2025-08-14 07:28

More builders plan to increase timber home construction Companies cite speed of assembly and environmental benefits Robotics key to faster construction, says DTS UK construction sector lags Europe in robotics use, says ING LONDON, Aug 14 (Reuters) - Gigantic robot arms controlled by artificial intelligence glide around a vast factory in Oxfordshire, England, making building frames from timber, one of the world's oldest construction materials. With the British government committed to building 300,000 new homes a year, some housebuilders say that the combination of technology and green materials could help them to overcome challenges from skills shortages to environmental targets. Sign up here. England lags many similar economies in terms of the share of housing accounted for by timber-framed homes. Britain as a whole, meanwhile, is among the slowest adopters of robotics, especially in construction, according to the National Robotarium research institute at Heriot-Watt University. "We're seeing more major housebuilders and small and medium-sized builders embracing timber as a way to ... overcome the skills and carbon challenge," said Alex Goodfellow, CEO of Donaldson Timber Systems (DTS). His business makes timber-frame structures for homes and commercial buildings, including walls, floors and roofs, then sends them to housebuilders for assembly. Its automated production makes for less labour-intensive housebuilding and provides a faster, cheaper and more sustainable alternative to bricks, stone or concrete blocks, the company says. A study by construction surveyors and consultancy Rider Levett Bucknall showed that building with timber is 2.8% cheaper than with masonry. FASTER CONSTRUCTION The DTS factory in Witney, near Oxford in southeast England, makes timber panelling for about 100 homes a week with designs entered digitally using artificial intelligence, reducing the need for paper drawings. DTS says its robotics and lasers enable it to produce pre-assembled sections builders can put together quickly on site. The technology reduces the time needed to build a home by about 10 weeks compared with traditional materials, Goodfellow says. Yet barriers remain to any significant increase in timber homes in England. Amit Patel at the Royal Institution of Chartered Surveyors said the material is not commonly used in England because of difficulties in securing warranties for timber buildings owing to durability concerns. Barratt Homes (BTRW.L) , opens new tab tried to revive timber usage in the 1980s, but sales were undermined by potential rot and fire vulnerabilities. Andrew Orriss of the Structural Timber Association says that such concerns have been addressed by current building regulation and the STA's fire safety guide. He says that the off-site timber construction sector could help to deliver about a third of the government's target of 300,000 new homes per year - a level not achieved in England since the 1970s. Official government figures show that almost 200,000 new homes were built in England in 2023/24 and the Structural Timber Association said that approximately 40,500 of those were timber-frame homes. Builders including Vistry (VTYV.L) , opens new tab and Taylor Wimpey (TW.L) , opens new tab have opened or plan to open their own timber-frame manufacturing factory while Bellway (BWY.L) , opens new tab plans to use timber in a third of its housing projects by 2030. Reduced environmental impact is another benefit touted by companies. GREENER AND LEANER? Simon Park, head of sustainability at Bellway, said timber absorbs and stores more carbon than it emits and that Bellway's analysis shows breeze blocks - made from concrete and known as cinder blocks in the U.S. - are the biggest carbon emitters among common building materials. Countering that, however, is the origin of the raw materials. About 80% of timber used in the UK is imported, mainly from European countries, while roughly 20% of its brick supply is imported. Concerns also remain over mortgage availability for timber homes, which is likely to improve if the government signals a move towards timber construction, said Riz Malik, mortgage broker at independent financial adviser R3 Wealth. An ageing workforce, meanwhile, highlights the need for more robotics. About a fifth of construction workers in the UK are over 50, according to the Home Builders Federation, with 25% of those set to retire in the coming decade. The government pledged 40 million pounds ($54 million) in June for robotics adoption hubs across various sectors, but Maurice van Sante, senior economist for construction at bank ING, says Britain's construction industry is far behind other countries in robotics use. ING estimates that there were 1.5 robots for every 10,000 construction workers in Europe in 2023, against 0.6 in the U.S. and 0.5 in the UK. As well as filling labour shortages directly, robotics opens up other employment opportunities, says DTS manufacturing director Frank O'Reilly, adding that the company has attracted more interest from tech-savvy younger workers since the factory's introduction of automation and robotics. "It (the technology) encourages young people to consider this as a career," he said. ($1 = 0.7433 pounds) https://www.reuters.com/business/environment/could-robotics-timber-tackle-britains-housing-challenges-2025-08-14/

