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Acciona confirms that the contracts referred to in a Spanish corruption probe are not irregular.
The Spanish construction firm Acciona announced on Thursday that it found no evidence to support allegations of corruption in the public works contracts which are at the center of an investigation into the Socialist Party. According to Acciona's CEO Jose Manuel Entrecanales, the case involves a former Acciona employee who left in 2021. He contracted Servinabar 2000 as a partner for a joint venture with a company that is being investigated by the police over allegations of corruption. Acciona, according to him, has over 30,000 partners. Local media reported that Servinabar had denied any criminal activity. Servinabar could not be reached for comment. After a police report was published in the media, which included recordings of former members of Sanchez's inner circle discussing kickbacks for public infrastructure projects, Prime Minister Pedro Sanchez promised a complete overhaul of his political party. The contents of a leaked report have not been confirmed by the police, who has seen a scanned copy. Acciona's legal team said that it had not found any evidence of irregularities or bribery in the awarding process of the contracts cited in the report. The company said that no complaints had been made by other companies about the tenders held in different Spanish regions. Santos Cerdan, the third-ranked Socialist Party member, resigned last week after leaked recordings showed him discussing bribes in a meeting with the former Transport Minister Jose Luis Abalos. Both men have claimed innocence and said that the recordings may have been manipulated. At least three shareholders expressed concern about the investigation during Acciona’s annual meeting. However, Entrecanales stated that the probe would not impact the Spanish construction business of the company, which only accounts for 3% in its global construction business. Acciona said it has terminated contracts with Servinabar, and dismissed the head its construction department in Spain because he failed to supervise the former employee adequately. Corina Poins is the reporter. (Editing by Charlie Devereux, Mark Potter and Mark Potter.)
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Siemens Energy aims to produce US transformers by 2027 and can expand the factory
Senior executives from Siemens Energy said that the company expects to begin production in the United States of large industrial power transformers by 2027. The factory can be expanded if import tariffs and demand remain high. Siemens Energy generates more than a quarter of its revenue in the U.S., where around 12% its 100,000 employees work. It also runs several production facilities that produce everything from gas and wind turbines to components for electricity grids. Siemens Energy board member Tim Holt stated that more than 80% (of the so-called "large power transformers" or LPT) - components bus-sized needed to convert voltage for grid transmission – are imported into the United States. Holt added that there is enough room to expand further, if necessary, at Siemens Energy's site in Charlotte, North Carolina. The first local LPTs will be produced in the early 2027. The company anticipates that the outdated U.S. grid will require $2 trillion in investment by 2050. This is due to an increase in demand for power, fueled by data centres and artificial intelligence technologies. This time, we anticipate a longer boom period for grid expansion than usual. Holt, the U.S. Business Manager for Siemens Energy, told a company gathering that "the market is very optimistic right now". Maria Ferraro, Siemens Energy's chief finance officer, said that the group had a long-term outlook on the U.S. Market. This is at a moment when many firms are re-evaluating their presence in the U.S. after President Donald Trump’s trade war. "Do we alter our approach or tactic to the U.S.?" Ferraro replied: "I would say no because we have a strong base there, and it's a major market for us." Siemens Energy stated in May that it expected U.S. tariffs to reduce the group's net profit by less than 100 millions euros ($117million) in 2025. This was before Trump threatened 50% tariffs on EU products if an agreement could not be reached by July 9. Ferraro added that "any large change in tariffs would require a re-evaluation of our estimated impacts."
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Gulf shipping prices drop after Israel-Iran ceasefire
Sources in the shipping and insurance industries said that the cost of shipping to the Gulf has dropped over the last two days following the ceasefire between Israel and Iran. However, rates may rise if tensions continue to increase. Concerns were raised that Iran might close the Strait of Hormuz between Iran and Oman, through which 20% of the global oil and gas supply flows. There was also a fear that oil prices could rise to $100 per barrel. Supertankers that can transport 2 million barrels per day of oil saw their shipping rates more than double in the week prior to the ceasefire, reaching $60,000 per day. Freight data revealed that rates were around $50,000 per day on Thursday. In a note, Jefferies analyst Omar Nokta stated that "tanker rates have decreased following the ceasefire between Israel and Iran." After 12 days of fighting, Israel and Iran reached a ceasefire Tuesday. The Greek shipping ministry eased Thursday requirements for its merchants, no longer advising that they report their voyages through Hormuz. They said the situation appeared to have improved. Sources said that war risk insurance rates for Gulf shipments have dropped to 0.35-0.45% from Monday's peak of 0.5%. Sources said that this is a drop from recent levels of 0.3%. The cost of a 7-day cruise is determined by the value of the vessel. This means that the additional costs per day will be reduced by tens and thousands of dollars. David Smith, the head of marine at McGill and Partners Insurance Brokerage, said that rates have definitely lowered. "While war premiums remain significant, there are a number of war-risk insurers who want to offer capacity and underwrite risks. This in combination with an improved political climate is pushing rates down. The situation is still fluid. Ayatollah Ayatollah Khamenei, the Supreme Leader of Iran, said that Iran would strike American military bases throughout the Middle East in response to any future U.S. attacks. This was his first public statement since the ceasefire. Reporting by Jonathan Saul and Yannis Soulieotis, with additional reporting by Michael Jones from The Insurer. Editing by Ed Osmond.
