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16 WORLD BUSINESS THURSDAY JULY 26, 2018 • THEEDGE FINANCIAL DAILY

UK seeks IN BRIEF
tricky balance Trump says US, EU

between Germany seeks Japan
alliance to counter
foreign capital must cut all tariff s Trump’s America First
BERLIN: Germany and Japan
and security should join forces as the “nu-
cleus of a multilateralist alli-
ance” to defend the geopolitical
BY GEORGE HAY system against disruptive forc-
& NEIL UNMACK es such as US President Don-
ald Trump, Russia and China,
LONDON: Britain has joined He tweeted this just hours before key talks with bloc according to Germany’s for-
the security party. The UK eign minister. US trade protec-
government on Tuesday tionism and Trump’s “America

outlined how it proposes to BY NIKOS CHRYSOLORAS Fair Trade! Hope they do it, we are posing tariffs on European car ex- First” doctrine are a challenge
screen foreign investment in & JOHAN AHLANDER ready — but they won’t!” ports to the US, in what could deal a for Germany and Japan, Heiko
domestic companies to bet- European Commission (EC) serious blow to the 28-nation bloc’s Maas said in a speech in To-
ter fend off security threats. BRUSSELS/STOCKHOLM: US Presi- president Jean-Claude Juncker economy. kyo yesterday. He accused the
While most of the proposed dent Donald Trump said the US and and EU Trade Commissioner Ce- The EC is preparing to introduce US president of stoking global

changes seem reasonable, the European Union (EU) should cilia Malmstrom were due to meet tariffs on US$20 billion (RM81.2 bil- uncertainty through his habit

they increase scope for po- drop all tariffs, barriers and sub- with Trump in Washington yester- lion) of US goods if Washington im- of “questioning alliances built
litical meddling. sidies, just hours before the bloc’s day. They plan to signal the bloc’s poses trade levies on imported cars, up over decades”. “In this ge-

The proposals build on trade chiefs present him with pro- willingness to negotiate a bilateral Malmstrom told Swedish newspaper opolitical situation, we need
tweaks made last month and posals going a long way towards trade agreement on manufactured Dagens Nyheter yesterday. Germany and Japan to close
aim to broaden UK lawmak- that outcome in a crunch meeting goods, or a so-called pluri-lateral Any new European tariffs will ranks,” Maas said. “Alone, it
ers’ powers. They would al- at the White House. sectoral agreement between all not be directed at specifi c American will be tough for us to be a ‘rule
low the state to intervene in “I have an idea for them. Both the major car exporters which would states, she said. “No, now it’s more maker’ in this multipolar world.

a wider range of situations US and the EU drop all Tariff s, Bar- cut or eliminate tariffs on automo- general goods such as agricultur- When we combine our pow-
than a takeover, including, riers and Subsidies!” Trump said in biles globally. al products, machinery, high-tech ers, we can perhaps become
for example, the acquisition a Tuesday night tweet. “Th at would The overtures are a last-ditch products and other things,” she said. something like a ‘rule shap-
of a 25% stake in a company. finally be called Free Market and attempt to persuade him from im- — Bloomberg/Reuters er’ — designers and motors

The government would also of the international order.” A
be able to block takeovers of deeper German-Japanese alli-

smaller companies than is ance could help offset “the US
currently the case. The plans withdrawal from some parts
also specify the sectors that of the world stage”, said Maas,
could fall under the purview praising the trade agreement
of national security, such as signed this month by Japan
advanced technologies or na- and the European Union. —
tional infrastructure. Bloomberg
Given growing technolog-
ical and political threats, this Over 300 jobs under
hardly positions the UK as an threat in Dublin
outlier. The US, France and overhaul — Ryanair
Australia are among those DUBLIN: Irish no-frills airline
also toughening up their Ryanair yesterday warned of
rules. In some ways, the UK more than 300 potential job
proposals are less stringent cuts under plans to slash its
— disclosure of foreign in- Dublin-based aircraft fleet,
vestment will not be man- and partly blamed recent pi-
datory, unlike in some coun- lots’ strikes. Ryanair said in a
tries. Also, the UK proposals at statement it had issued 90-day
least name the core industries notices to more than 100 pi-
where the government will lots and over 200 cabin crew,
focus its attention. Canada’s under plans to slash its Dub-
foreign investment test en- lin fleet from 30 to around 24
sures that any deal must be a aircraft for this winter. — AFP
“net benefit” to Canada, and
considers a range of factors, Former Fiat Chrysler
including jobs and cultural Deutsche Bank vows to defend CEO Marchionne dies
relevance. MILAN: Former Fiat Chrysler
chief executive offi cer (CEO)
However, greater over-
if politicians do not overuse position in fi xed-income trading Sergio Marchionne has died,
sight powers are only helpful
the carmaker’s controlling
them. Earlier this month, The family shareholder said yester-
Guardian reported that pri- day. Marchionne fell gravely ill
vate equity boss Jon Moulton BY STEVEN ARONS financial crisis, as chief executive figure for a 2Q since 2008, Germa- after suff ering complications

criticised the UK government officer Christian Sewing acceler- ny’s largest bank said yesterday. following recent surgery in a
for citing national security FRANKFURT: Deutsche Bank AG ates the lender’s turnaround eff ort. Sewing s trying to reverse what Zurich hospital. He was re-
grounds in the now-collapsed vowed to maintain its position in Income from buying and selling the bank has called a “vicious cir- placed as CEO last weekend

sale of Northern Aerospace fixed-income trading after record- fixed-income securities slumped cle” of declining revenue, sticky after Fiat Chrysler (FCA) said
to a Chinese buyer. Moulton ing its weakest second quarter (2Q) 17% from a year earlier to €1.37 expenses and rising funding costs. his condition had worsened.
reckoned there were no such in that business since the global billion (RM6.42 billion), the lowest — Bloomberg — Reuters
concerns to answer.
The risk is of mission creep,
either justified or malign.
While the UK has specified LVMH’s luxury allure eclipses fears of trade war in China
which sectors will be covered
by the rules, it could in prac-
tice look into a takeover in BY ROBERT WILLIAMS largest luxury company reported
any sector without offering LVMH says it double-digit percentage growth in
detailed explanations. The plans numerous PARIS: LVMH survived the opening sectors from fashion to jewellery
lack of an independent review product rounds of a global trade war as the and cosmetics. The shares rose as

body may also encourage gov- launches before Chinese consumer’s appetite for much as 2.6% early yesterday in
ernment meddling. It is hard year end as French luxury goods surged during Paris.

to see how one of Britain’s key it races to the second quarter. The luxury conglomerate said it
selling points after it leaves stay ahead of Sales rose 11%, the Paris-based plans “numerous product launch-
the European Union — its competitors. owner of Louis Vuitton handbags es” before year end as it races to
status as a reliable home for Photo by and Sephora cosmetics said in a stay ahead of fast-growing compet-
foreign capital — will emerge Bloomberg statement late Tuesday, beating itors such as Kering SA’s Gucci and
unscathed. — Reuters analysts’ expectations. Th e world’s closely held Chanel. — Bloomberg