Synopsis Businesses can now obtain GST registration within 7 days, while applications deemed high-risk will be processed within 30 days following a physical verification. The CBIC issued an indicative list of acceptable documents, addressing complaints about officers requesting unnecessary paperwork. New Delhi: Businesses will be able to get GST registration within 7 days, while applications flagged as risky will be processed within 30 days after physical verification of the premises. Observing that some field officers are seeking various "unwarranted documents" by raising "presumptive queries", the CBIC gave an "indicative list" of the documents which officers can seek online from businesses. "While processing registration application, query should not be raised by the officer seeking original physical copy of these documents," said the CBIC's revised instruction for granting GST registration The Central Board of Indirect Taxes and Customs said it has received complaints regarding difficulties being faced in getting a GST registration, mainly on account of nature of clarifications being sought by the officers and seeking of additional documents, which are not prescribed by the Board.
Source: The Economic Times
The commerce ministry's investigation arm DGTR has issued final findings in as many as 13 anti-dumping cases, mostly against China, in March, according to the commerce ministry. The ministry also said that in addition to this, the Directorate General of Trade Remedies (DGTR) has started 11 investigations in March. The final findings have been issued against dumping of products such as vitamin-A palmitate, insoluble sulphur, aluminium foil, plastic processing machines, digital offset printing plates and decor paper. Out of the 13 cases, 12 are against China. The other countries included in these probes include European Union, Japan, Taiwan, Russia, and Thailand. DGTR, under the commerce ministry, is the apex authority for administering all trade remedial measures, including antidumping, countervailing duties and safeguard measures. These measures help deal with the rising incidences of unfair trade practices and to provide a level playing field to the domestic industry. The role of the directorate has become crucial in the backdrop of sweeping tariffs imposed by the US and China on each other, as high import duties are making goods more expensive in both countries. And this would lead to diversion of goods into countries like India. While the US has imposed 245 per cent against China. In retaliation, Beijing has slapped 125 per cent tariff on goods coming from Washington. The government has set up an inter-ministerial import surge monitoring group to strictly monitor imports. In the last fiscal, India's exports to China contracted 14.5 per cent to USD 14.25 billion as against USD 16.66 billion in 2023-24. The imports, however, rose by 11.52 per cent in 2024-25 to USD 113.45 billion against USD 101.73 billion in 2023-24. The trade deficit with China has widened by about 17 per cent to USD 99.2 billion in the last fiscal from USD 85.07 billion in 2023-24. China continued to be the second largest trading partner of India with USD 127.7 billion two-way commerce in 2024-25 as compared to USD 118.4 billion in 2023-24.
Source: Business Standard
An Indian official team is likely to visit Washington next week to iron out differences on certain issues before formally launching negotiations for the proposed India-US bilateral trade agreement (BTA), an official said. The visit, which comes within weeks of a high-level US team visiting India, indicates that the talks for the BTA are gaining momentum.
India's chief negotiator, Additional Secretary in the Department of Commerce Rajesh Agrawal is expected to lead the team for the first in-person talks between the two countries. The visit follows senior official-level talks held between the two countries last month here. Brendan Lynch, the Assistant US Trade Representative for South and Central Asia, was in India from March 25 to 29 for crucial trade discussions with Indian officials. "The Indian team may visit Washington by mid of next week. This is not the formal first round of talks between the two countries. They would like to iron out differences on certain issues before launching the formal negotiations for the BTA," the official said. The two sides are keen to utilise the 90-day tariff pause, announced by US President Donald Trump on April 9, to push the talks. Earlier, an official source had said that an interim trade agreement between India and the US could be finalised in the 90-day tariff pause announced by the Trump administration if it is a win-win for both sides.
