:00:00. > :00:18.Now it's time for World Business Report.
:00:19. > :00:23.Can the other G7 leaders keep the US President on side over trade
:00:24. > :00:33.It's the global capital of cast-off clothing but is India's textile
:00:34. > :00:50.Also coming up - Canada's trade minister raises his concerns
:00:51. > :00:58.We start in Southern Italy, in the Sicilian resort of Taormina -
:00:59. > :01:01.where as you've been hearing, the G7 group of top industrialised
:01:02. > :01:04.nations is starting a two day summit.
:01:05. > :01:08.It'll be the first one attended by President Trump.
:01:09. > :01:11.He's not the only newcomer of course - France's President Macron
:01:12. > :01:15.will be among those making a debut as well as British Prime Minister
:01:16. > :01:18.Theresa May and the host, Italian Prime Minister Paolo
:01:19. > :01:23.Let's just remind ourselves how important this group is -
:01:24. > :01:28.The seven countries account for getting on for half
:01:29. > :01:36.But many of them are struggling with comparatively stagnant economies.
:01:37. > :01:43.The International Monetary Fund is forecasting that world's economy
:01:44. > :01:51.will grow by 3.5% this year but just 1.9% in the G7
:01:52. > :01:53.and also high on the list of worries,
:01:54. > :01:56.the rise of trade protectionism after President Trump came to power
:01:57. > :02:01.The other G7 members will be pushing him to soften this position.
:02:02. > :02:08.and the future of the 2015 Paris climate change agreement.
:02:09. > :02:12.President Trump has threatened to pull the US out of the deal.
:02:13. > :02:15.His fellow G7 leaders will try to convince him otherwise.
:02:16. > :02:18.France's President Macron has already started trying to persuade
:02:19. > :02:28.Mr Trump to stay on board during talks in Brussels on Thursday
:02:29. > :02:30.TRANSLATION: I respect the fact that he has reviewed
:02:31. > :02:34.I reiterated the importance of this agreement for us,
:02:35. > :02:36.the importance of his commitments, and I truly believe this,
:02:37. > :02:40.to the international community for political responsibility
:02:41. > :02:43.as well as for jobs and economic development.
:02:44. > :02:47.So in any event, we don't want a hasty decision to be taken
:02:48. > :02:49.on the issue by the United States of America.
:02:50. > :03:07.Our collective responsibility is to ensure that this commitment
:03:08. > :03:10.remains global, which is the first of its kind.
:03:11. > :03:14.the Royal Institute of International Affairs -
:03:15. > :03:23.They have their work cut out. Want to look at the Paris climate change
:03:24. > :03:27.agreement. How likely do you rate their chances of getting President
:03:28. > :03:31.Trump to soften the stands? There is certainly effort by France and
:03:32. > :03:36.Germany to soften his stands but that is highly unlikely given that
:03:37. > :03:40.the Trump administration has already signalled that over the coming days,
:03:41. > :03:44.they are not going to make a decision support we have the G20
:03:45. > :03:54.summit in July, is not going to be much movement. Most likely, the
:03:55. > :03:57.United States is interested in pulling out and changing the
:03:58. > :04:02.agreement from within so that could open up a Pandora's box.
:04:03. > :04:09.Protectionism affects all those countries. How much of that is --
:04:10. > :04:16.emphasis do you think they will put on President Trump trying to soften
:04:17. > :04:22.his America first stamps? To keep trade on this global level. It will
:04:23. > :04:28.be of key interest, especially to Germany, but there is a huge
:04:29. > :04:37.difference between the American President and the rest of the G six.
:04:38. > :04:43.President Trump would very much like to focus on trade imbalances and if
:04:44. > :04:50.you look at Japan, Germany, Italy, those are among the key countries
:04:51. > :04:58.which the United with States has a trade deficit. Again, what we know
:04:59. > :05:01.we as, from the meeting two weeks ago in Bari, whether Finance
:05:02. > :05:07.ministers met, they have watered down the language. Most likely what
:05:08. > :05:12.we will see in the communique coming out of the Sicily meeting is that it
:05:13. > :05:18.will just be reinforcing trade in the economies. We discuss some of
:05:19. > :05:26.the differences they have. One thing they have in common is growth. We
:05:27. > :05:35.have that figure from the IMF forecasting within the G7 group,
:05:36. > :05:39.1.9%, what do you think we are going to try to come up with to deal with
:05:40. > :05:45.anything? There are many other issues on the agenda, looking
:05:46. > :05:51.towards the Manchester bomb, terrorism will be up on the agenda.
