FT : Belgium’s drug trafficking ‘even bigger’ problem than terrorism

Belgium’s drug trafficking ‘even bigger’ problem than terrorism
Justice minister calls for EU extradition agreements to help catch kingpins

Cocaine trafficking is an “even bigger” challenge than terrorism in Belgium, said the country’s justice minister, who called on the EU to speed up international co-operation to help catch drug lords hiding abroad.

Vincent Van Quickenborne told the Financial Times that the EU needs joint extradition agreements and increase co-operation among ports to combat international trafficking networks. Belgium’s port city of Antwerp is the largest cocaine trafficking hub in Europe, with a record of almost 110 tonnes seized last year, up from about 90 tonnes in 2021 and 66 tonnes in 2020, according to customs authorities.

“What the fight was against Islamist terrorism seven/eight years ago is now today the fight against organised crime,” Van Quickenborne said, adding that “the magnitude [of drug trafficking] is even bigger” than terrorism because of the hundreds of thousands of users across Europe who have “blood on their noses”.

Van Quickenborne is under police protection after criminal gangs attempted to kidnap him and his family last September


Cocaine seizures in Belgium in the first half of 2023 rose 21 per cent compared to the same period in 2022, and customs authorities expect another record year.

Antwerp’s growth as a smuggling hub is a result of its sprawling size, which makes it difficult to control, as well as a large amount of container shipments arriving from Latin America, where cocaine production has increased over the past seven years.

In February, the Belgian government announced new measures to fight the criminal networks, including appointing a dedicated drugs commissioner, more than 200 additional staff for police and customs, new container scanning equipment as well as background checks on 16,000 port employees.

Cocaine smuggling has risen since 2017. Belgian police spent “a lot of energy” on counter-terrorism in the wake of 2016 attacks on Brussels, the minister said. But drug trafficking was now “on the top of every government [agenda] in Europe”, he said.

In recent years, several kingpins overseeing the illegal trade have moved to locations including the United Arab Emirates and Turkey to evade prosecution. Authorities in Belgium and other EU countries had struggled to get them extradited, Van Quickenborne said. His country signed an extradition accord with the UAE in 2021, which so far has proved ineffective.

“There should be more European pressure on the Emirates,” Van Quickenborne said. “If I talk to my colleagues in Italy, Spain, Germany, France, they all have a wish list of the people that are hiding in Dubai and they are not able to move to see them extradited to Europe.”

Extradition or other legal agreements facilitating cross-border prosecution “coming out of Europe instead of on a bilateral basis could help us to put pressure on Dubai,” he said. He also called for a “network of port prosecutors” to exchange information.

Dutch, German, French, Italian, Spanish and Belgian ministers met in Antwerp in June to discuss organised crime, where they signed a declaration supporting an EU-wide approach.

The European Commission declined to comment on Van Quickenborne’s call for action but said it was “engaged in stepping up the efforts against drug trafficking, including cocaine in the EU”.

The flexibility of criminal groups means they could increasingly move to different European ports, such as Hamburg, Le Havre and Valencia to evade tighter measures in Antwerp, according to Europol.

Van Quickenborne warned that it would be difficult to completely stamp out the drug trade, but said he was “very determined to continue our fight . . . [and] eradicate these drug criminals”.

FT : Train drivers union set to intensify strike action in England

Train drivers union set to intensify strike action in England
Aslef’s Mick Whelan under pressure to go ‘harder and faster’ in long-running dispute

The UK train drivers’ union is preparing to intensify its campaign of strike action this autumn as hopes fade of reaching a deal to end more than a year of industrial action.

Mick Whelan, head of Aslef, said further strikes were inevitable in a long-running row over pay and working conditions with train companies in England and the government.

The union’s executive committee will meet on Friday to discuss its next steps and Whelan said he was under pressure from members to go “harder and faster”.

“It is going to happen, it is about how quickly we step it up and what we do. But the view is we will be taking more action,” Whelan said.

