Showing posts with label Trump Tariffs. Show all posts
Showing posts with label Trump Tariffs. Show all posts

Wednesday

China tells US companies it will protect rights of foreign-funded firms

CC™ PersPective

China's Vice Commerce Minister Ling Ji told U.S. companies including Tesla and GE Healthcare that the country would always protect the rights of foreign-funded firms in China, including those from the United States.

China has been, is, and will be an "ideal, safe, and promising investment ground for foreign investors," Ling said at a roundtable meeting in Beijing on Sunday with more than 20 U.S.-funded companies.

The comments from Ling, also China’s deputy trade negotiator, suggest Beijing has no plans to penalise U.S. companies even as U.S. President Donald Trump escalates a tariff war with the rest of the world including China.

Citing Ling, China's Commerce Ministry said in a statement on Monday that it would protect the "legitimate rights and interests of foreign-funded enterprises in accordance with the law, and actively promote the resolution of foreign-funded enterprises' problems and demands."

The "abuse of tariffs on all trading partners, including China" has seriously damaged the rules-based multilateral trading system," Ling said, adding that the root of the tariff dispute "lies in the United States".

Last month, President Xi Jinping urged a gathering of multinational CEOs in Beijing to protect global industry and supply chains.

Xi said foreign firms contribute one-third of China's imports and exports and have also created more than 30 million jobs, stressing their value to the world's second-biggest economy.

REUTERS

Tuesday

Trump slams Nigeria’s import ban, says it affects American exporters

CC™ PersPective

Nigeria’s import ban on 25 different product categories impacts U.S. exporters, particularly in agriculture, pharmaceuticals, beverages, and consumer goods, the United States Trade Representative said in a statement on Monday.

According to the statement posted on its X platform, Nigeria’s restrictions on items like beef, pork, poultry, fruit juices, medicaments, and spirits limit U.S. market access and reduce export opportunities.

These policies create significant trade barriers that lead to lost revenue for U.S. businesses looking to expand in the Nigerian market.

The country’s reaction comes at a time when tensions are rising over its sweeping tariffs imposed on several countries.

Last week, the Trump administration imposed various tariffs ranging between 10 per cent and 65 per cent on different countries across the world, including Nigeria which got a 14 per cent tariff on its exports to the United States.

Nigerian stocks on Monday recorded their biggest drop in recent times following the impact of U.S President Donald Trump’s tariffs on global trade markets.

Investors lost about N659 billion at the close of trading after the Nigerian Exchange’s All Share Index (ASI) decreased by 1.23 percent, its biggest single-day decline this month.

Stocks like Oando and Honeywell Flour Mills helped to push the market lower. Oando decreased the most, from N42 to N37.80, down by N4.20 or 10 percent, while Honeywell dropped from N11.32 to N10.19, losing N1.13 or 9.98 percent.

The Nigerian Exchange Limited (NGX) All-Share Index (ASI) and equities market capitalisation decreased from the preceding day’s 105,511.89 points and N66.147 trillion, respectively, to 104,216.87 points and N65.488 billion. The Nigerian market’s return this year has decreased to +1.25 percent.

Countries such as China have since said they would retaliate from the imposed tariffs.

China vowed on Tuesday to “fight to the end” against fresh tariffs of 50 percent threatened by US President Donald Trump, further aggravating a trade war that has already wiped trillions off global markets.

The Minister of Finance, Wale Edun, on Monday said that the Federal Government will boost non-revenue as a means of cushioning the adverse effects to trade tariffs imposed on countries by President Trump.

Edun also assured that the Economic Management Team (EMT) will meet to assess the likely impact of the 14 per cent tariff on goods exported from Nigeria to the United States.

He said the EMT will afterwards, make recommendations to cushion its impact on the nation’s economy.

Edun, who was speaking at an event organised by the Ministry of Finance Incorporated on Monday, said that while the adverse effect on Nigeria will be through an oil price plunge, the government is intensifying efforts to ramp up oil production and boost non-oil revenues.

CHANNELS TV

Thursday

Trump blinks, backs off Mexico, Canada tariffs after market blowback


CC™ PersPective

US President Donald Trump on Thursday unveiled a temporary rollback to steep tariffs targeting Canada and Mexico, providing some reprieve to companies and consumers after sustained blowback on global markets.