The two countries have already finalised and signed the terms of reference (ToRs) to start negotiations for the pact. The ToRs define the purpose, scope, and framework of the negotiations for such agreements. They also outline the specific areas to be covered. On April 15, Commerce Secretary Sunil Barthwal had stated that India will try to close the negotiations as quickly as possible with the US.He also stated that India has decided to follow the trade liberalisation path with the US through this agreement. India and the US have been engaged in negotiating a bilateral trade agreement since March. Both sides have targeted to conclude the first phase of the pact by the fall (September-October) of this year, with an aim to more than double the bilateral trade to $500 billion by 2030 from about $191 billion currently. Virtual talks are on from this week. In a trade pact, two countries either significantly reduce or eliminate customs duties on the maximum number of goods traded between them. They also ease norms to promote trade in services and boost investments. While the US is looking at duty concessions in sectors like certain industrial goods, automobiles (electric vehicles particularly), wines, petrochemical products, dairy, and agriculture items such as apples, tree nuts, and alfalfa hay; India may look at duty cuts for labour-intensive sectors like apparels, textiles, gems and jewellery, leather, plastics, chemicals, oil seeds, shrimp, and horticulture products. From 2021-22 to 2024-25, the US was India's largest trading partner. The US accounts for about 18 per cent of India's total goods exports, 6.22 per cent in imports, and 10.73 per cent in bilateral trade. With America, India had a trade surplus (the difference between imports and exports) of $41.18 billion in goods in 2024-25. It was $35.32 billion in 2023-24, $27.7 billion in 2022-23, $32.85 billion in 2021-22 and $22.73 billion in 2020-21. The US has raised concerns over the widening trade deficit. To address the gap and boost manufacturing, the Trump administration announced sweeping tariffs on April 2, including 26 per cent on India. It was later suspended till July 9.
Source: Business Standard
Synopsis Despite a significant trade deficit, China is seeking greater economic collaboration with India, inviting more Indian goods into its market. Ambassador Xu Feihong urges India to provide a fair environment for Chinese businesses, addressing concerns over visa delays and perceived unfair treatment. As global trade tensions simmer, a new chapter may unfold in the India-China relationship. Despite the growing trade imbalance—India’s deficit with China hitting a staggering $99.2 billion— Beijing is reaching out for greater economic collaboration. In an exclusive interview with The Times of India, Chinese Ambassador Xu Feihong shared Beijing’s intent to welcome more premium Indian goods and help Indian businesses tap into China’s massive consumer market. This is Xu’s first interview with Indian media since he took office, and his words signal a potential shift in the economic dynamics between the two nations. While China’s huge market presents commercial opportunities for Indian exporters, Xu also urged India to create a more level playing field for Chinese enterprises operating within its borders. He emphasized the importance of fair, transparent, and non-discriminatory treatment to foster deeper cooperation. Trade imbalance and market access Xu asserted that China has never deliberately pursued a trade surplus, arguing that such imbalances evolve naturally with market forces. “Valuing China’s super-sized market will unlock greater commercial opportunities for Indian companies,” he said, pointing to recent spikes in Indian exports of chili peppers, cotton yarn and iron ore—up by 17%, 240%, and 160% respectively in FY24. Beijing is ready, Xu said, to support a broader inflow of premium Indian goods and urged Indian companies to actively use Chinese trade platforms such as the China International Import Expo and the China-South Asia Expo to connect with Chinese consumers. However, while signalling openness, Xu also nudged India to address Beijing’s concerns, especially around what China views as unfair treatment of its businesses. “We hope India will provide a fair, transparent, and nondiscriminatory business environment for Chinese enterprises,” he said. The ambassador also pushed back on the perception that China imposes curbs on exports of equipment or manpower—issues flagged by Indian industry as barriers to manufacturing growth. “There are no mandatory restrictions from the Chinese side,” he said. Instead, he blamed the hurdles on visa delays for Chinese personnel and what he described as a hostile environment for Chinese firms operating in India. “Chinese citizens face significant difficulties obtaining Indian visas. Chinese enterprises encounter unfriendly and unfair treatment, and voices opposing Chinese investment are often heard in the media,” Xu said, adding that these issues have triggered a backlash in China. Calling for a reset, he added: “Both sides need to