1 00:00:02,520 --> 00:00:07,000 Speaker 1: Bloomberg Audio Studios, podcasts, radio news. 2 00:00:10,000 --> 00:00:12,440 Speaker 2: This is the Blue Big Day Baqut podcast. Good morning, 3 00:00:12,440 --> 00:00:15,080 Speaker 2: It's Thursday, the sixth of November. I'm Caroline Hepkitt in 4 00:00:15,080 --> 00:00:15,960 Speaker 2: London and. 5 00:00:15,880 --> 00:00:19,439 Speaker 3: I'm Stephen Caroline Brussels. Coming up today, Markets expect the 6 00:00:19,440 --> 00:00:22,800 Speaker 3: Bank of England to hold interest rates steady, as British 7 00:00:22,880 --> 00:00:26,480 Speaker 3: businesses warned the Chancellor Rachel Reeves against death by a 8 00:00:26,600 --> 00:00:27,680 Speaker 3: thousand taxes. 9 00:00:28,360 --> 00:00:32,800 Speaker 2: Donald Trump's global tariffs face a barrage of skeptical questions 10 00:00:32,840 --> 00:00:34,800 Speaker 2: from the US Supreme Court. 11 00:00:35,000 --> 00:00:38,640 Speaker 3: Plus reassessing the business climate. In an exclusive interview, the 12 00:00:38,640 --> 00:00:42,360 Speaker 3: EU's Economy Commissioner, Valdas Dombrovskis tells us the Block is 13 00:00:42,440 --> 00:00:46,120 Speaker 3: listening to international concerns over its ESG rules. 14 00:00:46,600 --> 00:00:48,559 Speaker 2: Let's start with the roundup of our top stories. 15 00:00:49,360 --> 00:00:51,720 Speaker 3: The Bank of England is likely to keep interest rates 16 00:00:51,800 --> 00:00:55,639 Speaker 3: unchanged today in what's expected to be a closely contested decision. 17 00:00:56,080 --> 00:00:59,040 Speaker 3: Markets and economists expect the UK Central Bank to hold 18 00:00:59,080 --> 00:01:02,040 Speaker 3: its benchmark rate at four percent. With this six to 19 00:01:02,120 --> 00:01:04,960 Speaker 3: three split on the Monetary Policy Committee. The most common 20 00:01:05,000 --> 00:01:08,120 Speaker 3: response in Bloomberg survey that would slow the once a 21 00:01:08,240 --> 00:01:11,240 Speaker 3: quarter pace of cut that has maintained since August twenty 22 00:01:11,319 --> 00:01:14,480 Speaker 3: twenty four. Here's our chief UK economist, Dan Hansen. 23 00:01:15,040 --> 00:01:17,240 Speaker 4: I don't think they will cut, but I think it's 24 00:01:17,280 --> 00:01:19,720 Speaker 4: going to be a tight decision between a cut and 25 00:01:19,760 --> 00:01:21,720 Speaker 4: a hold. I think the bank will want to know 26 00:01:22,319 --> 00:01:24,319 Speaker 4: what exactly is in the budget, and they don't know 27 00:01:24,360 --> 00:01:26,600 Speaker 4: that yet. They can assume, as we've all been assuming 28 00:01:26,680 --> 00:01:28,840 Speaker 4: for the past, coming on for six months now, what 29 00:01:28,959 --> 00:01:30,720 Speaker 4: may or may not be in the budget, and they 30 00:01:30,720 --> 00:01:33,720 Speaker 4: can obviously make assumptions, but they'll want to know. I 31 00:01:33,760 --> 00:01:37,319 Speaker 4: also think, you know, bigger picture, inflation's nearly four percent 32 00:01:37,600 --> 00:01:40,440 Speaker 4: is quite a difficult backdrop for them to cut interest rates. 33 00:01:40,520 --> 00:01:42,560 Speaker 4: It doesn't feel like there's any need to. 34 00:01:42,520 --> 00:01:45,560 Speaker 3: Rush Dan Hanson from Bloomberg Economics there as the BOE 35 00:01:45,600 --> 00:01:48,840 Speaker 3: today also rolls out a new look monetary Policy Report 36 00:01:49,160 --> 00:01:51,360 Speaker 3: and minutes that for the first time, will show each 37 00:01:51,360 --> 00:01:55,320 Speaker 3: of the nine MPC policy makers setting out their views individually. 38 00:01:55,720 --> 00:01:57,920 Speaker 3: We'll have the decision live here on Bloomberg Radio at 39 00:01:57,960 --> 00:02:00,960 Speaker 3: twelve pm in London, followed by special coverage of the 40 00:02:00,960 --> 00:02:04,040 Speaker 3: press conference led by Governor Andrew Bailey half an hour later. 41 00:02:04,520 --> 00:02:08,080 Speaker 2: Well, the UK's biggest business lobby is warning against tax 42 00:02:08,160 --> 00:02:11,560 Speaker 2: hikes in the upcoming budget. Instead, the group is calling 43 00:02:11,560 --> 00:02:16,200 Speaker 2: for measures including improving skills and developing new technology. Bluebag's 44 00:02:16,200 --> 00:02:18,280 Speaker 2: teaba Adebayo has the story. 45 00:02:18,720 --> 00:02:21,760 Speaker 5: Death by a thousand taxes. That's the fate which could 46 00:02:21,800 --> 00:02:25,840 Speaker 5: await UK companies if the Chancellor hikes smaller levies. According 47 00:02:25,919 --> 00:02:30,200 Speaker 5: to the Confederation of British Industry CBI, proposals to boost 48 00:02:30,240 --> 00:02:34,920 Speaker 5: growth include first tracking infrastructure projects, lowering energy costs and 49 00:02:35,000 --> 00:02:39,200 Speaker 5: promoting exports. The caution comes after Rachel Reeves set the 50 00:02:39,240 --> 00:02:42,320 Speaker 5: stage for tax hikes in a pre budget speechless week 51 00:02:42,480 --> 00:02:46,600 Speaker 5: as she seeks to plug the fiscal hole. Lower productivity 52 00:02:46,680 --> 00:02:50,000 Speaker 5: estimates from the Office for Budget Responsibility could mean a 53 00:02:50,080 --> 00:02:53,440 Speaker 5: twenty billion pound hit to the government after the body 54 00:02:53,560 --> 00:02:57,240 Speaker 5: was too optimistic about the economy in recent years. The 55 00:02:57,320 --> 00:03:00,320 Speaker 5: situation could leave the Treasury needing to find as much 56 00:03:00,320 --> 00:03:03,840 Speaker 5: as thirty five billion pounds just to restore the slim 57 00:03:03,840 --> 00:03:07,959 Speaker 5: headroom they had last budget. But despite the downgrade, reports 58 00:03:08,000 --> 00:03:11,200 Speaker 5: in the Financial Times say the Chancellor will spare British 59 00:03:11,240 --> 00:03:14,519 Speaker 5: banks from bigger tax bills, making clear she wants the 60 00:03:14,560 --> 00:03:18,040 Speaker 5: sector to remain competitive in London to had a buyer. 