Founded by Max Farndale 1947 - 2018
ABB has announced the launch of the world’s first digital distribution transformer at the ABB Customer World event in Houston, Texas.
According to the conglomerate, the new TXpert™ will be able to provide information to maximize reliability, while optimizing operating and maintenance costs.
With integrated sensing and monitoring technology, the transformer’s system will be able to collect this data, storing and analyzing it in order to offer insights on its operations.
| An ABB release \ March 27, 2017 |||
The first three months of 2017 have brought several surprises that can possibly impact the global transformer industry. These article series will examine the possible impacts that these events could have on the global transformer industry. Only time will tell which if any of these events will come to pass.
January 2017 saw the inauguration of a new president in the United States and a major shift in how the U.S. will look at the world as stated by President Trump in his inaugural address, ‘Buy American & American Made’ being a prime focus. ABB announcing the close of a plant in New Zealand. The British Parliament’s vote to confirm BREXIT. And finally the commissioning of a new GOES production line in Brazil. These are just a few of the events that we examine.
Part I of this report will concentrate on events that can possibly impact global transformer manufacturers. Part II will focus on the possible impacts to the North American transformer industry.
Let’s start with recent BREXIT vote in the United Kingdom. We now know that the UK Parliament will activate Rule 50 on March 29th. In response the EU Commission has stated that terms of the departure will be such that no other country will want to leave the EU.
What will BREXIT do to the transformer industry? Will the UK maintain the import duties on grain oriented electrical steel (GOES)? What about efficiency standards?
Duties on GOES crossing the Channel?
At this point UK does have a mill producing grain oriented electrical steel (GOES), the CORUS Division of Tata British steel. It is possible that with BREXIT that the EU will look at this mill in the same light that they have with mills in Japan, China, South Korea, Russia and the United States. In that case there would be duties on GOES crossing the Channel.
Which brings us to the Tata British Steel / ThyssenKrupp joint venture. Currently Tata British Steel is in negations with ThyssenKrupp to merge Tata’s specialty steel division. Will ThyssenKrupp want to have production facilities across the Channel in a non-EU country with the possibility of import duties, or will they want to move that capacity into their plants in France and Germany?
Experts stated in 2016 that the UK, on its own, could not meet the EU 2020 Efficiency Standards. Not being a member of the EU, will they decide to adhere to the 2020 Efficiency Standard or will they decide to adopt a less strict standard. If the UK adopts a less strict standard will UK transformer companies be forced to produce a line of transformers for export to the EU and a separate design of the UK.
In recent years we have seen the EU transformer industry out-sourcing their transformer core manufacturing. Much of this has gone to Turkey and the Middle East. Some of the reasoning for this has been the duties imposed by the EU on imported GOES and the continued efforts to reduce costs.
EU transformer manufacturers should be concerned about their supply chain
With the relations between the EU and Turkey becoming more strained, should European transformer manufacturers be concerned about their supply chain, not only, for cores but also magnet wire.
The global GOES supply is undergoing changes also.
In 2016 Allegheny Technologies announced that they were leaving the GOES market, while in China the merger of Baosteel and Wuhan Iron & Steel (WISCO) was announced. This meant that the United States lost one of it’s two GOES producer and 115,000 tons of capacity.
The merger of Baosteel and WISCO could represent a reduction in Chinese GOES capacity since neither company has been operating their GOES facilities at capacity for at least the past year.
Just recently AK Steel has stated that they expect reduced shipments of GOES through the first half of 2017.
To offset these concerns, Aperam has just commissioned a new GOES processing line at their Brazilian operation allowing them to produce HiB. This would be a first for South America.
In India, late 2016 the Russian steel producer NLMK signed a LOI with the Indian government to build a mill in India capable of producing GOES. Maybe they will have better luck than POSCO.
| A Power Transformer release | March 27, 2017 |||
An agreement to boost New Zealand-China trade was today signed by Customs Minister Nicky Wagner and China’s Ambassador, His Excellency Mr Wang Lutong.
The Mutual Recognition Arrangement (MRA) ensures border agencies in New Zealand and China recognise one another’s trusted exporter programmes.
“New Zealand and China Customs enjoy a strong working relationship. This arrangement will further strengthen ties by helping streamline the movement of goods,” Ms Wagner says.
“Companies signed up to New Zealand Customs’ Secure Export Scheme will automatically benefit from faster cargo clearance, reduced document checks and less examination.”
The MRA will come into effect on 1 July 2017. More details on the implementation and benefits will be provided to New Zealand exporters and Chinese importers in the coming months.
China and New Zealand Customs also recently launched a Joint Electronic Verification System, which automatically sends New Zealand’s Certificate of Origin data to China for greater assurance over the authenticity of goods.
| A Beehive release | March 27, 2017 |||
New Zealand has enhanced its air service agreement with China by 20 per cent Transport Minister Simon Bridges announced today.
“New Zealand and Chinese airlines can now operate 59 passenger services per week,” Mr Bridges says.
