The US Department of Commerce on July 17 announced preliminary anti-dumping duties of 93.5 per cent on graphite-based anode materials imported from China, a move that significantly escalates trade tensions in the electric vehicle (EV) supply chain. The ruling comes after a months-long investigation revealed Chinese producers were selling graphite at unfairly low prices in the US market, undermining domestic manufacturers. The penalties apply to graphite anode materials with a minimum carbon purity of 90 per cent by weight, including synthetic, natural, or blended graphite—a critical component in lithium-ion EV batteries. Imports of these materials from China totalled $347.1 million in 2023, as per the Commerce Department, and nearly two-thirds of all US graphite imports originated from Chinese suppliers, according to BloombergNEF.<h2>Total penalties now exceed 160%</h2>This latest decision adds to a growing list of tariffs and duties imposed on Chinese graphite. In May, the Commerce Department imposed countervailing duties of 6.55 per cent for most producers, but as high as 721 per cent for specific firms like Huzhou Kaijin New Energy and Shanghai Shaosheng. When combined with the existing 25 per cent Section 301 tariffs and 30 per cent retaliatory duties, the effective import penalty now exceeds 160 per cent.The anti-dumping and countervailing duty petitions were filed by the American Active Anode Material Producers, a coalition including firms such as Anovion Technologies, Syrah Technologies, and Novonix Anode Materials. The Commerce Department is expected to issue a final determination by December 5, 2025.<h2>Automakers, battery suppliers push back</h2>Major EV players, including Tesla and battery supplier Panasonic, had lobbied against the new tariffs, arguing that US producers are not yet capable of meeting the scale and quality standards required for mass production. The announcement sent Tesla shares down by 1.4 per cent on July 17.“This move adds roughly $7 per kilowatt-hour to battery costs—nearly 20 per cent of the value of US battery tax credits,” Sam Adham, head of battery materials at CRU Group, told Bloomberg. “That could erase one to two quarters of profits for Korean battery makers operating in the US.”The tariffs come amid increasing efforts by the US to reduce reliance on Chinese critical minerals, a concern highlighted by the International Energy Agency (IEA), which recently classified graphite as among the most supply-risk-exposed battery materials.As Washington prioritises energy security and EV supply chain resilience, the ruling may accelerate domestic investments, but it could also raise short-term costs for automakers and slow EV adoption in the US.

Major EV players, including Tesla and battery supplier Panasonic, had lobbied against the new anti-dumping duties, arguing that US producers are not yet capable of meeting the scale and quality standards required for mass production. 

The US Department of Commerce on July 17 announced preliminary anti-dumping duties of 93.5 per cent on graphite-based anode materials imported from China, a move that significantly escalates trade tensions in the electric vehicle (EV) supply chain. The ruling comes after a months-long investigation revealed Chinese producers were selling graphite at unfairly low prices in the US market, undermining domestic manufacturers. The penalties apply to graphite anode materials with a minimum carbon purity of 90 per cent by weight, including synthetic, natural, or blended graphite—a critical component in lithium-ion EV batteries. Imports of these materials from China totalled $347.1 million in 2023, as per the Commerce Department, and nearly two-thirds of all US graphite imports originated from Chinese suppliers, according to BloombergNEF. Total penalties now exceed 160% This latest decision adds to a growing list of tariffs and duties imposed on Chinese graphite. In May, the Commerce Department imposed countervailing duties of 6.55 per cent for most producers, but as high as 721 per cent for specific firms like Huzhou Kaijin New Energy and Shanghai Shaosheng. When combined with the existing 25 per cent Section 301 tariffs and 30 per cent retaliatory duties, the effective import penalty now exceeds 160 per cent. The anti-dumping and countervailing duty petitions were filed by the American Active Anode Material Producers, a coalition including firms such as Anovion Technologies, Syrah Technologies, and Novonix Anode Materials. The Commerce Department is expected to issue a final determination by December 5, 2025. Automakers, battery suppliers push back Major EV players, including Tesla and battery supplier Panasonic, had lobbied against the new tariffs, arguing that US producers are not yet capable of meeting the scale and quality standards required for mass production. The announcement sent Tesla shares down by 1.4 per cent on July 17. “This move adds roughly $7 per kilowatt-hour to battery costs—nearly 20 per cent of the value of US battery tax credits,” Sam Adham, head of battery materials at CRU Group, told Bloomberg. “That could erase one to two quarters of profits for Korean battery makers operating in the US.” The tariffs come amid increasing efforts by the US to reduce reliance on Chinese critical minerals, a concern highlighted by the International Energy Agency (IEA), which recently classified graphite as among the most supply-risk-exposed battery materials. As Washington prioritises energy security and EV supply chain resilience, the ruling may accelerate domestic investments, but it could also raise short-term costs for automakers and slow EV adoption in the US.

Major EV players, including Tesla and battery supplier Panasonic, had lobbied against the new anti-dumping duties, arguing that US producers are not yet capable of meeting the scale and quality standards required for mass production.&nbsp;

US slaps 93.5% anti-dumping duty on Chinese graphite imports, escalating EV supply chain pressure

US President Donald Trump on Sunday (Jun 29) appeared to downplay concerns about recent aggressive actions linked to China — including the arrest of two Chinese nationals accused of smuggling a dangerous agricultural pathogen into the United States — saying such moves are simply part of how global affairs operate. Talking to Fox News, Trump said, "that's the way the world works".<h2>'It's a nasty world'</h2>Appearing on a Fox News morning show, Trump was asked about a string of alleged Chinese misconduct — from intellectual property theft and cyber espionage to COVID-19-related controversies. In answer, Trump suggested that the US itself engage in similar behaviour. "You don't think we do that to them? We do, we do a lot of things," he said, without elaborating. "That's the way the world works. It's a nasty world," he added.His comments come just weeks after federal prosecutors charged Yunqing Jian, 33, and Zunyong Liu, 34, with conspiracy, false statements, visa fraud and attempting to smuggle Fusarium graminearum into the US. The fungus, which causes a disease known as 'head blight,' can severely damage crops like wheat, barley, corn, and rice.Trump seemed untroubled by the case, casting doubt on its wider implications. "You don't know where that came from, though. I mean, did that come from the country, or is that three wackos that happened to carry something?" he said.Trump also suggested that ties with Beijing remained manageable. Referring to the ongoing US-China trade war, he said, "We're getting along well with China." Seemingly referring to ongoing trade negotiations, he said, "I think getting along with China is a very good thing, but they are paying substantial tariffs."The comments come as the White House signalled trade progress with Beijing last week. AFP, citing a White House official, reported that the two nations have reached an understanding on issues including expediting rare earth shipments to the United States.

When asked about a string of alleged Chinese misconduct, Trump suggested that the US itself engage in similar behaviour. "You don't think we do that to them? We do, we do a lot of things," he said, without elaborating.

US President Donald Trump on Sunday (Jun 29) appeared to downplay concerns about recent aggressive actions linked to China — including the arrest of two Chinese nationals accused of smuggling a dangerous agricultural pathogen into the United States — saying such moves are simply part of how global affairs operate. Talking to Fox News, Trump said, "that's the way the world works". 'It's a nasty world' Appearing on a Fox News morning show, Trump was asked about a string of alleged Chinese misconduct — from intellectual property theft and cyber espionage to COVID-19-related controversies. In answer, Trump suggested that the US itself engage in similar behaviour. "You don't think we do that to them? We do, we do a lot of things," he said, without elaborating. "That's the way the world works. It's a nasty world," he added. His comments come just weeks after federal prosecutors charged Yunqing Jian, 33, and Zunyong Liu, 34, with conspiracy, false statements, visa fraud and attempting to smuggle Fusarium graminearum into the US. The fungus, which causes a disease known as 'head blight,' can severely damage crops like wheat, barley, corn, and rice. Trump seemed untroubled by the case, casting doubt on its wider implications. "You don't know where that came from, though. I mean, did that come from the country, or is that three wackos that happened to carry something?" he said. Trump also suggested that ties with Beijing remained manageable. Referring to the ongoing US-China trade war, he said, "We're getting along well with China." Seemingly referring to ongoing trade negotiations, he said, "I think getting along with China is a very good thing, but they are paying substantial tariffs." The comments come as the White House signalled trade progress with Beijing last week. AFP, citing a White House official, reported that the two nations have reached an understanding on issues including expediting rare earth shipments to the United States.

When asked about a string of alleged Chinese misconduct, Trump suggested that the US itself engage in similar behaviour. "You don't think we do that to them? We do, we do a lot of things," he said, without elaborating.

Trump downplays China threat after pathogen smuggling case, says 'That's the way the world works. It's a nasty world'

A fragile US-China trade&nbsp;truce appears to be back on track after months of brinkmanship, retaliatory tariffs and curbs on critical exports.&nbsp;&nbsp;US President Donald Trump has now declared that a new deal with China has been finalised the pending formal approval from Chinese President Xi Jinping.&nbsp;The agreement, reached after two days of intense negotiations in London, includes key concessions on rare earth exports, provisions for Chinese students to study in the US, and the imposition of fixed tariffs, marking a potential de-escalation in a trade war that has rattled global markets for months.<h2>Trump says the deal is done</h2>Speaking at Washington’s Kennedy Center on Wednesday, Trump told reporters, “We made a great deal with China. We’re very happy with it. We have everything we need, and we’re going to do very well with it. And hopefully they are too,” as quoted by Reuters&nbsp;&nbsp;The president also confirmed the breakthrough via a post on his social media platform Truth Social: “Our deal with China is done, subject to final approval with President Xi and me. Full magnets, and any necessary rare earths, will be supplied, up front, by China. Likewise, we will provide to China what was agreed to, including Chinese students using our colleges and universities (which has always been good with me!). We are getting a total of 55% tariffs, China is getting 10%.”&nbsp;Trump’s comments followed what officials described as “marathon” negotiations in London, building on a preliminary framework struck in Geneva last month. US Commerce Secretary Howard Lutnick called the London agreement the move that “put meat on the bones” of that earlier deal.&nbsp;According to a senior White House official, the 55 per cent tariff level is a composite of existing tariffs: 25 per cent from Trump’s first term, 20 per cent in response to alleged fentanyl-related trade channels through China, and a baseline 10 per cent reciprocal tariff on all imports.<h2>What about rare earth minerals?&nbsp;</h2>One of the most significant components of the new deal is China’s commitment to remove export restrictions on rare earth minerals and magnetic components materials critical for manufacturing electric vehicles, smartphones, defence systems and semiconductors.&nbsp;This move marks a reversal from Beijing’s earlier stance. In February, China’s Ministry of Commerce imposed tight controls on exports of rare earths such as terbium, dysprosium and gadolinium, citing national security concerns.&nbsp;&nbsp;The US accused China of leveraging these controls as a geopolitical weapon, given its dominant position, holding roughly 36 per cent of global rare earth reserves and nearly 70 per cent of refining capacity.&nbsp;The curbs threatened to choke the US tech and defence supply chains, especially after the US imposed its own export bans on semiconductor design software, AI chips and other dual-use technologies.While Trump has made it clear that the new agreement does not ease US restrictions on AI chips, Treasury Secretary Scott Bessent told lawmakers: “There is no quid pro quo in terms of chips for rare earths,” as quoted by Reuters.&nbsp;Lutnick described the deal on rare earths as “balanced,” but stopped short of detailing which specific minerals or volumes would be resumed. A final implementation mechanism, both sides say, will be triggered after Trump and Xi give the green light.<h2>US-China trade war timeline</h2>The current deal comes after months of escalations and uneasy pauses that have defined President Trump’s second-term approach to Beijing.&nbsp;In February 2025, Trump reignited the trade war by issuing an executive order that imposed a 10 per cent blanket tariff on all Chinese imports. He also scrapped the de minimis exemption for small parcels—targeting what he described as “fentanyl pipelines” using e-commerce routes. In retaliation, China imposed tariffs on key US exports including coal, LNG, crude oil, and vehicle components.&nbsp;&nbsp;It also introduced new export controls on strategic rare earths such as terbium, dysprosium, and gadolinium. By March 2025, the confrontation had escalated.&nbsp;&nbsp;Trump increased tariffs to 20 per cent and then up to 54 per cent under what he called the “Liberation Day” order. Beijing matched every move, with tariffs on US goods climbing to as high as 125 per cent. The standoff intensified when China filed a formal complaint against the US at the World Trade Organization (WTO).&nbsp;&nbsp;Both sides also tightened export controls on semiconductors, artificial intelligence tools, and critical minerals, pushing global supply chains into deeper uncertainty.&nbsp;In May 2025, negotiators reached a fragile truce in Geneva. Tariffs were slightly rolled back and both sides agreed to a 90-day moratorium on new trade measures. But the ceasefire was short-lived. Trump soon accused China of failing to deliver on its commitments, particularly in resuming rare earth shipments. With mutual trust eroding, tensions flared once more.&nbsp;A turning point came in June 2025, after a 90-minute phone call between Trump and Chinese President Xi Jinping on June 5. That dialogue paved the way for high-level talks in London from June 9–10, where both delegations finalised a framework agreement.&nbsp;&nbsp;On June 11, Trump publicly declared the deal “done,” pending formal sign-off from Xi, a move that may yet stabilise one of the most volatile economic relationships in the world.<h2>Uncertainty remains</h2>Despite the celebratory tone from Trump, analysts warn that critical details are still missing. “It’s a done deal, according to President Trump, but we haven’t seen any details, which is why I think the market is not reacting to it yet,” said Oliver Pursche, a senior adviser at Wealthspire Advisors, as quoted by Reuters.&nbsp;The World Bank has already slashed its 2025 global growth forecast to 2.3 per cent, citing higher tariffs and policy unpredictability. Even with a framework in place, Trump’s history of abrupt policy changes has kept investors and trading partners wary.&nbsp;Whether this new deal holds or triggers another round of tariff brinkmanship will depend on how both sides follow through in the weeks ahead.&nbsp;(With inputs from the agencies)

A US-China trade breakthrough is in sight as Trump confirms a deal on rare earths and student visas, but critical details remain unclear.

