Top news

21032019

Volvo expects electric car margins to match conventional vehicles by 2025

Posted by: administratorCategory Business | Comments: 0 | Views: 779

 
 
Global automakers are planning to increase the cost of electric vehicle technology by $ 300 billion over the next five to ten years, but recognized that higher parts costs and limited use in the early years will be profitable.

Volvo invests about 5 percent of its annual income, which is just over $ 1 billion a year, in the production of cars without electric cars and electric cars, and promised to release five all-electric cars to the market in the next few years.

He demonstrated the first, less than a month ago, made by the luxury brand Polestar, competing with the 3 Tesla model. This year, he also plans to launch an electric compact SUV under the Volvo brand, so that the company will receive 50% of its sales from all-electric cars by 2025.

"It’s very difficult to say whether we’ll have the same margin in 2025 as in 2015 ... because electric cars are very expensive,” said CEO Hakan Samuelsson told Reuters on the sidelines of the company's security exhibition. in Gothenburg.

"But I would be absolutely sure that we would have the same profit with electric vehicles as conventional combustion vehicles in 2025."

Samuelsson said lowering the cost of components such as batteries and lowering profits on conventional cars would help bring people closer together.

Last news

Volvo expects electric car margins to match conventional vehicles by 2025

 
 
Global automakers are planning to increase the cost of electric vehicle technology by $ 300 billion over the next five to ten years, but recognized that higher parts costs and limited use in the early years will be profitable.

Volvo invests about 5 percent of its annual income, which is just over $ 1 billion a year, in the production of cars without electric cars and electric cars, and promised to release five all-electric cars to the market in the next few years.

He demonstrated the first, less than a month ago, made by the luxury brand Polestar, competing with the 3 Tesla model. This year, he also plans to launch an electric compact SUV under the Volvo brand, so that the company will receive 50% of its sales from all-electric cars by 2025.

"It’s very difficult to say whether we’ll have the same margin in 2025 as in 2015 ... because electric cars are very expensive,” said CEO Hakan Samuelsson told Reuters on the sidelines of the company's security exhibition. in Gothenburg.

"But I would be absolutely sure that we would have the same profit with electric vehicles as conventional combustion vehicles in 2025."

Samuelsson said lowering the cost of components such as batteries and lowering profits on conventional cars would help bring people closer together.

U.S. airlines stand by 737 MAX as some customers, nations reject it

 
 
The US Federal Aviation Administration is one of the main regulators who do not suspend 737 MAX flights after Britain and the European Union joined the wave of other suspensions after two crashes for several months with the same aircraft on Tuesday.

Southwest Airlines Co, American Airlines Group Inc and United Airlines have stated that they are still confident in their aircraft. Both the south-west and the Americans reported that the data of their fleet showed that the aircraft was safe.

Many potential passengers turned to social networks to express their concern, asking if they could change their flights, and some even asked for cancellation. Southwest Airlines Twitter account (@SouthwestAir) was occupied by hundreds of plane-worried customers.

Andrea Cal (@andi_call) tweeted southwest that she traveled with her daughter in May. "I don't want to get on a Boeing Max 8,” she said. The airline responded that it focused on safety, adding that "our fleet of Boeing 737 MAX 8 is working as planned today, and we plan to operate these aircraft in the future." Call will have to wait until 24 hours before the flight finds which plane will be used. ”

Twitter user Sandy (@nycsandygirl) tweeted that she called American Airlines to change her flight, but she was told that the refusals were unavailable for non-refundable fares.

"I have the right to demand a change of aircraft without a fee for a change, if there were concerns about the safety of a particular aircraft. China, Indonesia, Ethiopian airlines and Cayman Airways substantiated these aircraft, so it is obvious that there is a problem, ”wrote a Twitter user.

Unions representing American Airlines flight attendants and pilots called for Doug Parker, Executive Director of American Airlines, to consider grounding the aircraft, pending a thorough investigation. The flight attendants said they would not be forced to fly the plane if they felt safe.

A separate union representing United Airlines flight attendants also called on the FAA to ground the planes and investigate 737 MAX.

Pilot unions have not yet joined such requests.

US senators Mitt Romney and Elizabeth Warren were the latest politicians to encourage the FAA to act.

The FAA and Boeing said the planes are safe to fly.

Southwest is the largest operator of an aircraft with 34,737 MAX 8 aircraft, which, according to her, produces thousands of data points during each flight, which are constantly monitored.

"To date, we have completed more than 41,000 flights and have relevant aircraft data that indicate the effectiveness of our operational standards, procedures and training,” said spokeswoman Michelle Agnew.

The Southwest Pilot Association said Tuesday that it supported the airline’s decision to continue flying the aircraft, as well as the FAA’s findings to date.

On Monday, American Airlines issued a similar statement saying that extensive flight data from its fleet instilled confidence in the safe operation of all aircraft, including the 737 MAX 8.

A US official said Tuesday that the airline’s position remained the same.

The American, who has 24 MAX 8 aircraft, said he shares his data with the FAA in coordination with the Allied Pilots Union, an association that represents American pilots.
United Airlines, which does not control MAX 8, but operates another model in the series, MAX 9, also confirmed its confidence in the ability of pilots to fly an aircraft safely.

"(...) we still believe that the aircraft will be deemed safe, and the impact on Boeing’s long-term operations, backlog, business course and order flow will be limited,” said Jim Corridor, an investment analyst for research firm CFRA, which adhered to her opinion about Boeing.

