Beijing, May 14 (AP/UNB) — U.S. officials listed $300 billion more of Chinese goods for possible tariff hikes while Beijing vowed Tuesday to "fight to the finish" in an escalating trade battle that is fueling fears about damage to global economic growth.
The U.S. Trade Representative's Office issued its target list after Beijing announced tariff hikes Monday on $60 billion of American goods in their spiraling dispute over Chinese technology ambitions and other irritants. Chinese authorities were reacting to President Donald Trump's surprise decision last week to impose punitive duties on $200 billion of imports from China.
"China will fight to the finish," said a foreign ministry spokesman, Geng Shuang.
"We have the determination and capacity to safeguard our interests," Geng said. "China's countermeasures have shown our determination to safeguard the multilateral trade system."
The latest U.S. list of 3,805 product categories is a step toward carrying out Trump's May 5 threat to extend punitive 25% duties to all Chinese imports, the USTR said. It said a June 17 hearing would be held before Washington decides how to proceed.
The list "covers essentially all products" not already affected by punitive tariffs, the USTR said.
It includes laptop computers, saw blades, turbine parts, tuna and garlic. The USTR noted it excludes pharmaceuticals and rare earths minerals used in electronics and batteries.
"The risk of further escalation is far from over," said Timme Spakman of ING in a report.
Also Tuesday, China's tightly controlled social media were filled with comments lambasting Washington following weeks of little online discussion of the dispute. That suggested official censors might have blocked earlier comments but started allowing those that favor Beijing to deflect potential criticism of President Xi Jinping's government.
The United States is "sucking the blood of the Chinese," said a comment left on the "Strong Country" blog of the ruling Communist Party's newspaper People's Daily. Another comment on the site said, "Why are Chinese people bullied? Because our hearts are too soft!"
Trump started raising tariffs last July over complaints China steals or pressures foreign companies to hand over technology and unfairly subsidizes businesses Beijing is trying to build into global leaders in robotics and other fields.
A stumbling block has been U.S. insistence on an enforcement mechanism with penalties to ensure Beijing carries out its commitments.
Odds of a settlement "remain high," said Mark Zandi of Moody's Analytics in a report. "But suddenly a number of other scenarios seem possible, even one in which the U.S., China and the global economy suffer a recession."
Asian stock markets fell Tuesday as the fight, with no negotiated settlement in sight, fed investor anxiety about the impact on global economic growth. China main market index lost 0.7 percent while Tokyo's benchmark declined 0.6%. Hong Kong, Australia and Taiwan fell.
But shares in Europe rebounded and the future contracts for the Dow Jones Industrial Average and S&P 500 were up 0.5% and 0.6%, respectively.
On Monday, the Dow Jones Industrial Average fell 2.4% and the tech-heavy Nasdaq lost 3.4% for its biggest drop of the year.
That came after China's Finance Ministry announced duties of 5% to 25% on about 5,200 American products, including batteries, spinach and coffee. Details of what the duties were before the increases were unclear.
Also Monday, Trump said he still was considering whether to go ahead with penalties on the additional $300 billion of Chinese goods. He told reporters, "I have not made that decision yet."
Trump warned Xi on Twitter that China "will be hurt very badly" if it doesn't agree to a trade deal. Trump wrote that Beijing "had a great deal, almost completed, & you backed out!"
The last round of negotiations ended Friday in Washington with no word of progress. Both governments indicated more talks are likely but set no date.
Trump said Monday he would meet Xi during the Group of 20 meeting of major economies six weeks from now on June 28 and 29 in Osaka, Japan.
The time before then will be "highly volatile" for financial markets, said Macquarie Bank analysts in a report.
"Both sides have the incentive to act half-crazy and unpredictable before that in order to cut a better deal," they said.
The two governments have given themselves a few more days to make peace before their latest tariff hikes hit.
Chinese tariffs announced Monday don't take effect until June 1, 2½ weeks from now. The U.S. increases apply to Chinese goods shipped starting Friday, which will take about three weeks to cross the Pacific and arrive at U.S. ports.
Tariff increases already in place have disrupted trade in American soybeans and Chinese medical equipment. That has sent shockwaves through other Asian economies that supply Chinese factories.
Beijing is running out of U.S. imports to penalize because of their lopsided trade balance. Chinese regulators have instead targeted American companies in China by slowing down the clearing of shipments through customs and the processing of business licenses.
Dhaka, May 14 (UNB) - Bangladesh has urged India to withdraw the anti-dumping duty imposed on Bangladeshi products in its market.
Commerce Minister Tipu Munshi raised the issue during his meeting with Indian counterpart Suresh Prabhu on Tuesday in New Delhi.
