Trump wants China to ‘double or triple’ its offer to buy US goods in trade negotiations, sources say

U.S. officials seeking a China trade deal are focused on long-term changes to that nation’s economy. In 2018, the U.S. posted a record $891 billion trade deficit with China, according to figures released March 6 by the Bureau of Economic Analysis. Closing the trade deficit was a pillar of Trump’s 2016 campaign and a promise he wants to keep before he enters re-election season. The worry, two sources said, is that a ballooning trade deficit would dwarf even a trillion-dollar investment that’s spr


U.S. officials seeking a China trade deal are focused on long-term changes to that nation’s economy. In 2018, the U.S. posted a record $891 billion trade deficit with China, according to figures released March 6 by the Bureau of Economic Analysis. Closing the trade deficit was a pillar of Trump’s 2016 campaign and a promise he wants to keep before he enters re-election season. The worry, two sources said, is that a ballooning trade deficit would dwarf even a trillion-dollar investment that’s spr
Trump wants China to ‘double or triple’ its offer to buy US goods in trade negotiations, sources say Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-03-21  Authors: kayla tausche
Keywords: news, cnbc, companies, wants, chinas, negotiations, purchase, trump, trade, offer, lighthizer, buy, sources, deficit, double, say, triple, china, goods


Trump wants China to 'double or triple' its offer to buy US goods in trade negotiations, sources say

U.S. officials seeking a China trade deal are focused on long-term changes to that nation’s economy. But President Donald Trump is set on reducing the trade deficit, and is pushing his negotiators to get China to agree to purchase more goods, according to two people briefed on discussions.

China has offered to purchase up to $1.2 trillion in U.S. energy, agriculture and aircraft products over a period of six years. When the offer was first reported — a month and a half after it was discussed by Trump and President Xi Jinping at the G20 in Buenos Aires — the market jumped, a signal that investors viewed the offer as a substantial bargaining chip to win over the president.

But Trump has long wanted a number “double or triple” China’s $1.2 trillion proposal, these people said, requesting anonymity due to the sensitive nature of the discussions. He renewed his desire for a larger purchase deal in recent weeks, they said, following data that revealed the U.S.-China trade gap was widening.

In 2018, the U.S. posted a record $891 billion trade deficit with China, according to figures released March 6 by the Bureau of Economic Analysis. The deficit of U.S. goods — the metric of most importance to Trump and his China hawks — reached a record $419 billion. The data showed a sharp decrease in China’s import of U.S. goods in the fourth quarter as trade tensions escalated.

Closing the trade deficit was a pillar of Trump’s 2016 campaign and a promise he wants to keep before he enters re-election season. Rep. Steny Hoyer, the No.2 House Democrat, seized on the data, saying Trump “flunked the test he set for himself.” A White House official declined to comment.

The worry, two sources said, is that a ballooning trade deficit would dwarf even a trillion-dollar investment that’s spread over a number of years. But assembling an exponentially larger proposal would face challenges.

Brad Setser, senior fellow for international economics at the Council on Foreign Relations, said China could boost the total figure in its offer if it further opened up its market to U.S. pork, beef, rice or corn, where there’s already existing demand.

But unless China dramatically and permanently shifts its sourcing of goods, or repackages previously disclosed orders, it would be “impossible” to reach a figure in the trillions.

“It’s a little hard to see how you get big numbers with honest accounting,” Setser said.

Further complicating any purchase offer is the limit to the items that could potentially be included. Boeing jets are the biggest-ticket items the Chinese could add, but China’s appetite to buy more has stalled with the global grounding of the 737 Max 8 and 9 jets. And while China wants to buy more semiconductors and advanced technology, U.S. officials have raised security concerns about allowing them to do so.

“If China’s not able to buy more Boeing jets — and China’s not allowed to buy sensitive technology and defense products — there’s not a lot of room to increase the preferred shopping list,” said Gene Ma, head of China Research at the Institute of International Finance.

Trump’s advisors have sought to steer his focus in negotiations to the long-term, or so-called structural, change issues in China’s economy that must be fixed to rebalance the trading relationship going forward. In congressional testimony, television interviews and briefings with reporters, they’ve consistently said no deal will happen without sustainable, enforceable changes.

Chinese officials have continued to propose offers that play to Trump’s deficit desires. Sitting across from Trump in the Oval Office in late January, Vice Premier Liu He announced that China would buy 5 million metric tons of soybeans — an announcement that U.S. Trade Representative Robert Lighthizer later told reporters took him by surprise.

