The need to know
The need to know for the week ending 29th September 2023
The need to know from Reuters’ global network of journalists
FTC's Amazon antitrust lawsuit: Five takeaways
The U.S. Federal Trade Commission filed a lawsuit against Amazon.com (AMZN.O) that accused the online retail giant of overcharging customers and independent sellers on its platforms as the $1 trillion company sought to illegally maintain monopoly power.
China's Alibaba kicks off restructuring with plan to list logistics arm in Hong Kong
Alibaba Group (9988.HK) on Tuesday kicked off its restructuring with a plan to list its logistics arm Cainiao in Hong Kong that would make the unit the first to be separated since the Chinese e-commerce giant announced its break-up six months ago.
Shopify invests in wholesale platform Faire
E-commerce giant Shopify (SHOP.TO) is investing in wholesale platform Faire, the companies said on Wednesday, in a global deal that would see the start-up adopt Shopify technology for its clients.
In major blow to TikTok, Indonesia bans e-commerce transactions on social media
Indonesia has banned e-commerce transactions on social media platforms, the trade minister said on Wednesday, in a blow to short video app TikTok, which is doubling down on Southeast Asia's biggest economy to boost its e-commerce business.
China's e-commerce discount race to the bottom puts incumbents under pressure
Discount e-commerce is set to dominate globally during the critical upcoming holiday shopping season in the West and Singles’ Day in China, analysts said.
Danone and Nestle fight for key French market as pressure to cut prices grows
The world's biggest packaged food maker Nestle (NESN.S) and dairy giant Danone (DANO.PA) rely on France for revenue more than any other country in Western Europe, raising the stakes in price negotiations due to begin there next month.
Italy agrees steps with retailers to control prices of staple goods
Italy on Thursday signed off a deal with distributors' associations to try to control the prices of essential goods in the last quarter of this year, though the last word on binding commitments remained in the hands of individual retailers.
French shoppers buy fewer tampons, less detergent as prices surge
French consumers are buying fewer personal hygiene and household products, sacrificing tampons and laundry detergent as prices of products made by big brands like P&G (PG.N) and Unilever (ULVR.L) surge, data compiled for Reuters shows.
Heavy winter sweaters, coats pile up at stores as warm weather threatens holiday shopping season
Unseasonably warm autumn weather from the United States to Europe is denting sales of heavy sweaters and coats as the critical holiday shopping period approaches, executives at major retailers including H&M (HMb.ST) said, and some stores are already slashing prices to avoid piles of unsold inventory.
Costco tops quarterly revenue, profit estimates on steady grocery demand
Costco Wholesale (COST.O) topped market estimates for quarterly revenue and profit on Tuesday as consumers flocked to its stores for cheaper groceries and other necessities, helping offset feeble demand for big-ticket discretionary items.
Russia dodges G7 price cap sanctions on most of its oil exports, Financial Times reports
Russian crude oil supplies increased 50% this spring despite the G7 countries imposing sanctions due to war in Ukraine, the Financial Times reported on Sunday citing data from analytics company Kpler.
How serious is Russia's fuel export ban and who will be hit?
Russia said on Sept. 21 it had temporarily banned gasoline and diesel exports to all but four ex-Soviet states in response to domestic shortages, a move that will disrupt global trade that has already had to adjust to Western sanctions on Russian fuel exports.
Oil prices rebound, settle higher on worries about tight supply
Oil prices settled nearly 1% higher on Tuesday, rebounding from a slump to a two-week low in early trading as expectations of tighter supply outweighed worries that an uncertain economic outlook would crimp demand.
US to indefinitely extend China waiver for South Korean chipmakers, Yonhap reports
The U.S. is expected to indefinitely extend a waiver granted to South Korean chipmakers Samsung Electronics (005930.KS) and SK Hynix (000660.KS) on needing licenses to bring U.S. chip equipment into China, Yonhap news agency reported on Wednesday.
US finalizes rules to prevent China from benefiting from $52 billion in chips funding
The U.S. Commerce Department on Friday is issuing final rules to prevent semiconductor manufacturing subsidies from being used by China and other countries deemed to pose American national security concerns.
