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Dolphin's storms disrupt Shanghai life as they flood the east of China
In the wake of Typhoon Dolphin, torrential rains and storms have hit?several provinces on the east coast, flooding the streets of Shanghai, China's second-most populous city. The typhoon Dolphin had sustained winds of 151 km/h at its center when it made landfall on Zhejiang province, south and west from Shanghai, before fading to a tropical cyclone. On Monday, the remaining rain clouds continued to soak eastern provinces such as Anhui Jiangsu Shandong. According to social media posts by residents, many streets in the suburbs of Jiading and Qingpu around Shanghai's central city remained waterlogged Monday morning. Live videos that were not verified by showed people wading in knee-high murky waters. State broadcaster CCTV reported that the typhoon caused 943 cancellations at Shanghai's airports, which reduced capacity by nearly 40%. A video on TikTok posted on Sunday shows that powerful winds and a slashing rain caused a truck to flip over in Zhejiang’s Wenzhou. The driver's fate is not known. Dolphin, the strongest typhoon in China this year is expected to move further inland into the central provinces Hubei and Henan over the next few days. It will also push moisture north. Beijing authorities issued warnings of torrential rainfall and stated that the city would activate its flood control response Tuesday morning. CCTV reported that the typhoon was three times more powerful than a normal typhoon and had travelled 3,728 miles (3,600 km) before it reached land. It also brought with it a 'ultra-large clouds system which enveloped China’s east. Dolphin's impact is also being compared with Doksuri, which occurred in 2022. This typhoon, which caused destruction in the southeastern Fujian Province and a record amount of rain in Beijing, crossed the country. CCTV reported that Beijing, Tianjin and Hebei would need to prepare for rains on Thursday as the storm clouds meet the colder air of the north. (Reporting and editing by Kate Mayberry, Liz Lee, Nicoco Chen, Shanghai and Beijing Newsrooms)
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FleetPartners Australia soars 8 1/2 years high after a steeper takeover bid
?Australia's FleetPartners has rejected SG Fleet Topco's A$760.3 million ($536.85 million) takeover bid and is weighing a higher offer from Canada's Element Fleet Management, sending its shares to an eight-and-a-half-year high on Monday. In recent years there have been a number of takeover bids on Australian listed companies, including those for the insurance broker Steadfast, Monash IVF, and asset manager Perpetual. Element offered A$3.80 a share as part of the 'indicative proposal. This valued FleetPartners around A$803m and represented a 9.5% increase over the last closing price. SG Fleet, on the other hand, had proposed A$3.60 a piece last Monday. FleetPartners, a Canadian fleet-management firm, has proposed to increase its cash offer up to A$4.001 if it is granted exclusivity for three weeks. FleetPartners stated that it would provide shareholders with an update on Element’s proposal at a later date. It added that it would continue to evaluate and engage other interested parties, such as SG Fleet. Kai Chen, Director at MPC Markets, said that the board of FleetPartners has left the door open for other parties, including SG Fleet. This keeps tensions high. This?has all the hallmarks of an actual two-horse-contested process, rather than a?one-and-done-bid --?the markets are pricing in the real chance that the winning price will end up above Element's A$4.00 current conditional?"level." FleetPartners shares jumped 13.3% to A$3.93 at 0428 GMT. This is their highest level since February 2018. FleetPartners stated that the proposal by?SG Fleet?Topco, backed up by Pacific 'Equity Partners was not in shareholders?best interest and did not reflect its long-term prospects. Reporting by Aamir Khalid in Bengaluru and Anjali Singh, with editing by Tom Hogue and Sherry Jacob Phillips.