“The answer is yes — it was a surprise announcement, in the sense that I didn’t know about it until a very short time before,” Lighthizer said on Jan. 31.

In a hearing before the House Ways and Means Committee a month later, Lighthizer talked about the views of Chinese Americans on existing tensions, and the areas where they agree with his own personal stance on talks.

“I have found that Chinese Americans … will say, ‘Hang tough, we need structural change, this is the only way we are going to get structural change,'” Lighthizer told lawmakers. “‘Don’t cave; don’t sell out for soybeans.'”


Company: cnbc, Activity: cnbc, Date: 2019-03-21  Authors: kayla tausche
Keywords: news, cnbc, companies, wants, chinas, negotiations, purchase, trump, trade, offer, lighthizer, buy, sources, deficit, double, say, triple, china, goods


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China’s new social media craze: Paying to be given compliments online

One group administrator who spoke to CNBC said they offer a service where you can invite another person into a group, and that individual will be given custom-made compliments. The administrator, who asked to remain anonymous, said they charge 15 yuan for three minutes or 25 yuan for five minutes of praise in the WeChat group. You are then invited to one of the groups on WeChat alongside the other person you have nominated. CNBC found a number of postings on Chinese social networking site Douban


One group administrator who spoke to CNBC said they offer a service where you can invite another person into a group, and that individual will be given custom-made compliments. The administrator, who asked to remain anonymous, said they charge 15 yuan for three minutes or 25 yuan for five minutes of praise in the WeChat group. You are then invited to one of the groups on WeChat alongside the other person you have nominated. CNBC found a number of postings on Chinese social networking site Douban
China’s new social media craze: Paying to be given compliments online Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-03-19  Authors: arjun kharpal, justin chin, bloomberg, getty images, -a kuakuaqun user, encouraging a cnbc reporter to enjoy his time in a
Keywords: news, cnbc, companies, yuan, number, online, paying, social, group, craze, groups, media, praise, chinas, person, given, wechat, administrator, compliments, spare


China's new social media craze: Paying to be given compliments online

“This is awesome! Now you have more spare time. Take this opportunity to enjoy your ‘me time.’ One can be very happy by himself. And you have us here!”

There appears to be varying business models, however. One group administrator who spoke to CNBC said they offer a service where you can invite another person into a group, and that individual will be given custom-made compliments. It could be a friend or partner, for example.

The administrator, who asked to remain anonymous, said they charge 15 yuan for three minutes or 25 yuan for five minutes of praise in the WeChat group. You can send in additional information such as details of your relationship with a person and their likes and dislikes. You are then invited to one of the groups on WeChat alongside the other person you have nominated. And then the compliments begin.

The administrator said he runs the side business in his spare time with friends.

There are also free groups. CNBC found a number of postings on Chinese social networking site Douban for praise groups. On one of the posts, a number was listed. CNBC added that number and the person — known by their WeChat alias “Abelard” — then pulled us into the free praise group they run.


Company: cnbc, Activity: cnbc, Date: 2019-03-19  Authors: arjun kharpal, justin chin, bloomberg, getty images, -a kuakuaqun user, encouraging a cnbc reporter to enjoy his time in a
Keywords: news, cnbc, companies, yuan, number, online, paying, social, group, craze, groups, media, praise, chinas, person, given, wechat, administrator, compliments, spare


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China’s new social media craze: Paying to be given compliments online

One group administrator who spoke to CNBC said they offer a service where you can invite another person into a group, and that individual will be given custom-made compliments. The administrator, who asked to remain anonymous, said they charge 15 yuan for three minutes or 25 yuan for five minutes of praise in the WeChat group. You are then invited to one of the groups on WeChat alongside the other person you have nominated. CNBC found a number of postings on Chinese social networking site Douban


One group administrator who spoke to CNBC said they offer a service where you can invite another person into a group, and that individual will be given custom-made compliments. The administrator, who asked to remain anonymous, said they charge 15 yuan for three minutes or 25 yuan for five minutes of praise in the WeChat group. You are then invited to one of the groups on WeChat alongside the other person you have nominated. CNBC found a number of postings on Chinese social networking site Douban
China’s new social media craze: Paying to be given compliments online Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-03-19  Authors: arjun kharpal, justin chin, bloomberg, getty images, -a kuakuaqun user, encouraging a cnbc reporter to enjoy his time in a
Keywords: news, cnbc, companies, yuan, number, online, paying, social, group, craze, groups, media, praise, chinas, person, given, wechat, administrator, compliments, spare


China's new social media craze: Paying to be given compliments online

“This is awesome! Now you have more spare time. Take this opportunity to enjoy your ‘me time.’ One can be very happy by himself. And you have us here!”

