A1SaudiArabia.com

BRUSSELS – European Union countries are in a deepening dispute over an Italian proposal to temporarily drop import tariffs on dozens of raw industrial goods, a move supposed to help EU manufacturers weather the economic crisis.

The Italian proposal was put to the European Commission, the EUs executive, several months ago, prompting the Commission to ask other EU member states for their input.

Read More

SOFIA – Bulgaria and Greece boosted bilateral ties in talks Tuesday that nonetheless failed to overcome uncertainties on the fate of a Russia-backed oil pipeline project, officials said.

Greek Prime Minister George Papandreou reiterated Greek interest in building the 280-kilometre (174-mile) pipeline from the Bulgarian port of Burgas to Alexandroupolis in Greece.

The line would carry Russian oil from the Caspian Sea to Europe, bypassing the busy Bosphorus strait.

Read More

JEDDAH – Siemens VAI Metals Technologies received an order to modernize electric arc furnace for Saudi Iron and Steel Company. The plant will be equipped with a new hydraulic system which will improve the efficiency, availability and productivity of the furnaces. The project is scheduled to be finished in the fall of 2010.

Electric Arc Furnace No 1 in Hadeeds steel works in Al Jubail will be fitted with a new hydraulic system, lifting columns for the carbon electrodes and current-conducting electrode arms. An integrated automation solution based on Simatic S7 will also be installed in the Al Jubail works. Siemens Al Khobar, the Saudi subsidiary will handle the migration of the current process control system. The modernized hydraulic system will shorten the melting times of the furnaces, increasing efficiency and productivity and reducing operating costs.

Read More

PARIS – European bank stress tests will themselves be tested Monday when investors return to markets in Europe and Asia with a verdict on an unprecedented bid to restore confidence in the EU banking sector.

Market reaction will be crucial to determining if tests on the financial health of 91 European Union banks, published Friday, have dispelled suspicions that somewhere in their balance sheets lurk unrevealed problems and incorrectly priced risks.

Read More

MADRID – Spanish Prime Minister Jose Luis Rodriguez Zapatero warned Sunday that his government will adopt more unpopular measures if needed to revive Spains economy and reduce the public deficit.

“I know very well that the measures which I have adopted are unpopular. I am going to apply these measures and maintain them,” he said in an interview with the El Pais newspaper.

Read More

TEHRAN/ANKARA – Irans Oil Ministry said the country had signed a 1 billion euro ($1.3 billion) pipeline deal to take gas to Turkey and a Turkish firm called Som Petrol said it was the partner in the project.

“The one billion euro deal to build 660 km gas pipeline was signed on Thursday during the Iranian Oil Ministers trip to Turkey,” the Iranian ministry said in a statement on Friday.

Read More

BAGHDAD – Improved security is allowing Iraq to rebuild its shattered industry but up to $7 billion is needed to help the sector recover from years of war and sanctions, the industry minister told AFP.

“At the present estimate, I would think it will require between $5 and $7 billion (3.9 to 5.5 billion euros) of investment” to “re-invent the industrial sector in Iraq in a modern way,” Fawzi Hariri said in an interview.

Read More

FARNBOROUGH, England – Arch rivals Boeing Co. and Airbus announced new orders worth almost $13 billion at the start of the Farnborough International Airshow on Monday, raising hopes that the aviation industry is on the way back up after a dire two-year slump.

The aerospace market “has come back faster than we expected” and Boeing has twice raised its internal forecasts for the number of orders at the biennial show, said Boeing Commercial Airplanes President Jim Abaugh.

Read More

BRUSSEL – The markets have given Europe some respite in its struggle against debt but the EU faces a moment of truth this week with tests that will show whether banks can survive a new economic cataclysm.

European Union governments hope the results of “stress tests” on the banking industry, which will be released Friday, will reassure investors worried about the banks exposure to the continents sovereign debt crisis. “It is clear to my mind that the stress test exercise is of paramount importance to restore confidence in the European economy,” European Economic Affairs Commissioner Olli Rehn said this week.

Read More

JEDDAH – The Saudi Binladin Group (SBG) issued a SR700 million ($187 million) Islamic bond or Sukuk on July 12 through a private placement to Saudi investors as the Jeddah-based company expands its operations.

The Sukuk was offered to Saudi sophisticated investors and issued through Saudi BinLadin Sukuk Co., was more than 2.5 times oversubscribed, lead manager HSBC Saudi Arabia said in a statement on Saturday.

Read More