meet each other halfway and work together to improve the situation.” Referring to Prime Minister Narendra Modi’s recent remarks on avoiding conflict through dialogue, Xu said that stable and cooperative ties require engagement and mutual understanding. He added that China is ready to “warmly welcome” PM Modi to the upcoming Shanghai Cooperation Organisation (SCO) summit this year. US tariffs and global uncertainties Slamming Washington’s tariff actions as “unilateral protectionism,” Xu said such measures undermine global economic stability. He argued that China and India—as leading voices of the Global South—must jointly oppose unilateralism and defend multilateralism. He pointed out that the so-called "reciprocal tariffs" imposed by the US were, in his view, unilateral and designed more to protect US interests rather than foster a fair trade environment. "These actions blatantly infringe upon the legitimate rights of other countries, undermine the rules-based multilateral trading system, and pose a serious threat to global stability," Xu said, emphasizing that China's rise was a product of self-reliance and hard work— not tariff wars. China, Xu explained, doesn’t seek a trade conflict but is ready to defend its interests if provoked. "If a trade war is forced upon us, we will fight back, defend our interests, and uphold multilateralism," he asserted, while also criticizing the US for its heavy-handed approach. “Some countries made concessions, but the US took advantage, asking for more and more," he said, reflecting China’s frustration with what it views as US bullying and hegemony in global trade. Turning to the broader global trade landscape, Xu reminded that the US is just one player among many. With only 13% of global trade, the US represents a fraction of the total market, while over 190 countries together account for the remaining 87%. "There are vast opportunities for cooperation outside of the US," he noted. "China and India, as the two most populous developing powers, have a unique responsibility to oppose protectionism and unilateralism. Together, we must uphold multilateralism and contribute to global stability," Xu said.
Border issues and managing trust Speaking about the need to rebuild trust post the 2020 standoff, Xu said both sides must not allow the boundary issue to define the entire relationship. He highlighted the “positive progress” following Xi Jinping and Modi’s meeting in Kazan and said both countries should view each other’s development as an opportunity, not a threat. Xu added that existing mechanisms like the Corps Commander talks and the Working Mechanism for Consultation and Coordination have helped stabilise the situation, and called for stronger confidence-building measures.
Brahmaputra, Chinese tech, and manufacturing barriers Addressing Indian concerns over China's hydropower project on the Brahmaputra (Yarlung Zangbo) river, Xu assured that the project uses water only for energy generation and will not harm downstream countries. He also denied any deliberate Chinese restrictions on exporting technology or manpower to India, instead blaming “unfair treatment” of Chinese companies and challenges in getting Indian visas for a backlash in Chinese society.
Media, visa barriers and people-to-people ties Highlighting the trust deficit between the two countries, Xu called for restoring media exchanges and resuming the exchange of resident journalists. He noted that Chinese missions issued over 85,000 visas this year but said obtaining Indian visas remained a hurdle for Chinese citizens. He urged Indian media to go beyond “third-party filters” and present a balanced view of China, stressing that media has a role in bridging information and perception gaps.
Source: The Economic Times
Synopsis Prime Minister Narendra Modi is planning a Europe trip in mid-May, encompassing Croatia, Norway, and the Netherlands, as FTA negotiations intensify. The Norway leg includes the 3rd India-Nordic Summit, emphasizing renewables, high-tech, and investments. In the Netherlands, Modi will focus on high-tech collaboration, particularly semiconductors, reinforcing its role as a key economic partner. New Delhi: Prime Minister Narendra Modi is planning a three-nation Europe trip in May as negotiations pick up to conclude the Free Trade Agreement by the year-end. The visit by mid-May will take him to the Balkans (Croatia), followed by Norway and then Netherlands, it has been learnt. The Norway leg of the visit (May 15-16) will focus on the 3rd India-Nordic Summit, comprising five Nordic states and focusing on renewables, high-tech and investments, it has been further learnt This summit brings together the leaders of India, Denmark, Iceland, Norway, Sweden and Finland. The first summit was held in Sweden in 2018 and the second in Denmark in 2022. In the 2022 summit, discussions were held on multilateral cooperation in post-pandemic economic recovery, climate change, sustainable development, innovation, digitalization, and green and clean growth. India's partnership with the Nordic region in the Arctic Region was also discussed.
