The need to know
The need to know for the week ending 26th January 2024
The need to know from Reuters’ global network of journalists
Freight going through the Suez Canal has dropped by 45% in the two months since attacks by Yemen's Houthis led shipping groups to divert freight, disrupting already strained maritime trading routes, according to UN agency UNCTAD.
Germany's chemicals sector, Europe's largest, is starting to feel the pinch from delayed shipments via the Red Sea, becoming the latest industry to warn of supply disruptions that have forced some companies to curb production.
German shipping group Hapag-Lloyd (HLAG.DE), opens new tab will continue to route its vessels around the Cape of Good Hope until further notice due to Houthi attacks on vessels in the Red Sea, it said on Monday, after announcing it was introducing land corridors through Saudi Arabia to mitigate the impact on its business.
Chinese officials have asked their Iranian counterparts to help rein in attacks on ships in the Red Sea by the Iran-backed Houthis, or risk harming business relations with Beijing, four Iranian sources and a diplomat familiar with the matter said.
Ukraine has managed to boost its Black Sea grain exports to a level not seen since before Russia's invasion, although the Red Sea shipping crisis poses a new challenge to its crucial agricultural trade.
Boeing's (BA.N), opens new tab troubles with its 737 MAX jets are upending the aerospace industry's 2024 plans, changing airlines' fleet and expansion goals as U.S. regulators froze production of the best-selling jets.
Rosemary and Larry Brester have been running Hobart Machined Products since 1978, milling and grinding metal to make aircraft components out of a tiny building behind their home.
British businesses are warning of a new wave of post-Brexit trade disruption because EU exporters are not ready for UK customs changes which start this month, and Britain's port infrastructure might be unprepared too.
Unilever, the maker of Dove soap and Ben & Jerry's ice cream, struggled to defend fourth-quarter grocery store market share across most of its categories in Europe and the United States, data shows, as it ceded some of its turf to private labels and cut products.
Germany's support for a law requiring firms in the European Union to take action if they find their supply chains in violation of human rights has become doubtful after one of its ruling parties sided with business groups opposing the proposal.
EU countries and lawmakers are expected to agree on rules next week which would force Europe-based companies to prioritise production of key products to prevent a supply chain crisis, a key lawmaker in charge of the legislation said on Wednesday.
Carrying more stock, switching to suppliers nearer to consumers and reducing dependence on China are tactics European and U.S. retailers used to build more resilient supply chains following disruptions during the COVID-19 pandemic.
Consumer goods companies are likely to post stronger fourth-quarter sales growth in Europe than in the United States, monthly data indicates, boosted by persistently higher prices in countries like Britain, France and Germany even as Americans paid less.
U.S. business activity picked up in January and inflation appeared to abate, with a measure of prices charged by companies for their products falling to the lowest level in more than 3-1/2 years, suggesting that the economy kicked off 2024 on a strong note.
Euro zone businesses faced a tough start to 2024 with activity contracting again in January as demand continued to fall while price pressures rose due to tensions in the Red Sea, a survey showed.
Germany's economic downturn worsened this month as both manufacturing and services activity contracted, with signs of Red Sea disruption hitting delivery times, a preliminary survey showed on Wednesday.
Exports to Germany's most important overseas trade partners, including the United States and China, fell significantly at the end of last year, according to statistics office data on Monday.
Britain's economy started 2024 on a stronger footing, according to a survey of businesses published on Wednesday that prompted investors to reduce their bets on the Bank of England moving quickly to cut interest rates.
British retail sales volumes slid in January at the fastest pace for three years, according to an industry survey on Thursday which echoed weak official data published last week.
Japan's industrial output likely expanded in December thanks to the easing of supply constraints, although the outlook for this month appears to be cloudy amid disruption in automobile production, a Reuters poll showed on Friday.
Taiwan's export orders fell more than expected in their worst performance in six months in December, with the outlook for the island's high-tech products remaining poor due to growing doubts about global economic growth.
The proportion of German firms exiting the Chinese market or considering doing so has more than doubled to 9% in the past four years, according to a survey by the German Chamber of Commerce in China.
Stellantis (STLAM.MI), opens new tab said on Friday it is buying a 70% controlling stake in Brazilian automotive services firm DPaschoal, in the automaker's latest move to expand its presence in Latin America.
Associated British Foods' (ABF.L), opens new tab Primark clothing business is currently coping with disruption to Red Sea shipments and is hopeful customers will not notice any difference to the stock in stores, its finance chief said on Tuesday.
The Biden administration is spending $207 million on domestic fertilizer and renewable energy projects, as part of an effort to boost supplier competition for U.S. farmers and ranchers and help lower energy costs for agricultural producers, U.S. Agriculture Secretary Tom Vilsack said on Monday.
The U.S. Departments of Transportation and Energy will invest$325 million across three programs to advance EV technologies, repair chargers and cut battery costs, the White House said in a statement on Friday.
