WEBVTT - US Pursues Third Tanker, 'Constructive' Talks, London's New Robotaxis

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<v Speaker 1>Bloomberg Audio Studios, Podcasts, radio news.

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<v Speaker 2>This is the Bloomberg Dabaker Podcast. Good morning, It's Monday,

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<v Speaker 2>the twenty second of December in London. I'm Caroline Hepgar

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<v Speaker 2>gunboat diplomacy. The US pursues a third tanker off the

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<v Speaker 2>coast of Venezuela, aiming to throttle Maduro's oil revenues. Productive

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<v Speaker 2>and constructive. The US and Ukraine praise weekend talks in

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<v Speaker 2>Florida despite no obvious breakthrough on ending Russia's war, plus

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<v Speaker 2>a new direction uber Lift and by Do joined forces

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<v Speaker 2>to test driverless cars in London. Let's start with a

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<v Speaker 2>roundup of our top stories. The US Coast Guard is

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<v Speaker 2>chasing down a third oil tanker as President Trump's blockade

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<v Speaker 2>of the country ramps up. The tanker, called Bella one,

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<v Speaker 2>is being pursued off the coast of Venezuela after the

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<v Speaker 2>US also sees a different, non sanctioned vessel over the weekend.

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<v Speaker 2>Bloomberg's East America editor Tony Chuchka says the US is

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<v Speaker 2>clearly trying to damage Venezuela's economy.

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<v Speaker 3>Over the weekend. This kind of noose that the US

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<v Speaker 3>that the Trump administration is trying to tighten economically around

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<v Speaker 3>the government of Nicolas Madua and Venezuela has been tightening.

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<v Speaker 3>At the same time, the government has not been very forthcoming,

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<v Speaker 3>sort of come out in dribs and drabs, But the

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<v Speaker 3>overall purpose is very clear, which is essentially a deprived

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<v Speaker 3>Venezuela of its main revenue, which is oil exports.

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<v Speaker 2>Jujka ads that Venezuela's oil exports have dwindled over the

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<v Speaker 2>years and now account for less than one percent of

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<v Speaker 2>global demand. Even so, the Trump administration's military deployment in

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<v Speaker 2>the Caribbean is the largest in the region in decades.

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<v Speaker 2>Mexico and Brazil are among the many Latin American countries

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<v Speaker 2>warning against the foreign intervention, saying that it risks armed conflict.

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<v Speaker 2>The heightened geopolitical tensions are helping to drive gold to

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<v Speaker 2>yet another record high. The prescious metal has climbed one

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<v Speaker 2>and a half percent to surpass its October record as

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<v Speaker 2>traders bet on uncertainty as well as further US interest

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<v Speaker 2>rate cards. The games put gold on track for its

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<v Speaker 2>best annual performance since nineteen seventy nine. The US and

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<v Speaker 2>Ukraine have held constructive talks in Florida, thus according to

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<v Speaker 2>US Special Envoice Steve Whitcoff, who said that White House

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<v Speaker 2>officials joined meetings with Ukrainian and European counterparts as part

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<v Speaker 2>of ongoing efforts to end the war. Speaking ahead of

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<v Speaker 2>the negotiations, US sexty of stage Marker, Rubio described his

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<v Speaker 2>country's participation in the peace efforts.

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<v Speaker 4>We're trying to figure out what can Russia give and

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<v Speaker 4>what do they expect to get. Where can Ukraine beive

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<v Speaker 4>and what can Ukraine expect to get. In the end,

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<v Speaker 4>the decision will be up to Ukraine and up to Russia,

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<v Speaker 4>will not be up to the United States. So that's

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<v Speaker 4>the role we are trying to play in this.

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<v Speaker 2>US sectory of say Marco Rubio. Speaking in a post

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<v Speaker 2>on social media platform x, the Special Envoy Steve Witkoff

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<v Speaker 2>said that discussions included Donald Trump's son in law Jared Kushner,

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<v Speaker 2>top Ukrainian negotiator rustam Umuov, and other security advisors. Ukrainian

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<v Speaker 2>President Voladimir Zelinski also described negotiations as constructive, but noted

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<v Speaker 2>that signals from Russia remain quote only negative. Kremlin envoy

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<v Speaker 2>Kiril Dimitriev said that separate talks between Russia and US

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<v Speaker 2>officials are quote proceeding constructively. Justice Apartment officials were right

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<v Speaker 2>to remove several images from the Epstein files before they

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<v Speaker 2>were released, including one of President Donald Trump. This according

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<v Speaker 2>to Deputy Attorney General Todd Blanche, an image of a

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<v Speaker 2>desk draw with photos, including one showing the future president,

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<v Speaker 2>was removed and then later restored after the Justice Apartment

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<v Speaker 2>determined that it did not depict any Epstein victim. Speaking

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<v Speaker 2>to NBC, Blanche, a former personal attorney for Trump, said

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<v Speaker 2>the decision came as a result of court ordered mandates.

