Latest news with #USInflationReductionAct
Yahoo
19-05-2025
- Business
- Yahoo
Analysis: Cyril Ramaphosa's Washington Test
When President Cyril Ramaphosa walks into the White House this week, he does so with the ghost of Volodymyr Zelensky behind him — a reminder of how Trump uses power to dominate, not negotiate. 'You have no cards,' Trump famously barked at Zelensky. Ramaphosa, it must be said, does have some cards — though Trump has more than him. This meeting is being framed as a diplomatic reset. But those familiar with Trump's foreign policy playbook know that 'reset' often means 'submit.' The White House has a bee in its bonnet over South Africa's positions on Israel, BRICS, and what it views as 'anti-West' posturing. The genocide case against Israel at the ICJ has enraged Washington. Trump's counter? Embrace fringe claims of persecution against Afrikaners — muddying the waters by mirroring the ICJ language. Yet South Africa is not without leverage. Despite domestic volatility, it holds the keys to part of the 21st-century global economy: minerals. It controls over 80% of global platinum reserves and ranks among the top producers of vanadium and manganese — all essential to battery technology, defence systems, and the green energy transition. The US Inflation Reduction Act and CHIPS Act make clear that mineral supply chains are now a matter of national security. And South Africa, quite literally, is sitting on the motherlode. In return for recognition as a strategic partner, Pretoria may offer a trade deal modeled on the UK-US framework, with reciprocal tariffs around 10%. That would quietly acknowledge that AGOA — the duty-free agreement once seen as a cornerstone of US-SA ties — is effectively over. Moving from preferential access to bilateral parity signals a shift from supplicant to equal. But it comes at a price: South African exporters lose competitive edge, and Washington knows it. This may not be the end, but the beginning of a longer diplomatic dance. South Africa wants Trump to attend the G20 Heads of State Summit in Johannesburg this November, ideally with a state visit. That platform offers space for symbolism, trade deals, and strategic theatre — if this week sets the tone. But for progress, South Africa must be understood — not caricatured. There is no genocide against Afrikaners. The ICJ case is not an attack on the West, but a defence of international legal norms. Pretoria may lower the volume, but it can't walk away now. The case has advanced too far to retreat without looking weak. Meanwhile, Trump's allies are circling. Elon Musk's Starlink wants market access without BEE compliance or social investment obligations — a pressure point that will test South Africa's regulatory sovereignty and political resolve. Ramaphosa has leverage — minerals, legal capital, and moral voice. If he uses them well, this could be a moment of strategic affirmation. If not, he risks leaving Washington with the optics of diplomacy — and a deal already written in Washington ink.
Morocco World
16-05-2025
- Business
- Morocco World
China's Backdoor: How Morocco Became Key in the Battery Trade War
Doha – Morocco has become a prime destination for large-scale Chinese investments in electric vehicle battery production, raising questions about whether this represents a genuine opportunity for industrialization or simply makes the country a pawn in the geopolitical rivalry between China and the West. In a paper published Wednesday by the Transnational Institute (TNI), Moroccan researcher Ali Amouzai examines how Morocco has positioned itself amid the global competition for strategic minerals essential to the green energy transition, particularly those used in electric vehicle batteries. 'Morocco has become a prime destination for large-scale investments in the refining of strategic and critical minerals that are used in the production of electric vehicle batteries, with Chinese companies taking the lead in this regard,' Amouzai writes in the paper titled 'Critical Raw Minerals in Morocco: An opportunity for industrialisation or a geopolitical battlefield between China and the West?' The analysis comes as several major Chinese battery manufacturers have announced investments totaling billions of dollars in Morocco. In September 2023, CNGR announced a $2 billion plan to build what it called a 'base in the world and pan-Atlantic region' in Jorf Lasfar, in a joint venture with the Moroccan royal family's investment group Al Mada. In June of the same year, Chinese-German battery maker Gotion High-Tech signed a deal with Morocco for a $6.4 billion investment to build Africa's first electric vehicle battery factory in BouKnadel, near Rabat, which is expected to have an annual production capacity of about 100 gigawatt-hours of electric vehicle batteries. Additionally, in March 2024, the Moroccan Ministry of Economy and Finance signed an investment agreement with China's BTR New Material Group, worth more than $3 billion, to build a new battery factory in the industrial zone of Tangier Automotive City. China's strategic workaround Amouzai explains that these investments are part of China's strategy to circumvent trade restrictions. 