2025-08-14 07:16

BOUAKE, Ivory Coast, Aug 14 (Reuters) - Bullet-riddled buildings still line some streets in Ivory Coast's former rebel capital Bouake, but in the run-up to his third re-election bid President Alassane Ouattara is keen to turn the city into a symbol of recovery. "Bouake is a city of past pain, but above all rebirth, unity and renewed brotherhood," the 83-year-old incumbent said in his Independence Day speech last week, ahead of a parade in which he waved to supporters from a black armoured convertible. Sign up here. It was the first time Bouake hosted independence festivities in over 60 years, sending the message that "peace has returned" after the civil war that preceded Ouattara's swearing-in in 2011, said political analyst Geoffroy Julien Kouao. Yet away from the pomp of official ceremonies, ex-combatants and other Bouake residents tell a more complex story of lingering division and economic struggle. "When we go to a company to apply for jobs, we are turned away because they (employers) know we have taken up arms... They (employers) are afraid of us," said Fousseni Toure, member of a civil society group that advocates for former fighters. Ivory Coast, the world's biggest cocoa producer, effectively split in two after a rebellion in 2002 against then-President Laurent Gbagbo, and Bouake became the headquarters of the New Forces rebels, many of them from Ouattara's Dioula ethnic group. The war was largely a result of xenophobic policies against farmers from Burkina Faso and Mali that also targeted northern Ivorians with cultural ties to them. Thousands of U.N. peacekeepers deployed and new elections were held in 2010, but Gbagbo refused to accept defeat to Ouattara, setting off four months of violence that killed around 3,000 people. RECONCILIATION ELUSIVE Ouattara, a former international banker who announced last month he would seek re-election, is widely credited for Ivory Coast's steady economic growth since he took office. Some former combatants say they have benefited. Alissou Ouattara, no relation to the president, supports his wife and five children by running a small restaurant and coffee kiosk. "I earn my living properly," he said. "I don't envy anyone." Other ethnic Dioulas have had a harder time, partly because of conflict with so-called "autochtone", or indigenous, ethnic groups who are more likely to support Ouattara's political opponents, said Soumaila Doumbia, coordinator of the Bouake-based Civil Society Platform for Peace and Democracy. "There are political actors who remain in the shadows to exploit young people so that they can come into conflict," he said. During the last election, in 2020, clashes killed 85 people. The exclusion of Gbagbo and Tidjane Thiam, leader of the opposition PDCI party, from the next ballot means the climate could be tense again when Ivorians vote on October 25. An Ivory Coast court ruled in April that Thiam was ineligible because he was a French national when he registered, while Gbagbo cannot run because of a past criminal conviction. Thousands of supporters of both men took to the streets of Abidjan's Yopougon district to protest over the weekend. Doumbia is nevertheless optimistic that these issues can eventually be resolved for good. "We are certain that in the months and years to come, Bouake will be a reconciled city," he said. https://www.reuters.com/world/africa/revived-ivory-coast-rebel-hub-shows-boom-burdens-ouattara-era-2025-08-14/