61 00:03:18,160 --> 00:03:20,120 Speaker 2: Bloomberg Radio the. 62 00:03:20,200 --> 00:03:24,000 Speaker 3: US Supreme Court appeared skeptical of President Trump's signature global 63 00:03:24,120 --> 00:03:26,920 Speaker 3: tariff regime, as Justice has questioned the use of an 64 00:03:26,919 --> 00:03:30,560 Speaker 3: emergency powers law to collect tens of billions of dollars 65 00:03:30,639 --> 00:03:33,520 Speaker 3: a month. The court hinted it was ready to put 66 00:03:33,560 --> 00:03:36,680 Speaker 3: significant limits on tariffs for the first time since Trump 67 00:03:36,800 --> 00:03:39,840 Speaker 3: took office in January. Hours after the hearing, the President 68 00:03:39,880 --> 00:03:41,520 Speaker 3: gave his reaction on Fox News. 69 00:03:42,200 --> 00:03:44,080 Speaker 6: I heard the court case went well today, but I 70 00:03:44,160 --> 00:03:46,240 Speaker 6: just heard that a little while ago, because, as you know, 71 00:03:46,280 --> 00:03:49,720 Speaker 6: it's just two hours ago that they finished up. But 72 00:03:50,080 --> 00:03:52,480 Speaker 6: I will say this, it would be devastating for our 73 00:03:52,480 --> 00:03:53,720 Speaker 6: country if we lost their. 74 00:03:53,760 --> 00:03:56,720 Speaker 3: Devastating, President Trump, speaking there on Fox News a special 75 00:03:56,760 --> 00:03:59,960 Speaker 3: report with Brett Bayer. Now, ruling isn't expected for several weeks, 76 00:04:00,000 --> 00:04:03,200 Speaker 3: but a decision against Trump could force refunds and remove 77 00:04:03,280 --> 00:04:06,800 Speaker 3: a major burden on US importer is blunting the effect 78 00:04:06,840 --> 00:04:10,760 Speaker 3: of tariffs as a tool against trading partners well. 79 00:04:10,760 --> 00:04:14,840 Speaker 2: President Trump is hosting a summit with five Central Asian 80 00:04:14,920 --> 00:04:19,360 Speaker 2: countries as Washington steps up its push for influence in 81 00:04:19,520 --> 00:04:23,160 Speaker 2: the mineral rich region where China and Russia have long 82 00:04:23,200 --> 00:04:26,720 Speaker 2: held sway. It comes as the EU's Economy Commissioner has 83 00:04:26,760 --> 00:04:30,479 Speaker 2: told Bloomberg Radio the Bloc is now offering technology and 84 00:04:30,600 --> 00:04:35,760 Speaker 2: financing to other countries to develop sources of those key minerals. 85 00:04:36,000 --> 00:04:39,520 Speaker 2: Valdis don Bovski says that China's twelve month suspension of 86 00:04:39,680 --> 00:04:43,680 Speaker 2: rare earth export curbs by his time, but it doesn't 87 00:04:43,720 --> 00:04:45,520 Speaker 2: resolve the issue. 88 00:04:45,200 --> 00:04:48,320 Speaker 7: In a sense. It's address as short term concerns, but 89 00:04:48,480 --> 00:04:53,320 Speaker 7: it also shows vulnerability which we are facing in terms 90 00:04:53,360 --> 00:05:00,160 Speaker 7: of supplies and zerofour We also must work towards diversification. 91 00:04:59,480 --> 00:05:03,760 Speaker 2: Of Also, European Economy Commissioner of Eldis don Boskis. He 92 00:05:03,839 --> 00:05:06,960 Speaker 2: went on to also signal that the EU is willing 93 00:05:07,000 --> 00:05:11,919 Speaker 2: to accommodate international concerns about its ESG rules as the 94 00:05:11,960 --> 00:05:15,040 Speaker 2: Bloc fields threats from the US and cutter. 95 00:05:15,520 --> 00:05:18,479 Speaker 3: In videos, CEO Janson Hwang has warned that Beijing is 96 00:05:18,520 --> 00:05:21,520 Speaker 3: currently on track to take the lead in artificial intelligence. 97 00:05:21,520 --> 00:05:24,839 Speaker 1: Bloomberg's Euan Parts has more China is going to win 98 00:05:24,920 --> 00:05:27,520 Speaker 1: the AI race. Those are the start words of the 99 00:05:27,520 --> 00:05:30,400 Speaker 1: boss of the world's most valuable company. Speaking to the 100 00:05:30,440 --> 00:05:33,560 Speaker 1: Financial Times and Videos, Jensen Wang says that the West, 101 00:05:33,640 --> 00:05:36,040 Speaker 1: including the US and UK, was being held back by 102 00:05:36,080 --> 00:05:39,719 Speaker 1: what he called cynicism. He says that lower energy costs 103 00:05:39,760 --> 00:05:44,040 Speaker 1: and looser regulations are adding to Beijing's advantages. Wang's remarks 104 00:05:44,040 --> 00:05:46,560 Speaker 1: come after the Trump administration maintained its ban on in 105 00:05:46,640 --> 00:05:49,839 Speaker 1: video selling its most advanced chips to China following the 106 00:05:49,839 --> 00:05:53,279 Speaker 1: Trumps summit last week in London, i'm un pots Bloomberg 107 00:05:53,360 --> 00:05:54,200 Speaker 1: Radio Now. 108 00:05:54,240 --> 00:05:57,640 Speaker 2: The US plans to cut domestic flight capacity by ten 109 00:05:57,720 --> 00:06:01,919 Speaker 2: percent at forty major airport across the country if the 110 00:06:02,000 --> 00:06:06,320 Speaker 2: government shut down continues. The Federal Aviation Administration made the 111 00:06:06,360 --> 00:06:09,599 Speaker 2: decision to ease pressure on air traffic controllers, who have 112 00:06:09,640 --> 00:06:14,760 Speaker 2: been reporting staff shortages and issues with fatigue. Transportation Secutory 113 00:06:14,800 --> 00:06:18,120 Speaker 2: Sean Duffy says the situation is fluid, but safety is 114 00:06:18,120 --> 00:06:18,800 Speaker 2: the priority. 115 00:06:19,880 --> 00:06:23,480 Speaker 8: I anticipate there will be additional disruptions, There'll be frustration. 116 00:06:24,160 --> 00:06:26,880 Speaker 8: We are working with the airlines, They're going to work 117 00:06:26,880 --> 00:06:30,599 Speaker 8: with passengers, but in the end, our sole role is 118 00:06:30,640 --> 00:06:33,359 Speaker 8: to make sure that we keep this airspace as safe 119 00:06:33,360 --> 00:06:34,040 Speaker 8: as possible. 120 00:06:34,960 --> 00:06:38,080 Speaker 2: Duffy added that any further restrictions on flights will be 121 00:06:38,120 --> 00:06:42,440 Speaker 2: determined by data. The FAA said that flight reductions are 122 00:06:42,480 --> 00:06:47,920 Speaker 2: expected to be staggered heading into the weekend, and international 123 00:06:48,000 --> 00:06:49,600 Speaker 2: routes won't be affected. 124 00:06:50,440 --> 00:06:52,520 Speaker 3: Those are your top stories on the markets. We are 125 00:06:52,560 --> 00:06:55,039 Speaker 3: seeing somewhat of a rebound and Asian stocks today, dip 126 00:06:55,080 --> 00:06:57,960 Speaker 3: bio stepping in the mscis specific index up by one 127 00:06:58,040 --> 00:07:00,279 Speaker 3: point one percent, the NICKA in Tokyo one point four 128 00:07:00,320 --> 00:07:02,880 Speaker 3: percent higher, That Hangs Hangs up by one point seven percent. 129 00:07:03,120 --> 00:07:05,480 Speaker 3: European stock future is pretty flat at the moment. On 130 00:07:05,520 --> 00:07:07,800 Speaker 3: Wall Street. They're slightly lower two tents lower for Nasdaq 131 00:07:07,880 --> 00:07:11,000 Speaker 3: futures after we saw that index rebound by seven tenths 132 00:07:11,000 --> 00:07:14,240 Speaker 3: of one percent yesterday. Elsewhere and markets, we're also keeping 133 00:07:14,240 --> 00:07:16,720 Speaker 3: an eye on gold prices up two tents at three 134 00:07:17,160 --> 00:07:19,240 Speaker 3: nine hundred and eighty six dollars at troyats. 