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<v Speaker 5>The statute also requires us to protect victims, and so

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<v Speaker 5>the reason why we are still reviewing documents and still

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<v Speaker 5>continuing our process is simply that to protect victims. So

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<v Speaker 5>the same individuals that are out there complaining about the

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<v Speaker 5>lack of documents that were produced on Friday are the

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<v Speaker 5>same individuals who apparently don't want us to protect victims.

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<v Speaker 2>Yes, STA Attorney General Todd Blanche, speaking to NBC's Meet

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<v Speaker 2>the Press. The redactions prompted criticism from lawmakers, with some

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<v Speaker 2>accusing the administration of violating the Epstein Files Transparency Act

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<v Speaker 2>and shielding President Donald Trump, which Blanche denied. Now Uber

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<v Speaker 2>and lift A teaming up with the Chinese tech giant

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<v Speaker 2>Baidu to trial driverless taxi in London. The two companies

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<v Speaker 2>have announced a pilot program which we'll start in the

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<v Speaker 2>first half of next year, with commercial services soon to follow.

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<v Speaker 2>Our reporter James Walcock has more it's.

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<v Speaker 6>The core staple of any London taxi drive, a conversation

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<v Speaker 6>with the driver, whether you want it or not, but

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<v Speaker 6>it might be on the way out by do an.

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<v Speaker 6>Uber will start testing out robotaxis next year on the

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<v Speaker 6>streets of London. They're not the only ones. Text firms

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<v Speaker 6>are racing to build data sets for drivers cars where

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<v Speaker 6>May have already started testing in London, and Lived will

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<v Speaker 6>also follow next year. Exciting technology aside, it's not yet

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<v Speaker 6>clear how the companies will make profits from the ventures

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<v Speaker 6>in London. James Worcock Woomberg Radio.

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<v Speaker 2>A private actually consortium led by Permera and Warburg Pinkus,

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<v Speaker 2>has agreed to acquire clear Water Analytics. The deal would

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<v Speaker 2>value the investment and accounting software maker at eight point

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<v Speaker 2>four billion dollars including debt. That's according to a statement

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<v Speaker 2>from the firm. Also included in the buy our group

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<v Speaker 2>are Singaporean state investment company Tamasek and the technology investment

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<v Speaker 2>firm Francisco Partners. The transaction is expected to close in

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<v Speaker 2>the first half of twenty twenty six, and it will

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<v Speaker 2>allow clear Water to consider rival offers until late January.

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<v Speaker 2>That's in corporate news this morning. Let's get to the market.

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<v Speaker 2>It's MSCIASH Pacific index is up by nine tenths of

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<v Speaker 2>one percent this morning. Bit mixed when it comes to

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<v Speaker 2>futures high for the US. For US SOX swifty futures,

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<v Speaker 2>we are down two tenths of one percent. Thinking about gold,

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<v Speaker 2>four hundred dollars is where we sit this morning, up

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<v Speaker 2>by one point four percent, so we've powered through the

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<v Speaker 2>October record high four billion, which had such a strong year.

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<v Speaker 2>The uncertainties in Venezuela mean that oil prices are up

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<v Speaker 2>more than one percent for break Crew futures sixty one

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<v Speaker 2>dollars thirteen the bowl this morning. And then just lastly,

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<v Speaker 2>in terms of ten year US at treasury yields right now,

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<v Speaker 2>they're upper couple of basis points out of four sixteen.

