:00:00. > 3:59:59BBC World News. Now for the latest financial news with and World
:00:00. > :00:18.Business Report. China reports a surprise pick`up in
:00:19. > :00:24.production at its manufacturers but is this enough to calm nerves about
:00:25. > :00:27.future growth. Preparing for the winter months.
:00:28. > :00:29.Europe works out its energy strategy as the Russia`Ukraine crisis
:00:30. > :00:41.continues. Welcome to World Business Report.
:00:42. > :00:44.I'm Sally Bundock. Also in the programme, the second part in our
:00:45. > :00:47.series on climate change takes us to New York.
:00:48. > :00:49.But first, activity in China's manufacturing sector unexpectedly
:00:50. > :01:07.picked up in September even as factory employment slumped to a
:01:08. > :01:12.5.5`year low. At a conference in Singapore delegates are at concerned
:01:13. > :01:19.about any change in supply and the impact it may have. Russia has
:01:20. > :01:24.pipelines that radiate across the continent. Which countries are
:01:25. > :01:31.likely to be hit hardest if relations between the countries get
:01:32. > :01:41.worse? If you any, Latvia and Belarus are almost completely
:01:42. > :01:45.reliant on Russia for natural gas. Normally Ukraine would also get 100%
:01:46. > :01:47.of its gas supply from Russia but currently it has restricted supplies
:01:48. > :01:50.to the Ukraine and so the exact amount Ukraine is receiving is
:01:51. > :01:54.unclear. Either way, Ukraine still offers an important pipeline to the
:01:55. > :01:57.rest of Europe. For example, 83% of Slovakia's gas originates in Russia
:01:58. > :02:00.while 59% of Polish gas used comes from Russia. Moving further afield,
:02:01. > :02:08.37% of Germany's gas, 29% of Italy's gas and 16% of France's gas comes
:02:09. > :02:11.from Russian energy companies. Italy is particularly at risk. The
:02:12. > :02:15.majority of its gas comes via the Ukrainian pipeline, the one that is
:02:16. > :02:23.likely to be switched off first if relations between Kiev and Moscow
:02:24. > :02:26.sour further. The rest of Europe including UK and Spain do not
:02:27. > :02:32.receive any but they will be affected if there is a rise in
:02:33. > :02:35.global prices if Russia decides to limit its supplier.
:02:36. > :02:37.With me is Cornelia Meyer, chief executive of Meyer Resources, an
:02:38. > :02:43.international economist and independent energy expert. If you
:02:44. > :02:47.watch us all the time you will know she's a regular. Nice to you again.
:02:48. > :02:52.It is that time of year when we head into the winter months in Europe.
:02:53. > :02:57.There is always that thought that there could be energy issues but
:02:58. > :03:05.this year it is much more critical. Where are we as we head into winter?
:03:06. > :03:10.We are in a better place than we could potentially be because last
:03:11. > :03:18.winter was quite mild and gas stocks are high. That said, all in all
:03:19. > :03:24.Europe gets about 30% of its gas from Russia and about half of that,
:03:25. > :03:29.15% comes through that Ukrainian pipelines. Germany will be OK
:03:30. > :03:35.because they receive their gas directly through a pipeline that
:03:36. > :03:47.goes directly to, recently built, to Germany. The people who are really
:03:48. > :03:50.going to be affected are the the southern European region like Bosnia
:03:51. > :03:56.that get all their gas from the European pipelaying. Sarajevo is
:03:57. > :04:01.heated in the winter by a gas central heating system so they would
:04:02. > :04:07.literally freeze to death. Europe, it is their own faults because one
:04:08. > :04:14.has tried to diversify away from Russia with pipelines from
:04:15. > :04:24.Azerbaijan, through Turkey. What happened is the Germans said, oh
:04:25. > :04:36.no, book arrest could potentially be Errani and gas... `` it could be
:04:37. > :04:41.book arrest, Iran. It shows there is no quick answer to this. This has
:04:42. > :04:47.been going on for years. Each winter we have the discussion about
:04:48. > :04:52.Europe's reliance on gas from Russia through Ukraine. They constantly
:04:53. > :04:57.argue about unpaid bills, how big, how small the bills are. This year
:04:58. > :05:04.we have the political and military crisis in eastern Ukraine, Russia,
:05:05. > :05:11.sanctions. It is so much more complicated this year and so much
:05:12. > :05:14.more is at stake this year. Certainly with the Ukrainian
:05:15. > :05:17.pipelines there is a lot at stake. When you look at the other
:05:18. > :05:31.pipelines, I think less so because if you look at what Russia needs as
:05:32. > :05:43.well. 70% of its exploits `` it's exports are oil and ass. 20% of
:05:44. > :05:45.GDP, 16% is oil and gas. They are heavily reliant on the budget. Thank
:05:46. > :05:51.you very much. That is ongoing in you very much. That is ongoing in
:05:52. > :06:01.Singapore and we will keep across any arrangements that come across.
