Month: June 2018

China: ‘Capricious’ Trade Tactics Will Hurt US Workers

China’s commerce ministry on Thursday accused the United States of being “capricious” over bilateral trade issues and warned that the interests of U.S. workers and farmers ultimately will be hurt by Washington’s penchant for brandishing “big sticks.”

Previous trade negotiations with the United States had been constructive, but because the U.S. government is being unpredictable and challenging, Beijing has had to respond in a strong manner, commerce ministry spokesman Gao Feng said in a regular briefing in Beijing.

President Donald Trump threatened Monday to hit $200 billion of Chinese imports with 10 percent tariffs if Beijing retaliates against his previous announcement to target $50 billion in imports. The United States has alleged that China is stealing U.S. intellectual property, a charge denied by Beijing.

Washington’s accusations of forced tech transfers are a distortion of reality, and China is fully prepared to respond with “quantitative” and “qualitative” tools if the U.S. releases a new list of tariffs, Gao said.

Markets worried

“It is deeply regrettable that the U.S. has been capricious, escalated the tensions, and provoked a trade war,” he said. “The U.S. is accustomed to holding ‘big sticks’ for negotiations, but this approach does not apply to China.”

Financial markets are worried about an open trade conflict between the world’s two biggest economies after three rounds of high-level talks since early May failed to reach a compromise on U.S. complaints over Chinese practices and a $375 billion trade deficit with China.

A Sino-U.S. trade war could disrupt global supply chains for the tech and auto industries, sectors heavily reliant on outsourced components, and derail world growth.

“It will not be easy for the U.S. to identify $200 billion worth of Chinese imports that it can levy tariffs on without hurting U.S. companies and/or consumers, given the strong involvement of U.S. companies in a large share of China’s exports to the U.S.,” British forecaster Oxford Economics said in a recent note.

​‘Cannot be soft’

China said it will impose additional tariffs on 659 U.S. goods, with duties on 545 of them to kick in July 6, after Trump said Washington will impose tariffs on $50 billion of Chinese products.

The U.S. goods affected July 6 include soybeans, fruit, meat products such as pork, autos, as well as marine products.

Beijing has yet to announce an activation date for its tariffs on the remaining 114 U.S. products, which include crude oil, coal and a range of refined fuel products.

“We cannot be soft with Trump. He is using his ‘irrationality’ as a tactic and he is trying to confuse us,” said Chen Fengying, an economics expert at state-backed China Institutes of Contemporary International Relations. “But if we could accomplish some of the things that he wants us to do, such as IP, market reforms, he’d be helping us. Of course there are risks, those would depend on how we handle those reforms.”

Dow-listed firms

China could hit back at U.S. firms listed on the Dow Jones Industrial Average if Trump keeps exacerbating tensions with China over trade, state-controlled Chinese tabloid The Global Times said Thursday.

The Dow, which counts Boeing, Apple and Nike among its constituents, ended down 0.17 percent Wednesday. The 30-stock share index has declined 0.25 percent year-to-date.

“U.S. unilateral protection measures will ultimately harm the interests of U.S. companies, workers, and farmers,” Gao told reporters.

He said the two sides are to negotiate on issues around the manufacturing and service industries “in the near future.”

War of words

White House trade adviser Peter Navarro, who views China as a hostile economic and military power, said Tuesday that Beijing had more to lose from a trade war.

“Jobs for the Chinese are just as precious as those for the Americans,” Zha Daojiong, professor of international political economy at the School of International Studies at Peking University, told Reuters in an email. “It will be wise for the two sides to come back to the negotiation table, abide by a temporary agreement and turn down the rhetoric.”

China imported $129.89 billion of U.S. goods last year, while the United States purchased $505.47 billion of Chinese products, according to U.S. data.

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Live Animals, Meat, Ivory, Wood Seized in Trafficking Stings

Thousands of live animals along with tons of meat, ivory, pangolin scales and timber were seized in a monthlong global crackdown on the illegal wildlife trade that Interpol said exposed the international reach of traffickers.

The live animals recovered in the stings included turtles in Malaysia and parrots in Mexico. Canada intercepted 18 tons of eel meat arriving from Asia. Those arrested included two flight attendants in Los Angeles and a man in Israel whose house was raided after he posted a hunting photograph on social media. 

Operation Thunderstorm, involving 92 countries, yielded seizures worth millions of dollars during May, Interpol said Wednesday.

“The results are spectacular,” said Sheldon Jordan, Canada’s director general of wildlife enforcement. 

Acknowledging the magnitude of the problem, Jordan said global wildlife crime is worth about $150 billion annually and is fourth in value among illegal global trades behind drugs, counterfeiting and human trafficking. 

Criminal syndicates that smuggle flora and fauna often take advantage of porous borders and corrupt officials, transporting illicit cargo at an industrial scale. 

The Thunderstorm swoop included the confiscation of 8 tons of pangolin scales, half of which was found by Vietnamese authorities on a ship from Africa. 

Africa’s four species of pangolins are under increasing pressure from poachers because of the decimation of the four species in Asia, where pangolin scales are used in traditional medicine.

A total of 43 tons of contraband meat – including bear, elephant, crocodile, whale and zebra – 1.3 tons of elephant ivory, 27,000 reptiles, about 4,000 birds, 48 live primates, 14 big cats and two polar bear carcasses were also seized. Several tons of wood and timber were also seized.

China, the world’s largest ivory consumer, banned its domestic trade starting this year in what conservationists hope will relieve pressure on Africa’s besieged elephant populations. While some herds are recovering, a high rate of killing continues in many areas, such as Mozambique’s Niassa reserve. 

Some 1,400 suspects were identified worldwide, Interpol said. Two flight attendants were arrested in Los Angeles carrying live spotted turtles to Asia in personal baggage, said Interpol. Both suspects have been charged with smuggling protected species.

Participating nations were from Asia, Europe, the Middle East and North and South America. The Pacific nation of Vanuatu, which is not an Interpol member, took part. 

Officers searched cars, trucks, boats and containers, sometimes using sniffer dogs and X-ray scanners. 