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<v Speaker 2>So those are the markets. In a moment. We're going

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<v Speaker 2>to get into the US actions against Venezuela, this oil blockade,

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<v Speaker 2>and also what happened over the weekend in these various

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<v Speaker 2>negotiations over Ukraine in Florida. But before that, another story

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<v Speaker 2>has caught my eye this morning. An unexpected fantastic bottle

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<v Speaker 2>of booze is always welcome around the holidays, this at

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<v Speaker 2>least according to Bloomberg's Kara Newman. She has a last

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<v Speaker 2>minute list of wine and whiskey for you indulgent, alcoholic

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<v Speaker 2>or not, because, as I discovered to my surprise on

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<v Speaker 2>Sunday going to some actual physical stores in London, last

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<v Speaker 2>minute panic shopping pre Christmas is definitely not dead. So

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<v Speaker 2>relax into the festive season with a few of my

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<v Speaker 2>favorites from this list, including Second Sip, which is a

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<v Speaker 2>low alcohol gin twenty percent proof apparently, and why don't

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<v Speaker 2>you blow the doors off with the nineteen ninety nine

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<v Speaker 2>Paul Voge couve Winston Churchill at a mere twenty pounds

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<v Speaker 2>for a magnum. I love the fact that Colin Newman

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<v Speaker 2>has described all of these wonderful festive treats, and I'm

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<v Speaker 2>going to put a link to it in our show note.

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<v Speaker 2>But of course we aren't ready to put up our

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<v Speaker 2>feet just yet, glass in hand. No, no, We've got

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<v Speaker 2>to get into our top stories today. Now, the United

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<v Speaker 2>States has intensified an oil blockade off the coast of Venezuela,

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<v Speaker 2>boarding or pursuing three oil tankers in total. Joining me

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<v Speaker 2>now is Blomberg's Asia Energy editor, Stephen Stepchinski. Good to

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<v Speaker 2>speak to you, Stephen. Can you just describe the US's

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<v Speaker 2>maritime maneuvers against Venezuela so far?

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<v Speaker 7>You know, it's been really fascinating watching this unfold. So

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<v Speaker 7>earlier this month, the Trump administration seesed a US sanctioned

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<v Speaker 7>oil tanker that was carrying about two million barrels of

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<v Speaker 7>oil and from Venezuela, and that was shortly followed by

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<v Speaker 7>the Trump administration saying that they're going to be having

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<v Speaker 7>a blockade effectively on all sanctioned oil exports from Venezuela.

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<v Speaker 7>And so I think there was an expectation that you

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<v Speaker 7>folks were like, Okay, well, if it's a US sanctioned vessel,

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<v Speaker 7>you're in trouble. If you're not sanctioned by the US,

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<v Speaker 7>you know, you could take your risk, you know, you

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<v Speaker 7>can go there, but maybe the US won't seize the vessel.

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<v Speaker 7>They won't board do they won't have the authority to

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<v Speaker 7>do that. Well, that's not the case. They boarded a

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<v Speaker 7>second vessel over the weekend, and this one was not

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<v Speaker 7>sanctioned by the US. It was carrying crude from Venezuela

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<v Speaker 7>that the US has is sanctioned. The cargo itself is sanctioned,

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<v Speaker 7>So that was reason enough for them to board the vessel.

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<v Speaker 7>And then now they're pursuing a third vessel that's not

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<v Speaker 7>even carrying any crude. It is going to Venezuela, is

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<v Speaker 7>nearing there. The vessels is viewed to be part of

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<v Speaker 7>the shadow Fleet and part of the network that ships

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<v Speaker 7>Venezuela oil elsewhere, like to buyers in China. But it

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<v Speaker 7>does that if you're if you're a shipper, if you

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<v Speaker 7>own a ship, if you're operating in this sector, you're

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<v Speaker 7>really gonna think twice before you go to Venezuela. And

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<v Speaker 7>if the shadow fleet starts to break down, if Venezuela

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<v Speaker 7>can't get the ships there to export their crude, well

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<v Speaker 7>then they're in a lot of trouble.

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<v Speaker 2>So what is person Chump's aim I mean? Is it

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<v Speaker 2>maximum pressure? Is it war? Is it regime changed? Because

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<v Speaker 2>we know that the US is labeled the Maduro government

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<v Speaker 2>a drug trafficking cartel, a foreign terrorist organization.

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<v Speaker 7>You know, I think it's a bit of all the above, right,

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<v Speaker 7>I mean, clearly it's it is a maximum pressure approach.

