tv Counting the Cost Al Jazeera March 26, 2022 12:30pm-1:01pm AST
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seen and now again, isn't all this year he knows his normal, sadly roland and the same time mormon hated him, proven in getting to the audience ukraine and it's war and refugee crisis will weigh heavy during sunday's award show. it'll be a chance for hollywood to show its support for ukrainians. another sign of the oscars looking outward toward the world id, joe castro, al jazeera los angeles. ah, this is our desert these year top stories. ukraine's president hazards the wells leading natural gas produce a cat, are to increase its output laws. ms. lansky said it would stop russia using energy as a weapon, who's speaking of the doha foreign. the 1st thought to address to a golf nation. sensible again to address with the traditional this is also
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a question of abandoning the usage of russian oil and gas. responsible states like the state of cutter are reliable and solid exporters of energy resources. and they can make their contribution to the stabilization in europe. they can do much to restore justice, the future of your breasts with your efforts. it depends on your efforts. i ask you to increase the output of energy to ensure that everyone in russia understands that no country can use energy as a weapon. cut out the mere said to me, but hum, i've all, tony opened the event, he spoke about the war and ukraine and said, cut off stood installer. darcy, with those affected by conflict anyway, because i don't know if it, all of a sudden i emphasized the phone position of the state of cut off on the pronunciation and violence intimidating civilians and assaulting state sovereignty . an act may constitute a violation of human values and international laws. we found in from a dorothy, with millions of innocent people and refugees you've been victimized by this unjust war. and your political calculations about russia says the 1st phase of its
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military offensive is mostly complete. the defense ministry says the focus 9 to take full control of the eastern dumbass region. fillum me so that she may object into the 1st stage of the operation have generally been accomplished with the combat potential of the armed forces of ukraine have been considerably reduced, which makes it possible. i emphasize at once again to focus our core. if it's on achieving the main goal, the liberation of don. this, the saudi coalition has launched the new operation against yemen who the rebels after they hit an arm co oil facility and areas close the king of the aziz international airports. he's the rebel, say 8 people were killed, including women and children, and coalition attacks on summer. okay, those are you headlines for these continues here now? does era counting recall are china in the us sleep walking their way to
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war? in the struggle over ukraine? here is the test for president joe biden. what is really trying to do is rewrite the security architecture in europe. if your person united states, you seriously get a walk in through gum at the same time, your weekly take on us politics. and i think that's the bottom line with unmet clock. this is counting the cost on al jazeera. you'll, when you look at the wealth of business and economics this week, spending more money to buy guns. many european nations tend to american made weapons of the rushes invasion of ukraine. so what's behind the increase in defense spending and who's reaping the profit? also this week the ukraine crisis is disrupting global trade and it's coming for
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the car industry. cave halted half of the world's neil and output needed to vehicle microchips how a comic is going to cope subsaharan, africa as a well to least connected region bumped google's underwater cable ames to improve internet access to the regional. can the project really help millions of africans connect to the rest of the world. ah, or i piece has existed for decades across much of europe since well will to, but russia's invasion of ukraine has alerted the continent that it is not guaranteed. i've been calls for an e, u army, and many european countries. and now reassessing their defense policies. several governments have already increased their monetary budgets. some of them significantly, germany alone is announced. it will allocate more than a $110000000000.00 us dollars to military funding. and that more to major policy shift. now the nation is approach the u. s. the by f 30, a fighter jets capable of carrying nuclear weapons. poland also wants to purchase