He also sought support for importing more apparel products from Bangladesh and more investment from India to Bangladesh to further deepen economic partnership.
The Bangladesh Commerce Minister attended a two-day event titled ‘WTO Ministerial Meeting of Developing Countries 2019’ held in New Delhi on Monday and Tuesday.
On the sidelines of the event, he met Indian Minister Prabhu, according to the Bangladesh High Commission in New Delhi.
The Indian minister assured that he will take all necessary measures to address the requests from Bangladesh.
Both the ministers expressed satisfaction over the “excellent relationship” between the two countries.
Tipu Munshi, as a freedom fighter, expressed his heartfelt gratitude for the support India extended during the 1971 Liberation War.
The Indian minister noted that India is keen to keep the momentum of the existing, the best-ever relations between the two countries.
Indian minister Prabhu inaugurated the WTO event where representatives, including ministers, from 23 developing countries took part and presented their position regarding the challenges the multilateral rule-based-trading system WTO is facing.
The Commerce Minister during his intervention sought WTO’s support to address the trade-related challenges which Bangladesh may face after graduation from LDCs club.
He stressed that the WTO needs to address those challenges in post-graduation phase in line with the General Assembly resolution adopted in 2004.
The minister said any decision, provision and agreement negotiated within the WTO must direct towards increasing trading opportunity for developing countries and LDCs.
Also, it is important that decision making process should be open, transparent and inclusive, he said.
Beijing, May 14 (AP/UNB) — Sending Wall Street into a slide, China announced higher tariffs Monday on $60 billion worth of American goods in retaliation for President Donald Trump's latest penalties on Chinese products.
Duties of 5% to 25% will take effect on June 1 on about 5,200 American products, including batteries, spinach and coffee, China's Finance Ministry said.
With investors worried about the potential economic damage on all sides from the escalating trade war, the Dow Jones Industrial Average fell 617 points, or 2.4%, and the technology-heavy Nasdaq plunged 270 points, or 3.4%, its biggest drop of the year. Earlier, stocks fell in Europe and Asia.
"We appear to be in a slow-motion train wreck, with both sides sticking to their positions," said William Reinsch, a trade analyst at the Center for Strategic and International Studies and a former U.S. trade official. "As is often the case, however, the losers will not be the negotiators or presidents, but the people."
Beijing's move came after the U.S. raised duties Friday on $200 billion of Chinese imports to 25%, up from 10%. In doing so, American officials accused China of backtracking on commitments it made in earlier negotiations. The same day, trade talks between the two countries broke up without an agreement.
On Twitter, Trump warned Xi that China "will be hurt very badly" if it doesn't agree to a trade deal. Trump tweeted that Beijing "had a great deal, almost completed, & you backed out!"
The rising trade hostilities could damage the economies of both countries. The tariff increases already in place have disrupted trade in such American products as soybeans and medical equipment and sent shockwaves through other Asian economies that supply Chinese factories.
Still, the two countries have given themselves something of an escape hatch: The higher Chinese tariffs don't kick in for 2½ weeks. The U.S. increases apply to Chinese goods shipped since Friday, and those shipments will take about three weeks to arrive at U.S. seaports and become subject to the higher charges.
Also, both countries have indicated more talks are likely. Top White House economic adviser Larry Kudlow said Sunday that China has invited U.S. Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin to Beijing. But nothing has been scheduled. And Trump said Monday that he expects to meet Chinese President Xi Jinping in late June at the G-20 summit in Osaka, Japan.
The president has repeatedly insisted that increased tariffs on Chinese goods don't hurt American consumers. But Kudlow, head of the president's National Economic Council, acknowledged over the weekend that U.S. consumers and businesses will bear some of the costs.
"Both sides will pay," he told Fox News.
In the U.S., prices of soybeans, targeted by Chinese tariffs last year, fell Monday to a 10-year low on fears of a protracted trade war.
In a statement, American Soybean Association President Davie Stevens, a soybean farmer from Clinton, Kentucky, expressed frustration that "the U.S. has been at the table with China 11 times now and still has not closed the deal. What that means for soybean growers is that we're losing. Losing a valuable market, losing stable pricing, losing an opportunity to support our families and our communities."
Trump told reporters Monday that a new program to relieve U.S. farmers' pain is "being devised right now" and predicted that they will be "very happy." The administration last year handed farmers aid worth $11 billion to offset losses from trade conflicts.
Trump seemed to suggest that the aid will make up for or partially cover the $15 billion that he said represented "the biggest purchase that China has ever made with our farmers." In fact, U.S. farm exports to China approached $26 billion in both 2012 and 2013 and came in at $19.5 billion in 2017 before his trade war began taking a toll on agricultural sales to China.
The president's allies in Congress scrambled to limit the damage to farm country.
