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USA vs China Trade War: The Third World War?

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shortbread

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This is no small action.

US is nearly 20% of China's exports and any sort of punitive trade action by the US will have massive repercussions to the Chinese economy. What they would fear more is if other governments will watch and learn as to how such measures would benefit them. China enjoys massive trade surpluses with every major world economy and if US will be able to reverse this it might give other nations ideas.

China has been expecting this for sometime and would have chalked their own strategies and the coming days will be really interesting. A US -China trade war will have immediate impact on the World Economy. While the EU would shake their heads in disgust they know all to well that the rising nationalistic voices in their countries would ask them to follow suit.

Trump is playing to his audience and irrespective of what the mostly pro-Dem reports in the US show, Trump has a growing base in the US. One cannot reason and win with Americans as to why importing so much from China is a good thing for the US. Will be interesting to see how the Democrats play their cards here.

I love this, a real trade war finally.

The US plans to impose roughly $50bn in tariffs on Chinese goods and limit the country's investment activity in the US as payback for what it alleges is years of intellectual property theft.

The White House said the actions are a necessary step to counter unfair competition from China's state-led economy.

It says years of talks about the issue failed to produce change.

China said it was ready to retaliate with "necessary measures".
Click to expand...

http://www.bbc.co.uk/news/business-43494001
 
Everything these days is called the 3rd world war.

The war on terror is the third world war, when India threatens to attack pakistan its the third world war, When US had tensions with Putin it was suppose to be the third world war, when Turkey dropped a russian jet it should have triggered the third world war etc.
 
China announces new tariffs on 106 US products, including soy, cars and chemicals
China announced additional tariffs on 106 U.S. products on Wednesday, in a move likely to heighten global concerns of a ***-for-tat trade war between the world's biggest economies.

The effective start date for the new charges was not announced, though China's Ministry of Commerce said the tariffs are designed to target up to $50 billion of U.S. products annually.

The 25 percent levy on U.S. imports includes products such as soybeans, cars and whiskey, Beijing said. The full list can be found here.

Trade showdown

The move comes less than 24 hours after President Donald Trump unveiled a list of Chinese imports that he aims to target as part of a crackdown on what he deems as unfair trade practices.

Sectors covered by Trump's proposed tariffs include products used for robotics, information technology, communication technology and aerospace.

The trade showdown between Washington and Beijing has rattled investors and fueled market fears that the dispute could soon spiral into a full-blown trade war.

When asked whether global markets were now officially observing an all-out trade war, Goldman Sachs' chief global equity strategist, Peter Oppenheimer, told CNBC: "I think it is clearly a trade battle at the very least."

"I think the anxiety the market is reflecting is that it could escalate into a generalized (trade) war," he added.

China's proposed countermeasures prompted U.S. stocks to plunge on Wednesday. The Dow Jones industrial average tanked more than 450 points, with Boeing and Caterpillar leading all stocks in the index lower.

Meanwhile, Wednesday's announcement also prompted European stocks to extend losses, with the pan-European Stoxx 600 hitting a session low of 0.8 percent shortly after the news.

"I think Beijing is very keen to show that it is not going to be bullied, too," Neil Dwane, global strategist at Allianz Global Investors, told CNBC on Wednesday.

"(China) is going to position this as them responding to American aggression rather than necessarily being part of the problem," he added.

The Chinese yuan also suffered its biggest daily fall against the dollar in two weeks after the measures were proposed. The currency slipped 0.4 percent to hit 6.3015 per dollar.
Click to expand...
https://www.cnbc.com/2018/04/04/china-new-us-tariffs-including-soy-cars-and-chemicals.html
 
US-China trade: US set to impose biggest round of tariffs yet

A new round of US tariffs on Chinese goods are due to come into effect, the largest yet in the trade war.

The US is due to start imposing tariffs on $200bn (£152bn) worth of Chinese products from 12:01 Beijing time (04:01 GMT), in response to what it says are unfair trading practices by China.

China has said it will target $60bn of US goods with extra duties in response.

It marks a major escalation in the trade war between the world's two largest economies.

The latest move takes the total amount of Chinese imports hit by US tariffs since July up to $250bn.

This means about half of all Chinese imports to the US are now subject to these new duties.

China has accused the US of launching the "largest trade war in economic history".

What is happening on Monday?

As of the deadline, US companies importing the Chinese products in question will have to pay an additional 10% levy.

The US duties will apply to almost 6,000 items, making them the biggest round of trade tariffs yet from Washington.

They will affect handbags, rice and textiles, although some items such as smart watches and high chairs have been exempted.

The tax will rise to 25% from the start of 2019, unless the two countries agree a deal.

In contrast, China will place an additional 5% in duty on US products including smaller aircraft, computers and textiles, and an extra 10% on goods such as chemicals, meat, wheat and wine.

The tariffs to date

In total, the US has imposed three rounds of tariffs on Chinese products this year, totalling $250bn worth of goods.

It placed 25% tariffs on $50bn worth of imports from China in two separate rounds.

In July, the White House increased charges on $34bn worth of Chinese products.

Then last month, the escalating trade war moved up a gear when the US brought in a 25% tax on a second wave of goods worth $16bn.

Beijing retaliated in kind.

China has imposed duties on $50bn of US products in retaliation, targeting key parts of the president's political base, such as farmers.

Why is the US doing this?

President Donald Trump says he wants to stop the "unfair transfers of American technology and intellectual property to China" and protect jobs.

Tariffs, in theory, will make US-made products cheaper than imported ones, so encourage consumers to buy American. The idea is they would boost local businesses and support the national economy.

But many US companies and industry groups have testified to the US Trade Representative's Office that their businesses are being harmed.

There are signs that companies and economies are already being affected, and the IMF has warned major escalations will hit global growth.

Mr Trump's tariff policies are part of his protectionist trade agenda since taking office, which challenges decades of a global free trade system.

What comes next?

Mr Trump recently said taxes on another $267bn of goods were "ready to go on short notice" - that would mean virtually all of China's exports to the US would be subject to new duties.

It is unclear how China can match the scale of US tariffs longer term.

The US buys far more from China than it sells to them, so China only has limited room to retaliate through trade.

Analysts have said China could get creative when fighting back.

It could make life more difficult for American companies in China or force its currency lower to boost exports.

Mr Trump recently accused China of doing just that. But China has hit back at these accusations.

China "will never go down the path of stimulating exports by devaluating its currency", Premier Li Keqiang said last week.

https://www.bbc.com/news/business-45622075
 
Trade wars can lead to shooting wars. See Imperial Japanese vs USA in 1930s.
 
Trump steps in after adviser's China comment

President Trump has reassured investors that the US trade deal with China is still on - after White House adviser Peter Navarro told Fox News that an agreement between the countries was “over”.

Navarro said the “turning point” came when the White House learned about the coronavirus only after a Chinese delegation left Washington, where they had signed the phase one trade deal, on 15 January.

Mr Navarro quickly walked back on his comments, saying that they had been taken "wildly out of context", and Mr Trump said the deal was "fully intact".

The debacle sent global stock markets on a roller coaster ride as shares slipped on the initial comments - only to recover after the clarification.
 
Trump is so scared about the stocks before elections lol.
Modern politicians as someone already said is all about selling themselves keeping the elections in mind and doing the right PR.

I think most of the actual decent bills will get passed only in next term of Trump.(if he wins).
 
Two US aircraft carriers conducted exercises in the disputed South China Sea on Saturday with China also carrying out manoeuvres that have been criticised by the Pentagon and neighbouring states.

The USS Nimitz and USS Ronald Reagan were performed operations and exercises in the South China Sea "to support a free and open Indo-Pacific", a US Navy statement said.

It did not say exactly where the exercises were being conducted in the South China Sea, which extends for 1,500 km (900 miles) and 90 percent of which is claimed by China despite the protests of its neighbours.

"The purpose is to show an unambiguous signal to our partners and allies that we are committed to regional security and stability," Rear Admiral George M Wikoff was quoted as saying by the Wall Street Journal, which first reported the exercises.

China and the United States have accused each other of stoking tension in the strategic waterway at a time of strained relations over everything from coronavirus to trade to Hong Kong.

Wikoff, commander of the strike group led by the Ronald Reagan, said the exercises were not a response to those being conducted by China, which the Pentagon criticised this week as "counterproductive to efforts at easing tensions and maintaining stability".

China dismissed the US criticism of its drills on Friday and suggested the United States was to blame for increasing tensions.

US carriers have long carried out exercises in the Western Pacific, including in the South China Sea. At one point recently, the United States had three aircraft carriers in the region.

China announced last week it had scheduled five days of drills starting July 1 near the Paracel Islands, which are claimed by both Vietnam and China.

Vietnam and the Philippines have also criticised the planned Chinese drills, warning they could create tension in the region and impact Beijing's relationship with its neighbours.

The United States accuses China of trying to intimidate Asian neighbours who might want to exploit its extensive oil and gas reserves. Brunei, Malaysia, the Philippines, Taiwan and Vietnam also lay claim to parts of the South China Sea, through which about $3 trillion of trade passes each year.

The US statement said the naval exercises gave commanders the flexibility and capabilities "that only the US Navy can command".

In 2016, an international ruled that China has no legal basis for its claims to sovereignty over the South China Sea. The Permanent Court of Arbitration said China's "nine-dash line" territorial claims, which cover most of the South China Sea, will not be recognised under international law.

Beijing rejected the ruling and has continued to build up islands under its control.

https://www.aljazeera.com/news/2020...y-drills-south-china-sea-200704145424749.html
 
Robert said:
Trade wars can lead to shooting wars. See Imperial Japanese vs USA in 1930s.
Click to expand...

In a pre-"globalized" world, the corporations were smaller and their economic interests were mostly region based.

But in current era, corps are massive and they don't care who buys their products as long as they sell. Plus they own key decision makers.

Even CCP should be treated as an economic corporation.

Trump will always remain a "businessman".
 
FBI interviewing Chinese visa holders suspected of hiding military ties: Justice Department

WASHINGTON (Reuters) - The FBI has interviewed visa holders in more than 25 U.S. cities suspected of hiding their Chinese military memberships, the Justice Department said on Thursday, as part of what experts called the biggest known crackdown on the theft of U.S. know-how in more than 40 years of Sino-U.S. relations.

The Justice Department announcement likely will fuel tensions between the world’s two largest economies that have grown since the Trump administration ordered China to shutter its consulate in Houston, Texas, by Friday.

The administration has intensified charges that China uses cyber operations and espionage to steal U.S. technological, military and other know-how in a strategy to supplant the United States as the world’s leading financial and military power. Beijing denied the allegations.

The FBI recently has interviewed visa holders suspected of having undeclared Chinese military affiliations in more than 25 American cities, the Justice Department said.

“These members of China’s Peoples Liberation Army applied for research visas while hiding their true affiliation with the PLA,” the statement quoted Assistant Attorney General John Demers as saying. “This is another part of the Chinese Communist Party’s plan to take advantage of our open society and exploit academic institutions.”

The Chinese Embassy did not immediately respond to a request for comment.

Last month, FBI Director Christopher Wray said almost half of the nearly 5,000 counter-intelligence investigations the bureau is conducting involve China.

Experts called it the largest known crackdown on the theft of American intellectual property since the two nuclear-armed powers began the process that led to the establishment of diplomat relations in 1979.

“This is by far the biggest response by the U.S. to China’s theft of IP (intellectual property) since the opening to China,” said James Mulvenon, an expert on the Chinese military and cyber operations with SOS International, a contractor that supports U.S. government agencies.

The Justice Department said the FBI recently arrested three Chinese nationals for allegedly concealing memberships in the Peoples Liberation Army when applying for visas to conduct research at U.S. academic institutions.

