Home Business and Economics This Week In Business: Mining, Tariffs, and More

This Week In Business: Mining, Tariffs, and More


Mining Company Hit With $5BN Claim

After a dam collapsed back in 2015, the mining company BHP Billiton faces a staggering $5BN claim against them. The collapse, which occurred in Brazil, killed 19 people and displaced almost 700. It also released a flood of toxic water and mud. British law firm SPG, who represents the 200,000-odd claimants, claims the company “knew the risks” associated with the mine. In addition, the collapse contaminated both the Rio Doce rived and the Atlantic Ocean, just over 400 miles away.

However, BHP is rejecting all of the charges. A company spokesperson said that the company intends to defend itself later. This comes after they already settled a class action for the same issue against US investors. The company has also spent millions in compensation and remediation programs.

China Sends Best Negotiator To Avert Tariff Hike

Chinese Vice Premier Liu He will travel to the US for more trade talks on Wednesday and Thursday, Beijing announced Tuesday. This comes as a final attempt to prevent the US from raising tariffs on China. Many US officials accused China of reneging on the commitments they made during the trade talks. Because of this, President Trump introduced a new deadline to raise tariffs from 10% to 25% on Chinese goods.

In addition, the tumultuous talks between the two companies shook Wall Streets foundations. It caused major stock indexes to fall more than 1%. Both the treasury yields and oil prices fell as the trade talks generated new concerns about global growth.

Amazon Go Opens Store In New York

The new cashier-less stores created by Amazon finally hit New York. However, this one is a little different. As the 12th store of its kind opened by Amazon, it is the first one that accepts cash. Sitting on Brookfield Place, right in the heart of many office buildings, it will offer many grab-and-go meals, as well as Amazon’s own meal kits.

Reports suggest that Amazon has plans to open almost 3,000 of similar stores by 2021. However, it is unknown if the new stores will also be cashless.

Thomas Borgen Charged With Laundering

Ex-Danske Bank CEO Thomas Borgen was charged over his involvement in one of the worlds biggest money laundering schemes. Reports say almost $225BN dollars was pushed through Danske Banks Estonian branch between 2007 and 2015. The charges against Borgen were not specified. Neither Borgen not his lawyer responded to a request to comment.

Pepsi To Invest $4BN In Mexico

Pepsi announced plans to invest nearly $4BN in Mexico during 2019-2020, the company announced Monday. It also plans to create nearly 3,000 jobs with partner Grupo Gepp. The majority of the money will go to creating a new plant, which should be at full operating capacity by the end of 2025.