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sophisticated reaper drone systems from the u. s. and many other european governments are turning to washington to buy drones, missiles and other weapons. rushes invasion of ukraine is believed to have increased demand for us arms. the stock home international peace research institute says, even before russia went to war with ukraine, european arms imports were increasing. the continent accounted for 13 percent of global arms transfers between 20172021. and that is up 10 percent in the previous 5 year period. the u. k. norway, in the netherlands, where the largest european buyers bought it is asia and oceana who remain the world's biggest importers. receiving of 43 percent of global transfers since 2017 india tops a world list while australia, china, and south korea, pakistan and japan were also among the top 10 bars of arms. the united states leaves the sale of arms in its export. chairs rose to 39 percent over the last 5
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years. russia and china have decreased to 19 percent and 4.6 percent respectively. but beyond the top exporters, there are also many other potential beneficiaries in the ukraine wall. turkey has supplied keith with weapons, including a bay rector t b to high tech drones, which have bolstered ukraine's defenses out there as defense analysts. alice could topless reports now from the annual maritime defense expo indo turkeys defense exports around the world have increased dramatically in the last few years. and the standard bearer for these locally made weapon systems is the barrack t r t b to combat drone. now it's not the fastest drone in the world, and it's not the most heavily armed. what he does do is it gives miller trees a cost effective means of being able to spot your enemy, being able to destroy them if need be. and also filming those successes in glorious
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h d video. we've seen these videos in as a by john northern syria, libya and now over the skies of ukraine. now for turkey, this is just the beginning. they're building equipment like multi roll helicopter scene here. helicopter landing ships and turning their sites to 5th generation aircraft. this is only the beginning they say, for turkey's defense exports. alex could topless accounting the cost, and the defense industry is quietly making billions of dollars of profit from the war. the potential for surgeon sales of all types of weaponry has lifted lockheed stock 8.3 percent and raytheon shares 3.9 percent be a system. the largest contractor in the u. k. in europe is up 26 percent of the world's top 5 firms by revenue li, boeing has seen a drop. well to discuss solar that's i'm joined from still come by ph visa mon, who's a senior research where the stock home international piece research institute. mr.
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batesman, welcome to the program. so 1st of all, do you think this harold a global rushed to by arms as nations defense budgets? or is it just driven principally by european concerns about the russian invasion? the russian innovation a new ukraine definitely is going to push european states to acquire more alms, exactly how many we have to see something which we can expect, which really so in the previous 5 years that there is an increase, for example, in arms inputs by european states but also the rest of the world. there are plenty of other regions when attention so high and where countries have and also will continue to invest in, you know, the mit is an obvious reach region where that happened. but we can also put on a point at the major attention that exist between japan, south korea, taiwan us. on the one hand, on the other hand, china and also goes will drive,
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continuing large seals and ups invoice by states. and in fact, as you say, the purchases in europe were on the petty way ahead of this conflict in ukraine, following russia's annexation of crimea. correct. that was a very important reason for your states to revisit. their defense color sees and to look at their military capabilities, and that came at the same time as europe was climbing out. if you can. i'm a crisis related to, to the 2008 financial crisis and all that together already led to significant increase in arms in court. several european states and significant large orders that have been played by a number of other european states in about 5 years. you mentioned on going conflicts and tensions around the world. to what degree does the invasion of ukraine affects the demand for arm sales around the world?
