2024-11-29 04:17

Fifth and final talks set to be concluded Dec. 1 Chairman's document could form basis for treaty Divisions continue on curbing plastic production, others BUSAN, South Korea, Nov 29 (Reuters) - The chairman of talks aiming for an international treaty to rein in pollution from plastics issued a document on Friday outlining measures that could furnish the basis of a pact, in an attempt to spur discussions as a Dec. 1 deadline approaches. However, some delegates and civil society organisations underscored what they viewed as shortcomings of the document, including leeway on curbing plastic production. South Korea is hosting delegates from about 175 countries at the fifth and final meeting of the U.N. Intergovernmental Negotiating Committee (INC-5) to agree globally binding rules on plastics, but this week's talks had moved at glacial pace. The document, issued by committee chair Luis Vayas Valdivieso, featured ideas such as a global list of plastic products to be managed and a financial mechanism to help fund developing countries' action on the treaty. "The high and rapidly increasing levels of plastic pollution ... represent a serious environmental and human health problem," the document said. It mentioned, but did not confirm, some of the most divisive tasks, such as whether the treaty will set a global target to cut output of primary plastic polymers or skip it altogether. It left it up to countries' voluntary decisions to take a range of possible actions on plastic products and left undecided how rich nations would contribute to a fund. It also appeared to lack concrete standards on checking chemicals of concern, as well as on the protection of human health. "Mopping the floor when the tap is open is useless," said Anthony Agotha, Climate & Environment Ambassador at European External Action Service, saying that plastic production and design curbs need to be in the final agreement. The International Council of Chemical Associations (ICCA) representing makers of plastic, backs governments' efforts to finalise the deal, said its spokesperson, Stewart Harris, adding that the body wanted to hasten a circular economy for plastics. Nations which produce petrochemicals, such as Saudi Arabia, oppose efforts to cap plastic production, despite the protests of low- and middle-income nations that bear the brunt of plastic pollution. While supporting an international treaty, the petrochemical industry has also been vocal in urging governments to avoid setting mandatory plastic production caps in favour of efforts to reduce plastic waste, such as recycling. The chairman's move came after several participants had expressed frustration at the slow pace of the talks, amid disagreements over procedure, multiple proposals and some efforts to return to ground covered in the past. "Most of the countries... came here with the idea of including a numeric target (of plastic reduction), but... we have put forth a proposal that not only crosses but stomped our own red lines," said Juan Monterrey, Head of Delegation for Panama that led a proposal with more than 100 countries' support. "So we're seeking all the other delegations that have not moved a centimetre to... meet us halfway." Sign up here. https://www.reuters.com/business/environment/un-plastic-treaty-talks-push-breakthrough-deadline-looms-2024-11-29/

2024-11-29 04:03

MUMBAI, Nov 29 (Reuters) - India's central bank was likely selling U.S. dollars on Friday to support the rupee near a key psychological support level of 84.50, four traders told Reuters. The rupee was at 84.49 as of 9:15 a.m. IST, compared to its previous close at 84.4850. State-run banks were spotted offering dollars near 84.50, levels, most likely on behalf of the Reserve Bank of India, the traders said. The rupee had weakened to its all-time low of 84.5075 last week. "While they (RBI) are active at these level, the rupee may still weaken to a fresh record low but the decline is likely to quite marginal," a trader at a private bank said. The dollar index was lower by 0.2% at 105.8 while most Asian currencies rose. The rupee, meanwhile, was unable to benefit from a softer dollar in the face of persistent foreign portfolio outflows, traders said. Sign up here. https://www.reuters.com/markets/currencies/india-cenbank-likely-selling-dollars-support-rupee-traders-say-2024-11-29/

