:00:00. > :00:13.We go to Singapore for the latest business news.
:00:14. > :00:34.The US has a new Treasury Secretary. A million-dollar write-down after US
:00:35. > :00:39.nuclear investments. Good morning Asia, hello world. It is Tuesday.
:00:40. > :00:48.That you could join us for Asia Business Report. I'm Rico Hizon. The
:00:49. > :00:52.last hour, the US and is has confirmed Stephen Mnuchin as the new
:00:53. > :00:58.Treasury Secretary. He is one of the four former Goldman Sachs employees
:00:59. > :01:06.in Donald Trump's inner circle. Some say this goes against Donald Trump's
:01:07. > :01:10.election promise to drain the song. He ran a foreclosure machine when he
:01:11. > :01:15.managed a bank. This is how he responded. Since I was first
:01:16. > :01:19.nominated to service Treasury Secretary, I have been maligned as
:01:20. > :01:26.taking advantage of others. Hardship in order to earn a buck. Nothing
:01:27. > :01:30.could be further from the truth. In the summer of 2008, I saw the
:01:31. > :01:36.devastation that was caused by the housing crisis when I watched people
:01:37. > :01:44.line up to get their life savings out of indie Mac bank. It was the
:01:45. > :01:49.middle of the financial crisis, but despite the crisis, I saw a way to
:01:50. > :01:57.save the bank. The new Treasury Secretary, Stephen Mnuchin.
:01:58. > :02:05.Some estimates put it at roughly 6 billion US dollars, and so the news
:02:06. > :02:10.broke in mid-December, it shares in Toshiba have dropped nearly 50%. And
:02:11. > :02:14.today, they are down by nearly 4%. But the company is expected to say
:02:15. > :02:28.how it will raise money, so what can we expect? I put that question to
:02:29. > :02:31.Gerhard Fasol. I Buchli, they want to keep control of their flash
:02:32. > :02:38.memory card business. If one of their competitors in the
:02:39. > :02:42.semiconductor industry are being talked about, other people being
:02:43. > :02:46.talked about art private equity funds, and they will want to have
:02:47. > :02:50.some management control, which are not short Toshiba wants to give
:02:51. > :03:00.away. -- unfortunately, they want to keep. And a fifth time high since
:03:01. > :03:04.President Trump is up, the Dow and the NASDAQ finishing in record
:03:05. > :03:14.territory. This is how the regional markets are opening. Investors here
:03:15. > :03:20.are hoping that tax cuts, expected to be announced, will stoke US
:03:21. > :03:24.corporate profits and investment. In the currency markets, that is
:03:25. > :03:29.pushing at the value of the dollar, trading at its highest value in two
:03:30. > :03:34.weeks against the and, at 113.50 eight. The weekend is good news for
:03:35. > :03:40.exporters. The Japanese economy is not seen the momentum it needs to
:03:41. > :03:42.get out of a slump. I asked a former bank of Japan member what else the
:03:43. > :03:55.bank can do. -- Gerhard -- 113.58. The bank of Japan did
:03:56. > :03:59.everything they can do. But now we need a way to improve our
:04:00. > :04:04.productivity and economic growth is, and a new project. How can you
:04:05. > :04:09.improve productivity and economic growth, because the last major move
:04:10. > :04:15.by the bank of Japan with negative interest rates did not work? Yes. In
:04:16. > :04:21.the case of companies, they worry about the market. And the growing
:04:22. > :04:28.population. Now it is shrinking, the market. The companies are not eager
:04:29. > :04:32.to invest in business investment. So the government needs to find a way
:04:33. > :04:37.to improve this expectation on economic growth in terms of
:04:38. > :04:47.consumers, too, they more concerned about low wage growth as economics
:04:48. > :04:50.failed? -- has. What about the third Arrow, utilising fewer workers or
:04:51. > :04:57.sorting out the labour shortage and importing more foreigners? The first
:04:58. > :05:02.Arrow is economic policy, and I like to say it exists in terms of
:05:03. > :05:10.corrective over variation we are in. That worked. I guess, right now, it
:05:11. > :05:18.is not monetary policy issue, and so it is the third Arrow, that we must
:05:19. > :05:22.worry about. -- arrow. I think Shinzo Abe needs to find their way
:05:23. > :05:26.to deal with the labour shortage. There is a serious labour shortage.
