China’s smartphone exports to the US have plunged to their lowest level since 2011, reflecting a dramatic fallout from escalating trade tensions and renewed tariff threats.&nbsp;&nbsp;As global electronics supply chains recalibrate, India is fast emerging as the new pivot point in the tech manufacturing ecosystem.&nbsp;China’s smartphone exports to US declines&nbsp; In April 2025, China’s mobile phone shipments to the US plummeted 72 per cent year-on-year to $688.5 million, the lowest monthly figure since June 2011, according to China’s General Administration of Customs, as reported by Bloomberg and Trade Data Monitor.&nbsp;&nbsp;This collapse outpaced the 21 per cent overall drop in Chinese exports to the US in the same period, underscoring how high-tech goods are being disproportionately impacted.&nbsp;New data shows that smartphones led the decline in export value in April 2025, with a month-on-month drop of $1.8 billion. Other top tech categories saw steep falls as well:&nbsp;Top 10 Product Export Drops from China to US (April 2025, MoM change):&nbsp;<figure class="table"><table><tbody><tr><td>Product</td><td>Decline ($ Million)</td></tr><tr><td>Smartphones</td><td>-1800.0</td></tr><tr><td>Laptops</td><td>-260.0</td></tr><tr><td>Solid State Disks (SSD)</td><td>-156.9</td></tr><tr><td>Video Game Consoles</td><td>-135.9</td></tr><tr><td>Optical Communication Modules</td><td>-87.0</td></tr><tr><td>Plastic Products</td><td>-86.7</td></tr><tr><td>Toys</td><td>-80.9</td></tr><tr><td>PC Monitors</td><td>-79.9</td></tr><tr><td>Plastic Tableware &amp; Kitchenware</td><td>-73.7</td></tr><tr><td>Wireless Headphones</td><td>-63.6</td></tr></tbody></table></figure>(Source: China’s General Administration of Customs, Trade Data Monitor)&nbsp;US-China trade war saga&nbsp; The Trump administration has imposed tariffs of up to 145 per cent on select Chinese goods, including mobile phones and electronics, aiming to “protect American industry” and correct trade imbalances. However, analysts argue the levies are disrupting global tech supply chains, raising costs for US consumers, and forcing companies to rethink manufacturing strategies. According to Bloomberg, investors fear this new wave of tariffs could reignite a full-blown global trade war, decimating industries, and triggering inflation across key consumer markets. In a tit-for-tat response, China has rolled out its own reciprocal tariffs, targeting US exports like liquid petroleum gas, soybeans, gas turbines, and semiconductor machinery.&nbsp; These items were among the top American goods exported to China last year. Meanwhile, high-level trade negotiations in Geneva have hit a wall, with Beijing accusing Washington of sabotaging progress by announcing fresh sanctions on Huawei Technologies Co.’s AI chip units, just as the talks were underway. Both sides have agreed to a 90-day pause on new tariffs, but the underlying tensions remain unresolved. Analysts say the truce may only be “temporary relief, not a breakthrough.” The stakes are massive. In 2024, US-China bilateral trade totaled $690 billion, with smartphones, laptops, and lithium-ion batteries topping the list of US imports from China, according to Trade Data Monitor. That flow is now under direct threat. Tariff-led uncertainty is causing companies to hedge their bets—and China’s smartphone export data is one of the clearest signs yet. India emerges as the big winner As the US and China clash, India is emerging as a strategic alternative in global electronics manufacturing. Apple Inc. is accelerating its shift of iPhone production to India.&nbsp; According to China’s General Administration of Customs, the value of smartphone component exports from China to India has roughly quadrupled over the past year. India now hosts Apple’s largest iPhone production base outside of China, serving as a key assembly hub. More parts are being shipped from China to India, then exported to global markets including the US to bypass tariff penalties. But Trump has pushed back on this workaround, publicly urging Apple to “bring iPhone manufacturing home.” However, experts point out that iPhones have never been made in the US, and the infrastructure needed for such a shift is still years away. The 14-year low in smartphone exports signals more than just a trade slowdown, it represents a strategic decoupling in tech.&nbsp;&nbsp;With tariffs rising, trust fading, and sanctions increasing, the smartphone war could be just the beginning of a broader economic cold war.&nbsp;

The decline in smartphone export reflects a dramatic fallout from escalating trade tensions and renewed tariff threats. 

China’s smartphone exports to the US have plunged to their lowest level since 2011, reflecting a dramatic fallout from escalating trade tensions and renewed tariff threats. As global electronics supply chains recalibrate, India is fast emerging as the new pivot point in the tech manufacturing ecosystem. China’s smartphone exports to US declines In April 2025, China’s mobile phone shipments to the US plummeted 72 per cent year-on-year to $688.5 million, the lowest monthly figure since June 2011, according to China’s General Administration of Customs, as reported by Bloomberg and Trade Data Monitor. This collapse outpaced the 21 per cent overall drop in Chinese exports to the US in the same period, underscoring how high-tech goods are being disproportionately impacted. New data shows that smartphones led the decline in export value in April 2025, with a month-on-month drop of $1.8 billion. Other top tech categories saw steep falls as well: Top 10 Product Export Drops from China to US (April 2025, MoM change): Product Decline ($ Million) Smartphones -1800.0 Laptops -260.0 Solid State Disks (SSD) -156.9 Video Game Consoles -135.9 Optical Communication Modules -87.0 Plastic Products -86.7 Toys -80.9 PC Monitors -79.9 Plastic Tableware & Kitchenware -73.7 Wireless Headphones -63.6 (Source: China’s General Administration of Customs, Trade Data Monitor) US-China trade war saga The Trump administration has imposed tariffs of up to 145 per cent on select Chinese goods, including mobile phones and electronics, aiming to “protect American industry” and correct trade imbalances. However, analysts argue the levies are disrupting global tech supply chains, raising costs for US consumers, and forcing companies to rethink manufacturing strategies. According to Bloomberg, investors fear this new wave of tariffs could reignite a full-blown global trade war, decimating industries, and triggering inflation across key consumer markets. In a tit-for-tat response, China has rolled out its own reciprocal tariffs, targeting US exports like liquid petroleum gas, soybeans, gas turbines, and semiconductor machinery. These items were among the top American goods exported to China last year. Meanwhile, high-level trade negotiations in Geneva have hit a wall, with Beijing accusing Washington of sabotaging progress by announcing fresh sanctions on Huawei Technologies Co.’s AI chip units, just as the talks were underway. Both sides have agreed to a 90-day pause on new tariffs, but the underlying tensions remain unresolved. Analysts say the truce may only be “temporary relief, not a breakthrough.” The stakes are massive. In 2024, US-China bilateral trade totaled $690 billion, with smartphones, laptops, and lithium-ion batteries topping the list of US imports from China, according to Trade Data Monitor. That flow is now under direct threat. Tariff-led uncertainty is causing companies to hedge their bets—and China’s smartphone export data is one of the clearest signs yet. India emerges as the big winner As the US and China clash, India is emerging as a strategic alternative in global electronics manufacturing. Apple Inc. is accelerating its shift of iPhone production to India. According to China’s General Administration of Customs, the value of smartphone component exports from China to India has roughly quadrupled over the past year. India now hosts Apple’s largest iPhone production base outside of China, serving as a key assembly hub. More parts are being shipped from China to India, then exported to global markets including the US to bypass tariff penalties. But Trump has pushed back on this workaround, publicly urging Apple to “bring iPhone manufacturing home.” However, experts point out that iPhones have never been made in the US, and the infrastructure needed for such a shift is still years away. The 14-year low in smartphone exports signals more than just a trade slowdown, it represents a strategic decoupling in tech. With tariffs rising, trust fading, and sanctions increasing, the smartphone war could be just the beginning of a broader economic cold war.

Amid global trade tension due to Trump tariff, China’s smartphone exports to the US have plunged to their lowest level since 2011.&nbsp;

China’s smartphone exports to US crash to 14-year low amid trade war

China’s battery behemoth CATL just pulled off the biggest IPO of the year, but the buzz around its $4.6 billion Hong Kong debut wasn’t just about market performance, it was about who wasn’t&nbsp;allowed to invest. &nbsp;In a striking sign of deepening US-China financial tensions, onshore American investors were reportedly barred from buying shares of CATL, the world’s largest EV battery maker and a key supplier to Tesla, Volkswagen, and Toyota.&nbsp;&nbsp;The move underscored a growing “financial decoupling” between the world’s two largest economies. Economist Stephen Roach, former chairman of Morgan Stanley Asia, told The New York Times that “we are headed toward full financial decoupling with China” and added that “Congress is driving the process of disengagement.”&nbsp;Why is CATL’s IPO a big deal?&nbsp;Contemporary Amperex Technology Co. Limited (CATL) dominates the global electric vehicle battery market, controlling more than one-third of global EV battery sales, according to the BBC. The company is a cornerstone of China’s green tech ambitions and is rapidly expanding overseas, with manufacturing plants in Germany and Hungary, and an upcoming factory in Spain in partnership with Stellantis. &nbsp;Although already listed on the Shenzhen Stock Exchange, CATL raised HK$35.7 billion ($4.55 billion) in its Hong Kong debut — the largest public offering of 2025 so far, according to data provider Dealogic, as reported by The New York Times.&nbsp;&nbsp;Neil Beveridge, head of Asia research at Bernstein, told the BBC that “the performance of the stock was very good in what is going to be a key IPO for Hong Kong given the size of the listing.”&nbsp;Why were US investors barred? &nbsp;The exclusion of onshore US investors from CATL’s Hong Kong listing was a direct result of escalating geopolitical tensions. In January, the US Department of Defense designated CATL as a company allegedly working with China’s military, a move that was reported by both the BBC and The New York Times.&nbsp;&nbsp;Then in April, the chair of the House Select Committee on China wrote to the CEOs of JPMorgan and Bank of America, urging them to withdraw from the IPO, according to the BBC. In addition, The New York Times reported that US lawmakers lobbied Wall Street banks to distance themselves from the deal, citing national security concerns.&nbsp;Facing mounting scrutiny, CATL restructured its IPO as a Regulation S offering, effectively barring onshore US investors and avoiding certain regulatory filings in the United States. In regulatory documents, the company admitted that it faces “risks associated with changes in trade policies or tariff regulations,” as reported by The New York Times.&nbsp;&nbsp;CATL also strongly denied any ties to military operations, stating it “has never engaged in any military-related businesses or activities” and had reached out to the Department of Defense to challenge what it called a false designation.&nbsp;The bigger picture: Financial decoupling CATL’s listing marks a dramatic reversal from the earlier trend of Chinese tech firms pursuing Wall Street debuts. When Alibaba went public on the New York Stock Exchange in 2014, it raised $21.8 billion and was celebrated by American investors and bankers.&nbsp;&nbsp;But according to The New York Times, the current climate is very different, with Chinese companies increasingly steering clear of US markets due to both political pressures and policy constraints.&nbsp;Experts believe this may just be the beginning. Victor Shih, a specialist in Chinese finance at the University of California, San Diego, told The New York Times that CATL’s IPO structure represents “a major milestone” and predicted that “this will apply to many Chinese hardware and even some software producers,” effectively shutting out American investors from future high-growth opportunities. He estimated that around 10 per cent of US investors might have participated in the CATL IPO had they not been restricted.&nbsp;Can tariffs hurt CATL?&nbsp;Not as much as one might expect. CATL generates nearly 70 per cent of its revenue from the Chinese market, which has helped buffer the company against the effects of US-imposed tariffs, according to the BBC.&nbsp;&nbsp;Despite trade headwinds, CATL continues to be a global innovation leader. In April, it unveiled a new battery capable of fast-charging up to 323 miles (520 kilometers) in just five minutes, as reported by the BBC.&nbsp;&nbsp;The company also provides lithium iron phosphate batteries to Tesla’s Shanghai Gigafactory, further cementing its global presence.

CATL $4.6 billion Hong Kong debut wasn’t just about market performance, it was about who wasn’t allowed to invest.

China’s battery behemoth CATL just pulled off the biggest IPO of the year, but the buzz around its $4.6 billion Hong Kong debut wasn’t just about market performance, it was about who wasn’t allowed to invest. In a striking sign of deepening US-China financial tensions, onshore American investors were reportedly barred from buying shares of CATL, the world’s largest EV battery maker and a key supplier to Tesla, Volkswagen, and Toyota. The move underscored a growing “financial decoupling” between the world’s two largest economies. Economist Stephen Roach, former chairman of Morgan Stanley Asia, told The New York Times that “we are headed toward full financial decoupling with China” and added that “Congress is driving the process of disengagement.” Why is CATL’s IPO a big deal? Contemporary Amperex Technology Co. Limited (CATL) dominates the global electric vehicle battery market, controlling more than one-third of global EV battery sales, according to the BBC. The company is a cornerstone of China’s green tech ambitions and is rapidly expanding overseas, with manufacturing plants in Germany and Hungary, and an upcoming factory in Spain in partnership with Stellantis. Although already listed on the Shenzhen Stock Exchange, CATL raised HK$35.7 billion ($4.55 billion) in its Hong Kong debut — the largest public offering of 2025 so far, according to data provider Dealogic, as reported by The New York Times. Neil Beveridge, head of Asia research at Bernstein, told the BBC that “the performance of the stock was very good in what is going to be a key IPO for Hong Kong given the size of the listing.” Why were US investors barred? The exclusion of onshore US investors from CATL’s Hong Kong listing was a direct result of escalating geopolitical tensions. In January, the US Department of Defense designated CATL as a company allegedly working with China’s military, a move that was reported by both the BBC and The New York Times. Then in April, the chair of the House Select Committee on China wrote to the CEOs of JPMorgan and Bank of America, urging them to withdraw from the IPO, according to the BBC. In addition, The New York Times reported that US lawmakers lobbied Wall Street banks to distance themselves from the deal, citing national security concerns. Facing mounting scrutiny, CATL restructured its IPO as a Regulation S offering, effectively barring onshore US investors and avoiding certain regulatory filings in the United States. In regulatory documents, the company admitted that it faces “risks associated with changes in trade policies or tariff regulations,” as reported by The New York Times. CATL also strongly denied any ties to military operations, stating it “has never engaged in any military-related businesses or activities” and had reached out to the Department of Defense to challenge what it called a false designation. The bigger picture: Financial decoupling CATL’s listing marks a dramatic reversal from the earlier trend of Chinese tech firms pursuing Wall Street debuts. When Alibaba went public on the New York Stock Exchange in 2014, it raised $21.8 billion and was celebrated by American investors and bankers. But according to The New York Times, the current climate is very different, with Chinese companies increasingly steering clear of US markets due to both political pressures and policy constraints. Experts believe this may just be the beginning. Victor Shih, a specialist in Chinese finance at the University of California, San Diego, told The New York Times that CATL’s IPO structure represents “a major milestone” and predicted that “this will apply to many Chinese hardware and even some software producers,” effectively shutting out American investors from future high-growth opportunities. He estimated that around 10 per cent of US investors might have participated in the CATL IPO had they not been restricted. Can tariffs hurt CATL? Not as much as one might expect. CATL generates nearly 70 per cent of its revenue from the Chinese market, which has helped buffer the company against the effects of US-imposed tariffs, according to the BBC. Despite trade headwinds, CATL continues to be a global innovation leader. In April, it unveiled a new battery capable of fast-charging up to 323 miles (520 kilometers) in just five minutes, as reported by the BBC. The company also provides lithium iron phosphate batteries to Tesla’s Shanghai Gigafactory, further cementing its global presence.

Amid global trade tension, China’s battery behemoth Contemporary Amperex Technology Co. Limited (CATL) just pulled off the biggest IPO of the year.

How the US-China trade war shaped CATL’s blockbuster Hong Kong debut

China's central bank, the People's Bank of China (PBOC), lowered its key lending rates for the first time since October as part of a broader effort to stabilise the country’s economy amid ongoing trade tensions with the United States.&nbsp;On May 20, the PBOC cut the one-year loan prime rate (LPR) by 10 basis points to 3.0 per cent from 3.1 per cent and the five-year LPR by a similar margin to 3.5 per cent from 3.6 per cent. These cuts aim to stimulate consumption, encourage borrowing, and ultimately help offset economic challenges such as weak domestic demand and deflationary pressures.&nbsp;Economic impact&nbsp;The decision to reduce the LPR follows a series of monetary easing measures that the PBOC has been implementing in response to slowing economic growth. The LPR serves as a benchmark for the interest rates charged on loans, including mortgages, and influences both corporate and household borrowing. The one-year LPR, in particular, is vital for short-term loans, while the five-year rate directly impacts mortgage lending, making this decision significant for the housing market.&nbsp;The rate cuts were widely anticipated by analysts, with many forecasting a 10-basis-point reduction. This move comes after a period of escalating trade tensions between the US and China, which had put substantial strain on both economies.&nbsp;However, the recent easing of tensions, following a temporary tariff reduction agreement between the two countries, has provided some breathing room for China to implement its monetary policy. The US and China agreed to roll back tariffs for 90 days, which has raised hopes of a more lasting resolution to the trade war.&nbsp;While the rate cuts are seen as a step in the right direction, economists warn that modest interest rate reductions alone may not be enough to generate substantial economic growth.&nbsp;Strategic policy adjustments&nbsp;In addition to the rate cuts, Chinese authorities have also implemented measures to ease liquidity conditions by lowering the reserve requirement ratio for banks. This move aims to free up more funds for lending and investment, further supporting economic activity.&nbsp;These steps come in the wake of weakening economic indicators, including a sharp decline in new loans, which plummeted by 61 per cent year-over-year in April, signalling diminished confidence in borrowing due to tariff concerns.&nbsp;Morgan Stanley economists told CNBC that stimulus measures are likely to be "lighter and delayed" due to the reduced likelihood of further escalations in the trade war. However, the firm also cautioned that despite the tariff reduction, the US trade-weighted tariff rate on China remains high, which could continue to dampen external demand for Chinese exports and exacerbate domestic overcapacity issues.&nbsp;The decision to cut rates comes as part of a broader economic strategy that includes both monetary and fiscal easing, aimed at navigating the challenges posed by deflation and sluggish domestic consumption. Wholesale prices in China fell sharply in April, marking the steepest drop in six months, and consumer prices have been in decline for three consecutive months, underscoring persistent deflationary pressure.&nbsp;Despite the favourable impact of the trade de-escalation on the yuan, which has strengthened by over 2.8 per cent against the US dollar since reaching a record low last month, the overall economic outlook remains uncertain.&nbsp;As China pushes forward with its stimulus measures, the government's goal of achieving a growth target of around 5 per cent for the year seems increasingly dependent on the success of these policies.&nbsp;The combination of lower interest rates, fiscal stimulus, and trade negotiations presents a delicate balancing act for Beijing, which must navigate deflation, sluggish demand, and trade risks to achieve its growth objectives for 2025. &nbsp;

These cuts aim to stimulate consumption, encourage borrowing, and ultimately help offset economic challenges such as weak domestic demand and deflationary pressures.