The FBI is seeking to arrest a fourth research visa fraud suspect who sought refuge in the Chinese consulate in San Francisco after being interviewed by the bureau in June, the department said.

U.S. law enforcement cannot enter a foreign embassy or consulate unless invited, and certain top officials such as ambassadors have diplomatic immunity.

https://www.reuters.com/article/us-usa-china-consulate-fbi-idUSKCN24O2SY
 
China orders US to shut Chengdu consulate, retaliating for Houston

BEIJING/HOUSTON: China ordered the United States on Friday to close its consulate in the city of Chengdu, responding to a US demand for China to close its Houston consulate, as relations between the world's two largest economies deteriorate.

The order to close the Chengdu consulate in southwestern China's Sichuan province continued Beijing's recent practice of like-for-like responses to Washington's actions.

Beijing had threatened retaliation after the Trump administration this week gave it 72 hours - until Friday - to vacate its consulate in the Texas city, and had urged the United States to reconsider.

US Secretary of State Mike Pompeo said on Thursday the consulate had been "a hub of spying and intellectual property theft."

Senior US officials said on Friday espionage activity by China's diplomatic missions was occurring all over the United States, but its Houston consulate was one of the worst offenders and its activity went well over the line of what was acceptable.

A senior State Department official also linked espionage activity at China's Houston consulate to China's pursuit of research into a vaccine for the new coronavirus.

At the Houston consulate on Friday, about 100 Chinese activists gathered, shouting slogans denouncing China's ruling Communist Party. Some held American flags.

Relations between Washington and Beijing have deteriorated sharply this year over issues ranging from trade and technology to the coronavirus pandemic, China's territorial claims in the South China Sea and its clampdown on Hong Kong.

"The Ministry of Foreign Affairs of China informed the US Embassy in China of its decision to withdraw its consent for the establishment and operation of the US Consulate General in Chengdu," China's foreign ministry said in a statement.

Foreign ministry spokesman Wang Wenbin said some Chengdu consulate personnel were "conducting activities not in line with their identities" and had interfered in China's affairs and harmed China's security interests, but he did not say how.

Senior Chinese diplomat Wang Yi, who is also foreign minister, blamed Washington for the deterioration in ties.

"The current difficult situation in Sino-US relations is entirely caused by the United States, and its goal is trying to interrupt China's development," Wang said in a video conversation with his German counterpart.

CHINESE RESEARCHER IN US CUSTODY

US President Donald Trump's administration said the closing of the consulate was aimed at protecting American intellectual property and personal information.

"We urge the CCP (Chinese Communist Party) to cease these malign actions rather than engage in ***-for-tat retaliation," John Ullyot, a spokesman for the White House National Security Council, said in a statement.

In a related case, a senior US Justice Department official said a Chinese researcher who took refuge from US authorities at China's consulate in San Francisco is now in American custody and is expected to appear in court on Friday.

He said the researcher, Juan Tang, was part of a network of associates who concealed their military affiliation when applying for visas.

The US consulate in Chengdu was given 72 hours to close, or until 10 a.m. on Monday, the editor of the Global Times newspaper said on Twitter.

The consulate opened in 1985 and has almost 200 employees, including about 150 locally hired staff, according to its website. It was not immediately clear how many are there now after US diplomats were evacuated from China because of the pandemic.

Global share markets fell after the announcement, led by a heavy drop in Chinese blue chips, which fell 4.4%, while the yuan hit a two-week low.

Technology stocks dragged Wall Street's main indexes lower on Friday on the back of Sino-US tensions and fears over rising coronavirus infections in the United States, putting the S&P 500 on track to erase all of its gains for the week.

The State Department warned Americans in China of a greater risk of arbitrary law enforcement including detention, repeating a similar warning from two weeks ago.

TROUBLED TIES

Pompeo said in a speech on Thursday that Washington and its allies must use "more creative and assertive ways" to press the Chinese Communist Party to change its ways.

A source had told Reuters China was considering shutting the US consulate in Wuhan, where Washington withdrew staff as the coronavirus outbreak raged.

"The Chengdu consulate is more important than the Wuhan consulate because that is where the US gathers information about Tibet and China's development of strategic weapons in neighboring regions," said Wu Xinbo, a professor and American studies expert at Fudan University in Shanghai.

He said the Chengdu consulate was less important for economic activity than US consulates in Shanghai, Guangzhou and Hong Kong.

Chinese social media users, who had denounced the order to close the Houston mission, lauded the response.

The comment, "let's renovate it into a hotpot restaurant!", a reference to a popular dish in Chengdu, got 100,000 likes on the Weibo account of state broadcaster CCTV.
https://www.brecorder.com/news/4000...hut-chengdu-consulate-retaliating-for-houston
 
US consulate staff in China's Chengdu leave as deadline nears

The staff of the United States consulate in Chengdu are making final efforts to clear the premises as security remains tight outside in the face of Monday's closure ordered by Beijing as China-US relations continue to worsen.

Three moving trucks entered the US consulate as onlookers shared sidewalk space with dozens of uniformed and plain-clothes police on a tree-lined street on a hot Sunday.

The capital of Sichuan province, along with Houston in Texas, has found itself in the limelight of international politics as China and the US exchanged ***-for-tat orders last week to close each other's consulates in the two heartland cities.

The closures have escalated a sharp deterioration in ties between the world's two biggest economies, which were already their worst in decades amid disputes over trade and technology, the COVID-19 pandemic, China's territorial claims in the South China Sea and its clampdown on Hong Kong.

Police asked people to move on when crowds formed outside the consulate, as onlookers took photos and videos of what they expected would be the last time to see the compound in the US hands.

The street was closed to traffic, except for consular or police vehicles let through by police.

China on Friday ordered the closure of the Chengdu consulate in the southwestern province of Sichuan. That means an evacuation deadline of 10am (02:00 GMT) on Monday, according to the editor of a state-run tabloid.

Beijing's move was in retaliation for the US order to close the Chinese consulate in Houston, alleging the site hosted spies who tried to steal data from facilities in Texas, including the Texas A&M medical system and The University of Texas MD Anderson Cancer Center in the city.

China said the allegations were "malicious slander".

In Houston on Friday, a group of men accompanied by a US State Department official were seen forcing open a door at the Chinese consulate, shortly after Secretary of State Mike Pompeo called it "a hub of spying and intellectual property theft".

In Chengdu, a coach that had been on the US consulate premises left on Sunday morning. It was unclear who or what was inside.

"China's response was reciprocal," said a 63-year-old local resident who gave only his surname, Yang, who called the situation "quite regrettable".

https://www.aljazeera.com/news/2020...gdu-leave-deadline-nears-200726094641500.html
 
American diplomatic staff have left their consulate in the Chinese city of Chengdu, after a 72-hour deadline expired.

China ordered the closure in response to the US closing the Chinese consulate in Houston, Texas, last week.

Before Monday's deadline, staff were seen leaving the building, a plaque was removed, and a US flag was lowered.

China's foreign ministry said Chinese staff entered the building after the deadline and "took over".

A US state department spokesperson said: "The consulate has stood at the centre of our relations with the people in Western China, including Tibet, for 35 years.

"We are disappointed by the Chinese Communist Party's decision and will strive to continue our outreach to the people in this important region through our other posts in China."

As the US consulate closed, crowds of local residents gathered outside, with many waving Chinese flags and taking selfies.

https://www.bbc.com/news/world-asia-china-53549155
 
Trade war is a natural outcome of world order changing slowly. It's inevitable that China will overtake USA. Trade war and all other actions will simply slow it down. Only issue is that most of transitions in world order happened with wars. If we avoid war then it will be a much better for entire world.
 
Kingpin786 said:
Bangladesh,iran and russia , add thrse to the list
Click to expand...

Russia is not as dull w.r.t geo politics, same with BD whose textile business is dependent upon USA.

All others in your list are one dimensional w.r.t USA-CHINA.
 
Last edited:
Australia tells U.S. it has no intention of injuring important China ties

The United States and close ally Australia held high-level talks on China and agreed on the need to uphold a rules-based global order, but the Australian foreign minister stressed Canberra’s relationship with Beijing was important and it had no intention of hurting it.

U.S. Secretary of State Mike Pompeo and Defense Secretary Mark Esper held two days of talks in Washington with their Australian counterparts, who had flown around the world for the meetings despite the COVID-19 pandemic and face two weeks of quarantine on their return.

At a joint news conference on Tuesday, Pompeo praised Australia for standing up to pressure from China and said Washington and Canberra would continue to work together to reassert the rule of law in the South China Sea, where China has been pressing its claims. That has led to friction with other countries in the region and concerns about freedom of navigation.

Australian Foreign Minister Marise Payne said the United States and Australia shared a commitment to the rule of law and had reiterated their commitment to hold countries to account for breaches, such as China’s erosion of freedoms in Hong Kong.

She said the two sides had also agreed to form a working group to monitor and respond to harmful disinformation and would look at ways to expand cooperation on infectious diseases, including access to vaccines.

At the same time, she said Australia did not agree on everything with Beijing - or with the United States.

“The relationship that we have with China is important. And we have no intention of injuring it,” she said. “But nor do we intend to do things that are contrary to our interests.”

She said Australia and the United States had a shared interest in an Asia-Pacific region that was free, prosperous and secure and were broadly aligned on issues, including China.

“We don’t agree on everything though. And that’s part of a respectful relationship, is part of a relationship that has endured over 100 years of ‘mateship.’”

Payne did not elaborate on disagreements with Washington, but said Australia made its own decisions and judgments based on its national interests and security.

“We deal with China in the same way. We have a strong economic engagement, other engagement, and it works in the interests of both countries.”

Pompeo, a persistent and forceful critic of Beijing, said in a speech last week that Washington and its allies must use “more creative and assertive ways” to press China to change its ways and called it the “mission of our time.”

Pompeo also said then it may be time for “a new grouping of like-minded nations, a new alliance of democracies” for this purpose.

Pompeo has been criticized by some for the speech, given the confrontational approach the Trump administration has taken towards some traditional allies, including in Europe, over issues such as trade.

Payne declined to comment on it specifically, but said, “the Secretary’s speeches are his own, Australia’s positions are our own,” even if the countries operated on the basis of shared values.

Responding to a question, Pompeo rejected the suggestion that the administration’s approach was unworkable.

“This isn’t about picking America versus China,” he said.

“This is about choosing freedom and democracy against tyranny and authoritarian regime, and I am confident that the democracies, our transatlantic Alliance ...know precisely, which side of that debate they want to be on.”

While Washington is Australia’s main security ally, China is its largest trading partner and Canberra has strained ties with the latter by pushing for an international inquiry into the spread of the coronavirus that first emerged in China.

Beijing has imposed dumping tariffs on barley from Australia, suspended some beef imports and warned students and tourists against traveling there, citing racism accusations.

https://uk.reuters.com/article/uk-u...uring-important-china-ties-idUKKCN24T2L2?il=0
 
Buffet said:
Trade war is a natural outcome of world order changing slowly. It's inevitable that China will overtake USA. Trade war and all other actions will simply slow it down. Only issue is that most of transitions in world order happened with wars. If we avoid war then it will be a much better for entire world.
Click to expand...

But China’s population is likely to decline whereas people are emigrating to USA bringing skills, so America will be back on top by the 2080s.
 
Robert said:
But China’s population is likely to decline whereas people are emigrating to USA bringing skills, so America will be back on top by the 2080s.
Click to expand...

US has that huge advanatge of attracting talents, but we need to avoid having Trump and similar leaders not thinking about long term benefit.
 
