10/05/2017 World Business Report


10/05/2017

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The world's second largest carmaker is expected to to report shrinking

:00:17.:00:23.

On the farm in the US - we assess the impact

:00:24.:00:28.

of President Trump's policies in an industry that relies

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on migrant workers, even the undocumented ones.

:00:32.:00:41.

Welcome to World Business Report. I'm Sally Bundock.

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In a minute we'll itroduce you to the first American

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We start with the world's second biggest carmaker -

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Toyota - it will report its latest set of financial results in just

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The Japanese car giant is expected reveal its had a tough quarter

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with operating profits falling by 30%.

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The key reason being a slowdown in the United States taking its toll

:01:11.:01:13.

This follows a record year there last year when carmakers sold

:01:14.:01:18.

But it would seem, at least for now, the winning run is coming to an end

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Compared to the same period last year, the company has experienced

:01:32.:01:35.

a drop in sales in every month of 2017.

:01:36.:01:38.

As consumers look towards more environmentally friendly models,

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Toyota has been ramping up its investment in greener technology.

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By the end of the decade it hopes to sell at least 30 thousand

:01:45.:01:48.

With me is Anna-Marie Baisden, Head of Autos at BMI Research.

:01:49.:01:58.

Good morning. We have put an outline but can you explain in more detail

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why it has been so difficult Toyota for? There are many reasons. The

:02:12.:02:17.

stronger yen hurt a lot of Japanese companies. That is one aspect. But

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also they have been spending a lot, on RND and green technology, they

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lifted a freeze on new plans say they have new investment in those. A

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new centre at in Michigan also open. Expenditure as well as falling sales

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you mentioned. You would assume if you have had a record year, sales

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would tail of the following year because people have done the big car

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purchases in 2015. Absolutely. In the US we were forecasting a decline

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in sales. It is a mature market, it has had a good few years of sale

:03:00.:03:05.

growth. There was also a growing second-hand market, demand for

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credit starting to fall as a credit limits tightened. A lot of reasons

:03:11.:03:20.

why you can expect that. They have been expanding implants in the US,

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is that have anything to do with President Trump? He was vocal that

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in Japan they are not exporting lots of US cars were as Japan and makes a

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lot of money on its exports of cars to the US? Yes, it will be an

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interesting relationship with the new administration. We have seen

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Toyota being criticised for opening a new plant in Mexico as well. At

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the Detroit motor show they announced $10 billion so they are

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putting something into the country. US brands do not have the same

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access to the Japanese market but in some cases it is a matter of

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building some exposure. Some European brands and open more

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dealerships there and it has been working. The green tech hydrogen

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power, a big investment and a big push from the government as well?

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The Japanese government supporting hydrogen fuel sales technology. I

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think they are looking to get first mover advantage as well. Toyota And

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Honda. They have their eye on China for sales on that? Mostly Japan at

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the moment. China is moving towards more traditional hybrids. Thank you

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for your time. When we get the results from Toyota we will fill you

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in and only in how well they did. In the US politicians -

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not least the President - want to talk about undocumented

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workers, and border walls, but the real problem the economy has

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with migrant workers, Businesses, particularly

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in agriculture and tourism, are finding it harder to hire

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the all important seasonal staff They want the visa programs that

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allow people to come work in the US Samira Hussain reports

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from Chester, New Jersey. This farmer does not get to spend as

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much time in the field as he used to all as he would like. His first

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first-generation farmer. Agriculture was a calling to do God 's work. As

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we tour is 600 acre property, he at his business would not be thriving

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without outside help. Agriculture as we know it would not be able to

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survive if the people who are working today as undocumented

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workers were not in the workforce. During peak season, more than 200

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people work for him. 50 are here on temporary visas like Ivan. His wife

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and daughters are in Costa Rica. He leaves for six months of the year

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and he has been doing it for six years. The reason is simple. For

:06:27.:06:36.

money. Little money. You cannot find sufficient Labour and you do not

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know from year to year if you are going to be able to find workers are

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legally so you wonder why people turn to doing things under the table

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and to undocumented workers because we do not have resources in place to

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hire people properly. This farmer depends on guest workers at

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applications for temporary visas are expensive and cumbersome. He needs

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more workers and faster and it would seem so does the US economy. We have

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close to full economy which is great. We want wages to go up and a

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tight Labour market but we also want the economy to expand beyond the

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current workforce. Immigrants need to be all to that. Rhetoric

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surrounding immigration has become harsher and focused on more and more

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constraints but the fact is, a huge number of American businesses in

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different industries are dependent on the Labour of overseas workers

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and what these businesses want is for the President and Congress to

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focus on the reality. In other news: Apple has become

:07:51.:07:55.

the first-ever US company with a stock-market

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value over $800 billion. The milestone was crossed on Tuesday

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when Apple stock closed at an all time high

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of $153.96 cents a share. In fact Apple's stock price is up

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57,403% since its market A share price of $191.80

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would bring its market value Australia's Treasurer Scott Morrison

:08:20.:08:25.

hopes to raise the equivalent of $4.6 billion from a levy

:08:26.:08:31.

on the balance sheets It's estimated it will add an extra

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10% to their tax liabilities. The Australian Bankers' Assocation

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has slammed the move saying it's not just a tax on the country's

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banks but a direct attack Profits at Walt Disney jumped 11%

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in the first three months of 2017, bolstered by attendance

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at its theme parks and resorts. Profits in the first three months

:08:55.:08:59.

of the year were $2.4 billion. But the media giant's revenue

:09:00.:09:03.

gains were more muted. The firm remains on track for modest

:09:04.:09:05.

growth, in spite of subscriber losses at its sports

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television network ESPN. Not enough to impress shareholders

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with Disney shares down 3% after the closing bell on Wall Street. It is a

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small world after all. If you wish upon a Star, you could have bought

:09:30.:09:35.

the AppleShare in 1980 and be a multi- millionaire but I did not so

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I hear at five o'clock in the morning. --I hear.

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That's all for me for now will be reviewing the news in a

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