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Manishi Raymondchaudhuri: ROI-China Shock 2.0 has reshuffled the winners and losers
China is exporting its way out of an internal slump, causing what many Western governments refer to as a "second China shock." This strategy may be causing trade wars overseas, but it also creates a whole new group of potential domestic beneficiaries. In recent months, the dichotomy of China's robust export sector and its flagging economy was on full display. China's export?growth was 24% on a year-over-year basis in July, and it posted a $113 Billion trade surplus. This follows similar figures in June. It is now on track to achieve another trillion-dollar surplus by 2026. It recorded a disappointing GDP growth of 4.3% in the second quarter and subdued sales growths of 0.6% in May and 1.3% June. This split is no accident, but reflects Beijing's policies. Over the past decade, China has been trying to dominate advanced manufacturing by gaining a large market share for products like electric vehicles (EVs), batteries, and solar cells. Western policymakers call this "China Shock 2", echoing a period in early 2000s when China's growth as a manufacturing exporter caused industries to be disrupted across Europe and America. Today, governments claim that a new wave subsidized Chinese green-tech and electric vehicle exports threatens industrial jobs and undercuts producers. Europe responded with a combination sectoral tariffs and more stringent cybersecurity regulations, as well as exhortations for China to appreciate its currency. Donald Trump, the president of the United States, has also increased tariffs. Beijing, meanwhile, has taken only modest steps to boost domestic consumption. This so-called anti-involution campaign, which aims to curb the price wars that are destroying domestic profitability, has met with limited success. Chinese companies were forced to adapt. In order to protect lucrative international revenue streams against?global fragmentation', companies are increasingly manufacturing in core consumer markets. This allows them to bypass trade barriers and build local support while also insulating supply chains from geopolitical disruptors. This is also not an organic change, but a part of Beijing's "Globalization Phase 3.0". This new road map creates the potential for winners and losers to emerge in the second largest economy of the world. National Champions Unsurprisingly, the firms that are best placed to benefit from China's policy changes are concentrated in sectors that dominate its export landscape. China will hold 65% of the global intellectual property in 2024, which includes firms involved in the EV/battery supply chain. BYD, Geely and CATL are the global leaders in EVs and batteries. They not only control large market shares but also have globally diverse manufacturing bases and supply chain. Midea, a consumer electronics giant, and Haier, a global manufacturer, both have fully integrated systems that combine localized R&D, manufacturing, and distribution in Southeast Asia and Latin America. Some of the other potential winners are companies that manufacture critical components for which there are few or no Western alternatives. Zhongji Innolight, Eoptolink and other companies produce optical transceivers which are heavily integrated into global AI hardware supply chains and data centers. The large production pipelines they have in Southeast Asia may help them to be protected from possible trade disputes with Western customers. Some of these companies could also be caught in the crossfire of the escalating conflicts. According to a report, the White House may consider a ban on U.S. exports of Chinese data centre components. YUAN PLAYS Beijing may allow its currency to appreciate in response to criticisms about its trade imbalances with Europe and the U.S., thus creating a new set of corporate "winners". As of August 7, the yuan had appreciated by 3.6% versus the dollar, and 5.5% versus the euro. Over the past decade, the yuan has depreciated by 6% against the euro, even though Europe's trade gap with mainland China more than doubled. The yuan's depreciation against the dollar has been a modest 2%, while the U.S. trade deficit with China grew by 10% in the same period. This dynamic shows how deep the undervaluation is. Companies with large euro-denominated liabilities would be the obvious beneficiaries of the yuan appreciating against the euro. Their liabilities will shrink as the yuan appreciates. This category includes large state-owned companies like Sinopec. A strengthening dollar would also benefit China's state-owned airlines, the "Big Three": Air China (China Southern), China Eastern and China Eastern Airlines. Their massive debts in dollars would be reduced to local currency. WATCH OUT FOR HEADWINDS Even the companies that are best positioned to thrive in this new environment will need to be aware of headwinds. One thing to note is that strong exports may not translate into high equity returns. In the first half of the year, BYD's overseas deliveries increased by more than 70% compared to the same period in last year. However, the stock price has fallen due to a fierce internal price war. Beijing's new policy could be hampered by exogenous shocks. The energy price shock caused by the U.S./Iran war has impacted Chinese airline stocks in a big way since February. Due to a shortage of global refining capacity, this conflict could cause jet fuel prices to remain high even if an interim agreement is reached. The first "China Shock" was a major turning point in the industrial world, triggering a new era of globalization. This time around, Chinese firms can't rely on increased cooperation and lower barriers to trade, but instead will likely face an environment characterized by fragmentation and conflict, as well as meaningful pushback from the world's major economic powers. You like this column? Open Interest (ROI) is your new essential source of global financial commentary. Follow ROI on LinkedIn and X. Listen to the Morning Bid podcast daily on Apple, Spotify or the app. Subscribe to the Morning Bid podcast and hear journalists discussing the latest news in finance and markets seven days a weeks. (Writing and editing by Margueritachoy and Anna Szymanski; ManishiRaychaudhuri)