A fragile US-China trade truce appears to be back on track after months of brinkmanship, retaliatory tariffs and curbs on critical exports. US President Donald Trump has now declared that a new deal with China has been finalised the pending formal approval from Chinese President Xi Jinping. The agreement, reached after two days of intense negotiations in London, includes key concessions on rare earth exports, provisions for Chinese students to study in the US, and the imposition of fixed tariffs, marking a potential de-escalation in a trade war that has rattled global markets for months. Trump says the deal is done Speaking at Washington’s Kennedy Center on Wednesday, Trump told reporters, “We made a great deal with China. We’re very happy with it. We have everything we need, and we’re going to do very well with it. And hopefully they are too,” as quoted by Reuters The president also confirmed the breakthrough via a post on his social media platform Truth Social: “Our deal with China is done, subject to final approval with President Xi and me. Full magnets, and any necessary rare earths, will be supplied, up front, by China. Likewise, we will provide to China what was agreed to, including Chinese students using our colleges and universities (which has always been good with me!). We are getting a total of 55% tariffs, China is getting 10%.” Trump’s comments followed what officials described as “marathon” negotiations in London, building on a preliminary framework struck in Geneva last month. US Commerce Secretary Howard Lutnick called the London agreement the move that “put meat on the bones” of that earlier deal. According to a senior White House official, the 55 per cent tariff level is a composite of existing tariffs: 25 per cent from Trump’s first term, 20 per cent in response to alleged fentanyl-related trade channels through China, and a baseline 10 per cent reciprocal tariff on all imports. What about rare earth minerals? One of the most significant components of the new deal is China’s commitment to remove export restrictions on rare earth minerals and magnetic components materials critical for manufacturing electric vehicles, smartphones, defence systems and semiconductors. This move marks a reversal from Beijing’s earlier stance. In February, China’s Ministry of Commerce imposed tight controls on exports of rare earths such as terbium, dysprosium and gadolinium, citing national security concerns. The US accused China of leveraging these controls as a geopolitical weapon, given its dominant position, holding roughly 36 per cent of global rare earth reserves and nearly 70 per cent of refining capacity. The curbs threatened to choke the US tech and defence supply chains, especially after the US imposed its own export bans on semiconductor design software, AI chips and other dual-use technologies. While Trump has made it clear that the new agreement does not ease US restrictions on AI chips, Treasury Secretary Scott Bessent told lawmakers: “There is no quid pro quo in terms of chips for rare earths,” as quoted by Reuters. Lutnick described the deal on rare earths as “balanced,” but stopped short of detailing which specific minerals or volumes would be resumed. A final implementation mechanism, both sides say, will be triggered after Trump and Xi give the green light. US-China trade war timeline The current deal comes after months of escalations and uneasy pauses that have defined President Trump’s second-term approach to Beijing. In February 2025, Trump reignited the trade war by issuing an executive order that imposed a 10 per cent blanket tariff on all Chinese imports. He also scrapped the de minimis exemption for small parcels—targeting what he described as “fentanyl pipelines” using e-commerce routes. In retaliation, China imposed tariffs on key US exports including coal, LNG, crude oil, and vehicle components. It also introduced new export controls on strategic rare earths such as terbium, dysprosium, and gadolinium. By March 2025, the confrontation had escalated. Trump increased tariffs to 20 per cent and then up to 54 per cent under what he called the “Liberation Day” order. Beijing matched every move, with tariffs on US goods climbing to as high as 125 per cent. The standoff intensified when China filed a formal complaint against the US at the World Trade Organization (WTO). Both sides also tightened export controls on semiconductors, artificial intelligence tools, and critical minerals, pushing global supply chains into deeper uncertainty. In May 2025, negotiators reached a fragile truce in Geneva. Tariffs were slightly rolled back and both sides agreed to a 90-day moratorium on new trade measures. But the ceasefire was short-lived. Trump soon accused China of failing to deliver on its commitments, particularly in resuming rare earth shipments. With mutual trust eroding, tensions flared once more. A turning point came in June 2025, after a 90-minute phone call between Trump and Chinese President Xi Jinping on June 5. That dialogue paved the way for high-level talks in London from June 9–10, where both delegations finalised a framework agreement. On June 11, Trump publicly declared the deal “done,” pending formal sign-off from Xi, a move that may yet stabilise one of the most volatile economic relationships in the world. Uncertainty remains Despite the celebratory tone from Trump, analysts warn that critical details are still missing. “It’s a done deal, according to President Trump, but we haven’t seen any details, which is why I think the market is not reacting to it yet,” said Oliver Pursche, a senior adviser at Wealthspire Advisors, as quoted by Reuters. The World Bank has already slashed its 2025 global growth forecast to 2.3 per cent, citing higher tariffs and policy unpredictability. Even with a framework in place, Trump’s history of abrupt policy changes has kept investors and trading partners wary. Whether this new deal holds or triggers another round of tariff brinkmanship will depend on how both sides follow through in the weeks ahead. (With inputs from the agencies)

President Trump declares a new US-China trade deal is done, easing rare earth curbs and fixing tariffs, pending Xi Jinping’s final approval.

US-China trade truce 2.0? Trump says deal is ‘done’ with fixed 55% tariff regime

Top officials from the United States and China on Tuesday (Jun 10) said they reached an agreement on a “framework” after two days of high-level trade talks in London.&nbsp;&nbsp;US Commerce Secretary Howard Lutnick expressed optimism, saying that concerns regarding rare earths “will be resolved.” Although the framework requires approval from leaders in Washington and Beijing, the officials said.&nbsp;Following the talks, US Trade Representative Jamieson Greer told reporters, “We’re moving as quickly as we can.” He added, “We feel positive about engaging with the Chinese.”&nbsp;China International Trade Representative Li Chenggang separately told reporters, “Our communication has been very professional, rational, in-depth and candid.” He expressed hope that progress made during talks in London would help boost trust between both sides.&nbsp;Earlier on Tuesday, US Treasury Secretary Scott Bessent said that trade talks with Chinese counterparts had been productive as both sides seek to negotiate a deal on tariffs. The talks stretched into the night on the second day of discussions between the US and China.&nbsp;Bessent left the meetings earlier to return to Washington for testimony before Congress, reported AFP, citing a US official. US Commerce Secretary Howard Lutnick and trade envoy Jamieson Greer, who were also part of the delegation, will continue the talks with Chinese counterparts.&nbsp;Lutnick told Bloomberg Television on Tuesday that the negotiations with China were “going well”.&nbsp;&nbsp;On Monday (Jun 9), US President Donald Trump told reporters, “We are doing well with China. China’s not easy.”&nbsp;The recent negotiations at the UK’s historic Lancaster House were followed by the trade talks in Geneva last month, after which a temporary agreement to lower tariffs was reached. The current round of talks is expected to focus on China’s export of rare earth minerals, which are used in a range of things, including electric vehicle batteries, smartphones, and green technology.

US Commerce Secretary Howard Lutnick expressed optimism, saying that concerns regarding rare earths “will be resolved.” Although the framework requires approval from leaders in Washington and Beijing, the officials said.

Top officials from the United States and China on Tuesday (Jun 10) said they reached an agreement on a “framework” after two days of high-level trade talks in London. US Commerce Secretary Howard Lutnick expressed optimism, saying that concerns regarding rare earths “will be resolved.” Although the framework requires approval from leaders in Washington and Beijing, the officials said. Following the talks, US Trade Representative Jamieson Greer told reporters, “We’re moving as quickly as we can.” He added, “We feel positive about engaging with the Chinese.” China International Trade Representative Li Chenggang separately told reporters, “Our communication has been very professional, rational, in-depth and candid.” He expressed hope that progress made during talks in London would help boost trust between both sides. Earlier on Tuesday, US Treasury Secretary Scott Bessent said that trade talks with Chinese counterparts had been productive as both sides seek to negotiate a deal on tariffs. The talks stretched into the night on the second day of discussions between the US and China. Bessent left the meetings earlier to return to Washington for testimony before Congress, reported AFP, citing a US official. US Commerce Secretary Howard Lutnick and trade envoy Jamieson Greer, who were also part of the delegation, will continue the talks with Chinese counterparts. Lutnick told Bloomberg Television on Tuesday that the negotiations with China were “going well”. On Monday (Jun 9), US President Donald Trump told reporters, “We are doing well with China. China’s not easy.” The recent negotiations at the UK’s historic Lancaster House were followed by the trade talks in Geneva last month, after which a temporary agreement to lower tariffs was reached. The current round of talks is expected to focus on China’s export of rare earth minerals, which are used in a range of things, including electric vehicle batteries, smartphones, and green technology.

US Commerce Secretary Howard Lutnick expressed optimism, saying that concerns regarding rare earths “will be resolved.” Although the framework requires approval from leaders in Washington and Beijing, the officials said.

US, China officials agree to ‘framework’ after trade talks in London, say concerns over rare earths ‘will be resolved’

US Treasury Secretary Scott Bessent said on Tuesday (Jun 10) that trade talks with Chinese counterparts in London had been productive as both sides seek to negotiate a deal on tariffs. This comes as the meetings stretch into the night on the second day of discussions between the US and China.&nbsp;Bessent left the meetings earlier to return to Washington for testimony before Congress, reported AFP, citing a US official. US Commerce Secretary Howard Lutnick and trade envoy Jamieson Greer, who were also part of the delegation, will continue the talks with Chinese counterparts.Earlier on Tuesday, Lutnick told Bloomberg Television that the negotiations with China were “going well”.&nbsp;On Monday (Jun 9), US President Donald Trump told reporters, “We are doing well with China. China’s not easy.”&nbsp;The recent negotiations at the UK’s historic Lancaster House were followed by the trade talks in Geneva last month, after which a temporary agreement to lower tariffs was reached. The current round of talks is expected to focus on China’s export of rare earth minerals, which are used in a range of things, including electric vehicle batteries, smartphones, and green technology.&nbsp;“In Geneva, we had agreed to lower tariffs on them, and they had agreed to release the magnets and rare earths that we need throughout the economy,” Trump’s top economic adviser, Kevin Hassett told CNBC on Monday.&nbsp;He added that while Beijing was releasing some supplies, “it was going a lot slower than some companies believed was optimal.”&nbsp;“Our expectation is that after the handshake, any export controls from the US will be eased, and the rare earths will be released in volume,” Hassett said.&nbsp;Tensions between Washington and Beijing have risen since Trump took office in January this year and unleashed a tariff war against several trade allies. The Geneva talks temporarily brought down US tariffs on China from 145 per cent to 30 per cent and China’s tariffs on American goods from 125 per cent to 10 per cent. However, Trump later accused China of “totally violating” the deal.

The recent negotiations at the UK’s historic Lancaster House were followed by the trade talks in Geneva last month, after which a temporary agreement to lower tariffs was reached.

US Treasury Secretary Scott Bessent said on Tuesday (Jun 10) that trade talks with Chinese counterparts in London had been productive as both sides seek to negotiate a deal on tariffs. This comes as the meetings stretch into the night on the second day of discussions between the US and China. Bessent left the meetings earlier to return to Washington for testimony before Congress, reported AFP, citing a US official. US Commerce Secretary Howard Lutnick and trade envoy Jamieson Greer, who were also part of the delegation, will continue the talks with Chinese counterparts. Earlier on Tuesday, Lutnick told Bloomberg Television that the negotiations with China were “going well”. On Monday (Jun 9), US President Donald Trump told reporters, “We are doing well with China. China’s not easy.” The recent negotiations at the UK’s historic Lancaster House were followed by the trade talks in Geneva last month, after which a temporary agreement to lower tariffs was reached. The current round of talks is expected to focus on China’s export of rare earth minerals, which are used in a range of things, including electric vehicle batteries, smartphones, and green technology. “In Geneva, we had agreed to lower tariffs on them, and they had agreed to release the magnets and rare earths that we need throughout the economy,” Trump’s top economic adviser, Kevin Hassett told CNBC on Monday. He added that while Beijing was releasing some supplies, “it was going a lot slower than some companies believed was optimal.” “Our expectation is that after the handshake, any export controls from the US will be eased, and the rare earths will be released in volume,” Hassett said. Tensions between Washington and Beijing have risen since Trump took office in January this year and unleashed a tariff war against several trade allies. The Geneva talks temporarily brought down US tariffs on China from 145 per cent to 30 per cent and China’s tariffs on American goods from 125 per cent to 10 per cent. However, Trump later accused China of “totally violating” the deal.

The recent negotiations at the UK’s historic Lancaster House were followed by the trade talks in Geneva last month, after which a temporary agreement to lower tariffs was reached.

US-China trade talks ‘going well’ as Treasury chief Bessent returns to Washington

US President Donald Trump announced on Friday that Chinese President Xi Jinping had agreed to allow rare earth minerals and magnets to flow to the United States, a step that could ease tensions between the world's largest economies. Asked by a reporter on Air Force One if Xi had consented to do so, Trump responded: “Yes, he did.” However, the Chinese embassy in Washington did not immediately comment on a request. Trump made the comment a day after making a rare phone call to Xi with the intention of resolving trade tensions that had been building over the issue for weeks. Trump had said there had been "a very positive conclusion" to the discussions, going on to say that "there should no longer be any questions respecting the complexity of Rare Earth products." In a further indication of relaxing tensions on the matter, China has issued temporary export licenses to the rare-earth suppliers of the three leading US automakers, two sources close to the issue said. Top aides to the US president are due to meet their Chinese counterparts in London on Monday for more talks. "We're very far advanced on the China deal," Trump said on Friday.<h3>What are rare earths?</h3>There are 17 types of metals known as rare earths, which are found near the bottom of the periodic table. Most of them are not actually very rare — they are all over the world, though seldom in large enough ore deposits to be mined efficiently. &nbsp;They are called rare because it is very difficult to separate them from each other. Breaking the chemical bonds that bind them in nature can require more than 100 stages of processing and large quantities of powerful acids.<h3>Why does China control so much of the rare earth supply?</h3>China mines 70 percent of the world’s rare earths. Myanmar, Australia and the United States mine most of the rest. But China does the chemical processing for 90 percent of the world’s rare earths because it refines all of its own ore and also practically all of Myanmar’s and nearly half of US production. &nbsp;China’s dominance is greatest for seven rare earths that it has mostly stopped exporting since early April: dysprosium, gadolinium, lutetium, samarium, scandium, terbium and yttrium. These are mined almost exclusively in China and Myanmar and are among the hardest to separate chemically. For metals like dysprosium and terbium, so-called heavy rare earths that are used for heat-resistant magnets, China’s refineries produce up to 99.9 percent of the world’s supply. China has some of the world’s best deposits of heavy rare earths. These are found in a band of ore that is particularly rich in a valley near Longnan in south-central China, extending west into northernmost Myanmar.

Trump claims rare earth win amid complex US-China trade chessboard | Will it be the decisive pawn in upcoming London trade talks?

US President Donald Trump announced on Friday that Chinese President Xi Jinping had agreed to allow rare earth minerals and magnets to flow to the United States, a step that could ease tensions between the world's largest economies. Asked by a reporter on Air Force One if Xi had consented to do so, Trump responded: “Yes, he did.” However, the Chinese embassy in Washington did not immediately comment on a request. Trump made the comment a day after making a rare phone call to Xi with the intention of resolving trade tensions that had been building over the issue for weeks. Trump had said there had been "a very positive conclusion" to the discussions, going on to say that "there should no longer be any questions respecting the complexity of Rare Earth products." In a further indication of relaxing tensions on the matter, China has issued temporary export licenses to the rare-earth suppliers of the three leading US automakers, two sources close to the issue said. Top aides to the US president are due to meet their Chinese counterparts in London on Monday for more talks. "We're very far advanced on the China deal," Trump said on Friday. What are rare earths? There are 17 types of metals known as rare earths, which are found near the bottom of the periodic table. Most of them are not actually very rare — they are all over the world, though seldom in large enough ore deposits to be mined efficiently. They are called rare because it is very difficult to separate them from each other. Breaking the chemical bonds that bind them in nature can require more than 100 stages of processing and large quantities of powerful acids. Why does China control so much of the rare earth supply? China mines 70 percent of the world’s rare earths. Myanmar, Australia and the United States mine most of the rest. But China does the chemical processing for 90 percent of the world’s rare earths because it refines all of its own ore and also practically all of Myanmar’s and nearly half of US production. China’s dominance is greatest for seven rare earths that it has mostly stopped exporting since early April: dysprosium, gadolinium, lutetium, samarium, scandium, terbium and yttrium. These are mined almost exclusively in China and Myanmar and are among the hardest to separate chemically. For metals like dysprosium and terbium, so-called heavy rare earths that are used for heat-resistant magnets, China’s refineries produce up to 99.9 percent of the world’s supply. China has some of the world’s best deposits of heavy rare earths. These are found in a band of ore that is particularly rich in a valley near Longnan in south-central China, extending west into northernmost Myanmar.

Trump's statement came a day after a rare call with Xi&nbsp;aimed at resolving trade tensions that have been brewing over the topic for weeks

FBI Director Kash Patel has confirmed that two Chinese nationals were arrested in the United States for allegedly trying to smuggle "a dangerous pathogen into the country." &nbsp;In a post on X, Patel said that one of the Chinese nationals has been identified as Yunqing Jian. He added that Jian allegedly smuggled "a dangerous fungus called 'Fusarium graminearum,' which is an agroterrorism agent" to University of Michigan. He also said that Jian had expressed loyalty to the Chinese Communist Party and had received funding from the Chinese government for similar work on this pathogen in China. &nbsp;Revealing details about the second national who has been arrested, Patel said that he is the boyfriend of Jian - Zunyong Liu. Patel accused Liu of lying and then admitting that he has smuggled 'Fusarium graminearum' into America —through the Detroit Metropolitan Airport — so that he too could conduct research the University of Michigan. &nbsp;"Both individuals have been charged with conspiracy, smuggling goods into the United States, false statements, and visa fraud," Patel wrote in his post on X.

