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Tesla rushes Model 3s to China before trade war truce expires on March 1

At least three ships about the length of two football fields are slated to arrive at ports in China by the end of this month, each carrying precious cargo from Elon Musk. Tesla is loading as many Model 3 sedans as it can onto vessels destined for the People’s Republic ahead of March 1, when a trade war truce between presidents Donald Trump and Xi Jinping is expected to expire. Musk fears the two countries could ratchet tariffs back up, which would make the chief executive’s electric cars more expensive…

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Hong Kong stocks open higher as Trump hints at trade truce extension and prospect of ‘real deal’ with China

Hong Kong stocks opened higher on Wednesday, mirroring the gains seen overnight in the US after President Donald Trump hinted he may be prepared to let the looming deadline for Chinese trade negotiations slide. The benchmark S&P 500 index rose by more than 1 per cent yesterday. The Hang Seng Index was trading at 28,206.12, up 0.12 per cent or 34.79 points, on Wednesday morning. The gains in Hong Kong were in line with the benchmark indexes in Japan and Korea, where the Tokyo Nikkei 225 was up 1.33 per…

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Hong Kong stocks fall, China opens flat as investors hold fire ahead of trade war truce deadline

China’s benchmark stock indexes were trading flat on Tuesday morning after starting the Lunar New Year strong on Monday, while Hong Kong shares opened lower. Traders said that after the rebound enjoyed by both the China and Hong Kong bourses so far this year, investors had recoiled from making further big bets ahead of news from US-China trade negotiations in Beijing later this week. The Hang Seng Index opened down 0.41 per cent, or 115.2 points, at 28,028.66. “The Hang Seng Index has risen by as much as 3,000 points…

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China 

Trade war truce deadline played down by China media on eve of latest round of talks in Beijing

The March 1 deadline for trade negotiations between China and the United States is a “media topic created by the US side” and it could be extended to a later date such as May 1, said an opinion piece posted by a number of Chinese official media outlets on the eve of the latest round of trade talks between Beijing and Washington. The opinion piece, which was first published on a social media account, Taoran Notes, on WeChat on Sunday, is not a direct statement from the Chinese government, but…

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China 

Chinese traders in American cars find temporary relief in trade war truce

In the northeastern Chinese port city of Tianjin, grey market traders of American-made cars, badly stung by the US-China trade war and punitive tit-for-tat tariffs, are scrambling to take advantage of an opportunity they fear may prove only temporary. At a car “supermarket” near the city’s busy harbour, importers said they were rushing to get “Made in America” cars through customs and revving up orders after Beijing temporarily cut tariffs on US cars from January 1. The grey market trade in Tianjin is only a part of China’s car market,…

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The tenuous truce in the US-China trade war will decide whether Hong Kong’s best IPO party ever continues in the new year

On July 12, the Hong Kong stock exchange (HKEX) conducted an unprecedented ritual to start its trading day: four gigantic gongs were struck one after the other by executives of eight companies to commemorate the debut of their stocks. The eight companies, including Chinese live-streaming application Inke, had to share the four cymbal-like instruments because the centre stage at the exchange was too narrow to accommodate a ceremonial gong for each representative. Eight trading debuts on a single day was the high-water mark in a blockbuster year for Asia’s third-largest…

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China 

China buys reported US$300 million of American soybeans in second round of post-trade war truce deals

Chinese importers returned to the United States soybean market for their second round of purchases since the two countries agreed to a truce in their trade war, four traders with knowledge of the deals and the US Soybean Export Council said. The purchases on Tuesday are the latest evidence that China is making good on pledges to buy US agricultural goods as part of the 90-day trade war truce agreed to by US President Donald Trump and Chinese counterpart Xi Jinping on December 1. The renewed buying lifted benchmark soybean…

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China 

US-China trade war ‘truce’ should be used to find long-term solution to disputes, experts say

Establishing a framework for future trade relations is more important than China simply promising to buy more US goods, according to a former senior Chinese official, but US business leaders said Beijing would not be allowed to drag its feet in coming up with a deal to please Washington. At their meeting in Buenos Aires over the weekend, officials from the two countries agreed to a 90-day “truce” in their trade war. While the agreement includes a ban on any additional tariffs being imposed in the period, the White House…

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China 

China is said to be resuming imports of US liquefied gas and soybeans amid trade war truce

Chinese officials have begun preparing to restart imports of US soybeans and liquefied natural gas, the first sign confirming the claims of President Donald Trump and the White House that China had agreed to start buying some US products “immediately.” Chinese officials have been told to take necessary steps for the purchases, according to two officials with knowledge of the discussions. It wasn’t clear whether the preparations meant China would cut the retaliatory tariffs it imposed on those products, or when the purchases would happen. It is possible that Beijing…

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China 

Staying put: small China firms postpone plans to move to Vietnam after trade war truce

Chinese export manufacturers have seized on the weekend’s trade war truce to reconsider moving their operations to Vietnam, where the costs of relocation are high and rising. The 90-day stay on a rise in US tariffs on US$200 billion worth of Chinese exports – from 10 per cent to 25 per cent – has reassured companies enough to put their moving plans on hold. A 10 per cent tariff was seen as difficult but manageable for most businesses, but a 25 per cent tariff would have been the death knell…

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