On his second visit to the Netherlands as the PM, Modi is expected to focus on high-tech collaboration, including semiconductors. Netherlands remains a critical entry point for Indian exports to Europe as well, besides being one of the key European economic partners. Ahead of the India-Nordic Summit, the PM spoke with the leaders of Denmark and Finland this week. The two countries have a unique Green Strategic Partnership, which was launched in 2020, and the two leaders assessed the expansion of this initiative in various fields," the MEA said in a readout. While the PM will have standalone meetings with all Nordic leaders in Oslo, he is expected to have a full official visit to Norway.
Source: Business Standard
The dollar index, which measures the greenback against six major currencies, fell 3 per cent last month and has slid a further 4.5 per cent so far in April, taking it to near three-year lows.
The dollar's slide has aided the rupee, though not enough to match the rally in the major currencies-sending euro/rupee and yen/rupee cross rates higher by more than 5 per cent in April. The pound/rupee cross is at a lifetime high. Analysts expect more upside on these crosses, underpinned by sustained dollar weakness. "Our FX strategists have turned very negative on the US dollar, especially against the yen, euro and Swiss franc," Goldman Sachs said in a note. The brokerage's main reasons are valuation, given the Federal Reserve's real trade-weighted dollar index is still 20 per cent above its long-term average, and the expected hit to economic growth from President Donald Trump's tariffs.
In fact, Goldman sees a 45 per cent chance of a US recession, with Barclays expecting one as soon as the second half of 2025. Therefore, fund managers are more convinced now than in any period since 2006 that the dollar will continue to depreciate, according to a recent BofA Securities survey. The balance of risks is "clearly in favour" of under-hedging for exporters invoicing in euro and pound, despite the high carry, said an FX salesperson at a bank, requesting anonymity since he is not authorised to speak to the media.
Source: Business Standard
Union Minister of Commerce and Industry, Piyush Goyal, addressed the India-Middle East-Europe Economic Corridor (IMEC) High-Level Roundtable on Connectivity and Economic Growth in New Delhi on Wednesday, the Ministry of Commerce and Industry said in a release on Wednesday.
During the event, Goyal said that the IMEC is a powerful endorsement of the leadership and partnership of India, Middle East and East Europe a very forward and visionary concept that has caught the fancy of the world.
As per the statement, the Minister stated that IMEC is not merely a trade route, but a modern-day Silk Route -- a partnership of equals -- that fosters synergy, connectivity, and inclusive prosperity. "It will bring down logistics costs by up to 30 per cent, reduce transportation time by 40 per cent, and create seamless trade linkages across continents," he said.
