what about beyond huawei? there are supply chains and chipmakers and so on which will feel the effect of a us band against huawei. exactly. huawei spend about $11 billion a year on supplies, whether it is technology or equipment from the united states, thatis equipment from the united states, that is quite a big haul to leave behind. whichever way this turns out, the fact is, huawei have got to plan around not having doubts available. so even if the president turns around and says, 0k, we will carry on doing business with huawei, huawei will be actively looking for replacements for that $11 billion of revenue into the us coffers. is there any sign that they have actually made progress on that front, in terms of their response to all of this? significantly, yes. things like the semiconductors, they will be looking at supplies in asia, like samsung, for example. there are lots of other places they can go. it ta kes a lots of other places they can go. it takes a lot of time to organise but is certainly a thing th

versus huawei. huawei off the hook for another 90 days, according to wilbur ross. a limited set of exemptions to be granted to telecom companies that are dependent on huawei, but the question on whether u.s. chip companies and other suppliers will be able to sell products to huawei. to discuss, sarah mcgregor who leads economic coverage, coverage of u.s. economic policy for bloomberg joins us now. we are talking about rural mobile networks. how much does this reprieve actually helped huawei? sarah: according to huawei itself who a statement today, this really does not help their business a lot. they still see the blacklisting of the company as an unjust move, as they put it. the trump administration gave this 90-day extension which really was an olive branch to u.s. companies that do business with huawei and the consumers who use those networks or smartphones where that reprieve will be necessary to keep those things going. in addition, the trump administration added 46 more affiliates of huawei to the blacklist from all over the world. it offered this small reprie

that's it because these companies are reliant on huawei as much as huawei is on them. when we saw the band first come in, the share prices of some of the big tech companies plummeted, which was why eventually trump decided to offer this 90 day window. we also should think about the fact that huawei build many of the networks around the world, many of those countries they supply a loading up their 56 impact —— five g networks. they supply a loading up their 5g impact —— five g networks. the impact —— five g networks. the impact would be significant. in the uk, the operators here, if they want to use what we, it could cost as much as £8 billion. this started rumbling back in may so it has given wally plenty of time to reposition and prepare and we have seen that to and prepare and we have seen that to an extent. for example they are coming up with their own operating system. so they are not reliant on android. they have been spending a lot of money and many hours into developing this new operating system to try and replace android. i suspect the last chance

if you ta ke challenges that huawei poses. if you take a look at it the former secretary of defence in the united states, leon panetta, is now on the board of oracle. does that mean china should ban all oracle or motorola's solutions because the former head of the cia is on the board of motorola's solutions. you need to have caution and good oversight but you can't have the hysterics that the united states is having towards huawei right now. risk, yes, definite risk, no. shaun rein, thank you very much. thanks for having me. uganda's government is hosting a major exhibition of pictures of its past president, general idi amin. a0 years after the end of his regime — and at a time when people seem to be changing their perspective on him and his legacy. dearjeanne reports from kampala. idi amin ruled uganda with an iron fist for eight years after taking power in a coup in 1971. when he was toppled in 1979, amnesty international estimated half a million people had died during his reign. this man was only 21 when idi amin came to

if huawei will make additional payments to them, also saying that huawei is taking market share in china, which sort of has ramifications for the entire space. so, qualcomm has really been on a roller coaster ride this year. it is down 18%. more than 20% now if these declines hold in the trading tomorrow. still up 29% on the year. so, quite a wild ride for qualcomm this year. emily: president trump abruptly escalated his trade work with china thursday, tweeting, "during the -- the u.s. will put an additional tariff of 10% on the remaining $300 billion of good and products. this does not include the $250 billion dollars already tariffed at 25%." it included a raft of consumer and tech goods, including most of apple's major products. earlier, trump was asked if he is concerned about the market reaction. take a listen at what he had to say. pres. trump: no, i am not concerned about that at all. people don't understand what happened. emily: to discuss, we are joined by our bloomberg trade reporter, sarah mcgregor. also with us is bloomberg businessweek's max chafkin. what does he think peopl