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German shippers warn Rhine may be "split into two" by low water
The 'federal association of German inland saftey (BDB) warned on Monday that low water levels could halt cargo traffic this week along a critical stretch of the Rhine, effectively dividing the vital?waterway in two zones. BDB managing director Jens Schwanen said to the Rheinische Post that water levels at Germany’s Kaub gauge station, which is a major bottleneck in Rhine navigation, were forecast to fall into single digits, for the first time, due to a lack of rain. Kaub is located south of Koblenz, at the lowest point of the Middle Rhine. He said that commercial?shipping would no longer be able to transport goods into the?region with such low water levels. The same is true for cruise ships and day trips. He added: "In theory, the Rhine would then be unable to be navigable for its entire length. It is therefore split in two." Schwanen stated that shipping will continue between the ports in Amsterdam, Rotterdam, and Antwerp as well as the western German canal network and the northern part the German Rhine. Further south, traffic would take place on the Main, Moselle, and Neckar rivers and the Main-Danube Canal. This weekend, Germany's most populous state, North Rhine-Westphalia, as ?well as Lower Saxony, ?Rhineland-Palatinate and Saarland relaxed ?trucking curbs to ease transport bottlenecks caused by low water levels on rivers including the Rhine. (Writing and editing by Alison Williams; Dave Graham)
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Ukraine and Russia accuse one another of deadly attacks on Odesa port
Ukraine and Russia both accused the other of deadly attacks on Sunday. President Volodymyr Zelenskiy said that Moscow had targeted global food security when it struck Odesa's port. Three people were 'killed and wounded 37 times in the eastern Ukrainian city?Kharkiv?where an apartment block of multiple floors was struck, and authorities in Russias Belgorod reported that five people were killed and twenty-five wounded by a Ukrainian aerial attack. Zelenskiy claimed that a strike had damaged Odesa's port. Local authorities reported that dozens of drones, missiles and other weapons struck the southern seaside town injuring about a dozen people. Zelenskiy stated that "Russians are at war against the food security of the world in this manner." Odesa’s "seaports" are the main artery of Ukraine's agricultural exports. He also said that Russia hit nine other Ukrainian areas on Sunday. Russia bombarded Odesa to try and cut Ukraine off from Black Sea. "Everyone in Odesa knows that the most frequent target is the area around the port," said 67 year old?Ihor. His apartment narrowly avoided destruction. Ukraine has been attacking Russian oil tankers, cargo ships and other vessels in the Black Sea to disrupt Russia’s war-waging revenues. It claimed three more such attacks on Sunday. Both sides have launched an escalating campaign to undermine the logistics of the other. E-commerce warehouses and Ukrainian petrol stations were targeted heavily during the summer. Naftogaz, the state-owned oil and gas company of Ukraine, said that attacks on its facilities have increased in recent days. This includes overnight attacks on oil extraction equipment. Ukraine's Energy Ministry said that Russia had attacked power plants in the Odesa area, causing "significant" loss of electricity for residents of Odesa overnight. The company said that 90,000 customers had already regained power. The Russian Defence Ministry has said that it struck fuel storage facilities in Odesa, and Chornomorsk nearby. Pope Leo renewed his call for an end to the four-and-a half year war in the Vatican on Sunday. The pontiff told worshippers at Sunday's Angelus service that "Tragic incidents are multiplying and causing an increasing number of civilian victims including children." (Reporting and editing by Alexander Smith, Barbara Lewis and Max Hunder at the Kyiv and Moscow Bureau)
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Swiss Re warns of heatwave dangers as some parts of Germany relax trucking restrictions
The authorities failed to understand the'scale of risk' heatwaves pose to human life, according to the CEO of Swiss?Re, quoted on Sunday. This was as some German states relaxed trucking restrictions in order to reduce weather-related pressures on shipping. Europe, the continent that is warming up fastest, has seen thousands of deaths due to a record heatwave. Most of these deaths were people over 65 years old. France and Spain experienced particularly high temperatures over the past few weeks. Heat has also decreased water levels in major?rivers which have hampered shipping. This has prompted some German states to temporarily suspend curbs on truck traffic this weekend. Swiss Re CEO Andreas Berger said to the Swiss newspaper?NZZ am Sonntag that the risk of heatwaves, and their associated deaths, was understated. Berger added: "We must raise awareness about the dangers?arising? from this." Berger said that it is too early to determine the impact of excess mortality on the figures for Swiss Re, which was reported by the company in the first half 2026. Robert Koch Institute of Public Health estimated that there were approximately?11900 heat-related death in Germany in this year, mainly due to extreme temperatures late in June. North Rhine-Westphalia - Germany's largest?state - as well as Lower Saxony and Rhineland-Palatinate - as well as Saarland - lowered trucking curbs to help ease bottlenecks in transport caused by high water levels along rivers, including the Rhine. Low water levels are straining supply chains. That's why we're taking ?action and creating additional transport options by road at short notice," said Rhineland-Palatinate's state secretary for transport, Markus ?Wolf. Authorities said that the looser curbs for truck traffic on Sundays and Holidays will be in effect until August 31 and may remain in place through September in certain states. (Writing and reporting by Dave Graham, with additional reporting from Holger Hansen at Berlin; editing by Alexander Smith).
