this is business live from bbc news with maryam moshiri and sally bundock. it's politics over products as china's big telecoms and tech event kicks off — with the trade war between beijing and washington overshadowing the event. live from london, that's our top story on wednesday, 26thjune. companies like huawei need to impress because a ban in the us is costing some of them billions. also in the programme... san francisco becomes the first american city to ban the sale of e—cigarettes.

so, will it stub out the habit in the city? on the markets, europe has opened, it is looking pretty flat. and we're getting some extra sparkle on the show today — looking at the growing glitter, business, as its money—making period of festival season gets into full swing. we'll explain all. as europe is hit by a heatwave this week, we want to know how the extreme hot weather is affecting your work. are you choosing to stay—at—home? is it affecting your job? are you choosing to stay—at—home? is it affecting yourjob? get in touch. just use the hashtag #bbcbizlive. hello and welcome to business live. we start with one of the world's biggest technology events. mobile world congress is getting under way in shanghai. with technology at the heart of the us—china trade war,

it's difficult for the 60,000 delegates to get away from the tensions it's causing. that trade war has led to tariffs on more than half the goods the world's two biggest economies sell to each other. and the us is threatening tariffs on another $300 billion of goods which would hit consumer products, including the electronics on show in shanghai. the us has also effectively banned telecoms giant huawei over security concerns. it's one of the biggest firms at the show and has recently said it expected that blacklisting will cost it $30 billion worth of sales over two years. america's biggest tech companies are also being hurt by the trade war. apple says any further us tariffs against china will weigh on its global competitiveness. that could lead prices to price rises of 15%. but there's optimism for some. china's zte had a us ban

for breaching sanctions laws overturned last year after president xi convinced president trump to do so and it hasn't looked back. on the eve of the event, it announced 25 contracts around the world to supply the 5g kit it's going to be showing off. thank you. with us now is catherine mcbride, senior economist in the institute of economic affairs. huge event in shanghai, you cannot get away from the trade war, so many companies impacted by it. the trade was started from intellectual property rights or lack of in china and that is going to benefit eve ryo ne and that is going to benefit everyone at the trade conference. all of them should be calling out to their governments to respect their rights because in the long run, all of those companies rely on intellectual property being respected. that includes huawei, right in the eye of the storm of the i’ow

right in the eye of the storm of the row between china and the us, it wa nts to row between china and the us, it wants to protect its ip. yes, it should. i believe it has the most comprehensive 5g offering at the moment so it should be just as interested in protecting that as apple or any us company should be. huawei saying future sales could be knocked down by billions of dollars, apple warning about the impact the trade war will have on it and its rivals, if it escalates further. big tech companies, cannot avoid the impact, or can they? a lot of import substitution is happening, even from chinese manufacturing, a lot of parts are made in other southeast asian countries. what we will find, the longer it goes on, the more import substitution will carry on, may chinese companies will start manufacturing outside of china as well and then they can import into

the us by the back door. we are also finding us companies, a lot of smaller companies, they are benefiting from the trade war, they are now writing to trump a year after the fact to say, this is quite after the fact to say, this is quite a good thing, keep it up. the next summit hot on the heels of this event, in japan this summit hot on the heels of this event, injapan this weekend, so much expectation on the talks that might go on, president xi and president trump, where are you as an economist in this whole discussion about the impact this trade war is going to have on the global economy? a lot of gloomy reports from the imf, world bank and others. if it escalates further, if they do not find a breakthrough, agreement? definitely having an impact. a lot of countries around the world are exporting to china now, it has about 300 billion middle—class people.

sorry, 300 million middle—class people, and that is only increasing. china bought 23 million cars last year. in the uk, we sold 2 million. there is a huge market and a lot of the world are doing quite well supplying it. especially germany. some countries have geared their whole economy around exports to either the us or china. they want everything to go back to normal because that is how they make their money. the world is catching a cold even though both china and america have such big internal markets they can actually afford to have this trade war. we will watch this space for show. thank you for coming in, from the institute of economic affairs. let's take a look at some of the other stories making the news. sportswear giant nike has reportedly run into trouble after one of its designers expressed support for protesters in hong kong on instagram. according to the financial times newspaper, the us firm cancelled

the sale of a range of shoes in china designed byjun takahashi. the head of the us central bank jerome powell has used a speech to stress the fed's independence. it's widely expected to cut interest rates soon and has been under pressure from president trump to do so. speaking in new york, mr powell said the bank is growing concerned about the outlook for the global economy. apple has taken its self—driving car project up a gear after acquiring the start—up drive.ai for an undisclosed sum. the acqusition will give apple access to the smaller company's engineers and small fleet of test vehicles running in texas. apple hasn't released much detail about the self—driving technology itself. china has suspended some pork imports from canada, adding more pressure to tensions between the two countries. the move comes after chinese authorities found a banned feed additive in a batch of pork products