'The US–China trade war and the resulting geopolitical tensions, especially after Joe Biden's announcement of the Inflation Reduction Act, have left China in need of countries with open access to the US market, which means countries that have a free trade agreement with the US,' he notes. Morocco, with its free trade agreement with the United States, provides Chinese manufacturers a way to qualify for subsidies of up to $7,500 under the US Inflation Reduction Act. This represents what industry experts call 'friends-shoring' – sourcing minerals from mines and supply chains developed in countries with free trade agreements. The paper points out that Morocco ranks ninth globally in cobalt production and eleventh in cobalt reserves, making it Africa's second-largest producer after the Democratic Republic of Congo. The country also holds 70% of the world's phosphate reserves, which are used in cheaper electric vehicle batteries. Beyond the promised benefits While the Moroccan government has promoted these investments as transformative for the country's economy and industrial development, Amouzai questions the actual benefits. Then-Investment Minister Jazouli announced that Gotion High-Tech would create 30,000 jobs over 10 years, but the researcher argues these figures may be overstated. 'Permanent employment is one of the conditions for a fair green transition, but Morocco's experience thus far has shown that recent job creation in the country has largely been based on outsourcing/subcontracting,' Amouzai states. 'The jobs that are created are precarious, under flexible labour laws that were first introduced 20 years ago.' The researcher clarified that most major projects, such as renewable energy plants, are capital-intensive and mainly offer job opportunities during the construction phase. 'Once these stages are completed, most of these positions vanish, leaving behind only a limited number of high-skilled jobs,' he explains. Dependency and strategic position The paper argues that Morocco's strategy of embedding itself within global capital networks and exploiting rivalries between major powers will merely improve its position within the existing international division of labor rather than achieve true industrialization. 'Morocco remains a very small economy, ranking sixth in Africa in terms of GDP, behind Ethiopia, Algeria, South Africa, Nigeria and Egypt. Moreover, its productive economy is predominantly based on agriculture and the extraction of raw materials,' Amouzai explains, contextualizing the country's economic limitations. He challenges the notion that these investments will lead to technological transfer and industrial sovereignty. According to the researcher, Morocco's dependence on imperial centers is reflected in 'the tiresome repetition of the word 'sovereignty' in recent state documents: 'economic sovereignty', 'energy sovereignty', 'food sovereignty', etc.' The analysis highlights a fundamental contradiction in Morocco's approach. 'The state (and large capital) relies on foreign investments to overcome the second and third obstacles,' Amouzai writes. Meanwhile, 'the first obstacle (Morocco's political economy) is accepted by large Moroccan and foreign capital and international financial institutions, as the monarchy is the guarantor of political stability and social peace in a country located in a tense region,' he adds. He points out that 'Morocco's large (globalised) capital, which relies on the monarchy, has already a guaranteed share in the investments in critical and strategic minerals, and thus it has no interest in imposing conditions on them (e.g. technology transfer) that could yield increased industrialisation.' Environmental concerns Amouzai also questions the environmental credentials of these investments, arguing that the primary objective of Moroccan capital and the state in adopting green discourse is 'to obtain internationally pledged green funds, to signal its adaptation to the transformations taking place in its northern neighbour (especially after the EU's adoption of CBAM).' He adds that another key motive is 'to avoid any obstacles that may hinder Moroccan companies' ability to enter the European market.' The analysis suggests that Chinese companies have chosen Morocco partly to avoid stricter environmental regulations in Europe. As quoted in the report, Thorsten Lahrs, CEO of CNGR Europe, declared that obtaining environmental permits in Europe would take 'several years,' involving court proceedings and appeals, while in Morocco, '[CNGR Europe has] made significant progress in a month.' The paper concludes with recommendations for a green industrialization policy based on local demand rather than the prevailing export-based strategy. It calls for public industrial programs, a focus on domestic energy needs, urban planning changes, and greater Maghreb-wide cooperation. 'Energy (regardless of the source of that energy) can contribute to building a greener and more socially just future for Morocco, but energy is not independent of the world's economic structure, its social framework, its state institutions, and the various forms of oppression that permeate them,' Amouzai concludes. Tags: chinese investments in MoroccoUS-China trade war
Yahoo
01-05-2025
- Business
- Yahoo
First Atlantic Nickel Featured in Article Highlighting Hydrogen Potential of Newfoundland and Labrador Nickel Deposits