There appears to be varying business models, however. One group administrator who spoke to CNBC said they offer a service where you can invite another person into a group, and that individual will be given custom-made compliments. It could be a friend or partner, for example.

The administrator, who asked to remain anonymous, said they charge 15 yuan for three minutes or 25 yuan for five minutes of praise in the WeChat group. You can send in additional information such as details of your relationship with a person and their likes and dislikes. You are then invited to one of the groups on WeChat alongside the other person you have nominated. And then the compliments begin.

The administrator said he runs the side business in his spare time with friends.

There are also free groups. CNBC found a number of postings on Chinese social networking site Douban for praise groups. On one of the posts, a number was listed. CNBC added that number and the person — known by their WeChat alias “Abelard” — then pulled us into the free praise group they run.


Company: cnbc, Activity: cnbc, Date: 2019-03-19  Authors: arjun kharpal, justin chin, bloomberg, getty images, -a kuakuaqun user, encouraging a cnbc reporter to enjoy his time in a
Keywords: news, cnbc, companies, yuan, number, online, paying, social, group, craze, groups, media, praise, chinas, person, given, wechat, administrator, compliments, spare


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China should quickly get out of its huge US trade problem

The vigilant members of the China-based American and international chambers of commerce, and the World Trade Organization, will serve as keen observers that China is properly implementing and enforcing its trade regulations. Third, China can benefit from an enhanced International Monetary Fund surveillance, technically called Article IV consultations. Fourth, the IMF consultations and the OECD’s biannual examinations would provide unimpeachable expert opinions on China’s monetary policies and it


The vigilant members of the China-based American and international chambers of commerce, and the World Trade Organization, will serve as keen observers that China is properly implementing and enforcing its trade regulations. Third, China can benefit from an enhanced International Monetary Fund surveillance, technically called Article IV consultations. Fourth, the IMF consultations and the OECD’s biannual examinations would provide unimpeachable expert opinions on China’s monetary policies and it
China should quickly get out of its huge US trade problem Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-03-18  Authors: dr michael ivanovitch, visual china group, getty images
Keywords: news, cnbc, companies, quickly, china, trade, examinations, chinas, economic, monetary, americas, american, huge, international, problem, policies


China should quickly get out of its huge US trade problem

First, approach the issue with a sense of urgency it deserves. Promptly begin to diversify Chinese exports away from U.S. markets, and strongly step up purchases of American goods and services to quickly stop and markedly reverse the trend of China’s growing bilateral trade surpluses.

Second, with such a sincere show of good faith, Beijing should adopt regulatory changes offering internationally comparable guarantees for the protection of intellectual property and prohibition of forced technology transfers to Chinese joint-venture partners. China’s apparently large panoply of non-tariff barriers to trade should also be dismantled.

The vigilant members of the China-based American and international chambers of commerce, and the World Trade Organization, will serve as keen observers that China is properly implementing and enforcing its trade regulations.

Third, China can benefit from an enhanced International Monetary Fund surveillance, technically called Article IV consultations. That would make sure that China’s monetary, fiscal and structural economic policies — which include both domestic and foreign trade — are fully in compliance with international rules and best practice policies.

In addition to that, China may also wish to engage in extensive biannual economic examinations with the Organization of Economic Cooperation and Development to get an independent expert assessment of the entire spectrum of its economic policies. That’s what the OECD does well, and that could be a very useful source of unbiased advice. Such examinations would also shield China from widely publicized amateurish attacks on its economic management.

Fourth, the IMF consultations and the OECD’s biannual examinations would provide unimpeachable expert opinions on China’s monetary policies and its managed floating exchange rate. That would preserve China’s monetary sovereignty and offer much-needed advice about the country’s highly sensitive capital account transactions.

How China frames those steps within the ongoing trade negotiations with the United States is a matter of its own judgment.

But one thing should be clear: Dragging on the negotiating process while continuing to accumulate China’s huge surpluses on American trades is over. Washington has finally come to the point where it can no longer tolerate inconclusive talk fests while China laughs all the way to the bank.

To be sure, though, getting the trade surplus issue out of the way will not radically improve the U.S.-China relations. That’s impossible as long as America’s security experts consider China a “strategic competitor” and “a revisionist power” determined to challenge America’s world order.