He added, "We will not only be linking trade; we will be linking civilisations and cultures -- from Southeast Asia to the Gulf, from the Middle East to Central Europe." Highlighting its potential reach, Goyal added that IMEC could even enhance connectivity to Africa through the Middle East. The corridor would include railways, roadways, energy pipelines, and clean energy infrastructure, including undersea cables. "India is already in discussions with Singapore on clean energy transmission. We are also engaged in dialogue with Saudi Arabia and the UAE," he shared. As per the statement, Goyal underscored the corridor's emphasis on sustainability and digital connectivity. "This initiative respects sovereignty and territorial integrity. It is not about dominance or creating economic unions. It is a partnership built on mutual trust, inclusivity and sustainability," he said. Goyal further outlined five key suggestions as a way forward for the IMEC initiative, as per the statement by the Ministry of Commerce and Industry. This included, first, Goyal stressed the importance of viewing IMEC through the lens of a Public-Private Partnership (PPP). He emphasised that leaving the initiative solely to the government would limit its efficiency and financial viability. Instead, he called for a collaborative model where the private sector leads, bringing to the table its real-world expertise, needs, and innovative capabilities. This approach, he noted, would ensure smarter and more cost-effective planning, as the private sector can propose solutions that reflect practical utility. It would also allow policymakers to think systematically while the private sector introduces flexibility and innovation, ensuring the corridor remains viable, efficient, and sustainable in its execution. Second-- Goyal highlighted the need to focus on Regulatory Connectivity, going beyond just physical infrastructure. He advocated for greater alignment in trade processes, customs procedures, and paperwork among participating nations. He cited India's ongoing regulatory collaboration with the UAE as an example and pointed out that the successful implementation of the corridor would require seamless cross-border movement without excessive checkpoints. Interoperable systems, digitisation, electric vehicle charging ecosystems, and synchronized regulations would be key to unlocking economies of scale. He suggested that common digital payment systems, such as India's Unified Payments Interface (UPI), could serve as a model for enabling seamless financial transactions. With periodic settlement in globally accepted reserve currencies, such mechanisms could reduce transactional friction and banking costs. He proposed that such innovations, combined with virtual trade corridor frameworks like the India-UAE initiative, could be extended through IMEC. These would support broader agreements such as FTAs with GCC and EU countries and bolster joint work in green hydrogen, renewable energy, and supply chain resilience. As per the statement, in the suggestion, Goyal underlined the need for Innovative Financing Models to support both the development of the corridor and the trade it will generate. He called for active involvement of multilateral financial agencies and suggested exploring instruments like green bonds and the creation of long-term "IMEC Bonds", to fund this transcontinental infrastructure in a sustainable and future-proof manner.
The fourth suggestion recommended by the Minister was active engagement with industry bodies and trade associations, asserting that their insights are essential for designing a corridor that aligns with the real needs of businesses. Such collaboration would help identify existing bottlenecks, promote best practices, and better integrate economies by removing trade frictions. Lastly, Goyal proposed bringing in Think Tanks and Academia to the visioning and design process. These institutions, he noted, bring creativity, research strength, and long-term thinking. Their involvement would support policy advocacy, contribute to out-of-the-box solutions, and assist in capacity-building efforts along the corridor. He called this a well-rounded package of five initiatives that could help IMEC evolve into a robust, viable, and inclusive project. The statement noted that Goyal reiterated India's clear and committed vision, and said the country is ready to act as a trusted, reliable bridge connecting regions and catalysing global cooperation, under the guiding spirit of Vasudhaiva Kutumbakam -- the world is one family, the ministry added.
Source: Business Standard
Engineering, textile and apparel exports grew over 6 % in 2024-2025 over the previous year, according to data shared by the Commerce Ministry. Engineering goods shipments grew 6.74 % year-on-year in 2024-25 over the previous year, touching $116.67 billion in 2024–2025 compared with $109.3 billion in 2023-2024. Textile and apparel exports registered 6.32 % growth in FY 25 compared with FY 24. The increase was driven mainly by apparel exports, which grew by 10.03%.
However, the additional duties imposed by the US on iron and steel and auto components are set to hit the engineering exports sector, according to EEPC India. There can be a potential annual drop of $4-5 billion in engineering shipments to the US. Besides, there will be massive competition from China in other markets as it will push its products, chasing new regions to de-risk the US, said Pankaj Chadha, chairman of EEPC India. S
Engineering, textile and apparel exports grew over 6 % in 2024-2025 over the previous year, according to data shared by the Commerce Ministry.Engineering goods shipments grew 6.74 % year-on-year in 2024-25 over the previous year, touching $116.67 billion in 2024–2025 compared with $109.3 billion in 2023-2024. Textile and apparel exports registered 6.32 % growth in FY 25 compared with FY 24. The increase was driven mainly by apparel exports, which grew by 10.03%.
