tv Business Deutsche Welle September 17, 2019 8:30am-8:46am CEST
the secrets of symphonic magic. problems occurred in stores oct 11th. talk enough. oil prices remain high amid fears of a new middle east conflict after soaring aka nearly 20 percent brant crude is starting to stabilize but possible military action keeps the markets volatile. also coming up brazil is a huge market for the chemicals industry and german companies are there to shake the country's agribusiness but critics say it's not about sustainable production but just about money. welcome to do business on when it could johnsonville in good
to have you with us investors around the world that keeping their eyes peeled on developments in saudi arabia after last weekend's attack on an oil refinery slashed the country's output inhofe the attack claimed by hooty rebels in yemen cost of the prize of oil to surge 20 percent to the biggest one day rise since the 1991 gulf war the prize house and stropped again but is still higher than usual the incident also sent down on tuesday with traders setting off stocks in airlines and to other fuel dependent industries. well for more analysis now let's bring in came a chief economist at command spahn good morning and joseph gas a lie ahead of oil and gas analysts analysis and to finish the mission in london good morning to you 2 i like to start with you joseph got a lot of those attacks on the oil plants in saudi arabia knocked out 5 percent of global crude supply how long will the outage last when we'll be back to normal.
and so the latest this morning is that about 30 percent of action has come back on these arms essentially reports they are also putting kind of full production about 2 weeks we're really waiting for is an official report which was due late last night with a 48 hour deadline looking at what the actual damage was in detail until the report's release we can't really be sure on what the timeline is but the extent of the damage at this point looks somewhat manageable with only a few week kind of outage period before returning to normal but again i would caution most of these reports are and then surely and really what we're waiting for is that tito report minutes right right came out i am i know that germany doesn't depend too much on on saudi oil for its energy supply but some key industries
certainly do ok it doesn't sound quite that alarming though listening to joseph gas but longer term consequences what can we expect there from the outage. well difficult to say but let's assume the oil price goes up by $7.00 on a permanent basis and this would increase or germany has to pay for its oil imports by $8000000000.00 euros by $8000000000.00 euros is only 2 percent of g.d.p. this is not a much this is not much especially not when you compare it to the risks stemming from the trade war between the united states and china or would you compare it to the gross low down happening in china therefore i don't or very about 7 bases $7.00 increase in the oil price i do very about the potential risk of
a military escalation but we are here and the president is is not very eager to start a war with iran therefore i think the risks for the german economy are limited all right just gas a lot of the attacks certainly revealed how vulnerable all production is what can be done to better secure supply and restore some form of state stability. the the idea of the saudi infrastructure is phone is always been kind of a somewhat underlying risk i think what highlights this this ticket is attack really is the issue that these these sillies are difficult to secure i think from our perspective here situations we are really kind of focused on is the fact that further attacks would be somewhat unsustainable in terms of the different parties that are involved we believe that it's escalation will push the u.s.
around closer to a negotiated settlement to the nuclear treaty thus you know reducing tensions in the long run for the region so the vulnerability for sorry infrastructure is still quite high however we feel that this escalation is building the parties closer to a negotiated settlement all right and last question lawrence new york kramer we have half a minute left you mentioned all the other challenges that the world economy is currently faced with. can we deal with everything that's happening right now provided that there is no escalation in the middle east. absolutely if there's no escalation in the middle east i think then the this this dampening effect the whole of german economy this drain in purchasing power of 0.2 percent of g.d.p. is not much we can do for we can live with us. there from command spunk and as i've gotten up from fitch solution thank you to both of you for your time this morning.
