FINANCE
BOE’s Hogg hinted Visa CEO
Charlotte Hogg, who resigned as the Bank of England’s (BOE) deputy governor in March over concerns about a potential conflict of interest, is in talks to take over as chief executive at Visa Europe, Sky News reported on Saturday. Hogg, who was one of BOE Governor Mark Carney’s most trusted lieutenants, stepped down following criticism by lawmakers that her role was untenable because her brother was responsible for guiding Barclays’ response to bank regulation, which is overseen by the BOE. Sky, citing an unnamed source close to the central bank, said Visa Europe had held preliminary talks with the central bank about the implications of Hogg taking on the job as its chief executive. A Visa Europe spokeswoman declined to comment on the report.
AUTOMOTIVE
Continental flanges probed
US safety regulators are trying to track down gas tank flanges that can crack and cause fuel leaks on what could be millions of cars and trucks. The government began investigating parts made by German supplier Continental AG after the company filed recall documents this week saying the flanges could be defective. Documents posted on Friday say Continental sold the flanges to 11 automakers and five parts companies. The polymer flanges cover openings in the fuel tank. If they leak, that increases the risk of fire. Volkswagen AG, Porsche and Audi already have recalled nearly a half-million vehicles due to the problem. With other automakers possibly involved, Continental’s recall could spread to millions of vehicles.
REAL-ESTATE
Ashkenazy buys hotel
Ashkenazy Acquisition Corp, the US real-estate investor that recently bought a stake in New York’s Plaza Hotel, said that it has acquired the Grosvenor House hotel in London, helping resolve an imbroglio that kept ownership of the famed properties in limbo for three years. Terms of the purchase, announced on Friday, have not been disclosed. The Grosvenor House acquisition “reflects a continued aggressive focus” on buying an additional 2 billion euros (US$2.3 billion) of “global iconic assets” over the next two years, New York-based Ashkenazy said in a statement. The Grosvenor House opened in 1929 on Park Lane in the Mayfair neighborhood, one of London’s poshest. Ashkenazy’s other holdings include Union Station in Washington, Faneuil Hall Marketplace in Boston, and 625 Madison Avenue in New York. The firm has assets valued at more than US$10 billion with a focus on retail, hotel, office and residential properties, according to the statement.
MINING
Iron ore predicted to plunge
Iron ore could sink back below US$50 a tonne next year as global supply expands and demand moderates in China, according to Australia, the biggest exporter, which released its revised outlook just hours before the country’s largest port reported record shipments for last month. The raw material would average US$49.10 next year, 4.8 percent below a previous estimate, and hold near that level in 2019, the Australian Department of Industry, Innovation and Science estimated in a regular quarterly report on Friday. Prices are seen at US$62.40 this year, bolstered by demand from China’s steel sector before easing over the next two years, according to the forecaster. The department’s projections add to warnings from Goldman Sachs Group Inc and Citigroup Inc that increasing supply from low-cost miners would probably hurt prices.
The EU and US are nearing an agreement to coordinate on producing and securing critical minerals, part of a push to break reliance on Chinese supplies. The potential deal would create incentives, such as minimum prices, that could advantage non-Chinese suppliers, according to a draft of an “action plan” seen by Bloomberg. The EU and US would also cooperate on standards, investments and joint projects, as well as coordinate on any supply disruptions by countries like China. The two sides are additionally seeking other “like-minded partners” to join a multicountry accord to help create these new critical mineral supply chains, which feed into
For weeks now, the global tech industry has been waiting for a major artificial intelligence (AI) launch from DeepSeek (深度求索), seen as a benchmark for China’s progress in the fast-moving field. More than a year has passed since the start-up put Chinese AI on the map in early last year with a low-cost chatbot that performed at a similar level to US rivals. However, despite reports and rumors about its imminent release, DeepSeek’s next-generation “V4” model is nowhere in sight. Speculation is also swirling over the geopolitical implications of which computer chips were chosen to train and power the new
Elon Musk’s lieutenants have reached out to chip industry suppliers, including Applied Materials Inc, Tokyo Electron Ltd and Lam Research Corp, for his envisioned Terafab, early steps in an audacious and likely arduous attempt to break into the production of cutting-edge chips. Staff working for the joint venture between Tesla Inc and Space Exploration Technologies Corp (SpaceX) have sought price quotes and delivery times for an array of chipmaking gear, people familiar with the matter said. In past weeks, they’ve contacted makers of photomasks, substrates, etchers, depositors, cleaning devices, testers and other tools, according to the people, who asked not to
Japan approved ￥631.5 billion (US$3.97 billion) in additional subsidies to hasten Rapidus Corp’s entry into the high-stakes artificial intelligence (AI) chipmaking arena, ramping up support for a project widely regarded as a long shot. The capital is intended to bankroll Rapidus’ work for information technology firm Fujitsu Ltd, one of the initial customers that Tokyo hopes would get the signature endeavor off the ground. The new money raises the fees and investments that the government is injecting into the start-up to ￥2.6 trillion by the end of the current fiscal year to March next year, the Japanese Ministry of Economy, Trade and
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