Special duties: Trade dispute with the US slows down China's exports
Even though China's economy is gradually becoming less dependent on exports, the US trade dispute is mounting. Imports and exports fell, the balance sheet surplus increased.
The trade conflict with the US has slowed China's exports in June. Exports fell by 1.3 per cent within one year, according to data from the customs authorities of the People's Republic. Analysts had expected a stronger decline. In May, exports had risen. China's economy is no longer as dependent on exports as in the past. However, exports still account for nearly one fifth of economic output. "Weak foreign demand will be one of the biggest challenges in the second half of the year," warned Zhang Yi, chief economist at investment bank Zhonghai Shengrong Capital Management.
China's trade surplus in US trade, which is a key issue in the conflict, expanded 11 percent to $ 29.9 billion in June compared to the previous month. US President Donald Trump accuses the People's Republic of, inter alia, dumping, technology theft and other unfair trading practices. China denies this.
China exported $ 39.3 billion worth of goods to the US in June, while imports dropped to $ 9.4 billion. China's global exports fell 1.3 percent to $ 212.8 billion Dollar, while imports from all countries shrank by 7.3 percent to $ 161.9 billion.
In the US trade dispute with China, which has been going on for a year now, US President Donald Trump was recently annoyed that China has not continued to expand its purchases of agricultural products in the US. "China lets us down," tweeted the president. From Trump's point of view, at the recent G-20 meeting in Osaka, China has agreed to buy more agricultural products in the US, which has never been confirmed by the Chinese. According to press reports, Xi Jinping makes such purchases dependent on the further course of the negotiations.
US ambassadors want to travel to Beijing for negotiations
Both sides want to negotiate again soon. US Trade Representative Robert Lighthizer and US Treasury Secretary Steven Mnuchin would travel to Beijing for negotiations in the near future, Trump's adviser Peter Navarro told CNBC. Both countries are currently in a quieter phase. In Osaka, Trump and Chinese President Xi Jinping had agreed on a ceasefire in the tariff dispute. Since then, there have been only telephone contacts between the delegations.
The world's two largest economic powers have coated each other with special tariffs. Trump accuses the People's Republic of unfair trade practices. The government in Beijing in turn demands that Chinese corporations such as network equipment company Huawei should not be discriminated against in the US. Navarro said the US would build their 5G network for much faster data transfer rates without Huawei technology. The US fears that China could serve as espionage.