2025-03-11 13:43
SAO PAULO, March 11 (Reuters) - Industrial production in Brazil remained unchanged in January from December, government statistics agency IBGE said on Tuesday, undershooting market forecasts as indicators continue to sign a slowdown in the local economy. The January figure follows three consecutive months of negative readings as Brazil's industry grapples with high interest rates, with the sector having lost steam in recent months despite an overall strong 2024. Economists polled by Reuters expected a 0.5% month-on-month expansion in January. Production rose in three of the four main categories surveyed by IBGE, with capital goods standing out after drops in the previous two months, but a fall in intermediate goods output weighed on the overall index. Industrial production in January grew 1.4% on a yearly basis. But markets expected a 2.3% expansion, according to the Reuters poll. "This was a poor start to the year," said Andres Abadia of Pantheon Macroeconomics. "The industrial slowdown is likely to continue in Q1, as stiflingly high interest rates, weakening demand and less supportive global growth weigh on activity." Brazil's benchmark interest rate currently stands at 13.25% and the central bank has already penciled in an additional hike of 100 basis points for its meeting later this month as it seeks to tame rising inflation. Policymakers have closely watched moderation signs but noted that it was still too early to establish a clear slowdown trend. Sign up here. https://www.reuters.com/markets/brazils-industrial-output-undershoots-forecasts-remains-steady-january-2025-03-11/
2025-03-11 12:59
Stena Immaculate tanker spills jet fuel after collision Captain arrested over gross negligence manslaughter Neither vessel now expected to sink, says minister Missing crew member from Solong vessel likely dead WITHERNSEA, England, March 11 (Reuters) - British police arrested the captain of a cargo ship on suspicion of gross negligence manslaughter on Tuesday, a day after the vessel crashed into a tanker carrying U.S. military jet fuel off the east coast of England, leaving both vessels badly damaged. The tanker, Stena Immaculate, which carries jet fuel for the U.S. military, was at anchor on Monday when it was struck by the smaller Solong, causing huge fires and explosions, releasing fuel into the sea, and potentially posing a danger to wildlife. Neither vessel is now expected to sink, transport minister Heidi Alexander said in a statement after an earlier assessment had said the Solong was unlikely to remain afloat. One crew member from the Portuguese-flagged Solong is assumed dead, maritime minister Mike Kane told parliament. Thirty-six people were brought ashore following the incident and no others remain missing, the coastguard said. "We have arrested a 59-year-old man on suspicion of gross negligence manslaughter in connection with the collision," police said in a statement. The ship's owner, Ernst Russ, said the arrested man was the ship's captain, or master. "The master and our entire team are actively assisting with the investigations," Russ said. Aerial video on Tuesday showed a gaping hole in Stena Immaculate's hull, with fire damage along its length, although the flames that engulfed it after the collision appeared to have subsided. Crowley, the U.S. logistics group which operated the Stena Immaculate, said in a statement the fire onboard had greatly diminished with no visible flames. The Solong appeared badly burned and smouldering. The coastguard said a one-kilometre (0.62 mile) exclusion zone had been placed around both vessels. "... early indications suggest that both vessels are now expected to stay afloat and that the Solong can be towed away from the shore, and salvage operations can get underway," Alexander said after a meeting with the coastguard agency. Owners of the Solong said the vessel was not carrying sodium cyanide, contrary to an earlier report from maritime data provider Lloyd’s List Intelligence, which cited the local coastguard, but conservation groups said the environmental impact from the spillage of jet fuel could prove wide reaching. The Solong owners said they were monitoring four containers which had previously been used to store sodium cyanide. The surrounding area is home to large colonies of protected seabirds including puffins and gannets as well as a delicate coastal ecosystem. 'RISKS REMAIN' Dutch marine provider Boskalis, appointed to salvage the Stena Immaculate tanker, said four ships carrying foam and extinguishing agents were heading to the scene. Authorities are ready to deploy equipment to minimise pollution at sea, including spray dispersants for oil spills and containment booms, if required, the British government said. The potential environmental impact remains under assessment. Local lawmaker Graham Stuart said most of the spilled jet fuel appeared now to have burned off and there was no sign of either ship leaking engine oil. "Risks remain, however. It's possible that heavy engine oil could yet leak," Stuart said on X. Conservation groups have warned of possible risks including the immediate poisoning of wildlife, damage to habitats on land, and the longer-term accumulation of toxins within food chains. Authorities said the risk to public health was very low. The operators of the vessels and maritime authorities have yet to offer an explanation of why multiple safety systems on board modern vessels failed to prevent Monday's collision. Data from maritime analytics website MarineTraffic showed the 183-metre (600 ft) Stena Immaculate was anchored off Immingham, northeast England, when it was struck by the 140-metre (460 ft) Solong, which was en route to Rotterdam. The Solong was sailing at cruise speed and close to the maximum of around 18-19 knots, shipping sources said, and the vessel had sailed through the same area on past voyages. British Prime Minister Keir Starmer's spokesperson said there was currently no suggestion of "foul play". The Stena Immaculate was carrying 220,000 barrels of jet fuel in 16 segregated cargo tanks, but it was unclear how much of it was spilled after at least one tank was hit, Crowley said on Monday. Crowley said on Tuesday it remained uncertain what volume of fuel may have been released but an initial review showed limited impact. While Britain's Marine Accident Investigation Branch will gather initial evidence, overall responsibility for investigating the crash lies with the U.S. and Portuguese authorities, the flag states of the vessels. Sign up here. https://www.reuters.com/world/uk/fires-burn-after-ships-collide-off-uk-stoking-fears-over-environment-2025-03-11/
2025-03-11 12:39