China's central bank, the People's Bank of China (PBOC), lowered its key lending rates for the first time since October as part of a broader effort to stabilise the country’s economy amid ongoing trade tensions with the United States. On May 20, the PBOC cut the one-year loan prime rate (LPR) by 10 basis points to 3.0 per cent from 3.1 per cent and the five-year LPR by a similar margin to 3.5 per cent from 3.6 per cent. These cuts aim to stimulate consumption, encourage borrowing, and ultimately help offset economic challenges such as weak domestic demand and deflationary pressures. Economic impact The decision to reduce the LPR follows a series of monetary easing measures that the PBOC has been implementing in response to slowing economic growth. The LPR serves as a benchmark for the interest rates charged on loans, including mortgages, and influences both corporate and household borrowing. The one-year LPR, in particular, is vital for short-term loans, while the five-year rate directly impacts mortgage lending, making this decision significant for the housing market. The rate cuts were widely anticipated by analysts, with many forecasting a 10-basis-point reduction. This move comes after a period of escalating trade tensions between the US and China, which had put substantial strain on both economies. However, the recent easing of tensions, following a temporary tariff reduction agreement between the two countries, has provided some breathing room for China to implement its monetary policy. The US and China agreed to roll back tariffs for 90 days, which has raised hopes of a more lasting resolution to the trade war. While the rate cuts are seen as a step in the right direction, economists warn that modest interest rate reductions alone may not be enough to generate substantial economic growth. Strategic policy adjustments In addition to the rate cuts, Chinese authorities have also implemented measures to ease liquidity conditions by lowering the reserve requirement ratio for banks. This move aims to free up more funds for lending and investment, further supporting economic activity. These steps come in the wake of weakening economic indicators, including a sharp decline in new loans, which plummeted by 61 per cent year-over-year in April, signalling diminished confidence in borrowing due to tariff concerns. Morgan Stanley economists told CNBC that stimulus measures are likely to be "lighter and delayed" due to the reduced likelihood of further escalations in the trade war. However, the firm also cautioned that despite the tariff reduction, the US trade-weighted tariff rate on China remains high, which could continue to dampen external demand for Chinese exports and exacerbate domestic overcapacity issues. The decision to cut rates comes as part of a broader economic strategy that includes both monetary and fiscal easing, aimed at navigating the challenges posed by deflation and sluggish domestic consumption. Wholesale prices in China fell sharply in April, marking the steepest drop in six months, and consumer prices have been in decline for three consecutive months, underscoring persistent deflationary pressure. Despite the favourable impact of the trade de-escalation on the yuan, which has strengthened by over 2.8 per cent against the US dollar since reaching a record low last month, the overall economic outlook remains uncertain. As China pushes forward with its stimulus measures, the government's goal of achieving a growth target of around 5 per cent for the year seems increasingly dependent on the success of these policies. The combination of lower interest rates, fiscal stimulus, and trade negotiations presents a delicate balancing act for Beijing, which must navigate deflation, sluggish demand, and trade risks to achieve its growth objectives for 2025.

On May 20, the Central bank of China cut the one-year loan prime rate (LPR) by 10 basis points to 3.0 per cent from 3.1 per cent and the five-year LPR by a similar margin to 3.5 per cent from 3.6 per cent.&nbsp;

China cuts key lending rates to boost economic recovery amid trade war concerns

US President Donald Trump has taken aim at Walmart, urging the retail giant to absorb the cost of tariffs instead of passing them on to consumers. In a sharp rebuke posted on his social media platform Truth Social, Trump accused the company of hiding behind his trade policies while raking in massive profits.&nbsp;“Walmart should STOP trying to blame Tariffs as the reason for raising prices throughout the chain,” Trump wrote. “Walmart made BILLIONS OF DOLLARS last year, far more than expected. Between Walmart and China,&nbsp;they should, as is said, ‘EAT THE TARIFFS’, and not charge valued customers ANYTHING.”&nbsp;His comments follow Walmart’s announcement earlier this week that it would begin raising prices due to increased import duties. The company, a key player in American retail, cited high tariffs on Chinese goods as the primary driver of the looming price hike.&nbsp;Walmart retail price hike ultimatum&nbsp;&nbsp;According to Reuters, Walmart CEO Doug McMillon stated on Thursday that the company could not absorb all the tariff costs because of narrow retail margins. However, he assured that Walmart was committed to shielding customers from rising costs as much as possible — especially on essentials like food.&nbsp;“We will do our best to keep our prices as low as possible,” McMillon told Reuters. “But we won’t be able to absorb all the pressure imposed by the tariffs.”&nbsp;Following Trump’s remarks, Walmart reiterated its stance in a statement to Reuters: “We have always worked to keep our prices as low as possible and we won’t stop,” said company spokesperson Molly Blakeman. “We’ll keep prices as low as we can for as long as we can given the reality of small retail margins.”&nbsp;The retailer, which saw over 3 per cent sales growth to $112 billion in the most recent quarter, has not issued a profit projection for the current quarter, citing the ongoing uncertainty around tariffs.&nbsp;Trump tariff saga&nbsp;&nbsp;President Trump’s latest confrontation with Walmart is part of a broader and aggressive trade strategy that has seen the US impose tariffs on a range of foreign goods and trading partners.&nbsp;The latest salvo came on April 2, 2025, when Trump unveiled a new wave of sweeping import duties during his “Liberation Day” announcement, including a staggering 145 per cent tariff on Chinese goods.&nbsp;In retaliation, Beijing responded with reciprocal tariffs of 125 per cent on American goods. The tit-for-tat escalations disrupted global supply chains, drove up costs for consumers, and rattled financial markets.&nbsp;Although a temporary 90-day tariff pause was agreed , a 10 per cent base tariff on Chinese goods remained in place. The Geneva trade talks held earlier this week were also viewed as a potential turning point.&nbsp;According to a joint statement, both sides have agreed to reduce tariffs: the US has brought down its duties from 145 per cent to 30 per cent, while China has cut its retaliatory tariffs from 125 per cent to 10 per cent.&nbsp;Tariffs have also been raised on goods from Mexico, Vietnam, and South Korea, particularly in industries seen as vital to US national interests.Simultaneously, the US-UK trade deal has entered its final negotiation phase, with both nations agreeing to remove certain non-tariff barriers and consider lowering duties on automotive parts and pharmaceuticals. The deal is expected to be signed later this year, aiming to bolster transatlantic trade post-Brexit.&nbsp;Despite these diplomatic developments, Trump has remained firm on maintaining pressure on countries he views as taking advantage of the American market. Retailers like Walmart, which source about one-third of their products from overseas, primarily China and Mexico are reportedly caught in the middle, forced to balance profit margins against political rhetoric.&nbsp;With more than 4,000 stores across the US and 90 per cent of the population living within 10 miles of one, Walmart’s decision to increase prices may have broader implications for American consumers and for Trump’s own inflation-fighting narrative ahead of the 2024 elections.

Business & Economy: Trump comments came after Walmart announced price increases due to high tariffs on Chinese imports, identifying them as the main factor for the price hike.

US President Donald Trump has taken aim at Walmart, urging the retail giant to absorb the cost of tariffs instead of passing them on to consumers. In a sharp rebuke posted on his social media platform Truth Social, Trump accused the company of hiding behind his trade policies while raking in massive profits. “Walmart should STOP trying to blame Tariffs as the reason for raising prices throughout the chain,” Trump wrote. “Walmart made BILLIONS OF DOLLARS last year, far more than expected. Between Walmart and China, they should, as is said, ‘EAT THE TARIFFS’, and not charge valued customers ANYTHING.” His comments follow Walmart’s announcement earlier this week that it would begin raising prices due to increased import duties. The company, a key player in American retail, cited high tariffs on Chinese goods as the primary driver of the looming price hike. Walmart retail price hike ultimatum According to Reuters, Walmart CEO Doug McMillon stated on Thursday that the company could not absorb all the tariff costs because of narrow retail margins. However, he assured that Walmart was committed to shielding customers from rising costs as much as possible — especially on essentials like food. “We will do our best to keep our prices as low as possible,” McMillon told Reuters. “But we won’t be able to absorb all the pressure imposed by the tariffs.” Following Trump’s remarks, Walmart reiterated its stance in a statement to Reuters: “We have always worked to keep our prices as low as possible and we won’t stop,” said company spokesperson Molly Blakeman. “We’ll keep prices as low as we can for as long as we can given the reality of small retail margins.” The retailer, which saw over 3 per cent sales growth to $112 billion in the most recent quarter, has not issued a profit projection for the current quarter, citing the ongoing uncertainty around tariffs. Trump tariff saga President Trump’s latest confrontation with Walmart is part of a broader and aggressive trade strategy that has seen the US impose tariffs on a range of foreign goods and trading partners. The latest salvo came on April 2, 2025, when Trump unveiled a new wave of sweeping import duties during his “Liberation Day” announcement, including a staggering 145 per cent tariff on Chinese goods. In retaliation, Beijing responded with reciprocal tariffs of 125 per cent on American goods. The tit-for-tat escalations disrupted global supply chains, drove up costs for consumers, and rattled financial markets. Although a temporary 90-day tariff pause was agreed , a 10 per cent base tariff on Chinese goods remained in place. The Geneva trade talks held earlier this week were also viewed as a potential turning point. According to a joint statement, both sides have agreed to reduce tariffs: the US has brought down its duties from 145 per cent to 30 per cent, while China has cut its retaliatory tariffs from 125 per cent to 10 per cent. Tariffs have also been raised on goods from Mexico, Vietnam, and South Korea, particularly in industries seen as vital to US national interests. Simultaneously, the US-UK trade deal has entered its final negotiation phase, with both nations agreeing to remove certain non-tariff barriers and consider lowering duties on automotive parts and pharmaceuticals. The deal is expected to be signed later this year, aiming to bolster transatlantic trade post-Brexit. Despite these diplomatic developments, Trump has remained firm on maintaining pressure on countries he views as taking advantage of the American market. Retailers like Walmart, which source about one-third of their products from overseas, primarily China and Mexico are reportedly caught in the middle, forced to balance profit margins against political rhetoric. With more than 4,000 stores across the US and 90 per cent of the population living within 10 miles of one, Walmart’s decision to increase prices may have broader implications for American consumers and for Trump’s own inflation-fighting narrative ahead of the 2024 elections.

President Trump criticised Walmart on social media, urging the company to absorb tariff costs rather than transferring them to consumers, highlighting their profits.

Trump tells Walmart to ‘eat the tariffs’ amid retail price hike alarm

<div data-olk-copy-source="MessageBody">US President Donald Trump has announced plans to impose a 100 per cent tariff on all movies &ldquo;produced in foreign lands&rdquo; on Sunday, arguing that the American film industry is "dying a very fast death" due to the incentives offered by foreign governments, which he claims lure US filmmakers overseas.</div>
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<div>In a post on Truth Social, Trump said, &ldquo;Hollywood, and many other areas within the USA, are being devastated. This is a concerted effort by other nations and, therefore, a National Security threat. It is, in addition to everything else, messaging and propaganda! Therefore, I am authorising the Department of Commerce, and the United States Trade Representative, to immediately begin the process of instituting a 100 per cent tariff on any and all movies coming into our country that are produced in foreign lands.&rdquo;</div>
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<div>&ldquo;We want movies made in America, again!&rdquo; the post further said.</div>
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<div>Replying to his post, the US Commerce Secretary Howard Lutnick said, "We're on it", in a post on social media platform X.</div>
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<div>Both Trump and Lutnick have not yet provided any clarity on how these tariffs will be imposed and who it will be targeted at.</div>
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<h2>What prompted the move?</h2>
<div>The protectionist move by the US President follows China&rsquo;s recent decision to reduce the number of American films allowed in its market. After the US, China is the world&rsquo;s second-largest film market in the world and the move could be a blow to big Hollywood studios like Disney, Warner Bros. and Paramount, which are already struggling to recover from the pandemic.</div>
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<div>The China Film Administration, in a statement on April 10, said, &ldquo;The wrong action of the US government to abuse tariffs on China will inevitably further reduce the domestic audience&rsquo;s favourability towards American films,&rdquo;&nbsp;The Guardian&nbsp;reported.</div>
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<div>Hollywood studios spent $11.3 billion on productions in the second quarter of 2024, a 20 per cent drop from the same period in 2022, reflecting a downturn in industry activity. Globally, film and television production levels declined by 20 per cent, while the US saw a sharper 40 per cent decline from pre-strike levels. The Greater Los Angeles Area experienced a 36.4 per cent decrease in shoot days compared to its five-year average, underscoring the widespread impact of production slowdowns across key sectors.</div>
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<div>Governments around the world have offered more generous tax credits and cash rebates to lure production, and capture a greater share of the $248 billion that Ampere Analysis predicts will be spent globally in 2025 to produce content.</div>
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<div>Worried about the growing troubles of the American film industry, last month, hundreds of Hollywood crew members, producers and actors urged California legislators to increase tax incentives and enact other measures to encourage more film and TV production in and around Los Angeles.</div>
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<div>As the trade war between the US and China escalates, the entertainment industry, particularly Hollywood, faces significant challenges. While tariffs and trade restrictions are disrupting global supply chains and affecting multiple sectors, Hollywood&rsquo;s increasing reliance on international locations like the UK for film production may turn out to be a unique challenge for the American film industry. The growing uncertainty could force the industry to reconsider its global strategies, potentially reshaping the landscape of film production, distribution, and international partnerships for years to come.</div>
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<div>(With inputs from agencies)</div>
</div>

Business & Economy: Intensifying his protectionist policies, Trump plans to impose a 100% tariff on all movies produced outside the US. The move could impact Hollywood

US President Donald Trump has announced plans to impose a 100 per cent tariff on all movies “produced in foreign lands” on Sunday, arguing that the American film industry is "dying a very fast death" due to the incentives offered by foreign governments, which he claims lure US filmmakers overseas. In a post on Truth Social, Trump said, “Hollywood, and many other areas within the USA, are being devastated. This is a concerted effort by other nations and, therefore, a National Security threat. It is, in addition to everything else, messaging and propaganda! Therefore, I am authorising the Department of Commerce, and the United States Trade Representative, to immediately begin the process of instituting a 100 per cent tariff on any and all movies coming into our country that are produced in foreign lands.” “We want movies made in America, again!” the post further said. Replying to his post, the US Commerce Secretary Howard Lutnick said, "We're on it", in a post on social media platform X. Both Trump and Lutnick have not yet provided any clarity on how these tariffs will be imposed and who it will be targeted at. What prompted the move? The protectionist move by the US President follows China’s recent decision to reduce the number of American films allowed in its market. After the US, China is the world’s second-largest film market in the world and the move could be a blow to big Hollywood studios like Disney, Warner Bros. and Paramount, which are already struggling to recover from the pandemic. The China Film Administration, in a statement on April 10, said, “The wrong action of the US government to abuse tariffs on China will inevitably further reduce the domestic audience’s favourability towards American films,” The Guardian reported. Hollywood studios spent $11.3 billion on productions in the second quarter of 2024, a 20 per cent drop from the same period in 2022, reflecting a downturn in industry activity. Globally, film and television production levels declined by 20 per cent, while the US saw a sharper 40 per cent decline from pre-strike levels. The Greater Los Angeles Area experienced a 36.4 per cent decrease in shoot days compared to its five-year average, underscoring the widespread impact of production slowdowns across key sectors. Governments around the world have offered more generous tax credits and cash rebates to lure production, and capture a greater share of the $248 billion that Ampere Analysis predicts will be spent globally in 2025 to produce content. Worried about the growing troubles of the American film industry, last month, hundreds of Hollywood crew members, producers and actors urged California legislators to increase tax incentives and enact other measures to encourage more film and TV production in and around Los Angeles. As the trade war between the US and China escalates, the entertainment industry, particularly Hollywood, faces significant challenges. While tariffs and trade restrictions are disrupting global supply chains and affecting multiple sectors, Hollywood’s increasing reliance on international locations like the UK for film production may turn out to be a unique challenge for the American film industry. The growing uncertainty could force the industry to reconsider its global strategies, potentially reshaping the landscape of film production, distribution, and international partnerships for years to come. (With inputs from agencies)

Donald Trump to impose tariffs on film production, is it a bad news for Hollywood?

