Analysis that takes you behind the headlines. Ah, just a quick look at the main stories this our and have been seans of joy in Harrison City after the retreat of Russian Troops celebrations, have been held in the city and across the ukraine. Ukrainian flag was raised on public monuments in harrison present. Not to miss lensky said, it was a historic day and that the city had never given up the Russian Military set. It completed its withdrawal by 5 am on friday. Joan, how has more from keith . Its a huge moment to the ukrainians for the credit president flooded me. Zalinski, of course, essentially winning back the only regional capital that russia had been able to secure through the course of its invasion here. Going back to february, it puts ukraine very much back on the front foot in regaining that strategic, strangle hold down on the south that potentially able to interrupt russias land, bridge between crimea and the mainland potentially even able to menace occupied crimea itself. Meanwhile, satellite images showed damage to a major damn near Harrison City after Russian Forces withdrew a satellite. Company, macs are, says northern parts and sluice gates of the nova kafka dam have been deliberately destroyed russia. Ukraine of accused each other planning to blow his harp, which could devastate harrison. He images also show significant damage to several bridges that span the new pro river. Fighting has fled in the eastern democratic republic of congo, where soldiers a battling m. 23 rebels on several fronts. The m 23 is had a major resurgence this year, forcing nearly 200000 people from their homes. They blame on the armed groups for the killings. The owners of the mediterranean rescue ship the ocean vikings, a european state of failing to deal with a humanitarian crisis vessel, carrying hundreds of people rescued from small boats as finally docked in the french port of 2 long. Ive now been transferred to a facility about 20 kilometers away. Ship was refused entry to a lease, barking a major diplomatic dispute. So those of the main stories this now accounting, the cost is a program coming out next to for myself and the team here in london. But to our plain one is few from dough hahn about 15 minutes. The climate has changed every year for millions of decades of talk, but little action is all about. Distract from create confusion to crate, smoke and mirrors the shocking truth about how the climate debate has been systematically referred to. The oral industry was a made bank roller for opposition to quantify the campaign against the climate. Do you think thats a bad thing . More shooting did with sure. Sure. Absolutely. On. On jesse you ah, i ha, money inside. This is counting the coastal now desert. Your weekly look at the world of business and economics. This week, almost half of all European Investments in china come from germany. The chancellor is on the pressure to cut back on business with beijing, but is this country too dependent on the Chinese Market . Also this week leaches should pay compensation for the damage caused by Climate Change. That is the message from developing nations and the comp 27 climate summits. Bots will rich nations for the bell. While the world moves away from fossil fuels to save the planet, the tiny nation of guyana is balancing an oil boom on its threat to the environment. Ah, the ukraine war, expose the risk of germanys decades long reliance on russian gas. Its been scrambling ever since to reduce that dependency. Now it appears the german chancellor has another problem, members of his government, the opposition. Im western allies, a worried about the countries economic dependence on china. Or la sholtes recently went on a controversial visit to beijing. Often even more controversial sale of its hamburg Port Terminal to a chinese company, steadfast and reports from hum beg after rotterdam and toy Chinese StateCompany Cosco has bought a stake in europe. 3rd largest port hamburg the Chinese Investment in one of the 4 Container Terminals were scaled down from 35 to 24. 9 percent off. The chancellor, all of sholtes came on the fire over the deal, but many in germany are still unhappy. I know id say about reform, the one hand they want to become independent from russia and on the other. Theyre given away something so important. I think that this has been a favorite project of tensile all of shorts, who used to be met and pushes his own interest. Its not only shows his correlation partners who have warned against the deal. Theres concern outside germany to people in brussels, but also in paris. And a lot of other european member state capitals like there is, there is a lot of frustration and outrage of like, wait, whats germany doing like, why are they Going Forward this . I thought we were supposed to be decreasing our dependencies when were talking about critical infrastructure. And were talking about the nature of chinas political and Economic System and the nature of a company like costco. I think we should be a bit more cautious, especially now in a post russian invasion of ukraine world. The fact that china doesnt allow similar investments in its own ports has also been an argument against the deal for some nervousness about the chinese st. Kara, germanys largest katrina ford show company. The fear that mistakes make will be made again and often, but so far, the business in fact fails handbook fee and it would lose competitiveness against auto european ports. Without cost goes, investment the port was already struggling to attract enough business. Sometimes discussions are a bit exaggerated because there is a concern and, and its an understandable concern. What has happened in the ukraine. We take the concerns serious. They are minor from our perspective, instead of what we can win as a society and of course as an economy, like the chairman ones, but the whole europe as well. But other european nations have accused germany of putting their own interests. First, when it comes to china, steadfast and al jazeera hamper. Lets take a closer look at the numbers. China is germanys biggest trading partner and the value of imported an export at goods where its more than 242000000000 dollars last year. That is, up by 15 percent from 2020 or than 12 percent of germanys total imports came from china in 2021. The Chemical Company b s f is expected to invest almost 10000000000. 