However, the additional duties imposed by the US on iron and steel and auto components are set to hit the engineering exports sector, according to EEPC India. There can be a potential annual drop of $4-5 billion in engineering shipments to the US. Besides, there will be massive competition from China in other markets as it will push its products, chasing new regions to de-risk the US, said Pankaj Chadha, chairman of EEPC India
The impact of the ongoing trade tariff war is already visible. In March 2024, the value of Indian engineering goods exports declined nearly 4% year-on-year to $10.82 billion compared to $ 11.27 billion in the same month last year, he said. Chairman of the Confederation of Indian Textile Industry Rakesh Mehra said the industry is optimistic about maintaining this growth trajectory, especially in light of the evolving global trade dynamics. “The ongoing trade tensions between the U.S. and China present a strategic opportunity for India. With the U.S. actively seeking to diversify its sourcing base beyond China, India is well-positioned to emerge as a reliable and preferred partner,” he said.
Source : The Hindu
India's exports of textiles & apparel have attained a growth of 6.32 per cent during the current financial year ended on March 31, 2025, as compared to the previous year with the apparel segment being the main growth driver, according to an analysis by the Confederation of Indian Textile Industry (CITI) A detailed analysis shows that this growth in exports of textile and apparel is driven mainly by apparel exports which grew significantly by 10.03 per cent during the current fiscal year. alliances and supportive policy decisions by the government, which have helped build confidence among exporters. Mehra also emphasised that the industry remains optimistic about maintaining this growth trajectory, especially in light of evolving global trade dynamics. "The ongoing trade tensions between the US and China present a strategic opportunity for India, particularly in textile and apparel trade. With the US actively seeking to diversify its sourcing base beyond China, India is well-positioned to emerge as a reliable and preferred partner. However, this will require proactive diplomacy and a concerted effort to secure a more favourable and stable tariff regime," he observed During March this year, Indian textile exports were about 5.81 per cent lower, as compared to March '24, while apparel exports registered a growth of 3.97 per cent during the same time period This growth outpaced the performance of overall merchandise exports, which remained largely stagnant during the same period, according to CITI's analysis..
Source: The Economic Times
The United States garners over $1 billion in annual tariffs on goods exported by Bangladesh, while the latter collects about $180 million in duties on products from the former, an analysis by the Centre for Policy Dialogue (CPD) revealed.
Though Bangladesh imposes customs and other duties averaging 6.2 per cent on US imports, when rebates are considered, the weighted average duty drops to 2.2 per cent, CPD noted.
In contrast, the weighted average tariff on US imports from Bangladesh stands at 15.1 per cent. CPD urged Dhaka to closely monitor the impact of US tariffs on its export competitiveness, particularly in comparison with countries like Vietnam and explore strategic options, including engaging with the United States through the Trade and Investment Cooperation Forum Agreement (TICFA).
Bangladesh could also consider offering special warehouse facilities for import of US cotton, which may facilitate negotiations on tariff waivers for apparel made with US cotton, the think tank added.
Source: Fibre2fashion
After India ended Bangladesh's cargo transshipment facility on April 8, the Civil Aviation Authority of Bangladesh (CAAB) launched cargo services from the Hazrat Shahjalal International Airport in Dhaka and air freight rates out of there started rising, affecting the competitiveness of the latter’s exports.
The airport in Dhaka has limited capacity for handling export-import cargo. The two other international airports, Osmani International Airport in Sylhet and Shah Amanat International Airport in Chattogram, handled negligible volumes due to limited international flights and lower cargo demand.
CAAB plans to open the Sylhet airport for cargo operations on April 27 and Chattogram will follow. The first flight will depart from Sylhet for Spain at 7 pm with about 70 tonnes of garments.
