2025-05-05 19:26

Suit led by New York accuses Trump of exceeding his power Trump signed a January memorandum targeting wind industry BOSTON, May 5 (Reuters) - A coalition of Democratic state attorneys general sued on Monday in a bid to block President Donald Trump's move to suspend leasing and permitting of new wind projects, saying it threatens to cripple the wind industry and a key source of clean energy. Seventeen states and the District of Columbia in a lawsuit , opens new tab filed in federal court in Boston argued that the decision by the Republican president's administration to indefinitely pause all federal wind-energy approvals is unlawful and must be blocked. Sign up here. The lawsuit, led by New York state, accused Trump of exceeding his authority and said his administration violated federal administrative law by not offering any detailed justification for the suspension. "This administration is devastating one of our nation's fastest-growing sources of clean, reliable and affordable energy," New York Attorney General Letitia James, a Democrat, said in a statement. The lawsuit seeks a court order declaring the indefinite pause unlawful and barring the agencies including the U.S. Departments of Commerce and Interior and the Environmental Protection Agency from implementing Trump's directive. White House spokesperson Taylor Rogers accused the Democratic attorneys general of "using lawfare to stop the president's popular energy agenda." "The American people voted for the president to restore America's energy dominance, and Americans in blue states should not have to pay the price of the Democrats' radical climate agenda," Rogers said in a statement. Trump announced the pause on his first day back in office on January 20 when he directed his administration in a presidential memorandum to halt offshore wind lease sales and stop the issuance of permits, leases and loans for both onshore and offshore wind projects. He did so while also moving to ramp up the federal government's support for the fossil fuel industry and maximize output in the United States, the world's top oil and gas producer, after campaigning for the presidency on the refrain of "drill, baby, drill." Trump as a candidate last year promised to end the offshore wind industry, arguing it is too expensive and hurts whales and birds. In announcing the pause, Trump again cited the expense of wind projects and said they "ruin your beautiful landscapes." After Trump's memorandum, U.S. Interior Secretary Doug Burgum in April directed the Bureau of Ocean Energy Management's acting director to order a unit of Norwegian energy firm Equinor (EQNR.OL) , opens new tab to halt construction on its Empire Wind offshore wind project off New York. The states in their lawsuit argue that Trump's directive harmed their efforts to secure reliable, diversified sources of energy and jeopardized billions of dollars they have already invested in the industry as part of their efforts to reduce greenhouse gas emissions to combat climate change. In their lawsuit, the states said the agencies implementing Trump's order never said why they were abruptly changing longstanding policy supporting wind energy development and were departing from government findings that wind projects can proceed with minimal adverse effects on the environment. The lawsuit also said Congress never authorized the president to categorically halt wind-energy projects and that the agencies implementing the pause exceeded their authority under numerous laws including the Clean Air Act, the Endangered Species Act and the Outer Continental Shelf Lands Act. https://www.reuters.com/business/energy/democratic-led-states-sue-block-trumps-halting-wind-projects-2025-05-05/

2025-05-05 19:22

May 5 (Reuters) - Brazilian Finance Minister Fernando Haddad said on Monday the country has the conditions to grow at an average pace of 3% per year, which is the goal of President Luiz Inacio Lula da Silva's administration. Brazil's Finance Ministry officially projects 2.3% gross domestic product (GDP) growth for Latin America's largest economy this year, following expansions of 3.4% in 2024 and 3.2% in 2023 during the first two years of Lula's leftist government. Sign up here. The central bank, which is leading an aggressive tightening cycle to cool activity and curb inflation, has signaled another rate hike for Wednesday and forecasts 1.9% economic growth in 2025. Speaking at the Milken Institute Global Conference in Los Angeles, Haddad said he traveled to the United States to promote the pre-launch of a national data center policy powered by clean energy, which will include tax incentives to attract investment, as previously reported by Reuters. He is scheduled to meet with tech executives on Tuesday in Palo Alto to present the plan. Haddad said Brazil is looking for closer ties with the United States and will pursue that goal under the Republican administration led by U.S. President Donald Trump. Amid global trade uncertainty following sweeping U.S. tariffs and China's retaliatory measures, Haddad said Brazil is in a favorable position as it advocates for sustainable reglobalization and continues to support multilateralism. https://www.reuters.com/world/americas/brazils-economy-can-grow-3-annually-haddad-says-2025-05-05/