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not, not just within europe. i think it affects the demand for alms in several ways in the 1st place. europe and us will look at. ready the same time as also aware of what's happening elsewhere in the world and will continue to contribute to that demand for europe or elsewhere. we can also question, for example, how will china react to this? will china consider this an opportunity to step up to pressure? how will states in asia react to back again and move a role? so seed is as yet an additional reason to all so both of their military k k. so these things hang closely together at the same time. and then also major questions about the role that russia can play as maybe the attorney supplier from now on. as states may feel that they don't want to cite russia. they may feel pressured by, especially the us to take it from russia,
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including from russia has an opposite plot flyer. and finally. ready also, how states will deal with difficulties of paying russia right now, including 4 opposite. they may buy. alright. and outside of the conflict in the ukraine. how concerned should we be about this arms build up? i think that's not necessarily always leading to war, but here it's the pre and i think many to get away with. ready we just argue that they provide an insight in the kind of trends that are being perceived and the strength of this being all. ready military capacity as a tool to do with those security trends. and that in itself is a concern. and of course, it is also a concern that the increase in arms inputs by one side often leads to an increase in inputs find your posing side leading to reactive m x. and
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even potentially 2 arms raises, which will not contribute to peaceful solution. and the tension that we see, indeed we've been seeing how european countries have been buying from the united states. but what about the defense industries on the continent itself? how does it affect them? the demand for arms in europe that we already have seen that we expect to increase is, is found by oysters, kind of catered for by industries in both us and in europe. the us had certain technology to offer with europe cannot really match. exactly. and secondly, also european states feel that they need to maintain that strong security relations with the us and buying is one aspect of that same time. there are other items which the us cannot supply. for example, i found chips thus something which european states are much better at. right. i
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guess it is. in fact tom's manufacturers who are the only ones who relish a situation like this, the profits just sore at a time like that. yeah, i'm afraid that it is true that the industry will benefit from the ukraine. that is to be expected, just like the pharmaceutical industry had benefited from man the panoramic. over the past 2 years. can you put a finger on the world's arms? tread turnover if you look at the turn over the arms industry as a whole. ready look at the 100 largest producing companies in the world, what they sell to their own countries and what they export together. it's something in the order of magnitude, $550.00 to $600000000000.00 in the most recent year. if you look at our house trade, trade between countries, land that make sense on the like about $120000000000.00 per year. that sounds like
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a lot. it is a lot of calls. but if you compare it with the total manufacturing and the total revenue to complete industry in the world, it's only a fraction of that. it's maybe one percent. oh, when 5 or exports in the world. right? still an extraordinary amount of money has to say that kind of cash to go a long way for peaceful purposes, but such as a well, we live in nap yetter is a man. appreciate your analysis. thank you very much. thank you. ah, while arms produces military and security industries are expanding, profits, car manufacturers are being hit hard by the war you crate. as it was, fewer people were buying cars because of the pandemic. but after russia's invasion of its neighbor, vehicles could become even more expensive and difficult to source. ukraine is a major hub for many components used in semiconductor manufacturing. and car dealers say sales will be affected by shortages. he cranes,
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2 leading supplies of neon, which produce about half of the wealth supply of the key ingredient for making chips have halted their operations. as moscow has intensified his attack on the country, the global supply chains already face a chip crunch because of the current of ours pandemic. and that impacts almost everything we buy from electronics to cause. the country is also a key source of nickel or which is used to make batteries for electric vehicles. and russia is one of the largest produces of rare earth metals, especially palladium, which is also an essential metal for semiconductors. its estimated vehicle production could be down as much as 15 percent in europe in the 1st half of this year. b, m w is said that production at its factories will return to normal after shut downs, caused by parts shortages are the car makers were forced to slow production, including audi, mercedes, benz and porsche. i let's take this own joint is now from london. his andy leyland . he's the managing director at a supply chain insights, and he, leyland,