Aslef has rejected an offer of an 8 per cent pay rise over two years, tied to sweeping changes to drivers’ working lives, such as more flexible shift rostering and overtime work.

The union has not held talks with train companies since April, or the government, which controls the industry’s finances, since January.

Separate talks between the rail industry and RMT union — which rejected a 9 per cent two-year pay deal earlier this year — have also stalled, leaving passengers facing the prospect of strikes dragging on throughout the rest of the year.

Train drivers have virtually closed the rail network through one-day strikes 11 times over the past year and also caused significant disruption through five weeks of bans on drivers clocking on for overtime.

“The longer it goes on without any contact from the government or any of the employers to resolve the situation, we may have to go harder and faster to make our voice heard,” Whelan said.

Aslef is demanding a significantly higher pay deal, particularly as its members have not had a pay rise since 2019.

Whelan added that the union could consider a permanent ban on overtime work, which would cause sweeping disruption as many train companies rely on drivers working extra hours.

Ministers and train companies have long said the industry cannot afford higher pay rises and must impose changes to working practices following a decline in revenue amid a shift to homeworking which was accelerated by the coronavirus pandemic.

Passenger numbers have steadily increased over the past year but journeys by commuters on peak hour trains have been the slowest to return.

Total passenger revenue in the first quarter of the year, the most recent for which data is available, was £2.2bn, down more than a third from the £3.2 billion in the same quarter four years ago, according to the Office of Rail and Road, an industry regulator.

The Department for Transport said the government had facilitated “fair and reasonable pay offers”. “Union leaders should stop blocking their members from having a vote on these offers and give them the chance to help resolve this dispute,” it added.

The Rail Delivery Group, which represents train operators, said more strikes would be “unnecessary”, and also called on Aslef to instead put its “fair and reasonable” pay offer to members.

“We urge the Aslef leadership to acknowledge the substantial financial challenges facing the rail industry and collaborate with us to achieve a more dependable and robust railway system for the future,” it said.

>>> Stoxx 600 Pre-Market Indications

  • Vodafone (VODI TH) +1.5%
  • Rio Tinto (RIO1 TH) +1.2%
    • Iron Ore Extends Climb as Pessimism Over Steel Cuts Tempered
  • GSK (GS71 TH) +1%
  • Prosus (1TY TH) +0.4%
    • Unwinding Prosus-Naspers Cross-Shareholdings Reverses Own Error
  • Commerzbank (CBK TH) -0.8%
  • Evotec SE (EVT TH) -0.9%
  • K+S (SDF TH) -1%
  • GEA Group (G1A TH) -1%
  • Puma (PUM TH) -1%
  • Talanx (TLX TH) -1.1%
  • Zalando (ZAL TH) -1.1%
  • TUI (TUI1 TH) -1.3%
  • Nibe (NJB TH) -1.3%
  • Tomra (TMRA TH) -2%

>>> TradeGate Pre-Market Indications

DAX:
  • Daimler Truck (DTG TH) -0.5%
  • Rheinmetall (RHM TH) -0.5%
  • SAP (SAP TH) -0.5%
  • Siemens Energy (ENR TH) -0.6%
    • Siemens Energy Investor Cut Voting Rights to 4.99% on Aug. 15
  • Zalando (ZAL TH) -1.1%
MDAX:
  • RTL (RRTL TH) -0.5%
  • GEA Group (G1A TH) -0.6%
    • BlackRock, Inc. Cut GEA Group Voting Rights to 7.04% on Aug. 14
  • Hensoldt (HAG TH) -0.8%
  • TeamViewer SE (TMV TH) -0.8%
  • Talanx (TLX TH) -0.9%
  • Puma (PUM TH) -1%
  • Thyssenkrupp (TKA TH) -1%
    • EU Steelmakers Bracing for Construction-Led Earnings Slump in 2H
SDAX:
  • SUSE (SUSE TH) +59%
    • EQT to Buy Shares of Suse It Doesn’t Already Own at EU16/Share
  • 1&1 (DRI TH) +1.2%
  • PNE AG (PNE3 TH) -0.9%
  • Wacker Neuson (WAC TH) -1%
  • VERBIO Vereinigte (VBK TH) -1.2%
  • Indus Holding (INH TH) -1.5%