One could expect, however, that a meaningful progress on bilateral trade problems could open more space to address acute security issues in a constructive manner, although, again, there is no guarantee for such an outcome. China’s contested maritime borders, Korean problems and Beijing’s Belt and Road transactions will remain America’s war and peace issues for the foreseeable future.


Company: cnbc, Activity: cnbc, Date: 2019-03-18  Authors: dr michael ivanovitch, visual china group, getty images
Keywords: news, cnbc, companies, quickly, china, trade, examinations, chinas, economic, monetary, americas, american, huge, international, problem, policies


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Macron’s Africa visit reveals determination to weaken China’s grip on the continent

French President Emmanuel Macron embarked on a four-day charm offensive across the Horn of Africa last week, stopping off in Djibouti, Ethiopia, and Kenya. The trip is largely seen as a bid to cement new ties in a region where China’s influence has been growing fast. Accompanied by some of France’s corporate giants­ — including Danone, EDF, GE Alstom and Total Group — Macron’s message was quite clear. Twitter was flooded with adverse reactions to Macron’s visit. One Tweet read: “People like Macr


French President Emmanuel Macron embarked on a four-day charm offensive across the Horn of Africa last week, stopping off in Djibouti, Ethiopia, and Kenya. The trip is largely seen as a bid to cement new ties in a region where China’s influence has been growing fast. Accompanied by some of France’s corporate giants­ — including Danone, EDF, GE Alstom and Total Group — Macron’s message was quite clear. Twitter was flooded with adverse reactions to Macron’s visit. One Tweet read: “People like Macr
Macron’s Africa visit reveals determination to weaken China’s grip on the continent Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-03-16  Authors: chanel monteine, ludovic marin, afp, getty images, yasuyoshi chiba afp getty images, pool, getty images news
Keywords: news, cnbc, companies, grip, kenyatta, africa, series, weaken, macrons, chinas, president, determination, continent, macron, including, french, reveals, visit, kenyan, trip


Macron's Africa visit reveals determination to weaken China's grip on the continent

French President Emmanuel Macron embarked on a four-day charm offensive across the Horn of Africa last week, stopping off in Djibouti, Ethiopia, and Kenya. The trip is largely seen as a bid to cement new ties in a region where China’s influence has been growing fast.

In the first visit by a French president to Kenya since its independence in 1963, Macron concluded his trip with a bang, announcing an estimated 3 billion euros ($3.4 billion) worth of deals with the East African powerhouse.

While specifics remain obscure, Kenyan President Uhuru Kenyatta confirmed in a statement Thursday that an agreement with a “French consortium” had been reached on a series of major works to boost Kenya’s transport network, including the construction of a commuter rail line linking the Kenyan capital with its central railway station.

Accompanied by some of France’s corporate giants­ — including Danone, EDF, GE Alstom and Total Group — Macron’s message was quite clear.

“The intent is indeed to open a new partnership in economy,” Macron said in a joint press conference with Kenyatta on Wednesday. “Now what we want to do, especially with our delegation of companies, is to be part of your new growth agenda…This is how France could be a long term, credible economic partner,” he added.

Both sides expressed keen intent to turn this visit into a long-term affair with cooperation spanning beyond business and including a series of environmental and educational alignments of their interests.

However, some of the local reaction was less enthusiastic. Twitter was flooded with adverse reactions to Macron’s visit. One Tweet read: “People like Macron are the real stumbling blocks to the development in Africa”.


Company: cnbc, Activity: cnbc, Date: 2019-03-16  Authors: chanel monteine, ludovic marin, afp, getty images, yasuyoshi chiba afp getty images, pool, getty images news
Keywords: news, cnbc, companies, grip, kenyatta, africa, series, weaken, macrons, chinas, president, determination, continent, macron, including, french, reveals, visit, kenyan, trip


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US mulls measures against human rights violators in China’s Xinjiang

The United States is considering measures against those responsible for human rights violations against Muslims in China’s Xinjiang region, a U.S. State Department spokesman said on Thursday, calling it a “great shame for humanity.” “We are committed to promoting accountability for those who are committing these violations and considering targeted sanctions as well, targeted measures, as well,” spokesman Robert Palladino told reporters at a regular briefing. In announcing the U.S. State Departme


The United States is considering measures against those responsible for human rights violations against Muslims in China’s Xinjiang region, a U.S. State Department spokesman said on Thursday, calling it a “great shame for humanity.” “We are committed to promoting accountability for those who are committing these violations and considering targeted sanctions as well, targeted measures, as well,” spokesman Robert Palladino told reporters at a regular briefing. In announcing the U.S. State Departme
US mulls measures against human rights violators in China’s Xinjiang Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-03-15  Authors: yasin ozturk, anadolu agency, getty images
Keywords: news, cnbc, companies, xinjiang, spokesman, chinas, china, violators, targeted, human, considering, rights, mulls, measures, sanctions, state


US mulls measures against human rights violators in China's Xinjiang

The United States is considering measures against those responsible for human rights violations against Muslims in China’s Xinjiang region, a U.S. State Department spokesman said on Thursday, calling it a “great shame for humanity.”