suppliers is even bigger than it is to huawei. we will have to increase our workload and manage continuity internally, but the damage to the u.s. supplier is direct as they lose a customer. if the u.s. removed huawei from the entities list, that would be a solution. tom: what impact are you seeing on demand for your 5g equipment given the u.s. pressure campaign on some allies around the world to block access to huawei? mr. hua: although the u.s. has been launching a campaign among its allies, it is up to each country to decide its partners based on its own development demands, telecommunication demands, and carrier infrastructure construction demands. i think now there might be some impacts in places like australia, but there are others who are willing to work with huawei. tom: when it comes to components, you have said that you are still blocked from some of your key suppliers. can you give us some clarity on who those suppliers are, and tho fill those gaps? mr. hua: we might have some components that we can't buy from the u.s.,

we'll begin with huawei. the us has its ban on the company for another 90 days. it originally blacklisted the company in may, citing security concerns. it then granted a temporary permit. that was due to expire on monday. well, everybody's had plenty of notice, there's been discussions with the president and the president has made clear in his announcements yesterday that he is very concerned about more dealings with huawei. mr ross also said another 46 huawei affiliates would be added to the us entity list. huawei said it was opposed to the decision and felt it was politically motivated. earlier i asked brock silvers from a private investment firm why the extension was granted. the extension is a bit difficult to explain, i think. the extension is a bit difficult to explain, ithink. look, the us the extension is a bit difficult to explain, i think. look, the us is trying to make it easierfor compliance for us companies, but thatis compliance for us companies, but that is sort of flying in the face of calling huawei a national security issue. if it really does re

huawei will make additional payments to them, also saying that huawei is taking market share in china, which sort of has ramifications for the entire space. qualcomm has really been on a roller coaster ride this year. it is down 18%. more than 20% now if these declines hold in the trading tomorrow. still up 29% on the year. so, quite a wild ride for qualcomm this year. emily: president trump abruptly escalated his trade work with china thursday, tweeting quote " the uwill put an additional tariff of 10% on the remaining $300 billion of good and products. this does not include the $250 billion dollars already tariffed at 25%." it included a raft of consumer and tech goods, including most of apple's major products. earlier, trump was asked if he is concerned about the market reaction. take a look at what he had to say. pres. trump: i am not concerned about that at all. people don't understand what happened. emily: to discuss, we are joined by our bloomberg trade reporter, sarah mcgregor, and no bloomberg businessweek's max chafkin. what does he think people don't understand? max: the th

suppliers is even bigger than it is to huawei. emma: this is bloomberg. ♪ emma: welcome back to "bloomberg best." i am emma chandra. chinese tech giant huawei is continuing to deal with the fallout of the trump administration's effort to curb its sales. it's growth slowed considerably in the last quarter and their chairman spoke exclusively with tom mackenzie this week on their shenzhen compass and discussed how the company is coping with the u.s. restrictions. >> we do not know when the u.s. will make a decision on android and when that decision will come. we have to make preparations for our products. we will evaluate our strategy for the overseas market. if we do not use android for a new smartphone, we have our ability to develop an operating system and ecosystem that will become the basis for the services to the customers. tom: give us a sense of how fundamentally you have had to change your supply chain to mitigate some of these rushers, have you completed those changes or is there more to be done? liang: the entity list p

ban on huawei having global consequences. the u.s. has been putting pressure on other countries to take similar actions against huawei. the chinese are warning there could be reversed sanctions on some countries. for example, india. if india bowed to u.s. pressure to stop doing business with huawei, the chinese saying they could be subjecting indian products to reverse sanctions by china. all ofe complexity of these relations are things that people are constantly worried about here in washington. we do know the white house has been pressuring a lot of our allies to keep huawei gear out of their networks. it has been largely unsuccessful, even though it does seem other countries share our concerns about chinese espionage. doubt that trade war, national security, those two things are going together. just bilateral tensions, but multilateral tensions on the world stage. the white house will have to deal with that. emily: just yesterday the president took aim at google over alleging anti-conservative bias. this as social media companies r