2025-08-14 07:16

Petrochemical exports have fallen amid global oversupply South Korea is a major naphtha importer, crucial for global oil markets Concerns over financial health of large petrochemical company YNCC South Korean president supports tax incentives, regulatory changes SEOUL, Aug 14 (Reuters) - South Korea's government will announce a plan this month to restructure the country's petrochemical sector, which is in a "grave" situation, Industry Minister Kim Jung-kwan said on Thursday. South Korean petrochemical companies must take lessons from the restructuring of the country's shipbuilding industry in the late 2010s, when shipmakers had to liquidate assets and streamline business areas amid a sharp drop in orders, Kim said. Sign up here. Margins have plunged for petrochemical companies in South Korea and across the globe due to an oversupply of products caused by relentless capacity additions in the last decade, particularly in China, the biggest petrochemical market. Demand has also been sluggish over the last three to four years. "A restructuring in the petrochem industry has been highly expected, given the industry is running merely 80% of total capacity in Korea now - meaning we have about a 20% glut here," said Hwang Kyu-won, an analyst at Yuanta Securities Korea. Kim, who was speaking at a shipyard, said the petrochemical industry needed to take voluntary measures, including the "adjustment" of facilities, his ministry quoted him as saying. There have been concerns as well over the financial health of South Korea's loss-making Yeochun NCC Co (YNCC), a Yeosu-based petrochemical maker that local media says faces 180 billion won ($130 million) in loans coming due at the end of August. South Korea's DL Holdings said in a regulatory filing on Thursday its subsidiary DL Chemical Co will issue a 150 billion won ($108.38 million) loan to YNCC, in which it holds a major stake. YNCC did not respond to phone calls seeking comment. South Korea's government can use YNCC's travails as an opportunity for a large-scale restructuring in the industry, said the analyst Hwang. Analysts do not expect global petrochemical margins to recover before 2027. The last major restructuring for South Korea's petrochemical industry was in 1999 during the Asian Financial Crisis, when YNCC was formed. President Lee Jae Myung, who took office after a snap election in June, pledged during his campaign to pursue tax support for mergers and acquisitions in the petrochemical industry, and to exempt companies from antitrust regulations to allow more coordination of production and operations. South Korea’s exports of petrochemical products stood at $21.7 billion in the first half of this year, down 11.1% from a year earlier, amid price declines and global oversupply. Total exports of petrochemical products were $48 billion in 2024, accounting for 7% of South Korea's total exports and a top-five export item after semiconductors, automobiles, machinery and petroleum products. South Korea is one of the world's largest importers of naphtha, a derivative of crude oil that is refined into chemical products used in plastics for automobiles, electronics, clothing and construction. If the country is forced to cut capacity, it could impact global oil markets. Other South Korean petrochemical companies besides YNCC are also seeing asset reshuffling. HD Hyundai (267250.KS) , opens new tab is looking to acquire Lotte Chemical’s (011170.KS) , opens new tab naphtha cracker, or the companies may merge their cracker operations, trade sources have said. HD Hyundai said nothing has been decided yet. ($1 = 1,381.3000 won) https://www.reuters.com/business/energy/south-korea-announce-plan-restructure-petrochemical-sector-facing-grave-2025-08-14/

2025-08-14 07:01

Brent and WTI up 0.7%, after hitting two-month low in previous session Trump threat, Fed interest rate cut bets support prices Trump meets Putin on Friday to discuss war in Ukraine Rising supply adds to bearish outlook TOKYO/SINGAPORE, Aug 14 (Reuters) - Oil prices climbed on Thursday as investors weighed what impact the U.S.-Russia summit on Ukraine on Friday might have on Russian crude flows, with secondary sanctions looming over Moscow's customers, while a rising supply outlook capped gains. Brent crude futures rose 45 cents, or 0.7%, to $66.08 a barrel at 0631 GMT, while U.S. West Texas Intermediate crude futures gained 44 cents, also up 0.7%, to $63.09. Sign up here. Both contracts hit their lowest in two months on Wednesday after bearish supply guidance from the U.S. government and the International Energy Agency (IEA). Trump on Wednesday threatened "severe consequences" if Putin does not agree to peace in Ukraine. Trump did not specify what the consequences could be, but he has warned of economic sanctions if the meeting in Alaska on Friday proves fruitless. "The uncertainty of U.S.-Russia peace talks continues to add a bullish risk premium given Russian oil buyers could face more economic pressure," Rystad Energy said in a client note. "How Ukraine-Russia crisis resolves and Russia flows change could bring some unexpected surprises." Trump has threatened to enact secondary tariffs on buyers of Russian crude, primarily China and India, if Russia continues with its war in Ukraine. "Clearly there's upside risk for the market if little progress is made" on a ceasefire," said Warren Patterson, head of commodities strategy at ING, in a note. The expected oil surplus through the latter part of this year and 2026, combined with spare capacity from the Organization of the Petroleum Exporting Countries, means that the market should be able to manage the impact of secondary tariffs on India, Patterson said. But things become more difficult if we see secondary tariffs on other key buyers of Russian crude oil, including China and Turkey, he said. Expectations the U.S. Federal Reserve will cut rates in September are also supportive for oil. Traders are almost 100% agreed a cut will happen after U.S. inflation increased at a moderate pace in July. Treasury Secretary Scott Bessent said he thought an aggressive half-point cut was possible given recent weak employment numbers. The market is putting the odds of a quarter-percentage point cut at the Fed's September 16-17 meeting at 99.9%, according to the CME FedWatch tool. Lower borrowing rates would drive demand for oil. Oil prices were kept in check as crude inventories in the United States unexpectedly rose by 3 million barrels in the week ended on August 8, according to the U.S. Energy Information Administration on Wednesday. Also holding oil prices back was an International Energy Agency forecast that 2025 and 2026 global supply would rise more rapidly than expected, as OPEC and its allies increase output and production from outside the group grows. https://www.reuters.com/business/energy/oil-climbs-russia-supply-risks-ahead-summit-2025-08-14/