“We are committed to promoting accountability for those who are committing these violations and considering targeted sanctions as well, targeted measures, as well,” spokesman Robert Palladino told reporters at a regular briefing.

Palladino later said he misspoke when he said sanctions. He did not elaborate on what he meant by targeted measures.

“We will continue to call on China to end these policies and to free these people who have been arbitrarily detained,” he said.

Palladino said he echoed Turkey’s description of the Xinjiang situation, in calling it a “great shame for humanity.”

Palladino spoke after China hit back on Thursday in unusually strong terms at U.S. State Department criticisms of its Xinjiang policies.

In announcing the U.S. State Department’s annual “Country Reports on Human Rights Practices” on Wednesday, its top human rights official said the abuses in Xinjiang were of a kind not seen since the 1930s and Secretary of State Mike Pompeo said China was “in a league of its own when it comes to human rights violations.”

U.S. officials have said the Trump administration was considering sanctions targeting companies and officials linked to China’s crackdown, including Xinjiang Party Secretary Chen Quanguo, who, as a member of the powerful politburo, is in the upper echelons of China’s leadership.

China has roundly rejected concern about its policies in Xinjiang, where rights groups say the government is operating internment camps holding a million or more Muslims. China says they are vocational training centers aimed at de-radicalization.

It has warned of retaliation if Washington were to target Chen and the U.S. administration has yet to act despite complaints about its lack of action from U.S. lawmakers.

Any sanctions decision against so senior an official as Chen would be a rare move on human rights grounds against China by the Trump administration, which is engaged in closely-watched talks with Beijing to try to resolve a trade war.

Chinese Foreign Ministry spokesman Lu Kang said earlier on Thursday that the U.S. human rights report was as usual filled with “ideological prejudice” and groundless accusations. He said China had lodged a complaint with Washington about it.

Lu said China fully safeguards human rights and that the United States should take a hard look at its own domestic human rights record.


Company: cnbc, Activity: cnbc, Date: 2019-03-15  Authors: yasin ozturk, anadolu agency, getty images
Keywords: news, cnbc, companies, xinjiang, spokesman, chinas, china, violators, targeted, human, considering, rights, mulls, measures, sanctions, state


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Europe turns its concerns to China’s growing clout as Xi visits

“To safeguard against potential serious security implications for critical digital infrastructure, a common EU approach to the security of 5G networks is needed.” That has given China maximum leverage in negotiating with EU member countries, almost exclusively on a bilateral basis. During the Cold War, the European Union and the United States achieved a far more elaborate and coherent approach in response to a far less resourceful competitor. The European Union needs a coherent strategy toward C


“To safeguard against potential serious security implications for critical digital infrastructure, a common EU approach to the security of 5G networks is needed.” That has given China maximum leverage in negotiating with EU member countries, almost exclusively on a bilateral basis. During the Cold War, the European Union and the United States achieved a far more elaborate and coherent approach in response to a far less resourceful competitor. The European Union needs a coherent strategy toward C
Europe turns its concerns to China’s growing clout as Xi visits Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-03-15  Authors: fred kempe, michele tantussi, getty images
Keywords: news, cnbc, companies, eu, week, united, member, visits, approach, chinas, turns, clout, china, states, xi, growing, europe, european, union, concerns, members


Europe turns its concerns to China's growing clout as Xi visits

Chinese President Xi Jinping will visit Italy and France next week amid a European Union firestorm over the dangers of rapidly growing Chinese trade and investments – particularly regarding next-generation telecom technology – and intensifying divisions among its members about how to deal with them.

Western media coverage has understandably focused on the unfolding Brexit drama in London, where British lawmakers failed to agree on a viable path forward. However, what went under-reported was that at the same time the EU took its most significant steps yet – though belated and insufficient – to address China’s increasingly assertive and state-subsidized push into Europe.