US President Donald Trump took what critics saying a "U-turn" as he announced that all the countries in his list will get a 90-day pause on tariffs except China. In fact, he announced a further 125 per cent raise on tariffs on China. As comments raised that the US president unexpectedly took a flip, the White House indicated that the 90-day pause was always the part of Trump's plan.&nbsp;
The last two days were crucial as Trump administration did multiple wild things that people are not able to process at once. Let's have a look at them:&nbsp;
Also read: <a href="https://www.wionews.com/world/trump-misusing-biden-era-software-dhs-scour-social-media-histories-of-foreign-students-to-revoke-visas-8949040">Trump misusing Biden-era software? DHS scour social media histories of foreign students to revoke visas</a>
<h2>'A great time to buy'&nbsp;</h2>
Trump administration insisted repeatedly that it's not even considering a pause on tariffs - and then - paused it for 90 days.&nbsp;
Just three hours before the announcement, Trump posted on his Truth Social account, "THIS IS A GREAT TIME TO BUY!!! DJT." After this, the stock market significantly rebounded.&nbsp;
When Trump was asked about the pause on tariffs, he said in the Oval Office, "For a period of time, I would say this morning, over the last few days I was thinking about it. I've been dealing with Scott (Bessent), with Howard (Lutnick, Secretary of Commerce) with some other people that are very professional. And I think it probably came together early this morning. Fairly early this morning."
<blockquote class="twitter-tweet publive-iframes-block publive-Twitter-block" contenteditable="false" width="600" height="400" id="PL_blockquote_block-m9c8rsby-k160x1tg-s1fos3hh">
THIS IS A GREAT TIME TO BUY!!! DJT Donald Trump Truth Social 04/09/25 09:37 AM
&mdash; Donald J. Trump Posts From His Truth Social (@TrumpDailyPosts) <a href="https://twitter.com/TrumpDailyPosts/status/1909964046272516358?ref_src=twsrc%5Etfw">April 9, 2025</a></blockquote>
The "GREAT TIME TO BUY" post was published at 9.37am Washington DC time. The announcement came around 1.18pm.
Also read: <a href="https://www.wionews.com/world/in-the-end-its-going-to-be-beautiful-trump-warns-of-transition-cost-of-his-tariffs-amid-plunging-global-markets-8948875">&lsquo;In the end, it&rsquo;s going to be beautiful&rsquo;: Trump warns of &lsquo;transition cost&rsquo; of his tariffs amid plunging global markets</a>
"We just wrote it up," Trump added. "We didn't have the use of...we didn't have access to lawyers or anything. We just wrote it up from our hearts, right? It was written from the heart."
<h2>'This was his strategy all along'</h2>
After Trump announced the pause, US treasury secretary Scott Bessent claimed to reporters that "this was his (Trump) strategy all along".&nbsp;
But on the other hand, other sources, cited by The Mirror, claimed Trump's 90-day pause was a response against the market turmoil which had the potential to plunge the US - and the rest of the world - in a generational financial crisis.&nbsp;
<h2>'It's not a negotiation until it is'</h2>
Also read: <a href="https://www.wionews.com/world/will-trump-stop-here-us-raises-tariffs-on-china-to-145-targets-fentanyl-related-imports-8948640">Will Trump stop here? US raises tariffs on China to 145%, targets fentanyl-related imports</a>
Trump was asked in the White House if pausing the tariffs was a part of the plan - and that too to make other countries beg for the deal - then why he continued telling his team that its not.&nbsp;
Guess what Trump's reply was.
"A lot of times it's not a negotiation until it is," the US president said.&nbsp;
<blockquote class="twitter-tweet publive-iframes-block publive-Twitter-block" contenteditable="false" width="600" height="400" id="PL_blockquote_block-m9c8rxvt-6nltt0ks-dk80wpp3">
Trump on why he announced a tariffs pause: "I thought people were jumping a bit out of line. They were getting a little bit yipee." <a href="https://t.co/qAILvNB96I">pic.twitter.com/qAILvNB96I</a>
&mdash; Aaron Rupar (@atrupar) <a href="https://twitter.com/atrupar/status/1910047080543928365?ref_src=twsrc%5Etfw">April 9, 2025</a></blockquote>
<h2>No pause for tariffs on medicines and steel</h2>
Even though Trump pulled back from the reciprocal tariffs for other countries except China, the other tariffs imposed are still going ahead.&nbsp;
Also read: <a href="https://www.wionews.com/world/china-targets-hollywood-beijing-restricts-import-of-us-movies-amid-raging-tariff-war-will-trump-feel-the-pinch-8948717">China targets Hollywood: Beijing restricts import of US movies amid raging tariff war - Will Trump feel the pinch?</a>
Specifically the tariff on steel and, presumably, aluminium, cars and car parts will continue.&nbsp;
<h2>'Biggest increase in the history of the stock market'</h2>
Trump came and justified his pause on tariffs saying his U-turn was "the biggest increase in the history of the stock market."&nbsp;
"If you keep going," he added, "you're gonna be back to where it was four weeks ago."
<h2>Executive order to bring back proper showers</h2>
Yes, you read it right! Trump signed an executive order loosening rules that limit water flow for showerheads.
&ldquo;I like to take a nice shower, take care of my beautiful hair," Trump said Wednesday (April 9) as he signed an executive order at the White House. &ldquo;I have to stand in the shower for 15 minutes until it gets wet. Comes out drip, drip, drip. It's ridiculous."
"What you do is you end up washing your hands five times longer, so it&rsquo;s the same water,'' he added. "And we&rsquo;re going to open it up so that people can live.&rdquo;
(With inputs from agencies)
&nbsp;

WORLD | As comments raised that the US president unexpectedly took a flip, the White House indicated that the 90-day pause was always the part of Trump's plan.

US President Donald Trump took what critics saying a "U-turn" as he announced that all the countries in his list will get a 90-day pause on tariffs except China. In fact, he announced a further 125 per cent raise on tariffs on China. As comments raised that the US president unexpectedly took a flip, the White House indicated that the 90-day pause was always the part of Trump's plan. The last two days were crucial as Trump administration did multiple wild things that people are not able to process at once. Let's have a look at them: Also read: Trump misusing Biden-era software? DHS scour social media histories of foreign students to revoke visas 'A great time to buy' Trump administration insisted repeatedly that it's not even considering a pause on tariffs - and then - paused it for 90 days. Just three hours before the announcement, Trump posted on his Truth Social account, "THIS IS A GREAT TIME TO BUY!!! DJT." After this, the stock market significantly rebounded. When Trump was asked about the pause on tariffs, he said in the Oval Office, "For a period of time, I would say this morning, over the last few days I was thinking about it. I've been dealing with Scott (Bessent), with Howard (Lutnick, Secretary of Commerce) with some other people that are very professional. And I think it probably came together early this morning. Fairly early this morning." THIS IS A GREAT TIME TO BUY!!! DJT Donald Trump Truth Social 04/09/25 09:37 AM — Donald J. Trump Posts From His Truth Social (@TrumpDailyPosts) April 9, 2025 The "GREAT TIME TO BUY" post was published at 9.37am Washington DC time. The announcement came around 1.18pm. Also read: ‘In the end, it’s going to be beautiful’: Trump warns of ‘transition cost’ of his tariffs amid plunging global markets "We just wrote it up," Trump added. "We didn't have the use of...we didn't have access to lawyers or anything. We just wrote it up from our hearts, right? It was written from the heart." 'This was his strategy all along' After Trump announced the pause, US treasury secretary Scott Bessent claimed to reporters that "this was his (Trump) strategy all along". But on the other hand, other sources, cited by The Mirror, claimed Trump's 90-day pause was a response against the market turmoil which had the potential to plunge the US - and the rest of the world - in a generational financial crisis. 'It's not a negotiation until it is' Also read: Will Trump stop here? US raises tariffs on China to 145%, targets fentanyl-related imports Trump was asked in the White House if pausing the tariffs was a part of the plan - and that too to make other countries beg for the deal - then why he continued telling his team that its not. Guess what Trump's reply was. "A lot of times it's not a negotiation until it is," the US president said. Trump on why he announced a tariffs pause: "I thought people were jumping a bit out of line. They were getting a little bit yipee." pic.twitter.com/qAILvNB96I — Aaron Rupar (@atrupar) April 9, 2025 No pause for tariffs on medicines and steel Even though Trump pulled back from the reciprocal tariffs for other countries except China, the other tariffs imposed are still going ahead. Also read: China targets Hollywood: Beijing restricts import of US movies amid raging tariff war - Will Trump feel the pinch? Specifically the tariff on steel and, presumably, aluminium, cars and car parts will continue. 'Biggest increase in the history of the stock market' Trump came and justified his pause on tariffs saying his U-turn was "the biggest increase in the history of the stock market." "If you keep going," he added, "you're gonna be back to where it was four weeks ago." Executive order to bring back proper showers Yes, you read it right! Trump signed an executive order loosening rules that limit water flow for showerheads. “I like to take a nice shower, take care of my beautiful hair," Trump said Wednesday (April 9) as he signed an executive order at the White House. “I have to stand in the shower for 15 minutes until it gets wet. Comes out drip, drip, drip. It's ridiculous." "What you do is you end up washing your hands five times longer, so it’s the same water,'' he added. "And we’re going to open it up so that people can live.” (With inputs from agencies)

'Biggest U-turn in history'? Here are all the wild things Trump administration did in last 2 days

Chinese Vice Commerce Minister Ling Ji has pledged to the U.S. firm executives running business in China that their business rights together with their interests will receive continuous protection. China preserves its status as a favorable location for foreign investment especially for the United States leading business entities.
At the roundtable meeting in Beijing on Sunday Ling who is also a deputy trade negotiator cited Beijing's dedication to protect all legal rights and interests of foreign-funded enterprises under applicable laws. The official committed to resolve all concerns and demands which these companies might present him.
China plans to keep providing U.S. businesses with a secure operating environment in its territory despite the trade tensions that began when President Donald Trump imposed tariffs throughout the country.
Also Read | <a href="https://www.wionews.com/autonews/eu-seeks-unified-response-to-trump-tariffs-targeting-usd-28-billion-in-us-imports-8934284">EU seeks unified response to Trump tariffs, targeting USD 28 billion in US imports</a>
Ling expressed during the Monday statement from China's Commerce Ministry that all trading partners including China face severe harms from the widespread use of tariffs by the United States. Ling explained at a meeting that the United States is responsible for starting the tariff dispute.
The leader of Huawei defense positions share the same standards as President Xi Jinping who addressed multinational executives in Beijing regarding supply chain preservation. During his speech Xi emphasized that foreign companies remain essential to China's economic growth by contributing highly to import and export activities and creating more than 30 million job positions. The statements indicate China maintains strong dedication towards creating favorable conditions for international business operations despite its current trade disputes.

Autonews | Huawei defense positions leader shares the same standards as President Xi Jinping who addressed multinational executives in Beijing.

Chinese Vice Commerce Minister Ling Ji has pledged to the U.S. firm executives running business in China that their business rights together with their interests will receive continuous protection. China preserves its status as a favorable location for foreign investment especially for the United States leading business entities. At the roundtable meeting in Beijing on Sunday Ling who is also a deputy trade negotiator cited Beijing's dedication to protect all legal rights and interests of foreign-funded enterprises under applicable laws. The official committed to resolve all concerns and demands which these companies might present him. China plans to keep providing U.S. businesses with a secure operating environment in its territory despite the trade tensions that began when President Donald Trump imposed tariffs throughout the country. Also Read | EU seeks unified response to Trump tariffs, targeting USD 28 billion in US imports Ling expressed during the Monday statement from China's Commerce Ministry that all trading partners including China face severe harms from the widespread use of tariffs by the United States. Ling explained at a meeting that the United States is responsible for starting the tariff dispute. The leader of Huawei defense positions share the same standards as President Xi Jinping who addressed multinational executives in Beijing regarding supply chain preservation. During his speech Xi emphasized that foreign companies remain essential to China's economic growth by contributing highly to import and export activities and creating more than 30 million job positions. The statements indicate China maintains strong dedication towards creating favorable conditions for international business operations despite its current trade disputes.

China assures US firms of protected rights amidst trade tensions

Billionaire investor Warren Buffett has finally spoken on Donald Trump's tariffs strategy, calling it an 'act of war.' In a televised interview, Buffett highlighted the negative consequences of tariffs, warning that they ultimately act as a tax on goods that consumers 'must bear.'
<h2>Tuesday Tariffs</h2>
Tuesday marks the day when Trump's tariffs on goods imported from Canada and Mexico take effect. Additionally, tariffs on Chinese imports will rise from 10 to 20 per cent. Canada has already announced retaliatory tariffs on the US, while China is planning to target US agricultural goods. Economists predict this will increase prices on everyday items like cars and electronics, making them equally unbearable for American consumers.&nbsp;
Buffett, known for his cautious approach to economics, has long been a critic of protectionist policies. Buffett has long been a critic of Trump's trade policies, calling it a 'very bad idea' in 2016. Despite the tariffs, Buffett reaffirmed his confidence in the US economy, calling it the 'best place' for investment.
Meanwhile, US Commerce Secretary Howard Lutnick dismissed it as 'silly, suggesting that tariffs could eventually replace the IRS. However, the administration has yet to address broader economic concerns raised by economists and the weak consumer data from February.&nbsp;

Business & Economy, Buffett, known for his cautious approach to economics, has long been a critic of protectionist policies. Buffett has long been a critic of Trump's policies

Billionaire investor Warren Buffett has finally spoken on Donald Trump's tariffs strategy, calling it an 'act of war.' In a televised interview, Buffett highlighted the negative consequences of tariffs, warning that they ultimately act as a tax on goods that consumers 'must bear.' Tuesday Tariffs Tuesday marks the day when Trump's tariffs on goods imported from Canada and Mexico take effect. Additionally, tariffs on Chinese imports will rise from 10 to 20 per cent. Canada has already announced retaliatory tariffs on the US, while China is planning to target US agricultural goods. Economists predict this will increase prices on everyday items like cars and electronics, making them equally unbearable for American consumers. Buffett, known for his cautious approach to economics, has long been a critic of protectionist policies. Buffett has long been a critic of Trump's trade policies, calling it a 'very bad idea' in 2016. Despite the tariffs, Buffett reaffirmed his confidence in the US economy, calling it the 'best place' for investment. Meanwhile, US Commerce Secretary Howard Lutnick dismissed it as 'silly, suggesting that tariffs could eventually replace the IRS. However, the administration has yet to address broader economic concerns raised by economists and the weak consumer data from February.

Warren Buffett calls Trump tariffs 'an act of war'

The Donald Trump administration announced a 25 per cent tariff on goods from Canada, Mexico, and China from February 1 onwards. As per Trump, the move is aimed at boosting the American industry, but experts say it's the US shoppers who will have to pay the price. As per the report by ABC News, experts have said a lot of products will get costlier amid this regime.&nbsp;
<h2>Gas prices might rise</h2>
Also read: <a href="https://www.wionews.com/world/trumps-tariffs-could-hit-canada-mexico-and-china-tomorrow-why-even-americans-should-be-worried-8679177">Trump&rsquo;s tariffs to hit Canada, Mexico and China: Why should Americans be&nbsp;worried?</a>
US imports around 70 per cent of its crude oil stock from Canada and Mexico. Reports said the countries are responsible for fuelling a large percentage of the entire gasoline supply in the United States at present.&nbsp;
According to Timothy Fitzgerald, a professor of business economics at the University of Tennessee, prices of fuel can go as high as 40 to 70 per cent, ABC News reported.&nbsp;
He further told the news agency that there could be an additional 30 per cent increase in the prices after the impact of seasonal prices.&nbsp;
<h2>Grocery bills can go up&nbsp;</h2>
Also read: <a href="https://www.wionews.com/world/trump-threatens-brics-nation-with-100-pc-tariffs-for-replacing-us-dollar-8677282">Trump threatens BRICS nation with 100 pc tariffs for replacing US dollar</a>
Mexico is one of the largest suppliers of food items consumed by Americans on a daily basis. Imposing a tariff on Mexican products would surely make the prices of groceries high.&nbsp;
Some of the common items, like avocados, tomatoes, cucumbers, bell peppers, jalapenos, and limes, could see a hike in prices.&nbsp;
The prices can also go high because US producers cannot easily replace these items. This also applies for Mexican-made beer and tequila.&nbsp;
<h2>The automobile industry would be impacted&nbsp;</h2>
Also read: <a href="https://www.wionews.com/world/america-first-trump-vows-tariffs-on-china-india-brazil-and-other-nations-that-harm-us-8661806">'America first': Trump vows tariffs on China, India, Brazil and other nations that 'harm' US</a>
Canada and Mexico are huge suppliers of auto parts to the US, and the imposition of tariffs would lead to a hike in their prices as well.&nbsp;
In 2023, Canada and Mexico accounted for nearly 50 per cent of the US vehicle imports, amounting to around $120 billion.
The companies of vehicles, especially cars, would be impacted after the tariff on both sides of the border. As per Harvard's Kennedy School of Government professor, Robert Lawrence, the tariff would impact the prices of cars for consumers, ABC News reported.&nbsp;
WATCH: <a href="https://www.wionews.com/videos/colombia-backs-down-on-migrant-row-us-pauses-its-plan-to-impose-tariffs">Colombia backs down on migrant row, US pauses its plan to impose tariffs</a>
(With inputs from agencies)
&nbsp;

World | US exports around 70 percent of its crude oil stock from Canada and Mexico. Reports said the countries are responsible for fueling a large percentage of the entire gasoline supply in the United States at present. 

