:00:00. > :00:00.Those are the latest headlines from BBC World News.
:00:00. > :00:17.Now for the latest financial news with the World Business Report.
:00:18. > :00:18.Stealing more market share from the competition?
:00:19. > :00:21.EU ministers will have China in their cross-hairs when they meet
:00:22. > :00:24.later today to discuss the fate of Europe's embattled steel industry
:00:25. > :00:31.The Dubai Air show is underway, but this year, it's not all
:00:32. > :00:34.about the massive jetliner orders, it's about the Gulf states spending
:00:35. > :00:45.Welcome to World Business Report, I'm Aaron Heslehurst.
:00:46. > :00:49.In a minute we'll have the latest on a massive strike at German
:00:50. > :01:00.But first, EU ministers are due to meet later
:01:01. > :01:12.in Brussels to discuss the troubled steel industry in Europe.
:01:13. > :01:15.Britain's biggest steel maker, Tata, is now demanding that its suppliers
:01:16. > :01:17.sharply cut their prices as the turmoil in the industry deepens.
:01:18. > :01:19.Last month, the firm said it was cutting
:01:20. > :01:25.1200 jobs in the UK as steel prices fall around the world.
:01:26. > :01:29.As you can see here the price of the iron alloy has quite
:01:30. > :01:31.literally fallen through the floor over the past five years.
:01:32. > :01:33.Production is dominated by China, which makes almost half
:01:34. > :01:45.the world's steel with the EU lagging some way behind.
:01:46. > :01:47.But as growth in China's economy slows it has been
:01:48. > :02:08.Its steel exports were up by more than 50 percent last year
:02:09. > :02:10.while other major producers have flat lined.
:02:11. > :02:12.European producers say that glut in production is pushing the
:02:13. > :02:33.Thank you for coming in. This China steel, they have been making a lot.
:02:34. > :02:38.As their growth slows, they don't need it. They shifted abroad. It is
:02:39. > :02:45.cheap, but UK companies have been purchasing it. China has not been
:02:46. > :02:49.putting a gun to their head? Chinese imports to the UK have quadrupled in
:02:50. > :02:57.the last three years. The market is purchasing this cheap steel, but it
:02:58. > :03:05.is not just cheap steel. It is being dumped onto our market, it is
:03:06. > :03:10.against the PTO rules. The European Commission can do something about
:03:11. > :03:14.this unfair trade. The US have stepped in to protect their own
:03:15. > :03:18.industry, some other countries have done the same. They can act more
:03:19. > :03:23.quickly than Europe can? Much quicker, in the sense that in the
:03:24. > :03:27.EU, the European Commission takes about one year to do a formal
:03:28. > :03:36.investigation. It is thorough, but it is slower. In the US, it takes 45
:03:37. > :03:44.days to put on tariffs to stop that trade. We have heard recently that
:03:45. > :03:50.the British steelmakers are saying, if the EU doesn't act, what we are
:03:51. > :03:56.seeing in Britain you will see in Europe. Are they talking about
:03:57. > :04:03.shutting down the furnace plants? I think we will, yes. We talked about
:04:04. > :04:08.the price of steel plummeting, the market won't be able to sustain this
:04:09. > :04:12.price level without intervention for very long. We have seen that in the
:04:13. > :04:18.UK in the last six months, humming like 20% of our workforce are at
:04:19. > :04:21.risk of losing their jobs or have already. That will just increase
:04:22. > :04:24.unless we do something about it. Other trade in regions around the
:04:25. > :04:30.world have taken action, if they take action quicker we will see even
:04:31. > :04:37.more steel come here to Europe than we have already. It will be
:04:38. > :04:43.overwhelming, it really will be a tsunami of Chinese steel into the
:04:44. > :04:48.market. Is it important that Britain or other countries produce their own
:04:49. > :04:52.steel? Why not, if you can get it cheaper somewhere else could sell it
:04:53. > :05:11.is a foundation factor that feeds into many important supply chains -
:05:12. > :05:20.automotive, aerospace for example. The price increases, getting the
