Britain's Long Road to 2% Inflation Target

Bank of England economist Catherine Mann has stated that the UK still has a way to go to reach the 2% inflation target set by the Bank. Mann, who was one of two members of the Monetary Policy Committee to vote for a raise in interest rates last month, highlights the importance of addressing inflation risks. The current interest rate in the UK is predicted to be the highest since 2008 but has been maintained at 5.25% for the fourth consecutive time. Mann highlights the significance of the supply side for the UK economy. He expresses concerns that the tight labour market may have a long-term impact on inflationary pressures.

https://internasional.kontan.co.id/news/jalan-panjang-inggris-menuju-target-inflasi-2
 

Xiaomi will begin delivering its first electric car, the SU7, this month.

Xiaomi, the Chinese smartphone manufacturer, will begin delivering its first electric vehicle (EV), the Speed Ultra 7 (SU7) sedan, in China this month. The company announced that 59 of its stores across the country will take orders for the EV starting from March 28. The launch event will also reveal the pricing of the new vehicle. Xiaomi's CEO Lei Jun has announced the company's ambition to become one of the world's top five automakers. The electric vehicle (EV) is said to feature a 'super electric motor' technology that provides faster acceleration than Tesla and Porsche EVs. Analysts predict that Xiaomi's existing customer base, who are already familiar with the company's electronic devices, will be drawn to the car's operating system, which can be used in conjunction with Xiaomi's popular phones and other devices.

https://internasional.kontan.co.id/news/xiaomi-mulai-pengiriman-mobil-listrik-pertamanya-su7-pada-bulan-ini

Goodyear Plant in Malaysia to Close on June 30, 2024

Goodyear Tire & Rubber Co. will close one of its manufacturing plants in Malaysia on June 30 as part of its corporate restructuring program, Goodyear Forward. The program aims to reduce costs by $1 billion by 2025. The plant, located in the Shah Alam District of Selangor, has been operational since 1972 and the closure will affect over 500 employees. Goodyear has stated that it remains committed to treating its employees with care and respect. However, the company will continue to serve the Malaysian market by sourcing products from other manufacturers. The Malaysian government, along with Goodyear, is working to establish a support framework to assist affected workers, including upskilling and reskilling programs and facilitating job placements.

https://internasional.kontan.co.id/news/pabrik-goodyear-malaysia-akan-ditutup-pada-30-juni-2024

Doing Business in Brazil for Automakers

Toyota Motor Corp has recently announced plans to invest R$ 11 billion (equivalent to Rp 34.82 trillion) in Brazil. The investment will be carried out in two phases until 2030, with the aim of building factories that produce new vehicles specifically designed for Brazilian customers. This marks Toyota's first investment plan in Brazil, with more investments to be announced in the future. Furthermore, Stellantis, a significant automotive manufacturer, has announced its intention to invest R$ 30 billion (approximately Rp 94.95 trillion) between 2025 and 2030. Stellantis plans to launch 40 new car models and introduce hybrid-flex vehicles in Brazil. Toyota and Stellantis are among the latest automotive companies seeking to enter the Brazilian market, joining the likes of Volkswagen, General Motors, and Hyundai Motor, which also have plans to build factories in the country, mainly in Sao Paulo.’

https://internasional.kontan.co.id/news/adu-gesit-produsen-mobil-berbisnis-di-brasil