this is business live from bbc news with ben thompson and sally bundock. the battle of the heavyweights — the latest round of us tariffs against china comes into effect as the trade war escalates. live from london, that's our top story on monday 24th september from today, $250 billion worth of chinese imports to the us will face an additional 10% tax — we'll look at what impact it could have around the world. also in the programme: 21st century fox fails in its bid to buy sky, with the uk broadcaster telling its shareholders to back comcast‘s offer. and markets in europe markets lower at the start as the us—china tariff war escalates — but a slower start to the week than usual with markets injapan, china and south korea all closed.

and tick tock they are no longer in stock! we'll be getting the inside track on the fashion label that's gaining popularity despite its clothing only being available for a short—time period. we would like to know if you think the uk's shadow chancellor idea, john mcdonnell, forcing all large companies to give shares to their workers. do you think it is a good idea or not? get in touch let us know — just use the hashtag bbcbizlive hello and welcome to business live. we start with the escalating trade war between the world's two largest economies, as a new round of tit—for—tat tariffs between the us and china have just come into effect. china's state media has lashed out, accusing the us of being a trade bully and intimidating other countries. the trump administration is slapping

10% duties on another $200 billion of chinese goods, taking the total to $250 billion. the rate is due to increase to 25% from january unless a deal is reached. china is hitting back with taxes on another $60 billion of us imports, meaning its now targeting us products worth a total of $110 billion. for america — it sees this as just punishment for china abusing wto rules and stealing foreign technology. with us now isjinny yan, chief china economist at icbc standard bank. good to see you. we have outlined the numbers and today is the day this new level of tariffs come into force, give us your take on where we

are at in this trade war? we have two economic giants and it has been a long time since we have had two powerful, economic giants in the global international system. the us is very afraid of the challenge and threats china's economic rise opposes. interestingly, in terms of trade, investment and the connection of people, more and more and that is about shifting from north, south trade towards south, south trade. what we are seeing is the rise of china's trade with the rest of the world, particularly emerging economies, is becoming more important. i think this is why the us is afraid at the moment. what we are seeing here is what we are seeing on the political battle, especially with the mid—term elections coming, but china will concentrate, in particular, to what contributes to china's growth and

thatis contributes to china's growth and that is domestic growth and also the connectivity with emerging economies. who do you think will blink first in this escalating trade war? at the moment it looks like it is growing in one direction but then of course both sides would like to initiate some sort of talks again? we have president xi and president trump talking in november but what do think now when the us says they will up tariffs from 10% up to 25%? we will have talks behind—the—scenes, which is much more productive. but we have seen that not working because we have had situations where two sides are not ready to sit down at the table. what i think will happen untiljanuary is that probably the best thing for china to do is to sit it out and actually not respond and that might

be the best solution. but obviously from the us side, every single tactic is designed to provoke some sort of reaction from china. so the us will continue to do that. we shall watch this space, jinny, thank you for being on business live. let's take a look at some of the other stories making the news. holiday operator thomas cook has warned that profits will be about $366 million after it blamed hot weather in the uk for weak trading. it had expected profits of around $422 million. the firm said that customers spent june and july enjoying the sunshine at home and put off booking their holidays abroad. their shares are currently down over 20% in early trading. the popularity of french president emmanuel macron has hit its lowest levels since the start of his term. he was criticised last week for telling an unemployed man he could get a job if he tried. mr macron's biggest challenge is the economy —

but so far his pro—business reforms have failed to significantly reduce unemployment. the german car—maker porsche says it will stop making diesel cars and concentrate on petrol, electric and hybrid engines instead. it follows the emissions scandal at volkswagen, it's parent firm, which admitted it had cheated emissions tests for diesel engines. and the world health organization is to offer paid internships for the first time in a bid to boost those applying from developing countries. at the moment, fewer than one in four interns are from low—income countries. they work unpaid without travel expenses — costing each person thousands of dollars. ride hailing firms uber and grab have been hit with a total fine of $9.5m over competition concerns after the firms merged their singapore businesses earlier this year. sarah toms joins us from singapore. sarah, an interesting development?