>>> What to look at today - 18th of August 2023

Shares in Asia headed for a sixth daily decline against the backdrop of worries about China and higher global interest rates. Equity benchmarks for Japan, Hong Kong and South Korea all fell, while mainland Chinese stocks fluctuated. The broad-based pressure weighed on a gauge of the region’s equities, although the drop was less intense than the two prior sessions as the dollar weakened.  China is again in focus, with growing signs that policymakers are trying to limit the selloff. The People’s Bank of China delivered its strongest ever pushback against a weaker yuan via its daily reference rate, helping to support the currency. This followed news Chinese authorities had told state-owned banks to step up support for the yuan.
State-owned developers warned of widespread losses, adding to concerns that the housing crisis is expanding from the private sector to companies with government backing. There are signs of contagion, with Australian miners on track for their worst week in five months, given how reliant they are on Chinese demand. Markets are seeing a brief respite on Friday from this week’s relentless gains in Treasury yields and the dollar. Yields on the bonds inched lower across the curve after those on the 10-year note on Thursday came close to the October peak, which was the highest since 2007. The Bloomberg dollar index inched lower. Markets are seeing a brief respite on Friday from this week’s relentless gains in Treasury yields and the dollar. Yields on the bonds inched lower across the curve after those on the 10-year note on Thursday came close to the October peak, which was the highest since 2007. The Bloomberg dollar index inched lower. Wall Street’s fear gauge, the Cboe Volatility Index or VIX, closed at 17.89, its highest level since May. The VIX hasn’t reached above 30 — a level considered a sign of heightened volatility — since a series of bank failures rocked the market in March. Investors will soon be turning to next week’s gathering of policymakers at Jackson Hole in Wyoming to gauge Fed sentiment.  Then yen gained after Japan’s consumer inflation slowed, offering support for the Bank of Japan’s stimulative policy stance. Bitcoin was hit by the risk-off mood, extending this week’s decline early on Friday. Elon Musk’s SpaceX has sold Bitcoin, according to The Wall Street Journal, adding to the selling pressure. Crude was set to notch its first weekly drop — ending a run of seven advances — as traders weighed signs of tightening supplies against concerns about the Chinese economy and US monetary policy. US After Hours ROST +5.5%, AMAT +2.3% higher on earnings; FTCH -34.7%, KEYS -7.6%, BILL -4% lower on earnings; DLB +4.8% to join S&P MidCap 400.

Nikkei -0.76% Hang Seng -1.46% CSI -0.65% Shanghai -0.41% Shenzen -0.93%

Eur$ 1.0880 CNH 7.3052 CNY 7.2848 JPY 145.38 GBP 1.2741 CHF 0.8789 RUB 94.2779 TRY 27.1029 WTI$ 80.43 +0.05% Gold 1,892 +0.14% BTC 26,374-4.58% ETH 1,670.75 -2.68%

S&P -0.05% Nasdaq -0.16% EuroStoxx -0.24% FTSE -0.44% Dax -0.31% SMI -0.13%

Macro :
- ECB Readies Complaint to Italy on New Banks Tax, Corriere Says
- Goldman Expects More China Measures in Days to Stem Yuan Slump
- Convertible Hedges Out of Favor Amid Shift to High-Grade Issuers
- China Evergrande collapse shows need for $1 trillion Beijing rescue plan, says Clocktower strategist
- Hayfin Raises €6b for Direct Lending to European Companies: FT
- US Approves Denmark, Netherlands F-16 Transfers to Ukraine: Rtrs