VANCOUVER, British Columbia, May 01, 2025 (GLOBE NEWSWIRE) -- First Atlantic Nickel Corp. (TSXV: FAN) (OTCQB: FANCF) (FSE: P21) ("First Atlantic" or the "Company") a Canadian mineral exploration company focused on developing its 100%-owned Atlantic Nickel Project, a large-scale nickel project strategically located near existing infrastructure in central Newfoundland, Canada, is pleased to be featured in a recent article published by the Telegram, which explores the province's emerging role in the global hydrogen economy. The article, titled 'Two-pronged cache: Mining company excited about hydrogen potential in NL nickel deposits', published on April 30, 2025, explores how Newfoundland and Labrador's rich nickel resources could contribute meaningfully to the global transition to clean energy, particularly through the production of green hydrogen. Nickel plays a vital role in hydrogen production technology, and Newfoundland and Labrador's nickel-rich geology positions the province as a natural contributor to global decarbonization goals. Additionally, the article notes that ophiolites are globally recognized as prime sources of geologic hydrogen, created through natural processes as minerals within them interact. 'Some of the most significant geologic hydrogen discoveries in the world occur in ophiolites,' the article states. Dr. Yaoguo Li of the Colorado School of Mines further explains, 'Geologic hydrogen systems are a combination of mineral systems and natural gas systems,' emphasizing the complex and promising nature of this resource. 'Nickel is not just for batteries anymore, it may be the key to unlocking cleaner, more scalable hydrogen technologies,' the article notes, referencing the growing momentum behind hydrogen and nickel synergy. The full article can be accessed here: 'We are proud to see Newfoundland and Labrador's mineral potential gaining international attention, particularly in the context of hydrogen and clean energy,' said Adrian Smith, CEO of First Atlantic. 'This recognition reinforces the long-term strategic value of our nickel exploration and development efforts.' Awaruite (Nickel-iron alloy Ni₂Fe, Ni₃Fe) Awaruite, a naturally occurring sulfur-free nickel-iron alloy composed of Ni₃Fe or Ni₂Fe with approximately ~75% nickel content, offers a proven and environmentally safe solution to enhance the resilience and security of North America's domestic critical minerals supply chain. Unlike conventional nickel sources, awaruite can be processed into high-grade concentrates exceeding 60% nickel content through magnetic processing and simple floatation without the need for smelting, roasting, or high-pressure acid leaching1. Beginning in 2025, the US Inflation Reduction Act's (IRA) $7,500 electric vehicle (EV) tax credit mandates that eligible clean vehicles must not contain any critical minerals processed by foreign entities of concern (FEOC)2. These entities include Russia and China, which currently dominate the global nickel smelting industry. Awaruite's smelter-free processing approach could potentially help North American electric vehicle manufacturers meet the IRA's stringent critical mineral requirements and reduce dependence on FEOCs for nickel processing. The U.S. Geological Survey (USGS) highlighted awaruite's potential, stating, "The development of awaruite deposits in other parts of Canada may help alleviate any prolonged shortage of nickel concentrate. Awaruite, a natural iron-nickel alloy, is much easier to concentrate than pentlandite, the principal sulfide of nickel"3. Awaruite's unique properties enable cleaner and safer processing compared to conventional sulfide and laterite nickel sources, which often involve smelting, roasting, or high-pressure acid leaching that can release toxic sulfur dioxide, generate hazardous waste, and lead to acid mine drainage. Awaruite's simpler processing, facilitated by its amenability to magnetic processing and lack of sulfur, eliminates these harmful methods, reducing greenhouse gas emissions and risks associated with toxic chemical release, addressing concerns about the large carbon footprint and toxic emissions linked to nickel refining. Quote from USGS on Awaruite Deposits in Canada The development of awaruite resources is crucial, given China's control in the global nickel market. Chinese companies refine and smelt 68% to 80% of the world's nickel4 and control an estimated 84% of Indonesia's nickel output, the largest worldwide supply5. Awaruite is a cleaner source of nickel that reduces dependence on foreign processing controlled by China, leading to a more secure and reliable supply for North America's stainless steel and electric vehicle industries. Investor Information The Company's common shares trade on the TSX Venture Exchange under the symbol "FAN", the American OTCQB Exchange under the symbol 'FANCF' and on several German exchanges, including Frankfurt and Tradegate, under the symbol "P21". Investors can get updates about First Atlantic by signing up to receive news via email and SMS text at Stay connected and learn more by following us on these social media platforms: FOR MORE INFORMATION:First Atlantic Investor RelationsRobert GuzmanTel: +1 844 592 6337rob@ Disclosure Adrian Smith, is a qualified