The Donald Trump administration announced a 25 per cent tariff on goods from Canada, Mexico, and China from February 1 onwards. As per Trump, the move is aimed at boosting the American industry, but experts say it's the US shoppers who will have to pay the price. As per the report by ABC News, experts have said a lot of products will get costlier amid this regime. Gas prices might rise Also read: Trump’s tariffs to hit Canada, Mexico and China: Why should Americans be worried? US imports around 70 per cent of its crude oil stock from Canada and Mexico. Reports said the countries are responsible for fuelling a large percentage of the entire gasoline supply in the United States at present. According to Timothy Fitzgerald, a professor of business economics at the University of Tennessee, prices of fuel can go as high as 40 to 70 per cent, ABC News reported. He further told the news agency that there could be an additional 30 per cent increase in the prices after the impact of seasonal prices. Grocery bills can go up Also read: Trump threatens BRICS nation with 100 pc tariffs for replacing US dollar Mexico is one of the largest suppliers of food items consumed by Americans on a daily basis. Imposing a tariff on Mexican products would surely make the prices of groceries high. Some of the common items, like avocados, tomatoes, cucumbers, bell peppers, jalapenos, and limes, could see a hike in prices. The prices can also go high because US producers cannot easily replace these items. This also applies for Mexican-made beer and tequila. The automobile industry would be impacted Also read: 'America first': Trump vows tariffs on China, India, Brazil and other nations that 'harm' US Canada and Mexico are huge suppliers of auto parts to the US, and the imposition of tariffs would lead to a hike in their prices as well. In 2023, Canada and Mexico accounted for nearly 50 per cent of the US vehicle imports, amounting to around $120 billion. The companies of vehicles, especially cars, would be impacted after the tariff on both sides of the border. As per Harvard's Kennedy School of Government professor, Robert Lawrence, the tariff would impact the prices of cars for consumers, ABC News reported. WATCH: Colombia backs down on migrant row, US pauses its plan to impose tariffs (With inputs from agencies)

US tariffs on Canada, Mexico and China - Here's what will be costlier for Americans now

US President Donald Trump said on Monday (Jan 27) that India, China, and Brazil, the high-tariff countries, are harmful to America, adding that Washington would impose further taxes on other countries too to bring money to the US.&nbsp;
&ldquo;We&rsquo;re going to put tariffs on outside countries and outside people that really mean harm to us. Well, they mean us harm, but they basically want to make their country good,&rdquo; Trump told House Republicans at a Florida retreat on Monday, PTI reported.
Also read: <a href="https://www.wionews.com/world/time-to-return-to-system-that-made-us-richer-trump-hints-at-removing-income-tax-for-us-citizens-8661769">'Time to return to system that made us richer,' Trump hints at removing income tax for US citizens</a> He further added that China is a "tremendous tariff maker" and so is India, Brazil, and other countries. &ldquo;Look at what others do," he said, adding his administration is not going to let that happen. "Because we&rsquo;re going to put America first,&rdquo; he quipped.&nbsp;
Trump was further reported as saying that the US will establish a &ldquo;very fair system where money is going to come into our coffers, and America is going to be very rich again."&nbsp;
Also read: <a href="https://www.wionews.com/world/who-is-ruby-dhalla-indian-origin-politician-running-for-canada-elections-8661646">Who is Ruby Dhalla, Indian-origin politician running for Canada elections?</a>
He said it will happen "very quickly".&nbsp;
Trump said it is time that America returns back to the system that made it &ldquo;richer and more powerful than ever before.&rdquo;
Also read: <a href="https://www.wionews.com/world/deepseek-donald-trump-wake-up-call-us-tech-industry-8661569">'If you could do it cheaper...': Trump calls DeepSeek a 'wake-up call' for US tech industry</a>
&ldquo;If you want to stop paying the taxes or the tariffs, you have to build your plant right here in America. That&rsquo;s what&rsquo;s going to happen at record levels. We&rsquo;re going to have more plants built in the next short period of time than anybody ever envisioned before because the incentive is going to be there, as they will have no tariffs whatsoever,&rdquo; the Republican reported as saying.&nbsp;
This came a day after Trump announced a new &lsquo;External Revenue Service (ERS)' to collect tariffs from other countries. He also commanded the commerce and treasury departments to probe the cause behind the "large and persistent" annual trade deficit of America.&nbsp;
Also read: <a href="https://www.wionews.com/world/donald-trump-transgender-people-us-military-executive-orders-8661366">Trump signs order banning transgender people from US military. What are the new guidelines?</a>
(With inputs from agencies)

World | Business & Economy: Trump said it is time that America returns back to the system that made it “richer and more powerful than ever before.”

US President Donald Trump said on Monday (Jan 27) that India, China, and Brazil, the high-tariff countries, are harmful to America, adding that Washington would impose further taxes on other countries too to bring money to the US. “We’re going to put tariffs on outside countries and outside people that really mean harm to us. Well, they mean us harm, but they basically want to make their country good,” Trump told House Republicans at a Florida retreat on Monday, PTI reported. Also read: 'Time to return to system that made us richer,' Trump hints at removing income tax for US citizens He further added that China is a "tremendous tariff maker" and so is India, Brazil, and other countries. “Look at what others do," he said, adding his administration is not going to let that happen. "Because we’re going to put America first,” he quipped. Trump was further reported as saying that the US will establish a “very fair system where money is going to come into our coffers, and America is going to be very rich again." Also read: Who is Ruby Dhalla, Indian-origin politician running for Canada elections? He said it will happen "very quickly". Trump said it is time that America returns back to the system that made it “richer and more powerful than ever before.” Also read: 'If you could do it cheaper...': Trump calls DeepSeek a 'wake-up call' for US tech industry “If you want to stop paying the taxes or the tariffs, you have to build your plant right here in America. That’s what’s going to happen at record levels. We’re going to have more plants built in the next short period of time than anybody ever envisioned before because the incentive is going to be there, as they will have no tariffs whatsoever,” the Republican reported as saying. This came a day after Trump announced a new ‘External Revenue Service (ERS)' to collect tariffs from other countries. He also commanded the commerce and treasury departments to probe the cause behind the "large and persistent" annual trade deficit of America. Also read: Trump signs order banning transgender people from US military. What are the new guidelines? (With inputs from agencies)

'America first': Trump vows tariffs on China, India, Brazil and other nations that 'harm' US

China’s trade surplus is on track to hit a fresh record high this year, increasingly leaving it on a collision course with some of the world’s biggest economies by increasing an imbalance in global commerce that risks provoking President-elect Donald Trump and his much-discussed tariffs, according to a detailed report by Bloomberg.

The difference between Chinese exports and imports will reach $1 trillion<o:p></o:p>

The total difference between Chinese exports and imports is set to reach almost $1 trillion if it continues to widen at the same pace as it has in the year to date, according to Bloomberg calculations. Further, the goods trade surplus soared to $785 billion in the first 10 months, according to data released last week, the highest on record for that period and an increase of almost 16 per cent from 2023, the Bloomberg report explained further.

“With Chinese export prices still falling, export volume growth was enormous,” Brad Setser, a senior fellow at the Council on Foreign Relations, said on X. “The overall story is of an economy that is again growing off exports.”

China has been relying more on exports to compensate for the weakness of domestic demand that Beijing has only recently tried to redress by injecting stimulus into the economy.

The increasingly lopsided picture has generated pushback from a growing number of countries, and the new Trump administration is likely to impose tariffs that would reduce the flow of exports to the US. Countries from South America to Europe have already raised tariff barriers against Chinese goods such as steel and electric vehicles.

Expert views on the possibility of a US-China trade war<o:p></o:p>

Sachchidanand Shukla, Group Chief Economist, Larsen &amp; Toubro, in a recent LinkedIn post, stated that:

“What timing! A ~$1 trn Chinese trade surplus being reported is like poking Trump in the eye as he gets ready to take charge as President again - this headline is sure to draw retaliation sooner than later from him.”

“Importantly, such a huge imbalance in global trade &amp; commerce will also invite global Ire.”

“So folks, fasten your seat belts for the coming trade &amp; currency wars...”

Foreign companies are pulling out money from China<o:p></o:p>

Foreign companies are also pulling money from China, with foreign direct investment liabilities dropping in the first nine months of the year, according to data released on Friday. Should the decline continue for the rest of the year, it would be the first annual net outflow in FDI since at least 1990, when comparable data begins.

The response from Beijing so far has been to promise more support for companies, with the state council announcing Friday it would lift financial support to industries to promote stable foreign trade growth, foster economic development, and stabilize employment.

Chinese companies have been ramping up their export performance over the past few years. By contrast, the slowing economy, increasing electrification and rising replacement of foreign manufactured goods with domestic alternatives are suppressing demand for imports.

The result in October was the third-widest surplus in history that came just below June’s record. The trade surplus calculated in yuan hit 5.2 per cent of nominal gross domestic product in the first nine months of this year, the highest since 2015 and well above the average level for the last decade.

The surplus with the US rose 4.4 per cent so far this year from the same period last year. It increased 9.6 per cent with the European Union and jumped almost 36 per cent with the 10 Southeast Asian nations in ASEAN, the latest data shows, added the Bloomberg report further.

Imbalances are also growing in many other nations. China now exports more goods to almost 170 countries and economies than it buys from them, the most since 2021. A currency war may be brewing as well. India’s central bank has said it’s ready to let the rupee weaken if China lets the yuan drop to counter US tariffs.

A falling yuan would make Chinese exports cheaper and could further widen the surplus with India, which hit $85 billion so far this year, 3 per cent higher than in 2023 and more than double the level five years ago.

Market participants and investors will follow these developments carefully. These developments will help them make better and more informed investment decisions.

<o:p>&nbsp;</o:p>

China’s trade surplus is on track to hit a fresh record high this year, increasingly leaving it on a collision course with some of the world’s biggest economies by increasing an imbalance in global commerce that risks provoking President-elect Donald Trump and his much-discussed tariffs, according to a detailed report by Bloomberg.

China’s trade surplus is on track to hit a fresh record high this year, increasingly leaving it on a collision course with some of the world’s biggest economies by increasing an imbalance in global commerce that risks provoking President-elect Donald Trump and his much-discussed tariffs, according to a detailed report by Bloomberg. The difference between Chinese exports and imports will reach $1 trillion The total difference between Chinese exports and imports is set to reach almost $1 trillion if it continues to widen at the same pace as it has in the year to date, according to Bloomberg calculations. Further, the goods trade surplus soared to $785 billion in the first 10 months, according to data released last week, the highest on record for that period and an increase of almost 16 per cent from 2023, the Bloomberg report explained further. “With Chinese export prices still falling, export volume growth was enormous,” Brad Setser, a senior fellow at the Council on Foreign Relations, said on X. “The overall story is of an economy that is again growing off exports.” China has been relying more on exports to compensate for the weakness of domestic demand that Beijing has only recently tried to redress by injecting stimulus into the economy. The increasingly lopsided picture has generated pushback from a growing number of countries, and the new Trump administration is likely to impose tariffs that would reduce the flow of exports to the US. Countries from South America to Europe have already raised tariff barriers against Chinese goods such as steel and electric vehicles. Expert views on the possibility of a US-China trade war Sachchidanand Shukla, Group Chief Economist, Larsen & Toubro, in a recent LinkedIn post, stated that: “What timing! A ~$1 trn Chinese trade surplus being reported is like poking Trump in the eye as he gets ready to take charge as President again - this headline is sure to draw retaliation sooner than later from him.” “Importantly, such a huge imbalance in global trade & commerce will also invite global Ire.” “So folks, fasten your seat belts for the coming trade & currency wars...” Foreign companies are pulling out money from China Foreign companies are also pulling money from China, with foreign direct investment liabilities dropping in the first nine months of the year, according to data released on Friday. Should the decline continue for the rest of the year, it would be the first annual net outflow in FDI since at least 1990, when comparable data begins. The response from Beijing so far has been to promise more support for companies, with the state council announcing Friday it would lift financial support to industries to promote stable foreign trade growth, foster economic development, and stabilize employment. Chinese companies have been ramping up their export performance over the past few years. By contrast, the slowing economy, increasing electrification and rising replacement of foreign manufactured goods with domestic alternatives are suppressing demand for imports. The result in October was the third-widest surplus in history that came just below June’s record. The trade surplus calculated in yuan hit 5.2 per cent of nominal gross domestic product in the first nine months of this year, the highest since 2015 and well above the average level for the last decade. The surplus with the US rose 4.4 per cent so far this year from the same period last year. It increased 9.6 per cent with the European Union and jumped almost 36 per cent with the 10 Southeast Asian nations in ASEAN, the latest data shows, added the Bloomberg report further. Imbalances are also growing in many other nations. China now exports more goods to almost 170 countries and economies than it buys from them, the most since 2021. A currency war may be brewing as well. India’s central bank has said it’s ready to let the rupee weaken if China lets the yuan drop to counter US tariffs. A falling yuan would make Chinese exports cheaper and could further widen the surplus with India, which hit $85 billion so far this year, 3 per cent higher than in 2023 and more than double the level five years ago. Market participants and investors will follow these developments carefully. These developments will help them make better and more informed investment decisions.

China approaches $1 trillion trade surplus as Donald Trump makes a comeback

U.S. trade officials said on Wednesday they were increasing tariffs on certain European Union products, including aircraft-related parts and wines from France and Germany, amid an ongoing civil aircraft dispute between Washington and Brussels.

US slaps tariffs on French and German products

US increases tariffs on French and German wines, aircraft parts amid EU dispute

US-China trade talks are set to continue with a telephone call on Friday as both sides seek to hammer out a phase one trade pact, US Commerce Secretary Wilbur Ross said, adding that progress was being made on the agreement's details.

Ross, in an interview on Fox Business Network, also said there was a very high probability that the United States would reach a final agreement on a phase one trade deal with China.

But, he added that it was unclear when the initial agreement would be finalised after a potential deadline this month evaporated with the cancellation of an international summit in Chile and with upcoming US tariffs on Chinese imports looming next month.

"We're down to the last details now," Ross said.

More US tariffs on imported Chinese goods are set to go into effect on December&nbsp;15. Asked if the goal was to get a deal before then, Ross did not say.

"Maybe we get disappointed again now and, if we do, the president has made quite clear he's happy to live with the situation where we impose tariffs," he said, adding that President Donald Trump has not yet indicated any change to the upcoming tariff increase.

"There's plenty of time between now and the 15th," Ross said.

US-China trade talks are set to continue with a telephone call on Friday as both sides seek to hammer out a phase one trade pact, US Commerce Secretary Wilbur Ross said, adding that progress was being made on the agreement's details.

US-China trade talks are set to continue with a telephone call on Friday as both sides seek to hammer out a phase one trade pact, US Commerce Secretary Wilbur Ross said, adding that progress was being made on the agreement's details. Ross, in an interview on Fox Business Network, also said there was a very high probability that the United States would reach a final agreement on a phase one trade deal with China. But, he added that it was unclear when the initial agreement would be finalised after a potential deadline this month evaporated with the cancellation of an international summit in Chile and with upcoming US tariffs on Chinese imports looming next month. "We're down to the last details now," Ross said. More US tariffs on imported Chinese goods are set to go into effect on December 15. Asked if the goal was to get a deal before then, Ross did not say. "Maybe we get disappointed again now and, if we do, the president has made quite clear he's happy to live with the situation where we impose tariffs," he said, adding that President Donald Trump has not yet indicated any change to the upcoming tariff increase. "There's plenty of time between now and the 15th," Ross said.

US, China trade talks to continue Friday: US commerce chief

The International Monetary Fund (IMF) trimmed its 2019 growth forecast for China on Tuesday as the US trade war and weak demand at home take a toll on the world's second-largest economy.

The knock-on effects of the tariffs row and China's slowing economy also prompted the International Monetary Fund to lower the economic outlook of other advanced Asian economies.

Japan is bucking the trend of cooling growth but the region's other economic giant, India, is slowing.

China's economy is now expected to grow 6.1 per cent this year, according to the IMF's World Economic Outlook report, instead of the 6.2 per cent previously forecast.

The Asian powerhouse this week reported weaker-than-expected import and export figures for September after Washington imposed new tariffs that month, triggering a tit-for-tat response from Beijing. 
The two sides reported progress in negotiations to resolve the conflict last week but punitive tariffs on hundreds of billions of dollars remain in effect.

China's "growth downgrade reflects not only escalating tariffs but also slowing domestic demand following needed measures to rein in debt", the IMF said.

Figures for industrial production, retail sales and infrastructure investments for August were all down, as the government attempted to control toxic debt.

Weak demand follows Beijing's warnings to businesses against debt-fuelled expansion and attempts to stop local governments from borrowing to fund risky infrastructure projects.

Growth downgraded

Soft business confidence and growing tensions between the United States and China on trade and technology was also a major drag on the global economy, the IMF report said.

The Washington-based global crisis lender downgraded its 2019 global growth forecast to 3.0 per cent -- its lowest level in the past decade.

The IMF once again called for a quick resolution to the trade war between the world's economic superpowers, warning that a protracted dispute could shave 0.8 per cent off global growth next year.

It warned that some of the "biggest downward revisions" for growth this year are for Hong Kong, South Korea, and Singapore, "a common factor being their exposure to slowing growth in China and spillovers from US-China trade tensions."

Hong Kong's economy has also been battered by four months of pro-democracy protests, which have led to a plunge in tourism and retail sales.

The IMF revised its 2019 GDP growth forecast for the Asian financial hub to 0.3 per cent, from 3.0 per cent in 2018.&nbsp;

Growth in other major Asian economies -- including India -- was also slowing.

"In India, growth softened in 2019 as corporate and environmental regulatory uncertainty, together with concerns about the health of the nonbank financial sector, weighed on demand," the report said.

It predicted Indian growth will slow to 6.1 per cent this year, from 6.8 per cent in the previous year.