Republican Sen. Chuck Grassley of Iowa said it is time for U.S. allies to "get in the game" to push China to the negotiating table. "China needs to get with it," he said. "You can't move these goalposts like they're moving them and expect to be respected."
The highest tariffs announced by China will apply to industrial chemicals, electronic equipment, precision machinery and hundreds of food products.
Beijing is running out of U.S. imports to penalize because of the lopsided trade balance between the world's two largest economies. Chinese regulators have instead targeted American companies in China by slowing down the clearing of shipments through customs and the processing of business licenses.
Oxford Economics calculated that the higher tariffs will reduce the U.S. economy by 0.3% in 2020, a loss of $490 per American household.
Similarly, forecasters have warned that the U.S. tariff increases could set back a Chinese recovery that had appeared to be gaining traction. Growth in the world's second-largest economy during the January-through-March period held steady at 6.4% compared with a year earlier, supported by higher government spending and bank lending.
The tensions "raise fresh doubts about this recovery path," Morgan Stanley economists said.
The latest U.S. duties could knock 0.5 percentage points off annual Chinese economic growth, and that could widen to 1 percentage point if both sides extend penalties to all of each other's exports, economists say. That would pull annual growth below 6%, raising the risk of politically dangerous job losses.
China's state media tried to reassure businesses and consumers that the ruling Communist Party has the means to respond.
"There is nothing to be afraid of," said the party newspaper People's Daily. "The U.S.-instigated trade war against China is just a hurdle in China's development process. It is no big deal."
Trump has threatened to extend tariffs to the remaining $300 billion or so in Chinese tariffs that haven't been targeted yet, but told reporters Monday: "I have not made that decision yet."
The president started raising tariffs last July over complaints China steals or pressures foreign companies to hand over technology and unfairly subsidizes Chinese businesses that are striving to become global leaders in robotics and other technology.
A stumbling block has been U.S. insistence on an enforcement mechanism with penalties to ensure Beijing carries out its commitments.
Dhaka, May 13 (UNB)- The electronics giant Walton witnessed about 150 percent growth in the sales of its air conditioners during January to April of the current year.
The sale rate of Walton air conditioners has exceeded the entire sale rate of 2018, said a press release of Walton.
Walton officials noted that under AC Exchange Offer, users of any brand air conditioner can change their used ACs with the brand new ACs of Walton at 25 percent discount and already, a large number of customers across the country exchanged their used ACs with the Walton’s new ones.
Apart from this exchange offer, customers of Walton brand 1-ton, 1.5 ton and 2 ton ACs are getting Tk 14,600, Tk 18,000 and Tk 21,600 as one year electricity bill through registering their newly purchased AC from any Walton Plaza or distributor outlet across the country under the ongoing digital campaign season 4.
In addition, customers may get sure cash vouchers up to Tk 1 lakh or free products like motorcycle, laptop, fridge, television etc.
Along with these facilities, customers are now offered instant cashback of Tk 1000 for setting their mobile caller tune by Walton AC tune and uploading the picture of installed AC of Walton in facebook.
Moreover, all the customers of Walton ACs are now enjoying free installation facility.
Walton is now manufacturing and producing 15 models of 1 ton, 1.5 ton and 2 ton split air conditioners in the local market. Prices of these ACs are between Tk 35,500 and Tk 76,400. Walton is also producing 4 ton and 5 ton cassette and ceiling type ACs.
Every air conditioner of Walton is released in the market after obtaining quality control certification from international standard testing lab NUSDAT-UTS.
Islamabad, May 13 (Xinhua/UNB) -- The Pakistani government and the International Monetary Fund (IMF) have reached an agreement on a bailout package for Pakistan, Adviser to the Pakistani prime minister on Finance, Revenue and Economic Affairs Abdul Hafeez Shaikh announced on Sunday.
Talking to the Pakistan Television Network (PTV), Shaikh said that the technical teams of Pakistan and the IMF have agreed on a bailout package for a period of three years under which Pakistan would receive 6 billion U.S. dollar assistance.
The advisor said "after months of discussions and negotiations, a staff-level agreement has been reached between Pakistan and the IMF," which still needs approval from the IMF board of directors in Washington, but it shows that effective reforms are underway in Pakistan.
A press release from IMF Mission Chief for Pakistan Ernesto Ramirez Rigo also confirmed the announcement by the Pakistani side as saying that Pakistan's economic policies could be supported by a 39-month Extended Fund Arrangement (EFF) for about 6 billion U.S. dollars.
The IMF official added that the facility aims to support Pakistan's "strategy for stronger and more inclusive growth by reducing domestic and external imbalances, removing impediments to growth, increasing transparency, and strengthening social spending."