2025-05-05 19:13

No final decisions made yet, White House says Tariffs will drive up production costs for Hollywood, analysts say Netflix drops 2%, leading declines among media stocks Tax credits, lower labor costs push production overseas Actors' union says it supports efforts to boost US output LOS ANGELES/WASHINGTON, May 5 (Reuters) - The entertainment industry reacted with alarm and bafflement on Monday after President Donald Trump said he would impose a 100% tariff on all movies produced outside the U.S., but issued few details on just how such a levy would work. Veteran studio executives who spoke with Reuters on condition of anonymity said the announcement on Sunday left unanswered the timing of the proposed levy and how it would be enforced for an industry whose biggest-budget films are often produced across several continents. Sign up here. Trump's pronouncement followed his meeting at Mar-a-Lago with his Hollywood ambassador, actor Jon Voight, special advisor Steven Paul and media executive Scott Karol. The group mulled a range of ideas to revive domestic film and TV production, including federal tax incentives, tax code changes and imposing tariffs "in certain limited circumstances," the group said in a statement. Slapping levies on an industry like film would mark a major extension of tariffs as a policy tool into services, for which the U.S. runs a sizable trade surplus. And like the auto, pharmaceutical and chip industries before it, Trump's declaration threatens to put another business in a tariff-induced state of limbo. The industry has been pressing for tax incentives to boost output in Los Angeles, the movie industry's glitzy historic hub of cinema, as studios have shifted production to locations such as the UK, Canada and Australia to take advantage of generous tax credits and lower labor costs. A survey among studio executives over their preferred production locations for 2025 to 2026 by ProdPro showed the top five choices were all elsewhere. The White House's trade policy is aimed at boosting U.S. industrial activity, but the series of levies and rollbacks has sapped consumer and business confidence. Tariffs on movies might prove particularly hard to implement. One studio executive compared movie production to auto manufacturing, with various pieces - filming, visual effects and other elements - completed around the world, then assembled, through post-production, in the U.S. Some executives wondered whether the levy would apply only to the work done elsewhere, or attach to projects jointly financed by foreign investors. Producer Todd Garner said proposed tariffs could have the unintended consequence of stymieing creativity. He cited director Steven Spielberg's acclaimed World War II epic on the invasion of Normandy, France, "Saving Private Ryan." "How would you make 'Saving Private Ryan' in the U.S.? In Shreveport?" Garner said from Australia, where he is filming the action-drama 'Runner.' "Or a globe-trotting 'Mission: Impossible?'" On Monday, Trump told reporters he would meet with industry officials first to make sure they liked the idea. The White House said it had not made any final decisions, but noted that Hollywood film production had sharply declined from the previous year. The primary union representing actors issued a supportive statement on Monday. SAG-AFTRA National Executive Director and Chief Negotiator Duncan Crabtree-Ireland said the union supports efforts to increase domestic movie, television and streaming production and adding jobs for American workers. "We look forward to learning more about the specifics of the plan announced by the president and to advancing a dialogue to achieve our common goals," Crabtree-Ireland said. The International Alliance of Theatrical Stage Employees, a union representing more than 170,000 technicians and craftspeople, called for a balanced federal response that includes tax incentives to help bring jobs back. Any trade policy "must do no harm to our Canadian members — nor the industry overall," said International Alliance President Matthew D. Loeb. IMPLEMENTATION CONFUSION Shares of media companies slipped on Monday. Streaming pioneer Netflix, (NFLX.O) , opens new tab which relies on global operations to produce content for international audiences, posted a 2% decline in its stock. Disney (DIS.N) , opens new tab and Universal-owner Comcast (CMCSA.O) , opens new tab edged lower. Stocks of theater operators such as Cinemark (CNK.N) , opens new tab and IMAX (IMAX.N) , opens new tab were down 1.6% and 2%, respectively. IMAX declined to comment, while others did not respond to requests for comment. Entertainment attorney Stephen Weizenecker said producers, financiers and film offices were trying to figure out how tariffs would be implemented, but said it could lead to a notable shift in production back to the United States. "If you get any sort of significant tariff, 10% or 20%, it takes away whatever production incentive there was for filming outside the United States," said Weizenecker, who advises producers and financiers on production incentives. However, traditional enforcement tools, like customs inspections at ports of entry, will not work for movies that are licensed, streamed or distributed on global platforms using a borderless cloud infrastructure, wrote TD Cowen media analyst Doug Creutz. The "risks to putting digital goods and services on the table in trade negotiations/wars are overwhelmingly tilted against the U.S.," he noted. Hollywood brings in most of its box office revenue from overseas. In 2024, about 70% of the roughly $30 billion in global ticket sales came from outside the United States and Canada, said Daniel Loria, senior vice president at The Boxoffice Company. https://www.reuters.com/business/media-telecom/us-media-stocks-fall-trump-threatens-100-tariff-foreign-made-films-2025-05-05/