shery ahn spoke with huawei's chief officer and asked how huawei is addressing vulnerability in its products. >> we have been actively involved in independent evaluation of our products around the world. most recently, the oversight award in the united kingdom. we sell on all the carriers, not the core networks which would be the sensitive networks, but the radio access networks. they have identified vulnerabilities in our software. and they have brought to our attention important lessons we can learn, so we are committed as a global company to spend $2 billion over the next five years to improve our engineering process. to make sure we are more consistent so there won't be as many vulnerabilities that are there. and to make our code more readily adaptable for new technologies with artificial intelligence. we think our competitors would value from similar evaluations to make their products more secure as well. >> we are going from a 4g into a 5g world. the ecosystem is becoming more complex. the 5g architectures are becoming more complex. when that happens carriers might not have much contro

are dependent on huawei so how significant is the latest reprieve not only for huawei, but also for u.s.? >> hi. thanks for the question. from the huawei perspective, it is actually very little. it is fairly small but from the u.s. telecom firms, it is -- there's a lot of smaller wireless companies that require huawei equipment. alternatives few to huawei at the price they provide and the quality they provide. paul: what was huawei doing before it was put on the entity list and how to this behavior anend after? woo jin: huawei, it was business as usual. i could give you a couple of examples. they were purchasing a lot of semiconductor chips for their smartphones, as well as their mobile base stations for five g and 4g deployment. companies, combined, they had $250 million in sales in 2q prior to the ban. post-ban that has diminished to about $30 million. shery: we have seen huawei taking steps to mitigate all the impact coming from this u.s. blacklist, including announcing the new harmony operating system which would replace the android if need be. what was huawei able to buy during thi

they also came out and said until they get a deal with huawei over the same issue, it is unclear if huawei will make additional payments to them. also saying that huawei is taking market share in china which has ramifications for the entire space. qualcomm has been on a roller coaster ride this year. it is down 18%. more than 20% now if these declines hold tomorrow. still up 29% on the year. so quite a wild ride for qualcomm this year. president trump abruptly escalated his trade work with china thursday, tweeting quote the u.s. will put an additional tariff of 10% on the remaining $300 billion of good and products. this does not include the $250 illion already terrorist -- terrorist -- tariffed. it included a raft of consumer and tech goods, including most --apples major products apple's major products. >> i am not concerned about that at all. people don't understand what happened. emily: to discuss, we are joined by our reporter and bloomberg businessweek's max chafkin. what does he think people don't understand? the theory from the trump administration is, number one, this a temporary t

companies to continue working with huawei. there hasn't been a whole lot of clarity on this policy, even by the president himself. president trump, if you remember, at the g20 had said at one point that the u.s. economies would be able to work with huawei, but this is what he said on sunday >> i'm talking to my people but ultimately we don't want to do business with huawei for national security reasons. we'll see what happens i'm making a decision tomorrow it could be temporary, maybe not, but we're going to make a decision tomorrow. >> and i called huawei they said for now everything is business as usual. they just, as everybody else is, are waiting for word from the white house. but to the chinese, this comes after a partial delay of the tariffs from september to december and is being seen as yet more evidence that the trump administration has become a bit gun shy towards its policy towards china. for example, the global times, which is a communist party paper is running an editorial which says u.s. maximum pressure tactics

business with huawei." he also says he would like to see a full point rate cut. "the fed should stop quantitative tightening, and we are not going to be doing business with huawei." stocks have been taking legs lower all session. the s&p 500 down about six tense of 1%. the 2-10 spread is back below nine basis points. guy: let's get an update on where the market moves we are seeing. emma chandra is here with the details. down about&p 500 6/10 of 1%. it is the trade war and escalation of that top of mind for investors. we just heard those comments vonnie mentioned from the president with regards to huawei. this follows news overnight that the trumpet administration was delaying a decision that would have allowed u.s. businesses to restart business with huawei. also, the president saying a little earlier that they are not ready to make a deal with china. therefore, we are looking at stocks in the red. where does this put us on the week? we should put up a chart showing you how the s&p 500 be performing on the