<blockquote class="twitter-tweet">New... I can confirm that the FBI arrested a Chinese national within the United States who allegedly smuggled a dangerous biological pathogen into the country. The individual, Yunqing Jian, is alleged to have smuggled a dangerous fungus called &quot;Fusarium graminearum,&quot; which is an…&mdash; FBI Director Kash Patel (@FBIDirectorKash) <a href="https://twitter.com/FBIDirectorKash/status/1930044884284523001?ref_src=twsrc%5Etfw">June 3, 2025</a></blockquote> <script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>

In a statement about the case, United States Attorney Gorgon stated, “The alleged actions of these Chinese nationals—including a loyal member of the Chinese Communist Party—are of the gravest national security concerns. These two aliens have been charged with smuggling a fungus that has been described as a ‘potential agroterrorism weapon’ into the heartland of America, where they apparently intended to use a University of Michigan laboratory to further their scheme.” &nbsp;The statement added, “These individuals exploited their access to laboratory facilities at a local university to engage in the smuggling of biological pathogens, an act that posed an imminent threat to public safety.”<h2>Chinese Communist Party (CCP) links</h2>Coming down heavily on the ruling Chinese Communist Party (CCP), Patel said, "This case is a sobering reminder that the CCP is working around the clock to deploy operatives and researchers to infiltrate American institutions and target our food supply, which would have grave consequences... putting American lives and our economy at serious risk." &nbsp;The Trump administration had earlier accused Harvard University of providing space to students with ties to the CCP. The Trump administration declared that it would "aggressively" revoke Chinese students' visas. The FBI director revealed that the fungus can cause a disease called "head blight." Jian will be appearing this afternoon in federal court in Detroit for her initial appearance on the complaint, the Justice Department statement stated. The Justice Department added that the investigation into the case is ongoing.&nbsp;What is "head blight?"&nbsp;Kash Patel said that head blight is a disease of wheat, barley, maize, and rice, that causes significant health issues in humans and livestock. The FBI director did not specify how the fungus effects humans and livestock. He said that head blight is responsible for billions of dollars of losses worldwide each year.

FBI Director Kash Patel has confirmed that two Chinese nationals were arrested in the United States for allegedly trying to smuggle a dangerous pathogen into the country

FBI Director Kash Patel has confirmed that two Chinese nationals were arrested in the United States for allegedly trying to smuggle "a dangerous pathogen into the country." In a post on X, Patel said that one of the Chinese nationals has been identified as Yunqing Jian. He added that Jian allegedly smuggled "a dangerous fungus called 'Fusarium graminearum,' which is an agroterrorism agent" to University of Michigan. He also said that Jian had expressed loyalty to the Chinese Communist Party and had received funding from the Chinese government for similar work on this pathogen in China. Revealing details about the second national who has been arrested, Patel said that he is the boyfriend of Jian - Zunyong Liu. Patel accused Liu of lying and then admitting that he has smuggled 'Fusarium graminearum' into America —through the Detroit Metropolitan Airport — so that he too could conduct research the University of Michigan. "Both individuals have been charged with conspiracy, smuggling goods into the United States, false statements, and visa fraud," Patel wrote in his post on X.

FBI Director Kash Patel has confirmed that two Chinese nationals were arrested in the United States for allegedly trying to smuggle a dangerous pathogen into the country.

Two Chinese nationals arrested for smuggling dangerous fungus into US, FBI Director calls it 'agroterrorism'

China has strongly rejected former US President Donald Trump’s recent claims that Beijing broke a trade deal designed to ease tensions between the two nations. In a firm response, China’s Commerce Ministry called the accusations “unjustified” and said it would take “forceful measures” to defend its interests.“The United States has unilaterally and repeatedly provoked new economic and trade frictions, exacerbating uncertainty and instability in bilateral economic and trade relations,” the ministry said in a statement shared through state media. “Instead of reflecting on its own actions, the United States has groundlessly accused China of violating the consensus, a claim that grossly distorts the facts,” it added.Also read: <a href="https://www.wionews.com/world/-geopolitical-insult-donald-trump-was-not-informed-about-ukraine-s-operation-spider-web-against-russia-1748861373784">'Geopolitical insult': Donald Trump was 'not informed' about Ukraine's Operation Spider Web against Russia</a><h2>Trump claims he saved China from collapse</h2>Trump reignited tensions on May 30 when he took to Truth Social, accusing China of completely breaching the agreement both sides reached in Geneva earlier this year.“China has TOTALLY VIOLATED the deal,” Trump wrote. He claimed the agreement was made after he noticed “many factories closed” and “civil unrest” in China. “I saw what was happening and didn’t like it, for them, not for us. I made a FAST DEAL with China in order to save them from what I thought was going to be a very bad situation,” Trump added. “So much for being Mr. NICE GUY,” Trump added.<h2>Tariff war flared and cooled in quick succession</h2>The renewed war of words comes weeks after the two nations briefly stepped back from a major trade war. Trump’s “Liberation Day” tariff plan on April 2 sent markets tumbling, with his administration initially announcing duties that raised Chinese import tariffs to 145%. In response, China slapped its own 125% tax on US goods.The conflict de-escalated after Geneva talks in May, where both sides agreed to soften their stances, Washington lowered its planned tariffs to 30%, while Beijing reduced its counter-tariffs to 10%.<h2>Washington accuses China of supply delays</h2>Despite the agreement, the Trump administration later alleged that China violated the terms by withholding vital supplies to the US defence, electronics, and automotive industries.“What China is doing is they are holding back products that are essential for the industrial supply chains of India, of Europe, and that is not what a reliable partner does,” said Treasury Secretary Scott Bessent in an interview with CBS’ Face the Nation.<h2>Beijing accuses US of breaching Geneva deal</h2>China, meanwhile, accused the US of failing to stick to the Geneva pact. The Commerce Ministry pointed to several recent moves by the US government as examples of unfair treatment. These include new restrictions on AI chip exports, a ban on selling chip design tools to Chinese firms, and cancelling student visas for Chinese nationals.The Chinese statement framed these steps as “discriminatory” and “restrictive”, saying they go against the spirit of the trade consensus.<h2>Leaders may talk soon</h2>Despite rising tensions, a top US official hinted that a phone conversation between Trump and Chinese President Xi Jinping may be on the cards soon. Kevin Hassett, Director of the National Economic Council, told ABC News’ This Week that both leaders could speak in the coming days to discuss the dispute.

Trump reignited tensions on May 30 when he took to Truth Social, accusing China of completely breaching the agreement both sides reached in Geneva earlier this year.

China has strongly rejected former US President Donald Trump’s recent claims that Beijing broke a trade deal designed to ease tensions between the two nations. In a firm response, China’s Commerce Ministry called the accusations “unjustified” and said it would take “forceful measures” to defend its interests. “The United States has unilaterally and repeatedly provoked new economic and trade frictions, exacerbating uncertainty and instability in bilateral economic and trade relations,” the ministry said in a statement shared through state media. “Instead of reflecting on its own actions, the United States has groundlessly accused China of violating the consensus, a claim that grossly distorts the facts,” it added. Also read: 'Geopolitical insult': Donald Trump was 'not informed' about Ukraine's Operation Spider Web against Russia Trump claims he saved China from collapse Trump reignited tensions on May 30 when he took to Truth Social, accusing China of completely breaching the agreement both sides reached in Geneva earlier this year. “China has TOTALLY VIOLATED the deal,” Trump wrote. He claimed the agreement was made after he noticed “many factories closed” and “civil unrest” in China. “I saw what was happening and didn’t like it, for them, not for us. I made a FAST DEAL with China in order to save them from what I thought was going to be a very bad situation,” Trump added. “So much for being Mr. NICE GUY,” Trump added. Tariff war flared and cooled in quick succession The renewed war of words comes weeks after the two nations briefly stepped back from a major trade war. Trump’s “Liberation Day” tariff plan on April 2 sent markets tumbling, with his administration initially announcing duties that raised Chinese import tariffs to 145%. In response, China slapped its own 125% tax on US goods. The conflict de-escalated after Geneva talks in May, where both sides agreed to soften their stances, Washington lowered its planned tariffs to 30%, while Beijing reduced its counter-tariffs to 10%. Washington accuses China of supply delays Despite the agreement, the Trump administration later alleged that China violated the terms by withholding vital supplies to the US defence, electronics, and automotive industries. “What China is doing is they are holding back products that are essential for the industrial supply chains of India, of Europe, and that is not what a reliable partner does,” said Treasury Secretary Scott Bessent in an interview with CBS’ Face the Nation. Beijing accuses US of breaching Geneva deal China, meanwhile, accused the US of failing to stick to the Geneva pact. The Commerce Ministry pointed to several recent moves by the US government as examples of unfair treatment. These include new restrictions on AI chip exports, a ban on selling chip design tools to Chinese firms, and cancelling student visas for Chinese nationals. The Chinese statement framed these steps as “discriminatory” and “restrictive”, saying they go against the spirit of the trade consensus. Leaders may talk soon Despite rising tensions, a top US official hinted that a phone conversation between Trump and Chinese President Xi Jinping may be on the cards soon. Kevin Hassett, Director of the National Economic Council, told ABC News’ This Week that both leaders could speak in the coming days to discuss the dispute.

Trump reignited tensions on May 30 when he took to Truth Social, accusing China of completely breaching the agreement both sides reached in Geneva earlier this year.

'Grossly distorting the facts': China blasts Trump over trade deal accusations, warns of retaliation

Tensions flared between the United States and China on Saturday after US Secretary of Defense Pete Hegseth claimed that Beijing is “credibly preparing” to use military force in Asia. His remarks at a high-profile security summit in Singapore drew sharp criticism from China’s embassy, which dismissed the speech as “steeped in provocations and instigation”.<h2>‘The threat is real and could be imminent’</h2>Speaking at the annual Shangri-La Dialogue in Singapore, Hegseth told defence leaders from across the Indo-Pacific that China poses a growing military threat.“There’s no reason to sugarcoat it. The threat China poses is real, and it could be imminent,” he said. He also warned that any Chinese action against Taiwan would have “devastating consequences for the Indo-Pacific and the world.”Hegseth made it clear that while the US does not seek conflict, it will not back down. “We do not seek conflict with communist China… But we will not be pushed out of this critical region, and we will not let our allies and partners be subordinated and intimidated.”<h2>Beijing absent as Washington seizes the moment</h2>China chose not to send its defence minister to the gathering and was instead represented by an academic delegation. Hegseth used the opportunity to position Washington as a reliable partner in the Indo-Pacific.“Here in the Indo-Pacific, our futures are bound together,” he said. “We share your vision of peace and stability, of prosperity and security. And we are here to stay,” he added.Taking a dig at Beijing’s absence, he added, “We are here this morning, somebody else isn’t.”<h2>US calls for stronger defence ties in the region</h2>Hegseth assured regional allies of American support but also urged them to contribute more to collective defence. “We ask, and indeed we insist, that our allies and partners do their part on defence,” he said. “Sometimes that means having uncomfortable and tough conversations.”His remarks come at a time of growing concern among regional nations about the balance of power between the US and China, especially as Beijing expands its military presence across the Indo-Pacific.<h2>China accuses US of provoking conflict</h2>In response, China’s embassy in Singapore strongly criticised Hegseth’s address, calling it inflammatory and unnecessary. “The speech by the US defence chief is steeped in provocations and instigation,” the embassy said in a statement.China has not openly threatened war but has steadily increased its military and naval strength in the region. It has built artificial islands equipped with military facilities in disputed waters and now commands a navy with more vessels than that of the US.<h2>Summit highlights growing US-China divide</h2>The Shangri-La Dialogue, hosted by the International Institute for Strategic Studies, is a key platform for defence leaders from across the globe. Hegseth used the forum to outline the Trump administration’s firm stance on the Indo-Pacific, underlining Washington’s commitment to counter Beijing’s growing influence.He painted China as a rising military force bent on reshaping the regional order, warning that “Beijing is credibly preparing to potentially use military force to alter the balance of power in the Indo-Pacific.”

China chose not to send its defence minister to the gathering and was instead represented by an academic delegation. Hegseth used the opportunity to position Washington as a reliable partner in the Indo-Pacific.

Tensions flared between the United States and China on Saturday after US Secretary of Defense Pete Hegseth claimed that Beijing is “credibly preparing” to use military force in Asia. His remarks at a high-profile security summit in Singapore drew sharp criticism from China’s embassy, which dismissed the speech as “steeped in provocations and instigation”. ‘The threat is real and could be imminent’ Speaking at the annual Shangri-La Dialogue in Singapore, Hegseth told defence leaders from across the Indo-Pacific that China poses a growing military threat. “There’s no reason to sugarcoat it. The threat China poses is real, and it could be imminent,” he said. He also warned that any Chinese action against Taiwan would have “devastating consequences for the Indo-Pacific and the world.” Hegseth made it clear that while the US does not seek conflict, it will not back down. “We do not seek conflict with communist China… But we will not be pushed out of this critical region, and we will not let our allies and partners be subordinated and intimidated.” Beijing absent as Washington seizes the moment China chose not to send its defence minister to the gathering and was instead represented by an academic delegation. Hegseth used the opportunity to position Washington as a reliable partner in the Indo-Pacific. “Here in the Indo-Pacific, our futures are bound together,” he said. “We share your vision of peace and stability, of prosperity and security. And we are here to stay,” he added. Taking a dig at Beijing’s absence, he added, “We are here this morning, somebody else isn’t.” US calls for stronger defence ties in the region Hegseth assured regional allies of American support but also urged them to contribute more to collective defence. “We ask, and indeed we insist, that our allies and partners do their part on defence,” he said. “Sometimes that means having uncomfortable and tough conversations.” His remarks come at a time of growing concern among regional nations about the balance of power between the US and China, especially as Beijing expands its military presence across the Indo-Pacific. China accuses US of provoking conflict In response, China’s embassy in Singapore strongly criticised Hegseth’s address, calling it inflammatory and unnecessary. “The speech by the US defence chief is steeped in provocations and instigation,” the embassy said in a statement. China has not openly threatened war but has steadily increased its military and naval strength in the region. It has built artificial islands equipped with military facilities in disputed waters and now commands a navy with more vessels than that of the US. Summit highlights growing US-China divide The Shangri-La Dialogue, hosted by the International Institute for Strategic Studies, is a key platform for defence leaders from across the globe. Hegseth used the forum to outline the Trump administration’s firm stance on the Indo-Pacific, underlining Washington’s commitment to counter Beijing’s growing influence. He painted China as a rising military force bent on reshaping the regional order, warning that “Beijing is credibly preparing to potentially use military force to alter the balance of power in the Indo-Pacific.”

China chose not to send its defence minister to the gathering and was instead represented by an academic delegation. Hegseth used the opportunity to position Washington as a reliable partner in the Indo-Pacific.

'Steeped in provocations': US defence chief Pete Hegseth claims China preparing for war in Asia, Beijing calls it ‘instigation’

President Donald Trump on Friday (May 30) accused China of breaking a recent trade agreement that he claimed was made to save Beijing from serious economic collapse.Writing on his platform, Truth Social, Trump said, “Two weeks ago China was in grave economic danger! The very high Tariffs I set made it virtually impossible for China to TRADE into the United States marketplace which is, by far, number one in the World.”He went on to say that the US had effectively gone “COLD TURKEY with China” and the impact on Beijing was dramatic. According to Trump, “Many factories closed and there was, to put it mildly, ‘civil unrest.’ I saw what was happening and didn’t like it, for them, not for us.”<h2>Trump claims he rushed to cut a deal to prevent collapse</h2>Trump said he decided to make a quick agreement with China to avoid what he described as a worsening situation. “I made a FAST DEAL with China in order to save them from what I thought was going to be a very bad situation, and I didn’t want to see that happen,” he said.“Because of this deal, everything quickly stabilised and China got back to business as usual. Everybody was happy! That is the good news!!!” Trump added.<h2>'Mr Nice Guy' no more: Trump says China broke the deal</h2>Trump accused China of failing to honour the terms of the agreement, saying, “The bad news is that China, perhaps not surprisingly to some, HAS TOTALLY VIOLATED ITS AGREEMENT WITH US. So much for being Mr. NICE GUY!”Earlier this month, both countries agreed to lower their tariffs, the US dropped its rate on Chinese goods from 145% to 30%, while China lowered its tariffs on American products from 125% to 10%.<h2>US officials admit trade talks have stalled</h2>Treasury Secretary Scott Bessent admitted on Thursday that discussions with China had hit a wall. Speaking to Fox News’s Bret Baier, Bessent said trade negotiations were “a bit stalled.” He also mentioned that there could be a call between Trump and Chinese President Xi Jinping in the near future.Trump had previously said that without the quick trade deal, China would have suffered more as the trade war escalated.<h2>Courts rule against Trump tariffs, but some still on hold</h2>A court ruling on Wednesday found that Trump did not have unilateral power under emergency laws to impose tariffs on countries like China, Mexico, and Canada, particularly when aimed at stopping fentanyl. That decision was temporarily overturned by an appeal court, allowing the tariffs to continue for now.However, many of the tariffs remain on hold due to a separate federal court ruling issued in Washington, D.C., on Thursday.

