Latest news with #StephaneSejourne
Business Times
6 days ago
- Business
- Business Times
Japan, EU to explore joint rare earths procurement: Nikkei
[BENGALURU] Japan and the European Union will consider joint public-private partnerships as they look to reduce their reliance on China in areas such as the procurement of rare earths, the Nikkei newspaper reported on Thursday (Jul 17). As China, the dominant supplier of rare earths, tightens export controls, global manufacturers are concerned that Beijing's decision to curb exports of rare-earth alloys, mixtures and magnets could slow production and disrupt supply chains. Globally, countries have been trying to secure rare earth supply chains to loosen China's grip on the materials used to build weapons, electric vehicles and many electronics. Japan and the EU will launch a new 'economic two-plus-two' dialogue to bring together their foreign and economy ministers, expected to be announced at the Japan-EU leaders' summit scheduled for Jul 23, according to the report. The talks aim to identify specific areas of cooperation between the parties from this summer onwards, it said. The countries will jointly develop supply chains for critical minerals such as rare earths, after the two sides agreed to a new dialogue at the working level. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up They will focus on simplifying EU regulations and discuss how Japanese companies can take part in EU projects under the new framework, which seeks to deepen Japan-EU ties, Nikkei said. The framework will also add Stephane Sejourne, the European Commission's executive vice-president for prosperity and industrial strategy, to the talks. Earlier this month, the US Department of Defense signed a multibillion-dollar deal with MP Materials that will make the Pentagon its largest shareholder, to boost rare earths output. India is holding talks with Chile and Peru to source critical minerals under ongoing free trade pact negotiations, Reuters reported earlier this week, citing a trade ministry source. REUTERS
Straits Times
6 days ago
- Business
- Straits Times
Japan, EU to explore joint rare earths procurement, Nikkei reports
Find out what's new on ST website and app. TOKYO - Japan and the European Union will consider joint public-private partnerships as they look to reduce their reliance on China in areas such as the procurement of rare earths, the Nikkei newspaper reported on July 17. As China, the dominant supplier of rare earths, tightens export controls, global manufacturers are concerned that Beijing's decision to curb exports of rare-earth alloys, mixtures and magnets could slow production and disrupt supply chains. Globally, countries have been trying to secure rare earth supply chains to loosen China's grip on the materials used to build weapons, electric vehicles and many electronics. Japan and the EU will launch a new 'economic two-plus-two' dialogue to bring together their foreign and economy ministers, expected to be announced at the Japan-EU leaders' summit scheduled for July 23, according to the report. The talks aim to identify specific areas of cooperation between the parties from this summer onwards, it said. The countries will jointly develop supply chains for critical minerals such as rare earths, after the two sides agreed to a new dialogue at the working level. They will focus on simplifying EU regulations and discuss how Japanese companies can take part in EU projects under the new framework, which seeks to deepen Japan-EU ties, Nikkei said. The framework will also add Stephane Sejourne, the European Commission's executive vice-president for prosperity and industrial strategy, to the talks. Earlier this month, the US Department of Defence signed a multibillion-dollar deal with MP Materials that will make the Pentagon its largest shareholder, to boost rare earths output. India is holding talks with Chile and Peru to source critical minerals under ongoing free trade pact negotiations, Reuters reported earlier this week, citing a trade ministry source. REUTERS
Yahoo
08-07-2025
- Automotive
- Yahoo
EU to Protect Airbus in US Trade Deal as Ferrari Set to Lose Out
(Bloomberg) -- As the European Union nears a trade deal with the US, its negotiators are focusing on protecting key industries from massive tariffs set to hit the bloc's exports as soon as Aug. 1. Are Tourists Ruining Europe? How Locals Are Pushing Back Denver City Hall Takes a Page From NASA Can Americans Just Stop Building New Highways? Philadelphia Trash Piles Up as Garbage Workers' Strike Drags On The European Commission, which handles trade matters for the EU, is closing in on a preliminary agreement that would exempt commercial aircraft from some tariffs in a potential boost to Airbus SE, according to people familiar with the matter. It would also create carve outs for some — mostly German — carmakers, giving relief to companies such as BMW AG and Mercedes-Benz Group AG. Other carmakers such as Italy's Ferrari NV may miss out on any benefits since the carve out may only help companies with factories in the US, Bloomberg reported earlier. Which sectors are spared — spirits are also expected to receive a reprieve — speaks to the political leverage of key member states, which industries the EU views as critical, as well as areas where the US has a vested interest to protect its own manufacturers. In the case of Airbus, it's a bit of all of those. 