:06:02. > :06:05.Let's talk about China. Activity in manufacturing unexpectedly picked up
:06:06. > :06:15.in September even as factory employment slumped to a 5.5 year
:06:16. > :06:20.low. It adds to previously lacklustre news out of China that
:06:21. > :06:26.paints a picture of slow growth. What now? How excited can we get
:06:27. > :06:37.about this news? We go to Rico Hizon. You are always smiling. It is
:06:38. > :06:42.a big relief short`term for investors after the string of weak
:06:43. > :06:49.economic numbers pointing to a slowdown in the second largest
:06:50. > :06:51.economy in the world. Domestic and export orders registering
:06:52. > :06:57.improvement. Factory employment slumping to its lowest level since
:06:58. > :07:00.2009 when a collapse in exports through tens of millions of Chinese
:07:01. > :07:07.out of work. We are starting to see the impact of the string of
:07:08. > :07:10.measures, stimulus measures implemented by Chinese authorities
:07:11. > :07:14.to boost growth and they are having an impact on the economy. When you
:07:15. > :07:21.talk to analysts they warn a slowdown in property is an ongoing
:07:22. > :07:28.risk. The property market makes up 15% of GDP and according to industry
:07:29. > :07:33.numbers there is 1.4 billion square metres of property outstanding and
:07:34. > :07:38.that translates to 12 months of inventory that needs to be sold.
:07:39. > :07:44.There is an oversupply of inventory in China's uppity market. There are
:07:45. > :07:52.risks in the Chinese economy but many say GDP growth can be
:07:53. > :08:04.maintained at 7.5% this year. OK, super, thank you.
:08:05. > :08:08.It `` It's a high profile event attended by the world's political
:08:09. > :08:13.and business leaders. This Tuesday the United Nations summit on climate
:08:14. > :08:16.change gets under way in New York. But leaders from two of the world's
:08:17. > :08:20.biggest polluters, China and India, are skipping the event. So will the
:08:21. > :08:22.calls from who took to the street to demand change go unheeded?
:08:23. > :08:25.In our week`long series on climate change, Michelle Fleury reports from
:08:26. > :08:27.New York. The Big Apple knows how to put on a big show. UN
:08:28. > :08:40.Secretary`General Ban Ki`moon, in the blue cap, and Al Gore joined
:08:41. > :08:46.hundreds of thousands of `` of thousands on the streets. It is a
:08:47. > :08:50.very powerful message that people should take climate change
:08:51. > :08:54.seriously. It is very important and the governments are not doing
:08:55. > :09:02.anything at an international level to put pressure. The march brought
:09:03. > :09:05.people together. This economist is less confident of consensus among
:09:06. > :09:13.politicians. It was wonderful to see that kind of show of profound
:09:14. > :09:20.concern all over the world. I don't think political leaders are there.
:09:21. > :09:27.This is still a world dominated by the geopolitics of fossil fuels.
:09:28. > :09:30.Once America's richest man, John D Rockefeller made his fortune from
:09:31. > :09:36.oil. His descendants say it is time to move away from fossil fuels and
:09:37. > :09:41.invest in clean energy. It is a view shared by a growing number of
:09:42. > :09:49.companies including this supermarket chain. The company helped build the
:09:50. > :09:56.solar roof and wind turbines dotted around this car park of the
:09:57. > :09:58.supermarket. This project, it is a great demonstration of different
:09:59. > :10:01.technologies that are cost`effective. When businesses
:10:02. > :10:06.trade out, show their neighbours what they are doing, a lot of other
:10:07. > :10:12.companies will catch on. The success of businesses like this one reflects
:10:13. > :10:19.a change in the way companies think about climate change. More and more
:10:20. > :10:24.firms are taking into account the financial cost of doing nothing.
:10:25. > :10:28.Some corporations are still putting profits before the planet and on
:10:29. > :10:36.Monday Wall Street was filled with protesters.
:10:37. > :10:41.A quick look at the markets. They were higher in Asia because of the
:10:42. > :10:47.news about China. They have been hit by the situation in Syria with the
:10:48. > :10:52.US airstrike beginning. Hong Kong is up just slightly. Much higher
:10:53. > :10:57.earlier. Japan is closed for a public holiday. The US yesterday,
:10:58. > :10:58.ended lower across the board. I will see you soon as we talk through the
:10:59. > :11:14.papers. The Labour leader Ed Miliband will
:11:15. > :11:17.today promise more spending on the NHS, more apprenticeships and to
:11:18. > :11:21.double the number of first`time homebuyers. In his speech to his
:11:22. > :11:24.party's conference in Manchester, the Labour leader is expected to say
:11:25. > :11:28.that the money for the NHS will come from a new mansion tax on properties
:11:29. > :11:28.worth more than ?2 million. Our political correspondent Carole
:11:29. > :11:30.Walker