Bloomberg Businessweek-Europe Edition June 24, 2019

Sino-U.S. trade negotiations took a sharp downturn at the beginning of May. The Donald Trump administration accused China of “breaking the deal” reached previously, and increased tariffs on Chinese goods worth $200 billion from 10% to 25%. Moreover, the Office of the U.S. Trade Representative is currently accepting public comments regarding a proposed tariff hike on another $300 billion worth of Chinese goods. Along with the trade friction, the U.S. has intensified suppression of Chinese technology industries. On May 15, Trump signed an executive order—“Securing the Information and Communications Technology and Services Supply Chain”—declaring a national emergency and prohibiting U.S. enterprises from using telecommunications equipment made by companies deemed a threat to national security. Facing mounting and aggressive pressure from the U.S., China responded with a combination of countermeasures, and on June…

● Donald Trump ordered an additional 1,000 troops to the Middle East. Tensions with Iran are rising after attacks on two oil tankers in the Strait of Hormuz. The buildup comes as Acting Secretary of Defense Patrick Shanahan withdrew from consideration to take over the post on a permanent basis. French police questioned Michel Platini, the former European soccer chief, on June 18 as part of a corruption probe into the selection of Qatar to host the 2022 World Cup. He denies any wrongdoing. ● The nine nations with nuclear arsenals, including the U.S., Russia, Israel, and North Korea, owned 13,865 nuclear weapons collectively at the start of 2019, according to the Stockholm International Peace Research Institute. That’s down about 600 from 2018, as the U.S. and Russia reduced their forces. ●…

Trade War Tête-à-Tête Leaders of the biggest economies convene on June 28-29 in Osaka, Japan, for the Group of 20’s annual summit. President Trump has floated having an extended meeting with his Chinese counterpart, Xi Jinping, to look for ways to defuse the trade war between the two countries. ▷ 42 ▶ Pope Francis receives Russian President Vladimir Putin for an audience on July 4, their third meeting, as the Vatican and the Russian church seek to improve ties. ▶ NATO defense ministers meet on June 26-27 in Brussels. Among the hot topics: Turkey’s planned purchase of a Russian missile system. ▶ OPEC+ (the oil cartel plus 10 other producers, notably Russia) will meet on July 1-2 to discuss output cuts, possibly prolonging curbs till the end of the year. ▶ Indonesia’s Constitutional…

The beauty industry has come a long way since the days of arsenic scrubs and lead-based face creams. But maybe it hasn’t come far enough. Earlier this year the U.S. Food and Drug Administration confirmed that asbestos—a known carcinogen that’s unsafe at any level—had been found in eye shadow, foundation, and other makeup products marketed to preteen girls. Even worse, because the FDA had no power to force a recall, some tainted products may have remained on sale across America long after the danger was reported. The tale of the asbestos-tainted makeup shines a bright light on the failures of cosmetics regulation, which is so lax even the industry itself is pushing for stronger oversight. While FDA regulations forbid “poisonous” and “filthy, putrid, or decomposed” substances in cosmetics, the agency knows…

Hong Kong’s protesters have won one round. A big one. And on Sunday, June 16, they gathered—perhaps 2 million strong—to press their advantage. The day before, pro-democracy activists had forced Chief Executive Carrie Lam into a humiliating retreat over a law that could allow extradition to China. But over the longer term, there’s little question Hong Kong’s Beijing-backed government intends to keep chipping away at freedoms many of its people regard as sacred. For that reason and others, the city’s future looks less secure than at any point since the U.K. returned it to Chinese control in 1997. It faces something of a perfect storm: instability and fear of Chinese domination within its borders; the development of more sophisticated companies and financial markets in Beijing, Shanghai, Shenzhen, and other mainland cities;…

Ellen DeGeneres is on television every weekday. Sometimes she’s on twice. Her daytime talk show, The Ellen DeGeneres Show, brings in more advertising revenue than Dr. Phil’s and Kelly Ripa’s combined, and her prime-time special, Ellen’s Game of Games, gets consistently good ratings. DeGeneres produces movies, voices a popular Pixar character, has her own digital content network, and has earned at least $500 million on endorsement and TV deals, according to a Bloomberg Billionaires Index analysis. She has her own lifestyle brand and last year formed a partnership with Walmart Inc. to create a clothing and accessories line that’s awash in American flags and rainbows and is sold in 2,300 Walmart stores. “I’m still gay, by the way. It’s really working out for me now,” DeGeneres said in her Netflix…