government has given huawei a 90 day reprieve we have seen huawei focus a lot on core technologies the likes of semi-conductors, processes, and 5-g modems and releasing it's own system called harmony os which can work across all the devices that it has. now i want to quickly deal with the way the u.s. administration has been approaching huawei. it's been some what of a mixed signal trump earlier this year said perhaps huawei could be part of a broader u.s.-china trade deal and then you have him saying that he wants nothing to do with huawei and then of course this reprieve and mike pompeo on cnbc was saying the message was unambiguous. that huawei is a national security threat. of course these are allegations huawei denied but as the pressure mounts he talks about this live or die moment as he looks toward the future and how huawei will weather this storm going forward. back to you. >> all right while we have you, we also want to get your take right now on a reuters headline that alibaba is delaying it's hong kong ipo listing amid all the unrest and demonstrations what can you tell us

google cannot supply the most updated operating system to huawei because huawei is blacklisted. is this new operating system any good? tom: we don't know is the short answer. there is so little we know about it. does it work? how reliable is it? huawei has made interesting claims that it is faster, more secure than android, pretty outlandish claims for something that has not been proven and is not widely available. there is so little we know. rolling out a software operating system to millions of phones is not the kind of thing you do overnight. emily: and may be why they are skipping phones initially. we know that and that it's called harmony os. tom cole and and they are putting a lot of money into it, getting -- tom: and they are putting a lot of money into it, getting a lot of resources. but they are going to make it available to other devices, the whole internet of things, make that available to people, but it's not going to be available on devices in the meantime. they have already derailed to the company's efforts to become the world's largest smartphone maker. they were

so huawei is the black cloud hanging over the u.s. xhu semiconductor industry. >>> round two of the democratic debates took place in detroit overnight. joe biden faced heavy scrutiny >> reporter: there was an uneasy tension on the stage all night >> tonight democrats expect some engagement here. >> reporter: from the start the candidates were engaged and aggressive much of the fire focused on the front-runner >> i don't hear an answer from the vice president you want to be president of the united states, you need to be able to answer the tough questions. >> reporter: former vice president joe biden pushed back reminding the candidates and crowd of his experience in the white house. >> i find it fascinating everybody is talking about how terrible i am on these issues. barack obama knew exactly who i was, he chose me and he said it was the best decision he made. >> reporter: now it's the voters making their decision, with more than 20 democrats hopeful it will be them that number could drop significantly before the next debate with step

, national health service, if that is upfor grabs, like huawei, and if huawei is involved in infrastructure in the uk, those kinds of issues. we can compartmentalise things so we can compartmentalise things so we can get some quick wins, as you said. even on something like that, we must challenge it, for instance on the huawei decision. if the united kingdom decides not to have huawei on the 5g network, it would involve ripping them out of the 3g and 4g network, where it is already present. that would cost this country billions of pounds, set this country billions of pounds, set this country back several years in developing its 5g capability, all in order to continue its intelligence sharing relationship with the united states. that might be worth it, but on the other hand if they will be a cost for this country being ready for 5g, who is going to pay for that? we already have it operating in some places, like birmingham. is that using huawei or not? some of it will be, yes. so it is already in existence. yes, so we define when creatively in these conversations. —— quick win creatively.

he met with xi jinping and offered relief for huawei, so what is the verdict on huawei when it comes to the trump administration? isaac: i don't think there is a verdict. we are hearing used the commerce department will allow certain u.s. companies a waiver to keep working with huawei. seems like trump wants to tie all of these issues happening at once with china into a nice, neat little bundle he can negotiate at the same time, keeping investors and the chinese government on its toes. it is a confusing strategy, to be honest. the huawei one is interesting because it is either a security risk or it is not. you could also say the same about what has been going on in the markets. president trump saying he is now mark.g, exclamation we know the president uses what is happening with equities as a barometer of his success. isaac: it feels like the huawei situation is a lot of people in the national security community really do believe huawei is an important national security threat. for trump he is willing to use that line when is effective to him for his greater economic and trade war go

lots of things going on with huawei. in general, the smartphone market generally is slowing down. >> my view is this will do nothing to turn that around. this will not give new growth to the smartphone market in general. people are not going to buy their first smartphone because of the note 10. people are not going to switch from the iphone. what will happen is people on or older other samsung phones will want to upgrade to this. but as we have talked about so many times, the combination of a lack of major new features with skyhigh prices north of $1300 for the high-end big models, that is a lethal combination for bad news, wright? you cannot charge those kinds of prices without adding revolutionary new things and expect people to upgrade on an annual basis or every two or three years. emily: you reported that for apple, when apple unveils its iphone in september, the update will also be incremental, but there is a big design upgrade, design overhaul coming next year. is that the same for samsung, that next year, there w