Robert said:
But China’s population is likely to decline whereas people are emigrating to USA bringing skills, so America will be back on top by the 2080s.
Click to expand...

Countries like China and India have huge populations, USA can't bring them all over. In any case, the brain drain is a lot easier to facilitate when relations are at least good on the surface. I could imagine that if things get much worse, you would see China barring their top people from leaving for foreign shores.
 
The Viper said:
Australia tells U.S. it has no intention of injuring important China ties

The United States and close ally Australia held high-level talks on China and agreed on the need to uphold a rules-based global order, but the Australian foreign minister stressed Canberra’s relationship with Beijing was important and it had no intention of hurting it.

U.S. Secretary of State Mike Pompeo and Defense Secretary Mark Esper held two days of talks in Washington with their Australian counterparts, who had flown around the world for the meetings despite the COVID-19 pandemic and face two weeks of quarantine on their return.

At a joint news conference on Tuesday, Pompeo praised Australia for standing up to pressure from China and said Washington and Canberra would continue to work together to reassert the rule of law in the South China Sea, where China has been pressing its claims. That has led to friction with other countries in the region and concerns about freedom of navigation.

Australian Foreign Minister Marise Payne said the United States and Australia shared a commitment to the rule of law and had reiterated their commitment to hold countries to account for breaches, such as China’s erosion of freedoms in Hong Kong.

She said the two sides had also agreed to form a working group to monitor and respond to harmful disinformation and would look at ways to expand cooperation on infectious diseases, including access to vaccines.

At the same time, she said Australia did not agree on everything with Beijing - or with the United States.

“The relationship that we have with China is important. And we have no intention of injuring it,” she said. “But nor do we intend to do things that are contrary to our interests.”

She said Australia and the United States had a shared interest in an Asia-Pacific region that was free, prosperous and secure and were broadly aligned on issues, including China.

“We don’t agree on everything though. And that’s part of a respectful relationship, is part of a relationship that has endured over 100 years of ‘mateship.’”

Payne did not elaborate on disagreements with Washington, but said Australia made its own decisions and judgments based on its national interests and security.

“We deal with China in the same way. We have a strong economic engagement, other engagement, and it works in the interests of both countries.”

Pompeo, a persistent and forceful critic of Beijing, said in a speech last week that Washington and its allies must use “more creative and assertive ways” to press China to change its ways and called it the “mission of our time.”

Pompeo also said then it may be time for “a new grouping of like-minded nations, a new alliance of democracies” for this purpose.

Pompeo has been criticized by some for the speech, given the confrontational approach the Trump administration has taken towards some traditional allies, including in Europe, over issues such as trade.

Payne declined to comment on it specifically, but said, “the Secretary’s speeches are his own, Australia’s positions are our own,” even if the countries operated on the basis of shared values.

Responding to a question, Pompeo rejected the suggestion that the administration’s approach was unworkable.

“This isn’t about picking America versus China,” he said.

“This is about choosing freedom and democracy against tyranny and authoritarian regime, and I am confident that the democracies, our transatlantic Alliance ...know precisely, which side of that debate they want to be on.”

While Washington is Australia’s main security ally, China is its largest trading partner and Canberra has strained ties with the latter by pushing for an international inquiry into the spread of the coronavirus that first emerged in China.

Beijing has imposed dumping tariffs on barley from Australia, suspended some beef imports and warned students and tourists against traveling there, citing racism accusations.

https://uk.reuters.com/article/uk-u...uring-important-china-ties-idUKKCN24T2L2?il=0
Click to expand...

Here the Indians were telling us how the Australians and the Japanese would rush to their aid.
 
Don't know why some Indian posters keep quoting me when all I see is:

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Post that Indians "were telling us" and then come to know all Indians are on the ignore list , lol.
 
U.S. steps up campaign to purge 'untrusted' Chinese apps

The Trump administration said on Wednesday it was stepping up efforts to purge “untrusted” Chinese apps from U.S. digital networks and called the Chinese-owned short-video app TikTok and messenger app WeChat “significant threats.”

U.S. Secretary of State Mike Pompeo said expanded U.S. efforts on a program it calls “Clean Network” would focus on five areas and include steps to prevent various Chinese apps, as well as Chinese telecoms companies, from accessing sensitive information on American citizens and businesses.

Pompeo’s announcement comes after U.S. President Donald Trump threatened to ban TikTok. The hugely popular video-sharing app has come under fire from U.S. lawmakers and the administration over national security concerns, amid intensified tensions between Washington and Beijing.

“With parent companies based in China, apps like TikTok, WeChat and others are significant threats to personal data of American citizens, not to mention tools for CCP (Chinese Communist Party) content censorship,” Pompeo said.

TikTok currently faces a deadline of Sept. 15 to either sell its U.S. operations to Microsoft Corp (MSFT.O) or face an outright ban.

In the run-up to Trump’s November re-election bid, U.S.-China ties are at the lowest ebb in decades. Relations are strained over the global coronavirus pandemic, China’s military buildup in the South China Sea, its increasing control over Hong Kong and treatment of Uighur Muslims, as well as Beijing’s massive trade surpluses and technological rivalry.

Pompeo said the United States was working to prevent Chinese telecoms firm Huawei Technologies Co Ltd [HWT.UL] from pre-installing or making available for download the most popular U.S. apps on its phones.

“We don’t want companies to be complicit in Huawei’s human rights abuses, or the CCP’s surveillance apparatus,” Pompeo said, without mentioning any specific U.S. companies.

Pompeo said the State Department would work with other government agencies to protect the data of U.S. citizens and American intellectual property, including COVID-19 vaccine research, by preventing access from cloud-based systems run by companies such as Alibaba (BABA.N), Baidu (BIDU.O), China Mobile, China Telecom, and Tencent (0700.HK).

Pompeo said he was joining Attorney General William Barr, Secretary of Defense Mark Esper, and Acting Homeland Security Secretary Chad Wolf in urging the U.S. telecoms regulator, the Federal Communications Commission, to terminate authorizations for China Telecom and three other companies to provide services to and from the United States.

He said the State Department was also working to ensure China could not compromise information carried by undersea cables that connect the United States to the global internet.

The United States has long been lobbying European and other allies to persuade them to cut out Huawei from their telecommunications networks. Huawei denies it spies for China and says the United States wants to frustrate its growth because no U.S. company offers the same technology at a competitive price.

Pompeo’s comments on Wednesday reflected a wider and more accelerated push by Washington to limit the access of Chinese technology companies to U.S. market and consumers and, as one U.S. official put it, to push back against a “massive campaign to steal and weaponize our data against us.”

A State Department statement said momentum for the Clean Network program was growing and more than 30 countries and territories were now “Clean Countries” and many of the world’s biggest telecommunications companies “Clean Telcos.”

It called on U.S. allies “to join the growing tide to secure our data from the CCP’s surveillance state and other malign entities.”

https://uk.reuters.com/article/us-u...to-purge-untrusted-chinese-apps-idUKKCN2512YO
 
China threatens countermeasures as Taiwan prepares for U.S. visit

BEIJING/TAIPEI (Reuters) - China on Thursday threatened to take countermeasures over a trip to Taiwan by U.S. Secretary of Health and Human Services Alex Azar, as the Chinese-claimed island geared up for its highest-level U.S. official visit in four decades.

The visit, which begins on Sunday, adds to tensions between Beijing and Washington over everything from trade and human rights to the novel coronavirus pandemic. China calls Taiwan the most sensitive and important issue in its bilateral ties with the United States.

Chinese Foreign Ministry spokesman Wang Wenbin told a daily briefing in Beijing that any attempt to deny or challenge the “one China” principle, which states that Taiwan is part of China, would end in failure.

“China will take strong countermeasures in response to the U.S. behaviour,” Wang said, referring to Azar’s visit.

While he gave no details, China last month said it would impose sanctions on Lockheed Martin for involvement in U.S. arms sales to Taiwan.

Taiwan has batted away China’s criticism, saying Beijing has no right to comment.

Washington broke off official ties with Taipei in 1979 in favour of Beijing. The Trump administration has made strengthening its support for the democratic island a priority, and boosted arms sales.

Azar, who is scheduled to meet President Tsai Ing-wen, is coming to strengthen economic and public health cooperation with Taiwan, and support Taiwan’s international role in fighting the pandemic.

Taiwan is locked out of most global agencies, such as the World Health Organization, due to the objections of China, which views the island as a Chinese province that is not entitled to any of the rights that statehood confers.

Taiwan Centres for Disease Control Deputy Director-General Chuang Jen-hsiang said Azar and members of the U.S. delegation would be tested for coronavirus before leaving for Taiwan, and again upon entry at the airport.

Only if they are negative will they be allowed in.

“They must wear masks at all times,” Chuang said.

“There are rules on where they can go,” he added, saying that Taiwan’s often-crowded night markets would not be on the list for private visits.

The members of the U.S. delegation will also have to maintain social distancing when meeting government officials, Chuang said, adding they would use dedicated elevators “to avoid any risks”.

Taiwan has won praise for its steps to control the coronavirus, including strict border quarantine controls and the widespread wearing of masks, which have won broad public support.

It has reported 477 cases of the coronavirus and seven deaths. Most cases have been imported, and only a small number of people remain in hospital or isolation.

The United States has had more coronavirus cases and deaths than any other country, and the wearing of masks has become a heated political issue, with some people objecting to what they see as an infringement of personal freedom.

https://www.reuters.com/article/us-...s-taiwan-prepares-for-u-s-visit-idUSKCN2520FL
 
Start of a new Cold war which will be fought with Data and Cyber technologies.
Well i hope Microsoft buys tik tok.. i have some holdings being an ex-employee. The stock price has been increasing steadily to my liking...
 
We make the rules, Portugal tells U.S. after China threats

LISBON (Reuters) - Portuguese leaders have criticised U.S. ambassador George Glass after he said they must choose between the United States and China or risk the consequences.

Portuguese President Marcelo Rebelo de Sousa told reporters on Monday: “In Portugal it is the representatives chosen by the Portuguese and they alone who decide on their destiny, respecting the constitution and the rights it gives them.”

Glass told the newspaper Expresso at the weekend that Portugal had to pick between its American “friends and allies” and its “economic partner” China. He described the country as a “battlefield” between Washington and Beijing.

Portugal could expect consequences related to security and defence if it choose to work with China over the United States in developments related to 5G networks and others, he said.

In response, Foreign Minister Augusto Santos Silva told Lusa news agency: “In Portugal the decision-makers are the Portuguese authorities, who decide which are Portugal’ interests”.

The three companies who dominate Portugal’s mobile phone market have already said they would not use Huawei technology in their core 5G networks, but the Portuguese government has not banned the Chinese group from supplying the infrastructure.

China looped Portugal into its Belt and Road initiative in December 2018 and in recent years Chinese companies have invested about 10 billion euros in the country, making it one of the biggest recipients of Chinese investment in Europe.

Several Portuguese companies have opened doors to Chinese investment.

State-owned China Three Gorges has a 23% stake in Portugal’s main utility EDP and last month the country’s largest builder Mota-Engil said it was close to sealing a deal to sell a 30% stake in the company to China Communications Construction Co.

https://uk.reuters.com/article/uk-p...ls-u-s-after-china-threats-idUKKBN26K37V?il=0
 
Trump and Xi join virtual Asia Pacific summit as trade spat endures

KUALA LUMPUR (Reuters) - A virtual summit of Asia Pacific leaders started on Friday with U.S. President Donald Trump and his Chinese counterpart Xi Jinping in attendance to discuss the coronavirus crisis and global economic recovery amid lingering trade differences.