for moving away from the hall now to some news that slightly to reassure investors the united states and china are gearing up to hold talks aimed at resolving their prolonged trade dispute on wednesday this man there is deputy finance minister. will lead a delegation to washington to pave the way for high level negotiations in october a move has raised hopes that the 2 sides could be ready to come to an agreement to end a conflict that has seen the introduction of hundreds of billions of dollars in tariffs on field fears of a global recession and for more let's cross over now to our financial correspondent and host pun day to us how hopeful are we that talks this week will actually result the situation. i want to go let me put it this way that i would not like to bet my money on a solution just yet and i'm sure that's the same is the same with you but these are
certainly the most encouraging time times in the ongoing dispute since may when the talks broke down and just when the 2 sides were nearing a deal and there are many incentives also for a deal to be reached at this point on the chinese economy slowing you u.s. consumers are being hit the u.s. farmers are suffering so there are clear incentives it's not a blockbuster deal that at least a limited deal to be reached or or do we work towards the deal go right i've got another question for you coming up shortly i should just don't go anywhere because the world trade organization has approved a request by the u.s. government to impose punitive terus on the e.u. for subsidizing its main aircraft manufacturer airbus used trade commissioner cecilia monster and expects terrorists with $11000000000.00 any time soon similar terrorists could be slapped by the e.u. on the u.s. for subsidizing its own plane maker and that would be boeing back to frankfurt to ashur toss ok so both sides are slapping pretty much equal terrorists on each other
that sounds like a win win a lose lose situation. that is never going to be a win win and you're seeing that with china and the us how the that it's a band out there particularly painful when it comes to the aviation industry which actually their components are shipped from various parts of the world and that's the reason why the e.u. wants to come out if i decide lucian and regulated the subsidies being given to the aircraft manufacturers but so far the u.s. hasn't been very forthcoming on that right sunday they reporting for us from frankfurt thank you so much catch up with you in a short while again. fires in the amazonian rain forest have caused an international outcry much of it aimed at the country's president. but somehow german companies view his proximity to achree business as an
opportunity at a major annual economic meeting between the countries they were pushing new technology in the field saying it will help solve problems like land to take me dacian critics however say it will only make them less monocultures as far as the eye can see many of them genetically modified crops and turn a poet's company builds heavy agricultural equipment nowadays it comes equipped with technology that fine tunes the distribution of water and pesticide. technology knows where the problems lie ahead examines the field in real time knows exactly what needs doing there's nothing better it's super. german software company s a p which has a subsidiary branch in brazil says products like this are making agriculture more productive and environmentally friendly the software is one of the firms prototypes bigfoot produce in the world we have a responsibility that we do it in
a very sustainability technology to help brazil achieve sustainable production sounds great in principle but critics think it will mostly help major agribusinesses and german companies are earning big money here in other areas as well says professor claimants leschetizky bio and b.s.f. have helped establish large monocultures here which now grow on land once covered by rain forest he wants them to step up more. they are partially responsible because their products sell well here they're being purchased by the companies that are responsible for expanding the amount of acreage in agriculture here please let's shift he says since 2006 an area of land half the size of germany has been cleared and that process large companies often push out small farmers who then burn off more rain forest in their quest for land the mood at this meeting and northern brazil on german brazilian trade relations is positive both on the podium and off
it both by and b.s.f. have come the companies claim their products help protect the rainforest not destroy it it's a lie in my point of view is the other way because we bring that they can to produce more food in the same area through the use of a particular and innovation every move a show a lot. more friendly they are more environmentally friendly as well but there's no denying brazil is a major market for the chemicals giants or that its president is also friendly to its agricultural lobby. my government is there for you he promises and says he wants to monetize the amazon more but now the government is increasingly realising that fires in the rainforest are bad for the country's image and has promised to take them very seriously jewson turnip always says he simply doesn't understand the
current discussion and he doesn't know any farmers who are setting fires last. we have the chance to double production without felling a single tree you need to get that through your heads. he also denies that big landowners are the only ones who benefit from the technology small farmers can also buy as equipment he says as long as they can pay for it. and that's it from me and the business team here in berlin for more business news and features check out g w dot com slash business or follow us on social media i want to get johnsonville and thanks.
but i do need to keep. both food all over the ranch and home the 4th i'm clear most recently in the thinking about. the family that the last dragons this word has called the home. to the river. what's the connection between bread bio and the european union dino guild motto w correspondent alan baker can stretch this the bottom of the once set by the
demon. smoking recipes for success strategy that make a difference. baking bread on d.w. . hello and welcome to arts and culture where his work influenced generations of young designers even if some of his creations were downright crazy or lin born in region has died at age 91 and will pay tribute to him in just a moment and here's what else is lined up. 303 in a football stadium on inflation. imagine a possible memorial to the environment in a feature. and in our series 100 german must read
daniel kidman measuring the world imagine the contrasting lives of 2 geniuses of the german entitlement. all his life he tried to make an angular world a little more organic to do away with right angles and bend his will only to the rules of nature. was a maverick among designers crazy about cars and famous even though many of his designs never actually saw the light of day. has passed away at age 91 and that was our cue to look back on his legacy. visionary and one of germany's most eccentric designers his career century and he created thousands of design and from the very beginning it was clear that everything he touched became around.