firms require licenses to sell to huawei. i asked about that process and where they were in the process >> the process now is we file licenses to try to get approval. we submitted quite a few licenses the administration announced last week they will try to process the licenses from the industry in an expedient fashion. we're encouraged by that >> so, intel confirming that it has applied for licenses with the u.s. government, but been swan told me it hasn't received a timeline on when they might receive those licenses clearly huawei and china are a big black cloud and you saw that in the qualcomm shares >> arjun kharpal, thank you very much >>> still on deck, why beyond meat is bracing for another day of losses. some early investors are cashing out of the alt meat business. >>> and welcome to august. on average, dating back to 1980, august is the worst year for the month for materials, will that happen again or will this year be different find out when "worldwide exchange" returns. >>> welcome back it is done the london stock

even so, the administration is adding more than the huawei affiliate to its -- 40 huawei affiliates to its blacklist. global news, 24 hours a day, on air and @tictoc on twitter, powered by more than 2700 journalists and analysts in more than 120 countries. i am renita young, and this is bloomberg. shery: thank you. we're half an hour with from the open in tokyo, sydney, and seoul. let's turn to sophie in hong kong for what the check in the markets. sophie: we are keeping an eye on tech players. 90% on eight year on year basis for july but on a monthly basis, we did the an improvement, so keep an eye on players like tokyo electron. we are watching samsung and suppliers. japan has given the nod for a local manufacturer to ship products to samsung. the latest batch would be six months worth of supplies for samsung. tech is are much in focus today. paul. paul: thank you -- is very much in focus today. paul. paul: thank you. in a of hours, the pboc will announce a new primary to do just that. brings china's central bank closer to strategies by other major central banks. dan joins us now fro

to come to the table with concessions for huawei. we know that china wants tariffs listed -- listed on all exports. these are sticking points from both sides. it would be critical to see what kind of movement comes out of these talks in shanghai. >> trade negotiators left early today with neither side feeling like they made much progress after president trump set the stage by accusing the chinese of ripping off the united states. the chinese foreign ministry, after the fact, saying the united states would have to show sincerity and good faith before anything could get done. >> the pressure on both sides to get to a deal and hurry up if you will, is not there anymore. the real priority was running through the issues, seeing where both sides are and deciding on what the path is. the good news is it will talk again and meet in early september. the trade war is on hold. it will keep trundling on for another month at least. >> the fed, we are counting down to a decision, investors looking for the first rate cut in a decade. >> they cut th

a ban on five chinese tech firm — including huawei — comes into effect today. live from london, that's our top story on tuesday the 13th of august. the us is stepping up its stance against china — with the trade war set to get even hotter. are these chinese companies caught in the negotiating crossfire? also in the programme — market meltdown in argentina — the peso tumbles and stock market crashes — after the country's ruling conservative president loses big in primary elections. european markets looking a little like that. we'll tell you what to watch on the markets today. living in the lap of luxury — at least for a little while — we'll get a peak into some of india's biggest and more extravagent hotels and find out why they're doing so well... one think tank recommends raising wages and giving workers more holiday to boost productivity — so, we want to know — what would you prefer? more cash or more time off? just use the hashtag bbcbizlive i'm just thinking both! you can't have both, you've got to choose one! let us know, use the hashtag. h

companies to deal with huawei. some licenses have been delayed and that sent futures on the s&p the other direction and that had an impact. we are positive generally speaking. david: up about .5%, down 10 points on s&p futures. perhaps adding to some stability with the fixing, which we expected to adjust with the huawei lines, didn't quite get there. sengad: 1.1% down, hang with gains after a terrible couple of weeks. .3% to the upside, nikkei 225 getting a boost from the gdp boost print which was something. 1.8% growth. shanghai, doing well. let's look at whether the currencies are playing out in this because when we see the japanese yen appreciate, we tend to find exporters are under belowre but it is still 106 and doing ok on the nikkei 225. the euro, fractionally moving to the upside at $1.12. this, despite what has been a bit of a fallback but it looks salvini's government is on the verge of collapse. meanwhile, we had the fix early in onshore yuan, below seven against the dollar. let's carry the position we h

