Renault boss Carlos Ghosn has resigned: French economy minister

The French economy minister, Bruno Le Maire, above, said the board will have a meeting to choose a replacement for Ghosn. (AFP)
Updated 24 January 2019
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Renault boss Carlos Ghosn has resigned: French economy minister

  • French economy minister says a senior director at Renault received Ghosn’s letter of resignation

DAVOS: Renault boss Carlos Ghosn has handed in his resignation, France’s economy minister said Thursday ahead of a board meeting at which the French car maker is to appoint his successor.
A senior director of the firm “received last night the letter of resignation from Carlos Ghosn,” who remains detained in Japan, Bruno Le Maire told AFP.


German economy ‘in better shape’ than thought in Q4

Updated 37 min 27 sec ago
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German economy ‘in better shape’ than thought in Q4

  • Destatis confirmed preliminary readings of 0.0 percent expansion between October and December, adjusted for price, seasonal and calendar effects
  • Europe’s powerhouse only just escaped a technical recession — two successive quarters of negative growth — in the second half of 2018

FRANKFURT AM MAIN: The German economy is “in better shape” than feared, analysts said Friday, after detailed data for the fourth quarter of 2018 showed a dashboard with few red lights despite flat growth.
Figures from federal statistics authority Destatis confirmed preliminary readings of 0.0 percent expansion between October and December, adjusted for price, seasonal and calendar effects.
“German economic growth has stalled,” the statisticians said in a statement, with the flatline in the final three months of last year following contraction of 0.2 percent between July and September.
That meant Europe’s powerhouse only just escaped a technical recession — two successive quarters of negative growth — in the second half of 2018.
Nevertheless, “the German economy is in a better shape than its current reputation,” economist Carsten Brzeski of ING Diba bank commented on the release.
Private consumption, government spending and investments all picked up, while both imports and exports grew at around the same pace, leaving the country’s trade surplus almost flat.
“None of the traditional growth components” were negative, Brzeski noted, arguing the data showed the massive car industry’s struggles to adapt to new tougher emissions tests were the main culprit for the slowdown.
Stocks of newly-built cars had piled up in the second and third quarter, he pointed out, before being finally delivered in the fourth after passing the so-called WLTP process introduced in September.
“Inventories were a massive drag” on growth in the final three months, Unicredit analysts agreed, calculating the effect slowed the economy by “a whopping 0.6” percentage points.
“The temporary problems in the car industry mask solid fundamentals,” Brzeski said.
“In a couple of months, the German economy should be able again to show its true colors.”