Keep an eye on :
- AF FP : French Tax Hikes to Hit Airline Tickets, Cars, Airports: Echos
- MT NA : ArcelorMittal Bid for All of US Steel ‘Looks Unlikely’: Citi
- ARM LN : SoftBank’s Arm Is Said to Line Up 28 Banks for Biggest 2023 IPO
- BA/ LN : Ball Deal Boosts BAE in Fast-Growth Space, Sensor Sectors
- BLMN US : Starboard Value Built Over 5% Stake in Bloomin’ Brands: WSJ
- CFR SW : Farfetch 2Q Revenue Misses Estimates --> -39%
- DTE GY : Dish Seeking Extension on T-Mobile Airwave Buy Amid Cash Crunch
- EMMI SW : Emmi 1H Ebit Beats Estimates
- ENT LN : Entain Falls as MGM Launches in UK Outside of Joint Venture
- 3333 HK : Evergrande Seeks Protection From Creditors in US Ahead of Votes
- FORTUM FH : Finland’s Olkiluoto-2 Reactor Has Unplanned Outage: Nord Pool
- GAM SW : Niel’s Investor Group Boosts GAM Stake, Offers Bridge Loan
- HLAG GY : HMM (011200 KS) Jumps After Report Hapag-Lloyd Considering Bid for Company
- ISP IM : Intesa to Consider Small Deals to Boost its Presence Abroad
- MONT BB : Montea Boosts FY Adjusted EPS Forecast, Beats Estimates
- MRNA US : Moderna Vaccine Protects Against New Variants in Early Study
- NICE IT : Nice Ltd. Plunges in Worst Since 2020 on Cloud Revenue Miss
- NLFSK DC : Nilfisk 2Q Revenue Beats Estimates
- NOVN SW : *Novartis Plans to Spin-off Sandoz on or Around October 4, 2023
- NOVOB DC : Weight-Loss Drugs Cost Far More in US Than Other Nations
- PFE US : Pfizer Says Mice Study Shows Covid Shot Effective Against ‘Eris’
- PSPN SW : PSP Swiss Boosts FY Adjusted Ebitda Forecast, Beats Estimates
- SBBB SS : SBB CEO Leiv Synnes Bought SEK0.4m of Shares on Aug. 17
- SCATC NO : Scatec 2Q Ebitda Misses Estimates
- SHUR BB : Shurgard 2Q Property Operating Revenue EU87.6M Vs. EU81.5M Y/y
- SPIE US : Spie Agrees to Buy More Than 75% Stake in BridgingIT in Germany
- SUSE GY : EQT to Buy Shares of Suse It Doesn’t Already Own at EU16/Share
- TIT IM : Italy Investors Could Get 35% of Telecom Italia Grid: Corriere
- UBXN SW : u-blox Sees FY Adjusted Ebit Margin 10% to 14% (1)
- X US : US Steel Says Steelworkers Can’t Veto Transactions From Review
- VWS DC : Vestas Avoids Peer's Woes, Ebitda Still Underestimated: BI Focus

>>> Europe : Brokers Upgrades & Downgrades - 18th of August 2023

>>> Up
* Ambea Raised to Buy at SEB Equities; PT 60 kronor
* BEWi Raised to Buy at Nordea; PT 42 kroner
* Foot Locker Raised to Hold at Williams Trading; PT $23
* Glanbia Raised to Overweight at Morgan Stanley; PT 17 euros
* Hoegh Autoliners Raised to Buy at SEB Equities; PT 95 kroner
* Prosus Raised to Overweight at Barclays; PT 86.80 euros

>>> Down
* Adyen Cut to Hold at Berenberg; PT 1,095 euros
* Bank of Georgia Group Cut to Neutral at Citi; PT 3,900 pence
* BEWi Cut to Hold at Pareto Securities; PT 38 kroner
* Digital Workforce Services Cut to Accumulate at Inderes
* Farfetch Cut to Sector Weight at KeyBanc
* KH Group Oyj Cut to Accumulate at Inderes; PT 1.05 euros
* Veidekke Cut to Hold at DNB Markets; PT 120 kroner

>>> Initiation
* Energean Reinstated Buy at Excellence Nessuah; PT 1,400 pence

>>> Call
* Adyen Downgraded at Berenberg on Top-Line, Margin Concerns
* Glanbia Upgraded at Morgan Stanley on Further Positive Signs