Latest news with #GiuseppeFonte
Yahoo
3 days ago
- Business
- Yahoo
Italy's 'merciless' demographic crisis is a spur to action, economy minister says
By Giuseppe Fonte and Alvise Armellini ROME (Reuters) -Italy's ageing population and low birth rate are among the main challenges for the euro zone's third largest economy, Finance Minister Giancarlo Giorgetti said on Wednesday, highlighting the potential risks for the country's shaky public finances. Births in Italy, the EU's third most populous country with a total population of nearly 59 million, hit a record low of some 370,000 in 2024. The fertility rate has slumped to 1.18, below an EU average of 1.38 in 2023, and far below the 2.1 needed for a steady population. "Italy is ageing, birth rates are falling, entire areas of the country are emptying. These merciless numbers must become a spur to action," Giorgetti said, addressing a parliamentary committee on the demographic crisis. Giorgetti highlighted what Meloni's government has done since it took office in late 2022 to help women have children, including tax breaks to allow them to keep on working and he said Rome would continue to move along this path. He said the demographic trend would put "significant pressure" on pension, health and long-term care spending, with a smaller workforce supporting growing numbers of pensioners. "The greatest effects are expected in the first half of the 2040s, when the generations of so-called baby-boomers will have left the labour force." Pensions already eat up more than 15% of GDP in Italy, and the government expects spending to reach 17% of output in 2042. Italy's public debt, already the second-highest in the euro zone after Greece, is expected to rise to almost 137.6% of gross domestic product in 2026 from 135.3% last year, based on the government's latest projections, before edging down to 137.4% in 2027. Giorgetti also said a shrinking population and mild inflation trends had allowed Italy's per capita GDP, measured at purchasing power parity, to catch up with that of France and reduce the gap with Germany. "This is not a comforting figure, as it is certainly indicative of the ongoing demographic decline," the minister said. "But it can nevertheless be read in a favourable light, considering that more resources have been generated for each Italian in the face of a falling population."
Yahoo
11-06-2025
- Automotive
- Yahoo
Italy resisting calls from Pirelli to tighten curbs on Chinese shareholder, sources say
By Giuseppe Fonte and Giulio Piovaccari ROME (Reuters) -The Italian government is resisting calls from Pirelli's executive vice-chairman Marco Tronchetti Provera to tighten curbs imposed on the tyremaker's Chinese investor, sources said. Chinese state group Sinochem is Pirelli's largest investor with a 37% stake, while Tronchetti Provera's Camfin vehicle holds a 27.3% shareholding. Tronchetti Provera has been the company's top boss for more than three decades. Pirelli itself and Camfin are at odds with Sinochem, claiming that its substantial holding poses a risk to Pirelli's ambitions to expand its business in the United States. Washington is cracking down on Chinese technology in the automotive industry, by banning key software and hardware from Chinese-controlled companies in connected vehicles on U.S. roads. Tronchetti Provera is lobbying the government to take further action to limit the Chinese influence at Pirelli, two sources familiar with the matter said, by strengthening the restrictions that Rome imposed on Sinochem in 2023 through the golden power rules aimed at protecting strategic assets. However, Prime Minister Giorgia Meloni's administration has so far rebuffed these calls, the sources added, asking not to be named due to the sensitivity of the matter. Rome's cautious stance partly stems from concerns it would rely excessively on its golden powers, one of the sources said, at a time when Italy faces a legal dispute with UniCredit over the way it uses the tool in vetting banking deals. All parties declined to comment. The government, which has ruled that Pirelli must not be subject to instructions from the Chinese investor, last November launched an investigation to check whether the presence of Sinochem executives on the tyremaker's board was in breach of these curbs. The inquiry is under way and before considering a harder stance on Sinochem, the government will at least check for violations of existing restrictions, the second source said. FAR APART Emanuele Orsini, the head of Italian business lobby Confindustria of which Pirelli is a leading member, called on the government to defend the autonomy of the Italian group. "Part of Pirelli's shareholding, which is now in the hands of the Chinese government, is not approving the balance sheets and is therefore jamming up Pirelli, so I think something has to be done," Orsini