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Britain rejects $34 billion subsea energy project between Morocco and the UK
The UK has rejected a Moroccan renewable energy project worth 25 billion pounds ($34.39billion) that would have used wind and solar power from the Sahara for up to 7 million UK households. The British government said that it believes domestic projects can offer greater economic benefits. Michael Shanks, minister of energy at the UK's Department of Energy, said in a written message to parliament that the government had concluded it was not in the UK's national interest to consider further support for the Morocco UK Power Project. The project, he said, did not align with the UK government's goal to develop home-grown energy. Xlinks’ Morocco-UK Power Project would have tapped Moroccan Renewable Energy via what would be the world's largest subsea cable. The plan included building 3,800 km (2,361 mi) of high voltage direct current submarine cables from Morocco to Southwest England. The company was seeking from the British government a contract for difference (also known as a minimum guaranteed price) for electricity provided. Dave Lewis, the former Tesco Chief Executive and chair of Xlinks, expressed his company's disappointment at the decision. He said that "over 100 million pounds ($137.38 millions) has been spent by leading players in the energy sector on project development and lenders are clamoring to be involved in the construction phase, which is more than we need," in an email statement. Lewis stated that "we are now working on unlocking the potential of this project and maximising its value for everyone in a new way." The project was originally designated as "national importance" by the Conservative government, but funding and regulatory obstacles were encountered. Early investors included Abu Dhabi's energy company TAQA as well as Total Energies and Octopus Energy. However, the company hasn't disclosed exactly what percentage each company owns.
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Lyft asks drivers to provide strategic input on robotaxi rollout
Lyft launched its first ever Driver Autonomous Forum, an initiative that aims to involve seasoned drivers as they begin to integrate robotaxis in its ride-hailing services. This move is in response to the continued disruption of the ride-hailing market by self-driving cars. Robotaxis promises increased efficiency and lower cost, but they also threaten gig workers whose income is based on platforms such as Lyft or Uber. Experts and analysts have warned that robotaxis, if not implemented in a phased manner and with caution, could result in the displacement of large sections of the workforce. Tesla has recently used a few self-driving Model Y vehicles as robotaxis to ferry paying passengers around Austin, Texas. The forum will bring together drivers at key points in the robotaxi expansion process to discuss policy, planning and future employment opportunities, such as fleet management and remote vehicle support. The first session will feature six to eight Atlanta drivers, and coincides with the launch of Lyft's autonomous rides with May Mobility in Atlanta this summer. Alphabet Waymo, Uber and other companies have made great strides towards the development of robotaxis. Waymo expanded its fully automated ride service to Phoenix and San Francisco. Uber has partnered up with several self driving technology companies in order to operate driverless cabs in certain markets. As the technology improves, Lyft anticipates that its ride-hailing fleet will be a hybrid between human drivers and roboticaxis. Jeremy Bird is executive vice president for Driver Experience at Lyft. "We're not claiming to have all of the answers, but are committed to finding solutions with you," he said. (Reporting by Akash Sriram in Bengaluru; Editing by Tasim Zahid)
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Virgin Australia's private equity boss believes that it can weather the Middle East volatility.
Mike Murphy, a Bain Capital partner, is confident that Virgin Australia will be able to withstand the travel disruptions caused by Middle East tensions as well as the volatility in oil prices. Bain, who bought Virgin for A$3.5billion ($2.3billion) including liabilities in 2020 raised A$685m when Australia's 2nd largest airline listed on the Australian Securities Exchange Tuesday. In the initial public offering, the private equity firm reduced its stake from 70% to 39.4%. Virgin's debut at the ASX was just hours after Qatar closed its airspace. The airline diverted two Qatar bound flights following the firing of Iranian missiles on a U.S. military base in the state. Virgin launched Doha flights in the first half of this month, under a leasing agreement with Qatar Airways. Qatar Airways owns 23 percent of Virgin. Murphy, speaking by phone, said that "our view on Middle East oil and Middle East issues is that we are pretty well situated geographically and strategically in terms of our domestic focus in order to be as assured as you can be in this sector." We're fully hedged in the short-to-medium term from an oil price volatility standpoint. Virgin announced in a filing to the stock exchange on Tuesday that it had hedged 98% its anticipated fuel consumption in Brent crude oil with a cap at $70 per barrel in the first half 2026. It hedged 86% at the same price for its fuel usage in the second half. A recent report by the Australian Competition and Consumer Commission revealed that Virgin had a 34.4% share of the domestic flight market in March, while Qantas held 37.5%. Murphy said that the decision to reduce Virgin's international routes under Bain ownership and focus on domestic flights had improved Virgin's profitability and balance sheet. Murphy stated that "Long haul international was never a part of business that made money"... the strategic decisions made by the company at that time resulted in an overstretched financial statement, with very low margins. Virgin shares closed Thursday at A$3.25, a 12% increase from the IPO of A$2.90. (1 Australian dollar = 1.5286 dollars) (Reporting and editing by David Evans; Scott Murdoch)
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Italy seizes $164 Million from Businessmen Allegedly Linked to the 'Ndrangheta Mafia
Tax police reported on Thursday that an Italian court confiscated assets worth more than 140 million euros ($164million) in Italy and Germany from five men in the oil distribution business who were accused of tax fraud. Guardia di Finanza (Gdf), in Reggio Calabria, said that five Italian businessmen "managed the distribution chain for oil products from warehouses to roadside retailers by interposing multiple companies with the goal of systematically evading tax." In a press release, the Gdf stated that the unnamed five were alleged to be linked to, and sometimes members of, the 'Ndrangheta, with the task to launder the profits of criminal activities through their businesses. A court in Reggio Calabria has seized 79 properties, 85 vehicles, and 28 wholesale petroleum companies, including three based in Germany. It also seized an estate, a farm, and four luxury watches, as well as a million euro in cash. The estimated total value of the assets seized exceeds 140 millions euros. The 'Ndrangheta is a mafia organization that originated in the poor region of Calabria. It has since spread to Europe and beyond, affecting so-called "white-collar" crime. In its annual report, the national anti-mafia (DIA) stated that Italy's Mafia has shifted away from turf wars and is now collaborating in drug trafficking rings, prostitution rings, and money laundering. Reporting by Emilio Parodi, Editing by Keith Weir.