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Turkish officials claim that the passage of ships into the Black Sea is proceeding smoothly.
Two Turkish officials said on Sunday that ships are moving'smoothly' through the Turkish Straits to?the Black Sea, despite increased safety concerns. Bloomberg News reported on Saturday that Ankara has restricted commercial ship traffic into the Black Sea after attacks against vessels, including Turkish-owned vessels. The Turkish government has repeatedly warned Moscow and Kyiv about the attacks on ships in the Black Sea. It has urged the warring parties to take steps to ensure navigational security in the region. Hakan Fidan, the Turkish Foreign Minister said that Ankara has urged Moscow and Kyiv to declare a moratorium on attacks in the Black Sea. Officials who spoke under anonymity said that Turkey had taken some temporary measures to ensure its security, as it was very uncomfortable with the situation. However, this passage is clear in terms of the?Montreux Convention. The officials did not provide any further details. The Montreux Convention of 1936 on the Regime of the Straits grants Turkey "control" over the Bosphorus, Dardanelles and the right to regulate the transit of naval warships. The agreement also allows civilian ships to pass freely in peacetime, and restricts passage for vessels not from a Black Sea country. Turkey, with NATO's second largest army, has maintained friendly relations with Kyiv and Moscow ever since Russia's full-scale invasion of Ukraine 2022. It has refused to join Western sanction against Russia while also providing military assistance to Ukraine, including using its own stock. (Reporting and editing by Barbara Lewis; Tuvan Gumrukcu)
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Spain checks 200 Italian arrivals at the border after migration row
On the first day that border controls were reintroduced after a dispute with Italy over 'irregular migration,' Spain checked 200 passengers arriving from Italy at six of the largest airports in the country. Spain's Interior Ministry conducted checks on 199 passengers on 12 flights departing from Italy and arriving at airports in Madrid (Barcelona), Seville (Bilbao), Alicante, Valencia, and Alicante, the ministry said late on Saturday. Spain announced on Friday that border controls would continue to be in place for Italian flights and ships until September 7, after Rome implemented its own measures. Rome said the measures were motivated by a mass migration rush of 72,000 people into Spain's North African enclave, Ceuta. Italy suspended Schengen's borderless Schengen agreement with Spain on August 1, and has said that it will maintain border control until at least August 15 Rome stated that the measure will not affect Spanish or other EU nationals travelling to Italy, but instead would involve targeted checks of?non EU nationals arriving by sea or air from Spain. In an interview with the Italian newspaper Corriere della Sera published on Sunday, Foreign Minister Antonio Tajani said: "We hope to be able?to lift the suspension as soon as?there is no longer any risk." Schengen Area allows passport free?travel between 29 European?countries. However, member states may temporarily reinstate border controls for security or public order reasons.
Australian homicide investigations called off after the 'body' turned out to be a lifelike doll
The Australian Police have closed a homicide case that began when two members of the public found a suitcase dumped on the roadside in a remote area. They opened it and discovered what appeared to be the remains of a body.
Police said in a statement on Monday that forensic tests revealed the item was not a doll but a lifelike doll with clothing, hair, and a nose piercing.
The item had marks that looked like bruises and grazes, it stated.
Police officers were called to Oallen in a town located about 200 km (125 mi) south-west from?Sydney. They set up a crime scene, but didn't examine the contents.
Superintendent Linda Bradbury told reporters that the police "do not like to disturb remains a lot in situ, especially when we have faced bad weather as we did yesterday and again today."
She added that the item looked "very real in terms of looking like human remains". Reporting by Christine Chen, Sydney; Editing and proofreading by Edwina gibbs
(source: Reuters)