said on Wednesday. In previous remarks on Tuesday, Orsini argued Sinochem should cut its stake in Formula One tyre supplier Pirelli to below 25%. Talks over governance adjustments have so far failed, with Camfin and Sinochem remaining far apart. Last month, the Chinese company described a proposal put forward by Pirelli to solve problems as "seriously unfair", while Camfin said that Sinochem's approach could lead to breaking the shareholder pact still in place between the two largest investors. Should the agreement be dropped, Sinochem and Camfin would be in a position to present separate slates at Pirelli's shareholders' meeting (AGM) next year, with one of them potentially taking full control of Pirelli's board. Two separate sources told Reuters that Tronchetti Provera was relying on further government support through golden powers in the event of a final clash with Sinochem at the AGM. Pirelli has been posting good results despite ongoing struggles in the auto industry. Its net profit rose 27% in the first quarter, while revenues were up 4%. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
11-06-2025
- Automotive
- Yahoo
Exclusive-Italy seeks clarity from US over curbs on Pirelli due to Chinese investor
By Giuseppe Fonte ROME (Reuters) -The Italian government is seeking clarity from the United States amid concerns that Washington could impose domestic restrictions on Pirelli due to the tyremaker's Chinese investor, two sources familiar with the matter told Reuters. The previously unreported involvement of Italian officials in talks with U.S. counterparts on the matter comes as the U.S. moves to limit the sale of cars using some Chinese technologies. Pirelli's Chinese and Italian shareholders are in a dispute over the group's governance. China's state-controlled Sinochem is Pirelli's largest investor with a 37% stake, while Camfin, the vehicle of Italian businessman Marco Tronchetti Provera, holds 27.4%. Pirelli and Camfin have said that Sinochem's stake poses a risk to Pirelli's U.S. expansion ambitions. Washington has said it plans to ban key software and hardware from Chinese-controlled companies in connected vehicles on U.S. roads. Software prohibitions take effect in the 2027 model year, those on hardware in 2029. Asking not to be named due to the sensitivity of the matter, the sources said the Italian government was seeking clarity on whether the U.S. legislation would apply to Pirelli and, if so, to what extent. Rome is trying to help Pirelli in talks with Washington, one of the sources added. Prime Minister Giorgia Meloni's office and Pirelli declined to comment. Pirelli makes over 20% of its revenue in North America, and that percentage rises to 40% for its high-value products. Sinochem's stake in Pirelli could end up in Washington's crosshairs because the Italian group has developed technology allowing data from its so-called Cyber Tyres to be collected and transferred in real time to the vehicle. Tronchetti Provera has also lobbied the Italian government to take more action to limit Chinese influence at Pirelli, Reuters reported last week, by strengthening restrictions that Rome imposed on Sinochem in 2023 through so-called golden power rules aimed at protecting strategic assets. However, Meloni's administration has so far rebuffed these calls. Pirelli holds a shareholder meeting on Thursday to approve its 2024 financial report, which some Sinochem representatives on the board did not back. Last month, the Chinese company described a proposal from Pirelli aimed at solving governance problems as "seriously unfair", while Camfin said that Sinochem's approach could lead to a break in the shareholder pact still in place between the two largest investors. (Additional reporting by Giulio Piovaccari in Milan. Editing by Giselda Vagnoni and Mark Potter) Sign in to access your portfolio
Yahoo
09-06-2025
- Business
- Yahoo
Italy and Israeli Paragon part ways after spyware affair
By Giuseppe Fonte and Alvise Armellini ROME (Reuters) -Italy and Israeli spyware maker Paragon said they have ended contracts following allegations that the Italian government used the company's technology to hack the phones of critics, according to a parliamentary report on Monday and the company. Both sides said they had severed ties, giving conflicting accounts that triggered widespread criticism from opposition parties in Italy, while the journalists' federation FNSI called on prosecutors to investigate to ascertain the facts. An official with Meta's WhatsApp chat service said in January that the spyware had targeted scores of users, including, in Italy, a journalist and members of the Mediterranea migrant sea rescue charity critical of Prime Minister Giorgia Meloni. The government said in February that seven Italian mobile phone users had been targeted by the spyware. At that time the government denied