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China signs first Argentine soybean deal despite US trade war threats
Chinese firms have ordered the first cargo of soymeal from Argentina since Beijing authorized Argentine imports for 2019. The Chinese animal feed industry is looking to diversify its supply options in order to minimize potential disruptions caused by the U.S. - China trade war. Four trade sources confirmed on Thursday that several Chinese feed manufacturers have signed a joint agreement to buy 30,000 metric tonnes of Argentine soybean meal for shipment in July. One Singapore-based trader from an international trading firm that sells soybeans in China said, "This is a test case." If it passes China's quarantine and inspection, we expect to do more business. Sources said that the cargo, which was purchased for $360 per ton based on CNF (cost plus freight), is expected to reach southern Guangdong Province in September. China is the largest consumer of animal feed, but it produces the majority of this raw material by crushing soybeans imported mainly from Brazil and the United States. Argentina is the top exporter of soybean oil and meal in the world. Due to the high tariffs that have been imposed in the ongoing trade dispute between Beijing and Washington, Chinese buyers are grabbing Brazilian soybeans while avoiding U.S. imports. The Singapore-based trader said that the Chinese feed manufacturers' purchase of Argentina was part of a move to secure supplies in case the trade war had a lasting effect on the imports of U.S. soya beans. Traders said that lower prices for Argentine meals compared to locally produced products also encouraged the move. China opened its soymeal market in 2019 following years of opposition that was motivated by a wish to protect the domestic crushing industry. At the time, market participants said that the U.S. - China trade war under President Donald Trump was the reason for the decision. According to Chinese customs, despite the approval, there had not been any purchases of bulk Argentine soybean meal until now. Customs data revealed that China imported around 30,000 tons (mainly from Denmark) of soymeal in 2024. (Reporting from Ella Cao, Beijing; Naveen Thkral, Singapore; Editing Joe Bavier).
EU prosecutors uncover criminal conspiracy involving Chinese imports through Greece
European prosecutors have discovered a criminal conspiracy involving fake documentation of Chinese imports into Europe via the Greek port of Piraeus. This scheme defrauded the authorities of approximately 700 million euros (820 million dollars) in lost VAT and customs revenue.
In a Thursday statement, the European Public Prosecutor's Office said that the investigation was conducted by 14 EU member countries, and included raids in Greece and Spain as well as France and Bulgaria.
During more than 100 searches of offices and other locations, on Wednesday, ten suspects including two customs agents were arrested.
In the Port of Piraeus law enforcement agents confiscated thousands of ebikes and scooters, along with 480 containers, for further inspection and verification. They also issued freezing orders to seize property, boats, and bank accounts.
In total, 5.8 million Euros in various currencies, including 4.75 millions euros in Greece, were seized. Also, several firearms and weapons were found in the homes of three suspects. The EPPO also reported that 11 properties were seized in Spain, along with 27 luxury vehicles and other items.
EPPO stated that the scheme involved a number of criminal networks, primarily controlled by Chinese nationals, who handled Chinese imports to the EU, distribution and sales as well as money-laundering and sending profits back home to China.
The EPPO stated that after the goods arrive from China in the EU - mainly via the port of Piraeus - they are misclassified or undervalued to evade the customs duties. They are then cleared by customs agents and sold to other companies in EU states using the scheme to avoid VAT payment.
The report added that criminal organisations are under investigation create false invoices and documents of transport to hide the true destination of goods. They also recruit a network sham firms that sell products at extremely competitive prices because VAT is not paid and customs duties, anti-dumping and other fees remain unpaid.
(source: Reuters)