exported from canada to china. our reporter mariko oi joins us now from singapore. nice to see you. give us more detail on this. canada is really caught between the us and china, since it arrested the chief financial officer of huawei, which you were talking to your guest about earlier, chinese telecom giant, she happens to be the daughter of the compa ny‘s telecom giant, she happens to be the daughter of the company's founder. canada was only resting her upon the request of the us but that did not stop beijing from retaining several canadian nationals in retaliation. as for the latest ban on canadian imports, beijing citing food safety issues but one has to wonder whether it had anything to do with this rising tensions between canada and

china. thank you very much indeed. let us take you through what the markets are doing, asia first. next picture, there are a few things going on with investors today —— mixed picture, a lot going on with investors today, moving into safer havens because of worries about the geopolitical situation between iran and the us, also looking ahead to the 620 and the us, also looking ahead to the g20 summit injapan and the all—important the g20 summit injapan and the all—importa nt meeting between president xi and president trump. investors hoping there will be some sort of deal done between the two countries on the trade tensions. that has meant quite a few are treading water. european stocks, in terms of london, if we can move on... being a bit slow, the system. the ftse is down very slightly, one big stock, share price down around

23% bonmarche, had an offerfrom another clothing retailer, but it has come out with a profit warning, share price down 23% on the smaller market in the uk. back to you, sally. laura foll is fund manager of uk income funds atjanus henderson. good morning. from your perspective, what is the biggest story moving markets right now? is itjerome powell? central banks, as normal, the chairman of the us federal reserve, gave a speech yesterday where he said essentially the risk to global growth is increasing, all of the issues you have spoken about, the us trade tensions with china, geopolitical concerns with iran, some fairly weak us payroll data that came out a few weeks ago, all adding to the view the federal reserve is likely to cut interest rates at least 25 basis points, at the next meeting injuly. rates at least 25 basis points, at the next meeting in july. you

touched upon geopolitical tensions and iran and the us and of course we on this programme keeping a very close eye on oil prices and they have been rising. they have, a variety of reasons. the reasons they rose overnight was because us stock files look like they were coming down, demand drawing down on the stockpile of oil. more recently, it has been because of the geopolitical tensions. a few weeks ago, when the oil tankers were destroyed, that is what has caused the bounce up and oil. as a fund manager, for uk income funds, what are you watching, what choices are you making? you have the g20 coming up, tensions in the middle east, the fed bank, central bank, brexit in the uk, new prime minister to take office at the end ofjuly... prime minister to take office at the end ofjuly. .. you are prime minister to take office at the end ofjuly... you are making me tired! so difficult. as a fund manager, used to say, bottom—up investor, focus on companies, ignore

the politics. we cannot do that anymore. so much going on, uk aspects, general election, brexit, but probably more importantly, the world economy issues. the uk stock market is very international. yes, we can get very narrow sighted and think about brexit but the us, iran, us and china trade tensions are more important so that is where i spend more of my time. amazed you have time to be here. always have time for us. laura will bejoining us later to talk about all sorts. still to come, does all that glitters turn to gold? i hope so! well, a company that makes the sparkly stuff is certainly hoping so. we'll find out how the growing glitter trend is putting the shine on one company. you're with business live from bbc news.

renewable energy is making up a lot more of our energy needs than a decade ago. but still we are reliant on natural gas, nuclear and to some extent coal. but could battery storage power plants be a game changer for the renewable industry? tesla is a major player in this sector and the largest tesla equipment site has opened in the uk. the bbc has been given exclusive access to the site in leicestershire and susannah streeter is there. hello. there are 78 huge tesla battery is here in this converted barn. there is a real hum, the sound of the electricity going back into the grid. the electricity comes through this transformer from the grid, it is converted using this inverter piece of kit here into a form of electricity that can be

stored and then used when demand is high on the grid. let us chat to james who is the co—founder of the energy company that runs and is installed all the equipment. it is being said the battery storage facilities will be a game changer for the renewable industry. how? this is one of eight large battery storage sites zenobe has and we're helping national grid to balance the volatility and intermittency from the uptake of renewables. in many ways, we are a bit like the victorians who built the railways and sewage system. we are building the infrastructure to enable a zero carbon energy system in the future. james, thanks. let us chat to duncan, from national grid. the group operations director. will these facilities be essential for these facilities be essential for the uptake of electric vehicles in the uptake of electric vehicles in the future? absolutely. enough space on the grid to accommodate the big

rise in electric vehicles, but sites like this will be essential to make sure we can balance apply second by second and make sure the power is there when we needed to turn the lights on or charge electric vehicles. thank you. there are now around 30 sites like this in the uk, there weren't any four years ago. thank you. time to take you to the live page briefly? no. yes, we do. a story about the price of gold. business life, lots more on the website and on tv. —— business live. let us remind you of the top story... china's biggest technology and telecoms showcase gets under way but is overshadowed by the ongoing trade war between washington and beijing. more details online about that, take a look. a quick look at how the markets are faring.