BRUSSELS, March 11 (Reuters) - European Union state aid regulators are seeking feedback from member countries on looser rules allowing governments to give grants and other financial incentives for clean technology projects and businesses to reduce their carbon footprint. The easier rules, which are expected to be adopted in June and be valid until 2030, aim to boost EU companies and help them better compete with U.S. and Chinese rivals. They are part of a package announced last month to support energy-hungry industries. The guidelines will also make it easier for pension funds, insurers and other private investors to co-invest in green projects. "Investments are needed to further accelerate the roll-out of renewable energy, to deploy industrial decarbonisation, and to ensure sufficient manufacturing capacity of clean tech," the draft communication announcing the new rules said. State aid allowed under the looser rules includes direct grants, tax advantages including tax credits and accelerated depreciation, and subsidised interest rates on new loans or guarantees on new loans. Beneficiaries could include renewable energy and energy storage schemes, measures facilitating industrial decarbonisation and projects to manufacture batteries, solar panels, wind turbines, heat-pumps, electrolysers and carbon-capture usage and storage. The rules would also allow EU governments to provide matching aid for large projects that may be diverted outside Europe by the lure of non-EU incentives or subsidies. Third parties have until April 25 to provide feedback, after which the European Commission will refine the guidelines before adopting them. Sign up here. https://www.reuters.com/sustainability/eu-seeks-feedback-looser-state-aid-rules-spur-clean-tech-projects-2025-03-11/
2025-03-11 12:29
LONDON, March 11 (Reuters) - No evidence of foul play has been found so far in Monday's collision between two ships off the coast of northeast England, British Prime Minister Keir Starmer's spokesman said on Tuesday. "I understand that there doesn’t appear to be any suggestions of foul play at this time," the spokesman told reporters. Sign up here. https://www.reuters.com/world/uk/no-evidence-foul-play-uk-ship-collision-pms-spokesman-says-2025-03-11/
2025-03-11 12:28
BEIJING, March 11 (Reuters) - Zhengzhou Exchange on Tuesday raised the trading margin requirements for some rapeseed meal futures contracts to 9% from 7% after Beijing's 100% tariff on Canadian imports triggered a two-day rally that pushed prices to a five-month high. The most active rapeseed meal futures contract surged 7.23% to close at 2,684 yuan per metric ton, building on a 6% gain in the previous session, to its highest since September 2024. The new trading margin requirements will be effective from settlement on March 12. China on Saturday shocked markets with a 100% tariff to just over $1 billion of Canadian rapeseed oil, oil cakes and pea imports, and a 25% duty on $1.6 billion worth of Canadian aquatic products and pork. The tariff announcement has sparked heightened market volatility, prompting the exchange to implement stricter margin rules to manage risk. Earlier on Monday, the exchange increased the minimum order size for rapeseed meal futures contracts to curb small investor participation and stabilise prices. According to Chinese customs data, China imported 2.02 million tons of rapeseed meal from Canada in 2024, accounting for 73% of its total imports. Other major suppliers include the UAE, Russia and Ukraine. "After tariffs, importers may face losses and contract defaults. Spot supply is sufficient now, but reduced imports could tighten future supply. For rapeseed meal, demand may need to be curbed while monitoring shifts in the global trade chain," a China-based trader said. "In the short term, this is expected to have minimal impact on the domestic supply of edible vegetable oils. However, the long-term effects of the trade policy implementation will require further attention," the Agriculture Ministry said in a monthly report. Sign up here. https://www.reuters.com/world/china/china-tightens-trade-rules-canadian-tariffs-spark-price-volatility-2025-03-11/
2025-03-11 12:20
Decree part of strategy to get a potential loan approved faster A deal would now need support from just one chamber of Congress Deal could be announced in April or May, government source says Fresh IMF funds would pay off Treasury debt with central bank BUENOS AIRES, March 11 (Reuters) - Argentina's government published a decree on Tuesday backing a new International Monetary Fund (IMF) program, the most concrete step yet towards sealing a new deal that could help the embattled country meet its debts and ease capital controls. The decree of necessity and urgency, formalized in the official gazette , opens new tab, is part of a strategy by libertarian President Javier Milei to ram his plan through Congress, where he only has a minority of seats and relies on conservative allies. Argentina, a serial defaulter, is battling to restore economic stability under Milei, a political outsider who has upended the economy with tough austerity, helping overturn deep fiscal deficits and bringing down triple-digit inflation. However, he needs more financial firepower to continue his reforms, with central bank reserves still deep in the red, debt repayments looming and a tough election season ahead with a mid-term legislative vote towards the end of this year. The decree said that the planned extended fund facility would involve a repayment period of 10 years with a grace period of four years and six months. It added that the new funds would be used to pay off Treasury debt with the central bank. It did not give the size in dollars of the new program, though analysts estimate between $10-20 billion. Argentina and the IMF are still negotiating the specifics of the program, though the fund recently cited "good progress" in the talks. A deal could be announced next month or in May, a government source told Reuters on Tuesday. Argentina is the IMF's largest creditor and has a mottled history with the Washington-based lender. The South American grains producer has had 22 programs with the fund, including a recent $44 billion program that it is still repaying. In the decree, the government said that net reserves had been negative $11.2 billion in December 2023 when Milei came into office and had improved by some $7 billion since, suggesting they remained around $4 billion in the red. New IMF funds should help bolster that balance and potentially pave the way for Milei to undo capital controls in place since 2019, which skew business and trade. The decree marks a change from the normal process for the new IMF programs, which would usually be sent in the form of a bill to Congress. A decree only requires support from one chamber of the legislature, making it easier to get approved. Sign up here. https://www.reuters.com/world/argentina-government-publishes-decree-backing-new-imf-program-2025-03-11/