The operation, Interpol Secretary General Juergen Stock said, showed that wildlife traffickers use the same routes as other criminals, “often hand-in-hand with tax evasion, corruption, money laundering and violent crime.”

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Instagram Announces Video Expansion

Social media app Instagram announced Wednesday that it would be increasing its time limit for videos posted on its platform from one minute to 10 minutes, as part of a general expansion of the app’s video capabilities.

The photo-sharing app also announced it would be launching a stand-alone app called IGTV to host these long-form videos. The app will be available this week, according to technology website, The Verge.

“When you watch longer video, you need a different context,” Instagram co-founder and CEO Kevin Systrom told The Verge. “We really wanted to separate those two, so you could choose which adventure you wanted to go down.”

The longer videos will also be available through a tab in the original Instagram application. Accounts with wide audiences will be able to post videos of up to an hour.

The update comes as Instagram, which Facebook bought in 2012 for $1 billion — is looking to compete with fellow video platform YouTube for young users.

Google bought YouTube in 2006 for $1.65 billion. Since then, the video-sharing website has ballooned to a user base of 1.8 billion, becoming a platform for aspiring content creators looking to strike it big.

Systrom told The Associated Press he hoped his app would gain similar success with the IGTV update. At a release event for the app Wednesday, the company announced IGTV now had over 1 billion users.

The IGTV app will function similar to television. Videos will begin playing as soon as the user opens the app and will fill be full-screen vertically — contrasting with YouTube, which requires users to turn their phones horizontally for full-screen capabilities.

Facebook announced Tuesday it would be launching a series of interactive shows on its own video outlet, Facebook Watch.

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New Credit Rating Speaks of Vietnam’s Complicated Makeover

A decent rating from Fitch this month has Vietnam riding high on the small victory, despite some of the less favorable economic trends connected to this first-of-its-kind rating.

The state monopoly Vietnam Electricity, or EVN, clinched a “BB” score June 6 from Fitch Ratings, which until then had never officially assessed the credit of a non-financial company owned by the Hanoi government. That prompted a cross-section of officials in the southeast Asian country to gush about the promise in store for one of the world’s fastest-growing economies.

“This positive rating enables EVN to issue international bonds, diversify our financing sources, and reassure domestic and foreign institutional investors,” said Dinh Quang Tri, the acting CEO of EVN. “We are now on a stronger footing to deliver more reliable electricity to Vietnam.”

The ebullience, however, is tempered by two questions: Will this be enough for investors to trust EVN? And how much should government become involved in business?

Renewable energy

EVN underscores the mixed sentiments that analysts express about Vietnam, a communist country transitioning to capitalism. The fact that the government runs EVN contributed to Fitch’s confidence in its report card.

“We believe the company can secure adequate funding in light of its position as an entity closely linked to the sovereign,” it said in a media release.

Yet businesses want even more promises from the government. Vietnam has spent years courting investment in renewable power, for example, but with limited success. That is in part because businesses that generate wind, solar, and other alternative energy sources can sell it only to EVN, and they are afraid of losing money if the company does not buy their electricity.

For renewables, “there is no provision for any form of government guarantee, assurance, or support to enhance the creditworthiness of EVN as the sole off-taker/purchaser,” corporate law firm Baker McKenzie said in a September report.

State vs. free market

Some would like to see more government involvement in general, especially to bail out companies in trouble. Others would like to see less involvement, as evidenced in the push for Vietnam to privatize further by selling stakes in its many state-owned enterprises. The country has not settled on a balance between the free market and the government.

Hanoi used to give iron-clad pledges that it would pay up in case of default at one of its state firms or public works projects. The government is doing that less often now because it is moving away from a centrally-planned economy, as well as reducing its sovereign debt.

Public anxiety mounted in recent years as Vietnam approached its debt ceiling of 65 percent of gross domestic product, though the country has made progress in reining in the debt.

That means EVN must tread lightly. Now that the power company has a Fitch Rating, it is eyeing international bonds to borrow money from investors around the world.

Going through this financing process is “helping EVN benefit from the discipline that comes with access to capital markets,” said Jordan Schwartz, who is the director of the World Bank group overseeing infrastructure, guarantees, and public-private partnerships.

The World Bank gave EVN funds and technical assistance to prepare for the Fitch assessment. Its credit rating shows how tightly EVN’s fate correlates with that of the government. Electricity prices, for example, will have to increase for the utility to make profits and improve its rating. Big increases, however, require approval from Hanoi, which also wants to keep power affordable for citizens.

The correlation is even blunter in Fitch’s analysis. The overall credit rating for Vietnam’s government itself also is BB. If that improves, so could the score for EVN, Fitch said, “provided EVN’s linkages with the state do not deteriorate significantly.”

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European Business Lobby Presses China to Stop Dragging Feet on Reform

As the United States and China teeter on the brink of an all out trade war and tit-for-tat tariffs loom, a European businesses lobby is urging Beijing to stop dragging its feet on reforms and using unfair trade policies to pamper Chinese companies.

 

Each year, foreign trade groups in China roll out a laundry list of concerns about market access, regulatory hurdles and other policies that tilt the playing field in the world’s second largest economy.

 

This year, for the first time ever, the European Chamber of Commerce’s annual survey of the business climate found that 61 percent of its 532 company members saw their Chinese counterparts as equally or more innovative.

Increased spending on research and development, targeted acquisitions of foreign high-tech firms and growing demand for innovative products from consumers were helping driving that shift, the chamber said.

 

The high response is significant. Policies linked to innovation and competition are a key part of the intensifying US — China trade debate and concerns of foreign companies operating here.

 

European Chamber President Mats Harborn said that as Chinese companies become stronger and more competitive, it is time for Beijing to “remove the training wheels.”

 

“It’s time for China to lift or reduce the pampering of its own enterprises and expose them to even more open and fair competition for them to develop into the champions that China wants them to be,” Harborn said.

 

Currently, Chinese companies account for 115 of the Fortune 500 list of global enterprises. The Chinese government claims that of the world’s 260 “unicorns” — start up companies valued at more than a billion dollars — more than 160 are from China.

Since Chinese President Xi Jinping delivered an address at the World Economic Forum in Davos early last year, China has repeatedly pledged to further open up the country’s economy.