just huawei. in fact inexcludes zte which was able to get back in the good graces of the united states. we talk about the different things. we know china has enjoyed its relationship with america, especially china's elites. where do you think this goes? most of the thinking, conventional wisdom, the 10% tariffs will happen, there is even a great chance they go to 25%? some see that as the tipping point where the markets go straight down and where all bets are off. where do you see it? >> no, i think finally there is going to come around to a realization that we're benefiting with the tariffs. look at this, we have 60, $70 billion worth of tariffs, maybe $100 billion worth of revenue into the treasury department. we saw randy levine, the president of the new york yankees saying some of that money could bail out pension funds, multiemployer pension funds which are facing trouble because so many jobs -- charles: curtis, people will say the administration is taking this money, some people paying for,

it's much simpler not to do business with huawei. that doesn't mean we won't agree to something if and when we make a trade deal. orly: so if you are huawei google, how do you interpret that? : the trump administration has been flip-flopping so much, saying no way, not at all, and then backtracking, saying we know there are u.s. suppliers, chipmakers, for example, who are really intent on making their product available to huawei, and we think some of these manufacturers have found ways around to the embargo. you remember last night bloomberg broke the news that the process of filling out applications to cellular is on hold.o huawei those applications are sitting on someone's desk and no action has been taken on them while the trump administration continues pressure and china, in turn, retaliates. about we will talk more the trade dispute and its evolution later in the show. thank you was always. coming up, we will discuss the fight to end online extremism of -- with each share of the house homeland security committee. chair of the ho

apple goes beyond the united states and huawei's ambitions are to go beyond asia. this is deftly hurtful for huawei and its proves the point of how vital the networking giant business is across the world and for the company and other u.s. companies. this issue like some others is pointing to, there is a point at starts hurting the u.s. emily: it is almost impossible to separate huawei from the trade war and china has said they will prevent certain u.s. companies or foreign companies from doing business in the u.s. in the bigger picture, this has been happening for a long time, cue facebook and twitter which have not been able to operate in china for almost a decade or more. how do these pieces fit together in the broader narrative as the u.s. and china try to hammer out a deal? samm: the answer is that these pieces don't fit together. the reason is that there are competing end games for what this administration is actually trying to accomplish. you have a growing number that want to kill huawei as a company globally and significantly weaken it in china. then you ha

fred good to see you, let's start with huawei. again getting an opportunity despite being told by everyone in national security, in this government, that huawei was an agent of espionage for people's liberation army. >> president trump understands that, and he understands what huawei wants to set up a global spy network. the president and his team are trying to figure how to calibrate huawei but the sanction are coming. lou: they are coming, they are going too, a second round of a ban given that was nothing but two consecutive 90 day extensions. >> i think that president does not -- not want to hurt u.s. companies some need extra time to find alternatives to huawei technology. lou: nom speaks of u.s. companies, tim cook, talking with the president. and making a compelling argument about having tariffs imposed on apple products. but i can't figure out, apple builds its products overseas, it should pay a tariff. >> i agree, i don't understand how apple gets away with constructing its equipment in china. i think there are real securi

kennedy: called huawei phone. >> the huawei technology -- bigger concern huawei stealing g technology from us. kennedy: they are, they are stealing everything. >> that is what i'm saying that is the bigger concern. kennedy: a tiny cockroach, robot camera in all of our stuff, they are looking at everything that you are doing. >> you are scaring me. kennedy: you know, i don't make up, except for the parts that are not true. >> i think we're not getting a trade deal, huawei might get certain licenses that would be first opening chinese would have that xi jinping would have to respond with something positive to us and that would be perhaps the beginning of change -- >> i don't trust them, i like free trade between individuals and corporation, i don't think we should trust the communist chinese government, that is not up to me, let freedom ring, buck sexton thank you so much. >> let freedom ring. kennedy: coming up. which one of these boobs wants to spend more of your money, and actually steal it from you? i'll tell you next. 900 acres. 48 bales. all before lunch, which we caught last satu