2024-11-29 03:06

MUMBAI, Nov 29 (Reuters) - The Indian rupee is likely to hover near its all-time low on Friday as concerns about portfolio outflows override the recovery in Asian peers. The 1-month non-deliverable forward indicated the rupee will open at 84.4850-84.4950 to the U.S. dollar, nearly unchanged from its close on Thursday and near the lifetime low of 84.5075 hit late last week. Foreign investors took out nearly $1.4 billion from Indian equities on Thursday, preliminary exchange data showed, spurring a 1.5% slump in the BSE Sensex index. These investors took out $11 billion from Indian equities last month. While the outflows have persisted this month, the pace has slowed. Indian companies' worst quarterly performance in over four years in the July-September period amid what economists say is a cyclical slowdown has prompted foreign investors to reassess their exposure to Asia's third-largest economy. These outflows, along with the rise in U.S. Treasury yields and the dollar since Donald Trump's U.S. election victory earlier this month, have pressured the rupee. To support the currency, the Reserve Bank of India has directly intervened by selling dollars in the spot market. It has also asked banks to lower their speculative bets against the currency and has increased its scrutiny of lenders' forex activity. The RBI's dollar sales, however, have prompted India's forex reserves to plunge. The central bank sold dollars on Wednesday and Thursday to prevent the rupee from dropping past 84.50. That is "currently seen as a level that the RBI will, at all lengths, defend", a currency trader at a bank said. ASIAN PEERS RISE The rupee's Asian peers were up on the day, while the dollar index slipped below 106, largely due to a rally in the Japanese yen on bets of a Bank of Japan rate hike next month. KEY INDICATORS: ** One-month non-deliverable rupee forward at 84.62; onshore one-month forward premium at 12.5 paisa ** Dollar index down at 105.85 ** Brent crude futures down 0.1% at $73.2 per barrel ** Ten-year U.S. note yield at 4.25% ** As per NSDL data, foreign investors sold a net $124.2 mln worth of Indian shares on Nov. 27 ** NSDL data shows foreign investors sold a net $48.9 mln worth of Indian bonds on Nov. 27 Sign up here. https://www.reuters.com/markets/currencies/rupee-bypass-recovery-asian-peers-worries-over-outflows-2024-11-29/

2024-11-29 01:02

Nov 28 (Reuters) - Ottawa must make sure the Trump administration understands how inter-related energy markets are in the U.S. and Canada, a Canadian government minister said on Thursday, commenting on President-elect Donald Trump's vow to impose a 25% tariff on imports from the country. "We have some work to do to make sure we are effectively articulating the way in which tariffs would be counterproductive, and that's not just true of oil," Natural Resources Minister Jonathan Wilkinson told Reuters in a phone interview, adding that Americans also benefited from Canadian uranium and hydro exports. Trump, who takes office on Jan. 20, said on Monday he would impose a 25% tariff on imports from Canada and Mexico until they clamped down on drugs and migrants crossing the border. Canada is the world's fourth-largest oil producer and the vast majority of its crude exports go to the United States. Sources told Reuters Trump does not intend to exempt crude from the tariffs, even though the U.S. imports around 4 million barrels per day from north of its border and many Midwestern refineries are set up to run Canada's heavy sour crude. Analysts say tariffs on oil from Canada, top crude supplier to the United States, would drive up fuel prices for Americans. "There's a lot of time and effort that will need to go into ensuring that we're having the appropriate conversations," Wilkinson said. "We have a couple of months before the president is inaugurated and I think there's time for some robust conversations between countries that are actually best friends and have both been benefiting hugely from an economic perspective because of the trade that goes between us, particularly in energy." Earlier this year the expansion of the Trans Mountain pipeline, running from Alberta's oil sands region to Canada's Pacific Coast, increased access to Asian markets but the pipeline is already running around 80% full and has limited capacity to send more oil that direction. Sign up here. https://www.reuters.com/business/energy/ottawa-must-ensure-trump-understands-importance-canadian-oil-us-minister-says-2024-11-29/

