Latest news with #trade
Yahoo
33 minutes ago
- Business
- Yahoo
Japan Won't Fixate on July 9 in US Trade Talks, Akazawa Says
(Bloomberg) -- Supply Lines is a daily newsletter that tracks global trade. Sign up here. Security Concerns Hit Some of the World's 'Most Livable Cities' One Architect's Quest to Save Mumbai's Heritage From Disappearing JFK AirTrain Cuts Fares 50% This Summer to Lure Riders Off Roads NYC Congestion Toll Cuts Manhattan Gridlock by 25%, RPA Reports Taser-Maker Axon Triggers a NIMBY Backlash in its Hometown Japan won't fixate on the looming date for so-called reciprocal tariffs to go back to higher levels, Tokyo's top trade negotiator said, signaling that the Asian nation stands ready for the possibility that talks will drag on. 'To avoid any misunderstanding, I would like to confirm that I have not said at all that July 9 is the deadline for negotiations between Japan and the US,' Economic Revitalization Minister Ryosei Akazawa told reporters on Friday in Tokyo. 'Japan and the US are in regular communication through various channels, and we will continue to consider what is most effective and engage in appropriate consultations.' Akazawa deflected a question over whether Japan will seek an extension of the deadline for the across-the-board tariffs. The US is poised to return the duties to their original levels on July 9 for many nations, which would mean an increase to 24% from 10% at present for Japan. US Treasury Secretary Scott Bessent has indicated the US may grant an extension to countries that are negotiating in good faith. Asked what Japan would do if the levy returns to 24% or the US puts out a different level unilaterally past the deadline, Akazawa hinted at optimism for an extension. 'We are proceeding with the negotiations in good faith and so we understand that various matters will proceed under that premise,' he said after attending a ruling Liberal Democratic Party's tariff task force meeting. The task force didn't urge him to seek an extension of the July 9 deadline, either, Akazawa said. 'In negotiations, setting a deadline and trying to wrap things up by a certain date weaken your position,' he said. 'Once you try to wrap up negotiations, you will have no choice but to accept the outcome.' Japanese Prime Minister Shigeru Ishiba and US President Donald Trump failed to reach a deal earlier this week on the sidelines of the Group of Seven leaders' summit in Canada, despite holding three phone calls to discuss the tariffs prior to their in-person meeting. Akazawa on Friday said he's yet to schedule the next round of negotiations with his US counterparts and that Japan won't set a specific deadline for the talks. He once again described the trade discussions as similar to 'walking through fog,' a phrase he used before the G-7 gathering. The Japanese trade negotiator also hinted at some trouble in vying for time with the US when various matters including rising tensions in the Middle East compete for Washington's attention. 'It is also possible that the US side may find it difficult to allocate sufficient time domestically to make substantial progress in the Japan-US negotiations,' Akazawa said. 'This is truly the case for both sides. We are not solely doing the tariff negotiations.' Akazawa spoke a day after Ishiba met with opposition party leaders, who came away from the conference with the notion that Japan's trade surplus in autos with the US is a sticking point between the two sides. As with other nations, Japan has also been slapped with a 25% tariff on cars and related parts as well as a 50% levy on steel and aluminum. 'Both Japan and the US have national interests that can't be compromised,' Akazawa said. 'Protecting the profits of the automotive industry, which is our key industry, is in Japan's interest.' --With assistance from Akemi Terukina. (Updates with more comments from Akazawa.) Ken Griffin on Trump, Harvard and Why Novice Investors Won't Beat the Pros Is Mark Cuban the Loudmouth Billionaire that Democrats Need for 2028? The US Has More Copper Than China But No Way to Refine All of It Can 'MAMUWT' Be to Musk What 'TACO' Is to Trump? How a Tiny Middleman Could Access Two-Factor Login Codes From Tech Giants ©2025 Bloomberg L.P. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
CNA
an hour ago
- Business
- CNA
EU bars Chinese firms from major state medical equipment contracts
BRUSSELS: The European Union on Friday (Jun 20) banned Chinese firms from government medical device purchases worth more than €5 million (US$5.8 million) in retaliation for limits Beijing places on access to its own market. The latest salvo in trade tensions between the 27-nation bloc and China covers a wide range of healthcare supplies, from surgical masks to X-ray machines, that represent a market worth €150 billion in the EU. "Our aim with these measures is to level the playing field for EU businesses," the bloc's trade commissioner Maros Sefcovic said. "We remain committed to dialogue with China to resolve these issues." In response, China accused the EU of "double standards". "The EU has always boasted that it is the most open market in the world, but in reality, it has gradually moved towards protectionism," foreign ministry spokesman Guo Jiakun said at a regular press briefing. "Under the guise of fair competition (the EU) actually carries out unfair competition, which is a typical case of double standards." The European Commission said in a statement the move was in "response to China's longstanding exclusion of EU-made medical devices from Chinese government contracts". Brussels said just under 90 per cent of public procurement contracts for medical devices in China "were subject to exclusionary and discriminatory measures" against EU firms. In addition to barring Chinese firms from major state purchases, "inputs from China for successful bids" would also be limited to 50 per cent, it said. Over the last three years, Brussels and Beijing have come into conflict in a number of economic sectors, including electric cars, the rail industry, solar panels and wind turbines. The decision on medical devices comes at a time of heightened trade tensions with President Donald Trump's United States, which has imposed customs surcharges on imports from all over the world, including Europe. The EU has decided to take a tougher stance on trade in recent years, adopting a vast arsenal of legislation to better defend its businesses against unfair competition. In April 2024, the commission opened an investigation into Chinese public contracts for medical devices, the first under a new mechanism introduced by the EU in 2022 to obtain better access to overseas state purchases. China, on the other hand, accuses Europe of protectionism. After a year of negotiations, the commission, which manages trade policy on behalf of the 27 member states, said it had failed to make any progress with China.
