Trump economic adviser says USA wants serious trade talks with China

The Donald Trump administration is for the first time publicly planning for a trade spat that drags into 2019 and possibly beyond

The Donald Trump administration is for the first time publicly planning for a trade spat that drags into 2019 and possibly beyond

The United States has announced fresh tariffs on $200 billion (€171 billion) of Chinese goods, spooking markets anxious about an escalating tit-for-tat trade war between the world's largest economies.

Timothy Stratford, a former assistant USA trade representative and now managing partner in law firm Covington & Burling's Beijing office, said on Tuesday on the sidelines of the World Economic Forum, in the northeastern Chinese port of Tianjin, that Beijing would not target USA businesses in China.

"While Washington extends a carrot to Beijing, it is also swinging a stick".

Jim O'Sullivan, chief economist for High-Frequency Economics, said financial markets would likely adopt a "could have been worse" reaction to the latest tariffs. "We don't have anything to announce to you today, in terms of any of the logistics of that, but, as the President has said, we are open to that and we hope that China will come to the table and address the concerns that we have raised", the official said.

The Global Times, a state-owned Chinese tabloid, said in an editorial on Monday: "We are looking forward to a more attractive counterattack and will keep increasing the pain felt by the U.S.".

Word of Trump's latest tariff plans has weighed on Wall Street since last week, with markets in a wait-and-see mode.

"China trade war, which is now seriously disrupting global supply chains", the European Union Chamber of Commerce in China said in a statement on Tuesday.

It could also do more of what it has already done.

After a public comment period, the administration said Monday that it had withdrawn some items from its preliminary list of $200 billion in Chinese imports to be taxed, including child-safety products like bicycle helmets.

TD's McCormick says trading clients shoud "stay nimble" and focus on scoring "singles and doubles rather than the big home run" with their trading.

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The fate of the military personnel is unknown, the ministry said in a statement which was carried by Russian news agencies. In addition, Russia's Tartus naval facility is based in the Latakia governorate, as well as its Khmeimim air base.

Trump kicked off his trade war with China in March, imposing higher tariffs after an investigation by Trade Representative Robert Lighthizer had found that China used foreign ownership restrictions to require tech transfers from United States to Chinese companies, as well as conducting espionage to acquire intellectual property. Trump urged Chinese leaders to "take swift action to end their country's unfair trade practices".

President Donald Trump on Monday effectively broadsided one of the world's largest trade relationships, announcing plans to proceed with tariffs on another $200 billion in United States imports of Chinese goods.

It has signalled it might target products manufactured in China that are critical to the supply chains of U.S. technology and manufacturing companies; products relatively low in value but not easily or readily available elsewhere. "That's good news. At least we did something", he said. Since April, as the trade tensions began escalating, the yuan has depreciated against the U.S. dollar by nearly 9.5 per cent.

FILE PHOTO - Traders work on the floor of the New York Stock Exchange (NYSE) in New York, U.S., September 12, 2018.

Europe's STOXX 600 had last week enjoyed its best weekly gain since July as the Turkish central bank's interest rate rise brought a broad relief rally, but the mood was less buoyant on Monday. It will rise to 25% at the end of the year.

However, some see the Dollar's days in the sun as being numbered now the November midterm elections are approaching.

"U.S. bond yields have been supported by strong US data, such as wages".

"Most of our member companies are "in China, for China" - selling goods to Chinese companies and consumers, not to Americans - and thus ultimately boosting the USA economy", Jarrett said.

According to AmCham, however, more than half of United States firms said they "have experienced a rise in non-tariff barriers [in China] in recent months", including increased inspections and slower customs clearance.

In the currency market, the yen gained slightly while the risk-sensitive Australian dollar dropped.

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