135 00:07:20,280 --> 00:07:20,440 Speaker 5: Well. 136 00:07:20,480 --> 00:07:22,160 Speaker 2: In a moment, we'll look ahead to the Bank of 137 00:07:22,200 --> 00:07:25,760 Speaker 2: England's rate decision and analyze what emerged from the US 138 00:07:25,880 --> 00:07:29,080 Speaker 2: Supreme Court hearing over Donald Trump's tariffs. Plus, we're also 139 00:07:29,120 --> 00:07:32,160 Speaker 2: going to bring you the special interview that Stephen has 140 00:07:32,200 --> 00:07:35,360 Speaker 2: done with the EU Economy Commission of Aldis Dombrovskis, who's 141 00:07:35,400 --> 00:07:39,080 Speaker 2: been speaking to us about Ukraine trade with China and 142 00:07:39,120 --> 00:07:43,440 Speaker 2: the pressure on the EU to water down its climate rules. Stephen, 143 00:07:43,600 --> 00:07:45,840 Speaker 2: I saw some nice photographs of US city, next of 144 00:07:45,920 --> 00:07:48,760 Speaker 2: Eldis Dombrovskis in the Brussels studio. You're getting to know 145 00:07:48,800 --> 00:07:50,680 Speaker 2: the commissioners now, Yeah, I'm. 146 00:07:50,600 --> 00:07:52,120 Speaker 3: Just making my way around, you know, I have to 147 00:07:52,160 --> 00:07:54,040 Speaker 3: meet them all eventually. It's a lot of handshaking to do, 148 00:07:54,080 --> 00:07:56,640 Speaker 3: and you've got twenty seven of them to meet Caroline 149 00:07:56,640 --> 00:07:58,200 Speaker 3: as well. Before we get into those stories as well, 150 00:07:58,240 --> 00:08:01,280 Speaker 3: I wanted to mention another story that we've been reading 151 00:08:01,320 --> 00:08:03,760 Speaker 3: this morning. For perhaps you know you're looking to make 152 00:08:03,800 --> 00:08:06,640 Speaker 3: a new investment, and why not buy a sports team, 153 00:08:06,800 --> 00:08:08,720 Speaker 3: or at least part of one. This is something our 154 00:08:08,760 --> 00:08:11,040 Speaker 3: colleague Ben Stubbles has been reporting on that he covers 155 00:08:11,080 --> 00:08:13,600 Speaker 3: the ultra rich, and he says that super rich clients 156 00:08:13,600 --> 00:08:16,840 Speaker 3: at JP Morgan are now being increasingly attracted to invest 157 00:08:16,880 --> 00:08:20,520 Speaker 3: in teams because they see it as something that can 158 00:08:20,600 --> 00:08:23,440 Speaker 3: provide them with decent returns. It's not just a passion 159 00:08:23,520 --> 00:08:28,160 Speaker 3: project anymore. According to their figures, twenty percent of one 160 00:08:28,240 --> 00:08:31,800 Speaker 3: hundred and eleven billionaire families that were surveyed by them 161 00:08:31,920 --> 00:08:34,760 Speaker 3: now and controlling stakes in sports teams. That's up from 162 00:08:35,000 --> 00:08:38,000 Speaker 3: six percent three years ago as well. So an increasing 163 00:08:38,160 --> 00:08:40,480 Speaker 3: number of interest institutional investors are also getting in on 164 00:08:40,520 --> 00:08:41,079 Speaker 3: this as well. 165 00:08:41,559 --> 00:08:43,400 Speaker 2: Yeah, I think it's really fascinating. I mean just look 166 00:08:43,440 --> 00:08:46,360 Speaker 2: at in the UK, people like Jim Ratcliffe are taking 167 00:08:46,400 --> 00:08:50,280 Speaker 2: that controlling stake in Majesty United only last year. I 168 00:08:50,320 --> 00:08:52,839 Speaker 2: mean that was one and a half billion dollars worth 169 00:08:52,880 --> 00:08:55,679 Speaker 2: to buy about. Well, yeah, it's a team that has 170 00:08:55,679 --> 00:08:58,760 Speaker 2: struggled somewhat, but no, I think it's very interesting that. Yeah, 171 00:08:58,800 --> 00:09:03,280 Speaker 2: forget art, you know, cars or why maybe now it's 172 00:09:03,280 --> 00:09:04,600 Speaker 2: at about the sports team. 173 00:09:04,840 --> 00:09:06,880 Speaker 3: I feel like this is real life ted Lassa was 174 00:09:06,920 --> 00:09:09,280 Speaker 3: happening in front of us, so familiar with the TV 175 00:09:09,360 --> 00:09:13,640 Speaker 3: series as anyway, let's turn to the Bank of England 176 00:09:13,679 --> 00:09:17,800 Speaker 3: decision today. Now expected to hold interest rates steady. Policymakers 177 00:09:17,960 --> 00:09:20,079 Speaker 3: likely to be cautious given the budget looming in three 178 00:09:20,120 --> 00:09:22,480 Speaker 3: weeks time, despite assurances in the Chancellor that she won't 179 00:09:22,520 --> 00:09:25,320 Speaker 3: add to inflation. Our UK correspondent Lizzie Burden is with 180 00:09:25,400 --> 00:09:27,800 Speaker 3: us for more this morning. Lizzie set us up then 181 00:09:27,840 --> 00:09:28,800 Speaker 3: for today's decision. 182 00:09:29,320 --> 00:09:31,360 Speaker 9: Well, Stephen, as you say, the expectation is that they're 183 00:09:31,400 --> 00:09:34,360 Speaker 9: going to hold rates at four percent and that would 184 00:09:34,360 --> 00:09:36,840 Speaker 9: break with the quarterly cadence of rate cuts that they've 185 00:09:36,880 --> 00:09:39,520 Speaker 9: been in since last August, and it would break with 186 00:09:39,640 --> 00:09:43,400 Speaker 9: the Fed. But do be on for a surprise cut today. 187 00:09:43,440 --> 00:09:47,560 Speaker 9: It's what Nomura, Barclays and Goldman Sachs all see. And 188 00:09:47,640 --> 00:09:49,679 Speaker 9: even if they do hold rates, it could be a 189 00:09:49,720 --> 00:09:52,160 Speaker 9: really tight vote split. It could hinge on the governor. 