Wall Street Journal
an hour ago
- Business
- Wall Street Journal
Almost a Third of Eurozone's U.S. Trade Surplus Is Due to U.S. Firms, Says ECB
Almost a third of the eurozone's goods trade surplus with the U.S. is accounted for by sales of products manufactured by the affiliates of American businesses, which also account for most of the eurozone's deficit in the trade in services, the European Central Bank said Friday. In its latest Economic Bulletin, economists at the central bank said that should the activities carried out by those affiliates be moved back to the U.S. in response to higher tariffs or changes to U.S. tax policy, the eurozone economy would be smaller, but the impact on employment and incomes would likely be limited.
Yahoo
an hour ago
- Business
- Yahoo
US Tariff Spike Hits China's Small Parcels, Squeezing Exporters
(Bloomberg) -- Supply Lines is a daily newsletter that tracks global trade. Sign up here. Security Concerns Hit Some of the World's 'Most Livable Cities' JFK AirTrain Cuts Fares 50% This Summer to Lure Riders Off Roads One Architect's Quest to Save Mumbai's Heritage From Disappearing NYC Congestion Toll Cuts Manhattan Gridlock by 25%, RPA Reports Taser-Maker Axon Triggers a NIMBY Backlash in its Hometown US tariff hikes on small packages from China triggered a slump in shipments last month, contributing to a huge drop in bilateral trade and roiling exporters like Shein Group Ltd. The value of small parcels sent from China to the US fell to just over $1 billion in May, the least since early 2023, according to customs data released Friday. The 40% plunge from the same month last year marks a sharp reversal for a booming trade route, coming just as the US government eliminated a long-standing tariff loophole. The policy shift is upending the business models of fast-fashion titan Shein and its rival Temu, which relied on the exemption to send goods directly to US customers free of tariffs. It's also squeezing thousands of small merchants who relied on the model as a low-cost entry into the world's largest consumer market. 'Without the exemption, it would mean tougher business to us, and much fewer options for consumers, and potentially higher prices,' said Wang Yuhao, whose Kunming-based incense company, Shantivale, recently began selling to the US. 'This is a lose-lose situation.' For the entrepreneur, the new tariffs and logistical fees of direct shipping now would mean losing $2 on every parcel. To avoid the additional cost, Wang said he has pivoted to bulk shipments to US warehouses, a move that demanded an upfront investment of more than 100,000 yuan ($13,800) for inventory and storage. The source of the disruption is the end of the 'de minimis' rule exemption for Chinese and Hong Kong shipments. Previously, packages valued under $800 could enter the US duty-free. Since May 2, those parcels face tariffs as high as 54% after the Trump administration moved to close what it deemed an unfair trade loophole. The impact on the largest players was swift. Shein raised US prices on items from dresses to kitchenware ahead of the hike to cover the costs of the higher tariffs, according to data compiled by Bloomberg News. In the week after the tariffs took effect, both Shein and Temu saw double-digit sales declines, an early sign the punitive measures are eroding their popularity. Even with the drop, the US remained the largest single destination for China's small parcels, the data showed. Malaysia followed by taking more than $700 million worth of such shipments last month. Globally, small parcel shipments rose 40% in May compared to a year ago, with Belgium, South Korea, Hong Kong and Hungary among other large destinations. Ken Griffin on Trump, Harvard and Why Novice Investors Won't Beat the Pros Is Mark Cuban the Loudmouth Billionaire that Democrats Need for 2028? The US Has More Copper Than China But No Way to Refine All of It Can 'MAMUWT' Be to Musk What 'TACO' Is to Trump? How a Tiny Middleman Could Access Two-Factor Login Codes From Tech Giants ©2025 Bloomberg L.P. Sign in to access your portfolio
Bloomberg
an hour ago
- Business
- Bloomberg
A Guide to Trade Talks, Trump-Style: Is His Unorthodox Approach Working?
One of the most ambitious international trade agreements of the past half century, the Uruguay Round was also one of the most complex. At nearly 300,000 pages of legal text, the deal took eight years to hammer out, spanning three US presidencies and leading in 1994 to the establishment of the World Trade Organization. The WTO's rules have brought more order to international commerce and a steady reduction in trade barriers that helped to boost the volume of global trade by 4% every year since the Geneva-based body was founded. To President Donald Trump, however, America's trading partners have swerved or gamed the WTO rules, maintaining many barriers to the import of US goods, creating new ones and 'ripping off' the world's biggest economy in the process. The plan for his second term in office is to ditch the old, consensual approach to trade negotiations and level the playing field through strength and coercion, imposing hefty tariffs on goods from nations that sell more to the US than they buy in return. The levies will either be a permanent feature of trade going forward, tipping the scales to favor US domestic industries, or a bargaining chip that quickly forces nations at the receiving end to lower barriers to American goods and services exports.
