Selfridges tycoon’s property empire auctions off doormats in scramble for cash


Riya Makwana
Fri, 5 January 2024 

Rene Benko was ousted from Signa late last year - GEORG HOCHMUTH/APA/AFP via Getty Images

The troubled property empire founded by the Selfridges tycoon Rene Benko is auctioning off doormats and coat hangers in a bid to raise funds.

Assets owned by Signa are up for sale as it battles a cash crunch that forced the company into insolvency in November last year, with administrators also seeking €350m (£301m) from investors.

The request for cash was made in December, the Financial Times reported, as Signa’s administrator Erhard Grossnigg urged investors to provide money “quickly” to help tide the business over until April.

It comes as 465 Signa products were recently put up for sale online, including branded snow globes, office plants and dustbins. Some items costing as little as €3 have received bids of up to €500.

Signa snow globes are among auction items fetching hundreds of euros

Aurena, the Austrian company running the auction, said in an online listing: “Anyone who would like to secure a small share of the prestigious Signa properties can bid on elaborately designed project brochures, images or 3D building models from Park Hyatt Vienna.”

“Less glamorous items such as a Signa doormat, Signa clothes hangers or office supplies are also being auctioned.”

The collapse of Signa has left many firms facing steep losses, including a host of European banks that lent Mr Benko’s empire almost £7bn.

Bidding for Signa branded doormats is currently at €650

Among those most exposed is the Austrian bank Raiffeisen, which is thought to have lent Signa more than €750m, and the Swiss lender Julius Baer, which is reportedly on the hook for €640m. Italy’s Unicredit, Credit Suisse, and Germany’s Commerzbank are also believed to be facing heavy losses.

It emerged earlier this week Mr Benko also risks losing his luxury alpine villa after tax officials placed a claim against the property.

Mr Benko was ousted from Signa late last year.

The embattled property company had amassed some of the world’s most iconic properties, including the Chrysler Building in New York and Berlin’s KaDeWe luxury department store - some of which could be up for grabs in a looming fire sale.

Signa boomed in the era of cheap debt, although high interest rates and plummeting valuations pushed the company to the brink.

The business bought Selfridges in a £4bn deal in 2021 with Thailand’s Central Group.

However, the Thai retailer has since seized control of the British retailer after it became a majority shareholder in November last year.

Signa was contacted for comment.

McDonald’s: Middle East boycott over free meals for Israeli soldiers hits sales

Laura McGuire
Fri, 5 January 2024 

McDonald’s chief executive, Chris Kempczinski, has blamed “misinformation” surrounding the Israel-Gaza war for flattening sales in the Middle-East.

McDonald’s chief executive, Chris Kempczinski, has blamed “misinformation” surrounding the Israel-Gaza war for flattening sales in the Middle-East.

In a post on LinkedIn, the head of the fast food chain said calls for boycott have led to “meaningful business impact”.

Kempczinski, said: “Several markets in the Middle East and some outside the region are experiencing a meaningful business impact due to the war and associated misinformation that is affecting brands like McDonald’s.

“This is disheartening and ill-founded In every country where we operate, including in Muslim countries, McDonald’s is proudly represented by local owner operators who work tirelessly to serve and support their communities while employing thousands of their fellow citizens.”

The popular chain has been scrutinised by pro-Palestinian groups after it emerged that McDonald’s gave free meals to Israeli soldiers following the October 7th attack on the country by Hamas.

Franchises in Saudi Arabia and Oman also issued statements distancing themselves from their Israeli counterpart and pledged millions in aid of Gaza.

McDonald’s is one of a host of high street brands which has been targeted by protestors.

Starbucks was also forced to call for peace after its stores were vandalised.

Boss Laxman Narasimhan, said: “We see protestors influenced by misrepresentation on social media of what we stand for.”

“We have worked with local authorities to ensure our partners and customers are safe. Nothing is more important. Our stance is clear. We stand for humanity.”

Some $11bn (£10bn) has been wiped off the coffee outfit’s market value amid calls for a boycott.

McDonald’s chief says anti-Israel boycotts hitting sales

Jabed Ahmed
Fri, 5 January 2024

McDonald’s CEO said ‘our hearts remain with the communities and families impacted by the war in the Middle East’ (REUTERS)

The CEO of McDonald’s, Chris Kempczinski, has said the fast food chain was seeing a “meaningful” hit to business, as customers boycott the firm in the Middle East for its perceived support of Israel.