companies to restart business with huawei. switching boards for some stocks to watch. shinsei bank plunging the most in three years on reports that jc flowers is selling most of lenders. to the other investors will be offloading 43.5 million shares in a secondary offering in japan and abroad. that is down significantly. switching boards again to other stocks we are watching. biking moving up after an analyst upgrade, raising the target. it is trading at about ¥13,625. banking cost cuts and is pushing sales in the u.s. and china to help the company meet its medium-term profit margin. softbank is up about .6%. telecom unit shares have clawed back past that. this comes after the company earlier reported earnings that the first quarter earnings were in line with estimates. seido, up more than 7%. they beat expectations with analysts citing brand power improvement, and improving outlook against intensifying competition. a lot to watch. ministerdian prime narendra modi is promising a new era in kashmir after revoking its autonomy.

blacklisted huawei in may over national security concerns. this move comes after aging productioncultural -- agriculture purchases from the u.s., but it is amidst an already tense week in trade. we have seen the yuan we can. we have seen president trump threatened a next round of tariffs. this is another escalation that further complicates these countries trying to negotiate some way out of their trade war right now. a lot more adding to tension from this latest move. shery: where are we on those extra 10% tariffs on $300 billion of chinese goods? heard president trump catching many offguard, the trade office is rushing to complete their list of products that will go under these tariffs. there was a list released in may which included virtually all chinese imports into the u.s. that list included things like laptops, cell phones, and children's toys. this will be a revised list of that one after companies have tried to lobby to keep their products off the list. this latest list is likely to -- consumers are likely to feel more pain from this

the chinese government to spy, something huawei says it would never do. but the ban also comes amid mounting trade tensions between the us and china, with america due to impose a 10% tariff on an additional $300 billion in chinese imports on the 1st of september. dr thomas gift, lecturer in political science, public policy, economics and analysis at ucljoins me now. it's nice to see you again. it's an interesting story, because today the band comes into effect in the united states and if feel like we've been talking about this for over a year. it feels like that because we have. this is the enforcement of the national defence authorisation act which was signed into law in 2018 but now is actually taking effect. essentially what it does, it says that us federal government agencies like nasa and the pentagon can't purchase components, telecommunications, surveillance equipment from highway. it's a big move, but it's not entirely unexpected. and that is one of four companies. private companies in the united states, though, many who have worked in highway in

it is muchimpler not to do any business with huawei, so we're not doingh business w huawei. that doesn't mean we won't agree to something if and when we t me de deal, but we're not oing to be doing business with huawei. >> and stocks headed lower. the white house later clarified, saying it was only the government not buying from huawei, and with that stocks recovered a bit. the dow had been down about 280 points and then briefly went sitive, butnded down 90 to 26,287. the nasdaq droed 80 and the s&p 500 was off 19. today's action seemed only fitting onhisild week. [ bell ringing ]. >> a lot of red on the board. >> the dow jones industrial average is down 926 points. >> investors worrying about the u.s./chinarade juarez catting. >> the d jonesndustrial average closes the day down 763 ints. >> wor day of the year for fox. >> a healthy bounceback a day, up about a percent on the s&p. >> there was buying today, back over the 26,000 level and the dow ended 313 points, right near session highs. >> we have regains a little l than half of the losses of yesterday. >> another big sell

there has been another 90 day ban put on huawei. a think—tank is proposing that drivers, who leave their vehicle engines running should be filmed by members of the public and then they'd get back a percentage of the fine paid by the offender. a similar scheme already exists in new york. michael cowan has been out on the streets of london to see how such citizen action could work in this country. we've all seen it, car sitting stationary outside schools, hospitals and roadsides, but with the engine on. idling produce almost double the amount of emissions than a moving car but one organisation has a radical plan, to limit the damage to both the environment and our health. basically, if you see somebody idling, then you can take a photo and video of that offence and report it to the council. isn't it slightly authoritarian to ask citizens to inform on one another to the state? it is a voluntary scheme, so if you feel uncomfortable doing it, you don't have to. but what impact do emissions from idling vehicles have on our health? perso