After months of study, the European Commission released its “EU-China: Strategic Outlook,” included the clearest and toughest language yet toward China in an EU document. After years of a more benign approach to Beijing, it branded China as “an economic competitor in the pursuit of technological leadership, and a systemic rival promoting alternative models of governance.”

That marks a major shift in thinking ahead of next Thursday’s EU Council meeting in Brussels, bringing together all 28-member country leaders to discuss China the day before Xi lands in Rome. Although the document is couched in diplomatic language, calling upon the EU to “deepen its engagement with China to promote common interests at a global level,” its message is unmistakable on critical infrastructure and Europe’s tech base.

“5G networks will provide the future backbone to our societies and economies, connecting billions of objects and systems, including sensitive information and communications technology systems in crucial sectors,” it says. “To safeguard against potential serious security implications for critical digital infrastructure, a common EU approach to the security of 5G networks is needed.”

To achieve that, the Commission said it will lay out a path following the EU Council meeting. What’s unclear is how effective any approach would be, which would require buy in from 28 nations – 27, if Brexit goes through – which view China through vastly differently lenses.

The challenge is that China for some time has executed a clear plan that has put Europe increasingly at the heart of its global political and economic strategy while Europe has lacked any unified policy of approach of its own. That has given China maximum leverage in negotiating with EU member countries, almost exclusively on a bilateral basis.

Even worse, instead of joining in common cause regarding China, the United States and European Union have been bickering over trade and a host of other issues, from Iran to defense spending. During the Cold War, the European Union and the United States achieved a far more elaborate and coherent approach in response to a far less resourceful competitor.

Greater coordination inside Europe and across the Atlantic could bring considerably more leverage to the negotiating table. The combined EU-US GDP in 2017 of more than $36 trillion was nearly triple that of China, and even the EU GDP alone of more than $17.3 trillion eclipses the $12.2 trillion of Beijing. Instead, China comes to the table with the full weight of six times more GDP than that of Italy, which next week could become the first G-7 member state to endorse China’s Belt and Road Initiative.

China has had similar leverage in the Balkans, where the European Union and the United States have had increased concerns through its heavy investments through its 16+1 format that groups 11 Central European members of the EU with five non-EU members who may over time become candidates – Albania, Bosnia and Herzegovina, Macedonia, Montenegro and Serbia.

Johannes Hahn, the EU commissioner responsible for enlargement, recently expressed concern that the EU “overestimated Russia and underestimated China” in the Balkans. What concerns him is that heavy borrowing from China among the region’s countries could imperil their already weak economies – and more than half the $9.4 billion in Chinese investments in the region in 2016 and 2017 went to the non-EU countries of this group.

The more immediate concern next week comes in Italy, where the government may sign a leaked memorandum of understanding with China regarding its Belt and Road Initiative, and cooperate in the development of “roads, railways, bridges, civil aviation, ports, energy and telecommunications.”

Italy wouldn’t be the first EU country to sign a BRI deal with China, but it has attracted the most attention because it would be the largest to do so, it is a founding member of the EU, and it is a member of the G7. The agreement would also happen despite disagreements within the Italian government (the foreign ministry is reported to have been cut out) and misgivings among other EU countries. It would happen shortly before an EU-China leaders’ summit on April 9.

At a time when the U.S. should be working more closely with the EU to frame a unified transatlantic approach to China, the atmosphere is instead colored by mistrust.

European leaders worry about President Trump’s indications that he might change his approach toward Huawei as a security threat if China compromises on trade, including an intervention in the potential extradition and prosecution of the Huawei CFO.

The Germans chafed at a letter made public last week from U.S. Ambassador to Germany Richard Grenell to German Economy Minister Peter Altmaier. It stated that U.S. intelligence cooperation with Germany would suffer if the German government allowed Huawei into its 5G networks.

President Xi’s visit to Europe, and then again on April 9 for an EU Summit, should trigger what ought to have happened long ago. The European Union needs a coherent strategy toward China that will unite its members. The United States needs to develop a similar strategy of its own, then join transatlantic talks to galvanize democracies to confront what the EU itself called a “systemic rival.”

The urgent need for a common approach to China should, excuse the term, trump other transatlantic differences.

Frederick Kempe is a best-selling author, prize-winning journalist and president & CEO of the Atlantic Council, one of the United States’ most influential think tanks on global affairs. He worked at The Wall Street Journal for more than 25 years as a foreign correspondent, assistant managing editor and as the longest-serving editor of the paper’s European edition. His latest book – “Berlin 1961: Kennedy, Khrushchev, and the Most Dangerous Place on Earth” – was a New York Times best-seller and has been published in more than a dozen languages. Follow him on Twitter @FredKempe and subscribe here to Inflection Points, his look each Saturday at the past week’s top stories and trends.