190 00:09:52,400 --> 00:09:55,680 Speaker 9: Even if most economists see a six' three. Split why 191 00:09:56,160 --> 00:09:58,240 Speaker 9: is it going to be so? Tight, well they're inching 192 00:09:58,320 --> 00:10:02,920 Speaker 9: towards neutral, rates the race that neither constrains nor stimulates the, 193 00:10:02,960 --> 00:10:05,400 Speaker 9: economy and we just don't know where that. Is most 194 00:10:05,440 --> 00:10:08,720 Speaker 9: economists think it's three. Percent but as we get closer and, 195 00:10:08,800 --> 00:10:12,559 Speaker 9: closer the more carefully and slowly The Monetary Policy committee 196 00:10:12,600 --> 00:10:15,280 Speaker 9: is likely to want to. Move the other elephant in 197 00:10:15,320 --> 00:10:17,800 Speaker 9: the room, here of, course is the budget On november 198 00:10:17,840 --> 00:10:21,640 Speaker 9: the twenty. Sixth then, yes The Chancellor Rachel reeves promised 199 00:10:21,640 --> 00:10:23,840 Speaker 9: this week that it's going to be, disinflationary BUT i 200 00:10:23,880 --> 00:10:25,880 Speaker 9: doubt that The Military Policy committee is going to want 201 00:10:25,880 --> 00:10:27,600 Speaker 9: to vote as if it will. Be they'll want to 202 00:10:27,600 --> 00:10:31,120 Speaker 9: see the policies for. Themselves and indeed it means that 203 00:10:31,160 --> 00:10:34,920 Speaker 9: the updated forecast today are somewhat. Moot the expectation is 204 00:10:34,960 --> 00:10:38,240 Speaker 9: that the inflation outlook's going to be downgraded for this 205 00:10:38,320 --> 00:10:41,240 Speaker 9: year and next compared to The august, projection and that 206 00:10:41,280 --> 00:10:44,680 Speaker 9: the growth and unemployment outlooks are going to stay the. 207 00:10:44,720 --> 00:10:46,560 Speaker 9: Same but we need to take that with a pinch of. 208 00:10:46,600 --> 00:10:49,000 Speaker 9: Salt and we don't know what's in the budget. Yet 209 00:10:49,280 --> 00:10:51,520 Speaker 9: But i'm really interested to hear what the governor has 210 00:10:51,559 --> 00:10:55,080 Speaker 9: to say about The chancellor and her. Budget remember On 211 00:10:55,120 --> 00:10:57,800 Speaker 9: tuesday she had some shots to fire at THE boe 212 00:10:57,920 --> 00:11:01,040 Speaker 9: for having rates at four. Percent she says it's straining business. 213 00:11:01,120 --> 00:11:03,640 Speaker 9: Borrowing some have said that's a bit trum. Pesque SO 214 00:11:03,679 --> 00:11:05,559 Speaker 9: i wonder What Andrew bailey has to say about. 215 00:11:05,559 --> 00:11:08,520 Speaker 2: That, yeah so what will the press conference be focused? 216 00:11:08,520 --> 00:11:11,080 Speaker 9: On, well we want to know when the next cut is. 217 00:11:11,080 --> 00:11:14,080 Speaker 9: Coming if it isn't, today how long will this pause? 218 00:11:14,160 --> 00:11:15,559 Speaker 9: Be is it next. 219 00:11:15,559 --> 00:11:17,520 Speaker 2: Cut coming In? December and for. 220 00:11:17,559 --> 00:11:20,920 Speaker 9: Clues about, That i'm really interested how the governor characterizes 221 00:11:21,000 --> 00:11:25,120 Speaker 9: that latest inflation reading three point eight. Percent it's less 222 00:11:25,120 --> 00:11:27,520 Speaker 9: than The bank Of england had, forecast it's less than 223 00:11:27,920 --> 00:11:31,360 Speaker 9: consensus forecast, was but it's still nearly twice THE boees. 224 00:11:31,440 --> 00:11:34,360 Speaker 9: Target how do they talk about the labor market the 225 00:11:34,440 --> 00:11:37,040 Speaker 9: last time they had a, meeting there were lots of, 226 00:11:37,120 --> 00:11:42,520 Speaker 9: warnings hawkish hints about food price, inflation inflation. Expectations if 227 00:11:42,559 --> 00:11:45,600 Speaker 9: the communications Today carolina are very, dubbish or indeed if 228 00:11:45,600 --> 00:11:48,640 Speaker 9: they cut we could see this continued out performance for 229 00:11:48,640 --> 00:11:51,520 Speaker 9: guilts that we saw all Through, october and one dollar 230 00:11:51,559 --> 00:11:54,000 Speaker 9: thirty really is the key level for the pound that 231 00:11:54,000 --> 00:11:54,440 Speaker 9: we need to. 232 00:11:54,440 --> 00:11:59,640 Speaker 3: Watch, lizzie you mentioned The chancellor's comments in terms of 233 00:11:59,679 --> 00:12:02,160 Speaker 3: The bank Of england's rate where it is? Now is 234 00:12:02,200 --> 00:12:04,679 Speaker 3: it a two way street from Thread Needle street To? 235 00:12:04,720 --> 00:12:07,440 Speaker 3: Westminster are there signals that could come from The bank 236 00:12:07,480 --> 00:12:10,719 Speaker 3: Of england that might be helpful or perhaps hindrance To 237 00:12:10,800 --> 00:12:13,120 Speaker 3: Rachel reeves as we're counting down to the, Budget. 238 00:12:13,000 --> 00:12:16,000 Speaker 9: Well Rachel reeves could be the biggest beneficiary from what 239 00:12:16,080 --> 00:12:19,320 Speaker 9: The bank Of england. Does if the most optimistic forecasts 240 00:12:19,360 --> 00:12:21,520 Speaker 9: are right and THE boe cuts rates to three percent 241 00:12:21,600 --> 00:12:25,520 Speaker 9: eventually she could bank around ten billion pounds at next 242 00:12:25,559 --> 00:12:28,840 Speaker 9: year's budget in lower borrowing costs when compared to the 243 00:12:28,840 --> 00:12:32,040 Speaker 9: three point eight percent inter straight floor that's forecast by 244 00:12:32,040 --> 00:12:35,480 Speaker 9: The office For Budget, responsibility the fiscal watchdog In, March 245 00:12:35,880 --> 00:12:39,440 Speaker 9: and so she really needs The boe to cut, rates 246 00:12:39,440 --> 00:12:42,040 Speaker 9: and that's WHY i reckon that her speech On, Tuesday 247 00:12:42,360 --> 00:12:44,800 Speaker 9: yes was aimed a bit at, Voters, yes was aimed 248 00:12:44,800 --> 00:12:47,840 Speaker 9: a bit at bond, markets but the real target audience 249 00:12:48,080 --> 00:12:50,120 Speaker 9: was across the road FROM us Thread Needle, street The 250 00:12:50,120 --> 00:12:50,360 Speaker 9: bank Of. 251 00:12:50,360 --> 00:12:53,079 Speaker 2: England, lizzie thank you so much for being with, us 252 00:12:53,080 --> 00:12:55,320 Speaker 2: so we look forward to the decision from The bank Of. 253 00:12:55,360 --> 00:12:56,880 Speaker 2: England that is OUR uk, Correspondent. 254 00:12:56,920 --> 00:13:00,000 Speaker 3: Lizzibuden now THE Us Supreme court has hinted it's ready 255 00:13:00,040 --> 00:13:02,920 Speaker 3: to put limits On President Donald trump's power to impose 256 00:13:03,040 --> 00:13:06,720 Speaker 3: sweeping global. Tariffs the signals came during a three hour hearing, 257 00:13:06,800 --> 00:13:10,360 Speaker 3: yesterday although ruling isn't expected for several. Weeks let's bring 258 00:13:10,360 --> 00:13:13,440 Speaker 3: in Our chiefhasor Correspondent Rosalind matheson for more on this. 259 00:13:13,760 --> 00:13:16,520 Speaker 3: Ross what was said then during this hearing and why 260 00:13:16,600 --> 00:13:20,000 Speaker 3: is it being interpreted as potentially being bad news For Donald. 