The pair joined a meeting of the leaders of the 21-nation Asia-Pacific Economic Cooperation (APEC) hosted virtually by Malaysia just two weeks after Trump lost his re-election bid.

Asia Pacific leaders have called for more open and multilateral trade to support the economic recovery and warned against protectionist trade policies, with Xi saying unilateralism has added to global economic risks.

At the last APEC summit in 2018, member countries failed to agree on a joint communique for the first time in the bloc’s history as the United States and China disagreed on trade and investments.

Trump has slapped tariffs on billions of dollars worth of Chinese products, which launched a trade war between the world’s two largest economies.

In opening remarks at the leaders’ meeting, Malaysian Prime Minister Muhyiddin Yassin said the bloc’s top priority should be to reaffirm its support and commitment for a rules-based multilateral trading system.

“This is essential for our businesses, as market stability and predictability are the central pillars which ensure that trade and investment continue to flow, even during times of crisis,” Muhyiddin said.

Other leaders who joined the virtual meeting include New Zealand Prime Minister Jacinda Ardern, Japanese premier Yoshihide Suga, Russian President Vladamir Putin and Canadian Prime Minister Justin Trudeau.

https://www.reuters.com/article/us-...mmit-as-trade-spat-endures-idUSKBN2800ES?il=0
 
To everyone that has missed this Xi is in Usa right now, asking to be friends.
People who said China would challenge Us it has realized the value to work with Us, a stark contrast compared to 4 years ago.

www.reuters.com

Dining with US firms at APEC, Xi says China is ready to be a partner

China is ready to be a partner and friend of the United States, and there is plenty of room for bilateral cooperation, President Xi Jinping told American executives in San Francisco on Wednesday, as Beijing looks to reassure global business and counter his country's struggles to entice foreign...
www.reuters.com www.reuters.com

Dining with US firms at APEC, Xi says China is ready to be a partner​

 
China has slowed down for first time and XI realises the issue good on him unlike his predecessors that worked with US to make progress throughout he resisted and overestimated how world would give in.

This is good for business and world overall, US China working together is great for innovation.
 
SalimBhai said:
China needs america more than america needs China.
Click to expand...
Let’s leave this binary thought process aside both countries work well together.

They both have fast tracked innovation along with Skorea Japan Germany and Netherlands.

The manufacturing capabilities of China is unprecedented, design is still lacking but they are doing so well there too.
 
JaDed said:
Let’s leave this binary thought process aside both countries work well together.

They both have fast tracked innovation along with Skorea Japan Germany and Netherlands.

The manufacturing capabilities of China is unprecedented, design is still lacking but they are doing so well there too.
Click to expand...
The reason the Chinese president is here is to repair the relationship as he now needs usa more. I am just stating what the experts are saying.
 
SalimBhai said:
The reason the Chinese president is here is to repair the relationship as he now needs usa more. I am just stating what the experts are saying.
Click to expand...
That is true , everyone knows that although many will see as it being thr “bigger leader” but he just got his economy data and realised it’s not improving, so as to not become Japan stagnated he needs USA.
 

Avoiding trade war amid global tension​


Last week, US Treasury Secretary Janet Yellen embarked on her second official visit to China in less than a year, from April 4th to 9th. Her objective was to uphold Washington’s global dominance amidst the ongoing trade war between the two superpowers, particularly in light of the upcoming presidential elections later this year.

She sought to persuade Beijing to curb its growth, exports, and expansion plans in electronic vehicles (EVs), solar panels, batteries, and semiconductors. These technologies are essential not only for providing developing and underdeveloped nations with access to affordable and eco-friendly energy solutions but also for collective action against the escalating global climate change crisis.

However, the US views China’s initiatives in this regard as a threat to its international economic influence. It aims to persist in its policy of safeguarding American businesses, not only domestically but also globally, by advocating for free and fair competition as mandated by the rules governed by the World Trade Organisation (WTO).

President Joe Biden has rallied allies such as European nations, including the UK and Japan, as well as the Philippines and India, to exert pressure on China. The aim is to persuade Beijing to scale back its environmentally friendly export plans, instead of recognising Beijing’s positive contribution to global economic activities, accept fair competition, and foster a cooperative working relationship rather than adversarial dynamics.

According to a recent report by the global media outlet Reuters, US Treasury Secretary Yellen highlighted concerns about the global economic repercussions stemming from China’s surplus manufacturing capacity. This issue took centre stage during four days of economic meetings with Chinese officials.

In remarks to a group of about 40 representatives from the American Chamber of Commerce in Guangzhou, Yellen highlighted that China, being too large to rely solely on exports for rapid growth, would benefit from reducing its excess industrial capacity. This overcapacity puts strain on other economies, she added.

During her visit to Beijing, Chinese Premier Li Qiang conveyed to Yellen that the two countries should strive to be partners rather than adversaries, as reported by CGTN.

Li, as reported by the media outlet, expressed hope that the US would adhere to fundamental market economy norms, including fair competition and open cooperation. He unscored the importance of refraining from politicising or securitising economic and trade issues and urged a balanced, market-oriented, and global perspective on production capacity.

Chair of the Global Silk Route Research Alliance (Think Tank), Prof Engr Zamir Ahmed Awan, speaking to The Express Tribune, suggested that Yellen’s visit to China would likely have minimal immediate impact on the long-standing, complex relationship between the two nations. He speculated that changes in US leadership following the upcoming presidential election might gradually ease tensions. President Biden’s efforts to counter China’s rise, Awan noted, are largely geopolitical and often at odds with WTO regulations.

Research and Media Fellow at the China International Press Communication Centre (CIPCC), Muhammad Zamir Assadi interprets Yellen’s visit as partly driven by political motives ahead of the US presidential election.

He criticised the US for unjustifiably attempting to restrict China’s role in global growth instead of acknowledging and embracing it. Assadi stressed the importance of adhering to WTO regulations in global trade and advocated for mutual cooperation to enhance their influence in world markets.

As reported by Reuters, during the conclusion of four days of meetings aimed at urging Beijing to curb excess industrial capacity, US Treasury Secretary Janet Yellen cautioned China against allowing new industries to be overwhelmed by Chinese imports.

During a press conference, Yellen said that President Joe Biden would not permit a recurrence of the “China shock” from the early 2000s, which saw a surge of Chinese imports devastating approximately 2 million American manufacturing jobs.

At the outset of her visit, Yellen extended friendly gestures. According to AFP, the US treasury secretary and Chinese premier struck an optimistic tone on US-China cooperation, although Yellen acknowledged the necessity for candid discussions.

Yellen underscored to Li, upon her arrival in Beijing from Guangzhou, that the US-China relationship can progress only through direct and transparent communication.

In response, Li welcomed Yellen, expressing China’s sincere desire for the two nations to be partners rather than adversaries. He noted the keen interest of Chinese internet users in the details of her trip, indicating their expectation and hope for the continued improvement of China-US relations.

Awan further highlighted the enduring trade relationship between the superpowers, spanning over four decades. Initially, the US enjoyed a surplus in exports to China, holding sway in global trade dynamics.

However, China later ascended as the world’s second-largest economy, augmenting its exports to the US and bolstering global trade through a low-cost, high-quantity production model.

The US struggled to counterbalance Chinese growth, fearing Beijing’s potential dominance in both local and global economies.

President Obama initiated policy measures to address Chinese economic expansion. Subsequently, President Trump escalated tensions with heated rhetoric, yet his efforts to win the trade war, including imposing new tariffs on Chinese imports and banning Chinese tech firms on national security grounds, yielded limited success.

President Biden’s administration has intensified its political efforts by rallying allies against China, aiming to curtail its growth. China, however, remains committed to peaceful progress – the US cannot dictate its actions. Washington must recognise Beijing’s emergence as a superpower, signalling a shift from a unipolar world.

Media Fellow Assadi from CIPCC highlighted China’s contributions to combating global warming through the production of low-cost, environmentally friendly EVs, solar panels, batteries, and semiconductors. The US should acknowledge and support China’s efforts instead of obstructing them, he said.

Assadi predicts that US tactics will have minimal impact on global economic growth, given China’s expanding share, currently at 30%, which continues to boost the global economy. Additionally, China’s introduction of new productive forces, including cloud computing, big data, 5G internet, robotics, IoTs, high-end manufacturing, and AI, positions Beijing for greater influence in global trade.

The US-China trade war commenced in 2018, with the US imposing $550 billion in tariffs on Chinese imports, prompting China to retaliate with $185 billion in tariffs on US imports. This conflict has contributed to inflation and negatively affected livelihoods worldwide, resembling another Cold War scenario.

tribune.com.pk

Avoiding trade war amid global tension | The Express Tribune

Washington must recognise Beijing as a superpower – shifting from a unipolar world
tribune.com.pk tribune.com.pk
 

China and EU trade tensions risk a full trade war, European Chamber president warns​


China and Europe face a "slow motion train accident" as a rising tide of protectionism threatens to become a full trade war, the head of a European business lobby group warned on Wednesday, a day after Germany's chancellor conveyed European concerns to Beijing.

Jens Eskelund, president of the European Chamber in China, said that while some worries about trade in both countries were legitimate, there was a risk of unproductive decoupling if European and Chinese leaders did not increase dialogue.

"A train accident has not happened yet but we can see it will happen if we continue in the same direction of travel as we are today," Eskelund said in Guangzhou, at a meeting of the chamber's South China chapter.

"We need our leaders to sit down and explore the ways that we can avoid that this becomes a full-blown trade war. And I think it's getting a little bit urgent."

On Tuesday Germany's Chancellor Olaf Scholz finished a three-day tour of China with talks with Chinese President Xi Jinping in which Scholz relayed European concerns about Beijing's investment policies and pushed for improved market access.

The European Union has launched several investigations into whether Chinese manufacturers were dumping subsidised goods such as electric vehicles on its markets.

U.S. Treasury Secretary Janet Yellen also visited China earlier this month, and said on Tuesday that China's massive investments in advanced manufacturing of clean energy goods had resulted in an unfair playing field.

Eskelund said the recent high-level meetings were encouraging.

As Eskelund spoke, thousands of foreign buyers were scouting Chinese manufacturers for deals at the biannual Canton Fair, the country's largest trade show, on the banks of the city's Pearl River.

Eskelund said it was impossible to think of global supply chains without China, given its status as the world's leading manufacturer.

"What we hope to see change a little bit is that there is an understanding that China has such a vast scale in manufacturing, that just small incremental increases in manufacturing can have huge global implications."

 
EU restates readiness to launch trade war with China over cheap imports

The EU has restated its readiness to launch a trade war with China over imports of cheap electric cars, steel and cheap solar and wind technology, with Ursula von der Leyen saying the bloc will “not waver” from protecting industries and jobs after a meeting with the Chinese president, Xi Jinping, on his multi-day tour of Europe.

The European Commission chief said she was “convinced that if the competition is fair” from China, then Europe “will have thriving durable economies”.

But she said the “imbalances” caused by state support for Chinese industry leading to cut-cost products threatened jobs in Europe, and that was “a matter of great concern”.

“Europe will not waver from making tough decisions needed to protect its economy and security,” she said.

Her warning came less than two hours after a cordial meeting at the Élysée Palace between the Chinese president and Emmanuel Macron, his French counterpart.


www.theguardian.com

EU restates readiness to launch trade war with China over cheap imports

Bloc ‘will not waver’ from making tough decisions to protect economy and security, says Ursula von der Leyen
www.theguardian.com www.theguardian.com
 
Biden slaps new tariffs on Chinese imports, ratcheting trade war

President Joe Biden has slapped major new tariffs on Chinese electric vehicles, advanced batteries, solar cells, steel, aluminium and medical equipment, taking potshots at Donald Trump along the way as he embraced a strategy that’s increasing friction between the world’s two largest economies.

