |
He has been speaking to our business correspondent Theo Leggett, | :05:47. | :05:49. | |
who asked him what he would like to see from Brexit negotiations? | :05:50. | :06:00. | |
Well, it affects everybody in Europe. So it is not an issue that | :06:01. | :06:07. | |
will be isolated to the United Kingdom. It will affect everybody in | :06:08. | :06:11. | |
Europe. And that is why I say it is in the interests of everyone in | :06:12. | :06:15. | |
Europe, and it is something that I imagine all politicians would be | :06:16. | :06:19. | |
conscious of. There are 900 million consumers who have benefited from | :06:20. | :06:23. | |
the regime that is in place, and that needs to be maintained. And I | :06:24. | :06:28. | |
believe it will be maintained. You say you are confident that those | :06:29. | :06:31. | |
negotiations will go as you want, that you will get what you want. If | :06:32. | :06:35. | |
that doesn't happen, what is the worst case scenario? I don't think | :06:36. | :06:39. | |
there is a worst-case scenario. We deal with aviation regulation on a | :06:40. | :06:43. | |
global basis and I think people are fixated on the UK and Europe | :06:44. | :06:50. | |
obviously in the context of Brexit, but many countries we fly to have | :06:51. | :06:54. | |
restrictive regimes in place and we have had to put structures in place | :06:55. | :06:58. | |
to deal with that. We are confident that, whatever the outcome, if there | :06:59. | :07:02. | |
is a more restrictive regime, we will be able to adapt our structures | :07:03. | :07:05. | |
and operating procedures to continue to operate. It won't be as | :07:06. | :07:09. | |
efficient, it probably won't have the same consumer benefits, I don't | :07:10. | :07:13. | |
think there is a doomsday scenario that would cause any concern. Of | :07:14. | :07:18. | |
course, uncertainty at the moment isn't just confined to the UK or | :07:19. | :07:23. | |
even Europe. There is a new Administration in the White House. | :07:24. | :07:25. | |
What Donald Trump and his people have done already has surprised many | :07:26. | :07:30. | |
people. They have been a ban on travel from seven different | :07:31. | :07:34. | |
countries, for example. How much of concern is that for you? It is | :07:35. | :07:37. | |
something that causes concern for individuals. From an industry point | :07:38. | :07:42. | |
of view, again, we are able to adapt. We have seen these measures | :07:43. | :07:46. | |
in the past, they come in unannounced and it takes us a bit of | :07:47. | :07:50. | |
time to adjust. We adjust and then we move on. When you look at | :07:51. | :07:54. | |
aviation between the US and Europe or the US and the UK, it is | :07:55. | :07:57. | |
definitely something that has worked very well. The US industry, the UK | :07:58. | :08:04. | |
industry, the European industry, I think we are all aligned. We want to | :08:05. | :08:09. | |
see the current open skies regime continue. We don't want to see new | :08:10. | :08:11. | |
barriers put in place. Japan's economy grew for a fourth | :08:12. | :08:12. | |
straight quarter in the final three months of last year, | :08:13. | :08:15. | |
thanks to strong exports, but there are concerns that rising | :08:16. | :08:17. | |
protectionism in the United States could mean that a sustainable | :08:18. | :08:20. | |
recovery is some way off. Sharanjit Leyl is in | :08:21. | :08:23. | |
Singapore for us. Hello there. So the weaker yen | :08:24. | :08:33. | |
boosting exports? That's precisely it. And of course, you talked about | :08:34. | :08:39. | |
protectionist rhetoric. That has been quelled somewhat, at least the | :08:40. | :08:44. | |
concerns have been quelled somewhat, after the weekend meeting between | :08:45. | :08:48. | |
President Trump and Japanese Prime Minister Shinzo Abe in Washington, | :08:49. | :08:52. | |
where we saw President Trump steer clear from any rejectionist | :08:53. | :08:56. | |
rhetoric, and indeed, as you say, those exports getting a huge boost | :08:57. | :09:01. | |
from the weaker yen, and that is really what has helped Japan's | :09:02. | :09:04. | |
economy in the last quarter. The weaker yen has always listed | :09:05. | :09:10. | |
exporters' profits, being repatriated back from overseas from | :09:11. | :09:13. | |
markets like the US which benefit from the US dollar, and that is the | :09:14. | :09:17. | |
kind of protectionist rhetoric we have heard from President Trump in | :09:18. | :09:20. | |
the past, especially when he has been on his campaign trail. He says | :09:21. | :09:25. | |
Japan uses its monetary policy to verbally intervened to weaken the | :09:26. | :09:31. | |
yen, to boost its exports, at the cost, huge cost, for the US and | :09:32. | :09:35. | |
American trade. In fact, Japan had the second largest trade surplus | :09:36. | :09:40. | |
with the US last year after China, and in terms of its own growth, | :09:41. | :09:45. | |
private consumption, which accounts for some 60% of Japan's GDP, it | :09:46. | :09:51. | |
barely grew at all. In fact, it was flat. There is a lot of concern | :09:52. | :09:54. | |
about Japan's overreliance on exports for its growth in the | :09:55. | :10:02. | |
future. Let's have a look at how the markets have been faring. Uplift for | :10:03. | :10:06. | |
the Nikkei, the Hang Seng in positive territory, slightly down in | :10:07. | :10:12. | |
Bombay. The dollar versus the yen, you can see the impact on that | :10:13. | :10:17. | |
meeting of prime Minister Shinzo Abe and Donald Trump when they met at | :10:18. | :10:24. | |
the weekend. So the weaker yen helping boost Japan's exports. That | :10:25. | :10:28. | |
is all from me for now. | :10:29. | :10:30. |