But Japan is doing better, with economists tipping the economy to expand 0.9 per cent in 2019, a tad up from the 0.8 per cent recorded last year, as government efforts to fight deflation and increase women's participation in the workforce start showing results.

The International Monetary Fund (IMF) trimmed its 2019 growth forecast for China on Tuesday as the US trade war and weak demand at home take a toll on the world's second-largest economy.

The International Monetary Fund (IMF) trimmed its 2019 growth forecast for China on Tuesday as the US trade war and weak demand at home take a toll on the world's second-largest economy. The knock-on effects of the tariffs row and China's slowing economy also prompted the International Monetary Fund to lower the economic outlook of other advanced Asian economies. Japan is bucking the trend of cooling growth but the region's other economic giant, India, is slowing. China's economy is now expected to grow 6.1 per cent this year, according to the IMF's World Economic Outlook report, instead of the 6.2 per cent previously forecast. The Asian powerhouse this week reported weaker-than-expected import and export figures for September after Washington imposed new tariffs that month, triggering a tit-for-tat response from Beijing. The two sides reported progress in negotiations to resolve the conflict last week but punitive tariffs on hundreds of billions of dollars remain in effect. China's "growth downgrade reflects not only escalating tariffs but also slowing domestic demand following needed measures to rein in debt", the IMF said. Figures for industrial production, retail sales and infrastructure investments for August were all down, as the government attempted to control toxic debt. Weak demand follows Beijing's warnings to businesses against debt-fuelled expansion and attempts to stop local governments from borrowing to fund risky infrastructure projects. Growth downgraded Soft business confidence and growing tensions between the United States and China on trade and technology was also a major drag on the global economy, the IMF report said. The Washington-based global crisis lender downgraded its 2019 global growth forecast to 3.0 per cent -- its lowest level in the past decade. The IMF once again called for a quick resolution to the trade war between the world's economic superpowers, warning that a protracted dispute could shave 0.8 per cent off global growth next year. It warned that some of the "biggest downward revisions" for growth this year are for Hong Kong, South Korea, and Singapore, "a common factor being their exposure to slowing growth in China and spillovers from US-China trade tensions." Hong Kong's economy has also been battered by four months of pro-democracy protests, which have led to a plunge in tourism and retail sales. The IMF revised its 2019 GDP growth forecast for the Asian financial hub to 0.3 per cent, from 3.0 per cent in 2018. Growth in other major Asian economies -- including India -- was also slowing. "In India, growth softened in 2019 as corporate and environmental regulatory uncertainty, together with concerns about the health of the nonbank financial sector, weighed on demand," the report said. It predicted Indian growth will slow to 6.1 per cent this year, from 6.8 per cent in the previous year. But Japan is doing better, with economists tipping the economy to expand 0.9 per cent in 2019, a tad up from the 0.8 per cent recorded last year, as government efforts to fight deflation and increase women's participation in the workforce start showing results.

International Monetary Fund trims 2019 China growth forecast as US tariffs bite

US&nbsp;President Donald Trump said his administration was "<a href="https://www.wionews.com/world/beijing-washington-hold-deeply-integrated-mutually-beneficial-ties-china-250854">making a lot of progress" with China</a> on Friday, as deputy-level trade talks continued for a second day and Washington lifted tariffs on over 400 Chinese products.

Trump, speaking to reporters at a White House meeting with Australian Prime Minister Scott Morrison, said the United States was taking in billions of dollars from tariffs imposed on Chinese products, adding that the total would soon reach $100 billion.

"I will say this: we're making a lot of <a href="https://www.wionews.com/world/trade-talks-seen-as-unlikely-to-mend-us-china-divide-250119">progress with China</a>," Trump said.

The United States Trade Representative's office issued three Federal Register notices exempting a wide range of products from tariffs in response to requests from US&nbsp;companies, which argued that the levies would cause economic hardship.

The 437 exempted products range from printed circuit boards for computer graphics processors to dog collars, laminated wood flooring and miniature Christmas lights.

Chinese and US&nbsp;negotiators are holding two days of talks that were expected to focus heavily on agriculture, and lay the groundwork for high-level talks in early October that would determine whether the two countries are working toward a solution or headed for new and higher tariffs on each other's goods.

A delegation of about 30 Chinese officials, led by Vice Finance Minister Liao Min, met counterparts at the US&nbsp;Trade Representative's (USTR) office near the White House. Deputy USTR Jeffrey Gerrish led the US&nbsp;delegation.

The United States is asking that China substantially increase purchases of American soybeans and other farm commodities, a person with knowledge of the planned discussions told Reuters.

Chinese delegates will visit American farm regions with US&nbsp;officials next week, in a gesture of goodwill.

However, the Trump administration and China's Communist Party remain far apart on issues that are the basis of their trade dispute, including the US&nbsp;declaring some Chinese state companies national security risks, and Beijing's refusal to revamp its economic model by eliminating subsidies for state companies.

Trade experts, executives and government officials in both countries say that even if the September and October talks produce an interim deal, the <a href="https://www.wionews.com/world/china-signals-veto-in-the-standoff-with-us-over-afghan-un-mission-diplomats-250192">US-China trade war</a> has hardened into a political and ideological battle that runs far deeper than tariffs and could take years to resolve.

Observers in Beijing said the new tariff exemptions were a welcome sign, but the trade talks remain on a delicate footing.

The exemptions are "seen as a goodwill signal by China," Hu Xijin, editor of the influential state-run tabloid Global Times, said Friday on Twitter. "Interaction of goodwill between China and the US&nbsp;is still fragile."

US President Donald Trump said his administration was "making a lot of progress" with China on Friday, as deputy-level trade talks continued for a second day and Washington lifted tariffs on over 400 Chinese products.

US President Donald Trump said his administration was "making a lot of progress" with China on Friday, as deputy-level trade talks continued for a second day and Washington lifted tariffs on over 400 Chinese products. Trump, speaking to reporters at a White House meeting with Australian Prime Minister Scott Morrison, said the United States was taking in billions of dollars from tariffs imposed on Chinese products, adding that the total would soon reach $100 billion. "I will say this: we're making a lot of progress with China," Trump said. The United States Trade Representative's office issued three Federal Register notices exempting a wide range of products from tariffs in response to requests from US companies, which argued that the levies would cause economic hardship. The 437 exempted products range from printed circuit boards for computer graphics processors to dog collars, laminated wood flooring and miniature Christmas lights. Chinese and US negotiators are holding two days of talks that were expected to focus heavily on agriculture, and lay the groundwork for high-level talks in early October that would determine whether the two countries are working toward a solution or headed for new and higher tariffs on each other's goods. A delegation of about 30 Chinese officials, led by Vice Finance Minister Liao Min, met counterparts at the US Trade Representative's (USTR) office near the White House. Deputy USTR Jeffrey Gerrish led the US delegation. The United States is asking that China substantially increase purchases of American soybeans and other farm commodities, a person with knowledge of the planned discussions told Reuters. Chinese delegates will visit American farm regions with US officials next week, in a gesture of goodwill. However, the Trump administration and China's Communist Party remain far apart on issues that are the basis of their trade dispute, including the US declaring some Chinese state companies national security risks, and Beijing's refusal to revamp its economic model by eliminating subsidies for state companies. Trade experts, executives and government officials in both countries say that even if the September and October talks produce an interim deal, the US-China trade war has hardened into a political and ideological battle that runs far deeper than tariffs and could take years to resolve. Observers in Beijing said the new tariff exemptions were a welcome sign, but the trade talks remain on a delicate footing. The exemptions are "seen as a goodwill signal by China," Hu Xijin, editor of the influential state-run tabloid Global Times, said Friday on Twitter. "Interaction of goodwill between China and the US is still fragile."

US lifts tariffs on 400 Chinese products, Trump cites trade progress

Most Asian markets fell on Monday as fresh Chinese and US tariffs on goods worth hundreds of <a href="https://www.wionews.com/world/trump-moving-ahead-with-new-tariffs-on-chinese-products-246926">billions of dollars kicked in</a>, though Donald Trump reiterated that the two sides were still due to hold talks this month.

Hong Kong was also weighed down by another weekend of violence, fuelling worries about possible Chinese intervention in the financial hub, while the unrest has also hit property firms and Macau's casinos.

Washington's latest levies on<a href="https://www.wionews.com/world/apples-data-shows-a-deepening-dependence-on-china-as-trumps-tariffs-loom-246416"> imports from China</a> took effect on Sunday and were followed by Beijing's retaliation.

The measures are the latest in the long-running trade war between the world's top two economies, which has rattled markets and hit growth across the globe.

Still, Trump said negotiators would meet this month to discuss the issue. "We are talking to China, the meeting is still on," he told reporters.

However, analysts warned there was unlikely to be any end in the near term.

"After a rough August traders should buckle up for more volatility in September," said Neil Wilson, chief market analyst at Markets.com. "Trade and tariffs continue to gnaw away at investor confidence."

Tokyo and Sydney each ended 0.4 per cent lower, while Singapore shed 0.8 per cent, with Manila, Bangkok and Jakarta also down.

But Shanghai rose more than one percent after a better-than-expected reading on Chinese factory activity, though another index showed the sector remained in contraction and investors remain uncertain about the outlook as the trade war bites deeper. There were also gains in Seoul, Wellington and Taipei.

Hong Kong sank 0.8 percent after a weekend that saw some of the worst violence since protests began three months ago, with the airport targeted again, and demonstrators have called for a general strike on Monday though there was little sign that had been heeded.

The unrest has dragged a range of sectors, with tourist numbers tumbling, hitting casinos and hotel chains, while real estate shares are also being sold off.

"Markets are fretting on the increased likelihood of direct Chinese intervention and what that would mean for the future of one of Asia's leading financial centres," said Jeffrey Halley, senior market analyst for Asia-Pacific at OANDA.

"The answer is, not good, to put it bluntly. The economic impact will surely show in Hong Kong data going forward and may temper the mood of equity traders in Asia as the new month begins."

Oil prices extended Friday's steep losses owing to worries about the impact of the trade war on demand, while dealers were also concerned about reports that the Russian output cut last month fell short of an agreement with OPEC.

"A fissure is forming in OPEC+ compliance, which saw oil prices crater," said Stephen Innes, APAC Market Strategist at AxiTrader.

"On the surface, while it is not likely a significant divergence, it's the messaging that Russia is sending that spooks markets. While it could be little more than a tempest in an oil can at this stage, it's worth monitoring nonetheless."

Investors will be keeping an eye on markets in Argentina later in the day after the government imposed foreign-exchange controls on exporters following a week that saw a sharp drop in the peso.

In early trade London rose 0.3 per cent, with traders bracing for a tough week in Westminster as Prime Minister Boris Johnson faces opposition from MPs across the political spectrum who have vowed legislation blocking a no-deal Brexit.

Also, EU negotiator Michel Barnier said the bloc will not change the divorce deal agreed with for PM Theresa May, fuelling expectations Britain will crash out with no agreement in place.

Paris and Frankfurt were both 0.1 per cent higher. 
&nbsp;

Most Asian markets fell on Monday as fresh Chinese and US tariffs on goods worth hundreds of billions of dollars kicked in, though Donald Trump reiterated that the two sides were still due to hold talks this month.

Most Asian markets fell on Monday as fresh Chinese and US tariffs on goods worth hundreds of billions of dollars kicked in, though Donald Trump reiterated that the two sides were still due to hold talks this month. Hong Kong was also weighed down by another weekend of violence, fuelling worries about possible Chinese intervention in the financial hub, while the unrest has also hit property firms and Macau's casinos. Washington's latest levies on imports from China took effect on Sunday and were followed by Beijing's retaliation. The measures are the latest in the long-running trade war between the world's top two economies, which has rattled markets and hit growth across the globe. Still, Trump said negotiators would meet this month to discuss the issue. "We are talking to China, the meeting is still on," he told reporters. However, analysts warned there was unlikely to be any end in the near term. "After a rough August traders should buckle up for more volatility in September," said Neil Wilson, chief market analyst at Markets.com. "Trade and tariffs continue to gnaw away at investor confidence." Tokyo and Sydney each ended 0.4 per cent lower, while Singapore shed 0.8 per cent, with Manila, Bangkok and Jakarta also down. But Shanghai rose more than one percent after a better-than-expected reading on Chinese factory activity, though another index showed the sector remained in contraction and investors remain uncertain about the outlook as the trade war bites deeper. There were also gains in Seoul, Wellington and Taipei. Hong Kong sank 0.8 percent after a weekend that saw some of the worst violence since protests began three months ago, with the airport targeted again, and demonstrators have called for a general strike on Monday though there was little sign that had been heeded. The unrest has dragged a range of sectors, with tourist numbers tumbling, hitting casinos and hotel chains, while real estate shares are also being sold off. "Markets are fretting on the increased likelihood of direct Chinese intervention and what that would mean for the future of one of Asia's leading financial centres," said Jeffrey Halley, senior market analyst for Asia-Pacific at OANDA. "The answer is, not good, to put it bluntly. The economic impact will surely show in Hong Kong data going forward and may temper the mood of equity traders in Asia as the new month begins." Oil prices extended Friday's steep losses owing to worries about the impact of the trade war on demand, while dealers were also concerned about reports that the Russian output cut last month fell short of an agreement with OPEC. "A fissure is forming in OPEC+ compliance, which saw oil prices crater," said Stephen Innes, APAC Market Strategist at AxiTrader. "On the surface, while it is not likely a significant divergence, it's the messaging that Russia is sending that spooks markets. While it could be little more than a tempest in an oil can at this stage, it's worth monitoring nonetheless." Investors will be keeping an eye on markets in Argentina later in the day after the government imposed foreign-exchange controls on exporters following a week that saw a sharp drop in the peso. In early trade London rose 0.3 per cent, with traders bracing for a tough week in Westminster as Prime Minister Boris Johnson faces opposition from MPs across the political spectrum who have vowed legislation blocking a no-deal Brexit. Also, EU negotiator Michel Barnier said the bloc will not change the divorce deal agreed with for PM Theresa May, fuelling expectations Britain will crash out with no agreement in place. Paris and Frankfurt were both 0.1 per cent higher.

Asian markets down as China-US tariffs kick in

A Chinese billionaire has been indicted by a grand jury on charges he schemed with the aluminum company he founded to evade $1.8 billion of tariffs by smuggling huge amounts of the <a href="https://www.wionews.com/world/trump-orders-tariff-hike-on-remaining-chinese-imports-217758">metal into the United States</a>, federal prosecutors said on Wednesday.

Liu Zhongtian, 55, and China Zhongwang Holdings Ltd, where he served as chairman and president, were among several defendants charged in a 24-count indictment by a Los Angeles grand jury.

The May 7 indictment had been kept under seal until late Tuesday. It came as <a href="https://www.wionews.com/world/tariffs-will-bring-in-far-more-wealth-to-our-country-than-even-phenomenal-deal-of-traditional-kind-donald-trump-217507">US and Chinese negotiators </a>resumed talks to end trade tensions between the world's two largest economies.

Neither Zhongwang or Liu, who is still the company's controlling shareholder, have received any notice of the proceedings, the company said in a statement to the Hong Kong stock exchange on Thursday.

Zhongwang has previously described smuggling allegations as "misleading" and "without any factual basis."

"The company would like to clarify that the group has always strictly abided by in its business operation the laws and regulations of the People's Republic of China and destination countries of its exported products, and has developed overseas markets under the principle of fair and orderly competition," it said in the statement to the exchange.

Zhongwang's shares fell as much as 20.9 per cent on Thursday to HK$3.17 ($0.41), the lowest since January 2016.

Liu is believed to be in China, which does not have an extradition treaty with the United States, and an arrest warrant has been drawn up, according to The Wall Street Journal. It was unclear whether Liu has a US-based lawyer. Liu and his family are worth $3.2 billion, Forbes magazine said.

Prosecutors said the alleged scheme began as early as 2008, and eventually involved efforts to escape duties imposed by the US Department of Commerce in 2011 on various types of extruded aluminum imported from China.

The indictment said companies affiliated with Liu went through ports in the Los Angeles area to import aluminum extrusions that were "tack-welded" together, to appear as finished "pallets" that were not subject to duties.

Prosecutors said Liu would then stockpile the aluminum at four southern California warehouses, and with his associates orchestrate bogus sales to companies he controlled to inflate Zhongwang's financials and make it appear more valuable.

Liu, also known as "Big Boss" and "Uncle Liu" according to the indictment, was also accused by prosecutors of running a "massive" money laundering operation involving the use of shell companies to transfer funds to Zhongwang.

US authorities said the scheme gave Liu's companies an unfair advantage over American rivals and posed other hazards.

"Our national security is jeopardized when domestic industry loses its ability to develop and supply products for US defense and critical infrastructure applications, forcing us to become dependent on unreliable imports," Joseph Macias, special agent in charge for homeland security investigations in Los Angeles, said in a statement.

Liu and several other defendants face charges of wire fraud, money laundering, passing fraudulent papers through a customhouse and conspiracy.

Most counts carry a maximum 20-year prison term, and if served consecutively carry a maximum 465-year term.

A Chinese billionaire has been indicted by a grand jury on charges he schemed with the aluminum company he founded to evade $1.8 billion of tariffs by smuggling huge amounts of the metal into the United States, federal prosecutors said on Wednesday.