2025-08-14 06:59

Earnings forecast cut on geopolitical, trade policy uncertainty Revenue rises 10%, transport volumes grow 10.6% Gemini cooperation with Maersk boosts performance FRANKFURT, Aug 14 (Reuters) - Container shipping company Hapag-Lloyd (HLAG.DE) , opens new tab reported a 3.1% decline in first-half net income on Thursday and lowered the top end of its full-year earnings forecast, largely due to uncertainty over geopolitical issues and U.S. trade policy. The world's fifth-largest shipping firm projected full-year earnings before interest and taxes ranging between 200 million euros and 1.1 billion euros, compared with a previously expected range of breakeven to 1.5 billion euros. Sign up here. Frequent changes in U.S. tariff policies have caused volatility in trade patterns, and the tense security situation in the Red Sea has also been a burden, resulting in 24% lower EBIT at 619 million euros in the six months, the German company said. Houthi militant attacks on Middle Eastern shipping have clouded the outlook for global shipping, with vessel owners being forced to sail a costly alternative route around Africa. Net income in the first half fell 3.1% to 709 million euros ($829 million). However, revenues were up 10% at 9.7 billion euros and transport volumes grew 10.6% to 6.7 million 20-foot-equivalent (TEU) containers, spurring CEO Rolf Habben Jansen to talk of a "solid note overall." The company's operational collaboration with bigger rival Maersk (MAERSKb.CO) , opens new tab - known as Gemini - got off to a good start, but costs needed to be optimised, he said. Germini brings together a network of 340 ships on seven trade corridors. ($1 = 0.8549 euros) https://www.reuters.com/business/autos-transportation/hapag-lloyd-lowers-2025-earnings-forecast-after-half-year-profit-slips-2025-08-14/

2025-08-14 06:45

Aug 14 (Reuters) - Shares in Hellofresh fell on Thursday after the German firm cut its outlook for the full year on Wednesday, blaming a strengthening euro and a decline in sales at its ready-to-eat business. The stock was down 6% in early trade at 0606 GMT, having lost 25% of its value since January and almost 90% since its August 2021 peak. Sign up here. The German meal-kit maker now expects its full year adjusted core profit (AEBITDA) to come between 415 million euros and 465 million euros ($486 million - $544 million), down from a previous range of 450-500 million euros. In a statement, the firm said this reflects the euro rising more than expected against currencies such as the U.S. dollar and the Canadian dollar compared to when the guidance was first provided earlier this year. The company makes more than 60% of its sales in North America, which means its revenue loses some of its value when converted into the European currency. A company compiled poll expects AEBITDA to come at 466 million euros this year. HelloFresh had seen a change in demand from customers cooking meals from scratch during the COVID-19 pandemic to preferring ready meals they only need to reheat after a day in the office. It responded by producing more ready to eat (RTE) goods. But, in the RTE business, second quarter revenue fell by almost 6% from a year ago. The Berlin based company also said it's extending its share buy-back program by up to 100 million euros to a total of up to 175 million euros and to extend its duration until no later than December, 31 2026. ($1 = 0.8546 euros) https://www.reuters.com/markets/currencies/hellofresh-shares-fall-after-outlook-cut-2025-08-14/