2024-11-29 00:54

SINGAPORE, Nov 29 (Reuters) - The world's biggest steelmakers are falling behind in the shift towards low-carbon production, with some still entirely dependent on fossil fuels for their energy, a survey of 18 leading firms showed on Friday. Steel is responsible for 7% of global carbon dioxide emissions, around the same as India, with coal-fired blast furnaces producing 2 metric tons of CO2 for each ton of output. Alternative technologies are available, including electric arc furnaces (EAFs) that can be powered with renewables, and efforts are underway to produce iron using "green hydrogen" rather than coal. But some of the industry's biggest names still relied on fossil fuels for 99% of their energy over 2022-2023, the Sydney-based climate group Action Speaks Louder (ASL) said. Steel is considered a "hard to abate" sector, but the main obstacle is affordability, said Laura Kelly, ASL's strategy director and the survey's author. "This messaging about 'hard to abate' is still implying it is not technologically possible," she said. The best performer was Sweden's SSAB (SSABa.ST) , opens new tab, which sourced 19% of its energy from renewables, while some of the biggest laggards were in South Korea. The share of renewables in the energy use of Hyundai Steel (004020.KS) , opens new tab, Dongkuk Steel (460860.KS) , opens new tab and Posco (005490.KS) , opens new tab stood at zero or close to zero, even though they produce large quantities of steel through EAFs. None of the firms responded to requests for comment. Kelly said some firms have vested interests in maintaining the status quo because of investments in fossil fuel infrastructure, including import terminals and pipelines. India's JSW Steel (JSTL.NS) , opens new tab sourced 0.4% of its energy from renewables. It aims to run all its steel operations using clean energy and waste gas by 2030, said chief sustainability officer Prabodha Acharya. Baosteel (600019.SS) , opens new tab, China's biggest steelmaker, also sourced 0.4% of its energy from renewables in 2022. The company told Reuters it was drawing up new clean energy targets. Steelmakers will come under growing pressure to shift to cleaner energy as carbon pricing initiatives come into force. "If it is not hurting them financially now, it is hurting them strategically because they are lagging on that transition plan," Kelly said. Sign up here. https://www.reuters.com/business/big-steelmakers-failing-make-switch-renewables-survey-shows-2024-11-29/

2024-11-29 00:43

MEXICO CITY, Nov 28 (Reuters) - Mexican President Claudia Sheinbaum said on Thursday that the debt burden accumulated by state energy company Pemex with suppliers would be reviewed and various payment mechanisms are being studied and refined. Despite efforts to reduce debt under Sheinbaum's predecessor Andres Manuel Lopez Obrador, the company remains one of the world's most indebted energy companies. "A review is being carried out, which is normal," she said during her regular news conference, without giving details. Pemex later in the day said that it had paused any new contracts through its exploration and production unit, confirming Reuters' reporting from October. "Pemex Exploration and Production requested a temporary suspension of the processes of solicitation, signing and modifying contract agreements which have not been formalized," Pemex said in a statement. It denied reports that it was "freezing" contracts with service providers. Bloomberg News had reported on Wednesday that Pemex was freezing new deals with contractors. Pemex added that the pause would be in effect until the review Sheinbaum mentioned had wrapped up. It said the process should finalize before the end of the year. The oil producer added that more information would come soon regarding how its business needs would align with next year's proposed budget. Earlier this week, the association that represents the interests of some of the most important oil service providers in Mexico asked Pemex to pay overdue debts totaling 103.6 billion pesos ($5.1 billion). "This situation has caused an adverse effect on our finances and a negative impact in the areas where we operate," it said in a letter, adding that a schedule would provide certainty for operations and allow companies to fulfill their commitments. Under the six-year administration of Sheinbaum, who took office on Oct. 1, Pemex will seek to maintain average crude oil production of 1.8 million barrels per day but its debt burden has made that challenging. Sign up here. https://www.reuters.com/markets/commodities/mexico-is-working-various-payment-mechanisms-pemex-debt-president-says-2024-11-28/