tv Asia Business Report BBC News May 24, 2018 1:30am-1:46am BST
received a secret payment to fix talks between the ukrainian and us presidents. talks between the ukrainian but ukraine's president poroshenko's office has called the claims a flagrant lie, adding that they are part of a campaign to discredit relations between the two countries. with doubt still surrounding president trump's summit with kimjong un, china tells the us that "now is the time" to make a peace deal with north korea. and this story is trending on bbc.com... a new york couple have won their bid to have their 30—year—old son evicted from their home. michael rotondo has been living with his parents for eight years after he lost his job but they say he had not contributed to household expenses or with doing the chores. that's all from me for now. stay with bbc news. and the top story here in the uk... yulia skripal, who — together with her father — was poisoned by a nerve agent in salisbury — has said she believes they were the victims of an assassination attempt. now on bbc news, all
the latest business news — live from singapore. german chancellor angela merkel heads to china to strengthen relations, as trade tensions loom... first uber and aianb disrupting their industries, now food apps taking a bite out of profits in the big apple... good morning asia, hello, world! it is thursday, welcome to this edition of their asia business report. angela merkel, the german chancellor, is on a two—day visit to china. she will discuss trade
relations between the two countries, both of whom are targets of criticism from president trump. the two countries have reached their highest level of trade in 2017, they say. she is with the heads of volkswagen and siemens. shanghai, for a long time, had nothing but high taxes. they have trade finance from the us and the us pulling out of the iran nuclear deal? yes, germany and china have had a great relationship. angela merkel has been a leader of a country in europe far longer than anyone else. she is a reliable partner. under pressure from the right to endure a fourth term. she is under pressure on issues like immigration and trade and at the same time donald trump has threatened tariffs on germany and china. they are four of the
largest companies that he has identified. given the current situation, what kind of deal will she try and strike? there is a trade—off on both sides. germany has issues in terms of chinese access to the german market, especially with german technology. 0n the other hand, angela merkel wants to enjoy a healthy trading relationship with china. there is plenty to talk about there. and... she is walking a tightrope! germany is inadvertently likely to benefit to what donald trump has, as he has persuaded the chinese to reduce tariffs on cars, you know? simon littlewood there. from germany and china to the us, where president donald trump has ordered the us congress department to consider imposing tariffs on other imports on the ground of
national security. the commerce department says that they will conduct a trade investigation into whether these imports have eroded america's car industry. if so they could face tariffs of up to 25%. the president is invoking a national security law, that was used to impose tariffs on aluminium and steel. chinese technology company lenovo will report their numbers later today, it could be a cautionary tale for the company that was once the poster child of high—tech manufacturing in the mainland. the past couple of years have been difficult for lenovo, the company has lost more than 20% of its value over the last year. and more than 50% stay listed on the hong kong stock exchange. the mobile business is struggling and although its computing venture is growing it is still not big enough to compete with the likes of alibaba. analysts
say that they have much bigger problems, that is how it deals with mounting debt. they have tried to focus on mounting debt. they have tried to focus on revenue mounting debt. they have tried to focus on revenue growth without bearing in mind that you need profits to pay off debt and acquisitions. in the past they have managed to hide their liabilities. the patient deficit and payments to google. but as we say, we think it is close to being in the death spiral and it will need complete restructuring. and what about the pc business? it has been its bread—and—butter over the last decade. is it not a good business to be in right now? it is an ok business to be in that very tough. you have three global players like hp, dulland you have three global players like hp, dull and lenovo, you have three global players like hp, dulland lenovo, slugging it out. others do not have big
businesses with cash, but lenovo suffers from overreach —— dell. too much broad expansion funded by too little cash flow. we think they are in trouble and potentially could go bust. and consumers have moved from personal computers to smartphones, they are caught between a rock and a ha rd they are caught between a rock and a hard place, lenovo's telephones are not cheap enough to compete? correct, and they have a diverse range. consumers say, which brown should i buy? —— brand. the high or the lower end? should i buy? —— brand. the high or the lower end ? what should i buy? —— brand. the high or the lower end? what are they trying to achieve? it reminds me of korean car companies when they were expensive, not cheap, there was a lot of variety and they struggled to generate profit. the stage is set for a bidding war as us cable tv
operator comcast confirmed that they are preparing for a higher all—cash offer for 21st century fox, they need $52 billion for this deal. it will put pressure on fox and shareholders not to rush into approving this deal. for more, i'm joined by my colleague syringe at lille. why is there this bidding war? they are all gearing up for the biggest fight of their lives, these cable operators, the big fight is with netflix. they, of course, dominate the streaming and programming. they have a lot of creative content and have invested heavily. they just made creative content and have invested heavily. theyjust made a deal with 0bamas. try and top that! that is what comcast are doing. they have made a bid for fox, it will beat
disney's agreement. already sealed with fox in december, a lot of fa nfa re with fox in december, a lot of fanfare there. a deal for $52 billion. what they are essentially fighting for this all of fox, but the news, sport and business networks. to complicate matters, comcast is in another bidding war with fox, believe it or not. this is for the european pay—tv programming service, that is sky. essentially, it is looking at the sky bid, something that disney could potentially acquire if they go ahead with the disney deal. com cast seem determined to win this fight. especially as the only hurdle that stands in their way as regulators. we will see what happens there. comcast are cashrich. you, there.