 

According to the group’s survey of its members 52 % said that the government’s promises of opening up had yet to be realized. And looking forward, 46 percent said they thought the number of regulatory obstacles would increase over the next five years.

 

Harborn said that time is running out for China and 2018 has to be the year that it delivers on its promises.

 

“Dragging the feet on delivering on promises that have been made in China will cause reactions around the world,” Harborn said.

 

The United States response to that has led to reactions such as the $50 billion, and more recently $200 billion, in possible tariffs that Washington could levy on Chinese goods.

 

“We don’t agree with that action but it is the result of what we have warned about earlier,” he said.

Washington and European companies alike have long voiced concern about trade policies in China that protect domestic companies and State Owned Enterprises through subsidies, regulatory barriers and unequal treatment.

 

The Trump administration has alleged that Beijing is stealing American intellectual property and forcing technology transfers. Beijing denies that is the case.

 

Still, the European chamber’s survey found that about one in five of its companies “felt compelled to hand over technology in exchange for market access,” despite Chinese government assurances to the contrary.

 

According to the survey, 19 percent said they felt compelled to transfer technology.

Harborn said that while the percentage may seem small, the value it represents is much larger. Numbers were even higher among companies in the aerospace and aviation sector (36 percent), civil engineering and construction (33 percent) and automakers (27 percent).

 

“And no foreign company going to Europe has to even consider the issue of giving up technology for market access,” Harborn said.

 

Reciprocal treatment is a key concern from companies in China, regardless of whether they are from Europe and America. It is also a key aim of Washington’s trade dispute with Beijing and effort to make trade fairer.

 

But as the rhetoric in the U.S.-China trade dispute has heated up, some analysts argue that the focus has shifted too heavily to reciprocal and damaging tariffs. Actions that risk hurting not only the United States and China, but the global economy as well.

 

Harborn said confrontation through tariffs is not the most efficient way to get reforms and opening up that companies have been asking China to deliver.

 

“We are afraid that when you are exerting pressure this way [through threats of tariffs] that China keeps its aces up its sleeve and is presenting what is needed to defuse the tension at the time and is not addressing the fundamental and broader issues,” Harborn said.

 

Besides, he add, reforms are not only important for foreign companies but China’s own economic development as well.

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Kate Spade Foundation to Donate $1M for Suicide Prevention

Kate Spade New York has announced plans to donate $1 million to support suicide prevention and mental health awareness causes in tribute to the company’s late founder.

To start, the company said Wednesday the Kate Spade New York Foundation is giving $250,000 to the Crisis Text Line, a free, 24-hour confidential text message service for people in crisis.

The company also said it will match public donations made to the service from June 20 through June 29, up to an amount of $100,000.

Kate Spade New York also says it will host a Global Mental Health Awareness Day for employees as part of its Wellness Program.

The 55-year-old fashion designer was found dead by suicide June 5. Her husband says she suffered from depression and anxiety for many years.

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Eva Longoria Gives Birth to First Child, a Son

The actress and husband Jose “Pepe” Baston welcomed Santiago Enrique Baston into the world Tuesday. They say they are so grateful “for this beautiful blessing.”

The couple shared the child’s first picture with the magazine Hola! USA. The baby, wearing a hospital cap, is shown resting on his mother’s chest.

During her pregnancy, the 43-year-old Longoria supported the Time’s Up movement and received her star on the Hollywood Walk of Fame. She also attended the premier of her movie Overboard.

Her husband has three children from a previous marriage.

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Amazon, Buffett, JPMorgan Pick Gawande to Lead Health Firm

Amazon, JPMorgan Chase and Berkshire Hathaway have picked well-known author and Harvard professor Dr. Atul Gawande to transform the health care they give their employees.

The three corporate titans said Wednesday that Gawande will lead an independent company focused on a mission they announced earlier this year: figure out ways to improve a broken and often inefficient system for delivering care.

Health care researchers have said any possible solutions produced by this new venture will be felt well beyond the estimated 1 million workers the three companies employ in the United States. Other businesses that provide employee health coverage are eager to find solutions for health care costs that often rise faster than inflation and squeeze their budgets in the process.

Berkshire Chairman and CEO Warren Buffett has described health costs as a “hungry tapeworm on the American economy.”

Leaders of the three companies have said little about how their Boston-based venture plans to tackle this problem, but they have noted that it will take time to figure out solutions, a point they emphasized again on Wednesday.

“We said at the outset that the degree of difficulty is high and success is going to require an expert’s knowledge, a beginner’s mind, and a long-term orientation,” Amazon CEO Jeff Bezos said in a prepared statement. “[Gawande] embodies all three, and we’re starting strong as we move forward in this challenging and worthwhile endeavor.”

Employer-sponsored insurance covers about 157 million people, according to the Kaiser Family Foundation. That’s nearly half the total U.S. population and the biggest slice of the country’s patchwork health insurance market.

Neither companies nor many of their employees are happy with how the system currently works. Employers have reacted in part to rising expenses by raising deductibles and other costs, asking their workers to pay more of the bill and to shop around for better deals. Many patients, especially the sickest, struggle with that.

Gawande is surgeon and professor at both Harvard’s Medical School and its T.H. Chan School of Public Health. He said in a statement Wednesday that he has devoted his career in public health to building solutions for better care delivery, and that while the current system is broken, “better is possible.”

The consortium’s leaders have said they aren’t looking for a quick fix. JPMorgan Chase Chairman and CEO Jamie Dimon said during an appearance on CNBC earlier this month that fraud in the system, high administrative costs and the overuse and underuse of some drugs are among the many complications that must be improved.

The three companies said in late January that their new venture will focus on technology that provides simplified, high-quality and transparent care.

Amazon’s participation and customer-first focus will be crucial, according to Brian Marcotte, CEO of the National Business Group on Health, a nonprofit that represents large employers.

He noted that employers already offer ways to help patients shop for care or see a doctor remotely through telemedicine. But people don’t use this technology unless they need it, so they haven’t grown comfortable with it.

