:00:00. > :00:00.The value of the sterling continues to slide as concerns continue about
:00:00. > :00:00.access to the European market. Now on BBC News, all the latest
:00:00. > :00:24.business news live from Singapore. Saint-Saens share price continues
:00:25. > :00:28.its downward slide. -- Samsung. And we speak to Indonesia's former trade
:00:29. > :00:41.minister about how China's slowdown is affecting his economy. Good
:00:42. > :00:49.morning. Glad you could join us for this midweek edition of Asia
:00:50. > :00:53.Business Report. I'm Rizo Hizon. We kicked -- kick off with Samsung
:00:54. > :00:56.Electronics and its shares have dropped another 3% of the hefty
:00:57. > :00:59.falls in its market value on Tuesday. This follows the company's
:01:00. > :01:04.decision to permanently stop reduction of its faulty Galaxy Note
:01:05. > :01:11.7, which has left the company facing a mounting bill. The device was
:01:12. > :01:20.meant to rival Apple but is now a corporate disaster. Here is our
:01:21. > :01:27.technology correspondent. In a fast food restaurant a mobile phone is on
:01:28. > :01:34.fire. This all involve replacement Galaxy Note 7 phones. Now Samsung
:01:35. > :01:39.has halted production and sales of the phone. Customers have been told
:01:40. > :01:45.to turn them off and return them to stores. In London this morning this
:01:46. > :01:49.man who bought previous versions of V Note was disappointed. I love the
:01:50. > :01:53.phone and was told to send it back. I got my replacement and I was happy
:01:54. > :02:00.with it and I was heartbroken to have to take my new phone in and
:02:01. > :02:04.handed back. Samsung broke new ground with the Note, proving there
:02:05. > :02:07.was an appetite for a bigger phone. We believed this would be the
:02:08. > :02:11.bestselling yet. It is now clear that the Galaxy Note 7 isn't coming
:02:12. > :02:16.back and the company must concentrate on limiting the damage
:02:17. > :02:19.to its whole brand. Shares in the company fell sharply, wiping
:02:20. > :02:24.billions of its value as investors worried that the reputation of its
:02:25. > :02:28.other products might suffer. What's interesting about Samsung is it is
:02:29. > :02:33.really respected as being technologically excellent and also
:02:34. > :02:37.really great functionally. When that basis of trust has been damaged,
:02:38. > :02:41.that's what they need to recover from and that will be the test on
:02:42. > :02:45.whether they are able to recover some of the value that they are
:02:46. > :02:48.losing by the day. While this incident is the most serious so far,
:02:49. > :02:54.Samsung isn't alone in seeing smartphone batteries overheat. The
:02:55. > :02:57.reason for the problem is that modern smartphones are immensely
:02:58. > :03:01.powerful computers. They use a lot of energy to make all of those
:03:02. > :03:04.wonderful things work. That energy could be dangerous if it gets
:03:05. > :03:08.released quickly and in certain circumstances that can happen.
:03:09. > :03:14.That's the problem. We want more and more from our phones, but as Samsung
:03:15. > :03:20.has found the one thing we demand above all others is that they are
:03:21. > :03:24.safe. The fierce competition in the
:03:25. > :03:32.smartphone sector has led to a lawn and constipated legal battle with
:03:33. > :03:34.Apple over patents. -- complicated. There has been a dispute over
:03:35. > :03:44.designs and intellectual property, but can Apple and smaller rivals
:03:45. > :03:51.gain from Samsung's problems? At this stage Apple has the upper hand.
:03:52. > :03:58.The rivalry has been going on for years. The first and foremost
:03:59. > :04:04.question is whether they copied some of the design patents from Apple.
:04:05. > :04:10.And how important is the design aspect in a smartphone, visit the
:04:11. > :04:14.visibility aspect. Taking a look at these phones and the patents, some
:04:15. > :04:19.of them are not widely available on so does this case really matter or
:04:20. > :04:23.is this just boiling down to the patents and the designs? This might
:04:24. > :04:26.be used as a benchmark for smartphones and other technology
:04:27. > :04:33.products. The whole issue about what is the design complex vis-a-vis the
:04:34. > :04:41.utility, that's what the debate is. Is it the design aspect or the
:04:42. > :04:51.utility aspect influencing the money flow. That is the bigger question,
:04:52. > :04:58.in terms of this might be used as a benchmark case. Taking a look at
:04:59. > :05:01.Samsung and the Galaxy Note 7, it will no longer be in production.
:05:02. > :05:12.What do you think will happen? How can Samsung recover from this? Will
:05:13. > :05:17.they have a Note8? I don't think so. It has been a disaster, even in the
:05:18. > :05:24.second phase. Do you think they should come up with a totally new
:05:25. > :05:31.product? I think so. The Note brand is now associated with the disaster.
