you're watching the news coming up ahead multinational companies in iran come under pressure to pull out following renewed u.s. sanctions german conglomerate siemens. kill back its operations. then we'll have that story in other business news coming up shortly. frankfurt. international gateway to the best connections off the road and rail. located in the heart of europe if you are connected to the whole world. experience outstanding shopping and dining offers and try our services. be our guest at frankfurt airport city managed by for a. living

fun beethoven. his work goddess fortuna. the maestro and feed. the children finished bomb twenty two. another bad day for business in iran another multinational scales back operations. scaring away foreign companies from iran including germany's even. feeling a little uneasy about all that chinese money used to prop up portugal. and unions in africa stand up to chinese construction companies accused of exploiting their workers. and business german industrial giants

scaling back its operations in iran to avoid the impact of u.s. sanctions it's the latest in a string of european companies withdrawing from the country. and have already said they're pulling out and airlines british airways and air force will no longer be fine to tehran in a tweet us ambassador to germany richard no welcome the news of just saying it was proof that sanctions are working. is that the case let's get the view from frankfurt our financial correspondent is standing by daniel cope daniel the sanctions working i mean obviously this is hurting european companies in the business they were generating in iran so it's also hurting the iranian people but is it meant to be about a nuclear deal. well then one thing is very clear this strong rhetoric that we heard for example from the u.s. president and also from the u.s. ambassador here to germany has made many companies extremely ward we have to

remember the interview where the u.s. ambassador said that companies who continue doing business with how he calls it the regime can't accept business big business anymore with the united states or lots of companies have pulled out you mentioned already a few of them already also arabs for example they can sell a megger deal they wanted to deliver more than one hundred planes to iran's national carrier worth more than eight point six billion you as a dollar so yes i would say sanctions are working but they are not just hurting they're even do individual iranian plane tickets for example they're got ten times more expensive but it's also really hurting companies here in europe and also put jobs here in europe on the edge is there still some hope for business runs legal challenge against the renewed sanctions go before the u. winds top court next week. while there is actually just very little hope that this court is going to help the situation because even if the u.n.

would say well those sanctions are not dried the united states does not have to follow what the united nations tell them there have been already cases in the past were iran when should the united nations talking about those sanctions and the u.s. has actually known that even though you know the u.n. say well those sanctions are not right that you know then they would ignore this recommendation that you called for us in frankfurt. official figures out today show germany's governments from the national to the local level recorded a surplus of more than forty eight billion euros in the first half of the year and produce a surplus of two point nine percent it's also the country's biggest surplus ever recorded in a half year amid a very slight rise in spending but the wide difference between income and spending is likely to lead to new calls for increased public investment in things like schools and infrastructure trading partners especially the u.s. have been critical of the german service saying most public spending keeps wages

and prices down and makes german exports more competitive than others. chinese investors have been active in portugal in recent years but the signs acquiring a stake in the economy they've also gained political influence european union is watching the development with mixed feelings and is trying to keep beijing's reach within bounds. rodeo likes that asian touch in lisbon he looks up to chinese investors in portugal. the chinese have helped a lot because they've brought important revenue streams into the country which of solve the national debt problem portugal was able to pay its debts straight off. after years of stagnation the financial crisis had meant unemployment poverty and austerity forty goals ten million citizens were kept solvent by the european stability mechanism but the country was forced to privatized state owned companies

. then china came along on a shopping spree many chinese state owned companies bought into portuguese insurance companies banks real estate and in directly even into media as well. also into portugal's profitable state owned energy company and to portugal e.d.p. . china's three gorges bought up twenty percent of it seven years ago now it wants to buy it up completely it's offering nine billion euros for e.t.p. . the chinese government is behind what are ostensibly business deals does that make portugal vulnerable to political blackmail you know how. they were already dependent but we've also got brazilians angolans other european countries here and not just china china found a welcoming climate in portugal. what your goal was in my car for a long time so there was always a traditional connection and the biggest investments came during the crisis they

were really important for us. and. e.u. has seen the potential problem and is working on transparency regulations for certain foreign investments applied to the e.d.p. bid they would function like there's portugal first screens for chinese companies offer. parallel to that lisbon informs the e.u. commission in brussels along with the other member states they then screen the chinese bid themselves and give their feedback portugal has the final decision on whether the deal goes ahead or not. bidding for e.d.p. is still under way and it's still not clear how tight the new iraqi elections will be some countries want a minimum of outside interference including portugal hungary and greece. china now seems to have its own presence at the negotiating table along with the government heads of the european union. around two thousand chinese companies do

business in africa raw materials are the main focus and africa is a huge market for chinese products so creating the necessary infrastructure to mine resources also sets up the ideal supply network for selling to customers but the africans doing all the hard work say not being treated right. cruising through kenya at one hundred twenty kilometers an hour the new rail line between the port of mombasa and the capital nairobi went into service just about a year ago it took twenty five thousand kenyan workers some three years to build the initiative and finance behind the whole operation a chinese construction company local construction workers are working for chinese companies throughout africa but unions are becoming increasingly critical of the working conditions a large number of africans working for chinese companies have no legal contract. we

g.'s are usually below the legal minimum and increasing number of workers complain about racial discrimination. kenyan rail workers are lucky the line is being extended from nairobi on to the ugandan border their union was able to fight for clear regulations working hours wages and holidays are all now written into their work contracts but work regulations for entire sectors or regions are still a distant prospect only very few african workers are as of yet organized in unions . now asia correspondent linda holmes joins us from singapore the how much is this a case of exploitation or just badly organized unions. well ben you know most african nations are just at the start of the economic development and jobs already usually quite difficult to come by let alone for us to fight forcing wages as well as good working conditions and even union usually it's

a form off of the engagement in which western doing us all with and businesses you have seen walking to participate or let unions take off and china be part of a show well it doesn't even have to pay the labor unions in the country so this means that chinese bumps on really used to dealing with labor union labor rights and relations and this is perhaps why chinese firms operating in africa are often accused of buying the international neighbor laws as well as the national laws in the country then so we're going to start seeing the chinese pull out of africa if the unions get their act together. well in africa it's actually africa itself is actually a very important part of the one belt one row in the shit if and this is a key geopolitical initiative announced by chinese president xi jinping in twenty thousand and it's actually the silk road economic belt and it seeks to be

a platform for international cooperation as well as to build more if a structure connecting geopolitical and global countries all together and it's very important important for africa's infrastructure as well as the construction firms and as far as it's estimated africa's infrastructure gap is around ninety five five billion dollars u.s. annually so africa actually forbes quite a key part of this and china will likely have to work on it especially when its cool looking to globalize and it seeks to work with more countries so rushing of its labor relations would likely be important as well as the other trade complaints that we've heard of so far so i want to do from both sides thank you linda. and just briefly ryanair is to start charging passengers for taking hand luggage on board from november it will cost between six and eight euros to put a bag ok so of up to ten kilograms in the overhead bin you'll still have to put up there yourself of course you know it's because as the irish bunch of adeline faces

increasing pressure over what is conditions in recent months strikes across europe both triggered the cancellation of thousands of flights right now as as the new charges will prevent delays as fewer bags will have to be tied strong boarding. less in business with. green. green. green. green. green. green green. green.

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