USA and China trade war: everything you need to know

China plans import tariff cuts as soon as October - Bloomberg

China plans import tariff cuts as soon as October - Bloomberg

China on Wednesday called on the United States to show "respect" in their trade dispute and rejected President Donald Trump's claims that it was meddling in the USA midterm elections by taking aim at his political base.

On Monday, the Trump administration expanded tariffs on another $200 billion worth of Chinese imported goods. US farmers are being hurt by China's retaliatory tariffs on soybeans and other agricultural products. At that point, the Trump administration will have raised tariffs on virtually every good China sells the United States.

At the World Economic Forum in the northern port city of Tianjin, Chinese Premier Li Keqiang said on Wednesday that the government will continue to lower import tariffs on some goods. But, he said, that is a challenge for China, because parts of the Chinese economy are very dependent on unfair access to US markets, with the same being the case for Canada, Mexico, and Germany.

After the U.S. declared a tariff war against China, trade talks have been held off and on.

"This will not result in bringing more business back to American soil: just six percent of our member companies say this current US-China trade dispute would make them consider relocating operations back home", William Zarit, the chamber's chairman, said in a.

Chinese officials deny foreign companies are required to hand over technology.

Saying that the USA has "more bullets", Trump cautioned the world's second-largest economy to think twice before engaging in a trade war with the largest. Caught in the crossfire are companies like Cedar that depend on affordable imports and other businesses whose exports may now become prohibitively expensive in China. "And as long as it was a really small fraction of GDP, it is not a big deal, but we are running [a trade deficit of more than] $500 billion at an annual rate".

"The current economic situation is indeed not good, and that could go on longer than people think", said Jack Ma, the billionaire co-founder of Alibaba Group Holding Ltd (BABA.N).

Another Chinese state-owned newspaper, the China Daily, also said in an editorial on Wednesday the US tactics would prove to be ineffective. The U.S. dollar has already begun to rise in value as trade tensions have mounted.

Oil drops as investors fret about how trade war will affect demand
Bloomberg reported that while Saudi Arabia had no desire to push prices higher than $80, it may no longer be possible to avoid it. US West Texas Intermediate (WTI) crude was down 15 cents, or 0.22 percent, at $68.76 per barrel.

"We have a rush game with the tariff", said Rahul Kapoor, an analyst at Bloomberg Intelligence in Singapore.

He said that trade is not a weapon and should not be used for wars.

Spot freight rates from Shanghai to Los Angeles, the biggest US port, reached $2,362 per 40-foot container in the week ended September 13, the highest weekly level since December 2014, according to the Drewry World Container Index.

The State media said on Wednesday in a publication by the ruling Communist Party.

Many companies have warned that Trump's tariffs threaten to disrupt their businesses and depress their revenue. China could also retaliate against the U.S. in non-trade matters.

"They (Chinese) rebuilt their country with tremendous amounts of money pouring out of the United States".

Trump said the U.S. has become a "piggy bank" to the world "ripped off by everyone".

Moreover, owing to their strained relations with Trump, some US media outlets could turn Sino-US trade and economic ties into a US domestic political topic, further complicating Sino-US trade ties.

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