any involvement in illicit activities and said it had asked the National Cybersecurity Agency to look into the affair. A report from the parliamentary committee on security, COPASIR, said on Monday that Italian intelligence services had initially put on hold and then ended their contract with Paragon following a media outcry. It was unclear when the contract was ended. However, COPASIR recalled that, addressing parliament on February 12, the government had said that it was still in place. The committee also added it found no evidence that Francesco Cancellato, a reported target and editor of investigative website Fanpage, had been put under surveillance using Paragon's spyware, as he had alleged to Reuters and other media outlets. In a statement quoted by Fanpage, Paragon said it stopped providing spyware to Italy when Cancellato's alleged involvement became public, and said the government declined an offer to jointly investigate whether and how he was spied upon. The company did not reply to requests for comment from Reuters. Opposition politicians called on the government to clarify the matter in parliament. Meloni's office declined to comment. The COPASIR report said Italy's domestic and foreign intelligence agencies activated contracts with Paragon in 2023 and 2024 respectively and used it on a very limited number of people, with permission from a prosecutor. The foreign intelligence agency used the spyware to search for fugitives, counter illegal immigration, alleged terrorism, organised crime, fuel smuggling and counter-espionage and internal security activities, COPASIR said. It added that members of the Mediterranea charity were spied on "not as human rights activists, but in reference to their activities potentially related to irregular immigration", with permission from the government. Undersecretary Alfredo Mantovano, Meloni's point man on intelligence matters, authorised the use of Paragon spyware on Mediterranea activists Luca Casarini and Beppe Caccia on September 5, 2024, the report said. Mantovano was not immediately available for comment. A Sicilian judge last month ordered six members of Mediterranea, including Casarini and Caccia, to stand trial on accusations of aiding illegal immigration, the first time crew members of a rescue vessel have faced such prosecution. All have denied wrongdoing.
Yahoo
09-06-2025
- Politics
- Yahoo
Italy has ended spyware contract with Paragon, parliamentary document shows
By Giuseppe Fonte and Alvise Armellini ROME (Reuters) -Italy has terminated a contract with Israeli spyware maker Paragon, a parliamentary document showed on Monday, following allegations that the Italian government used its technology to hack critics' phones. Paragon did not immediately respond to a Reuters request for comment. Meta's WhatsApp chat service said earlier this year Paragon spyware had targeted scores of users, including a journalist and members of the Mediterranea migrant sea rescue charity critical of Prime Minister Giorgia Meloni. The government said in February that seven mobile phone users in Italy had been targeted by the spyware. Rome denied any involvement in illicit activities and said it had asked the National Cybersecurity Agency to look into the affair. A newly published report from the parliamentary committee on security, COPASIR, showed that Italian intelligence services had initially put on hold and then ended their contract with Paragon following the media outcry. The report said Italy's domestic and foreign intelligence agencies had activated contracts with Paragon in 2023 and 2024 respectively and used it on a very limited number of people, with permission from a prosecutor. The foreign intelligence agency used the spyware to search for fugitives, counter illegal immigration, alleged terrorism, organised crime, fuel smuggling and counter-espionage and internal security activities, COPASIR said. It said members of the Mediterranea charity were spied on "not as human rights activists, but in reference to their activities potentially related to irregular immigration", with permission from the government. Undersecretary Alfredo Mantovano, Meloni's point man on intelligence matters, authorised the use of Paragon spyware on Mediterranea activists Luca Casarini and Beppe Caccia on September 5, 2024, the report said. Mantovano was not immediately available for comment. A Sicilian judge last month ordered six members of Mediterranea, including Casarini and Caccia, to stand trial on accusations of aiding illegal immigration, the first time crew members of a rescue vessel have faced such prosecution. All denied wrongdoing. The report found no evidence that Francesco Cancellato, a reported target and editor of investigative website Fanpage, had been put under surveillance using Paragon's spyware, as he had alleged to Reuters and other media outlets.
