The need to know
The need to know for the week ending 4th August 2023
The need to know from Reuters’ global network of journalists
Panama Canal seen losing $200 mln next year as ship crossings dip
The Panama Canal expects its revenue to shrink by about $200 million in its next fiscal year due to crossing restrictions meant to save water as a consequence of an unprecedented drought, its administrator announced on Thursday.
Italy plans $2.2 billion fund to support key supply chains
Italy plans to set up a fund with at least 2 billion euros ($2.2 billion) at its disposal to bolster strategically important supply chains, a draft bill seen by Reuters showed.
Insight: World battles to loosen China's grip on vital rare earths for clean energy transition
Refining rare earths for the green energy transition is hard. Just ask MP Materials and Lynas.
Maersk warns of slower demand for container shipping
Shipping group A.P. Moller-Maersk (MAERSKb.CO) warned on Friday of a steeper decline in global demand for shipping containers by sea this year prompted by muted economic growth and customers reducing inventories.
DHL Group's Q2 earnings slump as freight volumes slide
German logistics and mail group DHL (DHLn.DE) reported a slide in quarterly revenue and earnings on Tuesday due to a slump in freight volumes and prices, and warned of economic uncertainty ahead.
Yellow Corp demise seen boosting rates for rival US truckers
The operational shutdown of Yellow Corp (YELL.O), a major U.S. trucking firm, should help prop up industry rates that tumbled after the cargo bubble of the early coronavirus pandemic deflated last year, transportation analysts said.
US trucking firm Yellow shuts ops, to file for bankruptcy, Teamsters say
Cash-strapped U.S. trucking company Yellow Corp (YELL.O) has ceased operations and is filing for bankruptcy after failing to reorganize and refinance over a billion dollars in debt, the Teamsters Union said on Sunday.
Euro zone factory July activity fell at fastest pace since onset of COVID
Manufacturing activity across the euro zone contracted in July at the fastest pace since COVID-19 was cementing its grip on the world as demand slumped despite factories cutting their prices sharply, a survey showed on Tuesday.
US manufacturing shows signs of stabilizing at lower levels in July, ISM says
U.S. manufacturing appeared to stabilize at weaker levels in July amid a gradual improvement in new orders, but factory employment dropped to a three-year low, suggesting that layoffs were accelerating.
China's July factory activity swings back to contraction
China's factory activity swung to contraction in July, a private sector survey showed on Tuesday, with supply, demand and export orders all deteriorating as firms blamed sluggish market conditions at home and abroad.
Japan's factory activity falls on soft orders
Japan's factory activity contracted at a faster pace in July, a business survey showed on Tuesday, taking a hit from soft orders amid weakening global economic conditions.
South Korea July exports fall the most in over three years as China sputters
South Korea's exports fell more than expected in July and at the steepest pace in more than three years, trade data showed on Tuesday, raising concerns that the downturn may drag on longer than expected amid persistently weak demand from China.
UK factory output falls at fastest pace in seven months, cost pressures ease
British factory output contracted in July at the fastest pace in seven months, hit by higher interest rates and fewer new orders, despite weakening price pressures, a survey showed on Tuesday.
Major global firms warn of slow China sales as post-pandemic surge fades
Global firms from consumer goods giant Unilever (ULVR.L) to automaker Nissan (7201.T) and machinery maker Caterpillar (CAT.N) have warned of slowing earnings in China as the world's second-largest economy loses its post-pandemic bounce.
UK shop price inflation eases in July, British Retail Consortium says
Prices in British store chains rose in July at the slowest annual rate this year, industry data showed on Tuesday.
US job openings hit more than two-year low; labor market still tight
U.S. job openings fell to the lowest level in more than two years in June, but remained at levels consistent with tight labor market conditions, which could spur the Federal Reserve to keep interest rates elevated for some time.
S&P sees Indian economy growing by average 6.7% to 2031 amid short-term challenges
S&P Global on Thursday projected the Indian economy to grow by an average annual rate of 6.7% to March 2031, driven by manufacturing and services exports and consumer demand, despite short-term challenges from rate hikes and a global slowdown.
Column: US manufacturing slowdown fails to rebuild diesel stocks
U.S. manufacturers reported another decline in activity in July 2023, but industrial electricity and especially diesel consumption have declined less than expected in recent months, explaining why prices remain relatively firm.