That could change if they go through a well-known platform like Amazon, which could then reach into its vast trove of customer data to personalize the shopping, Marcotte said. If, for instance, you are a runner considering knee surgery, Amazon could lay out the best or common practices for your condition and maybe show that surgery isn’t your only option.

“It’s not only reaching people in the moment, it’s the possibility to reach people with relevant personalized messaging that will engage them,” Marcotte said.

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Silicon Valley-Style Coding Boot Camp Seeks to Reset Japan Inc.

Barely six months after inaugurating a tiny software-coding boot camp in a basement in Tokyo, Silicon Valley transplant Kani Munidasa stood before some of Japan’s top business leaders in February with a warning: software was threatening their future.

A Sri Lankan native with a Japanese mother and wife, Munidasa was speaking at the invitation of Nobuyuki Idei, a former chief executive of Sony.

Idei had offered to become an adviser to the boot camp, called Code Chrysalis, whose mission of bringing Japan’s software engineering up to global standards and helping its companies transform aligned with his own.

“Idei-san told me, ‘Tell it as it is; don’t sugar-coat anything. They need to hear that change has to happen,'” Munidasa said, recalling how he showed up at the executives’ meeting in a T-shirt and hoodie.

Long known as a “monozukuri” – or manufacturing – powerhouse, Japan is in danger of getting left behind as artificial intelligence, robotics, and machine learning sweep through industries from cars to banking, Idei and others say.

Japanese companies have traditionally treated software as a means to cut costs rather than add value, and code-writers as second-class citizens. Entry-level software engineers in Japan make about $40,000 on average – less than half their U.S. counterparts.

Programs like Code Chrysalis are trying to change that by injecting Silicon Valley training methods into Japan’s slow-to-change corporate culture.

Coding, “soft skills” like public speaking and even physical fitness are all on the agenda. Since Code Chrysalis opened last July, a dozen students have graduated from its 12-week course, with six more in the pipeline. The camp currently accepts up to eight applicants per session.

For the students, the benefits are clear: their salaries increased by an average of nearly 80 percent after graduation, according to Code Chrysalis.

Japanese companies are desperate for skilled developers, with top IT recruiter Computer Futures seeing 2.3 job openings for every applicant so far this year, and most positions being filled by foreigners.

Educators and industry leaders hope programs such as Code Chrysalis will be transformative for Japan.

“Even if the numbers are small, I think (Code Chrysalis) can have a big impact,” Idei told Reuters, noting that Japan had focused too much on “physical goods” in the post-Internet age.

“The United States has Google, Apple, Facebook, Amazon,” said Idei, now CEO of his consultancy, Quantum Leaps. “China’s got Baidu, Alibaba and Tencent. Japan doesn’t have a single platform company. That’s the No. 1 difference.”

A textbook problem

Japan’s English-language education, notoriously focused on standardised testing, has hindered the development of good programmers, industry insiders say.

Without a good grasp of the language, programmers are always a step behind, waiting for translations to access cutting-edge tools and methods.

Toyota is making English the common language for the 1,000 software engineers it plans to employ at a new automated-driving unit launching in Tokyo next month.

James Kuffner, CEO of the unit, Toyota Research Institute-Advanced Development (TRI-AD), said Japan’s computer science education was also overly based on textbook learning.

Recalling the “horrible and boring” lectures he sat through at the prestigious University of Tokyo as a post-doctoral research fellow in 1999, Kuffner said the classes did little to prepare students for the real world. Coding boot camps are a step in the right direction, he said.

“I want to figure out a way to fix the education system because it’s also important for our company,” said Kuffner, who still serves as an adjunct associate professor at Carnegie Mellon’s Robotics Institute. “I would love to make a university where (everything) you did was project-based.”

Rebooting the system

Munidasa and his co-founder, Yan Fan, tailored their course around project-based learning, teaching exclusively in English.

Just one other English-language coding boot camp exists in Japan, run by French chain Le Wagon since late 2016, with 75 graduates so far. That program, which costs 790,000 yen ($7,200) for a nine-week course, targets beginners looking for a job in software development, who want to freelance, or who are launching their own start-ups.

“The positioning is very different because we work with beginners to bring them to a junior-developer level,” said Paul Gaumer, co-founder of Le Wagon Japan.

Munidasa and Fan’s program, which is aimed at higher-level training, has so far rejected nearly 80 percent of applicants, some of whom couldn’t meet the English requirement. To help, they added a four-week English-communication course.

During Code Chrysalis’ 1.03 million yen ($9,390), full-time course, students learn to become “full-stack” engineers, covering servers, user interfaces, and everything in between.

Beyond coding, they get unconventional instruction: voice training from an opera singer, squats challenges, and assignments requiring intense teamwork.

Baby steps

Code Chrysalis has already caught the attention of some big Japanese firms, including information technology giant NTT Data.

Its applied software engineering centre is using Code Chrysalis for part of its training and has placed an engineer in the current cohort.

“Our customers are increasingly looking for faster and cheaper software development, and we need to be able to meet those demands,” said human resources manager Kotaro Kimura.

Masataka Shintoku, an engineer in NTT Data’s sales and planning group who found Code Chrysalis on his own and graduated in March, says he’s already putting his new skills to work.

“I’m now able to create an app on my own and show prospective clients what we can do,” he said.

Kuffner said he hopes to emulate the storied Toyota Production System to create the software world’s “best process for writing bug-free software” as automated cars incorporate millions of lines of code.

“Japanese people are hard-working, very dedicated,” he said. “I have no question in my mind that with the right training they could be some of the best software engineers in the world.”

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As World Cup Fever Spreads, Africa Unites

The World Cup attracts billions of viewers across the globe, many of them in Africa. As the best footballers in the world battle it out to be crowned champion, Zaheer Cassim in Johannesburg explores how Africans are putting aside their differences and are backing all the teams from the continent.

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Is Russia Using World Cup to Gloss Over Human Rights Crackdown?

Human rights campaigners say Russia is using the glitz of the football World Cup to try to gloss over its deteriorating human rights record. Opposition groups, journalists, LGBT communities and non-governmental organizations have all been targeted in a crackdown that has intensified over the past six years, according to campaigners. As Henry Ridgwell reports, some are demanding that World Cup organizer FIFA use its leverage to force change.