Chipmaker GlobalFoundries seeks funding under CHIPS Act
Contract chipmaker GlobalFoundries (GFS.O) said on Monday it has submitted applications for funding under the U.S. CHIPS act to expand capacity and modernize its local manufacturing facilities.
Pegatron says iPhone assembly resumes at Indian factory after fire
Pegatron (4938.TW) has resumed production at its contract facility for Apple (AAPL.O) in southern India after a shutdown over the weekend due to a fire, the company said on Wednesday.
Recent disruptions at Apple facilities in India
Apple (AAPL.O) supplier Pegatron on Monday temporarily halted iPhone assembly at its Chennai facility in India's Tamil Nadu state after a fire at the factory.
IMF sees signs China stabilizing, says reforms can boost medium-term growth
The International Monetary Fund said on Thursday it sees some signs of stabilization in China's economy from recent data, but believes the country can accelerate growth over the medium term if it takes steps to reform its economy to rebalance from investment toward consumer spending.
Volkswagen hit by IT outage, VW vehicle production in Germany halted
Volkswagen (VOWG_p.DE) said it was hit by a major IT outage on Wednesday, causing production at the carmaker's namesake brand in Germany to come to a halt.
Sweden's Northvolt to build $5.2 billion battery factory in Canada
Swedish lithium-ion battery producer Northvolt said on Thursday it would open a $5.2 billion gigafactory in Quebec, the largest ever investment in the Canadian province and the latest in electric vehicle battery manufacturing capacity in the country.
Comment: Why investing in food security is investing in the future
Rising commodity prices, risk of food shortages, as well as the lingering impact of the pandemic, have triggered a concern for the availability and accessibility of food around the world.
Inside Vietnam's plans to dent China's rare earths dominance
Vietnam plans to restart its biggest rare-earths mine next year with a Western-backed project that could rival the world's largest, according to two companies involved, as part of a broader push to dent China's dominance in a sector that helps power advanced technologies.
LG Chem with China's Huayou to make battery materials in Indonesia, Morocco
South Korea's LG Chem Ltd (051910.KS) has entered a partnership with China's Huayou Group's subsidiary Youshan, it said on Sunday, to build a joint electric vehicle (EV) battery material plant in Morocco to diversify its portfolio.
UAW strike set to hit deep into the industry's supply base
Jeffrey Aznavorian has already cut output about 6% at his small auto parts factory outside Detroit due to the United Auto Workers strike. But he is bracing for it to get worse.
UAW could expand strikes at Detroit Three on Friday
The United Auto Workers union could strike additional Detroit Three automotive facilities on Friday if there is no serious progress in labor negotiations, a source familiar with the talks said.
US GDP growth unrevised at 2.1% in second quarter as economy shows resilience
The U.S. economy maintained a fairly solid pace of growth in the second quarter and activity appears to have accelerated this quarter, but a looming government shutdown and an ongoing strike by auto workers are dimming the outlook for the rest of 2023.
US durable goods orders beat expectations in boost to economy in third-quarter
Orders for long-lasting U.S. manufactured goods rose in August as an increase in machinery and other products offset a drop in civilian aircraft, and business spending on equipment appeared to regain momentum after faltering early in the third quarter.
Mexico's Banorte plans to hire up to 1,200 people to tap into nearshoring
Mexican bank Banorte plans to hire between 1,000 and 1,200 more employees to handle operations related to nearshoring, amid an expected boom in activity from global manufactures wishing to relocate their factories, a company executive said on Wednesday.
US asks Mexico for fresh workers' rights review at auto parts facility
The U.S. made another appeal to Mexico to review alleged labor violations under a regional trade pact on Monday, with the latest investigation centered on a Teklas Automotive facility in the Mexican state of Aguascalientes.
US restricts imports from three more Chinese companies tied to forced labor
The United States restricted imports from three more Chinese companies on Tuesday as part of an effort to eliminate goods made with the forced labor of Uyghur minorities from the U.S. supply chain.
Brazil court fines Cargill in case involving child labor on cocoa farms
Commodities trader Cargill has been ordered by a Brazilian court to pay 600,000 reais ($120,185) as indemnity for buying cocoa from farms where child labor or forced work has been identified.
