China’s trade surplus with USA hits record high of US$34 billion

US Secretary of the Treasury Steven Mnuchin said there were several factors behind the recent fall in the Chinese yuan or renminbi, including economic issues in China

Trump warns there is 'a lot more' he can do to China

The conclusion, if accepted by Mnuchin, would avert an escalation of the U.S. China's main export market is Asia, and that hasn't changed much. Mnuchin could issue a different finding.

Treasury Secretary Steven Mnuchin said Friday that President Donald Trump respects the independence of the Federal Reserve and the president's recent comments were simply a reflection of the fact that he favors low interest rates.

Relations between the world's two largest economies have soured sharply, however, with Trump earlier Thursday vowing to inflict economic pain on China if it does not blink in a trade war.

"Exports continued to defy U.S. tariffs last month but imports struggled in the face of cooling domestic demand", said Julian Evans-Pritchard of Capital Economics in a report. A draft report ratchets up criticism of Beijing for failing to rectify its trade imbalance, and also singles out several other countries for eroding the U.S.'s competitive edge, the people said. "Markets tend to go too far in both directions and they have natural corrections". "With stable fuel demand, we have been scooping up crude oil, pushing up premiums of some crude grades", the source said, but some local refiners have begun to worry about where oil prices are headed, expecting slimmer profit margins as a result.

The onshore yuan weakened 0.51 percent to 6.9240 a dollar as of 4:52 Beijing, erasing the gains on Thursday. The review was prompted by China's accelerated efforts to acquire US intellectual property to the detriment of USA businesses and military interests, they said.

The Chinese yuan has lost almost 10 percent of its value against the USA dollar this year.

Notably, the September surplus with the USA was bigger than China's overall trade surplus of $31.69 billion for the month. Vice President Mike Pence delivered a speech last week in Washington signaling a firmer USA push-back against Beijing as trade anxiety weighs on the looming midterm congressional elections.

USA nuclear exports to China amounted to $170 million in 2017, the officials said. The last country declared a manipulator was China, in 1994.

The IMF also lowered estimates for the United States and the global economy as a whole. The US dollar has strengthened against a range of currencies this year as American interest rates have risen. They also expressed concern about use of the technology in weapons.

"We're having discussions about a potential meeting", Mnuchin said, indicating that the two leaders could meet if the USA side felt the trade discussions were moving in a positive direction.

"I think it's good", Trump said of the stock decline.

Latest News