According to Trump, “Many factories closed and there was, to put it mildly, ‘civil unrest.’ I saw what was happening and didn’t like it, for them, not for us.”

President Donald Trump on Friday (May 30) accused China of breaking a recent trade agreement that he claimed was made to save Beijing from serious economic collapse. Writing on his platform, Truth Social, Trump said, “Two weeks ago China was in grave economic danger! The very high Tariffs I set made it virtually impossible for China to TRADE into the United States marketplace which is, by far, number one in the World.” He went on to say that the US had effectively gone “COLD TURKEY with China” and the impact on Beijing was dramatic. According to Trump, “Many factories closed and there was, to put it mildly, ‘civil unrest.’ I saw what was happening and didn’t like it, for them, not for us.” Trump claims he rushed to cut a deal to prevent collapse Trump said he decided to make a quick agreement with China to avoid what he described as a worsening situation. “I made a FAST DEAL with China in order to save them from what I thought was going to be a very bad situation, and I didn’t want to see that happen,” he said. “Because of this deal, everything quickly stabilised and China got back to business as usual. Everybody was happy! That is the good news!!!” Trump added. 'Mr Nice Guy' no more: Trump says China broke the deal Trump accused China of failing to honour the terms of the agreement, saying, “The bad news is that China, perhaps not surprisingly to some, HAS TOTALLY VIOLATED ITS AGREEMENT WITH US. So much for being Mr. NICE GUY!” Earlier this month, both countries agreed to lower their tariffs, the US dropped its rate on Chinese goods from 145% to 30%, while China lowered its tariffs on American products from 125% to 10%. US officials admit trade talks have stalled Treasury Secretary Scott Bessent admitted on Thursday that discussions with China had hit a wall. Speaking to Fox News’s Bret Baier, Bessent said trade negotiations were “a bit stalled.” He also mentioned that there could be a call between Trump and Chinese President Xi Jinping in the near future. Trump had previously said that without the quick trade deal, China would have suffered more as the trade war escalated. Courts rule against Trump tariffs, but some still on hold A court ruling on Wednesday found that Trump did not have unilateral power under emergency laws to impose tariffs on countries like China, Mexico, and Canada, particularly when aimed at stopping fentanyl. That decision was temporarily overturned by an appeal court, allowing the tariffs to continue for now. However, many of the tariffs remain on hold due to a separate federal court ruling issued in Washington, D.C., on Thursday.

According to Trump, “Many factories closed and there was, to put it mildly, ‘civil unrest.’ I saw what was happening and didn’t like it, for them, not for us.”

‘So much for Mr Nice Guy’: Trump blasts China for 'violating' trade deal he says saved Beijing 'grave economic danger'

China has strongly criticised the United States over reported plans to increase weapons sales to Taiwan, calling it a dangerous move that could worsen tensions in the region.At a press briefing in Beijing on Friday (May 30), Chinese Foreign Ministry spokesperson Lin Jian said China “firmly opposes US arms sales to the Taiwan island” and urged Washington to “strictly adhere to the one-China principle and the three China-US joint communiqués, particularly the August 17 communiqué”.<h2>US weapons sales to surpass Trump’s first term says report</h2>Lin was responding to a Reuters report that said President Donald Trump is planning to accelerate arms sales to Taiwan to a level higher than during his first term. Two unnamed US officials told the agency that over the next four years, Washington could approve more weapons deals than the $18.65 billion worth of military sales cleared during Trump’s first term.Also read: <a href="https://www.wionews.com/world/china-sets-up-international-mediation-body-in-hong-kong-looks-to-capture-global-governance-1748593412713">China sets up international mediation body in Hong Kong, looks to capture global governance</a>The upcoming arms packages are expected to include missiles, munitions and drones, the report said. That would mark a significant jump compared to the Biden administration, which oversaw about $8.7 billion in sales to Taiwan, according to a 2024 Cato Institute report.<h2>Beijing says Taiwan issue is its ‘first red line’</h2>Lin warned that the Taiwan question is central to China’s national interests and represents “the first red line that must not be crossed in China-US relations”.He went on to say, “Washington should stop creating new factors that could lead to tensions in the Taiwan Strait.”“China’s determination to safeguard its national sovereignty and territorial integrity is unwavering,” Lin added.<h2>Tensions rise again despite recent trade truce</h2>The news comes at a time when relations between the US and China had begun to show signs of recovery. Earlier this month, the two sides agreed to a temporary truce in their ongoing trade dispute during talks in Geneva.However, tensions have started to flare again, with Washington recently moving to revoke some Chinese student visas and placing tighter restrictions on technology access.US Defence Secretary Pete Hegseth is currently in Singapore attending the annual Shangri-La Dialogue security forum, where he is expected to seek support from allies to counter China. In contrast, Beijing has sent a lower-level delegation, avoiding any direct encounter with Hegseth.

At a press briefing in Beijing on Friday (May 30), Chinese Foreign Ministry spokesperson Lin Jian said China “firmly opposes US arms sales to the Taiwan island."

China has strongly criticised the United States over reported plans to increase weapons sales to Taiwan, calling it a dangerous move that could worsen tensions in the region. At a press briefing in Beijing on Friday (May 30), Chinese Foreign Ministry spokesperson Lin Jian said China “firmly opposes US arms sales to the Taiwan island” and urged Washington to “strictly adhere to the one-China principle and the three China-US joint communiqués, particularly the August 17 communiqué”. US weapons sales to surpass Trump’s first term says report Lin was responding to a Reuters report that said President Donald Trump is planning to accelerate arms sales to Taiwan to a level higher than during his first term. Two unnamed US officials told the agency that over the next four years, Washington could approve more weapons deals than the $18.65 billion worth of military sales cleared during Trump’s first term. Also read: China sets up international mediation body in Hong Kong, looks to capture global governance The upcoming arms packages are expected to include missiles, munitions and drones, the report said. That would mark a significant jump compared to the Biden administration, which oversaw about $8.7 billion in sales to Taiwan, according to a 2024 Cato Institute report. Beijing says Taiwan issue is its ‘first red line’ Lin warned that the Taiwan question is central to China’s national interests and represents “the first red line that must not be crossed in China-US relations”. He went on to say, “Washington should stop creating new factors that could lead to tensions in the Taiwan Strait.” “China’s determination to safeguard its national sovereignty and territorial integrity is unwavering,” Lin added. Tensions rise again despite recent trade truce The news comes at a time when relations between the US and China had begun to show signs of recovery. Earlier this month, the two sides agreed to a temporary truce in their ongoing trade dispute during talks in Geneva. However, tensions have started to flare again, with Washington recently moving to revoke some Chinese student visas and placing tighter restrictions on technology access. US Defence Secretary Pete Hegseth is currently in Singapore attending the annual Shangri-La Dialogue security forum, where he is expected to seek support from allies to counter China. In contrast, Beijing has sent a lower-level delegation, avoiding any direct encounter with Hegseth.

At a press briefing in Beijing on Friday (May 30), Chinese Foreign Ministry spokesperson Lin Jian said China “firmly opposes US arms sales to the Taiwan island."

'First red line must not be crossed': China fumes over reports of US arms sales to Taiwan

Trade negotiations between the United States and China are “a bit stalled”, and reaching a final agreement will likely require direct talks between US President Donald Trump and Chinese President Xi Jinping, US Treasury Secretary Scott Bessent stated in an interview with Fox News on May 29.&nbsp;Bessent, who played a key role in the breakthrough talks in Geneva, Switzerland, earlier this month that temporarily halted the imposition of tariffs between the two countries, acknowledged that progress since the May truce has been slow.&nbsp;He emphasised that the complexity of the ongoing trade issues will require both leaders to weigh in personally for a resolution. “They have a good relationship, and I am confident that the Chinese will come to the table when President Trump makes his preferences known,” he said.&nbsp;Bessent’s remarks come after a period of escalating tensions between the world’s two largest economies. In mid-May, the US and China agreed to a 90-day pause on tariffs, a move that brought relief to global markets. However, this agreement did not address the underlying causes of the trade war, such as China’s state-controlled economy and US concerns over intellectual property theft.&nbsp;Since the pause, Washington has introduced new measures targeting Chinese technology companies. The US has restricted the export of chip design software and certain jet engine parts to China, further escalating tensions.&nbsp;Additionally, the Trump administration has begun revoking visas for Chinese students with ties to the Communist Party of China, a move that Beijing has called “discriminatory”.&nbsp;Ongoing negotiations amid legal challenges&nbsp;While the US-China talks have recently slowed down, Bessent noted that several large trade deals are nearing completion, particularly with other major trading partners like Japan. He is scheduled to meet with a Japanese delegation on Friday in Washington to discuss ongoing trade issues.&nbsp;However, the legal landscape surrounding US tariffs remains uncertain. This week, the US Court of International Trade ruled that much of the tariffs imposed by the Trump administration were illegal and should be reversed. But just one day later, an appeals court temporarily reinstated the tariffs. Bessent expressed confidence that these legal hurdles would not affect the ongoing trade negotiations, stating, “We have not seen any change in the posture of our trading partners.”&nbsp;With the 90-day tariff truce set to expire on July 9, Bessent indicated that more talks with China are expected in the coming weeks, but he emphasised that a resolution may depend on high-level diplomacy between Trump and Xi.

Treasury Secretary Scott Bessent emphasised that the complexity of the ongoing trade issues will require both leaders to weigh in personally for a resolution.

Trade negotiations between the United States and China are “a bit stalled”, and reaching a final agreement will likely require direct talks between US President Donald Trump and Chinese President Xi Jinping, US Treasury Secretary Scott Bessent stated in an interview with Fox News on May 29. Bessent, who played a key role in the breakthrough talks in Geneva, Switzerland, earlier this month that temporarily halted the imposition of tariffs between the two countries, acknowledged that progress since the May truce has been slow. He emphasised that the complexity of the ongoing trade issues will require both leaders to weigh in personally for a resolution. “They have a good relationship, and I am confident that the Chinese will come to the table when President Trump makes his preferences known,” he said. Bessent’s remarks come after a period of escalating tensions between the world’s two largest economies. In mid-May, the US and China agreed to a 90-day pause on tariffs, a move that brought relief to global markets. However, this agreement did not address the underlying causes of the trade war, such as China’s state-controlled economy and US concerns over intellectual property theft. Since the pause, Washington has introduced new measures targeting Chinese technology companies. The US has restricted the export of chip design software and certain jet engine parts to China, further escalating tensions. Additionally, the Trump administration has begun revoking visas for Chinese students with ties to the Communist Party of China, a move that Beijing has called “discriminatory”. Ongoing negotiations amid legal challenges While the US-China talks have recently slowed down, Bessent noted that several large trade deals are nearing completion, particularly with other major trading partners like Japan. He is scheduled to meet with a Japanese delegation on Friday in Washington to discuss ongoing trade issues. However, the legal landscape surrounding US tariffs remains uncertain. This week, the US Court of International Trade ruled that much of the tariffs imposed by the Trump administration were illegal and should be reversed. But just one day later, an appeals court temporarily reinstated the tariffs. Bessent expressed confidence that these legal hurdles would not affect the ongoing trade negotiations, stating, “We have not seen any change in the posture of our trading partners.” With the 90-day tariff truce set to expire on July 9, Bessent indicated that more talks with China are expected in the coming weeks, but he emphasised that a resolution may depend on high-level diplomacy between Trump and Xi.

Treasury Secretary Scott Bessent emphasised that the complexity of the ongoing trade issues will require both leaders to weigh in personally for a resolution.

Trade talks with China stalled, direct involvement of leaders needed, says US Treasury Secretary

<div>As the United States and China intensify their economic rivalry, Europe finds itself increasingly caught in the middle&mdash;vulnerable to becoming a dumping ground for Chinese goods shut out of the American market. Despite the European Union&rsquo;s (EU) efforts to balance relations with both superpowers, China&rsquo;s rapidly growing trade surplus with the EU is triggering alarm across the continent and exposing cracks in Europe&rsquo;s open-market model.</div>
<div>As the United States and China escalate their economic rivalry and with no long-term certain solution in sight, Europe finds itself caught in the crossfire, increasingly vulnerable to becoming a fallback market for Chinese goods squeezed out of the US economy. Despite the European Union&rsquo;s (EU) efforts to maintain balanced relations with both economic giants, China&rsquo;s growing trade surplus with the EU is raising alarm across the continent.</div>
<div>In the first four months of 2025 alone, China&rsquo;s trade surplus with the EU surged to a record $90 billion, underlining the shift in global trade patterns as the US imposed reciprocal tariffs on dozens of countries. With American levies on Chinese goods still up to 30 percentage points higher than they were at the start of this year, much of China&rsquo;s excess production is being increasingly redirected toward Europe&mdash;some through Southeast Asia and Latin America.</div>
<div>According to a report by Bloomberg, Maxime Darmet, senior economist at Allianz Trade, said, &ldquo;European and non-US markets are going to see an increase in Chinese shipments.&rdquo;</div>
<div>&ldquo;China will want to keep global market share at a high level, so will try to increase share in other markets,&rdquo; Darmet added.</div>
<h2>The new trade battlefield</h2>
<div>The shifting trade tides are testing the EU&rsquo;s core principles of economic openness. As Washington embraced a more protectionist stance, Brussels had to recalibrate its trade strategy. The EU has responded with targeted measures&mdash;such as tariffs on Chinese electric vehicles (EVs)&mdash;but has so far resisted a full-scale trade war.</div>
<div>At the heart of the trade imbalance lies China&rsquo;s aggressive industrial policy. State subsidies, particularly in the electric vehicle sector, have helped Chinese companies like BYD undercut competitors around the world. In 2024, BYD sold 4.27 million new vehicles globally, a 41 per cent jump from the previous year. Of those, 1.76 million were fully electric, putting BYD just behind Tesla in global EV sales. China&rsquo;s plug-in hybrid sales also soared 72.83 per cent to 2.49 million units.</div>
<div>The European Commission&rsquo;s move to impose duties on these heavily subsidised imports in late 2024 sparked outrage in Beijing. In retaliation, China launched an anti-dumping investigation into European dairy products, including cheese and milk&mdash;an echo of past tit-for-tat trade tensions and a sign that hostilities are broadening beyond vehicles and technology.</div>
<div>Despite these disputes, China remains the EU&rsquo;s largest trading partner, and the EU is China's second-largest. More than half of EU imports from China consist of mechanical appliances and electrical equipment, while vehicles and aircraft account for less than 6 per cent. On the export side, mechanical appliances and electrical equipment also lead, followed by vehicles and pharmaceuticals.</div>
<h2>Germany and France at the forefront of the storm</h2>
<div>Germany has been particularly impacted by the changing trade dynamics. The bilateral trade relationship with China, once marked by a German surplus, has flipped dramatically. In 2020, China had a trade deficit of over $18 billion with Germany. By 2024, that had reversed to a $12 billion surplus, and if current trends hold, China&rsquo;s surplus with Germany could exceed $25 billion in 2025.</div>
<div>One major factor has been the rapid rise in Chinese car exports, including both EVs and conventional models, while German exports to China, especially cars, have declined. Despite EU tariffs curbing EV imports, Chinese automakers have ramped up deliveries of hybrids and combustion-engine vehicles, maintaining their momentum in the European market.</div>
<div>France, too, is in the spotlight as it prepares for high-level talks with Chinese Vice Premier He Lifeng. The meeting comes after a temporary 90-day truce between Washington and Beijing, which lowered some tariffs but left many trade barriers firmly in place. European markets welcomed the pause, but economists remain wary, warning that the underlying tensions are far from resolved.</div>
<div>Meanwhile, the EU&rsquo;s trade chief Maros Sefcovic acknowledged the growing concerns last week, stating that the bloc is &ldquo;monitoring possible risks of trade diversion&rdquo;. Initial assessments are expected in mid-May, with the topic likely to dominate the agenda at Thursday&rsquo;s meeting of EU trade ministers in Brussels.</div>
<h2>Currency and competitiveness</h2>
<div>Further complicating matters is the recent weakening of the Chinese yuan, which in April 2025 hit its lowest level against the euro in more than a decade. This currency slump makes Chinese exports even more attractive to European buyers, increasing competitive pressure on domestic producers already battling deflation and sluggish demand.</div>
<div>As imports from China swell, EU exports to China are faltering. Between January 2023 and December 2024, EU exports to China dropped 12.5 per cent, while imports from China decreased by just 4.9 per cent. This decline in European exports contrasts sharply with a 3 per cent increase in exports to other non-EU countries during the same period.</div>
<div>Monthly trade data reinforces the trend: EU exports to China fell from &euro;19.2 billion ($21.5 billion) in January 2023 to &euro;16.8 billion ($18.8 billion) in December 2024, with the trade deficit peaking at &euro;29 billion ($32.5 million) in August 2024. Though imports from China also declined slightly, the overall deficit remains steep, underscoring Europe&rsquo;s dependence on Chinese goods amid weakening demand for European products in China.</div>
<h2>More protectionism likely?</h2>
<div>The evolving trade conflict has already altered the strategy of European capitals. Policymakers are increasingly under pressure to safeguard their industries&mdash;not only from Chinese competition but also from the collateral damage of US policies aimed squarely at Beijing.</div>
<div>With the global trade system becoming more fragmented, economists predict that Europe will continue to introduce more non-tariff barriers and subsidies for critical industries. The European Commission is expected to intensify efforts to prevent unfair competition, especially in sectors like automotive, green technology, and advanced manufacturing.</div>
<div>Whether Europe can maintain its identity as a bastion of free trade while protecting its industrial base in this era of geopolitical rivalry remains one of the defining challenges of the post-pandemic global economy.</div>