“We’ve seen strong growth with visitors from China and we expect this to continue. China is our second largest source of visitors after Australia, so it’s important that we have the appropriate agreements in place to support this.
“The amendment will also allow additional airlines to enter the market, ensuring a competitive environment that will benefit New Zealand and Chinese travellers.
“Officials also have the opportunity to further expand the agreement later this year if certain conditions are met.
“Chinese airlines can now operate between airports in New Zealand during the course of their international service, allowing airports that do not receive flights by Chinese airlines the opportunity to do so.
“We have progressively enhanced this agreement. In 2014 the agreement provided 42 offerings per week and was increased in 2016 to 49. We will continue to work towards an open skies agreement with China,” Mr Bridges says.
Five Chinese airlines currently operate to New Zealand and a sixth, Sichuan Airlines, will enter the market in June.
“New Zealand is committed to liberalising air services, allowing for competitive markets, increased air traffic, lower air fares and stronger international trade links,” Mr Bridges says.
New Zealand now has 61 air service agreements with countries and territories with a further 20 awaiting signature.
Arrivals from China in 2016 were 421,000 – an increase 12 per cent (54,000) from 2015.
| A Beehive release | march 27, 2017 |||
New Zealand and China will begin talks on an upgrade of the Free Trade Agreement between the two countries on April 25, Prime Minister Bill English announced today.
The announcement followed official talks between the Prime Minister and Chinese Premier Li Keqiang in Wellington today.
“The FTA with China has been an enormous success,” Mr English says.
“Since coming into force in 2008 two-way trade between our two countries has tripled to $23 billion, creating jobs and opportunities for people in both countries. An upgrade will ensure this momentum continues and ensure that the FTA remains a modern agreement that tackles barriers our exporters face. It will assist progress towards our target of $30 billion two-way trade by 2020.
“The agreement to commence of negotiations also confirms the commitment of both countries to open trade and economic growth,” Mr English says.
“Trade openness and strong ties in the region are critical to New Zealand’s economic growth, prosperity, and job creation.”
Mr English says today’s meeting with Premier Li provided an opportunity to reflect on the successes achieved since New Zealand established diplomatic relations with China 45 years ago, and to set the agenda for the future.
“Premier Li and I also reiterated the value we see in people-to-people links between our two countries, including the nearly 35,000 Chinese students studying in New Zealand, and the 400,000 Chinese who visit annually.
“Both countries also confirmed their commitment to open trade, sustainable development, and stability in the Asia-Pacific region.
In addition to agreeing a date for talks to begin on a FTA upgrade, the two leaders also announced a number of other initiatives, including:
This is the Premier’s first visit to New Zealand as Premier, but he previously visited as Vice Premier in 2009.
“It was a pleasure to host Premier Li in New Zealand once again, together with his wife Madame Cheng Hong.
“I look forward to hosting them both at a China-New Zealand Gala in Auckland tomorrow.”
Related DocumentsList of Initiatives announced between China and New Zealand (pdf 213.9 KB)
| A Beehive releas | march 27, 2017 |||
Downer mounts A$1.2 billion takeover for Spotless Group
Ξ Rodd & Gunn Branching Out in the US
Ξ P3 is the mantra for Kiwi business in India
Ξ While you were sleeping: Wall St falls as investors consider Trump's recent decisions
Ξ China FTA upgrade talks to begin next month
Ξ Chinese Premier Li rejects steel dumping claim, cites larger NZ dairy exports
Ξ NZ US Council to take Trade Agenda 2030 to Washington
A number of US steelmakers are expanding capacity and upgrading mills in the same region where Australian company BlueScope Steel operates its highly profitable North Star mill.
According to BlueScope, its North Star mill in Ohio achieved a profit of $211 million in the first half of 2016-17, which accounted for 35 per cent of its overall profit. This is double the profit from the year prior.
With rivals getting wind of this, a number have announced expansions and upgrades of their Ohio plants, supported by new policies from US President Donald Trump designed to stimulate local manufacturing.
For example, Nucor recently announced its plan to spend US$85 million (AU$111 million) to upgrade a steel mill in Marion, Ohio, in order to keep a “cost-competitive position”. Charter Steel also announced its plan to build a new $150 million steel mill in Cuyahoga Heights in Ohio, and US Steel has stated its intention to spend up to US$200 million on steel mill expansions.
According to Deutsche Bank analyst Paul Young, producers are being incentivised to bring under-utilised capacity back into market as demand increases. Despite Trump’s protectionism policies and higher tariffs on imported steel, increased US steel mill utilisation is expected to limit profit margin expansion, said Young.
| A ManufacturersMonthly release | March 27,2017 |||
It's always a buzz to see whatt's going on on the factory floors of businesses in New Zealand. Here is a prime example of innovation, persistance and application about Nick Fentan MD of Tino Marine and published in the mornings NZHerald . . .
> > > Continue here to read the article in full with images . . .