For more insight from CNBC contributors, follow @CNBCopinion on Twitter.


Company: cnbc, Activity: cnbc, Date: 2019-03-15  Authors: fred kempe, michele tantussi, getty images
Keywords: news, cnbc, companies, eu, week, united, member, visits, approach, chinas, turns, clout, china, states, xi, growing, europe, european, union, concerns, members


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China’s industrial output grew at the slowest rate in 17 years

China’s industrial output grew 5.3 percent in the first two months of this year, the slowest pace of expansion in 17 years, official data showed on Thursday. But fixed-asset investment rose 6.1 percent, while retail sales rose 8.2 percent, both more than expected. Analysts polled by Reuters had predicted industrial output growth would slow to 5.5 percent in January-February from December’s 5.7 percent gain. Investment growth had been expected to edge up slightly to 6.0 percent, from 5.9 percent


China’s industrial output grew 5.3 percent in the first two months of this year, the slowest pace of expansion in 17 years, official data showed on Thursday. But fixed-asset investment rose 6.1 percent, while retail sales rose 8.2 percent, both more than expected. Analysts polled by Reuters had predicted industrial output growth would slow to 5.5 percent in January-February from December’s 5.7 percent gain. Investment growth had been expected to edge up slightly to 6.0 percent, from 5.9 percent
China’s industrial output grew at the slowest rate in 17 years Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-03-14  Authors: afp, getty images
Keywords: news, cnbc, companies, grew, investment, slowest, rose, expected, rate, sales, data, growth, rise, output, industrial, chinas, 17


China's industrial output grew at the slowest rate in 17 years

China’s industrial output grew 5.3 percent in the first two months of this year, the slowest pace of expansion in 17 years, official data showed on Thursday.

But fixed-asset investment rose 6.1 percent, while retail sales rose 8.2 percent, both more than expected.

Analysts polled by Reuters had predicted industrial output growth would slow to 5.5 percent in January-February from December’s 5.7 percent gain.

Investment growth had been expected to edge up slightly to 6.0 percent, from 5.9 percent in 2018.

Private-sector fixed-asset investment, which accounts for about 60 percent of overall investment in China, rose 7.5 percent in the same period, compared with an 8.7 percent rise in 2018, data from the National Bureau of Statistics showed.

Retail sales had been expected to rise 8.1 percent, easing marginally from December’s 8.2 percent pace.

China combines January and February activity data in an attempt to smooth distortions created by the long Lunar New Year holidays early each year, but some analysts say a clearer picture of the economy may not emerge first-quarter data is released in April.

China’s economic growth cooled to 6.6 percent last year, the slowest in nearly three decades, and it is expected to lose more momentum in the next few months.

Beijing is rolling out more support measures to avert a sharper slowdown, but many analysts do not expect activity to convincingly bottom out until summer.


Company: cnbc, Activity: cnbc, Date: 2019-03-14  Authors: afp, getty images
Keywords: news, cnbc, companies, grew, investment, slowest, rose, expected, rate, sales, data, growth, rise, output, industrial, chinas, 17


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Asia markets: Brexit deal, pound and China economic data in focus

Asia Pacific markets traded mixed on Thursday after data showed growth in China’s industrial output fell. Overnight, British lawmakers rejected the idea of leaving the European Union without a Brexit deal in place. The Nikkei 225 in Japan gave up its gains to finish flat at 21,287.02 while the Topix index fell 0.24 percent to 1,588.29. Data on Thursday showed China’s industrial output growth fell to a 17-year low in the first two months of the year, according to Reuters. The on-shore yuan traded


Asia Pacific markets traded mixed on Thursday after data showed growth in China’s industrial output fell. Overnight, British lawmakers rejected the idea of leaving the European Union without a Brexit deal in place. The Nikkei 225 in Japan gave up its gains to finish flat at 21,287.02 while the Topix index fell 0.24 percent to 1,588.29. Data on Thursday showed China’s industrial output growth fell to a 17-year low in the first two months of the year, according to Reuters. The on-shore yuan traded
Asia markets: Brexit deal, pound and China economic data in focus Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-03-14  Authors: saheli roy choudhury, toshifumi kitamura, afp, getty images
Keywords: news, cnbc, companies, markets, fell, economic, china, asia, showed, midpoint, data, growth, brexit, focus, deal, traded, pound, output, industrial, chinas, index, yuan


Asia markets: Brexit deal, pound and China economic data in focus

Asia Pacific markets traded mixed on Thursday after data showed growth in China’s industrial output fell. Overnight, British lawmakers rejected the idea of leaving the European Union without a Brexit deal in place.