U.S. President Joe Biden is pushing $5 billion into transportation projects around the country during a visit Thursday to Wisconsin, hoping his cheery economic pitch takes root in a high-value state in the 2024 election.
Clean electricity generation in the United States hit new highs in 2023 but expanded by its smallest margin in more than a decade, due to below-normal wind speeds and a drop in hydro power output due to drought, data from think tank Ember shows.
The quasi-Cold War between Washington and Beijing, and rising protectionism, are already hurting foreign direct investment.
Fifteen U.S. companies, including semiconductors firms, have expressed interest in investing $8 billion in Vietnam in clean energy infrastructure, contingent on the country's progress on renewable energy rules, a senior U.S. official said on Friday.
Chipmaker Texas Instruments (TXN.O), opens new tab forecast first-quarter revenue and profit below market estimates on Tuesday, as early signs of weakness in the automotive sector add to worries over a persistent supply glut in its industrial markets.
South Korean battery maker LG Energy Solution (LGES) (373220.KS), opens new tab on Friday predicted slowing growth in the global electric vehicle (EV) market this year, signalling further challenges ahead amid intensifying competition from Chinese rivals.
Swedish truck maker AB Volvo (VOLVb.ST), opens new tab on Friday reported a bigger-than-expected rise in fourth-quarter profit but a weak order intake as it adjusted lower production levels amid softening demand.
French regulator CNIL said on Tuesday it had fined Amazon France Logistique (AMZN.O), opens new tab 32 million euros ($35 million) for what the CNIL said was an "excessively intrusive" surveillance system set up to monitor the performance of staff.
General Motors (GM.N), opens new tab and Honda (7267.T), opens new tab have begun shipping fuel cell power systems to customers from a factory near Detroit, they said on Thursday, a new test of whether hydrogen power technology can achieve mass-market success.
Italian truck and bus maker Iveco Group (IVG.MI), opens new tab has partnered with German chemicals group BASF (BASFn.DE), opens new tab for the recycling of lithium-ion batteries of its electric vehicles (BEVs), the two companies said on Tuesday.
Thailand hopes to start producing lithium from a mine in its southwest in about two years, boosting its ambitions to become a regional electric vehicle (EV) production hub, according to government and company officials involved in the project.
British electric-vehicle company Arrival is heading closer to insolvency after lining up a new set of advisers to oversee contingency planning, Sky News reported on Monday.
At least two iron ore cargoes from the world's No.4 supplier Fortescue Metals Group (FMG.AX), opens new tab are facing unusual customs delays at north China's Caofeidian port due to inspections for solid waste, sources with knowledge of the matter said.
Train drivers walked off the job on Wednesday in Germany's longest rail strike yet, stranding commuters and piling pain on the country's economy, with both sides far from agreement.
Lockheed Martin (LMT.N), opens new tab forecast its 2024 profit below Wall Street expectations on Tuesday, as the U.S. defense contractor's largest aeronautics segment that makes the F-35 jets faces supply chain disruptions.
Attacks in the Red Sea by Iranian-backed Houthi militants on shipping vessels have dealt global supply chains a fresh blow.
Funds are adopting an increasingly bearish stance in the copper market, preferring to focus on a globally weak demand picture rather than signs of supply-chain stress.
The European Union faces a risk of consumer prices surging and growth slowing due to disruptions to shipping through the Red Sea, though it has yet to feel an economic impact, a top EU official said on Tuesday.
British food and drink prices will continue to rise in 2024, contributing to an extended cost-of-living crisis, a prominent grocery industry researcher said on Thursday.
Britain's decision to suspend talks with Canada on a free trade deal creates the risk of tariffs being imposed on British-made cars sold in Canada, the UK car industry warned on Friday, as it urged the two sides to return to negotiations.
Fin Sustainable Logistics said on Tuesday it has acquired Urb-it, giving it access to the bankrupt sustainable delivery company's customers including Alibaba's (9988.HK), opens new tab AliExpress, Inditex's (ITX.MC), opens new tab Zara, and its technology.
Maersk (MAERSKb.CO), opens new tab said explosions nearby forced two ships operated by its U.S. subsidiary and carrying U.S. military supplies to turn around when they were transiting the Bab al-Mandab Strait off Yemen, accompanied by the U.S. Navy.
SAO PAULO, Jan 24 (Reuters) - Climate change is the main culprit for a record drought in the Amazon rainforest that has drained rivers, killed endangered dolphins and upended life for millions of people in the region, according to a study released on Wednesday.
Jan 24 (Reuters) - U.S. crude oil stockpiles slumped while gasoline inventories jumped last week after winter weather hit crude production and imports, refining, and demand for fuel, the Energy Information Administration said on Wednesday.
Says plans to acquire logistics firm for 4.4 billion yuan ($679 million) via asset swap, cash and share issue.