From 2h ago Introduction: China’s trade surplus hits $1tn Good morning, and welcome to our rolling coverage of business, the financial markets and the world economy. China’s annual trade surplus has exceeded $1tn for the first time, as the manufacturing powerhouse shrugged off the impact of Donald Trump’s trade war. New trade data today shows that Chinese factories swelled their sales to non-US markets this year, making up from a sharp drop in shipments to the US. In November, China’s exports grew 5.9% year-on-year, customs data shows. That reverses a…
Tag: Trade policy
Jenrick rules out defecting to Reform as Farage denies report of election pact with Tories – UK politics live
From 30m ago Jenrick rules out defecting to Reform UK Some senior Reform UK figures think Nigel Farage should get Robert Jenrick to defect from the Tories, offering him the post of Reform’s candidate for chancellor, Steven Swinford from the Times reports. He also says Tory figures believe that Jenrick is unhappy because Kemi Badenoch is in a stronger position than she was, meaning that Jenrick’s chances of replacing her are fading a bit. Jenrick himself does not sound keen to go. Asked on Times Radio this morning about the…
UK retailers urge faster end to tax break on low-value imported goods
British retailers including Primark, Currys and Boohoo have criticised the government for waiting until 2029 to end a tax break on low-value imported goods that has allowed them to be undercut by the likes of Shein and Temu. The British Retail Consortium, which represents all the major retailers, said there were 1.6m parcels arriving in the UK every day, double the number from last year, and “businesses cannot afford any delay on scrapping the existing rules”. The “de minimis” rule allows overseas sellers to send goods valued at £135 or…
UK’s new business secretary Peter Kyle expected to visit Beijing in first week
The UK’s new business secretary, Peter Kyle, is expected to fly to Beijing this week as part of Keir Starmer’s continuing efforts to revitalise the UK’s trade relationship with China and provide growth to the British economy. The former science and technology secretary, who was promoted in Friday’s government reshuffle, is expected to land in China on Wednesday, picking up the schedule of his predecessor, Jonathan Reynolds, who is now the chief whip. Kyle will first travel to Washington as part of the preparations for Donald Trump’s state visit to…
World must be more wary than ever of China’s growing economic power
China is pulling every lever at its disposal to counter Donald Trump’s economic blockade, and it’s working. Trade is recovering after the massive hit from Washington’s wide-ranging tariffs on Beijing’s exports. According to data provider Macrobond and Beijing-based consultancy Gavekal Dragonomics, exports to the US were down by about $15bn (£11bn) in May, but up by half that figure to other countries that trade with the US. Exports to African countries have also risen sharply. Meanwhile, Chinese officials are poised to strike deals to deepen economic cooperation with countries ranging…
Five key takeaways from Macron’s speech to UK parliament
Emmanuel Macron, making the state visit by a European head of state to the UK since Brexit, has addressed MPs and peers in the Royal Gallery in parliament. Here are five standout moments from his speech 1. A mild dig at Brexit Nine years on from the referendum, and coded laments about Brexit are more palatable. The French president said that while the UK was no longer in the EU, it “cannot stay on the sidelines because defence and security, competitiveness, democracy – the very core of our identity –…
China issues warning to UK over terms of US trade deal
China has warned the UK over its new trade deal with the US, accusing Britain of aligning with the US in a move that could compel British companies to exclude Chinese products from their supply chains. The UK-US trade deal, signed last week, offers Britain limited relief from US tariffs on car and steel exports, but only if it complies with strict American security requirements. These conditions include scrutinising supply chains and ownership structures – a move widely interpreted as targeting Chinese involvement. Beijing argues the agreement violates the principle…
Starmer and Reeves try to ride three horses with US, EU and China trade ties
Riding two horses is hard enough, but diplomats are joking in private that Keir Starmer and Rachel Reeves are trying to ride three. At the International Monetary Fund summit in Washington this week, Reeves sought to position the UK as a beacon of free trade that is open to business with the EU, US and China. Riding those three horses is central to the government’s strategy for boosting growth and navigating the international stage at a time when old alliances are being upended and the post-cold war order redrawn. What…
Cutting business ties with China would be ‘foolish’, Reeves says amid reports of US pressure
Rachel Reeves has dismissed the idea of economically disengaging from China, amid concerns the US may put pressure on the UK to limit its deals with Beijing. The chancellor, who will discuss a trade deal with the US on a trip to Washington next week, said it would be “very foolish” for Britain to have less involvement with Xi Jinping’s administration. The Wall Street Journal reported this week that US officials would attempt to use trade deals and tariff discussions to economically isolate China. Keir Starmer spoke to Donald Trump…
Post-Brexit watchdog ‘ready’ to investigate flood of cheaper Chinese electric cars
The head of Britain’s post-Brexit trade watchdog has said it is ready to follow Brussels in launching an investigation into Chinese companies flooding the market for electric cars, but the government has not asked it to do so. Oliver Griffiths, the chief executive of the UK’s Trade Remedies Authority (TRA), which advises the government on trade defence, said it was keeping lines of communication open with ministers and had been in close contact with the car industry. “We’ll be ready to go if anyone does come to us,” he told…