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Russian Fans Celebrate Once-maligned Team as Heroes

What a transformation. Russia’s World Cup soccer team, metamorphosed from national laughingstock to heroes of the motherland in less than a week.

 

And no one is more stunned than their own fans.

 

Chants of “Ro-see-ya! Ro-see-ya!” reverberated through the St. Petersburg Stadium and along the nearby wind-whipped shores of the Baltic on Tuesday after Russia beat Egypt 3-1.

“Incredible!” said science student Daniil Stefaychuk. He went into Tuesday’s match dreaming of a tie, and left with his voice sore from screaming with excitement.

Thousands celebrated through the night in central Moscow, dancing, chanting and blowing car horns while lines of police kept watch. Roads were blocked by cars full of flag-waving Russia fans. Mexican, Polish and Brazilian fans also joined in the festivities.

 

Even in a World Cup full of surprises, Russia’s team stands out. The lowest ranked team heading into the World Cup , Russia is now all but guaranteed to advance to the second round.

 

That’s a first for post-Soviet Russia, and a big boost both to fans and to President Vladimir Putin, who wants the tournament to improve his country’s image.

 

Russia’s 5-0 win against Saudi Arabia in the World Cup opener last week might have been a fluke. But Tuesday’s win against the stronger Egyptian team showed the Russian players “the experience, the skills, the energy” to go much farther, said St. Petersburg company manager Alexei Ivanov.

 

He claims fans deserve some of the credit: “When you’re among your own, you’re more confident.”

 

Yet he was among those with little hope for the team going into the World Cup.

“It seemed like they absolutely didn’t know how to play,” he said. His laugh echoed with relief.

 

With a satiric song and goofy video games, Russians openly joked about their team and its coach ahead of the tournament.

 

The teasing got so bad that a conservative lawmaker is drafting a bill to ban mockery of the team, arguing that they’re “fighting for the honor of our country.”

 

Fans seem to think that’s going too far. “Constructive criticism helps,” said sports instructor Andrei Ushakov.

 

A week ago, there was an undercurrent of self-deprecation and defensiveness in the Russian fan mood. By Tuesday night, that had vanished, replaced by an assertive swagger.

 

Crowds draped in white-blue-red Russian flags sang folk songs and whooped wildly in the marbled corridors of the St. Petersburg subway.

So what’s next for the team? “Victory, only victory,” Ushakov said.

 

Karen Arutunian, who is about to turn 8 years old, isn’t so optimistic.

 

Arutunian successfully predicted Tuesday’s result, unlike anyone else in his family. He thinks Russia’s next match, against Uruguay next week, will end in a tie.

 

“We won’t win. But it doesn’t matter. We’re making it out of the first round,” he said. “It’s the best feeling.”

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Recycling Rubbish into Revenue, Plan Brings Hope to Women in Jordan

Sameera Al Salam folds a discarded piece of newspaper into a long strip then loops it round her finger to form a tight circle, the first stage of making the upcycled handbags, trays and bowls the Syrian refugee hopes will help her earn a living.

Al Salam, 55, was a hairdresser with a passion for “art and making things” before she fled her war-torn homeland for Irbid in northern Jordan with her family in 2012.

Now she has two teenagers and a husband left paralyzed by a stroke to support in a country where she has no automatic legal right to work, and they are three months behind on their rent.

“We were living a really happy life. I had a garden where I grew everything,” Al Salam told the Thomson Reuters Foundation. “We had to leave because of the airstrikes. We were always trying to put things in front of the door to protect the children. Whenever I remember, it breaks my heart.”

Like most of the more than 655,000 Syrian refugees living in Jordan — and many Jordanians — poverty, debt and unemployment dominate the family’s existence.

Al Salam hopes her involvement in a new rubbish collection and recycling plan that aims to alleviate the poverty of both refugees and locals and bring the two communities closer will help turn things around.

The project, managed by charity Action Against Hunger, employs 1,200 people to collect and sort waste from the streets and provides temporary work permits to refugees who take part.

Nearly half the participants are female in a country where women can face cultural and family obstacles to employment, including a culture of shame around going out to work.

One in three Syrian refugee households in Jordan is headed by women and more and more are now seeking jobs in an already crowded market.

More than 80 percent of the Syrian refugees in Jordan live below the poverty line, according to Care International.

Awsaf Qaddah, a 39-year-old Syrian widow, said working as a rubbish collector initially felt like “a kind of shame,” but she now feels only pride.

“The job took me out of this atmosphere I was living in at home. Women can and should go out and work, especially with the circumstances we’re facing,” she said. “I have no husband or father or brother to help — I’m proud to do it.”

Fellow worker Berwen Misterihi, who is Jordanian, was forced to earn after her husband left her and their four children.

“Women and men would make comments about me picking up waste,” she said.

“I said to one man, ‘I’d rather work than come to you for the money’ and he apologized.”

‘Like Siblings’

The project workers were given 50-day contracts paying 12 Jordanian Dinar ($16.90) a day, plus training and social security provisions. Some of the waste was sold to scrap dealers for extra cash.

Al Salam was among a group of women who started an upcycling project, turning the waste paper and plastic they collected into objects to sell.

Action Against Hunger, which has managed the waste project since 2017 with German government funding, is now setting up a second phase focusing on equipping cooperatives and workers to continue waste processing and upcycling unaided.

“First there was a focus on breaking the culture of shame for women. Then we wanted ideas of how they could benefit from waste,” said Sajeda Saqallah, programme manager with Action Against Hunger. “Upcycling is a new concept here, so we took them to Amman to learn about it.”

Al Salam said her husband did not object to her taking part in the project. She now hopes she will get training on marketing and trademarking and win one of a number of new contracts Action Against Hunger is providing to carry on upcycling for wages.

The women in her upcycling group meet regularly and share ideas and news in a WhatsApp group.

At a workshop filled with their creations – from handbags to light shades to side tables, all made from recycled newspaper and cardboard – Sahira Zoubi, a Syrian refugee and mother of five excitedly points to the gold handbag she made.