person as defined by NI 43-101. The qualified person is a member in good standing of the Professional Engineers and Geoscientists Newfoundland and Labrador (PEGNL) and is a registered professional geoscientist ( Mr. Smith has reviewed and approved the technical information disclosed herein. Analytical Method & QAQC Samples were split in half on site with one half remaining in the core box for future reference and one half packaged in secure bags. QAQC method included the use of blanks, duplicates and certified reference material (standards) with one being inserted once in every 20 samples in order to test the precision and accuracy of the lab. All results passed the QA/QC screening at the lab, and all Company inserted standards and blanks returned results that were within acceptable limits. Samples were sent to Activation Laboratories Ltd. ('Actlabs') in Fredericton, NB. Actlabs is an ISO 17025 certified lab, accredited and acting independently from First Atlantic. Each sample was crushed, with a 250 g sub-sample pulverized to 95% - 200 mesh. A portion of the sample is fused with a lithium metaborate/tetraborate flux and analyzed by ICP-OES for major oxides and elements including cobalt, chromium and nickel. A magnetic separate is then generated by running the pulverized sub-sample through a magnetic separator which splits the sub-sample into magnetic and non-magnetic fractions. This involves running a 30 g split of the pulp through a Davis Tube magnetic separator as a slurry using a constant flow rate, a magnetic field strength of 3,300 Gauss, and a tube angle of 45 degrees to produce magnetic and non-magnetic fractions. The magnetic fractions are collected, dried, weighed and the magnetic fraction is fused with a lithium metaborate/tetraborate flux and lithium bromide releasing agent and then analyzed on a wavelength dispersive XRF for multiple elements including nickel, cobalt, iron and chromium. The magnetically recovered nickel grade was then calculated by multiplying the XRF fusion nickel value by the weight of the magnetic fraction and dividing by the total recorded feed weight or magnetic mass pulled from the sample. True widths are currently unknown. However the nickel bearing ultramafic ophiolite and peridotite rocks being targeted and sampled in the Phase 1 drilling program at the Atlantic Nickel Project are mapped as several hundred meters to over 1 kilometer wide and approximately 30 kilometers long. About First Atlantic Nickel Corp. First Atlantic Nickel Corp. (TSXV: FAN) (OTCQB: FANCF) (FSE: P21) is a Canadian mineral exploration company developing the 100%-owned Atlantic Nickel Project, a large-scale nickel project strategically located near existing infrastructure in Newfoundland, Canada. The Project's nickel occurs as awaruite, a natural nickel-iron alloy containing approximately 75% nickel with no-sulfur and no-sulfides. Awaruite's properties allow for smelter-free magnetic separation and concentration, which could strengthen North America's critical minerals supply chain by reducing foreign dependence on nickel smelting. This aligns with new US Electric Vehicle US IRA requirements, which stipulate that beginning in 2025, an eligible clean vehicle may not contain any critical minerals processed by a FEOC (Foreign Entities Of Concern)6. First Atlantic aims to be a key input of a secure and reliable North American critical minerals supply chain for the stainless steel and electric vehicle industries in the USA and Canada. The company is positioned to meet the growing demand for responsibly sourced nickel that complies with the critical mineral requirements for eligible clean vehicles under the US IRA. With its commitment to responsible practices and experienced team, First Atlantic is poised to contribute significantly to the nickel industry's future, supporting the transition to a cleaner energy landscape. This mission gained importance when the US added nickel to its critical minerals list in 2022, recognizing it as a non-fuel mineral essential to economic and national security with a supply chain vulnerable to disruption. Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release may include "forward-looking information" under applicable Canadian securities legislation. Such forward-looking information reflects management's current beliefs and are based on a number of estimates and/or assumptions made by and information currently available to the Company that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors that may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking information. Forward looking information in this news release includes, but is not limited to, expectations regarding the timing, scope, and results from the Phase 1 work and drilling program; results from the Phase 2 work and drilling program, future project developments, the Company's objectives, goals or future plans, statements, and estimates of market conditions. Readers are cautioned that such forward-looking information are neither promises nor guarantees and are subject to known and unknown risks and uncertainties including, but not limited to, general business, economic, competitive, political and social uncertainties, uncertain and volatile equity and capital markets, lack of available capital, actual