A Chinese billionaire has been indicted by a grand jury on charges he schemed with the aluminum company he founded to evade $1.8 billion of tariffs by smuggling huge amounts of the metal into the United States, federal prosecutors said on Wednesday. Liu Zhongtian, 55, and China Zhongwang Holdings Ltd, where he served as chairman and president, were among several defendants charged in a 24-count indictment by a Los Angeles grand jury. The May 7 indictment had been kept under seal until late Tuesday. It came as US and Chinese negotiators resumed talks to end trade tensions between the world's two largest economies. Neither Zhongwang or Liu, who is still the company's controlling shareholder, have received any notice of the proceedings, the company said in a statement to the Hong Kong stock exchange on Thursday. Zhongwang has previously described smuggling allegations as "misleading" and "without any factual basis." "The company would like to clarify that the group has always strictly abided by in its business operation the laws and regulations of the People's Republic of China and destination countries of its exported products, and has developed overseas markets under the principle of fair and orderly competition," it said in the statement to the exchange. Zhongwang's shares fell as much as 20.9 per cent on Thursday to HK$3.17 ($0.41), the lowest since January 2016. Liu is believed to be in China, which does not have an extradition treaty with the United States, and an arrest warrant has been drawn up, according to The Wall Street Journal. It was unclear whether Liu has a US-based lawyer. Liu and his family are worth $3.2 billion, Forbes magazine said. Prosecutors said the alleged scheme began as early as 2008, and eventually involved efforts to escape duties imposed by the US Department of Commerce in 2011 on various types of extruded aluminum imported from China. The indictment said companies affiliated with Liu went through ports in the Los Angeles area to import aluminum extrusions that were "tack-welded" together, to appear as finished "pallets" that were not subject to duties. Prosecutors said Liu would then stockpile the aluminum at four southern California warehouses, and with his associates orchestrate bogus sales to companies he controlled to inflate Zhongwang's financials and make it appear more valuable. Liu, also known as "Big Boss" and "Uncle Liu" according to the indictment, was also accused by prosecutors of running a "massive" money laundering operation involving the use of shell companies to transfer funds to Zhongwang. US authorities said the scheme gave Liu's companies an unfair advantage over American rivals and posed other hazards. "Our national security is jeopardized when domestic industry loses its ability to develop and supply products for US defense and critical infrastructure applications, forcing us to become dependent on unreliable imports," Joseph Macias, special agent in charge for homeland security investigations in Los Angeles, said in a statement. Liu and several other defendants face charges of wire fraud, money laundering, passing fraudulent papers through a customhouse and conspiracy. Most counts carry a maximum 20-year prison term, and if served consecutively carry a maximum 465-year term.

Chinese billionaire indicted in US for alleged $1.8 billion aluminum tariff evasion

When <a href="https://www.wionews.com/world/donald-trump-attacks-robert-mueller-ahead-of-testimony-on-russia-probe-237817">US President Donald Trump</a> tweeted in May his intention to raise tariffs on Chinese goods, management at California-based NewAir Appliances knew they needed to do something or their business would be in trouble.&nbsp;

The importer of beer fridges, ice makers and other household devices all sourced from <a href="https://www.wionews.com/opinions/mass-protests-protect-hong-kongs-legal-autonomy-from-china-for-now-228567">China</a> had tackled 10 per cent tariffs imposed last year by seeking to cut costs and negotiating with big box and other retailers for better terms.

But the jump to 25 per cent tariffs presented a much bigger challenge.

The day after Trump's tweet, NewAir's four-member leadership team met for lunch and began to formulate a more radical plan. There was a "level of tension", said Andrew Stephenson, the company's vice president for marketing, but no sense of panic.

The result: an ambitious overhaul of its product offerings, with 50-60 new or revamped goods set to come on the market this year a move that allows the company to hit the reset button on pricing as their costs leap.

The product turnover is a huge increase for NewAir, which has a range of some 70 goods and usually introduces 10 or fewer new items each year.

Like NewAir, many importers of goods from China have had to make difficult business decisions and sharp changes in strategy as they reel from the impact of US tariffs on $250 billion of Chinese goods.

With consumers and retailers often unwilling to accept higher prices for the same products, oft-heard tactics range from accepting lower profit-margins to cost-cutting that may include lowering wages or laying off workers, to shifting production from China to other countries.

While the approach taken by NewAir and others in the sector requires significant investment, it underscores how the year-long US-China trade war is forcing some companies to adopt novel workarounds as they fight for long-term survival and bump up against the limitations of belt-tightening.

"Instead of cutting costs we're going to add some costs, but in the long run it will pay off," Stephenson said by telephone after a trip to China to meet suppliers.

Working closely with suppliers to develop products, he is also implementing measures like air-mailing samples to the United States instead of using cheaper maritime freight, aiming to slash up to a month of the process of getting goods approved.

"Anything we can do to expedite the process is what we're looking at doing," he said.

NewAir, a company with 50-plus employees, would likely spend "hundreds of thousands of dollars" on the project and was considering hiring a marketing manager, as Stephenson's focus shifts to dealing full-time with trade war strategy.

Up featuring

NewAir, whose products are sold under its brand as well as under licence with Magic Chef, Frigidaire and PepsiCo Inc, is still discussing ways to share the burden of the tariffs with Chinese suppliers and American retailers. It is also looking into sourcing some goods from India and Mexico.

But the cornerstone of its new strategy is the overhaul of its product line.

In addition to items it has not sold before, such as internet-enabled wine fridges and combination air fryer ovens, NewAir will retire some old products and give others that have been modified fresh SKUs, or stock-keeping units - unique product numbers that retailers use to track inventory. That will allow NewAir and its retailers to set new prices.

Jim Estill, CEO of Danby Appliances, a Canadian company that sources similar products from China and sells many in the United States, calls the strategy "up featuring".

"If you're already buying a minifridge for $129 and now it's $149. You're up in arms. But the psychology is completely different if you say: 'here's the new XYZ, it's $149' and the customer checks the market and sees everyone is charging $149 for the same thing, it's acceptable."

Danby expects to turn over 80 per cent of its product line of about 300 goods in 2019, compared to a normal rate of 30 per cent, he said, adding that improvements in technology had made this an opportune time for product revamps.

"If this happened 10 years ago, it would have been tough to say my white box is different. But now you can say I have a freezer that sends you an email when the power is out."

Danby, which makes annual revenue of about $400 million, estimates the cost of revamping its product line at around $4 million.

If the strategy works, it does in part shift some of the costs of tariffs designed to hurt China to the US consumer. But it is not risk-free.

"When you sell new products at significantly higher prices it will affect your demand somewhat because now you are asking people to upgrade to a better product at much higher prices. How many consumers would have such budgets?" said Jing Bing, an associate professor of marketing at the Cheung Kong Graduate School of Business in Beijing.

The point of pursuing a trade war "is to ask the American consumers to walk away from Chinese made products," he said, adding: "That's precisely the effect."

NewAir CEO Luke Peters said retailers and consumers will get better products and will not see "a huge 25 per cent increase" in prices.

"Our customers, who also have to be profitable, are going to see more value in the products that we're giving to them. So it's kind of forcing us to be more innovative," he said.

But whether or not importers like NewAir can find a balance between higher prices and demand remains to be seen.

"That's going to be the telltale for us, is what happens in about six to nine months," said Stephenson.

When US President Donald Trump tweeted in May his intention to raise tariffs on Chinese goods, management at California-based NewAir Appliances knew they needed to do something or their business would be in trouble.

When US President Donald Trump tweeted in May his intention to raise tariffs on Chinese goods, management at California-based NewAir Appliances knew they needed to do something or their business would be in trouble. The importer of beer fridges, ice makers and other household devices all sourced from China had tackled 10 per cent tariffs imposed last year by seeking to cut costs and negotiating with big box and other retailers for better terms. But the jump to 25 per cent tariffs presented a much bigger challenge. The day after Trump's tweet, NewAir's four-member leadership team met for lunch and began to formulate a more radical plan. There was a "level of tension", said Andrew Stephenson, the company's vice president for marketing, but no sense of panic. The result: an ambitious overhaul of its product offerings, with 50-60 new or revamped goods set to come on the market this year a move that allows the company to hit the reset button on pricing as their costs leap. The product turnover is a huge increase for NewAir, which has a range of some 70 goods and usually introduces 10 or fewer new items each year. Like NewAir, many importers of goods from China have had to make difficult business decisions and sharp changes in strategy as they reel from the impact of US tariffs on $250 billion of Chinese goods. With consumers and retailers often unwilling to accept higher prices for the same products, oft-heard tactics range from accepting lower profit-margins to cost-cutting that may include lowering wages or laying off workers, to shifting production from China to other countries. While the approach taken by NewAir and others in the sector requires significant investment, it underscores how the year-long US-China trade war is forcing some companies to adopt novel workarounds as they fight for long-term survival and bump up against the limitations of belt-tightening. "Instead of cutting costs we're going to add some costs, but in the long run it will pay off," Stephenson said by telephone after a trip to China to meet suppliers. Working closely with suppliers to develop products, he is also implementing measures like air-mailing samples to the United States instead of using cheaper maritime freight, aiming to slash up to a month of the process of getting goods approved. "Anything we can do to expedite the process is what we're looking at doing," he said. NewAir, a company with 50-plus employees, would likely spend "hundreds of thousands of dollars" on the project and was considering hiring a marketing manager, as Stephenson's focus shifts to dealing full-time with trade war strategy. Up featuring NewAir, whose products are sold under its brand as well as under licence with Magic Chef, Frigidaire and PepsiCo Inc, is still discussing ways to share the burden of the tariffs with Chinese suppliers and American retailers. It is also looking into sourcing some goods from India and Mexico. But the cornerstone of its new strategy is the overhaul of its product line. In addition to items it has not sold before, such as internet-enabled wine fridges and combination air fryer ovens, NewAir will retire some old products and give others that have been modified fresh SKUs, or stock-keeping units - unique product numbers that retailers use to track inventory. That will allow NewAir and its retailers to set new prices. Jim Estill, CEO of Danby Appliances, a Canadian company that sources similar products from China and sells many in the United States, calls the strategy "up featuring". "If you're already buying a minifridge for $129 and now it's $149. You're up in arms. But the psychology is completely different if you say: 'here's the new XYZ, it's $149' and the customer checks the market and sees everyone is charging $149 for the same thing, it's acceptable." Danby expects to turn over 80 per cent of its product line of about 300 goods in 2019, compared to a normal rate of 30 per cent, he said, adding that improvements in technology had made this an opportune time for product revamps. "If this happened 10 years ago, it would have been tough to say my white box is different. But now you can say I have a freezer that sends you an email when the power is out." Danby, which makes annual revenue of about $400 million, estimates the cost of revamping its product line at around $4 million. If the strategy works, it does in part shift some of the costs of tariffs designed to hurt China to the US consumer. But it is not risk-free. "When you sell new products at significantly higher prices it will affect your demand somewhat because now you are asking people to upgrade to a better product at much higher prices. How many consumers would have such budgets?" said Jing Bing, an associate professor of marketing at the Cheung Kong Graduate School of Business in Beijing. The point of pursuing a trade war "is to ask the American consumers to walk away from Chinese made products," he said, adding: "That's precisely the effect." NewAir CEO Luke Peters said retailers and consumers will get better products and will not see "a huge 25 per cent increase" in prices. "Our customers, who also have to be profitable, are going to see more value in the products that we're giving to them. So it's kind of forcing us to be more innovative," he said. But whether or not importers like NewAir can find a balance between higher prices and demand remains to be seen. "That's going to be the telltale for us, is what happens in about six to nine months," said Stephenson.

To survive trade war, some US importers embark on major revamps of product lines

The Chinese commerce ministry said Thursday that <a href="https://www.wionews.com/world/g20-summit-us-china-high-stakes-bilateral-meeting-gets-underway-in-osaka-231356">US tariffs</a> against China must be lifted for the two sides to reach a deal to end the trade war, reported news agency AFP.&nbsp;

Trade teams from the world's top two economies "have maintained communication", the report added quoting ministry spokesman Gao Feng, days after presidents Donald Trump and Xi Jinping announced a truce and committed to revive negotiations&nbsp;on the sidelines of G20 in Osaka, Japan.

"The United States' unilateral tariff increase on China's exports to the United States is the starting point for the&nbsp;Sino-US economic and trade frictions," Gao said at a weekly press briefing.

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"If the two sides can reach an agreement, the tariffs imposed must be completely eliminated. China's attitude toward this is clear and consistent," Gao added.

The countries have exchanged tariffs on $360 billion in two-way trade and <a href="https://www.wionews.com/world/china-us-agree-to-restart-trade-talks-at-xi-trump-meeting-report-231374">negotiations broke down</a> in May after the United States accused China of reneging on its commitments.

The US leader said he would not slap new tariffs on Chinese exports and suggested he could take a softer stance on Chinese telecom giant Huawei, which he has moved to blacklist.&nbsp;

(With inputs from AFP)

The Chinese commerce ministry said Thursday that US tariffs against China must be lifted for the two sides to reach a deal to end the trade war, reported news agency AFP.

The Chinese commerce ministry said Thursday that US tariffs against China must be lifted for the two sides to reach a deal to end the trade war, reported news agency AFP. Trade teams from the world's top two economies "have maintained communication", the report added quoting ministry spokesman Gao Feng, days after presidents Donald Trump and Xi Jinping announced a truce and committed to revive negotiations on the sidelines of G20 in Osaka, Japan. "The United States' unilateral tariff increase on China's exports to the United States is the starting point for the Sino-US economic and trade frictions," Gao said at a weekly press briefing. × "If the two sides can reach an agreement, the tariffs imposed must be completely eliminated. China's attitude toward this is clear and consistent," Gao added. The countries have exchanged tariffs on $360 billion in two-way trade and negotiations broke down in May after the United States accused China of reneging on its commitments. The US leader said he would not slap new tariffs on Chinese exports and suggested he could take a softer stance on Chinese telecom giant Huawei, which he has moved to blacklist. (With inputs from AFP)

China says US tariffs must be lifted to reach a deal to end trade war

&nbsp;<a href="https://www.wionews.com/world/amid-trade-war-chinas-exports-fall-to-three-year-low-imports-slip-for-third-straight-month-201889">China's exports</a> unexpectedly returned to growth in May despite higher <a href="https://www.wionews.com/world/mexico-hopes-to-reach-migration-deal-with-the-united-states-as-tariffs-loom-223935">US tariffs</a>, but imports fell the most in nearly three years in a further sign of weak domestic demand that could prompt Beijing to step up stimulus measures.

Some analysts suspected Chinese exporters may have rushed out shipments to the United States to avoid new tariffs on $300 billion of goods that President Donald Trump is threatening to impose in a rapidly escalating trade dispute.

But Monday's better-than-expected export data is unlikely to ease fears that a longer and costlier US-China trade war may no longer be avoidable, pushing the global economy towards recession.

China's May exports rose 1.1% from a year earlier, compared with market expectations for a modest decline, customs data showed.

"We expect export growth to remain positive in June, likely supported by continued front-loading of US-bound exports, but it should then tumble in the third quarter when we expect the threatened tariffs to be imposed," economists at Nomura said in a note to clients.

"Therefore, we believe Beijing will likely step up its stimulus measures to stabilise financial markets and growth."

Business distortions related to April's cut in the value-added tax (VAT) may also have eased, helping export readings, Nomura added.

Analysts polled by Reuters had expected May shipments from the world's largest exporter to have fallen 3.8% from a year earlier, after a contraction of 2.7% per cent in April.

While China is not as dependent on exports as in the past, they still account for nearly a fifth of its gross domestic product.

Trade tensions between Washington and Beijing escalated sharply last month after the Trump administration accused China of having "reneged" on promises to make structural changes to its economic practices.

Trump on May 10 slapped higher tariffs of up to 25% on $200 billion of Chinese goods and then took steps to levy duties on all remaining $300 billion Chinese imports. Beijing retaliated with tariff hikes on US goods.

Trump has said he expects to hold a meeting with Chinese President Xi Jinping at a G20 leaders' summit late this month, but analysts such as Capital Economics believe the chances of a lasting trade deal are receding as both sides appear to be digging in for a long battle.

Trade sanctions are spreading from goods to services, Capital Economics noted last week, with China issuing a warning to citizens about risks of travelling in the United States and US lawmakers pushing to tighten visas for Chinese students.

Damage from the trade war along with a broader softening in global demand will make 2019 the worst year for trade since the financial crisis a decade ago, with only 0.2% growth, according to economists at ING.

China's trade surplus with the United States, a major irritant for Washington, widened to a four-month high of $26.89 billion in May, from $21.01 billion in April, Monday's data showed.

Exports to the US fell at a more moderate pace of 4.2 per cent after dropping 13.2 per cent in April, while China's imports of U.S. goods declined 26.8% from a year earlier.

Imports Fall worst in almost 3 years

China's May imports were much weaker than expected, falling 8.5 per cent, the sharpest drop since July 2016. That left the country with a trade surplus of $41.65 billion for the month.

Analysts had forecast imports would fall 3.8%, reversing an expansion of 4% in April, which some had suspected was related to the reduction in the VAT.

Highlighting sluggish demand, imports of copper fell. The red metal is widely used in construction, electrical goods and manufacturing and is considered a bellwether for the health of an economy.

For January-May, China's total exports rose just 0.4% from a year earlier, while imports declined 3.7%.

More support measures expected

As trade pressures intensify, analysts believe China will loosen policy further in months ahead to shore up economic growth.

Investors are also watching to see how much Beijing allows the yuan to weaken to offset higher US tariffs. The tightly-managed currency has depreciated nearly 3 per cent against the dollar since trade tensions flared in early May and are nearing a closely watched support level.

Analysts do not expect a surprise devaluation from China like one in 2015, which could risk capital outflows and further angering Washington, but some believe more yuan weakness is inevitable if the trade war drags on.

Separate data on Monday showed China's foreign exchange reserves rose unexpectedly in May, suggesting the central bank has intervened only lightly to cushion the recent fall in the yuan.

The central bank has cut banks' reserve requirements (RRR) six times since early 2018 and guided some interest rates lower while urging banks to lend more and keeping ample amounts of liquidity in the banking system.