a new way with doing business with huawei sta rts with doing business with huawei starts this week. wants the new rule? this new rule was mandated by congress in america and it bounced the us government agencies from buying products from five chinese companies because of security concerns “— companies because of security concerns —— what's —— band. it will also affect a couple of other companies. this is separate from the troubles huawei faces from the commerce department. remember, it the company on its so—called entity list in may, which bans american companies from buying from foreign firms seen as potential security threats. but a month later after meeting with the chinese president at the 620 summit injune, president donald trump said american companies could sell some technology to huawei if china buys more agricultural products. last month mr trump met with us tech companies like do—able, logging for —— lobbying for exemptions to the but the talks aren't going well and the restrictions have resulted in huawei cutting 600 jobs in the us —— 6oogle. this

huawei and others. at the same time serving china customers and our hope is in the long-term these trade issues will resolve and we get back to doing business. >> no doubt i hope they will. but we were talking about exposure. obviously if you were to lose your access to china, theoretically, you lose your clients in china. what is the opposite, what is vm ware's exposure to china? would you be affected if that were some -- >> we're not as exposed. we don't source a lot of -- we have chinese employees there, but we don't source -- we're not a hybrid company that sources materials. in that sense, we're less exposed. we were told we can't employ anybody in china. which i don't think we're going to get to. but from the stand point of the fact that we can hopefully do -- we want to continue to do business there. that's important to >> the other interesting kind of question coming out of the trade talks now going on is whether access to local markets will be opened up, companies like yours. you think about th

singleds like huawei out for sanctions by the u.s.. the chairman speaks exclusively with bloomberg and says that is backfiring. >> i think the damage to the suppliers is even bigger than it is to huawei. emma: this is bloomberg. ♪ ♪ welcome back to "bloomberg best." chinese check giant huawei continuing to deal with fallout of the trump administration efforts to curb its sales. growth slowed considerably in the last quarter. the chairman spoke exclusively to tom mackenzie this week on the shenzhen campus and discussed how the company is restrictions.s. ♪ >> we don't know when the u.s. will make a decision on android and when that decision will come, so we have to make preparations for our products. we will evaluate our strategy for the overseas market. if we are not able to use android for our new smartphones, we have the ability to develop our own operating system and ecosystem to become the basis for our services to the customers. >> so give us a sense of how fundamentally you have had to change your supply chain to mitigate so

will renew the huawei waiver for 90 days. companies can continue to do business with huawei. this coming despite president trump calling the company "a national security threat." we also had china revamping the way it calculates the price of credit, and reports of china considering more stimulus overnight. we are joined to discuss all of this by damian sassower, chief emerging-market credit strategist for bloomberg intelligence. overnight, we had this decision on rates which we were expecting, and also reports of more stimulus. is china getting a little concerned? damian: extending the restrictions on huawei 90 days isn't really much of anything, but liberalizing their interest rate regime and trying to refine the transition mechanism, allowing short rates to impact the longer end of the curve, the way china does it right now is they said a one year rate. what they are trying to do, they are trying to do away with that entirely, set the shorter rates with this new benchmark rate, set the front end of the curve, and long rates should follow. what it means in the near term is b

sophie: that was huawei's chief security officer. we will ask a cme group economist why there is both good news and bad news in trump's latest tariffs. this is bloomberg. ♪ sophie: i'm sophie kamaruddin in hong kong. paul allen in sydney and you are watching "daybreak australia." oil plunged in the steepest one-day drop in more than four years after president trump ramped up tariffs. bloomberg news' energy editor joins us now. is this an overreaction? do you think we could see oil rebound from here? >> it is certainly a strong reaction. i think this ramp up in trade threats from the president is piling on to really persistent demand concerns that we have then watching. we have a slowing global economy. the international energy agency cut their oil demand growth forecast for the rest of the year last month. this is a concern we have been watching and it is something that seems to be persistent even as u.s. stockpiles have fallen for the last seven or so weeks. sophie: opec production is at the lowest since 2014. why is that not supp