Latest news with #economicrelations
Yahoo
4 hours ago
- Business
- Yahoo
China says US is ‘provoking frictions' as tensions flare despite trade truce
China has accused the United States of 'provoking new economic and trade frictions' as it responded to US President Donald Trump's claims that Beijing had violated a trade truce agreed by the two nations last month, which paused their blistering tariff war. China was 'strictly implementing' the consensus of those trade talks, the Chinese Commerce Ministry said in a statement Monday, while blaming the US for taking steps that 'seriously undermine' the agreement. 'The United States has been unilaterally provoking new economic and trade frictions, exacerbating the uncertainty and instability of bilateral economic and trade relations,' the statement said. 'If the United States insists on its own way and continues to undermine China's interests, China will continue to take resolute and forceful measures to safeguard its legitimate rights and interests,' it added. The comments come after Trump on Friday said China had 'TOTALLY VIOLATED ITS AGREEMENT WITH US.' In a post on Truth Social, the US president said that he made a fast deal with China to 'save them from what I thought was going to be a very bad situation.' He added: 'So much for being Mr. NICE GUY!' The back and forth spotlights a ratcheting up of tensions between the US and China just weeks after the two sides reached the surprise trade truce in Geneva, which significantly dialed down the hefty tariffs that each imposed on the other in April. That agreement gave the two sides a 90-day window to hash out a broader deal, an effort that now appears imperiled as each side accuses the other of working against the spirit of that agreement. US officials have described talks as 'stalled' and suggested that the involvement of Trump and Chinese leader Xi Jinping is needed to jumpstart progress. A key point of contention has been Beijing's export controls on rare earth minerals and associated products, which were imposed as part of its retaliation against Trump's 'reciprocal' tariffs on Chinese goods. Following the talks, US officials had expected China to ease export restrictions of those minerals, which are an essential part of everything from iPhones and electric vehicles to big-ticket weapons like F-35 fighter jets and missile systems. But the restrictions haven't been lifted, causing intense displeasure inside the Trump administration and prompting a recent series of measures imposed on China, three administration officials told CNN last week. Meanwhile, Beijing accused the US last month of 'undermining' the consensus reached in Geneva, after Washington warned companies against using AI chips made by its national tech champion Huawei. In a further escalation of tensions, the US then last week also moved to limit critical technology sales to China and restrict the number of Chinese students studying in the US –spotlighting how the scope of their competition is much broader than just trade. In the Monday statement, China's Commerce Ministry hit out at these measures, saying the US has 'successively introduced a number of discriminatory restrictive measures against China after the Geneva Economic and Trade Talks, including issuing AI chip export control guidelines, stopping the sale of chip design software to China, and announcing the revocation of Chinese student visas.' Beijing, as well as other Asian capitals, is also feeling the pressure of trade frictions at home. China's manufacturing activity shrank for a second month in May, an official survey showed on Saturday. Tariffs imposed this year on Chinese goods entering the US, its largest export market, currently stand at 30%, not including any pre-existing duties. Trump administration officials have homed in on China's controls on exports of rare earths in their assessments of China's compliance with the agreement reached in Geneva. The deal saw the two sides dial back during the 90-day grace period mutual tariffs that had soared to well over 100%. It also included an agreement from China to 'suspend or remove' non-tariff countermeasures taken against the US since April 2. China on April 4 imposed export controls on seven rare earth minerals and associated products in what was seen as a retaliation against Trump's duties on its goods. Its export control regime does not ban exports outright but requires government approval for each shipment regardless of destination, enabling greater control over a supply chain that China has come to dominate globally. That system appeared to remain in place last month following the talks, CNN reporting showed. During an interview that aired Sunday with CBS' Face the Nation, US Treasury Secretary Scott Bessent said China was 'withholding some of the products that they agreed to release' in Geneva, referring to critical minerals. 'Maybe it's a glitch in the Chinese system, maybe it's intentional,' he added, noting that the issue would be 'ironed out' when Trump and Chinese leader Xi Jinping have a call, which Bessent said he believes will happen 'very soon.' The two leaders are known to have last spoken on January 17, days before Trump's inauguration. China has defended its export control regime, describing it last week as 'in line with international practices' and 'not targeted at specific countries.' When asked about its export controls on rare earth minerals, part of a wider category of critical minerals, during a regular press briefing Friday, a spokesperson for China's Ministry of Foreign Affairs said Beijing was 'willing to strengthen dialogue and cooperation in the field of export controls with relevant countries and regions.'
