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tv   Business Briefing  BBC News  August 27, 2018 5:30am-5:46am BST

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this is the business briefing. i'm sally bundock. kenya is one of africa's fastest growing economies and today it's president is in washington to talk trade with donald trump. but does the us care about africa? and steel is at the centre of the global trade disputes. we take the pulse on the world's largest producer to get the european perspective on the trade wars. and on the markets. that's the close in the us on friday and as you can see, in asia, there are all headed higher. —— they are all. a very warm welcome to the programme. later today, kenya's president
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uhuru kenyatta will meet with president trump in washington. while security is on the agenda, trade will also be a key issue, with kenya one of africa's fastest growing major economies. trade was worth more than $1 billion between the two countries last year, and kenya has been working hard to expand economic ties abroad and also within africa. kenya's pushed for the adoption of the continental free trade area, which aims to try and create a single market for the whole african continent. so far, 44 countries have signed up to the initiative. but the biggest country taking an interest in the continent is china. it's by far the biggest investor in africa with more than $66 billion in foreign direct investment since 2005. to what extent does that play a part
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in this meeting today? let's get more on this story with the bbc‘s africa business editor, larry madowo, in nairobi. tell us about how important this meeting is for uhuru kenyatta, what does he hope to get out of eight? it's of great importance for president kenyatta because this is only the second african leader president trump is meeting with —— it. for him it shows how important it. for him it shows how important it is he goes around and makes these deals with the us, especially because tenure begins direct flights to new york, kenya airways, in october —— kenya begins. the us is the biggest source of tourists to kenya for the last two years, so a direct flight would make that easier but kenya is keen to expand on market access to the us, especially with african growth. one thing that uhuru kenyatta's office has said going into the meeting today is they wa nt to going into the meeting today is they want to negotiate to allow more
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kenyan products into the huge us markets. it's a matter of pride for him to be the second leader to meet president trump but to see how much more he can get from the us. are they expected to get on well? they are both businessmen before they became politicians, as it were. do people think they will get on well? i think that's the one thing they have in common, both were successful businessmen. uhuru kenyatta has been named by forbes as one of the richest canyons in the previous listing, so they will have some background to talk about, their own business histories —— kenyon is. they are in the position of often being seen as ceos of their countries, so i think they will get on well. any man will get a photo—op, giving him respect in kenya and beyond, and they will try to draw on that to do smart deals, as president trump likes to say. we know the us is at loggerheads with
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china right now, we've mention that china right now, we've mention that china is such a big investor in africa as a whole. in kenya itself, china is behind lots of key projects in terms of the investment for them. iimagine the in terms of the investment for them. i imagine the kenyan president doesn't want to jeopardise his relationship with china. to what extent will that be on his mind in washington? that should be interesting because china is obviously a big partnerfor kenya and africa. overall, 10,000 chinese businesses do business in africa and the one study recently in june said lots of them are not state owned enterprises, they're often individual private companies in kenya building roads, railways and also investing increasingly in kenya. uhuru kenyatta wants to protect that chinese arrangement but also make sure you're not locking the door to american influence here, for instance, there's a big highway from the coast to the capital, nairobi, that the americans are building. he's trying to see if he can get the best of both worlds
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while protecting the chinese, who often give him very good loans. 70% often give him very good loans. 70% of kenyan external debt is held by china, so he wants to diversify his interest across the world. thank you, larry madowo, in nairobi, our africa business editor. we will keep you across how the meeting goes between president trump and uhuru kenyatta, also how theresa may, the uk prime minister, gets on in africa today. she is travelling there today and meeting also saw people to try and extend business prospects for the uk's. we will be talking about that through the week this week. —— for the uk's. steel has been at the epicentre of the international trade row sparked by president trump, who has imposed tariffs of 25% on imports in an effort to boost us production. inevitably, the move has gone down badly with america's trade partners, including the european union where steel makers are already struggling with the challenge of cheap chinese steel. as part of bbc world news' global trade week special coverage, our economics correspondent,
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andrew walker, has been to belgium to find out how the world's biggest steel company arcelor mittal is coping. the finished steel ready for dispatch in ghent in belgium can end up in cars, household appliances and building materials. this plant, owned by the world's biggest producer, arcelor mittal, is busy but the industry in europe has had a rough ride in the last couple of decades. the business has been transformed by the rise of china. in the last 20 years, global production has more than doubled but in the eu countries, output has edged down. china is another story, steel production there has increased more than eric told. the strength of the european industry has been transformed by the long—term challenge posed by the rise of china. now, though, is a more immediate issue, one raising the temperature in global trade. president trump has imposed tariffs
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of 25% on foreign steel. he says the military forces are too dependent on imports and he wants more produced in the us. the european union and its steel industry are worried about the impact. the us is a very important market for eu exports, we send about 5 billion euros of steel there every year and we expect much as 50%, if not more, of that market to be close to eu steel products. negotiators here at the eu commission have been unsettled by a president trump's combo to the approach to steal amtrade more widely. some people in europe fear he could undermine what they see as decades of progress to removing barriers to global, this —— and trade —— combative. now let's brief you on some other business stories. china's ride—hailing giant didi chuxing has suspended its carpool service after police said a driver had raped and killed a female passenger. a company statement said the incident showed there were deficiencies in its processes and that it would suspend its hitch system for re—evaluation.