New Zealand Post this last week signed an agreement with the Henan Bonded Logistics Centre (HNBLC) and Trademonster that will simplify access for New Zealand companies to one of world’s largest consumer markets.
The signing, at New Zealand Post’s Auckland Operations Centre on Wednesday, was attended by senior representatives of the People’s Government of Henan Province, including Chen Run’er, the Governor of the Province.
HNBLC processes more than 90 million domestic parcels in China, and more than half of all cross border ecommerce trade. Trademonster has a strategic alliance with NZ Post and has strong relationships with the major ecommerce platforms in China, which is key for New Zealand SME businesses looking to enter China.
NZ Post chief executive Brian Roche said the agreement is testament to the trust and loyalty that has been developed between the New Zealand Government and the Henan Government.
“Chief Executive of Henan Imported Materials Public Bonded Center Group Co Ltd Madam Xu Ping brought her senior team to New Zealand to meet with our heads of business and to consolidate the business trading lanes that are now actively open between our two countries.
“This provides New Zealand traders with simplified access to one of the largest consumer markets in the world.”
Dene Green, General Manager of NZ Post International, said the Trademonster relationship, which is headed by Managing Director Gavin Yang, is one of the most exciting and supportive cross-border agreements NZ Post has ever had.
“NZ post carried more than 7 million items between New Zealand and China last year. Supported by strong relationships such as these, this is forecast to grow by up to 15% over the next 12-18 months as more Kiwis shop online and more Kiwi companies grow their ecommerce capability and sell into overseas markets.”
| An NZPost release | March 27, 2017 |||
In 2012 it was reported, based on a Public Trust survey, that over half of New Zealanders over the age of 18 don’t have a will! Since that time it appears little has changed, as Public Trust referred to the same statistic in its 2016 Annual Report. It’s even worse for younger people, where 66% of 25 to 39 year olds don’t have a will.
Given that wills are so important, how can this be?
Public Trust thought that part of the problem is that many people believe that if they die without having made a will, their entire estate would automatically go to their partner, so they wouldn’t need a will. Of course that is not what actually happens, and there is a need for ongoing education on the need for a will and the issues that can arise without one.
Younger people may also believe that don’t have any assets, which is unlikely to actually be the case at the time they die, particularly when KiwiSaver is taken into account.
There are likely to be other reasons though:
Over the past few months we’ve been looking hard at this issue with leading wills and trusts lawyer Matt Hay, of Succeed Legal. We just didn’t feel that the existing situation is anywhere near good enough, and wanted to do something about it.
Then we hit on an idea. At LawHawk we have been wanting to create a free document that anyone can use, without obligation, to see just how powerful our HotDocs document automation solution really is. Rather than create a pretend document people could play with, we thought why not create a real will that anyone can use for free in the privacy of their own home? That would resolve any issues of cost or emotional difficulty. They can play with various options, and see what their will might actually look like in real time.
Of course there’s a concern that non-experts using a real will could get themselves into trouble, which is why there’s a need for expert advice and we still want to see people using lawyers for wills. Maybe more will if they know it will be easy and affordable. We decided to strip out some of the more complex options which are in our paid version that is better suited for lawyers to use, and to make it really easy for people to get help from Matt and his team at Succeed Legal, or any other law firms that would like to work with our will to offer high quality advice to will makers at great value.
Lawyers - join our legal directory here
Most wills – particularly for those who currently don’t have them - are likely to be quite simple, and would involve the will maker giving everything to their partner, or if they had also passed away, to their children. Additionally, the will maker should make clear who will be guardian to any minor children, and what they want to happen to their body. This is all possible within the completely free version.
Available until 30 April
We’re planning to run the free will as a trial until 30 April to see how it goes. We would love to see as many people as possible try the will during that time and, if they’re happy with the outcome, drop those terrible numbers of people without wills.
The system – both free and paid versions - is also open to any lawyers and trustee companies who would like to use it. Please just get in touch if you have any questions, and we are happy to offer training so you can provide your clients with high quality and efficient additional advice.
The intestacy process costs both time and money, and lack of clarity as to the will maker’s intentions can lead to ugly family disputes. This could make a real difference to the lives of many New Zealanders. If you know anyone who doesn’t have a will, or whose will may no longer be up to date, please encourage them to do something about it this month. It will only take a few minutes, and there is no cost. What is there to lose?
| A LawHawk release | March 26, 2017 |||
Palace of the Alhambra, Spain
By: Charles Nathaniel Worsley (1862-1923)
From the collection of Sir Heaton Rhodes
Oil on canvas - 118cm x 162cm
Valued $12,000 - $18,000
Offers invited over $9,000
Contact: Henry Newrick – (+64 ) 27 471 2242
Mount Egmont with Lake
By: John Philemon Backhouse (1845-1908)
Oil on Sea Shell - 13cm x 14cm
Valued $2,000-$3,000
Offers invited over $1,500
Contact: Henry Newrick – (+64 ) 27 471 2242
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