2025-05-05 19:02

HOUSTON, May 5 (Reuters) - Oil output from the U.S. Gulf of Mexico can continue growing despite market uncertainty created by the most geopolitical volatility in decades, oil and gas industry leaders said on Monday. U.S. President Donald Trump's global tariff announcements since last month have contributed to a decline in oil prices and fears of an economic downturn. This will make it harder for oil producers to follow his call of "drill, baby, drill." Sign up here. U.S. oil prices have fallen about 20% since early April, closing at $57.12 a barrel on Monday. Prices have also been pressured by a decision from the Organization of Petroleum Exporting Countries and allies to accelerate output increases, as well as Saudi Arabia's warning that it can withstand a prolonged period of lower prices. "We've never been in a situation where we have so much geopolitical volatility," Occidental Petroleum (OXY.N) , opens new tab CEO Vicki Hollub said during a panel discussion at the Offshore Technology Conference in Houston on Monday. Investments in offshore projects are longer cycle and take into account decades of production. Shale has a shorter production cycle, with wells turned on and off quickly in response to prices. "I believe over the next few years we will see a strong, resilient, robust, offshore market," said Girish Saligram, chief executive officer of oilfield service company Weatherford. Operators will remain focused on offshore and an easier regulatory environment and permitting processes will help, Saligram added. The Trump administration last week said it would implement an emergency permitting process for energy projects on federal lands, slashing approval times that typically take months or years to at most 28 days. U.S. Gulf oil output could jump to as high as 2.4 million barrels per day from the current level of roughly 1.8 million bpd, said Erik Milito, president of the National Ocean Industries Association. Advances in technology, including artificial intelligence, are also helping production, executives said. "We're seeing that today with the projects that are coming online, highly sophisticated projects that are overcoming a lot of the challenges that we saw 20 years ago," Milito said. Last year, Chevron delivered an industry first as it started production in a U.S. Gulf of Mexico field under extreme subsea pressures of up to 20,000 pounds per square inch. GETTING MORE OUT OF THE GULF The Trump administration plans to hold a lease sale for the U.S. Gulf in June as had been planned by former President Joe Biden's administration. That will be critical for the industry because shale oil production will eventually plateau and begin to decline, making it important to grow offshore exploration, Hollub said. "We have to find a way to get more out of the Gulf of Mexico, and that's got to happen in a big way," she said Offshore production from the U.S. Gulf accounts for about 15% of total U.S. crude output. Industry leaders pointed to inflation as another challenge. Tariffs are going to have an effect on costs and dilute margins, Weatherford's Saligram said, adding the company was trying to mitigate the cost impact through supply chain management and passing along higher costs to customers. Magda Chambriard, CEO of Brazil's state-owned oil company Petrobras, told a panel his company was challenging its local suppliers and challenging international supplies on cost. "We need to find a way to make these (offshore) projects feasible’ amid volatility and inflation impacting development costs," said Renata Baruzzi, Petrobras’ chief of engineering. https://www.reuters.com/business/energy/us-gulf-oil-output-could-rise-24-million-barrels-per-day-industry-leaders-say-2025-05-05/