Mr Kempczinski said calls from pro-Palestinan groups to boycott McDonald’s are based on “misinformation”.

The fast food giant has been targeted by campaigners after posts on social media showed franchised stores in Israel giving free meals to Israeli military forces following the 7 October Hamas attack.

This move sparked grassroots calls for boycotts of the brand by those angered by Israel’s military response in Gaza, prompting owners in Muslim-majority countries such as Kuwait, Malaysia and Pakistan to release statements distancing themselves.

McDonald’s operates a franchising business model, which means it relies on thousands of independent businesses to own and operate most of its more than 40,000 stores globally, with about 5 per cent located in the Middle East.

The company has said it has no position on the conflict and is not responsible for the action of its franchisees, who pay the company a fee to use its brand and recipes.

Mr Kempczinski said in a LinkedIn blog post on Thursday: “Several markets in the Middle East and some outside the region are experiencing a meaningful business impact due to the war and associated misinformation that is affecting brands like McDonald’s.

“This is disheartening and ill-founded. In every country where we operate, including in Muslim countries, McDonald’s is proudly represented by local owner operators who work tirelessly to serve and support their communities while employing thousands of their fellow citizens.”

“Our hearts remain with the communities and families impacted by the war in the Middle East. We abhor violence of any kind and firmly stand against hate speech, and we will always proudly open our doors to everyone,” he added.

The post from the McDonald’s boss comes as tensions over the boycotts have escalated in recent days. The pro-Palestinian Boycott, Divestment and Sanctions (BDS), which had not formally targeted McDonald’s, this week officially called for a boycott of the brand.

Earlier this week, McDonald’s Malaysia sued the Malaysia BDS group for $1.3m (£1m), claiming “false and defamatory statements” had hurt its business, according to Reuters.

In response, BDS Malaysia said it "categorically denies" defaming the fast-food company.

“We cannot let this pass. Let’s show McDonald’s what grassroots boycotts can do,” the group said in a statement.

Mr Kempczinski is the second boss of a major global business to address the toll sparked by Israel-Gaza war tension. Last month, the Starbucks CEO, Laxman Narasimhan, said the company was the victim of “misrepresentation on social media of what we stand for”.

McDonald’s chief says Israel-Gaza ‘misinformation’ is hurting sales

Ayan Omar
Fri, 5 January 2024 

(PA Wire)

McDonald’s chief executive warned “misinformation” about the Israel-Gaza war is having “meaningful impact” on sales in the Middle East.

Chris Kempczinski said calls for boycott has affected the fast-food chain both in the Middle Eastern markets and “some outside of the region.”

Mr Kempczinski said: “Several markets in the Middle East and some outside the region are experiencing a meaningful business impact due to the war and associated misinformation that is affecting brands like McDonald's.”

"This is disheartening and ill-founded."

"In every country where we operate, including in Muslim countries, McDonald's is proudly represented by local owner operators,” he wrote in a blog post on LinkedIn.

The chain has been targeted by Pro-Palestine activists after McDonalds Israel said it had given thousands of free meals to the Israeli military following the October 7 Hamas attack.

The decision sparked outrage among those angered by Israel's military response in Gaza, with many calling for a boycott and protesting.

In October, protestors released mice painted in the colours of the Palestinian flag in a Birmingham branch of McDonald's.

McDonald’s franchises in Saudi Arabia, Oman, Kuwait, the United Arab Emirates, Jordan, Egypt, Bahrain and Turkey have distanced themselves from the move at the time and pledged aid to Gaza.

The Pro-Palestine organisation, Boycott, Divestment and Sanctions (BDS) included McDonalds in their targeted boycott list in November, which included organisations they believe “openly supported” the Israeli military.

This week they have officially called for a boycott of the chain after McDonalds in Malaysia, backed by a Saudi firm, sued the Malaysia BDS group for $1.3 million (£1 million) over “false and defamatory statements” they claim damaged their business.

In a statement the BDS group said McDonalds should end its “shameful franchise agreement” with Israel and accused McDonald's Malaysia and its Saudi owner of “desperately trying to silence voices of peaceful solidarity with the Palestinian liberation struggle in Malaysia.”

"We cannot let this pass. Let's show McDonald's what grassroots boycotts can do,” they added.