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<v Speaker 7>They are they are really trying to hit on the

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<v Speaker 7>economy of Venezuela and tighten that as much as they

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<v Speaker 7>possibly we can, because without oil exports, they're just not

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<v Speaker 7>making any money anywhere else. There's there's risks of an

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<v Speaker 7>economic collapse if this continues. The second thing, obviously, it

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<v Speaker 7>does seem to be regime change. The Trump administration has

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<v Speaker 7>been very clear that that they think that Venezuela is

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<v Speaker 7>part of drug problem in the United States, the legal

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<v Speaker 7>immigrant problem in the United States. They've they've labeled them

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<v Speaker 7>all sorts of different things, and Trump has said that,

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<v Speaker 7>you know, attacks on the ground aren't outside of the

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<v Speaker 7>realm of possibility. So with all of that put together,

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<v Speaker 7>it does look like the Trump administration wants a regime change,

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<v Speaker 7>and they're they're kind of pulling every lever they can.

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<v Speaker 7>Right before, we saw them pulling the levers by by

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<v Speaker 7>kind of striking those the drug the ships that were

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<v Speaker 7>carrying that they said were carrying drugs or or or

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<v Speaker 7>members of the cartel. Now you're looking at them hit

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<v Speaker 7>ships of course, uh with by boarding them and harassing them,

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<v Speaker 7>They're they're looking at hitting another aspect of their economy.

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<v Speaker 2>Yeah, and so then your view on how this affects

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<v Speaker 2>oil markets and what impact it's having in the oil markets,

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<v Speaker 2>you know, I.

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<v Speaker 7>Think this is very interesting because this does have to

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<v Speaker 7>do with oil, and markets are reacting to a degree.

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<v Speaker 7>But this is far has far, far wider impact on

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<v Speaker 7>Venezuela than it does on the global oil market. China,

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<v Speaker 7>the US, other buyers don't need Venezuelan oil, right. Venezuela

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<v Speaker 7>produces exports about less than one percent of global supply.

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<v Speaker 7>The global oil market is actually in a bit of

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<v Speaker 7>an oversupply itself. It's going to get worse at glut

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<v Speaker 7>is going to get worse. In twenty twenty six, we

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<v Speaker 7>have oil price at the lowest level in more than

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<v Speaker 7>four years. All of that together means that there isn't

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<v Speaker 7>going to be any impact on inflation. There's going to

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<v Speaker 7>be no impact on the price of oil at the pump,

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<v Speaker 7>which is something that Trump really cares about, which also

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<v Speaker 7>might speak to the timing of all of this as well.

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<v Speaker 7>Trump knew that if they were to take venezuela and

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<v Speaker 7>oil off the market, it wouldn't see a huge price

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<v Speaker 7>bike that you would see maybe in twenty twenty two

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<v Speaker 7>in the height of the energy crisis.

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<v Speaker 2>Indeed, Stephen, thank you for speaking to me about this.

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<v Speaker 2>Stephen sepchinskis Boomberg's Asia Energy editor. Stay with us. More

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<v Speaker 2>from Bloomberg daybakeuope coming up after this. Ukraine held these

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<v Speaker 2>three days of talks with the US in Florida over

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<v Speaker 2>a possible piece deal, while Russia's Voikiril Dmitriev held some

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<v Speaker 2>separate talks with US officials. Joining US now is Tony Happen,

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<v Speaker 2>who heads our team covering Russia's economy and government. Tony, Hello,

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<v Speaker 2>does Ukraine do you think have a strong and negotiating

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<v Speaker 2>position given that last week we were focused on the

0:13:17.880 --> 0:13:21.839
<v Speaker 2>EU loan akreement it was done that deal. Does that

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<v Speaker 2>strengthen Ukraine's hand?

0:13:25.160 --> 0:13:27.360
<v Speaker 8>Well, I mean they certainly didn't want to go into

0:13:27.760 --> 0:13:30.920
<v Speaker 8>these talks and future talks. In fact, without the protection

0:13:31.080 --> 0:13:34.800
<v Speaker 8>of that loan, Ukraine faced a very real risk by

0:13:34.880 --> 0:13:37.280
<v Speaker 8>April of simply running out of money, not be able

0:13:37.320 --> 0:13:39.800
<v Speaker 8>to fund the government or its own defense. And the

0:13:39.920 --> 0:13:42.400
<v Speaker 8>risk they were really aware of was that Russia would

0:13:42.400 --> 0:13:45.000
<v Speaker 8>take this as a signal that its allies were backing

0:13:45.080 --> 0:13:47.679
<v Speaker 8>away from Ukraine and was simply run down the clock

0:13:47.800 --> 0:13:50.040
<v Speaker 8>knowing that every month that passed would make it more

0:13:50.080 --> 0:13:52.600
<v Speaker 8>and more difficult for Kiv. So yes, without that loan,

0:13:52.600 --> 0:13:54.920
<v Speaker 8>the negotiating position would have been a good deal. Weaker

0:13:55.280 --> 0:13:57.600
<v Speaker 8>with it. Of course, they can enter the talks knowing

0:13:57.600 --> 0:14:00.600
<v Speaker 8>that they still have the back of their European allies.