Kia, Hyundai expand U.S. engine fire recalls by 534,000 vehicles
 

 
 
Kia said it is withdrawing 378,000 Kia Soul 2012–2016 cars due to engine damage and fire risk, while Hyundai and Kia are taking off 155,000 Tucson cars 2011–2013 and Sportage 2011–2012 due to possible leaks oil pan in a separate callback.

Last month, companies said they would withdraw 168,000 cars due to fire hazards.

Since 2015, South Korean automakers have recalled more than 2.3 million vehicles to eliminate the various risks of engine ignition in a series of reviews.

In November 2018, Reuters reported that federal prosecutors launched a criminal investigation into Hyundai and Kia to determine if vehicle reviews related to engine malfunctions were conducted correctly. Companies declined to comment on the study.

In May 2017, the US National Highway Traffic Safety Administration (NHTSA) launched a formal investigation into the recall of about 1.7 million Hyundai and Kia cars due to engine defects.

Hyundai said it met with NHTSA in December 2018 to discuss the company's analysis, and the agency said the company "expects Hyundai to issue a safety recall” 2011-2013 Hyundai Tucson.

According to the companies, there are no reports of accidents or injuries related to any new recall.

According to Kia, one new reminder on Thursday was caused by high exhaust gas temperatures that could damage the catalytic converter and possibly other parts. Dealers will upgrade software to prevent overheating of the catalytic converter.

Reuters reported in January that companies will offer software updates for 3.7 million vehicles that are not subject to recall. Automakers have said that the software update is aimed at protecting vehicles from internal damage, and they will also offer new extended warranties for engine problems.

A South Korean informant in 2016 reported a problem at NHTSA, which checked the timeliness of the three US reviews and whether they covered enough vehicles.

In 2015, Hyundai recalled 470,000 American Sonata sedans, saying that engine failure would cause the vehicle to stop, increasing the risk of an accident. At that time, Kia did not recall its cars, which use the same "Theta II” engines.

In March 2017, Hyundai expanded its initial US recall to 572,000 Sonata and Santa Fe Sport vehicles powered by Theta II engines, citing the same problem with industrial waste.
On the same day, Kia also recalled 618,000 Optima, Sorento and Sportage vehicles, each of which uses the same engine.

On Wednesday, the Car Security Center, which had requested NHTSA to withdraw additional vehicles, told Congress that Kia and Hyundai should withdraw more cars at risk of fire after reports of 300 fires that were not the result of a collision.

Volkswagen shuffles management responsibilities at core brand

 
 
Volkswagen said that since March 1, Christian Sanger will lead VW's Digital Car & Services company and will lead collaboration across the entire software development group and the concept of intelligent mobility.

VW Brand Chief Operating Officer Ralph Brandstätter will take responsibility for ensuring the quality and value development of the VW brand for passenger cars and take responsibility for small, compact and medium-sized production lines.

"This change will provide the CEO with more opportunities to fulfill the strategic tasks facing the group,” Volkswagen said in a statement referring to Diess.

Diss, who is the head of the VW brand, will retain the post of head of the VW product safety committee, and Frank Welch, who is currently the head of VW technical development, will be able to devote more time to his work as head of the research and development group, says company message.

Chinese firm behind the 'Amazon Coat' hits jackpot in U.S., eschews China

 
 
It never occurred to him that his Orolay down jacket would be a huge hit, hailed as "Amazon Coat” in the US social and traditional media — and supported by the budding rival of the premium brand Canada Goose.

Polyester coats cost between $ 80 and $ 139 using duck down from the Chinese provinces of Hebei and Anhui. For comparison, Canada Goose jackets cost from $ 575 in the United States.
"In January, we made more money than in the whole of 2017,” said 32-year-old Chiu in an interview with Reuters at his factory in the eastern Chinese city of Jiaxing.

According to his estimates, the volume of sales of his company last month amounted to $ 5 million, and this year it counts on $ 30–40 million. Sales in the US - almost all of which are sold through Amazon.com Inc. - account for 70 percent of total revenue.

However, the success of Orolay is not just a story about competitive prices, but also a design that has gained popularity among consumers in the United States.
Chiu is one of many Chinese merchants who have taken advantage of measures introduced by Amazon in recent years that have allowed overseas merchants to easily sell on their website.

This raised concerns among American merchants on Amazon that they were deprived of weapons. And in industries such as clothing, experts say that retailers cannot ignore the threat posed by the influx of small brands, many of which are based in China.

"In general, this is the influence that is happening in the industry on the part of all these brands. When you add them, they just take market share, ”said Robert D'Loren, executive director of Xcel Brands Inc., whose products are sold at Macy's Inc. and on Amazon.com.

Amazon declined to comment on the view that American firms are undermining Chinese merchants using their website. It does not break the number of sellers on their websites by country.
Analysts point out that the number of Chinese merchants on Amazon will continue to grow, as fierce competition and rising prices have made it less attractive for sale on local e-commerce sites such as Tmall Alibaba Group Holding Ltd.

Indeed, Chiu is no longer sold in China. Other Orolay markets are Europe, Japan, Taiwan and Australia.

"We were selling on Alibaba in the early days ... but the competition in China is tougher,” he said, adding that the increase in costs of using local sites is also a factor.

