SMM4: tensions between the United States and the United States have risen again this week, the United States has once again provoked a trade dispute against ZTE, and China has hit back hard against the United States sorghum for temporary anti-dumping.
Jiang Xingchun, director of the Soochow Futures Research Institute, told the SMM: China's counterattack against the US ZTE ban is another escalation of the game between China and the United States, the situation is expanding and uncontrollable, and the Chinese stock market has fallen sharply. A sell-off in risky assets would also affect the performance of US equities, casting a shadow over the global economic recovery and putting lower pressure on commodities.
By 1800, LME metals had fallen, with nickel plunging more than 2 per cent, copper nearly 1 per cent and aluminium up 0.02 per cent.
Today, the Shanghai Composite Index plummeted, all major industry sectors floated green, Prev weak operation before noon, below 3100, afternoon decline continued to expand, the final closing down 1.41%, at 3066.8 points. The gem tumbled 2.99 per cent to 1783.74.
The United States picks trouble again, the third Battlefield of Trade War
The Commerce Department announced on Monday that it would ban US companies from selling live electronic communications components to ZTE for up to seven years. Commerce Department officials stressed that the measures against ZTE had nothing to do with other White House actions in recent weeks.
In addition, early Monday East time, Trump tweeted that China manipulates the renminbi. Analysts believe this suggests that Washington may announce an additional $100 billion in tariff rules on Chinese imports this week.
Earlier, the Wall Street Journal reported that the United States was considering launching a new 301 investigation into China, targeting restrictions on technology companies such as US cloud computing service providers doing business in China. The US move may be the third battleground in the Sino-US trade war after tariffs on steel and aluminium, which are only property rights disputes.
China strikes back strongly, Anti-dumping against US Sorghum
In response to the US ban on ZTE, China's commerce ministry said it would closely monitor developments and stood ready to take the necessary measures to safeguard the legitimate rights and interests of Chinese companies.
In the afternoon of April 17, China's Ministry of Commerce issued an announcement imposing interim anti-dumping measures on sorghum imports from the United States.
Wang Hejun, director of the Trade Relief investigation Bureau of the Ministry of Commerce, said: China has always opposed the abuse of trade relief measures and advocates conducting trade relief investigations in strict accordance with WTO rules and relevant Chinese laws. China is willing to work with the US side to narrow differences in the field of trade and jointly safeguard the overall situation of Sino-US economic and trade cooperation by expanding cooperation.
Chinese Foreign Ministry spokesman Hua Chunying said at a regular press conference on the issue of Sino-US trade friction: the US behavior is typical unilateralism and naked economic hegemony. If the US side acts recklessly and continues to move against the trend, we will stand firm and resolutely shine our swords and win this battle to defend multilateralism and free trade.
A Review of the confrontation between China and the United States
Last month, the United States imposed 25 percent and 10 percent tariffs on imports of steel and aluminum, respectively, citing "national security." countries such as the European Union, Australia, Canada, Mexico, Argentina, South Korea and Brazil were exempted. China is not on the exemption list.
On March 23, the Commerce Department issued a list of suspended concessions against US imports of steel and aluminum products and sought public opinion, proposing to impose tariffs on some products imported from the United States, involving US exports to China of about US $3 billion.
On April 4th the US released a proposed list of tariffs on Chinese products covering industries such as aerospace, information and communications technology, robotics and machinery, containing about 1300 separate tariff items. USTR said the list was aimed at China's "unfair" policy of "forcing" US companies to transfer technology and intellectual property rights to local companies.
Subsequently, China also issued tariff countermeasures against the United States, and the State Council tariff Committee decided to impose a 25 percent tariff on 106 items in 14 categories, such as soybeans, cars, and chemicals originating in the United States. The implementation date will be announced separately, depending on the implementation of the tariff imposed by the United States Government on our goods.
Shanghai Nonferrous Metals Network (SMM) Hu Ziqiang
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