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didi chuxing is the world's largest ride—hail company by number of trips. china's transport ministry has demanded action from the taxi giant to ensure passenger safety. britain's biggest payday lender, wonga, has said it is considering all options after reports suggested it was on the brink of collapse. it follows a surge in compensation claims against the firm, amid a government clampdown on payday lenders. wonga has faced criticism for its high cost, short term loans, which some said targeted the vulnerable. sellafield is one of the most contaminated industrial sites in europe. crumbling buildings are home to decades—worth of accumulated radioactive waste, a toxic legacy from the early years of the nuclear age. now its operators are in a race against time to make the most dangerous areas safe. we have been given exclusive access to one of the most hazardous parts of the site, where ingenious
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technology is used in the clean—up. technology used in sellafield in cumbria in the north of england. let's look at the market again, strong gains across—the—board in asia. lots of that is down to one person, jerome powell, the chairman of the third in the us, he was hosting the annual powwow injackson hole, wyoming, and he talked a lot about the us economy. nothing unusual or concerning in his speech, so unusual or concerning in his speech, so it's expected rates will go up twice more this year in the us. i'll see you soon. the recent heatwave has seen many of us choosing to holiday
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at home this summer. the welsh coast has drawn plenty of tourists because of regeneration that was funded by the eu. but what could the post—brexit future hold for the region? tomos morgan has been to find out. son may have thought that rhyll has had its heyday but this seaside town has been revitalised in recent years by european funding and this cash injection alongside the recent spell of good weather has helped businesses like the local kite surfing school. when people come here you literally could be anywhere in the world, so in general there's so in the world, so in general there's so much improvement going all the way down the promenade and people come here they love it, and they don'tjust be for a day, they stayed for three orfour, which is brilliant. on the other side of side of the region to rhyll is the
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this is a beach on the east coast anglesey, which became the top trending destination on—air b&b across the whole of the uk. but the majority visiting wales are domestic tourists. the country struggles as i hold to attract those from aboard compared to other areas of the uk's. so what more can be done to attract those from overseas —— the country struggles as a whole to attract those from abroad compared to other areas of the uk. we need to emphasise the message, the diversity of wales is to see a distinctive, historical and cultural part of the united kingdom. with picturesque shores, plenty of lettings and an abundance of adventure tourism, north wales has been made for summer tourists. many will be heading back here with their bucket and spade is this time next season. tomos morgan,
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bbc news, anglesey. much more on the website and the bbc news app for the latest. this is the briefing from bbc news. the latest headlines: there's been a shooting in florida. three people are dead and many more are injured after a gunman opened fire during a video game tournament in the city of jacksonville. the verdict in the trial of two journalists accused of obtaining secret state documents in myanmar has been delayed. a warning that this year's extreme weather is leading to an increase in the price of food. now it's time to look at the stories that are making the headlines in the media across the world. we begin with rte in ireland. it looks at claims that emerged at the end of the pope's visit that he covered up sexual abuse claims. let's look at the financial times' main story.
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uber plans to focus on bike hire instead of taxis for short journeys, how the company believes its for the best despite the dent it'll make in its revenues. the guardian asks should humans use tech to control the weather? it's after volkswagen used a device to stop hail storms near one of its mexican factories, farmers nearby blamed it for crop—killing droughts. the sun here in the uk remembers us senatorjohn mccain who died at the weekend. it prints some of the tributes from world leaders but says the stateman's been snubbed by trump. and, finally the telegraph with what's being called the holy grail for weight loss, a pill that's been shown to help middle—aged slimmers lose three times the weight as those not taking it. back with me isjoseph sternberg
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from the wall streetjournal. the coverage of the pope visit to ireland. it was highly anticipated but it has been overshadowed by this document, this letter, sent out at the moment he was in ireland by another member of the catholic church who was accusing the pope of knowing more than what he is saying.
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