as you said, it is a hefty fine. the singapore competition watchdog said it took this action because it wa nted it took this action because it wanted to discourage other mergers like this one from happening again. it believes it harms competition. uber technology sold its south asian business to grab in march in exchange for a 27.5% stake in the singapore —based company. there was a lot of scrutiny at the time into this merger. the singapore regulator launched an investigation just days after the deal was announced. it said the merger reduced competition and resulted in fares rising to 15%. as grab controls 80% of the market

and it has agreements for drivers only to work for grab, it became difficult for any newcomers to enter the business. the commission has told grab to drop these exclusivity agreements. sarah, thank you very much. consolidation in that sector is concerning. so the tarriff war rattling markets again, but some investors fears easing, given that china's response has been slightly calmer than originally been feared. but news that china announced at the weekend that it was pulling out from all future trade talks with the us in the wake of the decision to impose economic sanctions on a number of chinese officials. remember too that there are still $267 billion worth of chinese goods that are currently excluded from the tariff war. this is what europe is looking like... the pound had a bad week last week. the breakdown in relations

between the uk and eu leaders in salzburg last week, and prime minister theresa may's statement on friday has left markets fearing that the march 2019 deadline for britain to leave te eu means that the options are narrowing and the room for political manoeuvre appears to be getting smaller. sky has recommended its shareholders accept a takeover offer by the us cable giant comcast. it submitted the highest bid in an auction, taking on rupert murdoch's fox. the comcast bid values sky at more than $39 billion — it's paying more than $23 a share — that's almost double what they were worth a year ago. with me now is our business editor simonjack. finally an end in sight of this battle that has been going on quite a while? nearly two years, a slu gfest of

a while? nearly two years, a slugfest of heavyweights and the knockout blow was delivered on saturday. it was an exciting weekend for bankers and lawyers who have been beavering away on this deal which will earn them very many millions in these. comcast offered 10% more than disney. the share price of sky has gone to meet the price of sky has gone to meet the price this morning which tells us most people think this deal is now done and that comcast will be the new owners of sky. the interesting thing will be, what is fox, rupert murdoch controlled 21st century fox, what would disney do with the 39% of sky it owns? will it sell to comcast giving it full control will use it asa bargaining giving it full control will use it as a bargaining chip to get a 30% in another streaming platform which comcast owns 30% of an disney owns 60% of? a real tussle which has resulted in comcast as new owners.

what will the 23 million sky subscribers see? probably not much in the early days. both sides in this battle pledged to fund sky news for at least the next ten years. putting prices up in this white hot competitive market would be very hard. i don't expect sky subscribers to see very much. comcast will be wanting to export what is seen as the best pay—tv model in the world, back to the us where sky's customer service is seen as a far better than the cable giant's levels of service. almost more questions than it a nswe i’s. almost more questions than it answers. simon, thank you for now. justin urquhart stewart director of seven investment management is here. i know you are listening into that and this is where shareholders are the winners, the sky shareholders on a day we were talking about this because the labour party conference is expected that the shadow

chancellor will say that big companies in the uk should give their workers some ownership? good news for fox shareholders. comcast shop the fox but fox has gone away with a big share price. employees ought to think about owning shares. you are being paid by an employer, your pension is with the employer and your savings with the employer as well? shares have a remarkable habit of going down as well as up. it may be a lot of employees don't wa nt to ta ke it may be a lot of employees don't want to take the risk as well. don't have all your eggs in one basket, it isn't as safe as people like to think it is. we are asking for your questions on this. we have already heard from quite a few viewers on that subject, but quickly, markets this week, a lot going on? we have mentioned the trade tariffs coming into effect but we have the fed meeting? it means a rates are rising in the states, which is good news it

means the economy is rising. but there comes a stage when rates reach a peak and then the bond markets become more attractive. at some stage, they will turn around and say, we will put this in the bank and now time to go back into bonds. we'll have to see that as the case. we'll have to see that as the case. we are leaving it there now, but you will be back later and we will talk about share ownership and some of the other stories in business. still to come: in a moment we'll be speaking to the founder of a recent fashion label who's customers are scared of missing out. you're with business live from bbc news. there's been a big rise in firms recruiting graduates over the past year but it's still tough for those from state—schools to get the top jobs. the institute of student employers has been looking at this.

stephen isherwood is its chief executive. why are there still so many barriers for undergraduates to get in these topjobs if they for undergraduates to get in these top jobs if they went to state school? if you look at what happens all the way through from schools and into university and then into some of these graduate careers, it is the case that people from private schools tend to dominate. university of mission feeds into the employment system, despite employers taking an increasing number of steps to try and correct that. i think it is astonishingly are still talking about this now, given the fact when i was at school it was the conversation then, we both went to state schools and at the time, many we re state schools and at the time, many were discussing this point then? state schools and at the time, many were discussing this point themm is, it hasn't gone away this issue. what has changed over the last few yea rs what has changed over the last few years is the employer focus. we are

seeing employers are taking a lot more active steps than they have donein more active steps than they have done in the past on this. when you talk about active steps, what can they be doing? some would say it is a self—perpetuating thing, a lot of people running these companies come from non—state school so they will employ like—minded people? from non—state school so they will employ like-minded people? that has been recognised as the case. and also blind screening is happening, personal details being taken out of application forms. they are targeting a much broader range of institutions. contextualise data, people looking at exam grade in the context of the school they went in. if you did well in a school that doesn't perform well, that mike shula be somebody who can be looked for. we are getting more sophisticated in looking and dealing with this issue. thank you very much, chief executive of institute of student employers. a couple of stories on the business life age, an update, thomas cook shares down

