Huawei Technologies Co. founder Ren Zhengfei shrugged off the threat the U.S. will impose even stricter sanctions against his company, saying he was confident China’s largest tech company can survive further attacks from Washington. Tighter restrictions on the sale of American technology to the telecommunications giant — something the White House is considering — will not have very significant impact on Huawei, the billionaire chief executive said.
President Donald Trump and Chinese Vice Premier Liu He signed phase one of a hard-fought trade deal Wednesday, capping a bitter 18-month battle between the world’s two largest economies that has roiled markets and slowed economic growth worldwide. “President Trump has shown us that tough negotiation as the means to the end works,” said Larry Kudlow, the White House senior economic adviser.
The US has reversed its decision to brand China a currency manipulator as the two countries prepare to wind down their trade war. The US said it made the change because China had agreed to refrain from devaluing its currency to make its own goods cheaper for foreign buyers. Washington and Beijing are expected to sign that “phase one” pact this week.
The embattled Chinese telecommunications company Huawei says “survival” is its first priority after announcing sales were hit hard by a boycott from western countries. Eric Xu, the company’s chairman, said estimated sales revenue would reach 850bn yuan for 2019 (US$121bn) – up roughly 18% from the previous year. In January this year, the company, which was banned from working with American firms over national security fears, forecast sales revenue of US$125 billion.
President Donald Trump is preparing to cancel tariffs scheduled to take effect Sunday on $160 billion worth of Chinese goods and roll back existing duties on billions of dollars of other imports as officials said the two countries are moving closer to a “Phase One” trade deal. The tariff relief appears to signal an easing of tensions between the world’s two largest economies.
The US has slapped 25% tariffs on European Union goods including single-malt Scotch whisky, French wine and Italian cheese. German coffee and EU-produced pork sausage and other pork products, other than ham, will also be hit. The Speciality Food Association said there were 14,000 US specialty food retailers that would be affected by these tariffs as well as over 20,000 other food retailers.
The United States has escalated a threatened trade fight with the EU over aircraft subsidies, by extending the list of products it could impose tariffs on. The US Trade Representative’s (USTR) office said Scotch whiskey, olives, Italian cheese and a variety of metals were being added – meaning a total of $25bn (£19.8bn) worth of EU goods were now at risk of being targeted in the dispute.
Some of the biggest names in American footwear have penned a letter to President Donald Trump, asking him to remove shoes from a proposed list of tariffs on China imports. The letter, dated May 20, was posted on the website of the Footwear Distributors and Retailers of America (FDRA), and signed by nearly 200 companies, including Nike Inc., Under Armour Inc., Foot Locker Inc., and Reebok. Trump has said that he’s looking “very strongly” at additional levies of 25% on $325 billion in imported Chinese goods, a list that includes shoes.
U.S. President Donald Trump said on Monday he would meet Chinese President Xi Jinping next month as the trade war between the world’s two largest economies intensified, sending shivers through global markets. China announced earlier it would impose higher tariffs on a range of U.S. goods, including frozen vegetables and liquefied natural gas, a move that followed Washington’s decision last week to hike its own levies on $200 billion in Chinese imports.
The US has more than doubled tariffs on $200bn (£153.7bn) worth of Chinese products, in a sharp escalation of the countries’ damaging trade war. Tariffs on affected Chinese goods have risen to 25% from 10%, and Beijing has vowed to retaliate. China says it “deeply regrets” the move and will have to take “necessary counter-measures.” Only recently, the US and China appeared to be close to ending months of trade tensions. Tariffs are taxes paid by importers on foreign goods, so the 25% tariff will be paid by American companies who bring Chinese goods into the country.