In addition to paying for using Chinese e-commerce sites, merchants also face other costs, such as investing in customer service groups. Alibaba declined to answer Reuters questions about whether spending has increased for suppliers.
Analysts say that the number of Chinese merchants selling on the American Amazon site has increased over the past five years after the introduction of measures that allowed sellers around the world to store goods in Amazon warehouses and assisted in delivering these goods to buyers.

At the end of last year, the retail giant also launched a program that guides Chinese sellers to local lenders. For comparison, Amazon offers loans to individual small businesses in the US, UK and Japan, which sell on its website.

Chiu credits Amazon for most of the firm’s success, but intends to expand it, saying that retailer offers include invitations to online sales from Walmart Inc. and the US shopping site Rue La La.

A Walmart spokeswoman said the company has no agreement with Orolay. Rue La La does not respond to requests for comments.
Expansion plans include expanding the range of Orolay products to cotton and men's outerwear. But for now, Chiu is still surprised at how his business has become so successful in a market that he barely knows about.

"Last year I went on vacation to New York twice and was so excited to see people wearing our jackets on the street,” he said.

"I really wanted to ask them how they like our jackets, but I did not do it because I do not speak English."

Ford recalls 1.48 million F-150 pickups in North America over transmissions

 
 
Ford said that on some trucks of the 2011-2013 model year with a six-speed automatic transmission, an unintended shift to first gear without warning may occur, which could lead to loss of control over the car. Ford is aware of five accidents, including one report of a stroke potentially associated with this problem.
Recall 1.26 million trucks in the United States and 221,000 in Canada. Dealers will upgrade transmission control software, and the company will notify customers next month.

In March 2016, Ford has withdrawn 153,000 American Ford F-150, Ford Expedition and Lincoln Navigator cars for 2011-2012 due to a similar problem with downshifts. Ford spokeswoman Monique Brentley said the main reason was different from the new recall.
In December 2017, the National Highway Traffic Safety Administration began investigating whether this review should be extended to almost 1.4 million cars in 2011–2013 after 123 complaints and two accidents, but there were no reports of injuries.

The agency said that an unexpected downshift "can lead to a sudden slowdown of the car without warning. It can also skid or block the rear tires, increasing the risk of a collision. ”

The investigation continues.
Ford also said it is releasing two other reviews. One of them covers 28,200 Lincoln Continental cars in North America in 2017 for door latches, which may not work due to the accumulation of silicon and may lead to the door opening while driving.

Ford said he did not know of any reports of accidents or injuries. Dealers will replace door latch assemblies in all four doors.

Ford also speaks of 4,200 Ford Mustang, Lincoln Nautilus and Lincoln Navigator 2019 models for complete instrument sets that remain empty when starting cars. Dealers will update the software. There are no reports of failures due to recall.

Exclusive: Boeing nears $3.5 billion 737 MAX jet deal with Japan's ANA - sources

 
 
This transaction is the first sale in Japan of the newest version of the Boeing 737 family, which was a turning point for European Airbus, five years after the same airline became the first Japanese carrier to choose the competing A320neo.
This also coincides with negotiations between Washington and Tokyo over a potential trade pact, when Japan faces pressure from the administration of US President Donald Trump to reduce its trade surplus with the US.

Boeing declined to comment. ANA cannot be reached immediately for comment. Sources said the deal could be announced on Tuesday, subject to final approval by the airline, subject to anonymity.
The Boeing 737 MAX and Airbus A320neo have collected thousands of orders due to the significant fuel savings offered by the new generation of engines.

But the world's largest aircraft manufacturers continue to conduct fierce market battles, while Boeing refuses Airbus's recent leadership in the market for such medium-range aircraft.

Trump and other senior US officials criticized Japan for trade, arguing that Tokyo is unfair to the United States, sending millions of vehicles to North America, while at the same time blocking imports of cars and agricultural products to the United States.
Japan says its markets for manufactured goods are open, although it protects politically sensitive agricultural products.

In September, Trump and Japanese Prime Minister Shinzo Abe agreed to start trade negotiations on an agreement that appeared, at least temporarily, to protect Japanese automakers from further tariffs on their exports, which account for about two-thirds of Japan's trade surplus of 69 billion dollars from United States.

Japan insists that the new trade agreement on goods will not be a comprehensive free trade agreement, but US Trade Representative Robert Leithizer said that last year he sought to conclude a free trade agreement requiring Congress approval.

United Tech profit beats forecasts on aerospace jump
 

 
Like other major manufacturers in the United States, UTC, a manufacturer of aircraft engines Pratt & Whitney, Carrier air conditioners and Otis elevators, benefited from the air traffic boom and record global sales of commercial aircraft.

Revenue growth of 24% and 29%, respectively, for Pratt & Whitney and parts manufacturer for aircraft Rockwell Collins, heralds a good planned division next year, reducing the company to its main aerospace business and highlighting the rest.

"We are seeing truly steady trends in the aerospace industry with continued growth (air traffic) and an increase in production on both Boeing and Airbus aircraft,” said Greg Hayes, CEO.
Investors met the plan to split into three parts with skepticism, when it was made public last November along with the completion of Collins’s purchase. Since then, stocks have fallen by 14 percent.

Wednesday results raised shares by 7.4 percent.

Analysts say that good results and a full-year outlook are likely to increase confidence in UTC's ability to improve cash generation and profits ahead of the collapse next year.