'It's absolutely the banner-waver for European aircraft manufacturing,' John Strickland, an aviation analyst at JLS Consulting, said in an interview. Tariffs being passed on to customers 'would potentially have a significant dampening effect on demand and therefore the whole financial success of Airbus,' he said. More than just the world's largest maker of commercial jetliners, Airbus assembles its aircraft through a complicated choreography of parts and factories and has become a symbol for industrial cooperation on the continent. Airbus's main headquarters is in Toulouse in southern France, where it has so-called final assembly lines for its various products, alongside its other main facility in Hamburg. But over the years, the planemaker has expanded its global production presence to include Tianjin in China, Mobile in Alabama and Mirabel in Canada. That's given Airbus a powerful tool to sell locally made jets to customers in the US and China, the two biggest aviation markets. Boeing, by contrast, only makes its aircraft in the US, giving the company no option to adapt its global footprint to potential levies in some markets. The EU made protecting the planemaker a priority. The bloc's industry chief, Stephane Sejourne, told Bloomberg last month that Airbus can't be subject to 'unfair competition' from Boeing, which is headquartered in Arlington, Virginia, because the European aircraft maker faces an additional 10% tariff. 'If we don't rebalance we would leave some leading sectors unprotected, so there's an economic interest in acting like this,' he said. It remains to be seen what kind of upfront tariff exemptions the US will grant the EU for aircraft, aircraft parts and spirits as talks continue this week, said the people, who spoke on the condition of anonymity. At the Paris Air Show last month, the industry's biggest annual gathering, US Transportation Secretary Sean Duffy said he supports returning to the terms of the 1979 trade agreement that exempted cross-border trade in airplanes and aircraft parts from tariffs. Duffy acknowledged that aviation has generated trade surpluses for the US because of the decades-old pact, telling journalists at a meeting that 'we should take aviation off the negotiating table, by going back to 1979, and that only helps us take some tools away from our trading partners where it might be beneficial to us.' The US duties now cover €380 billion ($445 billion), or about 70%, of its exports to the US, according to EU estimates. In its last forecast in May, the European Commission significantly revised downward its growth estimate for this year as a result of the trade war, expecting a moderate pick up of 1.1%, compared with a growth rate of 1.5% as predicted in November. The EU has until Aug. 1 to clinch a preliminary trade deal that would lock in a 10% across-the-board tariff rate while negotiators try to hammer out a permanent agreement. Failure to reach an accord by that date means tariffs on nearly all EU exports to the US will jump to 50%. The bloc is also pushing the US for quotas and exemptions to effectively lower Washington's 25% tariff on automobiles and car parts as well as its 50% tariff on steel and aluminum, according to the people. But a breakthrough on those levies is not immediately forthcoming. The auto tariffs have added cost and complexity for Europe's manufacturers, which rely on the lucrative US market for sales of their larger and pricier sport utility vehicles. The situation is especially critical for German firms that are under pressure to protect market share in the US as they fall further behind in China, where local brands led by BYD Co. are taking over. Porsche AG and Mercedes this week reported declining auto sales due to lower deliveries in North America and China. However, the EU and US are discussing a so-called offsetting mechanism that would allow European companies that make automobiles in the US to export a certain number tariff free, according to the people. That would benefit companies including BMW, Mercedes and Volkswagen AG's namesake brand. Porsche and Ferrari don't operate plants in the US and import all of their cars from Europe. Volkswagen's Audi is currently weighing starting US production, and in May said it will choose a site this year. Its US top seller, the Q5 SUV, is imported from Mexico. The model's sales slumped 29% in the second quarter. Mercedes is shifting output of its GLC SUV — its most popular import in the US — to its factory in Alabama by 2027. German Chancellor Friedrich Merz last month backed the idea of an offset rule to provide tariff relief for some European carmakers. But negotiations have become increasingly urgent since then. 