Dimming Huawei could help recharge Xiaomi phones 20 May 2019 The Chinese telecom group led by Ren Zhengfei may have lost access to Google's apps and services. This setback hits as $34 bln Xiaomi offset fewer total handset shipments last quarter by selling pricier models. It would further benefit from a weaker Huawei in Europe and beyond.
Swiss tax reform will earn it EU brownie points 20 May 2019 Voters in the Alpine nation have backed a plan to axe fiscal favours for some 24,000 multinationals. Some companies may now find it less appealing to set up shop in Switzerland. But the move averts the bigger threat of it ending up on a European Union list of tax havens.
Guest view: An EU election that really matters 20 May 2019 The vote that takes place across the European Union this week is, more than ever before, one on the bloc's future, writes Fabrizio Pagani of Muzinich & Co. And the outcome may catalyse change in countries that have an unstable political outlook, such as Italy and Britain.
Mother Earth loses the Australian election 20 May 2019 Prime Minister Scott Morrison's coalition held power over a Labor party that campaigned on climate change and was tipped to win for over a year. Some wealthy seats backed the cause, but most voters were alarmed at the economic cost. It’s a bad sign for the world from Down Under.
China exhibits worrying trade war restraint 17 May 2019 Beijing could retaliate against Washington using rare earths, U.S. debt or American companies on the mainland, a popular tabloid suggests. A better question is why such weapons, some deployed in the past, now sit idle. It points to a different, more dangerous, conflict.
Viewsroom: The lasting effects of Trump’s tariffs 16 May 2019 Washington and Beijing may yet find a way to end their escalating trade war soon. But for many businesses, the damage already inflicted will be hard to undo. Plus: CEO Mark Zuckerberg might not welcome more calls to break up Facebook, but shareholders could benefit.
Walmart is a test of broader tariff harm 16 May 2019 The retailer reported U.S. sales rose 3.4%, yet momentum could wane once higher border levies on another $200 bln of imports from China kick in. Walmart may not be the most exposed business, but Americans shopping at its more than 5,300 stores will feel it in their pockets.
UK may swap one utilities dogma for another 15 May 2019 If elected, opposition Labour leader Jeremy Corbyn could nationalise water and energy networks below market value. Crudely ditching privatisation for state ownership carries legal and reputational risks. Better to lower the returns that regulators allow these companies to make.
Brooklyn rebuild embodies U.S. infrastructure woes 14 May 2019 The New York City borough’s iconic promenade needs repair. The metropolis’s belated plan to fix it is costly, myopic and far from transparent. With Infrastructure Week under way, it’s a timely tale showing why the nation’s waterways, roads and the like are in such a mess.
Beijing’s hard line bodes ill for trade peace 14 May 2019 Officials announced fresh duties on $60 bln of U.S. products in response to the White House’s hike last week. It’s a muscular display in the face of another potential round of American tariffs. If the two sides can’t find common ground at the June G20 summit, things look grim.
Trade flows will reveal the true cost of tariffs 10 May 2019 Washington has hiked duties on $200 bln of Chinese goods, after what officials say was a push by Beijing to renege on promises. Both sides intimate their economies can survive a blow that may only slightly dent GDP. Supply chains and the like, though, will show long-term losses.
South African election rebuke sets up reform test 10 May 2019 Support for the ruling ANC dropped below 60% for the first time since apartheid. That gives President Cyril Ramaphosa the impetus to reverse the country’s downward slide. Voters and investors will judge him on how he tackles corruption, overmighty unions and shoddy state firms.
Aussie election campaign blows hot air on climate 10 May 2019 It’s a rare place where voters have put the environment atop the list of their ballot priorities. The $1.3 trln economy is among the most vulnerable to global warming, but also depends on coal. Unfortunately, neither of the two main parties is tackling the contradiction head-on.
South African reforms need gentle voter kicking 7 May 2019 Elections will likely hand the ruling ANC party a majority, albeit a smaller one than in 2014. That might help President Cyril Ramaphosa force his party to clean up its act, and take steps to boost growth. Too bloody a nose, however, and his own position could be under threat.
The Exchange: Margrethe Vestager 7 May 2019 The EU’s antitrust commissioner is famous for imposing multi-billion-dollar fines on Alphabet and Apple. She joins Liam Proud and Peter Thal Larsen to explain why combatting the greed, power and fear that stifles competition is even more crucial in a data-driven world.
Malaysia’s ruling coalition could use a fresh push 7 May 2019 A year after his shock win, Prime Minister Mahathir Mohamad's popularity is flagging. Change has been slow. His party has only tinkered with wasteful subsidies. Scrapping a goods and service tax also left a fiscal hole. It’ll take more to fix tainted institutions and fuel growth.
U.S.-China tension will outlast Twitter trade spat 6 May 2019 Global markets fell after Donald Trump tweeted that he’d increase tariffs on Chinese goods. Even if trade talks get back on track, other U.S. moves will damage relations. They include curbs on investment from, and tech sales to, the PRC as well as an enforcement push.
Trump tariff threats shake trade deal foundations 6 May 2019 The U.S. president says he will soon hike duties on $200 bln of Chinese goods. It may well be a negotiating ploy, but has rattled markets anyway, just as both economies have steadied. Such bursts of frustration are worrying, and may make it harder for an eventual pact to stick.
India Insight: Voters could deliver a strongwoman 6 May 2019 If Narendra Modi’s BJP fails to secure enough seats in an ongoing election, a coalition of regional parties may emerge. One potential leader is West Bengal’s fiery chief, Mamata Banerjee. She has some of the prime minister’s controlling traits, but far looser purse strings.
Naruhito can give Japan’s economy a morale boost 6 May 2019 Tuesday marks the first working day of the Reiwa Era, ushered in by the accession of Naruhito, the world's only emperor. He will preside over a $5 trln engine stuck in low gear. Lacking a policy remit, he could still leverage his spiritual role to treat Japan's economic soul.