"Expectations were low, stocks did not justify themselves, and we believe that street forecasts for 2019 (earnings per share) should increase by 5–10 cents,” said Nigel Coe, analyst for Wolfe Research.

The company predicts adjusted earnings per share in 2019 between $ 7.70 and $ 8.00, the midpoint of which significantly exceeds the average price of $ 7.80, according to IBES data from Refinitiv.

Collins' contribution to earnings in 2019 is currently expected to be 35 cents per share, compared with 15-25 cents per share earlier, largely due to better operating efficiency.

The company expects sales growth in 2019 in the range from low to high single digits in all directions.

While Otis has suffered in the past from demand-related problems in China, the company said that the ongoing infrastructure spending by the Chinese government will help Otis, as well as Carrier, in the upcoming quarters.

"We believe that the government’s attention to infrastructure spending will help the market as a whole. It is in their interest to try to achieve a growth in gross domestic product above six percent, ”said financial director Ahil Johri.
On an adjusted basis, United Technologies earned $ 1.95 per share, up from $ 1.53.

Net sales grew by 15.1 percent to $ 18.04 billion, surpassing estimates of $ 16.91 billion.

Lawyers suing Fiat Chrysler in diesel case seek over $100 million

 
 
The lawyers said that on Tuesday evening they reviewed more than 4 million pages of documents and participated in almost 100 testimonies, as they were looking for up to $ 99.5 million in legal fees and $ 7 million in expenses.

On January 10, the Italian-American automaker announced that it had settled civil lawsuits with the US Department of Justice, the state of California and diesel engine owners, that it was using illegal software that produced false results of diesel emissions tests.
Fiat Chrysler estimated the value of the settlements at about $ 800 million, and this amount could potentially increase to more than $ 900 million with legal fees. Settlement court hearings are scheduled for later Wednesday in San Francisco.

The settlement includes $ 311 million. US civilian penalties to US and California regulators, up to $ 280 million. United States for the settlement of claims of owners of diesel engines and extended guarantees in the amount of $ 105 million. USA.

German car supplier Robert Bosch GmbH, who provided emission control software for Fiat Chrysler cars, also agreed to pay $ 27.5 million. US to settle claims owners of diesel engines.

Under the terms of the agreement, 307.5 million. Doll. The US from Fiat Chrysler and Bosch will give owners an average of $ 2,800 to receive software updates for diesel engines.

The settlement covers 104,000 Ram 1500 and Jeep Grand Cherokee diesel engines from the 2014–2016 model year, according to the US Department of Justice, which is also conducting a criminal investigation.

The settlement also includes $ 72.5 million. US as a fine for civilian states and $ 33.5 million. USA in the form of payments to California to offset excess emissions and consumer requirements.

The huge punishment was the latest result of strict compliance by the US government with regulations on vehicle emissions after Volkswagen AG (VOWG_p.DE) admitted deliberate evasion of emission rules in September 2015.
Fiat Chrysler will be required to collaborate with suppliers of catalytic converters in the secondary market to increase the efficiency of 200,000 converters in 47 states that do not yet require the use of high-performance automotive gasoline catalysts in California. Officials of the Ministry of Justice estimate that these efforts will cost between $ 50 and $ 70 million.

Regulators said Fiat Chrysler used "defeat devices” to trick emissions tests in actual driving conditions; Fiat Chrysler did not accept responsibility.

U.S. sanctions on Venezuela would reroute crude, leave refiners short
 
 

US refineries, which depend on Venezuela’s heavy oil, will have even more problems with supplying supplies, as Canadian and Mexican reserves are often not as depreciated and limited in stock.

The United States views steps to curb Venezuela’s oil supplies, which account for almost all of the country's exports, in response to the re-election of President Nicolas Maduro, which was widely perceived as a hoax.

Washington recognized opposition leader Juan Guaydo as president of Venezuela when protests against Maduro erupted across the country. He is also considering sanctions on oil supplies, and this step has not yet been carried out, sources in an energy company told Reuters on Wednesday.
According to the US Department of Energy, in 2018, Venezuela, on average, exported about 500,000 barrels of oil per day to the United States. The share of the United States in its exports in recent years has declined, as more and more supplies go to Russia and China.

SCHEDULE: Venezuelan oil exports to the USA: tmsnrt.rs/2S4YIXB

These deliveries are carried out mainly through debt repayment structures for oil, since the output of the state-owned oil company Petróleos de Venezuela, SA, known as PDVSA [PDVSA.UL], fell to almost 70-year lows during the national economic crisis. According to OPEC secondary sources, production in Venezuela has halved from 2016 to less than 1.2 million barrels per day.

After the introduction of sanctions, the country may seek additional agreements with Turkey, India or other Asian countries, said one of the Venezuelan oil traders.
"It will be costly for Venezuela, but ultimately they will be able to sell this oil to Asia at a discount. There will be a period in the middle when they have difficulty selling these barrels, ”said Francisco Monaldi, a research fellow for Latin American energy policy at the Baker Institute of Public Policy at Rice University in Houston.

SCHEDULE: Leading US Importers of Venezuelan Oil: tmsnrt.rs/2RYGk2E

Although the United States produces almost 12 million barrels of oil per day, complex refineries on the Gulf Coast need more heavy oil to produce diesel fuel and other high-yield products and cannot simply process light oil.