McDonald’s is among several other companies, including Starbucks and retail chain Zara to be hit with boycotts following the Israel-Hamas war.

Last month, Starbucks boss Laxman Narasimhan blamed “misinformation” of the company’s views for its low sales.

Fashion brand Zara was also forced pulled an ad following complaints that it contained pictures resembling images from the Israel-Hamas war.

Laser-powered spacecraft swarm to search for interstellar life


Sarah Knapton
Fri, 5 January 2024 a

An artist's impression shows the planet Proxima b orbiting the red dwarf star Proxima Centauri, the closest star to the Solar System - European Southern Observatory

A swarm of tiny spacecraft could travel through interstellar space to reach our nearest star beyond the Sun, under plans being funded by Nasa.

Florida-based Space Initiatives is proposing sending thousands of miniature probes to Proxima B, a potentially habitable planet in the Proxima Centauri star system which is nearly 4.3 light years (or 25 trillion miles) from Earth.

With current technology, it would take around 30,000 years to reach the system, but scientists believe the nano-craft could be fitted with tiny sails and pushed by laser beams.


Professor Stephen Hawking proposed a similar idea before his death, who suggested that a 100 gigawatt beam of light could accelerate the tiny craft to speeds of 100 million miles per hour.

It would cut the journey time to around 20 years, and once there, the swarm could sweep over Proxima B, looking for signs of alien life, or even civilisations.

The idea has been picked out for funding by Nasa’s Innovative Advanced Concepts (NIAC) programme which fosters pioneering ideas, and in the past, has led to developments like the Ingenuity helicopter, currently being flown on Mars.

Nasa’s Innovative Advanced Concepts programme has led to developments such as the Ingenuity helicopter, which currently being flown on Mars - Joel Kowsky/NASA

Thomas Eubanks, of Space Initiatives Inc, said: “Tiny gram-scale interstellar probes pushed by laser light are likely to be the only technology capable of reaching another star this century.

“We presuppose availability by mid-century of a laser beamer powerful enough to boost a few grams to relativistic speed, lasersails robust enough to survive launch, and terrestrial light buckets big enough to catch our optical signals.

“Then our proposed mission is to fly by our nearest neighbour, the potentially habitable world Proxima b, with a large autonomous swarm of 1000s of tiny probes.”

Although Voyager One has ventured outside the Solar System and is currently in interstellar space, no spaceship has ever reached another star system.

However, even if the swarm reached Proxima B and found signs of life, the huge distances mean it would take at least eight years for a signal to return to Earth.

The team hopes to begin testing swarms of laser-powered nanobots closer to home, such as around the Moon and in the Solar System.

Other projects selected for funding were an electric plane that could take off and land on Mars and a sample return mission to Venus using a solar aircraft.
‘NIAC inspires space-tech ideas’

Fauna Bio, a Californian company, has also been given a grant to study hibernating animals on board the International Space Station (ISS) to see if astronauts could be placed in torpor for long journeys without suffering health problems.

“The daring missions NASA undertakes for the benefit of humanity all begin as just an idea, and NIAC is responsible for inspiring many of those ideas,” said Jim Free, Nasa Associate Administrator.

“The Ingenuity helicopter flying on Mars and instruments on the MarCO deep space CubeSats can trace their lineage back to NIAC, proving there is a path from creative idea to mission success.

“And, while not all these concepts will fly, NASA and our partners worldwide can learn from fresh approaches and may eventually use technologies advanced by NIAC.”

Deforestation in Brazilian Amazon halved in 2023

AFP
Fri, 5 January 2024 

Burnt trees are seen after illegal fires were lit by farmers in Manaquiri, Amazonas state in September 2023 (MICHAEL DANTAS)

Deforestation in the Brazilian Amazon fell by half last year, according to figures released Friday, as President Luiz Inacio Lula da Silva's government bolstered environmental policing to crack down on surging destruction.

However, the news was far less bright from the crucial Cerrado savanna below the rainforest, where clear-cutting hit a new annual record last year, rising by 43 percent from 2022, according to the national space research agency's DETER surveillance program.

Satellite monitoring detected 5,152 square kilometers (nearly 2,000 square miles) of forest cover destroyed in the Brazilian Amazon last year, down 50 percent from 2022.