Zoubi, who has not seen her husband since the Syrian army captured him in 2012, has made close friends through the project from both Syria and Jordan who she says are “like siblings.”

“Doing this project is so joyful because you come here and forget about your problems,” she said.

Al Salam breaks down as she tells how the project has allowed her to overcome her fears of being a refugee in a strange country.

“I never really mixed with people before this. I was afraid to go outside, I wasn’t involved in the community,” she said. “I was from a different country. I didn’t know what people were going to do to me or what they would say. Now I like to mingle.”

($1 = 0.7100 Jordanian dinars)

Travel for this story was covered by Action Against Hunger.

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Motorists in Crime-ridden Caracas Seek Safety Through ‘Buddy’ App

Two men on motorbikes approached a broken-down vehicle in Caracas one day earlier this month in what could have been a nightmare scenario in one of the world’s most dangerous cities where roadside robberies and murders are an everyday occurrence.

The men took up positions either side of the green four-wheel-drive vehicle, with a 33-year-old female schoolteacher behind the wheel, and guarded it until a tow truck arrived two hours later to cart it off to a garage.

The two guards are employees of a new mobile application called “Pana” – “Buddy” in Venezuelan slang – which dispatches security crews to stranded drivers who request help.

It’s a reflection of how Venezuelans are turning to technology to overcome the dangers and nuisances of living in the crisis-hit country. Mobile payment apps, for example, attract customers who do not have enough paper money, which is in short supply due to hyperinflation.

Domingo Coronil who started Pana with his brother Juan Cristobal last September said they have carried out more than 5,000 successful driver rescues on the streets of the capital.

“People’s reactions have been amazing. Some start crying, while others take selfies,” the 46-year-old security consultant said in an interview.

Violence in Venezuela has shot up during the oil-wealthy country’s spiral into a five-year economic crisis and political meltdown. Many Caracas residents refuse to go out at night due to security fears, and wealthier Venezuelans often travel in bullet-proof cars with bodyguards.

There were almost 27,000 violent deaths in the country last year, with Venezuela having the second highest murder rate in the world after El Salvador, according to the Venezuelan Observatory of Violence, a local crime monitoring group.

National homicide rates rose each year from 67 murders per 100,000 people in 2011 to 92 in 2016, before dipping to 89 last year, according to the group.

The homicide rate in Caracas alone was 104 per 100,000 people in 2017, the group said. New York, in contrast, had a homicide rate of 3 per 100,000 last year and most European cities had less than 1.

A recent Gallup study placed Venezuela at the bottom of its 2018 Law and Order index, with 42 percent of surveyed Venezuelans reporting they had been robbed the previous year and one-quarter saying they had been assaulted.

“The fear people have isn’t you’ll be robbed in your car, but that you’ll be killed or kidnapped,” said Roberto Briceno Leon, the observatory’s director.

Venezuelan authorities say nongovernmental groups inflate crime figures to create paranoia and tarnish President Nicolas Maduro’s socialist government. But even the most recent official national murder rate – 58 per 100,000 inhabitants for 2015 – was still among the world’s highest.

About 700 people have joined Pana because of the high crime rate, Coronil said, each paying an annual fee of 4,800,000 bolivars, or about $2 to $4 on the black market, to request help as many times as they want at any hour day or night.

The company receives a customer’s geo-locations at its headquarters and dispatches two of its 28 security guards to the breakdown. Coronil hopes to expand coverage to roads outside Caracas and offer corporate plans.

Vanessa Mikuski, the schoolteacher in the van, tapped the button in Pana’s smartphone app when her car broke down without warning that June morning in the east of Caracas. A friend had recommended she download it last year.

The two Pana security guards, who were not armed and wear jackets with the app’s logo, kept pedestrians and drivers away while Mikuski waited and arranged for her children to be picked up from school.

“You feel much more secure … And at that price, it’s great,” she said.

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Cities Face Dramatic Rise in Heat, Flood Risks by 2050, Researchers Say

In just 30 years, cities around the world will face dramatically higher risks from extreme heat, coastal flooding, power blackouts and food and water shortages unless climate-changing emissions are curbed, urban researchers warned Tuesday.

Today, for instance, over 200 million people in 350 cities face stifling heat where average daily peak temperatures hit 35 degrees Celsius (95 degrees Fahrenheit) for three months of the year, according to a study released by C40 Cities, a network of major world cities pushing climate action.

But by 2050, more than 1.6 billion people in 970 cities will face those conditions, researchers predicted.

The number of people who are both in poverty and battling brutal heat — usually without air conditioning — will rise tenfold, they said.

“This is a wake-up call,” said Kevin Austin, deputy executive director of C40 Cities, at an international meeting in the South African city of Cape Town on adapting to climate change.

“The magnitude of people affected by heat will be (much) greater than today if we continue to increase greenhouse gases at this rate.”

But cities can take action to directly curb the risks, besides working to cut emissions, he said.

In Seoul, for example, a major elevated thoroughfare through the center of the city has been removed, opening up access to the river and lowering urban heat in the area by at least half a degree Celsius, he said.

South Korea’s capital also has planted more than 16 million trees and created shaded cooling centers for those without air conditioning.

“We want to encourage cities to adopt more of these solutions and implement them as quickly as possible. In the worst case scenario, they will need to do them quickly,” Austin said.

More drought, less water 

The research, carried out by the New York-based Urban Climate Change Research Network, looked at data from more than 2,500 cities and predicted likely conditions if emissions continue to rise at their current rate.

It found that Cape Town’s ongoing battle with drought-driven water shortages could become far more common, with over 650 million people in 500 cities — among them Sao Paulo and Tehran — likely to see their access to water reduced by 2050.

Many thirsty cities are already aiming to set caps on water use per person, with Los Angeles pushing for 200 liters a day, Melbourne for 155 litres and Cape Town a dramatically reduced 50, Austin said.

The U.S. Geological Survey estimates that an average American today uses at least 300 liters of water per day.

Sharing advice on how to make cuts happen — including insights gained in Cape Town, which has slashed its water use by half in the face of extreme drought — can save cities time and help them make changes faster, Austin said.

But more cities “need to transition in a planned way, not in response to disaster,” he added.