Prices for heavier US grades, such as Mars Sour WTC-MRS, American crude produced on the shelf, and heavy crude Louisiana sweet oil WTC-HLS, have increased as buyers compete for supplies. According to Refinitiv Eikon, on Tuesday, Mars was trading at a premium of $ 6.25 in relation to crude oil on Tuesday - a five-year high.

"This would make a limited market even tougher. If this happens, it will be an unequivocal obstacle for refiners who are already trying to find supplies, ”said Bob McNally, president of Rapidan Energy Group, an energy consulting company in Bethesda, Maryland.
SCHEDULE: Venezuelan oil exports to US refineries: tmsnrt.rs/2S42EI5.

According to traders, the United States may need to sell oil from the US Strategic Oil Reserve to cover supply shortages, since additional supplies are provided through Canada or Mexico.

Sanctions may also include the export of petroleum products from the United States to Venezuela, used for blending with Venezuelan heavy oil.

News

Volvo expects electric car margins to match conventional vehicles by 2025

 
 
Global automakers are planning to increase the cost of electric vehicle technology by $ 300 billion over the next five to ten years, but recognized that higher parts costs and limited use in the early years will be profitable.

Volvo invests about 5 percent of its annual income, which is just over $ 1 billion a year, in the production of cars without electric cars and electric cars, and promised to release five all-electric cars to the market in the next few years.

He demonstrated the first, less than a month ago, made by the luxury brand Polestar, competing with the 3 Tesla model. This year, he also plans to launch an electric compact SUV under the Volvo brand, so that the company will receive 50% of its sales from all-electric cars by 2025.

"It’s very difficult to say whether we’ll have the same margin in 2025 as in 2015 ... because electric cars are very expensive,” said CEO Hakan Samuelsson told Reuters on the sidelines of the company's security exhibition. in Gothenburg.

"But I would be absolutely sure that we would have the same profit with electric vehicles as conventional combustion vehicles in 2025."

Samuelsson said lowering the cost of components such as batteries and lowering profits on conventional cars would help bring people closer together.

U.S. airlines stand by 737 MAX as some customers, nations reject it

 
 
The US Federal Aviation Administration is one of the main regulators who do not suspend 737 MAX flights after Britain and the European Union joined the wave of other suspensions after two crashes for several months with the same aircraft on Tuesday.

Southwest Airlines Co, American Airlines Group Inc and United Airlines have stated that they are still confident in their aircraft. Both the south-west and the Americans reported that the data of their fleet showed that the aircraft was safe.

Many potential passengers turned to social networks to express their concern, asking if they could change their flights, and some even asked for cancellation. Southwest Airlines Twitter account (@SouthwestAir) was occupied by hundreds of plane-worried customers.

Andrea Cal (@andi_call) tweeted southwest that she traveled with her daughter in May. "I don't want to get on a Boeing Max 8,” she said. The airline responded that it focused on safety, adding that "our fleet of Boeing 737 MAX 8 is working as planned today, and we plan to operate these aircraft in the future." Call will have to wait until 24 hours before the flight finds which plane will be used. ”

Twitter user Sandy (@nycsandygirl) tweeted that she called American Airlines to change her flight, but she was told that the refusals were unavailable for non-refundable fares.

"I have the right to demand a change of aircraft without a fee for a change, if there were concerns about the safety of a particular aircraft. China, Indonesia, Ethiopian airlines and Cayman Airways substantiated these aircraft, so it is obvious that there is a problem, ”wrote a Twitter user.

Unions representing American Airlines flight attendants and pilots called for Doug Parker, Executive Director of American Airlines, to consider grounding the aircraft, pending a thorough investigation. The flight attendants said they would not be forced to fly the plane if they felt safe.

A separate union representing United Airlines flight attendants also called on the FAA to ground the planes and investigate 737 MAX.

Pilot unions have not yet joined such requests.

US senators Mitt Romney and Elizabeth Warren were the latest politicians to encourage the FAA to act.

The FAA and Boeing said the planes are safe to fly.

Southwest is the largest operator of an aircraft with 34,737 MAX 8 aircraft, which, according to her, produces thousands of data points during each flight, which are constantly monitored.

"To date, we have completed more than 41,000 flights and have relevant aircraft data that indicate the effectiveness of our operational standards, procedures and training,” said spokeswoman Michelle Agnew.

The Southwest Pilot Association said Tuesday that it supported the airline’s decision to continue flying the aircraft, as well as the FAA’s findings to date.

On Monday, American Airlines issued a similar statement saying that extensive flight data from its fleet instilled confidence in the safe operation of all aircraft, including the 737 MAX 8.

A US official said Tuesday that the airline’s position remained the same.

The American, who has 24 MAX 8 aircraft, said he shares his data with the FAA in coordination with the Allied Pilots Union, an association that represents American pilots.
United Airlines, which does not control MAX 8, but operates another model in the series, MAX 9, also confirmed its confidence in the ability of pilots to fly an aircraft safely.

"(...) we still believe that the aircraft will be deemed safe, and the impact on Boeing’s long-term operations, backlog, business course and order flow will be limited,” said Jim Corridor, an investment analyst for research firm CFRA, which adhered to her opinion about Boeing.

Chinese firm behind the 'Amazon Coat' hits jackpot in U.S., eschews China

 
 
It never occurred to him that his Orolay down jacket would be a huge hit, hailed as "Amazon Coat” in the US social and traditional media — and supported by the budding rival of the premium brand Canada Goose.

