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Some stories have mundane beginnings, while others strike like lightning. Only occasionally is it both.  In today’s newsletter, we share the story behind our new feature on the disaster industrial complex, and how it’s playing out in western North Carolina in the wake of Hurricane Helene.

Plus, a nonprofit has resurrected the billion-dollar disaster database the Trump administration killed. The findings show that the first half of the year was the costliest such period on record.

EU leaders gather today in Brussels divided over how fast and how far to push the green transition, with countries worrying their economies can’t absorb the rising costs of meeting emissions targets.  

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Repair and prepare

By Eric Roston

When I visited Asheville in May, eight months after Helene ripped through the region, debris and destruction still lay everywhere. 

I walked an industrial strip on Riverside Drive, which runs along railroad tracks and the French Broad River. Businesses there sell — or in some cases, used to sell — auto parts, fuels, clays and ceramics, and rubber and gaskets.

The devastation was a lot to take in. As I was surveying the wreckage, though, one new thing in my field of vision suddenly caught my attention: the gravel under the railroad tracks. 

Asheville’s River Arts District is still recovering from Helene’s damage. Photographer: Mike Belleme/Bloomberg

The most mundane of materials jumped out not because of what it said about the destruction that left more than 108 dead in North Carolina and caused $60 billion damage in the state, but what it said about recovery.

I’d come to Asheville armed with research conducted by Bloomberg Intelligence’s Andrew John Stevenson, showing that 36% of US economic growth this century can be linked to spending on recovering from disasters or preparing for the next one. My job was to come back with a story that showed how what we’re calling the disaster industrial complex works in action, bringing civilization back to a place instantly stripped of it during cataclysmic events like Helene. 

Standing there on the side of a road staring at gravel, it all came together. Helene had cut off Western North Carolina from the outside world for a time. No telecommunications, power, water or transportation. 

But if there was new gravel under the tracks, that meant trains could come back. If trains could come — and Norfolk Southern announced that week it started service to and from Tennessee again — they could bring in construction materials and carry out felled trees. Trains on new tracks and trucks running over rebuilt highways could bring in food, grain and malt. 

With the latter, Asheville’s famous beer economy could start brewing again. And where there is beer, there is civilization.

The disaster industrial complex, it turns out, is a network of supply chains that help people and governments reboot after catastrophes. Dozens of interviews revealed how a single brewery relies on a world of invisible global partners — on top of its own heroic efforts — to fill kegs again. 

When I explained the disaster industrial complex research to economist Matthew Kahn of the University of Southern California, he brought up Milton Friedman’s famous explanation of how a pencil is made: Nobody knows. 

“Literally thousands of people cooperated to make this pencil, people who don’t speak the same language, who practice different religions, who might hate one another if they ever met,” Friedman once said.

As with pencils, so it is with beer: It takes a global village. There are customers of customers of customers and suppliers of suppliers of suppliers — the disaster industrial complex.

From now on, when anyone asks where stories come from, I may just answer, “Sometimes the gravel under the tracks is new.”

Read the first story in our series on the disaster industrial complex, a series that looks at the business of defending against and rebuilding from climate disasters and how it increasingly drives the economy

Meet the new disaster economy

$7.7 trillion
The amount of spending related to recovering from or preparing for disasters in the US since 2000, according to research by Andrew John Stevenson, a senior analyst at Bloomberg Intelligence. The amount is 36% of all the growth in the country's GDP over that period.

A unique crystal ball

“We actually have knowledge of what the future looks like, in terms of climate, in a way that we don’t have in anything else in the markets.”
Sarah Kapnick
Global head of climate advisory, JPMorgan Chase & Co

A disaster database returns

By Lauren Rosenthal

A resident reacts as she visits her childhood home destroyed by the Eaton Fire Photographer: Kyle Grillot/Bloomberg

The US saw more than $101 billion in losses from severe storms and fires in the first half of 2025, setting a record.

That's according to a database of billion-dollar disasters that a nonprofit has re-launched since the Trump administration formally abandoned work on it in May.

In a new analysis published Wednesday, scientists tallied damage from severe weather events through June, which has become the costliest such period in 45 years of records. The analysis, which the National Oceanic and Atmospheric Administration ran for more than a decade, has been picked up by the nonprofit Climate Central.

Much of the damage in 2025 stems from devastating fires in Los Angeles. Spring tornado outbreaks and severe thunderstorms in the central and southern US account for more than $40 billion in losses,  said Adam Smith, the former NOAA scientist now managing the disaster database for the group. The analysis is based on the same underlying data and methods used at NOAA.

Read the full story here.

This week on Zero

A red star is removed from the top of a factory in Budapest Photographer: P.E VARKONYI/AFP

From trade wars to skyrocketing tech valuations, governments and investors seem to be making economically irrational moves. As the world heads into another global climate summit, there is a need for fresh thinking to bring countries back to work on the urgent challenge of climate change. This week on Zero, political economist Abby Innes tells Akshat Rathi what governments are getting wrong about addressing the problems we face and how to reimagine economics for the climate era.

Listen now, and subscribe on AppleSpotify or YouTube to get new episodes of Zero every Thursday.

More from Green

EU leaders in today’s summit in Brussels Photographer: Simon Wohlfahrt/Bloomberg

EU leaders arrive in Brussels today divided over how fast and how far to push the green transition. A key flashpoint is the European Commission’s plan to cut emissions 90% by 2040 from 1990 levels. Leaders are unlikely to agree to a specific target at the summit, instead focusing on “enabling conditions” aimed at shielding businesses and consumers from higher bills that could spark voter backlash.

The challenge today will be finding common ground among countries with unequal energy resources, wealth, and industrial muscle. It’s becoming clear that climate is slipping down the list of priorities as governments seek to ramp up defense spending and avoid trade conflicts.

Senior EU diplomats speaking on the condition of anonymity said that conclusions drafted before the summit struck a delicate balance between ambitious countries and more skeptical nations, but cautioned that it could all unravel once leaders enter the room.

Read the full story here and subscribe to Bloomberg News for unlimited access to breaking stories.

The UK should row back on its flagship goal to decarbonize its electricity supply by 2030 and focus on keeping down costs, according to the Tony Blair Institute.

Chinese wind engineers question whether renewable power has become too cheap to make investments worth it. 

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