0:14:01.559 --> 0:14:06.680
<v Speaker 2>Is Russia's position moving? You were reporting on Friday Vlatimir

0:14:06.679 --> 0:14:10.160
<v Speaker 2>Putin saying that it was incorrect to say that Russia

0:14:10.240 --> 0:14:14.800
<v Speaker 2>completely rejected something. This was in that long to Q

0:14:14.920 --> 0:14:16.920
<v Speaker 2>and a that Putin does every year.

0:14:18.360 --> 0:14:21.280
<v Speaker 8>Yeah, So he gave a news conference that lasted some

0:14:21.440 --> 0:14:23.760
<v Speaker 8>four and a half hours on Friday, and in it,

0:14:23.800 --> 0:14:26.560
<v Speaker 8>as you say, he did say that Russia is interested

0:14:26.560 --> 0:14:29.920
<v Speaker 8>in peace and hasn't rejected anything. But they come from

0:14:29.960 --> 0:14:33.440
<v Speaker 8>two very different starting points here. Putin's starting point is

0:14:33.560 --> 0:14:39.000
<v Speaker 8>the Anchorage summit with Donald Trump in August in Alaska,

0:14:39.320 --> 0:14:42.479
<v Speaker 8>where he said that they reached pretty much agreed positions.

0:14:42.800 --> 0:14:45.480
<v Speaker 8>We don't really know fully what those positions were, but

0:14:45.680 --> 0:14:48.240
<v Speaker 8>since then of course, we've had the twenty eight point

0:14:48.280 --> 0:14:50.600
<v Speaker 8>plan that the US and Russia drew up, which has

0:14:50.600 --> 0:14:53.480
<v Speaker 8>been chiseled down to the existing twenty point plan, and

0:14:53.480 --> 0:14:55.920
<v Speaker 8>there are still elements of that plan that Russia doesn't like.

0:14:56.040 --> 0:14:58.360
<v Speaker 8>So I think it's very difficult to say that Russia's

0:14:58.400 --> 0:15:00.920
<v Speaker 8>moved because Putin has a different vision of how this

0:15:00.960 --> 0:15:04.000
<v Speaker 8>war should end. But certainly there's still a lot to discuss.

0:15:05.120 --> 0:15:08.680
<v Speaker 2>What about the war itself, Ukraine continues to be attacked

0:15:08.880 --> 0:15:13.160
<v Speaker 2>whilst Ukraine has also itself intensified attacks on tankers tied

0:15:13.200 --> 0:15:14.440
<v Speaker 2>to Russia's oil trade.

0:15:16.000 --> 0:15:18.320
<v Speaker 8>Yes, when the war is going on every day, there's

0:15:18.400 --> 0:15:22.840
<v Speaker 8>no Christmas or New Year ceasefire on the horizon. Ukraine

0:15:22.960 --> 0:15:26.320
<v Speaker 8>sees a sawce point for Russia in its oil infrastructure.

0:15:26.360 --> 0:15:28.720
<v Speaker 8>It sees that as a weakness that it can attack

0:15:28.840 --> 0:15:32.920
<v Speaker 8>to some effect. It believes that by attacking things like

0:15:33.120 --> 0:15:38.440
<v Speaker 8>oil refineries, oil platforms, tankers, that they can damage Russia's

0:15:38.440 --> 0:15:41.680
<v Speaker 8>ability to get revenues from oil and gas cells and

0:15:41.720 --> 0:15:44.760
<v Speaker 8>therefore weaken the Kremlin's war machine over the long term.

0:15:44.760 --> 0:15:47.160
<v Speaker 8>And they're having some success in that, but at the

0:15:47.200 --> 0:15:50.320
<v Speaker 8>same time they're having to defend against constant Russian attacks

0:15:50.360 --> 0:15:52.720
<v Speaker 8>both from the air against cities and on the ground

0:15:52.760 --> 0:15:55.520
<v Speaker 8>on the battleground, which continues to be a hot one.

0:15:57.240 --> 0:15:59.880
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