Polyester coats cost between $ 80 and $ 139 using duck down from the Chinese provinces of Hebei and Anhui. For comparison, Canada Goose jackets cost from $ 575 in the United States.
"In January, we made more money than in the whole of 2017,” said 32-year-old Chiu in an interview with Reuters at his factory in the eastern Chinese city of Jiaxing.

According to his estimates, the volume of sales of his company last month amounted to $ 5 million, and this year it counts on $ 30–40 million. Sales in the US - almost all of which are sold through Amazon.com Inc. - account for 70 percent of total revenue.

However, the success of Orolay is not just a story about competitive prices, but also a design that has gained popularity among consumers in the United States.
Chiu is one of many Chinese merchants who have taken advantage of measures introduced by Amazon in recent years that have allowed overseas merchants to easily sell on their website.

This raised concerns among American merchants on Amazon that they were deprived of weapons. And in industries such as clothing, experts say that retailers cannot ignore the threat posed by the influx of small brands, many of which are based in China.

"In general, this is the influence that is happening in the industry on the part of all these brands. When you add them, they just take market share, ”said Robert D'Loren, executive director of Xcel Brands Inc., whose products are sold at Macy's Inc. and on Amazon.com.

Amazon declined to comment on the view that American firms are undermining Chinese merchants using their website. It does not break the number of sellers on their websites by country.
Analysts point out that the number of Chinese merchants on Amazon will continue to grow, as fierce competition and rising prices have made it less attractive for sale on local e-commerce sites such as Tmall Alibaba Group Holding Ltd.

Indeed, Chiu is no longer sold in China. Other Orolay markets are Europe, Japan, Taiwan and Australia.

"We were selling on Alibaba in the early days ... but the competition in China is tougher,” he said, adding that the increase in costs of using local sites is also a factor.

In addition to paying for using Chinese e-commerce sites, merchants also face other costs, such as investing in customer service groups. Alibaba declined to answer Reuters questions about whether spending has increased for suppliers.
Analysts say that the number of Chinese merchants selling on the American Amazon site has increased over the past five years after the introduction of measures that allowed sellers around the world to store goods in Amazon warehouses and assisted in delivering these goods to buyers.

At the end of last year, the retail giant also launched a program that guides Chinese sellers to local lenders. For comparison, Amazon offers loans to individual small businesses in the US, UK and Japan, which sell on its website.

Chiu credits Amazon for most of the firm’s success, but intends to expand it, saying that retailer offers include invitations to online sales from Walmart Inc. and the US shopping site Rue La La.

A Walmart spokeswoman said the company has no agreement with Orolay. Rue La La does not respond to requests for comments.
Expansion plans include expanding the range of Orolay products to cotton and men's outerwear. But for now, Chiu is still surprised at how his business has become so successful in a market that he barely knows about.

"Last year I went on vacation to New York twice and was so excited to see people wearing our jackets on the street,” he said.

"I really wanted to ask them how they like our jackets, but I did not do it because I do not speak English."

Exclusive: Boeing nears $3.5 billion 737 MAX jet deal with Japan's ANA - sources

 
 
This transaction is the first sale in Japan of the newest version of the Boeing 737 family, which was a turning point for European Airbus, five years after the same airline became the first Japanese carrier to choose the competing A320neo.
This also coincides with negotiations between Washington and Tokyo over a potential trade pact, when Japan faces pressure from the administration of US President Donald Trump to reduce its trade surplus with the US.

Boeing declined to comment. ANA cannot be reached immediately for comment. Sources said the deal could be announced on Tuesday, subject to final approval by the airline, subject to anonymity.
The Boeing 737 MAX and Airbus A320neo have collected thousands of orders due to the significant fuel savings offered by the new generation of engines.

But the world's largest aircraft manufacturers continue to conduct fierce market battles, while Boeing refuses Airbus's recent leadership in the market for such medium-range aircraft.

Trump and other senior US officials criticized Japan for trade, arguing that Tokyo is unfair to the United States, sending millions of vehicles to North America, while at the same time blocking imports of cars and agricultural products to the United States.
Japan says its markets for manufactured goods are open, although it protects politically sensitive agricultural products.

In September, Trump and Japanese Prime Minister Shinzo Abe agreed to start trade negotiations on an agreement that appeared, at least temporarily, to protect Japanese automakers from further tariffs on their exports, which account for about two-thirds of Japan's trade surplus of 69 billion dollars from United States.

Japan insists that the new trade agreement on goods will not be a comprehensive free trade agreement, but US Trade Representative Robert Leithizer said that last year he sought to conclude a free trade agreement requiring Congress approval.

United Tech profit beats forecasts on aerospace jump
 

 
Like other major manufacturers in the United States, UTC, a manufacturer of aircraft engines Pratt & Whitney, Carrier air conditioners and Otis elevators, benefited from the air traffic boom and record global sales of commercial aircraft.

Revenue growth of 24% and 29%, respectively, for Pratt & Whitney and parts manufacturer for aircraft Rockwell Collins, heralds a good planned division next year, reducing the company to its main aerospace business and highlighting the rest.

"We are seeing truly steady trends in the aerospace industry with continued growth (air traffic) and an increase in production on both Boeing and Airbus aircraft,” said Greg Hayes, CEO.
Investors met the plan to split into three parts with skepticism, when it was made public last November along with the completion of Collins’s purchase. Since then, stocks have fallen by 14 percent.

Wednesday results raised shares by 7.4 percent.