2025-05-05 17:32

eToro, shareholders seek as much as $500 million Trading platform earlier tried going public through SPAC deal BlackRock set to buy up to $100 million of shares in IPO May 5 (Reuters) - Israel's eToro said on Monday it was targeting a valuation of up to $4 billion in its U.S. initial public offering, as the retail trading platform moves ahead with its long-awaited New York flotation. Bnei Brak-based eToro and some existing stockholders are seeking up to $500 million by offering 10 million shares priced between $46 and $50 each. Sign up here. Stock markets have regained some poise in recent days amid signs of easing trade tensions, opening the window for companies to go public. eToro's listing on the tech-heavy Nasdaq will be a litmus test of investor appetite for first-time share sales in the aftermath of the tariff-driven turmoil. The company had delayed investor presentations for its IPO last month due to market conditions, Reuters reported. "Given how early we are in the IPO revival cycle, investors are often looking for large discounts," said Jeff Zell, senior research analyst at IPO Boutique. "If eToro is able to properly tell its growth story in a highly competitive market, they will be able to achieve a successful outcome." Founded in 2007, eToro's trading platform allows users to invest in stocks and some cryptocurrencies. The company had agreed in September to limit its U.S. crypto offerings to bitcoin, bitcoin cash and ether as part of a settlement with the Securities and Exchange Commission on charges it operated as an unregistered broker and unregistered clearing agency. eToro had earlier looked to go public through a merger with Betsy Cohen-backed special purpose acquisition company at a $10.4 billion valuation. Those plans fell apart in 2022. In 2023, eToro raised $250 million in a funding round at a valuation of $3.5 billion. Asset manager BlackRock (BLK.N) , opens new tab has indicated on buying up to $100 million worth of shares in the offering. Goldman Sachs, Jefferies, UBS and Citigroup are the lead underwriters. The company will list on the Nasdaq under the symbol "ETOR". https://www.reuters.com/markets/deals/israels-etoro-targets-4-billion-valuation-us-ipo-2025-05-05/

2025-05-05 17:14

May 5 (Reuters) - Mexican lender Banorte (GFNORTEO.MX) , opens new tab is not considering making a bid for Banamex, Citi's (C.N) , opens new tab one-time retail unit in the country which it split off last year, CEO Marcos Ramirez told local newspaper Milenio in an interview published on Monday. WHY IT'S IMPORTANT Ramirez's comments were a shift away from statements he made during Banorte's most recent earnings call last month, where he suggested Banorte could be eyeing potential opportunities for the purchase. Ramirez told Milenio those comments were misinterpreted. Sign up here. KEY QUOTES "We were interested a few years ago, but we backed out... We are not involved in the new process," Ramirez told Milenio. "We will continue monitoring what happens with it (Banamex) and any others." Ramirez had told analysts last month that Banorte was watching the unit's moves closely and would "propose" from there. CONTEXT Banorte in 2022 launched a bid to take over Banamex, but eventually withdrew, a decision analysts viewed favorably at the time. Citi was close to selling the unit to mining conglomerate Grupo Mexico for $7 billion, though tensions between the group and then-President Andres Manuel Lopez Obrador led to the deal falling apart. Citi now plans to list Banamex, which could be a possible dual listing in Mexico City and New York. https://www.reuters.com/business/finance/mexicos-banorte-backs-away-potential-banamex-bid-2025-05-05/