:00:17. > :00:25.Stacking one on top of the other. Overcapacity and slowing global
:00:26. > :00:34.trade. Results from a giant merger. More on the way. And we go on a set
:00:35. > :00:37.of a Filipino variety show which has broken social media records. Find
:00:38. > :00:50.out why they have a long-term future. Good morning, Asia, hello,
:00:51. > :00:53.world. Thank you for joining us on Asia Business Report. I am Rico
:00:54. > :01:00.Hizon in Singapore. A record merger is on the cards in the global
:01:01. > :01:08.shipping industry. In a 2.4 billion deal, they have agreed to by the
:01:09. > :01:16.Orient Lines. It could be the biggest deal in almost a decade. --
:01:17. > :01:23.buy. We have the details. This is one of Asia's is used ports. A major
:01:24. > :01:30.player that has helped them turn into a shipping hub is this. --
:01:31. > :01:36.busiest. It started at the national shipping line. Today, it is one of
:01:37. > :01:45.the world's largest. 92 vessels servicing over 100 ports worldwide.
:01:46. > :01:51.But slowing trade has hit them and they have racked up $4 billion in
:01:52. > :01:55.debt. So they have been looking for a suitor. For us to compete
:01:56. > :01:59.effectively we will require significant capital investment to
:02:00. > :02:04.achieve the scale that is necessary for us to improve our competitive
:02:05. > :02:11.position and stay competitive in this industry. And to be able to
:02:12. > :02:18.take the capital investment in spite of the week conditions of the
:02:19. > :02:21.industry. Now, this deal could be one of the biggest ever in the
:02:22. > :02:28.global shipping industry. Companies have been under pressure to cut
:02:29. > :02:34.costs, fell off the assets. -- there. Expect more consolidation to
:02:35. > :02:42.come with next step's figures looming over us. We ask Lloyd's
:02:43. > :02:48.whether more mergers are on the way. We already know there is a guarantee
:02:49. > :02:52.coming from China between cost you an China Shipping. The two largest
:02:53. > :02:58.shipping industries in the country. And the container lines for those
:02:59. > :03:04.two companies will end up being the fourth largest in the world after
:03:05. > :03:14.NOL. Is the industry consolidation help the? Of course. -- healthy. The
:03:15. > :03:18.only way for companies to build strength is to build scale. There is
:03:19. > :03:23.a real battle for scale going on in the market. But that doesn't stop
:03:24. > :03:28.the problem. There is too much capacity on whether there will be
:03:29. > :03:34.disposals and layouts. When will we see a turnaround in trade freight?
:03:35. > :03:38.Because of the huge megaships that have come in and also the order book
:03:39. > :03:45.we are expecting, more than 100 to come in over the next two years, the
:03:46. > :03:52.earliest we can expect is 2017. 2016 is too early. And what about falling
:03:53. > :03:57.oil prices? US crude at $27 per barrel. How will this impact than?
:03:58. > :04:03.At the outset, before this extra capacity came in, it improved the
:04:04. > :04:07.performance. -- them. They could take the lot of cost out to be but
:04:08. > :04:15.is lower bumper price, fuel for these containerships, has been
:04:16. > :04:20.around for a long time. -- bunker. They won't get much more help unless
:04:21. > :04:28.it goes a good deal lower. Thank you. The continuing slow in price of
:04:29. > :04:30.oil will affect the global economy. The prices are the lowest level
:04:31. > :04:36.since the global financial crisis nearly seven years ago. There was a
:04:37. > :04:43.broad sell-off of energy stocks on Wall Street and it comes after OPEC
:04:44. > :05:00.members said they would maintain his record levels. -- these. The Sowetan
:05:01. > :05:08.the oil prices stand at the moment. -- These are the. The lowest since
:05:09. > :05:14.February 2009. As for Brent Crude, it is above that level. Data out of
:05:15. > :05:18.Japan shows the economy was not actually in recession in the three
:05:19. > :05:24.months till September. Preliminary government it has suggested that the
:05:25. > :05:29.economy had shrunk by .8 of a percent but the latest figures
:05:30. > :05:42.reveal that it grew by 1% in the third quarter compared to year ago
:05:43. > :05:51.levels. The government has said Toshiba should have $60 million
:05:52. > :05:55.fines over a profit padding scheme. It is worth looking at the possible
:05:56. > :06:01.criminal charges over the former executives. Construction has been
:06:02. > :06:07.halted in Beijing and half of the capital's cars taken off the streets
:06:08. > :06:09.after the first ever red alert issued for hazardous air. This is
:06:10. > :07:09.what we know about the code red. The bread alert status has been
:07:10. > :07:14.raised due to unhealthy levels. -- red. Many of us watch it for
:07:15. > :07:18.entertainment and news but advertisers are wondering if
:07:19. > :07:21.television has a future or whether social media and the Internet will
:07:22. > :07:26.eventually take over. This show in the Philippines, as you can see on
:07:27. > :07:31.the screen, it drew up, it might be showing that the two are not
:07:32. > :07:35.mutually exclusive. -- blew. It smashed the committee records in
:07:36. > :07:43.October, generating millions of tweets in a few hours. Success
:07:44. > :07:49.revolves around the chemistry of the stars, and they have a specific
:07:50. > :07:58.hashtag. I asked one of TV is really dead. I don't think it is. It is
:07:59. > :08:05.like, social media is the blood, Tete is the Dracula. You suck it out
:08:06. > :08:12.and give the threat. -- TV. It is a symbiotic relationship. TV will not
:08:13. > :08:25.be dead. It will go on as long as it can get this threat from social
:08:26. > :08:32.media. SPEAKING ANOTHER LANGUAGE this is part of a new time variety
:08:33. > :08:39.show going on for 36 years. Is it struggling financially? I would like
:08:40. > :08:43.to say the financial aspect is not part of the programme. We are OK
:08:44. > :08:49.with that. The problem is the challenge on how to get into social
:08:50. > :08:54.media and the power and how to get the younger crowd, to keep them
:08:55. > :09:01.going. Because of we do not get the younger crowd, what can happen in,
:09:02. > :09:04.say, two years, or five years, it is like laying down the ground for the
:09:05. > :09:10.next five years, if we cannot get the younger market and those people
:09:11. > :09:17.who feed on social media, those people will always be on Instagram,
:09:18. > :09:22.Facebook, social media, if we cannot get those people it will not
:09:23. > :09:26.survive. So, what do you think is the winning formula for this
:09:27. > :09:30.phenomenon? I don't know. I have learned many things. One, when you
:09:31. > :09:41.see an opportunity, you have to grab it. Now that they have said they are
:09:42. > :09:44.open to an off-camera relationship, what would you say to sceptics that
:09:45. > :09:53.it is part of a clever marketing campaign to get more fans and
:09:54. > :09:57.supporters? I don't want them to the visually a couple because if they
:09:58. > :10:06.fight they will bring it on stage. But if they do, it is like with the
:10:07. > :10:11.market, it is reality happening. That is part of the story. It is not
:10:12. > :10:16.part of our stories of the before we go, here is a quick look at the
:10:17. > :10:22.markets. -- stories. Asia is in negative territory. They have been
:10:23. > :10:28.weighed down by a sharp decline in energy stocks. Japan, Hong Kong and
:10:29. > :10:40.Australia, all in the red. Thank you for investing your time in us I am
:10:41. > :10:41.Rico Hizon. Goodbye for now. -- us.. You are watching BBC News. Let's
:10:42. > :10:43.bring you