Tyson and Perdue face child labor investigations, New York Times reports
The U.S. Department of Labor has opened investigations into meat companies Tyson Foods (TSN.N) and Perdue Farms to determine whether migrant children were used to clean slaughterhouses, the New York Times reported on Saturday.
Saudi Arabia's SAL Saudi Logistics could raise $678 mln from IPO
Saudi Arabian cargo business SAL Saudi Logistics Services Co could raise as much as 2.54 billion riyals ($678 million) from its initial public offering (IPO) after the company disclosed an indicative price range on Monday.
Joint venture to develop first LNG ship bunkering hub in US Gulf
A joint venture is developing the first dedicated liquefied natural gas (LNG) bunkering facility for ships in the U.S. Gulf amid efforts by the maritime industry to find cleaner fuel solutions, executives said on Thursday.
Shipping industry has no easy path towards decarbonisation, UN agency says
The shipping industry lacks clarity on future clean fuels and regulatory systems which is holding back companies from replacing ageing vessels amid pressure to decarbonise faster, U.N. agency UNCTAD said on Wednesday.
Ship insurance facility set up for Ukraine grain exports, says broker Miller
A new marine insurance facility for Ukrainian grain exports using the country's sea corridor has been set up in conjunction with Ukraine's authorities, insurance broker Miller said on Tuesday.
German export sentiment drops to three-year low - Ifo
Sentiment among German exporters worsened further in September, falling to its lowest point since May 2020, according to a survey by the Ifo economic institute released on Tuesday.
JPMorgan sees India in its top 3 fastest-growing Asia markets in 2024
India could be among the three fastest growing markets for JPMorgan in the Asia Pacific region next year, alongside Australia and Japan, said a top official at the Wall Street bank.
China's industrial profits extend slump for January-August, pace of downturn eases
Profits at China's industrial firms extended a double-digit drop for the first eight months, but the pace of declines eased slightly as a flurry of policy support steps has started to stabilise parts of the stuttering economy.
China's strong metal imports not as bullish as they seem: Andy Home
China's appetite for base metal imports appears to be growing.
Analysis: Wind power industry drifts off course
A perfect storm of supply chain delays, design flaws and higher costs in the offshore wind industry has put dozens of projects at risk of not being delivered in time for countries to meet climate goals, industry executives, investors and analysts said.
Safran CEO sees supply chain pressure through 2024
Global aerospace supply chains will remain under pressure throughout 2024, Safran (SAF.PA) CEO Olivier Andries said on Friday.
Mexico eyes US energy exports from solar farm, chip supply chain role
Mexico's northern state of Sonora wants to export clean energy to California and Arizona from a massive new solar farm project and play a role in the chip supply chain given TSMC's (2330.TW) $40 billion investment in Arizona, Sonora's governor said.
UK's fossil fuel car ban delay may only stall investment
Britain's decision to delay a ban on new fossil fuel car sales may make little difference to the pace of a shift to electric vehicles (EVs), even though the news drew anger from automakers worried about supply chains and investment uncertainty.
Britain signs trade accord with Washington state, eyes Florida next
Britain on Monday signed a memorandum of understanding on trade with the U.S. state of Washington, and a top official said a similar agreement could be reached soon with Florida.
Indian miner NMDC's China exports hindered by logistics, source says
India's NMDC (NMDC.NS) is unable to export low-grade iron ore to China, the country's biggest iron ore customer, due to logistics issues, a source with direct knowledge of the matter told Reuters.
DHL and Sasol join hydrogen firm HH2E on sustainable jet fuel project
German logistics giant DHL (DHLn.DE) is teaming up with energy firm HH2E and South African petrochemicals firm Sasol (SOLJ.J) on the expansion of sustainable aviation fuel (SAF) production in Germany, HH2E said on Monday.
South Africa's Transnet says heavy rains disrupt service on key commodity line
South Africa's logistics utility Transnet on Wednesday said severe weather had disrupted rail services on its Cape Corridor, the main line for manganese exports and agricultural commodities.
EU countries agree proposal on new Euro 7 car emissions regulation
EU countries largely agreed on a compromise proposal presented by Spain on new vehicle emissions rules, diplomatic sources said on Friday, that is a watered down version of the initial European Commission pitch.