That still represented a loss 29 times the size of Washington DC in Brazil's share of the world's biggest rainforest, whose carbon-absorbing trees play a vital role in curbing climate change.

Meanwhile, the Cerrado, a biodiversity hotspot whose ecosystems are intricately linked with the Amazon's, lost over 7,800 square kilometers of native vegetation last year, the highest since monitoring began in 2018.

"We saw some important victories on the environment in 2023. The significant reduction in deforestation in the Amazon was a highlight," said Mariana Napolitano of environmental group WWF-Brasil.

"But unfortunately we aren't seeing the same trend in the Cerrado... That is harming the biome and the extremely important ecosystem services it provides. And we saw the impact at the end of the year, with extremely high temperatures."

Environmental groups have accused the Lula government of turning a blind eye to the destruction of the lesser-known Cerrado to appease the powerful agribusiness lobby.

The figures for both the Amazon and Cerrado were updated through December 29.

Taken together, the total area razed in the two regions was 12,980 square kilometers in 2023, down 18 percent from 2022.

After beating far-right incumbent Jair Bolsonaro in a divisive election in 2022, veteran leftist Lula returned to office on January 1, 2023, vowing "Brazil is back" as a partner in the fight against climate change.

Agribusiness ally Bolsonaro (2019-2022) had drawn international criticism for presiding over a 75-percent increase in average annual deforestation in the Brazilian Amazon versus the previous decade.

Experts say the destruction in both the Amazon and Cerrado is driven mainly by farming and cattle ranching in Brazil, the world's top exporter of soybeans and beef.

jhb/md

Greece revives 2,300 year-old palace where Alexander The Great was crowned


AFP
Fri, 5 January 2024

The ancient palace of Macedonian King Philip II and site of Alexander the Great's coronation was inaugurated by Greek officials Friday after a 16-year restoration (Sakis MITROLIDIS)

An ancient palace where Alexander The Great was crowned King of Macedonia will reopen to the public on Sunday after a 16-year 20 million euro renovation aiming to restore its past glory.

At a ceremony on Friday, Greek Prime Minister Kyriakos Mitsotakis called the Palace of Aigai a "monument of global importance."

The 4th century BC site spreads over 15,000 square meters was one of the most important in classical Greece alongside the Parthenon in Athens.


Aigai was capital of the Macedonian kingdom, the dominant military power of the time, and archeologists say the palace was the kingdom's spiritual centre.

Built by Philip II, the father of Alexander the Great, the tombs of Philip and other Macedonian kings are nearby.

After the assassination of his father, Alexander was crowned at the palace in 336 BC before launching a military campaign that created an empire stretching into modern-day India.

The palace "has a cultural and national character, because it confirms the Greek identity of Macedonia throughout the centuries," Mitsotakis said.

The site includes the royal palace and a colonnade that surrounded the palace and the agora, where ancient Macedonians debated important matters.

It was in the courtyard, with an 8,000 capacity, that Alexander was proclaimed king.

The Romans destroyed the palace in 148 BC. Excavations to uncover the site started in 1865 and continued into the 20th century.

The restoration project began in 2007 with help from the European Union.

Situated near the modern day Greek village of Vergina, the palace and the nearby tombs are listed as a World Heritage Site by UNESCO.

Greece has boosted investment in its many antique sites which have become an important source of tourist revenue.

For the past three decades, it has been demanding the return of sculptures taken from the Parthenon that are in the British Museum, saying they were looted in the 19th century when Greece was under Ottoman rule.

mr-hec/yap/gv/pvh

BMA allows one junior doctor to cross picket line after hospital request


Michael Searles
Fri, 5 January 2024 

The British Medical Association has allowed one junior doctor to work in neonatal care for a single shift on Friday - Andy Rain/Shutterstock

A single striking junior doctor has been allowed to cross the picket line after around 30 requests by NHS medical directors were turned down.

The British Medical Association (BMA) said it had allowed one junior doctor to work in neonatal care for a single shift on Friday Jan 5, after University Hospital Lewisham, in south-east London, put in its second request for help to the union in two days.

Under strike protocols, hospital trusts can ask unions to allow doctors to return to work and cover shifts if patient safety is compromised. However, all other known requests have so far been rejected by the BMA.


Health authorities were also privately bracing for an increase in vulnerable patients arriving at hospitals this weekend, with cold weather alerts across England and temperatures set to plummet to sub-zero in some parts of the country.