Business & Economy: In the first four months of 2025, China’s trade surplus with the EU surged to a record $90 billion, underlining the shift in global trade patterns

As the United States and China intensify their economic rivalry, Europe finds itself increasingly caught in the middle—vulnerable to becoming a dumping ground for Chinese goods shut out of the American market. Despite the European Union’s (EU) efforts to balance relations with both superpowers, China’s rapidly growing trade surplus with the EU is triggering alarm across the continent and exposing cracks in Europe’s open-market model. As the United States and China escalate their economic rivalry and with no long-term certain solution in sight, Europe finds itself caught in the crossfire, increasingly vulnerable to becoming a fallback market for Chinese goods squeezed out of the US economy. Despite the European Union’s (EU) efforts to maintain balanced relations with both economic giants, China’s growing trade surplus with the EU is raising alarm across the continent. In the first four months of 2025 alone, China’s trade surplus with the EU surged to a record $90 billion, underlining the shift in global trade patterns as the US imposed reciprocal tariffs on dozens of countries. With American levies on Chinese goods still up to 30 percentage points higher than they were at the start of this year, much of China’s excess production is being increasingly redirected toward Europe—some through Southeast Asia and Latin America. According to a report by Bloomberg, Maxime Darmet, senior economist at Allianz Trade, said, “European and non-US markets are going to see an increase in Chinese shipments.” “China will want to keep global market share at a high level, so will try to increase share in other markets,” Darmet added. The new trade battlefield The shifting trade tides are testing the EU’s core principles of economic openness. As Washington embraced a more protectionist stance, Brussels had to recalibrate its trade strategy. The EU has responded with targeted measures—such as tariffs on Chinese electric vehicles (EVs)—but has so far resisted a full-scale trade war. At the heart of the trade imbalance lies China’s aggressive industrial policy. State subsidies, particularly in the electric vehicle sector, have helped Chinese companies like BYD undercut competitors around the world. In 2024, BYD sold 4.27 million new vehicles globally, a 41 per cent jump from the previous year. Of those, 1.76 million were fully electric, putting BYD just behind Tesla in global EV sales. China’s plug-in hybrid sales also soared 72.83 per cent to 2.49 million units. The European Commission’s move to impose duties on these heavily subsidised imports in late 2024 sparked outrage in Beijing. In retaliation, China launched an anti-dumping investigation into European dairy products, including cheese and milk—an echo of past tit-for-tat trade tensions and a sign that hostilities are broadening beyond vehicles and technology. Despite these disputes, China remains the EU’s largest trading partner, and the EU is China's second-largest. More than half of EU imports from China consist of mechanical appliances and electrical equipment, while vehicles and aircraft account for less than 6 per cent. On the export side, mechanical appliances and electrical equipment also lead, followed by vehicles and pharmaceuticals. Germany and France at the forefront of the storm Germany has been particularly impacted by the changing trade dynamics. The bilateral trade relationship with China, once marked by a German surplus, has flipped dramatically. In 2020, China had a trade deficit of over $18 billion with Germany. By 2024, that had reversed to a $12 billion surplus, and if current trends hold, China’s surplus with Germany could exceed $25 billion in 2025. One major factor has been the rapid rise in Chinese car exports, including both EVs and conventional models, while German exports to China, especially cars, have declined. Despite EU tariffs curbing EV imports, Chinese automakers have ramped up deliveries of hybrids and combustion-engine vehicles, maintaining their momentum in the European market. France, too, is in the spotlight as it prepares for high-level talks with Chinese Vice Premier He Lifeng. The meeting comes after a temporary 90-day truce between Washington and Beijing, which lowered some tariffs but left many trade barriers firmly in place. European markets welcomed the pause, but economists remain wary, warning that the underlying tensions are far from resolved. Meanwhile, the EU’s trade chief Maros Sefcovic acknowledged the growing concerns last week, stating that the bloc is “monitoring possible risks of trade diversion”. Initial assessments are expected in mid-May, with the topic likely to dominate the agenda at Thursday’s meeting of EU trade ministers in Brussels. Currency and competitiveness Further complicating matters is the recent weakening of the Chinese yuan, which in April 2025 hit its lowest level against the euro in more than a decade. This currency slump makes Chinese exports even more attractive to European buyers, increasing competitive pressure on domestic producers already battling deflation and sluggish demand. As imports from China swell, EU exports to China are faltering. Between January 2023 and December 2024, EU exports to China dropped 12.5 per cent, while imports from China decreased by just 4.9 per cent. This decline in European exports contrasts sharply with a 3 per cent increase in exports to other non-EU countries during the same period. Monthly trade data reinforces the trend: EU exports to China fell from €19.2 billion ($21.5 billion) in January 2023 to €16.8 billion ($18.8 billion) in December 2024, with the trade deficit peaking at €29 billion ($32.5 million) in August 2024. Though imports from China also declined slightly, the overall deficit remains steep, underscoring Europe’s dependence on Chinese goods amid weakening demand for European products in China. More protectionism likely? The evolving trade conflict has already altered the strategy of European capitals. Policymakers are increasingly under pressure to safeguard their industries—not only from Chinese competition but also from the collateral damage of US policies aimed squarely at Beijing. With the global trade system becoming more fragmented, economists predict that Europe will continue to introduce more non-tariff barriers and subsidies for critical industries. The European Commission is expected to intensify efforts to prevent unfair competition, especially in sectors like automotive, green technology, and advanced manufacturing. Whether Europe can maintain its identity as a bastion of free trade while protecting its industrial base in this era of geopolitical rivalry remains one of the defining challenges of the post-pandemic global economy.

US-China trade rift may turn Europe into a dumping ground for Chinese goods

China's exports surged by 8.1 per cent year-on-year in April, surpassing economists&rsquo; expectations of a modest 2 per cent growth.
The strong performance came despite a significant drop in shipments to the United States, which plunged over 21 per cent amid ongoing trade tensions. While the overall export growth remains positive, the trade war with the US remains a key hurdle for China&rsquo;s economy.
Trade between the two largest economies has slowed considerably since US President Donald Trump imposed various rounds of tariffs on China. Levies on many Chinese goods now reach as high as 145 per cent&mdash;with cumulative duties on some goods soaring to a whopping 245 per cent.
Beijing has responded with 125 per cent tariffs on imports of US goods, along with other measures targeting the US.
Shipments to the US fell by more than 21 per cent in April compared to the previous year, marking a stark contrast to the overall positive performance in other regions. China&rsquo;s trade surplus with the United States was nearly $20.5 billion in April, down from about $27.2 billion a year earlier. In the first four months of the year, China&rsquo;s exports to the US dropped 2.5 per cent from a year earlier, while imports from the US fell 4.7 per cent.
The Association of Southeast Asian Nations saw a significant surge of 20.8 per cent in April from a year earlier, accelerating from 11.6 per cent growth in March. Exports to Latin America also climbed 11.5 per cent. Shipments to India jumped nearly 16 per cent by value, and exports to Africa surged 15 per cent. The surge in trade with countries such as Vietnam, Malaysia, Indonesia, and Thailand helped mitigate the impact of declining demand from the US, highlighting China's shifting focus on diversifying its trade partnerships.
China&rsquo;s exports to the European Union rose 8.3 per cent, while imports fell 16.5 per cent year-on-year. Exports had risen by 10.3 per cent, while imports had dropped 7.5 per cent in March.
&nbsp;
<h2 dir="ltr">The upcoming trade talks</h2>
The upcoming meeting between US and Chinese officials in Switzerland over the weekend has raised the prospects for a potential de-escalation in the ongoing trade war.
The planned meeting would mark the first high-level US-China trade talks since the latest tariff escalations in April. US Senator Steve Daines met Chinese Premier Li Qiang in Beijing in March.
While reaching a comprehensive deal is likely to be complex and time-consuming, a phased rollback of tariffs from both sides is possible, although analysts are split on the pace of such de-escalation.
&nbsp;
<h2 dir="ltr">Broader impact on the Chinese economy</h2>
Chinese authorities have intensified their stimulus efforts recently to mitigate the economic impact of tariffs. These actions include loosening monetary policy and providing support to businesses affected by tariffs.
In April, China&rsquo;s factory activity dropped to its lowest level in 16 months, with new export orders falling to their weakest point since December 2022.
There are growing concerns that the negative effects of tariffs may soon affect the job market, with Goldman Sachs estimating that China could lose 16 million jobs&mdash;about 2 per cent of its workforce&mdash;in sectors tied to US-bound goods.
The latest purchasing managers' index (PMI) reveals a decline in employment across various sectors, as manufacturers cut back on production and put workers on paid leave.
To support exporters hit by tariffs, local Chinese governments and large companies have expressed willingness to help redirect their goods to the domestic market. However, this is expected to increase deflationary pressures in the country.

Business & Economy: China's exports surged by 8.1 per cent year-on-year in April, surpassing economists’ expectations of a modest 2 per cent growth.

China's exports surged by 8.1 per cent year-on-year in April, surpassing economists’ expectations of a modest 2 per cent growth. The strong performance came despite a significant drop in shipments to the United States, which plunged over 21 per cent amid ongoing trade tensions. While the overall export growth remains positive, the trade war with the US remains a key hurdle for China’s economy. Trade between the two largest economies has slowed considerably since US President Donald Trump imposed various rounds of tariffs on China. Levies on many Chinese goods now reach as high as 145 per cent—with cumulative duties on some goods soaring to a whopping 245 per cent. Beijing has responded with 125 per cent tariffs on imports of US goods, along with other measures targeting the US. Shipments to the US fell by more than 21 per cent in April compared to the previous year, marking a stark contrast to the overall positive performance in other regions. China’s trade surplus with the United States was nearly $20.5 billion in April, down from about $27.2 billion a year earlier. In the first four months of the year, China’s exports to the US dropped 2.5 per cent from a year earlier, while imports from the US fell 4.7 per cent. The Association of Southeast Asian Nations saw a significant surge of 20.8 per cent in April from a year earlier, accelerating from 11.6 per cent growth in March. Exports to Latin America also climbed 11.5 per cent. Shipments to India jumped nearly 16 per cent by value, and exports to Africa surged 15 per cent. The surge in trade with countries such as Vietnam, Malaysia, Indonesia, and Thailand helped mitigate the impact of declining demand from the US, highlighting China's shifting focus on diversifying its trade partnerships. China’s exports to the European Union rose 8.3 per cent, while imports fell 16.5 per cent year-on-year. Exports had risen by 10.3 per cent, while imports had dropped 7.5 per cent in March. The upcoming trade talks The upcoming meeting between US and Chinese officials in Switzerland over the weekend has raised the prospects for a potential de-escalation in the ongoing trade war. The planned meeting would mark the first high-level US-China trade talks since the latest tariff escalations in April. US Senator Steve Daines met Chinese Premier Li Qiang in Beijing in March. While reaching a comprehensive deal is likely to be complex and time-consuming, a phased rollback of tariffs from both sides is possible, although analysts are split on the pace of such de-escalation. Broader impact on the Chinese economy Chinese authorities have intensified their stimulus efforts recently to mitigate the economic impact of tariffs. These actions include loosening monetary policy and providing support to businesses affected by tariffs. In April, China’s factory activity dropped to its lowest level in 16 months, with new export orders falling to their weakest point since December 2022. There are growing concerns that the negative effects of tariffs may soon affect the job market, with Goldman Sachs estimating that China could lose 16 million jobs—about 2 per cent of its workforce—in sectors tied to US-bound goods. The latest purchasing managers' index (PMI) reveals a decline in employment across various sectors, as manufacturers cut back on production and put workers on paid leave. To support exporters hit by tariffs, local Chinese governments and large companies have expressed willingness to help redirect their goods to the domestic market. However, this is expected to increase deflationary pressures in the country.

China's exports surge amid decline in shipments to the US as trade war intensifies

China&rsquo;s central bank is taking steps to stimulate the economy by cutting key policy rates in a bid to boost growth amid growing economic uncertainty and trade woes.
The People's Bank of China (PBOC) said that it would lower the borrowing cost of its seven-day reverse repurchase rates by 10 basis points to 1.40 per cent from 1.50 per cent, according to an online statement, taking effect from May 08.
The seven-day reverse repo rate now serves as the economy's main policy rate. A reduction in the borrowing cost could lead to similar cuts to other market rates and interest rates on other liquidity tools. The PBOC previously lowered the seven-day reverse repo rate by 20 basis points (bps) in September 2024.
The central bank will also lower the reserve requirement ratio (RRR), which determines the amount of cash banks must hold in reserves, by 50 basis points, which will give additional liquidity of 1000 billion yuan ($138.6 billion) to the market.
PBOC Governor Pan Gongsheng reiterated that officials will implement a &ldquo;moderately loose&rdquo; monetary policy, which will translate into ample liquidity and ensure funding with relatively low financing costs. The RRR cut can enhance the stability of bank liabilities, he said.
This move is notable as China has focused more on stabilising its currency and managing bond market risks, rather than stimulating growth. But with the economy under pressure from trade tensions and internal demand softness, priorities are shifting. 
<h2 dir="ltr">U.S.-China trade talk</h2>
The timing is significant as China&rsquo;s Vice Premier He Lifeng is scheduled to meet U.S. Treasury Secretary Scott Bessent later this week in Switzerland&mdash;the first confirmed trade talks between the countries since President Donald Trump announced sweeping tariffs, led by punishing levies on China.
Bessent, in an interview on Fox News, said the talks will centre on de-escalation rather than a big trade deal. And President Trump also recently said that he is willing to lower tariffs on China at some point, but also said this week that the U.S. is &ldquo;losing nothing&rdquo; by not trading with Beijing.
After the talks were announced, China&rsquo;s Ministry of Commerce said in a statement that the U.S. should &ldquo;show sincerity&rdquo; in the upcoming talks, correct wrong practices and resolve the concerns of both sides through &ldquo;equal consultation&rdquo;.
The two nations have locked horns ever since Trump ratcheted up tariffs on Chinese goods to 145 per cent, prompting Beijing to retaliate with additional levies of 125 per cent on imports from the U.S.
&nbsp;
<h2 dir="ltr">Other key announcements</h2>
In a broader push to stabilise growth, China has also announced measures to support several key sectors, including technology and real estate, along with establishing a 500-billion-yuan (almost $692 million) relending tool for services consumption and elderly care. It has been announced that the quota for technology relending loans will increase to 800 billion yuan (approximately $1.1 billion) to support equipment upgrading, a consumer goods trade-in programme.
The country&rsquo;s central bank plans to cut the mortgage rates under China&rsquo;s housing provident fund, a government-backed housing lender, by 25 basis points, and the rates on five-year loans for first-time homebuyers will be trimmed to 2.6 per cent from 2.85 per cent. PBOC will also gradually lower the amount of cash that auto financial companies and leasing firms must hold in reserves to zero from the current 5 per cent.
PBOC expanded the allowance for the relending tool for agriculture and small and medium-sized enterprises by 300 billion yuan (around $415 million), along with combining two stock market support tools with a total quota of 800 billion yuan (about $1.1 billion).
A debt risk-sharing tool will also be created, allowing the PBOC to provide low-cost relending funds to encourage purchases of bonds of technology firms.
China is preparing more measures to support small and medium enterprises and the private sector, which will be announced soon, Li Yunze, the head of the financial regulatory administration, said at the briefing.
The broad stimulus announcement showed the officials were acting with greater urgency to bolster the economy. Beijing had largely opted for piecemeal stimulus measures this year, while hinting that it had sufficient policy firepower to use &ldquo;when appropriate&rdquo;. 
(With inputs from agencies)

Business & Economy: PBOC lowers the borrowing cost of its seven-day reverse repurchase rates by 10 basis points to 1.40 per cent, taking effect from May 08.