european stocks opened 45 minutes ago, looking pretty negative, investors treading water, big meeting at the end of the week between the presidents of the two biggest economies in the world, and the 620, biggest economies in the world, and the g20, everyone looking to that. now, festival season is upon us and, whether you're heading to the big ones, like glastonbury or reading, many of you will be pulling out all the stops to create eye—catching outfits. from glitter faces to sparkly body art, many revellers will be flaunting their sparkly accessories to turn heads at events. one company has come up with a clever way to save you on your laundry when they get home from festivities. i remember that! founded in 2015, uk brand go get glitter makes faux glitter clothing, where they replace bralets, bikinis and shorts with just glitter. holly pollack is co—founder of go get glitter.

you have brought in quite a bit of stuff. explain to me first of all how did you get into the glitter business? my business partner and i are both qualified make—up artists andi are both qualified make—up artists and i was working in retailfor a while on the shop floor, foundation match, that sort of thing, very mundane. i was particularly interested in body painting as well as my partner so we came together and we said, what can we do that is more expressive, gets people to push the boundaries? we came up with the idea of glitter, instagram account set up, posted photos, glitter on the face, body, on the head, moved on with that. let us explain to the viewer, this is one of your products which is body joules viewer, this is one of your products which is bodyjoules that go across a woman's breasts —— bodyjewels. we

started this in your late teens with your friend, started this in your late teens with yourfriend, your started this in your late teens with your friend, your partner. started this in your late teens with yourfriend, your partner. you started this in your late teens with your friend, your partner. you are now. . . your friend, your partner. you are now... 23. amazing. successful business doing extremely well. social media was a big part of that. our business completely run from social media, instagram in particular, being able to target such a wide audience globally in such a wide audience globally in such a wide audience globally in such a simple way, it makes it so much more simple. let us talk about the products because do biodegradable environmentally friendly glitter, you also do a range that isn't. how do you do that? why can't all of your glitter be okfor that? why can't all of your glitter be ok for the environment? when we started the business, we were focusing on bringing the product in a market that did not already exist. biodegradable glitter was not a discussion then, people were not using it. we plan to be completely

kurt fearnley by the end of 2020 but because it is a new product, it is quite expensive, difficult to produce on such scale, so we are working towards that. we can see some of yourfootage working towards that. we can see some of your footage now and we can understand why the young audience would just love it. am i being ageist? my grammar has worn it before. i wouldn't mind a bit of glitter on my eyelids, my hands. i have done the festival scene, but it was more wellies and rain jackets. do you have a lot of sales in the us? the us is our main market, we have gone from five to 65% of our sales going to the us because the festival season on the market is huge. like i said, with instagram, people are able to tap through instagram to go to the website and we ship internationally and it is so simple to get the products. your business partner is the same age as

you, a product, finished, you make it, supply it, it gets sent all over the world, people watching think, how did you manage to do all that? how did you have the knowledge as a trainee make—up artist? how did you have the knowledge as a trainee make-up artist? it is one of those things you learn as you go, thrown into the deep end, big retailers coming to us saying, we need x amount of stop and we need it ina month, need x amount of stop and we need it in a month, you get thrown in, you have to sort out —— x amount of stop. you gain advice where you can but it has been trial and error and it has been practising, making mistakes, coming back stronger. we think you are amazing. thank you. if you are headed to glastonbury, there you are headed to glastonbury, there you go. 47, breast—fed three baby boys... you can still do it! let us move on. swiftly! san francisco is

somewhere where they will probably get a lot of go get glitter. san francisco has become the first us city to ban the sale of e—cigarettes amid growing concern about their effect on health. the city voted to ban the sale of vapourisers and made it illegal for online retailers to deliver to addresses in the city. cody godwin has more from san francisco. the reason san francisco voted to suspend the sale of electronic cigarettes include a lack of approval from the us food and drug administration and their rising popularity with young people. city attorney david herrera issued a statement saying a ban would not be necessary if the federal government had done itsjob. e—cigarettes are a product that by law are not allowed on the market without fda review. this isn't a permanent ban. products that lack the necessary approval are eligible to be sold again once they are deemed safe for consumers. san francisco—based juul labs is one of the biggest e—cigarette companies that will be impacted by this legislation. they say it would drive former adult