What are global companies saying about China's economy?
Major global firms ranging from banks to chipmakers are taking a largely cautious stance on their China business amid a frail recovery at the world's second-largest economy from a pandemic slowdown.
Indian factory growth eased for second month in July, but kept healthy pace
Growth in India's manufacturing activity eased in July for a second month, with some moderation in output and new orders, although the pace of expansion remained healthy, a private business survey showed on Tuesday.
US factory orders jump in June on transportation equipment demand
New orders for U.S.-made goods surged in June, boosted by strong demand for transportation equipment and other goods, showing some pockets of strength in manufacturing despite higher interest rates.
Foxconn to invest $194 million in new plant in India's Tamil Nadu
Taiwan's Foxconn (2317.TW) has signed a deal with Tamil Nadu to invest 16 billion rupees ($194 million) in a new electronic components manufacturing facility that will create 6,000 jobs, the government of the southern Indian state said on Monday.
Exclusive: Foxconn EV venture targets India, Thailand for new small car
Foxconn's (2317.TW) venture attempting to build a standardised electric vehicle platform is targeting India or Thailand for the production of a small battery-powered car under development, the unit's chief executive said.
India asks Tesla to copy Apple in pairing Chinese, Indian suppliers, sources say
As Tesla (TSLA.O) examines building a plant in India, officials have asked the company to emulate Apple in finding local firms to partner with any Chinese suppliers involved, according to three government sources with direct knowledge of the matter.
Bosch Ltd to increase manufacturing in India
Bosch Ltd (BOSH.NS), the Indian arm of German automotive supplier Robert Bosch GmbH, is looking to boost manufacturing in India over the next two to four years, the company's financial chief said on Tuesday.
Battery maker IBC to set up plant in India's Karnataka for nearly $1 billion
International Battery Company (IBC) has signed an investment pact worth 80 billion rupees ($971.89 million) with India's southern state of Karnataka to build a battery manufacturing facility, the state's minister said on Tuesday.
Foxconn to invest $600 million in India's Karnataka to make iPhone components, chip equipment
Foxconn (2317.TW) will invest $600 million in two projects in India's Karnataka to make casing components for iPhones and chip-making equipment, signaling its growing interest in the south Asian nation as it spreads bets beyond China.
Applied Materials works to bring global suppliers to India
NEW DELHI, Aug 4 (Reuters) - Applied Materials (AMAT.O) wants its suppliers from Europe, Japan and elsewhere to set up operations in India, as the semiconductor toolmaker works to expand the local supply chain, its India head told Reuters.
BNSF Railway, engineers union reach tentative deal for paid sick leave
BNSF Railway and the engineers union on Tuesday reached a tentative agreement on paid sick leave and improvements in work schedules for the freight railway giant's locomotive engineers.
Amazon forecasts bright Q3 on resilient cloud sales, shopping trends
Amazon.com Inc (AMZN.O) on Thursday reported sales growth and profit that beat Wall Street's expectations as the company delivered goods faster and more cheaply to shoppers while recent cloud-computing headwinds began to subside.
Shopify forecasts solid revenue growth on higher prices, more signups
Canada's Shopify (SHOP.TO), forecast strong revenue growth and delivered better-than-expected results for the second quarter on Wednesday, helped by new signups and price increases across its services.
Fast-fashion wars are warmup for Amazon battle
An intensifying fast-fashion rivalry in the United States offers a glimpse of the bigger battles to come.
MercadoLibre's second-quarter profit doubles on higher sales volume, user growth
South American e-commerce giant MercadoLibre (MELI.O) reported a 113% rise in its second-quarter net income on Wednesday to $261.9 million, amid higher sales volume and an increase in users.
Walmart buys out $1.4 billion Tiger Global stake in India's Flipkart, Wall Street Journal reports
Walmart (WMT.N) has taken further control of the Indian e-commerce firm Flipkart by buying out hedge fund Tiger Global and venture capital firm Accel's remaining stakes, according to media reports on Monday.
UPS workers begin vote on tentative deal that averted US strike
Thousands of UPS workers will start voting on their tentative contract agreement with the delivery giant on Thursday after local leaders of the International Brotherhood of Teamsters endorsed the union's deal earlier this week.