China’s central bank is taking steps to stimulate the economy by cutting key policy rates in a bid to boost growth amid growing economic uncertainty and trade woes. The People's Bank of China (PBOC) said that it would lower the borrowing cost of its seven-day reverse repurchase rates by 10 basis points to 1.40 per cent from 1.50 per cent, according to an online statement, taking effect from May 08. The seven-day reverse repo rate now serves as the economy's main policy rate. A reduction in the borrowing cost could lead to similar cuts to other market rates and interest rates on other liquidity tools. The PBOC previously lowered the seven-day reverse repo rate by 20 basis points (bps) in September 2024. The central bank will also lower the reserve requirement ratio (RRR), which determines the amount of cash banks must hold in reserves, by 50 basis points, which will give additional liquidity of 1000 billion yuan ($138.6 billion) to the market. PBOC Governor Pan Gongsheng reiterated that officials will implement a “moderately loose” monetary policy, which will translate into ample liquidity and ensure funding with relatively low financing costs. The RRR cut can enhance the stability of bank liabilities, he said. This move is notable as China has focused more on stabilising its currency and managing bond market risks, rather than stimulating growth. But with the economy under pressure from trade tensions and internal demand softness, priorities are shifting. U.S.-China trade talk The timing is significant as China’s Vice Premier He Lifeng is scheduled to meet U.S. Treasury Secretary Scott Bessent later this week in Switzerland—the first confirmed trade talks between the countries since President Donald Trump announced sweeping tariffs, led by punishing levies on China. Bessent, in an interview on Fox News, said the talks will centre on de-escalation rather than a big trade deal. And President Trump also recently said that he is willing to lower tariffs on China at some point, but also said this week that the U.S. is “losing nothing” by not trading with Beijing. After the talks were announced, China’s Ministry of Commerce said in a statement that the U.S. should “show sincerity” in the upcoming talks, correct wrong practices and resolve the concerns of both sides through “equal consultation”. The two nations have locked horns ever since Trump ratcheted up tariffs on Chinese goods to 145 per cent, prompting Beijing to retaliate with additional levies of 125 per cent on imports from the U.S. Other key announcements In a broader push to stabilise growth, China has also announced measures to support several key sectors, including technology and real estate, along with establishing a 500-billion-yuan (almost $692 million) relending tool for services consumption and elderly care. It has been announced that the quota for technology relending loans will increase to 800 billion yuan (approximately $1.1 billion) to support equipment upgrading, a consumer goods trade-in programme. The country’s central bank plans to cut the mortgage rates under China’s housing provident fund, a government-backed housing lender, by 25 basis points, and the rates on five-year loans for first-time homebuyers will be trimmed to 2.6 per cent from 2.85 per cent. PBOC will also gradually lower the amount of cash that auto financial companies and leasing firms must hold in reserves to zero from the current 5 per cent. PBOC expanded the allowance for the relending tool for agriculture and small and medium-sized enterprises by 300 billion yuan (around $415 million), along with combining two stock market support tools with a total quota of 800 billion yuan (about $1.1 billion). A debt risk-sharing tool will also be created, allowing the PBOC to provide low-cost relending funds to encourage purchases of bonds of technology firms. China is preparing more measures to support small and medium enterprises and the private sector, which will be announced soon, Li Yunze, the head of the financial regulatory administration, said at the briefing. The broad stimulus announcement showed the officials were acting with greater urgency to bolster the economy. Beijing had largely opted for piecemeal stimulus measures this year, while hinting that it had sufficient policy firepower to use “when appropriate”. (With inputs from agencies)

China cuts key rates, boosts liquidity ahead of US trade talk

<div class="x_elementToProof" data-olk-copy-source="MessageBody">American consumers are starting to feel the sting of an escalating trade war. Ahead of sweeping new tariffs targeting small Chinese shipments, fast fashion giant Shein Group Ltd has raised US prices of its products from dresses to kitchenware.</div>
<div class="x_elementToProof" data-olk-copy-source="MessageBody"></div>
<div class="x_elementToProof">According to data compiled by Bloomberg news, Shein increased prices sharply across multiple categories on April 25, with beauty and health products seeing the most dramatic spikes&mdash;an average 51 per cent surge compared to the day before. Homeware, kitchen and toy products prices jumped by 30 per cent,&nbsp;led by a massive 377 per cent increase in the price of a 10-piece set of kitchen towels. For women&rsquo;s clothing, the rise was 8 per cent.</div>
<div class="x_elementToProof"></div>
<div class="x_elementToProof">The timing is no coincidence. Starting May 2, the US government will dismantle the &ldquo;de minimis&rdquo; exemption, which previously allowed goods valued under $800 to enter tariff-free from China and Hong Kong. In its place comes a 120 per cent tariff, plus new postal fees that will ratchet up again in June.</div>
<div class="x_elementToProof"></div>
<figure class="image"><img alt="Shein" src="https://img-cdn.publive.online/fit-in/942x659/filters:format(webp)/wion/media/media_files/2025/04/28/z69LStPa7bN43yqyLfwJ.png" style="width: 942px;">
<figcaption>Photograph: (Bloomberg)</figcaption>
</figure>
<h2 class="x_elementToProof">&nbsp;The End of the $5 T-Shirt Era?</h2>
<div class="x_elementToProof">
<div class="x_elementToProof">For years, online marketplaces like Shein and Temu built booming American businesses by exploiting the de minimis loophole, offering low-cost goods shipped directly from Chinese factories. That model is now under threat.</div>
<div class="x_elementToProof">Bloomberg&rsquo;s report highlights how fast Chinese platforms are reacting: Shein&rsquo;s overall US prices climbed about 10% between April 24 and 26, based on a sample shopping cart of 50 popular items. Notably, 30 of those 50 items saw double-digit price hikes in just two days. Seven products were delisted entirely from the US website, possibly to dodge tariff exposure.</div>
<div class="x_elementToProof">Meanwhile, Shein&rsquo;s UK pricing remained stable, suggesting that the company&rsquo;s US hikes are directly linked to the incoming trade barriers rather than broader global cost pressures.</div>
<h2 class="x_elementToProof">Manufacturers Pivot, Consumers Scramble</h2>
<div class="x_elementToProof">Chinese retailers are scrambling to adapt. Earlier this year, Shein reportedly encouraged suppliers to expand production into Vietnam to sidestep American duties, while Temu experimented with &ldquo;half-custody&rdquo; logistics, moving bulk goods into US warehouses to avoid higher postal charges.</div>
<div class="x_elementToProof">Consumers, on their part, have rushed to buy before prices rise further. Bloomberg data shows both Shein and Temu recorded a spike in US sales during March and early April, with shoppers stocking up on everything from beauty kits to kitchen appliances.</div>
<h2 class="x_elementToProof">Political and Economic Flashpoints Ahead</h2>
<div class="x_elementToProof">The developments also challenge political narratives on inflation. Just last week, former President Donald Trump declared that inflation was &ldquo;virtually nonexistent&rdquo; due to falling energy and grocery prices. Yet the reality at the checkout counter may tell a different story.</div>
<div class="x_elementToProof">As the new tariffs take effect, more American retailers could be forced to pass rising costs onto consumers, deepening economic anxiety in an election year. For now, Shein&rsquo;s price adjustments offer a glimpse of what could soon become a broader trend: an end to the era of ultra-cheap Chinese imports in the US market.</div>
</div>

Business & Economy, kitchen and toy products prices jumped by 30 per cent, led by a massive 377 per cent increase in the price of a 10-piece set of kitchen towels.

American consumers are starting to feel the sting of an escalating trade war. Ahead of sweeping new tariffs targeting small Chinese shipments, fast fashion giant Shein Group Ltd has raised US prices of its products from dresses to kitchenware. According to data compiled by Bloomberg news, Shein increased prices sharply across multiple categories on April 25, with beauty and health products seeing the most dramatic spikes—an average 51 per cent surge compared to the day before. Homeware, kitchen and toy products prices jumped by 30 per cent, led by a massive 377 per cent increase in the price of a 10-piece set of kitchen towels. For women’s clothing, the rise was 8 per cent. The timing is no coincidence. Starting May 2, the US government will dismantle the “de minimis” exemption, which previously allowed goods valued under $800 to enter tariff-free from China and Hong Kong. In its place comes a 120 per cent tariff, plus new postal fees that will ratchet up again in June. Photograph: (Bloomberg) The End of the $5 T-Shirt Era? For years, online marketplaces like Shein and Temu built booming American businesses by exploiting the de minimis loophole, offering low-cost goods shipped directly from Chinese factories. That model is now under threat. Bloomberg’s report highlights how fast Chinese platforms are reacting: Shein’s overall US prices climbed about 10% between April 24 and 26, based on a sample shopping cart of 50 popular items. Notably, 30 of those 50 items saw double-digit price hikes in just two days. Seven products were delisted entirely from the US website, possibly to dodge tariff exposure. Meanwhile, Shein’s UK pricing remained stable, suggesting that the company’s US hikes are directly linked to the incoming trade barriers rather than broader global cost pressures. Manufacturers Pivot, Consumers Scramble Chinese retailers are scrambling to adapt. Earlier this year, Shein reportedly encouraged suppliers to expand production into Vietnam to sidestep American duties, while Temu experimented with “half-custody” logistics, moving bulk goods into US warehouses to avoid higher postal charges. Consumers, on their part, have rushed to buy before prices rise further. Bloomberg data shows both Shein and Temu recorded a spike in US sales during March and early April, with shoppers stocking up on everything from beauty kits to kitchen appliances. Political and Economic Flashpoints Ahead The developments also challenge political narratives on inflation. Just last week, former President Donald Trump declared that inflation was “virtually nonexistent” due to falling energy and grocery prices. Yet the reality at the checkout counter may tell a different story. As the new tariffs take effect, more American retailers could be forced to pass rising costs onto consumers, deepening economic anxiety in an election year. For now, Shein’s price adjustments offer a glimpse of what could soon become a broader trend: an end to the era of ultra-cheap Chinese imports in the US market.

End of Cheap Hauls? Shein’s Prices Are Soaring for US Buyers Before Tariffs Bite

China&rsquo;s top leaders are expected to meet as soon as Wednesday (Apr 9) to discuss measures to boost the economy and stabilise capital markets amid escalations in the trade war with the United States, Reuters reported, citing people familiar with the matter.
Economists have warned that US President Donald Trump&rsquo;s tariffs on the world&rsquo;s second-largest economy could result in a decline of one to two per cent in the country&rsquo;s growth, worsen industrial overcapacity, put domestic jobs at risk, and further fuel deflationary forces.
Also read | <a href="https://www.wionews.com/world/china-vows-to-fight-against-trumps-tariff-beijings-plan-to-ban-hollywood-movies-could-cost-us-millions-8939497">China vows to &lsquo;fight&rsquo; against Trump&rsquo;s tariff. Beijing&rsquo;s plan to ban Hollywood movies could cost US millions</a>
The planned high-level meeting comes as 104 per cent tariffs on Chinese goods take effect on Wednesday (Apr 9) and marks the first one that became publicly known since Trump imposed reciprocal tariffs on China last week.&nbsp;
<h2>High-level meet</h2>
The top leaders who are expected to attend the meeting include senior officials from the State Council, or cabinet, as well as several government and regulatory bodies, reported Reuters, citing two anonymous sources.
Also read | <a href="https://www.wionews.com/world/china-not-backing-down-beijing-hits-back-at-us-with-84-tariffs-on-all-us-goods-from-april-10-after-trumps-104-duty-8943443">China not backing down! Beijing hits back at US with 84% tariffs on all US goods from April 10, after Trump's 104% duty</a>
They added that top officials from the government bodies, including the People's Bank of China, the central bank, and the finance ministry, were also likely to attend the meeting. Officials of the commerce ministry, the National Financial Regulatory Administration (NFRA) and China Securities Regulatory Commission (CSRC) are also expected to be present at the meeting.
They will likely discuss measures to boost domestic consumption and support capital markets in China. The talks will likely include initiatives like making rebates on export tax more attractive for domestic companies, the sources said. Chinese state media are expected to report part of the meeting&rsquo;s agenda, they said.
Also read | <a href="https://www.wionews.com/world/china-trying-to-be-friends-with-india-again-beijing-asks-india-to-stand-together-amid-trumps-tariffs-8943099">China trying to be friends with India again? Beijing asks India to 'stand together' amid Trump's tariffs</a>
<h2>China-US trade war</h2>
On Wednesday (Apr 9), China hit back at the US with 84 per cent tariffs on all American goods in response to the 104 per cent sweeping tariffs imposed by the US. The new Chinese levies are set to take effect on Thursday (Apr 10).
Also read | <a href="https://www.wionews.com/world/chinas-neighbourhood-first-policy-amid-tariff-war-xi-jinping-says-it-will-strengthen-ties-with-neighbours-8942918">China's 'neighbourhood first' policy amid Trump tariffs: Xi Jinping advocates better ties with neighbours as 104 pc duties kick in</a>
Earlier, China imposed a 34 per cent tariff on US goods following Trump&rsquo;s announcement of &ldquo;reciprocal tariffs&rdquo; on April 2. Trump had warned China of withdrawing its retaliatory tariffs or the US would respond with an additional 50 per cent duties. However, China has vowed to fight back against the US president&rsquo;s alleged &ldquo;blackmail&rdquo;.
(With inputs from agencies)

World | The planned high-level meeting comes as 104 per cent tariffs on Chinese goods take effect on Wednesday (Apr 9) and marks the first one that became publicly known since Trump imposed reciprocal tariffs on China last week.