Cape Town Mayor Patricia de Lille said dealing with a crisis when it arrives leaves little room to maneuver.

“In a crisis like this there is no time to go by trial and error. You unfortunately have to get it right the first time,” she said at the Adaptation Futures conference in Cape Town.

Power risk from floods

The C40 Cities study also found that by mid-century over 800 million people will live in 570 coastal cities at risk of flooding from weather extremes and sea level rise.

Flooding presents a particular risk to urban power supplies, with many power stations located in flood-prone areas – and everything from transportation to heating and hospitals at risk if power plants flood in cities from London to Rio de Janeiro, the study noted.

Decentralizing power systems – including by getting clean energy from a larger number of smaller power plants – could help cut the risks, researchers said.

But flooding risks may be coming faster than expected.

Patrick Child, the European Commission’s deputy director-general for research and innovation, said a predicted one-meter (3-foot) rise in global sea level, once anticipated by 2100, is now expected by 2070.

Last year already saw the highest-ever documented economic losses from severe weather and climate change globally, he said.

Experts at the adaptation meeting also predicted that extreme weather could bring cascading problems for cities, with flooding, for instance, triggering everything from disease outbreaks to road failures, food shortages and closed schools.

Looking at just one type of problem — such as a health threats from extreme heat, or sea level rise — isn’t enough to capture the risks, said Cynthia Rosenzweig, a climatologist at the NASA Goddard Institute for Space Studies and one of the authors of the report.

“In cities, all of these impacts interact with each other, and are all happening at the same time,” she said.

Solutions also need combined approaches, with engineering efforts to cut flooding, for instance, working hand in hand with things like better protection of flood-absorbing wetlands, Rosenzweig said.

She said she hoped the research would help city officials prioritize what changes need to happen first to better protect their citizens from climate threats.

In cities “it’s often overwhelming, with so many things to do,” she said.

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Across Asia’s Borders, Trafficking Survivors Dial in for Justice

When Neha Maldar testified against the traffickers who enslaved her as a sex worker in India, she spoke from the safety of her own country, Bangladesh, via videoconferencing, a technology that could revolutionize the pursuit of justice in such cases.

The men in the western city of Mumbai appeared via video link more than 2,000 km (1,243 miles) west of Maldar as she sat in a government office in Jessore, a major regional hub for sex trafficking, 50 km from Bangladesh’s border with India.

“I saw the people who had trafficked me on the screen and I wasn’t scared to identify them,” Maldar, who now runs a beauty parlor from her home near Jessore, told Reuters. “I was determined to see them behind bars.”

“I told them how I was beaten for refusing to work in the brothel in the beginning and how the money I made was taken away,” she said, adding that she had lied to Indian authorities about her situation after being rescued, out of fear.

Thousands of people from Bangladesh and Nepal — mainly poor, rural women and children — are lured to India each year by traffickers who promise good jobs but sell them into prostitution or domestic servitude, anti-slavery activists say.

Activists hope the safe, convenient technology could boost convictions. A Bangladeshi sex trafficker was jailed for the first time in 2016 on the strength of a victim’s testimony to a court in Mumbai via video link from Dhaka, Bangladesh’s capital.

Convictions for cross-border trafficking in the region are rare as most victims choose not to pursue cases that have traditionally required them to testify in Indian courts, which meant staying in a shelter for the duration of the trial.

“They have always wanted to go back home, to their families,” said Shiny Padiyara, a legal counsel at the Indian charity Rescue Foundation that has facilitated videoconferencing cases and runs shelters for trafficking victims. “And most never return to testify.”

But videoconferencing is making it easier to pursue justice. Survivors have given statements, identified their traffickers, and been cross examined in at least 10 other ongoing international cases in Bangladesh, advocates said.

“Enabling victims to testify via video conference will lead to a possible decrease in acquittal rates for want of prime witnesses,” said Adrian Phillips of Justice and Care, a charity that supports the use of video testimony to help secure justice.

Even then, it is tough. During Maldar’s three-hour deposition, she withstood a tough cross-examination, showed identity documents to prove her age and countered allegations by the defense lawyer that she was lying about her identity.

‘Unpardonable’

Tara Khokon Miya is preparing her 27-year-old daughter to testify against the men who trafficked her to India from Dhaka, where she had been working in a garment factory.

“I almost lost my daughter forever,” she said, sitting in her home in Magura, less than 50 km from Jessore, describing how she disappeared after work and was taken to a brothel in India, and raped and beaten for almost a year before being rescued.

“What the traffickers did to my daughter was unpardonable,” Miya said, wiping her tears. “We seek justice. I nurtured her in my womb and can’t describe what it felt like to not know about her whereabouts.”

The trial has been ongoing since 2013 when the young woman, who declined to be named, was repatriated. The charity Rights Jessore is helping the family through the process, by providing counseling and rehearsing cross-examination.

“The best thing is her father will be by her side when she talks in court,” Miya said, finally breaking into a smile.

India signed a bilateral agreement with Bangladesh in 2015 to ensure faster trafficking investigations and prosecutions, and with Nepal in 2017, and laid down basic procedures to encourage the use of videoconferencing in court proceedings.

“The procedure is very transparent,” said judge K M Mamun Uzzaman at Jessore courthouse, which often converts its conference hall into a courtroom for videoconferencing cases to protect survivors’ privacy.

“I’m usually present and victims are able to testify confidently … it is easy and cost effective for us,” he said. “But the biggest beneficiaries are the survivors.”

The future

Videoconferencing in Bangladesh has been plagued by technical glitches such as power cuts and poor connections.

“Sometimes the internet connection is weak or it gets disconnected during the testimony,” said Binoy Krishna Mallick head of Rights Jessore, a pioneer in using this technology to encourage trafficking survivors to pursue justice. “But these are just teething troubles.”

The bigger challenge, activists say, is to ensure survivors remain committed to the trial despite delays caused by a backlog of cases and witnesses’ failure to appear to testify.

Swati Chauhan, one of the first judges to experiment with video testimony in 2010, is convinced that technology can eliminate many of these hurdles.

