an industry also coming up a study shows that russia's economy is worse off than the government is letting on, will get the view from a man who is followed putin's plans closely for years. at that time again, d w business, welcome. so i've got good news for you and bad news as well. on the one hand, the arizona economy grew more than expected in the 2nd quarter, 0.7 percent compared to the 1st quarter. the bad news, while inflation and the 19 european nations that use the euro has risen to 8.9 percent in the last year. that's a record. the biggest contributor to that is of course energy costs. the cost of natural gas is le leaped 25 percent this week alone. or joining me now is thomas ops trauma, the german economic institute. we can help break this down for us a bit. so thomas, thank you very much for joining us. let's break this down with g d p to start off with. are you surprised by that 0.7 percent figure. good afternoon and thanks for

having me. i think the numbers look quite good a more positive than the expected. indeed, as you point 7 percent growth compared to the point 5 percent and the 1st quarter of this year. but if you said they are moving this in the shadow of those numbers, this is the figure years on which is comprised by genius economies. and they are facing at higher risk right now, which would be a cut off of russian gas. so i think if you look at the sentiment indicators right now that the situation is very different. uh huh. some very, quite optimistic with nick seems being void out and a group on the me. but somehow they are just a variety of factors that increase the downside risk for the economy. and as you said, they also increase pressure on the inflation rate. i can see you talk about these downside risks,

inflation with fat increase in inflation that we've also seen released at the same time. a point 9 percent, figure out how resilient is the european economy right now. so the european economy has better city, has initiated an increase in the interest rate of by 50 basis points. and they have made clear that they are serious about the threat of price and stability of increasing crisis. but it is also clear that they can only do so much because as you mentioned, the pressure we are facing. they are not. you are 2 factors in the labor market right now or in the economy itself, but they are due to factors that i tell them. so we are seeing the destruction of supply chains beginning of the half of last year. and since the beginning of the year, we have seen that increasing price prices, especially with yog break of the $1.00 you crave. i've had more energy price shops,

speaking of gas or oil, so like tricity. okay. and that puts a lot of an on the companies. all right, well, thomas hope i hope we can get you on again sometime soon with some good news, but let's see about that. thank you very much. you're welcome. now to the u. s, which has long i'd the rise of china as a high tech hub with suspicion more so now that the world is in the grip of a global microchip shortage with companies throughout the u. s. clamoring for semiconductors, washington has decided to take action, green lighting, billions in aid for us producers who it hopes will help us retake that number one spot in world wide microchip production. it's been a long time come in. the united states congress has finally passed the chips and science, which is designed to boost the us semiconductor industry. and that opened a new campaign in the chip war against china. the yeas are

243. the naser, 1871 member voting president. the motion is adopted. aiming to make the united states competitive with chinese manufacturers, the legislation will provide 52000000000 in subsidies for you as chip manufacturers in the chip production her for the u. s. for many years now, this is about the change as u. s. is opening in the front in the trade war against china. and chinese aware of that sir is imposing restrictions and seeking decoupling will only hurt others and one. so for like later in the meantime, china stresses reliance on our own efforts to drive donations development. no restriction or suppression will hold back. china cited to allotment and industrial progress. hoover president joe biden is expected to sign the bill into law soon. this will directly affect the course of global technological production for decades

to come and moving on. now, when russia invaded ukraine, 5 months ago, western powers slapped moscow with sanctions they hoped, would hobble economy. while a new study out of yale school of management shows. i have says that russia now has an untenable position as a commodities exporter or imports that make up to 20 percent of russian g. d p. a. down by half since the invasion began. companies are leaving russia in droves or raising 3 decades worth of foreign investment. so his author's caution against overestimating russian economies resilience but it remains unclear of economic pressure alone can stop russia's aggression in ukraine. well now to a man who knows all about futons plans, john sweeney is an investigative reporter, daughter of keller, in the kremlin about putin's regime. thank you very much for joining us, john. how did putin get to disposition that he is in now of having the whip hands not only over russia,