The UK Health Security Agency has issued a yellow alert for cold weather across the whole of England, coming into effect on Saturday morning and lasting until Tuesday.

The health agency said the elderly, very young and other vulnerable people were “likely to struggle to cope in these conditions” and warned of an increase in hospital admissions and risk of death during the cold snap.

A surge in winter viruses ahead of the strikes resulted in more than 5,000 patients in hospital with Covid or flu as of the start of the week, according to NHS data published today.

“We have granted a derogation for one junior doctor for the neonatal unit at University Hospital Lewisham for the day shift on 5th January,” the BMA confirmed. “The trust has informed us that alternative sources of staffing have been exhausted. Our priority is patient safety.”

A spokesman for the trust said it would “do what is necessary to keep our hospitals safe” and was “pleased this had been recognised”.

But every other request to the union to allow junior doctors to return to work has been refused, with some hospitals having more than one plea turned down. Senior NHS sources said around 30 requests have been submitted as pressures mount.

Great Western Hospitals Foundation Trust, which declared an “internal incident” even before strikes were under way, was among the trusts making pleas for junior doctors to be allowed to cross the picket line.

The trust, in Swindon, Wiltshire, requested that junior doctors be allowed to work in surgery and in its outpatients’ appointments departments, in order to deal with the most urgent cases. Both requests were rejected.

A spokesman said the trust was focusing all efforts on generating bed capacity and maintaining safe staffing amid “extremely high demand for our services”.

Guy’s and St Thomas’ NHS Foundation trust in London is also understood to be among those to have had requests rejected. Other hospitals have issued pleas for the public to help “free up beds” by collecting relatives who can safely go home.

Junior doctors on a picket line at St Thomas’ Hospital, central London - Justin Tallis/AFP

South Warwickshire NHS Trust and Wrightington, Wigan and Leigh NHS Foundation Trust were among those asking for relatives to take loved ones home, and were among the four hospitals in England at full capacity ahead of the strikes.

University Hospitals Plymouth NHS Trust, which asked family members to “collect relatives who are ready to go home to free up beds” on Thursday, declared a critical incident on Friday afternoon and urged the public to only seek help with a life-threatening emergency.

The head of the trust was among those hauled in by Victoria Atkins, the Health Secretary, just before Christmas when average delays for ambulances outside A&E had reached five hours.

A row over safety protocols broke out on Wednesday night with the BMA claiming hospital medical directors and NHS officials were bowing to “political pressures” to undermine the strikes without evidence to justify their appeals.

But senior officials at NHS England responded on Thursday by setting out steps to strengthen safety protocols and log evidence of all harm occurring when such requests are rejected.

Hospitals have been told to specifically record all safety incidents during strikes “so that we can evidence harm and near misses that might have been avoided”.

Rebels take key Myanmar city after government troops lay down weapons

Sky News
Updated Fri, 5 January 2024 


An alliance of rebel groups in Myanmar has taken control of a key city in the north of the country after government forces reportedly laid down their weapons and withdrew.

The Three Brotherhood Alliance took control of the city of Laukkaing, located on the border with China, late on Thursday.

Around 1,000 government troops put down their arms and were allowed to leave, according to local people and independent media accounts.


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It is the latest success for the alliance and the biggest in a series of defeats suffered by the government since rebels launched an offensive in October.

The alliance is made up of the Myanmar National Democratic Alliance Army (MNDAA), the Ta'ang National Liberation Army and the Arakan Army.

It is one of the threats faced by Myanmar's military government which is fighting pro-democracy guerrillas and other ethnic minority armed groups across the country.

Armed ethnic groups have fought for greater autonomy on and off for decades, but the country has been in quasi-civil war since the army seized power in February 2021 from the elected government of Aung San Suu Kyi, sparking nationwide armed resistance by pro-democracy forces.

When the alliance launched its offensive, it said it had two purposes - to rid the country of both military rule, or what it called "dictatorship" and destroy the large-scale cyber scam operations run by local warlords, with Chinese backing, especially in Laukkaing.

China has publicly sought to eradicate the criminal industry and tens of thousands of people involved have been repatriated to China in recent weeks.

On Thursday, the regional military command headquarters based in Laukkaing, which had been under virtual siege for months, gave up.