The Democratic president said on Tuesday that Chinese government subsidies ensure the nation’s companies do not have to turn a profit, giving them an unfair advantage in global trade.

“American workers can outwork and outcompete anyone as long as the competition is fair,” Biden said in the White House Rose Garden. “But for too long, it hasn’t been fair. For years, the Chinese government has poured state money into Chinese companies … it’s not competition, it’s cheating.”

China immediately promised retaliation. Its Ministry of Commerce said Beijing was opposed to the tariff hikes by the United States and would take measures to defend its interests.

Biden will keep tariffs put in place by his Republican predecessor Donald Trump while ratcheting up others, including a quadrupling of EV duties to more than 100 percent and doubling the duties on semiconductor tariffs to 50 percent.

The new measures affect $18bn in imported Chinese goods including steel and aluminium, semiconductors, electric vehicles, critical minerals, solar cells and cranes, the White House said. The EV figure, while headline-grabbing, may have more political than practical impact in the US, which imports very few Chinese EVs.

The US imported $427bn in goods from China in 2023 and exported $148bn to the world’s number-two economy, according to the US Census Bureau, a trade gap that has persisted for decades and become an ever more sensitive subject in Washington.

US Trade Representative Katherine Tai said the revised tariffs were justified because China was stealing US intellectual property. But Tai recommended tariff exclusions for hundreds of industrial machinery import categories from China, including 19 for solar product manufacturing equipment.


www.aljazeera.com

Biden slaps new tariffs on Chinese imports, ratcheting trade war

The US president said China’s financial support for its businesses was ‘cheating’ and not competition.
www.aljazeera.com www.aljazeera.com
 
US bars imports from 26 Chinese textile firms over suspected Uyghur forced labor

The United States blocked imports from 26 Chinese cotton traders or warehouse facilities on Thursday as part of its effort to eliminate goods made with the forced labor of Uyghur minorities from the U.S. supply chain.

The companies are the latest additions to the Uyghur Forced Labor Prevention Act Entity List that restricts the import of goods tied to what the U.S. government has characterized as an ongoing genocide of minorities in China's Xinjiang region.

U.S. officials believe Chinese authorities have established labor camps for Uyghurs and other Muslim minority groups in China's western Xinjiang region. Beijing denies any abuses.

Many of the cotton companies listed are based outside of Xinjiang but source their cotton from the region, the U.S. Department of Homeland Security said in a statement.

The designations help "responsible companies conduct due diligence so that, together, we can keep the products of forced labor out of our country," Alejandro Mayorkas, Secretary of Homeland Security, said in the statement.

A spokesperson for the Chinese embassy in Washington criticized the move. "The so-called 'Uyghur Forced Labor Prevention Act' is just an instrument of a few U.S. politicians to disrupt stability in Xinjiang and contain China's development," the spokesperson said.

Washington has restricted imports from 65 entities since the Uyghur Forced Labor Prevention Act Entity List law was passed in 2021, according to the department.


Reuters
 
US has less to lose than EU in this, EU has digital imbalance already with US and India and now manufacturing imbalance will also occur due to China easily crushing EV market of their automakers.

EU is in a lose-lose scenario.
 
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China's potential probes on EU firms following EV tariffs​


Chinese firms have asked the government to launch an anti-dumping investigation into pork imports from the European Union, as well as an anti-subsidy investigation into EU dairy, according to state media.

The move, seen as retaliation for new EU tariffs of up to 38.1% on imported Chinese elective vehicles from July, may risk escalating trade tensions.

Below are industries that may be probed by China.

Chinese firms have formally applied to the government for an anti-dumping probe into pork imports from the EU, the state-backed media Global Times said on June 13.

It is unclear which pork products would be targeted, but an analyst said a large portion of China's imports of EU pork, valued at more than $3 billion last year, are offal.

Chinese firms plan to ask authorities to open an anti-subsidy investigation into imports of some dairy products from the EU, Global Times said on June 8.

It remains unclear which products China could target. Whey powder, cream and fresh milk were the top items in the EU's 1.7 billion euros ($1.8 billion) worth of dairy exports to China last year, according to data from the European Commission's Directorate-General for Agriculture and Rural Development, which cited Eurostat.

China should hike its import tariffs on large gasoline-powered cars to 25%, a government-affiliated auto research body expert told the Global Times in May. China's current import tariff for cars is 15%.

A higher duty for cars with larger engines would hit principally German carmakers that export SUVs and sedans to China.

Beijing in January opened an anti-dumping investigation on brandy imported from the EU, a step that appears to be mainly targeted at France. Almost all European brandy exported to China is made in France.

The investigation will focus on brandy in containers of less than 200 litres (44 British gallons).

In May, Beijing launched an anti-dumping probe into POM copolymers, a type of engineering plastic, imported from the EU, United States, Japan and Taiwan.

 
US to ban Chinese tech in cars

The US is planning to ban certain hardware and software made in China and Russia from cars, trucks and buses in the US due to security risks.

Officials said they were worried that the technology in question, used for autonomous driving and to connect cars to other networks, could allow enemies to "remotely manipulate cars on American roads".

There is currently minimal use of Chinese or Russia-made software in American cars.

But Commerce Secretary Gina Raimondo said the plans were "targeted, proactive" steps to protect the US.


www.bbc.com

US to ban Chinese tech in cars

Officials say they are worried the technology could allow enemies to "remotely manipulate cars".
www.bbc.com www.bbc.com
 
Cricket Warrior said:
US to ban Chinese tech in cars

The US is planning to ban certain hardware and software made in China and Russia from cars, trucks and buses in the US due to security risks.

Officials said they were worried that the technology in question, used for autonomous driving and to connect cars to other networks, could allow enemies to "remotely manipulate cars on American roads".

There is currently minimal use of Chinese or Russia-made software in American cars.

But Commerce Secretary Gina Raimondo said the plans were "targeted, proactive" steps to protect the US.


www.bbc.com

US to ban Chinese tech in cars

Officials say they are worried the technology could allow enemies to "remotely manipulate cars".
www.bbc.com www.bbc.com
Click to expand...
I am surprised it took the USA so long to do this. China is the biggest threat USA has ever faced and will the number threat going forward for the foreseeable future. Even the soviet era and later the Russian threat pale in comparison to the threat from China.
 
Cricket Warrior said:
US to ban Chinese tech in cars

The US is planning to ban certain hardware and software made in China and Russia from cars, trucks and buses in the US due to security risks.

Officials said they were worried that the technology in question, used for autonomous driving and to connect cars to other networks, could allow enemies to "remotely manipulate cars on American roads".

There is currently minimal use of Chinese or Russia-made software in American cars.

But Commerce Secretary Gina Raimondo said the plans were "targeted, proactive" steps to protect the US.


www.bbc.com

US to ban Chinese tech in cars

Officials say they are worried the technology could allow enemies to "remotely manipulate cars".
www.bbc.com www.bbc.com
Click to expand...


I can see a lot of industry moving out of China to Bharat in the near future.

iPhones are already going to Bharat.

China just cannot be trusted.
 

Tech wars: Why has China banned exports of rare minerals to US?​


China has banned the export of rare but critical earth minerals used in the manufacture of important semiconductors to the United States in the latest move in an ongoing tech war between the two superpowers.

Beijing’s announcement on Tuesday came just one day after the US ramped up restrictions on the export of advanced chips to China, which affects the country’s ability to develop advanced weapons systems and artificial intelligence.

So why is a “tech war” brewing between China and the US, and why does it matter?

Why are China and the US embroiled in a ‘tech war’?

For months, the two countries have been involved in ***-for-tat export restrictions. The US hopes to cripple China’s military and artificial intelligence (AI) advances as well as hamper its ambitions to become a global leader in clean energy and other technologies.

The trade war is affecting global supply chains for chip and semiconductor manufacturers and pushing prices up.

US trade and diplomatic relations with China under President Joe Biden have declined to their lowest point in recent years, largely because of disputes about technology; China’s military growth; human rights record; what the US calls China’s aggressive actions in the region, such as its military drills in the South China Sea, which it lays claim to; and several other issues.

This week’s trade dispute comes before US President-elect Donald Trump is sworn into office in January. He also takes a hawkish stance towards China and has promised to impose even heavier sanctions on Beijing as well as a whopping 60 percent tariff on all Chinese goods.

What happened this week?

On Monday, the US triggered the latest round of tensions when it expanded export restrictions on chip-making equipment going to China and sanctioned scores of Chinese companies.

The package included restrictions on China-bound shipments of high bandwidth memory (HBM) chips, which are essential for high-end applications, including AI training; 24 additional chipmaking tools and three software tools; and chipmaking equipment made in countries such as Singapore and Malaysia.

The aim, officials said, was to slow China’s development of advanced AI and hamper its ability to produce semiconductors that are important for high-tech products.

Washington’s ban also added 140 companies to its “entity list” of firms banned from trade with US companies and firms from nations allied with the US. The affected firms are either Chinese-based or Chinese-owned businesses in Japan, South Korea and Singapore. The Shenyang-based chip-producing firm Piotech and SiCarrier, which works closely with Huawei, a Chinese tech conglomerate, are among the newly sanctioned companies.

In a statement, US National Security Adviser Jake Sullivan said the bans were necessary for “national security”.

“Washington would keep working with allies and partners to proactively and aggressively safeguard our world-leading technologies and know-how so they aren’t used to undermine our national security,” he said.

Since 2022, the Biden administration has been trying to restrict China’s ability to buy advanced US semiconductors, chip-making equipment and other technologies. This approach, named by US officials as “small yard, high fence”, was broadened using Trump-era restrictive trade and technology policies. The last round of sanctions was in October 2023.

What happened this week?
On Monday, the US triggered the latest round of tensions when it expanded export restrictions on chip-making equipment going to China and sanctioned scores of Chinese companies.

The package included restrictions on China-bound shipments of high bandwidth memory (HBM) chips, which are essential for high-end applications, including AI training; 24 additional chipmaking tools and three software tools; and chipmaking equipment made in countries such as Singapore and Malaysia.

The aim, officials said, was to slow China’s development of advanced AI and hamper its ability to produce semiconductors that are important for high-tech products.

Washington’s ban also added 140 companies to its “entity list” of firms banned from trade with US companies and firms from nations allied with the US. The affected firms are either Chinese-based or Chinese-owned businesses in Japan, South Korea and Singapore. The Shenyang-based chip-producing firm Piotech and SiCarrier, which works closely with Huawei, a Chinese tech conglomerate, are among the newly sanctioned companies.

In a statement, US National Security Adviser Jake Sullivan said the bans were necessary for “national security”.

“Washington would keep working with allies and partners to proactively and aggressively safeguard our world-leading technologies and know-how so they aren’t used to undermine our national security,” he said.

Since 2022, the Biden administration has been trying to restrict China’s ability to buy advanced US semiconductors, chip-making equipment and other technologies. This approach, named by US officials as “small yard, high fence”, was broadened using Trump-era restrictive trade and technology policies. The last round of sanctions was in October 2023.

How has China responded to the latest US restrictions and sanctions?

After the US announcement this week, officials in Beijing said they would protect their country’s “rights and interests” by imposing new regulations on exports of dual-use products (those that have both military and civilian uses).

In its announcement on Tuesday, the Chinese Ministry of Commerce said it had banned exports of key minerals like gallium, germanium and antimony to the US. These are important for manufacturing semiconductors, military equipment and for general industrial use.

The move is a broadening of restrictions already in place. In July 2023, China introduced a requirement for exporters to apply for special licences to export gallium and germanium to the US. In October 2023, Beijing also tightly regulated sales of graphite products, which are required to produce car batteries.

