Browse content similar to 04/01/2017. Check below for episodes and series from the same categories and more!
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Also in the programme embattled air-bags maker - | :00:00. | :00:10. | |
Takata is seeing its shares soar in Tokyo. | :00:11. | :00:12. | |
On the Presidential campaign trail Donald Trump made it clear | :00:13. | :00:22. | |
he was going to get tough on US car makers who out-sourced production, | :00:23. | :00:26. | |
claiming it's already led to millions of job losses. | :00:27. | :00:30. | |
Well he's not yet in office but already the automobile industry | :00:31. | :00:33. | |
US car giant Ford has announced it will extend operations in Michigan, | :00:34. | :00:41. | |
as you can see behind me, and cancel plans for a $1.6 billion | :00:42. | :00:44. | |
Earlier, in this tweet, President-elect Donald Trump | :00:45. | :00:50. | |
criticised Ford's rival General Motors for making cars | :00:51. | :00:54. | |
in Mexico available tax-free in the United States. | :00:55. | :00:57. | |
Michelle Fleury has more from New York. | :00:58. | :01:04. | |
Donald Trump has launched a series of attacks by Twitter, the rating | :01:05. | :01:11. | |
bigger US multinationals who import goods from abroad and seldom in | :01:12. | :01:17. | |
America. The rating. He has spoken out against auto industry | :01:18. | :01:22. | |
manufacturing cars across the border. NAFTA allows vehicles to be | :01:23. | :01:29. | |
sold duty-free within the US and Canada and Mexico. If they are at | :01:30. | :01:35. | |
least 65% made in the block but Trump wants to rip up the agreement | :01:36. | :01:41. | |
and in prose and 35% border tax. On Tuesday, Ford said it is scrapping | :01:42. | :01:50. | |
plans for a base in Mexico and expanding in Michigan instead. | :01:51. | :01:51. | |
Speaking to BBC World business news the boss of Ford, | :01:52. | :01:54. | |
Mark Fields, told us what prompted the decision to cancel the planned | :01:55. | :01:57. | |
Overall, the reason we made this decision is it the right thing to | :01:58. | :02:06. | |
our business. As you can imagine, we look at different factors when we | :02:07. | :02:09. | |
look at decisions. The announcements we are making the day of $700 | :02:10. | :02:13. | |
million investment here in our fight rock Michigan plant and adding 700 | :02:14. | :02:17. | |
jobs, one of the factors we put into that is the more favourable US | :02:18. | :02:22. | |
business environment that we see under President-elect Trump and to | :02:23. | :02:25. | |
some of the pro- growth policies and reforms whether it is tax or | :02:26. | :02:29. | |
revelatory but he's been talking about so that did play positively in | :02:30. | :02:34. | |
this and it's a vote of confidence that he can deliver on those things. | :02:35. | :02:36. | |
In a few hours time we'll receive the latest inflation figures | :02:37. | :02:39. | |
The block managed growth of 0.3% in the third quarter of last year | :02:40. | :02:44. | |
and a sustained rise in prices could lead to the scaling back | :02:45. | :02:47. | |
of the European Central Banks de facto money-printing program. | :02:48. | :02:50. | |
As you can see here - there has been a marked improvement | :02:51. | :02:53. | |
in the rate of inflation for the block and in yellow you can | :02:54. | :02:56. | |
see the 1% rate of inflation that Economists are predicting | :02:57. | :02:59. | |
With me to discuss this is Jeremy Cook, Chief Economist, | :03:00. | :03:13. | |
What are you expecting? 1% seems to be the consensus view. We had a big | :03:14. | :03:27. | |
surprise out of Germany yesterday, two year high out of their prices, | :03:28. | :03:33. | |
up to 1.7%. It could even be higher than 1% and that's a big step change | :03:34. | :03:37. | |
from the month previous. A lot of this rise is as a result of oil | :03:38. | :03:42. | |
pressures, the base Fx of the big fall in 2015, a slight pickup in | :03:43. | :03:48. | |
2016. -- affects. What will the US central bank do in response? There | :03:49. | :03:54. | |
are two types of inflation. Headline inflation and core inflation. This | :03:55. | :03:58. | |
is focused on core inflation which takes out volatile food and oil | :03:59. | :04:03. | |
measures and that will stay at around 1.8% --0 .8%. Core inflation, | :04:04. | :04:10. | |
the stuff that really matters in the economy and the stuff we can in -- | :04:11. | :04:15. | |
control, is still much below target and they will keep that on the | :04:16. | :04:21. | |
accelerator. The eurozone has really been struggling when it comes to | :04:22. | :04:25. | |
delivering growth, unlike other economies around the world. What is | :04:26. | :04:29. | |
this year going to be like in the terms of economic performance by the | :04:30. | :04:33. | |
eurozone, given that there are two big members, France and Germany, | :04:34. | :04:37. | |
with elections? It will be a fairly tough year for the continent as a | :04:38. | :04:41. | |