00 in its new plant in south china. By the end of this decade and china made up 40 percent of volkswagens. Well, why deliveries in the 1st 3 quarters of this year. And so was the top market for other or to make as like, daimler and mercedes. Now to discuss over that time joined from london by klaus vc, the son, hes the chief eurozone economist at pantheon micro economics. Thank you for joining the program. So how important is china to germanys economy . Well, i mean is an important part is important, part of germany is economy and its important part of the eurozone economy. And i think the most important thing to mention here is that isnt china has become more important over time. Europe has become more integrated with china with especially manufacturing goods, but also in Overall Council slow. So china plays a big role. Maybe its not the biggest role chairman, germany trades more with its neighbors in europe, the u. S. And the u. K. If you look at, its sort of in total trade, i think, but still china is a big part and, and therefore im sort of this duplex attention which is also now along that a west china axis is sort of, its a challenge for europe and joe, but is church is germany dependent on china, aust, that because while china tops the rankings of germanys trading partners, we also have the united states, france, poland, other european countries, all representing between 5 and 8 percent of germanys total trade. So it does appear, they are actually quite diversified when it comes to trade while they are, im and i any would be now it be wrong to say that germany is depend on china in any way because made of all the stuff that germany trade with china especially on the input side that its possible they will be able to get that from somewhere else at least over time. But that doesnt mean of course that you know, a rupture and that relationship wouldnt be economically damage. You know, hes not dependent on china investor. So how damaging would it be . Well, i think theres an economic aspect here. I think that as far as the question depends on how quickly, right the, the severance of the economic relationship with russia, for example, the contact the war happened overnight or its happening very quickly. It seems like in this case with china, its something thats going to be a little bit more slow moving in terms of sort of what the economic relationship between europe and indeed the west and china is going to look over time. So, so far its not something thats really i think thats sort of an acute. So economic hit if you will. But again, depends on how quickly it happened. Why is the chancellor sholtes going against the rest of his Coalition Partners to continue this love affair with china . Given the obvious risks weve been talking about, i think i dont know whether germany has a specific love affair with china, germany, to trading nation, to trade with, with, with other countries. Right. I think thats whats happened over the last couple years is that its the us thats moved, right. I mean, the us itself has, as a strong relationship, economic relationship with china over time. And suddenly now its selling the idea that you know, were in, in, in an existential conflict with china. Of course, it might, that might not be in your interests at this point in time. Of course, europe is part of that western axis, if you will. So europe will have to go along with that in a way, so i think, you know, youre stuck with a little bit in the middle here in terms of tracking. She may be avoid attention but, but increased too much. But so in a way, i would call it a love affair. Its just, you know, an attempt to sort of preserve the status quo or not backtrack too much. The, your question is interest, isnt it . Because i guess you could wonder how this germanys economic ties with china affect the rest of europe. I mean, why so much concern from europe about so says recent business trip to china. What the concern is obviously that if you do, if you make, if economic integration with china increases at this time where the political relationship has changed. And of course there could be a few Political Risk element to this, right . For example, this been a lot of talk about allowing china to invest in german, harper and hamburg, and that could be so maybe 34 years ago. Thats not a problem. But now with the politics change, certainly, you know, that could be a challenge. Weve seen other examples of this, especially with the classic example with a little further back, was there always 5 g Infrastructure Investments in europe, where suddenly a lot of countries decided that while we werent allowed to do that, even though a couple of years before, you know, that wasnt controversial, so i think its, its, its, its elements like that where suddenly economic projects and relationships that were on controversial suddenly being seen in a different light. And therefore, you know, it becomes controversial when we, when we talk about the German Companies that are exposed to china, all invest in china, do they tend to be certain ones in particular like the Car Manufacturers or is it a range of company . I so ranger companies, i would say that a big part of german manufacturing has some kind of relationship with china. This one i, they sell into china that got factory china, or the import, important, and manufacturing input from china. Right. And as i said before, is part it, depending on, on sort of where you are in that value chain and how big your relationship with china, you know, you might be able to, to, to, will increase yourself from that and, and go somewhere else. But