smokers who successfully switched to vapour products back to deadly cigarettes. another reason san francisco voted in favour of the ban is to combat the youth vaping epidemic which many parts of the us are struggling with. recent numbers from the center for disease control prevention showed an increase in the use of e—cigarettes among people aged from 12 to 18. now, this is the first ban of its kind in the us and only applies to the city of san francisco, so customers over the californian legal age of 21 will still be able to find these products in surrounding cities. san francisco's mayor london breed has already expressed her support for the ban and now has ten days to sign the legislation and, if she does, it will come into force in january. laura is back to look through the papers. you have highlighted a story that caught your attention late yesterday, big mover on the markets,

a company in the next of a big investigation by regulators in the uk. car dealership in the uk, one of the biggest fall is on the ftse yesterday, fell 25%, investigating the selling process between 2016 and 2019. interesting because a lot of people buy cars on motor finance and it is interesting the fca is actively investigating this market, around transparency, use of commission. could have huge impact for the car industry across the uk if they find practices dating to be —— practices they say are bad practices. nothing has been found yet, investigation has onlyjust begun, but it could have implications for the whole industry. european heat wave. bbc website. let us european heat wave. bbc website. let us go to the page, nice picture of a couple having a kiss in front of the eiffel tower. if you are in 39 degrees heat, would you do that?

surely that makes you hotter. depends what glitter you have got on. i would depends what glitter you have got on. iwould be depends what glitter you have got on. i would be pushing the bloke out of the way and diving into the water. spoken like a true brit. joking apart, some parts of europe today, 40 degrees, even higher in some parts of spain, so hard to do anything in that heat, unless you are in an air—conditioned room. luckily the office is air—conditioned. i thought we were supposed to be getting a heat wave here? it is coming. we have asked people to tweet about whether the heatwave is affecting their work. christopher saying, most businesses live in term of office dress. women can keep comfortable, men are required to wear shirts and trousers. and men are required to wear ties, that has been raised many times, women can wear much cooler

clothing. in stockholm, cold and raining. iwork clothing. in stockholm, cold and raining. i work in hospital in germany, we get on with the job, we do not complain. another says, it would force me to sit in my garden with beer and chicken on a grill, but i am in london wearing a coat ready to go to work. interesting how it impacts productivity. i know for those who run small businesses, they may not have fantastic buildings with air conditioning yet their workforces wilting. exactly, and different effects on different sectors. some retailers love to have a heatwave, and the pub companies. but in some cases, it does detract from productivity. i think it is not going to rain at glastonbury. i have been three, four times, every time, it rained. i wish you well anyone going to glastonbury. bbc sands is the place for that. thank you for

your company today —— bbc sounds. good morning. the last few days have been dominated by lots of cloud, warmth, humidity, rain and thunderstorms. the next few days, higher pressure is moving in from the atlantic and that will settle things down. it will turn increasingly sunny along with the warmth. this is this morning, quite a bit of cloud still across england and wales, mrand a bit of cloud still across england and wales, mr and mark, but brighter skies developing particularly across southern areas and western wales. —— misty and murky. more cloud in the far north of scotland. maximum temperatures for many into the low 20s, fresher and cooler on the north sea coast, 12—14. north—easterly

wind drawing in more cloud particularly across lincolnshire, parts of the midlands, some clear skies in northern areas, turning a little bit chilly. a bit fresher. leaping across southern parts tonight, temperatures no lower than 13, 14. thursday, starting with cloud in the midlands, eastern areas, that will tend to burn away. for most of us, lots of sunshine on thursday and temperatures getting up into the net 20s in northern and western areas —— the mid 20s. fresher north sea coast. friday, area of high pressure still with us, but the wind switches from north—easterly to south—easterly drawing in the very warm air. it comes all the way from africa, through spain, france, and into the uk. western areas that will see the greatest of the warmth on friday. lots of sunshine from start to finish. a bit of cloud initially in

eastern areas tending to burn away back to the coast. temperatures getting a bit higher, 18, 22 in london. up to 26—28 across western scotland, western fringes of england and wales. saturday, a few showers drifting in across western areas, and it is towards the east you will have the sunshine from start to finish and where the highest temperatures will be on saturday. up to 31. through this week, europe—wide, very warm, dangerously hot weather, temperatures record breaking potentially in parts of spain, france, 45 degrees in southern areas of france. quite nasty heat on the way for them. by buy. —— goodbye.

you're watching bbc news at nine with me, annita mcveigh. the headlines... the bbc discovers that moors murderer ian brady was allowed to mix with vulnerable young prisoners for more than five years, even after one claimed that brady had had sex with him. what happened and what he did in prisons, i think, is not extraordinary. actually i think happens and has happened every day for years. a multi billion dollar aid package for migrant families detained after entering the us is approved by the democratic lead house, as a harrowing photo of a dead father and daughter, drowned in the rio grande emerges. the two rivals for the conservative leadership are at loggerheads over when brexit must be delivered. temperature records are likely to be

broken across europe