whole. Everybody is spoken on politics but businesses who trade | :04:42. | :04:47. | |
have two deal with volatility in currency markets -- focused on | :04:48. | :04:54. | |
politics. They are at record lows against the US dollar. We need to | :04:55. | :04:59. | |
seek growth at a rate that can start to lower the unemployment rate in | :05:00. | :05:04. | |
the eurozone as a whole which is still almost double of what we see | :05:05. | :05:08. | |
in the US and the UK. There is a lot of room for improvement in the | :05:09. | :05:12. | |
eurozone. Given the situation, certainly the case in France with | :05:13. | :05:17. | |
unemployment stubbornly high which is why France was a blonde is not | :05:18. | :05:28. | |
going to try to get the job again -- Francoise Holland. A lot of it is | :05:29. | :05:32. | |
due to the economy, isn't it? Jono yes and also change. -- yes, and | :05:33. | :05:40. | |
also change. If we start to see in the run higher and start to see | :05:41. | :05:46. | |
prices without wage increases seen each we are not likely to see in | :05:47. | :05:50. | |
Germany or France or benevolence or Italy or Spain, and people will sit | :05:51. | :05:54. | |
there saying, my life is more expensive, how can I change this? | :05:55. | :06:03. | |
That feeds into the votes. -- or the Netherlands. No doubt we will speak | :06:04. | :06:05. | |
again. Troubled car parts maker Takata | :06:06. | :06:05. | |
saw its shares jump by more than 17% today in Tokyo - this on reports | :06:06. | :06:09. | |
the Japanese firm is close to settling a US criminal probe | :06:10. | :06:12. | |
into faulty airbags that have been linked to 11 deaths | :06:13. | :06:15. | |
and more than 100 injuries. Sharanjit Leyl joins me now | :06:16. | :06:19. | |
from our Asia business hub Normally we are talking about Takata | :06:20. | :06:31. | |
shares sinking and today we see the opposite. Indeed. The reason why it | :06:32. | :06:37. | |
is today is it's really the first chance that many investors have two | :06:38. | :06:41. | |
really react to the reports you mentioned last week. It's the first | :06:42. | :06:47. | |
day of trade in Japan for 2017 so the shares are at the moment at | :06:48. | :06:52. | |
17.5%. You mentioned the reports from last week essentially saying | :06:53. | :06:56. | |
the troubled Japanese auto-parts maker was fairly close to settling a | :06:57. | :07:01. | |
US criminal probe into the exploding airbag scandal. We know that Takata | :07:02. | :07:05. | |
is the maker of the defective airbag is have been linked to at least 16 | :07:06. | :07:11. | |
deaths worldwide, 11 in the US, and they can apparently exploit with | :07:12. | :07:15. | |
excessive force and send metal shrapnel inside cars and trucks. | :07:16. | :07:20. | |
These reports citing sources say that the criminal charges could be | :07:21. | :07:26. | |
settled before Obama administration leaves office next month. Part of | :07:27. | :07:31. | |
the settlement will include Takata pleading guilty to criminal | :07:32. | :07:34. | |
misconduct, according to the reports. The Justice Department have | :07:35. | :07:37. | |
been investigating whether the firm had hidden information from safely | :07:38. | :07:43. | |
great -- safety regulators and sources say a deal will likely | :07:44. | :07:48. | |
include a monitor to ensure Takata's compliance with the agreement. One | :07:49. | :07:52. | |
of the sources was the Wall Street Journal which reported a settlement | :07:53. | :07:56. | |
could require Takata to pay as much as $1 billion and be reached as | :07:57. | :08:00. | |
early as January. Both Takata and the Department of Justice have | :08:01. | :08:03. | |
declined to comment but nonetheless, investors seem to like the news and | :08:04. | :08:08. | |
they are buying up the shares. Thank you, Sharanjit Leyl, good to see | :08:09. | :08:09. | |
you. Some British Airways cabin crew | :08:10. | :08:10. | |
are to stage a 48 hour strike Members of the UK's Unite union have | :08:11. | :08:14. | |
rejected a new offer aimed A previous walkout planned | :08:15. | :08:18. | |
for Christmas Day and Boxing Day BA says it plans to ensure that | :08:19. | :08:23. | |
all their customers can travel Kaesler, one of the world's biggest | :08:24. | :08:38. | |
car makers of electronic cars increased profits. They made almost | :08:39. | :08:43. | |
83,000 cars in 2016 -- Tesla. They missed the delivery target of the | :08:44. | :08:47. | |
last three met -- last three months of it. Elon musk said Robinson with | :08:48. | :08:53. | |
the hardware led to the company producing fewer vehicles than | :08:54. | :08:57. | |
previously forecast. While Tesla may be producing more cars, it is also | :08:58. | :09:01. | |
getting more competition. There are more tech start-ups unveiling the | :09:02. | :09:07. | |
words fastest self driving electric car that can accelerate from 0- 60 | :09:08. | :09:13. | |
in 2.39 seconds. That is quite fast. I will see you soon. | :09:14. | :09:20. |