Economy

China's exports fall, imports contract for fifth month

China's exports fall, imports contract for fifth month”

China's trade with the United States fell by double digits again in September amid a tariff war that threatens to tip the global economy into recession. Beijing has in the past granted waivers so that its companies can buy US farm goods without paying Chinese tariffs.

"So the goal is to avoid getting President Trump angry at them so he would have another excuse to keep raising tariffs on Chinese imports despite another trade truce getting accepted last week when China's Vice Premier Liu He met President Trump at the Oval Office in the White House last Friday", he suggests, adding that for his part, Donald Trump "appears more eager to sign a trade deal".

"The US should avoid backpedaling, as it has in the past, and instead cherish what has been achieved as a manifestation of a healthy and steady China-US relationship that serves the interests of both countries and the world", it said.

"We expect shrinking exports will likely be one of the biggest drag on China's economic growth in the coming months, as the tariff impact will be further in place, along with the pay-back effects", said Ting Lu, chief China economist at Nomura. China: From Trade War to Reciprocal Deal (2019), holds an optimistic stance about the recent developments. "Instability and uncertainty are increasing", a customs agency spokesman, Li Kuiwen, said at a news conference. The U.S. hasn't made a decision on the planned December tariffs on $156 billion in Chinese goods.

"While import growth should start to recover soon, it will take longer before export growth bottoms out", said Martin Lynge Rasmussen of Capital Economics in a report.

Today's data showed China's global exports fell 1.4% from a year earlier to $ 218.1 billion. "It is hard to take that much comfort from the latest signs of progress given that we've had plenty of apparent truces in recent months end abruptly in a sudden further escalation in trade tensions", said analysts at Capital Economics.

Increased exports to Britain and other European countries and developing markets such as Vietnam helped to offset some of the losses. Axing the distillers dried grains tariffs would allow China, the world's biggest buyer, to resume purchases from the top supplier in a trade once worth US$2 billion before falling to nearly zero. For the first nine months of the year, Chinese imports of United States goods fell 26.4% to $ 90.6 billion.

Trump has postponed raising the tariff on Tuesday for 250 billion dollars of Chinese goods.

Before then, Trump and Xi are due to attend an economic conference in Chile in mid-November. "Investors had high hopes for some form of mini-deal in the weeks before the meeting, and Friday's announcement has at least been partially, if not fully, priced in", they said.

The trade deal Trump announced, which indefinitely suspends tariffs that were supposed to kick in October 15, would only lessen the "trade drag" on the global economy by 0.1% of GDP, Oxford Economics wrote in a note just after the White House press conference, headlined "Itsy-Itsy-bitsy-teeny-weeny handshake deal with China".

Beijing and Washington have gotten closer to signing a partial trade agreement, says Tom McGregor, Beijing-based author and senior editor for China's national broadcaster CCTV.



Like this

loading...
loading...

Latest


15 October 2019
Manchester United trio set to return vs Liverpool
League leaders Liverpool are second with a wage bill of £264m per year, with champions Manchester City in third place with £260 million.

15 October 2019
Euro 2020 roundup: Ronaldo hits 700th career goal, Giroud on target again
Do you think Ronaldo is the greatest player of all time? 'I am disappointed that we didn't win, but proud of the team'. Unfortunately for him, Portugal fell, 2-1 to Ukraine .

15 October 2019
California regulator criticizes utility over power outages
The company's massive power outage measure was the largest preventive action it has ever adopted in California's history. The shutdown that began last Wednesday lasted two days and affected an estimated 2.1 million people.

15 October 2019
Gerrit Cole Pitches Astros Into ALCS
He's as tough to face as anybody", Bregman said when asked if the Astros sussed out some imperceptible advantage against Glasnow. The Astros advanced to their third straight ALCS, and are aiming for their second World Series crown in that span.

15 October 2019
Realme X2 Pro with Snapdragon 855+, 90Hz display launched in China
Connectivity options include dual-SIM support, 4G VoLTE, Wi-Fi 802.11ac, Bluetooth 5.0, USB-C, GPS, NFC and 3.5mm audio jack. For even less, you can get the 5 Pro , with a Snapdragon 712 and a similar camera setup (albeit, just a 48MP main sensor).

15 October 2019
GOP congressman wants to probe Hunter Biden's business dealings
In remarks at the White House 10 days ago, Mr Trump implored the Chinese to investigate Hunter Biden's role in the company. Former Vice President Joe Biden unveiled an ethics plan that also assails practices in the Trump administration.

15 October 2019
Rihanna Defends 'Vogue' Writer Who 'Winged' Her Interview
That has made some people on social media very upset, but Rihanna assures everyone she didn't mind. "'Aren't we all?' she says". But at the same time, there have been pregnancy rumors surrounding Rihanna even before the interview so she must be used to it.

15 October 2019
Jeremy Renner's Rep Responds to Ex-Wife Sonni Pacheco's Allegations
According to People , the couple is to attend child custody mediation, and a court hearing is set for 7 November. Renner and Pacheco quietly tied the knot in 2014, and Pacheco filed for divorce later that year.

15 October 2019
Jennifer Aniston tells Variety why 'Friends' movie will never happen
There are only a few people that the Murder Mystery star can trust and now she feels like Witherspoon is not one of them. Asked whether or no longer all six of the Site visitors would bear taken portion, Jennifer continued: 'It depends.

15 October 2019
Nazi salutes by crowd members stop England vs Bulgaria football game twice
Other spectators, dressed all in black, were captured doing Nazi salutes throughout the game. Information from Reuters and the Associated Press was used in this story .