Most of the seven army battalions believed to have been under its command, had collapsed in fighting in recent weeks.

A Laukkaing resident who lives nearby told The Associated Press the headquarters had fallen into MNDAA hands after the soldiers stationed there laid down their weapons.

Speaking on the condition of anonymity, he said its soldiers in the city had already surrendered and been allowed to leave the city on military trucks since Thursday evening.

Independent online Myanmar news outlets, including Khit Thit Media and Myanmar Now, reported similar details.

Laukkaing is the capital of Kokang Self-Administered Zone, geographically part of northern Shan state.

The MNDAA is a military force of the Kokang minority, who are ethnic Chinese.

Peng Deren, the MNDAA commander, said in a New Year's speech published by The Kokang, an affiliated online media site, that the alliance had seized more than 250 military targets, five border crossings with China and arrested about 1,000 prisoners of war.

He said more than 300 cyber scam centres were raided and more than 40,000 Chinese involved in cyber crimes were repatriated to their country.

COMMODITY FETISH
Rare 70s Star Wars Jawa figurine expected to fetch at least £15,000 at auction

Sky News
Fri, 5 January 2024 



A rare Star Wars figurine dating back to the 70s is expected to fetch at least £15,000 after its owner found it in his loft.

The model is a 1978 Jawa designed by the now-defunct British toy company Palitoy, which used to make Action Man, Pippa doll and Merlin products.

It was found by the owner, who has remained anonymous, as he was unpacking various film memorabilia stored around his house.


The owner was Marvel UK's art director in the 70s and received a host of gifts from Palitoy during the promotion of Star Wars in Marvel's comics.

There are only 10 to 15 figurines of this kind to be documented, and this one is more special as it is in "exceptional condition" and decorated with the original vinyl cape - later substituted with a cloth cape not long into production.

The owner previously came across another Jawa figure which sold at auction for £26,670 smashing its auction estimate of £10,000 - £15,000.

This Jawa carries the same estimate but is expected to exceed that sum again.

Jonathan Torode, Excalibur's Auctioneer said they were "thrilled" to be part of the sale of one of the rarest Star Wars figures.

Owing to the success of the last original figure, he said people all over the world searched to find one in their homes but he never expected another to come from the same source.

Read more:
Star Wars X-Wing fighter 'missing for decades' sold for $3m
Disney loses copyright of early version of Mickey Mouse

Mr Torode added: "I feel utterly spoilt being able to handle another such rare part of Star Wars toy history."

With their cloaked faces, the Jawas' identities remain hidden, but they are renowned scavengers who scour the deserts of Tatooine for scraps to sell to the local residents.

They notoriously kidnapped the loveable droid R2-D2 in the 1977 Star Wars movie, A New Hope.

Enthusiasts will get a chance to bid for the figurine on 27 January at Excalibur Auctions.

Global maritime trade sails into geopolitical storm

Antoine GUY
Fri, 5 January 2024

A number of factors have been pushing up shipping costs, including traffic backing up at the Panama Canal due to low water levels (Luis ACOSTA)

International maritime trade has hit stormy waters as attacks by Yemen's Huthi rebels on ships in the Red Sea has reduced the availability of ships, causing freight rates to surge.

Most large international shipping companies have decided to reroute trading to avoid the Red Sea and Suez Canal through which 12 percent of world trade usually passes.

The Huthis say the strikes are in solidarity with Palestinians in war-ravaged Gaza, which Israel has bombarded relentlessly for three months, in what it says is a campaign to destroy militant group Hamas.


Danish shipping giant Maersk said Friday that it would divert all vessels around Africa instead of using the Red Sea and Suez Canal for the "foreseeable future" after Yemeni rebels attacked its merchant ships.

Vessels are circumnavigating Africa via the Cape of Good Hope, which extends the journey between Asia and Europe by 10 to 20 days on average, according to Arthur Barillas, general manager of Ovrsea, a freight organiser.

Shipping companies have already announced significant price increases to cover the costs associated with the detour.

French shipping group CMA CGM has doubled the price of a 40-foot container between Asia and the Mediterranean to $6,000.

Italian-Swiss peer and sector leader MSC has hiked its prices to $5,900 from $2,900 for the same offering.

The United States says there have been more than 20 Red Sea attacks by Huthi rebels since October 19.