261 00:13:20,040 --> 00:13:23,280 Speaker 10: Trump, well as you were saying, that the court did 262 00:13:23,280 --> 00:13:27,200 Speaker 10: appear a bit skeptical really Of Donald trump's tariff agenda 263 00:13:27,240 --> 00:13:31,040 Speaker 10: and his approach to imposing many of these tariffs around the, 264 00:13:31,080 --> 00:13:34,000 Speaker 10: world and people were passing that for clues as to 265 00:13:34,080 --> 00:13:37,560 Speaker 10: how they might issue their final ruling likely before the 266 00:13:37,640 --> 00:13:39,320 Speaker 10: end of the, year and the feeling that The court 267 00:13:39,400 --> 00:13:42,600 Speaker 10: is edging towards putting some limits On Donald. Trump that's 268 00:13:42,640 --> 00:13:47,319 Speaker 10: because you did, have you, know across the, divide skepticism coming, 269 00:13:47,320 --> 00:13:51,440 Speaker 10: in including from some of the more supportive members of the, 270 00:13:51,480 --> 00:13:54,520 Speaker 10: court you would, say potentially For Donald trump's, agenda and 271 00:13:54,520 --> 00:13:57,520 Speaker 10: the more conservative. Judges you had The Chief Justice Don, 272 00:13:57,600 --> 00:14:00,680 Speaker 10: roberts you, know he called the tariffs an imposition taxes On. 273 00:14:00,760 --> 00:14:05,720 Speaker 10: Americans you had A trump, Appointee Amy Cony. Barrett she 274 00:14:05,760 --> 00:14:09,600 Speaker 10: was asking pretty probing, questions albeit of both, sides but 275 00:14:09,679 --> 00:14:12,840 Speaker 10: she wasn't holding, back and she was asking how refunds 276 00:14:12,880 --> 00:14:16,800 Speaker 10: would work if the tariffs were to be, invalidating saying 277 00:14:16,800 --> 00:14:19,040 Speaker 10: she felt it could be quite a. Mess and so 278 00:14:19,160 --> 00:14:22,800 Speaker 10: you had really some fairly hard questioning coming from both 279 00:14:22,840 --> 00:14:25,240 Speaker 10: sides of the. Aisle it's not surprising to see that 280 00:14:25,280 --> 00:14:27,480 Speaker 10: coming from the more liberal, judges but to see it 281 00:14:27,520 --> 00:14:31,640 Speaker 10: from the conservative judges also just raising again the expectation 282 00:14:31,800 --> 00:14:34,640 Speaker 10: that perhaps the, court in this, case The Supreme, court 283 00:14:34,760 --> 00:14:38,480 Speaker 10: might decide to impose some limits On trump's. Agenda. 284 00:14:39,000 --> 00:14:41,920 Speaker 2: Yeah, ABSOLUTELY i mean the questioning the hearing last is 285 00:14:41,920 --> 00:14:44,960 Speaker 2: something like three hours if the court were to rule 286 00:14:45,280 --> 00:14:48,480 Speaker 2: That trump has overstepped in terms of his authority and 287 00:14:48,560 --> 00:14:52,560 Speaker 2: imposing these global, tariffs what would that actually. Mean, well 288 00:14:52,560 --> 00:14:53,040 Speaker 2: that's the big. 289 00:14:53,120 --> 00:14:55,880 Speaker 10: Question and, really you, know either, way you're going to 290 00:14:55,880 --> 00:14:59,360 Speaker 10: see a lot of the uncertainty continue around tariffs And 291 00:14:59,400 --> 00:15:03,400 Speaker 10: Donald trump's approach and the reality for companies and countries, 292 00:15:03,720 --> 00:15:06,040 Speaker 10: alike because even if the court does go in the 293 00:15:06,040 --> 00:15:09,120 Speaker 10: direction of imposing some, limits there are other, leavers arguably 294 00:15:09,160 --> 00:15:12,560 Speaker 10: At Donald trump's, disposal that he can turn towards instead 295 00:15:13,000 --> 00:15:15,960 Speaker 10: to try and keep the tariff regime. Going so there's 296 00:15:15,960 --> 00:15:19,240 Speaker 10: the question of whether he uses other mechanisms to try 297 00:15:19,240 --> 00:15:20,400 Speaker 10: and keep tariffs in. 298 00:15:20,360 --> 00:15:22,120 Speaker 2: Place or at least a part of. 299 00:15:22,160 --> 00:15:23,800 Speaker 10: It there's a question of what do you do if 300 00:15:23,800 --> 00:15:26,720 Speaker 10: you've already been hit by tariff's and a company paying 301 00:15:26,760 --> 00:15:30,440 Speaker 10: Those can you get? Restitution can you essentially get a? 302 00:15:30,520 --> 00:15:33,040 Speaker 10: Refund and it's really not that easy for that to. 303 00:15:33,120 --> 00:15:36,480 Speaker 10: HAPPEN i, mean it's basically paper checks and the government 304 00:15:36,480 --> 00:15:39,320 Speaker 10: would have to be inclined to start issuing. Them you, 305 00:15:39,320 --> 00:15:42,160 Speaker 10: know some of our reporters in THE us talk to 306 00:15:42,240 --> 00:15:45,000 Speaker 10: some company owners who is actually, said we've written this. 307 00:15:45,080 --> 00:15:46,760 Speaker 10: Off you, know this is a sunk. Cost we're not 308 00:15:46,800 --> 00:15:49,600 Speaker 10: going to get this money back either, way even if 309 00:15:49,600 --> 00:15:53,200 Speaker 10: the court does rule in our. Favor so the reality 310 00:15:53,240 --> 00:15:56,720 Speaker 10: of whether you, know companies get refunds or others get 311 00:15:56,760 --> 00:15:59,520 Speaker 10: refunds if the court rules in that direction is very very. 312 00:15:59,640 --> 00:16:02,680 Speaker 10: Unclear it could be an, impact of, course on countries 313 00:16:02,680 --> 00:16:05,280 Speaker 10: that are still negotiating trade deals with THE. Us did 314 00:16:05,320 --> 00:16:07,520 Speaker 10: they look at this and, say, well hang, On perhaps 315 00:16:07,520 --> 00:16:09,240 Speaker 10: the ball is a little bit in our court in 316 00:16:09,240 --> 00:16:11,760 Speaker 10: the way that we negotiate or the kinds of things 317 00:16:11,760 --> 00:16:14,080 Speaker 10: we're willing to agree on as part of. It so 318 00:16:14,120 --> 00:16:17,320 Speaker 10: there's sort of three tiers potentially of impact, there depending 319 00:16:17,320 --> 00:16:18,040 Speaker 10: on which way the court. 320 00:16:18,080 --> 00:16:20,560 Speaker 3: Goes we're very interested to see when we do get that, 321 00:16:20,680 --> 00:16:23,800 Speaker 3: ruling which way the justices do decide to. Lean another 322 00:16:24,000 --> 00:16:26,640 Speaker 3: strand of this trade, story, though we've been talking about 323 00:16:26,640 --> 00:16:30,240 Speaker 3: the rare earth curves From china and that has meant 324 00:16:30,280 --> 00:16:33,920 Speaker 3: for supplies of these critical. Minerals Donald trump's meeting representatives 325 00:16:33,880 --> 00:16:37,680 Speaker 3: from Five Central asian countries as a global race for natural? 326 00:16:37,720 --> 00:16:40,400 Speaker 3: Resources hearts up what should we be expecting from this? 327 00:16:40,560 --> 00:16:42,600 Speaker 3: Meeting AND i suppose how does it fit into efforts 328 00:16:42,640 --> 00:16:45,320 Speaker 3: that others are making to try and woo mineral rich 329 00:16:45,360 --> 00:16:46,280 Speaker 3: countries to secure. 