China’s top leaders are expected to meet as soon as Wednesday (Apr 9) to discuss measures to boost the economy and stabilise capital markets amid escalations in the trade war with the United States, Reuters reported, citing people familiar with the matter. Economists have warned that US President Donald Trump’s tariffs on the world’s second-largest economy could result in a decline of one to two per cent in the country’s growth, worsen industrial overcapacity, put domestic jobs at risk, and further fuel deflationary forces. Also read | China vows to ‘fight’ against Trump’s tariff. Beijing’s plan to ban Hollywood movies could cost US millions The planned high-level meeting comes as 104 per cent tariffs on Chinese goods take effect on Wednesday (Apr 9) and marks the first one that became publicly known since Trump imposed reciprocal tariffs on China last week. High-level meet The top leaders who are expected to attend the meeting include senior officials from the State Council, or cabinet, as well as several government and regulatory bodies, reported Reuters, citing two anonymous sources. Also read | China not backing down! Beijing hits back at US with 84% tariffs on all US goods from April 10, after Trump's 104% duty They added that top officials from the government bodies, including the People's Bank of China, the central bank, and the finance ministry, were also likely to attend the meeting. Officials of the commerce ministry, the National Financial Regulatory Administration (NFRA) and China Securities Regulatory Commission (CSRC) are also expected to be present at the meeting. They will likely discuss measures to boost domestic consumption and support capital markets in China. The talks will likely include initiatives like making rebates on export tax more attractive for domestic companies, the sources said. Chinese state media are expected to report part of the meeting’s agenda, they said. Also read | China trying to be friends with India again? Beijing asks India to 'stand together' amid Trump's tariffs China-US trade war On Wednesday (Apr 9), China hit back at the US with 84 per cent tariffs on all American goods in response to the 104 per cent sweeping tariffs imposed by the US. The new Chinese levies are set to take effect on Thursday (Apr 10). Also read | China's 'neighbourhood first' policy amid Trump tariffs: Xi Jinping advocates better ties with neighbours as 104 pc duties kick in Earlier, China imposed a 34 per cent tariff on US goods following Trump’s announcement of “reciprocal tariffs” on April 2. Trump had warned China of withdrawing its retaliatory tariffs or the US would respond with an additional 50 per cent duties. However, China has vowed to fight back against the US president’s alleged “blackmail”. (With inputs from agencies)

Top Chinese leaders to meet to discuss support measures amid trade war with US – Report

US President Donald Trump is considering a visit to China as early as next month, South China Morning Post reported, citing multiple diplomatic sources.
This potential trip is likely aimed at finalizing a deal with Beijing, which has been the Republican leader's primary focus since his return to the White House for his second term.
Both presidents want to host a diplomatic visit to claim a triumph, but talks so far suggest Trump might visit China instead, said SCMP, citing sources.
It is not yet clear as to how far the discussions have progressed.
&ldquo;It is more difficult for Beijing officials to talk to their counterparts in Washington now than in the Biden administration, as Washington is going through drastic changes,&rdquo; SCMP quoted a source as saying.
Just days before Trump's return to the White House on January 20, he had a phone call with Chinese President Xi Jinping, where they discussed various issues.
&ldquo;It is my expectation that we will solve many problems together, and starting immediately. We discussed balancing trade, fentanyl, TikTok, and many other subjects,&rdquo; Trump said after he spoke to Xi on call.
Chinese Foreign Minister Wang Yi had a conversation with US counterpart Marco Rubio just a week later, although they are yet to hold an official meeting.
<a href="https://www.wionews.com/world/if-us-wants-war-were-ready-to-fight-china-warns-trump-amid-tariff-row-8796239">Also read: &lsquo;If US wants war, we&rsquo;re ready to fight&rsquo;: China warns Trump amid tariff row</a>
<h2>'Trump and Xi to hold summit in April'</h2>
According to the SCMP report, a second source said that both countries were having discussions around holding a summit between Trump and Xi in the month of April.
Trump expressed hope for Xi to visit his Mar-a-Lago estate in Florida, where they previously met in 2017. However, Beijing preferred a more formal meeting in either Washington or China.
&ldquo;Especially for Xi, if Trump visits China after the &lsquo;two sessions&rsquo;, it will be an important diplomatic victory,&rdquo; SCMP quoted the source as saying.
This comes as the trade friction continues to grow between the two countries after Trump slapped tariffs on Chinese goods, followed by retaliatory tariffs from China.
(With inputs from agencies)

World news: Just days before Trump's return to the White House on January 20, he had a phone call with Chinese President Xi Jinping, where they discussed various issues.

US President Donald Trump is considering a visit to China as early as next month, South China Morning Post reported, citing multiple diplomatic sources. This potential trip is likely aimed at finalizing a deal with Beijing, which has been the Republican leader's primary focus since his return to the White House for his second term. Both presidents want to host a diplomatic visit to claim a triumph, but talks so far suggest Trump might visit China instead, said SCMP, citing sources. It is not yet clear as to how far the discussions have progressed. “It is more difficult for Beijing officials to talk to their counterparts in Washington now than in the Biden administration, as Washington is going through drastic changes,” SCMP quoted a source as saying. Just days before Trump's return to the White House on January 20, he had a phone call with Chinese President Xi Jinping, where they discussed various issues. “It is my expectation that we will solve many problems together, and starting immediately. We discussed balancing trade, fentanyl, TikTok, and many other subjects,” Trump said after he spoke to Xi on call. Chinese Foreign Minister Wang Yi had a conversation with US counterpart Marco Rubio just a week later, although they are yet to hold an official meeting. Also read: ‘If US wants war, we’re ready to fight’: China warns Trump amid tariff row 'Trump and Xi to hold summit in April' According to the SCMP report, a second source said that both countries were having discussions around holding a summit between Trump and Xi in the month of April. Trump expressed hope for Xi to visit his Mar-a-Lago estate in Florida, where they previously met in 2017. However, Beijing preferred a more formal meeting in either Washington or China. “Especially for Xi, if Trump visits China after the ‘two sessions’, it will be an important diplomatic victory,” SCMP quoted the source as saying. This comes as the trade friction continues to grow between the two countries after Trump slapped tariffs on Chinese goods, followed by retaliatory tariffs from China. (With inputs from agencies)

Trump likely to visit China in April, meet Xi amid growing trade tensions: Report

China has set its fiscal deficit target for 2025 at a record 5.66 trillion yuan, marking the highest level in over 3 decades. This follows the government's coordinated efforts to counter rising US tariffs and declining domestic consumption. Despite multiple challenges, China has set an ambitious 5 per cent growth target for 2025.
Li Qiang, Chinese Premier, said in an address, &lsquo;The expected economic growth target of around 5 per cent is set not only to support employment stability, risk prevention, and public well-being but also because it is backed by economic growth potential and favorable conditions.&rsquo;&nbsp;
<h2>Can more money mean less problems for China?</h2>
China is ramping up fiscal spending to achieve its growth target, with the government pledging significant stimulus efforts to stabilise the economy. As part of its fiscal strategy, China will issue 1.3 trillion yuan in ultra-long sovereign bonds, marking an increase from last year's 1 trillion yuan. Additionally, 300 billion yuan will find a new trade-in programme, designed to boost consumer spending on durable goods like cars and appliances. The government is also allocating money for local governments. These measures are part of a broader effort to support a troubled domestic economy.
Li Qiang highlighted the focus points for 2025. 'The main targets for development this year are projected as follows: GDP growth of around 5 per cent, surveyed urban unemployment rate of around 5.5 per cent, over 12 million new urban jobs, CPI increase of around 2 per cent,' he said.
While local government debt is estimated to be as high as 100 per cent of GDP, central borrowing has increased in recent years to manage growing debt risks at local levels. Despite concerns over long-term inflation and debt servicing, China believes borrowing and injecting more money into the economy can possibly offset rising concerns over trade turmoil.

Business & Economy, The government is also allocating money for local governments. These measures are part of a broader effort to support a troubled domestic economy.

China has set its fiscal deficit target for 2025 at a record 5.66 trillion yuan, marking the highest level in over 3 decades. This follows the government's coordinated efforts to counter rising US tariffs and declining domestic consumption. Despite multiple challenges, China has set an ambitious 5 per cent growth target for 2025. Li Qiang, Chinese Premier, said in an address, ‘The expected economic growth target of around 5 per cent is set not only to support employment stability, risk prevention, and public well-being but also because it is backed by economic growth potential and favorable conditions.’ Can more money mean less problems for China? China is ramping up fiscal spending to achieve its growth target, with the government pledging significant stimulus efforts to stabilise the economy. As part of its fiscal strategy, China will issue 1.3 trillion yuan in ultra-long sovereign bonds, marking an increase from last year's 1 trillion yuan. Additionally, 300 billion yuan will find a new trade-in programme, designed to boost consumer spending on durable goods like cars and appliances. The government is also allocating money for local governments. These measures are part of a broader effort to support a troubled domestic economy. Li Qiang highlighted the focus points for 2025. 'The main targets for development this year are projected as follows: GDP growth of around 5 per cent, surveyed urban unemployment rate of around 5.5 per cent, over 12 million new urban jobs, CPI increase of around 2 per cent,' he said. While local government debt is estimated to be as high as 100 per cent of GDP, central borrowing has increased in recent years to manage growing debt risks at local levels. Despite concerns over long-term inflation and debt servicing, China believes borrowing and injecting more money into the economy can possibly offset rising concerns over trade turmoil.

China’s economic vision for 2025 meets Trump’s tariffs

US Secretary of State Marco Rubio clashed with his Chinese counterpart Wang Yi over Taiwan on Friday, with Donald Trump's top diplomat denouncing Beijing's "coercive" moves.
Rubio, a longtime China hawk, spoke with Wang for the first time by telephone at the end of his first week in office, which he began by forming a united front with US partners in the region.
In the telephone call, Rubio told Wang that the second Trump administration will pursue a relationship with China "that advances US interests and puts the American people first," State Department spokeswoman Tammy Bruce said.
Also read: <a href="https://www.wionews.com/world/us-president-donald-trump-us-abortion-rights-what-is-mexico-city-rule-hyde-amendment-8651798" rel="dofollow noopener" target="_blank">US anti-abortion crackdown: President Trump reinstates 'Mexico City Rule,' slashes abortion aid globally</a>
"The secretary also stressed the United States' commitment to our allies in the region and serious concern over China's coercive actions against Taiwan and in the South China Sea," she said.
Wang in turn cautioned Rubio over Taiwan, the self-governing democracy which China claims and has not ruled out seizing by force.
"We will never allow Taiwan to be separated from China," Wang told Rubio, adding that Washington "must not betray its promise" to recognize only one China, according to a readout by the Chinese foreign ministry.
Wang voiced hope to Rubio that the former American senator would "play a constructive role for the future of the Chinese and American people, and for world peace and stability," it said.
In their call, Wang told Rubio that the world's top two economies should work to find "the right way to get along in the new era" -- presumably referring to Trump's return to the US presidency. 
While Beijing had "no intention of surpassing or replacing anyone," it maintained its "legitimate right to development," he said.
Also read: <a href="https://www.wionews.com/world/mexico-draws-line-on-us-deportation-flights-but-vows-to-welcome-back-citizens-with-open-arms-8651983">Mexico draws line on US deportation flights but vows to welcome back citizens 'with open arms'</a>
The Chinese minister said the pair should follow the lead of President Xi Jinping and Trump, who appeared to have a cordial telephone call.
<h2>Boosting Taiwan</h2>
The United States is a longtime supporter of Taiwan and its largest supplier of weapons, but does not formally recognize it diplomatically.
In his Senate confirmation hearing last week, Rubio vowed to ramp up support for Taiwan to achieve an "equilibrium" that would discourage China from an invasion.
Rubio suggested at the hearing that China could invade the island by the end of the decade unless the United States makes clear that "the costs of intervening in Taiwan are too high."
Rubio has cast China as the top threat to the United States and has accused the Asian power -- whose economy has skyrocketed in recent decades -- of "cheating" its way toward superpower status.
Rubio met immediately Tuesday after taking office with the foreign ministers of Japan, India and Australia -- the so-called Quad that China charges is an attempt to encircle it.
The four foreign ministers jointly warned against any "unilateral actions that seek to change the status quo by force or coercion," in a clear reference to China.
Rubio also spoke by telephone with his counterparts from the Philippines and, on Friday, Vietnam.
With Vietnamese Deputy Prime Minister and Foreign Minister Bui Thanh Son, Rubio discussed China's "aggressive behavior in the South China Sea," the State Department said.
China has seen rising friction with Southeast Asian nations, especially the Philippines, as it asserts its claims in the strategic and dispute-rife waterway.
Disclaimer: This story has been published from a news agency feed with minimal edits to adhere to WION's style guide. The headline may have been changed to better reflect the content of the story or to make it more suitable for&nbsp;WION&nbsp;audience.

World: Rubio, a longtime China hawk, spoke with Wang for the first time by telephone at the end of his first week in office, which he began by forming a united front with US partners in the region.

US Secretary of State Marco Rubio clashed with his Chinese counterpart Wang Yi over Taiwan on Friday, with Donald Trump's top diplomat denouncing Beijing's "coercive" moves. Rubio, a longtime China hawk, spoke with Wang for the first time by telephone at the end of his first week in office, which he began by forming a united front with US partners in the region. In the telephone call, Rubio told Wang that the second Trump administration will pursue a relationship with China "that advances US interests and puts the American people first," State Department spokeswoman Tammy Bruce said. Also read: US anti-abortion crackdown: President Trump reinstates 'Mexico City Rule,' slashes abortion aid globally "The secretary also stressed the United States' commitment to our allies in the region and serious concern over China's coercive actions against Taiwan and in the South China Sea," she said. Wang in turn cautioned Rubio over Taiwan, the self-governing democracy which China claims and has not ruled out seizing by force. "We will never allow Taiwan to be separated from China," Wang told Rubio, adding that Washington "must not betray its promise" to recognize only one China, according to a readout by the Chinese foreign ministry. Wang voiced hope to Rubio that the former American senator would "play a constructive role for the future of the Chinese and American people, and for world peace and stability," it said. In their call, Wang told Rubio that the world's top two economies should work to find "the right way to get along in the new era" -- presumably referring to Trump's return to the US presidency. While Beijing had "no intention of surpassing or replacing anyone," it maintained its "legitimate right to development," he said. Also read: Mexico draws line on US deportation flights but vows to welcome back citizens 'with open arms' The Chinese minister said the pair should follow the lead of President Xi Jinping and Trump, who appeared to have a cordial telephone call. Boosting Taiwan The United States is a longtime supporter of Taiwan and its largest supplier of weapons, but does not formally recognize it diplomatically. In his Senate confirmation hearing last week, Rubio vowed to ramp up support for Taiwan to achieve an "equilibrium" that would discourage China from an invasion. Rubio suggested at the hearing that China could invade the island by the end of the decade unless the United States makes clear that "the costs of intervening in Taiwan are too high." Rubio has cast China as the top threat to the United States and has accused the Asian power -- whose economy has skyrocketed in recent decades -- of "cheating" its way toward superpower status. Rubio met immediately Tuesday after taking office with the foreign ministers of Japan, India and Australia -- the so-called Quad that China charges is an attempt to encircle it. The four foreign ministers jointly warned against any "unilateral actions that seek to change the status quo by force or coercion," in a clear reference to China. Rubio also spoke by telephone with his counterparts from the Philippines and, on Friday, Vietnam. With Vietnamese Deputy Prime Minister and Foreign Minister Bui Thanh Son, Rubio discussed China's "aggressive behavior in the South China Sea," the State Department said. China has seen rising friction with Southeast Asian nations, especially the Philippines, as it asserts its claims in the strategic and dispute-rife waterway. Disclaimer: This story has been published from a news agency feed with minimal edits to adhere to WION's style guide. The headline may have been changed to better reflect the content of the story or to make it more suitable for WION audience.

Marco Rubio clashes with China over Taiwan in first call as US Secretary of State

The US Commerce Department will propose a ban on the sale or import of smart vehicles that use specific Chinese or Russian technology due to national security concerns, CNN reported on Monday, citing US officials.

While speaking to reporters in a conference call on Sunday, US Secretary of Commerce Gina Raimondo said that a US government probe that started in February found various national security risks from embedded software and hardware from China and Russia in US vehicles, including the possibility of remote sabotage by hacking and the collection of personal data on drivers.

She stated, "In extreme situations, a foreign adversary could shut down or take control of all their vehicles operating in the United States, all at the same time, causing crashes (or) blocking roads."

Speaking to CNN, a senior administration official said that the rule will not be applicable to the cars already on the road in the US that already have Chinese software installed.

According to the US Commerce Department, the software ban would come into effect for vehicles for "model year" 2027 and the hardware ban for "model year" 2030.

The proposed regulatory action is part of a much broader struggle between the US and China to secure the supply chains of the key computing technology of the future, from semiconductors to AI.

US officials are worried as China, especially, has invested in the connected car market and inroads made by Chinese manufacturers in Europe.