- Chinese New Year -

The industry is suffering from a shortage of containers in Asia owing to longer journey times, causing a headache ahead of the Chinese New Year next month.

"There is a real influx (of goods) from Asia," said Barillas.

In the runup to the Chinese New Year on February 10, "all the ships are full", causing freight rates to rise, he added.

Customers are rushing to have their goods shipped before the celebrations bring China, the world's biggest exporter, to a week-long standstill.

A benchmark indicator for measuring the freight tariff rate of goods transported from China -- the Shanghai Containerized Freight Index -- has almost doubled in a few weeks.

Such a sudden increase is reminiscent of what occurred during the Covid pandemic, when freight rates reached unprecedented heights on disruptions to supply chains.

"Many people, they focus on the spot rate. And yes, it has doubled. And, of course, it speaks about how desperate the situation is," Niels Rasmussen, chief shipping analyst at BIMCO, told AFP.

He added, however, that some shippers would have negotiated better deals.

"If you look at the average rate for everything out of China through most of Europe and the Mediterranean, the increase is 15 percent to 20 percent," said Rasmussen.

- Taiwan elections -

Attacks in the Red Sea are not the only ones disrupting international trade. The worst drought in decades to hit the Panama Canal has forced authorities to slow transits.

A potential further hazard could be the outcome of presidential elections in Taiwan due January 13, should it lead to another crisis with China, according to analysts.

However, "even with the threat of some congestion and equipment shortages, carriers are much better-positioned to accommodate operationally for these diversions when compared to the disruptions seen during the pandemic", Israeli freight reservation and payment platform, Freightos, said in a weekly note to clients.

Shipping companies have used recent huge profits to order hundreds of new ships which are beginning to be delivered.

agu-emb/bcp/rl

Tesla slashes electric car range amid claims it exaggerated mileage

James Titcomb
Fri, 5 January 2024 

Tesla says it has received legal requests from the Department of Justice over issues including vehicle range

Tesla has cut back claims about how far its electric cars can travel as it faces scrutiny from the US government.

Elon Musk’s company has reduced the estimated range of several cars on its US website by as much as 37 miles.

Tesla, which was this week overtaken by China’s BYD as the world’s best-selling electric car manufacturer, did not give a reason for the adjustment.


However, the US Department of Justice has been investigating Tesla’s range claims amid concerns they may be exaggerated.

Tesla updated its website to say that its Model Y Performance vehicle has a range of 285 miles, down from its previous 303-mile claim. Meanwhile, the Long Range model has been cut from 330 miles to 310.

One version of its luxury Model S car has seen its estimated range reduced from 396 miles to 359 miles.

In October, Tesla said it had received legal requests from the Department of Justice over issues including vehicle range.

Tesla did not publicly say why it had changed the range estimates. According to internal company documents reviewed by the Drive Tesla website, the changes are in response to new testing conditions from US regulators, and “comfort and functionality improvements” that require more energy from the battery.

Tesla has faced questions over its cars’ ranges, a key selling point for electric vehicles as their manufacturers seek to avoid the “range anxiety” that deters many drivers.

An investigation by the Reuters news agency last year claimed that Tesla often exaggerated ranges to attract drivers, while the US organisation Consumer Reports found that Tesla cars were among those whose ranges fell short of what was claimed.

Tesla owners have sued the company in the US over false advertising related to the range claims. The company has responded to the lawsuits, calling the Reuters investigation “error-ridden” and the lawsuits “legally untenable”.

Tesla has not reduced its range claims in other countries, such as the UK, which uses a different testing regime.

Separately, Tesla was forced to issue a recall to 1.6m cars in China to fix its Autopilot system, which steers and accelerates automatically.

A regulator in China said Tesla would make the changes through a software update issued to the vehicles. It covers almost every Tesla vehicle sold in China since 2014.

It comes the month after Tesla was forced to update its Autopilot system to more than 2m cars in the US. The company has not been required to make any changes in the UK.

Regulators have launched investigations into Autopilot after dozens of crashes, some of them fatal, in which the technology was activated.

The system warns drivers that they should have their hands on the wheel and pay attention to the road when it is activated, but Mr Musk has been criticised for over-stating the cars’ ability to drive themselves.

This week, China’s BYD surpassed Tesla as the world’s best-selling electric car maker, after selling 526,409 cars in the fourth quarter of 2023 against Tesla’s 484,507.