What if Trump-Xi summit in November fails?
China has more ways to retaliate than through import tariffs! According to Bill Diviney, Senior Economist & Arjen van Dijkhuizen, Sr. Economist-ABNAmro Global Trade says, Tariffs to push up inflation, but growth impact less certain – Emboldened by the strong momentum in the US economy and probably keen to score points among his base ahead of the midterm elections, President Trump is pressing ahead with his threat of further tariffs on Chinese imports. In addition to the 25% tariff on USD50bn of imports, the US is now imposed a 10% tariff on a further USD200bn from 24 September, with this rate going up to 25% on 1 January. The staggered implementation will a) Soften the economic blow to businesses and consumers, and b) Leave room to negotiate (and potentially avoid implementation) ahead of the expected Trump-Xi summit at the end of November. China has in the meantime promised to retaliate with a 5-10% tariff on a further USD60bn of US imports (there is already a