Arabian Business
a day ago
- Business
- Arabian Business
UAE and Serbia eye $351m trade relations as CEPA deal launches
The UAE and Serbia are looking to enhance economic relations as they eye $350m trade partnership following launch of a Comprehensive Economic Partnership Agreement (CEPA). The CEPA between the UAE and Serbia has officially come into force, marking a significant milestone in the deepening of economic ties between the two nations. The agreement is set to foster enhanced trade and investment flows, paving the way for collaboration across a wide variety of priority sectors. UAE and Serbia CEPA trade deal Dr. Thani bin Ahmed Al Zeyoudi, UAE Minister of State for Foreign Trade, said: 'The activation of the UAE-Serbia CEPA heralds a new chapter in our economic relations, creating new avenues for collaboration, investment and trade that will benefit both our nations. 'Through this agreement we are committed to unlocking significant opportunities that will create jobs, strengthen supply chains, and facilitate a thriving environment for businesses in both countries.' The UAE-Serbia CEPA aims to boost bilateral non-oil trade, which reached approximately $121.4m in 2024, double the level of trade when compared to 2021, with projections indicating a substantial increase in bilateral trade that will contribute $351m to UAE GDP by 2031. This growth is anticipated through the elimination and reduction of custom duties for over 96 per cent of tariff lines, thereby enhancing market access and fostering a more conducive environment for private sector collaboration. Serbia is an important partner for the United Arab Emirates, with its diverse economy and strategic location providing a vital gateway into Eastern Europe and the Balkans. The CEPA is expected to not only enhance trade but also increase private sector collaboration and promote investments in priority sectors such as renewable energy, agriculture, logistics, and technology. The UAE is Serbia's leading trading partner in the GCC, accounting for approximately 55 per cent of its total trade with the region in 2023. The bilateral relationship has been further strengthened by increasing flows of FDI, which has been directed towards high-growth sectors, enhancing shared economic interests. With the CEPA now ratified and officially in force, both nations can leverage the agreement to foster economic growth and create opportunities that will benefit their citizens. The CEPA programme is a cornerstone of the UAE's strategic growth objectives, aiming to increase total non-oil trade to $1.1tn by 2031 and doubling the size of the economy to $800bn by 2031. The UAE-Serbia CEPA is the 10th to come into force, with 27 in total having been concluded so far with countries spanning the Middle East, Africa, Southeast Asia, South America and Europe.
The National
2 days ago
- Business
- The National
Lord Mayor of London expects UK-UAE economic and investment ties to strengthen further
Alastair King, the Lord Mayor of London, is expecting economic relations between the UK and the UAE to strengthen further, with a focus on co-operation and investments in important industrial and financial sectors. These industries of 'mutual strength' include green and transition finance, financial regulation for economic growth, pension reform and financial innovation, the British embassy in the UAE said in a statement on Saturday, following Mr King's visit to the Emirates on Friday. The UK delegation, which included representatives from insurer Howden, financial institution Aberdeen Group, KPMG and FinTech firm Guavapay, won commitments for Emirati participation in City of London Corporation events such as the Net Zero Delivery Summit scheduled for June 23 and May's Global Risk Summit, it said. Mr King, who as Lord Mayor acts as an ambassador for the UK's financial and professional services sector, noted how UK investment strategies align with the 'We the UAE 2031' strategy, supporting objectives across sustainability, innovation and economic diversification. 'The UK and UAE share a commitment to innovation, investment and sustainable growth, which drives our dynamic and growing trade relationship, particularly in the financial sector,' he said. His visit came after this month's unveiling of the Mansion House Accord, an agreement between the UK government and Britain's biggest pension funds aimed at unlocking up to £50 billion ($67.3 billion) in investments for the UK's infrastructure, its businesses and overall economy. 'The accord will strengthen [the UK-UAE] relationship further … this could create valuable co-investment partnerships aligned with the Emirati's appetite for high-quality, de-risked opportunities,' Mr King said. The UK and the UAE have maintained relationships dating to 1971. Co-operation between the countries span intelligence, defence and security, through joint diplomatic initiatives at the UN on hunger and access to education, to climate change, finance and artificial intelligence regulation. Total trade in goods and services between the countries hit £24.3 billion at the end of 2024, making the UAE the UK's 19th largest trading partner and largest trading partner in the Gulf region, data from the British embassy shows. Mr King's visit yielded 'tangible outcomes, including the exploration of collaborative investment initiatives in priority sectors such as sustainability, infrastructure and financial services', the statement said. Discussions also focused on encouraging equity and debt listings on the London Stock Exchange and resolving regulatory barriers for UK financial and professional services firms seeking to establish or expand in the UAE, it added. 'Both parties committed to establishing continuing knowledge exchange in innovation, pension reform and regulatory best practices, with a joint initiative on sustainable finance to be launched in the coming months.'