:05:32. > :05:42.I think it would be important for Samsung to work on rebranding, teach
:05:43. > :05:49.the Note series itself. How do you think it will take? I would have
:05:50. > :05:52.thought it would take at least two to three quarters for them to
:05:53. > :05:58.rebrand, come up with a new series and totally avoid the Note branding,
:05:59. > :06:04.which has been associated with a disaster in the last three quarters
:06:05. > :06:09.now. In other business news: Japan's Parliament has passed an extra
:06:10. > :06:15.spending package of $32 billion, boosting Shinzo Abe's land to revive
:06:16. > :06:19.the economy. It will be funded by lawns, adding to Japan's already
:06:20. > :06:24.heavy public burden. The money will be spent on infrastructure projects
:06:25. > :06:31.and boosting money for healthcare workers. Fujitsu was planning to
:06:32. > :06:35.slash a number of jobs in the UK, more than 10% of its workforce. The
:06:36. > :06:42.plan would see the first workers leave early next year. The company
:06:43. > :06:46.says it is not linked to Britain's decision to leave the EU, but in
:06:47. > :06:52.line with its goal to become more competitive against foreign rivals.
:06:53. > :06:55.The union representing workers is deceptive resume talks with
:06:56. > :06:59.management in a bid to end the dispute for higher pay. This comes
:07:00. > :07:03.after months of industrial action, including a nationwide strike last
:07:04. > :07:08.month. The walkouts have any cost the company $2.6 million in loss
:07:09. > :07:13.production. Indonesia's economy continues to
:07:14. > :07:17.prove resilient, despite a slowdown in its nearest and largest
:07:18. > :07:26.neighbour, China. The head of Indonesia's investment and former
:07:27. > :07:29.trade minister spoke to us and started by explaining how the
:07:30. > :07:36.slowdown is impacting his country's on economy. The major transition in
:07:37. > :07:44.the Chinese economy from heavy industry towards more high-tech and
:07:45. > :07:49.services, the desire by the Chinese leadership to be more consumer
:07:50. > :07:53.driven, all the economies in China's backyard, ours included, have to
:07:54. > :07:58.adjust to that, do we have to shift from supplying raw materials to
:07:59. > :08:07.Chinese industry towards more consuming... Towards more producing
:08:08. > :08:11.consumer goods, or for example tourism services, for the rising
:08:12. > :08:15.consumer class. One of the issues I am sure you will be discussing is
:08:16. > :08:18.Britain's decision to leave the EU. Does that create any particular
:08:19. > :08:23.problems for Indonesia or your relationship with Britain or the EU?
:08:24. > :08:28.It is certainly a fresh wrinkle. I don't think it constitutes anything
:08:29. > :08:34.that's not manageable. For example, as we complete our trade agreement
:08:35. > :08:40.with the European Union in the next two or three years, you know, that
:08:41. > :08:46.set the template that could easily replicate to the UK. In Indonesia
:08:47. > :08:49.you have this tax amnesty whereby people who haven't paid taxes they
:08:50. > :08:53.should have done can come forward now and pay only minimum penalties.
:08:54. > :08:59.Is that there on the people who have been paying their taxes all along?
:09:00. > :09:03.Yes, the OECD also heavily criticised our tax amnesty for being
:09:04. > :09:08.excessively generous to people who have been obtaining tax for many
:09:09. > :09:13.years or even decades. In that sense, being punitive to people who
:09:14. > :09:19.have been compliant. But, like you said, it is on track to being the
:09:20. > :09:23.most successful tax amnesty in the history of the world, which
:09:24. > :09:28.surprises frankly even be, but I'm very happy. I think what I would say
:09:29. > :09:33.is that it's a perfect illustration of the very pragmatic approach,
:09:34. > :09:38.which the president has brought to our economic policy. What it says
:09:39. > :09:43.is, look, forget about the past, what's past has passed, let's just
:09:44. > :09:52.push the reset button, start with a clean slate and if I can offer very
:09:53. > :09:56.attractive terms to attract back billions and even tens of billions
:09:57. > :10:00.of dollars the capital, which he is now well on track to accomplish,
:10:01. > :10:04.then that's good for the economy now and going forward.
:10:05. > :10:09.That was Indonesia's investment minister speaking with Andrew
:10:10. > :10:14.Walker. Before we go, a quick look at the markets. So far it's a day of
:10:15. > :10:18.losses for Asian stocks. This is after US equities tumbled overnight
:10:19. > :10:23.due to a disappointing start to the earnings season. Especially led by
:10:24. > :10:28.resource company Alcoa, whose numbers fell before market
:10:29. > :10:38.forecasts. That is also dragging down stocks in Australia's big
:10:39. > :10:40.miners and adding to the issue of investorsand the price of oil. That
:10:41. > :10:43.is all from the four now. The top stories this hour:
:10:44. > :10:46.Donald Trump has lambasted senior Republicans for abandoning his
:10:47. > :10:50.campaign and said he's now free