their restaurants are famous the world over, but they also do business online. feed apps dominate the prepared food market but some restau ra nt the prepared food market but some restaurant owners are having a tough time making money. a red traditional diner in downtown manhattan, this kitchen attracts 500 customers a day but one third never enter the front door but instead use delivery apps like uber eats, and those orders do not bring in a profit. it is like digging your own grave, customers don't know what an impact it has on restaurants. it would great to know that you are supporting local businesses by ordering direct. the new york restau ra nt ordering direct. the new york restaurant business has always been precarious but now owners say they are going out of business fast, not
because they lack customers but because they lack customers but because more of us choose to order via delivery apps, some of which ta ke via delivery apps, some of which take a 30% cut. the industry is accelerating and is forecast to be worth $220 billion injust a couple of years. but many delivery sites are yet to turn a profit and they say that their high charges pay for services that busy restaurant owners cannot provide alone. we are really good at marketing and acquiring customers. driving them to place orders. we take on the cost of running your online store. if we bring you demand, there's an understanding that we should be paid for that. but for now, delivery apps are in the driving seat but it could be the next generation of restaurant is eventually in charge. at one point there will be too many apps, and then you start to hear that way off in the distance, "amazon!" .
hopefully that will mean to the re sta u ra nt hopefully that will mean to the restaurant operator that there will bea restaurant operator that there will be a reduction on prices. andy says he cannot afford for delivery apps to lower their charges but if he abandoned them, he would have two fires and kitchen staff. for now, he hopes his family run dina could outlast his customers demand. you are watching asia business report, thank you for investing your time with us. goodbye for now! the top stories this hour. ukraine's president poroshenko has denounced as "a flagrant lie" claims that his meeting last year with president trump was arranged after a big payment to donald trump's personal lawyer. china tells the us "now is the time" to reach a peace deal with north korea, as president trump continues
to express doubts whether his meeting with kimjong un will take place. the new home secretary sajid javid has told the police federation of england and wales that he will give officers ‘the tools, the powers and the back—up' to get thejob done. a warning that this report from our correspondent sarah campbell contains a racially—offensive term. a raid just after dawn this morning... by london's new violent crime task force. the capital has been reeling from a sharp upturn in murders, shootings and stabbings, as have other cities. against that backdrop and a severe threat from terrorism, the new home secretary came to birmingham knowing he needs police on his side. sajid javid's brother is a serving officer, something he reminded the conference of, recalling in his speech the
extremely racially offensive language he witnessed when he joined his brother in a patrol car. teenagers, giving them the middle finger and swearing, and spitting. and, worst of all, at one point when his car approached the lights and slowed down, one teenager leaned over and yelled at my brother "you paki bastard!". he promised rank and file officers that he would prioritise funding. and that a lack of resources can impact on crime. let's reset the relationship between the government and police. i will give you the tools, powers and back—up that you need to get the job done. that funding promised reopened the wings of the past. three years ago to reason they accused us of crying wolf and scaremongering of the effects of budget cuts to policing. 0ur warnings that cutting police officer numbers would see an increase in the number of victims of
crime were dismissed. the labour party say that sajid javid is in denial about the impact that cuts have had on the level of policing and crime. his first set piece speech seems to signal a change in tone in theresa may's time in the home office and infamous battles with the police federation. he highlighted that black people are more likely to be murder victims than other ethnic groups, while theresa may restricted stop and search, sajid javid today said that if it saves lives, it has to be right. and you get in touch with me, on twitter i'm at bbc kasia madera. time now for all the sports news in sport today. hello, i'm gavin ramjaun — and this is sport today, live from the bbc sport centre. coming up on the programme... ‘we want to be among europe's elite'. .. arsenal's new manager sets out his targets, in his opening press conference.
no more taking the knee. the nfl is to ban on—field protests. and south africa's ab de villiers retires from international cricket, saying he's "run out of gas". hello and thanks forjoining us... we heard from the new arsenal manager on wednesday. unai emery is the premier league side's first new boss in almost 22 years having replaced arsene wenger. the spaniard, who joins after leaving french champions paris st—germain, thanked wenger — and accepted he's taking on a "big challenge". 0ur sports correspondent david 0rnstein reports from the emirates stadium. finally, we know the identity of arsenal's new manager. theirfirst appointment in 22 years and it's unai emery. today we had the opportunity to hear from unai emery. today we had the opportunity to hearfrom him unai emery. today we had the opportunity to hear from him for the first time and