“Victims go through a lot of trauma, so it is natural that they don’t want to confront their trafficker in a court — but that doesn’t mean they don’t want the trafficker to be punished,” she said. “A videoconference requires meticulous planning and it is not easy coordinating between departments and countries. But it is the future for many seeking justice.”

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China Calls Trump Threat of More Tariffs ‘Blackmail’

China calls President Donald Trump’s threat to slap more tariffs on Chinese exports to the U.S. “extreme pressure and blackmail” and threatens to retaliate.

Beijing reacted Tuesday to Trump’s plan to impose tariffs on another $200 billion of Chinese goods “if China refuses to change its practices.”

“China apparently has no intention of changing its unfair practices related to the acquisition of American intellectual property and technology,” a presidential statement said late Monday. “Rather than altering those practices, it is now threatening United States companies, workers, and farmers who have done nothing wrong.”

The president has ordered Trade Representative Robert Lighthizer to identify a list of $200 billion in additional Chinese goods subject to a 10 percent tariff — a move that would bring on another round of Chinese penalties on American products.

Trump has already ordered 25 percent tariffs on $50 billion in Chinese products. Those penalties are scheduled to take effect next month and will likely be followed by Chinese countermeasures.

The U.S. has long accused China of stealing U.S. technology secrets, requiring U.S. firms to share intellectual property as a condition for doing business in joint ventures in China. China denies such theft and accuses Washington of “deviating from the consensus reached by both parties.”

The Director of White House National Trade Council, Peter Navarro, told reporters Tuesday the White House has given China every opportunity to change its “aggressive behavior.”

Trump and Chinese President Xi Jinping held a summit last year at Trump’s Mar-a-Lago resort. But that meeting and several rounds of trade talks between high-level officials in the past year have not yielded any progress.

“It is important to note here that the actions President Trump has taken are purely defensive in nature. They are designed to defend the crown jewels of American technology from China’s aggressive behavior,” Navarro contended. 

U.S. stock market tumbled on Tuesday following the latest salvos between Washington and Beijing. The Dow Jones Industrial Average lost more than 1.1 percent at the close of trading and other major indexes posted losses as well. 

But Navarro dismissed concerns about how the administration’s trade policy would affect the financial markets and global economy, saying it will have only a “relatively small effect.” He argued the U.S. steps will ultimately benefit the country and global trading system. 

Navarro did not reveal plans for further trade talks between Washington and Beijing, but added, “our phone lines are open, they have always been open.”

Trump has said he has an excellent relationship with Chinese President Xi Jinping, but has also said “the United States will no longer be taken advantage of on trade by China and other countries in the world.”

He has imposed tariffs on aluminum and steel imports from Canada, Mexico, and the European Union and is feuding over trade with some of the United States’ closest allies.

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As DRC Grapples With Ebola, Guinea Keeps Up Its Guard

Just after a morning rain, Gourma Mamadou was shopping in this capital city’s crowded, open-air Kaloum market. The young man said he was well aware of the current Ebola outbreak simmering some 4,000 kilometers to the southeast in the Democratic Republic of the Congo, where the World Health Organization reports it has killed 28 people since April.

The outbreak may be relatively far away, but fear of Ebola is not.

Madamou said most of the Guineans he knows don’t mention Ebola, as if just speaking the word would invoke its terrible wrath. The virus ravaged Guinea, Liberia and Sierra Leone from 2014 into 2016, leaving 11,000 people dead, including 2,500 in his country.

People “are watching carefully,” the young shopper said, suggesting that frequent hand-washing and other hygienic precautions grew more commonplace with the Ebola experience. “Sometimes, it’s hard. That disease is so viral, but since it’s been eradicated, we don’t want it back in Guinea.”

Some good also grew out of Guinea’s exposure to the virus: more information. Late in the West African outbreak, almost 6,000 people in Guinea were vaccinated with an experimental therapeutic, V920. A December 2016 report in The Lancet medical journal said the inoculations bolstered the interim finding that the vaccine “offers substantial protection.”

That same vaccine, not yet licensed in any country, is now being used in the DRC’s northwestern region. Pharmaceutical company Merck sent roughly 8,600 doses to Equateur province.

Dr. Sakoba Keita, who oversaw Guinea’s Ebola response and directs the country’s National Health Security Center, praised the vaccine.

“For us, the vaccine is very effective,” he said, saying it protected 95 percent of those inoculated and “greatly helped stop the chain of transmission of the Ebola virus in Guinea. That is the reason why the vaccine is at the forefront of our response mechanisms.”

Keita, more commonly known as “Dr. Ebola,” leads Guinea’s fight against a recurrence of the disease. He said the country of 13 million learned hard lessons from its Ebola experience.

Like its neighbors Liberia and Sierra Leone, Guinea was unfamiliar with the deadly virus. The outbreak, traced to a young boy infected by a bat in a Guinean jungle in December 2013, wasn’t identified until March 2014.

Then, as now, the international community stepped in to help. The World Health Organization worked with local governments to coordinate a response. Aid groups such as Doctors Without Borders (Medecins Sans Frontieres, or MSF) provided medical teams to support local health care workers and treat patients.

The United States was among the foreign governments joining in the effort to halt the disease, sending health workers, researchers and aid to help with a public awareness campaign, disease tracking and patients’ treatment.

The DRC has the most experience in combating the disease, which originally surfaced in 1976 in an area near the Ebola River. When Ebola broke out in Guinea, the DRC sent experts there.

So, when the DRC’s ninth Ebola outbreak surfaced months ago, Guinea — at the WHO’s request — sent medical personnel in a gesture of solidarity.

Given the DRC’s repeated outbreaks, Keita said it’s important to be ready in case Ebola ever returns to his country. 

Keito said Guinea is more prepared now than it was before its Ebola outbreak. Health workers have learned to recognize the disease and its symptoms. The general public is more aware of it, too. And Conakry’s Donka Hospital — the country’s biggest health facility, where MSF operated an Ebola treatment center — is being expanded to meet needs.

“As we learn new things about the disease,” Keito said, “we prepare so that we are ready to contain it quickly if we were to face a new outbreak.”

Abdourahmane Dia is a multimedia journalist with VOA’s French to Africa Service.

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