sharply, 18%, after a warning on profits after the hot summer in the uk, but also, as we saw from the business editor, shares in sky jumping 9% to £17.21. come cast as paid more than double the value of shares this time last year —— comcast. your're watching business live. our top story: the us—china trade warjumps into top gear, with america applying tariffs on $250—billion worth of chinese imports. a quick look at how the markets are faring. some of them taking it in their stride, the response from china is not as severe as many has worried but still questions about what happens next, will it ease before the elections in november, very few expect much progress until then. now, we've all seen

those consumer crazes, something that goes viral overnight, generates huge consumer demand and it's often the most simple idea. and it's big business. that's especially true in the fashion industry, which was worth $1.7 trillion last year. well, one start—up vying for a slice of pie is kitri, which launched last year. each week the retailer advertises new clothing on its website, but for a limited time only. take this dress, it managed to generate a waiting list of 800 people and sold out within 45 minutes. with us now is henny kim, founder of online—only fashion collection, kitri. how did this start, you dream dog becoming a ballerina, that is what you were doing until you were 20 yea rs you were doing until you were 20 years old. that is right, i came to england when i was 12 to be a

ballerina, i always knew i wanted to start my own fashion business, so i got into a small company and learned as much as i could about different sides of the business and last year i started kitri based on the idea that we wanted a good quality design led product, innovative quantities. so you don't walk into a room wearing the same as someone else. the of missing out, for most retailers, the idea of it being out of stock would be a disaster but for you that is a good thing! —— the fear of missing out. we want to make sure customers are telling us what we should be producing, would produce everything innovative qualities and we restock when there isa qualities and we restock when there is a huge demand for it. such as, the gabriella dress. how quickly can you respond, people see it, they wa nt you respond, people see it, they want it, that is the culture, you click, one moment, it is delivered the next day. it is all depending on the next day. it is all depending on the product, if we have the fabric available, it is quicker, but it can va ry available, it is quicker, but it can vary from two weeks up to four

months. currently we are vertically integrated production, so it can let us integrated production, so it can let us respond much quicker. talking about vertically integrated productions, you design it, source material, get it made, a we have seen this, in china and in portugal you have said, how quickly can you get things on the shelves, fast fashion, weather is good, we want to buy it this week, you don't want to wait. we plan the season out so that it reflects the weather, and customer behaviour, but something like the gabriella dress, which sells out quickly, you can get it within two to four weeks, that is a lot quicker than some of the other contemporary level brands. we don't wa nt contemporary level brands. we don't want to go down the mass—market route, producing thousands and thousands and flog them to customers. we wait for their reaction. we were talking to you before we came on air about the trade war between the us and china, you make the clothes in china and portugal, how concerned are you

about this current trade spat? portugal, how concerned are you about this current trade spawm portugal, how concerned are you about this current trade spat? it is difficult for sure, for a small business like ours, we willjust have to see how that plays out, and we will have to do everything we can say that we can get the best price to customers. you are planning to not pass on a 10% levy, maybe 25% levy on customers? we will have to do ourvery levy on customers? we will have to do our very best not to, customers are really smart, we don't want to impose any of those extra costs on to customers, so we will do our best. being a small business owner, it means you have to take the pain, it means you have to take the pain, it will hit you in the pocket. yes, but it is so important for us. we talk about how technology has changed traditional industries, fashion, very traditional industry, but you know so much about your customers, what they want, what they wa nt to customers, what they want, what they want to buy, disposable income, date is so important, how do you use that? what do you use it for? we use

it really carefully, looking at customer behaviour over the course of the week, hourly, to see when they engage with us. does that determine big business decisions? yes and no. some freak patterns, as you can see with some of the dresses that sell—out. it is really important to be close to customers and listen to them, it is all about them at the end of the day, if they are saying they need certain things at certain times, we will do our best to answer that. you have been doing this for over a year, are you loving it? i absolutely love it. it is taking up all your spare minutes. now, something completely different. the shadow finance minister of the main opposition labour party in the uk will set out a proposal in his main conference speech today calling for all large firms to give shares to their workers. here's whatjohn mcdonnell had to say to our colleagues on breakfast earlier.