:05:21. > :05:24.steel, we do we get this steel from? Rather than producing it in an
:05:25. > :05:30.innovative way and making sure it fits into those supply chain. Just
:05:31. > :05:36.quickly, certain European governments favour a steelmaking
:05:37. > :05:41.industry compared to Britain. It is cheaper? Yes, absolutely. Thank you
:05:42. > :05:44.very much for joining us. We're off to Dubai now to have
:05:45. > :05:48.a look at its air show, In previous years, Dubai's airline,
:05:49. > :05:50.Emirates, has broken world records with
:05:51. > :05:53.the number of commercial jetliners But the airlines
:05:54. > :05:57.of the Gulf now have almost all the planes they need and Airbus has
:05:58. > :06:00.admitted that new orders at the show for its A380, the world's
:06:01. > :06:03.biggest aircraft, are unlikely. This year,
:06:04. > :06:19.it looks as though the focus will be This is what usually makes money at
:06:20. > :06:29.the Dubai airshow: Slick, shiny jetliners. This year, the emphasis
:06:30. > :06:34.is on something else. The whitest range of military aircraft ever
:06:35. > :06:38.bought to Dubai. Small wonder that arms spending in Middle Eastern
:06:39. > :06:41.countries such as Saudi Arabia is soaring. Interior, they have been
:06:42. > :06:50.bombing Islamic State. In Yemen, they have been fighting the Houthi
:06:51. > :06:55.militia. The budget climbed 17% for defence spending last year. I expect
:06:56. > :07:00.to see increases in things like weapons platforms, when they need to
:07:01. > :07:06.move people and equipment to and from various places. And precision
:07:07. > :07:10.weapons, they have been expanding weapons in the region because of the
:07:11. > :07:15.complex. You see an increase in demand for those. The two by a show
:07:16. > :07:20.will also feature a record number of flying displays of unmanned aerial
:07:21. > :07:29.vehicles, otherwise known as drones. This one is made by a
:07:30. > :07:32.British company and is being marketed to Middle Eastern security
:07:33. > :07:39.services. They can look over the hills, find out what is behind the
:07:40. > :07:45.next curve in the road. You can get quick operation back to the users so
:07:46. > :07:49.that they can make decisions based on the intelligence gathered data
:07:50. > :07:55.Dubai Airshow. The defence companies expect the Gulf to spend heavily to
:07:56. > :07:59.stock up on weapons to continue the current conflict. However, they are
:08:00. > :08:04.also running short of cash because of the low price of oil. So, to
:08:05. > :08:08.compensate, what they are doing is cutting back or postponing some of
:08:09. > :08:13.their more ambitious long-term defence projects.
:08:14. > :08:17.Well it's been a busy day so far on the Asian markets with a number
:08:18. > :08:32.Rico Hizon is in Singapore with all the details.
:08:33. > :08:35.Takata shares up more than 12 percent after heavy selling
:08:36. > :08:51.Olympus shares up by daily limit of about 17 percent at one point,
:08:52. > :08:58.after company reports 30 percent rise in April-September.
:08:59. > :09:04.China major stock indexes opened up on Monday after
:09:05. > :09:07.the securities regulators said it would allow initial public offerings
:09:08. > :09:42.That rose by about 2% on Monday. Companies can come to market within
:09:43. > :09:47.roughly two weeks. Exciting markets.
:09:48. > :09:49.In other news: German airline Lufthansa has confirmed that 113,000
:09:50. > :09:52.passengers will be hit by flight cancellations on Monday while cabin
:09:53. > :09:56.They said 929 flights from Frankfurt, Duesseldorf and Munich
:09:57. > :10:05.are being cancelled as the dispute moves into its third full day.
:10:06. > :10:07.Members of the UFO union are planning
:10:08. > :10:12.further strike action throughout the week at further airports.
:10:13. > :10:15.China saw imports drop for the twelfth month in a row
:10:16. > :10:18.in October giving further cause for concern over the Chinese economy.
:10:19. > :10:29.Imports by the world's biggest trader of goods fell 18.8%
:10:30. > :10:33.Don't forget you can get in touch with me and some of