A growing number of analysts believe it could cut benchmark interest rates in the event of a full-blown trade war, especially if the US Federal Reserve eases policy first.

Beijing also has leaned more heavily on fiscal stimulus than in past downturns, possibly due to high levels of debt left over from past credit sprees. It has fast-tracked infrastructure projects, cut taxes for companies and raised export tax rebates.

The economy has yet to get back on firm footing, however. Factory activity in May contracted more than expected amid weak demand at home and abroad, an official survey showed.

Citing heightened trade uncertainties, the International Monetary Fund (IMF) last week cut its 2019 economic growth forecast for China to 6.2%, which would mark the country's weakest expansion in 29 years.

China's exports unexpectedly returned to growth in May despite higher US tariffs, but imports fell the most in nearly three years in a further sign of weak domestic demand that could prompt Beijing to step up stimulus measures.

China's exports unexpectedly returned to growth in May despite higher US tariffs, but imports fell the most in nearly three years in a further sign of weak domestic demand that could prompt Beijing to step up stimulus measures. Some analysts suspected Chinese exporters may have rushed out shipments to the United States to avoid new tariffs on $300 billion of goods that President Donald Trump is threatening to impose in a rapidly escalating trade dispute. But Monday's better-than-expected export data is unlikely to ease fears that a longer and costlier US-China trade war may no longer be avoidable, pushing the global economy towards recession. China's May exports rose 1.1% from a year earlier, compared with market expectations for a modest decline, customs data showed. "We expect export growth to remain positive in June, likely supported by continued front-loading of US-bound exports, but it should then tumble in the third quarter when we expect the threatened tariffs to be imposed," economists at Nomura said in a note to clients. "Therefore, we believe Beijing will likely step up its stimulus measures to stabilise financial markets and growth." Business distortions related to April's cut in the value-added tax (VAT) may also have eased, helping export readings, Nomura added. Analysts polled by Reuters had expected May shipments from the world's largest exporter to have fallen 3.8% from a year earlier, after a contraction of 2.7% per cent in April. While China is not as dependent on exports as in the past, they still account for nearly a fifth of its gross domestic product. Trade tensions between Washington and Beijing escalated sharply last month after the Trump administration accused China of having "reneged" on promises to make structural changes to its economic practices. Trump on May 10 slapped higher tariffs of up to 25% on $200 billion of Chinese goods and then took steps to levy duties on all remaining $300 billion Chinese imports. Beijing retaliated with tariff hikes on US goods. Trump has said he expects to hold a meeting with Chinese President Xi Jinping at a G20 leaders' summit late this month, but analysts such as Capital Economics believe the chances of a lasting trade deal are receding as both sides appear to be digging in for a long battle. Trade sanctions are spreading from goods to services, Capital Economics noted last week, with China issuing a warning to citizens about risks of travelling in the United States and US lawmakers pushing to tighten visas for Chinese students. Damage from the trade war along with a broader softening in global demand will make 2019 the worst year for trade since the financial crisis a decade ago, with only 0.2% growth, according to economists at ING. China's trade surplus with the United States, a major irritant for Washington, widened to a four-month high of $26.89 billion in May, from $21.01 billion in April, Monday's data showed. Exports to the US fell at a more moderate pace of 4.2 per cent after dropping 13.2 per cent in April, while China's imports of U.S. goods declined 26.8% from a year earlier. Imports Fall worst in almost 3 years China's May imports were much weaker than expected, falling 8.5 per cent, the sharpest drop since July 2016. That left the country with a trade surplus of $41.65 billion for the month. Analysts had forecast imports would fall 3.8%, reversing an expansion of 4% in April, which some had suspected was related to the reduction in the VAT. Highlighting sluggish demand, imports of copper fell. The red metal is widely used in construction, electrical goods and manufacturing and is considered a bellwether for the health of an economy. For January-May, China's total exports rose just 0.4% from a year earlier, while imports declined 3.7%. More support measures expected As trade pressures intensify, analysts believe China will loosen policy further in months ahead to shore up economic growth. Investors are also watching to see how much Beijing allows the yuan to weaken to offset higher US tariffs. The tightly-managed currency has depreciated nearly 3 per cent against the dollar since trade tensions flared in early May and are nearing a closely watched support level. Analysts do not expect a surprise devaluation from China like one in 2015, which could risk capital outflows and further angering Washington, but some believe more yuan weakness is inevitable if the trade war drags on. Separate data on Monday showed China's foreign exchange reserves rose unexpectedly in May, suggesting the central bank has intervened only lightly to cushion the recent fall in the yuan. The central bank has cut banks' reserve requirements (RRR) six times since early 2018 and guided some interest rates lower while urging banks to lend more and keeping ample amounts of liquidity in the banking system. A growing number of analysts believe it could cut benchmark interest rates in the event of a full-blown trade war, especially if the US Federal Reserve eases policy first. Beijing also has leaned more heavily on fiscal stimulus than in past downturns, possibly due to high levels of debt left over from past credit sprees. It has fast-tracked infrastructure projects, cut taxes for companies and raised export tax rebates. The economy has yet to get back on firm footing, however. Factory activity in May contracted more than expected amid weak demand at home and abroad, an official survey showed. Citing heightened trade uncertainties, the International Monetary Fund (IMF) last week cut its 2019 economic growth forecast for China to 6.2%, which would mark the country's weakest expansion in 29 years.

China exports grow despite US tariffs; imports slump most in nearly three years

The United States will take "unprecedented actions" to ensure the supply of<a href="https://www.wionews.com/business-economy/us-firms-fret-as-chinas-fedex-probe-planned-hit-list-heightens-trade-frictions-224227"> strategic minerals and rare earth</a> critical to the tech sector and the military, Commerce Secretary Wilbur Ross said Tuesday.

China is a major supplier of the critical materials and as the trade <a href="https://www.wionews.com/world/china-says-us-cant-use-pressure-to-force-trade-deal-223677">conflict with Washington</a> has escalated, Beijing has dangled a threat of cutting exports of rare earth as a counter-strike to US tariffs.

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Ross said in a statement that a new report designates 35 minerals as "critical to the economic and national security" of America, including uranium, titanium, and rare earth elements needed for smartphones, computers, aircraft and GPS systems, among other uses.

"These critical minerals are often overlooked but modern life without them would be impossible," Ross said.

"Through the recommendations detailed in this report, the Federal government will take unprecedented action to ensure that the United States will not be cut off from these vital materials."

President Donald Trump has ramped up his aggressive stance towards China in a bid to pressure the country to change its objectionable trade practices but the most recent flare-up caused talks to breakdown, especially due to US actions against Chinese tech giant Huawei.

In December 2017, Trump called on Commerce and other government agencies to develop new sources of critical minerals to reduce vulnerabilities to supply disruptions, especially from foreign sources.

The report calls for actions including improving supplies "through investment and trade with America's allies," while streamlining permitting for mining in the United States, including on federal lands.

It also lists a plan to improve mapping and data collection to promote domestic mineral exploration.

The United States will take "unprecedented actions" to ensure the supply of strategic minerals and rare earth critical to the tech sector and the military, Commerce Secretary Wilbur Ross said Tuesday.

The United States will take "unprecedented actions" to ensure the supply of strategic minerals and rare earth critical to the tech sector and the military, Commerce Secretary Wilbur Ross said Tuesday. China is a major supplier of the critical materials and as the trade conflict with Washington has escalated, Beijing has dangled a threat of cutting exports of rare earth as a counter-strike to US tariffs. Ross said in a statement that a new report designates 35 minerals as "critical to the economic and national security" of America, including uranium, titanium, and rare earth elements needed for smartphones, computers, aircraft and GPS systems, among other uses. "These critical minerals are often overlooked but modern life without them would be impossible," Ross said. "Through the recommendations detailed in this report, the Federal government will take unprecedented action to ensure that the United States will not be cut off from these vital materials." President Donald Trump has ramped up his aggressive stance towards China in a bid to pressure the country to change its objectionable trade practices but the most recent flare-up caused talks to breakdown, especially due to US actions against Chinese tech giant Huawei. In December 2017, Trump called on Commerce and other government agencies to develop new sources of critical minerals to reduce vulnerabilities to supply disruptions, especially from foreign sources. The report calls for actions including improving supplies "through investment and trade with America's allies," while streamlining permitting for mining in the United States, including on federal lands. It also lists a plan to improve mapping and data collection to promote domestic mineral exploration.

Will take unprecedented action to ensure supply of rare earths critical to tech, military: US

China has demonstrated more than enough sincerity to reach a mutually beneficial deal and end trade tensions with the United States. However, trapped in hegemonic ideology, the U.S. has responded by unilateral and protectionist tariff hikes that put world economy in danger, according to a commentary published by China's Xinhua News Agency on Sunday.

China's utmost sincerity in trade talks a sign of strength

A list of products subject to possible US tariffs on about $300 billion of Chinese imports will include cellphones and laptop computers but not pharmaceuticals and rare earth materials, the US&nbsp;Trade Representative's Office said on Monday.

It said a public hearing will be held on June 17 on its list of 3,805 product categories that could be subject to tariffs of up to 25%. Final rebuttal comments are due seven days after the end of the hearing, USTR said, marking a much shorter public comment period than previous rounds.

Initial tariffs on a $200 billion list of Chinese imports received about 71 days of public scrutiny during the summer of 2018, versus as little as 42 days for the latest $300 billion round of tariffs.

The comment period would likely be completed before <a href="https://www.wionews.com/world/us-president-trump-says-open-to-talk-to-iran-217343">US&nbsp;President Donald Trump</a> goes to a G20 leaders summit in Japan on June 28-29, where he said he will meet with <a href="https://www.wionews.com/world/xi-jinping-asks-for-fair-and-friendly-treatment-for-chinese-companies-and-citizens-overseas-214011">Chinese President Xi Jinping</a>. The timing would allow him to be in a position to order the tariffs to be activated around that date.

The proposed list would cover nearly every consumer product left untouched by previous tariffs on $250 billion worth of Chinese imports, including cellphones, laptops and tablet computers. Apple Inc, whose products had escaped prior rounds of tariffs, saw its shares plunge 5.8 per cent on Monday, taking US&nbsp;stocks broadly lower.

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The nearly 140-page list covers a wide variety of consumer products such as clothing, shoes, pencil sharpeners, books, bedsheets, and lawn mowers. It also includes fresh produce, meat, watches, pesticides, motorcycles, cocoa, infant formula, fireworks, yarn, baby pacifiers, and musical instruments.

"The latest tariff escalation is far too great a gamble for the US&nbsp;economy," National Retail Federation President Matthew Shay said in a statement. "Slapping tariffs on everything US companies import from China – goods that support US&nbsp;manufacturing and provide consumers with affordable products – will jeopardize American jobs and increase costs for consumers."

The list excluded Chinese-made pharmaceuticals, inputs for pharmaceuticals and select medical products, and rare earth minerals. Some of those are considered important for the electric vehicle, defence and drug industries.

Product exclusions granted by USTR from prior rounds of tariffs will not be affected, including a group of exclusions announced earlier on Monday for small electric motors, water filters and other components.

A list of products subject to possible US tariffs on about $300 billion of Chinese imports will include cellphones and laptop computers but not pharmaceuticals and rare earth materials, the US Trade Representative's Office said on Monday.

A list of products subject to possible US tariffs on about $300 billion of Chinese imports will include cellphones and laptop computers but not pharmaceuticals and rare earth materials, the US Trade Representative's Office said on Monday. It said a public hearing will be held on June 17 on its list of 3,805 product categories that could be subject to tariffs of up to 25%. Final rebuttal comments are due seven days after the end of the hearing, USTR said, marking a much shorter public comment period than previous rounds. Initial tariffs on a $200 billion list of Chinese imports received about 71 days of public scrutiny during the summer of 2018, versus as little as 42 days for the latest $300 billion round of tariffs. The comment period would likely be completed before US President Donald Trump goes to a G20 leaders summit in Japan on June 28-29, where he said he will meet with Chinese President Xi Jinping. The timing would allow him to be in a position to order the tariffs to be activated around that date. The proposed list would cover nearly every consumer product left untouched by previous tariffs on $250 billion worth of Chinese imports, including cellphones, laptops and tablet computers. Apple Inc, whose products had escaped prior rounds of tariffs, saw its shares plunge 5.8 per cent on Monday, taking US stocks broadly lower. × The nearly 140-page list covers a wide variety of consumer products such as clothing, shoes, pencil sharpeners, books, bedsheets, and lawn mowers. It also includes fresh produce, meat, watches, pesticides, motorcycles, cocoa, infant formula, fireworks, yarn, baby pacifiers, and musical instruments. "The latest tariff escalation is far too great a gamble for the US economy," National Retail Federation President Matthew Shay said in a statement. "Slapping tariffs on everything US companies import from China – goods that support US manufacturing and provide consumers with affordable products – will jeopardize American jobs and increase costs for consumers." The list excluded Chinese-made pharmaceuticals, inputs for pharmaceuticals and select medical products, and rare earth minerals. Some of those are considered important for the electric vehicle, defence and drug industries. Product exclusions granted by USTR from prior rounds of tariffs will not be affected, including a group of exclusions announced earlier on Monday for small electric motors, water filters and other components.

Cellphones and laptops on latest United States Trade Representative China tariff list, drugs excluded

Boeing is "confident" <a href="https://www.wionews.com/world/now-china-imposes-tariffs-on-60-billion-worth-of-us-goods-218421">US-China trade talks will yield an agreement</a>, a Boeing spokesman said Monday after Beijing retaliated against higher US tariffs and the aircraft manufacturer appeared to be a potential target for further reprisals.

As the year-long trade conflict escalated, the editor of party-owned Chinese newspaper Global Times said Monday that Beijing as might cut Boeing orders as well as purchases of US farm products.

"We're confident the US and China will continue trade discussions and come to an agreement that benefits both US and Chinese manufacturers and consumers," a Boeing spokesman told AFP in an email.

Potential trade-war fallout adds to Boeing's travails at a time when it is already under pressure after two deadly plane crashes forced the global grounding of its top-selling 737 MAX planes.

As a result of the 737 MAX crisis, Boeing has suspended deliveries of the planes and slowed production, hitting company revenues and clouding its profit outlook.

Boeing, the biggest component in the prestigious Dow index, fell 2.9 per cent to $344.36 in mid-morning trade amid a broad selloff after China's latest tariffs announcement.

In 2018, Boeing reported $13.8 billion in revenues from China, equivalent to nearly 14 per cent of overall company sales.

During the past five years, about one in every four Boeing commercial jets went to an operator in China, supporting tens of thousands of Boeing jobs, a company spokesman said.

Boeing is "confident" US-China trade talks will yield an agreement, a Boeing spokesman said Monday after Beijing retaliated against higher US tariffs and the aircraft manufacturer appeared to be a potential target for further reprisals.

Boeing is "confident" US-China trade talks will yield an agreement, a Boeing spokesman said Monday after Beijing retaliated against higher US tariffs and the aircraft manufacturer appeared to be a potential target for further reprisals. As the year-long trade conflict escalated, the editor of party-owned Chinese newspaper Global Times said Monday that Beijing as might cut Boeing orders as well as purchases of US farm products. "We're confident the US and China will continue trade discussions and come to an agreement that benefits both US and Chinese manufacturers and consumers," a Boeing spokesman told AFP in an email. Potential trade-war fallout adds to Boeing's travails at a time when it is already under pressure after two deadly plane crashes forced the global grounding of its top-selling 737 MAX planes. As a result of the 737 MAX crisis, Boeing has suspended deliveries of the planes and slowed production, hitting company revenues and clouding its profit outlook. Boeing, the biggest component in the prestigious Dow index, fell 2.9 per cent to $344.36 in mid-morning trade amid a broad selloff after China's latest tariffs announcement. In 2018, Boeing reported $13.8 billion in revenues from China, equivalent to nearly 14 per cent of overall company sales. During the past five years, about one in every four Boeing commercial jets went to an operator in China, supporting tens of thousands of Boeing jobs, a company spokesman said.

Boeing says 'confident' US-China trade talks will succeed

US President Donald Trump raised pressure on China over trade negotiations on Sunday by saying <a href="https://www.wionews.com/world/us-china-trade-dilemma-how-to-hold-beijings-feet-to-the-fire-216010">US tariffs on certain Chinese products</a> will increase to 25&nbsp;per cent on Friday and that more Chinese goods will face additional tariffs.

Trump had previously delayed the tariff increases earlier in the year, citing productive talks with China.

Sunday's announcement casts into doubt previous expectations that China and the United States were closing in on a deal to end a months-long trade war that has slowed global growth and disrupted markets.

"For 10 months, China has been paying Tariffs to the USA of 25% on 50 Billion Dollars of High Tech, and 10% on 200 Billion Dollars of other goods," Trump wrote on Twitter.

"The 10% will go up to 25% on Friday. 325 Billions Dollars of additional goods sent to us by China remain untaxed, but will be shortly, at a rate of 25%," he added.

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....of additional goods sent to us by China remain untaxed, but will be shortly, at a rate of 25%. The Tariffs paid to the USA have had little impact on product cost, mostly borne by China. The Trade Deal with China continues, but too slowly, as they attempt to renegotiate. No!
— Donald J. Trump (@realDonaldTrump) <a href="https://twitter.com/realDonaldTrump/status/1125069836088950784?ref_src=twsrc%5Etfw">May 5, 2019</a></blockquote>
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US-China trade talks are due to resume this week, with Chinese Vice Premier Liu He due to travel to Washington. That follows talks in April in Beijing that Treasury Secretary Steven Mnuchin called "productive."

As recently as Friday, Trump said talks with China was going well.