The Nikkei 225 in Japan gave up its gains to finish flat at 21,287.02 while the Topix index fell 0.24 percent to 1,588.29.

In South Korea, the Kospi wavered between gains and losses to close up 0.34 percent at 2,155.68. Hong Kong’s Hang Seng Index was down 0.22 percent in afternoon trade.

Chinese mainland shares withdrew as the Shanghai composite fell 1.2 percent to 2,990.68 while the Shenzhen composite tumbled 2.311 percent.

Data on Thursday showed China’s industrial output growth fell to a 17-year low in the first two months of the year, according to Reuters. That further pointed to an economic slowdown in the world’s second-largest economy. But investments picked up pace as the government fast-tracked more road and rail projects, the news agency added.

Beijing has already pledged hundreds of billions of dollars in tax cuts and infrastructure spending to support the flagging economy.

The on-shore yuan traded at 6.7134 to the dollar at 2:44 p.m. HK/SIN after the People’s Bank of China set the day’s yuan midpoint at 6.7009. China’s central bank allows the currency exchange rate to rise or fall 2 percent from the midpoint rate.

Australia’s benchmark ASX 200 closed up 0.3 percent at 6,179.60.


Company: cnbc, Activity: cnbc, Date: 2019-03-14  Authors: saheli roy choudhury, toshifumi kitamura, afp, getty images
Keywords: news, cnbc, companies, markets, fell, economic, china, asia, showed, midpoint, data, growth, brexit, focus, deal, traded, pound, output, industrial, chinas, index, yuan


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China’s yuan ‘may already be overvalued’ and is set to move lower, Nomura says

The Chinese yuan is probably already overvalued against the U.S. dollar and any efforts by President Donald Trump’s team to lock in that level as part of trade negotiations will likely backfire, according to Japanese financial firm Nomura. The yuan has long been a sticking point for the U.S., which, despite years of long-term appreciation in the currency, accuses Beijing of keeping it artificially undervalued to boost exports. “We believe (the) yuan may already be overvalued against (the dollar)


The Chinese yuan is probably already overvalued against the U.S. dollar and any efforts by President Donald Trump’s team to lock in that level as part of trade negotiations will likely backfire, according to Japanese financial firm Nomura. The yuan has long been a sticking point for the U.S., which, despite years of long-term appreciation in the currency, accuses Beijing of keeping it artificially undervalued to boost exports. “We believe (the) yuan may already be overvalued against (the dollar)
China’s yuan ‘may already be overvalued’ and is set to move lower, Nomura says Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-03-11  Authors: kelly olsen, honglouwawa, getty images
Keywords: news, cnbc, companies, long, nomura, dollar, trade, yuan, lower, set, chinas, growth, japanese, firm, overvalued, efforts


China's yuan 'may already be overvalued' and is set to move lower, Nomura says

The Chinese yuan is probably already overvalued against the U.S. dollar and any efforts by President Donald Trump’s team to lock in that level as part of trade negotiations will likely backfire, according to Japanese financial firm Nomura.

The yuan has long been a sticking point for the U.S., which, despite years of long-term appreciation in the currency, accuses Beijing of keeping it artificially undervalued to boost exports. Washington has reportedly pressed Chinese officials to maintain currency stability amid trade talks.

Despite that request, Nomura said the American side appears to have it all wrong.

“We believe (the) yuan may already be overvalued against (the dollar), and China’s latest round of monetary and credit easing may push (the yuan) further into overvalued territory,” Nomura said in a Monday note, referring to the country’s efforts to put a floor under slowing growth in the world’s second-largest economy.

In fact, attempts to stabilize the rate “could result in an increasingly overvalued yuan, slower export growth, elevated import growth and worsening current account deficits in China,” the Japanese firm said.

Nomura said it ultimately expects the yuan to move lower against the dollar “in the medium to long term,” though it did not suggest any levels or ranges.


Company: cnbc, Activity: cnbc, Date: 2019-03-11  Authors: kelly olsen, honglouwawa, getty images
Keywords: news, cnbc, companies, long, nomura, dollar, trade, yuan, lower, set, chinas, growth, japanese, firm, overvalued, efforts


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