Mercosur meets on counterproposal for trade talks with EU
South American trade bloc Mercosur officials met on Tuesday to agree on their counterproposal to a European Union addendum on a long-awaited trade deal before meeting with EU negotiators in August in the hopes of closing the accord by year-end, Brazilian diplomats told Reuters.
Fisker unveils electric pickup truck even as supply chain bottleneck lingers
Electric vehicle (EV) maker Fisker Inc (FSR.N) unveiled a pickup truck on Thursday, weeks after starting deliveries of its flagship sport utility vehicle (SUV) and as it tackles persistent supply chain issues.
US targets two China-based firms over forced labor practices, Department of Homeland Security says
The United States has banned goods from two China-based companies as part of an effort to eliminate forced labor practices in the U.S. supply chain, prompting a warning from Beijing of measures to safeguard Chinese firms' rights.
Daimler Truck hits record returns margin amid rising costs
Daimler Truck (DTGGe.DE) achieved a second-quarter record adjusted return on sales of 10.3% for its industrial business, the company said on Tuesday, even as it faced rising monthly costs from inflation.
India mandates licensing for laptop, tablet imports in blow to Apple, Samsung
India on Thursday said it will impose a licensing requirement for imports of laptops, tablets and personal computers with immediate effect, a move that could hit hard the likes of Apple, Dell and Samsung and force them to boost local manufacturing.
Cummins misses profit expectations on high manufacturing costs
Aug 3 (Reuters) - Engine maker Cummins (CMI.N) reported a second-quarter profit on Thursday that missed analysts' estimates, hurt by high manufacturing costs.
BorgWarner's second-quarter results beat estimates on auto parts demand
Auto parts supplier BorgWarner (BWA.N) reported second-quarter results on Wednesday that beat analysts' estimates, helped by sustained demand from automakers ramping up output.
Apollo leads deal for trucking firm Yellow's bankruptcy loan, Bloomberg reports
Creditors led by Apollo Global Management Inc (APO.N) are nearing a deal to provide Yellow Corp (YELL.O) with fresh cash during a coming bankruptcy, Bloomberg News reported, citing people familiar with the matter.
Food distributor Sysco misses revenue estimates on inflation-induced demand slowdown
Food distributor Sysco Corp (SYY.N) missed Wall Street expectations for quarterly sales on Tuesday, as inflation-hit consumers restrict discretionary spending on products such as custom cuts of meat and seafood.
Lynas Rare Earths signs updated contract with US government for Texas facility, shares rise
Lynas Rare Earths (LYC.AX) said on Tuesday it had signed an updated contract with the U.S. Department of Defense (DoD) for the construction of the heavy rare-earths component of its rare-earths processing facility in Texas.
The world of global business standards is a deliberate and slow-moving one. That makes the recent release of the first International Sustainability Standards Board (ISSB) standards after just 18 months lightning quick, in relative terms.
US proposes raising vehicle fuel economy standards to 58 miles per gallon by 2032
The Biden administration on Friday proposed to hike fuel economy standards by 2032 to a fleet-wide average of 58 miles per gallon as it seeks to cut greenhouse gas emissions and reduce fuel use.
P&G tops estimates on higher prices but signals slowing China demand
Procter & Gamble (PG.N) on Friday beat analysts' estimates for quarterly sales and profit buoyed by the consumer goods giant's multiple price hikes even as it joined other multinational companies in flagging weak demand in China.
Longshoremen's union can sue shipping association over port jobs, appeals court rules
A union representing longshoremen was within its rights to sue an association of shipping companies to stop their vessels from docking at a new South Carolina shipping terminal employing non-union workers, a divided federal appeals court ruled on Friday.
Rhine river levels in Germany back to normal after rain
Heavy rain has raised water on the river Rhine in Germany to levels allowing cargo vessels to sail fully loaded, data from German inland waterways agency WSA said on Wednesday.
China gallium, germanium export curbs kick in; wait for permits starts
China's export controls on some gallium and germanium products take effect on Tuesday, with traders braced for a drop in international supply in August and September while exporters sort out newly required permits.
Romania bids to clear Danube logjam after Ukraine attack
Romania expects around 30 ships from Ukraine to clear customs on the Danube River over the next two days as it bids to clear a logjam in the aftermath of Wednesday's Russian attack on Ukraine's main river port at Izmail.