Last week, industry sources said they believed the talks were in the endgame, and Mnuchin had said he hoped that the U.S. negotiating team would soon be able to recommend a deal to Trump or tell him that one could not be reached.

The administration has been insisting on a mechanism to ensure that China follows through on any promises to purchase more American goods.&nbsp;

Administration officials have said both sides are expected to launch new enforcement staffs to police the agreement.

US President Donald Trump raised pressure on China over trade negotiations on Sunday by saying US tariffs on certain Chinese products will increase to 25 per cent on Friday and that more Chinese goods will face additional tariffs.

US President Donald Trump raised pressure on China over trade negotiations on Sunday by saying US tariffs on certain Chinese products will increase to 25 per cent on Friday and that more Chinese goods will face additional tariffs. Trump had previously delayed the tariff increases earlier in the year, citing productive talks with China. Sunday's announcement casts into doubt previous expectations that China and the United States were closing in on a deal to end a months-long trade war that has slowed global growth and disrupted markets. "For 10 months, China has been paying Tariffs to the USA of 25% on 50 Billion Dollars of High Tech, and 10% on 200 Billion Dollars of other goods," Trump wrote on Twitter. "The 10% will go up to 25% on Friday. 325 Billions Dollars of additional goods sent to us by China remain untaxed, but will be shortly, at a rate of 25%," he added. ....of additional goods sent to us by China remain untaxed, but will be shortly, at a rate of 25%. The Tariffs paid to the USA have had little impact on product cost, mostly borne by China. The Trade Deal with China continues, but too slowly, as they attempt to renegotiate. No! — Donald J. Trump (@realDonaldTrump) May 5, 2019 × US-China trade talks are due to resume this week, with Chinese Vice Premier Liu He due to travel to Washington. That follows talks in April in Beijing that Treasury Secretary Steven Mnuchin called "productive." As recently as Friday, Trump said talks with China was going well. Last week, industry sources said they believed the talks were in the endgame, and Mnuchin had said he hoped that the U.S. negotiating team would soon be able to recommend a deal to Trump or tell him that one could not be reached. The administration has been insisting on a mechanism to ensure that China follows through on any promises to purchase more American goods. Administration officials have said both sides are expected to launch new enforcement staffs to police the agreement.

Trump announces higher US tariffs on China goods

US&nbsp;President Donald Trump on Monday said he would hold a summit with China to sign any final trade deal, a day after signalling that he planned to meet with Chinese President Xi Jinping to conclude an agreement.

However, Trump also told a group of US governors at the White House that while a US-China trade pact could happen very soon, it also might not happen at all.

On Sunday, Trump said he would delay an increase in US tariffs on Chinese goods thanks to <a href="http://www.wionews.com/world/us-to-delay-china-tariff-increase-trump-199444">"productive" trade talks</a>. Assuming additional progress was made on both sides, Trump said he planned to meet with Xi at his Mar-a-Lago estate in Florida.

World markets rose on Monday after Trump's announcement of the delay, feeding investors' hopes that the trade war between the world's two biggest economies could soon see a resolution.

The seven-month-old trade war has rattled global markets and prompted stark warnings about the risks to the world economy.

Analysts say the two sides are likely to trumpet mutual agreements to resolve the easier parts of the trade dispute -- increasing purchases of American goods, more open investment in China and tougher protections for intellectual property and proprietary technology.

The harder parts covering issues such as scaling back China's ambitious industrial strategy for global preeminence, meanwhile, are another question.

Beijing has reportedly proposed a significant increase in its imports of US energy and agricultural exports. Still, a broader deal could be difficult given the US demands for far-reaching structural changes.

China's retaliation has hit US farm exports hard. The US Agriculture Department estimated this month that US soy exports would not return to their pre-trade war levels for another six years.

US President Donald Trump on Monday said he would hold a summit with China to sign any final trade deal, a day after signalling that he planned to meet with Chinese President Xi Jinping to conclude an agreement.

US President Donald Trump on Monday said he would hold a summit with China to sign any final trade deal, a day after signalling that he planned to meet with Chinese President Xi Jinping to conclude an agreement. However, Trump also told a group of US governors at the White House that while a US-China trade pact could happen very soon, it also might not happen at all. On Sunday, Trump said he would delay an increase in US tariffs on Chinese goods thanks to "productive" trade talks. Assuming additional progress was made on both sides, Trump said he planned to meet with Xi at his Mar-a-Lago estate in Florida. World markets rose on Monday after Trump's announcement of the delay, feeding investors' hopes that the trade war between the world's two biggest economies could soon see a resolution. The seven-month-old trade war has rattled global markets and prompted stark warnings about the risks to the world economy. Analysts say the two sides are likely to trumpet mutual agreements to resolve the easier parts of the trade dispute -- increasing purchases of American goods, more open investment in China and tougher protections for intellectual property and proprietary technology. The harder parts covering issues such as scaling back China's ambitious industrial strategy for global preeminence, meanwhile, are another question. Beijing has reportedly proposed a significant increase in its imports of US energy and agricultural exports. Still, a broader deal could be difficult given the US demands for far-reaching structural changes. China's retaliation has hit US farm exports hard. The US Agriculture Department estimated this month that US soy exports would not return to their pre-trade war levels for another six years.

Trump says he plans summit with China to sign trade deal

The World Trade Organization agreed Wednesday to hear complaints from a range of countries over new US steel and aluminium tariffs, as well as complaints from Washington over retaliatory duties.

The WTO's Dispute Settlement Body (DSB) agreed to establish panels to review US President Donald Trump's decision to hit a long line of countries with tariffs of 25 per cent on steel and 10 per cent on aluminium.

The DSB will create separate panels for the complaints by the European Union, China, Canada, Mexico, Norway, Russia and Turkey, after the US said it would not agree to a single panel to hear all of them.

The DSB agreed Wednesday to Washington's request for three panels to rule on the legality of retaliatory tariffs imposed by Canada, China, Mexico and the European Union.

It also agreed to a US call for a panel to be created to review "certain Chinese measures pertaining to the protection of intellectual property rights."&nbsp;

Marking a departure from a decades-long US-led drive for free trade, Trump has justified the steep tariffs with claims that massive flows of imports to the United States threaten national security.

Washington invoked a rarely used WTO exception that allows a country to take "any action which it considers necessary for the protection of its essential security interests."

Speaking at Wednesday's meeting, US Ambassador Dennis Shea warned of the "risks posed to the WTO dispute settlement system when a member challenges measures taken for the protection of essential security interests."

The US delegation also cautioned that any review of measures taken for national security reasons would undermine the "legitimacy" and "even the viability of the WTO as a whole".

The tariff spat has escalated into an all-out trade war between the US and China and growing trade tensions between Washington and many of its traditional allies.

The decision to establish the panels follows rounds of failed consultations between the parties and mark an escalation in an ongoing showdown at the WTO around Trump's controversial trade policies.

The first requests to establish the panels were rejected last month, prompting the sides to file second requests.

Under WTO regulations, parties in a dispute can block a first request for the creation of an arbitration panel, but if the parties make a second request, it is all but guaranteed to go through.

The creation of a DSB panel usually triggers a long and often costly legal battle that sometimes takes years to resolve.

The World Trade Organization agreed Wednesday to hear complaints from a range of countries over new US steel and aluminium tariffs, as well as complaints from Washington over retaliatory duties.

The World Trade Organization agreed Wednesday to hear complaints from a range of countries over new US steel and aluminium tariffs, as well as complaints from Washington over retaliatory duties. The WTO's Dispute Settlement Body (DSB) agreed to establish panels to review US President Donald Trump's decision to hit a long line of countries with tariffs of 25 per cent on steel and 10 per cent on aluminium. The DSB will create separate panels for the complaints by the European Union, China, Canada, Mexico, Norway, Russia and Turkey, after the US said it would not agree to a single panel to hear all of them. The DSB agreed Wednesday to Washington's request for three panels to rule on the legality of retaliatory tariffs imposed by Canada, China, Mexico and the European Union. It also agreed to a US call for a panel to be created to review "certain Chinese measures pertaining to the protection of intellectual property rights." Marking a departure from a decades-long US-led drive for free trade, Trump has justified the steep tariffs with claims that massive flows of imports to the United States threaten national security. Washington invoked a rarely used WTO exception that allows a country to take "any action which it considers necessary for the protection of its essential security interests." Speaking at Wednesday's meeting, US Ambassador Dennis Shea warned of the "risks posed to the WTO dispute settlement system when a member challenges measures taken for the protection of essential security interests." The US delegation also cautioned that any review of measures taken for national security reasons would undermine the "legitimacy" and "even the viability of the WTO as a whole". The tariff spat has escalated into an all-out trade war between the US and China and growing trade tensions between Washington and many of its traditional allies. The decision to establish the panels follows rounds of failed consultations between the parties and mark an escalation in an ongoing showdown at the WTO around Trump's controversial trade policies. The first requests to establish the panels were rejected last month, prompting the sides to file second requests. Under WTO regulations, parties in a dispute can block a first request for the creation of an arbitration panel, but if the parties make a second request, it is all but guaranteed to go through. The creation of a DSB panel usually triggers a long and often costly legal battle that sometimes takes years to resolve.

World Trade Organisation to rule in spat over US tariffs

Group of Seven leaders will pressure US&nbspPresident Donald Trump at a summit this week on tariffs he has imposed on metals imports but must remain civil as they try to persuade him to change his mind, French President Emmanuel Macron said on Wednesday.

Macron, speaking to reporters after talks with Canadian Prime Minister Justin Trudeau, said the United States was an ally that the rest of the G7 needed. Tensions over trade are threatening to overshadow the June 8-9 summit.

Group of Seven leaders will pressure US President Donald Trump at a summit this week on tariffs he has imposed on metals imports

Group of Seven leaders will pressure US&nbspPresident Donald Trump at a summit this week on tariffs he has imposed on metals imports but must remain civil as they try to persuade him to change his mind, French President Emmanuel Macron said on Wednesday. Macron, speaking to reporters after talks with Canadian Prime Minister Justin Trudeau, said the United States was an ally that the rest of the G7 needed. Tensions over trade are threatening to overshadow the June 8-9 summit.

G7 leaders must be civil as they pressure Trump, says Macron

Canada hit back at steep US tariffs on aluminum and steel&nbsp;on Thursday, announcing retaliatory duties on up to Can$16.6 billion (US$12.8 billion) in American imports.

Prime Minister Justin Trudeau told a news conference the US tariffs were "totally unacceptable."

"These tariffs are an affront to the long standing security partnership between Canada and the United States, and in particular, an affront to the thousands of Canadians who have fought and died alongside their American brothers in arms," he said, noting the US national security justification for its measures.

"We have to believe that at some point, common sense will prevail. But we see no sign of that in this action today by the US administration," the prime minister said.

The Canadian tariffs, which Foreign Minister Chrystia Freeland said are proportional to the US duties, will be applied to US steel and aluminum as well as consumer products from&nbsp;July 1.

These items include yogurt, coffee, sugar, toilet paper, sailboats, mattresses, washing machines and lawn mowers -- all aimed at exerting pressure on key US states that export a lot to Canada.

At the same time, Ottawa will challenge the "illegal and counterproductive" US measures under the North American Free Trade Agreement (NAFTA) and at the World Trade Organization, said Freeland.

The tit-for-tat trade spat comes after nine months of negotiations between Canada, Mexico and the United States to revamp NAFTA bogged down.

Washington had granted Canada and Mexico an exemption on the metal tariffs to give the parties time to successfully negotiate a new free trade deal.

But Washington rejected the latest offer from its neighbors to accept a larger US share of North American auto manufacturing in exchange for the US dropping other contentious demands.

Trudeau said he spoke with US President Donald Trump last week and offered to fly to Washington and sit down with him to hammer out the "final details of NAFTA because there were broad lines of a decent win-win-win deal on the table."

But Vice President Mike Pence called back this week to set a NAFTA sunset clause as a precondition for the meeting, which both Canada and Mexico had rejected.

Trudeau said he replied that "there was no possibility of any Canadian prime minister signing a NAFTA deal that included a five-year sunset clause."

"Obviously, the visit didn't happen," he said.

Late&nbsp;Thursday, President Donald Trump said in a statement it was made clear to Trudeau that the US "will agree to a fair deal, or there will be no deal at all."

"The United States has been taken advantage of for many decades on trade.&nbsp;Those days are over," he said.

Meanwhile, last month and earlier&nbsp;Thursday, Ottawa also unveiled measures to stop transshipments of steel and aluminum into the North American market, hoping to satisfy US concerns and avert a trade war.

But hope faded when US Commerce Secretary Wilbur Ross announced that the United States would impose tariffs of 25 percent on steel and 10 percent on aluminum from Canada and others from&nbsp;Friday.

Freeland noted that the United States has a US$2 billion trade surplus with Canada in steel, and that "roughly half" of all US steel exports go to Canada.

Prime Minister Justin Trudeau told a news conference the US tariffs were "totally unacceptable."

Canada hit back at steep US tariffs on aluminum and steel on Thursday, announcing retaliatory duties on up to Can$16.6 billion (US$12.8 billion) in American imports. Prime Minister Justin Trudeau told a news conference the US tariffs were "totally unacceptable." "These tariffs are an affront to the long standing security partnership between Canada and the United States, and in particular, an affront to the thousands of Canadians who have fought and died alongside their American brothers in arms," he said, noting the US national security justification for its measures. "We have to believe that at some point, common sense will prevail. But we see no sign of that in this action today by the US administration," the prime minister said. The Canadian tariffs, which Foreign Minister Chrystia Freeland said are proportional to the US duties, will be applied to US steel and aluminum as well as consumer products from July 1. These items include yogurt, coffee, sugar, toilet paper, sailboats, mattresses, washing machines and lawn mowers -- all aimed at exerting pressure on key US states that export a lot to Canada. At the same time, Ottawa will challenge the "illegal and counterproductive" US measures under the North American Free Trade Agreement (NAFTA) and at the World Trade Organization, said Freeland. The tit-for-tat trade spat comes after nine months of negotiations between Canada, Mexico and the United States to revamp NAFTA bogged down. Washington had granted Canada and Mexico an exemption on the metal tariffs to give the parties time to successfully negotiate a new free trade deal. But Washington rejected the latest offer from its neighbors to accept a larger US share of North American auto manufacturing in exchange for the US dropping other contentious demands. Trudeau said he spoke with US President Donald Trump last week and offered to fly to Washington and sit down with him to hammer out the "final details of NAFTA because there were broad lines of a decent win-win-win deal on the table." But Vice President Mike Pence called back this week to set a NAFTA sunset clause as a precondition for the meeting, which both Canada and Mexico had rejected. Trudeau said he replied that "there was no possibility of any Canadian prime minister signing a NAFTA deal that included a five-year sunset clause." "Obviously, the visit didn't happen," he said. Late Thursday, President Donald Trump said in a statement it was made clear to Trudeau that the US "will agree to a fair deal, or there will be no deal at all." "The United States has been taken advantage of for many decades on trade. Those days are over," he said. Meanwhile, last month and earlier Thursday, Ottawa also unveiled measures to stop transshipments of steel and aluminum into the North American market, hoping to satisfy US concerns and avert a trade war. But hope faded when US Commerce Secretary Wilbur Ross announced that the United States would impose tariffs of 25 percent on steel and 10 percent on aluminum from Canada and others from Friday. Freeland noted that the United States has a US$2 billion trade surplus with Canada in steel, and that "roughly half" of all US steel exports go to Canada.

Canada hits US with billions in retaliatory tariffs in steel row

India today challenged the <a href="http://www.wionews.com/world/ready-to-retaliate-against-us-steel-tariffs-japan-tells-wto--138022">US against imposing steel </a>and aluminium tariffs at the World Trade Organization(WTO).

In March, President Trump had imposed 25 tariffs on steel imports and 10 per cent on imported which threatened a worldwide trade war against it. Several countries including China and European Union(EU) condemmed the move and compalined to the WTO.

Russia and Japan have already decided to respond the US tariffs on steel and aluminium. Japan has already told the WTO that it is ready to take retaliatory measures against US tariffs on its steel and aluminium. China has already started retaliatory action.

Trump said the imports threatened national security, a move which was rejected EU and others. Most countries complain that duties of 25 percent and 10 per cent on imports of its steel and aluminium products violate international trade rules.

India accused the Trump administration of "multiple violations" and asked for consultations escalating a legal challenge against the US.

Under WTO rules, if 60 days pass without consultations, India can ask the WTO to set up dispute panel.&nbsp;

In a move which has titled the balance in Trump administation's favour, the US has refused to sign off on any judges to the appellate branch meaning if nothing happens the court won't function at all.

Trump said the imports threatened national security, a move which was rejected EU and others.

India today challenged the US against imposing steel and aluminium tariffs at the World Trade Organization(WTO). In March, President Trump had imposed 25 tariffs on steel imports and 10 per cent on imported which threatened a worldwide trade war against it. Several countries including China and European Union(EU) condemmed the move and compalined to the WTO. Russia and Japan have already decided to respond the US tariffs on steel and aluminium. Japan has already told the WTO that it is ready to take retaliatory measures against US tariffs on its steel and aluminium. China has already started retaliatory action. Trump said the imports threatened national security, a move which was rejected EU and others. Most countries complain that duties of 25 percent and 10 per cent on imports of its steel and aluminium products violate international trade rules. India accused the Trump administration of "multiple violations" and asked for consultations escalating a legal challenge against the US. Under WTO rules, if 60 days pass without consultations, India can ask the WTO to set up dispute panel. In a move which has titled the balance in Trump administation's favour, the US has refused to sign off on any judges to the appellate branch meaning if nothing happens the court won't function at all.

India challenges US steel and aluminium tariffs at WTO

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