what we are saying is, large companies, above 250 employees, each provide each year 1% of a shareholding to workers, you do that over ten years, at the end of the ten years, the workers themselves will have a stakeholder of 10% in the company, that will be held collectively, not given to individuals but held collectively and from that collective part of shares, there will be dividends and workers will gain some income from that, up to about five years people will gain nearly £300, we will cap that at £500. that is a snapshot of the thinking within the labour party, the big idea of share ownership, being involved in a company on that person bases. john lewis has recently rebranded itself asjohn lewis lewis has recently rebranded itself as john lewis and lewis has recently rebranded itself asjohn lewis and partners, and the partners are those that work there. it isa partners are those that work there. it is a great idea that people do participating businesses but don't

allow politicians to do it. mutually owned businesses, corporate, ones where people have share ownership, participation, all sorts of things, through to very large companies which share ownership schemes. asks only people who work in financial services not as investment bankers but who have pay with a bank and pension with a bank and long—term savings in a bank, and shares crash, an awful lot of those people say, did nobly point out these risks to me. northern rock, you would be in big trouble. or, natwest. eggs in a basket. forcing companies to do things rather than offering incentives smacks of being in the ussr, says one viewer. she has a point, the point of the capitalist system, there is lots of different ways of doing it, i have come across excellent neutral businesses, others are high—risk businesses, where people are putting up the capital but people employed don't want to ta ke but people employed don't want to take the risk, they want to participate in the profit, and have

bonuses, but maybe taking the risk of shareholding may be going too far. it is interesting, michael vidal says, i implied the view that it would be best to provide incentives for companies to provide employee share ownership schemes rather than compelling them to provide them. give them alternative ways of going about it. all eggs in one basket is a stupid thing to do! spread it out. well—run businesses wa nt spread it out. well—run businesses want motivated employees, participating in the benefit of the company, that does not mean you have to have a system by dogma, laying out how you run it. politicians should keep out of the corporate world, let the system work for itself, give them the guidelines and the savings incentives and let it run from there. we will see how it goes! wall street's marrow in a madness... internet in 1997, is the headline. you could not make this up. -- headline. you could not make this up. “ marrow “

headline. you could not make this up. -- marrow -- cannabis madness. any thing cannabis related, because it is legal in certain states and legal cannabis is being turned into legal cannabis is being turned into legal drugs, any company related to it it is like the 1999 tech bubble, must have some cannabis, it will be about as reliable as the tech bubble! don't breathe into much. last week, coca—cola looking into starting a drink, that has cannabis in it somehow, the idea of wellness drinks. coca-cola, it is in the name really, somewhere... originally! laughter i would be wary of that! laughter quote of the day from justin... brilliant. thank you for your company today, we will see you tomorrow. after the

recent wet and windy weather many of us recent wet and windy weather many of us have had over the last few weeks, this week is looking much more settled, big area of high pressure developing will keep things pretty warm and dry across southern areas, further north, a bit more unsettled, with a bit more rain and some strengthening wind here. but for today, for most of us, a whopping great big area of low pressure moving in from the atlantic. this morning has been a chilly start, plenty of sunshine across england and wales, cloud building up, if you share was in north wales, north—west england, particularly across northern and western areas, chance of catching a few showers for the most diverse, dry and bright with those lengthy sunny spells, temperatures getting up to 1a to 16. through the evening, foremost, any showers will die away, and have

lengthy clear spells, we have players guys this time of year, the heat escapes, and it is going to turn quite chilly, in fact, in more rural areas, those temperatures could get just below rural areas, those temperatures could getjust below freezing into tuesday morning, perhaps a touch of frost, typical values about four to 6 degrees. during tuesday, high—pressure sticks around for many of us, noticed the weather system towards the north—west, white lines are the isobars getting squeezed and that means strong south—westerly wind across these northern and western areas, some rain moving in as well, otherwise, it is a chilly start, lots of sunshine, beautiful start, lots of sunshine, beautiful start of the day for england and wales, the wind will be lighted towards the south—east but up towards the south—east but up towards the south—east but up towards the north—west, could be looking at gales, perhaps even severe gales across northern and western areas. fairly unpleasant. temperatures 1a, 15 celsius, bringing upa temperatures 1a, 15 celsius, bringing up a touch across england and wales, temperatures up by a degree or so. tuesday into

wednesday, weather system, just squeezed out, really, it will affect the far north, as it pushes south during thursday, not so much on that weather system, so for scotland, over the next few days, remaining fairly unsubtle, for england and wales, remains largely fine and lots of sunshine, temperatures on the rise, and then turning a bit cooler again by hello it's 9:00, i'm victoria derbyshire. welcome to the programme. after a wait of almost three decades, an inquiry begins today into the contaminated blood scandal of the 1970s and 80s — which has led to the deaths of nearly 3,000 people. we bring together six people whose lives have been devastated by the scandal to ask them how they feel on the day the inquiry they've fought for years, finally begins one of labour's top team says all of the party's mps should get

behind jeremy corbyn — or quit. anyone that isn't on board with that needs to really seriously think why they are still in the labour party as an mp. it is a pretty simple proposition and i don't think it takes rocket science and if you'd like that, maybe it's time to call it a day. it comes as labour members prepare to vote on what the party