America’s offshore wind power industry risks being left “dead in the water” if the US clamps down on the use of foreign materials and equipment, according to the Spanish-owned company jointly building the country’s first big project.
Bill White, head of offshore wind at the company leading the Vineyard Wind project near Massachusetts, said that demands for local content could cripple development of offshore wind farms that for now rely on equipment made in Europe.
Congressional Democrats last week unveiled green tax credits in a proposed $3.5tn infrastructure package they hope will help clean up the electricity sector by sparking a boom in renewable energy.
But the proposed legislation includes clauses linking some tax credits with targets for job creation and the use of US steel — provisions that operators say could raise costs and slow down construction.
Thanks for reading FirstFT Americas, here’s the rest of today’s news — Gordon
Five more stories in the news
1. Newsom fends off Republican-led recall vote California governor Gavin Newsom has defeated a Republican-led effort to recall him from office over his handling of the Covid-19 crisis. Preliminary results showed 67.3 per cent of California voters rejected the effort to recall the first-term Democrat from the governor’s office, according to the secretary of state.
Opinion: A once-exceptional state now typifies the nation in prospering despite its political dysfunction, writes Janan Ganesh.
2. North Korea puts Biden to the test North Korea has fired two ballistic missiles, South Korea’s military reported today. The test comes just three days after Pyongyang claimed to have successfully experimented with a new long-range cruise missile. International weapons experts have also tracked “interesting” new movements at a North Korean naval base, potentially related to its submarine development programme.
3. Apple introduces four new iPhones Apple launched four 5G-enabled iPhones and unveiled an array of refreshes to some of its most popular devices, including the iPad and Watch, as the world’s most valuable company attempted to refocus the public’s attention after months of antitrust scrutiny.
4. Biden’s summit suggestion falls on deaf ears in Beijing Joe Biden failed to secure an agreement from Chinese president Xi Jinping for a face-to-face summit during a 90-minute call last week, leading some in Washington to conclude that Beijing is continuing to play hardball with the US.
More China news: The Chinese ambassador to the UK has been banned from attending a reception in the Houses of Parliament.
5. Hedge funds riding crypto wave post bumper returns Cryptocurrency hedge funds gained nearly 24 per cent in August as large price swings in digital assets helped them outperform investors in sleepy equities and currencies markets.
Go deeper: Regulators fear that blockchain technologies will make it easier for criminals and kleptocrats to move money around the global financial system.
Coronavirus digest
US government bonds rallied while bank shares weighed on major stock markets yesterday, as moderating US inflation warmed investors to the view that the Federal Reserve would have more time to remove crisis-era stimulus.
Pfizer said it expected to apply in November for US authorisation of its vaccine for children aged between six months and five years old.
The UK has joined nine other nations, including France and Israel, in announcing booster jab campaigns.
Vladimir Putin has said he will self-isolate for a “period of time” after being exposed to coronavirus in an apparent outbreak in the Kremlin.
Follow our live coronavirus blog for more and sign up to our Coronavirus Business Update newsletter on how the pandemic is affecting the markets, global business, our workplaces and daily lives.
The day ahead
Vaccine mandate summit President Joe Biden is expected to meet executives from companies including Walt Disney, Microsoft and Walgreens Boots Alliance today to advance his Covid-19 vaccination requirements for the private sector. Later he is expected to deliver remarks about a national security initiative. (Wall Street Journal)
Data The Labor Department is scheduled to release import prices data for August. Industrial production data is also scheduled to be released.
State of the EU speech The European Commission president Ursula von der Leyen will address the European Parliament in Strasbourg, France today. For the latest EU news, including on Germany’s pivotal election, sign up for our Europe Express newsletter.
What else we’re reading
Crypto’s brash approach to rules will do them no favours The insouciance towards rules has served the tech industry and its backers very well but regulators and society at large are growing less tolerant of the “move fast and break things” approach, argues Brooke Masters.
‘A humiliating climbdown’ As negotiations in Congress on Joe Biden’s tax proposals enter the final stretch, influential lawmakers from the president’s own party are trying to water them down. The proposed changes highlight the extent of the backlash among Democratic donors, lobbyists and constituents who have balked at the president’s efforts to tax wealth — especially capital gains. Washington bureau chief James Politi reports.
Business relations with Brazil’s Bolsonaro fray Brazil’s empresários, or businesspeople, are losing faith in the leader of South America’s largest economy. And with growing whispers of impeachment, there are concerns he might pursue populist measures that harm the public finances, or even embark on anti-democratic adventures, writes Michael Pooler.
China’s cosmetic surgery industry to get a facelift Since the start of July, the market value of the country’s three largest publicly traded medical aesthetics companies has fallen by a third, despite the popularity of cosmetic procedures. That shift in investor sentiment comes as state media ramps up criticism of the industry for promoting the idolisation of physical appearances — and some youths are welcoming the reckoning.
The flexibility factor: who is going back to the office? FT management editor Andrew Hill assesses the latest return-to-work plans at some of the world’s biggest companies — and ranks them by flexibility.
Pilita Clark: Is working from home better for the planet, asks our business columnist. As with so many aspects of climate change, she says, the situation is more complicated than it seems.
Reader survey: Don’t forget to fill in our return-to-the-office survey. We will use the responses to inform a future reporting project.
How to achieve financial literacy Financial Times deputy editor Patrick Jenkins launched the FT’s Financial Literacy and Inclusion Campaign charity (FLIC) at the recent Weekend FT festival. The launch has drawn hundreds of messages of support from readers, including Courtney Love. Read what the rock star had to say about the campaign here.
Books
This year’s six-strong Booker Prize shortlist was announced yesterday and includes debut novelist Patricia Lockwood for her satire on social media, No One Is Talking About This, and Damon Galgut’s family saga that unspools against the backdrop of apartheid South Africa. The winner will be announced on November 3.
Business books: Catch up with our recommended list of this month’s best business-book titles, including a new memoir from former PepsiCo chief executive Indra Nooyi.
Source: Economy - ft.com