Super-hard materials, such as lab-grown diamonds and other synthetic materials that are used industrially, are also on China’s ban list announced this week.

New rules now also require exporters to disclose who the end users of their products are to enable Beijing to identify connections with US firms.

Chinese officials said this was necessary because the US is “abusing export controls“. They added that the continued US restrictions and bans amounted to a “malicious suppression” of China’s technological advancements.

“I want to reiterate that China firmly opposes the US overstretching the concept of national security, abuse of export control measures and illegal unilateral sanctions and long-arm jurisdiction against Chinese companies,” Lin Jian, a Chinese Ministry of Foreign Affairs spokesperson, told reporters on Tuesday.

Chinese industry associations have also condemned Washington’s sanctions, which, they said, affect global supply chains while also inflating costs for US companies.

In a statement, the China Association of Automobile Manufacturers said the US’s behaviour “violates the laws of the market and the principle of fair competition, undermines the international economic and trade order, disrupts the stability of the global industrial chain, and ultimately harms the interests of all countries”.

Why are these materials so important?

Some of the materials in question are rare earth elements that can be mined only in small quantities but are essential for the production of a wide range of weapons systems and technological products, such as semiconductors or computer chips, electric vehicles and other electronics. Chips are critical for artificial intelligence.

Gallium, for example, is a soft, silvery metal used in the production of LED screens. It is also used in more advanced products such as automobiles, solar cells and next-generation weapons.

Antimony is used in the production of batteries as well as of military equipment, night-vision goggles and artillery shells.

Minerals like these are difficult to mine because they can be polluting and toxic. China is currently the largest global producer of gallium, producing 600 tonnes in 2022 and controlling 98 percent of gallium exports. China is also one of the world’s biggest semiconductor producers.

The US obtains about half its supply of gallium and germanium directly from China, according to the US Geological Survey, and has not produced gallium of its own in years because those minerals don’t occur in high deposits in the country. In March, a US mining company said it had discovered high-grade gallium deposits in the state of Montana.

The US also relies heavily on exports from Taiwan, which produces more than 60 percent of the world’s most advanced chips. The autonomous island is also at the centre of US-China tensions: Beijing claims Taiwan as part of its territory, but the US backs Taiwan’s self-declared independence.

What will happen next?

Experts said the US under Trump is likely to impose more restrictions on chips and related technologies, hoping to derail Beijing’s ambitions.

However, companies manufacturing or relying on semiconductors globally could pay the price because export restrictions are causing prices to rise. The price of antimony more than doubled this year to more than $25,000 per tonne, for example. Gallium, germanium and graphite have also become more costly.

www.aljazeera.com

Tech wars: Why has China banned exports of rare minerals to US?

The two countries have imposed ***-for-tat export restrictions for months to hamper technological and AI development.
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US says tech giant Tencent works with Chinese military

The US has added several Chinese technology companies, including gaming and social media giant Tencent and battery maker CATL, to a list of businesses it says work with China's military.

The list serves as a warning to American companies and organisations about the risks of doing business with Chinese entities.

While inclusion does not mean an immediate ban, it can add pressure on the US Treasury Department to sanction the firms.

Tencent and CATL have denied involvement with the Chinese military, while Beijing said the decision amounted to "unreasonable suppression of Chinese companies".

The Department of Defense's (DOD) list of Chinese military companies, which is formally known as the Section 1260H list, is updated annually and now includes 134 firms.

It is part of Washington's approach to counteracting what it sees as Beijing's efforts to increase its military power by using technology from Chinese firms, universities and research programmes.

In response to the latest announcement Tencent, which owns the messaging app WeChat, said its inclusion on the list was "clearly a mistake."

"We are not a military company or supplier. Unlike sanctions or export controls, this listing has no impact on our business," a spokesperson for the company told the BBC.

CATL also called the designation a mistake and said it "is not engaged in any military related activities."

"The US's practices violate the market competition principles and international economic and trade rules that it has always advocated, and undermine the confidence of foreign companies in investing and operating in the United States," said Liu Pengyu, a spokesperson for the Chinese embassy in Washington.

The Pentagon had come under pressure from US lawmakers to add some of the firms, including CATL, to the list.

This pressure came as US car making giant Ford said it would invest $2bn (£1.6bn) to build a battery plant in Michigan. It has said it plans to license technology from CATL.

Ford did not immediately respond to a BBC request for comment.

The announcement comes as relations between the world's two biggest economies remain strained.

Meanwhile, President-elect Donald Trump, who has previously taken a tough stance against Beijing, is due to return to the White House this month.

The Pentagon was sued last last year by drone maker DJI and Lidar-maker Hesai Technologies over their inclusion on the list. They both remain on the updated list.

Tencent shares were trading around 7% lower in Hong Kong on Tuesday. CATL was down by about 4%.

BBC
 
China Says Hopes For Cooperation With US On Trade Under Trump

China said Tuesday it hoped to cooperate with the United States to resolve trade issues, as President Donald Trump began his second term after threatening to impose biting tariffs on the Asian giant.

Beijing is "willing to strengthen dialogue and communication with the United States, properly manage differences and expand mutually beneficial cooperation," foreign ministry spokesman Guo Jiakun said in response to a question about potential new levies under Trump.

"It is hoped that the United States will work with China to jointly promote the stable, healthy and sustainable development of China-US economic and trade relations," Guo said at a regular press briefing in Beijing.

He acknowledged "differences and frictions" between Beijing and Washington but said "the common interests and space for cooperation between the two countries are huge".

"The two sides can strengthen dialogue and consultation in this regard," he added.

China and the US are the world's two largest economies but have had a tumultuous trade relationship in recent years.

Trump imposed tariffs on imports from China during his first term, citing alleged unfair practices by Beijing.

His successor Joe Biden kept up the pressure with sweeping rules aimed at restricting Chinese access to high-tech chips.

And Trump threatened to go even further during his election campaign, vowing even higher tariffs if he won another term in office.

China's economy remains heavily reliant on exports to drive growth despite official efforts to raise domestic consumption.

Asked about the future of the Chinese-owned app TikTok -- which has secured a 75-day grace period but may yet be effectively banned from operating in the United States -- Guo said Beijing hoped Washington would provide a fair business environment for Chinese firms.

He also hit back at Trump's order to reinstate Cuba on a list of state sponsors of terrorism, days after Biden removed the island nation from the register.

China and Cuba are longtime socialist allies, and Beijing has consistently opposed Washington's decades-long economic blockade of Havana.

Guo said Cuba's re-addition to the list "fully reveals the hegemonic, high-handed and bullying face of the United States".

"Within a few days, Cuba was off the so-called list, then back on it, as if it were a trifling matter", Guo said, adding that the move cast doubt on Washington's "credibility".

AFP
 
Trump considers 10% tariff on China from February

US President Donald Trump has said he is considering imposing a 10% tariff on imports of Chinese-made goods as soon as 1 February.

Trump said discussions with his administration were "based on the fact that they're sending fentanyl to Mexico and Canada".

He called China an "abuser". China responded saying trade wars have "no winners".

Despite the aggressive talk, the 10% tariff would be much less than the 60% tariff Trump mentioned on the campaign trail.

Trump's comments followed his threats to levy import taxes of 25% on Mexico and Canada, accusing them of allowing undocumented migrants and drugs to come into the US.

In a press conference in Washington on Tuesday, Trump also vowed to hit the European Union with tariffs.

He said the EU "treat us very, very badly".

"So they're going to be in for tariffs. It's the only way you're going to get back. It's the only way you're going to get fairness."

China's foreign ministry spokeswoman Mao Ning responded to Trump's threats by promising to "safeguard its national interests".

"We have always believed that trade wars and tariff wars have no winners," she added.

Shortly after he was sworn in on Monday, the new president also instructed federal agencies to conduct a review of existing trade deals and identify unfair practices by US trading partners.

Meanwhile, a top Chinese official spoke out against protectionism at the World Economic Forum in Davos.

China's Vice Premier, Ding Xuexiang, called for a "win-win" solution to trade disputes without mentioning the US.

The Canadian Prime Minister Justin Trudeau has promised to fight back.

"If the [US] president does choose to proceed with tariffs, Canada will respond - and everything is on the table," Trudeau said.

Ottawa is preparing counter-tariffs in response to the threat, reportedly worth billions of dollars.

Canada, China and Mexico are the top US trading partners.

Tariffs are an important part of Trump's economic plans. The president believes they can boost growth, protect jobs and raise tax revenue.

But many economists say such measures could lead to higher prices for Americans and harm companies hit by foreign retaliation.

BBC
 
Trump sows uncertainty - and Xi Jinping sees an opportunity

If China is angry at the United States for imposing an extra 10% tariff on all Chinese goods, it is doing a good job of hiding it.

Both Canada and Mexico vowed to retaliate and Canadian Prime Minister Justin Trudeau said his country "will not back down" as he announced a 25% levy on more than $100bn (£81bn) of American goods.

US President Donald Trump then agreed to temporarily pause tariffs on goods imported from both countries after reaching separate agreements with them. The tariffs on China, however, are slated to go into effect on Tuesday.

So far Beijing has held its fire.

In 2018, when Trump launched the first of many rounds of tariffs targeting Chinese imports, Beijing declared that it was "not afraid of a trade war". This time, it urged the US to talk and "meet China halfway". And reports suggest a call between Trump and Xi Jinping could take place this week.

This isn't to say that the announcement will not sting. It will, especially because the 10% levy adds to a slew of tariffs he imposed in his first term on tens of billions of dollars of goods.

And the Chinese government's muted response is partly because it doesn't want to worry its population, when many are already concerned about the sluggish economy.

But that economy is not as reliant on the US as it was back then. Beijing has strengthened its trade agreements across Africa, South America and South East Asia. It is now the largest trading partner of more than 120 countries.

The additional 10% may not offer the leverage that Trump wants, says Chong Ja Ian from Carnegie China.

"China will think that it can probably endure 10% - hence, I think Beijing is playing it cool. Because if it's not that big a deal, there's no reason to pick a fight with the Trump administration unless there's a real benefit to Beijing."

Xi's 'win-win' as America retreats

President Xi Jinping may also have another reason: he may see an opportunity here.

Trump is sowing division in his own backyard, threatening to hit even the European Union (EU) with tariffs - all in his first month in office. His actions may have other US allies wondering what is in store for them.

In contrast, China will want to appear a calm, stable and perhaps more attractive global trade partner.

"Trump's America-first policy will bring challenges and threats to almost all countries in the world," says Yun Sun, director of the China programme at the Stimson Centre.

"From the perspective of US-China strategic competition, a deterioration of US leadership and credibility will benefit China. it is unlikely to turn well for China on the bilateral level, but Beijing surely will try to make lemonade..."

As a leader of the world's second-largest economy, Xi has made no secret of his ambition for China to lead an alternative world order.

Since the end of the Covid pandemic, he has travelled extensively, and he has supported major international institutions such as the World Bank and agreements such as the Paris climate accords.

Chinese state media has portrayed this as embracing countries across the world and deepening diplomatic ties.

Before that, when Trump halted US funding to the WHO in 2020, China pledged additional funds. Expectations are high that Beijing may step in to fill America's shoes again, following Washington's exit from the WHO.

The same applies for the aid freeze that is causing such chaos in countries and organisations that have long depended on US funding - China may wish to fill the gap, despite an economic downturn.

On his first day back in office, Trump froze all foreign assistance provided by the US, which is by far the world's biggest aid donor. Hundreds of foreign aid programmes delivered by USAID ground to a halt. Some have since restarted, but aid contractors describe ongoing chaos as the future of the agency hangs in the balance.