The National
2 days ago
- Business
- The National
UAE-Serbia trade to accelerate as Cepa comes into effect
The Comprehensive Economic Partnership Agreement between the UAE and Serbia came into force on Saturday, as the Emirates continues to strengthen its trade relations globally. The UAE's 10th Cepa is expected to boost trade and investment flows, and remove or significantly reduce tariffs, which will all lay the foundations for enhanced co-operation across a spectrum of critical industries, the Ministry of Foreign Trade said in a statement on Saturday. The deal is also leading to projections that bilateral trade between the two nations will contribute around $351 million to the UAE's gross domestic product by 2031, it added. The UAE is Serbia's leading trading partner in the Gulf, accounting for approximately 55 per cent of its total trade with the region in 2023, according to government data. The UAE-Serbia Cepa is another "new chapter in our economic relations, creating new avenues for collaboration, investment and trade that will benefit both our nations", Dr Thani Al Zeyoudi, UAE Minister of State for Foreign Trade, said in the statement. "Through this agreement we are committed to unlocking significant opportunities that will create jobs, strengthen supply chains and facilitate a thriving environment for businesses in both countries," he added. Cepas that the UAE has already signed with nations from Colombia to Australia have contributed Dh135 billion ($36.8 billion) to the country's non-oil trade, an increase of 42 per cent compared with the previous year, Sheikh Mohammed bin Rashid, Vice President and Ruler of Dubai, said previously. The UAE's non-oil foreign trade hit a record Dh3 trillion last year − up 14.6 per cent year-on-year − as the country continues to diversify its economy and forges closer trade ties with countries around the world. The Cepa programme is key for the UAE's economic growth. The Arab world's second largest economy aims to boost its gross domestic product to $800 billion by 2030, with a target of more than $1.1 trillion in total non-oil trade by 2031. Overall, the UAE has concluded 27 deals as part of the Cepa initiative. In 2025 alone, and counting Serbia's, the UAE has signed seven new deals with Malaysia, New Zealand, Kenya, Ukraine, Central African Republic, Costa Rica and Mauritius. The UAE and EU are also in discussions for a Cepa, with both sides moving closer to an agreement, Maros Sefcovic, EU Commissioner for Trade and Economic Security, told The National this week. The UAE's Cepa with Serbia is projected to further boost non-oil trade between the two countries, which hit about $121.4 million in 2024, twice that compared to 2021 levels, according to government data. Serbia is positioned as a key partner for the UAE, with its diverse economy and strategic location providing a vital gateway into Eastern Europe and the Balkans. "The Cepa is expected to not only enhance trade but also increase private sector collaboration and promote investments in priority sectors such as renewable energy, agriculture, logistics and technology," the statement said. The bilateral relationship has been further strengthened by increasing flows of FDI [foreign direct investment], which has been directed towards high-growth sectors, enhancing shared economic interests."
Bloomberg
3 days ago
- Business
- Bloomberg
In US-China Trade War, Latin America Takes Sides With Beijing
In the tit-for-tat trade war between the US and China, Latin America is siding with Beijing. Calls for closer economic ties with China are growing louder in the region, particularly in Mexico, the US's No. 1 trade partner, according to LatAm Pulse, a monthly survey conducted by AtlasIntel for Bloomberg News and published on Friday.