Analysts say that good results and a full-year outlook are likely to increase confidence in UTC's ability to improve cash generation and profits ahead of the collapse next year.

"Expectations were low, stocks did not justify themselves, and we believe that street forecasts for 2019 (earnings per share) should increase by 5–10 cents,” said Nigel Coe, analyst for Wolfe Research.

The company predicts adjusted earnings per share in 2019 between $ 7.70 and $ 8.00, the midpoint of which significantly exceeds the average price of $ 7.80, according to IBES data from Refinitiv.

Collins' contribution to earnings in 2019 is currently expected to be 35 cents per share, compared with 15-25 cents per share earlier, largely due to better operating efficiency.

The company expects sales growth in 2019 in the range from low to high single digits in all directions.

While Otis has suffered in the past from demand-related problems in China, the company said that the ongoing infrastructure spending by the Chinese government will help Otis, as well as Carrier, in the upcoming quarters.

"We believe that the government’s attention to infrastructure spending will help the market as a whole. It is in their interest to try to achieve a growth in gross domestic product above six percent, ”said financial director Ahil Johri.
On an adjusted basis, United Technologies earned $ 1.95 per share, up from $ 1.53.

Net sales grew by 15.1 percent to $ 18.04 billion, surpassing estimates of $ 16.91 billion.

U.S. sanctions on Venezuela would reroute crude, leave refiners short
 
 

US refineries, which depend on Venezuela’s heavy oil, will have even more problems with supplying supplies, as Canadian and Mexican reserves are often not as depreciated and limited in stock.

The United States views steps to curb Venezuela’s oil supplies, which account for almost all of the country's exports, in response to the re-election of President Nicolas Maduro, which was widely perceived as a hoax.

Washington recognized opposition leader Juan Guaydo as president of Venezuela when protests against Maduro erupted across the country. He is also considering sanctions on oil supplies, and this step has not yet been carried out, sources in an energy company told Reuters on Wednesday.
According to the US Department of Energy, in 2018, Venezuela, on average, exported about 500,000 barrels of oil per day to the United States. The share of the United States in its exports in recent years has declined, as more and more supplies go to Russia and China.

SCHEDULE: Venezuelan oil exports to the USA: tmsnrt.rs/2S4YIXB

These deliveries are carried out mainly through debt repayment structures for oil, since the output of the state-owned oil company Petróleos de Venezuela, SA, known as PDVSA [PDVSA.UL], fell to almost 70-year lows during the national economic crisis. According to OPEC secondary sources, production in Venezuela has halved from 2016 to less than 1.2 million barrels per day.

After the introduction of sanctions, the country may seek additional agreements with Turkey, India or other Asian countries, said one of the Venezuelan oil traders.
"It will be costly for Venezuela, but ultimately they will be able to sell this oil to Asia at a discount. There will be a period in the middle when they have difficulty selling these barrels, ”said Francisco Monaldi, a research fellow for Latin American energy policy at the Baker Institute of Public Policy at Rice University in Houston.

SCHEDULE: Leading US Importers of Venezuelan Oil: tmsnrt.rs/2RYGk2E

Although the United States produces almost 12 million barrels of oil per day, complex refineries on the Gulf Coast need more heavy oil to produce diesel fuel and other high-yield products and cannot simply process light oil.

Prices for heavier US grades, such as Mars Sour WTC-MRS, American crude produced on the shelf, and heavy crude Louisiana sweet oil WTC-HLS, have increased as buyers compete for supplies. According to Refinitiv Eikon, on Tuesday, Mars was trading at a premium of $ 6.25 in relation to crude oil on Tuesday - a five-year high.

"This would make a limited market even tougher. If this happens, it will be an unequivocal obstacle for refiners who are already trying to find supplies, ”said Bob McNally, president of Rapidan Energy Group, an energy consulting company in Bethesda, Maryland.
SCHEDULE: Venezuelan oil exports to US refineries: tmsnrt.rs/2S42EI5.

According to traders, the United States may need to sell oil from the US Strategic Oil Reserve to cover supply shortages, since additional supplies are provided through Canada or Mexico.

Sanctions may also include the export of petroleum products from the United States to Venezuela, used for blending with Venezuelan heavy oil.

Airbus loses annual jet order race to rival Boeing

 
 
Airbus placed 747 orders for 2018, which is 33 percent less than the previous year, including 135 on the A220, which he took over from Bombardier in July. Boeing won the order race for the first time since 2012 with 893 net orders.

Airbus delivered 800 aircraft, an increase of 11 percent, including 20 A220 models, leaving Boeing the world's largest aircraft manufacturer in terms of production for the seventh consecutive year.

Despite the fact that Boeing did not reach its supply target, and Airbus previously lowered its target due to tensions in the industry’s global supply chain, high demand for passenger aircraft increased total shipments by 8 percent, which was the fastest pace in six years. .
Wall St. rebounds on robust jobs report, dovish Powell remarks

 
 
At the session symbolizing increased volatility, which swept the markets for several weeks, all three major US stock indexes rose by more than 3 percent in one of the most significant gains in recent years. The profit more than wiped out the losses of the previous session and was due to the technology sector, which rebounded from its largest one-day decline in the last seven years after Apple Inc. (AAPL.O) cut its sales forecast.