John Delury, a historian of modern China and Professor at Yonsei University in Seoul, says Trump's 'America First' doctrine could further weaken Washington's position as a global leader.

"The combination of tariffs on major trade partners and freezing of foreign assistance sends a message to the Global South and OECD alike that the US is not interested in international partnership, collaboration," he tells the BBC.

"President Xi's consistent message of 'win-win' globalisation takes on a whole new meaning as America retreats from the world."

In its bid for global governance, Beijing has been looking for a chance to upend the the American-led world order of the last 50 years - and the uncertainty of Trump 2.0 may well be it.

New alliances

"Whether it really confers Beijing a key advantage - of that I'm a little less sure," Mr Chong says.

"Many US allies and partners, especially in the Pacific, have a reason to work with Beijing, but they also have reasons to be wary. That's why we've seen Japan, South Korea, the Philippines and Australia move closer together, in part because of the apprehensions they harbour towards China."

There is "gathering momentum" for a possible trilateral relationship among Australia, Japan and South Korea, motivated by "the impact of a second Trump administration", according to The Australian Institute of International Affairs.

All three are concerned about China's assertiveness in the South China Sea, along with the Philippines. They are also worried about a possible war over the self-governed island of Taiwan - Beijing sees it as a breakaway province that will, eventually, be part of the country, and has not ruled out the use of force to achieve this.

Taiwan has long been one of the most contentious issues in US-China relations, with Beijing condemning any perceived support from Washington for Taipei.

But it may be difficult for Washington to hit back at signs of Chinese aggression when Trump repeatedly threatens to annex Canada or buy Greenland.

Most countries in the region have used a military alliance with Washington to balance their economic relationship with China.

But now, wary of Beijing and usure of the US, they could create new Asian alliances, with neither of the world's biggest powers.

Calm before the storm

Trump announced the tariffs on the weekend, as Chinese families were celebrating the New Year and inviting the God of Fortune into their homes.

Bright red lanterns currently swing over empty Beijing streets as most workers have left for their hometowns during the biggest holiday of the year.

China's response has been far more muted than Canada or Mexico's. The commerce ministry announced plans to take legal action and use the World Trade Organisation to air its grievances.

But this poses little threat to Washington. The WTO's dispute settlement system has been effectively shut down since 2019 when Donald Trump - in his first term then - blocked the appointment of judges to handle appeals.

As the holiday draws to a close and party officials return to Beijing and to work – they have decisions to make.

Officials have been encouraged in recent weeks by signs that the Trump administration may want to keep the relationship stable especially after the two leaders had what Mr Trump called "a great phone call" last month.

For now, China is remaining calm perhaps in the hope of a doing a deal with Washington to avoid further tariffs and to keep the relationship between the world's two largest economies from spiralling out of control.

But some believe this cannot last as both Republicans and Democrats have come to view China as the country's biggest foreign policy and economic threat.

"Mr Trump's unpredictability, his impulsiveness and recklessness will inevitably lead to significant shocks in the bilateral relationship," says Wu Xinbo, professor and director at the Centre for American Studies at Fudan University.

"Additionally, his team contains quite a few hawks, even extreme hawks on China. It is unavoidable that the bilateral relationship will face serious disruption over the next four years."

China is certainly concerned about its relationship with the US and the harm a trade war could do to its slowing economy.

But it will also be looking for ways to use the current political pendulum to swing the international community its way and within its sphere of influence.

BBC
 
China challenges Trump tariffs as 'discriminatory'

China has accused the US of making "unfounded and false allegations" about its role in the fentanyl trade to justify tariffs on Chinese products.

The complaint was lodged with the World Trade Organization (WTO) one day after US President Donald Trump raised border taxes on Chinese goods by 10%, a measure he said was intended to address an influx of illegal drugs.

In the filing, China said the measures were "discriminatory and protectionist" and violated trade rules.

But experts have warned that China is unlikely to secure a ruling in its favour as the panel that settles trade disputes remains unable to function. One former WTO official told the BBC it has "no possibility of succeeding".

The dispute comes as Trump's plans for tariffs - a tax he has said he wants to see imposed on all foreign shipments into the country - are causing uncertainty across the global trade landscape.

Trump has said tariffs will encourage firms to make their products in the US, repeatedly expressing concern about the size of America's trade deficit.

But his actions against China - which he has threatened to widen to include Canada, Mexico and Europe - have sparked concerns about their impact on the global economy, including in the US, as businesses respond to trade uncertainty by holding off on investments or pass on new costs to customers.

Sheertex, a Canadian tights-maker, on Wednesday announced that it was temporarily laying off 40% of its nearly 350 workers, citing the tariff questions.

US imports hit their highest on record in December as businesses responded to the threats of tariffs, racing to secure foreign-made toys, mobile phones and computers.

The value of goods brought into the US jumped 4% from November to $293.1bn (£234.4bn), the highest since records began in 1992, the Commerce Department said on Wednesday.

The rise also contributed to the widest trade deficit, or gap, between exports and imports in nearly two years.

The tariffs have also provoked political tension, including retaliation from China, which responded to Trump's move with tariffs on US goods and an anti-monopoly probe of Google, among other measures.

The speed with which China filed its complaint with the WTO is an indication of Beijing's readiness for the trade fight.

On Wednesday, Bloomberg also reported that the country's anti-monopoly regulator was preparing for a possible investigation into Apple's policies and App Store fees, hitting the company's shares.

Trump's moves - which included ordering an end of duty-free treatment for parcels worth less than $800 - will be a major "shock" to some firms, such as Shein and Temu, as they erode the ability to offer ultra-low prices, said Mark Williams, chief China economist at Capital Economics.

But he said he thought for China overall that the effects of Trump's tariffs would not be too damaging.

"For the wider Chinese economy, this is definitely manageable," he said.

WTO procedures give the US and China 60 days to resolve their dispute through consultations, at which point China has the right to request adjudication by a panel of judges.

But the final WTO panel that settles trade disputes - known as the appellate body - remains unable to function, as the US refuses to approve the appointment of new judges to the body.

The US also ignored a previous finding by the WTO that earlier tariffs on steel and aluminium that were imposed during Trump's first term were against the rules.

But Tom Graham, who chaired the WTO's appellate body in 2016 and 2019, told the BBC it would "probably be a year" before there is a decision from the first stage of Beijing's complaint and it has little chance of progressing further.

"It may be a strong case, the way the WTO dispute settlement system used to work, but it has no possibility of succeeding here ultimately," he said.

Jeff Moon, who worked on China trade policy for President Barack Obama, told the BBC that he expected any initial WTO decision to support China's position.

These cases typically take years to be resolved, however, and because the appeals process has been paralysed, "a final decision will never be issued".

The former Assistant US Trade Representative for China Affairs added that Beijing needed to file the case to support its frequently stated position that it is the US that undermines the rules-based trading system and the relationship between the two countries.

China ranked as the county with the biggest deficit in goods in December, sending $25.3bn more into the US than it purchased.

The European Union, a target of Trump's tariff threats, had the second largest gap.

By contrast, the US enjoyed a small surplus of $2.3bn in goods trade with the UK.

Overall, the trade deficit in the US, including services, rose 17% last year to a total of $918.4bn, as imports increased faster than exports.

In December, the trade deficit in goods and services was $98.4bn, the highest since March 2022, the Commerce Department said.

BBC
 
Trump says US will impose additional 10% tariff on China

Donald Trump said he planned to hit goods from China with a new 10% tariff, the latest salvo in the US president's steadily escalating trade fights.

Imports from China already face taxes at the border of at least 10%, after a Trump tariff order that went into effect earlier this month.

Trump also said on Thursday he intended to move forward with threatened 25% tariffs on imports from Canada and Mexico, which are set to come into effect on 4 March.

His comments came as officials from Mexico and Canada were in Washington for discussions aimed at heading off that plan.

Trump had announced the plans for 25% tariffs on Mexico and Canada for 4 February unless the two nations increased border security.

He paused the measures for a month at the last minute after the two countries agreed to increase border funding and talk more about how to combat drug trafficking.

On social media on Thursday, Trump wrote that he did not think enough action had been taken to address the flow of fentanyl to the US.

"Drugs are still pouring into our Country from Mexico and Canada at very high and unacceptable levels," he wrote, adding that "a large percentage" of the drugs were made in China.

Mexican President Claudia Sheinbaum, at a press conference from the country's National Palace, said in response: "As we know, [Trump] has his way of communicating."

She added: "I hope we can reach an agreement and on 4 March we can announce something else."

Canadian Prime Minister Justin Trudeau also said his country was working hard to reach a deal, warning tariffs from the US would prompt an "immediate and extremely strong response".

Trump's threats against Mexico and Canada have raised widespread alarm, as the North American economy is closely connected after decades of operating under a free trade agreement.

Leaders of the two countries have previously said they would impose retaliatory tariffs on the United States if the White House went ahead with its plans.

Tariffs are a tax collected by the government and paid for by the business bringing the goods into the country.

China, Mexico and Canada are America's top three trade partners, together accounting for more than 40% of imports into the US last year.

Economists have warned tariffs on goods from the three countries could lead to higher prices in the US on everything from iPhones to avocados.

Trump's call for an additional 10% levy on goods from China - which he said would also go into effect on Tuesday - had not been previously announced, though during his presidential campaign he backed border taxes on Chinese products of as much as 60%.

Liu Pengyu, spokesperson for the Chinese Embassy, said his country was already working with the US to address the concerns about fentanyl, and had made "visual progress" in areas such as information exchange, case cooperation and online advertisement cleanup.

"Reducing domestic drug demand and strengthening law enforcement cooperation are the fundamental solutions," he said in a statement, which warned that Trump's tariff moves were "bound to affect and undermine future counternarcotics cooperation between the two sides".

"The unilateral tariffs imposed by the US will not solve its own problems, nor will it benefit the two sides or the world."

Trump's comments, which called for drug flow to stop or be "severely limited", seemed to set the stage for Mexico and Canada to negotiate, said trade expert Christine McDaniel, a senior research fellow at the Mercatus Center at George Washington University.

On Thursday, as tariff talks intensified, two imprisoned alleged leaders of the violent Zetas cartel long sought by the US - Miguel Angel Trevino Morales and his brother Oscar - were extradited.

Mexican media said they were part of a larger group of drug lords sent from Mexico to the US - a major step in terms of US-Mexico security relations.

Ms McDaniel said Trump's demands of China were less clear, raising the likelihood that those measures will come into effect.

Trump's initial round of tariffs on China was eclipsed by his threats against Canada and Mexico. But the potential for further duties raises questions about how businesses will respond.

Ms McDaniel said she expected the hit to be felt more in China.

"It's not costless for the US, but so far it seems more costly for China," she said.

The impact of tariffs, if they go into effect, is expected to be felt more in the Canadian and Mexican economies, which count on the US as a key export market.

But analysts have warned that the threat of the levies, even if they are never imposed, is still likely to have a chilling effect on investment, including in the US.

China has already responded to the first round of tariffs from the US with its own tariffs on US products, including coal and agricultural machinery.

Trump has dismissed fears about damage to the American economy.

BBC
 
China targets 5% growth as it reels from Trump tariffs

China has set an economic growth target for this year of "around 5%" and pledged to pump billions of dollars into its ailing economy, which is now facing a trade war with the US.

Its leaders unveiled the plan as thousands of delegates attend the National People's Congress, a rubber-stamp parliament, which passes decisions already made behind closed doors.

But the week-long gathering is closely watched for clues on Beijing's policy changes - and this year is more significant than most.

President Xi Jinping had already been battling persistently low consumption, a property crisis and unemployment, before Donald Trump's new 10% levy on Chinese imports came into effect on Tuesday.