:05:27. > :05:33.So this question of employing foreign workers and female workers
:05:34. > :05:36.needs to go with economic reform. Because everybody in Japan is
:05:37. > :05:43.worried about the future. They think the system is not sustainable. The
:05:44. > :05:46.boss of Ryanair says he worries that Brexit negotiations will be a
:05:47. > :05:52.disaster triggering chaos for Travellers across Europe. Ryanair is
:05:53. > :05:55.the biggest airline in Europe by its number of passengers. Its chief
:05:56. > :05:59.executive Michael O'Leary said it will be difficult for the UK to be
:06:00. > :06:04.part of the EU single aviation market. I feel it will be a
:06:05. > :06:08.disaster. And I suspect and hope that within two years, the British
:06:09. > :06:12.people realise that they were misled into voting for Brexit and that
:06:13. > :06:15.leaving the single market will be very damaging for Britain, and they
:06:16. > :06:20.would change their minds. The problem is remaining an open skies
:06:21. > :06:24.probably involves the UK recognising the jurisdiction of the European
:06:25. > :06:27.Court of Justice, which seems to be a red line issue, and probably
:06:28. > :06:32.recognising the free movement of people, which is another red line
:06:33. > :06:36.issue. And from a consumer point of view, if negotiations go badly, what
:06:37. > :06:40.is the worst that could happen? It is not beyond the bounds of
:06:41. > :06:44.possibility, it is unlikely, but not beyond the bounds of possibility,
:06:45. > :06:50.that they would be no flights between the UK and Europe if they
:06:51. > :06:55.walk off a cliff edge in 2019. If they pass the open skies agreements,
:06:56. > :06:58.I do not think there will be a transitional agreement. They could
:06:59. > :07:02.be chaos for a number of weeks and months, and I'm not sure that there
:07:03. > :07:05.will be chaos, but it is really only when the British government and the
:07:06. > :07:09.British people recognise that there will be chaos that maybe you will
:07:10. > :07:13.get some kind of common sense prevailing. And get your rivals do
:07:14. > :07:17.not seem to think that will happen. They think that there will be some
:07:18. > :07:21.kind of good compromise drawn out, something constructive. I disagree.
:07:22. > :07:26.I think the Europeans are really are... I think they have taken the
:07:27. > :07:28.Brexit decision badly. I think the people who have claimed that the
:07:29. > :07:34.German car manufacturers will persuade the German, the European
:07:35. > :07:38.Union to give Britain a good deal, I think Britain will get a bad deal.
:07:39. > :07:44.Speaking as someone who is Irish, I am in love with Britain. I want to
:07:45. > :07:47.see the Common travel between the UK and Ireland, but I feel the
:07:48. > :07:51.Europeans are really going to bully Britain very badly, and we will all
:07:52. > :07:56.be bullied into pulling apart borders and having a hard policies,
:07:57. > :08:02.and it could be damaging for the UK economy. I could be wrong, but I
:08:03. > :08:07.think that will happen. And it British company best known for its
:08:08. > :08:13.backless vacuum cleaners, Dyson, is opening a new factory in Singapore.
:08:14. > :08:22.It will work on new technologies and develop existing products, like its
:08:23. > :08:27.new drivers. The BBC Simon Atkinson asked Sir James Dyson why it had
:08:28. > :08:31.started researching here as well. Singapore is great because there are
:08:32. > :08:36.lots of young, very bright engineers, and we need lots of very
:08:37. > :08:42.young bright engineers and scientists to develop the technology
:08:43. > :08:47.we are developing. In Singapore, it 40% of graduates are engineers and
:08:48. > :08:51.scientists. So even though England is a larger country, there are fewer
:08:52. > :08:55.engineers coming out that we can employ. They manufactured goods in
:08:56. > :08:58.Malaysia, the Philippines, Singapore, but Asia is not just
:08:59. > :09:03.about making things to you, any more, is that? It is also a place
:09:04. > :09:06.where sell products. It is incredibly important. It is
:09:07. > :09:10.important for a lot of reasons. Of course, it is fast growing in terms
:09:11. > :09:16.of population. Its wealth, its wealth generation is strong. But
:09:17. > :09:19.above all, people here understand technology and wanted. They want the
:09:20. > :09:27.latest technology and engineering, the latest Psion, and by that I mean
:09:28. > :09:30.a product that does seems in an interesting way. You've been selling
:09:31. > :09:36.in China for the past three years or so. -- the latest design. There are
:09:37. > :09:40.issues they are with companies having their ideas stolen and
:09:41. > :09:46.copycat products being made. How big an issue is that for Dyson? We will
:09:47. > :09:50.have that problem there selling or not. But they respect intellectual
:09:51. > :09:54.property. We have one about 500 cases on intellectual property
:09:55. > :09:57.there. The Chinese courts are good. And they are applying intellectual
:09:58. > :10:01.property law. That is great. The thing is that the Chinese people
:10:02. > :10:05.want the real thing. They don't want a cheaper fake. They want the real
:10:06. > :10:13.thing, which performs as it should with the right sort of quality. So
:10:14. > :10:24.we have a good market there. From drivers to apples, and now Apple is
:10:25. > :10:27.at a record high with $433. Thank you so much for investing your time
:10:28. > :10:33.with us. Sport Today is next.