Europe’s largest deposit of rare earths discovered in Sweden

Inflation rate in Argentina rises to almost 95 percent

(dpa) In the course of the severe economic and financial crisis in Argentina, the inflation rate in the South American country rose to 94.8 percent. The inflation rate last year reached its highest level in 30 years, as the statistics authority (INDEC) announced on Thursday. In 2021, the inflation rate in Argentina was still 50.9 percent.

“Our responsibility and our greatest challenge is to reduce inflation, because it is the fever of an ailing economy,” wrote Economy Minister Sergio Massa on Twitter after the figures were published. “This can be achieved through proper budget management, discipline, adherence to clear goals and a responsible approach in all areas.”

The inflation rate in Argentina is one of the highest in the world. To fund the budget deficit, the central bank is constantly printing fresh money. The second largest economy in South America suffers from a bloated state apparatus, low industrial productivity and a large shadow economy that deprives the state of a lot of tax revenue. The national currency, the peso, continues to depreciate against the US dollar, and the mountain of debt is constantly growing. Inflation in Argentina was now additionally fueled by the global situation such as the war in Ukraine and the disruptions in the supply chains.

Europe’s largest deposit of rare earths discovered in Sweden

(dpa) Significant deposits of rare earths have been discovered in the far north of Sweden, which are required for the construction of electric cars and wind turbines, among other things. As the Swedish mining group LKAB announced on Thursday, over a million tons of rare earth oxides were found near Kiruna. It is the largest known deposit of this type in Europe. It could become an important building block for the production of important raw materials that are absolutely crucial for the green transition, said company boss Jan Moström.

According to Moström, it is difficult to estimate how large the deposits are compared to others outside of Europe. The reason for this is that a large part of the mining is currently taking place in China and the size of the deposits there is unclear, he said at a press conference in Kiruna. It is clear, however, that the deposit in Sweden is also large in international comparison.

According to the LKAB, the road to the possible degradation of the metals is long. The first step is to apply for a dismantling permit. The plan is to submit a corresponding application later this year. In view of other approval processes in the industry, it should take at least 10 to 15 years before mining can actually begin and raw materials can be brought to market.

Mining projects like those in Sweden are to be given more support from Brussels. Ursula von der Leyen’s EU Commission wants to propose measures this spring to strengthen Europe’s strategic autonomy in relation to critical raw materials. One argument for this is that without this autonomy there can be no ecological and digital change. For important batteries, one is 100 percent dependent on imports, said Sweden’s Energy and Economy Minister Ebba Busch. We look forward to the Commission’s proposed proposals with great expectations.

Delivery problems depress sales in the VW group

(dpa)

The Volkswagen Group sold significantly fewer vehicles overall in the past year due to delivery problems with car electronics and the corresponding production problems. At the same time, sales of electric models improved significantly.

As VW announced on Thursday, worldwide deliveries in 2022 fell by 7 percent to 8.26 million cars compared to the previous year. The only growth region was Asia-Pacific, if you exclude the most important market there, China. Towards the end of the year, however, business stabilized noticeably again – the situation in connection with the lack of chips and the economic consequences of the corona restrictions in China had recently eased somewhat.

If you only look at vehicles with electric drive, the overall picture looks more positive: Here, the brands of the second-largest car company in the world achieved an increase of a good 26 percent to over 572,000 vehicles compared to the previous year. This means that 6.9 percent of all vehicles delivered were pure electric vehicles, explained VW.

ECJ ruling: Package travelers can demand money back because of Corona

(dpa)

The European Court of Justice (ECJ) strengthens the rights of holidaymakers in the event of corona restrictions. Under certain circumstances, package travelers can request their money back if the trip was made impossible due to corona measures. The ECJ decided on Thursday in Luxembourg.

The background is a case from Germany. The plaintiffs booked a two-week trip to the Canary Islands in March 2020. Two days after their arrival there, the beaches were closed and a curfew imposed due to the corona pandemic. Access to pools and loungers was forbidden in the hotel, and the animation program was completely stopped. The trip ended after seven days – so much earlier than planned. The plaintiffs then only wanted to pay 30 percent of the price for the vacation. The tour operator refused because he didn’t have to take responsibility for such a “general life risk”.

Under EU law, holidaymakers are entitled to a reduction in the price of the trip if the package tour does not conform to the contract – unless the tour operator can prove that the non-conformity was the fault of the traveller. The ECJ should now clarify whether the corona measures on Gran Canaria were in breach of contract.

The judges made a tourist-friendly decision: Corona measures can constitute such a breach of contract. The tour operators must be liable for this, regardless of whether the problems can be attributed to them. It doesn’t matter that similar corona restrictions applied at the same time at home. The case is now going back to the Munich Regional Court, which must take the ECJ case law into account when making its decision.