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welcome to the show at the supply chain was already in deep trouble. then the invasion of ukraine happened. it's made a lot was it hasn't age and you know what a lot of people don't realize is just howling to that. the supply chains particularly or likes it. but it is. and you know, disruptions that we're seeing in both russia and ukraine and to a lesser extent, transport networks which go through those countries as really see in the all to vice, to industry. taking a not ahead to it supply chains and for any recovering any, just recovering from the pandemic. so when we talk about the supply chain being trouble, is that what it is, it's is the, the logistical issue of getting products from a to b, and you just can't do it through holes on. exactly. and always the production stops in that was i said, we've seen shortages in things like they've components electrical harnesses coming from ukraine. and then also we see the impact of sanctions by phone,
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russia. and actually some of the sanctions that russia, based on the west, in restricting it's, i suppose, so particular room tears. so you know, you are seeing impacts there on markets where you have a restriction in a relatively small amount of supply. but because of the way that these commodities of christ that has a huge impact home crisis and costs of production, ukraine is holding the production of neon at which is a critical component. how is that going to impact consumers and manufacturers? yes, so neil mark is actually a really good example of the interconnectedness of international supply chains is primarily used in the manufacturer, semiconductors, which as you may be aware already in short supply, particularly in the automotive industry. so really sort of compounds those problems . there's also a lot of meal supply that actually comes from russia as well, which presumably is going to be impacted. and what that means is all of these
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particular semiconductors, which are integral to a little computers that you have it, it more close if it falls off and i'm going to be there and you know, if you think of a vehicle is you know, potentially 15000 different components, if you don't have one of them there, the other 15000 are not particularly useful. right. so how industries and businesses and car manufacturers going to cope? well, it's really a sort of short, medium term problem. typically when you are setting up the supply chain, you will have more than one provider. so you go to your providers to try and make it short for that obviously has an impact in terms of can they increase their production? or in this case, you know, because they were already being asked to. so you either have to reduce your, your output, at least in the short term. and also you probably have to increase prices. and if
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we have already seen that production cost increase as being cost on to the consumer for vehicles and in particular for electric vehicles, i've noticed it's even had an effect on hiring causes the cost of rental cars is rocketed. yeah, that's an industry that's really been decimated over the course of the pandemic with a lot less business travel, a lot more stories. and what is seeing is that that industry is actually had to reduce that sort of economy of scale. so effectively get a rental car price is likely to significantly higher the quite a bit longer. and so the tories in market recovers. and so i've been to national business travel as well. and then you know what impact the they're using more expensive and that'll be speed. i need to charge them higher costs. the hospitals, the consumer with a need to reduce emissions as being a big push towards electric vehicles. what's going to be the impact on that? for electric vehicles, have, you know,
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much new or less robust supply chains. so when we look at some of the materials that go into your mind batteries to particular nickel. these same really big increases in price because of the supply chain disruption coming chrome. and indeed that what you actually saw the nipple, but it was a short squeeze happening over the past couple of weeks, crisis which refolding very short order. they are now settling back down and it prices stay at that level. you know that, you know, almost a $1000.00 to the cost of a reasonable size electric vehicle. and eventually that would need to be possible to the consumer. and particularly for electric vehicles, what they're trying to do is come down, stick the price for those so that they are more mass market available. those price increases really because, you know, to atlanta electric, be a substitute. and if it is substantially more expensive, but people will buying diesel and gasoline out
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a briefly and they can be car industry. so this up, are we looking at job losses? certainly the the car industry will save it up because demand is still there. or you may have sort of short sale production outages, certain while us but you know, the, the industry is quite resilient. they do this. and ultimately any, any sort of job losses are likely to be in the, the short term. add you to just a short answer constraints, or i'd appreciate that. and elaine in there, thank you. countries are moving ahead with the latest generation of 5 g mobile networks, but on the african continent, many people hardly have access to the internet at all. in sub saharan africa alone, nearly a quarter, the population all acts at mobile broadband coverage compared to 7 percent globally . but that is about to change and you under water internet cable as wound its way from portugal to toto. will land in nigeria, namibia,
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and south africa later this year, linking africa to europe, the equity. i know subsea internet cable is part of google's $1000000000.00 program to build digital capacity on the continent. and it's expected to deliver at 20 times more internet capacity to the region. and reduce price is by around 14 percent. and that is particularly important for togo, which is among the highest mobile data cos on the continent at around $9.00 per gigabyte. the project is the company's 3rd private international underwater cable, and it's the 1st in africa google along with matter, microsoft and amazon, now dominate the world's cable infrastructure matter announced plans to build at least 2 trans atlantic under c cables by 2027 last month under c cables do have a serious downside cables can tear and break leaving entire regions without connectivity for days. well, joining us from singapore now as nathan gadri, the managing director of sub saharan africa at google and it's welcome to the show