330 00:16:46,320 --> 00:16:47,960 Speaker 2: Supplies, well that's. 331 00:16:48,040 --> 00:16:51,480 Speaker 10: Right everybody's racing for us these, days including THE, us 332 00:16:51,520 --> 00:16:53,480 Speaker 10: and Certainly Donald trump has made it a key part 333 00:16:53,520 --> 00:16:57,080 Speaker 10: of a lot of his negotiations with countries around the, 334 00:16:57,120 --> 00:16:59,760 Speaker 10: world including his trade. Negotiations what are you willing to 335 00:16:59,760 --> 00:17:02,800 Speaker 10: give us in terms of rare? Earth and he's hosting this, 336 00:17:02,920 --> 00:17:06,919 Speaker 10: summit as you, say of these five, countries it'll be 337 00:17:06,960 --> 00:17:08,919 Speaker 10: interesting to see it happen at The White. House it 338 00:17:08,960 --> 00:17:12,400 Speaker 10: gives it that extra level of prestige potentially for these 339 00:17:12,400 --> 00:17:16,000 Speaker 10: countries and these. Leaders but arguably he's doing so also 340 00:17:16,119 --> 00:17:19,240 Speaker 10: because he's wanting to hear from them what the relationship 341 00:17:19,280 --> 00:17:21,159 Speaker 10: with THE us is going to be and whether THE 342 00:17:21,280 --> 00:17:24,280 Speaker 10: us can get access to some of the rare earths 343 00:17:24,359 --> 00:17:27,720 Speaker 10: or the critical minerals that are residing in these. Countries 344 00:17:27,720 --> 00:17:30,080 Speaker 10: but as you, say he's got some competition there because 345 00:17:30,080 --> 00:17:32,000 Speaker 10: this is an area that has long been the, domain 346 00:17:32,480 --> 00:17:35,679 Speaker 10: arguably Of china And russia and rivalry Between china And 347 00:17:35,720 --> 00:17:38,480 Speaker 10: russia in that, region and some of the countries have 348 00:17:38,560 --> 00:17:41,399 Speaker 10: been concerned Since russia's invasion Of ukraine of being sides 349 00:17:41,400 --> 00:17:41,800 Speaker 10: wiped by. 350 00:17:41,880 --> 00:17:43,280 Speaker 2: Sanctions so they're. 351 00:17:43,160 --> 00:17:45,919 Speaker 10: Not necessarily all In russia's corner at the, moment But 352 00:17:46,040 --> 00:17:48,880 Speaker 10: china is a very big presence there, also and even 353 00:17:48,880 --> 00:17:52,680 Speaker 10: THE eu is looking to diversify and open conversations. There 354 00:17:52,720 --> 00:17:56,000 Speaker 10: so there's quite a bit of competition in this region 355 00:17:56,400 --> 00:18:00,480 Speaker 10: between all those powers for access to rare. Earth and 356 00:18:00,520 --> 00:18:03,160 Speaker 10: perhaps that's some leverage for these countries in terms of 357 00:18:03,480 --> 00:18:06,040 Speaker 10: whom or to whom they decide to ship these things. 358 00:18:06,040 --> 00:18:10,080 Speaker 2: Too, yeah absolutely is huge, question isn't it? Rare thank 359 00:18:10,119 --> 00:18:12,000 Speaker 2: you so Much rolis for being with. Us that Is 360 00:18:12,000 --> 00:18:17,760 Speaker 2: bloomberg's Chief asia correspondent was in, matheson thank you stay with. 361 00:18:17,840 --> 00:18:20,560 Speaker 2: Us more From Bloomberg daybaqube coming up after. 362 00:18:20,600 --> 00:18:20,760 Speaker 5: This. 363 00:18:22,000 --> 00:18:24,840 Speaker 3: Well that global race for raw materials are particularly rare earth, 364 00:18:24,920 --> 00:18:27,199 Speaker 3: minerals is a key part of the Conversation i've been 365 00:18:27,240 --> 00:18:30,600 Speaker 3: having with the E's Economy, Commissioner Valdostan. Brovskis he joined 366 00:18:30,640 --> 00:18:33,000 Speaker 3: me in Our brussels studio to talk about wide range of, 367 00:18:33,040 --> 00:18:35,800 Speaker 3: issues including the push from THE us And katar for 368 00:18:35,840 --> 00:18:38,439 Speaker 3: THE eu to water down some of its climate. Rules 369 00:18:38,680 --> 00:18:41,960 Speaker 3: my conversation With Valdestan brovskis began With ukraine and The 370 00:18:41,960 --> 00:18:45,880 Speaker 3: European commission's progress on a plan to use Frozen russian 371 00:18:45,920 --> 00:18:47,080 Speaker 3: assets to Support. 372 00:18:47,160 --> 00:18:50,920 Speaker 7: Kiev So European consul tasks The commission now to work 373 00:18:51,000 --> 00:18:54,600 Speaker 7: on a funding, Options so that's why we're currently. Preparing 374 00:18:54,720 --> 00:18:58,359 Speaker 7: but also we held made clear that we see this 375 00:18:58,800 --> 00:19:04,800 Speaker 7: reparation loan still as a main and most feasible, options 376 00:19:04,800 --> 00:19:09,000 Speaker 7: so we continue also the technical work on preparation on 377 00:19:09,560 --> 00:19:14,679 Speaker 7: reparations a, loan also engagement With belgium authorities concerning the 378 00:19:15,640 --> 00:19:19,959 Speaker 7: guarantees which they need in a sense to agree to 379 00:19:20,000 --> 00:19:24,679 Speaker 7: this reparation. Loan but in a sense this is a 380 00:19:24,720 --> 00:19:29,280 Speaker 7: proposal which addresses many. Issues first of, all they are 381 00:19:29,359 --> 00:19:33,920 Speaker 7: very sizeable funding Needs ukraine is, facing SO imf is 382 00:19:33,960 --> 00:19:37,760 Speaker 7: putting it at sixty billion dollars for the next two, 383 00:19:37,800 --> 00:19:40,720 Speaker 7: years and that's without military, support which comes in a 384 00:19:40,800 --> 00:19:45,680 Speaker 7: similar order of. Magnitude and also A memphi is concerned 385 00:19:45,800 --> 00:19:49,639 Speaker 7: about depth sustainability In, ukraine so we cannot just continue 386 00:19:49,680 --> 00:19:55,320 Speaker 7: with giving. Loans obviously grants is an, option but a 387 00:19:55,480 --> 00:19:58,040 Speaker 7: question Whether member states would agree to provide grants on 388 00:19:58,080 --> 00:20:02,840 Speaker 7: that scale for this reparation, loan Which ukraine would only 389 00:20:02,880 --> 00:20:07,200 Speaker 7: need to repay Once russia pays reparation is a good 390 00:20:07,440 --> 00:20:12,000 Speaker 7: option because it Addresses ukraine's funding, needs it does not 391 00:20:12,440 --> 00:20:16,680 Speaker 7: create problems with depth sustainability In, ukraine and it falls 392 00:20:16,840 --> 00:20:20,320 Speaker 7: short of confiscation Of russian, assets which as we know 393 00:20:20,680 --> 00:20:25,440 Speaker 7: is says a step too far for a number of member. 