'We want an agreement with the Americans,' German Finance Minister Lars Klingbeil told lawmakers in Berlin Tuesday. 'But the deal must be fair — and if we do not succeed in reaching a fair deal with the US, then the EU will have to take countermeasures to protect our economy.' --With assistance from Kate Duffy, Anthony Palazzo, Kamil Kowalcze and Alberto Nardelli. Will Trade War Make South India the Next Manufacturing Hub? 'Telecom Is the New Tequila': Behind the Celebrity Wireless Boom SNAP Cuts in Big Tax Bill Will Hit a Lot of Trump Voters Too For Brazil's Criminals, Coffee Beans Are the Target Pistachios Are Everywhere Right Now, Not Just in Dubai Chocolate ©2025 Bloomberg L.P. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Hindustan Times
08-07-2025
- Business
- Hindustan Times
EU to set up Critical Chemical Alliance to secure supply chains
* EU to set up Critical Chemical Alliance to secure supply chains Critical Chemical Alliance to tackle supply chain dependencies and distortions * EU chemical production faces competition from cheaper U.S. and Chinese rivals * Commission to expand state aid and simplify rules for chemicals industry By Julia Payne BRUSSELS, - The European Commission will work with EU member states and the chemicals sector to support production of chemicals identified as critical for Europe's industrial supply chains, the EU executive said on Tuesday. It said it will establish later this year a Critical Chemical Alliance, bringing together the Commission, member states, and various stakeholders as part of a wider plan to revive Europe's chemicals industry The chemical alliance will "identify critical production sites needing policy support and tackle trade issues like supply chain dependencies and distortions," the Commission said in a statement. The move mirrors another alliance set up to identify metals and minerals key for the energy transition. The EU then set targets for mining, processing and recycling of 17 strategic materials. Chemicals are a fundamental input for nearly all industries from textiles and defence to tech and account for 1.2 million direct jobs in the EU. However, chemical production plunged during the COVID-19 pandemic and it has not fully recovered in the face of competition with U.S. and Chinese rivals that benefit from significantly cheaper energy and production costs. Commission officials said more than 20 chemical sites have closed over the last two years, with petrochemicals and ammonia "under severe pressure". "First and foremost, there is the issue of sovereignty: keeping our steam crackers," European Commission Executive Vice President and industry commissioner Stephane Sejourne told reporters. Steam crackers, a unit in petrochemical plants, produce building block chemicals ethylene and propylene, which are used in everything from plastic food packaging and rubber to car headlights and fleece hoodies. The EU has around 40 steam crackers. On Monday, chemicals giant Dow said it planned to shut two plants in Germany and one in Britain over the next two years. Sejourne told reporters the alliance would evaluate the bloc's dependence on imports in the context of the importance of the molecule. "We are 80% dependent on foreign imports for methanol, for example, and if we look at the critical production sites, we need to safeguard and retain European sovereignty... Work will be done to identify these molecules, and the plan proposes to move forward on a kind of Critical Molecules Act." Further, the Commission will include chemicals in future trade agreements and strengthen surveillance of chemical imports. The Commission has already opened 18 trade defence investigations into different molecules since 2024. To compensate for high energy prices, the Commission will expand state aid, speed up permitting and provide energy guarantees from EU funds. The Commission will also include EU-content criteria in public procurement for chemicals, an effort being promoted across EU industries, Sejourne said. Finally, the Commission will present its sixth simplification package, known as an omnibus, for the chemicals industry. The omnibus, due to be proposed before the year end, will simplify rules on labelling of dangerous chemicals as well as revise rules around cosmetics and fertilizers adding up to savings of 363 million euros a year. This article was generated from an automated news agency feed without modifications to text.
Bloomberg
25-06-2025
- Business
- Bloomberg
EU Sees Trump's 10% Tariff as Trigger to Retaliate
The European Commission finally revealed how it's planning to react to the likelihood of an additional 10% baseline tariff from the US on EU exports remaining in place. 'We will need to retaliate and rebalance in some key sectors if the US insists on an asymmetrical deal,' the EU's industry chief, Stephane Sejourne, told Bloomberg this week.