but of europe to because of 2 things. one western timidity and the 2nd western greed for a long time. the west people and politicians in germany and britain and the united states kept on looking the other way when by the murdered people. he's a serial killer in my view, and the west kept on looking your way. i knew that he can get away with murder after murder at the murder because we like cheap russian oil and gas. the city of london like russian money and troy kind of fog machine. so this money could be hit and nobody knows who the, who the true owners of this russian, the money is where it, where it actually is. and germany, in particular like cheap oil and gas, one of the, one of the dark armies of the war so far is that as much money that the west

is given to ukraine to help you crime fights against the brutal invasion. we have given farm to russia to pay for its oil and gas and because because of the world of cruising started, the price of oil and gas has gone up so. so yes, sanctions, but actually the reality is in europe in particular, germany in particular, has kept on buying russian oil and gas, not obviously, this is an addiction which is hard to get off quick. right? absolutely. we quickly. yes, i mean we seen with not stream pipeline, for example, that germany bet take on that. and we've seen what's happened with that in recent weeks will put in denies that the sanctions have done lasting damage to his country . but have they had an impact on his power base or among the oligarchs those who hold him in power through money? boucher law is so smoothly you cannot trust a word. the man said,

i think it is true. the sanctions have heard, and the specific things that we can look all russians is reliable because the people who do them know that if they displace a kremlin, they may lose their job. and if they really displease the trundle by my lose my life. so let's leave statistics aside and look at the observable world. one of the biggest, most important sanction in the sense that people count russians find it much more difficult to move around the world. the oligarchy you speak to park that. in the south of france, send their children legitimate or busted to fancy english schools eating even winchester or that is becoming much more difficult. it's still possible because they've got lots of money, but it's becoming much more difficult. russian come on your factors and now producing cars without airbags because you can't get the technology.

the word is taking up chips from washing machines and putting them in and so russian by drone so. so at least some of the targeted technical sanctions are working. my one question is, what's happening to the russian economy and it looks as though it's tanking by 20 percent. that's not enough to stop the war, but it's enough to send a message to ordinary russians their leader, but my person has made a catastrophic mistake. well, let's see whether that mistake will end up with him leaving, but it's not going to happen anytime soon by the looks of it. but we'll see, and you'll be watching that of course, john sweeney author of killer in the criminal investigative report. thank you very much. thank you. now, over to bolivia, olivia is the home to the world's largest untapped reserves of lithium. that's a key component. now, electric batteries though, it's several years away from extracting the valuable raw material. once it does,

it'll need to import metals like nickel and cobalt to complete batteries. it's a new com makeup in the country is placing its bets on an electric future hoping to expand the electric vehicle market in latin america. this startup is investing big . in something small, it's producing micro sized electric vehicles. electron will we need add la for a total for electron mobility is the micro electric mobility, which is quite different though, is, can we be fed into the car can fit up to 3 passengers. it's top speed is 55 kilometers per hour, but that's not a problem for quantum customers. they're not traveling long distances. and the benefits outweigh any shortcomings. none of them will miss, i am as away my electric bill is more or less 10 euros per month. and sometimes i

go from here all the way to suck above that. as you look at, i keep a charge and use it at least once a day. you'll see notable the it's very low cost compared to a gas powered car and go so far my mom puts in 10 years worth of fuel in her car per week. like where's i put him 10 years per month. all that didn't already, and if it was a man, it's cheap to run, an easy to charge and the car can be plugged into a typical wall outlet. but it's electric batteries have to be imported. that's something to start up hopes will change. soon. bolivia sits on the world's largest deposit of lithium bolivia as president is in favor of industrialize, in the indian nations lithium resources. though many don't expect of that to happen until at least 2030 and experts still think the start up is headed down the right path. in the meantime, we both if evil know when both the evil, if this is

a very positive undertaking might come and put it in because it establishes a precedent in the country. the though they get a precedent because it introduces and generates a market for electric cars. a little a little south of elect. these electric cars may be many, but their potential is mighty. and it's now time for us to recharge. thank you very much for watching this business update from data with, with ah,

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ah, this is dw news lie from berlin, dozens of ukrainian prisoners of war killed in the south strike, russia and ukraine buying each other for the attack of the jail. many of those killed betterments of the siege of commodity on president vladimir lansky says ukraine is ready to help feed the world again.