394 00:20:25,480 --> 00:20:28,120 Speaker 3: States what sort of engagements have you had With belgium 395 00:20:28,119 --> 00:20:31,040 Speaker 3: SINCE fas meeting and have you had any indication that 396 00:20:31,080 --> 00:20:33,920 Speaker 3: they are being reassured by the proposals that The commission is. 397 00:20:33,960 --> 00:20:38,920 Speaker 7: Developing we continue working on this in a, sense it's 398 00:20:39,160 --> 00:20:42,800 Speaker 7: clear understunderstanding is there also On commission side that we 399 00:20:43,280 --> 00:20:46,320 Speaker 7: need to be serious about those concerns and we need 400 00:20:46,359 --> 00:20:47,639 Speaker 7: to find a good way to. 401 00:20:48,320 --> 00:20:52,160 Speaker 3: Otherism let's turned to some of the other major challenges 402 00:20:52,200 --> 00:20:55,280 Speaker 3: facing THE eu economy as. Well The e's been negotiating 403 00:20:55,320 --> 00:20:58,040 Speaker 3: With china over access to. Rarer it's after deal that 404 00:20:58,080 --> 00:21:00,720 Speaker 3: we saw signed between THE us And beijing to export. 405 00:21:00,840 --> 00:21:04,280 Speaker 3: Curves you said you've seen positive signals From china coming 406 00:21:04,400 --> 00:21:07,080 Speaker 3: on those. Measures what more can you tell us about those? 407 00:21:07,080 --> 00:21:11,760 Speaker 7: Signals, Well china basically agreed now to suspend those expert 408 00:21:11,840 --> 00:21:16,240 Speaker 7: controls or postpone those xpont controls by one, year so 409 00:21:16,320 --> 00:21:23,040 Speaker 7: that obviously give us more time for engagement and addressing 410 00:21:23,080 --> 00:21:26,679 Speaker 7: this issue in a forward looking. Way so there is 411 00:21:27,080 --> 00:21:32,439 Speaker 7: in sense positive short term. Developments but obviously we must 412 00:21:32,720 --> 00:21:36,080 Speaker 7: keep in mind that we need to work on diversification 413 00:21:36,200 --> 00:21:40,600 Speaker 7: of our supply chains because, currently as Concerns rarere's critical, 414 00:21:40,640 --> 00:21:45,800 Speaker 7: minerals many of those supply chains are eighty ninety more 415 00:21:45,840 --> 00:21:52,960 Speaker 7: than ninety percent dominated By. China, therefore we must work 416 00:21:53,040 --> 00:21:57,280 Speaker 7: on diversification because that's how we achieve resilience of. Supplies 417 00:21:57,440 --> 00:22:01,359 Speaker 7: that why we're accelerating work on our own materials. Strategy 418 00:22:01,840 --> 00:22:04,760 Speaker 7: so that's Why i'm engaging in raw materials partnership with 419 00:22:04,800 --> 00:22:08,359 Speaker 7: a number of countries around the, world and also coordinating 420 00:22:08,840 --> 00:22:13,200 Speaker 7: this approach with like minded, partners including in a framework 421 00:22:13,200 --> 00:22:13,399 Speaker 7: OF g. 422 00:22:13,520 --> 00:22:16,480 Speaker 3: Seven so are you satisfied that the supply chain for 423 00:22:16,640 --> 00:22:19,400 Speaker 3: now is stable while that exemption has been. Granted i'm 424 00:22:19,440 --> 00:22:21,960 Speaker 3: just wondering about the broader risk to The european economics from. 425 00:22:21,960 --> 00:22:24,199 Speaker 3: This we've had warnings and the likes Of, volkswagen for, 426 00:22:24,240 --> 00:22:27,440 Speaker 3: example about the IMPACT i could have on their supplies upcoming. 427 00:22:27,480 --> 00:22:32,159 Speaker 7: Too in a, sense it addresses short term, concerns but 428 00:22:32,280 --> 00:22:37,200 Speaker 7: it also shows vulnerability which we are facing in terms 429 00:22:37,240 --> 00:22:43,160 Speaker 7: of the supplies and therefore we also must work towards 430 00:22:43,200 --> 00:22:44,280 Speaker 7: diversification of those. 431 00:22:44,280 --> 00:22:45,840 Speaker 3: Supplies where do you look for? 432 00:22:45,880 --> 00:22:50,919 Speaker 7: That, well, actually ALL i would say to put simple 433 00:22:51,160 --> 00:22:55,080 Speaker 7: around the. World we have already engaged in raw material 434 00:22:56,560 --> 00:23:02,720 Speaker 7: partnerships with various countries as diverse From canada To bakistan 435 00:23:02,760 --> 00:23:07,280 Speaker 7: and then many many. Others but the issue right now 436 00:23:07,440 --> 00:23:11,119 Speaker 7: is also to get more practical and more tangible to 437 00:23:11,160 --> 00:23:16,320 Speaker 7: start actually developing actual projects on the. Ground Where as 438 00:23:16,320 --> 00:23:22,119 Speaker 7: a model of partnership we are offering resurfage countries is 439 00:23:22,160 --> 00:23:25,400 Speaker 7: that THE eu is ready to provide, technology know, how 440 00:23:25,880 --> 00:23:32,479 Speaker 7: financing and also help those countries to increase value added 441 00:23:32,640 --> 00:23:35,760 Speaker 7: they are getting from their raw. Materials so it's not 442 00:23:35,800 --> 00:23:39,880 Speaker 7: only about extraction but also also developing processing capacities in those. 443 00:23:39,880 --> 00:23:42,960 Speaker 7: Countries so looking for mutually beneficial. 444 00:23:43,040 --> 00:23:48,000 Speaker 3: Solutions on the question of the Corporate Due diligence regulations 445 00:23:48,000 --> 00:23:50,520 Speaker 3: that C S, triplt which is something there debate on 446 00:23:50,640 --> 00:23:53,400 Speaker 3: going about with The European, parliament there's been a warning 447 00:23:53,400 --> 00:23:55,840 Speaker 3: From katar's energy minister that If europe doesn't look at 448 00:23:55,880 --> 00:23:59,320 Speaker 3: how they can water down or cancel this, regulation they'll 449 00:23:59,320 --> 00:24:02,239 Speaker 3: stop delivering LER g To. Europe how worried are you 450 00:24:02,320 --> 00:24:04,920 Speaker 3: about risks like that and the pressure that's being put 451 00:24:04,960 --> 00:24:07,280 Speaker 3: on these sort of regulations. 452 00:24:06,720 --> 00:24:11,600 Speaker 7: Well as REGARDS c STRIPLE. D, indeed there are many 453 00:24:12,320 --> 00:24:17,639 Speaker 7: businesses boss in THE eu voicing serious, concerns but also 454 00:24:17,760 --> 00:24:21,760 Speaker 7: many partners outside THE, eu And qatari is just one. 455 00:24:22,000 --> 00:24:25,280 Speaker 7: Example we have heard from many other countries and businesses 456 00:24:25,280 --> 00:24:30,760 Speaker 7: on those countries on the. Concerns but that's, Why but 457 00:24:31,000 --> 00:24:34,879 Speaker 7: that's why A C s TRIPLE d was part of 458 00:24:34,920 --> 00:24:41,040 Speaker 7: our first, omnibus where we are actually simplifying it quite 459 00:24:41,320 --> 00:24:46,720 Speaker 7: substantially in including the question on reducing the scope so 460 00:24:46,840 --> 00:24:51,560 Speaker 7: which companies will be covered BY c STRIPLE, d making 461 00:24:51,600 --> 00:24:57,080 Speaker 7: requirements more, proportionate like obligation to follow only direct business, 462 00:24:57,119 --> 00:25:00,720 Speaker 7: partners not all the value change up and, down obligation 463 00:25:00,840 --> 00:25:04,119 Speaker 7: to do it once per five, years not every, year 464 00:25:04,680 --> 00:25:07,919 Speaker 7: and and and so. On so there are many tangible 465 00:25:08,960 --> 00:25:12,639 Speaker 7: improvements and. Simplifications what would be now important that the 466 00:25:12,840 --> 00:25:17,639 Speaker 7: legislative process moves forward and so simplifications actually become a. 467 00:25:17,680 --> 00:25:20,119 Speaker 3: Reality but is it a worry that you, KNOW l 468 00:25:20,160 --> 00:25:22,600 Speaker 3: AND g supplies could be affected by these? 