After his sweeping tariffs of up to 25 percent on the two US neighbors took effect Tuesday, stock markets tumbled, as economists warned that blanket tariffs could weigh on US economic growth and raise inflation in the near-term.

Though the Republican president dismissed suggestions that his trade decisions were linked to market turmoil, he decided to pause the levies for trade with Canada and Mexico that falls under a regional pact.

Trump also lowered the new 25 percent levy on Canadian potash, a key element of fertilizer which US officials said their country does not produce much of.

The tariff halt — which lasts until April 2 — came one day after the White House also announced a temporary reprieve for automakers.

The moves make conditions “much more favorable for our American car manufacturers,” Trump said Thursday.

But he added that major moves would be unveiled on April 2, the date that he has promised updates on “reciprocal tariffs” to remedy practices Washington deems unfair.

At that point, Canadian and Mexican goods could still face levies.

The US president also said he would not modify tariffs for steel and aluminum, which are due to take effect next week.

– ‘Good’ relationship with Mexico –

On the tariff halt for some Mexican goods, Trump said earlier on Truth Social that he “did this as an accommodation, and out of respect for” President Claudia Sheinbaum, adding: “Our relationship has been a very good one.”

His remarks stood in sharp contrast to the simmering tensions with Canadian Prime Minister Justin Trudeau.

Trudeau said Thursday that Ottawa will remain in a trade war with Washington for “the foreseeable future” even if there are “breaks for certain sectors.”

“Our goal remains to get these tariffs, all tariffs removed,” Trudeau added.

– ‘Economic reality’ –

For Scott Lincicome, vice president of general economics at the Cato Institute, Trump’s easing of tariffs on Mexico was “a recognition of economic reality.”

The move was an acknowledgment that tariffs disrupt supply chains, that the burden of levies fall to consumers, and “that the market doesn’t like them and certainly doesn’t like the uncertainty surrounding them,” Lincicome told AFP.

Since taking office for his second term in January, Trump has made a series of tariff threats on allies and adversaries alike.

Trump justified the tariffs on Washington’s two neighbors and vital trade partners, along with China, as a way to stop illegal immigration and trafficking of the deadly drug fentanyl.

However, Canada contributes less than one percent of fentanyl to the illicit US supply, according to Canadian and US government data. It is also a relatively minor source of illegal immigration, compared to flows across the Mexican border.

China, meanwhile, has pushed back on US allegations of its role in the fentanyl supply chain, calling this a domestic issue that tariffs will not resolve.

US Treasury Secretary Scott Bessent said Thursday that he was not concerned Trump’s tariffs would be inflationary, adding that any impact on prices would likely be temporary.

Trump has referred to tariffs as a source of US government revenue, and a way to remedy trade imbalances and unfair trade practices.

The US trade deficit surged to a new record in January, according to government data released Thursday.

The overall trade gap of the world’s biggest economy ballooned 34 percent to $131.4 billion, on the back of a jump in imports for the month, said the Commerce Department.

Analysts say the US deficit was likely bolstered by gold imports, but data also suggests businesses were importing more goods to try to get ahead of potential tariffs.

VANGUARD

Wednesday

Canada retaliates, issues 25% tariffs on $155B of American goods


CC™ PersPective

Canadian Prime Minister Justin Trudeau has announced 25 percent tariffs on United States’ goods in response to President Donald Trump’s tariffs.

Trudeau said Canada is imposing tariffs on $155 billion worth of US goods from Tuesday.

Trump had signed an executive order authorizing an additional 25 percent tariff on imports from Canada and Mexico.

The US President also imposed an additional 10 percent tariff on Chinese imports.

Energy imported from Canada, including oil, natural gas and electricity, would also be taxed at an additional 10 percent.

However, Trudeau said “there is no justification for these actions,” dismissing the White House’s argument about the flow of drugs, including fentanyl, into the US.

Trudeau said Canada “will not let this unjustified decision go unanswered”.

He announced that tariffs on American goods would go into effect at 12:01 a.m. if the Trump tariffs go into effect at midnight as promised.

According to the statement, Canada will start with tariffs on $30 billion worth of American goods, followed by tariffs on $125 billion of American products in 21 days.