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. so this cable is really going to be a game changer for internet access across africa. now. absolutely. thank you for having me. we've just launched on which is what we're going. i thought the cable that extends from europe all the way long west africa down to south africa. we've just had our 1st landing last week in may in this cable is, is remarkable. and i'm really excited about what the space of the content because it brings in 20 times more capacity than the last cable, the best to serve the region and not on a fixed office are going to be plenty whether you look at g, d, p growth and job creation really look at the growth of economies, whether you look at the on effects on cost of data and internet speeds and internet reliability across the continent. some really exciting things. right. and you say 1st landing in tow, go and take it as
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a hub. i presume that means it could really read the dividends. absolutely. not just to go, but we're going to have for the landings as we get to. and then down to the media is going to south africa and also seen. so we are, we do have landings land across each of these countries and google has been 1st one and absolutely, you know, in interacting with the government of google over the course. the last week. i'm really excited about the digital agenda. we have a very good and well to plan for. this is going to 2025 and government initiatives across different parts of government are already adopting the digital agenda. very, very aggressive in progressive the so i really excited about having the cable is one thing, but the infrastructure that needs to follow is another, isn't it? absolutely. so the way i see this is, this is the starting point. you need the key will you need this kind of capacity to
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come into a particular country region to the cause of it. what needs to happen from here is the entire ecosystem of, of network plants. whether that's, i don't cause any other infrastructure. this entire sector needs to work together now bringing disconnected the deeper into various countries into landmark countries and so on. so a lot of work to be done, but this is an important, essential plus. it's a competitive market important, this no doubt, for google to get a good foothold in africa. what's the bottom line that google will profit enormously to, i guess? well, the way, the way we think about this is our core mission is to organize the world's information to make the accessible and useful. and if you think about the context of africa, there's still about 800000000 people who get them 800000000 people that have never
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experienced the internet. ready so we're looking forward to the next several years when these, these 800 people are going to come online and you want to create capacity for these people to come online and have a great experience on the internet. what commands to be seen is how many people use the internet, what they're going to do with the internet? what kind of problems with this, or what kind of valuable they create? new phone access. so i'm really, really bummed about what that looks like. one thing, these kind of cables do have a habit of breaking down their nation's economy, rely on a, on a bundle of was lying on the sea. but yeah, again, google has been involved in a ton of cable work all across the world and are integrated with adaptive job reliability, ensuring ensuring that models built into, into a different book. the cable that you just leave with. we all know is, is again, a state of the cable with, with, instead of
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a backup systems built into the cable functions. so i'm not, i'm not concerned about reliability at this point. why did you choose to go as the 1st landing point? because the initial plan suggested it would 1st branch out in lagos, nigeria, well geographically when you sort of go from europe to, to africa. now you sort of lee the geography down, but we're just sort of cost for nigeria that's, that's $1.00 thing. but in discussions with the government, what became africa is like, i mean, like i mentioned earlier, a very clear invention for dr. digitalization to get it ready for the fight which runs across the government. last year we've seen the launch of the 1st 3 data center in this year we seen the landing and in speaking to various government officials in. ready i'm really excited about. ready so what would be the 1st step, but like i mentioned,
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we are looking at landing this in the coming weeks followed by the media and south africa. and they are exciting times. nathan deadra, appreciate that. thank you. thank you very much. and that is all show for this week . if you like to comment on anything you've seen, you can tweak me yet. nick clark, al, jazz, please use a hash tag, a j, see to see what just drops an email kind of cost at al dessert dot net is our address. but as more viewed online at al serra dot com slash cdc, that will take you straight to our page, which has individual reports, links and in time for you to capture. and that's it for this edition of county because i'm to clock the whole team. thanks for joining us. the news on al jazeera is coming out ah april on al jazeera, frontline reporting and in depth analysis. we bring you the latest on the ukraine war and the unfolding,
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