thats very difficult to know. So before we see how quickly this moves, we can forget the china itself has had its own economic problems. Its had its very restrictive coping strategies. I thought for some German Companies to adapt to diversify way from china. Its possible, i think that a lot of western companies have been quite surprised with the turn in chinese politics. And so the, an economics and sort of post cover, it seems like she is galvanizing his power and china to come a little bit more centralized. And of course, the serial covered. I mean, theres no end to, to recover it because youre always going to have a case somewhere. And that obviously has probably, for some companies, or at least some Companies Must be thinking about revisiting their economic relationship with china at least as far as so further investments are concerned. You also have a real estate level that is now 1st thing in china. And so that also plays in, so yeah, i think they have, but of course china is still the market, but still it is this picture changing market in that sense, for sure, given the uncertainties facing europe and germany, specifically with energy and Energy Prices and recession and so on can germany, ford keep to keep its distance from china . I mean, i would say over time, you can afford anything you can just right. But, but in general, this idea that the west is now in a, in, and i said in an existential concert with china, the china is now necessary both economically and even militarily. Perhaps thats just not from, from your perspective at this point in time. Just not very good story. Europe is, is not very well. So with that, and i said its obviously known for, well, the european ally, usa, thats the road were going down. You know, europe only has one side here in it. Theres no sense in the end, but i think what were seeing in germany in is, is a reflection of the fact that at this point, thats just not a, a, in, in your interest, youre still has an interest in having some kind of relationship with china, even as china has changed something different, i think thats what thats that, thats what were seeing. Really interesting to talk to your class. Vista sen, chief, your zone economist pompeiian micro economics. Thank you for your time. Thank you. Ah. From devastating floods in pakistan to drown withered crops in east africa cult 27. Summit follows a year of extreme weather patterns. These disasters the estimated to cost the developing world more than half a trillion dollars in damages annually by 2030. And poor countries have been urging big polluters to pay compensation for the losses and damages that were already suffered as a result of the extreme weather. Now until now, climate financing has only focused on lowering Carbon Dioxide emissions and helping communities adapt. But this year for the 1st time, loss and damage compensation is top of the cop 27. 00 agenda. And the report says, developing nations need one trillion dollars a year in climate finance. But rich countries have so far failed to even deliver on an earlier pledge to raise a 100000000000. 00 a year by 2020 to support developing nations in reducing emissions and adapting to Climate Change. And now of course, with the ongoing when you crane and the cost of living and energy crisis, guessing governments from develop nations to agree to these measures is going to be difficult. Joining us from london is kathrina helen brown, vons an a, an shes the heads of Corporate Research and head clean tech at cobb and tracker. Thank you for joining us. Kathrina whos to blame for some of the Climate Change linked extreme weather events. Weve seen this year in parts of the developing world. Its very hard to say there is a blame and we know that theyre happening. We know what the cause of Climate Change are. They are clearly human. Its now the question of how do we come to a climate outcome and particularly now that the process is on a thought that allows us a half way but mitigates the was damage. I achieving a 1. 00 degrees scenario back in 2009 rich countries pledge this 100000000000. 00 a year in climate financing to help poor countries adapt to Climate Change. That was a voluntary system for adaptation and mitigation, rather than the reparation in damages that are going to be discuss this time route, given that target was not met. How optimistic are you that this whole idea of lawson damage will be successful . I think its a very difficult discussion, particularly in the current context, what you offer, assessment recessionary, economic environments, and many regions. It will be complicated. However cleverly, we need to think about financing mechanisms. We need to think about knowledge for Mechanism Technology support mechanisms and access to finance for developing nations. The whole idea of reparation. Reparations is. Hes usually contentious, isnt it . I mean, on developing countries concerned that providing funding could be construed as an admission of legal liability and then end up triggering claims on a, on a major scale. But really, there are a lot of complexities around that. Youve just mentioned some of them. I think it is an area where we think more about knowledge sharing. We think about various areas of financial support. One of the global north clearly has an ability to do that, or that can be various shapes of forms where you do not see that sort of legal risk and aware financial and technology and other support can happen. Ok, so lets talk about the fund itself. I mean, how, how do you go about setting up a fund like that . I mean, lots of details to get members to agree on where the money is coming from, how to raise the money, how, how which countries or disaster does qualify for the compensation. I mean, how, how do you put Something Like that together . Well, obviously requires a lot of for donation it internationally. It also requires a finance. It requires at the end of the day, what youre looking at, all of these things you need to, to look at privat