469 00:25:22,680 --> 00:25:25,600 Speaker 7: Changes in a, sense there are two, Elements so one 470 00:25:26,320 --> 00:25:31,680 Speaker 7: obviously As European. Union we retain our regulatory autonomy and 471 00:25:31,800 --> 00:25:36,119 Speaker 7: our regular businesses which are doing business and are active In. 472 00:25:36,280 --> 00:25:40,240 Speaker 7: Europe on other, hand of, course we also need to 473 00:25:40,280 --> 00:25:45,120 Speaker 7: listen and acknowledge concerns which various partners around the world 474 00:25:45,200 --> 00:25:49,040 Speaker 7: are having and reflect on the. Implications so that was. 475 00:25:49,040 --> 00:25:51,399 Speaker 3: Wilder stan bravsk is THE Eases commissioner For economy And 476 00:25:51,520 --> 00:25:54,800 Speaker 3: productivity and also in charge of, simplification which is part 477 00:25:54,840 --> 00:25:57,439 Speaker 3: of that effort that we're seeing changes being made some 478 00:25:57,520 --> 00:26:00,199 Speaker 3: KEY eu rules as, well speaking to me IN Oar 479 00:26:00,280 --> 00:26:03,399 Speaker 3: brussels studio as. Well, look it's interesting to reflect on 480 00:26:03,760 --> 00:26:06,679 Speaker 3: that debate that's playing out OVER eu climate rules as. 481 00:26:06,680 --> 00:26:08,880 Speaker 3: Well the, criticism of, course and this is particularly coming 482 00:26:08,920 --> 00:26:12,520 Speaker 3: from parliamentarians in The European, parliament is that the only 483 00:26:12,560 --> 00:26:15,360 Speaker 3: signs of simplification that people are seeing is in weakening 484 00:26:15,359 --> 00:26:17,120 Speaker 3: of some of the climate. Rules you've had a pushback 485 00:26:17,160 --> 00:26:20,280 Speaker 3: of the implementation, date for example on the anti deforestation, 486 00:26:20,440 --> 00:26:23,480 Speaker 3: rules debate over the changing of the thresholds of what 487 00:26:23,640 --> 00:26:26,000 Speaker 3: size of companies would have to report under some of 488 00:26:26,040 --> 00:26:29,720 Speaker 3: these due diligence regulations as. Well so interesting to hear 489 00:26:29,800 --> 00:26:33,760 Speaker 3: From valdestanbrovskis that they are listening and acknowledging the concerns 490 00:26:33,800 --> 00:26:35,960 Speaker 3: coming from outside of THE eu as, well and in 491 00:26:36,000 --> 00:26:38,320 Speaker 3: particular the comments that we've had from THE us and From. 492 00:26:38,400 --> 00:26:41,359 Speaker 2: KATAR i thought what was the most interesting was the 493 00:26:41,440 --> 00:26:45,240 Speaker 2: Rare earth elements that you discussed with Dom. POVSKISS i, 494 00:26:45,280 --> 00:26:49,040 Speaker 2: Mean i'm totally fascinated by. This china has become so 495 00:26:49,200 --> 00:26:52,920 Speaker 2: dominant in this. Area there are no Rare earth minds 496 00:26:52,960 --> 00:26:57,240 Speaker 2: anywhere In. Europe it's very difficult to mine these. ELEMENTS 497 00:26:57,280 --> 00:26:59,040 Speaker 2: i mean we call them Rare, earth so actually not 498 00:26:59,119 --> 00:27:02,239 Speaker 2: that rare that they're really difficult to. Mine there are 499 00:27:02,280 --> 00:27:06,760 Speaker 2: seventeen of, them And china's imposed these. Controls, obviously in 500 00:27:06,880 --> 00:27:09,840 Speaker 2: recent weeks they've agreed this one year pause with THE. 501 00:27:09,960 --> 00:27:13,560 Speaker 2: Us but it is notable that THE Us Treasury Secretary 502 00:27:13,560 --> 00:27:16,600 Speaker 2: Scott besson's been talking about how THE us is going 503 00:27:16,640 --> 00:27:18,720 Speaker 2: to go at warp speed over the next one or 504 00:27:18,720 --> 00:27:21,600 Speaker 2: two years And i'll just try to Break china's hold 505 00:27:21,680 --> 00:27:26,159 Speaker 2: over THE us in this particular. Area but you, Know 506 00:27:26,240 --> 00:27:29,239 Speaker 2: europe has still and THE, Uk i'll include THE uk as, 507 00:27:29,240 --> 00:27:32,840 Speaker 2: well has got this massive challenge because these rare earths 508 00:27:32,880 --> 00:27:36,320 Speaker 2: are just used in so many things in. iPhones they're 509 00:27:36,359 --> 00:27:39,439 Speaker 2: using cancer, treatments they're using. Semiconductors SO i, thought you, 510 00:27:39,440 --> 00:27:42,159 Speaker 2: know the fact that you talk To Valdus Don groskis 511 00:27:42,200 --> 00:27:44,520 Speaker 2: about rare earth is just another one of these massive 512 00:27:44,600 --> 00:27:45,560 Speaker 2: challenges That europe. 513 00:27:45,600 --> 00:27:50,159 Speaker 3: Has this Is Bloomberg Daybreak, europe your morning brief on 514 00:27:50,240 --> 00:27:53,000 Speaker 3: the stories making news From london To Wall street and. 515 00:27:53,040 --> 00:27:54,160 Speaker 3: Beyond look for. 516 00:27:54,160 --> 00:27:57,720 Speaker 2: Us on your podcast feed every morning On, Apple, spotify 517 00:27:57,840 --> 00:27:59,119 Speaker 2: and anywhere else you get your. 518 00:27:59,160 --> 00:28:02,480 Speaker 3: Podcasts you can also listen live each morning On LONDON Dab, 519 00:28:02,680 --> 00:28:05,160 Speaker 3: radio The Bloomberg business, app And bloomberg Dot. 520 00:28:05,160 --> 00:28:08,320 Speaker 2: Com our Flagship New york station is also available on 521 00:28:08,359 --> 00:28:12,760 Speaker 2: Your Amazon alexa. Devices just Say alexa Play bloomberg eleven. 522 00:28:12,920 --> 00:28:15,240 Speaker 2: Thirty I'm Caroline hepka And I'm Stephen. 523 00:28:15,280 --> 00:28:17,840 Speaker 3: Carol join us again tomorrow morning for all the news 524 00:28:17,880 --> 00:28:20,480 Speaker 3: you need to start your day right here On Bloomberg 525 00:28:20,560 --> 00:28:23,280 Speaker 3: Daybreak europe