:05:52. > :05:56.But it's quite normal to see this diverges between established
:05:57. > :06:00.economies, compared to other ones and President Trump on the campaign
:06:01. > :06:06.trail said he wants to see the American economy grow by 3- 4%. That
:06:07. > :06:09.is highly unlikely given it is such a well-established economy and
:06:10. > :06:14.emerging economies have the advantage of population growth.
:06:15. > :06:18.Thank you very much indeed. Interesting to get your perspective.
:06:19. > :06:21.Let's stay with those concerns about President Trump's trade policy.
:06:22. > :06:24.He has of course pledged to renegotiate the North American
:06:25. > :06:26.Free Trade Agreement - or Nafta, with neighbours
:06:27. > :06:29.Sharanjit Leyl has been talking to Canada's
:06:30. > :06:45.Well, he's been saying a lot with what's been crucial is where he has
:06:46. > :06:50.been visiting as well because just put it all in context, we know that
:06:51. > :06:54.President Donald Trump is called the North American trade Deal a disaster
:06:55. > :07:00.that costs millions of US jobs, withdrawing from its entirely, it
:07:01. > :07:05.attempts to renegotiate -- renegotiate with Canada and Mexico
:07:06. > :07:09.don't go well. Canada has been looking to Asia to drum up business.
:07:10. > :07:14.The Canadian Trade Minister has been visiting this region. He was in
:07:15. > :07:19.Vietnam and Singapore and South Korea and Japan but he says Nafta is
:07:20. > :07:26.still an important trade pact. It's always good to start a negotiation
:07:27. > :07:29.when you are the first client of the entity going to negotiate with. We
:07:30. > :07:36.are proactive engaging with our US colleagues. The Prime Minister has
:07:37. > :07:42.established a relationship with President Trump. We saw the dividend
:07:43. > :07:53.in the phone call recently and we have been firm in telling them and
:07:54. > :07:56.stand firm for Canadian workers. That was the Canadian Trade Minister
:07:57. > :08:02.saying they again to stand firm. Windows counterpart, the US Trade
:08:03. > :08:07.Representative, has kicked off the process for the rework of the
:08:08. > :08:09.agreement with Canada and Mexico, issuing a 90- day notice to Congress
:08:10. > :08:15.to do that. We are also in Northern India -
:08:16. > :08:19.looking at a 'rags to riches' story It's where much of the discarded
:08:20. > :08:24.clothing donated to charity ends up But as Shilpa Kannan
:08:25. > :08:28.has been finding out, This is the world's
:08:29. > :08:38.cast-off capital. From High Street brands
:08:39. > :08:40.to luxury labels, most clothes donated
:08:41. > :08:42.to charity end up here. Every day, hundreds of tons
:08:43. > :08:45.of clothing from across the UK Torn and used clothing
:08:46. > :08:51.which would otherwise have ended So the factories here play
:08:52. > :08:58.a vital link in the global Shredded, buttons and
:08:59. > :09:01.zippers ripped off, Over 140,000 tons of clothing
:09:02. > :09:07.are processed here and every three tons of fabric produces around 1.5
:09:08. > :09:11.tons of yarn which is woven back Africa is the biggest
:09:12. > :09:15.consumer for what's made here and the industry
:09:16. > :09:29.here is worried that what was once a lucrative business
:09:30. > :09:32.is now getting more expensive. The cost of importing
:09:33. > :09:34.this textile waste is almost zero but once it reaches
:09:35. > :09:37.India, the custom duties, transportation, storage
:09:38. > :09:41.and electricity and labour Our consumers in Africa want cheap
:09:42. > :09:48.blankets and we are struggling While the industry here is well
:09:49. > :10:00.suited to absorb the growing supply of fast fashion
:10:01. > :10:02.from the West, the recycled wool and cotton yarn is facing
:10:03. > :10:04.increased competition from cheaper man-made
:10:05. > :10:06.fibres like polyester. It has taken a very bad hit
:10:07. > :10:15.because the investor is not doing well and every day,
:10:16. > :10:17.a unit is closing or On one hand, the demand from Africa
:10:18. > :10:36.has dipped and on the other, there is a global glut
:10:37. > :10:38.of used clothing. So even though they are having
:10:39. > :10:41.a real environmental impact, the industry here is struggling
:10:42. > :10:44.to make money on the recycling General Motors has been accused
:10:45. > :10:57.in a lawsuit of rigging hundreds of thousands of diesel trucks
:10:58. > :11:00.with devices similar to those used by Volkswagen to ensure
:11:01. > :11:03.they pass emissions tests. The proposed class-action lawsuit
:11:04. > :11:07.covers drivers of more than 700,000 Chevrolet Silverado and GMC Sierra
:11:08. > :11:12.pickups from 2011 to 2016. A GM spokesman has called
:11:13. > :11:32.the claims baseless. The UK Independence Party has
:11:33. > :11:36.fiercely attacked Theresa May's