Dhaka's spot air cargo rate to Europe has surged to $6.30-$6.50 per kg, surpassing all earlier records, including those during the pandemic. Such rates to the United States are around $7.50-$8.00 per kg—up from $6.91 in August 2024. Such costs stand at just $4/kg out of Kolkata and $3.50/kg from the Maldives.
Close to 18 per cent, or around 600 tonnes, of Bangladesh's weekly air cargo was routed through Indian airports.
Exporters also face additional charges in Dhaka, including Tk 2.5 per kg for ground handling, Tk 2 per kg for scanning and Tk 0.25 per kg per day for warehouse storage.
Exporters are worried as they are receiving notices from airlines indicating higher rates in the next week, citing growing demand and shrinking cargo space. Without urgent intervention, freight costs could double, domestic media outlets reported citing industry insiders. The Bangladesh Garment Accessories and Packaging Manufacturers and Exporters Association (BGAPMEA) said the country’s airport charges are among the highest in the region, and jet fuel prices outpace global averages—factors that add to the spiraling costs.
Capacity constraints at airports remain unresolved as well.
Source: Fibre2fashion
The United States has unveiled plans to impose new port fees on Chinese ships, saying it aims to revive American shipbuilding against China’s dominance in the industry. President Donald Trump has embarked on a sweeping trade war with China, a move his administration portrays as a bid to bring manufacturing back to the United States but that critics and many economists fear could trigger a global recession and increased prices for consumers. The Federal Register notice posted by the US Trade Representative (USTR) on Thursday said the US government will charge fees on all Chinese-built and -owned ships docking in US ports based on net tonnage or goods carried on each voyage. The new fees will be enforced in around 180 days’ time, rolled out in a phased manner, and may be raised in coming years, according to the USTR notice. The latest announcement backtracks from proposals floated in February to charge China-built ships of up to $1.5 million per port call, which had prompted a widespread industry backlash, Reuters reported. “Ships and shipping are vital to American economic security and the free flow of commerce,” US Trade Representative Jamieson Greer said in a statement. “The Trump administration’s actions will begin to reverse Chinese dominance, address threats to the US supply chain, and send a demand signal for US-built ships.”
The US plan provoked a robust response from Beijing.
“China is strongly dissatisfied and firmly opposed to this,” China’s commerce ministry said in a statement Friday. “China will closely follow the relevant developments of the US and will resolutely take necessary measures to safeguard its own rights and interests.” And at a regular press conference, China’s Ministry of Foreign Affairs spokesman Lin Jian said that imposing port fees and adding tariffs on loading and unloading equipment were “measures that harm others and the US itself.” “It not only raises global shipping costs and disrupts the stability of the global industry but also increases inflation pressures in the US, harming the interests of American consumers and businesses,” Lin said, adding that the measures would “eventually fail to revitalize the US shipbuilding industry.” From October 14, Chinese-owned and operated ships will be charged $50 a net ton, a rate that will increase by $30 a year over the next three years. Chinese-built ships owned by non-Chinese firms will be charged $18 a net ton, with annual fee increases of $5 over the same period. The new levies on Chinese cargo vessels add to escalating trade tensions between the world’s two largest economies. Trump has already hiked tariffs to a combined 145% on Chinese-made goods while Beijing has retaliated with 125% duties on US goods. Speaking to reporters about tariffs at the White House earlier Thursday, Trump signaled a potential halt of the tit-for-tat tariff hikes, which China has described as a “meaningless” numbers game. “I don’t want them to go higher because at a certain point you make it where people don’t buy,” he said. Beijing said last Friday it does not intend to lift tariffs on US goods higher than the rate it has announced.
Trump also told reporters on Thursday that he wants to negotiate trade deals with every country, including China. He noted that his administration is speaking with Chinese officials in an effort to work out a deal. The day prior, a person familiar with the Chinese government’s thinking said China is open to trade negotiations with the United States but that any talks should be based on “respect” and greater “consistency and reciprocity” from the Trump administration.
Source: CNN