results of exploration activities, environmental risks, future prices of base and other metals, operating risks, accidents, labour issues, delays in obtaining governmental approvals and permits, and other risks in the mining industry. Additional factors and risks including various risk factors discussed in the Company's disclosure documents which can be found under the Company's profile on Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking statements prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, believed, estimated or expected. The Company is presently an exploration stage company. Exploration is highly speculative in nature, involves many risks, requires substantial expenditures, and may not result in the discovery of mineral deposits that can be mined profitably. Furthermore, the Company currently has no reserves on any of its properties. As a result, there can be no assurance that such forward-looking statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. ________________________________________________________ 1 A photo accompanying this announcement is available at: in to access your portfolio
CNBC
29-04-2025
- Automotive
- CNBC
Redburn says sell Tesla stock as EV maker faces tough outlook on tariffs and pricing
Redburn Atlantic recommended Tuesday that investors sell their Tesla stock, as the research firm expects another year of volume declines and strained cashflow. "Our challenging earnings outlook incorporates headwinds from electric vehicle (EV) pricing, Mexico-US and China-Europe tariffs," Redburn analyst Adrian Yanoshik told clients in a note. Redburn's estimates for Tesla's earnings and free cash flow this year are 10% below the Wall Street consensus as the firm sees more downside risk, Yanoshik said. "We note even further risks for downgrades associated with a possible rescinding of US Inflation Reduction Act (IRA) clean vehicle credits," the analyst said. TSLA YTD mountain Tesla stock performance Redburn has stock price target for Tesla of $160, which suggests about 44% downside from Monday's closing prices of $285.88 per share. Tesla stock has fallen about 30% so far this year. "Although aimed at reinvigorating sales, we only consider a modest net volume uplift from the refresh of the Model Y (which started deliveries in March) and Tesla's lower-price model that the company has yet to reveal, scheduled for a June launch," Yanoshik said.
Korea Herald
19-03-2025
- Business
- Korea Herald
Samsung SDI's capital increase under review
Samsung SDI faced shareholder backlash following a drop in stock price after raising 2 trillion won ($1.4 billion) through a paid-in capital increase to fund battery facility investments. During a shareholders' meeting, concerns were raised about why the company opted for a capital increase rather than issuing corporate bonds, which could have protected existing shareholders from dilution. A capital increase involves issuing new shares to raise funds without incurring interest burdens, unlike bank loans or bonds, but it often negatively impacts stock prices by diluting existing shareholders' equity. Earlier in the day, reports emerged that the Financial Supervisory Service had selected Samsung SDI as the first company to undergo its newly introduced review system for paid-in capital increases. Samsung SDI CEO Choi Joo-sun addressed the situation, saying, "We will thoroughly explain the purpose of the capital increase to the authorities," during a meeting with reporters in Gangnam, Seoul, on Wednesday. He added that he only learned of the FSS review through media reports. Later in the day, FSS Governor Lee Bok-hyun commented during a press briefing, stating, "Samsung SDI's capital increase is a positive investment. …We will ensure that investors are well-informed about the capital increase and expedite the review process so the company can secure funding swiftly." Samsung SDI CFO Kim Jong-sung explained the rationale behind the capital increase, stating, "Our financial structure has weakened due to significant capital expenditures and proactive R&D investments aimed at mid-to-long-term growth." He emphasized the need to strengthen financial stability to navigate external and internal volatility. Kim further noted that the company's borrowings have increased by over 5 trillion won in the past year and are expected to rise further in 2025 and 2026. He added, "With interest rates rising, securing funding has become increasingly challenging. This is why we prioritized the capital increase." He also mentioned that Samsung Electronics, Samsung SDI's largest shareholder, may participate in the capital increase, while the company explores alternative funding options such as issuing corporate bonds or leveraging other assets. The funds raised will be allocated to investments in the US joint venture with General Motors, the Hungarian plant, and next-generation technologies, including all-solid-state batteries. When asked about the potential repeal of the US Inflation Reduction Act (IRA) under a second Donald Trump administration, Choi responded, "The three major battery companies — LG Energy Solution, Samsung SDI, and SK On — are working with the Korea Battery Industry Association and we have dispatched representatives to Washington to address the issue."