Disclaimer: This story has been published from a news agency feed with minimal edits to adhere to WION's style guide. The headline may have been changed to better reflect the content of the story or to make it more suitable for WION&nbsp;audience. 
&nbsp;

The US Commerce Department will propose a ban on the sale or import of smart vehicles that use specific Chinese or Russian technology due to national security concerns, CNN reported on Monday, citing US officials.

The US Commerce Department will propose a ban on the sale or import of smart vehicles that use specific Chinese or Russian technology due to national security concerns, CNN reported on Monday, citing US officials. While speaking to reporters in a conference call on Sunday, US Secretary of Commerce Gina Raimondo said that a US government probe that started in February found various national security risks from embedded software and hardware from China and Russia in US vehicles, including the possibility of remote sabotage by hacking and the collection of personal data on drivers. She stated, "In extreme situations, a foreign adversary could shut down or take control of all their vehicles operating in the United States, all at the same time, causing crashes (or) blocking roads." Speaking to CNN, a senior administration official said that the rule will not be applicable to the cars already on the road in the US that already have Chinese software installed. According to the US Commerce Department, the software ban would come into effect for vehicles for "model year" 2027 and the hardware ban for "model year" 2030. The proposed regulatory action is part of a much broader struggle between the US and China to secure the supply chains of the key computing technology of the future, from semiconductors to AI. US officials are worried as China, especially, has invested in the connected car market and inroads made by Chinese manufacturers in Europe. Disclaimer: This story has been published from a news agency feed with minimal edits to adhere to WION's style guide. The headline may have been changed to better reflect the content of the story or to make it more suitable for WION audience.

US proposes ban on smart vehicles with Chinese and Russian technology

The US has expelled China's consul general in New York, a&nbsp;day after&nbsp;Governor Kathy Hochul's former aide was charged with acting as a foreign agent, according to a CNN report.

Hochul informed that the consul general had been expelled after she made a request.&nbsp;

“I have conveyed my desire to have the counsel general from the People’s Republic of China and the New York mission expelled, and I’ve been informed that the counsel general is no longer in the New York mission,” said Hochul during a press conference.&nbsp;

The decision to expel the envoy comes after Linda Sun&nbsp;and her husband,&nbsp;Christopher Hu, were indicted on Tuesday (Sep 2) of being Chinese agents. Sun held a series of positions within the New York State government from 2012 to 2023 - including deputy chief of staff to Hochul for a year, beginning in September 2021.

According to court documents, Sun furthered Chinese interests during her tenure in the state government. She blocked&nbsp;representatives of the Taiwanese government from meeting with officials and attempted to arrange for a New York state official to visit China.&nbsp;

"Acting at the request of PRC government officials and the [Communist Party of China] representative, Sun engaged in numerous political activities in the interests of the PRC and the CCP," the indictment noted.&nbsp;

Federal prosecutors added that Sun and Hu used the money received from Chinese overlords to buy multi-million dollar mansions on Long Island and Honolulu, as well as a Ferrari Roma sports car.&nbsp;&nbsp;

The&nbsp;Chinese government representatives also facilitated millions of dollars in transactions for Hu, who had business activities in China.&nbsp;

Sun has been charged with&nbsp;violating and conspiring to violate the Foreign Agents Registration Act, visa fraud, alien smuggling and money laundering conspiracy. Both Sun and her husband have pleaded not guilty to the charges.

<a href="https://www.wionews.com/videos/new-york-governor-former-aide-linda-sun-charged-with-espionage-755864">Watch |&nbsp;New York 'governor' former aide Linda Sun charged with espionage</a>

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<h2>Hochul's office issues clarification</h2>

Hochul's office released a statement after Sun's indictment stating that her employment was terminated in 2023.&nbsp;

“We terminated her employment in March 2023 after discovering evidence of misconduct, immediately reported her actions to law enforcement and have assisted law enforcement throughout this process,” said&nbsp;Hochul’s press secretary Avi Small.&nbsp;

<a href="https://www.wionews.com/world/new-york-governor-hochuls-ex-aide-indicted-for-being-chinese-foreign-agent-755634">Also read |&nbsp;New York Governor Hochul’s ex-aide indicted for being Chinese agent former aide Linda Sun charged with espionage</a>

Even after her employment was terminated, Sun attended public and professional Asian community events purporting to represent the Department of Labor while claiming to be the Deputy Commissioner of the Department of Labor.&nbsp;

(With inputs from agencies)

The US has expelled China's consul general in New York, a day after Governor Kathy Hochul's former aide was charged with acting as a foreign agent, according to a CNN report.

The US has expelled China's consul general in New York, a day after Governor Kathy Hochul's former aide was charged with acting as a foreign agent, according to a CNN report. Hochul informed that the consul general had been expelled after she made a request. “I have conveyed my desire to have the counsel general from the People’s Republic of China and the New York mission expelled, and I’ve been informed that the counsel general is no longer in the New York mission,” said Hochul during a press conference. The decision to expel the envoy comes after Linda Sun and her husband, Christopher Hu, were indicted on Tuesday (Sep 2) of being Chinese agents. Sun held a series of positions within the New York State government from 2012 to 2023 - including deputy chief of staff to Hochul for a year, beginning in September 2021. According to court documents, Sun furthered Chinese interests during her tenure in the state government. She blocked representatives of the Taiwanese government from meeting with officials and attempted to arrange for a New York state official to visit China. "Acting at the request of PRC government officials and the [Communist Party of China] representative, Sun engaged in numerous political activities in the interests of the PRC and the CCP," the indictment noted. Federal prosecutors added that Sun and Hu used the money received from Chinese overlords to buy multi-million dollar mansions on Long Island and Honolulu, as well as a Ferrari Roma sports car. The Chinese government representatives also facilitated millions of dollars in transactions for Hu, who had business activities in China. Sun has been charged with violating and conspiring to violate the Foreign Agents Registration Act, visa fraud, alien smuggling and money laundering conspiracy. Both Sun and her husband have pleaded not guilty to the charges. Watch | New York 'governor' former aide Linda Sun charged with espionage × Hochul's office issues clarification Hochul's office released a statement after Sun's indictment stating that her employment was terminated in 2023. “We terminated her employment in March 2023 after discovering evidence of misconduct, immediately reported her actions to law enforcement and have assisted law enforcement throughout this process,” said Hochul’s press secretary Avi Small. Also read | New York Governor Hochul’s ex-aide indicted for being Chinese agent former aide Linda Sun charged with espionage Even after her employment was terminated, Sun attended public and professional Asian community events purporting to represent the Department of Labor while claiming to be the Deputy Commissioner of the Department of Labor. (With inputs from agencies)

China's consul general in New York expelled after governor Hochul's ex-aide indicted for being foreign agent

China warned the United States on Tuesday that it has "no right to intervene" in its maritime disputes with the Philippines after another clash near a disputed reef in the South China Sea.

China and the Philippines have had repeated confrontations in the waters over the past year, including around a warship, grounded in 1999 by Manila on the contested Second Thomas Shoal, which hosts a garrison.

Both countries said on Monday that their coast guard ships had collided near the disputed Sabina Shoal, located 140 kilometres (86 miles) west of the Philippine island of Palawan and about 1,200 kilometres from Hainan island, the closest Chinese landmass.

China claims almost the entire South China Sea despite an international tribunal ruling that its assertion has no legal basis.

The United States condemned the "dangerous actions" against "lawful Philippine maritime operations" on Monday after the latest clash.

"These actions are the latest examples of (China) using dangerous and escalatory measures to enforce its expansive and unlawful South China Sea maritime claims," State Department spokesman Vedant Patel said.

Asked about Patel's remarks on Tuesday, his Chinese counterpart Mao Ning defended Beijing's "legal measures to safeguard its territorial sovereignty and maritime rights and interests".

"The US is not a party in the South China Sea and has no right to intervene in maritime disputes between China and the Philippines," Mao told a regular briefing.&nbsp;

"The US should stop provoking confrontation in the South China Sea, not disrupt regional stability and not escalate tensions," Mao said.

Analysts have said Beijing's aim is to push eastwards from the Second Thomas Shoal towards the neighbouring Sabina Shoal in the Spratly Islands, encroaching on Manila's exclusive economic zone and normalising Chinese control of the area.

The confrontations have echoes of 2012 when Beijing took control of Scarborough Shoal, another strategic feature in the South China Sea closest to the Philippines.

Disclaimer: This story has been published from a news agency feed with minimal edits to adhere to WION's style guide. The headline may have been changed to better reflect the content of the story or to make it more suitable for WION&nbsp;audience.

China warned the United States on Tuesday that it has "no right to intervene" in its maritime disputes with the Philippines after another clash near a disputed reef in the South China Sea.

China warned the United States on Tuesday that it has "no right to intervene" in its maritime disputes with the Philippines after another clash near a disputed reef in the South China Sea. China and the Philippines have had repeated confrontations in the waters over the past year, including around a warship, grounded in 1999 by Manila on the contested Second Thomas Shoal, which hosts a garrison. Both countries said on Monday that their coast guard ships had collided near the disputed Sabina Shoal, located 140 kilometres (86 miles) west of the Philippine island of Palawan and about 1,200 kilometres from Hainan island, the closest Chinese landmass. China claims almost the entire South China Sea despite an international tribunal ruling that its assertion has no legal basis. The United States condemned the "dangerous actions" against "lawful Philippine maritime operations" on Monday after the latest clash. "These actions are the latest examples of (China) using dangerous and escalatory measures to enforce its expansive and unlawful South China Sea maritime claims," State Department spokesman Vedant Patel said. Asked about Patel's remarks on Tuesday, his Chinese counterpart Mao Ning defended Beijing's "legal measures to safeguard its territorial sovereignty and maritime rights and interests". "The US is not a party in the South China Sea and has no right to intervene in maritime disputes between China and the Philippines," Mao told a regular briefing. "The US should stop provoking confrontation in the South China Sea, not disrupt regional stability and not escalate tensions," Mao said. Analysts have said Beijing's aim is to push eastwards from the Second Thomas Shoal towards the neighbouring Sabina Shoal in the Spratly Islands, encroaching on Manila's exclusive economic zone and normalising Chinese control of the area. The confrontations have echoes of 2012 when Beijing took control of Scarborough Shoal, another strategic feature in the South China Sea closest to the Philippines. Disclaimer: This story has been published from a news agency feed with minimal edits to adhere to WION's style guide. The headline may have been changed to better reflect the content of the story or to make it more suitable for WION audience.

China warns US 'no right to intervene' in South China Sea disputes

US Justice Department launched a legal battle against TikTok and its parent company, ByteDance, on Friday (Aug 2), accusing the social media platform of violating children's privacy laws.

The lawsuit is the latest move by the Biden administration to increase pressure on TikTok.

The US government said TikTok violated the ‘Children's Online Privacy Protection Act’ that involve services aimed at children to get parental approval to collect personal information from users under age 13.

Notably, the Chinese-owned short-video platform boasts around 170 million US users, and presently is fighting a new law that would force ByteDance to divest TikTok's US assets by Jan 19 or face a ban.

Also read:&nbsp;<a data-ctorig="https://www.wionews.com/world/tiktok-fights-back-bytedance-appeals-to-overturn-unconstitutional-potential-ban-in-us-733665" data-cturl="https://www.google.com/url?client=internal-element-cse&amp;cx=006054055338965708568:09spwrlibei&amp;q=https://www.wionews.com/world/tiktok-fights-back-bytedance-appeals-to-overturn-unconstitutional-potential-ban-in-us-733665&amp;sa=U&amp;ved=2ahUKEwj9lcWemtiHAxX9VmwGHU33Hd0QFnoECAkQAg&amp;usg=AOvVaw2LDUGsiOqK-0pnS1FBTJIH&amp;arm=e" dir="ltr" href="https://www.wionews.com/world/tiktok-fights-back-bytedance-appeals-to-overturn-unconstitutional-potential-ban-in-us-733665" target="_blank">TikTok&nbsp;fights back: ByteDance appeals against potential ban in US</a>

Amidst escalating tensions, US has taken another step against TikTok and its parent company. The lawsuit stems from fears that the platform is a medium for the Chinese government to collect sensitive American data and influence public opinion through content manipulation.

The suit states it is aimed at putting an end to TikTok's unlawful massive-scale invasions of children's privacy.

Representative Frank Pallone, the top Democrat on the Energy and Commerce Committee, said the suit "underscores the importance of divesting TikTok from Chinese Communist Party control. We simply cannot continue to allow our adversaries to harvest vast troves of Americans’ sensitive data."

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Frank Pallone further stated&nbsp;that the lawsuit "highlights the need to dissociate from TikTok from Chinese Communist Party control. We cannot allow our adversaries to continue harvesting large amounts of Americans’ sensitive data."

While TikTok on Friday said, it disagrees "with these allegations, many of which relate to past events and practices that are factually inaccurate or have been addressed."

As per the Department of Justice, TikTok on purpose permitted children to create regular TikTok accounts, and then create and share short-form videos and messages with adults and others on the regular TikTok platform.

TikTok collected personal information from these children without obtaining consent from their parents.

Also read:&nbsp;<a data-ctorig="https://www.wionews.com/world/indias-ban-on-tiktok-to-help-us-authorities-win-legal-case-against-chinese-app-says-top-us-official-715969" data-cturl="https://www.google.com/url?client=internal-element-cse&amp;cx=006054055338965708568:09spwrlibei&amp;q=https://www.wionews.com/world/indias-ban-on-tiktok-to-help-us-authorities-win-legal-case-against-chinese-app-says-top-us-official-715969&amp;sa=U&amp;ved=2ahUKEwj9lcWemtiHAxX9VmwGHU33Hd0QFnoECAIQAg&amp;usg=AOvVaw0I1umQNGoT7oeuR7Dzi-9S&amp;arm=e" dir="ltr" href="https://www.wionews.com/world/indias-ban-on-tiktok-to-help-us-authorities-win-legal-case-against-chinese-app-says-top-us-official-715969" target="_blank">India's ban on&nbsp;TikTok&nbsp;to help US authorities win legal case&nbsp;</a>

The FTC is seeking penalties of up to $51,744 per violation per day from TikTok for improperly collecting data, which could potentially amount to billions of dollars if TikTok is found liable.

(With inputs from agencies)

US Justice Department launched a legal battle against TikTok and its parent company, ByteDance, on Friday (Aug 2), accusing the social media platform of violating children's privacy laws.

US Justice Department launched a legal battle against TikTok and its parent company, ByteDance, on Friday (Aug 2), accusing the social media platform of violating children's privacy laws. The lawsuit is the latest move by the Biden administration to increase pressure on TikTok. The US government said TikTok violated the ‘Children's Online Privacy Protection Act’ that involve services aimed at children to get parental approval to collect personal information from users under age 13. Notably, the Chinese-owned short-video platform boasts around 170 million US users, and presently is fighting a new law that would force ByteDance to divest TikTok's US assets by Jan 19 or face a ban. Also read: TikTok fights back: ByteDance appeals against potential ban in US Amidst escalating tensions, US has taken another step against TikTok and its parent company. The lawsuit stems from fears that the platform is a medium for the Chinese government to collect sensitive American data and influence public opinion through content manipulation. The suit states it is aimed at putting an end to TikTok's unlawful massive-scale invasions of children's privacy. Representative Frank Pallone, the top Democrat on the Energy and Commerce Committee, said the suit "underscores the importance of divesting TikTok from Chinese Communist Party control. We simply cannot continue to allow our adversaries to harvest vast troves of Americans’ sensitive data." × Frank Pallone further stated that the lawsuit "highlights the need to dissociate from TikTok from Chinese Communist Party control. We cannot allow our adversaries to continue harvesting large amounts of Americans’ sensitive data." While TikTok on Friday said, it disagrees "with these allegations, many of which relate to past events and practices that are factually inaccurate or have been addressed." As per the Department of Justice, TikTok on purpose permitted children to create regular TikTok accounts, and then create and share short-form videos and messages with adults and others on the regular TikTok platform. TikTok collected personal information from these children without obtaining consent from their parents. Also read: India's ban on TikTok to help US authorities win legal case The FTC is seeking penalties of up to $51,744 per violation per day from TikTok for improperly collecting data, which could potentially amount to billions of dollars if TikTok is found liable. (With inputs from agencies)

US sues TikTok over privacy violations involving children under 13

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