This follows the 10% tariff imposed in early February, taking the total US levy to 20%. And it hits what has been a rare bright spot for the Chinese economy: exports.

Beijing hit back almost immediately on Tuesday, just as it did last month. It announced retaliatory action that included 10%-15% tariffs on certain agriculture imports from the US. This is key because China is the biggest market for these goods, such as American corn, wheat and soybeans.

At the opening of this week's meeting, known as Two Sessions, China vowed to make domestic demand the "main engine and anchor" of its economic growth.

Beijing was able to meet its 5% target for the last two years but growth was driven by strong exports, which resulted in a nearly trillion-dollar record trade surplus.

Repeating that is going to be much harder this year.

"If the tariffs linger, Chinese exports to the US could drop by a quarter to a third," says Harry Murphy Cruise, head of China economics at Moody's Analytics.

Beijing is going to have to rely more than ever on domestic spending to achieve 5% growth - but that has been one of its biggest challenges.

The spending crunch

"Domestically, the foundation for China's sustained economic recovery and growth is not strong enough."

"Internationally, changes unseen in a century are unfolding across the world at a faster pace," Li said, as he noted the rise of protectionism around the world.

Beijing has already rolled out schemes to encourage its people to spend more, including allowing them to trade in and replace consumer goods like kitchen appliances, cars, phones and electronic devices.

The government now aims to put more money into ordinary Chinese people's pockets and help cut the country's reliance on exports and investment.

Beijing's plans include issuing 1.3 trillion yuan ($179bn; £140bn) in special treasury bonds this year to help fund its stimulus measures. Local governments will also be allowed to increase the amount of money they borrow to 4.4 trillion yuan, up from 3.9 trillion yuan, according to the annual "Work Report".

In a rare move, Beijing raised its fiscal deficit - the difference between the government's spending and revenue - by one percentage point to 4% of gross domestic product (GDP), the highest level in decades.

The hike signals Beijing's commitment to increase spending to shore up growth. It has long sought to keep the deficit at or below 3% of GDP to demonstrate fiscal discipline.

It also announced plans to create more than 12 million jobs in cities, setting a target for urban unemployment at around 5.5% for 2025. The figure stood at 5.1% last year.

The government also pledged to provide more support to high-tech industries, restore stability in the property market, and expand elderly care programmes for its ageing population.

Whether these measures will be enough to boost consumption is the key question.

Harsh pandemic-era restrictions along with a prolonged real estate crisis and a government crackdown on tech and finance companies have fuelled pessimism among Chinese people. And a weak social safety net means savings have become especially crucial in case of unexpected out-of-pocket expenses.

But China's leadership is optimistic. CPCC spokesman Liu Jieyi told reporters ahead of the session that while the economy was facing challenges such as low demand, it was "important to recognise that China's economic fundamentals are stable, there are many advantages, resilience is strong, and potential is significant".

'High quality' development

Investment in what President Xi calls "high-quality development", which covers high-tech industries from renewables to artificial intelligence (AI), is also expected to be a major focus.

The world's second-largest economy, China has long vied to become a global leader in tech, partly to reduce its reliance on the West.

State media has already touted recent examples like DeepSeek and Unitree Robotics, both of which have caught global attention, as examples of China's "technological progress".

The success of DeepSeek in particular saw an AI-driven stock rally, with analysts noting renewed interest in China among foreign investors.

A commentary in the state-run Xinhua newspaper said "China's new energy industries and overall green transition, driven by its cutting-edge technologies, will continue to be important growth drivers".

But the new US levies - which come on top of tariffs from Trump's first term - could stymie these plans, not least because they could dampen investor sentiment.

"The chaos that tariffs leave in their wake is kryptonite for investment," Mr Murphy Cruise says. "Tariffs are set to deliver a one-two punch to China's economy, landing blows to both exports and investment."

Also on Wednesday, China announced a 7.2% increase in its national defence budget, the same rate of growth as last year.

BBC
 
China says it is ready for 'any type of war' with US

China has warned the US it is ready to fight "any type" of war after hitting back against President Donald Trump's mounting trade tariffs.

The world's top two economies have edged closer to a trade war after Trump slapped more tariffs on all Chinese goods. China quickly retaliated imposing 10-15% tariffs on US farm products.

"If war is what the US wants, be it a tariff war, a trade war or any other type of war, we're ready to fight till the end," China's embassy said on X, reposting a line from a government statement on Tuesday.

It is some of the strongest rhetoric so far from China since Trump became president and comes as leaders gathered in Beijing for the annual National People's Congress.

On Wednesday, China's Premier Li Qiang announced that China would again boost its defence spending by 7.2% this year and warned that "changes unseen in a century were unfolding across the world at a faster pace." This increase was expected and matches the figure announced last year.

Leaders in Beijing are trying to send a message to people in China that they are confident the country's economy can grow, even with the threat of a trade war.

China has been keen to portray an image of being a stable, peaceful country in contrast to the US, which Beijing accuses of being embroiled in wars in the Middle East and Ukraine.

China may also hope to capitalise on Trump's actions relating to US allies such as Canada and Mexico, which have also been hit by tariffs, and will not want to ramp up the rhetoric too far to scare off potential new global partners.

The Premier's speech in Beijing on Wednesday emphasised that China would continue to open up and hoped to attract more foreign investment.

China has, in the past emphasised that it is ready to go to war. Last October, President Xi called for troops to strengthen their preparedness for war as they held military drills around the self-governing island of Taiwan. But there is a difference between military preparedness and a readiness to go to war.

The Chinese embassy in Washington's post quoted a foreign ministry statement in English from the previous day, which also accused the US of blaming China for the influx of the drug fentanyl

"The fentanyl issue is a flimsy excuse to raise US tariffs on Chinese imports," the foreign ministry spokesperson said.

"Intimidation does not scare us. Bullying does not work on us. Pressuring, coercion or threats are not the right way of dealing with China," he added.

The US-China relationship is always one of the most contentious in the world. This post on X has been widely shared and could be used by the China hawks in Trump's cabinet as evidence that Beijing is Washington's biggest foreign policy and economic threat.

Officials in Beijing had been hopeful that US–China relations under Trump could get off to a more cordial start after he invited Xi to his inauguration. Trump also said the two leaders had "a great phone call" just a few days before he entered the White House.

There were reports that the two leaders were due to have another call last month. That did not happen.

Xi had already been battling persistently low consumption, a property crisis and unemployment.

China has pledged to pump billions of dollars into its ailing economy and its leaders unveiled the plan as thousands of delegates attend the National People's Congress, a rubber-stamp parliament, which passes decisions already made behind closed doors.

China has the world's second-largest military budget at $245bn but it is far smaller than that of the US. Beijing spends 1.6% of GDP on its military, far less than the US or Russia, according to the Stockholm International Peace Research Institute.

However, analysts believe China downplays how much it spends on defence.

Follow the twists and turns of Trump's second presidential term with North America correspondent Anthony Zurcher's weekly US Politics Unspun newsletter.

BBC
 
BouncerGuy said:
China targets 5% growth as it reels from Trump tariffs

China has set an economic growth target for this year of "around 5%" and pledged to pump billions of dollars into its ailing economy, which is now facing a trade war with the US.

Its leaders unveiled the plan as thousands of delegates attend the National People's Congress, a rubber-stamp parliament, which passes decisions already made behind closed doors.

But the week-long gathering is closely watched for clues on Beijing's policy changes - and this year is more significant than most.

President Xi Jinping had already been battling persistently low consumption, a property crisis and unemployment, before Donald Trump's new 10% levy on Chinese imports came into effect on Tuesday.

This follows the 10% tariff imposed in early February, taking the total US levy to 20%. And it hits what has been a rare bright spot for the Chinese economy: exports.

Beijing hit back almost immediately on Tuesday, just as it did last month. It announced retaliatory action that included 10%-15% tariffs on certain agriculture imports from the US. This is key because China is the biggest market for these goods, such as American corn, wheat and soybeans.

At the opening of this week's meeting, known as Two Sessions, China vowed to make domestic demand the "main engine and anchor" of its economic growth.

Beijing was able to meet its 5% target for the last two years but growth was driven by strong exports, which resulted in a nearly trillion-dollar record trade surplus.

Repeating that is going to be much harder this year.

"If the tariffs linger, Chinese exports to the US could drop by a quarter to a third," says Harry Murphy Cruise, head of China economics at Moody's Analytics.

Beijing is going to have to rely more than ever on domestic spending to achieve 5% growth - but that has been one of its biggest challenges.

The spending crunch

"Domestically, the foundation for China's sustained economic recovery and growth is not strong enough."

"Internationally, changes unseen in a century are unfolding across the world at a faster pace," Li said, as he noted the rise of protectionism around the world.

Beijing has already rolled out schemes to encourage its people to spend more, including allowing them to trade in and replace consumer goods like kitchen appliances, cars, phones and electronic devices.

The government now aims to put more money into ordinary Chinese people's pockets and help cut the country's reliance on exports and investment.

Beijing's plans include issuing 1.3 trillion yuan ($179bn; £140bn) in special treasury bonds this year to help fund its stimulus measures. Local governments will also be allowed to increase the amount of money they borrow to 4.4 trillion yuan, up from 3.9 trillion yuan, according to the annual "Work Report".

In a rare move, Beijing raised its fiscal deficit - the difference between the government's spending and revenue - by one percentage point to 4% of gross domestic product (GDP), the highest level in decades.

The hike signals Beijing's commitment to increase spending to shore up growth. It has long sought to keep the deficit at or below 3% of GDP to demonstrate fiscal discipline.

It also announced plans to create more than 12 million jobs in cities, setting a target for urban unemployment at around 5.5% for 2025. The figure stood at 5.1% last year.

The government also pledged to provide more support to high-tech industries, restore stability in the property market, and expand elderly care programmes for its ageing population.

Whether these measures will be enough to boost consumption is the key question.

Harsh pandemic-era restrictions along with a prolonged real estate crisis and a government crackdown on tech and finance companies have fuelled pessimism among Chinese people. And a weak social safety net means savings have become especially crucial in case of unexpected out-of-pocket expenses.

But China's leadership is optimistic. CPCC spokesman Liu Jieyi told reporters ahead of the session that while the economy was facing challenges such as low demand, it was "important to recognise that China's economic fundamentals are stable, there are many advantages, resilience is strong, and potential is significant".

'High quality' development

Investment in what President Xi calls "high-quality development", which covers high-tech industries from renewables to artificial intelligence (AI), is also expected to be a major focus.

The world's second-largest economy, China has long vied to become a global leader in tech, partly to reduce its reliance on the West.

State media has already touted recent examples like DeepSeek and Unitree Robotics, both of which have caught global attention, as examples of China's "technological progress".

The success of DeepSeek in particular saw an AI-driven stock rally, with analysts noting renewed interest in China among foreign investors.

A commentary in the state-run Xinhua newspaper said "China's new energy industries and overall green transition, driven by its cutting-edge technologies, will continue to be important growth drivers".

But the new US levies - which come on top of tariffs from Trump's first term - could stymie these plans, not least because they could dampen investor sentiment.

"The chaos that tariffs leave in their wake is kryptonite for investment," Mr Murphy Cruise says. "Tariffs are set to deliver a one-two punch to China's economy, landing blows to both exports and investment."

Also on Wednesday, China announced a 7.2% increase in its national defence budget, the same rate of growth as last year.

BBC
Click to expand...

5% growth at their economy size is MASSIVE

We are 6-7 times smaller economy and we are struggling at 6% something. China is an absolute juggernaut.

Germany is shrinking
 
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