Since Christmas’s 20-month low, on the eve of Christmas, due to rounding errors, which are considered to be a bear market, the S & P 500 .SPX index has grown by 7.7%. Friday's advance, measured by the number of stocks rising against falling, was the largest in eight years.
The main catalysts for growth were the monthly wage report in the United States, which surpassed economists' estimates, according to which the largest number of jobs was created in 10 months, and the comments of the Fed Powell.

In comments to the American Economic Association, Powell reassured market nerves with assurances that the central bank is sensitive to the risks that worry investors, and is not on a given path of raising interest rates.

Speaking after months of instability in the global bond and equity markets, Powell avoided some communication errors that worried rather than reassured investors in the past. He also promised to stay in his post, even if asked by President Donald Trump, who repeatedly scolded the person he appointed to work, for repeated increases in the Fed rate.
"(Powell) says the right thing: that the Fed is ready to change, that it listens carefully, that it is sensitive to the messages that the market sends,” said James Eti, senior investment manager at Aberdeen Standard Investments in London. "This is good news for a market that is beginning to absorb itself out of fear."

However, others have warned that the rollercoaster ride this week could be a new norm.

"Despite the fact that today such days seem good, we still foresee further economic weakness and expect the market to continue to grow," said Eric Friedman, investment director at the American bank Wealth Management in Minneapolis.

News that China and the United States will hold trade talks in Beijing next week helped tariff-vulnerable industrial leaders lead the Dow rally, led by Caterpillar Inc. (CAT.N), United Technologies Corp (UTX.N), 3M Co ( MMM.N). ) and Boeing Co (BA.N).
The Dow Jones Industrial Average .DJI rose 746.94 points, or 3.29 percent, to 23.433.16, the S & P 500 .SPX added 84.05 points, or 3.43 percent, to 2.531.94, and The Nasdaq Composite .IXIC index added 275.35 points, or 4.26 percent, to 6,738.86.

All 11 major sectors of the S & P 500 ended the session in positive territory: technology, communication services .SPLRCL, materials .SPLRCM and industrial shares .SPLRCI showed the largest percentage increase.

Apple shares rose 4.3 percent and led to an increase in the technical sector, as the company began to recover positions lost after a warning about a decrease in revenue in the holiday quarter on Wednesday.

Each of the FAANG impulse promotions, a group that includes Facebook Inc (FB.O), Apple, Amazon.com Inc (AMZN.O), Netflix Inc (NFLX.O) and the parent company Google Alphabet Inc (GOOGL.O), traded above.

Netflix jumped 9.7 percent after Goldman Sachs added streaming service to its "belief list.”

The number of advanced issues exceeded the number of recessions on the NYSE at a ratio of 7.64 to 1; on the Nasdaq, a ratio of 6.22 to 1 favored advancement.

The S & P 500 did not publish new 52-week highs and 1 new minimum; The Nasdaq Composite has recorded 5 new highs and 19 new lows.

Volume on US exchanges was 8.68 billion Shares compared with an average of 9.14 billion. Over the past 20 trading days.

U.S. sets new March 2 date for China tariff increases amid talks

 
 
The change has been made to the federal register since the previously scheduled effective date of January 1, 2019, to increase to 25 percent from 10 percent.

The notice does not affect the 25 percent tariff rate already applied to Chinese technological products in the amount of $ 50 billion, including semiconductors, printed circuit boards and other electronic components, cars and vehicles.
This submission was added to documents related to the USTR "Section 301” investigation regarding intellectual property practices in China, which became the basis of US tariffs on Chinese goods, which led to retaliatory strikes from Beijing.

This is due to the change in the new US-China agreement "to achieve the elimination of the actions, policies and practices covered by the investigation" after the meeting on December 1 between US President Donald Trump and Chinese President Xi Jinping in Buenos Aires. ,

The USTR statement did not indicate any expected results of the negotiations. It referred to the goals set out in a statement published by the White House to negotiate China’s structural changes over a 90-day period regarding enforcement of technology, protection of intellectual property, non-tariff barriers, cyber-invasions and theft, services and agriculture.
The USTR notice did not mention China’s moves this week to resume suspended soybean purchases in the United States or suspend a 25% fine on American cars and auto parts.

The official delay in raising the tariff rate was of little comfort for the US technology sector.

The Consumer Technology Association said Friday that US tariffs on technology imports from China currently cost $ 1 billion a month, and duties on fifth-generation mobile technology products reach $ 122 million in October, compared with $ 65,000 a year earlier.

GoPro to move U.S.-bound camera production out of China

 
 
Earlier, the company stated that it was "very actively” responding to the tariff situation, as the United States and China intensified their bitter trade war, in which both countries introduced tariffs for hundreds of billions of dollars in imports of each other.

GoPro said that the production of international cameras will remain in China.
"It is important to note that we own our own production equipment, while our production partner provides the equipment, so we expect to do this with relatively little cost,” said CFO Brian McGee.

In a statement on the company's income in November, GoPro stated that it has the opportunity to withdraw production in the United States from China in the first half of 2019, if necessary.

GoPro is trying to increase the demand for its brand-name action cameras — once mandatory for surfers, parachutists, and other action fans — as competition intensifies.
Last month, the company forecast revenue in the fourth quarter below analysts' estimates, as it struggles with declining demand for its products.

The forecast turned out to be disappointing, as the company released new low-cost models of its flagship camera Hero for the holiday season.

However, GoPro said it would be profitable in the fourth quarter, and expects that the "low inventory in the channel” will be well positioned in the first quarter.